MABD – Must Arrive by Date
MABD may sound simple and straightforward, as though Walmart were just saying, “Make sure you get the goods here by Thursday! Thanks!” That’s not how it works, though. Suppliers have a very small window in which to be one time. Being early or late can result in 3% chargebacks.
Suppliers must also be sure their shipments are not short and that all communication around deliveries is conducted electronically and correctly.
Unless you’re planning to drive the truck yourself, you’re largely at the mercy of your carrier. Most smaller suppliers don’t have fleets, and making sure that your goods arrive with perfect timing may be costly. This is especially true when you’re working with LTL, or less than a full truckload, shipments.
You can track your shipments with the Activity Research Tool in Retail Link, but that just shows whether you had compliance with MABD… it doesn’t tell you whether you’re going to do so. You can try to track down root causes of the problem and do better next time, but there is a 90% compliance requirement, and knowing after the fact that your shipment was late or early doesn’t change that.
One of the best solutions is to use a third party service. CaseStack, one of the best known, has a 98% compliance rate for its Wal-Mart Supplier Freight Consolidation Program, so suppliers using this service can feel confident.
Here’s how it works:
- Suppliers send goods to CaseStack. Since this part of the process is not as time sensitive, suppliers can send safety stock when it’s convenient.
- CaseStack monitors goods and consolidates LTL orders into full truck loads. With an average of 16 suppliers per truck, the costs are considerably less for each supplier.
- One delivery is managed in close collaboration with Walmart, meaning there are fewer trucks at the loading dock and less chance of delays.
- CaseStack’s real-time technology allows suppliers to see just where their goods are at any time. If something unforeseen comes up, suppliers have the information they need to take action before problems arise.
Consolidation through one of the Walmart Vendor Pool administrators lessens the chance of chargebacks, keeps your performance score card looking good, and is also better for the environment.