ArcBest has a new program to help vendors meet the stringent shipping and delivery requirements of big-box retailers.
Over the past few years, retailers such as Walmart and Target have put in place stricter standards for on-time delivery, shortened the windows for deliveries, and hiked fines for missing those windows. Shippers have to keep track of the different and changing rules from numerous customers.
To make it easier, the Fort Smith, Arkansas-based LTL and logistics company created Retail+ in collaboration with customers who are suppliers to major retailers.
The ArcBest program promises increased visibility, optimized pick-up dates designed to foster more on-time deliveries, and accurate records so shippers can dispute retail fines.
“Our biggest challenges are moving from three-day delivery windows to one-day delivery windows,” explained Taryn Molina, Account Services Assistant Manager at Bona, who was on the customer advisory board that helped develop the program. “The fill rate has to be really high now. It used to be about 90%; right now they’re requriing closer to 98, 99% fill rate.” Before the program, she said, Bona was performing at about 70 to 75% accuracy with one of its biggest retailers. Since implementing the Retail+ program, it is now closer to 95 to 98% accuracy – with no fines.
The Retail+ program provides compliance management solutions that enhance ArcBest's existing retail logistics services, according to the company, by combining innovative software solutions with enhanced operations processes. It's designed to increase vendor performance through automation and enhanced visibility, potentially helping them avoid costly chargebacks and other financial penalties.
Retail+ helps vendors automatically calculate pick-up dates to meet delivery requirements; reduce chargebacks and other penalties through better planning and scheduling of deliveries; track compliance metrics with scorecard reviews; and keep accurate and reliable documentation that can provide an audit trail. The program allows shippers of all sizes to simplify their shipping processes and easily meet vendor compliance requirements.
"As consumer demands, tightening delivery windows and other factors impact shippers, our Retail+ program makes it easier for suppliers to stay compliant with big-box retailers, who often set strict guidelines in order to do business with them,” said Judy R. McReynolds, ArcBest chairman, president and CEO.
Retail+ was developed as a collaboration between ArcBest, its in-house IT group ArcBest Technologies, and the ArcBest Customer Advisory Board, a group of customers that regularly connects with ArcBest leadership. Customer Advisory Board members worked with ArcBest teams to test and refine key elements during the pilot phase to ensure the solution resolves their biggest pain points.