Organizations: Nanjing University of Aeronautics and Astronautics · Security Capability Center · Nanjing University · Tongji University · Shanghai Jiao Tong University
External tools can extend the capabilities of small language models (SLMs), enabling their deployment in resource constrained environments. However, their limited capabilities make it difficult for SLMs to discover effective tool use behaviors through reinforcement learning alone, while direct teacher supervision suffers from teacher student behavioral distribution mismatch and may propagate erroneous preferences. To address these challenges, we propose Selective Teacher guided Policy Optimization (SeTPO), which coordinates student exploration with selective teacher guidance and persistent demonstration supervision. Specifically, SeTPO incorporates reverse KL derived token level teacher feedback into policy advantages on low reward trajectories, while auxiliary forward KL supervision preserves teacher demonstrated behaviors throughout training. Under an idealized bidirectional KL objective, we theoretically establish that the optimal policy achieves expected reward no lower than the teacher's while retaining a guaranteed fraction of the teacher's probability mass. Extensive experiments on BFCL v4 and API Bank demonstrate that SeTPO achieves superior overall performance over supervised fine tuning, reinforcement learning, and distillation baselines across all three student scales.
Figures & tables
Figure 1: Motivation for coordinating supervision in tool learning for small language models. Top: a schematic weather-tool example comparing SFT, GRPO-based RL, the pure OPD baseline used here, and SeTPO . Bottom: BFCL-v4 scores for Qwen2.5-0.5B.
Figure 2: Overview of SeTPO . Selective online teacher guidance and auxiliary supervision from complete teacher trajectories jointly support policy optimization. A composite checker selects low-reward student trajectories for teacher scoring; token-wise log-probability discrepancies refine their GRPO advantages. Both probabilities are evaluated for the same sampled token under the student’s prefix.
Method
BFCL-v4
API-Bank
Always-on guidance
16.51
39.53
Random intervention
13.29
42.21
SeTPO
18.99
46.06
Table 2: Comparison of online teacher-intervention strategies for Qwen2.5-0.5B on BFCL-v4 and API-Bank. The variants retain the same formulation of teacher feedback and other training components, while applying guidance to all trajectories, a random subset, or low-reward trajectories. The best result on each benchmark is shown in bold.
Figure 3: Teacher-intervention rate during SeTPO training. The inset shows the validation reward.
Figure 4: Performance of a Qwen2.5-0.5B student guided by teachers of different sizes across four benchmarks.
Figure 5: Counts of tool-selection and argument-construction errors for Qwen2.5-0.5B on BFCL-v4. Blue and coral denote the comparison model without online teacher guidance and SeTPO , respectively.
Method
BFCL-v4
API-Bank
SeTPO
18.99
46.06
Trajectory-level signal
7.79 (-11.20)
32.50 (-13.56)
w/o SFT loss
16.05 (-2.94)
37.35 (-8.71)
w/o Online Teacher
10.78 (-8.21)
39.36 (-6.70)
GRPO+OPD
15.85 (-3.14)
45.23 (-0.83)
Table 4: Ablation results on BFCL-v4 and API-Bank. Values in parentheses indicate the percentage-point change relative to SeTPO .
Figure 6: Training dynamics of SeTPO with and without the auxiliary SFT loss: (a) correctness reward and (b) format reward.
Appendix figures & tables4 assets
Supplementary material from the paper’s appendix.
Appendix
Hyperparameter
Value
Learning Rate
2×10−5
LR Scheduler
Cosine
Total Epochs
3
Global Batch Size
32
Micro Batch Size / GPU
4
Max Sequence Length
4096
Appendix
Table 5: Cold-start initialization settings.
Hyperparameter
Value
Precision
Bfloat16
LoRA Rank ( r )
32
LoRA Alpha ( α )
64
Actor Learning Rate
2×10−5
GRPO Group Size ( G )
4
RL Total Epochs
15
Appendix
Table 6: SeTPO policy-optimization settings.
Parameter
Value
BFCL-v4
API-Bank
γ
3.0
6.19
35.18
3.5
17.34
43.55
3.9
17.66
43.07
3.99
18.99
46.06
β
0.5
17.69
45.39
1.0
18.99
46.06
Appendix
Table 7: Hyperparameter sensitivity for the Qwen2.5-0.5B student. The best result in each column within each parameter group is bolded.
