A Hybrid Data-Driven Approach for Optimizing Last-Mile Logistics in an Electrical Products Company Using K-Means Clustering and the Clarke-Wright Savings Algorithm
Authors
Graduate School / College of Engineering / Management Engineering Program Adamson University, Manila, Philippines (Philippines)
Graduate School / College of Engineering / Management Engineering Program Adamson University, Manila, Philippines (Philippines)
Graduate School / College of Engineering / Management Engineering Program Adamson University, Manila, Philippines (Philippines)
Article Information
DOI: 10.47772/IJRISS.2026.100600393
Subject Category: Engineering & Technology
Volume/Issue: 10/6 | Page No: 5645-5654
Publication Timeline
Submitted: 2026-05-31
Accepted: 2026-06-05
Published: 2026-06-25
Abstract
Managing last-mile delivery presents significant challenges when customer locations are widely dispersed, route demand fluctuates across dispatch days, and planning relies on historical route groupings. This study introduces a hybrid, data-driven decision-support framework designed to enhance last-mile delivery planning for an electrical products company. The baseline system was evaluated using 2025 delivery records and operational indicators, including distance per trip, cost per drop, backload rate, loaded volume, drops per trip, trip duration, and truck utilization. Pareto analysis identified recurring backload categories that impeded delivery completion. The proposed framework integrates K-Means clustering with the Clarke-Wright Savings Algorithm. K-Means assigned 1,573 customer delivery points to five geographically coherent service clusters based on coordinate proximity. Within each cluster, the Clarke-Wright algorithm established preliminary route groups by prioritizing customer pairings with greater distance savings. Route outputs were validated against operational constraints, such as a 4-CBM capacity threshold, route continuity, loop prevention, a practical stop-count range of 17 to 22 drops, and flexible merging rules for low-density groups. The framework produced 79 preliminary route groups, all of which satisfied the 4-CBM capacity constraint, while 69 groups (87.34%) met the practical stop-count range. Simulation-based comparisons demonstrated distance reductions ranging from 37.77% to 77.59% across comparable clusters. A controlled-cost simulation for 4W deliveries indicated that the optimized route structure could reduce estimated distance-related fuel costs and decrease the cost per drop from PHP 132.45 to PHP 114.03 under constant-cost assumptions. These findings support the framework as a practical reference for route planning, pending pilot validation using road-network distance, traffic conditions, unloading time, customer receiving conditions, and actual dispatch records.
Keywords
Last-mile logistics, route optimization, K-Means clustering, Clarke-Wright Savings Algorithm, delivery cost per drop
Downloads
References
1. Boysen, N., Fedtke, S., & Schwerdfeger, S. (2021). Last-mile delivery concepts: A survey from an operational research perspective. OR Spectrum, 43, 1-58. https://doi.org/10.1007/s00291-020-00607-8 [Google Scholar] [Crossref]
2. Braysy, O., & Gendreau, M. (2005). Vehicle routing problem with time windows, part I: Route construction and local search algorithms. Transportation Science, 39(1), 104-118. https://doi.org/10.1287/trsc.1030.0056 [Google Scholar] [Crossref]
3. Clarke, G., & Wright, J. W. (1964). Scheduling of vehicles from a central depot to a number of delivery points. Operations Research, 12(4), 568-581. https://doi.org/10.1287/opre.12.4.568 [Google Scholar] [Crossref]
4. Dantzig, G. B., & Ramser, J. H. (1959). The truck dispatching problem. Management Science, 6(1), 80-91. https://doi.org/10.1287/mnsc.6.1.80 [Google Scholar] [Crossref]
5. Gevaers, R., Van de Voorde, E., & Vanelslander, T. (2014). Cost modelling and simulation of last-mile characteristics in an innovative B2C supply chain environment with implications on urban areas and cities. Procedia - Social and Behavioral Sciences, 125, 398-411. https://doi.org/10.1016/j.sbspro.2014.01.1483 [Google Scholar] [Crossref]
6. Hartigan, J. A., & Wong, M. A. (1979). A K-means clustering algorithm. Applied Statistics, 28(1), 100-108. https://doi.org/10.2307/2346830 [Google Scholar] [Crossref]
7. Laporte, G. (1992). The vehicle routing problem: An overview of exact and approximate algorithms. European Journal of Operational Research, 59(3), 345-358. https://doi.org/10.1016/0377-2217(92)90192-C [Google Scholar] [Crossref]
8. Lloyd, S. (1982). Least squares quantization in PCM. IEEE Transactions on Information Theory, 28(2), 129-137. https://doi.org/10.1109/TIT.1982.1056489 [Google Scholar] [Crossref]
9. MacQueen, J. (1967). Some methods for classification and analysis of multivariate observations. In Proceedings of the Fifth Berkeley Symposium on Mathematical Statistics and Probability (Vol. 1, pp. 281-297). [Google Scholar] [Crossref]
10. Savelsbergh, M., & Van Woensel, T. (2016). City logistics: Challenges and opportunities. Transportation Science, 50(2), 579-590. https://doi.org/10.1287/trsc.2016.0675 [Google Scholar] [Crossref]
11. Solomon, M. M. (1987). Algorithms for the vehicle routing and scheduling problems with time window constraints. Operations Research, 35(2), 254-265. https://doi.org/10.1287/opre.35.2.254 [Google Scholar] [Crossref]
12. Toth, P., & Vigo, D. (2014). Vehicle routing: Problems, methods, and applications (2nd ed.). SIAM [Google Scholar] [Crossref]
Metrics
Views & Downloads
Similar Articles
- The Impact Of UI/UX Design on User Trust and Task Completion in Civic Tech Platforms
- Solar Cell Photovoltaic Model Shell Sp 75
- Development of an Intelligent Traffic Management System to Address Visibility Obstruction at Urban Intersections: A Case Study of Ibadan Metropolis
- Optimum Placement of Facts Devices on an Interconnected Power Systems Using Particle Swarm Optimisation Technique
- Assessing Construction Transformation and Implication on Future Production Flow System