0% found this document useful (0 votes)
16 views105 pages

Wireless Communication Work

The document discusses the integration of advanced technologies in communication systems, focusing on the efficiency of power usage and the impact on overall performance. It emphasizes the importance of optimizing infrastructure to enhance energy efficiency while maintaining high operational standards. The research proposes a multi-core system approach to improve power consumption and performance in communication networks.

Uploaded by

murtisarmans
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
16 views105 pages

Wireless Communication Work

The document discusses the integration of advanced technologies in communication systems, focusing on the efficiency of power usage and the impact on overall performance. It emphasizes the importance of optimizing infrastructure to enhance energy efficiency while maintaining high operational standards. The research proposes a multi-core system approach to improve power consumption and performance in communication networks.

Uploaded by

murtisarmans
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 105

      

     
  

        


      
     
  

    


   
! " 

  

            
                     
                      
               
             
                    
             

      

  
  !
   
"   #   $ %  &      %     '&
  
' () *( +,-*.'  /  0
     
  

12   '        


  

  3  /   4   4  '  #


'  5
  3 ,-,( "   #   $ %  &    
%     '&  
,19(67,*$7,2121,03529(0(172)
48$/7,<$1'6(&85,7<,668(6,1:,5(/(66
1(7:25.86,1*9/6,


160857,6$50$
%$1',1$*(6:$5$5$2 
63968%%$5$2

'HSDUWPHQWRI(OHFWURQLFVDQG&RPPXQLFDWLRQV(QJLQHHULQJ
6UHHQLGKL,QVWLWXWHRIVFLHQFHDQG7HFKQRORJ\<DPQDPSHW0HGFKDO
'LVWULFW7HODQJDQD6WDWH,QGLD

'HSDUWPHQWRI(OHFWURQLFVDQG&RPPXQLFDWLRQV(QJLQHHULQJ

6LGGKDUDGKD&ROOHJH2I(QJLQHHULQJ$QG7HFKQRORJ\
+\GHUDEDG

3UHIDFH

1HWZRUNRQFKLSWHFKQRORJ\ZLOOEHDPDMRUIDFWRULQIXWXUHFRPPXQLFDWLRQV\VWHPZKLFKLVEDVHG

RQ LQWUD FRUH V\VWHP %XW ZKHQ FRPHV WR SRZHU XVDJH WKLV SUDFWLFDO 12& V\VWHP FRQVXPHV

FRQVLGHUDEO\KXJHSRZHUWKHQWKH$UFKLWHFWXUHRIWKHFURVVEDUURXWHUVZLOOGLUHFWO\LQFUHDVHVZLWK

UHVSHFW WR WKH QR RI LQWUD FRUH V\VWHP  :KHQ FRPHV WR EXON\ V\VWHPV WKH DYHUDJH SRZHU

FRQVXPSWLRQLQFURVVEDUVZLWFKHVUHODWLYHO\KLJK:KLOHGHWDLOLQJWKHFRPSRQHQWVRIWKHURXWHUVZH

IRXQG WKDW EXIIHUV LQ WKH LQSXW WHUPLQDOV OHDGV WR PDMRU SRZHU FRQVXPSWLRQ :KHQ ZH WU\ WR

UHPRYHEXIIHUVLQ12&URXWHUVWKHRYHUDOOSHUIRUPDQFHZLOOUHGXFHGXHWRWKHERWWOHQHFN,QFUHDVH

7R PDNH WKHVH 1HWZRUN RQ &KLS FURVVEDUV HIILFLHQWO\ ZLWKRXW GHJUDGDWLRQ LQ SHUIRUPDQFH ZH

SURSRVH D EHWWHU V\VWHPDWLF DSSURDFK LQ WKH FURVVEDU VZLWFKHV E\ LQFRUSRUDWLQJ YLUWXDO 0HPRU\

V\VWHPDVDVXEVWLWXWHRIRXWGDWHGUHJLVWHUEDVHGPHPRU\WKLVZLOOOHDGVWRHQHUJ\HIILFLHQF\ZLWK

LQFUHDVH LQ RYHUDOO SHUIRUPDQFH :H DUH JRLQJ WR DSSO\ WKLV DUFKLWHFWXUH LQ 12& V\VWHP ZKLFK

EDVHGRQ,QWUDFRUHV\VWHPRXUSURSRVHGV\VWHPZLOOUHGXFHWRH[SHFWHG

,Q WKLV UHVHDUFK ZH DUH SURSRVLQJ WKH 1 1 PXOWLFRUH 12& V\VWHP ZLWK HIILFLHQW EXIIHU OHVV

WRSRORJ\DQGQRYHOERWWOHQHFNURXWLQJDOJRULWKPZKLFKGHDOVZLWKWKHORZSRZHUWHFKQRORJ\+HUH

WKHFURVVEDUVZLWFKLQJWRSRORJ\KDYLQJDELOLW\WROLPLWVWKHRXWJRLQJSDFNHWIURPWKHLQWHUQDOLQSXW

SRUWVWRWKHRXWSXWVSRUWVDQGRXWSXWSDFNHWVDUHDUULYLQJWKHRXWSXWSRUWVZLWKOHVVWUDIILFDQGWKH

KLJKHU WKURXJKSXW %XW LQ WKH FRQYHQWLRQDO V\VWHPV ZKHQ WKH WKURXJKSXW RI WKH 12& DFKLHYHV

KLJKHU UDWH WKH ODWHQF\ RI WKH V\VWHP DOVR JRHV KLJK ZKLFK OHDGV WR WKH SHUIRUPDQFH ORVV $W WKH

VDPHWLPHZKHQPRUHWKDQWZRRUPRUHSDFNHWVIURPWKHGLIIHUHQWURXWHUVDUHDUULYLQJIRUWKHVDPH

RXWSXWDWWKHWLPHWKHERWWOHQHFNDOJRULWKPEDVHGFURVVEDUURXWHUZLOOVWRUHWKHSDFNHWLQWKH),)2

VRWKDWRQO\RQHSDFNHWZLOOEHIRUZDUGHGWRWKHRXWSXWWKLVZLOOOHDGVWRWKHWUDIILFHOLPLQDWLRQ%\
L

WKDW ZD\ ZH FDQ DFKLHYH WKH PD[LPXP WKURXJKSXW LQ SURSRVHG PXOWLFRUH 12& V\VWHP ZLWK

%RWWOHQHFN DOJRULWKP $OVR WKH URXWHU ZLOO IRUZDUG WKH UHPDLQLQJ VWRUHG SDFNHW WKH RXWSXW SRUW

ZKHQ WKH SDUWLFXODU RXWSXW SRUW ZDV QR ORQJHU XVHG LQ SURFHVVLQJ SDFNHW 2XU SURSRVHG ),)2

KDYLQJWKHLQILQLWLYHVWRUDJHFRVWZKLFKXVHGWRVWRUHDOOWKHSDFNHWVZKLFKDUULYHVFURVVEDUURXWHU

7KHVWRUDJHWLPHGHSHQGVRQWKHDYDLODELOLW\RIWKHSDUWLFXODURXWSXWSRUWZKHQWKHSDUWLFXODURXWSXW

SRUWZDVQRORQJHUSURFHVVLQJDWWKDWWLPHRILQVWDQFHWKHURXWHUZLOO IRUZDUGWKHSDFNHWIURPWKH

),)2 PHPRU\ %XW IRU RQH F\FOH LW ZLOO IRUZDUG RQO\ RQH SDFNHW ZKLFK ZDV VWRUHG LQ WKH ),)2

PHPRU\%XWLQFRQYHQWLRQDOEXIIHUEDVHGV\VWHPVWKHVHEXIIHUVKDYLQJILQLWHOLPLWVWRUDJHFRVWDQG

OLPLWHG EDQGZLGWK IRUSURFHVVLQJSDFNHWV$OVR LQFRQYHQWLRQDOV\VWHPVZKHQWKHEXIIHUZDV IXOO

WKLVOHDGVWROHVVWKURXJKSXWUDWHDQGLWVOHDGVWRWKHPDQ\LVVXHVLQWKHPXOWLFRUH12&V\VWHPV

 

LL



$&.12:/('*(0(17


,QRQHZD\RUDQRWKHUPDQ\SHRSOHKDYHFRQWULEXWHGWRWKHFRPSOHWLRQRIWKLVUHVHDUFKZRUN
,WLVGLIILFXOWIRUWRDFNQRZOHGJHDOORIWKHP:HFDQRQO\PHQWLRQVRPHRIWKHPKHUH

:HDUHWRH[SUHVVRXUKHDUWIHOWJUDWLWXGHWR+RQ¶EOHYLFHFKDQFHOORU'U$935$6$'$5$2
DQGRWKHUSHHUVRI58.XUQRRO$QGKUD3UDGHVKIRUWKHLUSDWURQDJHDQGSDUHQWDOKRRGLQDFKLHYLQJ
H[FHOOHQFHLQWKHDFDGHPLFSXUVXLW

)LQDOO\ZHZRXOG OLNHWRH[SUHVVRXUVLQFHUHDQG KHDUWIHOWWKDQNVWRWKHDOOWKHZHOOZLVKHUVIRU


WKHLU FRQWLQXRXV FRRSHUDWLRQ ZKLFK KDV JLYHQ XV WKH XOWLPDWH FRQILGHQFH LQ VXFFHVVIXO
FRPSOHWLRQRIWKHUHVHDUFKZRUN




$XWKRUV

LLL

&217(176




  ,QWURGXFWLRQ  
  /LWHUDWXUHVXUYH\  
 
  '\QDPLF%XIIHU$OORFDWLRQ)RU&RQJHVWLRQ$YRLGDQFH  
  &RQFOXVLRQV  

 5HIHUHQFHV  
$SSHQGL[ 

$ *ORVVDU\  































LY

&KDSWHU

,QWURGXFWLRQ

1HWZRUNRQFKLS 12&  DUFKLWHFWXUHV DUH HVVHQWLDO PRGXOHV IRU ERWK JHQHUDO


SXUSRVH FKLS PXOWLSURFHVVRUV &03¶V   DQG  DSSOLFDWLRQVSHFLILF  V\VWHPVRQ  FKLSV
62&¶V  ,Q WKH GHVLJQ RI 12&¶V KLJK WKURXJKSXW DQG ORZ ODWHQF\ DUH  ERWK LPSRUWDQW
GHVLJQ SDUDPHWHUV DQG WKH URXWHU PLFUR DUFKLWHFWXUH SOD\V D YLWDO UROH LQ DFKLHYLQJ WKHVH
SHUIRUPDQFH JRDOV +LJK WKURXJKSXW URXWHUV DOORZ D 12& WR VDWLVI\ WKH FRPPXQLFDWLRQ
QHHGVRI PXOWLFRUHDQGPDQ\FRUHDSSOLFDWLRQV LQZKLFKPDQ\DSSOLFDWLRQVDUHUXQQLQJ
DW D VDPH WLPH  RU WKH KLJKHU DFKLHYDEOH WKURXJKSXW FDQ EH WUDGHG RII IRU  SRZHU VDYLQJV
ZLWK IHZHU UHVRXUFHV EHLQJ XVHG WR DWWDLQ D WDUJHW EDQGZLGWK )XUWKHU DFKLHYLQJ KLJK
WKURXJKSXW LV DOVR FULWLFDO IURP D GHOD\ SHUVSHFWLYH IRU DSSOLFDWLRQV ZLWK KHDY\
FRPPXQLFDWLRQZRUNORDGVEHFDXVHTXHXLQJGHOD\VJURZUDSLGO\DVWKHQHWZRUNDSSURDFKHV
VDWXUDWLRQ
$V WKH QXPEHU RI SURFHVVRUV RQ D VLQJOH FKLS DQG WKH FRPSXWLQJ FRPSOH[LW\
LQFUHDVHV GD\ E\ GD\ WKH LQWHUFRQQHFWLRQ DQG FRPPXQLFDWLRQ PHWKRG EHWZHHQ WKH
SURFHVVRUV EHFDPH HVVHQWLDO IDFWRUV DIIHFWLQJ WKH SHUIRUPDQFH RI FKLSPXOWLSURFHVVRU ,W
UHTXLUHV PRUH HIIHFWLYH LQWHUFRQQHFWLRQ DQG FRPPXQLFDWLRQ DPRQJ WKH SURFHVVRUV WR
LPSURYH LWV SHUIRUPDQFH UDWKHU WKDQ GHSHQGLQJ RQO\ RQ WKH SURFHVVLQJ VSHHG 7KH V\VWHP
UHTXLUHV D FRPSOHWH VHW RI FRPPXQLFDWLRQ GHPDQGV DQG FKDUDFWHULVWLFV RI DOO NLQGV RI
SURFHVVRUV DQG VKRXOG SURYLGH EHWWHU GDWD WUDQVPLVVLRQ SHUIRUPDQFH LQ OLPLWHG FRQGLWLRQV
VXFK DV FKLS DUHD SRZHU FRQVXPSWLRQ GDWD EDQGZLGWK HWF 7KHUHIRUH LW UHTXLUHV KLJKHU
GHPDQGV IRURQFKLSFRPPXQLFDWLRQVXFKDV KLJKVSHHGKLJK EDQGZLGWKKLJKWKURXJKSXW
ZKLOHVPDOODUHDDQGORZSRZHUFRQVXPSWLRQ7UDGLWLRQDOLQWHUFRQQHFWLRQDUFKLWHFWXUHRIWKH
FKLS PXOWLSURFHVVRU VXFK DV RQFKLS EXV DQG FURVVEDU FDQQRW VDWLVI\  WKHVH UHTXLUHPHQWV
GXH WR SUREOHPV OLNH UHXVDELOLW\ IOH[LELOLW\ DQG VFDODELOLW\ ,W QHHGV D PRUH SHUIHFW DQG
HIIHFWLYHLQWHUFRQQHFWLRQWHFKQRORJ\

6LPLODUO\ DV WKH QXPEHUV RI FRUHV LQ WKH SURFHVVRU LQFUHDVHV WKH LQWHUFRQQHFWLRQ QHWZRUN
EHWZHHQWKHFRUHVSOD\VDYLWDOUROHLQWKHFKLSPXOWLSURFHVVRU¶V &03¶V RYHUDOOSHUIRUPDQFH
8VXDOO\ VKDUHG EXVHV KDYH EHHQ XVHG DV FRPPXQLFDWLRQ PHGLXP IRU &03¶V ZLWK D IHZ
QXPEHUVRIFRUHV$VWUDQVLVWRUVLPSURYHGUHVXOWLQJLQKLJKHUFORFNIUHTXHQFLHV WKH QXPEHU

 
RI FORFN F\FOHV UHTXLUHG WR SDVV IURP RQH HQG RI WKH FKLS WR WKHRWKHULQFUHDVHVGXHWRWKH
UHDVRQWKDWFKLSVL]HUHPDLQVWKHVDPH



7KLVUHVXOWVLQVORZHUEXVVSHHGWKDQWKDWRIFORFNIUHTXHQF\RIFRUHVDVWKHGHOD\RI
FRUHV GHSHQGV RQ ORFDO ZLUHV ZKLFK UDQJH ZLWK WUDQVLVWRUV $V VLPSOH VKDUHG EXVHV DUH
XQVXLWDEOH IRU IXWXUH &03¶V ZLWK KXQGUHGV WR WKRXVDQGV RI FRUHV WKH 1HWZRUN RQ&KLSV
12&¶V KDYHHPHUJHGDVDVROXWLRQIRUGHVLJQLQJLQWHUFRQQHFWLRQ IDEULFLQ&03¶V12&¶V
SURYLGH D ORZODWHQF\ ORZSRZHU KLJK EDQGZLGWK FRPPXQLFDWLRQ PHGLXP IRU &03¶V E\
XVLQJWKHEHQHILWVRID PRGXODUSDFNHWVZLWFKHGQHWZRUN5RXWHUVDQGOLQNVDUHWKHNH\
FRPSRQHQWV ZKLFK IRUP 12&¶V $ URXWHU LV  UHVSRQVLEOH  WR  UHFHLYH  DQG IRUZDUG
FRPPXQLFDWLRQ WUDIILF DQG D OLQN SURYLGHV SRLQWWRSRLQW FRQQHFWLRQ EHWZHHQ WZR URXWHUV
(DFKQRGHLQ12&LVFRQQHFWHGWRDOLPLWHGQXPEHURIQHLJKERULQJQRGHVZLWKVKRUWZLUHV
LQRUGHUWRDFKLHYHKLJKVSHHG
7KH GHYHORSPHQW RI 12& DUFKLWHFWXUH WHQGV WR UHSODFH WKH RQFKLS EXV DUFKLWHFWXUH
DQG DSSHDUV DV D EHWWHU HIIHFWLYH DUFKLWHFWXUH IRU RQFKLS FRPPXQLFDWLRQ LQ ODUJH VFDOH
FRPSOH[FKLSPXOWLSURFHVVRUî12&LQWHUFRQQHFWLRQDUFKLWHFWXUHLVPDLQO\XVHGDQGLWLVD
KHWHURJHQHRXV VWUXFWXUH LH PDLQ SURFHVVRU DV D FRQWUROOHU IRU V\VWHP  PDQDJHPHQW  DQG
HLJKW GLJLWDO VLJQDO SURFHVVRUV '63V  DV FRPSXWHLQWHQVLYH SURFHVVRUV IRU PDVV GDWD
SURFHVVLQJ 12& XVHV RQFKLS EXV DQG LQWHUFRQQHFWLRQ DUFKLWHFWXUH ZKHUH RQFKLS EXV
FRQQHFWV WKH PDLQ SURFHVVRU VKDUHG PHPRU\ DQG H[WHUQDO GHYLFHV DQG HLJKW '63V
LQWHUFRQQHFW HDFK RWKHU ZLWK 12& LQWHUFRQQHFWLRQ DUFKLWHFWXUH ZKLFK FRPPXQLFDWHV ZLWK
WKHPDLQSURFHVVRUWKURXJKRQFKLSEXV
1HWZRUNV2Q&KLS 12&  DUFKLWHFWXUHV DUH EHFRPLQJ WKH HIIHFWLYH IDEULF IRU ERWK
JHQHUDOSXUSRVH FKLS PXOWLSURFHVVRUV DQG DSSOLFDWLRQVSHFLILF V\VWHPVRQFKLS GHVLJQV ,Q
WKH GHVLJQ RI 12&¶V KLJK WKURXJKSXW DQG ORZ ODWHQF\ DUH ERWK  LPSRUWDQW  GHVLJQ
SDUDPHWHUV DQG WKH URXWHU PLFUR DUFKLWHFWXUH SOD\V D YLWDO UROH LQ DFKLHYLQJ WKHVH
SHUIRUPDQFH JRDOV +LJK WKURXJKSXW URXWHUV DOORZ D 12& WR VDWLVI\ WKH FRPPXQLFDWLRQ
QHHGVRIPXOWLFRUHDSSOLFDWLRQVRUWKHKLJKHUDFKLHYDEOHWKURXJKSXWFDQ EHWUDGHGRII
IRU SRZHU VDYLQJ E\ XVLQJ IHZHU UHVRXUFHV WR DWWDLQ D WDUJHW  EDQGZLGWK  8OWLPDWHO\  D
URXWHUVUROHOLHVLQWKHHIILFLHQWPXOWLSOH[LQJRISDFNHWVRYHUWKHQHWZRUNOLQNV
$5RXWLQJ$QG7RSRORJ\
5HJDUGLQJ WKH WRSRORJ\ UHJXODU GLUHFW WRSRORJLHV VXFK DV PHVK DQG WRUXV DUH LQWXLWLYHO\

 
IHDVLEOH IRU SK\VLFDO OD\RXW LQD ' FKLS 2Q WKH FRQWUDU\WKH  KLJK  ZLULQJ  LUUHJXODULW\
DQGWKHODUJHURXWHUUDGL[RILQGLUHFWWRSRORJLHVVXFKDV%HQHVRU%XWWHUIO\SRVH DFKDOOHQJH
IRU SK\VLFDO LPSOHPHQWDWLRQ +RZHYHU DQ DUELWUDU\ SHUPXWDWLRQ SDWWHUQ ZLWK LWV LQWHQVLYH
ORDGRQLQGLYLGXDOVRXUFHGHVWLQDWLRQSDLUVVWUHVVHVWKHUHJXODUWRSRORJLHVDQGWKDWPD\OHDG
WRWKURXJKSXWGHJUDGDWLRQ,QIDFWLQGLUHFWPXOWLVWDJHWRSRORJLHVDUHSUHIHUUHGIRURQFKLS
WUDIILFSHUPXWDWLRQLQWHQVLYHDSSOLFDWLRQV
5HJDUGLQJ WKH VZLWFKLQJ WHFKQLTXH SDFNHW  VZLWFKLQJ  UHTXLUHV  DQ  H[FHVVLYH
DPRXQWRI RQFKLS SRZHU DQG DUHD IRUWKH TXHXLQJ EXIIHUV)LUVW LQ )LUVW2XW ),)2¶V  ZLWK
SUHFRPSXWHG TXHXLQJ GHSWK DW WKH VZLWFKLQJ QRGHV DQGRUQHWZRUNLQWHUIDFHV
5HJDUGLQJ WKH URXWLQJ DOJRULWKP WKH GHIOHFWLRQ URXWLQJ LV QRW  HQHUJ\HIILFLHQW GXH
WR WKH H[WUD KRSV QHHGHG IRU GHIOHFWHG GDWD WUDQVIHU FRPSDUHG WR D PLQLPDO URXWLQJ
0RUHRYHU WKH GHIOHFWLRQ PDNHV SDFNHW ODWHQF\ OHVV SUHGLFWDEOH KHQFH LW LV KDUG WR
JXDUDQWHHWKHODWHQF\DQGWKHLQRUGHUGHOLYHU\RIGDWD
7KLV UHVHDUFK ZRUN SUHVHQWV D QRYHO VLOLFRQSURYHQ GHVLJQ RI DQ RQ FKLS
SHUPXWDWLRQ QHWZRUN WR VXSSRUW JXDUDQWHHG WKURXJKSXW RI SHUPXWDWHG WUDIILFV XQGHU
DUELWUDU\ SHUPXWDWLRQ 8QOLNH FRQYHQWLRQDO SDFNHWVZLWFKLQJ DSSURDFKHV RXU RQFKLS
QHWZRUNHPSOR\VDFLUFXLWVZLWFKLQJPHFKDQLVPZLWKDG\QDPLFSDWKVHWXSVFKHPHXQGHUD
PXOWLVWDJH QHWZRUN WRSRORJ\ 7KH G\QDPLF SDWK VHWXS WDFNOHV  WKH  FKDOOHQJH  RI  UXQWLPH
SDWK DUUDQJHPHQW IRU FRQIOLFWIUHH SHUPXWHG GDWD 7KH SUHFRQILJXUHG GDWD SDWKV HQDEOH D
WKURXJKSXW JXDUDQWHH %\ UHPRYLQJ WKH H[FHVVLYH RYHUKHDG RI TXHXLQJ EXIIHUV D FRPSDFW
LPSOHPHQWDWLRQ LV DFKLHYHG DQG VWDFNLQJ PXOWLSOH QHWZRUNV WR VXSSRUW FRQFXUUHQW
SHUPXWDWLRQVLQUXQWLPHLVIHDVLEOH
,Q UHFRQILJXUDEOH HPEHGGHG V\VWHPV 12&¶V SURYLGH OLQNV ZKLFK LQWHUFRQQHFW
SURFHVVRUV PHPRULHV DQG RWKHU LQWHOOHFWXDO SURSHUW\ ,3  FRPSRQHQWV 12&¶V FRPELQH
SHUIRUPDQFH ZLWK GHVLJQ PRGXODULW\ DOORZLQJ WKH LQWHJUDWLRQ RI PDQ\ GHVLJQ HOHPHQWV RQ
VLQJOH FKLS GLHV 12& V KDYH EHHQ DSSOLHG WR 62& WR DYRLG WKH FRPSOH[LW\ RI RQFKLS
FRPPXQLFDWLRQV 2QFKLS FRPPXQLFDWLRQV EHFRPH PRUH OLDEOH WR WUDQVLHQW QRLVHV OLNH
FURVVWDONDQGH[WHUQDOUDGLDWLRQV
,Q D  ODUJH  DUHD  QHWZRUNV  WKH  GDWD  WUDQVPLVVLRQ  DQG  UHFHSWLRQ  LV  SRVVLEOH
WKURXJK WKH URXWHU GHYLFH 5RXWHU LV XVHG WR WUDQVIHU WKH SDFNHWV EHWZHHQ WZR RU PRUH
GLIIHUHQW QHWZRUN WRSRORJLHV 7KH  PLFURSURFHVVRUV  RU  'LJLWDO  VLJQDO  SURFHVVRUV  DUH
LQEXLOW LQ URXWHU GHYLFH ZKLFK SHUIRUPV WKH  FRQWUROOLQJ IXQFWLRQV RI WKH GDWD WUDQVPLVVLRQ
DQGUHFHSWLRQ*HQHUDOO\DOOWKHURXWHUV LQWKH QHWZRUNNHHSDURXWLQJWDEOHZKLFKFRQWDLQV

 
WKH DGGUHVV RI DOO RWKHU URXWHUV SUHVHQWHG LQ WKDW QHWZRUN 7KH URXWHU UHFHLYHV WKH SDFNHW
IURP WKH RWKHU URXWHU DQG VWULSV WKH GHVWLQDWLRQ DGGUHVV IURP LW 7KH H[WUDFWHG GHVWLQDWLRQ
DGGUHVV LV FRPSDUHG ZLWK LWV URXWLQJ WDEOH WR URXWHWKH LQFRPLQJ SDFWVWR LWV FRUUHVSRQGLQJ
GHVWLQDWLRQDGGUHVV
12& LV DQ RQFKLS VFDODEOH PHGLXP LQ D ODUJHU DUHD QHWZRUNV 12& FRQVLVWV RI
URXWHUV3URFHVVLQJ(OHPHQWV 3( DQG1HWZRUN,QWHUIDFH 1, (DFKURXWHUZLWKLQ12&LV
FRPPXQLFDWHGWKURXJKWKH3(ெV DQGDOVR3(SHUIRUPVWKHFRQYHUVLRQRISDFNHWIURP
LQFRPLQJGDWDZKLFKLVVXLWDEOHIRUWUDQVPLVVLRQDQGUHFHSWLRQEHWZHHQURXWHUVLQ12&1,
LVORFDWHGEHWZHHQHDFK3(ெV,IZHZDQWWRWUDQVPLWWKHGDWDIURPVRXUFH3(WRGHVWLQDWLRQ
3(WKHGDWDLVIRUZDUGHGWKURXJKWKHURXWHUV
7KH SDFNHW HQWHUV DW WKH URXWHU DQG VWRUHG LQ D EXIIHU DYDLODEOH LQ WKH URXWHU 7KH VWRUHG
SDFNHWV DUH WUDQVPLWWHG WR RWKHU URXWHU E\ PDNLQJ GHFLVLRQ WKURXJK WKH FRQWURO  XQLWV
)XUWKHU WKH SDFNHWV DUH IRUZDUGHG WR WKH RWKHU URXWHU E\ FURVV EDU DUFKLWHFWXUH 7KLV
SURFHGXUHFRQWLQXHVXQWLOWKHSDFNHWUHDFKHVWKHGHVWLQDWLRQURXWHULQ12&
7KH SRZHU FRQVXPSWLRQ DQG ODWHQF\ DUH WKH WZR LPSRUWDQW FULWHULD IRU WKH URXWHU
GHVLJQ LQ12& 7KH GHVLJQ FRPSOH[LW\ RI WKH URXWHU ZLOO LQFUHDVH WKH SRZHU FRQVXPSWLRQ
DQG ODWHQF\ RI WKH V\VWHP 7KLV UHVHDUFK ZRUN DLPV WR GHVLJQ D  ORZ  SRZHU  DQG  ORZ
ODWHQF\URXWHUIRU12&DUFKLWHFWXUHV

%5RXWHU%XIIHULQJ
5RXWHU EXIIHULQJ LVD WHFKQLTXH WKDWWHPSRUDULO\ VWRUHVWKH LQFRPLQJ IOLWV ZKLFK DUH
QRW IRUZDUGHG DWRQFH WRZDUGV WKHRXWSXW OLQNV DW WKHWLPH RI FRQJHVWLRQ 7KH EXIIHULQJ LV
GRQH DW WKH LQSXWV FDOOHG LQSXW EXIIHUHG URXWHU ,%5  RU GRQH DW WKH RXWSXWV RI D URXWHU
FDOOHGRXWSXWEXIIHUHGURXWHU 2%5 7KH2%5KDVKLJKWKURXJKSXWYDOXHFRPSDUHGWR,%5
DQG ORZ TXHXLQJ GHOD\V HYHQ DW KLJKHU ORDGV $Q\KRZ WKH 2%5 WHFKQLTXH FDQQRW EH
LPSOHPHQWHG GLUHFW VLQFH HDFK URXWHU PXVW RSHUDWH DW 3 WLPHV VSHHGXS IRU  LWV
LPSOHPHQWDWLRQ ZKHUH 3 UHIHUV WR WKH QXPEHU  RI  URXWHU  SRUWV  ZKLFK  FDQ  HLWKHU  EH
URXWHU KDYLQJ 3 WLPHV PRUH LQWHUQDO EXIIHU DQG FURVVEDU SRUWV RU UHDOL]HG ZLWK WKH URXWHU
FORFNLQJ DW 3 WLPHV WKH OLQN FORFN IUHTXHQF\ )RU KLJK SHUIRUPDQFH FKLSPXOWLSURFHVVRUV
ERWK DVVXPSWLRQV FDQ EH XVHG IRU DFKLHYLQJ WKH GHVLJQ JRDOV 7KHUHIRUH ,%5 PLFUR
DUFKLWHFWXUHVDUHPRVWO\XVHGLQWKHGHVLJQFKRLFHDQGH[WHQVLYHSULRULW\HIIRUWVDUHPDGHXVH
RILQFRPSXWHUDUFKLWHFWXUDOGHVLJQLQJRYHU,%5GHVLJQVZLWKSLSHOLQLQJ



 
&,QWHUQHW5RXWHUV

8QOLNH RQFKLS URXWHUV ,QWHUQHW URXWHUV W\SLFDOO\ XVH WKH VWRUHDQG IRUZDUGLQJ RI
SDFNHWV DQG IOLWOHYHO IORZ FRQWURO LV ZLGHO\ XVHG DQG IOLWV FDQ EH IRUZDUGHG LPPHGLDWHO\
ZLWKRXW ZDLWLQJ IRU WKH UHPDLQLQJ IOLWV RI WKH VDPH SDFNHW WR DUULYH 7KHVH URXWHUV FDQQRW
RSHUDWH DW DJJUHVVLYH FORFN IUHTXHQFLHV OLNH RQFKLS URXWHUV DQG  WKH  URXWHU  SLSHOLQHV
SRVVHVVKLJKFRPSOH[LW\DWHDFK OHYHO
,QWKHXSFRPLQJIXWXUHVRI,QWHUQHWWKHURXWHUVSURYLGHYDOXHDGGHGVHUYLFHVVXFKDV
WUDQVSRUWDWLRQ RI GLJLWDO GDWD DORQJ ZLWK IRUZDUGLQJ RI GDWD SDFNHWV 7KLV WUHQG JHWV
PRWLYDWHG E\ ERWK VLGHV RI XVH E\ FXVWRPHUV DQG WHFKQLFDO VFHQDULR 7KH EHVW VHUYLFH
DVVXUDQFH LQ GLJLWDO FRPPXQLFDWLRQ GHPDQG LV DFKLHYHG IRU QHWZRUN FRQWHQWV DW  KLJKHU
SULFHV DQG VHPDQWLFDOO\ VRSKLVWLFDWHG DUH LQ GHPDQG E\ FXVWRPHUV DQG QHWZRUN XVHUV
,QWUXVLRQ GHWHFWLRQ DQG  FRS\ULJKW  PDQDJHPHQW  DUH  XVHG  LQ  SURWHFWLQJ  WKH  OHJDO
SURSHUWLHV IURP WKHIW DQG IRU FRUUHFW ELOOLQJ VHUYLFHV DFFRXQWLQJ VHUYLFHV DUH PDGH XVH RI
ZLWK QHWZRUN XVDJH 7R UHVHUYH WKH 4XDOLW\ RI 6HUYLFH 426  DQG SURYLGH XVHUFHQWULF
SHUIRUPDQFHZHXVHGLIIHUHQWLDWLRQDQGDGDSWDWLRQWRSHUPLWWKHGHOLYHU\RIGLJLWDO GDWD
$WWKH VDPHWLPHWKH KDUGZDUH PDQXIDFWXUHUVVWDUWHGWRGHYHORSURXWLQJ V\VWHPV
WR EH LQWHUIDFHG ZLWK VRIWZDUH SURJUDPPDEOH FRPPXQLFDWLRQ SURFHVVRUV XVLQJ KLJK VSHHG
VZLWFKLQJ IDEULF 7KXV SURJUDPPDEOH VRIWZDUH ZLWK PRUH IOH[LELOLW\ PDNHV LW SRVVLEOH IRU
YDOXHDGGHG VHUYLFHV UHTXLUHG RQ GHPDQG ZLWK LPSOHPHQWDWLRQ LQ  WHUPV  RI  JHQHUDO
SURJUDP 7KH URXWHU SURJUDPV WKXV GHVLJQHG DUH WKHQ LPSOHPHQWHG DV SHU WKH QHHGV RI
VSHFLILF DSSOLFDWLRQV DQG GLIIHUHQW V\VWHP SROLFLHV DQG ILQDOO\ HDFK URXWLQJ SURJUDP DUH
LQGLYLGXDOO\ LQYRNHG E\ WUDYHUVLQJ IORZV ZLWK WKH KHOS RI DQ DSSOLFDWLRQ SURJUDPPLQJ
LQWHUIDFH $3, 

'6RIWZDUH3URJUDPPDEOH5RXWHUV
7KH $3, VWDQGDUGL]DWLRQV %R =KDQJ HW DO  +RUQ  .DUO HW DO   ZHUH
SURSRVHG LQ YDULRXV UHVHDUFK ZRUNV LQ  DFKLHYLQJ  XQLYHUVDO  GHSOR\PHQW  DQG
LQWHURSHUDELOLW\ IRU YDOXH DGGHG VHUYLFHV 7KH GHVLJQ RI RSHUDWLQJ V\VWHP IRU URXWHUV IDFHV
QHZREVWDFOHVLQWKHGHVLJQRI6RIWZDUHSURJUDPPDEOHURXWHUV7KHLQLWLDOFKDOOHQJHOLHV
LQ DFFHVVLQJ VHYHUDO V\VWHP  UHVRXUFHV  IRU  WKH  URXWHU  SURJUDPV  ZKLFK  LQFOXGHV
IRUZDUGLQJ RI QHWZRUN EDQGZLGWK VWDWHVWRUH FDSDFLW\VHFRQGDU\ GDWD VWRUDJH ZKLFK ZLOO
EH XVHIXO ZKHQ URXWHU SURJUDPV FROOHFW H[WHQVLYH V\VWHP GDWD DQG  PRQLWRULQJ  RI  URXWHU
&38 F\FOHV 7R PDNH WKH VFKHGXOLQJ DOJRULWKPV ZRUN ZLWK  GLYHUVH  UHVRXUFH

 
FKDUDFWHULVWLFV WKH\ PXVW EH GHYHORSHG LQ D PDQQHU WR VROYH WKH UHVRXUFH FR VFKHGXOLQJ
LVVXHV
6HFRQGO\ WKH QH[W JHQHUDWLRQ ,QWHUQHW PXVW VXSSRUW D ODUJH FRPPXQLW\ RI  KHWHURJHQHRXV
UHVRXUFH FRQVXPHUV ZKRVH UHVRXUFH GHPDQGV ZLOO HLWKHU KDYH WR EH FRRUGLQDWHG WR  HQDEOH
FRRSHUDWLRQRUDUELWUDWHGWRUHVROYHFRPSHWLWLRQ7KHUHIRUHSURSHUDEVWUDFWLRQVIRUUHVRXUFH
DOORFDWLRQV VFKHGXOLQJ WHFKQLTXHV IOH[LEOH DQG HIILFLHQW IORZ GLIIHUHQWLDWLRQ IRU UHVRXUFH
ELQGLQJDUHQHFHVVDU\WRVXSSRUWVHYHUDOVLWXDWLRQVRILVRODWLRQDQGUHVRXUFHVKDULQJ7KXVWKH
GHVLJQHGURXWHU26 KDYHWREHFRPSDWLEOHZLWKH[SRUWLQJGLIIHUHQW$3,VRYHU PXOWLSOHYLUWXDO
PDFKLQHVWKXVSURYLGLQJYDULRXVDGYDQWDJHVVXFKDVGLIIHUHQW$3,VFDQ EHSURYLGHGIRU
GLIIHUHQW  FODVVHV RI DSSOLFDWLRQV  RU GLIIHUHQW ,QWHUQHW VHUYLFH SURYLGHUV FDQ SUHIHU GLIIHUHQW
³URXWHUVHUYLFHSURYLGHUV´
$GGLWLRQDOO\WKH$3,GHVLJQLQYROYHVPDQ\YHUVLRQVGXHWREXJIL[HVUHPRYDO
RIRXWGDWHGIXQFWLRQV DQG LQFOXVLRQ RI ODWHVWIXQFWLRQV7KLV LVPRUH EHQHILFLDOZKLOH ERWK
QHZHU DQG ROGHU YHUVLRQV RI WKH YLUWXDO PDFKLQH DUH RSHUDWLRQDO DW WKH VDPH WLPH VXFK DV
ZLWKRXWGLVUXSWLRQRIVHUYLFHVIROORZLQJWKHOHJDOSROLFLHV
(/DWHQF\6LJQLILFDQW5RXWHUV
/DWHQF\ LV UHFRJQL]HG DV RQH RI WKH PRVW FULWLFDO GHVLJQ FKDUDFWHULVWLFV IRU RQFKLS
LQWHUFRQQHFWLRQQHWZRUNDUFKLWHFWXUHV,QWKLVZRUNZHSURSRVHDSHUIRUPDQFHPRGHOZKLFK
SUHGLFWVWKHODWHQF\RIIORZVLQDQHWZRUNRQFKLS 12& EDVHGV\VWHP3HUIRUPDQFHPRGHOV
DUH IUHTXHQWO\ HPSOR\HG E\ V\VWHP GHVLJQHUV IRU HDUO\ DUFKLWHFWXUH DQG GHVLJQ GHFLVLRQV
7\SLFDOO\ HQJLQHHUV FRQVWUXFW D SHUIRUPDQFH PRGHO DQG WKHQ FRPSDUH IXWXUH WHFKQRORJ\
RSWLRQVEDVHGRQSHUIRUPDQFH PRGHOSURMHFWLRQV7R WKLVHQGDSSOLFDWLRQDQGDUFKLWHFWXUH
PRGHOVDUHILUVWGHYHORSHGVHSDUDWHO\7KHQWKHDSSOLFDWLRQLVPDSSHGWRWKHDUFKLWHFWXUHDQG
D SHUIRUPDQFH PRGHO LV XVHG WR HYDOXDWH WKH FKRVHQ DSSOLFDWLRQDUFKLWHFWXUH FRPELQDWLRQ
1RZDGD\VPRVWSHUIRUPDQFHPRGHOVRI 12&¶VUHO\RQVLPXODWLRQV7KHXVHRIVLPXODWLRQ
H[SHULPHQWV  PDNHWKH  WDVNRI  VHDUFKLQJ IRU HIILFLHQW GHVLJQV FRPSXWDWLRQDOO\ LQWHQVLYH
DQGGRHVQRWVFDOHZHOOZLWKWKHVL]HRIQHWZRUNV
7KHUHIRUH LWLVVLPSO\ LPSRVVLEOH WR XVHWKH VLPXODWLRQ LQRSWLPL]DWLRQ  ORRSV $Q
DOWHUQDWLYH DSSURDFK LV DQ DQDO\WLFDO PRGHO ZKLFK FDQ HVWLPDWH WKH  GHVLUHG SHUIRUPDQFH
PHWULFV LQD IUDFWLRQ RI WLPH $QDO\WLFDO PRGHOVFDQ EH XVHG  WR  SUXQH  WKH ODUJH  GHVLJQ
VSDFH  LQ D  YHU\  VKRUW  WLPHFRPSDUHG  WR  VLPXODWLRQ  7KXV  LWLV MXVWLILHG WR GHULYH
DFFXUDWHDQDO\WLFDOPRGHOVIRUSHUIRUPDQFHSUHGLFWLRQRI12&¶VWRHOLPLQDWHWKHQHHGIRU
WLPHFRQVXPLQJVLPXODWLRQV

 
&LUFXLW VZLWFKHG QHWZRUNV UHVHUYH D SK\VLFDO SDWK EHIRUH WUDQVPLWWLQJ WKH GDWD
SDFNHWV ZKLOH SDFNHW VZLWFKHG QHWZRUNV WUDQVPLW WKH SDFNHWV ZLWKRXW UHVHUYLQJ WKH HQWLUH
SDWK 7KH 12& DUFKLWHFWXUH LV D P î Q PHVK RI VZLWFKHV DQG UHVRXUFHV DUH SODFHG RQ WKH
VORWV IRUPHG E\ WKH VZLWFKHV :H SURSRVH D SDFNHW VZLWFKHG SODWIRUP IRU  VLQJOH  FKLS
V\VWHPVZKLFKVFDOHVZHOOWRDQDUELWUDU\QXPEHURISURFHVVRU
7R GHVLJQ WKH   URXWHU DUFKLWHFWXUH DQG WR DSSO\ WKH PHVK WRSRORJ\ FRQQHFWLRQ
EHWZHHQ   12& GHVLJQ 7KH   12& GHVLJQ  LV WR  UHGXFH  WKH  HQHUJ\ FRQVXPSWLRQ
OHYHO IRU LQWHU DQG LQWUD FKLS FRPPXQLFDWLRQ SURFHVV 6R ZH XVH  WKH  ZHLJKWHG  ELW
FDOFXODWLRQ IRU HYHU\ URXWHU SODFHPHQW SRVLWLRQ LQ   12& GHVLJQ 7KH GDWD  WUDQVIHU
SURFHVV LVWRDQDO\VLVWKHDOOURXWHUSRVLWLRQ OHYHO DQG WR ILQGWKHVKRUWHVWSDWKEHWZHHQ
WKH VRXUFH DQG GHVWLQDWLRQ URXWHU 6R ZH FKHFN WKH ORZ ZHLJKWHG ELW OHYHO IRU QHDUHVW
QHLJKERU URXWHU HVWLPDWLRQ SURFHVV 7KLV SURFHVV LV WR DQDO\VLV WKH PLQLPXP  URXWHU
ZHLJKWHG ELWV 7KH QHLJKERU URXWHU HVWLPDWLRQ FRQWURO LV XVHG WR FKHFN WKH VKRUWHVW SDWK
LGHQWLILFDWLRQ FRQWURO 7KH GLVWDQFH FDOFXODWLRQ LV WR FDOFXODWH WKH ORZ GLVWDQFH URRW IRU
VKRUWHVW SDWK LGHQWLILFDWLRQ 7KH PLQLPXP GLVWDQFH OHYHO LV WR LGHQWLI\ WKH VKRUWHVW URXWH
EHWZHHQ WKH VRXUFH DQG GHVWLQDWLRQ 7KH QHLJKERU HVWLPDWLRQ SURFHVV LV WR PDLQWDLQ
FRQWLQXRXVO\ DQG WR UHDFK WKH GHVWLQDWLRQ SURFHVV WR VWRS WKH GLVWDQFH FDOFXODWLRQ IRU
QHLJKERUHVWLPDWLRQSURFHVV
7KH LQIRUPDWLRQ SURYLGHG GXULQJ WKH SHUIRUPDQFH DQDO\VLV VWHS FDQ EHXVHG LQDQ\
RSWLPL]DWLRQ ORRS IRU 12&¶V VXFK DV WRSRORJ\ VHOHFWLRQ DSSOLFDWLRQ PDSSLQJ DQG EXIIHU
DOORFDWLRQ $OWKRXJK WKH XVH RI KLJKOHYHO  PRGHOV  FRQFHDOV  D  ORW  RI  FRPSOH[
WHFKQRORJLFDO DVSHFWV LW IDFLOLWDWHV IDVW H[SORUDWLRQ RI WKH 12& GHVLJQ VSDFH $FFXUDWH
VLPXODWLRQV FDQ EH VHWXS DW ODWHU VWHSV RI GHVLJQ  SURFHVV  ZKHQ  WKH  GHVLJQ  VSDFH  LV
UHGXFHGWRDIHZSUDFWLFDOFKRLFHV
) 9/6,'HVLJQ+LHUDUFKLHV
8VH RI KLHUDUFK\ RU ³GLYLGH DQG FRQTXHU´ WHFKQLTXH  LQYROYHV  GLYLGLQJ D  PRGXOH
LQWRVXEPRGXOHVDQGWKHQUHSHDWLQJWKLVRSHUDWLRQRQWKHVXEPRGXOHVXQWLOWKHFRPSOH[LW\
RIWKHVPDOOHUSDUWVEHFRPHVPDQDJHDEOH
7KLVDSSURDFK LVYHU\VLPLODUWRWKHVRIWZDUHFDVHZKHUH ODUJHSURJUDPVDUH
VSOLWLQWRVPDOOHUDQGVPDOOHUVHFWLRQVXQWLOVLPSOHVXEURXWLQHVZLWKZHOOGHILQHG IXQFWLRQV
DQGLQWHUIDFHVFDQEHZULWWHQ
7KH KLHUDUFKLFDO GHVLJQ DSSURDFK UHGXFHV WKH GHVLJQ FRPSOH[LW\ E\ GLYLGLQJ WKH
ODUJH V\VWHP LQWR VHYHUDO VXEPRGXOHV 8VXDOO\ RWKHU GHVLJQ FRQFHSWV DQG GHVLJQ

