Echelon Supply Chain

Echelon supply chains, encompassing multiple stages of production and distribution, present complex inventory management challenges. Current research focuses on optimizing inventory levels and production across these stages using advanced techniques like deep reinforcement learning (DRL), employing architectures such as radial basis function networks and neural additive models to improve upon traditional methods. These efforts aim to enhance efficiency, reduce costs, and improve responsiveness to fluctuating demand, particularly in the face of uncertainty, as demonstrated by comparisons against base-stock policies and linearized models. The resulting insights are valuable for both improving theoretical understanding of multi-echelon systems and informing practical supply chain management strategies.

Papers