From traditional warehouses to Physical Internet hubs: A digital twin-based inbound synchronization framework for PI-order management

Leung, Eric KH ORCID: 0000-0003-2058-0287, Lee, Carmen Kar Hang and Ouyang, Zhiyuan (2022) From traditional warehouses to Physical Internet hubs: A digital twin-based inbound synchronization framework for PI-order management. INTERNATIONAL JOURNAL OF PRODUCTION ECONOMICS, 244. p. 108353.

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Official URL: http://dx.doi.org/10.1016/j.ijpe.2021.108353

Abstract

Physical Internet (PI) is a new concept to ensure global mobility of physical objects. Conventionally, logistics networks are closed and independent. Under the concept of PI, they are transformed into an open logistics network, providing an efficient way to relocate physical goods to a given place in a short period of time. A hyperconnected city logistics system is conceptualized as the final segment of a PI-network. It uses regional and city hubs as the final leg of last-mile delivery. Inventory at PI-hubs has to be managed efficiently so as to maximize the benefits of PI. This paper proposes a digital twin-based inbound synchronization framework to streamline the operations of a PI-hub in a hyperconnected city logistics system. Digital twins and Internet of Things technologies are proposed for data acquisition and virtualization of real conditions of physical objects, followed by machine learning-integrated models to optimize a joint order fulfillment and replenishment operation in the PI-hubs. Adopting the proposed framework can formulate a Total Inbound Synchronization at three levels: order synchronization, process synchronization and information synchronization. Simulation results show a significant reduction of traveling distance in PI-hubs if the interdependent order fulfillment and replenishment operations are considered as a joint operation. In addition, this paper provides practical implications for logistics service providers to manage information flows within a PI-network driven by digital twins.

Item Type:	Article
Uncontrolled Keywords:	Hyperconnected city logistics, Physical internet, Synchronization, Joint order fulfillment and replenishment, Digital twins, Internet of things
Divisions:	Faculty of Humanities and Social Sciences > School of Management
Depositing User:	Symplectic Admin
Date Deposited:	10 Nov 2021 12:18
Last Modified:	10 May 2023 01:30
DOI:	10.1016/j.ijpe.2021.108353
Related URLs:	Author Publisher
URI:	https://livrepository.liverpool.ac.uk/id/eprint/3143007