Service Description

Service Description

What we will cover:

  1. Inbound Processing
  2. Storage
  3. Outbound Order Shipments
  4. Service Guarantees
  5. Filing Claims
  6. Insurance Claims
  7. Promotions
  8. Work Orders
  9. Dispute Resolution Process

Inbound Processing

Effective, May 1, 2021

In order to facilitate timely receiving of all inbound shipments, UPS eFulfillment will be instituting a Dock Storage fee of $3.00 per pallet.   Dock storage fee will be charged to merchants who do not respond within 3 days business to a receiving request for information that is stopping the receipt of an inbound shipment.  The minimum charge for items stored on the dock is $3.00 per day up to one pallet, each pallet thereafter will be charged at $3.00 per day.

This fee will only be charged to merchants who do not respond to an inbound shipment inquiry within 3 business days.

UPS eFulfillment Responsibility

We will unload, receive and put away your products to make inventory available for your fulfillment orders. This includes:

  • A general inspection of the shipment condition and any obvious damage that may have occurred in transit 
  • Deliveries may need to be scheduled depending on the mode and size of the shipment.  Please reference here for those instructions
  • A comparison of the inbound shipment to the Bill of Lading (BOL) 
  • Receipt of the product against an Advanced Shipping Notice (ASN) that has been provided by you as referenced on the inbound product and/or paperwork
  • Product delivered that is not on your ASN or is not a valid product in the Portal Item Master will not be received 
  • UPS eFulfillment count of inventory will be based on final warehouse count during receipt
  • Any exceptions generated from the above will be communicated and reconciled with you
  • Deliveries that do not have any exceptions will typically be received and available for order fulfillment by the end of the third  business day after day of receipt
  • Receipts are processed in the order of delivery 

 

Merchant Responsibility

Before you or your vendor ships your inventory, make sure the following prerequisites are taken care of:

  • All Cartons/Cases within a shipment must be labeled with your UPS eFulfillment account number, the ASN and the complete UPS eFulfillment address

The address label should clearly display “UPS eFulfillment Distribution Center” and the correct warehouse address

UPS eFulfillment Kentucky Distribution Center
6700 Grade Lane
Building # 4
Louisville, KY 40213
800-528-6109, option 3

UPS eFulfillment California Distribution Center
16270 Jurupa Ave, Suite 200
Fontana CA 92337
800-528-6109, option 3

  • The individual units must be clearly labeled with a human readable SKU, UPC, EAN, other related SKU alias, or description that will allow the warehouse operator to identify the product
  • The individual unit must a have barcode representing the SKU, UPC, EAN or other related SKU alias. The barcode must be on the outside of the individual unit packaging, and easily accessible by a warehouse operator.
  • Each sellable unit of measure must have its own unique bar code and SKU number assigned.  For example:
    • A merchant sells an item as a single unit, a pack of 10 and a case of 12 – ten packs. If the merchant wishes to sell in each of these units of measure, they must be treated as separate SKUs and each SKU must have a unique bar code.
    • Each unit of measure will be treated as an inventoried unit and will be tracked and reported as a SKU.
    • If a merchant has a need to convert the items in a SKU to another SKU (unit of measure), the merchant will need submit a ‘Kitting/De-Kitting’ Work Order.
  • The SKU must not contain the following special characters: , (Comma) + (Plus) | (Pipe) # (Pound) or * (Asterisk)Each individual unit must be packaged as a single saleable unit
  • The individual units should be packaged in a manner that will maintain your outbound shipment quality expectations and protect it while stored in the warehouse, and in a suitable condition to allow it to be over packed for shipment.
  • All inbound Cartons/Cases with more than one SKU must be labeled as “Mixed SKU” or similar
    • Detail on the labeling requirements, including the warehouse addresses, is available here
  • Deliveries may need to be scheduled dependent on the mode and size of the shipment. 
    • Please reference here for those instructions
  • The accompanying Packing List must include your UPS eFF account number and the ASN(s)
  • A scheduled delivery is required for live unloads (a delivery where the warehouse will unload the container while the driver waits on site)
  • You should reconcile any overages or shortages with your vendor(s)
  • You should identify your products in the Portal with the most appropriate packaging preference prior to the products first receipt. See the Packaging Preferences article for more information.
    • SR – Ship Ready
    • SA – Ship Alone
    • CR – Corrugate
    • PB – Polybag
    • MA – Mailer

 

Storage and Inventory Control

We will warehouse your product in an ambient temperature warehouse and will maintain and track your inventory while in our possession.

