Method and system for creating marketplace visibility and administering freight shipments using fuzzy commodity transportation instruments

• US 20050021346A1
• Filed: 08/13/2001
• Published: 01/27/2005
• Est. Priority Date: 08/13/2000
• Status: Abandoned Application

• Current Assignee: Trantis LLC
• Original Assignee: Trantis LLC
• Inventors: Watson, Robert C., Nadan, Joseph S.
• Application Number:
  US10/344,450
• Publication Number:
  US 20050021346A1
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 10/08 Logistics, e.g. warehousing, loading or distribution; Inventory or stock management
• CPC Class Codes: G06Q 10/08345 Pricing
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A utility for creating a real-time bid-ask transportation marketplace where all relevant information may be viewed and acted upon is disclosed. See FIG. 2. Users of the present invention tender shipments and offer capacity, which are analyzed and entered into transportation instruments. Contracts obligate the shipper to make a load available and the carrier to transport the load at a given time for a given price. Shipments may be managed throughout their entire life cycle using software tools that interact with the bid-ask marketplace.

Claims

1. A method of brokering transportation transactions, comprising:

receiving into a staging area a plurality of dissimilar bids for shipping goods;

receiving into said staging area a plurality of dissimilar offers for transporting goods;

sorting and aggregating said shipping bids into a set of first fuzzy commodities;

sorting and aggregating said carrier offers into a set of second fuzzy commodities;

selecting matching sets of said first and second fuzzy commodities in said staging area to create transportation instruments; and

creating underlying contracts to support the trading of said transportation instruments.

2. The brokering method of claim 1, further comprising:

facilitating the administration of the underlying contracts by brokers or third party logistic providers.

3. The brokering method of claim 1, further comprises trading of said transportation instruments within spot, forward, shorthaul, series or derivative markets.

4. The brokering method of claim 1, wherein said trading step further comprises:

measuring the objective performance of shippers and carriers and using that information in selecting a trade.

5. The brokering method of claim 4, wherein said ratings are used anonymously.

6. The brokering method of claim 1, wherein said trading step further comprises:

evaluating the subjective performance of shippers and carriers and using that information in selecting a trade.

7. The brokering method of claim 6, wherein said ratings are used anonymously.

8. The brokering method of claim 1, further comprising:

maintaining said bids or offers to remain open in the market for a predetermined time period; and

automatically removing said bids or offers at the end of that time period.

9. The brokering method of claim 1, further comprising:

maintaining said contingent bids or contingent offers to be open across multiple modes, lanes or markets of transportation,

whereby upon first acceptance at a specific mode, lane or market;

removing the remaining contingent bids or contingent offers across all other modes, lanes and markets.

10. The brokering method of claim 1, further comprising:

removing open contingent bids or offers upon achieving an objective performance criterion.

11. The brokering method of claim 1, further comprising:

using a Prioritized Scheduled Push (PSP) for updating one or more links either when a client submits a request to the server or periodically without any direct request from the client.

12. The brokering method of claim 1, further comprising the offer of contingent capacity for a multi-leg or backhaul;

and coordinating said multi-leg or backhaul with said shipper(s) and carrier.

13. The brokering method of claim 10, wherein the booking of one leg causes the offer prices of remaining legs to be set to a different value.

14. The brokering method of claim 1, wherein multiple compatible partial loads are combined in booking an offered truck.

15. The brokering method of claim 1, further comprising:

importing and exporting groups of bids or offers from Comma Separated Variable files or equivalents into and from said staging area, thereby

allowing information from said staging area to be administered in a Comma Separated Variable file or spreadsheet format.

16. A method of matching a tendered shipment to offered conveyances, comprising:

receiving into a staging area a tendered shipment;

receiving into said staging area a plurality of dissimilar offers from carriers;

sorting said shipment into a first fuzzy commodity;

sorting and aggregating said carrier offers into a second fuzzy commodity;

selecting one or more offers from the matching sets of said first and second fuzzy commodities in said staging area based upon a set of objective and subjective criteria; and

creating an underlying contract to support said transport of the shipment.

17. A method of matching an offered conveyance to tendered shipments, comprising:

receiving into a staging area an offered conveyance;

receiving into said staging area a plurality of dissimilar tendered shipments;

sorting said offered conveyance into a first fuzzy commodity;

sorting and aggregating said tendered shipments into a second fuzzy commodity;

selecting one or more shipments from the matching sets of said first and second fuzzy commodities in said staging area based upon a set of objective and subjective criteria; and

creating an underlying contract to support said transport of the shipments.

18. A computer system for brokering a plurality of freight-shipments and carrier capacity, comprising:

marketplace means for establishing a bid-ask (offer) marketplace including shipper bids and carrier offers, wherein said bids and offers are measured by mode, market, and lane and optionally accessorial services.

19. The computer system of claim 18, further comprising:

display means for displaying a marketplace summary.

20. The computer system of claim 18, further comprising:

display means for displaying market details in a bid-ask marketplace.

21. The computer system of claim 18, further comprising:

display means for displaying most recent trades and trade volume

22. The computer system of claim 18, further comprising:

acceptance means for enabling a customer to indicate acceptance of bids or offers.

23. The computer system of claim 18, further comprising:

notification means for notifying one or more parties to a transaction.

24. The computer system of claim 18, further comprising:

tracking/tracing means for determining the current location of a specific freight shipment.

25. The computer system of claim 18, further comprising:

alert means for communicating fulfillment problems corresponding to a specific freight shipment.

