Two weeks ago, we posted about Walmart’s On Time In Full (OTIF) upcoming program changes. Since the blog post was written, a Walmart announcement from Steve Bratspies (Chief Merchandising Officer, Walmart U.S.) was released on April 9, notifying suppliers that Walmart's OTIF program for retail distribution centers was modified.
Here is a table highlighting all key modifications:
|Retail Distribution Center Compliance Framework|
|Strategic Business Units||Current||New|
|General Merchandise||2 Day OTIF||Same|
|Food||1 Day OTIF||1 Day OTIF with 1 Day Early Option|
|Consumables / Health And Wellness||1 Day OTIF|
FAQs Concerning This Latest OTIF Update:
- When does this go into effect? These changes are effective for purchase orders with a must arrive by date (MABD) on or after March 31, 2018.
- Does this change supplier MABD for purchase orders? No, MABDs will remain the same. Walmart is simply allowing the carrier to deliver a day earlier at retail distribution centers.
- Does this apply to Collect and Prepaid suppliers? Yes, it applies to both.
- Does this apply to high velocity distribution centers or perishable distribution centers? No, it applies only to deliveries into retail distribution centers.
Are you struggling to understand OTIF?
Our Retail Consolidation team at Prime Distribution Services, An Ascent Global Logistics Company, is ready to support your supply chain activities and answer any questions you have related to OTIF. Contact our team or speak with your Director of Business Development directly.
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