Setting Deadlines in Order Fulfillment Systems

What is it about?

Amazon's famous promise, "Want it tomorrow? Order in the next 4 hours 23 minutes," implies an internal deadline for the order fulfillment center to process the order. How does a firm know how long this will take, especially when orders are released to the floor in waves? This paper gives insight into the solution.

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Why is it important?

As competition increases among e-commerce retailers, we believe firms will compete with latest cut-off times for premium service. This paper shows how a distributor should set cut-off times and release work when orders are released in waves.