Integrating digitally enhanced data extraction and simulation modelling for AI-driven supply chain resilience: an operational research framework for strategic stockpiling of critical minerals

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Taylor & Francis
Department of Engineering Student
https://doi.org/10.1080/01605682.2025.2612145

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Simulation modelling in Operations Research (OR) relies critically on data quality, yet multi-echelon supply chains (SC) often lack the timely, contextual information necessary for realistic model parameterisation and scenario generation. This research proposes the “Large Language Models (LLM)-Integrated Simulation Data Framework”, a domain-agnostic methodology that systematically integrates unstructured narratives with structured datasets to enhance simulation model realism and contextual relevance. The framework employs a Retrieval-Augmented Generation pipeline powered by LLMs to extract, structure, and validate intelligence from policy documents, news archives, and industry reports, transforming qualitative narratives into traceable model inputs for parameterisation, behavioural logic, and scenario specifications. We demonstrate the framework’s applicability through India’s strategic development of its lithium carbonate reserves processing 972 documents to generate 668 validated insights that inform agent behaviours, numerical parameters, and scenario specifications. The methodological contribution establishes a novel collaborative interface between OR and Generative Artificial Intelligence, demonstrating how automated extraction of contextual knowledge at scale enables the combination of quantitative baselines with qualitative intelligence to enhance simulation empirical grounding. The lithium stockpiling case validates the framework’s applicability in data-sparse, multi-echelon contexts, yielding policy insights on strategic reserve development whilst demonstrating broader applicability to geopolitically sensitive, resource-constrained SCs.
Department for Science, Innovation and Technology

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