Implementing Delivery Drones in Logistics Business Process: Case of Pharmaceutical Industry
In this paper, we will present a research about feasibility of implementing unmanned aerial vehicles, also known as 'drones', in logistics. Research is based on available information about current incentives and experiments in application of delivery drones in commercial use. Overview of current pilot projects and literature, as well as an overview of detected challenges, will be compiled and presented. Based on these findings, we will present a conceptual model of business process that implements delivery drones in business to business logistic operations. Business scenario is based on a pharmaceutical supply chain. Simulation modeling will be used to create models for running experiments and collecting performance data. Comparative study of the presented conceptual model will be given. The work will outline the main advantages and disadvantages of implementing unmanned aerial vehicles in delivery services as a supplementary distribution channel along the supply chain.
[1] M. Christopher, Logistics & Supply Chain Management, Prentice Hall Financial Times, New Jersey, 2011.
[2] T. H. Davenport, Process Innovation: Reengineering work through Information Technology, Harvard Business School Press, Boston, 1993.
[3] M. Laguna, J. Marklund, Business Process Modeling, Simulation, and Design, Prentice Hall, New Jersey, 2005.
[4] B. Y. Lee, L. A. Haidari, W. Prosser, D. L. Connor, R. Bechtel, A. Dipuve, H. Kassim, B. Khanlawia, S. T. Brown. “Re-designing the Mozambique vaccine supply chain to improve access to vaccines” Vaccine, vol. 34, no. 41, 2016, pp. 4998-5004.
[5] J. Mayfield, M. Mayfield, "Developing your organization with models and simulations", Development and Learning in Organizations: An International Journal, Vol. 27 Iss 5 pp. 11 – 14, 2013.
[6] K. McCormack, C. W. Johnson, Business Process Orientation – Gaining the E-Business Competitive Advantage, St. Lucie Press, 2001.
[7] B. Movahedi, K. Miri-Lavassani, U. Kumar, "Operational excellence through business process orientation", The TQM Journal, Vol. 28 Iss 3, 2016, pp. 467 - 495.
[8] PwC, Clarety from above: PwC global report on the commercial applications of drone technology, May 2016.
[9] T. Roeser, E.-M. Kern, "Surveys in business process management – a literature review", Business Process Management Journal, Vol. 21 Iss 3, 2015, pp. 692 – 718.
[10] A. F. Seila, V. Ceric, and P. Tadikamalla, Applied Simulation Modeling, Thomson Learning, Southbank, Australia, 2003.
[11] Simul8, Simulation software for supply chain and logistics, Simul8 Corporation, 2016, URL: http://www.simul8.com/supply_logistics/
[12] K. Storbacka, “A solution business model: capabilities and management practices for integrated solutions”, Industrial Marketing Management, Vol. 40 No. 5, 2011, pp. 699-711.
[13] N. Vlahovic, V. Ceric, “An Overview of Multi-Agent Simulation In Organizations”, Encyclopedia of Information Science and Technology, 3rd edition, M. Khosrow-Pour, Ed. Hershey, USA: IGI Global, 2015, pp. 1221-1229.
[14] N. Vlahovic, B. Knezevic, M. Sabolic, “Overview of Recent IT Tehnologies in Retail Supply Chains”, Recent Advances on Business, Economics and Development, J. Strouhal, Ed., Budapest, Hungary: WSEAS Press, 2015, pp. 31-38.
[15] C. Windahl, "Understanding solutions as technology-driven business innovations", Journal of Business & Industrial Marketing, Vol. 30 Iss ¾, 2015, pp. 378 - 393.
[16] K. Brenauw, “Drones: The Emerging Era Of Unmanned Civil Aviation”, Collected Papers Of Zagreb Law Faculty, Vol. 66, No. 2-3, Faculty of Law University of Zagreb, 2016., pp. 223-248.
[1] M. Christopher, Logistics & Supply Chain Management, Prentice Hall Financial Times, New Jersey, 2011.
