A Simulation-Based Modeling Approach to Assess the Multi-Echelon Supply Chain Network Design

The modern industries are compelled to become more competitive for providing a quality product at a minimum cost. To achieve this objective, a proper assessment of the behavior of supply chain environment needs to be carried out along with proper Supply Chain Network Design (SCND). This study provides a simulation based approach for assessing the influence of the facility and product differentiation on supply chain network design with six distinctive scenarios. Furthermore, this simulation based approach can be used as a basis for making strategic decisions in the retail industry for minimizing the total distribution network cost. The findings of this study yield the appropriate number of facilities and product combinations for specific time periods and critical information to carry out Greenfield analyses.