Study on the new implementation mode of cross-docking based on blockchain technology

Abstract

Cross-docking is a logistics operation in which goods are sorted and reloaded without entering a warehouse. It can significantly shorten the transportation time of goods, improve the efficiency of goods turnover, and reduce inventory backlogs and operational risks. Therefore, it has received considerable attention and has widespread applications. However, in the current operational mode of logistics centers, it is difficult to synchronize the transportation of goods from suppliers to logistics centers and the replenishment transportation from logistics centers to convenience stores, resulting in a low cross-docking utilization rate. In this study, blockchain technology was used to address the problem of low cross-docking. We proposed a new mode of cross-docking implementation to promote large–scale applications. We designed the application of smart contracts, which is the key technology of this mode. We implemented it by establishing a bilevel programming model for negotiation transactions between suppliers and convenience stores and a queuing model for cross-docking operation scheduling. Additionally, we proposed an improvement scheme for particle swarm optimization (PSO) algorithm of the solving model to improve computational accuracy. Finally, we used the simulation data to obtain a feasible price range of cross-docking operation in the new mode by analyzing its impact on the transaction status, utility of all participants, and status of cross-docking operations.