LLM-Based Feature Extraction for Multi-Criteria Inventory Classification

arXiv:2611.08626v1 Announce Type: new Abstract: E-commerce supply chains generate large volumes of customer feedback and operational data that remain underutilized in inventory management. Traditional inventory classification techniques such as ABC analysis rely primarily on annual dollar usage, while multi-criteria inventory classification (MCIC) methods extend this but still depend on structured quantitative data and do not utilize unstructured information available in modern supply chains. This paper proposes an LLM-based feature extraction approach that transforms unstructured sources such as customer reviews into quantitative features using vector embeddings and LLM-generated evaluation criteria.