TITLE:
Box-Scheme Based Delivery System of Locally Produced Organic Food: Evaluation of Logistics Performance
AUTHORS:
T. Bosona, G. Gebresenbet, I. Nordmark, D. Ljungberg
KEYWORDS:
Sweden, Roslagslådan Network, Box-scheme, Locally Produced Organic Food, Route Analysis
JOURNAL NAME:
Journal of Service Science and Management,
Vol.4 No.3,
September
29,
2011
ABSTRACT: The local food systems such as fruit and vegetable box-schemes are gaining new profitable niche markets as the demand for local food is increasing. This paper presents the study made on box-scheme based local food supply system in Sweden, the Roslagslådan network, in which three distributors of locally produced organic food (LPOF) were the main actors. The objective of the study was to investigate the Roslagslådan LPOF supply network and evaluate its logistics performance. The study was based on literature review, interview, field measurement and route simulation and optimisation (in terms of route distance and driving time) analysis. The geographic information system (GIS) software was used to map the locations of the distributing companies and their delivery points (customer locations) while Route LogiX software was used for the simulation and optimisation analyses of routes for collection and distribution of LPOF, mainly vegetables and herb-based products. From the quantified information, the three companies distributed, on average about 134 boxes of LPOF to about 116 delivery points, once in two weeks period mainly during August-October. The distribution via Roslagslådan network was supplemented with other means of selling: on farm sale, open market sales and selling via supermarket. The route optimisation analysis resulted in significant savings in route distance and delivery time. The savings in distance were up to 76%, 23% and 32% for Company-1, Company-2 and Company-3 respectively while the corresponding savings in delivery time were up to 75%, 10% and 16%. This reduction in distance and time led to positive improvement toward the environmental and economical issues enhancing the sustainability of local food systems.