Taiji: Pareto Optimal Policy Optimization with Semantics-IDs Trade-off for Industrial LLM-Enhanced Recommendation

Recent studies increasingly explore Large Language Models (LLMs) as a new paradigm for recommendation systems due to their scalability and world knowledge. However, existing work has three key limitations: (1) most efforts focus on retrieval and ranking, while the reranking phase, critical for refining final recommendations, is largely overlooked; (2) LLMs are typically used in zero-shot or supervised fine-tuning settings, leaving their reasoning abilities, especially those enhanced through reinforcement learning (RL) and high-quality reasoning data, underexploited; (3) items are commonly represented by non-semantic IDs, creating major scalability challenges in industrial systems with billions of identifiers. To address these gaps, we propose the Generative Reasoning Reranker (GR2), an end-to-end framework with a three-stage training pipeline tailored for reranking. First, a pretrained LLM is mid-trained on semantic IDs encoded from non-semantic IDs via a tokenizer achieving $\ge$99% uniqueness. Next, a stronger larger-scale LLM generates high-quality reasoning traces through carefully designed prompting and rejection sampling, which are used for supervised fine-tuning to impart foundational reasoning skills. Finally, we apply Decoupled Clip and Dynamic sAmpling Policy Optimization (DAPO), enabling scalable RL supervision with verifiable rewards designed specifically for reranking. Experiments on two real-world datasets demonstrate GR2's effectiveness: it surpasses the state-of-the-art OneRec-Think by 2.4% in Recall@5 and 1.3% in NDCG@5. Ablations confirm that advanced reasoning traces yield substantial gains across metrics. We further find that RL reward design is crucial in reranking: LLMs tend to exploit reward hacking by preserving item order, motivating conditional verifiable rewards to mitigate this behavior and optimize reranking performance.

Large Language Models (LLMs) have shown strong potential for recommendation by leveraging their semantic understanding and contextual modeling capabilities. Recent studies further introduce reasoning mechanisms to improve user preference modeling. However, explicit natural-language reasoning incurs substantial inference overhead, whereas existing latent reasoning methods mainly focus on generating or verifying intermediate states, leaving their layer-wise preference roles and contributions insufficiently characterized. We propose HiLaR, a Hierarchical Latent Reasoning framework with layer-aware reinforcement optimization for LLM-based recommendation. HiLaR constructs temporal-guided hierarchical user preference representations, aligns them with multiple LLM latent reasoning states, and organizes the reasoning process from broad preferences to fine-grained current intents. To further optimize the reasoning trajectory, HiLaR combines final recommendation feedback with layer-aware process rewards derived from the marginal target-likelihood gain of each state. Experiments on four Amazon benchmark datasets show that HiLaR generally outperforms strong sequential, generative, and LLM-based recommendation baselines. Ablation and sensitivity analyses further verify the contribution of hierarchical representation learning, latent alignment, and process-level optimization. Our code is available in https://github.com/hupeiyu21/HiLaR.

Large language models (LLMs) have been applied to sequential recommendation by formulating it as a natural language task. Previous work has improved personalization by incorporating collaborative and sequential signals through input conditioning or LLM fine-tuning. However, existing approaches often rely on one or more of the following: LLM fine-tuning, additional architectural modules, representation distillation, or item-level conditioning over long interaction histories, increasing training complexity and deployment cost. We propose REPREC, a lightweight framework that reformulates LLM-based sequential recommendation through lightweight user representation alignment. REPREC maps a fixed-size user embedding from a frozen sequential encoder into a small set of learned soft tokens through a lightweight MLP injector that conditions a frozen LLM, leaving both pretrained backbones unchanged while training only the injector. We conducted exhaustive experiments on multiple benchmark datasets and demonstrate that REPREC consistently outperforms LoRA while remaining compatible with different pretrained sequential encoders and LLM backbones, enabling a modular and production-friendly recommendation pipeline without modifying either pretrained component. The gains are particularly pronounced for casual and core users across all datasets, highlighting REPREC's effectiveness in low-data regimes. Finally, when trained on short prompt histories and evaluated with longer contexts, REPREC maintains 85-100% of LoRA's performance while reducing per-epoch training time by an average of 1.51X, demonstrating an effective balance between recommendation quality and computational efficiency for production deployment. The code is available at https://github.com/phdbotcode/REPREC