Case Study: Fixing Delivery and ASN Issues for a Retail Supplier

The Challenge

A mid-sized consumer products company, supplying several major big box retailers, faced significant challenges in their logistics operations. Their ship complete compliance was averaging only 79%, leading to annual compliance penalties exceeding $380,000. Frequent delivery appointment issues and ASN accuracy problems were causing documentation failures, putting them at risk of compliance probation with two key retailers.

PiVAL’s Solution

To address these issues, the company implemented a comprehensive ship complete improvement program with the following steps:

1. Detailed Compliance Failure Analysis: Conducted an in-depth analysis to identify the root causes of compliance failures.
2. Redesigned Inventory Strategy: Developed a new inventory strategy with correlated safety stocks to ensure product availability.
3. Systematic Order Verification Protocols: Implemented protocols to systematically verify orders before shipment.
4. Retail-Specific Transportation Management: Deployed a transportation management system tailored to the needs of retail deliveries.
5. Proactive Retailer Communication Channels: Established proactive communication channels with retailers to address issues promptly.

Results After Six Months

The implementation of these strategies led to remarkable improvements:

• Ship Complete Compliance: Improved to 97.3%, significantly reducing the risk of penalties.
• Compliance Penalties: Reduced by 91%, saving substantial costs.
• Retailer Scorecard Ratings: Improved from “At Risk” to “Preferred,” enhancing the company’s reputation with key retailers.
• Overall Logistics Costs: Decreased by 4% despite increased inventory investment, demonstrating efficient cost management.
• Additional Retail Placement Opportunities: Secured new opportunities for retail placement based on compliance excellence.

By implementing a comprehensive approach to ship complete compliance, suppliers can transform a challenging mandate into a powerful competitive advantage that drives growth, profitability, and strategic retail partnership.

PiVAL Can Help with Your Ship Complete Compliance