In January, Walmart published its OTIF Charges Schedule for the year. Three months later, that schedule is on the front burner once again because Walmart changed its Academy — and that has made locating the schedule a challenge.
The OTIF Charges Schedule is very important to Walmart suppliers. As a supplier, you need to be informed of the schedule in order to understand when OTIF compliance charges will be invoiced, published to your account, and potentially deducted from your remittances. The schedule also provides clarity on how weekly charges are aggregated into monthly and quarterly summaries.
The key point is that you should review and contest any posted projected charges that you see in the OTIF app BEFORE the monthly date freeze load date.
Because of its importance, we’ve made it easy for you to have the OTIF Charges Schedule on hand.
Download the OTIF Charges Schedule HERE
How the chart lays out:
- Column 1 lists each quarter.
- Column 2 shows the months included in each quarter.
- Column 3 shows the Walmart weeks that are included in that month.
- Column 4 shows the corresponding MABD (Must Arrive By Date) times for each month
- Column 5 is headed Monthly Data Freeze Load Date. Although charges are billed only once each quarter, they are evaluated each month. These dates indicate the cut-off dates for each month in the quarter. In other words, it shows (by month) when charges will be calculated.
- Column 6 shows the dates at which suppliers will be charged.
- Some OTIF (On Time In Full) Basics
On Time In Full requirements for prepaid suppliers:
90% On Time
95% In Full
On Time In Full requirements for collect suppliers:
98% Collect Ready On Time
95% In Full
A penalty charge of 3% is levied on all cases not meeting the above requirements.
Charges are evaluated monthly but billed quarterly.
Want to stay ahead of OTIF compliance and avoid costly penalties? Our team at 8th & Walton is here to help you navigate the OTIF Charges Schedule and optimize your supply chain performance. Fill out the form below, and we’ll reach out to discuss your needs!
