Glossary

Abatement

A discount allowed for damage or overcharge in the payment of a bill.

Accessorial

A service that is not considered ‘standard’ will incur additional fees. Accessorial charges may include, but are not limited to: arrival notification, inside delivery, insurance, liftgate service, COD, hazardous materials, fuel surcharge.

Accessorial Charges

Charges that are applied to the base tariff rate or base contract rate, e.g., bunkers, container, currency, and destination/delivery.

Act of God

An act beyond human control, such as lightning, flood or earthquake.

Act of God

An act beyond human control, such as lightning, flood or earthquake.

Advanced Charge

A charge advanced by one carrier to another to be collected by the later carrier from the consignor or consignee.

Aggregate Shipment

Numerous shipments from different shippers to one consignee that are consolidated and treated as a single consignment.  

Agreed valuation

The value of a shipment agreed upon in order to secure a specific freight rate.

Agreed valuation

The value of a shipment agreed upon in order to secure a specific freight rate.

Agreed Weight

The weight prescribed by agreement between carrier and shipper for goods shipped in certain packages or in a certain number.

Agreed Weight

The weight prescribed by agreement between carrier and shipper for goods shipped in certain packages or in a certain number.

All In Price

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Apparent Good Order

When freight appears to be free of damage so far as a general survey can determine.

Apparent Good Order

When freight appears to be free of damage so far as a general survey can determine.

B/L

Abbreviation for "Bill of Lading."

B/L

Abbreviation for "Bill of Lading."

Bill of Lading

Multi-use documents that are essential to conduct the day-to-day operations when transportation of supplies, materials, and personal property is required. These primary documents are used to procure freight and express transportation and related services from commercial carriers, including freight forwarders. What must be stated in a Bill of Lading? - The name and address of: - the carrier (the shipping company responsible for transport) - the shipper (the consignor/sender, or his agent) - the consignee (the buyer or his agent) - Places of departure and destination - Description of the goods - Instructions for the payment of freight (collect or prepaid) - Place and date issued - Any other information relative to the shipment

Bill of Lading

Multi-use documents that are essential to conduct the day-to-day operations when transportation of supplies, materials, and personal property is required. These primary documents are used to procure freight and express transportation and related services from commercial carriers, including freight forwarders. What must be stated in a Bill of Lading? - The name and address of: - the carrier (the shipping company responsible for transport) - the shipper (the consignor/sender, or his agent) - the consignee (the buyer or his agent) - Places of departure and destination - Description of the goods - Instructions for the payment of freight (collect or prepaid) - Place and date issued - Any other information relative to the shipment

Bill to Party

Customer designated as party paying for services.

Bill to Party

Customer designated as party paying for services.

Billed Weight

The weight shown in a waybill and freight bill, i.e, the invoiced weight.

Billed Weight

The weight shown in a waybill and freight bill, i.e, the invoiced weight.

Blind Shipment

A B/L wherein the paying customer has contracted with the carrier that shipper or consignee information is not given. Blocking or Bracing Wood or metal supports (Dunnage) to keep shipments in place to prevent cargo shifting.

Blind Shipment

A B/L wherein the paying customer has contracted with the carrier that shipper or consignee information is not given. Blocking or Bracing Wood or metal supports (Dunnage) to keep shipments in place to prevent cargo shifting.

Bonded Freight

Freight moving under a bond to U.S. Customs or to the Internal Revenue Service, and to be delivered only under stated conditions.

Bonded Freight

Freight moving under a bond to U.S. Customs or to the Internal Revenue Service, and to be delivered only under stated conditions.

Bonded Warehouse

A warehouse authorized by Customs authorities for storage of goods on which payment of duties is deferred until the goods are removed. Boxcar A closed rail freight car.

Bonded Warehouse

A warehouse authorized by Customs authorities for storage of goods on which payment of duties is deferred until the goods are removed. Boxcar A closed rail freight car.

Break Bulk

To unload and distribute A portion or all of the contents of A rail car, container, or trailer.

Broker

A person who arranges for transportation of loads for a percentage of the revenue from the load.

Broker

A person who arranges for transportation of loads for a percentage of the revenue from the load.

Brokerage

Freight forwarder/broker compensation as specified by ocean tariff or contract.

Brokerage

Freight forwarder/broker compensation as specified by ocean tariff or contract.

Bulk Cargo

Not in packages or containers; shipped loose in the hold of a ship without mark and count." Grain, coal and sulfur are usually bulk freight.

Bulk-Freight Container

A container with a discharge hatch in the front wall; allows bulk commodities to be carried.

Bulk-Freight Container

A container with a discharge hatch in the front wall; allows bulk commodities to be carried.

Bulkhead

A partition separating one part of A ship, Freight car, aircraft or truck from Another part.

Carrier

Any person or entity who, in a contract of carriage, undertakes to perform or to procure the performance of carriage by rail, road, sea, air, inland waterway or by a combination of such modes.

Cartage

Usually refers to intra_city hauling on drays or trucks.

Cartage

Usually refers to intra_city hauling on drays or trucks.

CBM (CM)

Abbreviation for "Cubic Meter."

CBM (CM)

Abbreviation for "Cubic Meter."

Certificate of Origin

A certified document showing the origin of goods; used in international commerce.  

Certificate of Origin

A certified document showing the origin of goods; used in international commerce.  

CFS

Abbreviation for "Container Freight Station." A shipping dock where cargo is loaded ("stuffed") into or unloaded ("stripped") from containers. Generally, this involves less than containerload shipments, although small shipments destined to same consignee are often consolidated. Container reloading from/to rail or motor carrier equipment is a typical activity.

Chassis

A frame with wheels and container locking devices in order to secure the container for movement.

Chock

A piece of wood or other material placed at the side of cargo to prevent rolling or moving sideways.

Chock

A piece of wood or other material placed at the side of cargo to prevent rolling or moving sideways.

CKD

Abbreviation for "Completely Knocked Down." Parts and subassemblies being transported to an assembly plant.

CKD

Abbreviation for "Completely Knocked Down." Parts and subassemblies being transported to an assembly plant.

