SUPPLY CHAIN DISTRIBUTION CHANNEL :
SUPPLY CHAIN DISTRIBUTION CHANNEL :
Sutter Health on the Right Path
Before the COVID-19 pandemic struck in early 2020 , just-intime ( JIT ) manufacturing was a popular inventory management approach . The JIT model works by replenishing inventory “ just in time ” to fulfill orders , intending to have materials arrive exactly when they are needed . 1 But during and well after the pandemic , supply chain continuity was practically impossible due to shortages of raw materials and finished goods . 2
In hospitals , supply shortages can affect patient care and outcomes . So , healthcare supply chain teams got resourceful during this chaotic time . One approach was to buy directly from manufacturers . Supply chain teams reasoned that there would be a better chance of getting the supplies they needed , boosting supply or allocation continuity . And they were hearing chatter that going through a single distributor was making the process competitive and untrustworthy due to a lack of transparency . 3
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