Negotiation Automation Platform
2.1 TARGET DOMAINS FOR NAP
In this article , we focus on the manufacturing and logistics industries , where enhancing supply chain efficiency is imperative . We present an overview of daily inter-company coordination examples within these industries , illustrating the areas in which NAP can contribute to efficiency improvement ( Figure 2-1 ). In Section 5 Case Studies we report the results of applying NAP to some of these scenarios .
2.1.1 MANUFACTURING
The fundamental operation of the manufacturing industry involves procuring materials and parts from suppliers , carrying out production , and selling the finished products to customers . Throughout this procurement and sales process , there is a need to coordinate trading conditions with counterparties especially when issues occur in manufacturing , such as sudden cancellations , difficulties in obtaining parts , delivery delays , and price increases due to part shortages .
Current Issue Difficulty Stakeholders
Daily activities : Procuring materials and parts
Daily activities : Selling the products
Sudden large order
Some parts run short
Some components may delay delivery
Coordination of procurements occurs daily or sometimes in shorter term requires human resources .
Coordination of selling and delivery occurs daily or sometimes in shorter term requires human resources .
All parts / components , production lines and workers shall be prepared .
It is difficult to find which and how many parts run short . Finding and negotiating with a new supplier is also difficult .
Specifying and evaluating delays is difficult . Negotiation with multiple suppliers is also difficult .
Company Supplier ( s )
Company Customer ( s )
Company Customer Supplier ( s )
Company Supplier ( s )
Supplier ( s )
Parts price may suddenly increase
Price negotiation is usually a burden .
Table 2-1 : Manufacturing negotiation examples .
Company Supplier ( s )
Traditionally , such coordination tasks are carried out by humans , leading to concerns regarding the required human resources and the speed and accuracy of the operations . NAP can streamline these coordination tasks and enhance efficiency , as shown in Figure 2-2 .
Journal of Innovation 57