CL

Abbreviation for "Carload" and "Containerload".

Claim

A demand made upon a transportation line for payment on account of a loss sustained through its alleged negligence.

Claim

A demand made upon a transportation line for payment on account of a loss sustained through its alleged negligence.

Class

Refers to the Classification rating or number that specifically identifies the approximate size, value and difficulty of transporting a particular type of product that can be shipped by a carrier.

Classification

A publication such as Uniform Freight Classification (railroad) or the National Motor Freight Classification (motor carrier), that assigns ratings to various articles and provides bill of lading descriptions and rules.

Classification Rating

Same as Class. The designation provided in a classification by which a class rate is determined.

Classification Rating

Same as Class. The designation provided in a classification by which a class rate is determined.

Clean Bill of Lading

A receipt for goods issued by a carrier with an indication that the goods were received in "apparent good order and condition," without damage or other irregularities. If no notation or exception is made, the B/L is assumed to be "clean."  

Clean Bill of Lading

A receipt for goods issued by a carrier with an indication that the goods were received in "apparent good order and condition," without damage or other irregularities. If no notation or exception is made, the B/L is assumed to be "clean."  

Clearance

The size beyond which cars or loads cannot use Limits bridges, tunnels, etc.  

Clearance

The size beyond which cars or loads cannot use Limits bridges, tunnels, etc.  

CM

Abbreviation for "Cubic Meter" (capital letters).

Combined Distribution Network (CDN)

Combined Distribution Network (CDN) is the combination of supply networks of different companies in the supply chain.  The goal of combined distribution network (CDN) is increased efficiency and effectiveness.

Commercial Invoice

Represents a complete record of the transaction between exporter and importer with regard to the goods sold. Also reports the content of the shipment and serves as the basis for all other documents about the shipment.

Commercial Invoice

Represents a complete record of the transaction between exporter and importer with regard to the goods sold. Also reports the content of the shipment and serves as the basis for all other documents about the shipment.

Commodity Rate

A rate published to apply to a specific article or articles.

Commodity Rate

A rate published to apply to a specific article or articles.

Common Carrier

A transportation company which provides service to the general public at published rates.

Common Law

Law that derives its force and authority from precedent, custom and usage rather than from statutes, particularly with reference to the laws of England and the United States.

Common Law

Law that derives its force and authority from precedent, custom and usage rather than from statutes, particularly with reference to the laws of England and the United States.

Concealed Damage

Damage that is not evident from viewing the unopened package.

Concealed Damage

Damage that is not evident from viewing the unopened package.

Conference

An association of ship owners operating in the same trade route who operate under collective conditions and agree on tariff rates.

Conference

An association of ship owners operating in the same trade route who operate under collective conditions and agree on tariff rates.

Connecting Carrier

A carrier which has a direct physical connection with, or forms a link between two or more carriers.

Consignee

A person or company to whom commodities are shipped.  

Consignee

A person or company to whom commodities are shipped.  

Consignee Mark

A symbol placed on packages for identification purposes; generally a triangle,square, circle, etc. with letters and/or numbers and port of discharge.

Consignment

(1) A stock of merchandise advanced to a dealer and located at his place of business, but with title remaining in the source of supply. (2) A shipment of goods to a consignee.  

Consignment

(1) A stock of merchandise advanced to a dealer and located at his place of business, but with title remaining in the source of supply. (2) A shipment of goods to a consignee.  

Consignor

A person or company shown on the bill of lading as the shipper.

Consignor

A person or company shown on the bill of lading as the shipper.

Consolidation

Cargo containing shipments of two or more shippers or suppliers. Containerload shipments may be consolidated for one or more consignees.

Consolidation

Cargo containing shipments of two or more shippers or suppliers. Containerload shipments may be consolidated for one or more consignees.

Consolidator

A person or firm performing a consolidation service for others. The consolidator takes advantage of lower full carload (FCL) rates, and savings are passed on to shippers.  

Container

A truck trailer body that can be detached from the chassis for loading into a vessel, a rail car or stacked in a container depot. Containers may be ventilated, insulated, refrigerated, flat rack, vehicle rack, open top, bulk liquid or equipped with interior devices. A container may be 20 feet, 40 feet, 45 feet, 48 feet or 53 feet in length, 8'0" or 8'6" in width, and 8'6" or 9'6" in height.

Container

A truck trailer body that can be detached from the chassis for loading into a vessel, a rail car or stacked in a container depot. Containers may be ventilated, insulated, refrigerated, flat rack, vehicle rack, open top, bulk liquid or equipped with interior devices. A container may be 20 feet, 40 feet, 45 feet, 48 feet or 53 feet in length, 8'0" or 8'6" in width, and 8'6" or 9'6" in height.

Container Load

A load sufficient in size to fill a container either by cubic measurement or by weight.

Container Load

A load sufficient in size to fill a container either by cubic measurement or by weight.

Container Manifest

Document showing contents and loading sequence of a container.  

Container Manifest

Document showing contents and loading sequence of a container.  

Container Pool

An agreement between parties that allows the efficient use and supply of containers. A common supply of containers available to the shipper as required.

Container Pool

An agreement between parties that allows the efficient use and supply of containers. A common supply of containers available to the shipper as required.

Container Terminal

An area designated for the stowage of cargoes in container; usually accessible by truck, railroad and marine transportation. Here containers are picked up, dropped off, maintained and housed.

Container Terminal

An area designated for the stowage of cargoes in container; usually accessible by truck, railroad and marine transportation. Here containers are picked up, dropped off, maintained and housed.

Container Yard (CY)

A materials handling/storage facility used for completely unitized loads in containers and/or empty containers. Commonly referred to as CY.

Container Yard (CY)

A materials handling/storage facility used for completely unitized loads in containers and/or empty containers. Commonly referred to as CY.

Contract

A legally binding agreement between two or more persons/organizations to carry out reciprocal obligations or value.

Contract Carrier

Any person not a common carrier who, under special and individual contracts or agreements, transports passengers or property for compensation.

Cost, Insurance and Freight (CIF)

Cost of goods, marine insurance and all transportation (freight) charges are paid to the foreign point of delivery by the seller.

