Meeting tight deadlines is crucial for any supplier. Late deliveries not only impact customer satisfaction but can also damage your reputation and cost you future business.  So how do you ensure on-time delivery, every time? Consider Must Arrive By Date (MABD) shipping for your next critical shipment.

What is MABD Shipping?

If you run a business that ships to major retailers and big box stores, you know that you are often required to meet strict delivery windows. Late deliveries can result in hefty fines and chargebacks and could damage your company’s reputation and bottom line. That's where MABD shipping comes in.

If you’re shipping less-than-truckload (LTL) or truckload (TL) freight, your carrier may offer MABD service, which delivers your shipment within the specific date and time requirements set by the retailer. A typical MABD shipment follows these steps:

1. Place order
2. Choose a carrier
3. Prepare documentation
4. Package the shipment
5. Transport the freight
6. Deliver to the destination within the delivery window
    

When you receive the order from the retailer, it will specify the arrival window requirements. As you make the shipping arrangements and prepare the documents, you’ll need to specify if MABD service is required. Prepare the shipment and schedule it with your LTL or TL carrier.  Finally, the shipment is delivered to the destination on-time and within the arrival window.

What are Benefits of MABD Shipping?

• Enhanced Inventory Management

  • One major perk of using MABD service is improved inventory management. MABD shipping helps the retailer manage their receiving process, which improves their inventory management, resulting in fewer stockouts and reduced holding costs. As a supplier, this should provide you with additional peace of mind, knowing that the retailer wiill always have shelf space for your product when it arrives.

• Improved Customer Satisfaction

  • Many large retailers will use a supplier scorecard, also known as a vendor scorecard, to evaluate and track your on-time delivery performance. Using MABD service to deliver on time will ensure your customers are satisfied with you as they receive your shipment at the desired time. You are more likely to receive repeat business from your customer if you maintain a strong scorecard.

• Streamlined Operations

  • Big box retailers need to ensure a seamless supply chain to ensure efficient operations and to keep their shelves fully stocked. Many use a Just In Time (JIT) inventory management system to minimize excess inventory. So, when they send you an order and specify delivery windows, it is critical that you fulfill the order within the specified window. When your supply chain is in sync with your customer, overall operations run smoothly as well.

How to Find the Right MABD Shipping Partner

 When searching for the right MABD shipping partner, there are three basic things to keep an eye on.

• Established Carrier Partner

  • Ensure that your carrier partner has an established MABD service option and is experienced managing the complexities of scheduling and fulfilling on-time deliveries to retailers.
  • To check the carrier’s ability, you should talk to their sales and operations personnel to determine if they can meet your MABD service needs. Two key metrics to focus on are on-time performance and damage rates.

• Availability of Advanced Technology Features

  • While choosing a shipping partner, you’ll want to ask about 24/7 tracking, shipment status visibility and electronic data interchange (EDI) integration. You’ll want the peace of mind knowing that you can check the status of the shipment at any time.

• Flexibility

  • Finally, the partner you choose should be flexible. This means they are able to adapt to your changing needs and volume fluctuations, which will make your work much easier. Check on the capacity in their network and ensure they have the network controls in place to manage demand surges and market changes.

How to Improve Your Supplier Scorecard with MABD Shipping

Your supplier scorecard rates you on how efficient your services are. That is why choosing an effective MABD shipping partner is so crucial to maintaining and improving your score. Here are some other ways to improve your score.

• Set Clear Expectations

  • Setting clear expectations and communicating with carriers and suppliers prevents any confusion throughout the shipping process. When you set clear expectations, it is easier to get on the same page, and they will appreciate the visibility. You’ll want your supplier agreements to clearly define objectives and key performance indicators (KPIs) so you and your partners know what the expectations are.

• Monitor and Provide Feedback

  • Conduct assessments and monitor your delivery performance.
  • Communicate with your carrier and ensure your paperwork includes the correct arrival requirements.
  • Based on the data, you can provide timely feedback and identify areas for improvement.

• Achieve a High MABD Score

  • Your MABD score is a measure of the percentage of shipments delivered within a specified delivery window. You’ll receive a high score when you are successful at meeting the delivery requirements on-time. Consequently, points will be deducted for shipments that arrive too early, too late, or if they are incomplete, inaccurate or damaged.

Frequently Asked Questions (FAQs)

What is the Difference Between MABD and OTIF?

Must Arrive By Date (MABD) shipping is a service offered by many LTL and TL carriers. It promises that the shipment will arrive within the required delivery window. On-time in-full (OTIF) is a supply chain metric that measures a supplier’s capability to fulfill orders and meet delivery promises.

You may also see the following service requirements, which can all fall under the MABD umbrella: Ship to Arrive (STA), Required Arrival Date (RAD) and Required Delivery Date (RDD). Your customer will communicate their specific delivery needs and then you can work with your carrier to plan on-time shipment arrival.

Is MABD Applicable to All Types of Shipments?

It can be applied to items from various industries. It is often used for items with a short expiry, are seasonal in nature and are being delivered to major retailers and big box distribution centers. Print materials manufacturers who ship to postal service hubs and product installers who need to meet arrival window deadlines also benefit from MABD shipping service.

About XPO

At XPO, we understand how important it is to meet your delivery requirements and keep your scorecard clean. Our preferred status with most leading retailers in the US and Canada provides our customers with clear advantage. Our dedicated team of MABD transportation experts is standing by to make shipping easy and worry-free.

Submit your details below and our Retail Solutions team will reach out to streamline your shipping process.