Teacher Model
BFCL-v4
API-Bank
GSM8K
HotpotQA
Qwen2.5-0.5B
16.73
38.53
30.55
23.0
Qwen2.5-1.5B
18.99
46.06
38.51
35.0
Qwen2.5-3B
17.52
42.04
31.77
35.0
Qwen2.5-7B
12.93
31.16
35.10
29.0
Appendix
Table 8: Performance of the Qwen2.5-0.5B student under teachers of different model scales.
On-policy self-distillation (OPSD) has emerged as a practical method for training large language models (LLMs) to reason, where a single model acts as both the teacher and the student with different levels of information access. However, recent studies have found that the teacher's dense token-level supervision, conditioned on privileged information, can lead to overfitting to in-domain patterns, suppress exploration, and hurt cross-domain generalization, while also introducing a more fundamental issue: privileged information leakage, where the student encodes answer-dependent shortcuts that are unavailable at test time. We introduce DemoPSD, a novel framework that resolves such problems through the idea of selective adoption of teacher guidance. Instead of fitting the full teacher distribution, DemoPSD steers the student toward a reverse-KL barycenter target, a weighted geometric combination of the teacher and student distributions, that naturally balances learning from the teacher with preserving the student's own reasoning capacity. We measure the difference between their distributions and use such a discrepancy to adaptively control the blending at each token position. We provably show that DemoPSD achieves (1)leakage attenuation, i.e., effective mitigation of privileged information leakage; and (2)exploration preservation, i.e., preservation of exploration capacity under dense token-level distillation. Extensive experiments on SciKnowEval across four scientific fields show that DemoPSD outperforms both GRPO and SDPO while maintaining higher training entropy and robustly generalizing to out-of-distribution GPQA benchmarks.
Yunhe Li, Hao Shi, Wenhao Liu +5
1City University of Hong Kong · 2Tsinghua University · 3Shenzhen University of Advanced Technology +1
On-policy distillation (OPD) has become a promising paradigm for reasoning-oriented post-training of large language models (LLMs), especially when combined with reinforcement learning from verifiable rewards (RLVR). Existing OPD methods rely on reverse KL (RKL)-based teacher supervision over trajectories sampled from the student policy. However, we identify a critical limitation: under large teacher--student policy divergence, RL-driven exploration often produces trajectories outside the teacher distribution, resulting in uninformative negative feedback. To address this, we propose Teacher-Guided Policy Optimization (TGPO), an on-policy reasoning distillation method that remains effective under large policy divergence settings. Rather than relying solely on evaluative supervision, TGPO uses teacher to directly guide token level generation conditioning on student-generated contexts; together with RLVR-style trajectory level rewards, TGPO steers exploration toward improved continuations. Experiments on reasoning benchmarks show that TGPO consistently outperforms existing RKL-based OPD methods and remains robust across different teacher models.
Xinyu Liu, Kechen Jiao, Chunyang Xiao +10
School of Computer Science and Engineering, Northeastern University, China · Tsinghua University · Meituan +2
Training high-performing Small Language Models (SLMs) remains costly, even with knowledge distillation and pruning from larger teacher models. Existing work often faces three key challenges: (1) information loss from hard pruning, (2) inefficient alignment of representations, and (3) underutilization of informative activations, particularly from Feed-Forward Networks (FFNs). To address these challenges, we introduce Low-Rank Clone (LRC), an efficient pre-training method that constructs SLMs aspiring to behavioral equivalence with strong teacher models. LRC trains a set of low-rank projection matrices that jointly enable soft pruning by compressing teacher weights, and activation clone by aligning student activations, including FFN signals, with those of the teacher. This unified design maximizes knowledge transfer while removing the need for explicit alignment modules. Extensive experiments with open-source teachers (e.g., Llama-3.2-3B-Instruct, Qwen2.5-3B/7B-Instruct) show that LRC matches or surpasses state-of-the-art models trained on trillions of tokens--while using only 20B tokens, achieving over 1,000x training efficiency. Our codes and model checkpoints are available at https://github.com/CURRENTF/LowRankClone and https://huggingface.co/collections/JitaiHao/low-rank-clone-lrc-6828389e96a93f1d4219dfaf.
Jitai Hao, Qiang Huang, Hao Liu +3
School of Intelligence Science and Engineering, Harbin Institute of Technology, Shenzhen · Baidu Inc. · Leiden University +1