Which future path to pick? A contingency approach to omnichannel warehouse configuration

Joakim Hans Kembro, Andreas Norrman
2020 International Journal of Physical Distribution & Logistics Management  
PurposeRecent studies have highlighted the importance of adopting a contingency approach to configuring omnichannel warehouses. Nonetheless, research on how various contextual factors influence the selection of warehouse configuration is scarce. This study fills this knowledge gap by exploring how and why certain configurations fit in different omnichannel contexts.Design/methodology/approachA case study is conducted with six leading Swedish omnichannel retailers. Focusing on outbound warehouse
more » ... configurations, data are collected through interviews, on-site observations, and secondary sources. A multistep analysis is made, including both pattern matching and explanation building.FindingsThe qualitative analysis reveals 16 contextual factors, of which assortment range, requested online order fulfillment times, goods size and total transactions are the most influential. The study shows how contextual factors create different challenges, thereby influencing the choice of the configurations. In addition to market dynamics and task complexity, the study describes four categories of the factors and related challenges that are particularly important in omnichannels: speed, space, economies of scale and tied-up capital.Research limitations/implicationsThe findings highlight the importance of understanding context and imply that multiple challenges may require trade-offs when selecting configurations, for example, regarding what storage, processes and resources to integrate or separate. To confirm, extend, challenge and further operationalize the ideas and observations put forward in this paper, an agenda with future research issues is given for this accelerating, contemporary phenomenon.Practical implicationsManagers could leverage the frameworks proposed for the contextual profiling of their current and future positions. The frameworks provide support for understanding the important challenges and potential trade-offs and developing aligned configurations.Originality/valueThis study is original in the way it provides in-depth, case study findings about contextual factors and their influence on omnichannel warehouse configuration.
doi:10.1108/ijpdlm-08-2019-0264 fatcat:3tyaxz753fb7lg64r66ptalg6q