Logistics Words


Date Code
A code attached to merchandise to show when it was packaged, placed on display, should be removed from display, or should be used. Codes facilitate rotation and help prevent the sale of off-quality items. See Code-Dated.
A truck returning empty to the distribution center.
Dead-Pile Loading
Manual stacking of cases on the floor of trucks or rail cars.
Dedicated Carriage
A third-party service that dedicates equipment and drivers to a single customer for its exclusive use.
Demand Chain
It emphasis on customer or end-user demand pulling materials and product through the chain.
Demand Management
The process of matching future demand with (sometimes constrained) projected available supply.
Demand Planning (DP)
The process of forecasting and managing the demand for products and services by end users, as well as by intermediate supply chain members.
Deployment Planning and Scheduling
Specifications on how to deploy available supplies to satisfy demand requirements.
Detention Charge
A penalty charge against shippers or receivers for delaying trucks beyond an allotted time.
Goods are moved out of the container.
Direct Labor
Labor that is used to handle merchandise physically. It is used as the traditional basis for comparison of performance.
The movement of products from where they are made to where they are used. There are four levels of food store distribution: manufacturing, wholesaling, retailing, and consuming.
Distribution Center
Wholesale facility of a chain-store company or distributor.
Distribution Channel
The selling channels supported by an enterprise. These may include retail sales, distribution partner (e.g., wholesale) sales, original equipment manufacturer (OEM) sales, Internet exchange or marketplace sales, and Internet auction or reverse auctions sales.
Distribution Planning
The ability to assess where products and services should be deployed and determine the stock-keeping unit/location-level replenishment plan.
Generally refers to a wholesaler. However, it also refers to a specialized wholesaler who handles one brand or category of product (e.g., appliances, automotives, and glassware).
A collection of dock doors where trucks or rail cars are loaded (shipping) or unloaded (receiving).
Dock Door
Used to load or unload trailers or vans. Each dock door is identified individually within the system.
Documentary Credit
Many types of documents used between buyers and sellers and their respective banks to support payment and transfer title for goods shipped. May be in the form of letters of credit (LOC or L/C), bank guarantees, or forwarder cargo receipts (FCR).
Double-Deep Storage
A location with pallets placed two deep into a rack or floor slot.
Double-Length Pallet Jack
A pallet jack that can accommodate two pallets per trip. See also Pallet Jack.
A service offered by motor carrier for cartage of rail or ocean containers from a dock to an intermediate or final destination.
Drive-In Rack
See Rack.
Drive-Through Rack
See Rack.
The action of goods to be delivered to customer.
Dry Grocery
Non-perishable, unrefrigerated packaged products found in food stores.
Dry Grocery Nonfoods
Nonfood products that are bought by the grocery buyer, handled in the main grocery warehouse, ordered by stores in full cases, and displayed in stores on standard shelving. Examples include household cleaning products, paper napkins, laundry detergents, and insect repellents.
Loose material used around cargo to prevent damage.
Duty Drawback
The process of obtaining refunds of duty from customs when exporting an article in the same condition as imported, or when imported parts are included in a manufactured article. Similar to European outward processing and inward processing regimes.

E (top)

The simplest meaning can be conducting business online. http://www.netlingo.com/lookup.cfm?term=e-commerce
ECR (Efficient Consumer Response)
A consumer goods (primarily grocery) initiative aimed at reducing inefficient practices and waste in the supply chain.
EDI (Electronic Data Interchange)
A computer system developed in 1982 that enables companies to communicate electronically using Uniform Communications Standards (UCS). EDI can be used for order entry, invoices, and correspondence which eliminates the need for typewritten documents.
EFR (Efficient Food Service Response)
A food service initiative aimed at reducing inefficient practices and waste in the supply chain.
Electronic Ordering
Ordering merchandise from suppliers through a computer hook up.
EOQ (Economic Order Quantity)
An inventory model that determines order quantity that meet customer service levels while minimizing total holding costs.

