The primary function of any enterprise is to sell its products and/or skills profitably. This aim, compounded by the economic necessity, is often achieved by collaborating with other enterprises. Therefore, manufacturing systems can no longer be seen in isolation; they must be seen in the context of the total business and the associated key linkages of the business: back through the supplier chain and forward into the distribution and customer chain. In reality these chains often take the forms of enterprise networks. There can be almost infinite variations to the range and scope of collaborations within an enterprise network. This paper discusses some recent developments in the nature of bilateral enterprise collaborations and the resulting emergence of new manufacturing paradigms. It attempts to identify the key types of collaborations (supply chain, extended enterprise and virtual enterprise) and analyses their essential attributes and operational characteristics.
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Jagdev et al. (2001) studied this question.
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