Special Report: Vendor Relations

Without a formal vendor compliance policy, the warehouse has no recourse but to absorb both direct and hidden costs for noncompliance. Without compliance, it’s impossible for multichannel merchants to implement advanced supply chain systems (ASNs), just-in-time inventory, source marking and ticketing, or radio frequency identification programs. A good vendor compliance policy not only avoids pitfalls, but also reduces the time spent dealing with vendor disputes, claims and chargebacks.