Supplier Playbook: Build a “Retail Compliance Operating System”

You don’t need perfection. You need control.

1) Master data is not busywork—it’s deduction prevention

Most compliance problems start upstream:

• incorrect case pack / inner pack

• dimensions and weights wrong

• unit of measure mismatches

• item setup not aligned across systems

When master data is incorrect, every downstream transaction is at risk.

Start with your top 20 SKUs and validate the item file end-to-end.

2) Treat EDI and ASN accuracy like revenue protection

Electronic data interchange (EDI) and ASNs are no longer “technical plumbing.” They are compliance triggers.

Retailer chargebacks can be triggered when:

• ASN arrives late or missing fields

• ASN doesn’t match physical shipment

• invoices don’t align with the PO on price/quantity/terms

Pick two metrics and track them weekly:

• ASN match rate

• invoice-to-PO match rate

3) Build an exception loop that closes in days, not weeks

If your process is “we’ll review deductions at month-end,” you are going to lose money in 2026—because the system will keep triggering the same issue until you fix it.

A simple weekly routine:

• top 10 deduction reasons by dollars

• top 10 deduction reasons by frequency

• repeat offenders (same SKU, same lane, same retailer rule)

• one owner per root cause, with a due date

4) Make appointments and routing guide compliance boring

Boring is good. Boring is profitable.

Many deduction drivers are basic:

• unauthorized carrier

• missed appointment scheduling

• late delivery to the distribution center

• mislabeled product or packaging violations

If you can’t explain your routing guide workflow in three steps, it’s too complicated.

5) Keep a “defense file” ready

In a world of system-triggered deductions, your leverage is documentation.

Create a standard proof packet template:

• PO, bill of lading (BOL), ASN, invoice

• appointment confirmation

• delivery receipt/timestamp

• carrier tracking and exception notes

When a dispute is valid, speed matters. A clean proof packet is how you respond without burning your team.

What suppliers should do this week

If you want a practical starting point for the week of January 18:

• pull the last 60–90 days of deductions and tag them by root cause (data, EDI/ASN, routing, appointment, labeling)

• identify the top 3 “repeat triggers” and fix those first

• set a weekly compliance exception huddle (30 minutes)

• validate master data on your top movers

• choose two operational metrics to track weekly (ASN match, invoice-to-PO match)

Small discipline beats big drama.

Where Woodridge Retail Group fits

Woodridge Retail Group works with suppliers who want fewer surprises in accounts receivable and fewer “mystery deductions” that feel like a tax on growth.

In 2026, the suppliers who win won’t be the ones who argue the best. They’ll be the ones who prevent the trigger.

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