Mechanisms for Automated Negotiation in State Oriented Domains

This paper lays part of the groundwork for a domain theory of negotiation, that is, a way of classifying interactions so that it is clear, given a domain, which negotiation mechanisms and strategies are appropriate. We define State Oriented Domains, a general category of interaction. Necessary and sufficient conditions for cooperation are outlined. We use the notion of worth in an altered definition of utility, thus enabling agreements in a wider class of joint-goal reachable situations. An approach is offered for conflict resolution, and it is shown that even in a conflict situation, partial cooperative steps can be taken by interacting agents (that is, agents in fundamental conflict might still agree to cooperate up to a certain point). A Unified Negotiation Protocol (UNP) is developed that can be used in all types of encounters. It is shown that in certain borderline cooperative situations, a partial cooperative agreement (i.e., one that does not achieve all agents' goals) might be preferred by all agents, even though there exists a rational agreement that would achieve all their goals. Finally, we analyze cases where agents have incomplete information on the goals and worth of other agents. First we consider the case where agents' goals are private information, and we analyze what goal declaration strategies the agents might adopt to increase their utility. Then, we consider the situation where the agents' goals (and therefore stand-alone costs) are common knowledge, but the worth they attach to their goals is private information. We introduce two mechanisms, one 'strict', the other 'tolerant', and analyze their affects on the stability and efficiency of negotiation outcomes.Comment: See http://www.jair.org/ for any accompanying file

Braiding: the Interaction of Formal and Informal Contracting in Theory, Practice, and Doctrine

This Article studies the relationship between formal and informal con tract enforcement The theoretical literature treats the two strategies as separate phenomena. By contrast, a rich experimental literature considers whether the introduction of formal contracting and state enforcement "crowds out" the operation of informal contracting. Both literatures focus too narrowly on how formal contracts create incentives for parties to perform substantive actions, while assuming that informal enforcement depends on preexisting levels of trust. As a result, current scholarship misses the relationship between formal and informal contract mechanisms that characterizes contemporary contracting in practice. Parties respond to ?sing uncertainty by writing contracts that intertwine formal and informal mechanisms?what we call "braiding"?in a way that allows each to assess the disposition and capacity of the other to respond cooperatively and effectively to unforeseen circumstances. These parties agree on formal contracts for exchanging information about the progress and prospects of their joint activities, and it is this information sharing regime that "braids" the formal and informal elements of the contract and endogenizes trust. We argue that the low-powered enforcement associated with the formal governance structure in these braided contracts complements rather than crowds out the informal mechanisms that rely on increasing levels of trust. We examine the braiding phenomenon in a variety of contexts characterized by increasing uncertainty. In each instance, courts appear to have harnessed the braiding phenomenon by using low-powered sanctions to protect formal contractual "preliminaries." This technique allows potential collaborators to explore and develop their relations, but it does not impose mutually enforceable obligations to pursue a particular project. Despite the wisdom of temperate enforcement of braided contracts, however, courts that emphasize the contemporary duty to negotiate in good faith are often tempted to expand the legal sanction. We conclude by explaining how courts can best support the braiding strategies that are critical to the success of an integrated regime of formal and informal contracting

Applications of Blockchain for the Governance of Integrated Project Delivery: A Crypto Commons Approach

This paper outlines why and how blockchain can digitally support and evolve the governance of collaborative project deliveries, such as integrated project deliveries (IPDs), to provide the foundation for novel and disruptive forms of organizational collaboration in the construction industry. Previous work has conceptualized IPDs as a common pool resource (CPR) scenario, where shared resources are collectively governed. Through the use of blockchain and smart contracts for trustworthy peer-to-peer transactions and execution logic, Ostrom's design principles can be digitally encoded to scale CPR scenarios. Building on the identified connections, the paper 1) synthesizes fourteen blockchain-based mechanisms to govern CPRs, 2) identifies twenty-two applications of these mechanisms to govern IPDs, and 3) introduces a conceptualization of the above relationships towards a holistic understanding of collaborative project deliveries on the crypto commons for novel collective organization of construction project delivery between both humans and machines

