Logistics Glossary

Acceptance of Goods: The process of receiving goods at a warehouse.
ABC Analysis: A classification method to prioritize inventory based on value.
Automated Warehouse: A warehouse where storage and retrieval are automated.
Air Freight: The transportation of goods by air.
Agent: A person or company authorized to act on behalf of another in logistics operations.
Arrival Notice: A document notifying the arrival of goods at a destination.
Antrepo: A bonded warehouse where goods are stored under customs control.
Allocation: The process of assigning resources or inventory to a specific purpose.
Availability: The state of being in stock or ready for use.
Assembly Line: A production method where products are assembled in a sequence of steps.

Bill of Lading: A legal document issued by a carrier detailing the goods being transported.
Bulk Cargo: Goods that are transported unpackaged in large quantities.
Backorder: An order for a product that is not currently in stock.
Barge: A flat-bottomed vessel used for transporting goods on rivers or canals.
Broker: An intermediary who arranges the transportation of goods.
Bonded Warehouse: A warehouse where goods are stored without paying customs duties.
Break Bulk: The process of unloading and distributing a large shipment into smaller lots.
Box Truck: A truck with an enclosed cargo area.
Barcode: A code consisting of a series of bars and spaces that can be read by a machine.
Booking: The reservation of space for cargo on a vessel or other mode of transport.

Cargo: Goods transported by a ship, aircraft, or other vehicle.
Customs Clearance: The process of getting goods through customs to enter a country.
Consignment: Goods sent by a consignor to a consignee.
Container: A large, standardized shipping box used for transporting goods.
Cross-Docking: A logistics practice where products are directly transferred from incoming to outgoing trucks.
Cold Chain: The temperature-controlled supply chain for perishable products.
Carrier: A person or company that transports goods.
Consolidation: The process of combining smaller shipments into a larger shipment.
Contract Logistics: Outsourcing logistics services to a third-party provider.
Cargo Insurance: Insurance covering loss or damage of goods during transport.

Distribution Center: A warehouse used to store and distribute products.
Delivery Note: A document accompanying a shipment listing the products delivered.
Dispatch: The process of sending goods to a destination.
Dock: A platform for loading and unloading cargo from vehicles.
Drop Shipping: A retail fulfillment method where the store doesn’t keep inventory in stock.
Duty: A tax imposed on imports and exports.
Dangerous Goods: Items that require special handling due to their hazardous nature.
Deadweight Tonnage (DWT): The maximum weight a ship can carry, including cargo, fuel, and crew.
Demurrage: A charge for delaying the release of a cargo beyond the agreed time.
Direct Shipment: Shipping goods directly from the supplier to the customer.

Ex Works (EXW): An Incoterm where the seller makes the goods available at their premises.
E-commerce: The buying and selling of goods and services online.
End-to-End Logistics: Managing the entire supply chain from production to delivery.
Electronic Data Interchange (EDI): The transfer of data between different companies using electronic means.
Export: The process of sending goods to another country for sale.
Embargo: A prohibition on trade with a specific country or the exchange of specific goods.
Express Delivery: Fast shipping services for urgent deliveries.
ETA (Estimated Time of Arrival): The projected arrival time of a shipment.
ETD (Estimated Time of Departure): The projected departure time of a shipment.
Exchange Rate: The value of one currency for the purpose of conversion to another.

Freight Forwarder: A company that arranges the transport of goods on behalf of shippers.
Full Truckload (FTL): A shipment that takes up an entire truck.
Freight: Goods transported by truck, train, ship, or plane.
Free On Board (FOB): An Incoterm where the seller delivers goods on board the ship.
FIFO (First In, First Out): An inventory management method where the oldest stock is used first.
Freight Bill: An invoice for the cost of transporting goods.
Free Trade Zone (FTZ): A designated area where goods can be imported, stored, and exported without customs duties.
FCL (Full Container Load): A shipment that occupies the entire container.
Freight Rate: The charge for transporting goods.
Freight Terminal: A facility where cargo is loaded and unloaded.

Goods: Products or commodities.
Global Positioning System (GPS): A satellite-based system used for tracking locations.
Gross Weight: The total weight of goods, including packaging and transport equipment.
General Cargo: Goods that can be transported without special handling requirements.
Green Logistics: Environmentally friendly practices in the logistics industry.
Gateway: A major entry point for goods entering a country.
Groupage: The consolidation of small shipments into a single larger shipment.
Ground Transportation: The movement of goods by road or rail.
Goods Receipt: The process of receiving and recording delivered goods.
Geofencing: A virtual geographic boundary for tracking the location of vehicles or goods.

