Narrow Aisle
An aisle that requires special equipment to pick or stock, normally 5–6 feet in width.
Narrow-Aisle Straddle Forklift
A lift truck designed to work in aisles narrower than 10 feet. It can stack palletized
merchandise 30 feet (9 meters) high.
Network Planning
Used to determine the overall physical channel (e.g., plants, distribution centers and
warehouses) by which materials are turned into finished goods and delivered to customers.
More recently, network planning tools have been enhanced for use in strategic business
planning scenarios (e.g., to answer such questions as what should the company's channel
strategies be or what is the impact of switching suppliers). These tools are usually used
for long-term decisions, although enterprises in more-dynamic environments are employing
them on a more-frequent basis.
Numbering System
A guide to all the slot locations in the facility, that is essential for effi-cient storage,
replenishment, and selection. The system chosen depends on the facility's unique needs. Up
to ten characters (alphanumeric) are used to designate aisle, bay, level, and position. A
section ID before the aisle number may also be included.
O (top)
On-Line Monitoring
A web-based system that enables customer to remote monitors its goods related information
via internet.
On-Line Receiving
A computerized system designed to permit direct and immediate trans-mission of all receiving
data from the warehouse dock to the computer.
Operation
An activity or event; the manner in which something works; a procedure or process
Operational Audit
An evaluation of the performance levels of each function within the distribution center,
from receiving through shipping. It aids in assess-ing the center's ability to respond to
corporate and market needs.
Optimization
The process of making something as effective as possible with given resources and
constraints.
Optimization Routines
Routines used to determine the optimal solution for a particular problem. Included in supply
chain execution and supply chain planning applications to reduce costs or time in the supply
chain. Usually tactically focused for use in current operations.
Order Cycle
The time and process involved from the placement of an order to the receipt of the shipment.
Order Processing
Activities associated with filling customer orders.
Order Selection (Order Picking)
One of the basic operating functions of any distribution center. Products are selected
(picked) from warehouse inventory to fill retail store orders.
Order Tracking
The action that order status is keep tracked along the process.
Outbound
The flow of products out of a warehouse after order selection.
Outbound Logistics
The movement of products from the end production line to end user.
Out-Of-Stock
Product not in supply in a warehouse or store. Warehouse "outs" are expressed as
detail items of an order placed that cannot be filled.
Outsource
To utilize a third-party provider to provide services previously performed in-house.
P (top)
Packaging
The wrapping, dunnage, or container in which something is packed for storage or shipment
Pallet
A wooden platform used for stacking unit loads of merchandise. Stan-dard size is 40" x
48."
Pallet Cube
The amount of cubic feet of product that is allowed to be shipped or stored on a pallet.
Pallet Facings
The side of the pallet facing the aisle from which the stock is picked or the pallet is
handled by a forklift.
Pallet Jack
A multipurpose handling machine that can move unit loads. There are two basic designs: the
single pallet jack, capable of selecting or moving one pallet per trip, and the double
pallet jack, which can accommodate two pallets per trip.
Palletizing
The loading and securing of products in pallet loads.
Paperless
The use of RF equipment or terminals to perform functions that normally require paper or
labels.
Physical Inventory
An actual count of all items on-hand at a given time in a facility.
Pick & Pack
Picking of product from inventory and packing into shipment containers.
Pick Label
A document used for selection that is applied to the product.
Pick List
An itemized list of products used in order selection.
Pick Rate
The amount of time it takes a selector to pick a determined amount of merchandise. For
example, a pick rate might be 170 pieces per hour.
Piggyback
Semitrailer built with reinforcements to withstand transport by a railroad flatcar.
Pilferage
The amount of shortages from customer, employee, or vendor theft within the facility (as
opposed to shortages caused by burglaries or rob-beries).
Planned Item Retrieval System (PIR)
A method of multilevel order selection used primarily for slow-moving full-case, and
less-than-case-lot products. Based on demand and item cube, the computer assigns a floating
slot to merchandise received. Order selection is completed using a manually operated cherry
picker.
POD (Proof of Delivery)
Information supplied by carrier containing detail shipment related information.
