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A Workload-Balancing Order Dispatch Scheme for O2O Food Delivery with Order Splitting Choice

Ke Wang,Yulin Zhou,Lingzhen Zhang

Published 2022 in Journal of Theoretical and Applied Electronic Commerce Research

ABSTRACT

Online-to-offline (O2O) food delivery service refers to an emerging modern business model that enables customers to order foods from local restaurants via an online platform, and then receive and enjoy them offline after the delivery, offered by couriers. Such service, discussed in this article, specifies that a customer can order from multiple restaurants in a single order and choose for them to be delivered together or separately, whereas the commonly discussed mode only permits placing an order in one restaurant at once. In this service, one crucial issue is how to dispatch these orders to couriers for offline delivery. For this, we propose a new three-stage order dispatch scheme, namely, pseudo-assign first, re-route second, and courier selection last, aiming to deliver the orders in time and balance the couriers’ workload. Due to the dynamism and uncertainty inherently involved in this issue, we also take responsiveness to future demands and robustness into consideration when making the dispatch. Compared with existing approaches, the new one significantly balances the couriers’ workload and, meanwhile, keeps good performance in delay rate, making the decisions more practical. Furthermore, this study analyzes the influence of customers’ preference for order splitting and number of couriers on the efficiency of the distribution system, thereby interesting managerial insights for O2O food delivery are revealed.

PUBLICATION RECORD

  • Publication year

    2022

  • Venue

    Journal of Theoretical and Applied Electronic Commerce Research

  • Publication date

    2022-02-09

  • Fields of study

    Business, Computer Science

  • Identifiers
    DOI 10.3390/jtaer17010015
  • External record

    Open on Semantic Scholar

  • Source metadata

    Semantic Scholar

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