Logistics Glossary

An outsourced logistics model in which warehousing, order fulfilment, packing, delivery and other logistics operations are entrusted to a specialised partner.

A model in which one partner manages not only individual logistics operations but also the wider supply chain and other service providers.

A European agreement setting requirements for the carriage of dangerous goods by road.

An air transport document confirming that cargo has been accepted for carriage by air and stating the main shipment details.

Cargo transport by passenger or freighter aircraft, typically selected when speed, security or urgency is important.

A sea-freight transport document confirming receipt of cargo for carriage by sea and stating the shipper, consignee, cargo and route.

Cargo transported outside containers as separate units, bundles, crates, structures or in another non-containerised form.

A unit used to measure cargo volume in cubic metres. It is commonly used in LCL and LTL pricing.

An Incoterms rule under which the seller pays the cost of transporting the goods to the destination port, while risk transfers to the buyer earlier, once the goods are loaded on board the vessel.

An Incoterms rule similar to CFR, with the seller additionally arranging cargo insurance at the required level.

The international road consignment note and convention governing responsibilities in the international carriage of goods by road.

A process in which cargo is stored for little or no time: it is quickly unloaded from inbound transport, sorted and transferred to outbound transport.

The person or company to whom the cargo is to be delivered according to the transport documents.

Combining smaller shipments from several shippers into one larger shipment, shared container or vehicle.

A standardised reusable cargo unit designed for safe transport by sea, rail and road.

Additional financial protection against cargo damage, loss or other insured events during transport.

An official document providing customs authorities with information about goods, their value, origin, classification and the selected customs procedure.

A customs-supervised storage facility where certain goods can be stored before final import while customs duties and taxes are deferred.

Professional support with declarations, goods classification, tax calculation and import, export or transit procedures.

A company or person physically carrying the cargo under the agreed transport conditions.

An Incoterms rule under which the seller arranges delivery to the agreed place, while import formalities and taxes are generally the buyer’s responsibility.

An Incoterms rule under which the seller assumes broad responsibility for delivery and covers import duties and taxes according to the agreed terms.

A charge applied when a container remains at a terminal or port beyond the agreed free-time period.

A charge applied when a container or equipment remains outside the terminal for longer than the agreed free-time period and is not returned to the carrier on time.

A complete transport solution from the shipper’s warehouse or factory to the final consignee address.

Substances or articles subject to special safety, marking, packaging and documentation requirements because of their properties.

A unique Economic Operators Registration and Identification number used for customs formalities in the European Union.

The planned arrival time of a vehicle, vessel, aircraft or cargo.

The planned departure time of a vehicle, vessel, aircraft or cargo.

An Incoterms rule under which the seller makes the goods available at its premises and the buyer manages most of the onward transport and related risks.

The movement of goods out of a country or customs territory, including the required export procedures and documentation.

Container transport in which the entire container is allocated to one shipper or one shipment.

An Incoterms rule under which the seller is responsible until the goods are loaded on board the vessel at the port of shipment, after which risk transfers to the buyer.

Road transport in which the full capacity of a truck is allocated to one customer’s cargo.

A logistics partner that organises cargo movement, selects transport, coordinates documents and customs formalities, and manages communication between the parties involved.

Various unitised goods transported in packages, boxes, pallets or other separate units.

An international goods-classification code used in customs declarations, customs tariffs and trade statistics.

Monitoring stock levels, planning replenishment, controlling reservations and recording stock movements in the warehouse.

An international aviation association that develops many standards and procedures used in passenger and air-cargo transport.

The international maritime organisation responsible for global requirements relating to shipping safety, environmental protection and dangerous goods.

The entry of goods from abroad, including applicable import declarations, customs duties, VAT and other required procedures.

International trade rules defining how responsibilities, risks and costs are divided between the seller and buyer during delivery.

Part-container transport in which shipments from several shippers are consolidated in one container.

Part-load road transport in which several shippers share the capacity of one vehicle.

Planning, management and control of goods, information and related processes from the point of origin to the final consignee.

Transport of one shipment using two or more modes of transport, for example sea, rail and road.

Cargo exceeding standard vehicle, trailer or infrastructure dimensions or weight limits and therefore requiring special planning.

The process of receiving orders, reserving stock, picking, packing, dispatching and tracking order status.

A document listing shipment contents, number of packages, weight, dimensions and other packing details.

A standardised platform used to stack, store and move goods with forklifts or other handling equipment.

A document or electronic record confirming that cargo has been handed over to the consignee.

A container with a temperature-control system designed for temperature-sensitive cargo.

A shipping method in which wheeled equipment or cargo on a wheeled platform is driven or towed on and off the vessel.

The person or company sending the cargo and identified as the shipper in the transport documents.

The network of processes and participants from raw materials or production through to delivery of the final product to the customer.

The process of loading cargo into a container and securing it safely for transport.

An external transit procedure generally used for non-Union goods moving within the EU customs territory without final import clearance.

An internal transit procedure used for goods with Union status in certain international transit situations.

A standard measure of container capacity equivalent to one 20-foot container.

An international customs transit system allowing goods to move through several countries with simplified border controls under defined conditions.

Movement of cargo through one or more intermediate countries or customs territories to its final destination.

Movement of cargo through one or more intermediate countries or customs territories to its final destination.

The verified gross mass of a loaded container, which must be provided before loading onto a vessel in accordance with SOLAS requirements.

Receiving, storing, recording, sorting, picking and preparing goods for onward delivery.

A warehouse-management system used for goods receipt, location management, inventory tracking, picking and control of warehouse operations.