  • The UPS eFF warehouses are heated, but are not air-conditioned or humidity controlled 
  • The UPS eFF warehouses have general intrusion security, employee security controls, and CCTV.  ‘High Value’ security is not provided. 
  • Customer shall be responsible for insuring the Goods while they are in the care, custody and control of UPS eFulfillment.  All of our facilities have fire suppression capabilities to support all local regulatory requirements for general warehousing.  
  • The Monthly Storage Fee is a pro-rated calculation based on storage days during the month of storage measured by end-of-day inventory on-hand
  • Long-Term storage is an additional storage fee for product held longer than six (6) months. Long-Term is measured on total inventory on a rolling six (6) month period commencing on the first day of each month.  Go here for a detailed review of calculation methodology. 
  • Long-Term storage fees will be assessed in addition to standard storage fees
  • For more information on storage pricing, please see our rate card
  • Your inventory will be controlled utilizing the UPS eFulfillment Warehouse management system which provides product tracking from receipt through shipping, cycle counting, and inventory research 
  • We will provide inventory status and quantity via the UPS eFulfillment portal
  • Cycle counts will be completed an average of two (2) times per year per our cycle counting standard operating procedures
  • Our goal for net inventory accuracy and remedies for not meeting this goal are outlined in the Fulfillment Services Agreement found here
  • The inventory accuracy goal for UPS eFulfillment is 99.5% and is calculated annually.  An example of the inventory accuracy calculation can be found here.
  • The UPS eFF warehouse management system is the system of record for inventory accuracy          

 

Outbound Order Shipments

Packaging

  • Products are packaged in the appropriate packaging material based on product type, size and your Packaging Preference 
  • To insure the most cost effective shipping and minimize damage, please see the packaging preference guide
  • Products identified as 'Ship Alone' will not be over packed with other products
  • Marketing inserts cannot be added to products identified as “Ship Alone” and “Ship Ready”
  • The product packaging dimensions are used as the shipping dimensions for:
  • Product identified as SR – Ship Ready or SA – Ship Alone
  • Product identified as PB – Polybag and the order is a Single Unit
  • If the product is identified as any other packaging preference, the shipping dimensions are based on the container in which it is placed.  Multi-unit PB product is based on the entered dimensions at shipping. 

UPS eFulfillment Service Levels

  • We ship the package via the most appropriate UPS transportation service in accordance with the UPS eFulfillment service level selected by Customer
  • Orders are executed based on the order management shipping rules selected on the UPS eFulfillment portal
  • The package will be accurately labeled with the shipping address as provided by you

UPS eFulfillment warehouses operate on a 5 day week (Monday – Friday).  The chart below outlines our Service Commitment for eFulfillment Service Levels 1 Day – Standard Services.   Each of these services are fully guaranteed for:

  • On Time Fulfillment
  • On Time Delivery
  • Loss / Damage up to $100 Declared value per parcel. Declared value is the cost of the goods. UPS eFulfillment offers additional shipping insurance through our partner UPS Capital Corporation.  For more information on how to obtain additional coverage please go here.

If UPS eFulfillment does not meet its commitments as outlined below we will refund your fees for outbound fulfillment and delivery.

UPS eFulfillment Service Name

Fulfilment Guarantee

UPS eFulfillment Delivery Guarantee

Cut-off Time

1 Day

Day 0

1 Day

5:00 PM Local Warehouse time

2 Day

Day 0

Up to 2 Days

5:00 PM Local Warehouse time

3 Day

Day 0

Up to 3 Days

5:00 PM Local Warehouse time

Standard

Day 0-1

Up to 5 days

Midnight PST

 

UPS eFulfillment Service Name

Fulfilment Target

UPS eFulfillment Delivery Target

Cut-off Time

Economy

Up to 2 days

Up to 10 days

Midnight PST

Note:  All 1 Day, 2 Day, 3 Day & Standard Orders received on a non-operating day will be fulfilled on the next operating day. 

All guarantees above are subject to peak waiver as outlined in the UPS eFulfillment terms and conditions, UPS Small Package Annual Peak Notices and UPS eFulfillment annual Peak notices.

  • Additionally, UPS eFulfillment reserves the right to waive the above service commitments for any unplanned promotions.  See Promotions Planning Processes Section of this Article.
  • Definition: Cut-off time.  The order cut-off time defines when a fulfillment day ends.  All orders received before the cut-off time (local time) will count as day 0. Any orders received after the local cut-off time will be counted as received on the next operating day.

Economy service is not guaranteed for fulfillment times, delivery times and loss or damage.  Insurance may be purchased for this service.  Please see UPS eFulfillment Insurance Program.  