Cost, Insurance and Freight (CIF)

Cost of goods, marine insurance and all transportation (freight) charges are paid to the foreign point of delivery by the seller.

Cross-docking

Cross-docking is the practice in logistics when cargo from incoming vehicle is directly loaded into an outbound mode of transportation. Companies receive the following benefits from cross-docking: reduced labor costs, reduced need for warehouse space, and reduced lead time from order to customer. There are different types of cross docking depending on the whether the client is a distributor, manufacturer, wholesaler or retailer.  The most common process would be as follows:  the warehouse receives goods from multiple suppliers, repackages those goods, loading the goods on to another truck for shipment to the customer.

Cross-docking

Cross-docking is the practice in logistics when cargo from incoming vehicle is directly loaded into an outbound mode of transportation. Companies receive the following benefits from cross-docking: reduced labor costs, reduced need for warehouse space, and reduced lead time from order to customer. There are different types of cross docking depending on the whether the client is a distributor, manufacturer, wholesaler or retailer.  The most common process would be as follows:  the warehouse receives goods from multiple suppliers, repackages those goods, loading the goods on to another truck for shipment to the customer.

Cu.

An abbreviation for "Cubic." A unit of volume measurement.

Cu.

An abbreviation for "Cubic." A unit of volume measurement.

Cube Out

When a container or vessel has reached its volumetric capacity before its permitted weight limit.

Cube Out

When a container or vessel has reached its volumetric capacity before its permitted weight limit.

Cubic Foot

1,728 cubic inches. A volume contained in a space measuring one foot high, one foot wide and one foot long.

Cubic Foot

1,728 cubic inches. A volume contained in a space measuring one foot high, one foot wide and one foot long.

Customhouse

A government office where duties are paid, import documents filed, etc., on foreign shipments.

Customhouse Broker

A person or firm, licensed by the treasury department of their country when required, engaged in entering and clearing goods through Customs for a client (importer).  

Customhouse Broker

A person or firm, licensed by the treasury department of their country when required, engaged in entering and clearing goods through Customs for a client (importer).  

Customs

Government agency charged with enforcing the rules passed to protect the country's import and export revenues.

Customs

Government agency charged with enforcing the rules passed to protect the country's import and export revenues.

Customs Bonded Warehouse

A warehouse authorized by Customs to receive duty-free merchandise.

Customs Bonded Warehouse

A warehouse authorized by Customs to receive duty-free merchandise.

Customs Entry

All countries require that the importer make a declaration on incoming foreign goods. The importer then normally pays a duty on the imported merchandise.  

Customs Invoice

A form requiring all data in a commercial invoice along with a certificate of value and/or a certificate of origin. Required in a few countries (usually former British territories) and usually serves as a seller's commercial invoice.

D&H

Abbreviation for "Dangerous and Hazardous" cargo.

D&H

Abbreviation for "Dangerous and Hazardous" cargo.

D.O.T.

Department of Transportation.

D.O.T.

Department of Transportation.

Deadhead

One leg of a move without a paying cargo load. Usually refers to repositioning an empty piece of equipment.

Deadhead

One leg of a move without a paying cargo load. Usually refers to repositioning an empty piece of equipment.

Declared Value

To receive a lower rate a shipper declares a lower than actual value for a shipment. Similar to released value. Declared value is for a complete shipment whereas released value is for each piece in a shipment.

Declared Value

To receive a lower rate a shipper declares a lower than actual value for a shipment. Similar to released value. Declared value is for a complete shipment whereas released value is for each piece in a shipment.

Deconsolidation Point

Place where loose or other non-containerized or truckload cargo is ungrouped for delivery.

Deconsolidation Point

Place where loose or other non-containerized or truckload cargo is ungrouped for delivery.

Deficit Weight

The weight by which a shipment is less than the minimum weight.

Deficit Weight

The weight by which a shipment is less than the minimum weight.

Delivery Instructions

Order to pick up goods at a named place and deliver them to a pier. Usually issued by exporter to trucker but may apply to a railroad, which completes delivery by land. Use is limited to a few major U.S. ports. Also known as shipping delivery order.

Delivery Instructions

Order to pick up goods at a named place and deliver them to a pier. Usually issued by exporter to trucker but may apply to a railroad, which completes delivery by land. Use is limited to a few major U.S. ports. Also known as shipping delivery order.

Delivery Receipt (DR)

A document which evidences delivery of a shipment. Same as POD.

Delivery Receipt (DR)

A document which evidences delivery of a shipment. Same as POD.

Demurrage

A penalty charge against shippers or consignees for delaying the carrier's equipment beyond the allowed free time. The free time and demurrage charges are set forth in the charter party or freight tariff.

Demurrage

A penalty charge against shippers or consignees for delaying the carrier's equipment beyond the allowed free time. The free time and demurrage charges are set forth in the charter party or freight tariff.

Density

The weight of cargo per cubic foot or other unit.

Density

The weight of cargo per cubic foot or other unit.

Depot Container

Container freight station or a designated area where empty containers can be picked up or dropped off.

Destination

The place where carrier actually turns over cargo to consignee or his agent.

Destination

The place where carrier actually turns over cargo to consignee or his agent.

Detention

A penalty charge against shippers or consignees for delaying carrier's equipment beyond allowed time. Demurrage applies to cargo; detention applies to equipment. See Per Diem.

Distribution Center Management

A distribution center is a warehouse for products. When a product is ordered it is shipped from the distribution center or warehouse.  The distribution center manages inbound and outbound shipments and inventory. A distribution center will typically be responsible for the following processes: receiving, putaway, order processing, replenishment, pulling, restocking, picking, validation, sorting and shipping Most companies in the distribution center management business will use a distribution center management system (DCMS).  DCMS is an enterprise oriented application designed to track the activities performed in a distribution center.

Diversion

A change made either in the route of a shipment in transit (see Reconsignment) or of the entire ship.

Diversion

A change made either in the route of a shipment in transit (see Reconsignment) or of the entire ship.

Dock For Land Transportation

A loading or unloading platform at an industrial location or carrier terminal.

