Section 12 - Non Compliance Process

Section 12 - Non Compliance Process

- Product, Packaging and Delivery requirements

REFURBISHMENT

Problem - Product is inspected at our Distribution Centre and found to be defective

• Product
• Packaging
• Labelling

NOTES

Step 1. Product is placed on hold whilst investigation is carried out. Suppliers will be informed of any remedial action required.

Step 2. (a) Remedial action can be one of the following.

• Commercially accept
• Commercially accept with caveat that if returns are higher than agreed figure the supplier will be liable for penalty
• Commercially accept but add a message slip to the customer’s package informing them of any difference from what they had originally ordered.
• Reject the stock and RTM (Return to Manufacturer).
• Reject the stock for refurbishment.

Step 2. (b) Depending on the course of action from step 2.(a) the stock will follow one of the following options.

• Refurbishment is carried out internally utilising MED staff or agency staff.
• The bulk delivery is sent to outside refurbishers.

Step 4. (a) Supplier will receive a debit note from MED

Step 4. (b) In addition to any claims a standard charge of £50 will apply to cover administration costs.

QUALITY REJECTIONS

Problem - The product has gone on sale but does not meet our quality standards

NOTES

Step 1. Quality rejections may occur at any point during the lifecycle of the product. Suppliers will be informed of any remedial action required.

Step 2.(a) Scale and cost to JD Williams is calculated. Options are:

• Charge the supplier for the full cost price of the goods.
• Charge the supplier for a cost price reduction.
• Charge the supplier for loss of Sales OR
• Charge the supplier for loss of Profit.
• Charge the supplier for the TF’s resulting
• To agree on a sale or return policy for the product in question.

Step 2 (b) Depending on the course of action from Step a the stock will follow one of the following options

• Stock remains on sale (eg. minor problem / complaint).
• Stock is removed from sale immediately and will be returned to supplier or disposed of or rectified and returned by an agreed date. (eg. Major problem i.e. safety issue)
• Stock remains on sale and remainder is returned to supplier at the end of the season
• Stock is sent for refurbishment

Step 4 (a) Supplier will receive a debit note from MED

Step 4 (b) In addition to any claims a standard charge of £50 will apply to cover administration costs.

INTAKE SLIPPAGE

Problem - The order is delivered late – to our Distribution Centre OR to our shipper

• On time – no action
• After confirmed date – raise claim

* Claims may be raised at 3 different points

• Within 14 days of late delivery arriving at the Distribution Centre
• At the end of the Calender month in which the delivery arrived
• Within 4 weeks of the end of the merchandise season

The timing will be at the discretion of the Buyer/Merchandise Manager and will be communicated to the Supplier by the Buyer/Merchandiser

NOTES

Step 1. Handover date is defined by contracted terms ( CIF /FOB /LDP /Direct to DC ).

Step 2. Claims will only result if the carrier or supplier is at fault.

Step 3. (a) Where applicable the Merchandiser will discuss the option of airfreight at the suppliers expense where this will keep the shipment on time and avoid the need to claim.

(b) Charges apply as follows – Charges increase as deliveries get later and are based on the order value.

J D Williams also reserves the right to adjust these and to add compensation for the internal costs resulting (e.g. compensation for TF’s caused by late delivery. )

(c) Charges will apply when the supplier is responsible for the delay

Step 4. (a) Supplier will receive a debit note from Merchandiser/Buyer

Step 4. (b) In addition to any claims a standard charge of £50 will apply to cover administration costs.

DELIVERY FAILURE

Problem - The delivery cannot be processed efficiently by our Distribution Centre

Step 1. Delivery infringements can be one or more of the following.

• Unsafe load
• Late delivery (in excess of 45 mins late from booked time with no notification to loading bay).

The fines are as follows:

Step 2. If the supplier / carrier has any issues / queries with the charge they will relay their concerns through the ‘booking office’.

Step 3. All charges are at the discretion of the booking office and Distribution Centre.

Step 4. (a) Supplier will receive a debit note.

Step 4. (b) In addition to any claims a standard charge of £50 may be applied to cover administration costs.

Step 4. (c) All late delivery or failure to show charges will be dependent load size and/or manpower requirements.