Handling: The process of moving goods within a warehouse or between locations.
Hub: A central point in a logistics network where goods are consolidated and distributed.
Hazardous Materials (HazMat): Dangerous goods that require special handling.
Handover: The process of transferring responsibility for goods from one party to another.
High Cube Container: A container that is taller than standard containers, providing more cargo space.
Hybrid Logistics: Combining different modes of transport to optimize the supply chain.
Haulier: A company that transports goods by road.
Home Delivery: The delivery of goods directly to a customer’s home.
Heavy Lift: The transportation of extremely heavy or oversized items.
Holding Cost: The cost of storing inventory.

Inventory: The stock of goods held by a business.
Intermodal Transport: The use of multiple modes of transportation for a single shipment.
Incoterms (International Commercial Terms): A set of rules defining the responsibilities of buyers and sellers in international trade.
Inbound Logistics: The process of receiving and storing goods from suppliers.
Inventory Management: The process of overseeing and controlling the ordering, storage, and use of inventory.
Import: The process of bringing goods into a country for sale.
Invoice: A document detailing the products or services provided and the amount due.
Insurance: A contract providing financial protection against loss or damage.
International Shipping: The transportation of goods across international borders.
Item: A single unit of goods.

Just-in-Time (JIT): A production strategy that reduces inventory by delivering materials just when they are needed.
Joint Venture: A business arrangement where two or more parties agree to pool their resources for a specific project.
JIT II: An enhanced JIT system where suppliers are integrated into the production process.
Jumbo Transport: The transportation of large and heavy goods.
Junction: A point where two or more routes intersect.
Job Order: An order issued for the production of specific goods.
Jettison: The act of throwing cargo overboard to lighten a vessel in an emergency.
Junction Box: An enclosure that houses electrical connections.
Jib Crane: A type of crane with a horizontal arm used for lifting.
Journey Management: The planning and monitoring of vehicle trips.

Kitting: The process of assembling individual items into a single package.
Key Performance Indicators (KPIs): Metrics used to measure the performance of logistics operations.
Kilogram (kg): A unit of weight in the metric system.
Kilometer (km): A unit of distance in the metric system.
Knowledge Management: The process of capturing, distributing, and effectively using knowledge within an organization.
Knockdown: Products shipped in parts to be assembled at the destination.
Knot: A unit of speed used in maritime and air transport.
Kickoff Meeting: An initial meeting to discuss the details of a logistics project.
Kitting List: A list of components needed to assemble a kit.
Key Account Management: The management of important customer relationships.

Logistics: The management of the flow of goods from origin to consumption.
LTL (Less Than Truckload): A shipment that does not require a full truckload.
Lead Time: The time taken from placing an order to receiving the goods.
Loading: The process of placing goods onto a transport vehicle.
Last Mile Delivery: The final step in the delivery process, where goods are delivered to the customer.
Logistics Service Provider (LSP): A company that provides logistics services.
Lading: The act of loading cargo onto a vehicle.
Liability: Legal responsibility for damage or loss.
License Plate Number (LPN): A unique identifier for vehicles used in logistics.
Logistics Network: A system of interconnected logistics facilities and services.

Material Handling: The movement, protection, storage, and control of materials throughout the supply chain.
Multi-Modal Transport: The use of more than one mode of transportation for a single shipment.
Manifest: A document listing the cargo, passengers, and crew on a vessel or vehicle.
Minimum Order Quantity (MOQ): The smallest amount of a product that a supplier is willing to sell.
Milestone: A significant event or point in a logistics project.
Marine Insurance: Insurance covering loss or damage to ships and cargo.
Market Demand: The total amount of a product that customers are willing and able to purchase.
Mode of Transport: The method used to transport goods, such as air, sea, rail, or road.
Margin: The difference between the cost and selling price of a product.
Monitoring: The process of tracking the status and progress of logistics operations.

Network Optimization: The process of improving the efficiency of a logistics network.
Negotiation: The process of reaching an agreement between parties.
Non-Tariff Barrier: A restriction on international trade that does not involve tariffs.
NVOCC (Non-Vessel Operating Common Carrier): A company that provides ocean shipping services without owning vessels.
Nominal Weight: The standard or average weight of a product.
Net Weight: The weight of goods excluding packaging.
Notice of Arrival: A document notifying the consignee of the arrival of a shipment.
Nesting: The practice of placing items inside each other to save space.
Navigation: The process of planning and controlling the movement of a vehicle.
Niche Market: A specialized segment of the market for a particular product.

Order: A request for the supply of goods or services.
Outbound Logistics: The process of storing, transporting, and distributing goods to customers.
Overhead: The ongoing administrative costs of operating a business.
Oversize Cargo: Goods that exceed the standard dimensions for transport.
Outsourcing: The practice of contracting out business processes to third-party providers.
On-Time Delivery (OTD): The percentage of orders delivered on or before the scheduled date.
Overpack: Additional packaging used to protect goods during transport.
Order Fulfillment: The complete process of receiving, processing, and delivering an order.
Optimization: The process of making logistics processes as efficient as possible.
Automatic Identification: The automatic identification and tracking of goods or shipments.

