Walmart to unveil stricter on-time delivery requirements
Walmart is revising its on-time delivery goals while bringing some transparency to its supplier base, according to a report from Reuters. The changes are being announced this week at the company’s Supplier Growth Forum at its Bentonville, Ark., headquarters.
Walmart reportedly will announce changes to its delivery changes, which are aimed at boosting its revenue by $1 billion through improved product availability. Under the new rules large suppliers will be required to meet an 85% on-time goal or face a 3% fine on the cost of the goods being delivered — this an increase over the previous 75% on-time goal, the report said. Additionally, smaller suppliers will need to up their on-time deliveries from 33% to 50% or face a fine.
“We have reduced inventory in stores in order to have the right amount of stock and have made significant progress in the past few years,” Walmart’s U.S. chief merchandising officer Steve Bratspies told Reuters. “We want to focus on improving that even more.”
Also as part of its Supplier Growth Forum — and its efforts to compete with Amazon — Walmart will be offering suppliers its On Shelf Customer Availability data at the forum. These data had previously only been for internal use, Reuters said.
To read the full report, click here.
Walmart reportedly will announce changes to its delivery changes, which are aimed at boosting its revenue by $1 billion through improved product availability. Under the new rules large suppliers will be required to meet an 85% on-time goal or face a 3% fine on the cost of the goods being delivered — this an increase over the previous 75% on-time goal, the report said. Additionally, smaller suppliers will need to up their on-time deliveries from 33% to 50% or face a fine.
“We have reduced inventory in stores in order to have the right amount of stock and have made significant progress in the past few years,” Walmart’s U.S. chief merchandising officer Steve Bratspies told Reuters. “We want to focus on improving that even more.”
Also as part of its Supplier Growth Forum — and its efforts to compete with Amazon — Walmart will be offering suppliers its On Shelf Customer Availability data at the forum. These data had previously only been for internal use, Reuters said.
To read the full report, click here.