Logistics Terminology

Links International Inc.

Accessorial Charges

A carrier's charge for services such as loading, unloading, pickup and delivery.
Activity-Based Costing

A method of expense management that identifies business activities performed, accumulates costs associated with these activities, and uses various cost drivers to trace costs of activities to the products.
Ad Hoc Reporting

Custom-designed data queries that may be used to extract and manipulate customer's data; often a one-time inquiry.
Advance Shipment Notice (ASN)

A list transmitted to a customer or consignor designating items shipped. May also include expected time of arrival.
Agency Tariff

A rate bureau publication that contains rates for many carriers.
Agent

An enterprise authorized to transact business for, or in the name of, another enterprise.
Agglomeration

The net advantage a company gains by sharing a common location with other companies.
Aggregate Tender Rate

A reduced rate offered to a shipper who tenders two or more class-related shipments at one time and one place.
Air Cargo

Freight that is moved by air transportation.
Air Carrier

An enterprise that offers transportation service via air.
Air Taxi

An exempt, for-hire air carrier that will fly anywhere on demand; air taxis are restricted to a maximum payload and passenger capacity per plane.
Air Ride Suspension

Suspension which supports the load on air-filled rubber bags rather than steel springs. Compressed air is supplied by the same engine-driven air compressor and reservoir tanks which provide air to the air brake system.
Air Waybill (AWB)

A bill of lading for air transport that serves as a receipt for the shipper, indicates that the carrier has accepted the goods listed, and obligates the carrier to carry the consignment to the airport of destination according to specified conditions.
Aircargo Agent

A representative appointed by an airline to solicit and process international airfreight shipments.
Aircargo Containers

Containers designed to conform to the inside of an aircraft. They fall into three categories: aircargo pallets, lower deck containers, and box-type containers.
All Water

Term used when the transportation is completely by water.
Any-Quantity (AQ) Rate

A rate that applies to any size shipment tendered to a carrier; usually means that no discount rate is available for large shipments.
Accounts Receivable (A/R) Management

Business functions including the management of credit risk and limits, payment terms, invoicing, and collections.
Arrival Notice

A notice from the delivering carrier to the Notify Party indicating the shipment's arrival date at a specific location (normally the destination).
Asset Tagging

Data label adhered to a product for the purpose of asset tracking at the end customer location.
Assignment

The transfer of rights, duties, responsibilities, and benefits of an agreement, contract, or financial instrument to a third party.
Auction

Selling of goods or services to the buyer with the highest offer at the time of a sale. Usually at the time of return approval, the product owner may elect to route the product to an auction service after receipt at a returns processing center.
Automated Broker Interface (ABI)

The U.S. Customs program to automate the flow of customs-related information among customs brokers, importers, and carriers.

B2B

Business-to-Business; usually refers to business or servicing transactions between two business entities.
B2C

Business-to-Consumer; usually refers to business or servicing transactions between a business and individual consumers.
Backhaul

A vehicle's return movement from original destination to original point origin.
Basing-Point Pricing

A pricing system that includes a transportation cost from a particular city or town in a zone or region (even though the shipment may not originate at the basing point).
Bill of Lading (BL, BOL or B/L)

A document issued by a carrier for the receipt of goods for shipment which also describes the terms of shipment.
Bill of Lading, Through

An interim bill of lading to cover goods from point of origin to mid-point to final destination when interchange or transfer from one carrier to another is necessary to complete the journey.
Blanket Rate

A rate that does not increase according to the distance a commodity is shipped.
Bond, In

Goods are held or transported In-Bond under customs control until either import duties or other charges are paid. Sometimes used to avoid paying the duties or charges until a later date.
Bonded Warehousing

A type of warehousing in which companies place goods in storage without paying taxes or tariffs. The warehouse manager bonds themselves to the tax or tariff collecting agency to ensure payment before release.
Booking

The act of requesting space and equipment aboard a vessel for cargo which is to be transported.
Booking Number

The number assigned to a certain space reservation by the carrier or the carrier's agent.
Boxcar

An enclosed railcar, typically forty- to fifty-feet long, used for packaged freight and some bulk commodities.
Bracing

To secure a shipment inside a carrier's vehicle to prevent damage.
Break Bulk

The process of reducing large receipts of product to separate and different SKUs, to allow stocking by case pack or single units.
Break Bulk Cargo

Cargo that is shipped as a unit or package (e.g., palletized cargo, boxed cargo, large machinery, trucks) but is not containerized.
Break Bulk Vessel

A vessel designed to handle break bulk cargo.
Broker

Can refer to: 1) an enterprise that owns & leases equipment, 2) an enterprise that arranges transportation or sales, 3) a ship agent for an owner or charterer.
Bobtail

Tractor operating without a trailer. Also refers to a straight truck.
Brokerage

A business that provides broker services; or the fee paid to a broker.

