Quick-commerce focuses on delivering products quickly and efficiently to customers; typically, within hours or minutes from the order placement. In this study, we develop an analytical model to evaluate the performance of the quick-commerce order fulfillment system. Our model estimates the mean and variance of order fulfillment time while considering stochasticity in order fulfillment processes, which is validated using real-world data. The study helps managers decide on the cost-optimal operational decisions to achieve the desired service quality. We also provide a tool for the manager to analyze the trade-off between the fulfillment cost, delivery time, and delivery reliability.
Co-Authors: Debjit Roy, Rene de Koster, and Vishal Bansal
Journal: European Journal of Operational Research
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