Applying case-based reasoning to multi-attribute e-purchasing decision
Gang Wu, Qiang Gong, Yuqiang Feng · 2005
This paper proposes a multi-round e-purchasing mode. The theory of procurement decision traditionally assumes that the offered quantity and quality is fixed prior to source selection. Multi-attribute procurement allows negotiation over price and other quantitative or qualitative attributes such as color, weight, or delivery time. It promises higher market efficiency that more effective information of buyer's preferences and supplier's offerings exchanges. It's focused that applying case-based reasoning from offers to winner determination in multi-attribute e-purchasing decision. Our contribution is fourfold: first, the winner determination problem is analyzed in case of multiple sourcing include new unfamiliar suppliers; second, the concept of multi-attribute procurement is extended to allow for configurable offers by suppliers following buyer's preference; third, buyer and suppliers may on-line learn preferences from each other in the e-purchasing process through case-based reasoning. Fourth, the models and decision algorithm are provided and illustrated with an example. These extensions provide buyer with more flexibility in the specification of their procurement request and allow for an efficient information exchange among participants, and finally, the buyer can enhance his profit.