[2] T. H. Davenport, Process Innovation: Reengineering work through Information Technology, Harvard Business School Press, Boston, 1993.
[3] M. Laguna, J. Marklund, Business Process Modeling, Simulation, and Design, Prentice Hall, New Jersey, 2005.
[4] B. Y. Lee, L. A. Haidari, W. Prosser, D. L. Connor, R. Bechtel, A. Dipuve, H. Kassim, B. Khanlawia, S. T. Brown. “Re-designing the Mozambique vaccine supply chain to improve access to vaccines” Vaccine, vol. 34, no. 41, 2016, pp. 4998-5004.
[5] J. Mayfield, M. Mayfield, "Developing your organization with models and simulations", Development and Learning in Organizations: An International Journal, Vol. 27 Iss 5 pp. 11 – 14, 2013.
[6] K. McCormack, C. W. Johnson, Business Process Orientation – Gaining the E-Business Competitive Advantage, St. Lucie Press, 2001.
[7] B. Movahedi, K. Miri-Lavassani, U. Kumar, "Operational excellence through business process orientation", The TQM Journal, Vol. 28 Iss 3, 2016, pp. 467 - 495.
[8] PwC, Clarety from above: PwC global report on the commercial applications of drone technology, May 2016.
[9] T. Roeser, E.-M. Kern, "Surveys in business process management – a literature review", Business Process Management Journal, Vol. 21 Iss 3, 2015, pp. 692 – 718.
[10] A. F. Seila, V. Ceric, and P. Tadikamalla, Applied Simulation Modeling, Thomson Learning, Southbank, Australia, 2003.
[11] Simul8, Simulation software for supply chain and logistics, Simul8 Corporation, 2016, URL: http://www.simul8.com/supply_logistics/
[12] K. Storbacka, “A solution business model: capabilities and management practices for integrated solutions”, Industrial Marketing Management, Vol. 40 No. 5, 2011, pp. 699-711.
[13] N. Vlahovic, V. Ceric, “An Overview of Multi-Agent Simulation In Organizations”, Encyclopedia of Information Science and Technology, 3rd edition, M. Khosrow-Pour, Ed. Hershey, USA: IGI Global, 2015, pp. 1221-1229.
[14] N. Vlahovic, B. Knezevic, M. Sabolic, “Overview of Recent IT Tehnologies in Retail Supply Chains”, Recent Advances on Business, Economics and Development, J. Strouhal, Ed., Budapest, Hungary: WSEAS Press, 2015, pp. 31-38.
[15] C. Windahl, "Understanding solutions as technology-driven business innovations", Journal of Business & Industrial Marketing, Vol. 30 Iss ¾, 2015, pp. 378 - 393.
[16] K. Brenauw, “Drones: The Emerging Era Of Unmanned Civil Aviation”, Collected Papers Of Zagreb Law Faculty, Vol. 66, No. 2-3, Faculty of Law University of Zagreb, 2016., pp. 223-248.
@article{"International Journal of Business, Human and Social Sciences:75164", author = "Nikola Vlahovic and Blazenka Knezevic and Petra Batalic", title = "Implementing Delivery Drones in Logistics Business Process: Case of Pharmaceutical Industry", abstract = "In this paper, we will present a research about feasibility of implementing unmanned aerial vehicles, also known as 'drones', in logistics. Research is based on available information about current incentives and experiments in application of delivery drones in commercial use. Overview of current pilot projects and literature, as well as an overview of detected challenges, will be compiled and presented. Based on these findings, we will present a conceptual model of business process that implements delivery drones in business to business logistic operations. Business scenario is based on a pharmaceutical supply chain. Simulation modeling will be used to create models for running experiments and collecting performance data. Comparative study of the presented conceptual model will be given. The work will outline the main advantages and disadvantages of implementing unmanned aerial vehicles in delivery services as a supplementary distribution channel along the supply chain.
", keywords = "Business process, delivery drones, logistics, simulation modelling, unmanned aerial vehicles. ", volume = "10", number = "12", pages = "4026-6", }