Cabotage

(1) A federal law requiring coastal and intercoastal traffic to be carried in U.S.-built and registered ships; (2) An international trade restriction limiting transportation routes to national transporters.
Cab-Over-Engine (Cabover or COE)

Truck or tractor design in which the cab sits over the engine on the chassis.
Cab-to-End (CE, CF, LP)

Distance from back of a truck's cab to the end of its frame.
Capacity Load

Freight fills a trailer before reaching weight limit, often resulting in higher freight rates.
CAPS Access

Standard daily reporting of open orders, shipments, and inventory; available via web portal or FTP.
Cargo

Freight carried by a ship, aircraft, truck, or other transport vehicle.
Cargo Weight

Total weight of all loads, gear, and supplies on a vehicle.
Carload (CL)

A shipment that completely fills a container or railcar.
Carrier

A business that transports goods or people.
Carrier Liability

Carrier is liable for loss, damage, or delay except in specific cases like acts of God or shipper.
Cartage

Transportation by truck over short distances.
Cartage Company

Provides local pickup and delivery services by truck.
Case Pack Break Bulk

Breaking down pallets into smaller packages or single units for stocking.
Certificate of Insurance

Document showing insurance has been secured for goods in transit.
Certificate of Origin

Affidavit proving the origin of goods, used for customs and foreign exchange.
Chargeable Weight

Used to calculate freight charges; may be based on dimensional or gross weight.
Chassis Weight

Weight of an empty truck without occupants or cargo.
Claim

A charge made against a carrier for issues like damage or delay during shipping.
Claims Damage Ratio

Measured as damage claims per 1,000 shipments or as a % of Cost of Goods.
Class I Carrier

Large carriers with revenues over: $5M (motor property), $50M (rail), $3M (passenger).
Class II Carrier

Mid-size carriers: $1–$5M (motor), $10–$50M (rail), $3M (passenger).
Class III Carrier

Small carriers with revenues under: $1M (motor), $10M (rail).
Class Rates

General freight rates that apply to grouped goods in a class.
Classification

Listing commodities by class and the weights required for discounts.
Collect Freight

Freight payable by consignee upon cargo arrival; not paid if goods don’t arrive.
Co-Location (Mobile Warehouse)

Specialized mobile equipment used to process outbound shipments on-site.
Commercial Invoice

Document created by seller detailing buyer/seller info, goods, and values.
Commodity Code

Code identifying a commodity for tariff or regulatory purposes.
Compliance

Meeting legal or industry standards; failure can result in loss or penalties.
Consign

To place goods in the care of another party.
Consigned Warehousing

Storage of goods until sold to the customer; ownership remains with seller.
Consignee

Person or carrier to whom goods are shipped and entrusted.
Consignor

Person or entity who ships goods to another party.
Consolidated Shipping

Combining multiple products into one shipment across locations.
Consolidation

Combining small shipments to form a larger one for better freight rates.
Consolidation Point

Location where shipments are combined for efficiency.
Consolidator

Business that combines shipments or goods to simplify logistics.
Consolidator's Bill of Lading

Issued for grouped shipments; see also House Air Waybill.
Container Freight Station (CFS)

Designated location for container packing/unpacking by carrier.
Container

Standard box used for transporting freight by ship, rail, or truck (usually 20-40 ft, ISO standard).
Container Chassis

Trailer specifically designed to transport shipping containers.
Container Load (CL)

A shipment that completely fills a freight container.
Container Number

Unique ID assigned to each freight container, used for tracking.
Container On Flat Car (COFC)

Transporting containers on rail flat cars.
Contract Carrier

Transports freight under contract with specific shippers.
Contract Warehousing

Fee-based inventory management and storage for rapid distribution.
Converter Dolly

Axle with fifth wheel used to connect and tow an additional trailer.
Conveyance

A method or means of transportation.
Cost and Freight (C&F)

Seller pays for transportation; buyer handles insurance and assumes risk.
Cost, Insurance and Freight (CIF)

Seller provides goods, insurance, and transportation in quoted price.
Country of Origin

Identifies where goods were manufactured or last substantially transformed.
Courier Service

Fast door-to-door service for small, high-value items or documents.
Cradle-to-Grave

Logistics planning covering the entire product lifecycle.
Creation / Transmission of Invoices

Generating invoice documents for outbound shipments including pricing and delivery info.
C-TPAT

Customs-Trade Partnership Against Terrorism—security initiative for importers and logistics providers.
Cube/Cubic Capacity