 
DSSURDFKHV DOVR QHHGHG WR VLPSOLI\ WKH SURFHVV 5HJXODULW\ PHDQV WKDW WKH KLHUDUFKLFDO
GHFRPSRVLWLRQRIDODUJHV\VWHPVKRXOGUHVXOWLQQRWRQO\VLPSOHEXWDOVRVLPLODUEORFNV DV

PXFKSRVVLEOH
6HYHUDO GHVLJQ VW\OHV FDQ EH FRQVLGHUHG IRU FKLS LPSOHPHQWDWLRQ RI VSHFLILHG
DOJRULWKPV RU ORJLF IXQFWLRQV (DFK GHVLJQ VW\OH KDV LWV RZQ PHULWV DQG VKRUWFRPLQJV DQG
WKXV D SURSHU FKRLFH KDV WR EH PDGH E\ GHVLJQHUV  LQRUGHUWR SURYLGH WKH IXQFWLRQDOLW\ DW
ORZFRVW


)9(5,/2*+'/
7KH9HULORJKDUGZDUHGHVFULSWLRQODQJXDJHXVXDOO\MXVWFDOOHG9HULORJZDVGHVLJQHG
DQGILUVWLPSOHPHQWHGE\3KLOPRRUE\DW*DWHZD\'HVLJQDXWRPDWLRQ LQDQG
,WZDVILUVWXVHGLQDQGZDVH[WHQGHGVXEVWDQWLDOO\WKURXJK
7KH LPSOHPHQWDWLRQ ZDV WKH 9HULORJ VLPXODWRU VROG E\ JDWHZD\ 7KH ILUVW PDMRU
H[WHQVLRQ ZDV 9HULORJ;/ ZKLFK DGGHG D IHZ IHDWXUHV DQG LPSOHPHQWHG WKH LQIDPRXV
DOJRULWKP ZKLFK ZDV D YHU\ HIILFLHQW PHWKRG IRU GRLQJ JDWH OHYHO VLPXODWLRQ  7KLV
RFFXUUHG LQ  DQG PDUNHG WKH EHJLQQLQJ RI 9HULORJ¶V JURZWK SHULRG ,Q  V\QRSVLV
GHOLYHUHGWKHILUVWORJLFV\QWKHVL]HUZKLFKXVHG9HULORJDVDQLQSXWODQJXDJH
7KLVZDVD PDMRUUHFHQWDVQRZWKHWRSGRZQGHVLJQ PHWKRGRORJ\FRXOGDFWXDOO\
EH XVHG HIIHFWLYHO\ 7KH GHVLJQ FRXOG EH GRQH DW WKH ³UHJLVWHU WUDQVIHU OHYHO´ DQG WKHQ
6\QRSVLV GHVLJQ FRPSLOHU FRXOG WUDQVODWH WKDW LQWR JDWHV :LWK WKLV HYHQW  WKH  XVH  RI
9HULORJLQFUHDVHGGUDPDWLFDOO\
)0RGHOOLQJ/HYHOV2I$EVWUDFWLRQ

9HULORJLVERWKDEHKDYLRUDODQGVWUXFWXUDO ODQJXDJH,QWHUQDOVRIHDFK PRGXOH FDQ
EH GHILQHV DW IRXU OHYHOV RI DEVWUDFWLRQ GHSHQGLQJ RQ  WKH  QHHGV  RI  WKH  GHVLJQ  7KH
LQWHUQDO RI WKH PRGXOH DUH KLGGHQ IURP WKH HQYLURQPHQW 7KXV WKH OHYHO RI DEVWUDFWLRQ WR
GHVFULEH D PRGXOH FDQ EH FKDQJHG ZLWKRXW DQ\  FKDQJH  LQ  WKH  HQYLURQPHQW  7KH
PRGHOOLQJ OHYHOV RI DEVWUDFWLRQ ± WKH\ DUH EHKDYLRUDO PRGHOLQJ GDWDIORZ PRGHOLQJ  DQG
JDWHOHYHOPRGHOOLQJVZLWFKOHYHOPRGHOOLQJ
)%HKDYLRUDO2U$OJRULWKPLF/HYHO0RGHOOLQJ
7KLV LVWKHKLJKHVWOHYHORIDEVWUDFWLRQSURYLGHGE\9HULORJ+'/$PRGXOHFDQEH
LPSOHPHQWHG LQ WHUPV RI WKH GHVLUHG GHVLJQ DOJRULWKP ZLWKRXW FRQFHUQ RI WKH KDUGZDUH
LPSOHPHQWDWLRQGHWDLOV'HVLJQLQJDWWKLVOHYHOLVYHU\VLPLODUWR&SURJUDPPLQJ

 

:LWK WKH LQFUHDVLQJ FRPSOH[LW\ RI WKH GLJLWDO GHVLJQ LW KDV EHFRPH YLWDOO\ YHU\
LPSRUWDQWWRPDNHZLVHGHVLJQGHFLVLRQVHDUO\  LQWKHSURMHFW'HVLJQHUV QHHGWR EH
DEOHWRHYDOXDWHWKHWUDGHRIIVRIYDULRXVDUFKLWHFWXUHDQG DOJRULWKPVEHIRUHWKH\GHFLGHRQ
WKHRSWLPXPDUFKLWHFWXUHDQGDOJRULWKPWRLPSOHPHQWLQKDUGZDUH


)'DWDIORZ0RGHOOLQJ

$W WKLV OHYHO WKH PRGXOH LV GHVLJQHG E\ VSHFLI\LQJ WKH GDWDIORZ 7KH GHVLJQHU LV
DZDUH RI KRZ GDWD IORZV EHWZHHQ KDUGZDUH UHJLVWHUV DQG KRZWKH GDWD LVSURFHVVHG LQWKH
GHVLJQ)RUVPDOOFLUFXLWVWKHJDWHOHYHO PRGHOOLQJDSSURDFKZRUNVYHU\ZHOOEHFDXVH
WKH QXPEHU RI JDWHV LV OLPLWHG DQG WKH GHVLJQHU FDQ LQVWDQWLDWH DQG FRUUHFWV HYHU\ JDWH
LQGLYLGXDOO\
$OVR JDWH OHYHO PRGHOOLQJ LV YHU\  LQWXLWLYH  WR  D  GHVLJQHU  ZLWK  WKH  EDVLF
NQRZOHGJH RI GLJLWDO ORJLF GHVLJQ +RZHYHU LQ FRPSOH[  GHVLJQV  WKH  QXPEHU RI JDWHV LV
YHU\ ODUJH 7KXV GHVLJQHUV FDQ GHVLJQ PRUH HIIHFWLYHO\ LI WKH\  FRQFHQWUDWH  RQ
LPSOHPHQWLQJ WKH IXQFWLRQ DW D OHYHO RI DEVWUDFWLRQ KLJKHU WKDQ JDWH OHYHO 'DWDIORZ
PRGHOOLQJSURYLGHVDSRZHUIXOZD\WRLPSOHPHQWD GHVLJQ
)*DWH/HYHO0RGHOOLQJ
7KH PRGXOH LV LPSOHPHQWHG LQWHUPV RI ORJLFJDWHV DQG LQWHUV FRQQHFWLRQ EHWZHHQ
WKHVH JDWHV 'HVLJQ DW WKLV OHYHO LV VLPLODU WR GHVFULELQJ GHVLJQ LQ WHUPV RI D JDWH OHYHO
GLDJUDP D ORJLF FLUFXLW FDQ EH GHVLJQHG E\ WKH XVH RI ORJLF JDWHV 9HULORJ VXSSRUWV EDVLF
ORJLF JDWHV DQG SUHGHILQHG SULPLWLYHV 7KHVH SULPLWLYHV DUH LQVWDQWLDWHG OLNH PRGXOHV
H[FHSW WKDW WKH\ DUH SUHGHILQHG LQ 9HULORJ DQG GR QRW QHHG PRGXOH GHILQLWLRQ $OO ORJLF
FLUFXLWVFDQEHGHVLJQHGE\XVLQJEDVLFJDWHV
)6ZLWFK/HYHO0RGHOOLQJ

7KLV LV WKH ORZHVW OHYHO RI DEVWUDFWLRQ SURYLGHG E\ 9HULORJ $ PRGXOH FDQ EH
LPSOHPHQWHG LQ WHUPV RI VZLWFKHV VWRUDJH QRGHV DQG LQWHUFRQQHFWLRQV EHWZHHQ WKHP
'HVLJQ UHTXLUHV DW WKLV OHYHO NQRZOHGJH RI VZLWFK OHYHO LPSOHPHQWDWLRQ GHWDLOV 7KXV ZH
H[SODLQHG GLJLWDO GHVLJQ DQG VLPXODWLRQ DW D KLJKHU OHYHO RI DEVWUDFWLRQ VXFK DV JDWHV GDWD
IORZDQGEHKDYLRUPRGHOLQJLQWKHGLJLWDOGHVLJQFRPPXQLW\
7KH WHUP 5HJLVWHU 7UDQVIHU /HYHO 57/  LV IUHTXHQWO\  XVHG  IRU  D  9HULORJ
GHVFULSWLRQWKDWXVHVDFRPELQDWLRQRIEHKDYLRUDODQGGDWDIORZFRQVWUXFWVDQGLVDFFHSWDEOH

 
WR ORJLF V\QWKHVLV WRROV ,I D GHVLJQ FRQWDLQV IRXU PRGXOHV 9HULORJ DOORZV HDFK RI WKH
PRGXOHV WR EH ZULWWHQ DW D GLIIHUHQW OHYHO RI DEVWUDFWLRQ $V WKH GHVLJQ PDWXUHV PRVW
PRGXOHVDUHUHSODFHGZLWKJDWHOHYHOLPSOHPHQWDWLRQ
*$SSOLFDWLRQ6SHFLILF,QWHJUDWHG&LUFXLW

$Q DSSOLFDWLRQVSHFLILF LQWHJUDWHG FLUFXLW $6,&  LV  DQ  LQWHJUDWHG  FLUFXLW


FXVWRPL]HGIRUDSDUWLFXODUXVHUDWKHUWKDQ LQWHQGHGIRUJHQHUDOSXUSRVHXVH)RUH[DPSOH
D FKLS GHVLJQHG VROHO\ WR UXQ D FHOO  SKRQH  LVDQ  $6,& ,Q FRQWUDVWWKH  VHULHVDQG
 VHULHV LQWHJUDWHG FLUFXLWV DUH ORJLF EXLOGLQJ EORFNV WKDW FDQ EH ZLUHG WRJHWKHU WR
SHUIRUP PDQ\ GLIIHUHQW DSSOLFDWLRQV ,QWHUPHGLDWH EHWZHHQ $6,&  DQG  VWDQGDUG  SURGXFWV
DUHDSSOLFDWLRQVSHFLILFVWDQGDUGSURGXFWV $663 
$V IHDWXUH VL]HV KDYH VKUXQN DQG GHVLJQ WRROV LPSURYHG RYHU WKH  \HDUV  WKH
PD[LPXP FRPSOH[LW\ DQG IXQFWLRQDOLW\  SRVVLEOH  LQ  DQ  $6,&  KDV  JURZQ  IURP  
JDWHV WR RYHU    PLOOLRQ  0RGHUQ  $6,&  RIWHQ  LQFOXGH  HQWLUH  ELW  SURFHVVRUV
PHPRU\ EORFNV LQFOXGLQJ 520 5$0 ((3520 )ODVK DQG RWKHU ODUJH EXLOGLQJ EORFNV
6XFK DQ $6,& LV RIWHQ WHUPHG D 62& 'HVLJQHUV RI GLJLWDO $6,&  XVH  D  KDUGZDUH
GHVFULSWLRQ ODQJXDJH +'/  VXFK DV 9HULORJ RU 9+'/ WR GHVFULEH WKH IXQFWLRQDOLW\ RI
$6,&
)LHOG SURJUDPPDEOH JDWH DUUD\V )3*$  DUH WKH PRGHUQ GD\ HTXLYDOHQW RI 
VHULHV ORJLF DQG D EUHDGERDUG FRQWDLQLQJ SURJUDPPDEOH ORJLF EORFNV DQG SURJUDPPDEOH
LQWHUFRQQHFWV WKDW DOORZ WKH VDPH )3*$ WR EH XVHG LQ PDQ\ GLIIHUHQW DSSOLFDWLRQV )RU
VPDOOHUGHVLJQVDQGRUORZHUSURGXFWLRQ YROXPHV)3*$ PD\ EH PRUHFRVWHIIHFWLYHWKDQ
DQ $6,& GHVLJQ 7KH 1RQUHFXUULQJ HQJLQHHULQJ FRVW WKH FRVW WR VHWXS WKH IDFWRU\ WR
SURGXFH D SDUWLFXODU $6,&  FDQ UXQ LQWR KXQGUHGV RI  WKRXVDQGV  RI GROODUV  7KH  JHQHUDO
WHUP DSSOLFDWLRQ VSHFLILF LQWHJUDWHG FLUFXLW LQFOXGHV )3*$ EXW PRVW GHVLJQHUV XVH  $6,&
RQO\ IRU QRQ ILHOG SURJUDPPDEOH GHYLFHV HJ VWDQGDUG FHOO RU VHD RI JDWHV  DQG GLIIHU
EHWZHHQ$6,&DQG)3*$
*&RPSDULVRQ:LWK)3*$
$ ILHOG SURJUDPPDEOH JDWH DUUD\ )3*$  LV D VHPLFRQGXFWRU GHYLFH FRQWDLQLQJ
SURJUDPPDEOH ORJLF FRPSRQHQWV DQG SURJUDPPDEOH LQWHUFRQQHFWV  7KH  SURJUDPPDEOH
ORJLF FRPSRQHQWV FDQ EH  SURJUDPPHG  WR  GXSOLFDWH  WKH  IXQFWLRQDOLW\  RI  EDVLF  ORJLF
JDWHV VXFK DV $1' 25 ;25 127 RU PRUH FRPSOH[ FRPELQDWLRQDO IXQFWLRQV VXFK DV
GHFRGHUVRUVLPSOHPDWKIXQFWLRQV
,Q PRVW  )3*$  WKHVH  SURJUDPPDEOH  ORJLF  FRPSRQHQWV  RU  ORJLF  EORFNV  LQ
 
)3*$ SDUODQFH  DOVR LQFOXGH PHPRU\ HOHPHQWV ZKLFK PD\ EH VLPSOH IOLSIORSV RU PRUH
FRPSOHWH EORFNV RI PHPRULHV $ KLHUDUFK\ RI SURJUDPPDEOH LQWHUFRQQHFWV DOORZV WKH
ORJLF EORFNV RI DQ )3*$ WR EH ,QWHUFRQQHFWHG DV QHHGHG E\ WKH V\VWHP GHVLJQHU
VRPHZKDWOLNHDRQHFKLSSURJUDPPDEOHEUHDGERDUG

6R WKDW WKH )3*$ FDQ SHUIRUP ZKDWHYHU ORJLFDO IXQFWLRQ LV QHHGHG )3*$ DUH
JHQHUDOO\ VORZHU WKDQ WKHLU DSSOLFDWLRQVSHFLILF LQWHJUDWHG  FLUFXLW  $6,&   FRXQWHUSDUWV
FDQ W KDQGOH DV FRPSOH[ D GHVLJQ DQG GUDZ PRUH SRZHU +RZHYHU WKH\ KDYH VHYHUDO
DGYDQWDJHV VXFK DV D VKRUWHUWLPH WR PDUNHW DELOLW\  WR UHSURJUDP  LQWKH  ILHOG  WR  IL[
EXJVDQGORZHUQRQUHFXUULQJHQJLQHHULQJFRVWV
+$SSOLFDWLRQV2I$6,&
$SSOLFDWLRQV RI $6,& LQFOXGH '63 VRIWZDUHGHILQHG UDGLR DHURVSDFH DQG GHIHQFH
V\VWHPV $6,& SURWRW\SLQJ PHGLFDO LPDJLQJ FRPSXWHU YLVLRQ VSHHFK UHFRJQLWLRQ
FU\SWRJUDSK\ ELRLQIRUPDWLFV FRPSXWHU KDUGZDUH HPXODWLRQ DQG D JURZLQJ UDQJH RI RWKHU
DUHDV$6,&FRPSHWHGLQDVLPLODUVSDFHWKDWRIJOXHORJLFIRU3&%V
+)3*$'HVLJQ$QG3URJUDPPLQJ
7R GHILQH WKH EHKDYLRU RI WKH )3*$ WKH XVHU SURYLGHV D KDUGZDUH GHVFULSWLRQ
ODQJXDJH +'/  RU D VFKHPDWLF GHVLJQ &RPPRQ +'/ LV9+'/ DQG 9HULORJ7KHQ XVLQJ
DQ HOHFWURQLF GHVLJQ DXWRPDWLRQ WRRO D WHFKQRORJ\ PDSSHG QHW OLVW  LV JHQHUDWHG 7KH QHW
OLVW FDQ WKHQ EH ILWWHG WR WKH DFWXDO )3*$ DUFKLWHFWXUH XVLQJ D SURFHVV FDOOHG  SODFHDQG
URXWH XVXDOO\ SHUIRUPHG E\ WKH )3*$ &RPSDQ\¶V SURSULHWDU\ SODFHDQGURXWH VRIWZDUH
&RPSDQLHV VXFK DV &DGHQFH 6\QRSVLV DQG &DOH[LFR DUH SURPRWLQJ 6\VWHP & DV D ZD\ WR
FRPELQH KLJK OHYHO ODQJXDJHV ZLWK FRQFXUUHQF\ PRGHOV WR DOORZ IDVWHU GHVLJQ F\FOHV IRU
)3*$WKDQLVSRVVLEOHXVLQJWUDGLWLRQDO+'/

0RWLYDWLRQ2I7KH5HVHDUFK

7KH SRZHU FRQVXPSWLRQ LV WKH PDMRU  FRQFHUQ  LQ  KDQGKHOG  QHWZRUNLQJ GHYLFHV
0RVW RI WKH SRZHU LQ 1HWZRUN RQ FKLS LV FRQVXPHG E\ URXWHU WR IRUZDUG  WKH  SDFNHWV
WKURXJK LW +HQFH WKH ORZ SRZHU DQG ORZ ODWHQF\ URXWHU LV YLWDO LQ QHWZRUN RQ FKLS
HTXLSPHQW¶VWRLPSURYHWKHHIILFLHQF\RIWKHV\VWHP
7KH UHGXFWLRQ LQ ODWHQF\ ZLOO LPSURYH WKH VSHHG RI WKH  QHWZRUN  RQ  FKLS URXWHU
ZKLFK IXUWKHU LQFUHDVHV WKH WKURXJKSXW RI WKH V\VWHP 7KH FRQYHQWLRQDO 12& V\VWHP LV
EDVHGRQHLWKHUZLUHGRUZLUHOHVVWRSRORJ\7KHSURSRVHGV\VWHP LVEDVHGRQK\EULGRIWKH
ZLUHGDQGZLUHOHVV12&V\VWHPZKLFK LQFUHDVHVWKHHIILFLHQF\ RI WKHV\VWHP7KHSUHVHQW

 
1HWZRUNRQ &KLS URXWHU KDV RQO\ PLQLPXP QXPEHU RI SRUWV IRU GDWDWUDQVIHUULQJ EHWZHHQ
YDULRXVWRSRORJLHVZKLFKUHGXFHGWKURXJKSXWRUGDWDUDWH+HQFHWKHUH LVDZLGHUDQJH
RIUHTXLUHPHQWVIRUPXOWLOHYHOSRUWVEHWZHHQYDULRXVQHWZRUNWRSRORJLHVZKLFKLQFUHDVHV

WKHOHYHORIWKURXJKSXWWRKLJKOHYHORIVLJQLILFDQFH
7KH UHGXFWLRQ RI LQEXLOW PHPRU\ LQ 12& DUFKLWHFWXUH ZLOO LPSURYH WKH SRZHU
FRQVXPSWLRQ HIILFLHQF\ 7KH SURSRVHG V\VWHP ZLOO UHVROYH WKLV SUREOHP E\ LPSOHPHQWLQJ
VKDUHGEXIIHULQ12&URXWHU

5HVHDUFKTXHVWLRQV

7KHREMHFWLYHV UHVHDUFKTXHVWLRQV IRUDFKLHYLQJWKLVJRDODUHIRUPXODWHGDVIROORZV

 7R GHVLJQ D ORZ SRZHU PXOWLSRUW 12& URXWHU $UFKLWHFWXUH XVLQJ SRUW ZHLJKWHG
$OJRULWKP
 7RGHVLJQDQGDQDO\VLV6KDUHG%XIIHU 5RXWHU$UFKLWHFWXUHIRU/RZ3RZHU$SSOLFDWLRQV
WRUHGXFHWKHSRZHUFRQVXPSWLRQDQGLQFUHDVLQJWKHWKURXJKSXWRIWKHV\VWHP
 7R LQWHQG +\EULG ZLUHOHVV RQ FKLS LQWHUIDFH EHWZHHQ ZLUHG DQG ZLUHOHVV  URXWHUV  WR
UHGXFHWKHODWHQF\
 7R SURSRVH D JHQHULF PXOWLSRUW VHOHFWLRQ VFKHPH IRU SRUW DQG SRUW URXWHU
DUFKLWHFWXUH
 7R LQYHVWLJDWH WKH UHOLDELOLW\ DQG H[WHQGLELOLW\ RI GHYHORSHG SRUW ZHLJKW EDVHG QHWZRUN
RQFKLS URXWHU DUFKLWHFWXUH VFKHPH ZLWK UHVSHFW WR WKH YDULRXV SHUIRUPDQFH HYDOXDWLRQ
SDUDPHWHUV
 7R DQDO\]H WKH SHUIRUPDQFH RI WKH SURSRVHG ORZ SRZHU ZHLJKW EDVHG 12& 5RXWHU
DUFKLWHFWXUH EDVHG RQ WKH SDUDPHWHUV VXFK  DV  QXPEHU  RI  VOLFHV 6   QXPEHU RI
/87ெV /RRN XS WDEOH 6OLFH ODWFKHV 6/ 2FFXSLHG 6OLFH ODWFKHV 26/ ,2% /DWFKHV ,QSXW
2XWSXW %ORFN  ,QSXW ,%8)ெV ,QSXW %XIIHUV  JDWH FRXQWV *$ /DWHQF\ /  DQG 3RZHU
FRQVXPSWLRQ 3& 
 7RSHUIRUPFRPSDULVRQWRYDOLGDWHWKHUHVXOWVREWDLQHG

 2UJDQL]DWLRQ2I7KH%RRN

7KLV%RRNLVFRPSRVHGRIILYHFKDSWHUV,QFOXGLQJ,QWURGXFWLRQDQGFRQFOXVLRQV7KH
WKHVLVKDVEHHQRUJDQL]HGDVIROORZV

,QWURGXFWRU\HODERUDWHVWKHQHHGIRUWKHQHWZRUNRQFKLSURXWHUDQGDOVR LWGLVFXVVHVWKH
 
V\VWHPRQFKLSFRQFHSWV,WGLVFXVVHVWKHQHHGRIQHWZRUNV2Q&KLS 12& 

DUFKLWHFWXUHV IRU WKH HIIHFWLYH IDEULF IRU ERWK JHQHUDOSXUSRVH FKLS PXOWL SURFHVVRUV DQG
DSSOLFDWLRQVSHFLILF V\VWHPVRQFKLS GHVLJQV &K JLYHV WKH VWUDQG IRU SUREOHP RI WKH
WKHVLV 7KLV FKDSWHU SURYLGHV WKH GHWDLOHG OLWHUDWXUH VXUYH\ PDGH LQWKH DUHD RI QHWZRUN RQ
FKLS URXWHU ZLWK YDULRXV SHUIRUPDQFH HYDOXDWLRQ  SDUDPHWHUV 7KLVFKDSWHU DOVR SURYLGHV
WKH GHWDLOHG OLWHUDWXUH VXUYH\ RQ WKH 12&5RXWHU  7KLVFKDSWHU  GLVFXVVHV WKH OLPLWDWLRQV
DQG DGYDQWDJHV RI WKH FRQYHQWLRQDO DUFKLWHFWXUHV  IRU  ORZ  SRZHU  DSSOLFDWLRQV  ,W  DOVR
VWDWHV WKH GLVFXVVLRQ RQ WKH UHVXOWV RI WKH H[LVWLQJ ZRUNV RQ 12& URXWHU DUFKLWHFWXUHV
'\QDPLF%XIIHU$OORFDWLRQ)RU&RQJHVWLRQ$YRLGDQFHLVH[SLDQHGLQ&K
'\QDPLF %XIIHU $OORFDWLRQ )RU &RQJHVWLRQ $YRLGDQFH EDVHG URXWHU   DUFKLWHFWXUH LV
SURSRVHG 7KH PXOWLSRUW HQFRGHU HQFRGHV WKH LQFRPLQJ SDFNHW XVLQJ SURFHVVLQJ
HOHPHQWV 7KH FURVV EDU DUFKLWHFWXUH  IRUZDUGV  WKH  SDFNHWV  HLWKHU  VHULDO  PRGH RU
SDUDOOHO PRGH EDVHG RQ WKH FRQWURO ELWV RI WKH LQFRPLQJ SDFNHW 7KH SDFNHWV DUH
IRUZDUGHGWRZDUGVWKHRXWSXWSRUWRIWKHURXWHUEDVHGRQWKHPD[LPXPEDQGZLGWK7KH
SRUWZHLJKWEDVHGURXWLQJPHWKRGRORJ\ LVDOVRSURSRVHGLQWKLVUHVHDUFKZRUNIRUORZ
SRZHUDSSOLFDWLRQV
&KGHDOVZLWK(QKDQFHG $GDSWLYH 5RXWLQJ 6WUDWHJLHV )RU 1HWZRUNV 2Q
&KLS ,Q WKLV FKDSWHU WKH HQKDQFHG DGDSWLYH URXWLQJ VWUDWHJLHV IRU QHWZRUNV RQ FKLS
DUFKLWHFWXUHLVSURSRVHGWRUHGXFHWKHSRZHUFRQVXPSWLRQDQG LQFUHDVLQJWKHWKURXJKSXWRI
WKH V\VWHP 7KH VKDUHG EXIIHU LV HPSOR\HG EHWZHHQ WKH PXOWL SRUWV RI  WKH  URXWHU
DUFKLWHFWXUH 7KH SHUIRUPDQFH RI WKH SURSRVHG URXWHU LV DQDO\]HG LQ WHUPV RI SRZHU DQG
FXUUHQWFRQVXPSWLRQZLWKFRQYHQWLRQDOPHWKRGV$QDSSHQGL[RQJORVVDU\LVDOVRVHHQDWWKH
HQG


 
&KDSWHU

/LWHUDWXUH6XUYH\

,QWURGXFWLRQ

2QFKLS FRPPXQLFDWLRQ LV XVXDOO\ WDNLQJ SDUW LQ DQ LQFUHDVLQJO\ GRPLQDWLQJ SDUW LQ
6\VWHP DERXW &KLSV 62&  VW\OH DV WKH WHFKQRORJ\ VFDOHV DQG &KLSV LQWHJULW\ JURZV 7KH
FRPPRQ DSSURDFK WR SUHVHQW GD\ WLPH RQFKLS FRQYHUVDWLRQ LV XVXDOO\ WKH FHQWUDOL]HG EXV
EDVHG DSSURDFK E\ ZKLFK WKH SDUWVRQ D SDUWLFXODU &KLSV FRPPXQLFDWH RYHUWKH GLVWULEXWHG
PRGHUDWH 7KLV VW\OH QHHGV D FHQWUDOL]HG DUELWUDWLRQ V\VWHP WR SUHYHQW EORFNDJH %RWK WKH
VROLWDU\PRGHUDWHDQGWKHFHQWUDOL]HGDUELWUDWRUDUHLQHIIHFWLYHDQGLQFXUYHU\PXFKRYHUKHDG
WRSUHVHUYHDQGPDNHXVHRIHIILFLHQWO\$YHU\PXFKEHWWHUVWUDWHJ\LVXVXDOO\WRSURGXFHDQ
LQWHUFRQQHFW WRSRORJ\ EHIRUHKDQG DQG DIWHU WKDW GHVLJQDWH DQ XVHU LQWHUIDFH WKDW HOHPHQWV
VKRXOGPDNHXVHRIWRFRQQHFWWRWKLVLQWHUFRQQHFWHGQHWZRUN7KLVPRGXODUVWUDWHJ\WR62&
VW\OH SURYLGHV PXFK HYHQ PRUH HIIHFWLYH FRQYHUVDWLRQ E\ OHYHUDJLQJ SF QHWZRUN FRQFHSWV
ZKLFK SRVVHVV EHHQ ZHOO IRXQGHG IRU PDQ\ \HDUV ,Q WKH WUDGLWLRQDO PRGHO RI GLVWULEXWHG
FRDFK DV D PDLQ WUDQVPLWWLQJ PRGHUDWH WR DQ HYHQ PRUH JHQHUDO LQWHUFRQQHFWLRQ QHWZRUN
HOLPLQDWHVWKHZDQWIRUDFHQWUDOL]HGYLVLWRUVFRQWUROV\VWHPUHGXFHVFRQWHQWLRQDQGHQDEOHV
KLJKHUWKURXJKSXWIRURQFKLSPDUNHWLQJFRPPXQLFDWLRQV

7RPHHWXSZLWKWKHRYHUDOOSHUIRUPDQFHDQGVW\OHHIILFLHQF\UHTXLUHPHQWV1HWZRUN
LQ &KLSV KDV EHHQ SURSRVHG ZKLOH D VROXWLRQ WR SURYLGH EHWWHU PRGXODULW\ VFDODELOLW\
GHSHQGDELOLW\ DQGKLJKHUEDQGZLGWKFRPSDUHGWRWRXUEXVEDVHGFRQYHUVDWLRQ LQIUDVWUXFWXUH
$VRQHFDQLPDJLQHWKHVW\OHRSWLRQVLQFRQGLWLRQVRIVWUXFWXUHVUHGLUHFWLQJUHDVRQLQJSRVVHVV
DVROLGHIIHFWRQWKHHIILFLHQF\RIVXFKFKLSEDVHGV\VWHPV7KHIXQFWLRQDOLW\RI6\VWHPVRQ
&KLSV KHQFHIRUWK PDLQO\ GHSHQGV XSRQ WKH IXQGDPHQWDO URXWLQJ PHWKRGV QDPHO\ UHVXOW
VHOHFWLRQDQGLQVLJKWVHOHFWLRQ1HYHUWKHOHVVWKHUHGLUHFWLQJPHWKRGVIRU12&SRVVHVVVRPH
H[FOXVLYH VW\OH IDFWRUV EHVLGHV ORZ ODWHQF\ DQG KLJK WKURXJKSXW &UHGLWHG WR OLPLWHG
UHVWULFWLRQVRQPHPRU\VSDFHDQGSURFHVVLQJDVVHWVWKHUHGLUHFWLQJPHWKRGVIRU12&VKRXOG
EHFRPHIDLUO\EDVLF%HWZHHQSDUWVRID&KLSVWKHGDWD LVXVXDOO\PRYHGDVSDFNHWVWKURXJK
WKHQHWZRUN7KHLQWHUFRQQHFWLQJQHWZRUNLQFOXGHVFDEOHVURXWHUVSURFHVVRUVUHPHPEUDQFHV
DQGDGGLWLRQDO5DWLRQDO+RXVH ,3 KLQGUDQFHVOLQNHGWRURXWHUV$UHGLUHFWLQJ IRUPXODWDNHV

 
RQDVLJQLILFDQWIXQFWLRQRQQHWZRUN¶VSURFHGXUHDQGGHFLGHV KRZWKHSDFNHWVDUHGHOLYHUHG
IURPVHQGHUWRUHFHLYHU

7KH PRVW LPSRUWDQW FRQVLGHUDWLRQ LQ 12& GHVLJQ LV WKH VHOHFWLRQ RI DSSURSULDWH
DUFKLWHFWXUH EDVHG RQ WKH DSSOLFDWLRQ FRQVWUDLQWV 7KH SULPDU\ UHVWULFWLRQV WR HQG XS EHLQJ
UHJDUGHGDVDUHWKURXJKSXWHIIHFWLYHXVDJHRIVLOLFRQ&KLSVVSDFHDQGHQHUJ\GLVVLSDWLRQ,WLV
GHILQLWHO\ DOVR WR EHFRPH XVHG LQWR DFFRXQWV KRZ WKH GHVLJQ RI D SDUWLFXODU VWUXFWXUHV FDQ
LPSDFW SRZHU XVDJH DQG RYHUDOO SHUIRUPDQFH 7KH ERRVW LQ HQHUJ\ GLVVLSDWLRQ FDQ YDU\
LQYHUVHO\ZLWKUHVSHFWWRERRVWLQWKURXJKSXW 0DUFRQHWW 

7KH SURFHGXUHV RI WKH 1HWZRUNV RQ &KLS DUH UHFRJQL]HG EHWZHHQ WKUHH OD\HUV WKH
SK\VLFDOOD\HUWKHVZLWFKLQJOD\HUDQGWKHURXWLQJOD\HU7KHSK\VLFDOFRDWLQJUHODWHVWROLQN
OHYHO SURWRFROV IRU PRYLQJ FRPPXQLFDWLRQV DQG DOVR FRQWUROOLQJ WKH SK\VLFDO VWDWLRQV
EHWZHHQVXUURXQGLQJURXWHUV7KHVZLWFKLQJOHYHOXWLOL]HVWKHVHSK\VLFDOFRDWLQJSURWRFROV WR
SXW LQWR DFWLRQ V\VWHPV IRU IRUZDUGLQJ WH[W PHVVDJHV WKURXJK WKH QHWZRUN )LQDOO\ WKH
UHGLUHFWLQJ OHYHO PDNHV UHGLUHFWLQJ GHFLVLRQV WR GHWHUPLQH SRVVLEOH UHVXOW VWDWLRQV DW
LQWHUPHGLDWH URXWHU QRGHV DQG WKHUHIRUH VHW XS WKH URXWH WKURXJK WKH QHWZRUN 7KH VW\OH RI
UHGLUHFWLQJ SURWRFROV DQG WKHLU SURSHUWLHV HOHFWURQLF GHDGORFN DQG OLYH ORFNLQJ PHFKDQLVP
LQGHSHQGHQFH  DUH JHQHUDOO\ GHFLGHG E\ WKH VROXWLRQV RIIHUHG E\ WKH VZLWFKLQJ FRDWLQJ 7KH
VZLWFKLQJ PHWKRGV GHWHUPLQH ZKHQ DQG KRZ LQQHU FKDQJHV DUH DUUDQJHG WR FRQQHFW URXWHU
DGYLFHVWRUHVXOWVDQGWKHSHULRGDWZKLFKPHVVDJHHOHPHQWVPD\HQGXSEHLQJPRYHGDORQJ
WKHVH SDWKZD\V 7KHVH PHWKRGV DUH FRPELQHG ZLWK FLUFXODWLRQ FRQWURO V\VWHPV IRU WKH
V\QFKURQL]HG WUDQVIHU RI PRGHOV RI LQIR EHWZHHQ URXWHUV DQG WKURXJK URXWHUV LQ IRUZDUGLQJ
FRPPXQLFDWLRQVWKURXJKWKHQHWZRUN

)ORZ FRQWURO LVGHILQLWHO\ WLJKWO\ FRXSOHG ZLWK EDUULHU DGPLQLVWUDWLRQ DOJRULWKPV WKDW
GHWHUPLQHKRZPHVVDJHEXIIHUVDUHUHTXHVWHGDQGUHOHDVHGDQGFRQVHTXHQWO\GHWHUPLQHKRZ
FRPPXQLFDWLRQVDUHKDQGOHGZKHQEORFNHGLQWKHQHWZRUN,PSOHPHQWDWLRQVRIWKHVZLWFKLQJ
OHYHO GLIIHU LQGHFLVLRQV SURGXFHG LQ HDFK RI WKHVH DUHDV DQG LQWKHLU FRPSDUDWLYH WLPH WKDW
FDQEHZKHQRQHSURFHGXUHFDQEHFRPHVWDUWHGFRPSDUDEOHWRWKHHYHQWRIWKHYDULRXVRWKHU
7KH VHOHFWHG GHFLVLRQ DQG WKHLU UHODWLYHV WLPH LQWHUDFW ZLWK WKH VWUXFWXUHVRI WKH URXWHUV DQG
YLVLWRUV SDWWHUQV LPSRVHG E\ SDUDOOHO DSSOLFDWLRQV LQ LGHQWLI\LQJ WKH ODWHQF\ DQG WKURXJKSXW
IHDWXUHV RI WKH LQWHUFRQQHFWLRQ QHWZRUN 6WXG\ DFWLRQV FDUULHG RXW E\ H[SHUWV LQWKH ILHOG RI
6\VWHPVRQ&KLSVDUHGLVFXVVHG7KHH[LVWLQJ IXQFWLRQVGLVFRYHULQJGLIIHUHQWVW\OHHOHPHQWV
RI12&GLVFRYHUHGLQWKHERRNVDUHRIIHUHGEHORZ

 

7RSRORJLHV)RU6\VWHPV2Q&KLS

2QFKLS V\VWHPV DUH PDGH XS RI DQ DUUDQJHG RI GLVWULEXWHG URXWHU QRGHV DQG
FRPPXQLFDWLRQVWDWLRQVDQGWKHWRSRORJ\ RIWKHQHWZRUNUHIHUV WRWKHVHWXSRIWKHVH QRGHV
DQG FRPPXQLFDWLRQ VWDWLRQV ,W VWUDLJKW LPSDFWV DOO HVVHQWLDO QHWZRUN JXLGHOLQHV OLNH URXWH
VL]H URXWHU GLIILFXOW\ ODWHQF\ DQG WKURXJKSXW 7KHVH YDULDEOHV WUDQVODWH LQWR HIILFLHQF\ DQG
SRZHU RI WKH QHWZRUN *UHDWHVW FKRLFH RI WRSRORJ\ IRU SDUWLFXODU VRIWZDUH LV GHSHQGHQW RQ
VW\OHJRDOVDQGJXLGHOLQHV)URPWKH FRQYHUVDWLRQSHUVSHFWLYHWKHUHSRVVHVV EHHQ QXPHURXV
WRSRORJLHV IRU12&VWUXFWXUHV7KHVHFRQVLVWRI0HVK7RUXV%DQG%XWWHUIO\2FWDJRQDQG
DEQRUPDOLQWHUFRQQHFWLRQV\VWHPV7KHUHDUHDJUHDWGHDORIVWXG\IXQFWLRQVUHSRUWHGLQERRNV
GHDOLQJZLWK12&VWRSRORJ\HUD%HL<XHWDO  SRVVHVVVXJJHVWHGDVWUDWHJ\WRVW\OHWKH
DSSURSULDWHWRSRORJ\ WKDW PLQLPL]HV WKH SRZHU LQWDNHRI LQWHUFRQQHFWV DQG QHWZRUN SDUWV LQ
12&

$ )LQH0HVK7RSRORJ\

6\VWHPV ZLWK WKH WZR GLPHQVLRQDO '  1\ORQ XSSHUV WRSRORJ\ SUHVHQW PDVVLYH
SDUDOOHOLVP DQG VFDODELOLW\ WKDQ PDQ\ RWKHU PHWKRGV GHDOW XVLQJ 0XOWLSURFHVVRU 62&
0362& LQWHUFRQQHFWLRQV\VWHPV 1LDQG0F.LQOH\ %HVLGHV:RUNVDUHDSSURSULDWH
WR D UDQJH RI DSSOLFDWLRQV LQFOXGLQJ PDWUL[ FDOFXODWLRQ SLFWXUH GLJHVWLQJ DQG FRPSOLFDWLRQV
ZKRVHMREJUDSKVFDQHQGXSEHLQJLQOD\HGQRUPDOO\LQWRWKHWRSRORJ\ 'XDWR ')LQH
PHVK DV GHPRQVWUDWHG LQ ILJXUH  LV WKH PRVWW\SLFDO RQFKLS QHWZRUNWRSRORJ\ SURYLGLQJ
KLJKWKURXJKSXWSRLQWWRSRLQWFRQYHUVDWLRQWKDQNVWRLWVVLPSOHQHVVDQGIUHTXHQF\


   


   


   


   


)LJXUH0HVK7RSRORJ\RI12&

 
2IILFLDOO\ DQ P ; Q ' 0HVK FRQWDLQV 1  P ; Q QRGHV HDFK QRGH RIIHUV DQ
FRQQHFWHGLQWHJHURUJDQL]HVHW WLPHV\ EDFNEXWWRQQDQG\PHWHUV7ZRQRGHVZLWK
FRRUGLQDWHV [L\L DQG [M\M DUHOLQNHGE\DFRQYHUVDWLRQIXQQHOLIDQGMXVWLI_[L[M__\L
\M_ 

%7RUXV7RSRORJ\

$ 7RUXV QHWZRUN DV SURYHQ LQ )LJ  LV DQ LPSURYHG HGLWLRQ RI IXQGDPHQWDO )LQH
PHVK QHWZRUN $ EDVLF 7RUXV QHWZRUN LV FHUWDLQO\ D )LQH PHVK LQ ZKLFK WKH PLQG RI WKH
FROXPQVDUHOLQNHGWRWKHWDLOVRIWKHFROXPQVDQGWKHUHPDLQLQJHGJHVRIWKHURZVDUHOLQNHG
WR WKH FRUUHFW HGJHV RI WKH URZV 7RUXV QHWZRUN SURYLGHV EHWWHU URXWH YDULHW\ WKDQ 1\ORQ
XSSHUVQHWZRUNDQGLWDOVRRIIHUVHYHQPRUHPLQLPDOSDWKV


   

   

   

   

)LJXUH7RUXV7RSRORJ\RI12&

&%DQG7RSRORJ\


,Q %DQG DV GHPRQVWUDWHG LQ )LJ  WKH URXWLQJ WHFKQLTXH VHOHFWV WKH FORFNZLVH RU
FRXQWHUFORFNZLVH SDWK EDVHG RQ WKH VKRUWHVW URXWH 'HDGORFN LV QRUPDOO\ VROYHG E\
LPSOHPHQWLQJWZRGLJLWDOVWDWLRQV PXOWLSOHUHVXOWOLQHV IRUHYHU\SK\VLFDOK\SHUOLQN,Q%DQG
FHQWHUHG12&WKHUHGLUHFWLQJWHFKQLTXHVHOHFWV

7KHFORFNZLVHRUFRXQWHUFORFNZLVHSDWKWRWUDQVIHUWKHSDFNHWVIURPWKHVRXUFHWRWKH
WDUJHWQRGHEDVHGRQWKHVKRUWHVWSDWK'HDGORFNLVXVXDOO\VROYHGE\LPSOHPHQWLQJWZRGLJLWDO
VWDWLRQV PXOWLSOH UHVXOW OLQHV  IRU HYHU\ SK\VLFDO K\SHUOLQN 7KH GLPHQVLRQV SXUFKDVH
UHGLUHFWLQJ DOJRULWKPV XVHG LQ )LQH PHVK DQG 6SLGHUJRQ HQDEOHV GHFUHDVH RI WKH VWUHDP
QHFHVVLW\ ZKLOH WKH %DQG VWUXFWXUHV QHHGV GLJLWDO VWDWLRQV GRXEOLQJ WKH DUFKLWHFWXUH¶V VWUHDP

 
UHTXLUHPHQWV&URVVEDUSURYLGHVQRLQQHUEXIIHUVGLJLWDOVWDWLRQV %HQLQL 7KH%DQG

RIIHUVIHZHUVWDWLRQVWKDQWKHDGGLWLRQDODUFKLWHFWXUHVDQGDFWVJHQHUDOO\ZRUVHWKDQWKHYDULRXV
RWKHU12&WRSRORJLHV



 



