Method and system for processing and transmitting electronic reverse auction information

• US 6,647,373 B1
• Filed: 06/14/1999
• Issued: 11/11/2003
• Est. Priority Date: 12/24/1998
• Status: Expired due to Term

• Current Assignee: Hanger Solutions, LLC (IP Investments Group LLC)
• Original Assignee: John Carlton-Foss
• Inventors: Carlton-Foss, John
• Primary Examiner(s): Hayes, John W.
• Application Number:
  US09/332,321
• Time in Patent Office: 1,611 Days
• Field of Search: 705/37, 705/26, 705/27, 705/10, 705/29, 705/1, 705/80
• US Class Current: 705/37
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

In order to conduct an electronic reverse auction, a computer system has a post means for posting product description information across a network, a bidding means for submitting a plurality of bids, proposals, and means for transmitting other information about goods and bidders. A means for evaluating the bids by a select criteria and a security means is also provided.

Claims

1. A computer-implemented method for conducting a reverse auction, comprising the steps of:

receiving request data for a requested item at a first receive interface, the request data including an item description and bid evaluation information, the bid evaluation data including a price and at least one other item evaluation dimension for the requested item, the bid evaluation data further including a weight for each item evaluation dimension;

storing the request data in a requisition database;

receiving bid data at a second receive interface, the bid data generated in response to the request data, the bid data including bid item information generated in response to the item description of the requested item and bid evaluation information;

storing the bid data in a bid database;

evaluating the bid data by a bid evaluator to determine a value of the bid data based on the bid evaluation information including the price and the least one other item evaluation dimension according to the weight for each item evaluation dimension;

determining an auction close; and

,

determining at least one winning bid in response to said value at auction close.

2. The method of claim 1, further comprising the step of:

rating the quality of an item offered in the request data by comparing the item with data stored in an evaluation database.

3. The method of claim 1, further comprising the step of:

providing auction status information to auction participants.

4. The method of claim 1 further comprising:

validating the request data by a requisition validator.

5. The method of claim 4 wherein the request data validating step further comprises:

looking up a requestor identified in the request data in a registration database, and rejecting the request data if no match is found;

looking up a submitter identified in the request data in the registration database and rejecting the request data if no submitter match is found;

verifying the status of the requisition and rejecting the request data if no status is found;

verifying the datatypes in the request data and rejecting the data if an error is found.

6. The method of claim 5 further comprising:

generating a unique identification number for a validated requisition.

7. The method of claim 1 further comprising:

validating the bid data by a proposal validator.

8. The method of claim 7 wherein the bid data validating step further comprises:

looking up a supplier in a registration database, and rejecting the bid data if no match is found;

looking up a submitter in the registration database and rejecting the bid data if no match is found;

verifying that a requisition addressed by the bid data exists and rejecting the bid data is no requisition is found in the requisition database; and

,

verifying the datatypes in the bid data and rejecting the bid data if an error is found.

9. The method of claim 8 further comprising:

generating a unique identification number for a validated bid.

10. The method of claim 1 wherein the bid data is received from a plurality of bidders resulting in a plurality of bids.

11. The method of claim 10 wherein the method of evaluating the bid data further comprises the steps of:

calculating a weighted sum of line item evaluations for each bid for an active requisition;

normalizing each weighted sum to a maximum possible weighted rating;

calculating a normed rating for each quantitative evaluation dimension;

calculating a normed rating for each qualitative evaluation dimension; and

,

merging the maximum possible weighted rated, the quantitative evaluation dimension normed rating, and the qualitative evaluation dimension normed rating into a single bid rating for each bid.

12. The method of claim 1 wherein the requisition database and the bid database are contained in one database.

13. The method of claim 1 wherein the first receive interface and the second receive interface are contained in one interface.

14. The method of claim 1 wherein the first receive interface is a Web user interface.

15. The method of claim 1 wherein the first receive interface is a database user interface.

16. The method of claim 1 wherein the first receive interface is database import facility.

17. The method of claim 1 wherein the second receive interface is a Web user interface.

18. The method of claim 1 wherein the second receive interface is a database user interface.

19. The method of claim 1 wherein the second receive interface is a database import facility.

22. The method of claim 1 wherein the step of evaluating bid data further comprises:

matching descriptions of goods and services with entries in an evaluation database; and

rating quality of said goods and services in response to said matching step.

23. The method of claim 1 wherein the step of evaluating bid data further comprises providing quantitative numerical evaluations of non-numerical attributes provided in bids.

20. A system for conducting a reverse auction over a computer network, comprising:

means for receiving a request for an item including bid evaluation information over the computer network from a requestor, the bid evaluation information including a price and at least one other evaluation dimension, the bid evaluation information further including a weight for each evaluation dimension;

means for storing the request;

means for receiving at least one bid over the computer network from at least one bidder in response to the request, the bid including bid items and a description of the bid items in response to the bid evaluation information;

means for storing the at least one bid;

means for evaluating the bid based upon at least the bid evaluation information including the price and at least one other evaluation dimension according to the weight for each evaluation dimension;

means for providing the current auction status information to the requestor and to the at least one bidder;

means for the requestor to alter the request;

means for each bidder to alter that bidder'"'"'s associated bid;

means for determining the auction close in response to information in the request; and

means for determining a winning bid using at least the bid evaluation information included in the request at the auction close,

whereby a requestor can submit an item and a bidder can bid on the item over the computer network.

21. A computer system for conducting a reverse auction, comprising:

a database system for storing bids, requests, and data about bidders and requestors, including bid evaluation information, the bid evaluation information including a price and at least one other evaluation dimension, the bid evaluation information further including a weight for each evaluation dimension;

an auction store for storing best bid criteria, auction status information, and auction templates to present to users and requestors together with the bid evaluation information; and

an auction processor connected to said database system and said auction store, said auction processor for processing bids and requests together with the bid evaluation information, said auction processor providing auction status information in response to bids and requests, said auction processor determining a best bid using the bid evaluation information including the price and the at least one other evaluation dimension according to the weight for each evaluation dimension, the stored best bid criteria and input bids and requests.

24. A computer-implemented method for conducting a reverse auction, comprising the steps of:

receiving request data for a requested item at a first receive interface, the request data including an item description and bid evaluation information, the bid evaluation data including a price and at least one other evaluation dimension for the requested item, the bid evaluation data further including a weight for each evaluation dimension;

storing the request data in a requisition database;

receiving bid data for a plurality of bid items at a second receive interface, the bid data generated in response to the request data;

storing the bid data for the plurality of bid items in a bid database;

determining a value of each bid item based on the bid evaluation information including the price and the at least one other evaluation dimension according to the weight for each evaluation dimension;

comparing the value of each bid item with the bid evaluation information to provide each bid item with a bid item rank;

determining an auction close; and

determining at least one winning bid from the bid item rank of each of the plurality of bid items at auction close.