Virtual supply chain re-intermediation through multi-agent systems

Abstract

Intelligent agent technology offers good potential to integrate supply chain processes and other business-to-business exchanges more closely than current Web technologies and without the rigid inflexibility associated with EDI applications. Viewing respective procurement and order fulfillment processes of buyer and seller as an integrated whole along the supply chain, we identify opportunities for virtual supply chain re-intermediation through multi- agent systems. Using a proof-concept agent federation, called the Intelligent Mall, we examine the feasibility and performance implications of this approach for a software supply chain. A long-lived, autonomous agent federation is observed performing delegated supply chain tasks as prescribed and in an intelligent, context-sensitive and policy-conforming manner. The kind of agent-integrated supply chain investigated through this work appears to be inherently scalable yet customizable to the level of a specific individual in the organization. This approach to supply chain re-intermediation also appears to generalize well to a wide variety of corporations, universities and other enterprise forms, and the intelligent mall examined in this report appears to offer good potential for improved process performance. This report summarizes exploratory results from experience with the Intelligent Mall and outlines a number of lessons learned and guidelines for implementing multi-agent systems. The conclusions drawn from this investigation are important for executives and managers considering leading adoption of agent technology, and the research agenda is intended to help guide and stimulate continued work along these lines.