Method and system for controlling the initiation and duration of overtime interval in electronic auctions

• US 20080133377A1
• Filed: 10/11/2007
• Published: 06/05/2008
• Est. Priority Date: 09/18/1998
• Status: Active Grant

• Current Assignee: Ariba Incorporated (SAP SE)
• Original Assignee: Ariba Incorporated (SAP SE)
• Inventors: Stevens, Robert G., Becker, David J., Rago, Vincent F., Rupp, William D., Kinney, Sam E., Heckmann, Daniel C., Bernard, Anthony F., Meakem, Glen T., Roberts, Frederick W., Alaia, Marc, Reneau, Jason W.
• Granted Patent: US 7,792,707 B2
• Time in Patent Office: Days
• US Class Current: 705/26
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A method and system for conducting electronic auctions is described. A dynamic lot closing extension feature avoids collisions in closing times of multiple lots by dynamically extending the closing time of a subsequent lot if a preceding lot'"'"'s closing time is extended to be too close to the subsequent lot'"'"'s then-currently scheduled closing time. Scheduled closing times can be extended with a flexible overtime feature, in which the properties of the event triggering the extension and the duration of the overtime period(s) can be tailored to a particular auction, particular lots of products within an auction, and to the particular time within an auction process. The bidding status of a lot can be set to a “pending” status after the nominal closing time for submission of bids to allow bidders to alert the auction coordinator of technical problems in submission of bids. This allows the possibility for a lot to be return to open status for further bidding by all bidders. The auction may be paused by the auction coordinator to correct technical, market and miscellaneous problems that may arise during the course of an auction. Individual bid ceilings can be set for each bidder so that they are required to bid lower than certain thresholds determined in advance of the auction. Failsafe error detection is performed to prevent erroneous bids from entering the auction. The auction coordinator has the ability to override any erroneous bids that are entered to prevent prejudice to the auction.

Claims

1-88. -88. (canceled)

89. A system to control overtime in an auction, comprising:

a processor configured to;

define a first time interval corresponding to at least a portion of time during which bids are submitted to the auction for a first lot defined at least in part by a buyer, a second time interval, and a first closing time for the first lot, wherein the first closing time is at least initially defined as a specified scheduled closing time;

determine that at least one new bid for the first lot is received during the first time interval, the at least one new bid being received close to the first closing time;

determine a correlation between the at least one new bid and at least one other bid previously received for the first lot; and

extend the first closing time using the second time interval if the correlation between the at least one new bid and the at least one other bid satisfies a trigger criterion that is based on a rank of the at least one new bid and the at least one other bid; and

a memory coupled to the processor and configured to provide the processor with instructions;

wherein the first closing time corresponds to an end of the first time interval if the first closing time is not extended, and the first closing time corresponds to an end of the second time interval if the first time interval is extended.

90. The system of claim 89 wherein the second time interval varies during the auction.

91. The system of claim 89 wherein the second time interval is determined in accordance with an overtime extension parameter that is specific to the first lot.

92. The system of claim 89 wherein the trigger criterion further requires that an amount of the at least one new bid be within a predetermined amount of the at least one other bid for the first lot.

93. The system of claim 89 wherein the trigger criterion further requires that the at least one new bid be within a predetermined rank of the at least one other bid for the first lot.

94. The system of claim 89 wherein the trigger criterion further requires that the at least one new bid be within a predetermined percentage of the at least one other bid for the first lot.

95. The system of claim 89 wherein the trigger criterion further requires that the at least one new bid be received from an incumbent supplier.

96. A system to control overtime in an electronic auction, comprising:

a processor configured to;

define a first time interval, a second time interval, and a first closing time for a lot defined at least in part by a buyer, wherein the first closing time is at least initially defined as a specific scheduled closing time;

determine that at least one new bid for the first lot is received, the at least one new bid being received close to the first closing time;

determine a correlation between the at least one new bid and at least one other bid previously received for the first lot; and

extend the first closing time using the second time interval if the correlation between the at least one new bid and the at least one other bid satisfies a trigger criterion that is based on a rank of the at least one new bid and the at least one other bid; and

a memory coupled to the processor and configured to provide the processor with instructions.

97. The system of claim 96 wherein the second time interval varies during the auction.

98. The system of claim 96 wherein the trigger condition requires that the at least one new bid be within a predetermined amount of the at least one other bid for the lot.

99. The system of claim 96 wherein the trigger condition requires that the at least one new bid be within a predetermined rank of the at least one other bid for the lot.

100. The system of claim 96 wherein the trigger condition requires that the at least one new bid be within a predetermined percentage of the at least one other bid for the lot.

101. The system of claim 96 wherein the first time interval comprises an overtime trigger interval before the first closing time.

102. The system of claim 96 wherein the second time interval comprises an overtime extension interval that extends the first closing time.

103. The system of claim 96 wherein the second time interval extends to a second closing time, and wherein the processor is further configured to:

define a third time interval, a fourth time interval, and a second overtime condition for the lot, the third time interval not being equal to the fourth time interval;

determine whether the second overtime condition occurs during the third time interval; and

extend the second closing time by the fourth time interval in accordance with the second determination.

104. A system for controlling overtime in an electronic auction, comprising:

a processor configured to;

define an overtime triggering interval, an extension time interval, and a closing time for a lot defined at least in part by a buyer, wherein the closing time is at least initially defined as a specific scheduled closing time;

determine whether at least one new bid for the lot is received during the overtime triggering interval;

determine a correlation between the at least one new bid and at least one other bid previously received for the lot; and

extend the closing time using the extension time interval if the correlation between the at least one new bid and the at least one other bid satisfies a trigger criterion that is based on a rank of the at least one new bid and the at least one other bid; and

a memory coupled to the processor and configured to provide the processor with instructions.

105. The system of claim 104, wherein the trigger criterion further requires that the at least one new bid be within a predetermined amount of the at least one other bid for the lot.

106. The system of claim 104, wherein the trigger criterion further requires that the at least one new bid be within a predetermined rank of the at least one other bid for the lot.

107. The system of claim 104, wherein the trigger criterion further requires that the at least one new bid be within a predetermined percentage of the at least one other bid for the lot.

108. The system of claim 104, wherein the trigger criterion is satisfied if the at least one new bid is submitted by an incumbent supplier.