Improving productivity through computer integrated manufacturing systems (CIMS) and concurrent engineering requires that the islands of automation in an enterprise be completely integrated. The first step in this direction is to integrate design, process planning, and scheduling. This can be achieved through a bidding-based process planning approach. The product is represented in a STEP model with detailed design and administrative information including design specifications, batch size, and due dates. Upon arrival at the manufacturing facility, the product registered in the shop floor manager which is essentially a coordinating agent. The shop floor manager broadcasts the product's requirements to the machines. The shop contains autonomous machines that have knowledge about their functionality, capabilities, tooling, and schedule. Each machine has its own process planner and responds to the product's request in a different way that is consistent with its capabilities and capacities. When more than one machine offers certain process(es) for the same requirements, they enter into negotiation. Based on processing time, due date, and cost, one of the machines wins the contract. The successful machine updates its schedule and advises the product to request raw material for processing. The concept was implemented using a multi-agent system with the task decomposition and planning achieved through contract nets. The examples are included to illustrate the approach.