Scalable Enterprise Systems: Distributed and Collaborative Enterprise Decision Making in the Electronic Supply Chain

Lehigh University, Bethlehem PA

Investigators

Abstract

This research will examine distributed and collaborative decision paradigms for next generation enterprise systems. The goal for the project is to explore a scalable framework for enterprise decision-making through the development of distributed and collaborative transaction paradigms in the context of supply chain management. The main objectives of this research will be to: (1) develop fundamental theory for distributed enterprise transactions, (2) explore enterprise coordination issues in the context of electronic commerce and supply chain logistics, and (3) conduct field studies based on real-world industry applications. A main thesis of this research is that the synergy between e-commerce and supply-chain logistics forms an unprecedented area of innovation and discovery, which play a pivotal role in transforming the current economy. Building on solid theory and industry realities, the research in transaction paradigms and supply-chain coordination will be crucial links in this transformation. If successful, the result of this research will lead to simplify information management in the new electronic business environment. A basic paradigm in conventional Enterprise Resource Planning (ERP) system is one that seeks "total visibility" of system details in a top-down, hierarchical manner. This is accomplished by maintaining painfully detailed information of all perceivable aspects of the organization using sophisticated information and database management systems. This information must be kept up-to-date since it serves as a basis for decision making throughout the system. For large-scale operations involving multiple facilities or firms in a supply chain, the current approach encounters major difficulties in scaling up. The PI's will use a decentralized approach analogous to the operations of a free market: each decision entity makes locally autonomous decisions based on privately owned information, self-interest, and locally motivated preference/constraints. Centralized information management is drastically simplified to that of maintaining market fairness and stability. To be implemented in the context of electronic commerce, this new paradigm facilitates a universally agreed upon domain of electronic transactions and information exchange. The grant brings together a two-institution research team. The research will be conducted with participation from industry partners at Lehigh's Manufacturing Logistics Institute and Wharton's Fishman-Davison Center for Service and Operations Management