Method and apparatus for electronic trading of carrier cargo capacity

• US 6,035,289 A
• Filed: 07/14/1998
• Issued: 03/07/2000
• Est. Priority Date: 07/14/1998
• Status: Expired due to Fees

• Current Assignee: International Business Machines Corporation
• Original Assignee: International Business Machines Corporation
• Inventors: Garg, Amit, Yeh, James Tien-Cheng, Chou, Yu-Li
• Primary Examiner(s): MacDonald, Allen R.
• Assistant Examiner(s): Robinson-Boyce, Akiba
• Application Number:
  US09/115,450
• Time in Patent Office: 602 Days
• Field of Search: 705/37, 705/36, 705/35, 709/213
• US Class Current: 705/36.00R
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

A computer-implemented method for double auction trade-building by matching, based on feasibility and price/cost heuristics, a plurality of electronically posted bid with a plurality of electronically posted ask records. A one-pass sequential trade building method selects ask records one at a time and sequentially inserts, in one pass, as many of the bid records as possible while maintaining feasibility criteria. A two pass sequential trade building method inserts the bid records in two stages, the first terminating when the trade becomes feasible and the second when no further bids can be inserted.

Claims

1. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records, comprising steps of:

(a) receiving said plurality of bid records and said plurality of ask records, each of said bid records including a price data and a plurality of bid attributes representing shipping performance requirements, and each of said ask records including an ask price data and a plurality of ask attributes representing shipping performance capabilities;

(b) selecting an ask record from said plurality of ask records;

(c) initializing a trade route data list, for insertion of bid records, corresponding to said selected ask record;

(d) selecting a candidate bid record from said plurality of bid records based on the bid attributes of the selected candidate bid record meeting a predetermined feasibility criteria relative to the ask attributes of said selected ask record and bid attributes of bid records inserted in said trade route data list, and based on a price/cost ratio improvement heuristic determined from the price data of said plurality of bid records, and the price data and attributes of said selected ask record and the price data and bid attributes of bid records inserted in said trade route data list;

(e) generating first true/false price feasibility value from the price data and attributes of said selected ask record and the price data and bid attributes of bid records inserted in said trade route data list based on a predetermined function, and a second true/false price feasibility value from the price data and attributes of said selected ask record, the price data and bid attributes of bid records inserted in said trade route data list, and said candidate bid record based on the same predetermined function;

(f) designating said trade route data list as completed in response to a comparative state of said first and second price feasibility values meeting a predetermined completion condition;

(g) inserting said candidate bid record into said trade route data list, and removing said inserted bid record from said plurality of bid records, in response to the comparative state of said first and second price feasibility values not meeting said predetermined completion condition;

(h) repeating said steps (e)-(g) until said trade route data list is designated as completed or until no bid records remain, whichever occurs first;

(m) designating said trade route data list as completed in response to said first and second price feasibility values meeting a predetermined price feasibility condition;

(n) replacing into said plurality of bids all bid records inserted into said trade route list in response to said first and second price feasibility values not meeting said predetermined price feasibility condition;

(o) repeating said steps (b) through (n), wherein step (b) selects an ask record not previously selected, until all ask records have been selected; and

(p) generating a completed trade data representing all trade route lists designated as completed.

2. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records according to claim 1 wherein said step of selecting a candidate bid record includes the steps of:

selecting a sub-plurality of bid records from said plurality of bid records based on the bid attributes of the selected sub-plurality of bid records meeting said predetermined performance feasibility criterion relative to the ask attributes of said selected ask record and bid attributes of bid records inserted in said trade route data list; and

selecting a candidate bid record from said selected sub-plurality of bid records based on said price/cost ratio improvement heuristic determined from the price data of said sub-plurality of bid records and the price data and attributes of said selected ask record and the price data and bid attributes of bid records inserted in said trade route data list.

3. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records according to claim 1 wherein said step of selecting an ask record selects said ask records in an ascending order according to the ask price data.

4. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records, comprising steps of:

(a) receiving said plurality of bid records and said plurality of ask records, each of said bid records including a price data and a plurality of bid attributes representing shipping performance requirements, and each of said ask records including an ask price data and a plurality of ask attributes representing shipping performance capabilities;

(b) selecting an ask record from said plurality of ask records;

(c) initializing a basic trade route data list corresponding to said selected ask record;

(d) selecting a candidate bid record from said plurality of bid records based on the bid attributes of the selected candidate bid record meeting a predetermined feasibility criteria relative to the ask attributes of said selected ask record and bid attributes of bid records inserted in said basic trade route data list, and based on a price/cost ratio improvement heuristic determined from the price data of said plurality of bid records, and the price data and attributes of said selected ask record and the price data and bid attributes of bid records inserted in said basic trade route data list;

(e) generating a first true/false price feasibility value from the price data and attributes of said selected ask record and the price data and bid attributes of bid records inserted in said basic trade route data list based on a predetermined function and a second true/false price feasibility value from the price data and attributes of said selected ask record, the price data and bid attributes of bid records inserted in said basic trade route data list, and said candidate bid record based on the same predetermined function;

(f) inserting said candidate bid record into said basic trade route data list;

(g) designating said basic trade route data list as a basic trade record in response to a comparative state of said first and second price feasibility values meeting a predetermined basic trade completion condition;

(h) repeating said steps (e)-(g) until said basic trade route data list is designated as a basic trade record or until no bid records remain, whichever occurs first;

(i) replacing into said plurality of bids all bid records inserted into said basic trade route list in response to said trade route data list not being designated as a basic trade record;

(j) repeating said steps (b) through (i), wherein step (b) selects an ask record not previously selected, until all ask records have been selected; and

(k) generating a basic trade data representing all basic trade route lists designated as a basic trade record.

5. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records according to claim 4, further comprising steps of:

(l) selecting a basic trade record from said plurality of basic trade records;

(m) selecting a candidate bid record from said plurality of bid records based on the attributes of the selected candidate bid record meeting a predetermined feasibility criteria relative to said selected basic trade record and based on a price/cost ratio improvement heuristic determined from the price data of said plurality of bid records and said selected basic trade record;

(n) generating a third true/false price feasibility value from said basic trade record and said candidate bid record based on said predetermined function;

(o) inserting said candidate bid record into said trade route data list, and removing said inserted bid record from said plurality of bid records, in response to said third price feasibility value not meeting a second predetermined completion condition;

(p) repeating said steps (m)-(o) until said third price feasibility value meets said second predetermined completion condition or until no bid records remain, whichever occurs first;

(q) designating said basic trade record as completed;

(r) repeating said steps (1) through (q), wherein step (1) selects a basic trade record not previously selected, until all basic trade records have been selected and designated as completed; and

(s) generating a completed trade data representing all trade route lists designated as completed.

6. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records according to claim 4 wherein said step (d) of selecting a candidate bid record includes the steps of:

selecting a sub-plurality of bid records from said plurality of bid records based on the bid attributes of the selected sub-plurality of bid records meeting said predetermined performance feasibility criterion relative to the ask attributes of said selected ask record and bid attributes of bid records inserted in said trade route data list; and

selecting a candidate bid record from said selected sub-plurality of bid records based on said price/cost ratio improvement heuristic determined from the price data of said sub-plurality of bid records and the price data and attributes of said selected ask record and the price data and bid attributes of bid records inserted in said trade route data list.

7. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records according to claim 4 wherein said step of selecting an ask record selects said ask records in an ascending order according to the ask price data.

8. A method for receipt and double-auction heuristically-based matching a plurality of electronically posted bid records with a plurality of electronically posted ask records according to claim 6 wherein said step (m) of selecting a candidate bid record includes the steps of:

selecting a sub-plurality of bid records from said plurality of bid records based on the bid attributes of the selected sub-plurality of bid records meeting said predetermined performance feasibility criterion relative to said basic trade record; and

selecting a candidate bid record from said selected sub-plurality of bid records based on said price/cost ratio improvement heuristic determined from the price data of said sub-plurality of bid records and said basic trade record.