ABC analysis – A method of inventory classification based on importance and turnover value, where items are categorized into A (most valuable), B (moderately valuable), and C (least valuable).
AEO (Authorized Economic Operator) – Customs certification for companies that meet strict security requirements and operate efficient trade processes, resulting in faster cross-border logistics.
AGV (Automated Guided Vehicle) – An automated, self-driving vehicle used for internal transport in warehouses and distribution centers.
Air freight – Transport of goods by aircraft, primarily used for fast and international deliveries with high value per weight unit.
AMS (Asset Management System) – A system for managing and tracking assets such as trucks, containers, and warehouse inventory.
ATP (Available-to-Promise) – The quantity of inventory available for sale that has not yet been allocated to existing orders, enabling companies to make accurate delivery promises.
Backhaul – A return transport where a truck carries a load on the way back to avoid empty trips and reduce transport costs.
Backorder – An order that is temporarily unavailable and delivered later once inventory is restocked.
Batch picking (WMS) – An order picking method where multiple orders are picked simultaneously to increase efficiency and reduce walking distances in a warehouse.
Barge – An inland vessel used for transporting goods via rivers and canals, often as an alternative to road transport.
Bill of Lading (B/L) – A legal document containing details about the cargo, owner, and carrier, serving as proof of receipt and ownership.
Buffer stock – Extra inventory held to absorb unexpected demand peaks or supply delays.
Call-off order – An order where products are only delivered when needed, helping to minimize inventory risks and storage costs.
Cargo – A general term for goods transported by ship, plane, train, or truck.
Carrier – A transportation company responsible for moving goods from one location to another.
CMR – An international consignment note used in road transport that defines the rights and obligations of the carrier and shipper.
Cold Chain – A controlled temperature chain ensuring that perishable goods, such as food and medicine, remain at the right temperature during transport and storage.
Consolidation – Combining smaller shipments into one larger shipment to reduce transport costs and increase efficiency.
Control Tower (TMS) – A central management system for monitoring and optimizing logistics processes, enabling real-time insight and control.
Cross Docking – A logistics strategy where incoming goods are directly transferred to outbound transport without long-term storage.
Customs bonded warehouse – A storage facility where goods can be stored without paying import duties until they are re-exported or sold.
Customs broker – A service provider that handles import and export formalities, such as customs documentation and tax declarations.
Customs clearance – The customs process in which goods are registered and duties and taxes are paid before they are allowed into the country.
Deep Sea – Transport of goods over long distances by sea freight, often between continents.
Demurrage – Charges incurred for leaving containers at a port for too long after the free period has expired.
Detention – Charges imposed when a container is held outside the terminal longer than the allowed time.
Dock scheduling (WMS/TMS) – An automated scheduling system for booking loading and unloading times at distribution centers and warehouses.
EDI (Electronic Data Interchange) – A system for automated exchange of business documents, such as orders and invoices, between companies.
Emission – The release of CO₂ and other greenhouse gases by transport modes and logistics processes, a key issue in sustainable logistics.
Entrepôt – A storage facility where goods can be stored without import duties until they are re-exported or sold.
ETA (Estimated Time of Arrival) – The expected arrival time of a vehicle or shipment, often based on real-time traffic information.
ETD (Estimated Time of Departure) – The expected departure time of a vehicle or shipment, essential for transport planning and customer expectations.
FCL (Full Container Load) – A transport method where a full container is reserved for one customer, with no other parties’ cargo.
FEFO (First Expired, First Out) – An inventory management principle where products with the shortest shelf life are used first to minimize waste.
FIFO (First In, First Out) (WMS) – An inventory strategy where the oldest stock is sold or used first to prevent product aging.
FMS (Fleet Management System) – Software for managing, tracking, and optimizing vehicles and trips within a transport fleet.
FMS (Forwarding Management System) – Software used to optimize transport management, including planning, tracking, and administrative handling of logistics chain transports.
Forklift – An internal transport vehicle used for moving, loading, and unloading pallets and heavy goods in warehouses and distribution centers.
Freight forwarder – A logistics service provider responsible for organizing transport and customs formalities for shippers.
Freight optimization (TMS) – Improving load capacity and route planning to maximize transport efficiency.
FTL (Full Truck Load) – A transport method where a full truck is reserved for a single shipment.
Goods flow – The movement of goods through the supply chain, from supplier to end customer, including storage and transport.
GPS tracking (FMS) – Technology that tracks vehicles and cargo in real time, contributing to efficient fleet management and better customer service.
Groupage – Combining small shipments into one transport to save costs and optimize transport capacity utilization.
