Risk-Aware Inventory Management in Warehouses

Sector: Logistics

Lead Organisation: R&D Lab Limited 

Project Partners: NQCC

This project developed quantum and hybrid optimisation methods for warehouse inventory allocation, that balance space utilisation, retrieval efficiency, and operational risk. Insurance costs in warehouses are driven by spatially non-uniform hazards such as flood entry points, sprinkler coverage, and seismic vulnerability. By formulating this as a QUBO problem, the project benchmarks classical, quantum‑annealing, and hybrid approaches at scale. The work provides insight into the potential limitations and current utility of quantum methods for real-world logistics optimisation.