Dock For Land Transportation

A loading or unloading platform at an industrial location or carrier terminal.

Dock Receipt

A form used to acknowledge receipt of cargo and often serves as basis for preparation of the ocean bill of lading.

Dolly

A set of wheels that support the front of a container; used when the automotive unit is disconnected.

Dolly

A set of wheels that support the front of a container; used when the automotive unit is disconnected.

Door-to-Door

The through transportation of a container or trailer and its contents from consignor to consignee. Also known as House to House. Not necessarily a through rate.

Door-to-Door

The through transportation of a container or trailer and its contents from consignor to consignee. Also known as House to House. Not necessarily a through rate.

Double Drop

A type of open deck trailer which has a raised section at the front and rear and a "well" in the middle. Used for transporting very tall equipment.

Double Drop

A type of open deck trailer which has a raised section at the front and rear and a "well" in the middle. Used for transporting very tall equipment.

Drayage

Charge made for local hauling by dray or truck. Same as Cartage.

Drayage

Charge made for local hauling by dray or truck. Same as Cartage.

Dunnage

Term used to described material used for the securing of freight

Dunnage

Term used to described material used for the securing of freight

EDI

Abbreviation for "Electronic Data Interface." Generic term for transmission of transactional data between computer systems. EDI is typically via a batched transmission, usually conforming to consistent standards.

EDI

Abbreviation for "Electronic Data Interface." Generic term for transmission of transactional data between computer systems. EDI is typically via a batched transmission, usually conforming to consistent standards.

ETA

Estimated time of arrival.

ETA

Estimated time of arrival.

Export

Shipment of goods to a foreign country.

Export

Shipment of goods to a foreign country.

Export Declaration

A government document declaring designated goods to be shipped out of the country. To be completed by the exporter and filed with the U.S. Government.

Export License

A government document which permits the "Licensee" to engage in the export of designated goods to certain destinations.

Export License

A government document which permits the "Licensee" to engage in the export of designated goods to certain destinations.

Export Rate

A rate published on traffic moving from an interior point to a port for transshipment to a foreign country.

FAK

Abbreviation for "Freight All Kinds." Usually refers to full container loads of mixed shipments.  

FAK

Abbreviation for "Freight All Kinds." Usually refers to full container loads of mixed shipments.  

FCL

Abbreviation for "Full Container Load."

FCL

Abbreviation for "Full Container Load."

FEU

Abbreviation for "Forty-Foot Equivalent Units." Refers to container size standard of forty feet. Two twenty-foot containers or TEU's equal one FEU.

FEU

Abbreviation for "Forty-Foot Equivalent Units." Refers to container size standard of forty feet. Two twenty-foot containers or TEU's equal one FEU.

Fixed Costs

Costs that do not vary with the level of activity. Some fixed costs continue even if no cargo is carried. Terminal leases, rent and property taxes are fixed costs.  

Fixed Costs

Costs that do not vary with the level of activity. Some fixed costs continue even if no cargo is carried. Terminal leases, rent and property taxes are fixed costs.  

Flat Car

A rail car without a roof and walls.

Flat Car

A rail car without a roof and walls.

Flat Rack/Flat Bed Container

A container with no sides and frame members at the front and rear. Container can be loaded from the sides and top.

Flat Rack/Flat Bed Container

A container with no sides and frame members at the front and rear. Container can be loaded from the sides and top.

Flatbed

A type of open deck trailer. Generally 40-48 feet in length some maybe as long as 53 feet.

Flatbed

A type of open deck trailer. Generally 40-48 feet in length some maybe as long as 53 feet.

FMC (F.M.C.) Federal Maritime Commission

The U.S. Governmental regulatory body responsible for administering maritime affairs including the tariff system, Freight Forwarder Licensing, enforcing the conditions of the Shipping Act and approving conference or other carrier agreements.

FMC (F.M.C.) Federal Maritime Commission

The U.S. Governmental regulatory body responsible for administering maritime affairs including the tariff system, Freight Forwarder Licensing, enforcing the conditions of the Shipping Act and approving conference or other carrier agreements.

FOB Freight

Allowed the same as FOB named inland carrier, except the buyer pays the transportation charge and the seller reduces the invoice by A like amount.

FOB Freight

Allowed the same as FOB named inland carrier, except the buyer pays the transportation charge and the seller reduces the invoice by A like amount.

Fork Lift

A machine used to pick up and move goods loaded on pallets or skids.

Foul Bill of Lading

A receipt for goods issued by a carrier with an indication that the goods were damaged when received. Compare Clean Bill of Lading.

Foul Bill of Lading

A receipt for goods issued by a carrier with an indication that the goods were damaged when received. Compare Clean Bill of Lading.

Four-Way Pallet

A pallet designed so that the forks of a fork lift truck can be inserted from all four sides. See Fork lift.

Free Astray

An astray shipment (a lost shipment that is found) sent to its proper destination without additional charge.

Free Astray

An astray shipment (a lost shipment that is found) sent to its proper destination without additional charge.

Free on Board (FOB - U.S. Domestic Use)

Shipped under a rate that includes costs of delivery to and the loading onto a carrier at a specified point. Also means the point at which title to the goods passes from seller to buyer.

Free Port

A restricted area at a seaport for the handling of duty-exempted import goods. Also called a Foreign Trade Zone.

Free Port

A restricted area at a seaport for the handling of duty-exempted import goods. Also called a Foreign Trade Zone.

Free Trade Zone

A port designated by the government of a country for duty-free entry of any non-prohibited goods. Merchandise may be stored, displayed, used for manufacturing, etc., within the zone and re-exported without duties.

Free Trade Zone

A port designated by the government of a country for duty-free entry of any non-prohibited goods. Merchandise may be stored, displayed, used for manufacturing, etc., within the zone and re-exported without duties.

Freight

Refers to either the cargo carried or the charges assessed for carriage of the cargo.

Freight

Refers to either the cargo carried or the charges assessed for carriage of the cargo.

Freight Bill

A document issued by the carrier based on the bill of lading and other information; used to account for a shipment operationally, statistically, and financially. An Invoice.

