Journal of Intelligent Manufacturing

, Volume 29, Issue 5, pp 1097–1113 | Cite as

Intelligent information sharing among manufacturers in supply networks: supplier selection case

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Abstract

Decision making in highly distributed supply networks has become more complex in globally dynamic markets. Despite extensive previous work on supply network decisions, it is still necessary to develop advanced tools for selective collection, management, and sharing of relevant information. In this research, a new intelligent, distributed, and autonomous information sharing protocol is modelled and applied to analytically determine supplier information sharing among manufacturers. Information sharing with all manufacturers is neither sensible nor realistic, since it requires high communication/implementation costs and cannot guarantee a positive return to all parties. Our Intelligent Supplier Information Sharing (ISIS) protocol supports each manufacturer’s decision-making process on selective information sharing. It does so by analyzing the expected sharing benefit while estimating the value of other parties’ information. Through a negotiation process, the appropriate price for shared information that each manufacturer has to pay is also determined. Numerical examples illustrate the performance of the ISIS protocol. Compared to no sharing and complete sharing of information, selective sharing recommended by ISIS yields relatively higher profits. For the case analyzed, profit increase by ISIS is, on average, 15.5 % higher than with complete information sharing, and this advantage holds even under changing conditions.

Keywords

Collaboration Decision protocol Distributed network Selective sharing Sustainable supply network 

Notes

Acknowledgments

Support by the PRISM Center (Production, Robotics, and Integration Software for Manufacturing and Management) at Purdue University and by the Kimberly-Clark Corporation, Latin American Operations (LAO) is acknowledged. Also, this work was supported in part by the Hongik University new faculty research support fund.

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Copyright information

© Springer Science+Business Media New York 2015

Authors and Affiliations

  1. 1.Department of Industrial EngineeringHongik UniversitySeoulRepublic of Korea
  2. 2.PRISM Center and School of Industrial EngineeringPurdue UniversityWest LafayetteUSA

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