Last‐mile supply chain efficiency: an analysis of learning curves in online ordering

Purpose – As companies extend supply chains via direct delivery to consumers, supply chain efficiency depends upon the usability of the online ordering system. The purpose of this paper is to focus on customer order cycle efficiency gains through the “learnability” of web sites.Design/methodology/approach – The paper analyzes empirical data using nonlinear regression from seven firms and over 4,000 customers to examine how order time – an important performance metric – changes within an online grocery ordering environment.Findings – The evidence supports various forms of power‐law learning for web‐based ordering (i.e. the first few orders involve substantial learning). However, significant differences exist between web sites, and a portion of the ordering time may be irreducible.Research limitations/implications – The research lends insight into how web sites influence last‐mile supply chain efficiency via differing learning rates in the order cycle. Perceptual measures were used in order to assess custom...

[1]  E. McKinney,et al.  Extending the Technology Acceptance Model and the Task-Technology Fit Model to Consumer E-Commerce , 2004 .

[2]  Kannan Srinivasan,et al.  Modeling Online Browsing and Path Analysis Using Clickstream Data , 2004 .

[3]  Izak Benbasat,et al.  An Empirical Study of Computer System Learning: Comparison of Co-Discovery and Self-Discovery Methods , 1997, Inf. Syst. Res..

[4]  D. P. van Donk,et al.  Challenges in relating supply chain management and information and communication technology: An introduction , 2008 .

[5]  Mihai Nadin.  Interface design and evaluation—Semiotic implications , 1988 .

[6]  Tom Carey,et al.  ACM SIGCHI Curricula for Human-Computer Interaction , 1992 .

[7]  Gerald Häubl,et al.  A human capital perspective of skill acquisition and interface loyalty , 2003, CACM.

[8]  Allen Newell,et al.  The Prospects for Psychological Science in Human-Computer Interaction , 1985, Hum. Comput. Interact..

[9]  Kenneth K. Boyer,et al.  Customer behavioral intentions for online purchases: An examination of fulfillment method and customer experience level , 2006 .

[10]  Fred D. Davis,et al.  User Acceptance of Computer Technology: A Comparison of Two Theoretical Models , 1989 .

[11]  Kenneth L. Kraemer,et al.  Refining and Extending the Business Model with Information Technology: Dell Computer Corporation , 1999, Inf. Soc..

[12]  Olav Sorenson,et al.  Interdependence and Adaptability: Organizational Learning and the Long - Term Effect of Integration , 2003, Manag. Sci..

[13]  M. Csíkszentmihályi,et al.  Beyond Boredom and Anxiety: The Experience of Play in Work and Games. , 1977 .

[14]  Steven Pace,et al.  A grounded theory of the flow experiences of Web users , 2004, Int. J. Hum. Comput. Stud..

[15]  E. McKinney,et al.  Extending the Technology Acceptance Model Extending the Technology Acceptance Model and the Task and the Task-Technology Fit Model to Technology Fit Model to Consumer E Consumer E- -Commerce Commerce , 2004 .

[16]  Kenneth K. Boyer,et al.  Extending the Supply Chain: How Cutting-Edge Companies Bridge the Critical Last Mile into Customers' Homes , 2004 .

[17]  Robert Schulz,et al.  Can computer-aided instruction accommodate all learners equally? , 1999, Br. J. Educ. Technol..

[18]  T. P. Wright,et al.  Factors affecting the cost of airplanes , 1936 .

[19]  B Shackel,et al.  Man-computer interaction--the contribution of the human sciences. , 1969, Ergonomics.

[20]  Andreas Holzinger,et al.  Designing Web-Applications for Mobile Computers: Experiences with Applications to Medicine , 2004, User Interfaces for All.

[21]  J R Anderson,et al.  Retrieval of information from long-term memory. , 1983, Science.

[22]  G. Foxall,et al.  In-store Customer Behaviour in the Fashion Sector: Some Emerging Methodological and Theoretical Directions , 2003 .

[23]  Peter G. Polson,et al.  Theory-Based Design for Easily Learned Interfaces , 1990, Hum. Comput. Interact..

