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All you need to know about supply chain disruption 

supply chain disruption is the process by which a business their products are distributed to its customers. The nature of the supply chain distribution is very subjective as it depends on the goals of the individual business. A company might sell their products directly to the customers and then some companies use a third-party method to sell their goods to the customers. If you are a business owner, you need to have a good and organized supply chain distribution system as it is the backbone of your business. 

The four channels of distribution

There are four types of ways supply chain distribution works. You can choose one according to your preference and business type.

Direct sales: In this process, the company sells goods directly from its unit to the customers. This process of sales is good for products that have a mid-price value. You need to make sure that the products should be affordable to have broad appeal. Also, the products need to have a good shelf-life.

Brokerage: This is a go-between process for retailers and the manufacturing company. For example, a company that produces edible can hire a broker to get their products to the retailer and then to the customers. The brokers do not sell the products directly, they are in charge of the sales contract. 

Wholesale: In this process, wholesalers buy products in bulk from the manufacturer and then sell the products at a high price through resellers. The wholesaler companies are at high risk because they are buying products in a bulk and not being able to sell them to the resellers, the products might get expired.

Dual Distribution: In this process, a company uses more than one process to get its products to the customers. For instance, a company can use both direct sales and brokerage processes. 

Despite being the four main channels of distribution, emerging technology, and the modern world is changing the ways products get to the customers. The key features of the ‘new supply chain distribution are:

Distribution: The way a product is moving along the chain of distribution.

Inventory management: The process that has control over how much product is moving and how much is getting stored.

Customers: The process of knowing who the real customers are and being loyal to them. No matter how much change is undergoing the supply chain distribution, staying loyal to the customers is an ethical value. 

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