Order Accuracy is guaranteed for all service levels.  UPS eFulfillment will refund the cost of the original orders fulfillment, transportation and returns cost if we ship the wrong items on an order.

Merchant Responsibility

  • For each order, you will need to provide us with all information necessary to complete the shipment. This includes, but is not limited to,
    • Your customer name and address
    • Product(s) in the order
    • Quantities ordered
    • UPS eFulfillment Service level requested
  • You are responsible for providing a valid and accurate physical customer address
  • You are responsible for managing inventory in the UPS eFulfillment Warehouse(s) to enable lowest shipping cost
  • You are responsible for the configuration and management of the UPS eFulfillment Portal

Claims Filing Process

If you feel UPS eFulfillment has not met our commitments, you must file a claim with UPS eFulfillment on the UPS eFulfillment portal utilizing our online claims process.  Guarantee Service (GSR) Claims must be filed within 15 calendar days of the expected delivery date.  Loss or damage claims may be filed up to 60 days after the expected delivery date.

Claims Process Steps:

Step

Name

Description

Owner

Typical Time

1

File Claim

Claim Filed on line

Merchant

Must be filed within 15 days

2

Investigation

eFF will investigate and validate Claim

UPS eFulfillment

Up to 10 days from filing

3

Investigation Results

UPS eFF will confirm or deny claim based on investigation in writing. If the claim is denied we will provide reason for the denial.

eFulfillment

1 Day from receiving result of investigation

4

Issue Credit

If Claim is approved UPS eFF will issue credit on next eFF bill

UPS eFulfillment

One billing cycle from when credit is issued.

UPS eFulfillment will provide timely status updates via the portal for each of the steps outlined above.

Once a claim is validated UPS eFulfillment will refund the merchant for all outbound fulfillment fees on shipments that are late, lost or damaged.  If an item is lost or damaged UPS eFulfillment will also refund up to $100.00 of declared value of the product.  The merchant will need to provide documentation on the value of the affected item(s) to receive a declared value compensation.  All claims refunds will be credited on following billing cycle to the merchant’s UPS eFulfillment invoice.

UPS eFulfillment Shipping Insurance:

A merchant may elect to add insurance to each outbound shipment for additional fee. Learn more about UPS eFulfillment. UPS eFulfillment insurance, provided by UPS Capital Corporation, enables the merchant to insure shipments for full retail value of the product if it should be lost or damaged in shipment.  If you are interested in turning on insurance please contact your growth advisor to enable this feature. The insurance claims process follows the same steps outline in the chart above.

Promotion Planning Processes

UPS eFulfillment is eager to support merchant promotions.  We have found that promotions work best when UPS eFulfillment and the merchant work together to achieve an agreed upon result.   To that end eFulfillment requires that merchants file a promotion plan a minimum of 2 weeks in advance of the promotion per the process in the chart below.

If a merchant runs promotional volumes without following the outlined promotional process below eFulfillment at our discretion may waive our fulfillment service commitments for the period we define as an unplanned promotion.   UPS eFulfillment will make commercially reasonable efforts to accommodate the promotional volumes.

UPS eFulfillment defines an unplanned promotion as 3 times the average daily volume (ADV) for a period of 2 or more continuous days.   ADV will be calculated based on the past 2 months of shipping volume.

Peak Promotion Planning:  If you plan to run promotions during the period between Thanksgiving and December 31st we require that the promotion request be submitted no later than the first Friday in November and that your promotional inventory arrive no later than the 2nd Friday in November.   UPS eFulfillment has limited capacity to accommodate promotions during this period and we will honor requests on a FIFO basis.   UPS eFulfillment reserves the right to not accept promotions during the peak period.

 

Step

Name

Description

Owner

Required Time

1

Submit Promotion Plan

File Plan on line.  Select Promotion Plan Product.  Describe Promotion, Timing, Quantities etc.

Merchant

At least 2 weeks prior to first shipping day**

2

Promotion Planning Meeting

UPS eFF Customer Support team  will contact you to set-up a planning meeting

UPS eFulfillment

0-2 day after receiving the plan

3

Promotion Plan Confirmation Meeting

UPS eFF will confirm Plan and discuss any concerns and will define our service commitments for the promotion*   UPS eFulfillment will provide a written Scope of Work (SOW) document that outlines the parameters and service commitments for the Promotion*

UPS eFulfillment

1-3 days after Planning Meeting

4

Promotion Plan Sign-off

Merchant must approve plan in writing.  eFF will not prioritize and lock in promotion until approved by merchant.