[24]  Tonya Boone,et al.  The effect of information technology on learning in professional service organizations , 2001 .

[25]  R. Leach.  The learning curve , 1992 .

[26]  David A. Nembhard,et al.  An individual-based description of learning within an organization , 2000, IEEE Trans. Engineering Management.

[27]  V. Mitchell,et al.  An exploratory study of grocery shopping stressors , 1998 .

[28]  Brian Shackel,et al.  Ergonomics in design for usability , 1986 .

[29]  D A Mitta,et al.  Improving interface quality: an investigation of human-computer interaction task learning. , 1995, Ergonomics.

[30]  B. Cude,et al.  Consumer response to online grocery shopping , 2000 .

[31]  Shlomo Globerson,et al.  Incorporating Forgetting into Learning Curves , 1987 .

[32]  James D. Hollan,et al.  Strategic directions in human-computer interaction , 1996, CSUR.

[33]  J. Holmström,et al.  Solving the last mile issue: reception box or delivery box? , 2001 .

[34]  Wendy W. Moe,et al.  Uncovering Patterns in Cybershopping , 2001 .

[35]  D. Lambert,et al.  Strategic Logistics Management , 1987 .

[36]  Richard Anderson-Sprecher,et al.  Model Comparisons and R 2 , 1994 .

[37]  Peter S. Fader,et al.  Dynamic Conversion Behavior at E-Commerce Sites , 2004, Manag. Sci..

[38]  Kim B. Clark,et al.  Behind the learning curve: a sketch of the learning process , 1991 .

[39]  William Fellner,et al.  Specific interpretations of learning by doing , 1969 .

[40]  David A. Griffith,et al.  The Role of Interface in Electronic Commerce: Consumer Involvement with Print Versus On-Line Catalogs , 2001, Int. J. Electron. Commer..

[41]  David Travis.  E-Commerce Usability: Tools and Techniques to Perfect the On-Line Experience , 2002 .

[42]  J. R. De Jong,et al.  THE EFFECTS OF INCREASING SKILL ON CYCLE TIME AND ITS CONSEQUENCES FOR TIME STANDARDS , 1957 .

[43]  Richard T. Vidgen,et al.  An Evaluation of Cyber-Bookshops: The WebQual Method , 2001, Int. J. Electron. Commer..

[44]  Thomas J. Palmeri,et al.  Theories of automaticity and the power law of practice. , 1999 .

[45]  Jakob Nielsen,et al.  Usability engineering , 1997, The Computer Science and Engineering Handbook.

[46]  Louis E. Yelle.  THE LEARNING CURVE: HISTORICAL REVIEW AND COMPREHENSIVE SURVEY , 1979 .

[47]  Donna L. Hoffman,et al.  Measuring the Customer Experience in Online Environments: A Structural Modeling Approach , 2000 .

[48]  John R. Anderson.  Acquisition of cognitive skill. , 1982 .

[49]  Gerald L. Lohse,et al.  Cognitive Lock-In and the Power Law of Practice , 2003 .

[50]  Ahmed Belkaoui.  The Learning Curve: A Management Accounting Tool , 1986 .

[51]  Dennis L. Hoffman,et al.  Marketing in Hypermedia Computer-Mediated Environments : Conceptual Foundations 1 ) , 1998 .

[52]  Daniel C. Smith,et al.  The effects of situational factors on in-store grocery shopping behavior: The role of store environment and time available for shopping. , 1989 .

[53]  G. S. Snoddy.  Learning and stability: a psychophysiological analysis of a case of motor learning with clinical applications. , 1926 .

[54]  Clayton Lewis,et al.  Theory-based design for easily learned interfaces , 1990 .

[55]  M. J. R. Healy,et al.  The use of R2 as a measure of goodness of fit , 1984 .

[56]  Allen and Rosenbloom Paul S. Newell,et al.  Mechanisms of Skill Acquisition and the Law of Practice , 1993 .

[57]  Denis Royston Towill,et al.  The Use of Learning Curve Models for Prediction of Batch Production Performance , 1985 .

[58]  David A. Ratkowsky,et al.  Handbook of nonlinear regression models , 1990 .