Method and apparatus for allocating, costing, and pricing organi

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700 99, 705400, G06F 1760

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active

060321237

ABSTRACT:
This invention is a means both to allocate all types of resources for commercial, governmental, or non-profit organizations and to price such resources. A linear programming process makes fulfillment allocations used to produce product units. A Resource-conduit process governs the linear programming process, uses two-sided shadow prices, and makes aperture allocations to allow Potential-demand to become Realized-demand. A strict opportunity cost perspective is employed, and the cost of buyable resources is deemed to be the opportunity cost of tying up cash. Resource available quantities, product resource requirements, and Potential-demand as a statistical distribution are specified in a database. The invention reads the database, performs optimization, and then writes allocation directives to the database. Also determined and written to the database are resource marginal (incremental) values and product marginal costs. The database can be viewed and edited through the invention's Graphical User Interface. Monte Carlo simulation, along with generation of supply and demand schedules, is included to facilitate analysis, explore "what if," and interact with the user to develop product offering, product pricing, and resource allocation strategies and tactics.

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