F (top)

4PL (Fourth Party Logistics)
A supply chain co-ordination and management by an entity that does not supply (operate) underlying logistical services.
FCL (Full-Container Load)
The merchandise loaded in the container is all from the same customer.
FGI (Finished Goods Inventory)
Products completely manufactured, packaged, stored, and ready for distribution.
FIFO (First-In, First-Out)
Using the first-in, first-out (FIFO) method to stock and sell merchan-dise; the oldest is sold first to ensure quality and freshness. Rotation is often guided by code-dating.
Fill Rate
The percentage of order items that picking operation fills within a given time.
Fixed Costs
Costs which do not fluctuate with business volume in the short run.
Fixed Slot
A preassigned and permanent location on the selection line for a particular item or case(s) of merchandise. See also Floating Slot.
Fixed-Measure Trade Item
An item always produced in the same predefined version (e.g., type, size, weight, content and design) that may be sold at any point in the supply chain.
Floating Slot
A random location on the selection line for a particular item or case of merchandise. Inbound pallets are placed in the first available open slot (or in several different, non-adjoining slots). See also Fixed Slot.
Floor Chain Towveyor
An in-floor, motor-driven, endless chain to which four-wheel flatbed trucks are attached and then towed around the facility in a fixed pattern.
Floor Slot
A location on the selection line that consists of floor space for the stacking of merchandise.
Flow Thru
Generates shipping instructions at the point of receipt, which eliminates the need for product to be put-away in the warehouse. Instead, the product can be directly transferred from an inbound trailer directly to an outbound trailer.
FMCG (Fast Moving Consumer Product)
General consumer merchandises with short storage time in warehouse.
FOB (Free on Board)
Contractual terms between buyer and seller which define where title is transferred.
FOB Destination
Title passes at destination, seller has total responsibility until shipment is delivered.
FOB Origin
Title passes at origin, buyer has total responsibility over the goods while in shipment.
A mechanical device used to transport pallet loads to or from storage.
Forward Location
The primary location from which the specified product is selected.
Free Trade Zone
An area designated by the government of a country for free trade
Freezer Box
A heavily insulated corrugated container that maintains temperatures of products.
Freight Charge
The cost of transporting goods from the seller's warehouse to the buyer's warehouse or store. Prepaid usually means freight costs are paid by the seller who forwards no bill to the customer. Full Freight Allowed usually means that the seller will ultimately pay freight costs; however the seller may ship goods collect and require the buyer to pay the freight bill. The buyer may then either invoice the seller or deduct the freight charges from the remittance to the seller for goods received. FOB (Free on Board) specifies payment of freight charges one of two ways. FOB Destination means a shipment is moved free on board to a destination; the seller pays the freight. FOB Factory (the point of ori-gin) means a shipment is loaded free on board at the point of origin; the buyer pays for the freight. Collect on Delivery (COD) means the buyer pays for the freight at the time of receipt.
From Location
The type of location or location ID from which the product is currently being moved.
FTZ (Foreign Trade Zone)
A zone set aside near a port, controlled by Customs Service for holding goods duty-free pending customs clearance.
The process of completing transactions.
Full Pallet Select
A full pallet select occurs when the ordered quantity is the same as the quantity on a full pallet. The selection is usually performed by a fork-lift.

G (top)

General Merchandise (GM)
Merchandise not considered a part of the regular grocery line, such as books, housewares, records, and clothing. This excludes soap, paper towels, light bulbs, shoe polish, and other products known as nonfoods.
Identifying narrow locations by the use of three-, four- or five-digit ZIP Codes or other identifiers (depending on country) to allow mapping, planning and execution of deliveries.
The process of making business worldwide in scope or application.
Compound word of Globalization & Localization, means a product go global but modified to meet the market’s preference.
Abbreviation of Garment On Hang, versus garment flat pack.
The abbreviation of Global Positioning System used to keep track object’s movement.
Gravity-Flow Rack
A series of inclined shelves with rollers replenished from the rear. As one unit is selected, another automatically moves forward.

H (top)

Handling Costs
The cost involved in moving, transferring, preparing, and otherwise handling inventory.
Handling In
The process of goods receiving from customer’s supplier
Handling Out
The process of goods picking & packing in the warehouse before delivery.
Handling Unit
Goods or aggregation of goods bundled together for distribution and logistics purposes. May include an individual item in a carton, combined items on pallets and skids, or items transferred in independently identified containers, such as ocean containers, rail cars or trucking trailers.
Harmonized Tariff Code
A code to numerically describe all articles in international trade managed by the World Customs Organization.
Hazardous Class/Indicator
Indicates whether the product is a hazard or source of danger. This prevents non-hazardous product from being mixed with hazardous products. The class indicates the category of hazardous material.
A center of activity or interest; a focal point.
Hundredweight (cwt)

A pricing unit used in transportation (equal to 100 pounds)