Freight Bill

A document issued by the carrier based on the bill of lading and other information; used to account for a shipment operationally, statistically, and financially. An Invoice.

Freight Forwarder

A person whose business is to act as an agent on behalf of the shipper. A freight forwarder frequently makes the booking reservation.

Freight Forwarder

A person whose business is to act as an agent on behalf of the shipper. A freight forwarder frequently makes the booking reservation.

Fuel Surcharge (FSC)

An additional charge to the customer to make up for an increase in fuel prices.

Fuel Surcharge (FSC)

An additional charge to the customer to make up for an increase in fuel prices.

Fulfillment

Fulfillment is the process of taking an order and executing it by making it ready for delivery to its intended customer. It may involve warehouse pickup, packaging, labeling, There are many variations depending on the client, but the most basic services provides are: storage and warehousing, order processing, pick and pack, shipment of product, returns and exchanges, call center, invoicing and order administration. The fulfillment service provider plays a key role in the supply chain because they will have direct contact with the client’s customer.

Fulfillment

Fulfillment is the process of taking an order and executing it by making it ready for delivery to its intended customer. It may involve warehouse pickup, packaging, labeling, There are many variations depending on the client, but the most basic services provides are: storage and warehousing, order processing, pick and pack, shipment of product, returns and exchanges, call center, invoicing and order administration. The fulfillment service provider plays a key role in the supply chain because they will have direct contact with the client’s customer.

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GRI

Abbreviation for "General Rate Increase." Used to describe an across-the-board tariff rate increase implemented by conference members and applied to base rates.

Gross Weight

Entire weight of goods, packaging and freight car or container, ready for shipment. Generally, 80,000 pounds maximum container, cargo and tractor for highway transport.

Groupage

A consolidation service, putting small shipments into containers for shipment.

Groupage

A consolidation service, putting small shipments into containers for shipment.

GVW

Abbreviation for "Gross Vehicle Weight." The combined total weight of a vehicle and its container, inclusive of prime mover.

GVW

Abbreviation for "Gross Vehicle Weight." The combined total weight of a vehicle and its container, inclusive of prime mover.

HAZ MAT

An industry abbreviation for "Hazardous Material."

HAZ MAT

An industry abbreviation for "Hazardous Material."

Hundredweight

A unit of weight arrived at by dividing the actual weight by 100. Hundredweight (also called CWT) is a standard presentation of LTL carrier rates.

Import

To receive goods from a foreign country.

Import License

A document required and issued by some national governments authorizing the importation of goods.

Import License

A document required and issued by some national governments authorizing the importation of goods.

In Transit

In transit, or in passage.

In Transit

In transit, or in passage.

Indemnity Bond

An agreement to hold a carrier harmless with regard to a liability.

Indemnity Bond

An agreement to hold a carrier harmless with regard to a liability.

Inside Delivery

When a driver is required to go beyond the front door or loading dock to pick up or deliver a load rather than remaining in his/her truck or on the loading dock.

Inside Delivery

When a driver is required to go beyond the front door or loading dock to pick up or deliver a load rather than remaining in his/her truck or on the loading dock.

Interline Freight

Freight moving from origin to destination over the Freight lines of two or more transportation carriers.

Interline Freight

Freight moving from origin to destination over the Freight lines of two or more transportation carriers.

Intermodal

Used to denote movements of cargo containers interchangeably between transport modes, i.e., motor, water, and air carriers, and where the equipment is compatible within the multiple systems.

Intermodal

Used to denote movements of cargo containers interchangeably between transport modes, i.e., motor, water, and air carriers, and where the equipment is compatible within the multiple systems.

Invoice

An itemized list of goods shipped to a buyer, stating quantities, prices, shipping charges, etc.

Invoice

An itemized list of goods shipped to a buyer, stating quantities, prices, shipping charges, etc.

JIT

Abbreviation for "Just In Time." In this method of inventory control, warehousing is minimal or nonexistent; the container is the movable warehouse and must arrive "just in time;" not too early or too late.

JIT

Abbreviation for "Just In Time." In this method of inventory control, warehousing is minimal or nonexistent; the container is the movable warehouse and must arrive "just in time;" not too early or too late.

Key Process Indicator (KPI)

A key process indicator (KPI) is a metric that measure a process that is critical to the success of the enterprise.  Key process indicators can be financial or non-financial.

Key Process Indicator (KPI)

A key process indicator (KPI) is a metric that measure a process that is critical to the success of the enterprise.  Key process indicators can be financial or non-financial.

Kilogram

1,000 grams or 2.2046 pounds.

Kilogram

1,000 grams or 2.2046 pounds.

Knocked Down (KD)

Articles which are taken apart to reduce the cubic footage displaced or to make a better shipping unit and are to be re-assembled. In truck transportation KD is defined as an object which when knocked down can be shipped at less than 2/3 of it’s normal size.

KT

Kilo or metric ton. 1,000 Kilos or 2,204.6 pounds.

Landed Cost

The total cost of a good to a buyer, including the cost of transportation.

Landed Cost

The total cost of a good to a buyer, including the cost of transportation.

LCL

Abbreviation for "Less than Container Load." The quantity of freight which is less than that required for the application of a container load rate. Loose Freight.

LCL

Abbreviation for "Less than Container Load." The quantity of freight which is less than that required for the application of a container load rate. Loose Freight.

Liftgate Service

A liftgate is a motorized platform affixed to the back of some trucks that raises and lowers cargo between the ground and the truck. When the shipping or receiving location does not have a loading dock, manual loading or unloading is necessary. Accessorial fees will apply for this service

Liftgate Service

A liftgate is a motorized platform affixed to the back of some trucks that raises and lowers cargo between the ground and the truck. When the shipping or receiving location does not have a loading dock, manual loading or unloading is necessary. Accessorial fees will apply for this service

Line-Haul

Transportation from one city to another as differentiated from local switching service.

Line-Haul

Transportation from one city to another as differentiated from local switching service.

Liner

A vessel sailing between specified ports on a regular basis.

Liner

A vessel sailing between specified ports on a regular basis.

