Glossary

A rate that neither increases nor decreases according to the distance a commodity is shipped.

An order issued - produced and shipped - against a Blanket Order.

The wrapping of product in padded “blankets” to protect it during transit. Often used by moving companies.

Very new and advanced and often not yet proven. Carries a higher degree of uncertainty and risk. May apply to new technology that is still being tested.

To secure a shipment while in transit. Blocking prevents a load from moving side to side and front and back. Bracing prevents the load from moving up and down.

An MRP process which uses a “phantom bill of material” and permits MRP logic to drive requirements straight through the phantom item to its components.

A facility or a dedicated part of a facility where imported goods are stored prior to customs duties and taxes being paid (which are delayed pending shipment).

The arrangement with a carrier to reserve space and equipment aboard a vessel or other mode of transportation to ship cargo.

Reservation number used upon booking cargo (see Booking) to secure equipment and act as a control number prior to the completion of a Bill of Lading.

An enclosed railcar, typically forty to fifty feet long, used to transport general freight.

See Container ship.

To secure a shipment inside a vehicle or vessel to prevent damage.See Blocking and Bracing.

Recall of suspect lot numbers, plus a specified number of lots produced before and after the suspect ones.

Using a name, term, symbol, or design, or a combination of these, to identify a product.

Cargo that is shipped as a unit but not in a container. Examples include palletized cargo, boxed cargo, large machinery, and vehicles.

A vessel designed to transport break bulk cargo.

Separating a consolidated bulk load into smaller individual shipments for delivery. Also, the unloading of a container, railcar, or trailer. See also Break Bulk Cargo.

An intermediary - business or person - who arranges for the transportation of loads for a percentage of the revenue from the loads but is not the shipper or carrier.

A time-phased system (such as MRP or DRP) in which all time-phased data are accumulated into time periods, or buckets (such as weekly or monthly).

A space or time between a process and its environment used to minimize the effects of fluctuations. In logistics, used to manage inventory and transportation.

The process of controlling the level of buffers in a system. The goal is to ensure that the buffers are always at the correct level.

Basically, a backup stock or additional quantity of goods, stored and available to safeguard against unforeseen shortages or demands.

A production strategy where goods are produced and stored as inventory to meet projected demands. Helps to optimise production costs or minimize lost sales.

A production strategy where goods are produced upon receipt of an actual purchase order from a buyer. Used for specialized products and to reduce inventory.

See Build to Inventory.