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Publications

Publications by Pedro Amorim

2023

Collaborative Network Model to Reduce Logistics Costs in a Competition Environment

Authors
Vazquez-Noguerol, M; Comesaña-Benavides, JA; Prado-Prado, JC; Amorim, P;

Publication
COLLABORATIVE NETWORKS IN DIGITALIZATION AND SOCIETY 5.0, PRO-VE 2023

Abstract
In the current competition environment, transportation costs continue to rise, causing a reduction in the profit margins of companies. There are several tools in the literature to support the planning of logistics activities, but individualised solutions are not yet effective. In this study, a linear programming model is proposed to jointly plan the demand fulfilment of two competing companies by encouraging the search for synergies that enhance collaboration in the use of existing resources. To demonstrate the validity of the proposed mode, a case study is carried out and the results obtained with the initiation of the collaboration are evaluated. In conclusion, the proposed model reduces the logistics costs by up to 13%, as well as decreases the carbon footprint by 37%. By focusing on optimising economic and environmental aspects, this approach serves as a guide for companies to promote collaborations and to facilitate decision making at a managerial level.

2023

Using Supplier Networks to Handle Returns in Online Marketplaces

Authors
Pinto, C; Figueira, G; Amorim, P;

Publication
OPERATIONAL RESEARCH, IO 2022-OR

Abstract
To encourage customers to take a chance in finding the right product, retailers and marketplaces implement benevolent return policies that allow users to return items for free without a specific reason. These policies contribute to a high rate of returns, which result in high shipping costs for the retailer and a high environmental toll on the planet. This paper shows that these negative impacts can be significantly minimized if inventory is exchanged within the supplier network of marketplaces upon a return. We compare the performance of this proposal to the standard policy where items are always sent to the original supplier. Our results show that our proposal-returning to a closer supplier and using a predictive heuristic for fulfilment-can achieve a 16% cost reduction compared to the standard-returning to the original supplier and using a myopic rule for fulfilment.

2023

How E-Commerce Companies Can Reduce Returns

Authors
Amorim, P; Calvo, E; Wagner, L;

Publication
MIT SLOAN MANAGEMENT REVIEW

Abstract
[No abstract available]

2024

Transport collaboration network among competitors to improve supply chain antifragility

Authors
Vazquez Noguerol, M; Comesaña Benavides, JA; Prado Prado, JC; Amorim, P;

Publication
EUROPEAN JOURNAL OF INNOVATION MANAGEMENT

Abstract
PurposeDisruptions are appearing more frequently and having an ever greater impact on supply chains (SC), affecting the vulnerability and sustainability of organisations. Our study proposes an innovative approach to address contemporary challenges by introducing coopetition as a strategic capability. The aim of this study is to enable companies to adapt and thrive by applying a tool that measures and monitors different logistical scenarios to improve performance and antifragility.Design/methodology/approachWith the aim of jointly planning transport activities of two competing companies, we present a linear programming model that promotes synergies which enhance resource utilisation. To demonstrate the validity of the model, a case study is conducted to measure, monitor and evaluate the results obtained after collaborating on SC activities.FindingsCurrent tools to support logistics planning are not effective because they hamper information exchange, cost allocation and performance measurements. Our innovative model optimises collaborative networks (CNs) and monitors economic, environmental and social improvements. The case study shows the reduction of logistics costs (13%), carbon footprint (37%) and the improvement of social antifragility when agility and flexibility emerge.Originality/valueCNs have become an effective means of enhancing resilience, but there are no empirical contributions to demonstrate how to achieve this. We provide a real case with computational experiments that provide empirical evidence of the effectiveness of the model, which measures, optimises and evaluates SC performance in coopetitive environments. This approach is a guide to researchers and practitioners when creating simulations to reduce risks and facilitate decision-making.

2024

Impacts of Brazilian Green Coffee Production and Its Logistical Corridors on the International Coffee Market

Authors
Correia, PFD; dos Reis, JGM; Amorim, PS; Costa, JSD; da Silva, MT;

Publication
LOGISTICS-BASEL

Abstract
Background: The coffee industry is one of the most important world supply chains, with an estimated consumption of two billion cups daily, making it the most consumed beverage worldwide. Coffee beans are primarily grown in tropical countries, with Brazil accounting for almost 50% of the production. The objective of this study is to examine the Brazilian trade between 2018 and 2022, focusing on state producers, logistical corridors, and importer countries. Methods: The methodology approach revolves around a quantitative method using Social Network Analysis measures. Results: The results reveal a massive concentration in local production (99.5%-Minas Gerais), port movements (99.9%-Santos, Itaguai, and Rio de Janeiro), and country buyers (80.9%-the United States, United Kingdon, and Japan). Conclusions: The study concludes that the Brazilian green coffee supply chain relies on a fragile and overloaded logistical network. Due to that, this study indicates that the stakeholders and decision-makers involved must consider this high concentration of production in some areas and companies. They must also address the bottlenecks in logistical corridors and the fierce competition involved in acquiring and processing Brazilian coffee production because these factors can drastically affect the revenue of the companies operating in this sector.

2025

Learning from the aggregated optimum: Managing port wine inventory in the face of climate risks

Authors
Pahr, A; Grunow, M; Amorim, P;

Publication
EUROPEAN JOURNAL OF OPERATIONAL RESEARCH

Abstract
Port wine stocks ameliorate during storage, facilitating product differentiation according to age. This induces a trade-off between immediate revenues and further maturation. Varying climate conditions in the limited supply region lead to stochastic purchase prices for wine grapes. Decision makers must integrate recurring purchasing, production, and issuance decisions. Because stocks from different age classes can be blended to create final products, the solution space increases exponentially in the number of age classes. We model the problem of managing port wine inventory as a Markov decision process, considering decay as an additional source of uncertainty. For small problems, we derive general management strategies from the long-run behavior of the optimal policy. Our solution approach for otherwise intractable large problems, therefore, first aggregates age classes to create a tractable problem representation. We then use machine learning to train tree-based decision rules that reproduce the optimal aggregated policy and the enclosed management strategies. The derived rules are scaled back to solve the original problem. Learning from the aggregated optimum outperforms benchmark rules by 21.4% in annual profits (while leaving a 2.8%-gap to an upper bound). For an industry case, we obtain a 17.4%-improvement over current practices. Our research provides distinct strategies for how producers can mitigate climate risks. The purchasing policy dynamically adapts to climate-dependent price fluctuations. Uncertainties are met with lower production of younger products, whereas strategic surpluses of older stocks ensure high production of older products. Moreover, a wide spread in the age classes used for blending reduces decay risk exposure.

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