Negotiation Automation Platform
2 . A negotiation communication platform that manages negotiation messages and related information exchanged between companies .
3 . The company ' s information system is integrated with the negotiation AI , which can produce the necessary information for negotiations and process the results of the negotiations .
In the subsequent sections , we will elaborate on each of these components .
3.1 NEGOTIATION AI
Negotiation AI is an Automated Negotiation technology wherein AI carries out various coordination and negotiation tasks that are traditionally conducted by humans , aiming to automatically derive an optimal solution that satisfies both negotiating parties . In the NAP solution , each company possesses its Negotiation AI as an agent . The agreement formation process is executed through repeated message exchanges between these AI agents , involving a proposal of agreement terms and a response to whether the proposed terms are agreeable . Several negotiation protocols have been proposed , with one of the most fundamental being the " Alternate Offering " approach , in which parties make alternating proposals until they reach an agreement .
Implementing the previously mentioned use cases using Automated Negotiation technology can be based on an extended protocol that also includes option 3 above - declaration of cessation of negotiations . Here , negotiation AI agents negotiate with trading partners on behalf of the company , but instead of merely sending the counterparty an offer that is advantageous for the AI negotiator ' s owner company , the agent must make an offer that is also beneficial for the counterparty and can facilitate reaching an agreement .
This is because the counterparty can declare a cessation of negotiations , and once this is declared , the owner company will not be able to profit from this trade . Similarly , the agent must be cautious when deciding whether to agree to an offer , as the counterparty also has the option to declare a cessation of negotiations , preventing the owner company from profiting from the trade after that .
Negotiation AI technology has been actively researched and developed in recent years , with various algorithms proposed for generating offers and determining acceptance . 3 These algorithms operate by appropriately controlling and combining elements such as a utility function that represents the goodness of an offer for one ' s own company , an acceptance zone that indicates acceptable conditions for the company , and a model for estimating the counterparty ' s behavior and algorithm .
3 https :// link . springer . com / book / 10.1007 / 978-981-99-0561-4 Journal of Innovation 61