 










 

)LJXUH5LQJ7RSRORJ\RI12&
'6SLGHUJRQ7RSRORJ\

6SLGHUJRQ WRSRORJ\ GHWDLOV WKH GHPDQG IRU D IL[HG DQG RSWLPL]HG WRSRORJ\ WR
XQGHUVWDQG ORZ SULFH PXOWLSURFHVVRU 62& LPSOHPHQWDWLRQ ,Q WKH 6SLGHUJRQ WRSRORJ\ DQ
DFWXDOO\TXDQWLW\RIQRGHVDUHOLQNHGE\XQLGLUHFWLRQDOOLQNVWRWKHERUGHUQRGHVLQFORFNZLVH
DQG FRXQWHUFORFNZLVH GLUHFWLRQV SOXV D FURVV FRQQHFWLRQ IRU HYHU\ VHW RI QRGHV ,Q WKH
6SLGHUJRQ SODQ HDFK SK\VLFDO K\SHUOLQN LV XVXDOO\ GLVWULEXWHG E\ WZR GLJLWDO VWDWLRQV LQ
SXUFKDVHWRSUHYHQWGHDGORFN)LJGHSLFWVD6SLGHUJRQWRSRORJ\RIVL]HDQGLWVFKDQJH
7KH LPSRUWDQW IHDWXUHV RI WKH 6SLGHUJRQ WRSRORJ\ FRQVLVWRI JUHDW QHWZRUN VL]H FRQWLQXRXV
QRGHOHYHO HTXLYDOHQWWR KRPRJHQHRXVEXLOGLQJREVWUXFWLRQV WKHVDPHURXWHUWRFRPSRVH
WKH ZKROH QHWZRUN  YHUWH[ SURSRUWLRQ DQG EDVLF UHGLUHFWLQJ VWUXFWXUH )XUWKHUPRUH WKH
6SLGHUJRQ V\VWHP XVHV SDFNHWEDVHG ZRUPKROH UHGLUHFWLQJ ZKLFK FDQ RIIHU ORZ PHVVDJH
ODWHQF\ DW D ORZ SULFH /DUJH QRGH OHYHO GHFUHDVHV WKH W\SLFDO URXWH GXUDWLRQ EXW UDLVHV
LQWULFDF\

 
    
  

 

 

    


)LJXUH6SLGHUJRQ ; $UFKLWHFWXUHZLWKWKH6ZLWFK


,QWKH6SLGHUJRQWRSRORJ\QRGHVDUHOLQNHGE\XQLGLUHFWLRQDOOLQNV$OORZWKHDPRXQWRI
QRGHV EHFRPH DOVR ,Q  Q (YHU\ QRGH LQ WKH QHWZRUN LV GHILQLWHO\ LQGH[HG E\ D TXDQWLW\
EHWZHHQ  WR '   $Q KXPDQ MXGJHPHQWV QRGH FDQ EH GHVLJQDWHG ODEHO  DQG WKH ODEHO RI
DGGLWLRQDOQRGHVLVFHUWDLQO\LQFUHPHQWHGE\RQHDVZHPRYHFORFNZLVH7KHVWDWLRQVDURXQGWKH
WRSRORJ\ DUH SURYLGHG WKH VDPH ODEHO DV WKH QRGHV OLQNHG WR WKHP LQ FORFNZLVH SDWK $QG WKH
VWDWLRQVOLQNLQJPL[QHWZRUNQRGHVDUHSURYLGHGODEHORIWKHQRGHZLWKWKHORZHULQGH[SOXV,Q
(DFKQRGHLQWKHQHWZRUN[LL'LVGLUHFWO\OLQNHGWRQRGHDPRG1E\D


)LJXUH&RPSDULVRQRI9DULRXV7RSRORJLHVRI1R&

 
5DLVLQJWKHGLPHQVLRQVRIWKHVWUXFWXUHVDORQJ;D[LVDQGWDNLQJLQWRFRQVLGHUDWLRQWKH
JUHDWHVWURXWHIURPVRPHVXSSO\WRGHVWLQDWLRQDORQJWKH&RQD[LVLWFDQHDVLO\HQGXSEHLQJ
QRWLFHGWKDWWKH6SLGHUJRQ12&REYLRXVO\YHULILHVWKHV\VWHPEHQHILW )LJ 

$&RPSDULVRQ2I9DULRXV7RSRORJLHV2I12&:LWK7RUXV7RSRORJ\

$ $PHVKQHWZRUNKDYLQJ0URZVDQG1FROXPQVKDVWKHIROORZLQJSDUDPHWHUV
'LDPHWHU 01í 
$YHUDJHGLVWDQFH 01 
%LVHFWLRQZLGWKPLQ 01 
1XPEHURIOLQNVî>0î 1í 1î 0í @
1XPEHURIURXWHUVUHTXLUHG 0î1 
1RGHGHJUHH FRUQHU  ERXQGDU\  FHQWHU 


% $6SLGHUJRQWRSRORJ\
7KH6SLGHUJRQ12&ZLWK1QRGHV7KH6SLGHUJRQQHWZRUN &RSSRODHWDO FRQQHFWVD
JHQHULFHYHQQXPEHURIQRGHV1DVDELGLUHFWLRQDOULQJLQERWKFORFNZLVHDQGDQWLFORFNZLVH
GLUHFWLRQVZLWKLQDGGLWLRQDFURVVFRQQHFWLRQIRUHDFKFRXSOHRIQRGHV(DFKQRGHLZLWK
L  1 LV FRQQHFWHG WR WKUHH RWKHU QRGHV DV IROORZV L  QRGH L  PRG 1 FORFNZLVH  LL 
QRGH L PRG1 DQWLFORFNZLVH DQG LLL QRGH L1 PRG1 FURVV 


& 5LQJ7RSRORJ\
$QRWKHULQWHUHVWLQJQHWZRUNLVWKHRFWDJRQVWUXFWXUHLQZKLFKFRQQHFWLRQEHWZHHQDQ\WZR
QRGHV ZLWKLQDQRFWDJRQVXEQHWZRUNRIHLJKWQRGHV UHTXLUHVDWPRVWWZRKRSV .DULPHWDO
 (DFKQRGHLQWKLVQHWZRUNLVDVVRFLDWHGZLWKDQ,3DQGDVZLWFK


' $WRUXVQHWZRUNKDYLQJ0URZVDQG1FROXPQVKDVWKHIROORZLQJSDUDPHWHUV
'LDPHWHU‫ہ‬0‫ہۂ‬1‫ۂ‬
%LVHFWLRQZLGWKîPLQ 01 
1XPEHURIURXWHUVUHTXLUHG 0î1 
1RGHGHJUHH
)RUDODUJHUQHWZRUNWKLVZUDSDURXQGOLQNZLOOEHORQJHQRXJKDQGZLOOFDXVHH[FHVVLYH
GHOD\

 
7KHWRUXVLQWHUFRQQHFWLRQDUFKLWHFWXUHKDVEHHQSURSRVHGWRVROYHWKHODUJHGLDPHWHUSUREOHP
RI PHVK E\ FRQQHFWLQJ WKH URXWHUV DW WKH HGJHV YLD ZUDSDURXQG OLQNV 'DOO\ DQG 7RZOHV
 ,QWKHWRUXVDUFKLWHFWXUHWKHGLIIHUHQFHZLWKPHVK LVWKDWWKHVZLWFKHVDWWKHHGJHVDUH
FRQQHFWHGWRWKHVZLWFKHVDWWKHRSSRVLWHHGJHVWKURXJKZUDSDURXQGFKDQQHOV

5RXWHU$UFKLWHFWXUH,Q1HWZRUNV2Q&KLS

7KHEDVLFZRUPKROHURXWHUIXQFWLRQVFDQ EHFDSWXUHGLQFDQRQLFDOURXWHUDUFKLWHFWXUH
'XDWR HW DO   7KH ZRUPKROH URXWHU SURYHQ LQ )LJ  FRQVLVWV RI FURVVEDU FKDQJH
K\SHUOLQNFRQWUROOHU /& YLUWXDOURXWHFRQWUROOHU 9& URXWLQJDQGDUELWUDWLRQGHYLFHEXIIHUV
DQG SURFHVVRU FKLS XVHU LQWHUIDFH 7KH IHDWXUHV RI WKHVH SDUWV DUH H[SODLQHG LQ VKRUW LQ WKH
SXUVXLQJDUHDV

)URP7R/RFDO3URFHVVRU



/ /

 9LUWXDO&KDQQHOV  2XWSXW4XHXHV




3K\VLFDO,QSXWFKDQQHO


   
 / Y /&

6ZLWFK



   
 / Y /

 5RXWLQJDQG
 $UELWUDWLRQ





)LJXUH&DQRQLFDO5RXWHU$UFKLWHFWXUH

$&URVVEDU 6ZLWFK

7KLV FRPSRQHQW LV DFFRXQWDEOH IRU FRQQHFWLQJ URXWHU LQSXW EXIIHUV WR URXWHU RXWSXW
EXIIHUV+LJKVSHHGURXWHUVZLOOXVHFURVVEDUV\VWHPVZLWKFRPSOHWHFRQQHFWLRQZKLOHORZHU
VSHHG LPSOHPHQWDWLRQV PD\ PDNH XVH RI V\VWHPV WKDW SHUIRUP QRW UHDOO\ RIIHU FRPSOHWH

 
FRQQHFWLRQEHWZHHQLQVLJKWEXIIHUVDQGUHVXOWEXIIHUV7KHPHWHUV7LPHVQFDQFRQQHFWDQ\RI
WKHPHWHUVDGYLFHVWRHDFKRIWKHQUHVXOWV7KHPDLQFRQFHUQZKHQXWLOL]LQJDFURVVEDUDVWKHFKDQJHLQ
DURXWHUGDWDSDWKLVQRUPDOO\WRRIIHUYHORFLW\XSRQWKHLQVLJKWRIWKHFURVVEDUWKHUHVXOWRIWKHFURVVEDU
RURQERWKHGJHV7KHVSHHGXSFDQEHFRPHVXSSOLHGLQVSDFHRUSHULRG

% +\SHUOLQN&RQWUROOHU

)ORZFRQWURODFURVVWKHSK\VLFDOIXQQHOEHWZHHQQHDUE\URXWHUVLVFHUWDLQO\DSSOLHGE\
WKLV GHYLFH 7KH K\SHUOLQN FRQWUROOHUV RQ HLWKHU SDUW RI D FKDQQHO V\QFKURQL]H WR WUDQVIHU
VWUHDPFRQWUROGHYLFHV$GHTXDWHVWUHDPLQJPXVWHQGXSEHLQJRIIHUHGRQWKHJHWWLQJDVSHFWWR
DFFRXQWVIRUGHOD\VLQGLVWULEXWLRQRIGDWDDQGPRYHPHQWFRQWUROLQGLFDWRUV:KHQDFRQWUROOHU
RQWKHUHVXOWURXWHLQGLFDWRUVEDUULHUFRPSOHWHSRVLWLRQWKURXJKDQHYHQWWKHFRQWUROOHUDWWKH
LQVLJKWIXQQHOPXVWSRVVHVVDGHTXDWHEDUULHUWRVKRSDOORIWKHSKLW¶VLQWUDQVLWDVZHOODVDOORI
WKHSKLWVWKDWZLOOEHFRPHVKRWGXULQJWKHSHULRGLWUHTXLUHVIRUWKHVWUHDPFRQWUROWUDQVPLVVLRQ
WR SURSDJDWH EDFN DJDLQ WR WKH UHVXOW URXWH ,I GLJLWDO VWDWLRQV DUH SUHVHQW WKH FRQWUROOHU LV
XVXDOO\DOVRDFFRXQWDEOHIRUVROYLQJWKHGHVWLQDWLRQIXQQHORIWKHUHFHLYHGSKLW

L 9LUWXDO5RXWH&RQWUROOHU

7KLV FRPSRQHQW LV DFFRXQWDEOH IRU PXOWLSOH[LQJ WKH FRQWHQWV RI WKH YLUWXDO FKDQQHO
RQWR WKH SK\VLFDO FKDQQHO :LWK WUHHEDVHG DUELWUDWLRQ WKH KROG RII FDQ HQG XS EHLQJ
DQWLFLSDWHGWREHFRPHORJDULWKPLFLQWKHTXDQWLW\RIVWDWLRQV

LL 5RXWLQJ$QG$UELWUDWLRQ8QLW

5HGLUHFWLQJ DQG DUELWUDWLRQ GHYLFH WRROV WKH URXWLQJ IXQFWLRQ )RU DGDSWLYH URXWLQJ
SURWRFROV WKH PHVVDJH KHDGHUV DUH SUHSDUHG WR FRPSXWH WKH FROOHFWLRQ RI DSSOLFDQW UHVXOW
VWDWLRQVDQGJHQHUDWHGHPDQGVIRUWKHP,IHVVHQWLDOFRQWUDLQGLFDWLRQVGHDOLQJZLWKDUHXVXDOO\
EHFRPLQJXWLOL]HGLQWKHQHWZRUNWKHIUHVKKHDGHUVRQHIRUHYHU\DSSOLFDQWUHVXOWURXWHPXVW
HQGXSEHLQJSURGXFHG)RULJQRUDQWURXWLQJSURWRFROVKHDGHUXSJUDGHLVXVXDOO\DQH[WUHPHO\
EDVLF SURFHGXUH 2Q WKH RWKHU KDQG LI FRPSOHWH GHDOLQJ ZLWK LV GHILQLWHO\ XWLOL]HG KHDGHU
GLJHVWLQJ LV XVXDOO\ GHFUHDVHG VLQFH EUDQGQHZ KHDGHUV SHUIRUP QRW UHDOO\ ZDQW WR EHFRPH
JHQHUDWHG5HGLUHFWLQJDQGDUELWUDWLRQGHYLFHDOVRGHSOR\VWKHVHOHFWLRQIXQFWLRQRIWKHURXWLQJ
SURWRFROFKRRVLQJWKHUHVXOWZHESDJHOLQNIRUDQLQERXQGPHDQLQJ5HVXOWIXQQHOSRVLWLRQ LV
XVXDOO\ PL[HG ZLWK LQVLJKW URXWH GHPDQGV ,VVXHV IRU WKH VDPH UHVXOW PXVW HQG XS EHLQJ
DUELWUDWHG DQG LIFRPSDUDWLYH GHDOLQJ ZLWK FDQ EHXWLOL]HG D KHDGHU PXVWEH VHOHFWHG ,I WKH
UHTXHVWHGEXIIHUVDUHFRPSOHWHWKHLQERXQGPHVVDJHFRQWLQXHVWREHLQWKHLQVLJKWEDUULHUXQWLO

 
DUHTXHVWHGEXIIHUVWXUQVLQWRIUHHRIFKDUJHILJXUHGLVSOD\VDIXOOFURVVEDUWKDWFRQQHFWVDOO

LQVLJKWYLUWXDOVWDWLRQVWRDOOUHVXOWYLUWXDOVWDWLRQV$GGLWLRQDOO\WKHURXWHUPD\PDNHXVHRID
VW\OHZKHUHFRPSOHWHFRQQHFWLRQLVXVXDOO\MXVWVXSSOLHGEHWZHHQSK\VLFDOVWDWLRQVDQGGLJLWDO
VWDWLRQVDUELWUDWHIRUFURVVEDULQVLJKWVORWV)DVWDUELWUDWLRQJXLGHOLQHVDUHLPSRUWDQWLQNHHSLQJ
ORZFLUFXODWLRQFRQWUROODWHQF\WKURXJKWKHFKDQJH

LLL %XIIHUV

7KHVHDUH),)2 ,QLWLDO,Q,QLWLDO2XW EXIIHUVIRUVWRULQJWH[WPHVVDJHVLQWUDQVLW,QWKH
URXWHU PRGHO GHPRQVWUDWHG LQ ILJXUH  D EDUULHU LV DVVRFLDWHG ZLWK ERWK LQVLJKW DQG UHVXOW
SK\VLFDO VWDWLRQV 7KH VWUHDP VL]H LV GHILQLWHO\ DQ HVVHQWLDO DPRXQW RI PRYHPHQW FRQWURO
SURGXFWV,QDOWHUQDWH VW\OHVEXIIHUV PD\EHFRPHOLQNHG MXVWZLWKDGYLFHV LQVLJKW VWUHDPLQJ 
RU UHVXOWV UHVXOWVWUHDPLQJ  ,Q ER[ VZLWFKLQJ QHYHUWKHOHVV D ER[ LVXVXDOO\ VHQWWKURXJK D
URXWHDVTXLFNO\DVWKDWURXWHLVXVXDOO\VHWDVLGHEXWWKHIROORZLQJURXWHLVGHILQLWHO\QRWUHDOO\
DSSURSULDWHG SUHVXPLQJ WKDW LW FDQ EH REWDLQDEOH  XQWLO WKH ER[ SURGXFHV WKH IXQQHO LW LV
FHUWDLQO\ SUHVHQWO\ XVLQJ &HUWDLQO\ VRPH EDUULHU VSDFH LV QRUPDOO\ QHHGHG WR VKRS WKH ER[
XQWLO WKH IROORZLQJ URXWH FDQ EH DUUDQJHG 7KDW EDUULHU VKRXOG HQG XS EHLQJ DOORWWHG EHIRUH
EHJLQQLQJ ER[ WUDQVPLWWLQJ 7KHUHIRUH EDUULHU DOORZDQFH LV XVXDOO\ FDUHIXOO\ UHODWHG WR WKH
VZLWFKLQJV\VWHP

LY 3URFHVVRU&KLS,QWHUIDFH

7KLV FRPSRQHQW VLPSO\ LPSOHPHQWV D SK\VLFDO FKDQQHO LQWHUIDFH WR WKH SURFHVVRU
LQVWHDG RI WR DQ DGMDFHQW URXWHU ,W LQFOXGHV RQH RU HYHQ PRUH LQMHFWLRQ VWDWLRQV IURP WKH
SURFHVVRUFKLSDQGRQHRUHYHQPRUHHMHFWLRQVWDWLRQVWRWKHSURFHVVRUFKLS(MHFWLRQVWDWLRQV
DUHDOVRNQRZQWRDVGHOLYHU\VWDWLRQVRUXVDJHVWDWLRQV

97XUQLQJ0HWKRGV,Q6\VWHPV2Q&KLS

1HWZRUNVWUHDPFRQWURODOVRFDOOHGVHHLQJWKDWURXWLQJVHWWLQJGHWHUPLQHVKRZSDFNHWV
DUHWUDQVPLWWHGLQVLGHDQHWZRUN7KHVHWWLQJLVXVXDOO\QRWUHDOO\VWUDLJKWUHOLDQWWRUHGLUHFWLQJ
DOJRULWKP 0DQ\ DOJRULWKPV DUH GHVLJQHG WR PDNH XVH RI VRPH SURYLGHG VHWWLQJ EXW WKH
PDMRULW\ RI WKHP SHUIRUP QRW UHDOO\ GHILQH ZKLFK VHWWLQJ VKRXOG EHFRPH XWLOL]HG 7KH
VZLWFKLQJPHWKRGVJHQHUDOO\XWLOL]HGIRURQFKLSV\VWHPVDUHVKRSDQGDKHDGVZLWFKLQJGLJLWDO
FXWWKURXJKVZLWFKLQJDQGZRUPKROHVZLWFKLQJZKRVHIHDWXUHVDUHUHIHUUHGWRLQWKHSXUVXLQJ
DUHDV

 
YL6WRUH$QG)RUZDUG6ZLWFKLQJ

6WRUHDQGDKHDGLVWKHVLPSOHVWURXWLQJVHWWLQJ3DFNHWVPRYHLQRQHSLHFHDQGZKROH
ER[ QHHGVWREHNHSW LQWKHURXWHU¶VVWRUDJHEHIRUH LWFDQHQGXS EHLQJVHQWWRWKH IROORZLQJ
URXWHU 7KHUHIRUH WKH EDUULHU PHPRU\ VSDFH QHHGV WR EH DV KXJH DV WKH ODUJHVW ER[ LQ WKH
QHWZRUN 7KH ODWHQF\ LV XVXDOO\ WKH PL[HG SHULRG RI JHWWLQJ D ER[ DQG VHQGLQJ LW IRUZDUG
0DLOLQJFDQQRWEHFRPHEHJDQEHIRUHWKHHQWLUHER[LVXVXDOO\UHFHLYHGDQGNHSWLQWKHURXWHU¶V
VWRUDJH

YLL9LUWXDO&XW7KURXJK6ZLWFKLQJ

9LUWXDO FXWWKURXJK LV QRUPDOO\ DQ LPSURYHG YHUVLRQ RI VWRUH DQG IRUZDUGV PRGH $
URXWHU FDQ VWDUW WR VHQG RXW ER[ WR WKH IROORZLQJ URXWHU DV VKRUWO\ DV WKH IROORZLQJ URXWHU
SURYLGHV DXWKRUL]DWLRQ %R[ LV XVXDOO\ NHSW LQ WKH URXWHU XQWLO WKH IRUZDUGLQJ VWDUWV
)RUZDUGLQJ FDQ HQG XS EHLQJ EHJDQ EHIRUH WKH HQWLUH ER[ LV GHILQLWHO\ UHFHLYHG DQG NHSWWR
URXWHU ,Q WKLV VZLWFKLQJ VHWWLQJ HYHQ PRUH EDUULHU PHPRU\ VSDFH LV GHILQLWHO\ UHTXLUHG
FRPSDUDEOH WR VWRS DQG DKHDG VHWWLQJ EXW WKH ODWHQF\ FDQ EH ORZHU +X DQG 0DUFXOHVFX
D  SRVVHVV VKRZQ D EDUULHU SUHSDULQJ FULWHULD WKDW 6\VWHPV WKH EDUULHU GHSWK DW HDFK
LQVLJKW URXWH RI WKH URXWHU VWUXFWXUHG RQ WKH DSSOLFDWLRQ FKDUDFWHULVWLFV :KHQ YLUWXDO FXW
WKURXJKVZLWFKLQJLVXVHGWKHSDFNHWVDUHFRQVLGHUHGDVVLQJOHFXVWRPHU

YLLL :RUPKROH6ZLWFKLQJ

,Q ZRUPKROH WXUQLQJ SDFNHWV DUH GLYLGHG LQWR VPDOO DQG HTXDO VL]HG IOLWV VWUHDP
FRQWUROGLJLWRUVWUHDPFRQWUROXQLW $ILUVWIOLWRIDSDFNHWLVFHUWDLQO\VHQWVLPLODUO\DVSDFNHWV
LQWKH YLUWXDO FXWWKURXJK URXWLQJ$IWHU ILUVW IOLWWKH URXWH LVUHVHUYHG WR URXWHWKH UHPDLQLQJ
IOLWVRIWKHSDFNHW7KLVURXWHLVFDOOHGZRUPKROH:RUPKROHPRGHUHTXLUHVOHVVPHPRU\WKDQ
WKHWZRRWKHUPRGHVEHFDXVHRQO\RQHIOLWQHHGVWREHNHSWDWRQFH$OVRWKHODWHQF\LVVPDOOHU
DQGDULVNRIGHDGORFNLVODUJHU7KHULVNFDQEHUHGXFHGE\PXOWLSOH[LQJVHYHUDOYLUWXDOSRUWV
WR RQH SK\VLFDO SRUW VR WKH SUREDELOLW\ RI WUDIILF FRQJHVWLRQ DQG EORFNLQJ GHFUHDVHV
6FKZLHEHUW DQG -D\DVLPKD   KDYH VWXGLHG WKH QHFHVVDU\ DQG HQRXJK FRQGLWLRQ IRU
GHDGORFNIUHHURXWLQJIRUZRUPKROHURXWHUV7KHORFDOLQIRUPDWLRQRIWKHURXWHULVFRQVLGHUHG
EHFDXVH QRQORFDO LQIRUPDWLRQ PD\ ERRVW WKH GHVLJQ FRPSOH[LW\ +X DQG .OHLQURFN  
KDYHGHYHORSHGDQDQDO\WLFDO PRGHO IRU ZRUPKROHURXWHUZLWK ILQLWHVL]HEXIIHUV7KH PRGHO
XVHVDGHDGORFNIUHHURXWLQJDOJRULWKP

 
5RXWLQJ$OJRULWKPV,Q1HWZRUNV2Q&KLS

7KH SURSHUWLHV RI WKH URXWLQJ DOJRULWKP DUH &RQQHFWLYLW\ &DSDELOLW\ WR SDWK SDFNHWV
IURPDQ\UHVRXUFHQRGHWRDQ\GHVWLQDWLRQQRGH$GDSWLYLW\&DSDELOLW\WRSDWKSDFNHWVWKURXJK
RSWLRQ SDWKZD\V LQ WKH H[LVWHQFH RI FRQWHQWLRQ RU IDXOW\ HOHPHQWV 'HDGORFN DQG OLYHORFN
IUHHGRP &DSDELOLW\ WR DVVXUDQFH WKDW SDFNHWV FDQQRW VWRS RU ZDQGHU DFURVV WKH QHWZRUN
IRUHYHU 3UREOHP WROHUDQFH &DSDELOLW\ WR SDWK SDFNHWV LQ WKH H[LVWHQFH RI IDXOW\ SDUWV
6HH)LJ 

5RXWLQJ
$OJRULWKPV3DWK

0XOWLFDVW
8QLFDVW5RXWLQJ
5RXWLQJ

5RXWLQJ'HFLVLRQ

&HQWUDOL]HG 'LVWULEXWLRQ
6RXUFH5RXWLQJ
5RXWLQJ 5RXWLQJ

,PSOHPHQWDWLRQ

/RRNXSWDEOH )60

$GDSWLYLW\

'HWHUPLQLVWLF $GDSWLYHURXWLQJ

3URJUHVLYHQHVV

%DFNWUDFNLQJ

0LQLPDOLW\

3URILWDEOH 0LVURXWLQJ

&RPSOHWH 3DUWLDO

)LJXUH7D[RQRP\RI5RXWLQJ$OJRULWKPV

 
5HGLUHFWLQJ DOJRULWKPV PD\ EHFRPH PDLQO\ SULYDWH EDVHG RQ WKH TXDQWLW\ RI
ORFDWLRQV3DFNHWVPD\KDYHDVLQJOHGHVWLQDWLRQ XQLFDVWURXWLQJ RUPXOWLSOHGHVWLQDWLRQV
PXOWLFDVWURXWLQJ  5RXWLQJ DOJRULWKPV PD\ DOVR EHFODVVLILHG EDVHG RQWKH SODFHZKHUH
URXWLQJGHFLVLRQVDUHWDNHQ%DVLFDOO\WKHSDWKFDQEHHLWKHUHVWDEOLVKHGE\DFHQWUDOL]HG
FRQWUROOHU FHQWUDOL]HG URXWLQJ  DW WKH VRXUFH QRGH MXVW EHIRUH SDFNHW LQMHFWLRQ VRXUFH
URXWLQJ RUGHWHUPLQHGLQDGLVWULEXWHGPDQQHUZKLOHWKHSDFNHWWUDYHOVDFURVVWKHQHWZRUN
GLVWULEXWHG URXWLQJ  +\EULG VFKHPHV FDOOHG PXOWLSKDVH URXWLQJ LV DOVR SRVVLEOH ,Q
PXOWLSKDVHURXWLQJWKHVRXUFHQRGHFRPSXWHVFHUWDLQGHVWLQDWLRQQRGHV7KHSDWKEHWZHHQ
WKHPLVHVWDEOLVKHGLQDGLVWULEXWHGPDQQHU
5HGLUHFWLQJDOJRULWKPV PD\HQGXS EHLQJDSSOLHG LQYDULRXV PHWKRGV7KH PDQ\
LQWHUHVWLQJ PHWKRGV VXJJHVWHG XS WR ULJKW QRZ FRPSULVH RI HLWKHU VHDUFKLQJ DW D URXWLQJ
WDEOH WDEOHORRNXS RUH[HFXWLQJDURXWLQJDOJRULWKPLQVRIWZDUHRUKDUGZDUHDFFRUGLQJWR
DILQLWHVWDWHPDFKLQH,QERWKFDVHVWKHURXWLQJDOJRULWKPFDQEHHLWKHUGHWHUPLQLVWLFRU
DGDSWLYH'HWHUPLQLVWLFURXWLQJDOJRULWKPVDOZD\VVXSSO\WKHVDPHSDWKEHWZHHQDJLYHQ
VRXUFHGHVWLQDWLRQSDLU$GDSWLYHURXWLQJDOJRULWKPVXVHGHWDLOVDERXWQHWZRUNWUDIILFDQG
RUFKDQQHOVWDWXVWRDYRLGFRQJHVWLRQRUIDXOW\UHJLRQVRIWKHQHWZRUN
$WDORZHUOHYHOURXWLQJDOJRULWKPVFDQEHSULYDWHDFFRUGLQJWRWKHLUPLQLPDOLW\DV
OXFUDWLYHRUPLVURXWLQJ3URILWDEOHUHGLUHFWLQJDOJRULWKPV MXVWVRXUFHVWDWLRQVWKDWSURYLGH
WKH ER[ FORVHU WR LWV GHVWLQDWLRQ 7KH\ DUH DOVR NQRZQ WR DV PLQLPDO  0LVURXWLQJ
DOJRULWKPVPD\DOVRVRXUFHVWDWLRQVWKDWVHQGRXWWKHER[DVLGHIURPLWVGHVWLQDWLRQ7KH\
DUHDOVRNQRZQWRDVQRQPLQLPDO$WWKHOHDVWH[SHQVLYHOHYHOUHGLUHFWLQJDOJRULWKPVFDQ
EHFRPHFDWHJRUL]HGEDVHGRQWKHQXPEHURIDOWHUQDWLYHSDWKVDVFRPSOHWHO\DGDSWLYH DOVR
NQRZQDVIXOO\DGDSWLYH RUSDUWLDOO\DGDSWLYH
,IDOLQNEHFRPHVFRQJHVWHGRUIDLOVWKHXQLTXHURXWHKRXVHFDQVLPSO\GLVUXSWWKH
FRPPXQLFDWLRQ EHWZHHQ VRPH LQSXW DQG RXWSXW SDLUV 7KH EORFNDJH RI SDFNHWV RYHU
SDUWLFXODUVWDWLRQVFDXVHVWKHNQRZQKRWVSRWLVVXH 3ILVWHUDQG1RUWRQ 0DQ\ZHOO
NQRZQ DQVZHU LV XVXDOO\ WR RIIHU PXOWLSOH URXWLQJ SDWKZD\V EHWZHHQ DQ\ VXSSO\ DQG
GHVWLQDWLRQ SDLU LQ RUGHU WR GHFUHDVH QHWZRUN FRQJHVWLRQ DV ZHOO DV WR DFKLHYH IDXOW
WROHUDQFH 7KHVH PHWKRGV XVXDOO\ UHTXLUH DGGLWLRQDO KDUGZDUH VXFK DV H[WUD VWDJHV RU
DGGLWLRQDO FKDQQHOV ,Q 'DOO\ DQG $RNL   WKUHH GLIIHUHQW VHOHFWLRQ IXQFWLRQV ZHUH
SURSRVHG DQG HYDOXDWHG IRU ' 0HVKHV XVLQJ ZRUPKROH VZLWFKLQJ ZKLFK VKRZV WKDW
PLQLPXPFRQJHVWLRQFDQEHDFKLHYHGZLWKWKHORZHVWODWHQF\DQGKLJKHVWWKURXJKSXW

 
7KHIDLOXUHRIURXWHUVDQGOLQNVSURGXFHVFRQJHVWLRQLQWKHLUYLFLQLW\DVSDFNHWVDUH
UHURXWHG7KHVHSDFNHWV ZLOOHQFRXQWHULPSURYHG REVWUXFWLQJGHOD\V DVWKH\FRQWHQG IRU
JDLQ DFFHVV WR VPDOOHU VL]HG DPRXQW RI OLQNV 7KH H[LVWHQFH RI K\SHUOLQN EORFNDJH DQG
SUHYHQWLQJZLWKLQWKHQHWZRUNFDQFUHDWHVXEVWDQWLDOO\GLIIHUHQWEHKDYLRUHVSHFLDOO\LIWKH
ER[ GHVWLQDWLRQV DQG OHQJWKV DUH QRQXQLIRUP (DFK DGGLWLRQDO IDXOW LQFUHDVHV WKH
SHUFHQWDJH RI WKH SDFNHWSRSXODWLRQ WKDW KDYHWREHUHURXWHG FRQWULEXWLQJWR FRQJHVWLRQ
DQGIXUWKHUGHJUDGDWLRQLQSHUIRUPDQFH
7KH SHUIRUPDQFH DOVR GHSHQGV XSRQ WKH EXIIHULQJ DYDLODEOH DW WKH LQGLYLGXDO
QRGHV7KHH[LVWHQFHRIGLJLWDO VWDWLRQVZLOOGHFUHDVHWKHREVWUXFWLQJSRVWSRQHDQGUDLVH
WKH JHQHUDO QHWZRUN WKURXJKSXW 'LJLWDO VWDWLRQV FDQ SRVVHVV D VLJQLILFDQW LQIOXHQFH RQ
ODWHQF\7KHUHIRUHWKHUHLVQRUPDOO\DZDQWIRUEORFNDJHFRQWUROV\VWHPLQWKHQHWZRUNE\
SXWWLQJDOLPLWRQWKHVL]HRIWKHEXIIHURQWKHLQMHFWLRQFKDQQHOV %RSSDQDDQG&KDODVDQL
 RUE\UHVWULFWLQJ LQMHFWHG PHVVDJHVWRXVHVRPHSUHGHWHUPLQHG YLUWXDOFKDQQHO V 
'DOO\DQG$RNL RUE\ZDLWLQJXQWLOWKHQXPEHURIIUHHRXWSXWYLUWXDOFKDQQHOVDWD
QRGHLVKLJKHUWKDQDWKUHVKROG /RSH]DQG'XDWR 
,Q XQLFDVW URXWLQJ HDFK VRXUFH VHQGV LWV PHVVDJH WR SUHFLVHO\ RQH GHVWLQDWLRQ
5HGLUHFWLQJDOJRULWKPVIRUXQLFDVWFRQYHUVDWLRQDUHRIWHQDSSOLHGDV6\VWHPSKRQHFDOOVLQ
SDUDOOHO GHYLFHV (YHQ PRUH HIIHFWLYH FRQYHUVDWLRQ SULPLWLYHV WKDW DUH XVHIXO LQ WKH
SHUIRUPDQFH RI SDUDOOHO 6\VWHPV DUH EURDGFDVW DQG PXOWLFDVW ZKLFK DOORZ GDWD WR EH
PRYHGIURPRQHVRXUFHQRGHWRPDQ\GHVWLQDWLRQV9DULRXVDOJRULWKPVPRVWO\XVHGLQRQ
FKLS QHWZRUNV DUH JLYHQ EHORZ 7KH\ DUH PXOWLFDVW URXWLQJ REOLYLRXV URXWLQJ
GHWHUPLQLVWLFURXWLQJDQGDGDSWLYHURXWLQJ
L 0XOWLFDVW5RXWLQJ
0XOWLFDVWRURQHWRPDQ\FRQYHUVDWLRQ LVD IXQGDPHQWDOFROOHFWLYHFRQYHUVDWLRQ
SURFHGXUH DQG LV KLJKO\ GHPDQGHG LQ SDUDOOHO SURFHVVLQJ DQG WHOHFRPPXQLFDWLRQ
DSSOLFDWLRQV *RRG H[DPSOHV RI VXFK DSSOLFDWLRQV FRQVLVW RI )DVW )RXULHU 7UDQVIRUP
))7  KXUGOH V\QFKURQL]DWLRQ DQG FUHDWH XSGDWH  LQYDOLGDWH LQ GLUHFWRU\EDVHG FDFKH
FRKHUHQFHSURWRFROV /LQDQG1L $OVRWHOHFRQIHUHQFLQJDQGYLGHREURDGFDVWLQJDUH
W\SLFDODSSOLFDWLRQVLQDWHOHFRPPXQLFDWLRQHQYLURQPHQW7KHUHKDVEHHQJURZLQJLQWHUHVW
LQ VXSSRUWLQJ PXOWLFDVW LQ SDUDOOHO FRPSXWHUV 0XOWLFDVW FDQ EH VXSSRUWHG LQ HLWKHU
KDUGZDUH RU VRIWZDUH 7KHUH KDV DOVR EHHQ PXFK ZRUN RQ VXSSRUWLQJ PXOWLFDVW LQ
ZRUPKROHURXWHGGLUHFWQHWZRUNV LQVRIWZDUH,QDGGLWLRQWKHUHKDVEHHQ VRPHZRUNRQ
VXSSRUWLQJPXOWLFDVWLQVRIWZDUHLQPXOWLVWDJHQHWZRUNV 'XDWRHWDO 

 
,QJHQHUDOWKHPXOWLFDVWLQJSUREOHPFDQEHSDWWHUQHGE\WKUHHURXWLQJWHFKQLTXHV
XQLFDVW EDVHG WUHHEDVHG 0DOXPEUHV HW DO   DQG URXWH EDVHG URXWLQJ /LQ DQG 1L
  ,Q XQLFDVW FHQWHUHG WKH PXOWLFDVW SURFHGXUH LV XVXDOO\ SHUIRUPHG E\ VHQGLQJ DQ
LQGLYLGXDO FRS\ RI PHVVDJH IURP WKH VRXUFH WR HYHU\ GHVWLQDWLRQ RU DOWHUQDWLYHO\ E\
VHQGLQJWKHXQLFDVWPHVVDJHWRVXEVHWRIGHVWLQDWLRQV7KHGUDZEDFNRIWKLVVFKHPHLVRQ
DFFRXQWRIWKHIDFWWKDWPXOWLSOHFRSLHVRIWKHVDPHPHVVDJHDUHLQMHFWHGLQWRWKHQHWZRUN
WKH WUDIILF RI WKH QHWZRUN ZLOO EH LQFUHDVHG )XUWKHUPRUH HDFK GXSOLFDWH RI PHVVDJH
PDQDJHV WR ORVH VXEVWDQWLDO VWDUWXS ODWHQF\ DW WKH UHVRXUFH ,Q WUHHEDVHG PXOWLFDVW
VWUDWHJ\ D FRPSULVLQJZRRGV LVXVXDOO\ EXLOW LQZKLFK WKH VRXUFH LVXVXDOO\ LQGLFDWHG DV
WKH URRW DQG WKHQ PHVVDJHV DUH GHOLYHUHG GRZQ WKH WUHH ,Q WKLVZD\ D PHVVDJH PD\ EH
UHSOLFDWHG DW VRPH RI WKH LQWHUPHGLDWH QRGHV DQG IRUZDUGHG DORQJ PXOWLSOH RXWJRLQJ
FKDQQHOVWRZDUGGLVMRLQWVXEVHWVRIGHVWLQDWLRQV,IRQH EUDQFKRIWKHWUHH LVEORFNHGDOO
DUHEORFNHG%UDQFKHVPXVWSURFHHGIRUZDUGLQEORFNVWHSZKLFKPD\FDXVHDPHVVDJHWR
KROGPDQ\FKDQQHOVIRUH[WHQGHGSHULRGVUHVXOWLQJLQLQFUHDVLQJQHWZRUNFRQWHQWLRQ
$OWKRXJKVXFKVFKHPHVKDYHWREHXVHGHIIHFWLYHO\ LQ QHWZRUNVHPSOR\LQJVWRUH
DQGIRUZDUGYLUWXDOFXWWKURXJKURXWLQJDQGWUHHEDVHGURXWLQJLQFXUKLJKFRQJHVWLRQLQ
ZRUPKROHQHWZRUNV /LQDQG1L 
$DQVZHUWRRYHUFRPHWKHGUDZEDFNRIWUHHEDVHGURXWLQJLVWRXVHWKHSDWKEDVHG
PXOWLFDVW ZRUPKROH URXWLQJ ,Q WKLV PHWKRG D VRXUFH QRGH SUHSDUHV D PHVVDJH IRU
GHOLYHU\WRDVHWRIGHVWLQDWLRQVE\ILUVWVRUWLQJWKHDGGUHVVHVRIWKHGHVWLQDWLRQLQRUGHULQ
ZKLFK WKH\ DUH WR EH GHOLYHUHG DQG WKHQ SXWWLQJ WKLV VRUWHG OLVW LQ WKH KHDGHU RI WKH
PHVVDJH$QXPEHURIVWXGLHVKDYHSURYHQWKDWDSDWKEDVHGH[KLELWVXSHULRUSHUIRUPDQFH
FKDUDFWHULVWLFRYHUWKHLUXQLFDVWEDVHGDQGWUHHEDVHGFRXQWHUSDUWV %RSSDQDHWDO 
<XDQ\XDQ<DQJ  KDVSUHVHQWHGDFODVVRI LQWHUFRQQHFWLRQQHWZRUNVIRUVXSSRUWLQJ
PXOWLFDVWFRPPXQLFDWLRQVLQSDUDOOHOFRPSXWLQJV\VWHPV
:DQJ HW DO   SRVVHVV SUHVHQWHG D 'XDO+DPLOWRQLDQ3DWK%DVHG URXWLQJ
'+3%  PRGHO ZLWK WZR YLUWXDO VWDWLRQV EDVHG RQ WZR +DPLOWRQLDQ SDWKZD\V DQG D
QHWZRUN SDUWLWLRQLQJ VWUDWHJ\ IRU ZRUPKROH URXWHG VWDU JUDSK QHWZRUNV 7KH\ KDYH
SURSRVHG WKUHH HIILFLHQW PXOWLFDVW URXWLQJ VFKHPHV RQ EDVLV RI WKHLU PRGHO ZKLFK DUH
GHDGORFNIUHH 7KH ILUVW VFKHPH QHWZRUN VHOHFWLRQEDVHG GXDOSDWK URXWLQJ VHOHFWV VXE
QHWZRUNV WKDW DUH FRQVWUXFWHG HLWKHU E\ WKH ILUVW +DPLOWRQLDQ SDWK RU E\ WKH VHFRQG
+DPLOWRQLDQSDWKIRUGXDOSDWKURXWLQJ7KHVHFRQGSODQVHOHFWVEDVVVSHDNHUV\VWHPVZLWK
LGHDOUHGLUHFWLQJURXWHIRUGXDOSDWKUHGLUHFWLQJ7KHWKLUGVWUXFWXUHWZRSKDVHLGHDOGXDO

 
SDWKUHGLUHFWLQJFRQWDLQVWZRVWDJHVVRXUFHWRUHOD\DQGUHOD\WRGHVWLQDWLRQ7KHIUHVK
RXWFRPHV GLVSOD\ WKDW WKHLU PRGHO SHUIRUPV EHWWHUWKDQ XQLFDVWEDVHG WKH +DPLOWRQLDQ
SDWK DQG WKH 6LQJOH+DPLOWRQLDQ3DWK &HQWHUHG 6+3%  UHGLUHFWLQJ VWUDWHJLHV
VLJQLILFDQWO\

6LQFH VRIWZDUH 6\VWHP VWUDWHJ\ RI PXOWLFDVWLQJ LV QRW DGHTXDWH /X HW DO  
KDYHSURSRVHGDKDUGZDUHVWUDWHJ\IRUPXOWLFDVWV\VWHPIRUZRUPKROHVZLWFKHG1HWZRUNV
RQ &KLSV 7KH\ SRVVHVV FUHDWHG WKH PXOWLFDVW JURXS E\ DUUDQJLQJ GLJLWDO VWDWLRQV 7KH\
SRVVHVVFDPHWRWKHFRQFOXVLRQIURPWKHIUHVKRXWFRPHVWKDWWKHPXOWLFDVWZLOOQRWUHDOO\
LQIOXHQFHWKHIXQFWLRQDOLW\RIWKHXQLFDVWWUDIILFZKHQWKHQHWZRUNLVQRWVDWXUDWHG7KH\
KDYHDOVRGHPRQVWUDWHGLPSURYHGODWHQF\RIWKHPXOWLFDVWZLWKGHFUHDVHGWKURXJKSXW

