In supply chain management (SCM), Facility location-allocation problem (FLAP) comes under strategic planning and has been a well-established research area within Operations Research (OR). Owing to the billion dollar trade between USA-Canada the supply chain costs and difficulties are growing. Binary Integer Linear Programming (BILP) mathematical model is formulated to incorporate several parameters which would optimize the overall supply chain cost. Capacitated, single commodity, multiple time period (dynamic) and multi-facility location allocation problem is considered. Canada being a part of “The Kyoto protocol”, a part of the United Nations Framework Convention on Climate Change, has declared to abide by global effort to reduce GHG emissions. Developed math model will include an important constraint to optimize production keeping the Carbon di-oxide gas [��2] emission levels within specified limits. Simulated annealing based Meta-heuristic is developed to solve the problem to near optimality.
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