2026 Walmart Supplier Compliance Checklist

Use this checklist before every Walmart PO ships. Each item corresponds to a specific compliance requirement that, if missed, can result in chargebacks under Walmart's OTIF program, Supplier Quality Excellence Program (SQEP), or account health metrics.

1. On-Time In-Full (OTIF)

Walmart's OTIF program is the most closely watched compliance metric. The threshold is 98% for both on-time delivery and in-full shipment.

• OTIF rate monitored: Weekly review of OTIF Scorecard in Retail Link — 3% of total PO value charged for non-compliant orders
• No split shipments: Every PO must arrive as one complete delivery; split shipments are penalized
• EDI 855 (PO Acknowledgment): Sent within 24 hours of receiving a Walmart PO
• EDI 856 (ASN): Transmitted at least 30 minutes prior to shipment arriving at DC
• Lead time audit current: Transit time settings in Item 360 match actual carrier performance; reviewed quarterly

2. Supplier Quality Excellence Program (SQEP)

• GS1-128 barcode quality: All barcodes ANSI Grade B or higher — $200 per PO plus $1 per defective case for SQEP label defects
• 14-digit GTIN matches 12-digit UPC: Case GTIN matches item UPC exactly
• Pallet type confirmed: GMA Grade A standard 40" x 48" pallets only
• No product overhang: Items do not extend past the pallet edge
• Max pallet height: Does not exceed 72 inches
• Packaging recyclability: Secondary packaging 100% recyclable; PVC, EPS, and plastic films avoided where possible

3. Account Health Metrics

• Negative Feedback Rate (NFR) below 2%: NFR Dashboard reviewed every 60 days — NFR above 2% triggers listing or account suppression
• Seller Response Rate 95%+: All customer inquiries resolved within 48 hours
• Valid Tracking Rate (VTR) 99%+: Tracking numbers uploaded after carrier handoff, never before

4. Regulatory & Item Data

• FSMA 204 traceability data: Lot/batch numbers and production dates transmitted via EDI with every shipment for items on the FDA Food Traceability List
• Item 360 country of origin current: Country of Origin and Hazardous Material (WERCS) data updated — expired WERCS assessments trigger an immediate stop-ship

5. EDI & Portal Access

• Retail Link access confirmed: All relevant team members have active Retail Link credentials
• EDI 850/855/856/810 all configured: Full EDI suite tested and operational for Walmart trading partner
• ASN missing/late fine awareness: $0.25 per missing item for late or missing ASNs

6. Chargeback Reference

• OTIF failure: 3% of total PO value
• SQEP label defect: $200 per PO plus $1 per defective case
• NFR above 2%: Listing suppression or account suppression
• ASN missing/late: $0.25 per missing item

How WarehouseQuote Helps Walmart Brands

WarehouseQuote acts as a managed warehousing partner (4PL), providing an extension of your operations team to manage 3PL networks, technology, and retail-specific compliance mandates across Walmart and 100+ major retailers.

• Real-time MABD, MRBD, ship window, and cancel-by-date visibility across all Walmart POs
• EDI management including ASN generation, PO confirmation, and invoice submission
• SQEP compliance support including barcode quality monitoring and label generation
• Exception management to catch OTIF risks before shipments leave the warehouse
• Avg. $100K annual savings in retail chargebacks for clients

Talk to our team to learn how WarehouseQuote supports Walmart supplier compliance.