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E-Fulfillment and Multi-Channel Distribution a Review
Niels Agatz Erasmus University Rotterdam (EUR) - Rotterdam School of Management (RSM) Moritz Fleischmann RSM Erasmus University - Department of Decision and Information Sciences; Erasmus University Rotterdam (EUR) - Erasmus Research Institute of Management (ERIM) J.A.E.E. Van Nunen Erasmus University Rotterdam (EUR) - Rotterdam School of Management (RSM); Erasmus Research Institute of Management (ERIM) - Joint Research Institute of Rotterdam School of Management (RSM) and Erasmus School of Economics (ESE), EUR 22 2006, 08 ERIM Report Series Reference No. ERS-2006-042-LIS Abstract: This review addresses the specific supply chain management issues of Internet fulfillment in a multi-channel environment. It provides a systematic overview of managerial planning tasks and reviews corresponding quantitative models. In this way, we aim to enhance the understanding of multi-channel e-fulfillment and to identify gaps between relevant managerial issues and academic literature, thereby indicating directions for future research. One of the recurrent patterns in todays e-commerce operations is the combination of bricks-and-clicks, the integration of e-fulfillment into a portfolio of multiple alternative distribution channels. From a supply chain management perspective, multi-channel distribution provides opportunities for serving different customer segments, creating synergies, and exploiting economies of scale. However, in order to successfully exploit these opportunities companies need to master novel challenges. In particular, the design of a multi-channel distribution system requires a constant trade-off between process integration and separation across multiple channels. In addition, sales and operations decisions are ever more tightly intertwined as delivery and after-sales services are becoming key components of the product offering.
Keywords: Distribution, E-fulfillment, Online Retailing, Literature Review JEL Classifications: M, M11, R4, L81 Working Paper SeriesDate posted: December 23, 2006 ; Last revised: February 23, 2007Suggested CitationContact Information
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