A multi-agent architecture for multi-product supplier selection in consideration of the synergy between products

Supplier selection is an important task in purchasing. The performance of a supply chain depends on the selection of the right suppliers to provide the right materials or services at the right price and right time. Most of the research on supplier evaluation and selection assumes that products are procured independently. However, in reality, it is common for a purchasing company to procure a bundle of products together. In this regard, synergy could exist between products and hence affect the final choice of suppliers. It is therefore necessary for the purchasing company to incorporate the synergy between products in supplier selection. This paper presents a multi-agent system (MAS) architecture for multi-product supplier selection in consideration of the synergy between products. A three-phase supplier selection model is proposed to support multi-product procurement in consideration of the synergy between products. The three phases are, namely, product synergy determination phase, supplier pre-selection phase and negotiation-based final selection phase. The MAS is equipped with various types of autonomous function agents and different agent interaction protocols to effect the functioning of this three-phase multi-product supplier selection model.