Planning in concert: A logistics platform for production networks

Abstract

In this paper the authors consider supply planning in a production network as a distributed effort for matching future demand and supply by relying on asymmetric and partly uncertain information. Even though decisions are made autonomously and locally, partners should act in a concerted way. For approaching the two main conflicting goals of a high service level and low overall costs throughout the network, there is a need for a specific coordination media for managing the intentions and interactions of the partners. Starting from the design principles, the authors describe a logistics platform that provides a complex service for communicating and evaluating all relevant information that may influence the operation of supply channels. A particular interest is in coordinating a focal supply network that produces customised mass products. The implementation technologies of the system are outlined together with the first lessons of the deployed application.

Keywords:

• production networks
• planning
• coordination
• cooperation

Acknowledgements

This work was supported by OTKA No. T73376 and OMFB No. 01638/2009 grants, as well as by the FP6 project AC/DC No. 031520.