Table 4 Ablation Study: Impact of Forecast Type and Objective Function. This table provides the definition and description of the three policy variants used in the study: (i) P-PCTL (point forecast + percentile objective), (ii) Q-MEAN (probabilistic forecast + mean objective), and (iii) Q-PCTL (probabilistic forecast + percentile objective, ours).

From: A practical approach to replenishment optimization with extended (RsQ) policy and probabilistic models

Config

Forecast Type

Cost Objective

Description

Q-PCTL (ours)

Probabilistic

Percentile

Full model – stochastic forecast with percentile-based objective (baseline minimizing 75th percentile of cost).

P-PCTL

Point

Percentile

Deterministic forecast with objective minimizing the 75th percentile of cost.

Q-MEAN

Probabilistic

Mean

Probabilistic forecast using demand quantiles but optimizing the mean cost.