Exceeding Retailer's Service Goals
CASE STUDY: LIFE SCIENCES
Winning the OTIF Game
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Optimized Logistics: Preventing OTIF Fines Through Strategic Collaboration
When our customer faced potential OTIF (On-Time, In-Full) fines, Kenco’s agility and service-focused culture enabled us to quickly develop a proactive strategy. By collaborating closely with the customer and their supply chain partners, both upstream and downstream, we implemented key solutions to streamline processes and ensure compliance.
Exceeding OTIF Goals & Delivering Savings
Through strategic collaboration and process improvements, Kenco helped the customer surpass their OTIF compliance goals for 24 consecutive months and counting. Our proactive approach resulted in:
Walmart’s evolving OTIF (On-Time, In-Full) standards put increasing pressure on suppliers, making compliance more difficult—and costly. One of Kenco’s long-term customers, a global leader in pharmaceuticals and consumer goods, faced mounting challenges as Walmart’s delivery requirements became more rigid. With Kenco managing their North American transportation network and a key distribution and kitting center, we needed to implement new strategies to meet these demands while protecting the customer’s bottom line.
CHALLENGE
SOLUTION
RESULTS
Adapting to Stricter OTIF Requirements
4 of 5
Tracked deliveries in real-time and documented discrepancies at the point of delivery to counteract unfair penalties.
Proactive Delivery Monitoring and Documentation
3 of 5
Provided clear, precise instructions on the Bill of Lading to prevent early or misaligned deliveries that could impact OTIF compliance.
Driver Instructions and BOL Optimization
2 of 5
Enforced stricter carrier performance rules and strengthened relationships to drive timely pickups and minimize delays.
Carrier Compliance and Relationship Management
1 of 5
Adjusted order processes and appointment scheduling rules to synchronize the upstream supply chain, enabling on-demand fulfillment and efficient shipment consolidation.
Optimized Order Flow and Scheduling
5 of 5
Leveraged detailed documentation and deep knowledge of Walmart’s dispute process to successfully challenge wrongful fines.
Dispute Resolution Expertise
By optimizing fulfillment processes, strengthening carrier relationships, and leveraging our expertise in dispute resolution, Kenco turned a major compliance challenge into a long-term competitive advantage for our customer.
>90% Average OTIF Score
Consistently exceeding compliance targets
$1M in OTIF Fines Saved
Directly impacting the bottom line
24 Months of Sustained Success
Maintaining high performance
Facing Walmart’s strict OTIF requirements, a global pharma and CPG company turned to Kenco. Our strategic solutions drove 24 months of OTIF success and $1M+ in savings.
