Combinatorial optimization and feasibility analysis of alternative distribution systems for last-mile delivery in non-urban areas in cooperation with Österreichische Post AG

The recent emerge of e-vehicles broadened the pool of potential vehicles to be used within commercial distribution systems bearing new opportunities for postal service providers. Based on a specific real-world case of Österreichische Post AG, this Master Thesis analyzes the suitability and feasibility of smaller electricity driven means of transport (e.g. e-scooters and e-bikes) to be used within alternative two-stage distribution systems for last-mile letter and parcel delivery in non-urban areas. Accordingly, the performance of two-stage distribution systems is contrasted with traditional systems in terms of costs using discrete scenario simulation techniques. The underlying problems are identified as the Capacitated Vehicle Routing Problem (CVRP) for one-stage systems and Multi Depot Capacitated Vehicle Routing Problem (MDCVRP) for two-stage systems. Besides distilling operational recommendations for the project partner, valuable findings concerning the feasibility of alternative two-stage distribution systems are obtained within the simulation of about a dozen distribution scenarios. Results revealed that two-stage systems have the potential to outperform traditional systems in some cases. While an increasing number of satellites tend to has a positive influence on the relative cost advantage of two-stage distribution systems, different locational placements of satellites do not show any significant impact. Furthermore, it is affirmed that delivery of parcels destroys value of two-stage distribution systems compared to sole letter delivery and lowers their advantageousness accordingly.