The Rate Structure Pattern:An Analysis Pattern for the Flexible Parameterization of Charges, Fees andPrices

Often charges have to be paid by customers in advance of services. Therefore, the flexibleconfiguration of rate structures is an important distinguishing mark of competing companies.Since the prompt adaptation of changes to new situations enhances competitive power, thereis vital need to individually adapt the rate structures depending on both customer groups andthe transaction under consideration. However, due to automated bulk processing fees often arecomputed by legacy applications using fixed parameters. Therefore, a change of rate structuresoften requires modification of software. In the article at hand we present an analysis patternwhich allows for the flexible parametrization of rate structures of various kinds as wellas the introduction of new charges and parameters without changing software. The parametrizationconcerns the properties of customers as well as the characteristics of the transactionunder consideration. In addition, the proposed rate structure pattern allows for multi-clientcapability and meets the requirements of bulk processing. The advantages of the pattern aredemonstrated referring to a business application for calculating fees designed for transactionbanks in the securities business. However the pattern may be of great value to other domainswhere services are billed to the customers, e.g. insurances and others....