LL 2EOLYLRXV5RXWLQJ
,JQRUDQW URXWLQJ DOJRULWKPV KDYH ]HUR LQIRUPDWLRQ UHJDUGLQJ FRQGLWLRQV RI WKH
QHWZRUNOLNHWUDIILFDPRXQWVRUFRQJHVWLRQV$URXWHUPDNHVUHGLUHFWLQJGHFLVLRQVRQWKH
UHDVRQV RI VRPH IRUPXOD IRU H[DPSOH DUELWUDULO\ 7KH VLPSOHVW LJQRUDQW UHGLUHFWLQJ
DOJRULWKP LV GHILQLWHO\ D PLQLPDO FKDQJH UHGLUHFWLQJ ,W ZD\V SDFNHWV XVLQJ DV IHZ
EHFRPHVDVSRVVLEOH
LLL $GDSWLYHURXWLQJ
'XDWR   KDV SURSRVHG WKH WKHRUHWLFDO EDFNJURXQG IRU WKH GHYHORSPHQW RI
GHDGORFNIUHH DGDSWLYH URXWLQJ DOJRULWKPV IRU ZRUPKROH QHWZRUNV 7KH UHGLUHFWLQJ
DOJRULWKPV ZKLFK DUH DOVR IDXOWWROHUDQW KDG EHHQ VLPXODWHG LW GHPRQVWUDWHG KLJKHU
RYHUDOO SHUIRUPDQFH 7KH LPSDFW RI WKH YLUWXDO FKDQQHOV H[SHULHQFHG EHHQ DQDO\]HG LQ
WKHLUZRUN&KLX  SURYLGHVSURYLGHGDPRGHOWKDWUHVWULFWVSDFNHWVDFTXLULQJFHUWDLQ
WUDQVIRUPV ZLWKRXW XWLOL]DWLRQ RI YLUWXDO FKDQQHOV WKXV DYRLGLQJ GHDGORFN 7KHLU IUHVK
RXWFRPHVGLVSOD\VWDQGDUGOHYHORIDGDSWLYHQHVVIRUHDFKVHWRIVRXUFHGHVWLQDWLRQQRGHV
7KRXJKWKHPRGHOFDQHQGXS EHLQJSURORQJHGWRQRQXQLIRUPYLVLWRUVWKH\SHUIRUPQRW
UHDOO\VXSSRUWSUREOHPWKUHVKROG
%ORFNDJH RFFXUV LQSF V\VWHPV ZKHQ D VRXUFH H[FHHGV WKH FDSDELOLW\DV SDFNHWV
ILOO XS WKH OLQHV DQG OLQH VL]H GHYHORSV XQWLO SDFNHWV DUH GURSSHG (YHQ WKRXJK WKH
EDQGZLGWKRIWKHQHWZRUNOLQNVFDQEHHOHYDWHGWKHFRQJHVWLRQZLOOQRWREWDLQGHFUHDVHG
EHFDXVH LQFUHDVH LQ OLQN GLYHUVLW\ FDXVHV VHULRXV FRQJHVWLRQ ,Q 1HWZRUNV RQ &KLS ,3
EORFNV WKDW PD\ JHQHUDWH DUELWUDU\ DPRXQW RI WUDIILF DUH OLQNHG 'HSHQGLQJ RQ WKH SDWK
GLYHUVLW\DQGQXPEHURISURFHVVLQJFRUHVFRQJHVWLRQEHFRPHVLQHYLWDEOH &RPPRQ

 
VROXWLRQVWRDYRLGFRQJHVWLRQDUHFRQJHVWLRQEDVHGURXWLQJZKHUHDQDOWHUQDWHSDWKZLWK
OHVV FRQJHVWLRQ LV FKRVHQ ,QFUHDVLQJ WKH EXIIHU VL]H ZLOO EH DQ DOWHUQDWH VROXWLRQ WKDW
FRPSHQVDWHIRUVKRUWEXUVWVEXWRQFKLSQHWZRUNVDUHUHVRXUFHFRQVWUDLQHG
.LP HW DO   KDG GHYLVHG D QHZ URXWHU VWUXFWXUHV ZKLFK XWLOL]HV DGDSWLYH
URXWLQJ7KHLUORZODWHQF\WZRVWDJHSLSHOLQHGVWUXFWXUHVXVHVERUGHUEORFNDJHSRVLWLRQWR
FKRRVHWKHLGHDOUHVXOWURXWHZLWKORZODWHQF\7KHUHGLUHFWLQJSURWRFROGLVSOD\VGHFUHDVHG
HQHUJ\LQWDNH
$VFLDHWDO  ODXQFKHGWKHFRQFHSWRI1HLJKERUVRQ3DWKWRWDNHDGYDQWDJH
RIWKHFLUFXPVWDQFHVRILQGHFLVLRQWKDWFDQKDSSHQ LQDQDGDSWLYHZRUPKROHUHGLUHFWLQJ
7KH VWUHDP SRVLWLRQ RI WKH ERUGHU QRGHV LV FHUWDLQO\ NQRZQ E\ GHYRWHG LQGLFDWRUV
VWUXFWXUHG RQ ZKLFK WKH URXWH RI PXFK OHVV EORFNDJH LV XVXDOO\ FRPSXWHG 7XUQ PRGHO
URXWLQJ LV EDVHG RQ SURKLELWLQJ FHUWDLQ WXUQV GXULQJ WKH SDFNHW URXWLQJ WR SUHYHQW
GHDGORFNV8PLW DQG 0DUFXOHVFX   GHYHORSHG D WKRURXJK HIILFLHQF\ HYDOXDWLRQ IRU
ZRUPKROH URXWLQJ ZLWK DUELWUDU\ VL]H FRPPXQLFDWLRQV DQG ILQLWH EXIIHUV XQGHU
DSSOLFDWLRQVSHFLILFYLVLWRUVSDWWHUQV7KLVPRGHOKHOSVKXPDQMXGJHPHQWVWRSRORJLHVDQG
GHWHUPLQLVWLFUHGLUHFWLQJ7KURXJKWKLVPRGHOGLIIHUHQWVW\OHYDULDEOHVWKDWKDYHDQHIIHFW
RQWKHQHWZRUNIXQFWLRQDOLW\FDQEHFRPHUHVHDUFKHG
'DQHVKWDODEHWDO  SURSRVHGDURXWHUWKDWVHOHFWV PLQLPDORUQRQPLQLPDO
DGDSWLYH URXWH WKURXJK WKH VLJQDO WKDW GHWHFWV WKH EORFNDJH LQ WKH QHLJKERULQJ QRGHV
$UMXQ6LQJKHWDO  RIIHUVVXJJHVWHGDQRQPLQLPDODGDSWLYHUHGLUHFWLQJFULWHULRQIRU
7RUXV V\VWHPV WKDW DWWDFNV D VWDELOLW\ EHWZHHQ WKH FRQIOLFWLQJ JRDOV RI YLFLQLW\ DQG ORDG
EDODQFH 7KH DOJRULWKP XVHV WKH TXHXH OHQJWK DV WKH FRQJHVWLRQ LQGLFDWRU <DRWLQJHW DO
  KDV SUHVHQWHG D URXWLQJ VFKHPH WKDW XVHV PXOWLSOH VKRUWHVW SDWKV WR WUDQVIHU
PHVVDJHFRQFXUUHQWO\E\XVLQJVLPSOHFRQWUROVFKHPHV
7VDLHWDO  KDYHSURSRVHG7XUQ0RGHOEDVHG)XOO\$GDSWLYH5RXWLQJ 70
)$5  DOJRULWKP IRU 6\VWHPV RQ &KLSV 70)$5 UHWDLQV WKH GHDGORFNIUHH KRXVH RI
WUDGLWLRQDO VZLWFK PRGHO FHQWHUHG URXWLQJ DOJRULWKPV (OL]DEHWKJ ;< 2GG(YHQ 
ZKLOHUHOLHYLQJOLPLWDWLRQVRQWXUQDQGSDWKVHOHFWLRQV
LY 'HWHUPLQLVWLF5RXWLQJ
'HWHUPLQLVWLFURXWLQJDOJRULWKPVHVWDEOLVKWKHSDWKDVDIXQFWLRQRIWKHGHVWLQDWLRQ
DGGUHVV DOZD\V VXSSO\LQJ WKH VDPH SDWK EHWZHHQ HYHU\ SDLU RI QRGHV $ GHWHUPLQLVWLF
URXWLQJDOJRULWKPZLOODOZD\VSURYLGHWKHVDPHRXWSXWFKDQQHOIRUWKHVDPHGHVWLQDWLRQ
:KLOHGHWHUPLQLVWLFDOJRULWKPVDUHREOLYLRXVWKHFRQYHUVHLVQRWQHFHVVDULO\WUXH

 
'HWHUPLQLVWLF URXWLQJ EHFDPH YHU\ SRSXODU ZKHQ WKH ZRUPKROH VZLWFKLQJ ZDV ZLGHO\
XVHG2QHPDLQEHQHILWRIGHWHUPLQLVWLFURXWLQJLVLWVVLPSOLFLW\ZKHQLWFRPHVWRURXWHU
GHVLJQ %HFDXVH RI WKH VLPSOLILHG ORJLF WKH GHWHUPLQLVWLF URXWLQJ SURYLGHV ORZ ODWHQF\
ZKHQ WKH QHWZRUN LV QRW FRQJHVWHG +RZHYHU WKH GHWHUPLQLVWLF URXWHUV IDLO WR UHVSRQG
G\QDPLFDOO\WRQHWZRUNFRQJHVWLRQZKHQWKHSDFNHWLQMHFWHGLQWRWKHQHWZRUNLQFUHDVHV


,Q WKH FDVH +\SHU FXEHV 0HVKHV DQG 7RUXV WRSRORJLHV LW LVVLPSOH WR FRPSXWH
WKH GLVWDQFH EHWZHHQ FXUUHQW DQG GHVWLQDWLRQ QRGHV DV WKH VXP RI WKH RIIVHWV LQ DOO WKH
VL]HV7KHVLPSOHVWUHGLUHFWLQJDOJRULWKPFRQWDLQVUHGXFLQJDQFRXQWHUDFWWR]HUREHIRUH
WDNLQJ LQWR FRQVLGHUDWLRQ WKH FRXQWHU LQWKH QH[W GLPHQVLRQ NQRZQ DV 'LPHQVLRQ 2UGHU
5RXWLQJ 1L DQG 0F.LQOH\   'LPHQVLRQ 2UGHU 5RXWLQJ '25  JXDUDQWHHV D
PLQLPDOKRSFRXQWDQGKDVDVLPSOHLPSOHPHQWDWLRQZKLFKPDNHVLWDSRSXODUFKRLFHIRU
1R& V\VWHPV :KLOH '25 SHUIRUPV ZHOO DW ORZ QHWZRUN ORDG GXH WR WKH VKRUW KHDGHU
ODWHQF\LWVSHUIRUPDQFHGHJUDGHVTXLFNO\DVWKHORDGRQWKHQHWZRUNLQFUHDVHVGXHWRODFN
RIORDGEDODQFLQJ,WLVFDOOHGDV;<URXWLQJIRUWKH'0HVKWRSRORJ\DQGHFXEHURXWLQJ
IRU +\SHUFXEHV $ GLVWDQFH YHFWRU URXWLQJ DQG D OLQN VWDWH URXWLQJ DUH VKRUWHVW SDWK
URXWLQJ DOJRULWKPV $OL HW DO   KDV DQDO\]HG WKH QHHG IRU IDXOW WROHUDQW DOJRULWKPV
7KH\ KDYH SURSRVHG VLPSOH W\SH RI OLQN VWDWH URXWLQJ DOJRULWKP WKDW VXLWV D 1R& LQ WKH
HYHQWRIIDLOXUHV


Y;<5RXWLQJ3RSXODU$OJRULWKP)RU'0HVK$QG'HWDLOHG3HUIRUPDQFH$QDO\VLV

7KH;<URXWLQJDOJRULWKPLVVLPSOHLQLPSOHPHQWDWLRQDQGPRVWFRPPRQURXWLQJDOJRULWKP
7KLVURXWLQJWHFKQLTXHFRPHVXQGHUGLVWULEXWHGGHWHUPLQLVWLFURXWLQJDOJRULWKP7KH;<
URXWLQJDOJRULWKPJHQHUDOO\IROORZVWKHVKRUWHVWSDWKDQGWKHRQO\RQHGHWHUPLQHGSDWKIRUWKH
SDFNHW7KLVDOJRULWKPLVVXLWDEOHIRUUHJXODUDQGLUUHJXODUQHWZRUNWRSRORJLHV,QRUGHUWR
XQGHUVWDQG;<URXWLQJZHFRQVLGHUWKHWZRGLPHQVLRQDOQîP0HVKDVLQ)LJ

 
7RLGHQWLI\HDFKQRGHLQWKLVPHVKKDVDORFDWLRQLQWKHIRUPRI [\ ZKHUH[UHSUHVHQWVLWV
SRVLWLRQLQWKH[GLPHQVLRQDQG\UHSUHVHQWVLWVSRVLWLRQLQWKH\GLPHQVLRQ


)LJXUH$' î 0HVK7RSRORJ\


7KHURXWHIURPWKHVRXUFHQRGHWRWKHGHVWLQDWLRQQRGHLVDGHWHUPLQHGSDWKQRPDWWHU
ZKDWWKHFRQGLWLRQVRIWKHQHWZRUN:KHQWKH12&QHWZRUNKDVQRFRQJHVWLRQLWKDVDKLJK
UHOLDELOLW\DQGVKRUWGHOD\7KLVDOJRULWKPVWDWHVWKDW)LUVWWKHSDFNHWZLOOPRYHLQ;GLUHFWLRQ
DQGWKHQLQ<GLUHFWLRQSDFNHWVFDQQRWXVHDOWHUQDWLYHURXWHVWRE\SDVVWKHEORFNHGURXWHV
7KH [\ FRRUGLQDWHRIWKHFXUUHQWURXWHULVFRPSDUHGWRWKH [\ FRRUGLQDWHRIGHVWLQDWLRQ
URXWHUWRFRPSXWHWKHSDWK7KHGDWDSDFNHWLVURXWHGDORQJWKH;GLPHQVLRQDQGWKHQDORQJ
WKH<GLPHQVLRQXQWLOWKHSDFNHWUHDFKHVLWVGHVWLQDWLRQ,3FRUHLQLW )LJ 




)LJXUH D $OOSRVVLEOHWXUQVLQ'0HVK7RSRORJ\ E $OORZHGWXUQVLQ;<5RXWLQJ

2XWRIHLJKWSRVVLEOHWXUQVLQ0HVKWRSRORJ\;<URXWLQJDOJRULWKPSHUPLWVKDOIWKHWXUQV
E\UHVWUDLQLQJUHVWRIWKHKDOIWXUQV$FFRUGLQJWR;<URXWLQJDSDFNHWZLOOPRYHLQ
[GLUHFWLRQDIWHUUHDFKLQJWKHGHVWLQDWLRQFROXPQLWZLOOEHPRYHGDORQJ\GLUHFWLRQ XSRU
GRZQ DVVKRZQLQ)LJXUH

 
3HUIRUPDQFHPHWULFV
7KHSHUIRUPDQFHPHWULFXVHGLQWKHHYDOXDWLRQDUHWRWDOWKURXJKSXWQRGHWKURXJKSXW
DYHUDJHODWHQF\DYHUDJHH[WUDGHOD\HIILFLHQF\DQGSDFNHWORVW:KLFKDUHGHILQHGDV
IROORZV
L7RWDO7KURXJKSXW
7KHWRWDOWKURXJKSXWPHDQVKRZPDQ\SDFNHWVDUHUHFHLYHGE\GHVWLQDWLRQLQWKHQHWZRUN
LQWKHVLPXODWLRQWLPH,WLVXVHGWRPHDVXUHWKHSHUIRUPDQFHRIHQWLUH12&QHWZRUN,WLV
GHULYHGE\WKHIROORZLQJIRUPXOD
7RWDOWKURXJKSXW  WRWDODUULYHGSDFNHWV  VLPXODWLRQWLPH 


LL1RGH7KURXJKSXW
1RGHWKURXJKSXWFDQEHREWDLQHGE\GLYLGLQJWKHWRWDOWKURXJKSXWRQWKHWRWDOQXPEHURI
QRGHVSUHVHQWLQWKH12&QHWZRUN
1RGHWKURXJKSXW  WRWDODUULYHGSDFNHWV  5RZVî&ROXPQ 


LLL 3DFNHW/DWHQF\
3DFNHWODWHQF\LVGHILQHGIRUHDFKSDFNHWDVWKHWLPHEHWZHHQSDFNHWJHQHUDWLRQVDQGDFWXDO
DUULYDOWLPH
3DFNHW/DWHQF\  DFWXDODUULYDOWLPHSDFNHWJHQHUDWLRQWLPH 


LY([WUD'HOD\
([WUDGHOD\FDQEHFDOFXODWHGE\VXEWUDFWLQJWKHPLQLPXPDUULYDOWLPHIURPDFWXDODUULYDO
WLPH
([WUDGHOD\  DFWXDODUULYDOWLPHRISDFNHWPLQLPXPDUULYDOWLPHRISDFNHW 


Y(IILFLHQF\
(IILFLHQF\LVWKHUDWLREHWZHHQWRWDOSDFNHWVDQGDUULYHGSDFNHWVLQSHUFHQW
(IILFLHQF\  WRWDODUULYHGSDFNHWVî  WRWDOSDFNHWV 


YL3DFNHW/RVW
,IWKHFRUHEXIIHULVIXOODQGWKHUHLVQRVSDFHWRDGGWKHSDFNHWZLWKEXIIHUTXHXHWKLVSDFNHW
LVFRQVLGHUVORVW
3DFNHW/RVW FRXQWRIORVWSDFNHWVî  WRWDOSDFNHW 

 
E 0LVWDNH7ROHUDQFH,Q6\VWHPV2Q&KLS
2YHUDOOSHUIRUPDQFHDQGIDXOWWROHUDQFHDUHWZRGRPLQDQWLVVXHVIDFLQJWKHGHVLJQ
RILQWHUFRQQHFWLRQQHWZRUNVIRUODUJHVFDOHPXOWLSURFHVVRUDUFKLWHFWXUHV)DXOWWROHUDQFHLV
QRUPDOO\ WKH DELOLW\ RI WKH QHWZRUN WR IXQFWLRQ LQ WKH H[LVWHQFH RI FRPSRQHQW IDLOXUHV
+RZHYHU WHFKQLTXHV XVHG WR UHFRJQL]H IDXOW WROHUDQFH DUH RIWHQ DW WKH H[SHQVH RI
FRQVLGHUDEOH SHUIRUPDQFH GHJUDGDWLRQ 'XDWR   SURSRVHG DWKHRU\ RI IDXOWWROHUDQW
DGDSWLYHURXWLQJZKLFKUHTXLUHVDWOHDVWIRXUYLUWXDOFKDQQHOVSHUSK\VLFDOFKDQQHO
$QRWKHU IDXOW WROHUDQW URXWLQJ DOJRULWKP WKDW XVHV YLUWXDO FKDQQHOV KDV EHHQ
SURSRVHG E\ 3DUN HW DO   6ZLWFKHV XWLOL]LQJ D UHGLUHFWLQJ DOJRULWKP ZLWK YLUWXDO
FKDQQHOV QHHG DGGLWLRQDO ORJLF FLUFXLWV IRU EXIIHUV DQG PXOWLSOH[HUV 7KHLU DSSURDFK
SURYLGHVWKHXQGHVLUDEOHFKDUDFWHULVWLFRIUHTXLULQJDGGLWLRQDOORJLFFLUFXLWVIRUEXIIHUVDQG
PXOWLSOH[HUV
,Q WKH FDVH +\SHU FXEHV 0HVKHV DQG 7RUXVWRSRORJLHV LW LV VLPSOH WR FRPSXWH
WKH GLVWDQFH EHWZHHQ FXUUHQW DQG GHVWLQDWLRQ QRGHV DV WKH VXP RI WKH RIIVHWV LQ DOO WKH
VL]HV7KHVLPSOHVW UHGLUHFWLQJDOJRULWKPFRQWDLQVUHGXFLQJDQFRXQWHUDFWWR]HUREHIRUH
WDNLQJ LQWR FRQVLGHUDWLRQ WKH FRXQWHU LQ WKH QH[WGLPHQVLRQ NQRZQ DV 'LPHQVLRQ 2UGHU
5RXWLQJWKDWDUHPRUHOLDEOHWRIDLOXUHV

=KRXDQG/DX  SURSRVHGDSUREOHPWROHUDQWURXWLQJDOJRULWKP ZKLFKXVHV
YLUWXDOFKDQQHOV IRUWKHURXWLQJ)DXOW\ OLQNVDQGVZLWFKHVDUH PL[HGWRISRO\JRQV7KH
SDFNHWVDUHVHQWDURXQGWKHVHISRO\JRQV7KHPDMRUGUDZEDFNRIWKLVVROXWLRQLVXVXDOO\
WULJJHUHGE\WKHXVDJHRIYLUWXDOFKDQQHOV,QWKHFDVHRIDVLQJOHIDXOW\SK\VLFDOOLQNDOO
YLUWXDO OLQNV EHORQJLQJ WRWKDW IDXOW\ SK\VLFDO OLQN EHFRPH IDXOW\ DV ZHOO %RSSDQD DQG
&KDODVDQL   KDYH SUHVHQWHG D VLPLODU DSSURDFK WKDW XVHV YLUWXDO FKDQQHOV IRU IDXOW
WROHUDQFH DQG FRPELQHV WKH IDXOWV LQ IFKDLQV DQG IULQJV DURXQG ZKLFK WKH SDFNHWV DUH
URXWHG $QRWKHU DSSURDFK IRU IDXOW WROHUDQFH WKDW XVHV IFKDLQV DQG IULQJV IRU URXWLQJ
SDFNHWVDURXQGIDXOW\UHJLRQVLVSUHVHQWHGLQWKHZRUNE\&KHQDQG&KLX  
/LHWDO  SURSRVHGD'\QDPLF;< '\;< URXWLQJZKLFKSURYLGHVDGDSWLYH
URXWLQJ EDVHG RQ FRQJHVWLRQ FRQGLWLRQV LQWKH SUR[LPLW\ DQG HQVXUHV GHDGORFNIUHH DQG
OLYHORFNIUHHURXWLQJDWWKHVDPHWLPH7KHDOJRULWKPXVHVGHGLFDWHGZLUHVWRLQYHVWLJDWH
WKHVWDWXVRIWKHQHLJKERULQJVZLWFKHV7KHGUDZEDFNLVWKDWLWVIRUHVLJKWLVOLPLWHGDQGLW
FDQ VKRZ RQO\ WKH VWDWXV RI WKH QHLJKERXULQJ QRGHV DV EXV\ RU QRW $QRWKHU URXWLQJ
DOJRULWKPWDNLQJWKHVWDWXVRIDVZLWFKLQWRDFFRXQWLVSUHVHQWHGE\+XHWDO E 7KH

 
VZLWFKGHFLGHVWRURXWHDSDFNHWLQWRDVSHFLILFGLUHFWLRQEDVHGRQLWVRZQVWDWXVDQGWKH
VWDWXVRILWVRXWJRLQJTXHXHV
$QDGDSWLYHURXWLQJDOJRULWKPXVLQJWHQVLRQLGHDOVWRGLVWULEXWHWUDIILFXQLIRUPO\
DFURVVWKHZKROHQHWZRUNLVSUHVHQWHGE\/HHHWDO  7KHGUDZEDFNRIVWUHVVYDOXHV
LVGHILQLWHO\WKDWWKH\DUHGHOLYHUHGWRWKHQHLJKERULQJVZLWFKHVZKHQDVZLWFKGHWHFWVWKDW
LW LVDOPRVWRYHUORDGHG7KDWFDQFDXVHSDFNHWORVVVLQFHWKHQHLJKERULQJVZLWFKHVPLJKW


KDYH VHQW SDFNHWV WR WKDW VZLWFK ULJKW EHIRUH JHWWLQJ WKH VWUHVV YDOXH 6FKRQZDOG HW DO
  KDV SURSRVHG URXWLQJ DOJRULWKP FDOOHG )RUFH 'LUHFWHG :RUPKROH 5RXWLQJ WKDW
GLVWULEXWHVWKHWUDIILFFRQVLVWHQWO\WKURXJKRXWWKHZKROHQHWZRUNLQWKHH[LVWHQFHRIIDXOW\
OLQNVRUVZLWFKHVLQWKH12&V
0LVWDNH FRQWURO LV EHFRPLQJ D GHYHORSLQJ FRQFHUQ DV WHFKQRORJ\ VFDOHV WRZDUG
GHHSVXEPLFURQGXHWRWKHLQFUHDVHGLPSDFWRQVLJQDOUHOLDELOLW\RIQRLVHVRXUFHVVXFKDV
FURVVWDONSRZHUVXSSO\QRLVH(0,DQGVRIWHUURUV&RUUXSWHGIOLWVFDQEHGHWHFWHGHLWKHU
LQKDUGZDUHE\PHDQVRIHUURUFRUUHFWLRQRUHUURUGHWHFWLRQUHWUDQVPLVVLRQPHFKDQLVPV
RU FDQ EH KDQGOHG DW KLJKHU QHWZRUN OD\HUV HJ FRQQHFWLRQ RULHQWHG WUDQVSRUW OD\HU 
+RZHYHU IDVW HUURU UHFRYHU\ UHTXLUHV D KDUGZDUH LPSOHPHQWDWLRQ RI HUURU FRQWURO WKXV
LQFUHDVLQJ VZLWFK DQG  RU 1HWZRUN ,QWHUIDFH FRPSOH[LW\ 7KH UHXVH RI IORZ FRQWURO
PHFKDQLVPV IRU HUURU KDQGOLQJ DOORZV WR VDYH VRPH DUHD DQG SRZHU DQG DOVR WR DYRLG
GXSOLFDWLRQ RI FRQWURO OLQHV,Q 3XOOLQL HW DO  WKUHH GLIIHUHQW EXIIHUHG IORZFRQWURO
WHFKQLTXHV WKDW VXSSRUW HUURU FRQWURO ZHUH GLVFXVVHG 7KH WKUHH GLIIHUHQW IORZ FRQWURO
VFKHPHV VXSSRUWHG IDXOW WROHUDQFH DW GLIIHUHQW SHUIRUPDQFH SRLQWV OLNH  DUHD RU
SHUIRUPDQFHRUSRZHU
5DQWDOD HW DO   RIIHUV SURSRVHG D UHURXWLQJ V\VWHP DQG DGGLWLRQ RI FRPH
EDFNIXQQHOWRHDFKQRGH7KHUHGLUHFWLQJFKDQJHQRGHZDVVLPXODWHGDQGH[DPLQHG LQD
IDXOW\HQYLURQPHQW,WZDVIRXQGWKDWWKHURXWLQJSROLF\WDNHVSHUFHQWORQJHUSDWKWKDQ
WKHPLQLPDOSDWKVLQH[LVWHQFHRIIDXOW\QRGHV%RJGDQHWDO  KDVGHVLJQHGWKHRQ
FKLS LQWHUFRQQHFW DV D UHXVDEOH ,3 %\ GLYLGLQJ WKH FRPPXQLFDWLRQ IURP FRPSXWDWLRQ
WKH\SURYLGHGEXLOWLQWROHUDQFHZLWKQRSHUIRUPDQFHSHQDOW\7KH\KDYHSURYHQWKDWGDWD
XSVHWV SDFNHW ORVVHV GXH WR EXIIHUV RYHUIORZ DQG VHULRXV OHYHOV RI V\QFKURQL]DWLRQ
IDLOXUHVFDQEHWROHUDWHGZKLOHSURYLGLQJKLJKOHYHOVRISHUIRUPDQFH
6XGHHSHWDO  SRVVHVVSURSRVHGWKH2GG(YHQ 2( DQG,QYHUWHG2GG(YHQ
,2(  FRQYHUWFKRLFHV WR DFKLHYH GHDGORFN IUHH RI FKDUJH ER[WUDYHUVDO 7KHLURXWFRPHV

 
SUHVHQW WKDWWKH VXJJHVWHG 2(,2( SODQFDQ RIIHU EHWWHU IDXOWSDWLHQFH ZHDJH KLJKHU
HIIHFWLYH ER[ DUULYDO UDWHV  WKDQ WUDGLWLRQDO IDXOW WROHUDQW URXWLQJ VFKHPHV VXFK DV 1
UDQGRPZDONDQGWXUQPRGHOVWUXFWXUHGVFKHPHVQVSLWHRIDOOWKHDERYHPHQWLRQHGZRUNV
ZKLFKKDYHEHHQFDUULHGRXWLWKDVEHHQIHOWWKDWWKHUHLVDQHHGIRUDGDSWLYHFRQJHVWLRQ
DZDUHDQGIDXOWWROHUDQWURXWLQJPRGHOWRHQKDQFHWKHSHUIRUPDQFHRI1HWZRUNVRQ &KLS
ZLWKUHVSHFWWRSHUIRUPDQFHZLWKUHJDUGVWRWKURXJKSXW


&RQFOXVLRQ
,QWKLVFKDSWHUWKHURXWHUDUFKLWHFWXUHRIWKH1HWZRUNRQFKLSDQGLWVHOHPHQWVDUH
GLVFXVVHG$QDO\VLVIXQFWLRQVUHODWHGWRGLIIHUHQWW\SHVRIUHGLUHFWLQJDOJRULWKPVDUHDOVR
RIIHUHG([LVWLQJIXQFWLRQVUHODWHGWRDGDSWLYHDQGPLVWDNHWROHUDQW ZRUPKROHUHGLUHFWLQJ
DUHWDONHGDERXW7KHZDQWIRUEORFNDJHFRQWUROV\VWHPZKLFKIRUPVWKHHVVHQWLDOLQWHQWRI
WKLVWKHVLVFDQEHDOVRVWUHVVHG

6ZLWFKHV XWLOL]LQJ D UHGLUHFWLQJ DOJRULWKP ZLWK YLUWXDO FKDQQHOV QHHG DGGLWLRQDO


ORJLF FLUFXLWV IRU EXIIHUV DQG PXOWLSOH[HUV 7KHLU DSSURDFK SURYLGHV WKH XQGHVLUDEOH
FKDUDFWHULVWLF RI UHTXLULQJ DGGLWLRQDO ORJLF FLUFXLWV IRU EXIIHUV DQG PXOWLSOH[HUV WKDW DUH
PRUHOLDEOHWRIDLOXUHV

2YHUDOO SHUIRUPDQFH DQG IDXOW WROHUDQFH DUH WZR GRPLQDQW LVVXHV IDFLQJ WKH
GHVLJQ RI LQWHUFRQQHFWLRQ QHWZRUNV IRU ODUJHVFDOH PXOWLSURFHVVRU DUFKLWHFWXUHV )DXOW
WROHUDQFHLVQRUPDOO\WKHDELOLW\RIWKHQHWZRUNWRIXQFWLRQLQWKHH[LVWHQFHRIFRPSRQHQW
IDLOXUHV+RZHYHUWHFKQLTXHVXVHGWRUHFRJQL]H IDXOWWROHUDQFHDUHRIWHQDWWKHH[SHQVH
RIFRQVLGHUDEOHSHUIRUPDQFHGHJUDGDWLRQ
0LVWDNH FRQWURO LV EHFRPLQJ D GHYHORSLQJ FRQFHUQ DV WHFKQRORJ\ VFDOHV WRZDUG
GHHSVXEPLFURQGXHWRWKHLQFUHDVHGLPSDFWRQVLJQDOUHOLDELOLW\RIQRLVHVRXUFHVVXFKDV
FURVVWDONSRZHUVXSSO\QRLVH(0,DQGVRIWHUURUV&RUUXSWHGIOLWVFDQEHGHWHFWHGHLWKHU
LQKDUGZDUHE\PHDQVRIHUURUFRUUHFWLRQRUHUURUGHWHFWLRQUHWUDQVPLVVLRQPHFKDQLVPV
RU FDQ EH KDQGOHG DW KLJKHU QHWZRUN OD\HUV HJ FRQQHFWLRQ RULHQWHG WUDQVSRUW OD\HU 
+RZHYHU IDVW HUURUUHFRYHU\ UHTXLUHV D KDUGZDUH LPSOHPHQWDWLRQ RI HUURU FRQWURO WKXV
LQFUHDVLQJ VZLWFK DQG  RU 1HWZRUN ,QWHUIDFH FRPSOH[LW\ 7KH UHXVH RI IORZ FRQWURO
PHFKDQLVPV IRU HUURU KDQGOLQJ DOORZV WR VDYH VRPH DUHD DQG SRZHU DQG DOVR WR DYRLG
GXSOLFDWLRQRIFRQWURO OLQHV,Q3XOOLQLHWDO  WKUHHGLIIHUHQWEXIIHUHG IORZFRQWURO
WHFKQLTXHV WKDW VXSSRUW HUURU FRQWURO ZHUH GLVFXVVHG 7KH WKUHH GLIIHUHQW IORZ FRQWURO

 
VFKHPHV VXSSRUWHG IDXOW WROHUDQFH DW GLIIHUHQW SHUIRUPDQFH SRLQWV OLNH  DUHD RU
SHUIRUPDQFHRUSRZHU
2XWRIHLJKWSRVVLEOHWXUQVLQ0HVKWRSRORJ\;<URXWLQJDOJRULWKPSHUPLWVKDOI
WKH WXUQV E\ UHVWUDLQLQJ UHVW RI WKH KDOI WXUQV $FFRUGLQJ WR ;< URXWLQJ D SDFNHW ZLOO
PRYHLQ
[GLUHFWLRQ DIWHU UHDFKLQJ WKH GHVWLQDWLRQ FROXPQ LW ZLOO EH PRYHG DORQJ \
GLUHFWLRQ XSRUGRZQ DVVKRZQLQ)LJXUH

6XGHHSHWDO  SRVVHVVSURSRVHGWKH2GG(YHQ 2( DQG,QYHUWHG2GG(YHQ
,2(  FRQYHUWFKRLFHV WR DFKLHYH GHDGORFN IUHH RI FKDUJH ER[WUDYHUVDO 7KHLURXWFRPHV
SUHVHQW WKDWWKH VXJJHVWHG 2(,2( SODQFDQ RIIHU EHWWHU IDXOWSDWLHQFH ZHDJH KLJKHU
HIIHFWLYH ER[ DUULYDO UDWHV  WKDQ WUDGLWLRQDO IDXOW WROHUDQW URXWLQJ VFKHPHV VXFK DV 1
UDQGRPZDONDQGWXUQPRGHOVWUXFWXUHGVFKHPHVQVSLWHRIDOOWKHDERYHPHQWLRQHGZRUNV
ZKLFKKDYHEHHQFDUULHGRXWLWKDVEHHQIHOWWKDWWKHUHLVDQHHGIRUDGDSWLYHFRQJHVWLRQ
DZDUHDQGIDXOWWROHUDQWURXWLQJPRGHOWRHQKDQFHWKHSHUIRUPDQFHRI1HWZRUNVRQ &KLS
ZLWKUHVSHFWWRSHUIRUPDQFHZLWKUHJDUGVWRWKURXJKSXW

 
&KDSWHU

'\QDPLF%XIIHU$OORFDWLRQ)RU&RQJHVWLRQ$YRLGDQFH

,QWURGXFWLRQ
7KH FRQJHVWLRQ DYRLGDQFH LV WKH NH\ IDFWRU WR EH FRQVLGHUHG ZKLOH GHVLJQLQJ D
1HWZRUNRQ &KLS V\VWHP IRU FHUWDLQ DSSOLFDWLRQV WKDWUHTXLUH KLJK SHUIRUPDQFH $ QHWZRUN
FRQVLVWV RI FKDQQHOV DQG EXIIHUV )ORZ FRQWURO GHDOV ZLWK WKH DOORFDWLRQ RI FKDQQHOV DQG
EXIIHUV WR D SDFNHW DV LW WUDYHOV DORQJ D SDWK WKURXJK WKH QHWZRUN 7KH SDFNHWV PD\ JHW
EORFNHG EHFDXVH RI ODFN RI EXIIHU UHVRXUFHV ZKLFK PD\ FDXVH FRQJHVWLRQ RU SDFNHWV JHW
GURSSHG LQ WKH QHWZRUN 7KRXJK WKHUH DUH WLJKW FRQVWUDLQWV RI EXIIHU DYDLODELOLW\ RQFKLS
QHWZRUNV DUH DOZD\V DSSOLFDWLRQ RULHQWHG ZLWK ZKLFK VRPH NQRZOHGJH DERXW WKH H[SHFWHG
WUDIILFSDWWHUQFDQEHREWDLQHG([SHFWHGDSSOLFDWLRQWUDIILFSDWWHUQFRXOGEHXVHGWRRSWLPL]H
WKH QXPEHU RI EXIIHUV SHU FKDQQHO LQRQ FKLS QHWZRUNV 6LQFH DOO WKH QRGHV LQWKH QHWZRUN
DUH QRW HTXDOO\ FRQJHVWHGWKH XQLIRUP DOORFDWLRQ RI EXIIHUV WR HDFK QRGH LV QRWWKHRSWLPDO
VROXWLRQ
6HYHUDO UHVHDUFK DFWLYLWLHV KDYH WDUJHWHG WKH GHVLJQ RI RSWLPL]HG EXIIHUV WR LPSURYH WKH
EXIIHU XWLOL]DWLRQ +X HW DO F  KDYH SURSRVHG VPDUW EXIIHU DOORFDWLRQ DOJRULWKP IRU
YLUWXDO  FXWWKURXJK  VZLWFKLQJ  LQ  12&¶V  $ TXHXLQJ PRGHO KDV EHHQ GHVLJQHG WR
PLQLPL]HWKHEXIIHUXWLOL]DWLRQ,QWKLVPRGHOHDFKSDFNHWDUULYHG LQWKHFKDQQHOLVDVVXPHG
WR EH WKH FXVWRPHU VLQFH YLUWXDO FXWWKURXJK VZLWFKLQJ LV XVHG 'XH WR UHGXFHG EXIIHULQJ
UHVRXUFHV LQ WKH ZRUPKROH VZLWFKLQJ WHFKQLTXH WKH FRQJHVWLRQ LQ WKH GRZQVWUHDP URXWHU
SURSDJDWHV WR WKH XSVWUHDP URXWHUV LQ WKH QHWZRUN ZKLFK VHYHUHO\ FDXVHV WKH WRWDO QHWZRUN
FRQJHVWLRQ +HQFH D G\QDPLF EXIIHU DOORFDWLRQ DOJRULWKP IRU ZRUPKROH VZLWFKLQJ LQ 0HVK
DUFKLWHFWXUHRI 12& LVSURSRVHG WKDWRSWLPL]HV WKH EXIIHU XWLOL]DWLRQ ZLWKLQ WKH WRWDO EXIIHU
FDSDFLW\ 7KH DOJRULWKP LV EDVHG RQ DQ DQDO\WLFDO PRGHO ZKLFK  LVXVHG WR TXLFNO\ DQDO\]H
DQG GHWHFW WKH SRWHQWLDO SHUIRUPDQFH ERWWOHQHFNV LQ GLIIHUHQW URXWHU FKDQQHOV EDVHG RQ WKH
DSSOLFDWLRQUHTXLUHPHQWV
$ZHOOGHVLJQHG'0HVKZRUPKROHURXWHULVDGDSWLYHDQGVKRXOGEHDEOHWRVXSSRUW
PXOWLFDVW DQG IDXOW WROHUDQW URXWLQJ ZLWKRXW GHDGORFN 8QIRUWXQDWHO\ WKHUH H[LVWV QR URXWHU
GHVLJQ SURYLGLQJ DOO WKHVH FKDUDFWHULVWLFV FRQFXUUHQWO\ $ 0XOWL3DWK EDVHG PXOWLFDVW

 
ZRUPKROH URXWLQJ LV SURSRVHG IRU WKH RQFKLS LQWHUFRQQHFWLRQ QHWZRUNV ZKLFK ZLOO GHWHFW
FRQJHVWLRQ DW DQ\ SDUW RI WKH QHWZRUN DQG LQFRUSRUDWH DGDSWLYHQHVV DQG IDXOW WROHUDQFH 7R
PDNH WKH PXOWLFDVW URXWLQJ PRGHO GHDGORFNIUHH WKH 2GG(YHQ 2(  WXUQ PRGHO LV XVHG
2GG(YHQ WXUQ PRGHO LV DQ DGDSWLYH URXWLQJ PRGHO ZLWKRXW GHDGORFN IRU XQLFDVW URXWLQJ LQ
1HWZRUNRQ&KLS

 '\QDPLF%XIIHU$OORFDWLRQ6\VWHP 'HVLJQ


*LYHQWKHDSSOLFDWLRQWUDIILFSDWWHUQRIWKHURXWHUVLQWKH12&DQGWKHWRWDOEXIIHU
FDSDFLW\WKHSUREOHPWREHVROYHGLVWRRSWLPL]HWKHEXIIHUDOORFDWLRQWRHDFKLQSXWFKDQQHORI
DOOWKHURXWHUV LQWKHQHWZRUNVRWKDWWKHSHUIRUPDQFH LVPD[LPL]HG7KHW\SLFDOVWUXFWXUHRI
WKHURXWHULVVKRZQLQWKH)LJ7KHURXWHULVFRQQHFWHGWRWKHIRXUQHLJKERULQJWLOHVDQGLWV
ORFDOSURFHVVLQJHOHPHQW 3( YLDFRPPXQLFDWLRQFKDQQHOV HDFKFRQVLVWV RIWZRGLUHFWLRQDO
SRLQWWRSRLQW OLQNV  (DFK LQSXW FKDQQHO KDV LWV RZQ VHSDUDWH LQSXW EXIIHU LQ ZKLFK WKH
LQFRPLQJSDFNHWZLOOEHVWRUHGEHIRUHGHOLYHULQJWKHPWRRXWSXWFKDQQHOV(DFKLQSXWEXIIHU
FDQ KDYH GLIIHUHQW VL]H ZKLFK FDQ EH VSHFLILHG  GXULQJ  WKH  LPSOHPHQWDWLRQ 7KHVH LQSXW
EXIIHUVVKRZQDVVKDGHGUHJLRQ LQWKH)LJDUHWREHRSWLPL]HGXVLQJWKHG\QDPLF EXIIHU
DOORFDWLRQDOJRULWKP
 &URVVEDU$UELWHU


 &KDQQHO&RQWUROOHU

(DVW,QSXW%XIIHU 2XWSXW&KDQQHO(DVW



&KDQQHO
2XWSXW&KDQQHO:HVW
:HVW,QSXW%XIIHU
7KHVH%XIIHUV
DUHRSWLPL]HG &URVVEDU
 &KDQQHO&RQWUROOHU 6ZLWFK 2XWSXW&KDQQHO1RUWK

1RUWK,QSXW
2XWSXW&KDQQHO6RXWK


&KDQQHO

6RXWK,QSXW%XIIHU 2XWSXW&KDQQHO/RFDO


 &KDQQHO&RQWUROOHU


/RFDO,QSXW%XIIHU

)LJXUH7\SLFDO5RXWHU$UFKLWHFWXUH
 
(DFK LQSXW FKDQQHO DOVR KDV LWV RZQ URXWLQJ DOJRULWKP 7KH URXWLQJ DOJRULWKP
SURFHVVHVWKHSDFNHWDWWKHKHDGRIWKHLQSXWEXIIHUWRGHWHUPLQHZKLFKRXWSXWGLUHFWLRQ LH
1RUWK(DVW/RFDOHWF DQLQFRPLQJSDFNHWVKRXOGEHURXWHGWR7KLVFDQEHDFKLHYHGHLWKHU
XVLQJGHGLFDWHG ORJLFZKLFK PDNHVGHFLVLRQ EDVHGRQWKHVRXUFHGHVWLQDWLRQRIWKDWSDFNHW
DQG WKH FXUUHQW QHWZRUN FRQGLWLRQ RU E\ PHDQV RI ORRNLQJXS D URXWLQJ WDEOH 2QFH  WKH
URXWHUKDV PDGHWKHGHFLVLRQRQZKLFKGLUHFWLRQWKHSDFNHWVKRXOG EHURXWHGWRWKHFKDQQHO
FRQWUROOHUVHQGVWKHFRQQHFWLRQUHTXHVWWRWKH&URVVEDU$UELWHULQRUGHUWRVHWXSDSDWKWRWKH
FRUUHVSRQGLQJRXWSXW FKDQQHO

7KH &URVVEDU $UELWHU PDLQWDLQV WKH VWDWXVRI WKH FXUUHQW FURVVEDU FRQQHFWLRQ DQG
GHWHUPLQHV ZKHWKHU RU QRW WR JUDQW FRQQHFWLRQ SHUPLVVLRQ WR WKH FKDQQHO FRQWUROOHU :KHQ
WKHUHDUHPXOWLSOHLQSXWFKDQQHOFRQWUROOHUUHTXHVWVIRUWKHVDPHDYDLODEOHRXWSXWFKDQQHOWKH
&URVVEDU $UELWHU XVHV WKH )LUVW&RPH)LUVW6HUYHG )&)6  SROLF\ WR GHFLGH ZKLFK LQSXW
FKDQQHOJHWVWKHDFFHVVVXFKWKDWWKHVWDUYDWLRQDWDSDUWLFXODUFKDQQHOFDQEHDYRLGHG

