A

Accessorial Charges:
A carrier's charges for additional services such as loading, unloading, pickup, and delivery.
Synonym: Accessorial Fees

Accreditation:
Certification that establishes the competency, authority, or credibility of an organization or individual.

ACH (Automated Clearinghouse):
A nationwide electronic payment system used by financial institutions for processing transactions efficiently.

Acknowledgment:
Confirmation of an order's receipt, provided either electronically or in physical form.

Active Inventory:
Materials stored for immediate use in manufacturing or sale within a designated period.

Advanced Shipping Notice (ASN):
Detailed shipment information shared with a customer before delivery, often used in EDI systems (e.g., 856 transactions).

B

Bill of Lading (BOL):
A legal transportation document that acts as a receipt, contract, and title of goods between the shipper and carrier.

Batch Processing:
Processing accumulated data in groups or batches instead of in real-time.

Break-Bulk:
Dividing consolidated shipments into smaller lots for delivery to consignees.

Broker:
An intermediary arranging transportation services between shippers and carriers.

C

Carrier:
A company that transports goods or passengers via land, sea, or air.

Cargo:
The goods being transported.

Cost, Insurance, Freight (CIF):
A shipping term where the seller covers the cost of goods, insurance, and freight to a named destination.

Cross-Docking:
A logistics process where goods are directly transferred from inbound to outbound transportation without storage.

D

Demurrage:
Charges incurred when freight remains in a carrier's possession beyond the allotted free time.

Duty-Free Zone (DFZ):
Areas where goods can be stored without paying customs duties.

F

FOB (Free on Board):
A shipping term determining the point where responsibility and ownership transfer from seller to buyer.

Freight Forwarder:
An intermediary specializing in arranging the movement of goods, especially for international shipments.

G

General Average:
A shared loss principle in maritime law, where all parties involved in a voyage share the costs incurred from a voluntary sacrifice to save the voyage.

Goods Received Note (GRN):
Documentation confirming receipt of materials or products.

H

Hazardous Material (HazMat):
Materials requiring special handling due to risks posed to health, safety, or the environment.

I

INCOTERMS:
International trade terms defining the responsibilities of buyers and sellers in global trade.

Intermodal Transportation:
Using multiple modes of transport (e.g., truck, rail, ship) for a single shipment.

J

Just-In-Time (JIT):
An inventory management strategy where materials arrive precisely when needed in production.

K

Key Performance Indicator (KPI):
A measurable value that reflects the effectiveness of an organization in achieving objectives.

L

Logistics:
The planning and execution of transportation, storage, and delivery of goods throughout the supply chain.

Less-Than-Truckload (LTL):
Freight shipments weighing less than 10,000 pounds, consolidated with others to optimize costs.

M

Manifest:
A detailed list of cargo or goods within a shipment.

Merge-in-Transit:
Combining shipments from multiple suppliers into one delivery, bypassing traditional distribution channels.

N

Node:
A fixed location in a logistics network where goods are stored or processed.

Non-Vessel Operating Common Carrier (NVOCC):
A firm acting as a carrier without owning or operating ships, often consolidating shipments.

O

Order Fulfillment:
The process of completing a customer's order from receipt to delivery.

P

Procurement:
The process of acquiring goods and services, encompassing planning, sourcing, and purchasing.

Pallet:
A portable platform for stacking, storing, and transporting goods.

R

Reverse Logistics:
The process of managing the return of goods, including repairs, recycling, and proper disposal.

Radio Frequency Identification (RFID):
Technology using electromagnetic fields for identifying and tracking objects, providing advantages over barcodes.

S

Stock Keeping Unit (SKU):
A unique identifier for individual products based on attributes like size, color, or configuration.

Supply Chain:
The interconnected network of businesses involved in the production and delivery of a product to the end customer.

T

Third-Party Logistics (3PL):
Outsourcing logistics operations such as warehousing, transportation, and distribution to a specialized provider.

Twenty-foot Equivalent Unit (TEU):
A standard measurement for shipping containers, based on a 20-foot-long container.

V

Visibility:
The ability to track and access real-time information about goods in transit or inventory levels.