Claims
- 1. A method of determining a winning allocation in an exchange comprising:
(a) specifying for an exchange at least one item; (b) receiving a bid from each of a plurality of bidders, with at least one bid placed on a quantity of the one item; (c) determining a first allocation that includes an award of the quantity of the one item to a first bid; (d) specifying an allocation modifier; (e) determining as a function of the allocation modifier a second allocation that includes an award of the quantity of the one item to a second bid; and (f) designating the first or second allocation as the winning allocation as a function of the award of the quantity of the one item in the second bid.
- 2. The method of claim 1, wherein the first and second bids are the same bid.
- 3. The method of claim 1, wherein the designation of the winning allocation in step (f) is made as a function of a difference in the number of bidders receiving an award in the first and second allocations.
- 4. The method of claim 1, wherein step (f) includes:
designating each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder; and notifying at least one potential winning bidder that acceptance of the allocation modifier will cause him to be included in the second allocation.
- 5. The method of claim 1, further including:
designating each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder; receiving each potential winning bidder's acceptance or rejection of the allocation modifier; responsive to at least one potential winning bidder rejecting the allocation modifier, designating the first allocation as a winning allocation for the exchange; and responsive to all the potential winning bidder's accepting the allocation modifier, designating the second allocation as the winning allocation for the exchange.
- 6. The method of claim 1, wherein the allocation modifier includes a change in at least one of:
a volume discount; a volume discount threshold; a number of winner bidders; an allocation value between the first and second allocations; a delivery date; credit terms; a property of an item; and a non-price bid property.
- 7. The method of claim 6, further including:
(g) when the allocation modifier includes the change in the allocation value and the second allocation has more winning bidders than the number of winning bidders of the first allocation, determining an aggregate administration cost associated with administering the additional number winning bidders in the second allocation; (h) offsetting the aggregate price of at least one winning bid in the second allocation as a function of the administration cost; and (i) designating the second allocation as a winning allocation for the exchange.
- 8. The method of claim 7, further including designating each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder, wherein step (h) includes:
determining a pro rata administration cost by dividing the aggregate administration cost by (1) the total number of potential winning bidders or (2) the total number of winning bidders in the second allocation; and offsetting the aggregate price of (1) each potential winning bidder's bid or (2) each winning bidder's bid in the second allocation by the pro rata administration cost.
- 9. The method of claim 1, wherein:
step (b) includes receiving from at least one of the plurality of bidders a bid modifier that is utilized in connection with the bids received from the one bidder; and step (c) includes determining the first allocation as a function of each received bid modifier.
- 10. The method of claim 9, wherein step (e) includes determining the second allocation as a function of the combination of each received bid modifier and the allocation modifier.
- 11. The method of claim 1, further including:
soliciting at least one potential winning bidder to accept the allocation modifier; and responsive to the at least one potential winning bidder accepting the allocation modifier, including the award to the at least one potential winning bidder in the winning allocation.
- 12. A computer readable medium having stored thereon instructions which, when executed by a processor, cause the processor to perform the steps of:
(a) receive an exchange specification that includes at least one item; (b) receive at least one bid from each of a plurality of bidders, with each bid placed on a quantity of at least one item, each bid further including at least one of (1) a per item price associated with each item of the bid, (2) a price for the associated quantity of each item of the bid and (3) an aggregate price for all of the items of the bid; (c) determine from the bids received in step (b) a first allocation of the items and their associated quantities; (d) receive an allocation modifier that imposes a condition on the allocation determination; (e) determine from the bids received in step (b) as a function of the allocation modifier a second allocation of the items and their associated quantities; and (f) designate the first or second allocation as a winning allocation as a function of at least one difference between the first and second allocations.
- 13. The method of claim 12, wherein the designation in step (f) is made as a function of a difference in the number of bidders receiving an award in the first and second allocations.
- 14. The method of claim 12, wherein the instructions cause the processor to
identify each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder, wherein each award includes at least one item for its associated quantity; and notify at least one potential winning bidder that acceptance of the allocation modifier will cause them to be included in the second allocation.
