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Logisticscomplexon-timeSLAtiered

Logistics (on-time delivery, tiered)

Carrier earns a bonus or takes a penalty based on monthly on-time delivery rate, in tiers.

When to use this

Use to align a carrier or 3PL on service quality with real upside/downside. Define tiers around your target OTD% (e.g. bonus above 98%, penalty below 95%); keep the neutral band wide enough to absorb normal variance.

What’s pre-filled

PartiesShipper Co. (payor), Carrier Co. (payee)

Term12 months

OutcomesOn-time delivery rate

Formulatiered: base_freight * (otd_rate >= 0.98 ? 1.03 : otd_rate < 0.95 ? 0.95 : 1.00)

Verifiercounterparty_audit

Settlementach · net 30 days from monthly OTD report

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