Partial Load: A load that does not fill an entire transportation unit.
Pallet: A flat platform used for storing and transporting goods.
Packing: The process of packaging products for transport or storage.
Pilot: A person who navigates a ship or aircraft.
Partial Transportation: The transport of loads that do not fill an entire transportation unit.
Postal Service: A service that transports and delivers letters, documents, and small packages.
Planning: The process of organizing and scheduling logistics operations.
Packaging Cost: The cost of packaging products for transport or storage.
Project Cargo: Large-scale transportation projects requiring special equipment and planning.
Positioning: The placement of products at a specific location and time.

Shelf Management: The process of organizing and arranging products on shelves in stores or warehouses.
Booking: The arrangement of transportation or warehouse services in advance.
Cycle Stock: Inventory that is regularly consumed and replenished based on demand.
Routing: The process of planning the movement of vehicles along the most efficient routes.
Trailer: A load-carrying unit pulled by a tractor vehicle.
Dock: A platform where ships are loaded and unloaded.
Risk Management: The process of identifying and managing potential risks in logistics processes.
Escort: A vehicle or person accompanying a transportation vehicle for security or special requirements.
Reserved Stock: Inventory set aside for a specific customer or purpose.
Tugboat: A small vessel that guides ships in and out of ports.

Order: A request for the supply of goods or services.
Inventory: The stock of goods held by a business.
Dispatch: The process of sending goods to a destination.
Insurance: A contract providing financial protection against loss or damage.
Stock Control: The process of managing and tracking inventory.
Shipment: The process of transporting goods from one place to another.
Delivery Note: A document listing the details of the delivered goods.
Inventory Turnover: The rate at which inventory is sold and replaced within a specific period.
Fixed Costs: Expenses that do not change with the level of production or distribution.
Insurance Policy: A document outlining the terms and conditions of an insurance agreement.

Transport: The movement of goods or people from one place to another.
Supply Chain: The entire process of producing and delivering a product, from raw materials to the final consumer.
Transit Time: The time it takes for a shipment to travel from the origin to the destination.
Wholesaler: A person or company that sells goods in large quantities to retailers.
Carrier: A person or company that transports goods.
Transport Document: A document that details the goods being transported and the terms of the transport.
TIR Carnet: A customs document used in international road transport.
Supplier: A person or company that provides goods or services.
Portable Container: A container that can be easily transported and reused.
Procurement Management: The process of acquiring goods, services, or products.

Production: The process of manufacturing goods from raw materials.
International Transport: The transportation of goods across international borders.
Ministry of Transport: A government department responsible for transportation policies and regulations.
Product Return: The process of returning a purchased product to the seller.
Compliance: Adherence to laws, regulations, and standards.
Product Management: The process of developing, marketing, and distributing products.
Third-Party Logistics (3PL): A company that provides outsourced logistics services.
International Trade: The exchange of goods and services between countries.
Transport Networks: Systems of interconnected routes for different modes of transport.
Production Planning: The process of organizing and scheduling production activities.

Destination: The place where goods are delivered.
Wagon: A vehicle used for transporting goods by rail.
Tax: A financial charge imposed by a government on goods, services, or income.
Trolley: A small vehicle used for transporting goods on rails.
Volumetric Weight: The weight of cargo calculated based on its volume.
Database: A system for storing and managing data.
Crane: A machine used for lifting and moving heavy objects.
Volumetric Measurement: The process of measuring the volume of cargo.
Shift: A period during which workers perform their duties.
Data Analysis: The process of examining data to extract meaningful insights.

Freight: Goods transported by a carrier.
Loading: The process of placing goods onto a transport vehicle.
Loading Point: The location where goods are loaded onto a vehicle.
Management: The process of organizing and controlling logistics operations.
Load Capacity: The maximum amount of cargo that a vehicle can carry.
Loading Report: A document prepared during the loading process.
Spare Parts: Replacement parts for vehicles or machinery.
Local Distribution: The process of delivering products within a local market.
Management Information System (MIS): A system used for tracking and reporting logistics processes.
Loading Area: The area where goods are loaded or unloaded.

Chain Management: The process of managing supply chain activities.
Schedule: A plan for logistics operations, including timing and sequencing.
Custody: The responsibility for the care and control of goods.
Consigned Goods: Goods sent to an agent for sale.
Assignment: The transfer of responsibility for goods to a specific person or organization.
Time Management: The process of managing time efficiently in logistics operations.
Damage Insurance: Insurance coverage for damage to goods during transport.
Custody Record: A record documenting who has received and transferred custody of goods.
On-Time Delivery: The delivery of goods within the agreed timeframe.
Custody Document: A document proving the transfer of responsibility for goods