7KH DFWXDO XVH RI WKH LQSXW EXIIHU LV UHJXODWHG WKURXJK D EDFN SUHVVXUH
PHFKDQLVP 8QGHUWKLV VFKHPH D SDFNHW LV KHOG LQWKH EXIIHU XQWLO  WKH GRZQVWUHDP URXWHU
KDVHQRXJKHPSW\VSDFHDYDLODEOH LQWKHFRUUHVSRQGLQJLQSXWEXIIHU VXFKWKDWQHWZRUNZLOO
QRW GURS DQ\ SDFNHW LQ WUDQVLW 7KLV LV H[WUHPHO\ LPSRUWDQW IRU 1R& DUFKLWHFWXUHV ZKHUH
LPSOHPHQWLQJDGYDQFHGHQGWRHQGSURWRFROV PD\QRWEHSRVVLEOH2QFHDSDFNHWDUULYHVDW
DQLQSXWEXIIHULWZLOOEHVHUYHGRQD)LUVW&RPH)LUVW6HUYHG )&)6  PDQQHU

7KHEXIIHUVL]HLVDVVXPHGWREHLQPXOWLSOHVRIIOLWVL]H0RUHVSHFLILFDOO\WKHVL]H
RIHDFKIOLWEH3E\WHVWKHQWKHVL]HRIDQ\LQSXWEXIIHUPXVWEHP[3ZKHUHPLVDSRVLWLYH
LQWHJHU ,W LV DOVR DVVXPHG WKDW WKH VL]H RI WKH ORFDO LQSXW EXIIHU WKH LQSXW FKDQQHO ZKLFK
DFFHSWV SDFNHWV IURP WKH URXWHU V ORFDO 3URFHVVLQJ (OHPHQW  WR EH LQILQLWH VR WKDW LW DFWV DV
ORFDO PHPRU\ WR VWRUH LQSXW SDFNHWV 'XH WR WKLV DVVXPSWLRQ WKH VL]H RI ORFDO LQSXW EXIIHU
ZLOOQRWEHFRQVLGHUHGDQ\PRUHLQEXIIHUDOORFDWLRQ SURFHVV

 
$$QDO\WLFDO0RGHO
,W LV DVVXPHG WKDW WKH DUULYDO SURFHVV RI WKH KHDGHU LQMHFWHG LQWR WKH QHWZRUN E\ HDFK
SURFHVVLQJ HOHPHQW IROORZV 3RLVVRQ GLVWULEXWLRQ 7KH DUULYDO UDWH RI WKH ERG\ IOLWV LV QRW
DVVXPHG WR EH 3RLVVRQ VLQFH WKH ERG\ IOLWV ZLOO IROORZ WKH VHTXHQFH RI WKH KHDGHU IOLW LQ
UHDOLW\7KHSDFNHWVLQMHFWHGLQWRWKHQHWZRUNDUHLQGHSHQGHQW
7KHEDVLFSDUDPHWHUVXVHGLQWKLVPRGHODUHVKRZQLQWKH7DE


7DEOH%DVLF3DUDPHWHUV
3DUDPHWHU 'HVFULSWLRQ
3 7KHVL]HRIDGDWDSDFNHW 3IOLWV 
7+ 7KHWLPHUHTXLUHGE\DURXWHUWRSURFHVVWKHKHDGHUIOLW
GLU 'LUHFWLRQRIWUDYHUVDOLH1RUWK6RXWK(DVW:HVW/RFDO
E[\GLU 7KHSUREDELOLW\RIWKHEXIIHUDWDSDUWLFXODULQSXWFKDQQHO>GLU@
RI7LOH [\ EHLQJIXOO

[\GLU 7KHXWLOL]DWLRQIDFWRURILQSXWFKDQQHO>GLU@DW7LOH [\ 
 7KHSDFNHWDUULYDOUDWHRILQSXWFKDQQHO>GLU@RI7LOH [\ 
[\GLU

[\GLU 7KHSDFNHWVHUYLFHUDWHRILQSXWFKDQQHO>GLU@RI7LOH [\ 
O[\GLU 7KHEXIIHUVL]HRILQSXWFKDQQHO>GLU@DW7LOH [\ 
D[\ 7KHSDFNHWLQMHFWLRQUDWHRI7LOH [\ 
G [\ [ \ 
7KHSUREDELOLW\RIDSDFNHWJHQHUDWHGE\7LOH [\ WREH
GHOLYHUHGWR7LOH [¶\¶ 
7[\GLU 7KHSDFNHWVHUYLFHWLPHRILQSXWFKDQQHO>GLU@RI7LOH [\ 
7%[\GLU 7KHEORFNLQJGHOD\DWLQSXWFKDQQHO>GLU@RI7LOH [\ 
7KHSUREDELOLW\RIDSDFNHWJHWWLQJEORFNHGDWWKHKHDGRILQSXW
݇[\GLU FKDQQHO>GLU@RI7LOH [\ 
7KHPHDQZDLWLQJWLPHWKDWDSDFNHWQHHGVWRZDLWLQWKHHYHQW
Z[\GLU RIEORFNLQJ


 7KHSDFNHWDUULYDOUDWHZKLFKLVIRUZDUGHGIURPLQSXWFKDQQHO
[\GLUGLU 
>GLU@WRLQSXWFKDQQHO>GLU@RI7LOH [\ 

5HVRUWLQJWRWKHWKHRU\RIILQLWHTXHXLQJQHWZRUNV +LOOLHUDQG/LHEHUPDQ HDFK
LQSXWFKDQQHO EXIIHU LQWKHQHWZRUNFDQEHPRGHOHGDVD00. ILQLWHTXHXH+HQFHWKH
SUREDELOLW\ RI WKH EXIIHU DW D SDUWLFXODU LQSXW FKDQQHO RI 7LOH [ \  EHLQJ IXOO FDQ EH
FDOFXODWHGXVLQJWKH  DQG  

 



7KHIOLWDUULYDOUDWHDWWKHLQSXWFKDQQHORI7LOH [\ LQDJLYHQGLUHFWLRQFDQEHFDOFXODWHG
XVLQJ  




,Q    WKH 5  M N M  N  [ \ 1  LV WKH URXWLQJ IXQFWLRQ DQG LWV YDOXH HTXDOV  LI WKH
SDFNHWIURP6RXUFH7LOH MN WR'HVWLQDWLRQ7LOH M N  XVHVWKHLQSXWFKDQQHORI7LOH [\ 
LQWKHJLYHQGLUHFWLRQLWVYDOXHHTXDOVRWKHUZLVH6LQFH;<GHWHUPLQLVWLFURXWLQJDOJRULWKP
LVXVHGWKHDUULYDOUDWHFDQEHSUHGHWHUPLQHGXVLQJWKH  

7KHSDFNHWVHUYLFHWLPHDWWKHLQSXWFKDQQHORI7LOH [\ LQWKHJLYHQGLUHFWLRQLVJLYHQE\




,Q  7+UHSUHVHQWVWKHVHUYLFHWLPHRIWKHURXWHUZLWKRXWFRQWHQWLRQZKHQWKHUH
LV D FRQWHQWLRQ WKH VHUYLFH WLPH SHU SDFNHW LV LQFOXVLRQ RI WKH ZDLWLQJ WLPH LQ WKH FKDQQHO
EXIIHUUHSUHVHQWHGDV7%[\GLU





 %8))(5$//2&$7,21$/*25,7+0


7KH SURSRVHG *UHHG\ DOJRULWKP IRU EXIIHU DOORFDWLRQ  LV  EDVHG  RQ  WKH  4XHXLQJ
PRGHO GHVLJQHG IRUWKH ZRUPKROHURXWHU 7KH FRQWURO IORZRI WKH DOJRULWKP LV VKRZQ LQWKH
)LJ

 


,QLWLDOEXIIHU
FRQILJXUDWLRQ

$SSOLFDWLRQ 6\VWHP
3DUDPHWHUV 3DUDPHWHUV

6ROYHWKH1RQOLQHDU
HTXDWLRQXVLQJ0$7/$%

,GHQWLI\WKH&KDQQHOZLWK
KLJKHVWEORFNLQJSUREDELOLW\

,QFUHDVHWKHEXIIHUVL]HE\RQH
IOLWGHFUHDVHLIQRFRQJHVWLRQ

%XIIHU
7RWDO%XIIHU   
&RQILJXUDWLRQ
&DSDFLW\

2XWSXWWKH
UHVXOWV

)LJXUH&RQWURO)ORZRI%XIIHU$OORFDWLRQ$OJRULWKP

 
7KHSVHXGRFRGHRIWKHDOJRULWKPLVJLYHQDVIROORZV


L :H 3URYLGHG WKH VRIWZDUH JXLGHOLQHV OLNH  ER[ LQMHFWLRQ SULFH
SRVVLELOLW\WKHER[JHWVWRWKHGHVWLQDWLRQDQGWKH6\VWHPYDULDEOHVOLNH
W\SHRIUHGLUHFWLQJIRUPXODWRWDOEDUULHUFDSDELOLW\HWFWKHREVWUXFWLQJ
SRVVLELOLW\RIWKHURXWHER[LQWURGXFWLRQSULFHDQG

LL 7KH IRUZDUGLQJ SRVVLELOLW\ PDWUL[ DUH GHWHUPLQHG E\ UHVROYLQJ WKH
QRQOLQHDUHTXDWLRQVXVLQJ0$7/$%

LLL 7KHIXQQHOZLWKWKHODUJHVWSUHYHQWLQJSRVVLELOLW\LVXVXDOO\UHFRJQL]HG

LY  7KH VL]H RI WKH VWUHDP LV XVXDOO\ LQFUHPHQWHG E\ RQH IOLW ZLWKLQ WKH
WRWDO VWUHDP FDSDELOLW\ WR HQVXUHWKDWWKH REVWUXFWLQJSRVVLELOLW\ RI WKH
URXWHLVXVXDOO\GHFUHDVHG

Y  ,I WKH URXWH LV GHILQLWHO\ QRW UHDOO\ RYHUORDGHG WKH EDUULHU LV XVXDOO\
GHFUHPHQWHGE\RQHIOLW

YL 7KH W\SLFDO ODWHQF\ RI WKH 6\VWHP LV XVXDOO\ QRWLFHG IRU WKH VWUHDP
DOORFDWLRQ


 6LPXODWLRQ(QYLURQPHQW$QG5HVXOWV
7RUHVHDUFKWKHDFWXDOUHVXOWVRIWKHLQFUHDVLQJWKHEDUULHUZLWKLQWRWDOFDSDELOLW\IRUWKH
SDUWLFXODU VRIWZDUH WKH EDUULHU DOORFDWLRQ DOJRULWKP KDV EHHQ DSSOLHG DQG VLPXODWHG XVLQJ
1R[LPVLPXODWRU7KHVLPXODWLRQJXLGHOLQHVDUHSURYLGHGLQWKH7DE


7DEOH,QSXW3DUDPHWHUV
7RSRORJ\ 0HVK
'LPHQVLRQ ;
:DUPXSSHULRG F\FOHV
6LPXODWLRQF\FOH F\FOHV
5RXWLQJ7\SH ;<
7UDIILFSDWWHUQ 5DQGRP
3DFNHWLQMHFWLRQUDWH IOLWVF\FOH

 
7KH H[SHULPHQWV DUH FRQGXFWHG IRU ;< URXWLQJ DOJRULWKP ZLWK UDQGRP WUDIILF
GLVWULEXWLRQ DQG E\ YDU\LQJ WKH WRWDO EXIIHU FDSDFLW\ ,QLWLDO WRWDO KXUGOH DELOLW\ LV JHQHUDOO\
FRQVLGHUHG DV  ZLWK HDFK XQGHUVWDQGLQJ SDWK RI  IOLW EXIIHU VL]H ,Q ' *RRG ILQH PHVK
V\VWHPVWKH;<URXWLQJPDQLSXODWLQJDORQJWKH;URXWH2QFHWKHSDFNHWVUHDFKWKHFROOHFWLRQ
ZKHUHWKHGHVWLQDWLRQWLOHLVXVXDOO\ORFDWHGWKH\DUHDIWHUWKDWGHOLYHUHGDORQJWKH<URXWH7ZR
W\SHVRIVLWHYLVLWRUVSDWWHUQVXVHGLQWKLVHYDOXDWLRQDUHKXPDQMXGJHPHQWVDQGKRWVSRW
8QGHU WKH UDQGRP YLVLWRUVGHVLJQHDFK FRQWURO HOHPHQWVHQGVD SDFNDJH WR DQ\ RWKHU
QRGHZLWKXQHTXDOSUREDELOLW\8QGHUKRWVSRWJXHVWVVW\OHRQHRUDFWXDOO\HYHQPRUHQRGHVDUH
VSHFLILHGDV ZDUP SODFHV DQG FRQVHTXHQWO\ WKH\ UHFHLYHH[WUD VLWH YLVLWRUV DSDUWIURP UHJXODU
JXHVWV7KHSHUIRUPDQFHRIWKHPHWKRGLVJHQHUDOO\DQDO\]HGLQHYDOXDWLRQZLWKUHJXODUVWUHDP
DOORZDQFH7KHFRPPRQSDFNDJHNHHSRIILVJHQHUDOO\H[SODLQHGDVWKHPHDQDPRXQWRISHULRG
IURPWKHSHULRGRIDFRQWDLQHUXQWLOWKHODVWGDWDIOLWJHWVWRWKHORFDO3(DWWKHGHVWLQDWLRQQRGH
7KHDOJRULWKPKDGEHHQVLPXODWHGE\LQFUHDVLQJWKHWRWDOREVWDFOHFDSDFLW\WR
DQG)LJVWRVFUHHQWKHRYHUDOOSHUIRUPDQFHHYDOXDWLRQRIWKHUHJXODUEDUULHUV
DOORFDWLRQDQGG\QDPLFVFUHHQDOORFDWLRQIRUGLIIHUHQWVLWHYLVLWRUVSDWWHUQVDQGGLIIHUHQWKXUGOH
IHDWXUHV)LJXUH VKRZVWKH FRPPRQNHHS RII IRU HQHUJHWLF EXIIHUDOORFDWLRQ DQG WKH HYHQ
REVWDFOHDOORFDWLRQIRUUDQGRPJXHVWVVW\OH






 G\QDPLFEXIIHU
XQLIRUPEXIIHU





   
%XIIHU6L]H IOLWV 


)LJXUH$YHUDJH'HOD\IRU'LIIHUHQW%XIIHU&DSDFLWLHV
)URP WKH )LJ  LW PLJKW EH REVHUYHG WKDW WKH G\QDPLF KXUGOH DOORFDWLRQ VKRZV
UHGXFHGODWHQF\FRQWUDVWHGWRUHJXODUEXIIHUDOORFDWLRQZKHQHYHURQHRIWKHWLOHLVGHVLJQDWHG
ZKLOHKRWVSRW,WVKRZVQHDUO\SHUFHQWRIDFWXDOO\HYHQPRUHODWHQF\LQFDVHRIDOVRVWUHDP
DOORZDQFH


 






 G\QDPLFEXIIHU
 XQLIRUPEXIIHU






   
%XIIHUVL]H IOLWV 




)LJXUH$YHUDJH'HOD\ZLWK2QH+RWVSRWIRU'LIIHUHQW%XIIHU&DSDFLWLHV

7KH SDFNHWWUHDWPHQW OHYHO LVDOVR LPSURYHG WR HYDOXDWHWKH LQIOXHQFHRI WKH VXJJHVWHG EXIIHU
DOORFDWLRQ IRUPXOD RQ WKH ODWHQF\ 2QFH DJDLQ DV H[KLELWHG LQ )LJ  DQG  WKH G\QDPLF
KXUGOH DOORFDWLRQ PHWKRG SHUIRUPV PXFK EHWWHU WKDQ UHJXODU EXIIHU WDON DERXW LQ SUHVHQFH RI
PRUHKRWVSRWWLOHVEHORZWKHVDPHEXIIHULQJOLPLWDWLRQV







 G\QDPLFEXIIHU
 XQLIRUPEXIIHU






   
%XIIHUVL]H

)LJXUH$YHUDJH'HOD\ZLWK7ZR+RWVSRWVIRU'LIIHUHQW%XIIHU &DSDFLWLHV








 G\QDPLF
 EXIIHU






   
%XIIHU

)LJXUH$YHUDJH'HOD\ZLWK7KUHH+RWVSRWVIRU'LIIHUHQW%XIIHU&DSDFLWLHV

 
7KH IRUPXODLVH[DPLQHGE\ LQVHUWLQJLQFUHDVHGWUDIILFLQRQHRUHYHQ PRUHWLOHVRYHU
WKHQHWZRUN,WFRXOGEHFRPHREVHUYHG IURPWKH ILQDOUHVXOWVWKDWE\YDU\LQJWKH VWUHDP VL]H
SUHGLFDWHGRQWKHYLVLWRUVVW\OHWKHVXJJHVWHGPHWKRGLVXVXDOO\FRPSHWHQWWRSURGXFHV\VWHPV
ZLWK TXLWH GHILQLWHO\ EHWWHU RYHUDOO SHUIRUPDQFH ZKHQ XVLQJ  SHUFHQW VLJQLILFDQWO\ OHVV
EXIIHULQJSURSHUW\OLNHQHGWR6\VWHPVZLWKUHJXODUO\VSHFLILHGVWUHDPVL]HV

)DXOW7ROHUDQW0XOWL3DWK%DVHG0XOWLFDVW:RUPKROH
5RXWLQJ
0XOWLFDVWLQJ LVHPSOR\HG LQ YDULRXV SDUDOOHO IXQFWLRQV VXFK HYHQ WKRXJK LQDOORFDWHG
VKDUHGPHPRU\ VSDFH DUFKLWHFWXUHV IRUUHIXJH FRKHUHQF\ RU UHSURGXFWLRQ 0XOWLFDVWLQJ PD\
EHFRPH DSSOLHG WKURXJK WKH XVH RI DGMXVWDEOH XQLFDVW PDUNHWLQJ DQG VDOHV FRPPXQLFDWLRQV
ZKLFK PLJKW GHJUDGH WKH QHWZRUN HIILFLHQF\ DQG UDLVH WKH PDLQIUDPH REVWUXFWLRQ 7RWDOO\
DGDSWLYH 0XOWL5RXWH FHQWHUHG PXOWLFDVW PDQLSXODWLQJ PHWKRG LV JHQHUDOO\ VXJJHVWHG LQ WKLV
UHVHDUFKZKLFKLVJHQHUDOO\VWUXFWXUHGRQVZLWFKPRGHOWKDWPDLQWDLQVWKHGHDGORFNIUHHKRPH
RI WUDGLWLRQDO FKDQJH PRGHO $ 0XOWL5RXWH FHQWHUHG PXOWLFDVW PDQLSXODWLQJ UHTXLUHV
DGYDQWDJH RI WKH QHWZRUN VSOLWWLQJ DQG D KLJKO\ HIIHFWLYH SXUFKDVLQJ PHWKRG WR URXWH WKH
SDFNHWVWRWKHORFDOH,QWKLVUHFRPPHQGHG PXOWLFDVWSURFHVVWKHGHVWLQDWLRQLQIRUPDWLRQDUH
FDWHJRUL]HG RUJDQL]HG RQ WKH VHOHFWLRQ SOXV WKH\ DUH ERXJKW E\ ORZ DPRXQW RI UXQQLQJ DQG
IURPWKHQRQSODFLQJWKLVFODVVLILHG OLVWLQWKHKHDGHUIOLW V RIWKHFRQFHSW)URPWKHQRQWKH
SDFNHWVDUHGHOLYHUHGWRZDUGVWKHSODFHVOLNHXQLFDVWDGDSWDEOHZRUPKROHPDQLSXODWLQJZKLFK
LVFHUWDLQO\GHYRWHGWRWKH2GG$FWXDOO\FRQYHUWPRGHO
:KHQWKHQHWZRUNFRXOGEHIDXOW\WKHPXOWLFDVWURXWLQJUHTXLUHPHQWVDOOHYLDWHVWKHFKDQJH
UHVWULFWLRQV WR DWWDLQ WKH GHVWLQDWLRQ LQ WKH VKRUWHVW SDWK E\ XVLQJ D VXSSOHPHQWDU\ EDUULHU
UHIHUUHGWRDV'HDGORFN$YRLGDQFH'DWD%DUULHULQWKHURXWHU7KHWRWDOO\DGDSWLYHUHGLUHFWLQJ
FDSDELOLW\ JXDUDQWHHV LPSURYHG UHGLUHFWLQJ DGDSWLYHO\ DQG XSJUDGHG GHJUHH RI SUREOHP
WROHUDQFH

 2GG(YHQ7XUQ0RGHO
2GG$FWXDOO\ 2( VZLWFKUHGLUHFWLQJPDJLFVL]HFUHDWHGE\&KLX  LVQRUPDOO\D
SDUWLDOO\DGDSWLYHYHU\PRGHOWLIIDQ\/LYLQJVWRQWKDWVXSSRUWVGHDGORFNIUHHRIFKDUJHURXWLQJ
LQ':RUNVZLWKRXWH[WUDGLJLWDOVWDWLRQV7KH2(FRQYHUWPRGHOLVREYLRXVO\RUJDQL]HGRQ
OLPLWLQJWKH ORFDWLRQVDW ZKLFKSDUWLFXODUWXUQV LQWRFDQILQLVKXSEHLQJXWLOL]HGWRPDNHVXUH
WKDWDURXQGKROGRXWFDQLQQRZD\KDSSHQ$PRGLILFDWLRQLQWKLVIUDPHZRUNLGHQWLILHVD
OHYHOFKDQJHRIWRXULQJURXWHIRUDIOLW7KHUHDUHHLJKWW\SHVRIFRQYHUWVWKDWDUHIHDVLEOHLQD

 
'*RRGPHVKGHYRWHGWRWKHMRXUQH\LQJGLUHFWLRQVRIWKHOLQNHGVWDWLRQV7RIDFLOLWDWHWKH

H[SODQDWLRQWKHIRXUHGJHVRIWKH'*UHDWPHVKDUHWDJJHGDV(DVW:HVWHUQ6RXWKHUO\DQG
1RUWKVHHLQJWKDWGHPRQVWUDWHGLQ)LJ



)LJXUH2GG(YHQ7XUQ0RGHOLQ'0HVK


$FKDQJH LVFDOOHGD1(FKDQJH LI LWLQYROYHVDIOLW MRXUQH\LQJ LQWKH1RUWKSDWKDQG
DWWHPSWLQJWRVZLWFK(DVW/LNHZLVHWKHDGGLWLRQDOVHYHQW\SHVRISDWKEHFRPHVDUHGHVFULEHG
DV(1:6:16(6:6HUDDQG1:EHFRPHVZKHUH$WWKH:DWWV+DQG,QLQGLFDWH
(DVW:HVWHUQ6RXWKHUO\DQG1RUWKUHVSHFWLYHO\,Q2(FRQYHUWPRGHOFHQWHUHGUHGLUHFWLQJ
WKHFROXPQVLQD')LQHPHVKDUHLQVWHDGVSHFLILHGDVXQXVXDODQGDFWXDOO\DVGHPRQVWUDWHG
LQ)LJXUIRU7LPHV')LQHPHVK


 7XUQ/LPLWDWLRQV,Q2GG(YHQ7XUQ0RGHO
0HQWLRQLQJWRWLSVXVHGLQWKH2GG(YHQFKDQJHPRGHO &KLX DQ\NLQGRIER[
LVXVXDOO\QRWDOORZHGWRWDNHDQ6REUHRU6HUDVZLWFK LQDQ\NLQGRIQRGHVLWXDWHGLQDQHYHQ
OLQH DQG LW LV XVXDOO\ QRW DOORZHG WR WDNH DQ 1: RU 6: FRQYHUW LQ DQ\ NLQG RI QRGH
SRVLWLRQHG LQ DQ XQXVXDO OLQH 'HDGORFN LQGHSHQGHQFH FDQ EHFRPH GHPRQVWUDWHG VLQFH WKH
ULJKWPRVWOLQHVHFWLRQXVXDOO\LVXVXDOO\EULHIRIDQLPSRUWDQWFKDQJHWRW\SHDURXQGZDLWLQJ
DURXQGURXWH7KHVZLWFKOLPLWDWLRQVDUHSURYHQ LQ)LJDVGDUNDUURZV:KHQWKHFRQYHUW

 
PRGHO OLPLWDWLRQVDUHXVHGWRWKHQHWZRUNDQ\ LQWHUPHGLDWHURXWHUWKDWFRPHVDIWHU DQ2GG
(YHQWXUQEDVHGURXWLQJIRUPXODPXVWVWGHWHUPLQHWKHDUUDQJHGRIGLUHFWLRQVWRZDUGZKLFK
DER[PD\HQGXSEHLQJVHQWIRUWKHIROORZLQJMXPS7KHURXWHOLPLWDWLRQVSURYLGHGE\&KLX
 FDQEHFRPHWDONHGDERXWDVFRPHVDIWHU
&DVH:KHQWKHGHVWLQDWLRQRIDER[LVWRWKH:HVWHUQZRUOGRILWVUHVRXUFH7KHER[
LVGHILQLWHO\UHVWULFWHGIURPVKLIWLQJ1RUWKRU6RXWKDWDQLQWHUPHGLDWHURXWHUWKDWUHVLGHV LQDQ
XQXVXDO OLQH XQOHVV WKH GHVWLQDWLRQ LVGHILQLWHO\ VLWXDWHG LQWKH VDPH OLQH 7KLV FDQ EH VLQFH
WKHER[PXVWQRUPDOO\FRQVLGHUDQ1: UHVSHFWLYHO\6: FKDQJHDW VRPHQRGHLQWKHVDPH
OLQH ODWHURQ LQSXUFKDVH WRUHDFK WKH GHVWLQDWLRQ ZKLFK LVFHUWDLQO\ DQ DFWLRQV UHVWULFWHG E\
JXLGHOLQHVIROORZHGE\WKH2(VZLWFKPRGHO
&DVH  :KHQ WKH GHVWLQDWLRQ RI D ER[ LVWRWKH (DVWRI LW LV VXSSO\ 7UHDWPHQW PXVW
HQGXSEHLQJXVHGZKHQWKHGHVWLQDWLRQQRGH LVQRUPDOO\SRVLWLRQHG LQDQDOVROLQH7KHER[
PXVW ILQLVK UHGLUHFWLQJ LQ \GLPHQVLRQ EHIRUH LW JHWV WR WKH OLQH LQ ZKLFK WKH GHVWLQDWLRQ LV
XVXDOO\ ORFDWHG7KLV LVGHILQLWHO\ EHFDXVH DQ (1FKDQJH LVXVXDOO\ QRW UHDOO\ DOORZHG LQDQ
DFWXDOO\OLQHEDVHGRQWKHJXLGHOLQHVXVHGWR2(FRQYHUWPRGHO


 'XDO3DWK$QG0XOWL3DWK0XOWLFDVW$OJRULWKP
7KH 'XDO3DWK DQG 0XOWL3DWK PXOWLFDVW DOJRULWKPV XVH +DPLOWRQLDQ VWUDWHJ\ ,Q
'XDO3DWK '3 UHGLUHFWLQJSURWRFRODV LOOXVWUDWHGLQ )LJXUHWKHFROOHFWLRQRIGHVWLQDWLRQ
QRGHVLVSDUWLWLRQHGLQWRWZRVXEVHWV'+DQG'/ZKHUHHYHU\QRGHLQ'+KDVDKLJKHUODEHO
WKDQWKDWRIWKHUHVRXUFHQRGHDQGHYHU\QRGHLQ'/KDVDORZHUODEHOWKDWRIWKHVXSSO\QRGH
7KH QRGHV LQ WKH VXEVHWV '+ DQG '/ DUH DIWHU WKDW FDWHJRUL]HG LQ FOLPELQJ SXUFKDVH DQG
FOLPELQJGRZQSXUFKDVHUHVSHFWLYHO\ZLWKWKHODEHORIHDFKQRGHXWLOL]HGDVWKHLPSRUWDQWIRU
VHOHFWLQJ7KHUHIRUHPXOWLFDVWFRPPXQLFDWLRQVIURPUHVRXUFHQRGHZLOOEHFRPHGHOLYHUHGWR
WKH GHVWLQDWLRQ QRGHV LQ '+ XVLQJ WKH +X EDVV VSHDNHU QHWZRUN DQG DOVRWRWKH GHVWLQDWLRQ
QRGHVLQ'/XVLQJ+OVXEZRRIHUQHWZRUN


7KHVRXUFHQRGHSUHSDUHVDPHVVDJH IRUGHOLYHU\ WRDQDUUDQJHGRI ORFDWLRQVE\ ILUVW
VRUWLQJ WKH DGGUHVVHV RI WKH GHVWLQDWLRQ LQ RUGHU LQ ZKLFK WKH\ DUH WR HQG XS EHLQJ VKLSSHG
DQGWKHVRUWHGOLVWLVSRVLWLRQHGLQWKHKHDGHURIWKHPHVVDJH:KHQWKHKHDGHUMRLQHGDURXWHU
ZLWKDGGUHVV$WKHURXWHUFDQEHH[DPLQHGWRREVHUYHLIWKHUHLVFHUWDLQO\DIROORZLQJDGGUHVV
LQWKHKHDGHU,IWKHUHIRUHWKHDGGUHVV$LVQRUPDOO\HOLPLQDWHGIURPWKHPHVVDJHKHDGHUDQG
DGXSOLFDWHRIGDWDIOLWVIRUWKDWDGGUHVVZLOOEHFRPHVKLSSHGWRWKHUHJLRQDOSULPDU\DQGWKH

 
VWD\LQJIOLWVDUHVHQWWRWKHIROORZLQJURXWHURQWKHURXWHVWUXFWXUHGRQWKHLUGHVWLQDWLRQ

GHWDLOV1RUPDOO\WKHPHVVDJHLVXVXDOO\VHQWMXVWWRWKHIROORZLQJURXWHURQWKHURXWH,QWKLV
PHWKRGWKHPHVVDJHLVGHILQLWHO\XOWLPDWHO\VKLSSHGWRHYHU\GHVWLQDWLRQLQWKHKHDGHU
7KHVROLGOLQHVLQGLFDWHWKH+DPLOWRQLDQSDWKDQGWKHGDVKHGOLQHVLQGLFDWHWKHOLQHV
WKDWFDQEHXWLOL]HGWRUHGXFHWKHSDWKVL]H7KHXQWRXFKHGOLQNVDUHQRWUHDOO\GHPRQVWUDWHG
LQWKHQXPEHUV)URPWKH)LJWKHQRGHLVFRQVLGHUHGZKLOHVXSSO\QRGHWKH
ORFDWLRQVDUHWKHQRGHVDQG7KHQRGHVLQ'+DUHDQG
DQGWKHQRGHVLQ'/DUHDQG7KHURXWHXVHGE\WKHUHVRXUFHQRGHWRUHDFKWKH
SODFHVLQ+XVXEQHWZRUNLV!!!!!!!!!!
7KHSDWKWDNHQE\WKHVRXUFHQRGHWRUHDFKWKHORFDWLRQVLQ+OVXEQHWZRUNLV!!
!!!!!!!!!!!



)LJ'XDO3DWK0XOWLFDVW5RXWLQJ
7KH MXVW GLIIHUHQFH EHWZHHQ 0XOWL3DWK DQG 'XDO3DWK URXWLQJ LV FRQFHUQHG DERXW
PHDQLQJ SUHSDUDWLRQ DW WKH VRXUFH QRGH ,Q FDVH RI WKH 0XOWL 5RXWH PXOWLFDVW UHGLUHFWLQJ
IRUPXOD WKH GHVWLQDWLRQ PRGHOV '+ DQG '/ RI WKH 'XDO 5RXWH IRUPXOD DUH DGGLWLRQDO
SDUWLWLRQHG IRU PXOWLSOH PXOWLFDVW SDWKZD\V 7KH )LJ VKRZV 0XOWL3DWK 03  EDVHG
PXOWLFDVWURXWLQJZKHUHLVWKHVRXUFHQRGH

 

)LJXUH0XOWL3DWKEDVHG0XOWLFDVW5RXWLQJ
7KHVHW'+LVGLYLGHGLQWRWZRVHWVRQHFRQWDLQLQJWKHQRGHVZKRVH[FRRUGLQDWHVDUH
JUHDWHUWKDQRUHTXDOWRWKDWRIVRXUFHDQGWKHDGGLWLRQDOFRQWDLQLQJWKHUHPDLQLQJQRGHVLQ'+
7KH DUUDQJHG '/ LV XVXDOO\ SDUWLWLRQHG LQ D FRPSDUDEOH ZD\ 7KH JXLGHOLQHV E\ ZKLFK
FRQQHFWLRQVDUHGDPDJHGLQGLYLGLQJWKHGHVWLQDWLRQQRGHVUHO\RQWKHDUHDRIWKHUHVRXUFHQRGH
LQWKH QHWZRUNDQGWKHSDUWLFXODUPDUNLQJWHFKQLTXHXWLOL]HG7KHSDWKZD\VXVHGWRUHDFKWKH
ORFDWLRQVDUH
'/!!!!!!!
'/!!!!!
'+!!!
'+!!!!!!

6LQFHHYHU\QRGHKDVDWPRVWIRXURXWSXWVWDWLRQVXSWRIRXULQGHSHQGHQWSDWKZD\VDUH
DYDLODEOHWRGHOLYHUWKHPHVVDJH7KHEHQHILWVRI0XOWL3DWKRYHU'XDO3DWKUHGLUHFWLQJDUHWKDW
LW QHHGV IHZHU VWDWLRQV DQG JHWV WR WKH ORFDWLRQV LQ VKRUWHVW UDQJH %HFDXVH WKH SODFHV DUH
GLYLGHGLQWRIRXUXQLWVLQVWHDGRIWZRWKH\DUHUHDFKHGHYHQPRUHHIIHFWLYHO\IURPWKHVXSSO\
ZKLFK LVGHILQLWHO\ DURXQG FHQWUDOO\ ORFDWHG DPRQJWKH PRGHOV7KHUHIRUHZKHQ WKH QHWZRUN
ZHLJKWLVXVXDOO\ QRWUHDOO\ KLJK0XOWL3DWKUHGLUHFWLQJJLYHVPLQRULPSURYHPHQWRYHU'XDO
3DWKUHGLUHFWLQJFUHGLWHGWRWKHWUXWKWKDW0XOWL3DWKUHGLUHFWLQJSUHVHQWVPXFKOHVVYLVLWRUVWR
WKHQHWZRUN

 
 9LRODWLQJ7XUQ5HVWULFWLRQV,Q2GG(YHQ7XUQ0RGHO


:KHQHYHU D SDFNHW DUULYHV DW D URXWHU LQWKH 2GG(YHQ VFKHPH WKUHH GLIIHUHQW FDVHV
DUHUHFRJQL]HGZKLOHWUDQVPLWWLQJWKHSDFNHWV


&DVHLLIWKHUHLV]HUREORFNDJHIDXOWLQWKHVXUURXQGLQJOLQNVWKHER[LVURXWHGWRWKHUHVXOW
VORWEDVHGDERXWWKH2(SODQWKDWVHOHFWVDPLQLPDOURXWHWRWKHGHVWLQDWLRQ


&DVHLLLIWKHUHDUHRUPRUHDGMDFHQWOLQNVHLWKHUFRQJHVWHGRUGHIHFWLYHWKDWSUHYHQWWKHER[
IURP SURSDJDWLQJ LQ D YDOLG SDWK WKH ER[ QHHG WR HQG XS EHLQJ NHSW LQ WKH 'HDGORFN
3UHYHQWLRQ'DWD%DUULHU '$'% 


&DVHLLLLIDVLQJOHRUPRUHDGMDFHQWOLQNVSRVVHVVEORFNDJHIDXOWVEXWDYDOLGSDWKH[LVWVWR
SDWKWKHER[WRZDUGVWKHGHVWLQDWLRQWKHER[LVWUDQVPLWWHGEDVHGLQWKH2(JXLGHOLQHV


$QMDQDQG3LQNVWRQ  KDYHSURSRVHGDQDGGLWLRQDOGDWDEDUULHU '% VWUXFWXUHIRU
GHDGORFN UHFRYHU\ 7R SUHYHQW VKHGGLQJ RI SDFNHWV 'HDGORFN 3UHYHQWLRQ 'DWD %DUULHU LV
XVXDOO\DGGHGDVDQH[WUDRSHQLQJWRWKHURXWHUGHPRQVWUDWHGLQ)LJXUHDVDPHFKDQLVPWR
SUHYHQW EORFNDJH RU IDXOW 7KH LQVLJKW DQG UHVXOW VWDWLRQV RI WKH URXWHU DUH OLQNHG WR WKH
'HDGORFN3UHYHQWLRQ'DWD%DUULHU '$'% 


$ ER[ WUDYHUVLQJ DQ LQWHUPHGLDWH URXWHU PXVW FKRRVH RQH DPRQJ WKH IRXU RXWSXW
GLUHFWLRQV HDVWZHVWQRUWKVRXWKORFDO 1HYHUWKHOHVVVHOHFWLQJVRPHGLUHFWLRQVPD\UHVXOW
LQDYLRODWLRQRIDIXQGDPHQWDO2(FKDQJHJXLGHOLQHLQVWDQWO\RUGRZQVWUHDPFHQWHUHGRQWKH
FRPSDUDWLYH DUHD RI WKH GHVWLQDWLRQ ,Q WKH VW FDVH WKH SDFNHWV ZLOO EHFRPH VHQW LQ WKH
VXLWDEOHPLQLPDOURXWHSDWK,QWKHVHFRQGFDVHZKHQRQHRUHYHQPRUHOLQNVDUHRYHUORDGHG
RUIDXOW\MXVWREWDLQDEOHK\SHUOLQNLVXVXDOO\LQWKHLQYDOLGSDWK

:KHQHYHU WKH SDFNHWV WDNH D SURKLELWHG WXUQ WKH IOLWV DUH NHSW LQ WKH '$'% 7KH
JXLGHOLQHVDGRSWHGE\WKH'HDGORFN3UHYHQWLRQ'DWD%DUULHUDUH
¾ $FWXDOO\%DUULHUVL]HWKHVL]HRIWKHVWUHDPLVXVXDOO\KHOGDVWZRIOLWVDWDSHULRG



 
    
  

    
   5RXWH 3URFHVVLQ
J

    
  






 &URVVEDU$UELWHU


 &KDQQHO&RQWUROOHU

 2XWSXW&KDQQHO(DVW
 (DVW,QSXW%XIIHU

 &KDQQHO&RQWUROOHU
 2XWSXW&KDQQHO:HVW

 :HVW,QSXW%XIIHU

 2XWSXW&KDQQHO1RUWK
 &KDQQHO&RQWUROOHU &URVVED
 U

1RUWK,QSXW%XIIHU
 2XWSXW&KDQQHO6RXWK

 &KDQQHO&RQWUROOHU


 6RXWK,QSXW%XIIHU 2XWSXW&KDQQHO/RFDO


 &KDQQHO&RQWUROOHU

 /RFDO,QSXW%XIIHU

)LJXUH5RXWHU$UFKLWHFWXUHZLWK'$'%
¾ 'LUW\ODEHOZKHQHYHUWKHKHDGHU IOLWYLRODWHVDFKDQJHOLPLWDWLRQ LWLVXVXDOO\WDJJHG
DVILOWK\LQWKHIOLWE\HVWDEOLVKLQJWKHRQHOLWWOHELWVHWDVLGHDV µP¶

6KDUHGH[HPSWLRQDGGLWLRQDOSDFNHWVDUHDOORZHGWRHQGXSEHLQJNHSWLQWKH'$'%


¾ -XVWZKHQERWKGDWDDQGHQGIOLWVRIWKHUHODWHGKHDGHUIOLWSRVVHVVWUDYHUVHG
¾ &KDQJH YLRODWLRQ WKH IOLW LV GHILQLWHO\ DOORZHG WR YLRODWH WKH FRQYHUW OLPLWDWLRQ MXVW

 
ZKHQWKHURXWHLVXVXDOO\QRWUHDOO\REWDLQDEOHGXHWRIDXOW\URXWHURUWKHURXWHUURXWH
LVGHILQLWHO\EXV\
¾ 6WRUDJHVSDFHUXOHVZKHQWKHIOLWZLWKILOWK\ODEHORFFXUVDWDURXWHUDQGWKHURXWHFDQ
EHQRWUHDOO\REWDLQDEOHDIWHUWKDWLWFDQEHNHSWLQWKH '$'%

)XOO\$GDSWLYH0XOWL3DWK%DVHG0XOWLFDVW$OJRULWKP
7KHZRUNSURSRVHGFRPSOHWHO\DGDSWLYH0XOWL3DWKEDVHGPXOWLFDVWZRUPKROHURXWLQJ
SDUWLWLRQVWKHQRGHV LQWRIRXUVXEVHWVWRUHGXFHWKHLQMHFWLRQUDWHRIWKHER[LQWRWKH6\VWHP
)RU HDFK DQG HYHU\ GHVWLQDWLRQ MXVWIRXU SDFNHWVDUH VKRW LQWRWKH QHWZRUNRQH SHU VHFWLRQ
LUUHVSHFWLYH RI WKH TXDQWLW\ RI ORFDWLRQV LQ WKH SRUWLRQ 7KH FRPSOHWHO\ DGDSWLYH 0XOWL3DWK
VWUXFWXUHGPXOWLFDVWUHGLUHFWLQJXVHGRQVHJPHQWHG1HWZRUNRQ&KLSVLVXVXDOO\GHPRQVWUDWHG
LQ )LJH  7KH IXOO\ DGDSWLYH 0XOWL3DWK EDVHG PXOWLFDVW URXWLQJ DSSOLHG RQ VHJPHQWHG
1HWZRUNRQ&KLSLVVKRZQLQ)LJ



)LJXUH)XOO\$GDSWLYH0XOWL3DWKEDVHG0XOWLFDVW5RXWLQJ



,QWKHVXJJHVWHGDOJRULWKPDWILUVWWKHQHWZRUNLVSDUWLWLRQHGVLPLODUWR0XOWL3DWKEDVHG
PXOWLFDVWURXWLQJWHFKQLTXHVRWKDWIRXUGHVWLQDWLRQVHJPHQWVFDOOHG'+'+'/DQG'/
DUH IRUPHG 6HFRQG WKH SXUFKDVLQJ RI WKH GHVWLQDWLRQ QRGHV LQ WKH URXWH LV XVXDOO\ RSWLPL]HG
FHQWHUHG RQ WKH VKRUWHVW UDQJH LQ WKH PXOWLFDVW URXWH DQG WKH SURSRVHG ZRUNLQJ IRUPXOD LV
SURYLGHGEHORZ
,QSXWV'HVWLQDWLRQDUUDQJHG'HEUHVRXUFHQRGH WLPHVFRQ OHQJWKGHVN75HVXOWV

6RUWHGGHVWLQDWLRQXQLWV'+'+'/DQG'/IRUPXOWLFDVWSDWKV

 )RUHYHU\QRGHDVVLJQDODEHODV7 EDFNEXWWRQFRQ  FRQ LQDZKHUHLQLV

 
XVXDOO\WKHOLQHVL]HRIWKH)LQHPHVK DUFKLWHFWXUH

  %UHDNXSWKHQHWZRUNLQWRVHFWLRQV'+'/'+ / WLPHVFRQ !' EDFN


EXWWRQ FRQ  '/ 7 DFRQ  0 WLPHV FRQ 

  'LYLGHWKH'+LQWRVHFWLRQV'+'+

'+ [[\ \`

'+ ^[[\! \

'LYLGHGWKH'/LQWRVHFWLRQV'/'/

'/ [[\\'/ ^[[\\`

 ^7\SH_.LQG`'+LQ/RZGLVWDQFH^SXUFKDVH`:KLOH'+^LVXVXDOO\_LV
GHILQLWHO\_FDQEH_LVFHUWDLQO\_LVQRUPDOO\`^QRWUHDOO\` HPSW\

D  X X^7HPSHUDWXUH` ^‘`

E  )LQGWKHQRGH^VL[WKLVY`ZLWKVPDOOHVWN ^EDFNEXWWRQ`\ ^ZRUWK`LQ


'+ ^H_W` ^WLPHV_EDFN EXWWRQ_D` ^FRQ`   _\\__[[_  LV WKH
^UDQJH_OHQJWK`IURP ^WLPHV_EDFNEXWWRQ_D`^FRQ` WR ^WLPHV_EDFNEXWWRQ_D`
^FRQ` 

F  $GGQRGH^VL[WKLVY`WR^7HPSHUDWXUH`5HPRYHQRGH^VL[WKLVY`IURP
'+

^P_FKHPLFDO` X ^VL[WKLVY`


'+ ^7HPSHUDWXUH`

^/LNHZLVH`WKHVWHSVWRDUH^XWLOL]HG`IRUVRUWLQJ'+'/DQG'/

 ^%XLOG` IRXU ^FRPPXQLFDWLRQVWH[W PHVVDJHV` ^IRU HYHU\` RI WKH IRXU VXEVHWV

'+'+'/DQG'/ DV^FRPSRQHQW`RIWKHKHDGHU

$IWHUSDUWLWLRQLQJRIGHVWLQDWLRQQRGHVLQIRXUVHJPHQWVWKHGHVWLQDWLRQVDUHVRUWHGLQ
WKHORZGLVWDQFHRUGHU)URPWKHFROOHFWLRQRIGHVWLQDWLRQQRGHV LQ'+WKHQRGHWKDWRIIHUV
WKHOHDVWH[SHQVLYHUDQJHWRWKHUHVRXUFHQRGHLVXVXDOO\SRVLWLRQHGVWLQDVKRUWWHUPVXEVHW
$OORZ WKLV QRGH LQ WKH VKRUWWHUP VXEVHW EH UHJDUGHG DV EHFDXVH VRXUFH QRGH DQG IURP WKH
VWD\LQJDUUDQJHGRIGHVWLQDWLRQQRGHV LQ'+GLVFRYHUWKH IROORZLQJQRGHWKDWSURYLGHVWKH
VKRUWHVWUDQJHIURPWKHWKRXJKWVRXUFHQRGHDQGDGGWKLVWRWKHVKRUWWHUPVXEVHW,IWKHUHDUH
WZRQRGHVZLWKDQHTXLYDOHQWOHQJWKOLNHQHGWRWKHVXSSO\QRGHWKHRQHZLWKWKHVPDOOHUVL]HG
WLPHV GLPHQVLRQV FRPSDUDWLYH WR WKDW RI WKH UHVRXUFH QRGH ZLOO EHFRPH FKRVHQ 7KH VKRUW

 
WHUP VXEVHWRIIHUV WKH GHVWLQDWLRQ QRGHV LQWKH UDLVLQJ SXUFKDVH RI UDQJH &RQVHTXHQWO\ WKH
VKRUWWHUP VXEVHW ZLOO HQG XS EHLQJ SRVLWLRQHG LQ WKH PHVVDJH KHDGHU DQG GHOLYHUHG WR WKH
SDUWLFXODUVHFWLRQVFHQWHUHGRQ2GG(YHQFKDQJHPRGHO7KHUHIRUHWKLVWHFKQLTXHLVGHILQLWHO\
DGHDGORFNIUHHRIFKDUJHDQGSURGXFHVPLQLPDOURXWH

$W HYHU\ URXWHU LI WKH DGGUHVV LV QRW UHDOO\ LWVHOI WKH SDFNHWV DUH IRUZDUGHG LQ WKH
DSSURSULDWH SDWK WR WKH QH[W URXWHU ,I WKH SDWK RI WKH URXWH VHOHFWHG SURYLGHV IDLOHG RU WKH
IROORZLQJ URXWHU FDQ EH RYHUORDGHG WKH SDFNHWV PD\ REWDLQ GHFUHDVHG 7R SUHYHQW WKLV WKH
2GG(YHQVZLWFKPRGHOGLVFRYHUVRXWDQDOWHUQDWLYHURXWHWRSDWKWKHIOLWV,IWKHDOWHUQDWLYH
URXWHSDWKLVXVXDOO\QRWUHDOO\DUHVWULFWHGFRQYHUWE\WKHXQXVXDODFWXDOO\PRGHODIWHUWKDWWKH
IOLWV DUH VHQWWKURXJKWKDW SDWKWR UHDFKWKH GHVWLQDWLRQ 1RUPDOO\ LI WKH SDWK LV GHILQLWHO\ D
UHVWULFWHGFKDQJHDQGQRDGGLWLRQDOURXWHLVSUHVHQWWKHIOLWVFRQVLGHUWKHUHVWULFWHGVZLWFKE\
YLRODWLQJ FRQYHUW OLPLWDWLRQV 7KH IOLW WKDW UHTXLUHV WKH UHVWULFWHG FKDQJH LV XVXDOO\ NHSW LQ
'$'%DQGDOLWWOHLQWKHIOLWLVFHUWDLQO\GHVLJQDWHGDVILOWK\WRLQGLFDWHWKHFKDQJHYLRODWLRQ
2QFH WKH URXWH LV XVXDOO\ REWDLQDEOH WKH IOLW LV QRUPDOO\ GHOLYHUHG IURP WKH '$'% WR WKH
IROORZLQJURXWHU7KHUHODWHGGDWDDQGHQGIOLWVRIWKHKHDGHUIOLWDOVRJHWVNHSWLQWKH'$'%
EHIRUHVKLIWLQJWRWKHIROORZLQJURXWHU7KHSDFNHWVXVXDOO\UHDFKWKHGHVWLQDWLRQDFTXLULQJWKH
VKRUWHVWURXWH

&RQVLGHU D  ;  0HVK 1HWZRUN RQ &KLSV 7KH URXWHU  IXQFWLRQV DV VXSSO\ DQG WKH
GHVWLQDWLRQ URXWHUV DUH          DQG  7KH GHVWLQDWLRQ URXWHUV DUH
VHJPHQWHGDVFRPHVDIWHU

'/

'/

'+

'+

FRPHVDIWHU,QUHJXODUVLWXDWLRQWKHSDWKZD\VWDNHQLQQXPHURXVVHFWLRQVDUHDV

'+!!