Merchant

As soon as merchant sign-off

5

Receive Promotional Product

Promotional items must be at warehouse 5 operating days before the promotion **

Merchant

5 day prior to promotion **

6

Execute the Plan

UPS eFF team will make sure all labor, supplies & transportation arrangements are in place to execute the plan

UPS eFulfillment

Date of Promotion

*The SOW service commitments and Key Performance Indicators (KPIs) supersede UPS eFulfillment’s standard service commitments.

** Except during Peak Periods – See peak promotion requirements as published in the annual UPS eFulfillment Peak Guide.

Operating Days, Holidays and Peak Season

All services will be provided Monday through Friday.  Saturday and Sunday are not operating days for purposes of the service commitment.  The holidays listed below are also not operating days, including for purposes of the service commitment. 

  • New Year’s Day
  • Memorial Day
  • July 4th
  • Labor day
  • Thanksgiving Day
  • December 24th
  • Christmas Day
  • December 31st

 All guaranteed services commitments are waived for orders received during the following peak season periods.

  • Orders received on Thanksgiving Day and the following 7 calendar days
  • Orders received December 1 to December 24th  
  • As defined by UPS annual Peak communications on UPS.com
  • As defined by UPS eFulfillment Peak communications Notices
  • Special peak considerations will be communicated separately and may vary by year

 

Service Commitment Exceptions

Shipments that are delayed due to causes beyond the control of UPS eFulfillment and UPS eFulfillment Affiliates performing transportation services including, but not limited to:

  • The unavailability or refusal of a person to accept delivery of the shipment
  • Acts of God
  • Natural disasters
  • War risks
  • Acts of terrorism
  • Acts of public authorities acting with actual or apparent authority
  • Acts or omissions of customs or similar authorities
  • Authority of law
  • Insufficient information provided by Customer
  • Hazardous Materials Packages improperly offered for transport
  • The application of security regulations imposed by the government
  • Theft

Or otherwise applicable to the shipment,

  • Riots
  • Strikes or other labor disputes
  • Civil unrest
  • Disruptions in national or local air or ground transportation networks (including, but not limited to, any UPS eFulfillment Affiliate’s transportation network)
  • Disruption or failure of communication and information systems
  • Adverse weather conditions

Work Order Processes

Work orders maybe requested by merchants to facilitate special requests outside normal fulfillment services.  Typical work order requests include:

  • Bulk Shipping Orders
  • Kitting
  • Labeling
  • Product Re-Packaging
  • Product Assessment
  • Additional Receiving Support

Due to the diversity of requests UPS eFulfillment quotes work orders in the order they are received. The execution of a work order will be prioritized based on the signoff date. There will be a work orders black out period during the peak period from Thanksgiving through December 31.

Step

Name

Description

Owner

Typical Time

1

Submit Work Order (WO)

File WO on line.  Select “Work Order” Under Product  Describe WO, Timing, Quantities etc.

Merchant

File as soon as possible we process on a FIFO basis

2

WO  Planning

UPS eFF Customer Support team will contact you

UPS eFulfillment

0-2 day after receiving the plan

3

WO Plan Confirmation

UPS eFF will confirm Plan and discuss any concerns and will define our service commitments for the promotion*   UPS eFulfillment will provide a written Scope of Work (SOW) document that outlines the parameters and service commitments for the Promotion and price quote*

UPS eFulfillment

1-3 days after Planning Meeting

4

 

Merchant must Sign-off on SOW & Quote via On-Line Request form.  UPS eFulfillment will not begin work or prioritization until we receive confirmation to quote via on-line portal

Merchant

Based on Approval by Merchant

5

Execute the WO  Plan

UPS eFF team will make sure all labor, supplies & transportation arrangements are in place to execute the plan

UPS eFulfillment

Dates agreed upon per quote

*Many WO quotes will be based on an estimate of the hours required at the UPS eFulfillment hourly ad-hoc rate on the UPS eFulfillment rate sheets.  Quotes are estimates, billing will be based on actual hours and actual transportation fees charged by our vendors.

 

Dispute Resolution Process

  • If a dispute arises out of or relates to the Fulfillment Services Agreement and such dispute cannot be settled through direct discussions between the parties within thirty (30) days of first entering into such discussions or as otherwise agreed to by the parties, then either party may initiate litigation in any federal court having jurisdiction thereof upon thirty (30) days’ written notice to the other party. THE PARTIES EXPRESSLY AND KNOWINGLY WAIVE ANY RIGHT TO TRIAL BY JURY

 

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