Nonparametric data-driven learning algorithms for multilocation inventory systems

Zijun Zhong*, Zhou He

*Corresponding author for this work

Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review

Abstract

We study a multilocation inventory system with unknown demand distribution using a nonparametric approach. The system consists of multiple distribution centers and customer locations, where products are shipped from the distribution centers to fulfill customer demands. We propose a novel algorithm, DMLI, for adaptive inventory management. Under specific conditions, we establish that the average expected T-period regret of DMLI converges to the optimal rate of O(1/√T). © 2024 Elsevier B.V.
Original languageEnglish
Article number107163
JournalOperations Research Letters
Volume57
Online published22 Aug 2024
DOIs
Publication statusPublished - Nov 2024

Research Keywords

  • Multilocation inventory system
  • Nonparametric learning
  • Online convex optimization
  • Regret

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