26. The computer system of claim 18, further comprising:

administration means for mitigating fulfillment problems corresponding to a specific freight shipment.

27. The computer system of claim 18, further comprising:

trading of transportation within spot, forward, shorthaul, series or derivative markets.

28. The computer system of claim 18, further comprising:

maintaining said bids or offers to remain open in the market for a predetermined time period; and

automatically removing said bids or offers at the end of that time period.

29. The computer system of claim 18, further comprising:

maintaining said contingent bids or contingent offers to be open across multiple modes, lanes or markets of transportation,

whereby upon first acceptance at a specific mode, lane or market;

removing the remaining contingent bids or contingent offers across all other modes, lanes and markets.

30. The computer system of claim 18, further comprising:

removing open contingent bids or offers upon achieving an objective performance criterion.

31. The computer system of claim 18, further comprising:

using a Prioritized Scheduled Push (PSP) for updating one or more links either when a client submits a request to the server or periodically without any direct request from the client.

32. The computer system of claim 18, further comprising the offer of contingent capacity for a multi-leg or backhaul;

and coordinating said multi-leg or backhaul with said shipper(s) and carrier.

33. The computer system of claim 32, wherein the booking of one leg causes the offer prices of remaining legs to be set to a different value.

34. The computer system of claim 18, wherein multiple compatible partial loads are combined in booking an offered truck.

35. The computer system of claim 18, further comprising:

importing and exporting groups of bids or offers from Comma Separated Variable files or equivalents into and from said staging area, thereby

allowing information from said staging area to be administered in a Comma Separated Variable file or spreadsheet format.

36. The computer system of claim 18, further comprising a method of matching a tendered shipment to offered conveyances, comprising:

receiving into a staging area a tendered shipment;

receiving into said staging area a plurality of dissimilar offers for transporting goods;

sorting said shipment into a first fuzzy commodity;

sorting and aggregating said carrier offers into a second fuzzy commodity;

selecting one or more offers from the matching sets of said first and second fuzzy commodity in said staging area based upon a set of objective and subjective criteria; and

creating an underlying contract to support said transport of the shipment.

37. The computer system of claim 18, further comprising a method of matching an offered conveyance to tendered shipments, comprising:

receiving into a staging area an offered conveyance;

receiving into said staging area a plurality of dissimilar tendered shipments;

sorting said offered conveyance into a first fuzzy commodity;

sorting and aggregating said tendered shipments into a second fuzzy commodity;

selecting one or more shipments from the matching sets of said first and second fuzzy commodity in said staging area based upon a set of objective and subjective criteria; and

creating an underlying contract to support said transport of the shipments.

38. A computer system for trading transportation futures, comprising:

receiving into a staging area a plurality of dissimilar bids for shipping goods;

receiving into said staging area a plurality of dissimilar offers for transporting goods;

sorting said shipping bids into a set of first futures;

sorting and aggregating said carrier offers into a set of second futures;

selecting matching sets of said first and second futures in said staging area to create a bid-ask marketplace for transportation future instruments; and

creating underlying contracts to support the trading of said transportation future instruments.

39. A computer system for trading transportation options, comprising:

receiving into a staging area a plurality of dissimilar bids for options on shipping goods;

receiving into said staging area a plurality of dissimilar offers on options for transporting goods;

sorting said shipping bids into a set of first options;

sorting and aggregating said carrier offers into a set of second options;

selecting matching sets of said first and second options in said staging area to create a bid-ask marketplace for transportation option instruments; and

creating underlying contracts to support the trading of said transportation option instruments.

40. A computer system for trading transportation options on futures, comprising:

receiving into a staging area a plurality of dissimilar bids for options on futures for shipping goods;

receiving into said staging area a plurality of dissimilar offers on options on futures for transporting goods;

sorting said shipping bids into a set of first options on futures;

sorting and aggregating said carrier offers into a set of second options on futures;

selecting matching sets of said first and second options on futures in said staging area to create a bid-ask marketplace for transportation option on future instruments;

creating underlying contracts to support the trading of said option on futures transportation instruments, and

bi-directional communication links coupled said computer system to the futures and options computer systems to create price consistency and to facilitate inter-market trading to manage risk taken in a position resulting from a trade in either market.

41. A method of calculating a standardized transportation line haul rate per mile, comprising:

receiving into a staging area transportation data for a shipment;

calculating standardized route miles from the zip codes of all stops in transit including origin and final destination and allowable practical routes for the type of cargo transported;

calculating the line haul price from the total price less standardized charges for provided accessorials; and

calculating the standardized line haul rate per mile by dividing the line haul price by the standardized route miles.

42. A computer system for calculating historical market data on transportation, comprising:

means for receiving into a staging area a plurality of completed shipment transportation data, and;

software program to calculate the standardized line haul rate per mile for each completed shipment.

43. The computer system of claim 42, further comprising:

software program to sort and aggregate all shipments by lane, mode, market and date of shipment.

44. The computer system of claim 42, further comprising:

means for receiving into a staging area a plurality of shipment requests and offered capacity transportation data; and

software program to calculate the standardized line haul rate per mile for each tendered shipment or offered capacity.

45. The computer system of claim 42, further comprising:

means for requesting the display of data sorted by lane, mode, market and date(s) of shipment.

46. The computer system of claim 42, further comprising:

display means for displaying the requested data.

47. The computer system of claim 42, further comprising:

output means for transferring the data to another computer system for further use.