Guidelines
and Definitions
There are five scenarios where EDI contracts are concerned.
One is, an "Off Invoice" for a specified period of time.
Second is, a "Billback" with a prepaid account.
Third, we have a "Lump Sum" billback with a pre-set dollar
limit. Fourth, a "Flat
Rate" sum to be billed for performance.
Fifth a scan down contract. In
order to properly enter these five scenarios into the EDI system, please
follow
the guidelines and terminology listed below:
In every case, please use the notes to identify your brokerage firm or
vendor name first. This will ensure
that we will return a copy of the completed contract once it has passed through
all systems completely. This will
allow vendors and brokers to monitor the accuracy of the deals that they send,
and Kroger accepts.
(1)
OFF INVOICE
In the first scenario, items are entered by case upc.
A group one off invoice amount is set for each item. The beginning and
ending date is set. (Always begin
with a Sunday/Monday and end with Friday/Saturday).
Notes should be used in this case to identify a vendor/broker and a cash
control number.
(2) BILLBACK with PREPAID ACCOUNT
The second scenario, items are entered by case upc.
A group two "Billback" amount is set for each item by the case.
A beginning and ending date is set for the contract. (Always begin with a Sunday/Monday and end with
Friday/Saturday). Notes should be
used in this case to identify a vendor/broker, a cash control number or prepaid
account number. A billback can be
used to bill from a prepaid account, but is not mandatory. Otherwise, off invoice should be used in all cases.
(3) LUMP SUM (BILLBACK with a LIMIT)
The third scenario will be termed a "Lump Sum"
contract. This will be entered as a
billback, as stated in scenario two, however, the notes should state,
vendor/broker, the cash control number, and the "Lump Sum" amount that
will limit the contract to that specific dollar amount.
Always use the term "Lump Sum" with the limit amount in the
notes.
A billback amount per case should be predetermined and entered
by case upc in EDI.
After the contract is accepted in the Kroger CRPS system our
contract desk will convert the billback to a LUMP SUM, and enter the limit.
Limits can only be placed on contracts sent through edi as billbacks.
Lump Sum Contracts may NOT be done for KATS OFF
or DSD contracts.
(4) FLAT RATES
Scenario four, a flat rate contract can be entered through EDI
by using the following method:
A one week time period, one valid case upc with 0 off invoice.
In the note section list vendor/broker name, a cash control number, the
term "Flat Rate" and the dollar amount.
Another brief note may accompany this information to reference the
purpose of the contract. i.e.:
5,000.00 "Flat Rate" ad fee for ABC brand.
Flat Rates may be used with KATS OFF contracts.
(5) SCAN DOWN CONTRACTS
The fifth scenario will be termed a "Scan Down"
contract. Since Kroger Michigan
Ad's run Monday through Sunday scan downs must be entered for a two week period.
they can be entered in the same manner as scenario one. A scan down
amount for each item by case upc and a time period as stated.
Notes must be used in this
case to identify a vendor/broker, a cash control number, and the term "Scan
Down". There should be a
contract sent for each different scan down amount.
By using these five scenarios and following these guidelines and
terminology, we will be able to accept deals on a timely basis and return copies
of contracts to vendor/brokers for their future reference and back up.
By standardizing the terminology and understanding the definitions RASC,
the KMA contract desk and each vendor/broker will understand the purpose of each
contract. Contracts should never be
combined and each deal or scenario should be sent as a separate contract to
avoid confusion.
