| Annual shipment value (weekly × 52) | $5,200,000 |
| OTIF gap (98% − 88%) | 10.0 pts |
| Fine rate applied to gap | 3.0% |
| Estimated annual exposure | $156,000 |
Material exposure. At $156,000/yr, this is at the edge of Severe — usually a systemic issue, not one-off stockouts.
A double-digit OTIF gap at this volume is rarely a demand-planning problem \u2014 forecasts miss by a point or two, not ten. Most often it traces to carrier-pickup timing slipping past the retailer's appointment window, or an ASN/EDI transmission lag between your warehouse system and your ERP that pushes the advance ship notice past the compliance deadline. Both are systems and scheduling fixes, not headcount problems, and both are traceable in about two weeks from your existing scorecard and remittance data.
Estimates only. If we find less than $25K of annualized recoverable margin on a full scan, it's free.