Hub-and-spoke – A logistics model using a central hub to collect and distribute shipments to various destinations, increasing transport efficiency.
Inbound Logistics – The process of receiving, storing, and distributing incoming goods within an organization or supply chain.
Incoterms – International delivery terms that define the responsibilities of buyers and sellers regarding transport, costs, and risks in international trade.
Inland shipping – Transport of goods via rivers and canals, often a more sustainable and cost-effective alternative to road transport.
Intermodal transport – Transport that combines different modes (such as road, rail, and water) without handling the cargo itself, increasing efficiency.
Inventory turnover – The frequency at which inventory is sold and replenished, a key indicator for inventory management and operational efficiency.
Just-in-Time (JIT) – An inventory strategy where goods are only produced or delivered when needed, minimizing storage costs and waste.
Last mile delivery – The final leg of a delivery, from a distribution center to the end customer, often the most expensive and complex link in the supply chain.
LTL (Less than Truck Load) – A transport method where several small loads from different shippers are combined in one truck to save costs.
Modality – The different transport modes such as road, water, rail, and air that can be used within a supply chain.
Multimodal transport – The use of multiple transport modes within a single logistics chain to improve flexibility and efficiency.
Network optimization – Improving logistics networks by optimizing routes, hubs, and transport modes to minimize costs and lead times.
Night distribution – A form of transport and logistics where goods are delivered at night to avoid traffic congestion and enable faster delivery.
Order picking (WMS) – The process of collecting items from inventory and preparing them for shipment, a core function within warehouse management.
Outsourced transport – Transport carried out by an external carrier instead of the shipper, often to reduce costs and increase flexibility.
Pallet – A standardized load carrier used for the safe and efficient storage and transport of goods.
Parcel service – A courier service focused on the fast and efficient delivery of small packages to businesses and consumers.
Plan board (TMS) – A digital tool within a Transport Management System (TMS) used to plan and manage transport operations.
Quality Control (QC) – The process of quality assurance and inspection within the logistics chain to ensure that products meet required standards.
Rail transport – The transportation of goods by train, an environmentally friendly alternative to road transport.
Refrigerated transport – Transport that maintains a controlled temperature to keep perishable goods like food and pharmaceuticals in optimal condition.
Reverse logistics – The process of returning products, for example due to defects, recycling, or reuse, an important part of sustainable logistics.
Road transport – The transportation of goods by road using trucks, one of the most common transport modes.
Route planning (TMS) – The optimization and planning of transport to improve efficiency, reduce costs, and ensure delivery reliability.
Shipper – The party responsible for offering goods to a carrier for transport. The shipper organizes or coordinates the shipment and ensures proper preparation, including documentation and packaging.
Short Sea – Transport over short sea distances, often between ports on the same continent.
Storage – The act of keeping goods in a warehouse or distribution center, either temporarily or long-term. Efficient storage is essential for inventory management and supply chain optimization.
Supply Chain – The entire logistics chain from raw material supplier to end customer, including production, storage, and distribution.
Synchromodality – A flexible transport strategy where different modes are used dynamically to optimize efficiency and sustainability.
Tachograph analysis – The analysis of drivers’ driving and rest times based on tachograph data, helping ensure compliance with driving time regulations.
TMS (Transport Management System) – A software solution for planning, executing, and optimizing transport processes.
Track & Trace (TMS/FMS) – A system that allows real-time tracking of shipments, ensuring transparency in the supply chain.
Transport optimization – Improving transport efficiency through better route planning, load management, and vehicle coordination.
Transshipment – The transfer of goods from one mode of transport to another, often within terminals or distribution centers.
Value Added Services (VAS) – Additional services within the logistics chain, such as labeling, assembly, or packaging, to add value to products.
Warehouse management (WMS) – The process of organizing, optimizing, and managing storage, picking, and shipping of goods within a warehouse.
Warehouse rental – The leasing of storage space for temporary or long-term storage of goods, depending on a company’s logistics needs.
WMS (Warehouse Management System) – A software solution for managing warehouse processes, from receiving to shipping.
Wave Picking – An order picking strategy in which orders are processed in batches (waves) to increase efficiency and reduce lead times.
Sea freight – The transport of goods by sea, often used for bulk cargo and intercontinental trade.
2PL (Second Party Logistics) – A logistics service provider that handles only transportation.
3PL (Third Party Logistics) – An external logistics partner that manages transport, storage, and distribution.
4PL (Fourth Party Logistics) – A strategic partner that optimizes and coordinates the entire logistics chain.
5PL (Fifth Party Logistics) – An advanced logistics provider that manages multiple supply chains and networks with a focus on digitalization and automation.