Interior volume of a transport unit, measured in cubic feet.
Curb Weight

Weight of a vehicle without any load or passengers.
Custom Cycle Count

Customized program for high-accuracy inventory cycle counting.
Customs

The inspection of goods entering or leaving a country; also refers to the agency performing it.
Customs Broker / Customhouse Broker

Represents importers/exporters in dealings with customs; manages documentation and duties.
Customs Clearance

Obtaining approval to move goods across international borders.
Customs Invoice

Declaration of shipment value for customs purposes.
Customs Value

Declared value of imported goods used to calculate duties.
Customs Duties

Taxes on imported goods; used to be national but now standardized within the EU.
CY (Container Yard)

A location where empty ocean freight containers are staged for dispatch.

Dangerous Substances

Products regarded as potentially dangerous and/or toxic whose classification, use, labeling and marketing are regulated by EC legislation.
D.D.G.

Declaration of Dangerous Goods (Hazardous Materials as defined in regulations) declaration document.
Dead-Heading

Operating a truck without cargo.
Delivery Date

The date on which a shipment is expected to be delivered (ETA) or actually delivered.
Delivery Receipt

his is a document tendered by the carrier making a delivery of a shipment, handed over at the time of delivery to the consignee that identifies the shipment, quantities of cartons, etc., for the receiver to confirm and if any variances exist at that time they are to be noted on the document and acknowledged by signature of both parties (driver & receiver) Dimensional Weight – The calculation of a shipment’s chargeable weight based upon the dimensions and cubic size of a shipment rather than by consideration of the actual weight (which will be a lesser amount). Factors are used to establish the dimensional weight.
D.O.

Delivery Order, a release document used to claim goods from clearance for delivery to an identified consignee & destination.
Demurrage

The penalty for exceeding free time allowed for loading/unloading under the terms of the agreement with the carrier. Demurrage is the term used in the rail and ocean industry; detention is used in the motor industry.
Density

The physical characteristic measuring a commodity's mass per unit volume or pounds per cubic foot; an important factor in ratemaking, since density affects the utilization of a carrier's vehicle.
Density Rate

A rate based upon the density and shipment weight.
Destruction

Destruction of product may be chosen as a means of disposition after product is received at returns processing center. Destruction may be standard or "green" and is typically done in conjunction with a bonded outsource partner.
Detention

The penalty for exceeding free time allowed for loading/unloading under the terms of the agreement with the carrier. Detention is the term used in the motor industry; demurrage is used in the rail and ocean industry.
DeVanning

Unloading of truck, trailer container or rail car by forklift, slip-sheet lift or by hand.
Discharge Port

The name of the port where the cargo is unloaded from the export vessel. This is the port reported to the U.S. Census on the Shipper's Export Declaration, Schedule K, which is used by U.S. companies when exporting.
Dispatching

The carrier activities involved with controlling equipment; involves arranging for fuel, drivers, crews, equipment, and terminal space.
Dock

A platform for loading or unloading trucks, trains, ships, or aircraft; or an aircraft hangar.
Dolly

Auxiliary axle assembly equipped with a fifth wheel (coupling device), towed by a semi trailer and supporting the front of, and towing, another semi trailer.
Domestic

Of or relating to trade, affairs, or business within a country.
Door-to-Door

The through-transport of goods from consignor to consignee.
Door-to-Port

The through transport service from consignor to port of importation.
Draw Back

A program under which 99% of import duties paid are recovered when goods are re-exported or in other ways comply with Customs regulations allowing recovery of duty tax payments made.
Drop Shipment

A request for the goods to go to the retailer directly from the manufacturer when the invoice comes from another party in the transaction, typically the distributor from whom the retailer would normally receive the goods.
Doubles

Combination of a tractor and two semi trailers connected in tandem by a converter dolly.
Drayage

A service offered by a motor carrier for the cartage of rail or ocean containers from a dock to an intermediate or final destination, or the charge for such cartage.
Driver Team

Team of two drivers who alternate between driving and resting.
Dry Van

An enclosed trailer (box) used for the purposes of hauling containerized commodities.
Durables

Merchandise, commodities, or supplies for sale to consumers.
Duty

The tax paid on imported goods.

