A Mathematical Model for Supermarket Order Picking

Order picking consists in retrieving products from storage locations to satisfy independent orders from multiple customers. It is generally recognized as one of the most significant activities in a warehouse (Koster et al, Eur J Oper Res 182(2):481–501, 2007). In fact, order picking accounts up to 50 % (Frazelle, World-class warehousing and material handling. McGraw-Hill, New York, 2001) or even 80 % (Van den Berg, IIE Trans 31(8):751–762, 1999) of the total warehouse operating costs. The critical issue in today’s business environment is to simultaneously reduce the cost and increase the speed of order picking. In this paper, we address the order picking process in one of the Portuguese largest companies in the grocery business. This problem was proposed at the 92nd European Study Group with Industry (ESGI92). In this setting, each operator steers a trolley on the shop floor in order to select items for multiple customers. The objective is to improve their grocery e-commerce and bring it up to the level of the best international practices. In particular, the company wants to improve the routing tasks in order to decrease distances. For this purpose, a mathematical model for a faster open shop picking was developed. In this paper, we describe the problem, our proposed solution as well as some preliminary results and conclusions.