The core of a thriving warehouse lies in its ability to effectively manage inventory. The process of receiving sets the tone for storage, picking, packing, and overall success. This article covers LVK's guidelines, best practices, and strategic insights into proper Receiving.
Receiving Spot Checks
Standard Bin & Pallet Size
Product Requirements
Potential Reasons for Non-Compliance
Non-Compliance Fees
Frequently Asked Questions
Additional Resources
Receiving Spot Checks
- All Shipping Plans (SPs) will be spot-checked for accuracy to continue offering uniformity across our warehouse network.
- We will check at least one carton per SKU in the Shipping Plan. If that carton is accurate, we will not count the individual units for the remaining cartons. We will assume the remainder is accurate and received in full (According to the SP) without additional count. There is no charge to you when the spot check is accurate. SH will not be liable for any underage/overage within 1.5% for SPs that pass our spot check process.
- If any of the counted cartons are inaccurate, LVK will count the entire SP to ensure an accurate inventory. The merchant is responsible for the cost of LVK counting the entire SP. You will be charged on an hourly basis. Work completed in the US $45/hr. USD and work completed in Canada $50/hr CAD.
- If we find that your Shipping Plans or certain vendors need to be more accurate, we will always require a full count upon receiving them, and you will be charged for that labor.
Standard Bin & Pallet Size
When our warehouses receive inventory, it will be received into a Bin location (so that we can pick the items when there are orders) and the remainder will go into a Pallet location.
- Bin size: 16" x 20" x 24" 4.4 cubic feet
- Pallet size: 40" x 48" x 63" 61 cubic feet
We cannot guarantee how many units of your inventory will fit into a Bin or Pallet. The warehouse at its discretion will allocate inventory across bins and pallets.
Product Requirements
Barcodes & SKUs
- Each product must have a unique SKU. SKUs must be created on your sales channel. Products that arrive without SKUs will incur a relabeling fee of $0.18 per unit.
- Barcodes must be present on all products or case product. They must be clear and scannable.
Hazmat SKUs
- Before sending your Hazmat products, please provide LVK with the MSDS file so we can apply the proper label and carrier mapping.
- There may be a charge of $0.50 per order, if applicable.
Lots & Expiration
- You must add the visible product lots, expiration dates and/or numbers so LVK can track the product.
- Each product/SKU that requires tracking will incur a $0.05 shipping fee per unit shipped.
Fragile Product Requirements
LVK will only store and pack fragile items if they come pre-packed in a sealed, barcoded protective box.
- Items that arrive at the warehouse "loose" or not in a sealed container will be returned to the manufacturer or merchant at the merchant's expense.
- For any SKU or order that requires bubble wrap (or similar protection) in the packing process, $0.50 in US and $0.67 CAD per unit per order will be added.
- If you need Geami paper, it will cost $1.85 per order. More info HERE
NOTE: LVK does not assume any liability for fragile items broken in receiving, storing, processing, and shipping items.
Potential Reasons for Non-Compliance
All non-compliant Shipping Plans that arrive at the warehouse may be subject to automatic fees if:
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- An appointment has not been scheduled.
- A Shipping Plan has not been created.
- Delivery doesn't have clear pallet/carton tags applied.
- Delivery doesn't have scannable barcodes on each case and/or unit. More about master case barcodes HERE.
- Incomplete packing slip and units.
- SKUs with incorrect barcodes or no barcodes.
- Mixed SKUs in one box, and it's not specified on the label or clearly separated using dividers or poly. Applicable to ALL boxes received at warehouses, including individual boxes on pallets.
- Mixed SKUs or Lots on pallets, and it is not specified on the carton label or pallet label.
- Ship less than 25 units per SKU on the shipping plan if you have Rock Returns integrations.
- Delivery doesn't follow our Inbound pallet height restriction = Less than 63" in height and no double-stacked skids.
NOTE: LVK reserves the right to reject inventory that doesn't follow our stated receiving guidelines.
All non-compliant Shipping Plans that arrive at the warehouse may be subject to automatic fees:
- 1st Offense: $35 fine per Non-Compliant SP, as well as any additional costs for labor and supplies to make the delivery compliant.
- 2nd Offense: $75 fine per Non-Compliant SP, as well as any additional costs for labor and supplies to make the delivery compliant.
- 3rd Offense: $125 fine per Non-Compliant SP, as well as any additional costs for labor and supplies to make the delivery compliant.
- If offenses continue, you will be charged $125 per SP for non-compliance fines.
- If you have Rock Returns integration and the Shipping Plan is Non-compliant you will be charged $1 per unit to receive.
NOTE: While creating your Shipping plan, a pop up will alert you about the possible fees:
Frequently Asked Questions
Q: What if I want LVK to count my SP in full every time instead of a spot check?
A: LVK is always happy to count all inventory. For this extra service, the fees will be $45 per hour in the US and $50 CAD in Canada. Please submit a ticket HERE to confirm this is how you want to proceed.
Q: Why is LVK implementing this policy?
A: We want to ensure an accurate inventory account in our warehouses. We need to charge Merchants who send in inaccurate inventory to do this.
Additional Resources
- Read more about our Receiving Overview HERE
- You can also watch our FAI (First Article Inspection) video: