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Abstract
Omnichannel services (like buying online and pick up instore or shipping from store) create an environment where the instore logistical processes required for a successful store operation have increased in number and complexity. Classical warehouse tasks, once done by shoppers while shopping, are now shifted to the stores and have to be fulfilled in a challenging environment to meet customer service requirements. To face these challenges, new logistical process designs and new store layouts are necessary. Because of the uncertain retail environment and complex interactions, new strategies or adjustments are commonly evaluated via simulation. Yet, missing are general guidelines or architecture approaches for modelling and simulating logistical tasks in a retail setting. In this paper, we first review different state of the art instore logistical processes like order fulfilment and replenishment. We discuss the influence of an inventory sharing omnichannel setting and point out differences to a classical warehouse setting. This knowledge will be used to generate a conceptual framework for a modular simulation modelling architecture based on the former review. Special parts of this architecture, like the task processing logic, graph-based routing, and layout modelling will be presented and discussed in terms of modularity. To show the capabilities of the framework, a case study presenting a human and robotic operated omnichannel store will be shown as a proof of concept. The paper ends with an outlook of where the new model framework could create benefits and a discussion of follow on research to do so.
Keywords
Simulation, Agent Based, Retail, Instore Logistics, Omnichannel
1. Introduction
Delivering omnichannel services that provide a seamless customer experience is a significant challenge the entire retail sector is currently facing. The Covid-19 pandemic and new market players have only accelerated an already ongoing evolution that is forcing retailers to rethink their business strategies. For brick-and-mortar retailers, the integration and adaptation of their existing store network is crucial. This has led to a trend where stores, particularly in the grocery sector, are increasingly shifting from traditional brick-and-mortar to buy-online-pick-up-instore (BOPIS) concepts [1]. Stores are seen as an existing infrastructure that enables retailers to offer competitive delivery services [6].
To meet customer needs, retail stores must offer customer-oriented and flexible services such as online purchase and instore pickup or...