E-Commerce Enabling

Enhancing an existing web site to allow secured buying.
ECCN

Export Commodity Classification Number designation within the United States Department of Commerce, Bureau of Industry & Security applied to articles subject to export controls by the United States government.
EDI (Batch)

Electronic Data Interchange; a standard format for exchanging business data. The standard is ANSI X12.
EIPP

Electronic Invoice Presentation and Payment, a method employed by carriers to bill parties for freight shipments and receive payment for the carriage electronically without the need for hard copy documentation or checks.
End of Line Terminal (Satellite Terminal)

A carrier facility that services only local deliveries and pick-ups in a specific geographic area.
En Route

A term used for goods in transit or on the way to a destination.
Estimated Delivery Date (EDD)

The date and time a package or shipment is expected to be delivered to a given destination.
Estimated Time of Arrival (ETA)

The date and time a package or shipment is scheduled or expected to arrive at a given destination; or the date and time a vehicle is expected to arrive at a given destination.
Estimated Time of Departure (ETD)

The date and time a vehicle or shipment is expected to depart on a journey.
Exclusive Use

Vehicles that a carrier assigns to a specific shipper for its sole use.
Exempt Carrier

Company which transports commodities exempted from Interstate Commerce Commission (ICC) economic regulation.
Export

Ability to ship from the United States to locations around the world with the required documentation, following government regulations and restrictions. (DPL compliant, all necessary inspections, tariffs, VAT, APO/FPO, Duties)
Export Declaration

A document required by the U.S. Treasury Department and completed by a shipper indicating the contents, value, and destination of an export shipment.

Facility Management

Assumption of the operation of a customer’s warehouse facility. Can include purchase of the facility or taking over the lease. Can include assumption and management of the customer's associates.
FCL

Full Container Load, a term used to describe either a 20 foot or 40 foot ocean container shipment.
Feeder

The operation of moving parcels from one terminal to another; synonymous with Line haul.
Fifth Wheel

Coupling device attached to a tractor or dolly, which supports the front of a semi trailer and locks it to the tractor or dolly. The fifth wheel's center is designed to accept a trailer's kingpin, around which the trailer and tractor or dolly pivot in turning.
Fixed Tandem

Assembly of two axles and suspension that is attached to the chassis in one place, and cannot be moved fore and aft.
For-Hire Carrier

Company in the business of transporting freight belonging to others.
Foreign Trade Zone

An area designated by the government of a country for free trade; a port, city, or region designated for free trade.
Free Along Side (FAS)

The seller agrees to deliver the goods to the dock alongside the overseas vessel that is to carry the shipment. The seller pays the cost of getting the shipment to the dock; the buyer contracts the carrier, obtains documentation, and assumes all responsibilities.
Free House Delivery

International shipments wherein the delivery terms are to have the goods delivered cleared through customs at the country of destination at the designated consignee location.
Free Trade

Trade between nations without customs duties or tariffs.
Free Zone/Free Trade Zone (FZ)

An area designated by the government of a country for free trade; a port, city, or region designated for free trade.
Free on Board (F.O.B.)

This expression follows an exchange point where the transition of responsibility (risk) from the buyer is made to the seller. For example, "F.O.B. Origin" means the seller agrees to deliver the goods to the point of origin.
Freight-All-Kinds (FAK)

An approach to rate making whereby the ante is based only upon the shipment weight and distance; widely used in TOFC service.
Freight Bill

The carrier's invoice for payment of transport services rendered.
Freight Charge

The rate established for transporting freight.
Freight Collect

The freight and charges to be paid by the consignee.
Freight Forwarder

An enterprise that provides services to facilitate the transport of shipments. Services can include documentation preparation, space and equipment reservation, warehousing, consolidation, delivery, clearance, banking and insurance services, and agency services.
Freight Prepaid

The freight and charges to be paid by the consignor.
Full Truck Load (FTL or FCL)

A shipment in which the freight completely fills a container or railcar. Acronym FC relates to Full Car Load.

Gaylord

A container used to hold bulk commodities, frequently 1 cubic meter in size.
Glad-hands

Connections between a semi-trailer and the powered tractor for purposes of controlling the air brake system.
Gross Combination Weight (GCW)

Total weight of a loaded combination vehicle, such as a tractor-semi trailer or truck and full trailer(s). Acronym GCW.
Gross Tonnage

The total carrying capacity of a vessel in units of 100 cubic feet.
Gross Vehicle Weight (GVW)

Total weight of a vehicle and everything aboard, including its load.