Factors shaping the evolution of electronic documentation systems

The main goal is to prepare the space station technical and managerial structure for likely changes in the creation, capture, transfer, and utilization of knowledge. By anticipating advances, the design of Space Station Project (SSP) information systems can be tailored to facilitate a progression of increasingly sophisticated strategies as the space station evolves. Future generations of advanced information systems will use increases in power to deliver environmentally meaningful, contextually targeted, interconnected data (knowledge). The concept of a Knowledge Base Management System is emerging when the problem is focused on how information systems can perform such a conversion of raw data. Such a system would include traditional management functions for large space databases. Added artificial intelligence features might encompass co-existing knowledge representation schemes; effective control structures for deductive, plausible, and inductive reasoning; means for knowledge acquisition, refinement, and validation; explanation facilities; and dynamic human intervention. The major areas covered include: alternative knowledge representation approaches; advanced user interface capabilities; computer-supported cooperative work; the evolution of information system hardware; standardization, compatibility, and connectivity; and organizational impacts of information intensive environments

A Comprehensive Insight into Game Theory in relevance to Cyber Security

The progressively ubiquitous connectivity in the present information systems pose newer challenges tosecurity. The conventional security mechanisms have come a long way in securing the well-definedobjectives of confidentiality, integrity, authenticity and availability. Nevertheless, with the growth in thesystem complexities and attack sophistication, providing security via traditional means can beunaffordable. A novel theoretical perspective and an innovative approach are thus required forunderstanding security from decision-making and strategic viewpoint. One of the analytical tools whichmay assist the researchers in designing security protocols for computer networks is game theory. Thegame-theoretic concept finds extensive applications in security at different levels, including thecyberspace and is generally categorized under security games. It can be utilized as a robust mathematicaltool for modelling and analyzing contemporary security issues. Game theory offers a natural frameworkfor capturing the defensive as well as adversarial interactions between the defenders and the attackers.Furthermore, defenders can attain a deep understanding of the potential attack threats and the strategiesof attackers by equilibrium evaluation of the security games. In this paper, the concept of game theoryhas been presented, followed by game-theoretic applications in cybersecurity including cryptography.Different types of games, particularly those focused on securing the cyberspace, have been analysed andvaried game-theoretic methodologies including mechanism design theories have been outlined foroffering a modern foundation of the science of cybersecurity

Contracting for innovation : vertical disintegration and interfirm collaboration

Rapidly innovating industries are not behaving the way theory expects. Conventional industrial organization theory predicts that, when parties in a supply chain have to make transaction-specific investments, the risk of opportunism will drive them away from contracts and toward vertical integration. Despite the conventional theory, however, contemporary practice is moving in the other direction. Instead of vertical integration, we observe vertical disintegration in a significant number of industries, as producers recognize that they cannot themselves maintain cutting-edge technology in every field required for the success of their products. In doing this, the parties are developing forms of contracting beyond the reach of contract theory models. In this Article, we connect the emerging contract practice to theory, learning from what has happened in the real world to frame a theoretical explanation of this cross-organizational innovation and to reconceptualize the boundaries of the firm accordingly. We argue that the vertical disintegration of the supply chain in many industries is mediated neither by fully specified technical interfaces that allow suppliers to produce a modular piece of the ultimate product, nor by entirely implicit relational contracts supported only by norms of reciprocity and the expectation of future dealings. Rather, we suggest that the change in the boundary of the firm has given rise to a new form of contracting between firms -- what we call "contracting for innovation." This pattern braids explicit and implicit contracting to support iterative collaborative innovation by raising switching costs. These costs, represented by the parties' parallel transaction-specific investments in knowledge about their collaborators' capacities, deter opportunism under circumstances where explicit contracting, renegotiation, and the anticipation of future dealings cannot