On-Time and No Show Policies with McLane Company Inc.

In this article, learn about: 

• McLane Company’s On-Time and No Show policies
• What happens when those policies are violated
• Penalties and fines for late or missed deliveries 

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If you’re looking for a new distributor partnership, there are many reasons to consider McLane Company. Founded in 1894, it has specialized in convenience store retail and restaurants, mass merchants, drug stores, and chain restaurants for over 100 years. They have a strong reputation for reliability, an extensive partnership network, and significant cost reduction resources. Their commitment to high service levels includes strict timing requirements for all suppliers.  

If suppliers don’t deliver orders to McLane on time, follow the rules outlined in their vendor guide, or send enough of the requested products, it can cause problems. These problems include late customer deliveries, lower sales, too much or too little stock, and extra costs. They can also make the shopping experience worse for customers. To help fix this and make sure everyone follows the rules, McLane Company Inc. has made policies for all orders. 

On-Time Policy  

Supply chain compliance starts with one of the most important steps: Purchase Orders (POs). McLane’s focus on efficiency includes clear expectations for its suppliers, which are outlined in its On-Time PO Policy. This policy explains what’s required when delivering POs to McLane and the consequences of failing to meet them.  

Related Reading: What is a Purchase Order? 

McLane On-Time Policy Requirements 

Suppliers or their designated carriers must use Dock Scheduling to request delivery appointments for all McLane Company POs. Dock Scheduling is a web-based application that McLane Company Inc. requires suppliers to use for communication.  

 Appointments must be requested as quickly as possible and at least 72 hours before the requested appointment/delivery due date. 

Acceptable time frames for POs: 

•         Within 24 hours before the delivery due date. 
•         On the due date. 
•         Within 24 hours after the due date. 

McLane's On-Time Policy Violations  

The following On-Time policy violations are outlined in McLane Company’s vendor guide and are subject to penalty.  

• Any PO delivery appointment requested by calling the division instead of using Dock Scheduling. 
• Any PO with a requested appointment later than 24 hours after the delivery due date. 
• If a supplier uses Dock Scheduling to request an appointment the day before the delivery due date, and the requested appointment is scheduled for the delivery due date itself. 
• Any PO delivered more than 24 hours after the delivery due date. 

McLane On-Time Policy Non-Violations 

McLane acknowledges two situations that will not receive penalties for suppliers. 

• If delivery occurs after the due date because of a later appointment date offered than requested (unless the supplier requested the appointment after the due date or with less than 72 hours’ advance notice).  
• If the supplier follows the policy and the division cannot accommodate the delivery at the appointed time. 

McLane On-Time Policy Violation Penalties  

Like many other distributors, McLane assesses penalties for on-time delivery violations. McLane charges suppliers a $500 fee per truck for each PO that violates the On-Time policy. If multiple POs are on the same truck, the $500 is split equally among them.  

For example, one truck delivering 3 POs late would result in a $166.67 penalty allocated to each PO. However, if three separate trucks are late, it would result in a $1500 total penalty.  

Non-Cancellation / No Show Policy with McLane Company

As a distributor, McLane prioritizes efficiency in logistics and supply chain management. Therefore, it is problematic when suppliers miss scheduled delivery appointments. This No Show policy addresses the policies, violations, and penalties for failing to give proper notice for missed delivery windows.  

McLane's No Show Policy Requirements 

The following No Show policy violations are outlined in McLane Company’s vendor guide and are subject to penalty.  

• Suppliers must notify the McLane division at least 24 hours before their scheduled appointment if the truck will not meet the scheduled time for any reason. 
• The user assigned to an appointment can cancel it through the Dock Scheduling Application. 

No Show Policy Violations and Penalties 

Suppliers' failure to provide the required 24-hour notice is considered a "Non-Cancellation or No Show".  

• An initial "Non-Cancellation or No Show" results in a $500 penalty. 
• For 2 to 10 incidents within a rolling three-month period, an additional $500 penalty is charged for each occurrence. 
• For 11 or more incidents within a rolling three-month period, a $1,000 penalty is assessed for each occurrence. 
• Bill-backs to the supplier include the McLane PO number and the originally scheduled appointment date. 
• A supplier's record will be considered "clean," and the penalty process will reset if there are no further Non-Cancellation or No Show occurrences within three months of the last incident. 

No Show Penalty Example 

McLane Company Inc. looks at No Show violations over a rolling three-month period. To see the policy in action, we’ve outlined the compounding effect of a supplier’s No Shows below.  

As a reminder, violations one through ten are charged a $500 fee, with 11+ violations rendering a $1000 fee each. 

 Now, let’s look at the same supplier’s fees as they roll into a new three-month window. 

These policies are in place to formalize accountability and correct substandard performance. Failure to deliver on time and when scheduled can negatively impact McLane's ability to serve customers, sales, inventory, and customer experience, potentially leading to additional handling expenses. 

To dispute any incorrect deductions, suppliers should email CAP.Research@McLaneCo.com or call (254)771-7019 within 90 days of the payment due date or deduction date. McLane’s vendor guide specifies that the following should be included: 

• PO number 
• Division to which it was shipped  
• Reference number of the deduction as it appears on the check 
• Amount of the deduction 
• Complete McLane check number 

McLane charges $50 per replacement document, and can charge an additional $50 for repeated research requests or information already addressed by McLane. If the disputed amount is less than $50, McLane will not research it as a one-off item. Suppliers with multiple deductions of a similar pattern should accumulate the deductions and present them in bulk.  

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