Half-Set

A term used to describe a 28 foot long trailer, normally transported in pairs (e.g. “a set”). The smallest increment available for a “truckload” rate offering.
Harmonized Code / Harmonized Commodity Description & Coding System

An international classification system that assigns identification numbers to specific products. The coding system ensures that all parties in international trade use a consistent classification for the purposes of documentation and statistical control.
Harmonized System

An international classification system for import and export commodities.
HAZMAT

Hazardous Materials, as classified by the U.S. Environmental Protection Agency (EPA). Transport of hazardous materials is strictly regulated by the U.S. Department of Transportation.
High Security Cages

Product is stored, picked and packed in a secure, limited-access environment. Shipments are escorted directly from cage onto carrier’s transport.
Hosting

Housing, serving, and maintaining files for the customer’s web site. Connection to the Internet via T-1 or T-3 lines.
Hot Seat

A term used to describe the methods employed to switch drivers on equipment without running teams or stopping for long periods of time.
Hours-of-Service

U.S. Department of Transportation safety regulations which govern the hours of service of commercial vehicle drivers engaged in interstate trucking operations.
House Air Waybill (HAWB)

A bill of lading issued by a forwarder to a shipper as a receipt for goods that the forwarder will consolidate with cargo from other shippers for transport.
Hub

A central location to which traffic from many cities is directed and from which traffic is fed to other areas.

In Bond

A shipment status in which goods are permitted to enter a country and temporarily stored for transport to a final destination where the duty will be paid.
Incentive Rate

A rate that induces the shipper to ship heavier volumes per shipment.
Independent Trucker

Trucker who owns and operates his own truck(s).
Inland

A term used to differentiate between the land and water segments of a transshipment; the domestic segment of a transshipment; a domestic shipment; on land; by land; over land; within the boundaries of a body of land; within a continent, country or region.
Inland Bill of Lading

The carriage contract used in transport from a shipping point overland to the exporter's international carrier location.
Inland Carrier

An enterprise that offers overland service to or from a point of export.
Inside Line (Real Time)

Real-time link to a providers' mainframe system.
Interchange

The transfer of cargo and equipment from one carrier to another in a joint freight move.
Interline

Two or more motor carriers working together to haul a shipment to a destination. Carriers may interchange equipment but usually they re-handle the shipment without transferring the equipment.
Intermodal Transportation

The use of two or more transportation modes to transport freight; for example, rail to ship to truck.
Inventory Control

Inventory management processes to ensure shrinkage is minimized, and product is handled efficiently and accurately. Physical inventories are conducted and discrepancies reported to inventory owner.
Inventory in Transit

Inventory in a carrier's possession, being transported to the buyer.
Issuing Carrier

The carrier whose name is printed on the bill of lading and with whom the contract of carriage exists.

Jockey

Person who operates a yard tractor.
Joint Rate

A rate over a route that requires two or more carriers to transport the shipment.
Just-in-Time (JIT)

Manufacturing system which depends on frequent, small deliveries of parts and supplies to keep on-site inventory to a minimum.
Just-In-Time Inventory (JIT)

A method of controlling and reducing direct and work-in-process inventory by having suppliers deliver material "just in time" to manufacturing. (May also be applied to other areas such as "just in time training".)

Kingpin Trailer

Anchor pin at the center of a semi trailers' upper coupler which is captured by the locking jaws of a tractor's fifth wheel to attach the tractor to the semi trailer.
Kitting

Physically combining and storing multiple products into bundle or kit to be sold as a single unit. Physical combining can be accomplished by banding items together or putting them in a separate box. Can also include documentation.

Land Bridge

The movement of containers by ship-rail-ship, such as on Japan-to-Europe moves where ships move containers to the U.S. Pacific Coast, rails move containers to an East Coast port, and ships deliver containers to Europe.
Landed Cost

The total cost of a product delivered at a given location; the production cost plus the transportation cost to the customer's location.
Landing Gear

Retracting legs which support the front of a semi trailer when it is not coupled to a tractor.
Leg

A leg has an origin, destination, and carrier and is composed of all consecutive segments of a route booked through the same carrier. Also called "Bookable Leg".
Less Than Carload (LTC)

A shipment in which the freight does not completely fill the container or railcar; or a particular consignor's freight when combined with others to produce a full carload.
Less Than Container Load (LCL)

A shipment in which the freight does not completely fill the container; or a particular consignor's freight when combined with others to produce a full container load.
Less Than Truckload (LTL)

A shipment in which the freight does not completely fill the trailer or container; or a particular consignor's freight when combined with others to produce a full truckload or full container load.
Lessee

Company or individual which leases vehicles.
Lessor

Company which leases vehicles.
Letter of Credit (LOC)

A letter from a bank or lending institution that authorizes an account holder to draw drafts within set limits, and requires the repayment of such drafts by the account holder.
Lift On, Lift Off (LO/LO)

A method by which cargo is loaded onto and unloaded from an ocean vessel, which in this case is with a crane.
Light Assembly / Modification

Providing service to modify a product from its original state. The modifications will be limited to services that can be performed without opening the casing (i.e. cell phone programming).
Line-Haul Shipment

A shipment that moves between cities and over distances more than 100 to 150 miles in length.
Linear Foot Rule

A standard tariff provision in motor carrier pricing designed to compensate carriers for shipments that take up floor space in equipment without offering much weight or ability to load other freight on top to achieve an optimal load. Normally adds significant cost to the freight bill from the carrier.
Liquidation

After receipt of unsaleable product at returns processing center, product owner may choose to sell or dispose of product for nominal pricing.
Load Tender (Pick-Up Request)

An offer of cargo for transport by a shipper. Load tender terminology is primarily used in the motor industry.
Loading Allowance

A reduced rate that carriers offer to shippers and/or consignees who load and/or unload LTL or AQ shipments.
Logistics

The science of planning, organizing and managing activities that provide goods or services.
Logo & Watermark

Branded shipping documentation which can include: customer logo printed on packing slip and shipping label, logo watermark, inclusion of recurring message about customer's business and personal message for specific end user recipients.
LTL Carrier

Trucking company which consolidates less-than-truckload cargo for multiple destinations on one vehicle.

Manifest

An itemized list of all passengers and cargo onboard a ship or aircraft; a listing of goods carried by a truck or train; or a listing of railcars in a train.
Materials Requirements Planning (MRP)

The process used to determine the amount of material to purchase and when to purchase it.
Merchandising Pallets

Building retail store displays. Unit is built on a pallet, has a false bottom and product(s) are display ready for the retail store.
Mileage Rate

A rate based upon the number of miles the commodity is shipped.
Minimum Charge

This is the lowest price that will be invoiced by a carrier for transportation services, no matter what the weight of the shipment was.

Non-Vessel Operating Common Carrier (NVOCC)

A firm that consolidates and disperses international containers that originate at or are bound for inland ports. Often a firm that offers the same services as an ocean carrier, but which does not own or operate a vessel. NVOCCs usually act as consolidator.
Next Flight Out

A phrase used to describe a requested air express shipment priority to utilize the next available direct flight to carry cargo or small express packages from one point to another with the cost for such service being a premium levels.

Ocean Bill of Lading

The bill of lading issued by the ocean carrier to its customer.
Ocean Carrier

An enterprise that offers services via ocean (water) transport.
OSA

Ocean Shipping Advice.
OSD

Over, Short, and Damaged.
Outbound Serial Number Capture

The scanning and capture of product serial number on outbound shipments for reporting and tracking purposes.
Over-the-Road

A motor carrier operation that reflects long-distance, intercity moves; the opposite of local operations.

P & D

Pickup and delivery.
P.O. Management (Inbound)

Purchase Order Management. To allow receiving of Contract Warehouse inventory, Purchase Orders (at $0) are sent by inventory owner and mirrored in systems.
Packing List

A document that accompanies a shipment and fully describes the contents of the shipment, pieces, weight and consignee. Normally used to confirm goods delivered are the same as what was said to be shipped.
Palletization

The assembly of received product onto pallets to facilitate optimum storage efficiency or replace non-compatible pallets.
Payload

Weight of the cargo being hauled.
Performance Pricing

A pricing model that offers greater discounts for heavier shipments and/or shipments traveling greater distances.
Physical Segregation of Inventory

Storage of customer product in a physically separate area away from other owner's product.
Piggyback

Semi trailer built with reinforcements to withstand transport by a railroad flatcar.
Pilferage

The theft in small amounts of goods, merchandise, or inventory.
Pintle Hook

Coupling device used in double trailer, triple trailer and truck-trailer combinations. It has a curved, fixed towing horn and an upper latch that opens to accept the drawbar eye of a trailer or dolly.
POE

Port of Entry, generally referring to the place at which goods imported are cleared through the customs process.
Positive Pay

The methods employed by financial institutions to ensure the validity of a check prior to funding or clearing the check for payment to the party making the demand.
Pre Shipment Inspection

A requirement by either a consignee, or the destination country, to have goods inspected prior to dispatch to ensure conformity with purchasing conditions.
Pre-Authorized RMA Form

Order shipping documentation which includes returns information and ship label with authorization for return.
Prepaid Freight

Freight paid by the shipper to the carrier when merchandise is tendered for shipment that is not refundable if the merchandise does not arrive at the intended destination.
Private Carrier

Business which operates trucks primarily for the purpose of transporting its own products and raw materials.
Product Disposition

Returned product can be dispositioned a number of ways, including as new to customer's inventory, return to vendor as stock balance or defective product, utilize auction, liquidation, destruction and "Green" disposal.
Pro Forma Invoice

An advanced-notice invoice used for customs requirements, or to provide shipment information to a buyer or receiver.
Pup Trailer

Short semi trailer, usually between 26 and 32 feet long, with a single axle.

