STRUCTURAL AND FUNCTIONAL DESIGN OF THE LOGISTICS SYSTEM OF A RETAIL ENTERPRISE

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Keywords

logistics system
retail trade
non-food products
logistics business processes
logistics infrastructure
logistics outsourcing
logistics network

How to Cite

Kobylinsky, O. (2026). STRUCTURAL AND FUNCTIONAL DESIGN OF THE LOGISTICS SYSTEM OF A RETAIL ENTERPRISE. Entrepreneurship and Trade, (50), 80-89. https://doi.org/10.32782/2522-1256-2026-50-8

Abstract

The article examines the theoretical and methodological foundations for the structural and functional design of the logistics system of a retail enterprise. It is substantiated that the traditional representation of a logistics system as a set of separate functional subsystems – procurement, transportation, warehousing, inventory, information and distribution – does not fully reflect the current organization of logistics activities in retail. The transformation of retail formats, the development of e-commerce, the expansion of logistics outsourcing, the integration of physical and digital customer interaction channels, as well as the spread of partnership-based fulfilment models require a transition from a simple functional list of elements to a systemic representation of the logistics architecture of a retail enterprise. The logistics system of a retail enterprise is defined as an integrated set of interconnected business processes, resources, infrastructure facilities, management mechanisms and network interactions organized to ensure the spatial and temporal movement of merchandise and related information, financial and service flows from suppliers to final consumers and in the reverse direction. An authorial approach to the structuring of the logistics system is proposed. According to this approach, its components are grouped into four interconnected blocks: functional-operational, infrastructure-resource, managerial-support and network blocks. The economic content of each block and the nature of the links between them are specified. It is argued that the composition of a logistics system should not be identified solely with the range of logistics operations performed internally by an enterprise. Outsourcing transportation, warehousing, fulfilment, last-mile delivery, information technologies or other logistics activities changes the organizational configuration and the boundaries of direct resource control but does not eliminate the corresponding processes from the enterprise logistics system. Therefore, the study proposes distinguishing between the functional completeness of a logistics system and the degree of internal localization of logistics operations. A logistics system may remain functionally complete even when a significant proportion of physical operations is carried out by external logistics service providers. The key determinants of the configuration of the logistics system of a retail enterprise are identified, including retail format, scale of operations, product specialization, geographical structure of the retail network, ratio of offline and online sales, degree of logistics outsourcing, customer service parameters and intensity of reverse flows. The proposed structural and functional approach provides a methodological basis for further development of methods for assessing the maturity, efficiency and adaptability of logistics systems in retail enterprises and for substantiating managerial decisions concerning the allocation of logistics functions between internal business units and external partners.

https://doi.org/10.32782/2522-1256-2026-50-8
PDF (Українська)

References

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