Performance Violations and Resolutions Policy
Cahoot identifies and tracks performance violations and fulfillment errors (order defects) to maintain high service standards across our fulfillment network. When violations occur, we follow these guidelines to Make it Right for customers and sellers.
What Are Performance Violations?
Performance violations are tracked incidents where Cahoot Fulfillment Partners (CFPs) fail to meet established service standards. These violations are categorized by specific codes that determine the appropriate resolution and any penalties.
Types of Violations
Violation categories include:
- Shipping and delivery errors
- Inventory handling issues
- Process compliance failures
- Documentation and tracking problems
Impact on Your Cahoot Rating
Many violations result in a Reduced Payout and Lower Cahoot Rating, which can affect:
- Future order allocation
- Network participation eligibility
- Partnership status
Late Shipment
Violation: Order shipped after the required ship date
Resolution: The fulfillment will not be counted as payable and the CFP will be invoiced for an expedited shipping label (if required) to ensure on-time delivery.
Rating Impact: Lower Cahoot Rating
Inventory Damaged Before Shipping
Violation: Inventory was damaged at the CFP location before shipping
Resolution: The fulfillment will not be counted as payable and the CFP will be billed the full retail price of the item(s) + shipping cost.
Rating Impact: Lower Cahoot Rating
Order Missing Contents
Violation: Order shipped without all required items
Resolution: The fulfillment will not be counted as payable and the CFP will be billed the full retail price of the item(s) + shipping cost.
Rating Impact: Lower Cahoot Rating
Shipped Wrong Item, Size, or Quantity
Violation: Incorrect product, size, or quantity shipped to customer
Resolution: The fulfillment will not be counted as payable and the CFP will be billed the full retail price of the item(s) + shipping cost.
Rating Impact: Lower Cahoot Rating
Incorrect Packaging Used
Violation: Wrong packaging materials or methods used for shipment
Resolution: CFP will be billed the replacement cost of the shorted quantities + any increased shipping label cost (if applicable).
Inventory Lost, Misplaced, or Damaged
Violation: Inventory is lost, misplaced, or damaged by no fault of Cahoot or the Seller
Resolution: CFP will be billed the full retail price of the item(s).
Order Not Barcode Scan Verified
Violation: Order processed without proper scan verification
Resolution: The fulfillment will not be counted as payable.
Rating Impact: Lower Cahoot Rating
End of Day Form Not Scanned
Violation: Required end-of-day documentation not properly scanned
Rating Impact: Lower Cahoot Rating
Inbound or Work Orders Not Ready on Time
Violation: Inbound shipment not received and ready for fulfillment on scheduled date
Resolution: Inventory allocation may be throttled or existing inventory may be removed.
Repeated Performance Violations
Violation: Pattern of multiple performance violations
Resolution: Suspension or removal from the Cahoot network. CFP payments for fulfillment services rendered may be subject to adjustment or forfeiture.
Rating Impact: Network suspension or removal
Preventing Shipping Violations
- Check order assignments: Verify which orders are assigned to your CFP before shipping
- Meet ship dates: Process and ship orders by the required ship date
- Use proper tracking: Ensure all shipments have proper tracking and scan verification
Preventing Inventory Violations
- Handle with care: Implement proper inventory handling procedures
- Quality control: Inspect items before shipping to prevent damage
- Accurate picking: Double-check item, size, and quantity before packing
- Proper storage: Maintain appropriate storage conditions to prevent damage
Preventing Process Violations
- Scan verification: Always scan orders for proper verification
- End-of-day procedures: Complete and scan all required daily documentation
- Inbound scheduling: Ensure inbound shipments arrive on scheduled dates
- Communication: Maintain clear communication with Cahoot about any delays or issues
When a Violation Occurs
1Notification: You'll be notified of the violation through your Cahoot dashboard.
2Review: Review the violation details and understand the specific issue.
3Resolution: The appropriate resolution (as outlined above) will be automatically applied.
4Prevention: Implement measures to prevent similar violations in the future.
Understanding Financial Impact
Potential charges may include:
- Full retail price of items + shipping costs
- Expedited shipping label costs
- Replacement costs for damaged items
- Loss of fulfillment payments
Improving Your Cahoot Rating
- Focus on consistent, error-free fulfillment
- Implement quality control processes
- Maintain proper documentation and scanning procedures
- Communicate proactively about any potential issues