The most repeated formula for UDC in the typical medium size city is to have a fleet of about 5 small vehicles and a larger one for the heaviest deliveries. As an example Gerardin (2007) has recorded the following fleets for some French UDCs
1. In La Rochelle, 6 electric vehicles with capacity for 1,300 pounds and one 3.5t electric truck.
2. In Monaco, 6 small vans (including one electric) and a 7.5-ton truck.
3. In Paris (La Petite Reine), the fleet consists of 25 electric aided cargo-cycles. This is a particular case where the UDC only distributes parcels in a central neighborhood of the city.
From these examples it shows that one of the shared characteristics of UDC is that they been conceived to …show more content…
Reduction of order fulfilment time, more reliable lead-time and buffer between customer and production. This service can be provided by the potential use of stockholding, depending on the available capacity and storage condition for the product involved. This storage is usually short term and is used to provide a useful buffer stock that can be called off quickly when needed, thus reducing delivery lead times and improving product availability and customer service.
2. Inventory monitoring and information collection and analysis linked to in-store systems, can be provided. This service can help increase the visibility of the supply chain enabling the downstream flow of information, thereby reducing the occurrence of the bullwhip effect across the supply chain. This visibility can also lead to better availability and service levels as well as reducing loss of stock.
3. Product quality and quantity checking can be carried out upon the consignments’ arrival at the center, giving advance notice to the customer of any problems with the suppliers.
4. Added value logistics such as pre-retailing activities, involving consignment unpacking, preparation of products for display and price labelling, can also be carried out at the distribution center to reduce time and space requirement upon