Liter

1.06 liquid U.S. quarts or 33.9 fluid ounces.

Liter

1.06 liquid U.S. quarts or 33.9 fluid ounces.

Logistics

Logistics is that part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption in order to meet customers' requirements.

Logistics

Logistics is that part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption in order to meet customers' requirements.

Low-Boy

A trailer or semi-trailer with no sides and with the floor of the unit close to the ground.

Low-Boy

A trailer or semi-trailer with no sides and with the floor of the unit close to the ground.

LTL

Less Than Truckload Also known as LTL. Is an acronym for Less-Than-Load, meaning cargo that is not of the quantity to require an entire truckload (TL) by itself. Typically, an LTL shipment ranges from 100 lbs to 20,000 lbs.

Manifest

Document that lists in detail all the bills of lading issued by a carrier or its agent or master for a specific voyage or trip. A detailed summary of the total cargo of a vessel or trailer.

Manifest

Document that lists in detail all the bills of lading issued by a carrier or its agent or master for a specific voyage or trip. A detailed summary of the total cargo of a vessel or trailer.

Marine Insurance

Broadly, insurance covering loss or damage of goods at sea. Marine insurance typically compensates the owner of merchandise for losses sustained from fire, shipwreck, etc., but excludes losses that can be recovered from the carrier.

Marine Insurance

Broadly, insurance covering loss or damage of goods at sea. Marine insurance typically compensates the owner of merchandise for losses sustained from fire, shipwreck, etc., but excludes losses that can be recovered from the carrier.

Meter

39.37 inches (approximately).

Metric Ton

2,204.6 pounds or 1,000 kilograms.

Metric Ton

2,204.6 pounds or 1,000 kilograms.

Mile

A unit equal to 5,280 feet on land. A nautical mile is 6076.115.

Mile

A unit equal to 5,280 feet on land. A nautical mile is 6076.115.

Minimum Charge

The lowest charge that can be assessed to transport a shipment.

Minimum Charge

The lowest charge that can be assessed to transport a shipment.

MLB

Abbreviation for "Mini Landbridge."

MLB

Abbreviation for "Mini Landbridge."

MT

Abbreviation for "Metric Ton."

MT

Abbreviation for "Metric Ton."

N.M.F.C.

National Motor Freight Classification.

N.M.F.C.

National Motor Freight Classification.

Nautical Mile

Distance of one minute of longitude at the equator, approximately 6,076.115. The metric equivalent is 1852.

Nautical Mile

Distance of one minute of longitude at the equator, approximately 6,076.115. The metric equivalent is 1852.

Nested

Articles packed so that one rests partially or entirely within another, thereby reducing the cubic-foot displacement.

Nested

Articles packed so that one rests partially or entirely within another, thereby reducing the cubic-foot displacement.

Net Weight

Weight of the goods alone without any immediate wrappings, e.g., the weight of the contents of a tin can without the weight of the can.

Ocean Bill of Lading (Ocean B/L)

A contract for transportation between a shipper and a carrier. It also evidences receipt of the cargo by the carrier. A bill of lading shows ownership of the cargo and, if made negotiable, can be bought, sold or traded while the goods are in-transit.

Ocean Bill of Lading (Ocean B/L)

A contract for transportation between a shipper and a carrier. It also evidences receipt of the cargo by the carrier. A bill of lading shows ownership of the cargo and, if made negotiable, can be bought, sold or traded while the goods are in-transit.

Open Top Container

A container fitted with a solid removable roof, or with a tarpaulin roof so the container can be loaded or unloaded from the top.

Open Top Container

A container fitted with a solid removable roof, or with a tarpaulin roof so the container can be loaded or unloaded from the top.

Operating Ratio

A comparison of a carrier's operating expense with its net sales. The most general measure of operating efficiency.

Operating Ratio

A comparison of a carrier's operating expense with its net sales. The most general measure of operating efficiency.

Optimum Cube

The highest level of cube utilization that can be achieved when loading cargo into a container.

Optimum Cube

The highest level of cube utilization that can be achieved when loading cargo into a container.

Origin

Location where shipment begins its movement.

Origin

Location where shipment begins its movement.

Original Bill of Lading (OBL)

A document which requires proper signatures for consummating carriage of contract. Must be marked as "original" by the issuing carrier.

Original Bill of Lading (OBL)

A document which requires proper signatures for consummating carriage of contract. Must be marked as "original" by the issuing carrier.

OS&D

Abbreviation for "Over, Short or Damaged" Usually discovered at cargo unloading.

Over-height Cargo

Cargo more than 9 feet high which thus cannot fit into a standard container or trailer. Also defines a shipment more than 11 feet high which cannot be loaded on a lowboy so as to remain lower than 13’6" from the ground.

Over-height Cargo

Cargo more than 9 feet high which thus cannot fit into a standard container or trailer. Also defines a shipment more than 11 feet high which cannot be loaded on a lowboy so as to remain lower than 13’6" from the ground.

Overcharge

To charge more than the proper amount according to the published rates.

Owner Code (SCAC)

Standard Carrier Abbreviation Code identifying an individual common carrier. A three letter carrier code followed by a suffix identifies the carrier's equipment. A suffix of "U" is a container and "C" is a chassis.

Owner Code (SCAC)

Standard Carrier Abbreviation Code identifying an individual common carrier. A three letter carrier code followed by a suffix identifies the carrier's equipment. A suffix of "U" is a container and "C" is a chassis.

Packing List

Itemized list of commodities with marks/numbers but no cost values indicated.