'+!!!!!

'/!!!!!

'/!!!!!!

)URPWKH)LJXUHLWPD\EHVHHQZKHQWKHQRUWKHDVWDQGZHVWOLQNVRIURXWHU
IDLOVWKHRQO\URXWHREWDLQDEOH LVWKURXJKWKHHDVWURXWHRIURXWHUWRUHDFKWKHGHVWLQDWLRQ

 
QRGH  %XW D FKDQJH DW WKH URXWHU  LV XVXDOO\ D 6RXWKHUO\ :HVWHUQ VZLWFK LQ WKH DOVR OLQH
ZKLFKLVGHILQLWHO\UHVWULFWHG7RPDNHWKH6\VWHPFRPSOHWHO\DGDSWLYHWKHER[LVXVXDOO\NHSW
LQWKH'$'%RIURXWHUWKHUHIRUHYLRODWLQJWKHFRQYHUWSURKLELWLRQRI2(FKDQJHPRGHODQG
VHQWWKURXJKWKHVKRUWHVWURXWHWRUHDFKURXWHU7KH ILOWK\ OLWWOH ELWLVXVXDOO\HVWDEOLVKHGWR
HQVXUH WKDW WKH URXWHU  XQGHUVWDQGV WKDW LW H[SHULHQFHG UHFHLYHG ER[ IURP WKH 'HDGORFN
3UHYHQWLRQ'DWD%DUULHU

,QDQ\RWKHUFDVHLIDOPRVWDOOWKHOLQNVH[FHSWVRXWKHUO\LVFRQJHVWHGWKHKHDGHUIOLWRI
WKHER[ LVNHSW LQWKH'$'%RIWKHURXWHU ZLWKGLUW\ OLWWOH ELWSODFH2QFHDQ\RQHURXWH
WXUQVLQWRPXFKOHVVEXV\WKHIOLWVDUHGHOLYHUHGWRWKHGHVWLQDWLRQURXWHUVDQG7KHUHIRUH
WKH VXJJHVWHG IRUPXOD SDWKV WKH SDFNHWV DGDSWLYHO\ LQ WKH VKRUWHVW URXWH WR UHDFK WKH
GHVWLQDWLRQ

5HVXOWV
7KHSURSRVHGFRPSOHWHO\DGDSWLYH0XOWL3DWKEDVHGPXOWLFDVWURXWLQJLVLPSOHPHQWHG
LQ 1LUJDP VLPXODWRU ZKLFK LV D F\FOHDFFXUDWH VLPXODWRU IRU VHQGLQJ XQLFDVW HPDLOV 7KH
VLPXODWRUJRWEHHQDOWHUHGWRLQFOXGHPXOWLFDVWLQJRIWKHSDFNHWV)LQHPHVKVWUXFWXUHVRIVL]HV
7LPHVDQG%DFN EXWWRQDUHVHOHFWHG IRUIUHVKHYDOXDWLRQ7KHVLPXODWRUFDQEHFRPH
SDUDPHWHUL]HGUHJDUGLQJWKHSHULRGRIWKHYLVLWRUVHUDWKHTXDQWLW\RIGDWDPRYHGDQGDERXW
WKH LQWHUDFWLQJ SDUWV 7DEOH  GLVSOD\V WKH EDVHOLQH FRQVWUXFWLRQ DQG YDULDQWV WKRVH DUH
FRQVLGHUHGIRUVLPXODWLRQUHVHDUFK7KHZKROHQHWZRUNLQFOXGHVVLPXODWLRQVHJPHQWV
DQGQRGHV'XULQJVLPXODWLRQEXUVW\YLVLWRUVGHVLJQLVXWLOL]HGZKHUHWKHVLPXODWLRQ
FRPSRQHQWJHQHUDWHVYLVLWRUVLQEXUVW\ZD\WRWKHVHOHFWHGGHVWLQDWLRQ
7DEOH%DVHOLQH&RQILJXUDWLRQDQG 9DULDWLRQVIRUWKH (QKDQFHG$GDSWLYH5RXWLQJ
&KDUDFWHULVWLFV %DVHOLQH 9DULDWLRQV
7RSRORJ\ ;DQG;0HVKDUFKLWHFWXUHRI12&V
5RXWLQJ 0XOWL3DWKEDVHGPXOWLFDVW )XOO\DGDSWLYH0XOWL3DWK
5RXWLQJ EDVHGPXOWLFDVWURXWLQJ
9LUWXDOFKDQQHOV3RUW  
)OLWEXIIHUV9&  
)OLWVL]H  
3DFNHWOHQJWK LQIOLWV   

7UDIILFZRUNORDG %XUVW\ 5DQGRP


6LPXODWLRQZDUPXSF\FOHV  
7RWDOF\FOHV  

 

/DWHQF\ IRU GLIIHUHQW ORWV LV PHDVXUHG IRU FRPSOHWHO\ DGDSWLYH 0XOWL 5RXWH EDVHG
PXOWLFDVW5HGLUHFWLQJWKH0XOWL3DWKEDVHGURXWLQJIRUPXODDQGWKHPXOWLFDVWURXWLQJSURWRFRO
7KHW\SLFDOODWHQF\SHUER[DQGDYHUDJHODWHQF\SHUIOLWDUHDVVHVVHGIRUDOOWKHDOJRULWKPVDQG
FRPSDUHG ZLWK GLIIHUHQW ORWV 0XOWLFDVW UHGLUHFWLQJ LV XVXDOO\ DSSOLHG DV PXOWLSOH XQLFDVW
FRPPXQLFDWLRQVGXULQJWHVWLQJ)LJGLVSOD\VWKHRXWFRPHVLQLGHDOFDVHZHDWWKHZLWKQR
K\SHUOLQNIDLOXUHVIRU7LPHV)LQHPHVKVWUXFWXUHVRI12&,Q FRPSOHWHO\DGDSWLYH0XOWL
3DWKFHQWHUHGPXOWLFDVWUHGLUHFWLQJWKHODWHQF\UDLVHVZLWKWKHYDULDQFHLQZHLJKW



)LJXUH$YHUDJH/DWHQF\SHU3DFNHWIRU'LIIHUHQW/RDGV

:HLJKWLQSHUFHQWDJHVLJQLILHVWKHTXDQWLW\RIYLVLWRUVLQMHFWHGLQWRWKHQHWZRUN7KH
VXJJHVWHGDOJRULWKPRIIHUVGHFUHDVHGGRUPDQF\WKDQWKHPXOWLFDVWUHGLUHFWLQJEXWKLJKHUWKDQ

WKH 0XOWL3DWK FHQWHUHGUHGLUHFWLQJ,Q FDVH RI WKH FRPSOHWHO\ DGDSWLYH0XOWL3DWK VWUXFWXUHG


PXOWLFDVWUHGLUHFWLQJWKHGHVWLQDWLRQVHOHFWLQJIRUPXODLVXVXDOO\FDUULHGRXWOHDGLQJWRERRVWLQ
WKH ODWHQF\ )URP WKH RXWFRPHV GHPRQVWUDWHG LQ )LJXUH  WKH IXOO\ DGDSWLYH 0XOWL3DWK
EDVHGPXOWLFDVWURXWLQJIRUPXODSURYLGHVORZHUODWHQF\LQFRQGLWLRQVRIODWHQF\SHUIOLWIRUWKH
LQVHUWHGYLVLWRUV

7R GLVSOD\ WKDW WKH SURSRVHG IRUPXOD LV FRPSOHWHO\ DGDSWDEOH WKH WHVWV DUH FDUULHG
DZD\ IRU GLIIHUHQW TXDQWLW\ RI K\SHUOLQN IDLOXUHV DORQJ WKH URXWH IRU WKH  ;  )LQH PHVK
VWUXFWXUHV )LJ  DQG  LOOXVWUDWH WKH HIILFLHQF\ RI WKH IRUPXOD IRU WKH ZHE SDJH OLQN
IDLOXUHVLQYDULRXVVHFWLRQVRIWKHQHWZRUN

 


)LJXUH$YHUDJH/DWHQF\SHU)OLWIRU'LIIHUHQW/RDGV



)LJXUH$YHUDJH/DWHQF\SHU3DFNHWE\9DU\LQJ1XPEHURI
/LQN)DLOXUHV

7KHFRPPRQGRUPDQF\SHUSDFNHWDQGSHUIOLWUDLVHVZLWKWKHKHOSWRLQFUHDVHLQWKH
TXDQWLW\ RI LQWHUFRQQHFWLRQ IDLOXUHV $V WKH DGGLWLRQDO H[LVWLQJ DOJRULWKPV DUH QRW UHDOO\
DGDSWLYHWKHGRUPDQF\IRUK\SHUOLQNRXWDJHVFDQQRWEHFRPHDFTXLUHG




)LJXUH$YHUDJH/DWHQF\SHU)OLWIRU9DU\LQJ1XPEHURI/LQN)DLOXUHV

 
7KH IDXOWV FDQ EULQJ DERXW URXWHUV WR EH VLPSO\ SDUWLDOO\ HIILFLHQW RU FRPSOHWHO\
QRQIXQFWLRQDO LI DOO RI WKH OLQNV RI D URXWHU DUH GHIHFWLYH /LNHZLVH WKH IRUPXOD LV XVXDOO\
H[DPLQHGIRUUDLVLQJTXDQWLW\RIORFDWLRQV)LJXUHVDQGGLVSOD\WKHRXWFRPHVRIWKH
WHVWLQJFDUULHGRXWIRU7LPHV)LQHPHVKVWUXFWXUHVRI1HWZRUNRQ&KLSV


)LJXUH$YHUDJH /DWHQF\SHU3DFNHW IRU 9DU\LQJ 1XPEHU RI 'HVWLQDWLRQV

7KH FRPPRQ ODWHQF\ SHW IOLW DQG SHU SDFNHW RI WKH FRPSOHWHO\ DGDSWLYH IRUPXOD DUH
DVVHVVHG IRU GLIIHUHQW QXPEHU RI SODFHV 7KH DVVHVVPHQW RI WKH RXWFRPHV DWWDLQHG IRU WKH
VXJJHVWHG DOJRULWKP DQG WKH 0XOWL3DWK FHQWHUHG PXOWLFDVW UHGLUHFWLQJ DOJRULWKP LV XVXDOO\
GHPRQVWUDWHGLQ)LJDQGUHVSHFWLYHO\




)LJXUH$YHUDJH/DWHQF\SHU)OLWIRU9DU\LQJ1XPEHURI'HVWLQDWLRQV

7RFKHFNRXWKRZWKHDOJRULWKPIDUHVPDLQO\EHFDXVHWKHGLPHQVLRQLQFUHDVHVW\SLFDO
ODWHQF\ IRU GLIIHUHQWTXDQWLW\ RI SODFHV LV PHDVXUHG IRU ERWK FRPSOHWHO\ DGDSWLYH 0XOWL3DWK
EDVHG PXOWLFDVW UHGLUHFWLQJ DQG 0XOWL3DWK EDVHG PXOWLFDVW UHGLUHFWLQJ DOJRULWKP IRU  ; 

 
0HVKVWUXFWXUHVRIRQFKLSQHWZRUN7KHW\SLFDOODWHQF\SHUIOLWDQGW\SLFDOODWHQF\SHUER[DUH
OLNHQHGIRUGLIIHUHQWDPRXQWRIORFDWLRQVDVSURYHQLQ)LJDQGUHVSHFWLYHO\


)LJXUH $YHUDJH /DWHQF\SHU3DFNHW IRU 9DU\LQJ 1XPEHU RI
'HVWLQDWLRQVZLWK;0HVK$UFKLWHFWXUH


,WFDQ EHVHHQWKDWWKH ODWHQF\SHU SDFNHWDQGSHU IOLWLQFUHDVHVZLWKWKH LQFUHDVH LQ
WKHQXPEHURIGHVWLQDWLRQVIRUERWK;DQG; V\VWHPV


 1XPEHURI'HVWLQDWLRQV 

)LJXUH  $YHUDJH /DWHQF\ SHU )OLW IRU 9DU\LQJ1XPEHU RI 'HVWLQDWLRQV ZLWK  ; 
0HVK$UFKLWHFWXUH
1HYHUWKHOHVVWKHVXJJHVWHGPXOWLFDVWURXWLQJDOJRULWKPDFWXDOO\LQKLJKYLVLWRUVORWVRU
ZLWKDELJTXDQWLW\RISODFHVSURVSHFWVWRWKHOHDVWH[SHQVLYHKROGRIIWKDQDOPRVWDOOYDULRXV
RWKHUPXOWLFDVWURXWLQJDOJRULWKPV

 


&RQFOXVLRQ

,WKDVEHHQGHPRQVWUDWHGWKDWLQSXUFKDVHWRPLQLPL]HWKHH[HFXWLRQFRVWVDQGPD[LPL]H
WKH 12& RYHUDOO SHUIRUPDQFH WKH EXIIHULQJ VL]H RI HDFK LQVLJKW URXWH QHHGV WR EH FDUHIXOO\
DOORFDWHGLQSXUFKDVHWRPDWFKWKHDSSOLFDWLRQ VYLVLWRUVIHDWXUHV$QHIIHFWLYH*UHHG\DOJRULWKP
RIIHUVEHHQVXJJHVWHGZKLFKLQVWDQWO\DOORFDWHVWKHVWUHDPLQJDVVHWVWRGLIIHUHQW12&VWDWLRQV
VXFKWKDWWKHFRQYHUVDWLRQRYHUDOOSHUIRUPDQFH LVXVXDOO\ PD[LPL]HGZKLOHJUDWLI\LQJWKHWRWDO
VWUHDPLQJVRXUFHFDSDELOLW\

7KH FKRLFH RI XWLOL]LQJ D ' )LQH PHVK QHWZRUN DV WKH XQGHUO\LQJ 12& DUFKLWHFWXUH
VHUYHV PDLQO\ DV DQ H[DPSOH &HUWDLQO\ WKH VXJJHVWHG IRUPXOD FDQ EHFRPH SURORQJHG WR DQ\
WRSRORJ\E\FKDQJLQJWKHDQDO\WLFDOPRGHODSSURSULDWHO\WRWKHIRFXVRQWRSRORJ\)XUWKHUPRUH
DOWKRXJKWKH IRUPXODLVXVXDOO\H[DPLQHGMXVWIRU12&VZLWK;<UHGLUHFWLQJWKHVWUDWHJ\FDQ
HQG XS EHLQJ XVHG WR DQ\ GHWHUPLQLVWLF DQG LJQRUDQW UHGLUHFWLQJ VLQFH LQ WKHVH LQVWDQFHV WKH
LQWURGXFWLRQSULFHRIHDFKIXQQHOFDQVWLOOEHFRPHVDPHDVGHWHUPLQHGLQWKLVPRGHO

7KHZRUNSUHVHQWHGLQWKLVFKDSWHUFDQEHDGYDQFHGLQVHYHUDOGLUHFWLRQV2QHIHDVLEOH
SDWKLVXVXDOO\WROHQJWKHQWKLVVWUDWHJ\IRU12&¶VZKLFKVXSSRUWDGDSWLYHUHGLUHFWLQJ7KH

SULPDU\SUREOHPFRPHVIURPWKHSUREOHPVLQFOXGHGLQWKHFRPSXWDWLRQRIWKHDSSHDUDQFHSULFH
IRUHYHU\URXWHDVPXOWLSOHUHGLUHFWLQJSDWKZD\VDUHIHDVLEOHLQDGDSWLYHUHGLUHFWLQJ

&RPSOHWHO\ DGDSWLYH WXUQ PRGHO EDVHG PXOWLFDVW URXWLQJ DOJRULWKP HIIHFWLYHO\ KDQGOHV
WKHORDGEDODQFLQJVLPSO\E\XWLOL]DWLRQRIQHWZRUNSDUWLWLRQLQJRSWLPL]HGGHVWLQDWLRQRUGHULQJ
DQG WKH 'HDGORFN $YRLGDQFH 'DWD %XIIHU IRU URXWLQJ PHVVDJHV WKURXJK WKH QHWZRUN ZKLFK
PDNHV LW IDXOW WROHUDQW 3DFNHWV DUH GHOLYHUHG WR PXOWLSOH ORFDWLRQV HIIHFWLYHO\ E\ XVLQJ
FRPSOHWHO\ DGDSWLYH 0XOWL3DWK FHQWHUHG PXOWLFDVW URXWLQJ SURWRFRO 3DFNHWV DFKLHYLQJ WKH
GHVWLQDWLRQDUHVWDWHGWRUHDFKLQPLQLPDOODWHQF\,QSRWHQWLDOWKHVXJJHVWHGFULWHULDFDQHQGXS
EHLQJGLVFRYHUHGLQDGGLWLRQDOQHWZRUNWRSRORJLHV

 
&KDSWHU

&RQFOXVLRQV

7KLVFKDSWHUHQOLVWVWKHUHOHYDQFHRIWKHUHFRPPHQGHGGHSHQGDEOHDQG IDXOWWROHUDQW
DGDSWDEOH GLUHFWLRQILQGLQJ PRGHOV IRU RQ FKLS LQWHUFRQQHFWLRQ V\VWHPV WKH RXWFRPHV
DFTXLUHGE\WKHSUHVHQWZRUNDQGPDNHVUHFRPPHQGDWLRQVIRUIXWXUHUHVHDUFK%HIRUHJRLQJ
IRUZDUG ZLWK WKH UHYLHZ RI WKH IXQFWLRQ FDUULHG RXW WKH JRDOV RI WKH WKHVLV PHQWLRQHG
SUHYLRXVO\LQWKHLQWURGXFWRU\VHFWLRQDUHUHPHPEHUHG

7KHSULPDU\REMHFWLYHRIWKLVUHVHDUFKLVWRLQYHVWLJDWHYDULRXVWHFKQLTXHVDQGURXWLQJ
VWUDWHJLHV IRU FRQJHVWLRQ DYRLGDQFH LQ 6\VWHPV RQ &KLS $ SRZHUIXO EDUULHU DOORZDQFH
IRUPXODLVXVXDOO\DSSOLHGIRULGHDOXVDJHRIEXIIHUVFHQWHUHGRQWKHVRIWZDUHQHFHVVLW\,W LV
XVXDOO\ FRQFHQWUDWHG RQ URXWHU DGMXVWPHQWV E\ WDNLQJ LQWR FRQVLGHUDWLRQ QRW UHDOO\ MXVW WKH
UHJLRQDO GHWDLOV DERXW WKH DGMRLQLQJ QRGHV EXW DOVR WKH JOREDO LQIR RI WKH QHWZRUN $Q
LPSURYHGUHGLUHFWLQJPRGHORIIHUVEHHQFUHDWHGVWUXFWXUHGRQWKLVJOREDOGHWDLOVWRGHWHUPLQH
WKH QRQPLQLPDO DOWHUQDWLYH URXWH WKDW LV GHILQLWHO\ ODFNLQJ RI EORFNDJH WR GHFUHDVH WKH
ODWHQF\,WFDQEHDOVRWDUJHWHGDWGHYHORSLQJSUREOHPWROHUDQWUHGLUHFWLQJYHUVLRQVIRU%XIIHU
OHVV VWUXFWXUHVRI 12& ,Q FDVH RI PXOWLFDVWLQJ RI SDFNHWV LQ )LQH PHVK VWUXFWXUHVRI 12&
ZLWK UHVSHFW WR &KDQJH PRGHO D FRPSOHWHO\ DGDSWLYH DQG PLVWDNH WROHUDQW UHGLUHFWLQJ
WHFKQLTXHLVXVXDOO\VXJJHVWHGWRHQDEOHDUHVWULFWHGFKDQJH LIWKHUHLVFHUWDLQO\DIDXOW\QRGH
LQWKHJLYHQURXWHWRUHDFKWKHGHVWLQDWLRQ

 +LJKOLJKWV2I7KH)XQFWLRQ'RQH

7KLV WKHVLV RIIHUV QRYHO LGHDV IRU WKH DGYDQFHPHQW RI IDXOW WROHUDQW DGDSWLYH URXWLQJ
DOJRULWKPV IRU RQ FKLS LQWHUFRQQHFWLRQ QHWZRUNV DQG GHOLQHDWHV D SURFHGXUH WR VHQVH RI
EDODQFHWKHWUDIILFORDGXQLIRUPO\DWHDFKQRGHLQWKHQHWZRUNWRHQKDQFHWKHSHUIRUPDQFH$
VKRUWVWXG\RIWKHERRNVUHODWLQJWRWKHWRSLFVRIVWXG\UHJDUGHGDVLQWKLVWKHVLV LVQRUPDOO\
UHSRUWHG DQG WKH LQVSLUDWLRQ IRU WKH SUHVHQW IXQFWLRQ LV XVXDOO\ DOVR EURXJKW RXW LQ WKH
LQWURGXFWRU\VHFWLRQ

,WLVDLPHGLQGHYHORSLQJRIHIILFLHQWURXWLQJDOJRULWKPVDQGHQXPHUDWLQJWKHRSWLRQV
RI 6\VWHP RI %XIIHU OHVV VWUXFWXUHV LQ EORFNDJH SUHYHQWLRQ E\ FRQVLGHULQJ XQGHUVWDQGLQJ



FKDQJHVRIURXWHUFRQVWUXFWLRQDQGE\LPSURYLQJWKHURXWLQJPHWKRGVDQGWRSRORJLHV
7KH LPSDFW RI EXIIHUV RQ WKH SHUIRUPDQFH RI 1\ORQ XSSHUV DUFKLWHFWXUH IRU ERWK XQLFDVW DQG
PXOWLFDVWURXWLQJDOJRULWKPVSRVVHVVEHHQWUHDWHGZLWK7KHDOORFDWLRQRIEXIIHUVGXULQJXQLFDVW
UHGLUHFWLQJ FHQWHUHG RQ WKH VRIWZDUH UHTXLUHPHQWV LV XVXDOO\ H[SORUHG $ TXHXLQJ PRGHO LV
GHILQLWHO\ DSSOLHG WR HYDOXDWH WKH EHKDYLRURI WKH 6\VWHP WR IRUHFDVWWKH TXDQWLW\ RI VWUHDP WR
EHFRPH DOORWWHG %\ GHVLJQLQJ WKH EXIIHUV DW WKH URXWHUV WKH ZDVWDJH RI WKH &KLSV UHJLRQ LV
XVXDOO\SUHYHQWHG

,QZRUPKROHURXWLQJSDFNHWVDUHGLYLGHGWROLWWOHDQGHTXLYDOHQWVL]HIOLWV$IWHUKHDGHU
IOLW WKH URXWH LV XVXDOO\ VHW DVLGH WR SDWK WKH VWD\LQJ IOLWV RI WKH ER[ 7KHUHIRUH ZRUPKROH
UHGLUHFWLQJQHHGVPXFKOHVVPHPRU\VSDFHWKDQWKHGLJLWDOVOLFHWKURXJKRUVKRSDQGDKHDG
UHGLUHFWLQJ VWUDWHJLHV *HQHUDOO\ VHW ILJXUHV RI EXIIHUV DUH JLYHQ DW HDFK LQVLJKW URXWHRI WKH
URXWHU 7KLV PD\ WULJJHU EORFNDJH VLQFH WKH EDUULHUUHTXLUHPHQWV PD\ YDU\ VWUXFWXUHGRQWKH
VRIWZDUH 7KHUHIRUH D SRZHUIXO EDUULHU VKDUH IRUPXOD SURYLGHV EHHQ DSSOLHG ZKLFK
FXVWRPL]HV WKH EDUULHU ZLWKLQ WKH SURYLGHG EDUULHU FDSDFLW\ FHQWHUHG XSRQ WKH VRIWZDUH
QHFHVVLW\ ,Q SXUFKDVH WR UHFRJQL]H WKH IHDVLEOH VWDWLRQV RI WKH QRGH IRU D SDUWLFXODU 6\VWHP
WKDW ZLOO REWDLQ RYHUORDGHG D TXHXLQJ PRGHO FDQ EH VXJJHVWHG 7KH YLVLWRUV LQWURGXFWLRQ
SURFHGXUHDWHDFKQRGHLVFHUWDLQO\WKRXJKWWRHQGXSEHLQJ3RLVVRQGLVWULEXWLRQ(DFKLQVLJKW
IXQQHO VWUHDP LQWKH QHWZRUN FDQ EHFRPH SDWWHUQHG DV DQ 0HWHUV0HWHUV( OLPLWHG OLQH WR
GLVFRYHUWKHSRVVLELOLW\RIWKHURXWHWKDWZLOOEHFRPHFRPSOHWH

&HQWHUHG XSRQ WKH 6\VWHP IHDWXUHV WKH IXQQHO ZLWK KLJKHU SRVVLELOLW\ RI REWDLQLQJ
RYHUORDGHGLVXVXDOO\UHFRJQL]HG$IWHUWKDWWKHVL]HRIWKHEDUULHULVXVXDOO\LPSURYHGE\RQH
IOLWDWDSHULRGZLWKLQWKHEDUULHUFDSDELOLW\:KLOHUHGLUHFWLQJWKHIOLWVLIWKHURXWHGHWHUPLQHG
WXUQVLQWRPXFKOHVVEXV\WKHEDUULHUGHSWKLVQRUPDOO\GHFUHDVHGE\RQHIOLWDWDSHULRG7R
UHVHDUFK WKH UHDO UHVXOWV RI WKH GHVLJQLQJ WKH EDUULHU GHSWK ZLWKLQ WRWDO FDSDELOLW\ IRU WKH
YDULRXVYLVLWRUVSDWWHUQVWKHEDUULHUSRUWLRQIRUPXODLVGHILQLWHO\DSSOLHGDQGVLPXODWHGXVLQJ
1R[LPVLPXODWRU

7ZRW\SHV QDPHO\ UDQGRP DQG KRWVSRW YLVLWRUV SDWWHUQV DUH XVHG LQ WKLV HYDOXDWLRQ
7KHSURWRFROH[SHULHQFHGEHHQVLPXODWHGE\UDLVLQJWKHWRWDOVWUHDPFDSDELOLW\WR
 DQG  7KH VXJJHVWHG VWUHDP SHUFHQWDJH DOJRULWKP SHUIRUPV YHU\ PXFK EHWWHU WKDQ
VWDQGDUG VWUHDP SDUW LQ H[LVWHQFH RI HYHQ PRUH KRWVSRW WLOHV XQGHU WKH VDPH VWUHDPLQJ
UHVWULFWLRQV 7KLV LPSOLHV WKDW E\ GLIIHULQJ WKH EDUULHU VL]H EDVHG RQ WKH YLVLWRUV GHVLJQ WKH
VXJJHVWHGIRUPXODFDQEHFDSDEOHWRJHQHUDWHV\VWHPVZLWKYHU\PXFKEHWWHURYHUDOO


SHUIRUPDQFH ZKLOH XVLQJ PXFK OHVV VWUHDPLQJ DVVHWV OLNHQHG WR V\VWHPV ZLWK FRQVLVWHQWO\
GHVLJQDWHG),)2VL]HV

$Q LPSURYHG URXWLQJ DOJRULWKP LV DSSOLHG WKDW FRPELQHV ERWK UHJLRQDO DQG JOREDO
EORFNDJH HVWLPDWLRQV IRU DGDSWLYH URXWLQJ WHFKQLTXHV %\ VHOHFWLQJ QRQPLQLPDO SDWKZD\V
WKHZHLJKWPDQDJLQJFDSDELOLW\LVXVXDOO\LPSURYHGDQGLWLVXVXDOO\GLVFRYHUHGWKDWWKHQRQ
PLQLPDOLPSURYHGUHGLUHFWLQJWHFKQLTXHRIIHUVVPDOOHUODWHQF\OLNHQHGWRWKDWRIWKHPLQLPDO
SDWKZD\V 7KRXJK LW LV GHILQLWHO\ FRPSOLFDWHG WR SXW LQWR DFWLRQ QRQPLQLPDO DGDSWLYH
UHGLUHFWLQJWUDGHRIIFDQHQGXSEHLQJDFTXLUHGLQWKHHIILFLHQF\

0DQ\RIWRGD\¶V12&VW\OHVDUHEDVHGRQPLQLPDOURXWHURXWLQJWDNLQJLQWRDFFRXQWV
RI MXVW UHJLRQDO EORFNDJH LQIR 7KH PDLQ LVVXH ZLWK WKH UHGLUHFWLQJ VWUXFWXUHG RQ UHJLRQDO
EORFNDJHLQIRLVXVXDOO\WKDWWKHER[GHOLYHU\JHWVLQWHUUXSWHGLQFDVHRIKLJKHUSHUFHQWDJHRI
ILOODQGRXWFRPHV WRKLJKHU ODWHQF\DQG ORZHUWKURXJKSXWDQGWKH IXQFWLRQDOLW\ RI WKHHQWLUH
6\VWHPJHWVGHFUHDVHG7KHGHVLJQHGDGDSWLYHUHGLUHFWLQJDOJRULWKPIRUFRQWUROOLQJWKHLQVHUW
LQ 1HWZRUN RQ &KLSV VHOHFWV WKH QRQPLQLPDO URXWH FHQWHUHG RQ WKH LGHD RI UHGLUHFWLQJ WKH
SDFNHWVEDVHGRQWKHUHJLRQDODQGJOREDOEORFNDJHGHWDLOV7KLVDVVLVWVLQUHGXFLQJWKHODWHQF\
RI WKH HQWLUH QHWZRUN VLQFH WKH PLQLPDO URXWH UHJDUGHG PD\ SRVVHVV HYHQ PRUH EORFNDJH
ZKHQ OLNHQHG WR WKH DGGLWLRQDO QRQ PLQLPDO SDWKZD\V 6LQFH QRQPLQLPDO SDWKZD\V DUH
UHJDUGHG DV WKH SDFNHWV FDQ EHFRPH VHQW WKURXJK YDULRXV RWKHU SDWKZD\V ZKLFK SRVVHVV
ORZHUEORFNDJH

7KHFRQJHVWLRQVWDWXVRIHDFKURXWHU LVSURSDJDWHGDFURVVWKHQHWZRUN7KHEORFNDJH
SRVLWLRQ RI WKH GRZQVWUHDP URXWHUV FDQ EH UHJDUGHG WR GLVFRYHU WKH URXWH WR HQG XS EHLQJ
VHOHFWHG 3URSDJDWLQJ EORFNDJH LQIR DFURVV WKH QHWZRUN LQ D VFDODEOH ZD\ HQKDQFHV WKH
FDSDELOLW\ RI DGDSWLYH URXWHUV WR SDVV RQ QHWZRUN ZHLJKW 7KH GXPEEHOOV GHVLJQDWHG WR WKH
UHJLRQDODQGJOREDOEORFNDJHSRVLWLRQDUHSHUFHQWDQGSHUFHQWUHVSHFWLYHO\ZKLOHWKH\
SRVVHVVEHHQDJJUHJDWHG$XQGHUWKHUDGDUHYHQWDQGF\FOHDFFXUDWHVLPXODWRU 1,5*$0 LV
XWLOL]HGWRSXWLQWRDFWLRQWKHVXJJHVWHGDGDSWLYHUHGLUHFWLQJFULWHULDIRU7LPHVDQG%DFN
EXWWRQ  )LQH PHVK VWUXFWXUHV )URP WKH RXWFRPHV LW ZRXOG SRVVHVV EHHQ QRWLFHG WKDW WKH
VXJJHVWHG IRUPXOD GLVSOD\V EHWWHU SUREOHP WKUHVKROG IHDWXUHV HOHYDWHG QHWZRUN WKURXJKSXW
DQG UHGXFHG ODWHQF\ OLNHQHG WR GHWHUPLQLVWLF DQG PLQLPDO DGDSWLYH URXWLQJ DOJRULWKPV IRU
UDQGRPYLVLWRUV



$ PLVWDNH WROHUDQW PXOWLSDWK EDVHG PXOWLFDVW URXWLQJ WHFKQLTXH KDV DOVR EHHQ
SURSRVHG IRU WKH 1\ORQ XSSHUV VWUXFWXUHV RI 12& WR DYRLG EORFNDJH E\ DGGLQJ D GHDGORFN
SUHYHQWLRQ GDWD EDUULHU WR HYHU\ URXWHU 7KH VL]H RI WKH ER[ DQG LQ VZLWFK WKH VL]H RI WKH
VWUHDPLVXVXDOO\KHOGH[WUHPHO\PLQLPDOWRSUHYHQWURXWHUUHJLRQRYHUKHDG

7KH VHOHFWLRQ RI WRSRORJ\ SOD\V D PDLQ UROH LQRUGHUWR H[SORLWWKH FKDUDFWHULVWLFV RI
WKHDYDLODEOHSDFNDJLQJWHFKQRORJLHVWRPHHWXSZLWKWKHEDQGZLGWKODWHQF\DQGVFDODELOLW\
UHTXLUHPHQWVRIWKHDSSOLFDWLRQDWDPLQLPXPDPRXQWFRVW2QFHWKHWRSRORJ\RIWKHQHWZRUN
LVFHUWDLQO\VHWWKHUHIRUHDUHWKHUDQJHRQLWVRYHUDOOSHUIRUPDQFH)RUH[DPSOHWKHWRSRORJ\
GHWHUPLQHVWKHRSWLPXPWKURXJKSXW LQSLHFHVVHFRQG DQG]HURORDGODWHQF\ LQKRSV RIWKH
QHWZRUN

$ IDXOWWROHUDQW DGDSWLYH URXWLQJ SODQ FDOOHG $FWLYH 7HQVLRQ :RUPKROH 5RXWLQJ KDV
EHHQ H[HFXWHG WKDW DPRXQWV WKH ILOO IRU WKH %XIIHU OHVV VWUXFWXUHV DQG ERRVWV EORFNDJH
DYRLGDQFH7KH'6:5SHUIRUPVEHWWHUWKDQWKHDGGLWLRQDODGDSWLYHDOJRULWKPVIRU%XIIHUOHVV
VWUXFWXUHV 7KH SUREOHP WROHUDQW UHGLUHFWLQJ SURWRFRO ZKLFK SURYLGHV EHHQ DSSOLHG XVLQJ
%XIIHU OHVV VWUXFWXUHV GLVSOD\V EHWWHU HIILFLHQF\ LDW WKH  SHUFHQW UHGXFHG ODWHQF\ ZKLOH
ORRNLQJDWWKHVDPHFULWHULDDSSOLHGXVLQJ)LQHPHVKVWUXFWXUHV

%XIIHUOHVVDUFKLWHFWXUHSURYLGHVVHWDQGRSWLPL]HGWRSRORJ\ZKLFKFDQEHXWLOL]HGIRU
DSSOLFDWLRQV WKDW ZDQW ORZ FRVW PXOWLSURFHVVRU 62& LPSOHPHQWDWLRQ 7KH H[LVWLQJ
UHGLUHFWLQJ JXLGHOLQHV FUHDWHG IRU WKH %XIIHU OHVV VWUXFWXUHV RI 6\VWHPV RQ &KLSV DUH MXVW
GHWHUPLQLVWLF ,Q WKLV DQDO\VLV DQ DGDSWLYH DQG PLVWDNH WROHUDQW UHGLUHFWLQJ IRUPXOD LV
FHUWDLQO\ GLVFRYHUHG IRU %XIIHU OHVV VWUXFWXUHV 7KH VXJJHVWHG $FWLYH 7HQVLRQ :RUPKROH
5HGLUHFWLQJDOJRULWKPGHDOVZLWKGHIHFWLYHQRGHVDQGGHIHFWLYHOLQNV LQWKHQHWZRUNDQGDOVR
DPRXQWVWKHYLVLWRUVDFURVVWKHQHWZRUN

7KLVDOJRULWKPPDLQWDLQVDVWUHVVYDOXHIRUHYHU\QRGHWRGHWHUPLQHWKHURXWLQJSDWK
7KHWHQVLRQZRUWKGLVSOD\VWKHTXDQWLW\RIYLVLWRUVWKDWPRYHVWKURXJKDQRGH7KHSRZHUIXO
WHQVLRQ ZRUPKROH UHGLUHFWLQJ IRUPXOD SDWKV WKH SDFNHWV VWUXFWXUHG RQ WKH DGMDFHQF\ PDWUL[
DQGFKDUJHVGHVN7KHDGMDFHQF\PDWUL[RIIHUVWKHTXDQWLW\RIMXPSPDWWHUVWRWKHGHVWLQDWLRQ
IURPWKHFXUUHQWQRGH7KHIRUPXODLVQRUPDOO\VLPXODWHGXVLQJ1,*5$0VLPXODWRUDQGWKH
RXWFRPHV DUH OLNHQHG ZLWK ;< UHGLUHFWLQJ SURWRFRO IRU ERWK K\SHUOLQN DQG QRGH IDLOXUHV
/LNHQHGWR1\ORQXSSHUVVWUXFWXUHV%XIIHUOHVVVWUXFWXUHVUHTXLUHVOHVVDPRXQWRIKRSVWR



UHDFKGHVWLQDWLRQ7KLVFULWHULDRXWFRPHVLQEHWWHUIXQFWLRQDOLW\ZLWKRXWWKHZDQWRIH[WUD
GLJLWDOVWDWLRQV
)LQGLQJVRIWKHZRUN
 'HVLJQHG  D ORZ SRZHU PXOWLSRUW 12& URXWHU $UFKLWHFWXUH XVLQJ SRUW ZHLJKWHG
$OJRULWKP
 $QD\VHG6KDUHG%XIIHU5RXWHU$UFKLWHFWXUHIRU/RZ3RZHU$SSOLFDWLRQV WRUHGXFHWKH
SRZHUFRQVXPSWLRQDQGLQFUHDVLQJWKHWKURXJKSXWRIWKHV\VWHP
 ,QWHQGHG  +\EULG ZLUHOHVV RQ FKLS LQWHUIDFH EHWZHHQ ZLUHG DQG ZLUHOHVV  URXWHUV  WR
UHGXFHWKHODWHQF\
 3URSRVHGDJHQHULFPXOWLSRUWVHOHFWLRQVFKHPHIRUSRUWDQGSRUWURXWHUDUFKLWHFWXUH
 ,QYHVWLJDWHGWKHUHOLDELOLW\DQGH[WHQGLELOLW\RIGHYHORSHGSRUWZHLJKWEDVHGQHWZRUNRQ
FKLS URXWHU DUFKLWHFWXUH VFKHPH ZLWK UHVSHFW WR WKH YDULRXV SHUIRUPDQFH HYDOXDWLRQ
SDUDPHWHUV
 $DQDO\]HG WKH SHUIRUPDQFH RI WKH SURSRVHG ORZ SRZHU ZHLJKW EDVHG 12& 5RXWHU
DUFKLWHFWXUH EDVHG RQ WKH SDUDPHWHUV VXFK  DV  QXPEHU  RI  VOLFHV 6   QXPEHU RI
/87ெV /RRN XS WDEOH 6OLFH ODWFKHV 6/ 2FFXSLHG 6OLFH ODWFKHV 26/ ,2% /DWFKHV ,QSXW
2XWSXW %ORFN  ,QSXW ,%8)ெV ,QSXW %XIIHUV  JDWH FRXQWV *$ /DWHQF\ /  DQG 3RZHU
FRQVXPSWLRQ 3& 
 5HVXOWVDUHFRPSDUHGDQGUHVXOWVREWDLQHG

