Fulfillment scheduling for buy‐online‐pickup‐in‐store orders

Abstract One of the most popular ways shopping in an omnichannel retailing environment is buy‐online‐pickup‐in‐store (BOPS). Retailers often promise BOPS shoppers short in‐store pickup ready times. We study fulfillment scheduling decisions orders destined for a single store retailer. There are two options orders: they can be either processed at center (FC) and delivered to or without needing delivery. types trucks available deliver fulfilled FC: prescheduled that already committed replenishing inventory have some spare capacity utilized, additional hired from third‐party logistics providers. fixed cost using each truck; truck lower than truck. If order store, it incurs processing time, whereas time negligible if FC. The problem determine where fulfill (FC vs. store), how assign FC delivery, schedule processing, so as minimize total cost, including delivery incurred by FC, fulfilling rest subject constraint its promised time. consider various cases clarifying their computational complexity, developing optimal algorithms heuristics, analyzing theoretical performance heuristics. also conduct experiments validate effectiveness proposed heuristics both static dynamic settings derive important insights about presence option impact decisions.