The Impact of Adaptive Regularization of the Demand Predictor on a Multistage Supply Chain Simulation
The supply chain is difficult to control, which is representative of the bullwhip effect. Its behavior under the influence of the bullwhip effect is complex, and the cost and risk are increased. This study provides an application of online learning that is effective in large-scale data processing in a supply chain simulation. Because quality of solutions and agility are required in the management of the supply chain, we have adopted adaptive regularization learning. This is excellent from the viewpoint of speed and generalization of convergence and can be expected to stabilize supply chain behavior. In addition, because it is an online learning algorithm for evaluation of the bullwhip effect by computer simulation, it is easily applied to large-scale data from the viewpoint of the amount of calculation and memory size. The effectiveness of our approach was confirmed.
KeywordsOnline learning Adaptive regularization Supply chain Inventory simulation Bullwhip effect Demand forecasting
This work was supported by JSPS KAKENHI Grant-in-Aig for Young Scientists (B) Numbers 15K1625.
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