On the suitability of market-based mechanisms for telematics applications

Abstract

The suitability of several market-based allocation mechanisms - the simulated trading algorithm, the Vickrey auction, and the matrix auction for multiple heterogeneous items - were compared using the allocation of transportation tasks to a fleet of trucks as an example domain. The mechanisms were implemented and evaluated based on the multi-agent scheduling system for vehicle routing problems. The scalability and tractability of the market mechanisms were examined by comparing their processing time and allocative efficiency for order sets of different size. The allocative efficiency of the mechanisms was measured in terms of cost and surplus. The results were rated from the point of view of a cooperative and competitive organizational setting.