Abstract
Trends of globalization and advances in Information Technology (IT) have created opportunity in collaborative manufacturing across national borders. A dynamic supply chain configuration is more adaptable by project based manufacturing environment. This research proposes a three echelons dynamic supply chain model where a MRP based manufacturer represents the center node being focused that will autonomously negotiates contracts with downstream client and upstream suppliers. Furthermore a method is proposed to distribute delay penalties of previously contracted jobs to multiple new orders being negotiated simultaneously.
