arXiv subjects

Ying Rong

Publications and source records attributed to Ying Rong.

5 recordsLinked to original sources

arXiv2026

Deep Learning for Perishable Inventory Systems with Human Knowledge

Managing perishable products with limited lifetimes is a fundamental challenge in inventory management, as poor ordering decisions can quickly lead to stockouts or excessive waste. We study a perishable inventory system with random lead times in which both the demand process and the lead time distribution are unknown. We consider a practical setting where orders are placed using limited historical data together with observed covariates and current system states. To improve learning efficiency under limited data, we adopt a marginal cost accounting scheme that assigns each order a single lifetime cost and yields a unified loss function for end-to-end learning. This enables training a deep learning-based policy that maps observed covariates and system states directly to order quantities. We develop two end-to-end variants: a purely black-box approach that outputs order quantities directly (E2E-BB), and a structure-guided approach that embeds the projected inventory level (PIL) policy, capturing inventory effects through explicit computation rather than additional learning (E2E-PIL). We further show that the objective induced by E2E-PIL is homogeneous of degree one, enabling a boosting technique from operational data analytics (ODA) that yields an enhanced policy (E2E-BPIL). Experiments on synthetic and real data establish a robust performance ordering: E2E-BB is dominated by E2E-PIL, which is further improved by E2E-BPIL. Using an excess-risk decomposition, we show that embedding heuristic policy structure reduces effective model complexity and improves learning efficiency with only a modest loss of flexibility. More broadly, our results suggest that deep learning-based decision tools are more effective and robust when guided by human knowledge, highlighting the value of integrating advanced analytics with inventory theory.

cs.LG↗

arXiv2025

Synthesizing Evidence: Data-Pooling as a Tool for Treatment Selection in Online Experiments

Randomized experiments are the gold standard for causal inference but face significant challenges in business applications, including limited traffic allocation, the need for heterogeneous treatment effect estimation, and the complexity of managing overlapping experiments. These factors lead to high variability in treatment effect estimates, making data-driven policy roll out difficult. To address these issues, we introduce the data pooling treatment roll-out (DPTR) framework, which enhances policy roll-out by pooling data across experiments rather than focusing narrowly on individual ones. DPTR can effectively accommodate both overlapping and non-overlapping traffic scenarios, regardless of linear or nonlinear model specifications. We demonstrate the framework's robustness through a three-pronged validation: (a) theoretical analysis shows that DPTR surpasses the traditional difference-in-mean and ordinary least squares methods under non-overlapping experiments, particularly when the number of experiments is large; (b) synthetic simulations confirm its adaptability in complex scenarios with overlapping traffic, rich covariates and nonlinear specifications; and (c) empirical applications to two experimental datasets from real world platforms, demonstrating its effectiveness in guiding customized policy roll-outs for subgroups within a single experiment, as well as in coordinating policy deployments across multiple experiments with overlapping scenarios. By reducing estimation variability to improve decision-making effectiveness, DPTR provides a scalable, practical solution for online platforms to better leverage their experimental data in today's increasingly complex business environments.

stat.ME↗

arXiv2024

An integer programming approach for quick-commerce assortment planning

In this paper, we explore the challenge of assortment planning in the context of quick-commerce, a rapidly-growing business model that aims to deliver time-sensitive products. In order to achieve quick delivery to satisfy the immediate demands of online customers in close proximity, personalized online assortments need to be included in brick-and-mortar store offerings. With the presence of this physical linkage requirement and distinct multinomial logit choice models for online consumer segments, the firm seeks to maximize overall revenue by selecting an optimal assortment of products for local stores and by tailoring a personalized assortment for each online consumer segment. We employ an integer programming approach to solve this NP-hard problem to global optimality. In particular, we derive convex hull results to represent the consumer choice of each online segment under a general class of operational constraints, and to characterize the relation between assortment decisions and choice probabilities of products. Our convex hull results, coupled with a modified choice probability ordered separation algorithm, yield formulations that provide a significant computational advantage over existing methods. Finally, we illustrate how our convex hull results can be used to address other assortment optimization problems.

math.OC↗

arXiv2023

Mostly Beneficial Clustering: Aggregating Data for Operational Decision Making

With increasingly volatile market conditions and rapid product innovations, operational decision-making for large-scale systems entails solving thousands of problems with limited data. Data aggregation is proposed to combine the data across problems to improve the decisions obtained by solving those problems individually. We propose a novel cluster-based Shrunken-SAA approach that can exploit the cluster structure among problems when implementing the data aggregation approaches. We prove that, as the number of problems grows, leveraging the given cluster structure among problems yields additional benefits over the data aggregation approaches that neglect such structure. When the cluster structure is unknown, we show that unveiling the cluster structure, even at the cost of a few data points, can be beneficial, especially when the distance between clusters of problems is substantial. Our proposed approach can be extended to general cost functions under mild conditions. When the number of problems gets large, the optimality gap of our proposed approach decreases exponentially in the distance between the clusters. We explore the performance of the proposed approach through the application of managing newsvendor systems via numerical experiments. We investigate the impacts of distance metrics between problem instances on the performance of the cluster-based Shrunken-SAA approach with synthetic data. We further validate our proposed approach with real data and highlight the advantages of cluster-based data aggregation, especially in the small-data large-scale regime, compared to the existing approaches.

cs.LG↗

arXiv2022

A Behavioral Model for Exploration vs. Exploitation: Theoretical Framework and Experimental Evidence

How do people navigate the exploration-exploitation (EE) trade-off when making repeated choices with unknown rewards? We study this question through the lens of multi-armed bandit problems and introduce a novel behavioral model, Quantal Choice with Adaptive Reduction of Exploration (QCARE). It generalizes Thompson Sampling, allowing for a principled way to quantify the EE trade-off and reflect human decision-making patterns. The model adaptively reduces exploration as information accumulates, with the reduction rate serving as a parameter to quantify the EE trade-off dynamics. We theoretically analyze how varying reduction rates influence decision quality, shedding light on the effects of ``over-exploration'' and ``under-exploration.'' Empirically, we validate QCARE through experiments collecting behavioral data from human participants. QCARE not only captures critical behavioral patterns in the EE trade-off but also outperforms alternative models in predictive power. Our analysis reveals a behavioral tendency toward over-exploration.

math.OC↗