5HFRPPRQGDWLRQIXUWKHUZRUN

7KH GHYHORSHG URXWLQJ PRGHOV IRU DERXW &KLSV LQWHUFRQQHFWLRQ QHWZRUNV KDYH EHHQ
WHVWHG XVLQJ 5RXWLQH $FFXUDWH 6LPXODWRUV E\ YDU\LQJ WKH JXLGHOLQHV VXFK DV VL]H RI WKH
QHWZRUNLQSXWWUDIILFSDWWHUQVDQGER[LQMHFWLRQUDWH7KHYHUVLRQVFDQEHFRPHH[DPLQHGDQG
RYHUDOO SHUIRUPDQFH QHHGV WR EH H[DPLQHG ZLWK DFWXDO SHULRG DSSOLFDWLRQV VXFK DV
FRQYHUVDWLRQDFNQRZOHGJHPHQWPHGLDDQGFRQWURODQGFDOFXODWLRQULJRURXVYLGHRFRGLQJDQG
VROYLQJDOJRULWKPV

7KH TXHXLQJ PRGHO FUHDWHG IRU DFWLYH EXIIHU DOORFDWLRQ FDQ EH PRGLILHG WR VXSSRUW
DGDSWLYHURXWLQJVFKHPHV)3*$H[HFXWLRQRIWKHLPSURYHGUHGLUHFWLQJWHFKQLTXHFDQHQGXS
EHLQJLQYHVWLJDWHGWRHYDOXDWHWKHSRZHUXVDJHDQGUHJLRQRYHUKHDGZLWKUHVSHFWWRJHQXLQH
SHULRGDSSOLFDWLRQV7KHIXQFWLRQVUHSRUWHG LQWKLVWKHVLVDUHSULPDULO\ZRUNHGZLWK')LQH
PHVK DQG %XIIHU OHVV DUFKLWHFWXUHV RI 12& DQG FDQ EHFRPH SURORQJHG WR QXPHURXV


WRSRORJLHVVXFKDV2FWDJRQ%DQG7RUXVHWF$QDQDO\WLFDOPRGHOIRUDGDSWLYHUHGLUHFWLQJLQ
%XIIHUOHVVVWUXFWXUHVRI12&FDQHQGXSEHLQJFUHDWHGWRYDOLGDWHWKHVLPXODWHGRXWFRPHV

7KLVUHVHDUFKLVQRWFRQILQHGWRDVPDOOJURXSRIIROORZHUV7KHLPSURYHGUHGLUHFWLQJ
VWUDWHJLHVIRUKLJKHIILFLHQF\6\VWHPVRQ&KLSVVXJJHVWHGLQWKLVWKHVLVDUHLQFUHGLEO\XVHIXO
IRU WKH 9/6, GHVLJQHUV DQG WHOHFRPPXQLFDWLRQ WHFKQLFLDQV 7KH FRPPRQ OLQH RSHUDWLQJ
WKURXJK DOO WKH PHQWLRQHG HIIRUWV LV XVXDOO\ WKH EORFNDJH SUHYHQWLRQ IRU 6\VWHPV RQ &KLSV
7KHGLIIHUHQWVWUDWHJLHVXVHGWRUHVROYHWKLV LVVXHDUHJRRGWXQLQJWKHDOORWWHGVWUHDPWDNLQJ
LQWR FRQVLGHUDWLRQ XWLOL]DWLRQ RI H[WUD VWUHDP IRU PXOWLFDVW URXWHU VWUXFWXUHV FKDQJLQJ WKH
DGDSWLYHURXWHUVWUXFWXUHVDQGGLVFRYHULQJWKHDSSOLFDELOLW\RI%XIIHU/HVVWRSRORJ\




5HIHUHQFHV
  $KPHG$OGDPPDV³7KHHIILFLHQF\ RI EXIIHUDQGEXIIHUOHVVGDWDIORZFRQWUROVFKHPHV
IRU FRQJHVWLRQ DYRLGDQFH LQ 1HWZRUNV RQ &KLS´ -RXUQDO RI .LQJ 6DXG 8QLYHUVLW\ ±
&RPSXWHUDQG,QIRUPDWLRQ6FLHQFHVSS±
  %HFNHU ' 'DOO\ : ³ $OORFDWRU LPSOHPHQWDWLRQV IRU 1HWZRUNRQ&KLS URXWHUV´
3URFHHGLQJV RI WKH ,QWHUQDWLRQDO &RQIHUHQFH RQ +LJK 3HUIRUPDQFH &RPSXWLQJ
1HWZRUNLQJ6WRUDJH $QDO\VLV3RUWODQG251RYHPEHU
  &KDRFKDR)=KRQJKDL/8-DQWVFK$³6XSSRUWHIILFLHQWDQGIDXOWWROHUDQWPXOWLFDVW
LQ EXIIHUOHVV QHWZRUNRQFKLS´ ,(,&( 7UDQV ,QI 6\VW 9RO 1R SS±

  &KULV)DOOLQ*UHJ1D]DULR;LDQJ\DR<X.HYLQ&KDQJ5DFKDWD$XVDYDUXQJQLUXQ2QXU
0XWOX ³0LQ%' 0LQLPDOO\%XIIHUHG 'HIOHFWLRQ 5RXWLQJ IRU (QHUJ\(IILFLHQW
,QWHUFRQQHFW´ 6L[WK ,((($&0 ,QWHUQDWLRQDO 6\PSRVLXP RQ 1HWZRUNV RQ &KLS 1R& 
0D\
  &RWD(0RUDLV$QWRQ\6RDUHV/XEDV]HZVNL³5HOLDELOLW\$YDLODELOLW\DQG6HUYLFHDELOLW\
RI1HWZRUNVRQ&KLS´6SULQJHU
  'XDWR-³$QHZWKHRU\RIGHDGORFNIUHHDGDSWLYHURXWLQJLQZRUPKROHQHWZRUNV´,(((
7UDQV3DUDOOHO'LVWULEXWLYH6\VW9RO1R±'HF
  )HHUR %6 3DQGH 33 ³ 1HWZRUNVRQFKLS LQ D WKUHHGLPHQVLRQDO HQYLURQPHQW D
SHUIRUPDQFHHYDOXDWLRQ´,(((7UDQV&RPSXWHUV9RO1RSS±
  )HHUR%3DQGH33³3HUIRUPDQFHHYDOXDWLRQIRUWKUHHGLPHQVLRQDOQHWZRUNVRQFKLS´
3URFHHGLQJVRI,(((&RPSXWHU6RFLHW\$QQXDO6\PSRVLXP2Q9/6,0D\
  *UDW]3*URW%.HFNOHU6:³5HJLRQDOFRQJHVWLRQDZDUHQHVVIRUORDGEDODQFHLQ
1HWZRUNRQ&KLS´3URFHHGLQJVRIWKH,(((,QWHUQDWLRQDO6\PSRVLXPRQ+LJK
3HUIRUPDQFH&RPSXWHU$UFKLWHFWXUH6DOW/DNH&LW\$SULO
 *XHUULHU3DQG$*UHLQHU³$JHQHULFDUFKLWHFWXUHIRURQFKLSSDFNHWVZLWFKHG
LQWHUFRQQHFWLRQV´3URFHHGLQJV'HVLJQ$XWRPDWLRQDQG7HVWLQ(XURSH&RQIHUHQFHDQG
([KLELWLRQ0DU
 +D\HQJD 0 1 -HUJHU DQG 0 /LSDVWL ³6FDUDE $ VLQJOH F\FOH DGDSWLYH URXWLQJ DQG
EXIIHUOHVV   QHWZRUN´ QG $QQXDO ,((($&0 ,QWHUQDWLRQDO 6\PSRVLXP RQ
0LFURDUFKLWHFWXUH 0,&52 'HF



 +HPDQL $ $ -DQWVFK 6 .XPDU $ 3RVWXOD - 2EHUJ 0 0LOOEHUJ DQG ' /LQGTYLVW
³1HWZRUN RQ FKLS $Q DUFKLWHFWXUH IRU ELOOLRQ WUDQVLVWRU HUD´ 3URFHHGLQJ RI WKH ,(((
1RUGLF&KLS&RQIHUHQFH
 +HQNHO -: :ROI DQG 6 &KDNUDGKDU ³2QFKLS QHWZRUNV D VFDODEOH FRPPXQLFDWLRQ
FHQWULF HPEHGGHG V\VWHP GHVLJQ SDUDGLJP´ WK ,QWHUQDWLRQDO &RQIHUHQFH RQ 9/6,
'HVLJQ3URFHHGLQJV-DQ
 +HQULNVVRQ 7 ' :LNOXQG DQG ' /LX ³9/6, LPSOHPHQWDWLRQ RI D VZLWFK IRU RQFKLS
QHWZRUNV´  ,QW ZRUNVKRS RQ 'HVLJQ DQG GLDJQRVWLFV RI HOHFWURQLF FLUFXLWV DQG V\VWHPV

 +LOWRQ & DQG % 1HOVRQ ³$ IOH[LEOH FLUFXLW VZLWFKHG 12& IRU )3*$ EDVHG V\VWHPV´
,QWHUQDWLRQDO&RQIHUHQFHRQ)LHOG3URJUDPPDEOH/RJLFDQG$SSOLFDWLRQV$XJ
 +RVVHLQDEDG\00.DNRHH-0DWKHZDQG'3UDGKDQ³5HOLDEOHQHWZRUNRQFKLSEDVHG
RQJHQHUDOL]HGGH%UXLMQJUDSK´3URF,(((,QWHUQDWLRQDO+LJK/HYHO'HVLJQ9DOLGDWLRQDQG
7HVW:RUNVKRS1RY
 +X : /X = -DQWVFK $ /LX + ³ 3RZHUHIILFLHQW WUHHEDVHG PXOWLFDVW VXSSRUW IRU
QHWZRUNVRQFKLS´ 3URFHHGLQJV RI WK $VLD DQG 6RXWK 3DFLILF 'HVLJQ $XWRPDWLRQ
&RQIHUHQFH3LVFDWDZD\1-86$-DQ
 +X-0DUFXOHVFX5³'\$'6PDUWURXWLQJIRU1HWZRUNRQ&KLS´3URFHHGLQJVRIWKH
'HVLJQ$XWRPDWLRQ&RQIHUHQFH6DQ'LHJR&$-XO\
 +X-<'HQJDQG50DUFXOHVFX³6\VWHPOHYHOSRLQWWRSRLQWFRPPXQLFDWLRQV\QWKHVLV
XVLQJIORRUSODQQLQJLQIRUPDWLRQ´3URFHHGLQJVRI$63'$&9/6,'HVLJQWK$VLD
DQG6RXWK3DFLILF'HVLJQ$XWRPDWLRQ&RQIHUHQFHDQGK,QWHUQDWLRQDO&RQIHUHQFHRQ
9/6,'HVLJQ-DQ
 -DQDUWKDQDQ$DQG.$7RPNR³0R&6<6$PXOWLFORFNK\EULGWZROD\HUURXWHU
DUFKLWHFWXUHDQGLQWHJUDWHGWRSRORJ\V\QWKHVLVIUDPHZRUNIRUV\VWHPOHYHOGHVLJQRI)3*$
EDVHGRQFKLSQHWZRUNV´VW,QWHUQDWLRQDO&RQIHUHQFHRQ9/6,'HVLJQ-DQ
 -DQWVFK$5/DXWHUDQG$9LWNRZVNL³3RZHUDQDO\VLVRIOLQNOHYHODQGHQGWRHQGGDWD
SURWHFWLRQLQQHWZRUNVRQFKLS´,(((,QWHUQDWLRQDO6\PSRVLXPRQ&LUFXLWVDQG6\VWHPV
0D\
 -DQWVFK$DQG+7HQKXQHQ(GV³1HWZRUNVRQ&KLS´.OXZHU$FDGHPLF3XEOLVKHUV




 -HUJHU1(3HK/6/LSDVWL0³9LUWXDOFLUFXLWWUHHPXOWLFDVWLQJDFDVHIRURQFKLS
KDUGZDUHPXOWLFDVWVXSSRUW´3URFHHGLQJVRIWKHWK$QQXDO,QWHUQDWLRQDO6\PSRVLXPRQ
&RPSXWHU$UFKLWHFWXUH-XQH
 -RKQ-RVH%KDZQD1D\DN.UDQWKL.XPDU0DGKX0XW\DP³'H%$5'HIOHFWLRQEDVHG
DGDSWLYHURXWHUZLWK PLQLPDO EXIIHULQJ´ (XURSH&RQIHUHQFHLQ'HVLJQ$XWRPDWLRQDQG
7HVW0DUFK
 -LQJ/LQ;LDROD/LQ/LDQJ7DQJ³0DNLQJDVWRS$QHZEXIIHUOHVVURXWLQJDOJRULWKPIRU
RQFKLSQHWZRUN´(OVHYLHU3XEOLVK-RXUQDORI3DUDOOHODQG'LVWULEXWHG&RPSXWLQJSS

 .DQJDV73.XNNOD+2UVLOD(6DOPLQHQ0+DQQLN$LQHQ'+7LPR-5LLKLPDNL$QG
.LPPR.XXVLOLQQD³8POEDVHGPXOWLSURFHVVRUVRFGHVLJQIUDPHZRUN´$&07UDQV
(PEHGGHG&RPSXWLQJ6\VWHPV9RO1RSS±0D\
 .DULP)$1JX\HQDQG6'H\³$QLQWHUFRQQHFWDUFKLWHFWXUHIRUQHWZRUNLQJV\VWHPVRQ
FKLSV´,(((0LFURYROQRSS±6HS2FW
 .DULQLHPL+³2QOLQHUHFRQILJXUDEOHH[WHQGHGJHQHUDOL]HGIDWWUHHQHWZRUNRQFKLSIRU
PXOWLSURFHVVRUV\VWHPRQFKLSFLUFXLWV´3K'GLVVHUWDWLRQ7DPSHUH8QLYHUVLW\RI7HFKQRORJ\
6HS
 .DYDOGMLHY1*-06PLWW3*-DQVHQDQG379RONRWWH³$YLUWXDOFKDQQHOQHWZRUNRQFKLS
IRU*7DQG%(WUDIILF´,QWHUQDWLRQDO6\PSRVLXPRQ9/6,0DU
 .LP-3DUN'9LMD\NULVKQDP1'DV&5³$ORZODWHQF\URXWHUVXSSRUWLQJDGDSWLYLW\RU
RQFKLSLQWHUFRQQHFWV´3URFHHGLQJVRIWKH'HVLJQ$XWRPDWLRQ&RQIHUHQFH-XQH
 .LP'..LP-<.LP6/HHDQG+-<RR³$Q*236REMHFWUHFRJQLWLRQ
SURFHVVRUEDVHGRQQRFDQGYLVXDOLPDJHSURFHVVLQJPHPRU\´&XVWRP,QWHJUDWHG&LUFXLWV
&RQIHUHQFH-DQ
 .LP-'3DUN77KHRFKDULGHV19LMD\D.ULVKQDQDQG&5'DV³$ORZODWHQF\URXWHU
VXSSRUWLQJDGDSWLYLW\IRURQFKLSLQWHUFRQQHFWV´3URFHHGLQJVQG'HVLJQ$XWRPDWLRQ
&RQIHUHQFH-XQ
 .LP'0.LPDQG*(6REHOPDQ³'HVLJQRIDKLJKSHUIRUPDQFHVFDODEOH&'0$URXWHU
IRURQFKLSVZLWFKHGQHWZRUNV´,QWHUQDWLRQDO6\PSRVLXPRQ62&
 .XOPDOD$(6DOPLQHQDQG7'+ŽDPŽDOŽDLQHQ³3URWRW\SLQJDQGHYDOXDWLQJODUJHV\VWHP
RQFKLSVRQ0XOWL)3*$SODWIRUP´SURF:RUNVKRSRQ6\VWHPV$UFKHWHFWXUH0RGHOOLQJDQG



6LPXODWLRQ9,,-XOSS±
 .XPDU6$MDQWVFK-36RLQLQHQ0)RUVHOO00LOEHUJ-2EHUJ.7LHQV\UMDDQG
$+HPDQL³$QHWZRUNRQFKLSDUFKLWHFWXUHDQGGHVLJQPHWKRGRORJ\´3URFHHGLQJV,(((
&RPSXWHU6RFLHW\$QQXDO6\PSRVLXPRQ9/6,1HZ3DUDGLJPVIRU9/6,6\VWHPV'HVLJQ$SU

 /DWWDUG'(%LHJLQH)&OHUPLG\<'XUDQG5/HPDLUH39LYHWDQG)%HUQHV³$
UHFRQILJXUDEOHEDVHEDQGSODWIRUPEDVHGRQDQDV\QFKURQRXVQHWZRUNRQFKLS´,(((-6ROLG
6WDWH&LUFXLWV9RO1RSS±-DQ
 /HH+*8<2JUDV50DUFXOHVFXDQG1&KDQJ³'HVLJQVSDFHH[SORUDWLRQDQGSURWRW\SLQJ
IRURQFKLSPXOWLPHGLDDSSOLFDWLRQV´UG$&0,((('HVLJQ$XWRPDWLRQ&RQIHUHQFH-XO

 /HH.6-/HHDQG+-<RR³/RZSRZHUQHWZRUNRQFKLSIRUKLJKSHUIRUPDQFH6R&
GHVLJQ´,(((7UDQV9/6,6\VW9RO1RSS±)HE
 /HH6&/HHDQG+-/HH³$QHZPXOWLFKDQQHORQFKLSEXVDUFKLWHFWXUHIRUV\VWHPRQ
FKLSV´6\VWHP2Q&KLS&RQIHUHQFH6HS
 /LDQJ-$/DIIHO\66ULQLYDVDQDQG57HVVLHU³$QDUFKLWHFWXUHDQGFRPSLOHUIRUVFDODEOH
RQFKLSFRPPXQLFDWLRQ´,(((7UDQV9/6,6\VW9RO1RSS±-XO
 /LQ%5DPDQXMDP56³'HVWLQDWLRQEDVHGDGDSWLYHURXWLQJRQ'PHVKQHWZRUNV´
3URFHHGLQJVRIWKH,QWHUQDWLRQDO&RQIHUHQFHRQ$UFKLWHFWXUHV1HWZRUNLQJDQG&RPPXQLFDWLRQ
6\VWHPV2FWREHU
 /LQHV$³$V\QFKURQRXVLQWHUFRQQHFWIRUV\QFKURQRXV6R&GHVLJQ´,(((0LFUR9RO1R
SS±-DQ)HE
 0D6(QULJKW-HUJHU1:DQJ=³'%$5$QHIILFLHQWURXWLQJDOJRULWKPWRVXSSRUW
PXOWLSOHFRQFXUUHQWDSSOLFDWLRQVLQ1HWZRUNRQ&KLS´3URFHHGLQJVRIWKH,QWHUQDWLRQDO
6\PSRVLXP&RPSXWHUVDQGWKHLU$SSOLFDWLRQV-XQH
 0DUFXOHVFX5-+XDQG8<2JUDV³.H\UHVHDUFKSUREOHPVLQ1R&GHVLJQDKROLVWLF
SHUVSHFWLYH´7KLUG,((($&0,),3,QWHUQDWLRQDO&RQIHUHQFHRQ+DUGZDUH6RIWZDUH
&RGHVLJQDQG6\VWHP6\QWKHVLV &2'(6,666  6HS
 0DUFKDO3'9HUNHVW$6KLFNRYD)&DWKRRUDQG$/HUR\$³6SDWLDOGLYLVLRQ
PXOWLSOH[LQJDQRYHODSSURDFKIRUJXDUDQWHHGWKURXJKSXWRQQRFV´7KLUG,((($&0,),3
,QWHUQDWLRQDO&RQIHUHQFHRQ+DUGZDUH6RIWZDUH&RGHVLJQDQG6\VWHP6\QWKHVLV



&2'(6,666 6HS
 0HOOR$/7HGHVFR1&DOD]DQVDQG)0RUDHV³(YDOXDWLRQRIFXUUHQW4R6PHFKDQLVPV
LQQHWZRUNRQFKLS´,QWO6\PSRVLXPRQ62&1RY
 0LFKHORJLDQQDNLV*'6DQFKH]:-'DOO\DQG&.R]\UDNLV³(YDOXDWLQJ%XIIHUOHVV
)ORZ&RQWUROIRU2Q&KLS1HWZRUNV´3URF1HWZRUNRQ&KLSV0D\
 0LOOEHUJ 0 1LOVVRQ ( 7KLG 5 .XPDU 6 -DQWVFK $ ³ 7KH QRVWUXP EDFNERQH
FRPPXQLFDWLRQ SURWRFROV VWDFN IRU QHWZRUNV RQ FKLS´ 3URFHHGLQJV RI ,((( &RPSXWHU
6RFLHW\,QWHUQDWLRQDO&RQIHUHQFHRQ9/6,'HVLJQ-DQ
 0LOOEHUJ057(1LOVVRQDQG$-DQWVFK³*XDUDQWHHGEDQGZLGWKXVLQJORRSHG
FRQWDLQHUVLQWHPSRUDOO\GLVMRLQWQHWZRUNVZLWKLQWKH1RVWUXPQHWZRUNRQFKLS´
3URFHHGLQJV'HVLJQ$XWRPDWLRQDQG7HVWLQ(XURSH&RQIHUHQFHDQG([KLELWLRQ)HE
 0RQGLQHOOL)0%RUJDWWLDQG=9DMQD³$XP*EVFKDQQHOVWRUHDQGIRUZDUG
QHWZRUNRQFKLS´3URF6\VWHP2Q&KLS&RQIHUHQFH6HS
 0RUDHV)1&DOD]DQV$0HOOR/0RROHUDQG/RVW³+HUPHVDQLQIUDVWUXFWXUHIRUORZ
DUHDRYHUKHDGSDFNHWVZLWFKLQJQHWZRUNVRQFKLS´,QWHJUDWLRQWKH9/6,-RXUQDOYRO
QRSS±2FW
 0RUJHQVKWHLQ$,&LGRQ$.RORGQ\DQG5*LQRVDU³&RPSDUDWLYHDQDO\VLVRIVHULDOYV
SDUDOOHOOLQNVLQQRF´LQ,QWO6\PSRVLXPRQ6\VWHPRQ&KLS1RY
 0RVFLEURGD 7DQG 2 0XWOX ³$ FDVH IRU EXIIHUOHVV URXWLQJ LQ RQFKLS QHWZRUNV´
,QWHUQDWLRQDO6\PRVLXPRQ&RPSXWHU$UFKHWFWXUH-XQH
 0XOOLQV5$:HVWDQG60RRUH³7KHGHVLJQDQGLPSOHPHQWDWLRQRIDORZODWHQF\RQ
FKLSQHWZRUN´3URF$VLDDQG6RXWK3DFLILF&RQIHUHQFHRQ'HVLJQ$XWRPDWLRQ-DQ
 0XUDOL677KHRFKDULGHV19LMD\DNULVKQDQ0-,UZLQ/%HQLQL*'H0LFKHOHL
³$QDO\VLVRIHUURUUHFRYHU\VFKHPHVIRUQHWZRUNVRQFKLSV´,((('HVLJQDQGWHVW9RO
1RSS±
 1LFRSRXORV&3DUN'.LP-9LMD\NULVKQDP1<RXVLI06'DV&5³9L&KD5
D G\QDPLF YLUWXDO FKDQQHO UHJXODWRU IRU 1HWZRUNRQ&KLS URXWHU´ 3URFHHGLQJV RI WKH
,QWHUQDWLRQDO6\PSRVLXPRQ0LFURDUFKLWHFWXUH'HFPEHU
 1LOVVRQ ( DQG - 2EHUJ ³3DQDFHD  D FDVH VWXG\ RQ WKH SDQDFHD QRF  D QRVWUXP QH Ž
WZRUNRQFKLSSURWRW\SH´5R\DO,QVWLWXWHRI7HFKQRORJ\7HFK5HS$SU




 1XUPL-+7HQKXQHQ-,VRDKRDQG$-DQWVFK(GV³,QWHUFRQQHFW&HQWULF'HVLJQIRU
$GYDQFHG6R&DQG1R&´.OXZHU$FDGHPLF3XEOLVKHUV
 2JJ(9DOOL&'¶$OHVVDQGUR$<DNRYOHY%$O+DVKLPLDQG/%HQLQL³5HGXFLQJ
LQWHUFRQQHFWFRVWLQQRFWKURXJKVHULDOL]HGDV\QFKURQRXVOLQNV´)LUVW,QWHUQDWLRQDO
6\PSRVLXPRQ1HWZRUNVRQ&KLS0D\
 2JUDV8<50DUFXOHVFX+*/HH1&KDQJ³&RPPXQLFDWLRQDUFKLWHFWXUH
RSWLPL]DWLRQPDNLQJWKHVKRUWHVWSDWKVKRUWHULQUHJXODUQHWZRUNVRQFKLS´3URFHHGLQJVRI
WKH'HVLJQ$XWRPDWLRQ 7HVWLQ(XURSH&RQIHUHQFH0DU
 2ZHQV-:-'DLO\'1-D\DVLPKD6:.HFNOHUDQG/63HK³5HVHDUFKFKDOOHQJHVIRU
RQFKLSLQWHUFRQQHFWLRQQHWZRUNV´,(((0LFUR9RO1RSS±6HS2FW
 3DQGH33**UHFX$,YDQRYDQG*'0LFKHOH³'HVLJQV\QWKHVLVDQGWHVWRIQHWZRUNV
RQFKLSV´,((('HV7HVW&RPSXW9RO1RSS±$XJ
 3DQGH33**UHFX0-RQHV$,YDQRYDQG56DOKH³3HUIRUPDQFH HYDOXDWLRQ
DQG GHVLJQ WUDGHRIIV IRU QHWZRUNRQFKLS LQWHUFRQQHFWDUFKHWHFWXUHV
,(((7UDQV&RPSXWHUV9RO1RSS±$XJ
 3DQGH33&6*UHVX$,YRQRYDQG56DOHK³6ZLWFKEDVHGLQWHUFRQQHFWDUFKLWHFWXUHIRU
IXWXUHV\VWHPVRQFKLS´3URFRQ9/6,&LUFXLWVDQG6\VWHPV0D\
 3DXOLQ3*&3LNOLQJRWQ0/DQJHYLQ(%HQVRXGDQHDQG*1LFROHVFX³3DUDOOHO
SURJUDPPLQJPRGHOVIRUDPXOWLSURFHVVRUVRFSODWIRUPDSSOLHGWRKLJKVSHHGWUDIILF
PDQJHPHQW´,QWHUQDWLRQDO&RQIHUHQFHRQ+DUGZDUH6RIWZDUH&RGHVLJQDQG6\VWHP
6\QWKHVLV&2'(6,6666HSW
 3DYOLGLV9)DQG(*)ULHGPDQ³'WRSRORJLHVIRUQHWZRUNVRQFKLS´,(((7UDQV
9/6,6\VW9RO1R
 3HK/6DQG:-'DOO\³$GHOD\PRGHOIRUURXWHUPLFURDUFKLWHFWXUHV´,(((0LFUR
9RO,VVXHSS±-DQ)HE
 3HQROD]]L6DQG$-DQWVFK³$KLJKOHYHOSRZHUPRGHOIRUWKH1RVWUXP1R&´
3URF&RQIHUHQFHRQ'LJLWDO6\VWHP'HVLJQ$XJ
 5DGXOHVFX$-'LHOLVVHQ6*3HVWDQD23*DQJZDO(5LMSNHPD3:LHODJHDQG
.*RRVHQV³$QHIILFLHQWRQFKLS1,RIIHULQJJXDUDQWHHGVHUYLFHVVKDUHGPHPRU\
DEVWUDFWLRQDQGIOH[LEOHQHWZRUNFRQILJXUDWLRQ´,(((7UDQV&RPSXWHU$LGHG'HVLJQRI
,QWHJUDWHG&LUFXLWVDQG6\VWHPV9RO1RSS±-DQ



 5DKPDQL$0/DWLI.9DGGLQD.5/LOMHEHUJ33ORVLOD-7HQKXQHQ+³
&RQJHVWLRQDZDUHIDXOWWROHUDQWDQGWKHUPDOO\HIILFLHQWLQWHUOD\HUFRPPXQLFDWLRQVFKHPH
IRUK\EULG1R&EXV'DUFKLWHFWXUHV´3URFHHGLQJVRIWKHWK$&0,(((,QWHUQDWLRQDO
6\PSRVLXPRQ1HWZRUNVRQ&KLS0D\
 5DPDNULVKQD0*UDW]36SULQWVRQ$³*&$*OREDOFRQJHVWLRQDZDUHQHVVIRUORDG
EDODQFHLQ1HWZRUNRQ&KLS´3URFHHGLQJVRIWKH,(((,QWHUQDWLRQDO6\PSRVLXP1R&
7HPSH$SULO
 5LFKDUGVRQ7&1LFRSRXORV'3DUN91DUD\DQDQ<;LH&'DVDQG9'HJODKDO³$
K\EULG6R&LQWHUFRQQHFWZLWKG\QDPLF7'0$EDVHGWUDQVDFWLRQOHVVEXVHVDQGRQFKLS
QHWZRUNV´WK,QWHUQDWLRQDO&RQIHUHQFHRQ9/6,'HVLJQKHOGMRLQWO\ZLWKWK
,QWHUQDWLRQDO&RQIHUHQFHRQ(PEHGGHG6\VWHPV'HVLJQ-DQ
 5LMSNHPD(.*:*RRVHQV$5DGXOHVX-'LHOHVVHQ-:DQPHHUEHUJHQ(:LHODJDQG
(:DWHUODQGHU³7UDGHRIIVLQWKHGHVLJQRIDURXWHUZLWKERWKJXDUDQWHHGDQGEHVW
HIIRUWVHUYLFHVIRUQHWZRUNRQFKLS´'HVLJQ$XWRPDWLRQDQG7HVWLQ(XURSH&RQIHUHQFH
DQG([KLELWLRQ0DU
 5REHUW0XOOLQV$QGUHZ:HVW6LPRQ0RRUH³/RZ/DWHQF\9LUWXDO&KDQQHO5RXWHUVIRU
2Q&KLS1HWZRUNV´,QWHUQDWLRQDO6\PSRVLXPRI&RPSXWHUDUFKLWHFWXUHV-XQH
 5RVWLVODY'99\VKQD\DNRY()ULHGPDQDQG5*LQRVRU³$QDV\QFKURQRXVURXWHUIRU
PXOWLSOHVHUYLFHOHYHOVQHWZRUNVRQFKLS´WK,(((,QWHUQDWLRQDO6\PSRVLXPRQ
$V\QFKURQRXV&LUFXLWVDQG6\VWHPV0DU
 6DOPLQHQ$.XOPDODDQG7'+DPDODLQHQ³VXUYH\RIQHWZRUNRQFKLSSURSRVDOV
³ZKLWHSDSHU0DUFK
 6DOPHQLQ(7.DQJDV9/DKWLQHQ-5LKLPDNLL..XXVLOLQQD7'+DPDODLQHQ
³%HQFKPDUNLQJPHVKDQGKLHUDUFKLFDOEXVQHWZRUNVLQV\VWHPRQFKLSFRQWH[W´-RXUQDORI
6\VWHP$UFKLWHFWXUHV9RO1RSS±$XJ
 6DOPLQHQ($.XOPDODDQG7+ŽDPŽDOŽDLQHQ³2QQHWZRUNRQFKLSFRPSDULVRQ´WK
(XURPLFUR&RQIHUHQFHRQ'LJLWDO6\VWHP'HVLJQ$UFKLWHFWXUHV0HWKRGVDQG7RROV$XJ

 6DOPLQHQ(7.DQJDV7'+DPDODLQHQ-5LKLLPDNL9/DWKHQLHQDQG..XVVLOLQHHD
³+,%,FRPPXQLFDWLRQQHWZRUNIRUV\VWHPRQFKLS´-RXUQDORI9/6,6LJQDO3URFHVVLQJ
6\VWHPVIRU6LJQDO,PDJHDQG9LGHR7HFKQRORJ\9RO1RSS±0D\



 6DPXHOVVRQ+DQG6.XPDU³5LQJURDGQRFDUFKLWHFWXUH´3URF1RUFKLS&RQIHUHQFH
1RY
 6LJŽXHQ]D7RUWRVD'7$KRQHQDQG-1XUPL³,VVXHVLQWKHGHYHORSPHQWRIDSUDFWLFDO
1R&WKH3URWHRFRQFHSW´,QWHJUDWLRQWKH9/6,-RXUQDO9RO1RSS±2FW

 6DWKH6':LNOXQGDQG'/LX³'HVLJQRIDVZLWFKLQJQRGH URXWHU IRURQFKLS
QHWZRUNV´3URF$6,&2FW
 6RLQLQHQ-3$-DQWVFK0)RUVHOO$3HONRQHQ-.UHNXDQG6.XPDU³([WHQGLQJ
SODWIRUPEDVHGGHVLJQWRQHWZRUNRQFKLSV\VWHPV´3URF9/6,'HVLJQ-DQ
 6RWHULRX91$(LVOH\+:DQJ%/LDQG/63HK³3RODULV$V\VWHPOHYHO
URDGPDSSLQJWRROFKDLQIRURQFKLSLQWHUFRQQHFWLRQQHWZRUNV´,(((7UDQV9/6,6\VW9RO
1RSS±$XJ
 6\OYHVWHU'DQG..HXW]HU³,PSDFWRIVPDOOSURFHVVJHRPHWULHVRQPLFURDUFKLWHFWXUHVLQ
V\VWHPVRQDFKLS´3URF,(((9RO1RSS±$SU
 9DQJDO6-+RZDUG*5XKO6'LJKH+:LOVRQDQG-7VFKDQ]³$QWLOH6XE:
7HUD)/236SURFHVVRULQQP&026´,(((-6ROLG6WDWH&LUFXLWV9RO1RSS
±-DQ
 :DQJ/.LP+.LP(-´5HFXUVLYHSDUWLWLRQLQJPXOWLFDVWDEDQGZLGWKHIILFLHQW
URXWLQJIRUQHWZRUNVRQFKLS´,QWHUQDWLRQDO6\PSRVLXPRQ1HWZRUNVRQ&KLS6DQ'LHJR
&$0D\
 :DQJ1$6DQXVL3=KDR60RKDPHGDQG0$%D\RXPL³30&12&$SLSHOLQLQJ
PXOWLFKDQQHOFHQWUDOFDFKLQJQHWZRUNRQFKLSFRPPXQLFDWLRQDUFKLWHFWXUHGHVLJQ´3URF
6L362FW
 :DQJ;7$KRQHQDQG-1XUPL³$SSO\LQJFGPDWHFKQLTXHWRQHWZRUNRQFKLS´,(((
7UDQV9/6,6\VW9RO1RSS±2FW
 :LHODJH3DQG.*RRVVHQV³1HWZRUNVRQVLOLFRQEOHVVLQJRUQLJKWPDUH"´3URF'6'6HS

 :LNOXQG'³'HYHORSPHQWDQGSHUIRUPDQFHHYDOXDWLRQRIQHWZRUNVRQFKLS´3K'
GLVVHUWDWLRQ/LQNŽRSLQJXQLYHUVLW\/LQNŽRSLQJ6ZHGHQ$SU
 :LNOXQG'DQG'/LX³6ZLWFKHGLQWHUFRQQHFWIRUV\VWHPRQDFKLSGHVLJQV´3URF
,32FW



 :RONRWWH3*-06PLW*.5DXZHUGDDQG/7VPLW³$QHQHUJ\HIILFLHQWUHFRQILJXUDEOH
FLUFXLWVZLWFKHGQHWZRUNRQFKLS´3URF,3'36$SU
 ;X-::ROI-+HQNHODQG6&KDNUDGKDU³0HWKRGRORJ\IRUGHVLJQPRGHOLQJDQG
DQDO\VLVRIQHWZRUNVRQFKLS´3URF,6&$60D\
 =HIHULQR&0.UHXW]DQG$6XVLQ³5DVRFDURXWHUVRIWFRUHIRUQHWZRUNVRQFKLS´
3URF'$7()HE
































$SSHQLG[
$*ORVVDU\
7KHREMHFWLYHRILQFOXGLQJWKLVDSSHQGL[LVWRIDPLOLDUL]HWKHWHUPVXVHGLQWKLVERRN)RUWKLVRULJLQDOLW\
FDQQRWEHFODLPHGDVWKHVHDUHQRWXQLTXHIRUWKLVZRUN%XWLVRQHRIWKHPDQGDWHGLQDERRNUHOHYDQW
WRUHVHDUFKWRLQFOXGHWKHVHFWLRQZLWKEULHIWHUPVXVHGWKDWPD\HQKDQFHWKHXVHRIWKLVERRNPRUH

$SSOLFDWLRQ3URJUDPPH,QWHUIDFH $3, 
$QDSSOLFDWLRQ SURJUDPPLQJ LQWHUIDFH $3,  LV DFRPSXWLQJ LQWHUIDFHZKLFK GHILQHV
LQWHUDFWLRQVEHWZHHQPXOWLSOHVRIWZDUHLQWHUPHGLDULHV,WGHILQHVWKHNLQGVRIFDOOVRUUHTXHVWV
WKDWFDQEHPDGHKRZWRPDNHWKHPWKHGDWDIRUPDWVWKDWVKRXOGEHXVHGWKHFRQYHQWLRQVWR
IROORZ HWF ,W FDQ DOVR SURYLGH H[WHQVLRQ PHFKDQLVPV VR WKDW XVHUV FDQ H[WHQG H[LVWLQJ
IXQFWLRQDOLW\LQYDULRXVZD\VDQGWRYDU\LQJGHJUHHV$Q$3,FDQEHHQWLUHO\FXVWRPVSHFLILF
WRDFRPSRQHQWRULWFDQEHGHVLJQHGEDVHGRQDQLQGXVWU\VWDQGDUGWRHQVXUHLQWHURSHUDELOLW\
7KURXJKLQIRUPDWLRQKLGLQJ$3,VHQDEOHPRGXODUSURJUDPPLQJZKLFKDOORZVXVHUVWRXVHWKH
LQWHUIDFHLQGHSHQGHQWO\RIWKHLPSOHPHQWDWLRQ

$SSOLFDWLRQ6SHFLILF,QWHJUDWHGFLUFXLW $6,& 
$QDSSOLFDWLRQVSHFLILFLQWHJUDWHGFLUFXLW $6,& LVDQLQWHJUDWHGFLUFXLW ,& FKLSFXVWRPL]HG
IRUDSDUWLFXODUXVHUDWKHUWKDQLQWHQGHGIRUJHQHUDOSXUSRVHXVH)RUH[DPSOHDFKLSGHVLJQHG
WRUXQLQDGLJLWDO YRLFHUHFRUGHURUDKLJKHIILFLHQF\ELWFRLQ PLQHULVDQ $6,&$SSOLFDWLRQ
VSHFLILFVWDQGDUGSURGXFW $663 FKLSVDUHLQWHUPHGLDWHEHWZHHQ$6,&VDQGLQGXVWU\VWDQGDUG
LQWHJUDWHG FLUFXLWV OLNH WKH VHULHVRU WKH VHULHV$6,& FKLSV DUH
W\SLFDOO\IDEULFDWHGXVLQJPHWDOR[LGHVHPLFRQGXFWRU 026  WHFKQRORJ\ DV026 LQWHJUDWHG
FLUFXLWFKLSV
$V IHDWXUH VL]HV KDYH VKUXQN DQG GHVLJQ WRROV LPSURYHG RYHU WKH \HDUV WKH PD[LPXP
FRPSOH[LW\ DQGKHQFHIXQFWLRQDOLW\ SRVVLEOHLQDQ$6,&KDVJURZQIURPORJLFJDWHVWR
RYHU  PLOOLRQ 0RGHUQ $6,&V RIWHQ LQFOXGH HQWLUHPLFURSURFHVVRUVPHPRU\EORFNV
LQFOXGLQJ5205$0((3520IODVK PHPRU\DQG RWKHU ODUJH EXLOGLQJ EORFNV 6XFK DQ
$6,&LVRIWHQWHUPHGD6R& V\VWHPRQFKLS 'HVLJQHUVRIGLJLWDO$6,&VRIWHQXVHDKDUGZDUH
GHVFULSWLRQODQJXDJH +'/ VXFKDV9HULORJRU9+'/WRGHVFULEHWKHIXQFWLRQDOLW\RI$6,&V
)LHOGSURJUDPPDEOH JDWH DUUD\V )3*$  DUH WKH PRGHUQGD\ WHFKQRORJ\ IRU EXLOGLQJ
DEUHDGERDUGRUSURWRW\SHIURPVWDQGDUGSDUWVSURJUDPPDEOHORJLFEORFNVDQGSURJUDPPDEOH

ϳϴ

LQWHUFRQQHFWV DOORZ WKH VDPH )3*$ WR EH XVHG LQ PDQ\ GLIIHUHQW DSSOLFDWLRQV )RU VPDOOHU
GHVLJQVRUORZHUSURGXFWLRQYROXPHV)3*$VPD\EHPRUHFRVWHIIHFWLYHWKDQDQ$6,&GHVLJQ
HYHQ LQ SURGXFWLRQ 7KHQRQUHFXUULQJ HQJLQHHULQJ 15(  FRVWRI DQ $6,& FDQ UXQ LQWR WKH
PLOOLRQV RI GROODUV 7KHUHIRUH GHYLFH PDQXIDFWXUHUV W\SLFDOO\ SUHIHU )3*$VIRU
SURWRW\SLQJDQG GHYLFHV ZLWK ORZ SURGXFWLRQ YROXPH DQG $6,&V IRUYHU\ ODUJH SURGXFWLRQ
YROXPHVZKHUH15(FRVWVFDQEHDPRUWL]HGDFURVVPDQ\GHYLFHV
$SSOLFDWLRQ6SHFLILF6WDQGDUG3URGXFWV $663 

$SSOLFDWLRQVSHFLILF VWDQGDUG SURGXFW $663  FKLSV DUH LQWHUPHGLDWH EHWZHHQ $6,&V DQG
LQGXVWU\VWDQGDUGLQWHJUDWHGFLUFXLWVOLNHWKHVHULHVRUWKHVHULHV

$QDSSOLFDWLRQVSHFLILFVWDQGDUGSURGXFWRU$663LVDQLQWHJUDWHGFLUFXLWWKDWLPSOHPHQWVD
VSHFLILFIXQFWLRQWKDWDSSHDOVWRDZLGHPDUNHW$VRSSRVHGWR$6,&VWKDWFRPELQHDFROOHFWLRQ
RI IXQFWLRQV DQG DUH GHVLJQHG E\ RU IRU RQHFXVWRPHU $663V DUH DYDLODEOH DV RIIWKHVKHOI
FRPSRQHQWV $663V DUH XVHG LQ DOO LQGXVWULHV IURP DXWRPRWLYH WR FRPPXQLFDWLRQV$V D
JHQHUDOUXOHLI\RXFDQILQGDGHVLJQLQDGDWDERRNWKHQLWLVSUREDEO\QRWDQ$6,&EXWWKHUH
DUHVRPHH[FHSWLRQV
)RUH[DPSOHWZR,&VWKDWPLJKWRUPLJKWQRWEHFRQVLGHUHG$6,&VDUHDFRQWUROOHUFKLSIRUD
3&DQGDFKLSIRUDPRGHP%RWKRIWKHVHH[DPSOHVDUHVSHFLILFWRDQDSSOLFDWLRQ ZKLFKLV
W\SLFDORIDQ$6,& EXWDUHVROGWRPDQ\GLIIHUHQWV\VWHPYHQGRUV ZKLFKLVW\SLFDORIVWDQGDUG
SDUWV  $6,&V VXFK DV WKHVH DUH VRPHWLPHV FDOOHG DSSOLFDWLRQVSHFLILF VWDQGDUG SURGXFWV
$663V 
([DPSOHVRI$663VDUHHQFRGLQJGHFRGLQJFKLSVWDQGDORQH86%LQWHUIDFHFKLSHWF
,(((XVHG WR SXEOLVK DQ $663 PDJD]LQHZKLFK ZDV UHQDPHG WR ,((( 6LJQDO 3URFHVVLQJ
0DJD]LQHLQ
&KLS0XOWL3URFHVVRU &03 
$FKLSPXOWLSURFHVVRU &03 RUPXOWLFRUHDUFKLWHFWXUHLVDORJLFGHVLJQDUFKLWHFWXUHZKHUHE\
PXOWLSOHSURFHVVLQJXQLWV HJ&38FRUHV DUHLQWHJUDWHGRQWRDVLQJOHPRQROLWKLFLQWHJUDWHG
FLUFXLWRURQWRPXOWLSOHGLHVLQDVLQJOHSDFNDJH 

