Large-scale Optimization of Product Flows – LOPF

The international market of Rungis is one of the most sophisticated market places in the world from an operational perspective. Over a million different food products circulate through this incredible platform: 2.82 million tonnes of fresh produce pass through the market each year, close to of 9 billion euros in turnover. However, the market lags behind in technological terms and is struggling to digitalize itself.

This is the observation made by Califrais, (foodtech startup founded in 2014), which offers an innovative technological solution to optimize the flow of goods (in this case of fresh produce) with end-to-end control of the value chain and tailor-made IT tools. (Sourcing, product expertise, logistics and inventory management.)

The service was initially aimed at HoReCa professionals, and in 2020 was extended to include all retail customers (Foodufrais) offering them an access to the high quality fresh produce straight from the market of Rungis. In order to guarantee an exceptional level of service while supporting strong growth, Califrais uses the latest breakthroughs in artificial intelligence (AI) and big data.3

Whether it is logistics or customer relationship management, recent techniques resulting from these cutting-edge technologies tailored to the peculiarities of the functioning of the market of Rungis will indeed gradually revolutionize the level of service, as we know it today. On one hand, by offering personalized recommendation and management strategies for customers on the platform, and also by optimizing all the internal operational processes of wholesellers on the other hand. The objective being to reduce spoilage and food waste, while reducing the overall purchasing costs for the customer.

The modeling of complex flows of large-scale foodstuffs (changes in product prices, demand, etc.) will make it possible to optimize the wholesalers inventory, and thus help them anticipate demand and limit waste. It will optimize last mile logistics, considerably reducing Parisian traffic from Rungis; and also bring about predictive decision support systems and intelligent customer service.

The Laboratory of Probability, Statistics and Modeling (LPSM) and Califrais have decided to join forces within the framework of LabCom LOPF (Large-scale Optimization of Product Flows) to answer these questions, which fit perfectly into the research themes of the “Statistics, data, algorithms” team. The LPSM is in fact particularly suitable since it covers, all cutting-edge themes involving statistics, while opening up to the cross-cutting challenges posed by digital technology, such as intensive computing or machine learning.

The scientific issue of LabCom is to bring the technological developments initiated by Califrais to the scale of market of Rungis by 2023. The main objective is to develop innovation and applied research activity in the field of: optimization of the flow of large-scale fresh products, taking into account all the operational constraints specific to the market (supply chain, sell-by-date of products, multi-site storage, etc.). The modeling challenges are technically ambitious but realistic. The dynamism of the Califrais in the field of innovation, as well as its unique expertise in the subject, coupled with the recognized excellence in theoretical and applied research of the LPSM will make it possible to provide concrete and rapidly operational solutions.