Enterprise Systems and Organizational Issues in IS
To increase the efficiency of delivery operations in small package shipping (SPS), numerous optimization models for routeand location planning decisions have been proposed. This "operations research view" of defining independent problems hastwo major shortcomings: First, most models from literature neglect crucial real-world characteristics, thus making themuseless for small package shippers. Second, business processes for strategic decision making are not well-structured in mostSPS companies and significant cost savings could be generated by an IT-based support infrastructure integrating decisionmaking and planning across the mutually dependent layers of strategic, tactical and operational planning. We present anintegrated planning framework that combines an intelligent data analysis tool, which identifies delivery patterns and changesin customer demand, with location and route planning tools. Our planning approaches extend standard Location Routing andVehicle Routing models by crucial, practically relevant characteristics like the existence of subcontractors on both decisionlevels and the implicit consideration of driver familiarity in route planning.
Stenger, Andreas; Schneider, Michael; and Wendt, Oliver, "Towards an IT-based Planning Process Alignment: Integrated Route and Location Planning for Small Package Shippers" (2011). AMCIS 2011 Proceedings - All Submissions. 378.