'LJLWDOVLJQDO3URFHVVRU '63 
'LJLWDOVLJQDOSURFHVVLQJ '63 LVWKHXVHRIGLJLWDOSURFHVVLQJVXFKDVE\FRPSXWHUVRUPRUH

VSHFLDOL]HGGLJLWDOVLJQDOSURFHVVRUVWRSHUIRUPDZLGHYDULHW\RIVLJQDOSURFHVVLQJRSHUDWLRQV

7KHGLJLWDO VLJQDOVSURFHVVHG LQ WKLV PDQQHU DUH D VHTXHQFH RI QXPEHUV WKDW

ϳϵ

UHSUHVHQWVDPSOHVRI DFRQWLQXRXV YDULDEOHLQ D GRPDLQ VXFK DV WLPH VSDFH RU IUHTXHQF\

,QGLJLWDOHOHFWURQLFVDGLJLWDOVLJQDOLVUHSUHVHQWHGDVDSXOVHWUDLQZKLFKLVW\SLFDOO\JHQHUDWHG

E\WKHVZLWFKLQJRIDWUDQVLVWRU

'LJLWDOVLJQDOSURFHVVLQJDQGDQDORJVLJQDOSURFHVVLQJDUHVXEILHOGVRIVLJQDOSURFHVVLQJ'63

DSSOLFDWLRQV LQFOXGHDXGLRDQGVSHHFK SURFHVVLQJVRQDUUDGDUDQG RWKHUVHQVRU

DUUD\SURFHVVLQJVSHFWUDO GHQVLW\ HVWLPDWLRQVWDWLVWLFDO VLJQDO SURFHVVLQJGLJLWDO LPDJH

SURFHVVLQJGDWD FRPSUHVVLRQYLGHR FRGLQJDXGLR FRGLQJLPDJH FRPSUHVVLRQ VLJQDO

SURFHVVLQJIRUWHOHFRPPXQLFDWLRQVFRQWUROV\VWHPVELRPHGLFDOHQJLQHHULQJDQGVHLVPRORJ\

DPRQJRWKHUV

'63FDQLQYROYHOLQHDURUQRQOLQHDURSHUDWLRQV1RQOLQHDUVLJQDOSURFHVVLQJLVFORVHO\UHODWHG

WRQRQOLQHDU V\VWHP LGHQWLILFDWLRQ>@DQG FDQ EH LPSOHPHQWHG LQ WKHWLPHIUHTXHQF\

DQGVSDWLRWHPSRUDOGRPDLQV

7KHDSSOLFDWLRQRIGLJLWDOFRPSXWDWLRQWRVLJQDOSURFHVVLQJDOORZVIRUPDQ\DGYDQWDJHVRYHU

DQDORJSURFHVVLQJLQPDQ\DSSOLFDWLRQVVXFKDVHUURUGHWHFWLRQDQGFRUUHFWLRQLQWUDQVPLVVLRQ

DV ZHOO DVGDWD FRPSUHVVLRQ 'LJLWDO VLJQDO SURFHVVLQJ LV DOVR IXQGDPHQWDO WRGLJLWDO

WHFKQRORJ\ VXFK DVGLJLWDO WHOHFRPPXQLFDWLRQDQGZLUHOHVV FRPPXQLFDWLRQV'63 LV

DSSOLFDEOHWRERWKVWUHDPLQJGDWDDQGVWDWLF VWRUHG GDWD

'HDGORFN3UHYHQWLRQ'DWD%DUULHU '$'% 
$GHDGORFNLV D VLWXDWLRQ LQ ZKLFK WZR FRPSXWHU SURJUDPV VKDULQJ WKH VDPH UHVRXUFH DUH
HIIHFWLYHO\ SUHYHQWLQJ HDFK RWKHU IURP DFFHVVLQJ WKH UHVRXUFH UHVXOWLQJ LQ ERWK SURJUDPV
FHDVLQJWRIXQFWLRQ7KHHDUOLHVWFRPSXWHURSHUDWLQJV\VWHPVUDQRQO\RQHSURJUDPDWDWLPH
7KLVOHGWRWKHSUREOHPRIWKHGHDGORFNGHDGORFNKDVIROORZLQJFKDUDFWHULVWLFV
0XWXDO([FOXVLRQ+ROGDQG:DLW1RSUHHPSWLRQDQG&LUFXODUZDLW

'HDGORFN 3UHYHQWLRQ :H FDQ SUHYHQW 'HDGORFN E\ HOLPLQDWLQJ DQ\ RI WKH DERYH IRXU
FRQGLWLRQVRIGHDGORFN
(OLPLQDWH0XWXDO([FOXVLRQ,WLVQRWSRVVLEOHWRGLVVDWLVI\WKHPXWXDOH[FOXVLRQEHFDXVHVRPH
UHVRXUFHVVXFKDVWKHWDSHGULYHDQGSULQWHUDUHLQKHUHQWO\QRQVKDUHDEOH

ϴϬ

(OLPLQDWH+ROGDQGZDLW
L $OORFDWHDOOUHTXLUHGUHVRXUFHVWRWKHSURFHVVEHIRUHWKHVWDUWRILWVH[HFXWLRQWKLVZD\KROG
DQG ZDLW FRQGLWLRQ LV HOLPLQDWHG EXW LW ZLOO OHDG WR ORZ GHYLFH XWLOL]DWLRQ IRU H[DPSOH LI D
SURFHVV UHTXLUHV SULQWHU DW D ODWHU WLPH DQG ZH KDYH DOORFDWHG SULQWHU EHIRUH WKH VWDUW RI LWV
H[HFXWLRQSULQWHUZLOOUHPDLQEORFNHGWLOOLWKDVFRPSOHWHGLWVH[HFXWLRQ
LL  7KH SURFHVV ZLOO PDNH D QHZ UHTXHVW IRU UHVRXUFHV DIWHU UHOHDVLQJ WKH FXUUHQW VHW RI
UHVRXUFHV7KLVVROXWLRQPD\OHDGWRVWDUYDWLRQ
LLL (OLPLQDWH1R3UHHPSWLRQ3UHHPSWUHVRXUFHVIURPWKHSURFHVVZKHQUHVRXUFHVUHTXLUHG
E\RWKHUKLJKSULRULW\SURFHVVHV
 LY (OLPLQDWH&LUFXODU:DLW
(DFKUHVRXUFHZLOOEHDVVLJQHGZLWKDQXPHULFDOQXPEHU$SURFHVVFDQUHTXHVWWKHUHVRXUFHV
LQFUHDVLQJGHFUHDVLQJ RUGHU RI QXPEHULQJ )RU ([DPSOH LI 3 SURFHVV LV DOORFDWHG 5
UHVRXUFHVQRZQH[WWLPHLI3DVNIRU55OHVVHUWKDQ5VXFKUHTXHVWZLOOQRWEHJUDQWHG
RQO\UHTXHVWIRUUHVRXUFHVPRUHWKDQ5ZLOOEHJUDQWHG
'DWDEDUULHU
'DWD6\QFKURQL]DWLRQ%DUULHU '6% 7KLVLVXVHGDIWHUHQDEOLQJWKH038WRHQVXUHWKDWWKH
VXEVHTXHQW ,6% LQVWUXFWLRQ LV H[HFXWHG RQO\ DIWHU WKH ZULWH WRWKH 038 &RQWURO 5HJLVWHU LV
FRPSOHWHG 7KLV DOVR HQVXUHV DOO VXEVHTXHQW GDWD WUDQVIHUV XVH WKH QHZ 038 VHWWLQJV
,QVWUXFWLRQ6\QFKURQL]DWLRQ%DUULHU ,6% 
'LPHQVLRQDORUGHUURXWLQJ '25 
&RPPRQDSSURDFKWRURXWLQJIRUNDU\QFXEHV

.QRZQDV

x ;<URXWLQJ RU ; < IRU'WRULDQGPHVKHV


x HFXEHURXWLQJIRUK\SHUFXEHV

'LPHQVLRQVRINDU\QFXEHSODFHGLQWRRUGHU

3DFNHWILUVWURXWHGWRFRUUHFWSRVLWLRQLQKLJKHUGLPHQVLRQEHIRUHDWWHPSWLQJWRURXWHLQQH[W
GLPHQVLRQ

)RUH[DPSOHLQD'PHVKURXWHILUVWLQ;GLPHQVLRQWKHQLQ<GLPHQVLRQ

)LUVWLQ)LUVWRXW ),)2 

ϴϭ

),)2±DQDFURQ\PIRUILUVWLQILUVWRXW±LQFRPSXWLQJDQGLQV\VWHPVWKHRU\LVDPHWKRGIRU
RUJDQLVLQJWKHPDQLSXODWLRQRIDGDWDVWUXFWXUH±RIWHQVSHFLILFDOO\DGDWDEXIIHU±ZKHUHWKH
ROGHVW ILUVW HQWU\RU KHDG RIWKHTXHXHLVSURFHVVHGILUVW
6XFK SURFHVVLQJ LV DQDORJRXV WR VHUYLFLQJ SHRSOH LQ DTXHXH DUHDRQ DILUVWFRPH ILUVW
VHUYHGEDVLVLQWKHVDPHVHTXHQFHLQZKLFKWKH\KDGDUULYHGDWWKHTXHXH VWDLO
)&)6LVDOVRWKHMDUJRQWHUPIRUWKH),)2RSHUDWLQJV\VWHPVFKHGXOLQJDOJRULWKPZKLFKJLYHV
HYHU\SURFHVVFHQWUDOSURFHVVLQJXQLW &38 WLPHLQWKHRUGHULQZKLFKLWLVGHPDQGHG),)2 V
RSSRVLWHLV/,)2ODVWLQILUVWRXWZKHUHWKH\RXQJHVWHQWU\RU WRSRIWKHVWDFN LVSURFHVVHG
ILUVW$SULRULW\TXHXHLVQHLWKHU),)2QRU/,)2EXWPD\DGRSWVLPLODUEHKDYLRUWHPSRUDULO\RU
E\GHIDXOW4XHXHLQJWKHRU\HQFRPSDVVHVWKHVHPHWKRGVIRUSURFHVVLQJGDWDVWUXFWXUHVDVZHOO
DVLQWHUDFWLRQVEHWZHHQVWULFW),)2TXHXHV
)DVW)RXULHUWUDQVIRUP ))7 

$IDVW )RXULHU WUDQVIRUP ))7  LV DQDOJRULWKPWKDW FRPSXWHV WKHGLVFUHWH )RXULHU

WUDQVIRUP ')7 RIDVHTXHQFHRULWVLQYHUVH ,')7 )RXULHUDQDO\VLVFRQYHUWVDVLJQDOIURP

LWVRULJLQDOGRPDLQ RIWHQWLPHRUVSDFH WRDUHSUHVHQWDWLRQLQWKHIUHTXHQF\GRPDLQDQGYLFH

YHUVD7KH')7LVREWDLQHGE\GHFRPSRVLQJDVHTXHQFHRIYDOXHVLQWRFRPSRQHQWVRIGLIIHUHQW

IUHTXHQFLHV7KLV RSHUDWLRQ LV XVHIXO LQ PDQ\ ILHOGV EXW FRPSXWLQJ LW GLUHFWO\ IURP WKH

GHILQLWLRQ LV RIWHQ WRR VORZ WR EH SUDFWLFDO $Q ))7 UDSLGO\ FRPSXWHV VXFK WUDQVIRUPDWLRQV

E\IDFWRUL]LQJWKH')7 PDWUL[LQWR D SURGXFW RIVSDUVH PRVWO\ ]HUR  IDFWRUV$V D UHVXOW LW

PDQDJHV WR UHGXFH WKHFRPSOH[LW\RI FRPSXWLQJ WKH ')7 IURP 2 1  ZKLFK DULVHV LI RQH

VLPSO\DSSOLHVWKHGHILQLWLRQRI')7WR 21O2J1 ZKHUH1LVWKHGDWDVL]H7KHGLIIHUHQFHLQ

VSHHG FDQ EH HQRUPRXV HVSHFLDOO\ IRU ORQJ GDWD VHWV ZKHUH1PD\ EH LQ WKH WKRXVDQGV RU

PLOOLRQV,QWKHSUHVHQFHRIURXQGRIIHUURUPDQ\))7DOJRULWKPVDUHPXFKPRUHDFFXUDWHWKDQ

HYDOXDWLQJWKH')7GHILQLWLRQGLUHFWO\RULQGLUHFWO\7KHUHDUHPDQ\GLIIHUHQW))7DOJRULWKPV

EDVHGRQDZLGHUDQJHRISXEOLVKHGWKHRULHVIURPVLPSOHFRPSOH[QXPEHUDULWKPHWLFWRJURXS

WKHRU\DQGQXPEHUWKHRU\

)DVW )RXULHU WUDQVIRUPV DUH ZLGHO\ XVHG IRUDSSOLFDWLRQVLQ HQJLQHHULQJ PXVLF VFLHQFH DQG

PDWKHPDWLFV7KHEDVLFLGHDVZHUHSRSXODUL]HGLQEXWVRPHDOJRULWKPVKDGEHHQGHULYHG

ϴϮ

DVHDUO\DV,Q*LOEHUW6WUDQJGHVFULEHGWKH))7DVWKHPRVWLPSRUWDQWQXPHULFDO

DOJRULWKPRI RXU OLIHWLPHDQG LW ZDV LQFOXGHG LQ 7RS  $OJRULWKPV RI WK &HQWXU\ E\

WKH,(((PDJD]LQHFRPSXWLQJLQ6FLHQFH (QJLQHHULQJ

7KH EHVWNQRZQ ))7 DOJRULWKPV GHSHQG XSRQ WKHIDFWRUL]DWLRQRI1 EXW WKHUH DUH ))7V

ZLWK2 1ORJ1 FRPSOH[LW\IRUDOO1HYHQIRUSULPH10DQ\))7DOJRULWKPVRQO\GHSHQGRQ

WKHIDFWWKDWH[S Mʌ1 LVDQ1WKSULPLWLYHURRWRIXQLW\DQGWKXVFDQEHDSSOLHGWRDQDORJRXV

WUDQVIRUPVRYHUDQ\ILQLWHILHOGVXFKDVQXPEHUWKHRUHWLFWUDQVIRUPV6LQFHWKHLQYHUVH')7LV

WKH VDPH DV WKH ')7 EXW ZLWK WKHRSSRVLWH VLJQ LQ WKH H[SRQHQW DQG D 1IDFWRU DQ\ ))7

DOJRULWKPFDQHDVLO\EHDGDSWHGIRULW


)LHOGSURJUDPPDEOHDUUD\ )3*$ 

$ILHOGSURJUDPPDEOHJDWHDUUD\ )3*$ LVDQLQWHJUDWHGFLUFXLWGHVLJQHGWREHFRQILJXUHGE\


D FXVWRPHU RU D GHVLJQHU DIWHU PDQXIDFWXULQJ± KHQFH WKH WHUP ILHOGSURJUDPPDEOH 7KH
)3*$ FRQILJXUDWLRQ LV JHQHUDOO\ VSHFLILHG XVLQJ DKDUGZDUH GHVFULSWLRQ ODQJXDJH +'/ 
VLPLODUWRWKDWXVHGIRUDQDSSOLFDWLRQVSHFLILFLQWHJUDWHGFLUFXLW $6,& &LUFXLWGLDJUDPVZHUH
SUHYLRXVO\ XVHG WR VSHFLI\ WKH FRQILJXUDWLRQ EXW WKLV LV LQFUHDVLQJO\ UDUH GXH WR WKH DGYHQW
RIHOHFWURQLFGHVLJQDXWRPDWLRQWRROV


$6SDUWDQ)3*$IURP;LOLQ[
)3*$V FRQWDLQ DQ DUUD\ RISURJUDPPDEOHORJLF EORFNV DQG D KLHUDUFK\ RI UHFRQILJXUDEOH
LQWHUFRQQHFWVWKDWDOORZWKHEORFNVWREHZLUHGWRJHWKHUOLNH PDQ\ORJLFJDWHVWKDWFDQEH
LQWHUZLUHG LQ GLIIHUHQW FRQILJXUDWLRQV/RJLF EORFNVFDQ EH FRQILJXUHG WR SHUIRUP
FRPSOH[FRPELQDWLRQDO IXQFWLRQVRU PHUHO\ VLPSOHORJLF JDWHVOLNH$1'DQG;25 ,Q PRVW

ϴϯ

)3*$VORJLFEORFNVDOVRLQFOXGHPHPRU\HOHPHQWVZKLFKPD\EHVLPSOHIOLSIORSVRUPRUH
FRPSOHWHEORFNVRIPHPRU\0DQ\)3*$VFDQEHUHSURJUDPPHGWRLPSOHPHQWGLIIHUHQWORJLF
IXQFWLRQVDOORZLQJ IOH[LEOHUHFRQILJXUDEOH FRPSXWLQJDV SHUIRUPHG LQFRPSXWHU VRIWZDUH
)3*$VKDYHDUHPDUNDEOHUROHLQWKHHPEHGGHGV\VWHPGHYHORSPHQWGXHWRFDSDELOLW\WRVWDUW
V\VWHP VRIWZDUH 6:  GHYHORSPHQW VLPXOWDQHRXVO\ ZLWK KDUGZDUH +:  HQDEOH V\VWHP
SHUIRUPDQFHVLPXODWLRQVDWDYHU\HDUO\SKDVHRIWKHGHYHORSPHQWDQGDOORZYDULRXVV\VWHP
SDUWLWLRQLQJ 6:DQG+: WULDOVDQGLWHUDWLRQVEHIRUHILQDOIUHH]LQJRIWKHV\VWHPDUFKLWHFWXUH
)LUVWFRPHILUVWVHUYHG )&)6 
x -REVDUHH[HFXWHGRQILUVWFRPHILUVWVHUYHEDVLV

x ,WLVDQRQSUHHPSWLYHSUHHPSWLYHVFKHGXOLQJDOJRULWKP

x (DV\WRXQGHUVWDQGDQGLPSOHPHQW

x ,WVLPSOHPHQWDWLRQLVEDVHGRQ),)2TXHXH

x 3RRULQSHUIRUPDQFHDVDYHUDJHZDLWWLPHLVKLJK


:DLWWLPHRIHDFKSURFHVVLVDVIROORZVí 

3URFHVV :DLW7LPH6HUYLFH7LPH$UULYDO7LPH

3  

3  

ϴϰ

3  

3  

$YHUDJH:DLW7LPH   



,QSXW%XIIHUURXWHU ,%5 

5RXWHU PLFUR DUFKLWHFWXUH SOD\V D FHQWUDO UROH LQ WKH SHUIRUPDQFH RI QHWZRUNVRQFKLS
1R&V 2QFKLS URXWHUV W\SLFDOO\ KDYH EXIIHUV GHGLFDWHG WR WKHLU LQSXW RU WKH RXW SXWV RI D
URXWHUFRUUHVSRQGLQJWRDQLQSXWEXIIHUHGFKLSURXWHUVW\SLFDOO\KDYHEXIIHUVGHGLFDWHGWRWKHLU
LQSXW RU RXWSXW SRUWV IRU WHPSRUDULO\ VWRULQJ SDFNHWV LQ FDVH FRQWHQWLRQ RFFXUV RQ RXWSXW
SK\VLFDO FKDQQHOV 7KLV EXIIHULQJ FDQ EH DW WKH LQSXWV URXWHU ,%5 RU DQ RXWSXWEXIIHUHG
URXWHU 2%5 $ODUJHQXPEHURIEXIIHUTXHXHVLQWKHQHWZRUNDUHHPSW\DQGRWKHUTXHXHVDUH
PRVWO\EXV\

,QWHOOHFWXDOSURSHUW\ ,3 
,QWHOOHFWXDOSURSHUW\ ,3 UHIHUVWRFUHDWLRQVRIWKHPLQGVXFKDVLQYHQWLRQVOLWHUDU\DQGDUWLVWLF
ZRUNVGHVLJQVDQGV\PEROVQDPHVDQGLPDJHVXVHGLQFRPPHUFH

7KHVRIWZDUHFRPPXQLFDWLRQVDQGHOHFWURQLFVPDUNHWVDUHDPRQJWKHZRUOG¶VPRVWLQQRYDWLYH
DQG FRPSHWLWLYH 5REXVW FRPSHWLWLRQ PHDQV WKDWGHYHORSHUV DQG PDQXIDFWXUHUVRI VRIWZDUH
PRELOH SKRQHV JDPLQJ GHYLFHV FRPSXWHUV GLJLWDO FDPHUDV DQG RWKHU FRQVXPHU DSSOLDQFHV
PXVWOHYHUDJHWKHLULQWHOOHFWXDOSURSHUW\ ,3 ULJKWVWRVXVWDLQFRPSHWLWLYHDGYDQWDJH+RZHYHU
WKLVFDQEHGLIILFXOWDVPXFKLQQRYDWLRQWDNHVSODFHDWWKHLQWHUVHFWLRQRISDWHQWGHVLJQDQG
FRS\ULJKWODZ$OWKRXJK PXFK ODZ LV KDUPRQL]HGVLJQLILFDQWYDULDWLRQVUHPDLQ ERWK LQ ODZ
DQGLQSUDFWLFH

,QWHOOHFWXDO 3URSHUW\ LQ(OHFWURQLFV DQG 6RIWZDUHSURYLGHV SUDFWLFDO JXLGDQFH DQG DGGUHVVHV


NH\,3ODZLVVXHVLQPDMRUMXULVGLFWLRQVZRUOGZLGHZKLFKLPSDFWRQVRIWZDUHDQGHOHFWURQLFV
FRPSDQLHV

,QYHUWHGRGGHYHQ ,2( 

ϴϱ

7KH FRXSOLQJ FDSDFLWDQFHV EHWZHHQ RQFKLS EXV OLQHV EHFRPH GRPLQDQW LQ GHHSVXEPLFURQ
WHFKQRORJLHV &RGLQJ WRUHGXFHWKH VZLWFKLQJ DFWLYLW\ RI WKH LQGLYLGXDO OLQHV ZDV HQRXJK WR
UHGXFH SRZHU RQ EXVHV LQ ROGHU WHFKQRORJLHV EXW QHZ FRGLQJ WHFKQLTXHV WKDW UHGXFH WKH
FRXSOLQJ DFWLYLW\ EHWZHHQ OLQHV DUH QHHGHG IRU GHHSVXEPLFURQ EXVHV 2QH VXFK FRGLQJ
WHFKQLTXH XVHV WKH VLPSOH REVHUYDWLRQ WKDW FRXSOLQJ FDSDFLWDQFHV DUH DOZD\V FKDUJHG DQG
GLVFKDUJHGE\DFWLYLW\RQQHLJKERXULQJEXVOLQHVZKHUHRQHOLQHKDVDQRGGQXPEHUDQGWKH
RWKHUKDVDQHYHQQXPEHU LI EXVOLQHVDUHQXPEHUHG³LQRUGHU´ :HWKXVSURSRVHWRUHGXFH
WKHFRXSOLQJDFWLYLW\E\LQGHSHQGHQWO\FRQWUROOLQJWKHRGGDQGHYHQEXVOLQHVZLWKWZRVHSDUDWH
OLQHVWKH2GG,QYHUWDQG(YHQ,QYHUWOLQHUHVSHFWLYHO\:HREWDLQVLJQLILFDQWUHGXFWLRQVLQ
SRZHUVLPSO\E\FRPSDULQJWKHFRXSOLQJDFWLYLW\IRUWKHIRXUSRVVLEOHFDVHVRIWKH2GGDQG
(YHQ ,QYHUW OLQHV      DQG WKHQ FKRRVLQJ WKH YDOXH ZLWK WKH VPDOOHVW FRXSOLQJ
DFWLYLW\WRWUDQVPLWRQWKHEXV(YHQDIWHUHQFRGLQJWKHFRXSOLQJDFWLYLW\IRUDSDLURIEXVOLQHV
LVVWLOOVWURQJO\GHSHQGHQWRQWKHGDWD,QSDUWLFXODUWKHWRJJOLQJVHTXHQFHVĺDQGĺ
UHVXOWLQWLPHVPRUHFRXSOLQJHQHUJ\GLVVLSDWLRQWKDQRWKHUFRXSOLQJHYHQWV:HWKXVSURSRVH
DWDUJHWHG7ZR3KDVHWUDQVIHULQRUGHUWRUHGXFHWRWDOSRZHURQO\RQWKHSDLUVRIOLQHVWKDWFDUU\
VXFKWRJJOLQJHYHQWV

/LQN&RQWUROOHU /& 

7KLV IHDWXUHLQFUHDVHVWKHDELOLW\WRFRQQHFWWRWKH,QWHUQHWLQDVPDUWZD\URDGXVHJUDIWLQJ
WHFKQLTXHV WKURXJK WKH 9LUWXDO 6HUYHU VHUYLFH OLVWHQV 7KLV IHDWXUH VROYHV WKH SUREOHP RI
LQERXQG /RDGEDODQFLQJ DOORZV DFFHVV WR VHUYHUEDVHG DSSOLFDWLRQV LQ D YDULHW\ RI ,QWHUQHW
FRQQHFWLRQRIGLIIHUHQW,63VDQGRXWERXQGORDGEDODQFLQJDFURVVPDQ\GLIIHUHQWOLQHVIRUXVHU
RSWLPL]DWLRQDQGPRUHEXVLQHVVFRVWRIFRQYHQWLRQDO,QWHUQHWDFFHVVYLD$'6/ZLOOEHGULYLQJ
LQVWHDG RI H[SHQVLYH OHDVHG OLQH ,QFUHDVLQJ LQERXQG IHDWXUHV UHGXQGDQW FRQQHFWLRQV WR WKH
VHUYHULQVWHDGRIXVLQJ%*3/&RSHUDWLRQPHFKDQLVPLVDFRPELQDWLRQRI/70DQG*70IRU
LQERXQGWRRXWERXQG*70DQG/&GLIIHUHQWLDO/&IRUWKHORFDODVD'&DOVR*70IRUPRUH
WKDQWZR'&V

/RRNXSWDEOH /87 

,QFRPSXWHUVFLHQFHDORRNXSWDEOHLVDQDUUD\WKDWUHSODFHVUXQWLPHFRPSXWDWLRQZLWKDVLPSOHU
DUUD\ LQGH[LQJ RSHUDWLRQ 7KH VDYLQJV LQ WHUPV RI SURFHVVLQJ WLPH FDQ EH VLJQLILFDQW VLQFH
UHWULHYLQJDYDOXHIURPPHPRU\LVRIWHQIDVWHUWKDQXQGHUJRLQJDQH[SHQVLYHFRPSXWDWLRQRU

ϴϲ

LQSXWRXWSXWRSHUDWLRQ7KHWDEOHVPD\EHSUHFDOFXODWHGDQGVWRUHGLQVWDWLFSURJUDPVWRUDJH
FDOFXODWHG RUSUHIHWFKHG DVSDUWRIDSURJUDP VLQLWLDOL]DWLRQSKDVH PHPRUL]DWLRQ RUHYHQ
VWRUHGLQKDUGZDUHLQDSSOLFDWLRQVSHFLILFSODWIRUPV/RRNXSWDEOHVDUHDOVRXVHGH[WHQVLYHO\
WRYDOLGDWHLQSXWYDOXHVE\PDWFKLQJDJDLQVWDOLVWRIYDOLG RULQYDOLG LWHPVLQDQDUUD\DQGLQ
VRPHSURJUDPPLQJODQJXDJHVPD\LQFOXGHSRLQWHUIXQFWLRQV RURIIVHWVWRODEHOV WRSURFHVV
WKHPDWFKLQJLQSXW)3*$VDOVRPDNHH[WHQVLYHXVHRIUHFRQILJXUDEOHKDUGZDUHLPSOHPHQWHG
ORRNXSWDEOHVWRSURYLGHSURJUDPPDEOHKDUGZDUHIXQFWLRQDOLW\

0XOWLSURFHVVRU62& 0362& 

$ PXOWLSURFHVVRU V\VWHP RQ D FKLS 036R&  LV D V\VWHP RQ D FKLS 6R&  ZKLFK LQFOXGHV
PXOWLSOHPLFURSURFHVVRUV$VVXFKLWLVDPXOWLFRUHV\VWHPRQDFKLS

036R&V XVXDOO\ WDUJHWHG IRU HPEHGGHG DSSOLFDWLRQV ,W LV XVHG E\ SODWIRUPV WKDW FRQWDLQ
PXOWLSOH XVXDOO\ KHWHURJHQHRXV SURFHVVLQJ HOHPHQWV ZLWK VSHFLILF IXQFWLRQDOLWLHV UHIOHFWLQJ
WKH QHHG RI WKH H[SHFWHG DSSOLFDWLRQ GRPDLQ D PHPRU\ KLHUDUFK\ DQG ,2 FRPSRQHQWV $OO
WKHVH FRPSRQHQWV DUH OLQNHG WR HDFK RWKHU E\ DQ RQFKLS LQWHUFRQQHFW VXFK DV EXVHV DQG
1HWZRUNV RQ FKLS 1R&V  7KHVH DUFKLWHFWXUHV PHHW WKH SHUIRUPDQFH QHHGV RI PXOWLPHGLD
DSSOLFDWLRQVWHOHFRPPXQLFDWLRQDUFKLWHFWXUHVQHWZRUNVHFXULW\DQGRWKHUDSSOLFDWLRQGRPDLQV
ZKLOHOLPLWLQJWKHSRZHUFRQVXPSWLRQWKURXJKWKHXVHRIVSHFLDOLVHGSURFHVVLQJHOHPHQWVDQG
DUFKLWHFWXUH

1HWZRUNRQ&KLS 12& 
$QHWZRUN RQ D FKLS LV DQHWZRUNEDVHGFRPPXQLFDWLRQV VXEV\VWHPRQ DQLQWHJUDWHG
FLUFXLW PLFURFKLS  PRVW W\SLFDOO\ EHWZHHQPRGXOHVLQ DV\VWHP RQ D FKLS 6R&  7KH
PRGXOHV RQ WKH ,& DUH W\SLFDOO\ VHPLFRQGXFWRU,3 FRUHVVFKHPDWL]LQJ YDULRXV IXQFWLRQV RI
WKHFRPSXWHU V\VWHP DQG DUH GHVLJQHG WR EHPRGXODULQ WKH VHQVH RIQHWZRUN VFLHQFH 7KH
QHWZRUNRQFKLSLVDURXWHUEDVHGSDFNHWVZLWFKLQJQHWZRUNEHWZHHQ6R&PRGXOHV
1R& WHFKQRORJ\ DSSOLHV WKH WKHRU\ DQG PHWKRGV RIFRPSXWHU QHWZRUNLQJWR RQ
FKLSFRPPXQLFDWLRQDQG EULQJV QRWDEOH LPSURYHPHQWV RYHU
FRQYHQWLRQDOEXVDQGFURVVEDUFRPPXQLFDWLRQ DUFKLWHFWXUHV 1HWZRUNVRQFKLS FRPH LQ
PDQ\QHWZRUNWRSRORJLHVPDQ\RIZKLFKDUHVWLOOH[SHULPHQWDODVRI
1R&V LPSURYHWKHVFDODELOLW\RI V\VWHPVRQFKLS DQG WKHSRZHU HIILFLHQF\RI FRPSOH[ 6R&V
FRPSDUHG WR RWKHU FRPPXQLFDWLRQ VXEV\VWHP GHVLJQV $ FRPPRQ 1R& XVHG LQ
FRQWHPSRUDU\SHUVRQDO FRPSXWHUVLV DJUDSKLFV SURFHVVLQJ XQLW *38  ² FRPPRQO\ XVHG
ϴϳ

LQFRPSXWHU JUDSKLFVYLGHR JDPLQJDQGDFFHOHUDWLQJDUWLILFLDO LQWHOOLJHQFH 7KH\ DUH
DQHPHUJLQJ WHFKQRORJ\ ZLWK SURMHFWLRQV IRU ODUJH JURZWK LQ WKH QHDU IXWXUH DVPDQ\
FRUHFRPSXWHUDUFKLWHFWXUHVEHFRPHPRUHFRPPRQ
1HWZRUNLQWHUIDFH 1, 
7R SURYLGH LQGHSHQGHQF\ IURP WKH YDULRXV SODWIRUPV 6$3 KDV GHYHORSHG WKH LQWHUPHGLDWH
OD\HU1, 1HWZRUN,QWHUIDFH IRUDOOQHWZRUNFRQQHFWLRQV,WLVXVHGE\6$3URXWHUDQGDOO6$3
SURJUDPVDVZHOODVE\WKHGHYHORSPHQWNLWVIRU&3,&DQG5HPRWH)XQFWLRQ&DOO 5)& 
2GG(YHQ 2( 
7KLVWHUPLVKLJKO\JHQHUDO$VWKHZRUNKLJKO\LQFOLQHGWR9/6,FRUUHVSRQGLQJH[SODQDWLRQ
LVJLYHQKHUHDVLWVLPSOLFDWLRQ
'DWDVRUWLQJLVDQLPSRUWDQWSURFHVVLQGLJLWDOVLJQDOSURFHVVLQJ7KHUHZHUHPDQ\UHVHDUFKHV
UHODWHG WR GDWD VRUWLQJ WZR RI WKHP ZHUH DERXW SDUWLWLRQ DQG FRQFXUUHQW PHUJLQJ 3&0 
DOJRULWKP DQG %DWFKHU¶V RGGHYHQ PHUJH VRUW QHWZRUN 3&0 DOJRULWKP ZLOO GHFRPSRVH WKH
GDWDLQVHYHUDOJURXSVDQGVRUWWKHPLQWZRSKDVHVTXLFNVRUWDQGPHUJHVRUW:HFDSWXUHGDQG
PRGLILHG WKH LGHD RI 3&0 DOJRULWKP E\ HOLPLQDWLQJ XQQHFHVVDU\ SURFHVVHV ZKLFK FDQ EH
KDQGOHG GLUHFWO\ E\ %DWFKHU¶V RGGHYHQ PHUJHVRUW DUFKLWHFWXUH 9/6, GHVLJQ RI WKLV SDUDOOHO
VRUWHULVORZFRPSOH[LW\,WKDVNFORFNF\FOHVODWHQF\ZKLFKNUHSUHVHQWVWKHQXPEHURI
LWHUDWLYHVWHSVIRUHDFKNLQGRIVRUWHUEORFN RGGRUHYHQ 7KLVGHVLJQKDVEHHQV\QWKHVL]HGIRU
)3*$$OWHUD&\FORQH,,(3&)&DVWDUJHWERDUG
2XW3XWEXIIHUHGURXWHU
$QRXWSXWEXIIHULVDORFDWLRQLQPHPRU\RUFDFKHZKHUHGDWDUHDG\WREHVHHQLVKHOGXQWLOWKH
GLVSOD\GHYLFHLVUHDG\%XIIHUWXQLQJDOORZV\RXWRPRGLI\WKHZD\DURXWHUDOORFDWHVEXIIHUV
IURPLWVDYDLODEOHPHPRU\DQGKHOSVSUHYHQWSDFNHWGURSVGXULQJDWHPSRUDU\EXUVWRIWUDIILF
7RGHWHUPLQHZKHWKHU\RXUURXWHUQHHGVWRKDYHLWVEXIIHUWXQHGXVHWKHVKRZLQWHUIDFHVDQG
VKRZEXIIHUVFRPPDQGV
3UHVHOHFWRU 36 
3UHVHOHFWRU 369+)8+)  VHULHV GLJLWDOO\ WXQDEOH 5) ILOWHU   ±  0+] 7KH ILOWHU LV
HOHFWURQLFDOO\ WXQHG DQG SURYLGHV ILOWHULQJ IURP  0+] WR  0+] 7KH ILOWHU SURYLGHV
VHOHFWLYLW\RIXQGHVLUHGVLJQDOVDQGVSXULRXVZKLOHDOORZLQJWKHGHVLUHGVLJQDOWRSDVVWRWKH
V\VWHPWKURXJKWKH5)2XWSXWFRQQHFWRUZLWKPLQLPDODWWHQXDWLRQRIWKHGHVLUHGVLJQDO7XQLQJ
RIWKHILOWHULVDFFRPSOLVKHGE\VZLWFKLQJFDSDFLWRUVLQDQGRXWRIWKHWXQHGFLUFXLWVYLD3,1
GLRGHV7KH'LJLWDO&RQWUROFRQWDLQVWKHWXQLQJGDWD VWRUHGLQPHPRU\ DVZHOODVWKHGULYH
FLUFXLWU\ZKLFKWXUQVRQDQGRIIWKH3,1GLRGHVLQWKHILOWHU7KHILOWHUFDQEHFRQWUROOHGERWK
YLD6HULDODQG3DUDOOHOLQWHUIDFH

ϴϴ


3URFHVVLQJ(OHPHQWV 3( 
3URFHVVLQJ(OHPHQW 3( LVDJHQHULFWHUPIRUDQLPSOHPHQWDWLRQRIWKH$UPDUFKLWHFWXUH<RX
FDQWKLQNRID3(DVDQ\WKLQJWKDWKDVLWVRZQSURJUDPFRXQWHUDQGFDQH[HFXWHDSURJUDP

5HJLVWHUWUDQVIHUOHYHO 57/ 
,QGLJLWDOFLUFXLWGHVLJQUHJLVWHUWUDQVIHUOHYHO 57/ LVDGHVLJQDEVWUDFWLRQZKLFKPRGHOVD
V\QFKURQRXV GLJLWDO FLUFXLW LQ WHUPV RI WKH IORZ RI GLJLWDO VLJQDOV GDWD  EHWZHHQ KDUGZDUH
UHJLVWHUVDQGWKHORJLFDORSHUDWLRQVSHUIRUPHGRQWKRVHVLJQDOV

5HJLVWHUWUDQVIHUOHYHO DEVWUDFWLRQ LV XVHG LQ KDUGZDUH GHVFULSWLRQ ODQJXDJHV +'/V  OLNH
9HULORJDQG9+'/WRFUHDWHKLJKOHYHOUHSUHVHQWDWLRQVRIDFLUFXLWIURPZKLFK ORZHUOHYHO
UHSUHVHQWDWLRQVDQGXOWLPDWHO\DFWXDOZLULQJFDQEHGHULYHG'HVLJQDWWKH57/OHYHOLVW\SLFDO
SUDFWLFHLQPRGHUQGLJLWDOGHVLJQ

8QOLNHLQVRIWZDUHFRPSLOHUGHVLJQZKHQUHJLVWHUWUDQVIHUOHYHOLQWHUPHGLDWHUHSUHVHQWDWLRQLV
WKHORZHVWOHYHO57/ OHYHO LVWKHXVXDO LQSXWWKDWFLUFXLWGHVLJQHUVRSHUDWHRQDQGWKHUHDUH
PDQ\ PRUH OHYHOVWKDQ LW,QIDFWLQFLUFXLWV\QWKHVLVDQ LQWHUPHGLDWHODQJXDJHEHWZHHQWKH
LQSXWUHJLVWHUWUDQVIHUOHYHOUHSUHVHQWDWLRQDQGWKHWDUJHW QHWOLVWLVVRPHWLPHVXVHG8QOLNHLQ
QHWOLVWFRQVWUXFWVVXFKDVFHOOVIXQFWLRQVDQGPXOWLELWUHJLVWHUVDUHDYDLODEOH

6L]HRIDGDWDSDFNHW 3IOLWV 

$GDWDSDFNHWLVDXQLWRIGDWDPDGHLQWRDVLQJOHSDFNDJHWKDWWUDYHOVDORQJDJLYHQQHWZRUN
SDWK'DWDSDFNHWVDUHXVHGLQ,QWHUQHW3URWRFRO ,3 WUDQVPLVVLRQVIRUGDWDWKDWQDYLJDWHVWKH
:HEDQGLQRWKHUNLQGVRIQHWZRUNV

7KHQHHGIRUIOLWV7KDWPHDQVLWVIOLWVL]HLVELWVDQGSKLWVL]HLVELWV$OVRFRQVLGHUWKH
,%063VZLWFK,WDOVRXVHVWKHIOLWOHYHOPHVVDJHIORZFRQWUROEXWLWVIOLWVL]HLVHTXDOWRLWV
SKLWVL]HZKLFKLVVHWWRELWV

7XUQ0RGHOEDVHG)XOO\$GDSWLYH5RXWLQJ 70)$5 
$ QRYHO 7XUQ0RGHO EDVHG )XOO\$GDSWLYH5RXWLQJ 70)$5  DOJRULWKP LV SURSRVHG IRU
1HWZRUNVRQ&KLS 1R&  70)$5 UHWDLQV WKH GHDGORFNIUHH SURSHUW\ RI WUDGLWLRQDO WXUQ
PRGHO EDVHG URXWLQJ DOJRULWKPV HJ ;< 2GG(YHQ  ZKLOH DOOHYLDWLQJ UHVWULFWLRQV RQWXUQ
DQGSDWKVHOHFWLRQV-XVWOLNHWKHFXUUHQW9LUWXDO&KDQQHOEDVHG)XOO\$GDSWLYH5RXWLQJ 9&
)$5 DOJRULWKP70)$5DOORZVIXOOH[SORLWDWLRQRIDOODYDLODEOHPLQLPDOSDWKV\HW70)$5

ϴϵ

GRHV QRW XVH YLUWXDO FKDQQHOV 7KLV IXOO\ DGDSWLYH URXWLQJ FDSDELOLW\ RI 70)$5 SURPLVHV
LPSURYHGURXWLQJDGDSWLYLW\DQGHQKDQFHGOHYHORIIDXOWWROHUDQFH3UHOLPLQDU\H[SHULPHQWDO
UHVXOWV LQGLFDWH WKDW WKH 70)$5 DFKLHYHV DQ DYHUDJHG GHOD\ UHGXFWLRQ RI  DQG D
WKURXJKSXW UDWH LQFUHDVH RI  FRPSDUHG WR WKH VWDWHRIWKHDUW 1R& URXWLQJ DOJRULWKP
EDVHGRQWKH2GG(YHQWXUQPRGHO

7RSRORJ\$GMDFHQF\0DWUL[ 7$0 

7RSRORJ\LVFROOHFWLRQRIQRGHV(DFKQRGHVHQGVWKHGLVFRYHU\PHVVDJHWRDOOLWVQHLJKERUV
DQGWKHQHLJKERUVZLOOUHSO\ZLWKDQVZHUPHVVDJH7KLVLQIRUPDWLRQLVXVHGIRUFRQVWUXFWLQJ
WKH7$0 7RSRORJ\$GMDFHQF\0DWUL[ IRUWKH6SLGHUJRQDUFKLWHFWXUH 7KHDGMDFHQF\PDWUL[
LVDGLPHQVLRQDOPDWUL[UHSUHVHQWLQJHDFKRIWKHDGMDFHQWQRGHெVOLQN,WVVL]HYDULHVEDVHG
RQWKHWRWDOQXPEHURIWLOHVLQWKH6SLGHUJRQDUFKLWHFWXUH

9LUWXDODOORFDWLRQ 9$ 
6LPSOHYLUWXDOFKDQQHODOORFDWLRQIRUKLJKWKURXJKSXWDQGKLJKIUHTXHQF\RQFKLSURXWHUV
7KHUHDUHWZRQHZYLUWXDOFKDQQHODOORFDWLRQ 9$ PHFKDQLVPVWHUPHG)L[HG9&$VVLJQPHQW
ZLWK'\QDPLF9&$OORFDWLRQ )9$'$ DQG $GMXVWDEOH9& $VVLJQPHQWZLWK'\QDPLF9&
$OORFDWLRQ $9$'$ 
9LUWXDOURXWHFRQWUROOHU 95& 
7KH WHFKQLTXHV GLVFXVVHG KHUHLQ LQFOXGH DQ RIIORDG FRQWUROOHU D YLUWXDO URXWLQJ FRQWUROOHU
DQGRU YLUWXDO URXWLQJ REMHFWV ,Q VRPH LQVWDQFHV WKH YLUWXDO URXWLQJ FRQWUROOHU PD\ EH
FRQILJXUHG DQGRU SRVLWLRQHG WR SHHU FOLHQW SUHPLVHV HTXLSPHQW &3(  7KLV PD\ LQFOXGH
HVWDEOLVKLQJDQH[WHUQDOJDWHZD\SURWRFROVHVVLRQZLWK&3(DQGJHQHUDWLQJDYLUWXDOURXWLQJ
REMHFWEDVHGDWOHDVWLQSDUWRQWKHVHVVLRQ,QVRPHH[DPSOHVWKLVYLUWXDOURXWLQJREMHFWPD\
EHXVHGWRFRQILJXUHURXWHVEHWZHHQDVZLWFKDQGDYLUWXDOSULYDWHFORXG 93& DQGRUYLUWXDO
PDFKLQH 90 


ϵϬ

Buy your books fast and straightforward online - at one of world’s
fastest growing online book stores! Environmentally sound due to
Print-on-Demand technologies.
Buy your books online at
www.morebooks.shop
Kaufen Sie Ihre Bücher schnell und unkompliziert online – auf einer
der am schnellsten wachsenden Buchhandelsplattformen weltweit!
Dank Print-On-Demand umwelt- und ressourcenschonend produzi
ert.
Bücher schneller online kaufen
www.morebooks.shop
KS OmniScriptum Publishing
Brivibas gatve 197
LV-1039 Riga, Latvia [email protected]
Telefax: +371 686 204 55 www.omniscriptum.com

You might also like