Quality Assurance

The process of evaluating the condition of product upon receipt, often based on the returns authorization reason code, to manage any discrepancies and ensure product standards are met.

Rail Trailer/Trailer on Flat Car (TOFC)

Acronym for the method of transporting specially outfitted trailers that can be lifted onto a railcar specifically designed to carry trailers.
Rate Basis Point

The major shipping point in a local area; carriers consider all points in the local area to be the rate basis point.
Re-Box

In case of damage or wear from shipping, product is repacked with all materials included into manufacturer boxes.
Receiving

Arrival of inventory at a distribution center; the process of receiving involves door logging of delivery, visual inspection, count confirmation, recording of discrepancies and checking receipt against a Purchase Order.
Reconsignment

A carrier service that permits a shipper to change the destination and/or consignee after the shipment has reached its originally billed destination and to still pay the through rate from origin to final destination.
Reefer

Refrigerated trailer with insulated walls and a self-powered refrigeration unit. Most commonly used for transporting food.
Relay

Common practice in the less-than-truckload industry, in which one driver takes a truck for 8 to 10 hours, then turns the truck over to another driver, Pony Express style. Also refers to a terminal that facilitates driver substitution.
Repack

Packing of non-shippable containers into larger shippable boxes, protecting with void fill and sealing with shipping tape. Protects product during shipment and combines several smaller items into a single shipment to customer.
Repair/Refurbish

Evaluating and testing returned goods with certified technicians to restore to working order and sell as refurbished. Product can be made available for sale through standard channels or auction sites, and is then warehoused.
Reserved Inventory

Systematic ability to set aside quantities of inventory by removing it from general availability.
Restock

Saleable returned product put back into inventory.
RMA

Returns Management Authorization; the process of providing an authorization number for returned product via call center, fax, web or e-mail. Criteria would be established and adhered to ensure returns guidelines are followed.
Road Railer

Semi trailer specially designed to travel both on highway and on rails.
Routing

An instruction as to how to ship or decide to ship a consignment from a place of origin to a destination, with consideration to size and weight in addition to priority and additional conditions (e.g. no trucking services to Hawaii).

2nd-Day Shipping

Orders printed in Distribution Centers by 5pm local time for shipping the next day.
SCAC code

‘Standard Carrier Alpha Code’ issued to identify a specific carrier.
Schedule B

The descriptive listing published by the United States Government (Customs) to identify goods being imported or exported from the USA. Very similar to the Harmonized System.
SED

Shipper’s Export Declaration, a U.S. Census Bureau form used to report export transactions to various governmental agencies (e.g. Customs, Department of Commerce, Homeland Security, State & Defense Departments, & Treasury).
Shipping Advice

A communication provided to consignees and other interested parties that gives information on a particular shipment prior to the delivery of the shipment.
SLI

Abbreviation used to describe the “Shipper’s Letter of Instruction”, a document used with Freight Forwarders to dispatch shipments internationally.
Semi trailer

Truck trailer supported at the rear by its own wheels and at the front by a fifth wheel mounted to a tractor or dolly.
Ship Complete

Ensures that all the necessary parts of an order are available and will ship at approximately the same time. All shipments associated with an order are held until all of the product shipping from any distribution center location is available.
Shipment Available Date

The date the shipment will be available for transportation.
Shipment Point

A specific location from where goods will depart for movement.
Shipper

An enterprise that fulfills the request for goods or services.
Shipping Container

Standard-sized rectangular box used to transport freight by ship, rail and highway. International shipping containers are 20 or 40 feet long, conform to International Standards Organization (ISO) standards and are designed to fit in ships' holds. Containers may also be 'high cube' capacity.
Stock Keeping Unit (SKU)

Product identity, usually referring to the labeling and tracking numbers which can include description, dimensions, weight and vendor (owner) code and UPC. Does not include Tech Notes or Vendor Authorizations.
Sleeper

Sleeping compartment mounted behind a truck cab, sometimes attached to the cab or even designed to be an integral part of it.
Sleeper Team

Team of two drivers who alternate driving and resting.
Slip Sheet Breakdown

Unloads trailers or container which use slip-sheet pallets and breaks into individual units or complete standard pallets.
Spares Management

Ability to locate spare parts for a manufacturer's warranty program.
Speedsource Access

Utilization of Baserate, a freight rating and routing tool which will estimate the cost of the shipment by taking into account the shipment weight, dimension, origin and destination points, and shipping service level data.
Staging

Setting aside discrepant returned product for timely disposition by partner.
Static Message

Allows a text message to be defined and printed on every packing slip.
Storage

The housing of inventory in a secure, climate controlled facility.
Straight Bill of Lading (SBL)

A bill of lading that is non-negotiable and for which the consignment is made directly to a particular consignee.
Straight Truck

Vehicle which carries cargo in a body mounted to its chassis, rather than on a trailer towed by the vehicle.

