Computers Play the Beer Game: Can Artificial Agents Manage Supply Chains?
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automated supply chains
beer game
bullwhip effect
genetic algorithms
Operations and Supply Chain Management
Technology and Innovation
Theory and Algorithms
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Abstract
We model an electronic supply chain managed by artificial agents. We investigate whether artificial agents do better than humans when playing the MIT Beer Game. Can the artificial agents discover good and effective business strategies in supply chains both in stationary and non-stationary environments? Can the artificial agents discover policies that mitigate the Bullwhip effect? In particular, we study the following questions: Can agents learn reasonably good policies in the face of deterministic demand with fixed lead time? Can agents cope reasonably well in the face of stochastic demand with stochastic lead time? Can agents learn and adapt in various contexts to play the game? Can agents cooperate across the supply chain?