Pallet

A platform with or without sides, on which a number of packages or pieces may be loaded to facilitate handling by a lift truck. Standard size is 42" x 48". Note what maybe "standard" to a shipper may not be industry standard size. Be sure and check what your shipper means by "standard"

Pallet

A platform with or without sides, on which a number of packages or pieces may be loaded to facilitate handling by a lift truck. Standard size is 42" x 48". Note what maybe "standard" to a shipper may not be industry standard size. Be sure and check what your shipper means by "standard"

Pick and Pack

Pick and Pack services are offered by many businesses that specialize in supply chain management solutions.  Pick and pack is a part of a complete supply chain management process that is commonly used in, but not limited to, the retail distribution of goods. It entails processing small to large quantities of product, often truck or train loads and disassembling them, picking the relevant product for each destination and re-packaging with shipping label affixed and invoice included. Usual service includes obtaining a fair rate of shipping from common as well as expediting truck carriers. Typically companies will use a warehouse management system (WMS) to ensure maximum effectiveness and efficiency.  WMS is software used to manage movement and storage of materials within a warehouse

Pick and Pack

Pick and Pack services are offered by many businesses that specialize in supply chain management solutions.  Pick and pack is a part of a complete supply chain management process that is commonly used in, but not limited to, the retail distribution of goods. It entails processing small to large quantities of product, often truck or train loads and disassembling them, picking the relevant product for each destination and re-packaging with shipping label affixed and invoice included. Usual service includes obtaining a fair rate of shipping from common as well as expediting truck carriers. Typically companies will use a warehouse management system (WMS) to ensure maximum effectiveness and efficiency.  WMS is software used to manage movement and storage of materials within a warehouse

Pickup

The act of calling for freight by truck at the consignor's (shipper) shipping platform.

Pickup

The act of calling for freight by truck at the consignor's (shipper) shipping platform.

Prepaid (PPD.)

Freight charges paid by the consignor (shipper) prior to the release of the bills of lading by the carrier.

Prepaid (PPD.)

Freight charges paid by the consignor (shipper) prior to the release of the bills of lading by the carrier.

PRO

Number This is a tracking number assigned by the carrier to reference your shipment. (PROgressive number)

Proof of Delivery

A document required from the Carrier or driver FOR proper payment.

Proof of Delivery

A document required from the Carrier or driver FOR proper payment.

Proof of Delivery (POD)

Same as delivery receipt (above)

Proof of Delivery (POD)

Same as delivery receipt (above)

Pup

A short semi-trailer used jointly with a dolly and another semi-trailer to create a twin trailer.

Pup

A short semi-trailer used jointly with a dolly and another semi-trailer to create a twin trailer.

Quotation

An offer to sell goods or provide a service (transportation) at a stated price and under stated terms.

Quotation

An offer to sell goods or provide a service (transportation) at a stated price and under stated terms.

Reconsignment

The changing the consignee or destination on a bill of lading while shipment is still in transit. Diversion has substantially the same meaning.

Reefer

Refrigerated container or trailer.

RFQ

Request for quotation.

RFQ

Request for quotation.

Route

The manner in which a shipment moves; i.e., the carriers handling it and the points at which the carriers interchange.

Route

The manner in which a shipment moves; i.e., the carriers handling it and the points at which the carriers interchange.

SCAC Code

See Owner Code.

SCAC Code

See Owner Code.

Shipment

The tender of one lot of cargo at one time from one shipper to one consignee on one bill of lading.

Shipper

The person or company who is usually the supplier or owner of commodities shipped. Also called Consignor.

Shipper's Export Declaration (SED,"Ex Dec")

A joint Bureau of the Census' International Trade Administration form used for compiling U.S. exports. It is completed by a shipper and shows the value, weight, destination, etc., of export shipments as well as Schedule B commodity code.

Shipper's Export Declaration (SED,"Ex Dec")

A joint Bureau of the Census' International Trade Administration form used for compiling U.S. exports. It is completed by a shipper and shows the value, weight, destination, etc., of export shipments as well as Schedule B commodity code.

Shipper's Instructions

Shipper's communication(s) to its agent and/or directly to the international water-carrier. Instructions may be varied, e.g., specific details/clauses to be printed on the B/L, directions for cargo pickup and delivery.

Shipper's Instructions

Shipper's communication(s) to its agent and/or directly to the international water-carrier. Instructions may be varied, e.g., specific details/clauses to be printed on the B/L, directions for cargo pickup and delivery.

Shrink Wrap

Polyethylene or similar substance (usually heat-treated) and shrunk into an envelope around several units, thereby securing them as a single pack for presentation or to secure units on a pallet.

Shrink Wrap

Polyethylene or similar substance (usually heat-treated) and shrunk into an envelope around several units, thereby securing them as a single pack for presentation or to secure units on a pallet.

Side Loader

A lift truck fitted with lifting attachments operating to one side for handling containers.

Side Loader

A lift truck fitted with lifting attachments operating to one side for handling containers.

Side-Door Container or Trailer

A container or trailer fitted with a rear door and a minimum of one side door. Generally used in transportation of furniture, household goods and store deliveries.

Side-Door Container or Trailer

A container or trailer fitted with a rear door and a minimum of one side door. Generally used in transportation of furniture, household goods and store deliveries.

Site Location

Site location services help companies find the ideal location for their warehouse or distribution center.  The ideal warehouse or distribution center location is usually determined by a combination of where the shipments are coming from and where they are shipping to. Access to transportation infrastructure is also a key consideration.  A warehouse or distribution center that is far from it’s suppliers and customers would obviously add a lot to logistics costs.

Step Deck

A type of open deck equipment which has a raised or standard flatbed height section in the nose and a dropped section towards the tail. Used for transporting shipment between 8’6" and 10’.

Step Deck

A type of open deck equipment which has a raised or standard flatbed height section in the nose and a dropped section towards the tail. Used for transporting shipment between 8’6" and 10’.

Sub-assembly

Many warehouse companies do light assembly or sub-assembly work for their clients.  This many entail receiving multiple components to the warehouse, assembling, inspecting, repackaging and shipping to their client. The sub-assembly is a collection of parts put together as a unit, to be used in the making of a larger assembly or a final or higher item. What may be a sub-assembly at one point, however, may be an assembly at another. Companies outsource this sub-assembly work to reduce manpower cost, maximize manufacturing space utilization, level inventory and to manage inbound packaging requirements.

Sub-assembly

Many warehouse companies do light assembly or sub-assembly work for their clients.  This many entail receiving multiple components to the warehouse, assembling, inspecting, repackaging and shipping to their client. The sub-assembly is a collection of parts put together as a unit, to be used in the making of a larger assembly or a final or higher item. What may be a sub-assembly at one point, however, may be an assembly at another. Companies outsource this sub-assembly work to reduce manpower cost, maximize manufacturing space utilization, level inventory and to manage inbound packaging requirements.

