Electronic Commerce Negotiation in a Supply Chain via Constraint Evaluation

Negotiation is of critical importance in e-commerce applications where the supply chain is dynamic and reconfiguring. In this research supply chain negotiation problems are addressed as constraint-satisfaction problems. In general each negotiation is handled in the largest scope possible to avoid the suboptimality that can result from many local solutions. This global approach, however, must be balanced with time constraints that apply in e-commerce supply chain execution. In this paper, we describe a new approach for e-commerce supply chain negotiation via constraint evaluation. As well, results from prototype software, distributed across the internet, are discussed. Beyond the general formulation, we describe a more particular problem of kitted demand where a collection of purchased items must be acquired within the same time horizon. To address slow convergence a time-based penalty function is proposed