POS (Point of Sales)
The retail locations where sales transactions occur.
Postponement
The delay of final activities until the latest possible time.
Prepaid
A freight term which indicates charges are to be paid by the shipper.
Primary Location (Pick Location, Select Location)
The primary location from which selection takes place.
Principal
The merchandise’ owner-of-origin
Process Improvement
Process which is improved in quality or reduce costs through elimination of waste or
non-value-added tasks.
Procurement
Same meaning as purchase.
Product Detail
Specific information about the product, such as a product description, size, pack, units on
order, etc. Note: A product ID may have multiple product details. The product detail
represents a unique pack for a prod-uct. The system treats each product detail as though it
were a unique product. The different details for a single product are kept in different
locations and primary selections, ensuring that the product will not mix and will be
selected separately.
Product ID
A unique code identifying a specific product.
Product Life
The number of days before a product will lose its flavor, taste, or color appeal.
Product Line
A group of products with similar uses and characteristics.
Productivity
The rate of production, often measured in cases per labor hour. Whole-salers measure
productivity to assess labor and operating expenses.
Protocol
A set of procedures for establishing and controlling data transmission.
"Pull" Order System
Allows stores (usually grocery) to order what they want.
Purchase Order
A document giving a vendor authority to ship specified merchandise in designated quantities
at an agreed-upon time and price.
"Push" Order System
The stores (usually retail) are notified as to what items they are getting, instead of
allowing them to order what they want (as in the "Pull" Order System described
above).
Put-Away
Determines the best reserve or select location to store each pallet received. Put-away takes
into account the stackability of the item, the height from the floor of a reserve location,
whether the product is code- dated, etc.
Q (top)
Quick Response
A business strategy for reducing inventory and shortening cycle time for production,
distribution and sales.
R (top)
Rack
A structure used for the optimum storage of palletized loads. A drive-in rack has horizontal
beams running perpendicular to the aisle (so the rack can be driven partway into). A
drive-through rack is similar to a drive-in rack, except that it can be driven through.
Rack Bay
A section of rack separated by the upright supports, usually two pallets in width.
Reach Truck
A mechanical device used to transport pallet loads to or from storage.
Real-Time
An operating system responds to external event within a short and predictable time frame
Receipt
A number assigned automatically by the system to a purchase order receipt, when part or all
of the order is received.
Receipt Detail
Represents a pallet of a single product that is being received. Receipts details are
produced by data entry (determined by TIxHI calculating the number of pallets) or by RF
receiving where pallets are entered by the user.
Receiving
One of the basic operating functions of the food distribution center where incoming
merchandise is unloaded from trucks or rail cars and checked for condition and completeness.
Reefer
Refrigeration equipment for transporting frozen or perishable products.
Reengineering
A redesign of business processes to achieve improvements in performance.
Re-packing
The action that goods are un-wrapped the packaging material then packed again in a required
way.
Replenishment
The moving of inventory from reserve storage to the active picking slots below.
Replenishment Level
When the number of units drops below this specified amount, the inventory level is refilled.
Reserve Slot
A location where the product is stored until it is needed in selection aisles. Reserve slots
may contain one or multiple pallet loads, as well as multiple items within them.
Retail Unit
The piece that is sold to a retail customer at the cash register.
Example:
Product: 12 oz. Cola cans
Case: 24 cans in a master case
Inner Pack: 6 cans tied together with plastic (a six-pack)
Retail Unit: A single can
In this example, if the customer orders by six-packs, the shipping unit would be set to 6.
If the customer orders by the case, the shipping unit would be set to 24. If the customer
orders by the retail unit, the shipping unit would be set to 1. Note: This is only one
example of the many different ways that a product can be set up. A single product's shipping
unit can be set differently on different product details.
Retrieval System (RS)
A system typically consists of high-rise shelving, multi-level conveyors, and high-rise
industrial truck equipment.
Reverse Logistics
The logistics focusing on movement and management of products after sale and delivery to
customer.
RF Unit
A radio frequency communications device that is mounted on a forklift, carried, or worn on a
selector.
Rush Order
An order that is called in by a store/customer in which the item(s) are to be shipped the
same day.