Lean distribution and route optimization in the largest Mexico¿s retailer

© 2019 IISE Annual Conference and Expo 2019. All rights reserved.The present work describes a study to improve the logistics operations of the largest Mexican retailer, includes improvement actions that lead to optimized operations and efficient routing operations in the country. The study goal was to obtain proposals for routing improvement in view of attaining a reduction in CO2 emissions, considering the last mile delivery operations in Monterrey, Mexico. The proposals were obtained through the collection and analysis of field data from delivery routes including deliveries to stores and to customers in local routes, which are those that have their first delivery within an hour from the distribution center. Furthermore, a field study was made on the loading area, where operation tracking and interviews with the managers and employees provide information to identify the non-value added activities, according to lean distribution and lean operations scopes. The results show the relevance of route sequencing and effective operations for the efficiency of the distribution center, to reduce fuel consumption and delivery times. Additionally, attacking several non-added value activities found create a better work environment, generates better results and improves the overall logistic performance.

Lean distribution and route optimization in the largest Mexico¿s retailer Academic Article in Scopus