Publications / 2004 Proceedings of the 21st ISARC, Jeju, South Korea

Exploring the Money Left on Table for Construction Procurement Negotiation

Ren-Jye Dzeng

Most contractors negotiate with suppliers for their construction procurement according to negotiatorsÂ’ experiences instead of extensive exploration of negotiable options and negotiatorsÂ’ preferences. Consequently, negotiators often reach suboptimal agreements, and leave money on the table. This research developed an agentbased computer system that find optimal agreements using the genetic algorithm, compared the results with the actual contractual agreements, and determine the "money" left on the table in the traditional construction negotiation.

Keywords: intelligent agent, genetic algorithm, e-commerce, artificial intelligence, construction management