Development of Generalized Distribution Utility Index in Consumer-Driven Logistics

Abstract

In the current conditions of sharp change in demand and instability of markets, there is a need to develop a method and evaluation criterion that would meet the sustainable scenario of a supplying goods system including the consumer-driven concept. The analysis of goods distribution methods showed that to assess the integrated efficiency between the supply system and its end-consumers, it is advisable to apply integrated criterion efficiency—generalized distribution utility. The developed indicator takes into account the profit of the distribution channel (or its participants) and the generalized costs of end users during shopping activity. Based on the proposed indicator, the feasibility of using vehicle capacity is substantiated, which provides the maximum generalized distribution costs value and corresponds to the optimal sustainable distribution in consumer-driven logistics.