Supply Chain

A logistical management system which integrates the sequence of activities from delivery of raw materials to the manufacturer through to delivery of the finished product to the customer into measurable components. "Just in Time" is a typical value-added example of supply chain management.

Surcharge

An extra or additional charge.

Tariff (Trf.)

A publication setting forth the charges, rates and rules of transportation companies.

Tender

The offer of goods for transportation or the offer to place cars or containers for loading or unloading.

Tender

The offer of goods for transportation or the offer to place cars or containers for loading or unloading.

Terminal

An assigned area in which containers are prepared for loading into a vessel, train, truck, or airplane or are stacked immediately after discharge from the vessel, train, truck, or airplane.

Terminal

An assigned area in which containers are prepared for loading into a vessel, train, truck, or airplane or are stacked immediately after discharge from the vessel, train, truck, or airplane.

Terminal Charge

A charge made for a service performed in a carrier's terminal area.

Terminal Charge

A charge made for a service performed in a carrier's terminal area.

TEU

Abbreviation for "Twenty foot Equivalent Unit."

TEU

Abbreviation for "Twenty foot Equivalent Unit."

Third Party Billing or TPB

Specific Account Pricing or Specific billing procedures and provisions which apply when the freight charges are to be billed to and paid by the specific account shown as the third party payor of the freight bill, and that party has no direct affiliation with either the shipper or the consignee.

Trailer

The truck unit into which freight is loaded as in tractor-trailer combination. See Container. Standard trailer sizes (van) are 53’ and 48’ by 8’6" wide.

Transport

To move cargo from one place to another.

Two-Way Pallet

A pallet so designed that the forks of a fork lift truck can be inserted from two sides only.

Two-Way Pallet

A pallet so designed that the forks of a fork lift truck can be inserted from two sides only.

UFC

Abbreviation for "Uniform Freight Classification."

UFC

Abbreviation for "Uniform Freight Classification."

Undercharge

To charge less than the proper amount.

Undercharge

To charge less than the proper amount.

Unloading

Removal of a shipment from a vessel or trailer.

Unloading

Removal of a shipment from a vessel or trailer.

Vendor-managed inventory

Vendor-managed inventory (VMI) is a family of business models in which the buyer of a product provides certain information to a supplier of that product and the supplier takes full responsibility for maintaining an agreed inventory of the material, usually at the buyer’s consumption location, usually a store. A 3PL can also be involved to make sure that the buyer has the required level of inventory by adjusting the demand and supply gaps. The close relationship between supplier and buyer reduces the chance that the buyer will ever run out of stock.  VMI also helps manage inventory and react to changes in supply and demand.  Many of the big box retail chains use VMI very successfully.

Vendor-managed inventory

Vendor-managed inventory (VMI) is a family of business models in which the buyer of a product provides certain information to a supplier of that product and the supplier takes full responsibility for maintaining an agreed inventory of the material, usually at the buyer’s consumption location, usually a store. A 3PL can also be involved to make sure that the buyer has the required level of inventory by adjusting the demand and supply gaps. The close relationship between supplier and buyer reduces the chance that the buyer will ever run out of stock.  VMI also helps manage inventory and react to changes in supply and demand.  Many of the big box retail chains use VMI very successfully.

Ventilated Container or Trailer

A container or trailer designed with openings in the side and/or end walls to permit the ingress of outside air when the doors are closed.

Ventilated Container or Trailer

A container or trailer designed with openings in the side and/or end walls to permit the ingress of outside air when the doors are closed.

VMI

Vendor-managed inventory (VMI) is a family of business models in which the buyer of a product provides certain information to a supplier of that product and the supplier takes full responsibility for maintaining an agreed inventory of the material, usually at the buyer’s consumption location, usually a store. A 3PL can also be involved to make sure that the buyer has the required level of inventory by adjusting the demand and supply gaps. The close relationship between supplier and buyer reduces the chance that the buyer will ever run out of stock.  VMI also helps manage inventory and react to changes in supply and demand.  Many of the big box retail chains use VMI very successfully.

VMI

Vendor-managed inventory (VMI) is a family of business models in which the buyer of a product provides certain information to a supplier of that product and the supplier takes full responsibility for maintaining an agreed inventory of the material, usually at the buyer’s consumption location, usually a store. A 3PL can also be involved to make sure that the buyer has the required level of inventory by adjusting the demand and supply gaps. The close relationship between supplier and buyer reduces the chance that the buyer will ever run out of stock.  VMI also helps manage inventory and react to changes in supply and demand.  Many of the big box retail chains use VMI very successfully.

Warehouse

A place for the reception, delivery, consolidation, distribution, and storage of goods/cargo.

Warehouse

A place for the reception, delivery, consolidation, distribution, and storage of goods/cargo.

Warehousing

The storing of goods/cargo.  

Waybill (WB)

A document prepared by a transportation line at the point of a shipment; shows the point of the origin, destination, route, consignor, consignee, description of shipment and amount charged for the transportation service. It is forwarded with the shipment or sent by mail to the agent at the transfer point or waybill destination.

Waybill (WB)

A document prepared by a transportation line at the point of a shipment; shows the point of the origin, destination, route, consignor, consignee, description of shipment and amount charged for the transportation service. It is forwarded with the shipment or sent by mail to the agent at the transfer point or waybill destination.

Weights and Measures

Measurement ton 40 cubic ft or one cubic meter. Net ton, or short ton 2,000 lbs. Gross ton/long ton 2,240 lbs. Metric ton/kilo ton 2,204.6 lbs. Cubic meter 35.314 cubic ft.

Weights and Measures

Measurement ton 40 cubic ft or one cubic meter. Net ton, or short ton 2,000 lbs. Gross ton/long ton 2,240 lbs. Metric ton/kilo ton 2,204.6 lbs. Cubic meter 35.314 cubic ft.

Yard

A classification, storage or switching area.

Yard

A classification, storage or switching area.