Rendering the supply chain more eco-friendly is an innovative idea progressively adopted by industry. Our research focuses on the CO2 emissions along the supply chain due to freight energy use and storage. A supply chain approach by using a discrete event model was developed. Our proposed tool is able to model Re Order Point production management policy (ROP). Moreover, it can consider the main demand response strategy Make To Stock (MTS). Manufacturing capability is also taken into account using an Overall Equipment Effectiveness indicator (OEE). In addition, the location of the firms and their type of products are modeled. Simulations were conducted by varying the manufacturing capacity, the type of product and the firm location in MTS environment and a ROP planning policy. The purpose is to compare supply chain CO2 emissions and financial elements of different configurations. This method is applied to mechanical and plastic industries. The principle objectives of the study are twofold: develop a supply chain simulation benchmark and conduct pertinent experiments to improve green supply chains.
