MOTI: A Distributed Decision Framework Integrating Manufacturing Planning and Multiple Supply Chain Management

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9634808 Wu In order to remain competitive, many companies must increase product variety at the same time that they decrease product volumes. As product lines proliferate, these companies often struggle to plan production and manage complicated supply chains across multiple production facilities and product lines. This research involves the development of integrated production planning and supply chain management functions in such an environment. The investigators will develop an analytical framework for production planning with multiple supply chains, each with its own unique dynamic. Rather than decoupling supply chains, this research investigates methods of integrating decisions along and across multiple supply chains. Trade-offs between centralized and decentralized (distributed) decision-making, resource consolidation and capacity management are considered. Using economic techniques such as market auction theory and game theory, it will provide a basis for distributed decision-support, with the requisite information transfer between supply chains and production facilities. The investigators will work closely with a large automotive firm and a major electronics company to ensure that the research is responsive to industry's needs. Supply chain management is a pressing concern in industries that, by virtue of their complex product lines and introduction of new technologies, have layers of suppliers. Moreover, the push to lower inventories in most manufacturing concerns makes supply chain management even more critical. This research should have high potential for better capital management, material planning, and customer service, and thus improved competitiveness, especially in certain critical industries, such as automotive and electronics.