Lesson

Delivery robots offer cheap last mile delivery options compared to drones and self-driving cars, while drones offer improved access to remote and hard-to-reach locations.

Stanford Business School forecasts future applications of autonomous delivery technologies.


June 2016
United States


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Lesson Learned


DELIVERY DRONES

Advantages:
  • Fast / flexible delivery
  • Environmentally friendly
  • Can reach remote / hard-to-reach locations more cheaply
  • Can bypass crowded / poor roads.
Disadvantages:
  • Strict regulatory restricts
  • Safety and privacy issues
  • Capacity limitations
  • Delivery distance limitations
  • Remaining technological challenges.

DELIVERY ROBOTS

Advantages:
  • Fast / cheap / flexible delivery
  • Environmentally friendly
  • Fewer safety and privacy issues compared with drones
  • Higher capacity compared with drones.
Limitations:
  • Delivery distance and speed limitations
  • Cannot operate in crowded areas
  • Theft issues
  • Limited ability to overcome obstacles in their way.

AUTONOMOUS (SELF-DRIVING) CARS

Advantages:
  • Fast / flexible delivery
  • Low operating cost
  • Environmentally friendly
  • Cost-efficient to reach remote locations.
Limitations:
  • Strict regulatory restrictions
  • High cost of driverless vehicles
  • Many technological challenges still exist.


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Source

Technological Disruption and Innovation in Last-Mile Delivery

Author: Stanford Business Graduate School

Published By: Stanford University

Source Date: June 2016

URL: https://www.gsb.stanford.edu/sites/gsb/files/publication-pdf/vcii-publication-technological-disruption-innovation-last-mile-delivery.pdf

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Lesson Analyst:

Aaron Sessions


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United States

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Lesson ID: 2020-00960