Tandems

Pair of axles and associated suspension usually located close together.
Tare/Tare Weight

The weight of an item's container and packing; or the empty weight of a vehicle or container.
Tariff

The formal document published by a carrier to identify their pricing for services and also to publish the rules under which they will perform the services they hold themselves out for.
Terms of Sale

The conditions under which the seller quotes a price to a buyer.
Through Bill of Lading

A single bill of lading covering both the domestic (inland) and international carriage of an export shipment.
Ton-Mile

A freight transportation output measure that reflects the shipment's weight and the distance the carrier hauls it; a multiplication of tons hauled and distance traveled.
TL Carrier

Trucking company which dedicates trailers to a single shipper's cargo, as opposed to an LTL (Less Than Truckload) carrier which transports the consolidated cargo of several shippers and makes multiple deliveries.
Tracking Number

A term most commonly utilized in relation with FedEx. A tracking number can be the waybill number, air bill number, bill of lading number, or other unique reference number for identifying a particular shipment. In motor carriage it would be referred to as a “Pro Number.”
Tracing

Determining a shipment's location during the course of a move.
Trade Lane

The combination of the origin and destination points.
Transit Time

The total time that elapses between a shipment's delivery and its pickup.
Transmittal Letter

A letter from the shipper to its agent that lists the particulars of a shipment, the documents being transmitted, and instructions for the disposition of those documents.
Transit Shipment

A shipment passing between one port and another, or between a port and a final destination.
Transshipment

The transfer of cargo from one conveyance to another.
Trip Leasing

Leasing a company's vehicle to another transportation provider for a single trip.
Triple Trailers

A combination of a tractor and three semi trailers connected by two converter dollies.
Truckload (TL)

A shipment in which the freight completely fills the trailer or container. Often refers to the quantity of freight required to fill a trailer, usually more than 10,000 pounds.
Twenty-Foot Equivalent Unit (TEU)

Standardized unit for measuring intermodal container capacity on ships, railcars, etc.
24 x 7

Access to operations support, such as customer service call centers, available 24 hours a day, 7 days a week.
Twin Trailers

Combination of a tractor and two semi trailers connected in tandem by a converter dolly.

Vessel

A craft designed for water transportation.

Weight Break

The shipment volume at which the LTL charges equal the TL charges at the minimum weight.
Warehouse-to-Warehouse

A clause in a warehouse policy that defines when coverage begins and ends.
Warfare

A fee charged for cargo passing through a pier or dock. (aka Wharfage Fee)

Yard Jockey

Person who operates a yard tractor.
Yard Mule/Yard Tractor

Special tractor used to move trailers around a terminal, warehouse, distribution center, etc.

Zone

A geographic area defined by zip codes. Usually relating to the distance from an origin point.

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Logistics Terminology

Links International Inc.

Logistics Terminology

Accessorial Charges

Activity-Based Costing

Ad Hoc Reporting

Advance Shipment Notice (ASN)

Agency Tariff

Agent

Agglomeration

Aggregate Tender Rate

Air Cargo

Air Carrier

Air Taxi

Air Ride Suspension

Air Waybill (AWB)

Aircargo Agent

Aircargo Containers

All Water

Any-Quantity (AQ) Rate

Accounts Receivable (A/R) Management

Arrival Notice

Asset Tagging

Assignment

Auction

Automated Broker Interface (ABI)

B2B

B2C

Backhaul

Basing-Point Pricing

Bill of Lading (BL, BOL or B/L)

Bill of Lading, Through

Blanket Rate

Bond, In

Bonded Warehousing

Booking

Booking Number

Boxcar

Bracing

Break Bulk

Break Bulk Cargo

Break Bulk Vessel

Broker

Bobtail

Brokerage

Cabotage

Cab-Over-Engine (Cabover or COE)

Cab-to-End (CE, CF, LP)

Capacity Load

CAPS Access

Cargo

Cargo Weight

Carload (CL)

Carrier

Carrier Liability

Cartage

Cartage Company

Case Pack Break Bulk

Certificate of Insurance

Certificate of Origin

Chargeable Weight

Chassis Weight

Claim

Claims Damage Ratio

Class I Carrier

Class II Carrier

Class III Carrier

Class Rates

Classification

Collect Freight

Co-Location (Mobile Warehouse)

Commercial Invoice

Commodity Code

Compliance

Consign

Consigned Warehousing

Consignee

Consignor

Consolidated Shipping

Consolidation