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Progressive Hedging is a popular decomposition algorithm for solving multi-stage stochastic optimization problems. A computational bottleneck of this algorithm is that all scenario subproblems have to be solved at each iteration. In this…

Distributed, Parallel, and Cluster Computing · Computer Science 2020-09-28 Gilles Bareilles , Yassine Laguel , Dmitry Grishchenko , Franck Iutzeler , Jérôme Malick

We address the stochastic transmission expansion planning (STEP) problem under uncertainty in renewable generation capacity and demand. STEP's objective is to minimize total transmission investment and generation costs. To tackle the…

Optimization and Control · Mathematics 2026-05-12 Yure Rocha , Teobaldo Bulhões , Anand Subramanian , Joaquim Dias Garcia

The progressive hedging algorithm (PHA) is a cornerstone among algorithms for large-scale stochastic programming problems. However, its traditional implementation is hindered by some limitations, including the requirement to solve all…

Optimization and Control · Mathematics 2025-03-13 Di Zhang , Yihang Zhang , Suvrajeet Sen

Multi-stage stochastic programming is a well-established framework for sequential decision making under uncertainty by seeking policies that are fully adapted to the uncertainty. Often such flexible policies are not desirable, and the…

Optimization and Control · Mathematics 2024-08-06 Beste Basciftci , Shabbir Ahmed , Nagi Gebraeel

This paper describes the application of a Progressive Hedging (PH) algorithm to the least-cost var planning under uncertainty. The method PH is a scenario-based decomposition technique for solving stochastic programs, i.e., it decomposes a…

Optimization and Control · Mathematics 2020-04-21 Igor Carvalho , Tiago Andrade , Joaquim Dias Garcia , Maria de Lujan Latorre

We consider a risk-averse stochastic capacity planning problem under uncertain demand in each period. Using a scenario tree representation of the uncertainty, we formulate a multistage stochastic integer program to adjust the capacity…

Optimization and Control · Mathematics 2024-11-05 Xian Yu , Siqian Shen

Multi-stage stochastic optimization lies at the core of decision-making under uncertainty. As the analytical solution is available only in exceptional cases, dynamic optimization aims to efficiently find approximations but often neglects…

Optimization and Control · Mathematics 2025-08-26 Anna Timonina-Farkas

In online learning an algorithm plays against an environment with losses possibly picked by an adversary at each round. The generality of this framework includes problems that are not adversarial, for example offline optimization, or saddle…

Machine Learning · Computer Science 2021-02-04 Ryan D'Orazio , Ruitong Huang

We propose explicitly incorporating large-scale load siting into a stochastic nodal power system capacity expansion planning model that concurrently co-optimizes generation, transmission and storage expansion. The potential operational…

Optimization and Control · Mathematics 2026-04-17 Tomas Valencia Zuluaga , Simon Pang , Jean-Paul Watson

We consider a multiperiod stochastic capacitated facility location problem under uncertain demand and budget in each period. Using a scenario tree representation of the uncertainties, we formulate a multistage stochastic integer program to…

Optimization and Control · Mathematics 2022-07-19 Xian Yu , Siqian Shen

Multistage stochastic programming is a powerful tool allowing decision-makers to revise their decisions at each stage based on the realized uncertainty. However, in practice, organizations are not able to be fully flexible, as decisions…

Optimization and Control · Mathematics 2024-01-17 Sezen Ece Kayacık , Beste Basciftci , Albert H Schrotenboer , Evrim Ursavas

Stochastic gradient methods are scalable for solving large-scale optimization problems that involve empirical expectations of loss functions. Existing results mainly apply to optimization problems where the objectives are one- or two-level…

Optimization and Control · Mathematics 2018-01-15 Shuoguang Yang , Mengdi Wang , Ethan X. Fang

This paper begins with a study on the dual representations of risk and regret measures and their impact on modeling multistage decision making under uncertainty. A relationship between risk envelopes and regret envelopes is established by…

Mathematical Finance · Quantitative Finance 2020-06-16 Jie Sun , Xinmin Yang , Qiang Yao , Min Zhang

Renewable energy policies have driven the wood pellet market over the last decades worldwide. Among other factors, the return from this business depends largely on how well the producers manage the uncertainty associated with biomass yield…

Optimization and Control · Mathematics 2021-04-29 Amin Aghalari , Badr Saleh Aladwan , Bruno Silva , Shaun Tanger , Mohammad Marufuzzaman , Veera Gnaneswar Gude

We introduce Multistage Conditional Compositional Optimization (MCCO) as a new paradigm for decision-making under uncertainty that combines aspects of multistage stochastic programming and conditional stochastic optimization. MCCO minimizes…

Optimization and Control · Mathematics 2026-04-16 Buse Şen , Yifan Hu , Daniel Kuhn

Consider convex optimization problems subject to a large number of constraints. We focus on stochastic problems in which the objective takes the form of expected values and the feasible set is the intersection of a large number of convex…

Machine Learning · Statistics 2015-11-13 Mengdi Wang , Yichen Chen , Jialin Liu , Yuantao Gu

We propose a framework, called neural-progressive hedging (NP), that leverages stochastic programming during the online phase of executing a reinforcement learning (RL) policy. The goal is to ensure feasibility with respect to constraints…

Machine Learning · Computer Science 2022-03-01 Supriyo Ghosh , Laura Wynter , Shiau Hong Lim , Duc Thien Nguyen

We consider a multi-stage stochastic lot-sizing problem with service level constraints and supplier-driven product substitution. A firm has multiple products and it has the option to meet demand from substitutable products at a cost.…

Optimization and Control · Mathematics 2023-01-03 Narges Sereshti , Merve Bodur , James R. Luedtke

For minimizing a strongly convex objective function subject to linear inequality constraints, we consider a penalty approach that allows one to utilize stochastic methods for problems with a large number of constraints and/or objective…

Optimization and Control · Mathematics 2022-02-16 Meng Li , Paul Grigas , Alper Atamturk

Optimal inventory leads to stochastic optimization problems where deterministic delivery decisions have to be made in advance of stochastic demand realizations. Similarly, risk deposits have to be given before the random outcomes of…

Optimization and Control · Mathematics 2025-11-18 Andreas H. Hamel , Andreas Löhne
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