Where I used to work before, a vendor to Zellers, we incurred a mountain of fines that was transportation related. Everything had to be sent via EDI, ASN's had to have the truck license plates that were delivering, they had to be received 22-26 hours before the appointment, trucks needed to arrive 30 min before the appointment but were sent away if they were 45 min before - just absolute crap. I swear that they only made money on the fees and fines and not the product.
I understand the need to standardize and have measurable KPI's, especially at a level such as this, but to put monetary charges for each issue was too much. They should've went with a scorecard, rated each vendor and give them ways to become more efficient. Some vendors are great at some items and have a hard time with others.
The vendor eventually dropped Zellers because Zellers debited the product invoices against the fines. Three months later all the fines went away and we were shipping again. I guess Zellers needed that vendor.