- 15. The method of claim 12, wherein the instructions cause the processor to perform the further steps of:
identify each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder, wherein each award includes at least one item for its associated quantity; receive each potential winning bidder's acceptance or rejection of the allocation modifier; designate the first allocation as a winning allocation for the exchange when at least one potential winning bidder rejects the allocation modifier; and designate the second allocation as the winning allocation for the exchange when each potential winning bidder accepts the allocation modifier.
- 16. The method of claim 12, wherein the allocation modifier includes a change in at least one of:
a volume discount; a volume discount threshold; a number of winner bidders; an allocation value between the first and second allocations; a delivery date; credit terms; a property of an item; and a non-price bid property.
- 17. The method of claim 16, wherein the instructions cause the processor to perform the further steps of:
(g) when the allocation modifier includes the change in the allocation value, determine if the second allocation has more winning bidders than the number of winning bidders of the first allocation; (h) determine an aggregate administration cost associated with administering the additional number of winning bidders in the second allocation; (i) offset the aggregate price of at least one winning bid in the second allocation as a function of the administration cost; and (j) designate the second allocation as the winning allocation for the exchange.
- 18. The method of claim 17, wherein:
the instructions cause the processor to perform the further step of identifying each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder, wherein each award includes at least one item for its associated quantity; and step (i) includes:
determining a pro rata administration cost by dividing the aggregate administration cost by (1) the total number of potential winning bidders or (2) the total number of winning bidders in the second allocation; and offsetting the aggregate price of (1) each potential winning bidder's bid or (2) each winning bidder's bid in the second allocation by the pro rata administration cost.
- 19. The method of claim 12, wherein:
step (b) includes receiving from at least one of the plurality of bidders a bid modifier that is utilized in connection with the bids received from the one bidder; and step (c) includes determining the first allocation as a function of each bid modifier.
- 20. The method of claim 19, wherein step (e) includes determining the second allocation as a function of the combination of each bid modifier and the allocation modifier.
- 21. An exchange winner determination method comprising:
(a) determining an exchange specification that includes a plurality of items; (b) receiving at least one bid from each of a plurality of bidders, with each bid including a quantity of at least one item and a price associated with one of (1) each item of the bid, (2) the associated quantity of each item of the bid and (3) all the items of the bid; (c) determining from the received bids a first allocation of at least some of the items and their associated quantities; (d) inputting an allocation modifier that imposes a condition on the allocation determination; (e) determining from the received bids as a function of the allocation modifier a second allocation of at least some of the items and their associated quantities; (f) designating the first or second allocation as a winning allocation as a function of at least one difference therebetween.
- 22. The method of claim 21, wherein the designation in step (f) is made as a function of a difference in the number of bidders receiving an award in the first and second allocations.
- 23. The method of claim 21, wherein the allocation modifier includes one of:
a volume discount; a volume discount threshold; a number of winner bidders; an allocation value between the first and second allocations; a delivery date; credit terms; a property of an item; and a non-price bid property.
- 24. The method of claim 21, further including:
designating each bidder receiving an award in the second allocation that is different than said bidder's award in the first allocation as a potential winning bidder, wherein each award includes a quantity of at least one item; notifying each potential winning bidder that acceptance of the allocation modifier by all potential winning bidders will cause them to be included in a winning allocation for the exchange; determining if each potential winning bidder accepts or rejects the allocation modifier; designating the first allocation as the winning allocation when at least one potential winning bidder rejects the allocation modifier; and designating the second allocation as the winning allocation when each potential winning bidder accepts the allocation modifier.
CROSS REFERENCE TO RELATED APPLICATION
[0001] This application is a continuation-in-part of U.S. patent application Ser. No. 10/254,241, filed Sep. 25, 2002.
Continuation in Parts (1)
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Number |
Date |
Country |
Parent |
10254241 |
Sep 2002 |
US |
Child |
10400285 |
Mar 2003 |
US |