​​Micro-Fulfilment Centres (MFCs) and Industry 5.0​

Abstract

​​This study presents a systematic literature review (SLR) on the application of Industry 5.0 principles to MFCs in urban logistics. Industry 5.0, characterised by human–machine collaboration, advanced automation, and sustainability-driven operations, offers a transformative framework to meet the growing demand for rapid, flexible, and environmentally responsible last-mile delivery. While MFCs are increasingly adopted for hyperlocal distribution, their alignment with Industry 5.0 remains underexplored. Using a structured methodology involving database searches, inclusion and exclusion criteria, and quality appraisal, this review synthesises both academic and industry studies to address three objectives: (1) to map current research on Industry 5.0 in MFC operations, (2) to identify technological and organisational benefits, and (3) to propose strategies for successful adoption. Findings indicate that full-scale Industry 5.0 integration in MFCs is still emerging. However, enabling technologies such as digital twins for operational planning, AI-driven pick location optimisation, and customer-participatory locker-based delivery show measurable benefits. These include faster fulfilment times, improved resource efficiency, reduced operational costs, and enhanced customer convenience. The review identifies five critical enablers for a successful transition: structured change management, phased implementation, targeted workforce reskilling, proactive customer engagement, and a post-launch hypercare phase to ensure operational stability. This study contributes to advancing the conceptual understanding of Industry 5.0 in reshaping hyperlocal fulfilment ecosystems and provides evidence-based recommendations for practitioners. Additionally, it identifies key research gaps, notably the need for longitudinal and cross-context studies on the socio-technical impacts of Industry 5.0-enabled MFCs in sustainable urban logistics.​