3PL:

Short for Third Party Logistics.

Airbag:

A type of dunnage. An inflatable bag, usually constructed of paper and plastic, used to fill empty space between loads of product in railcars or trailers in order to keep the product from shifting.

Accessorial:

A supplemental activity, service or materials, outside normal handling and storage services, that is billable in accordance with the customer contract. The most common are extra labor, recoup, and bill of lading charges.

Accessorial Charge:

The amount charged to the customer for providing accessorial services or materials.

Allocate:

In the computer system, allocate refers to the process of assigning specific cases of a product, as defined by lottable units, location, and/or pallet ID, to a given order.

ASN:

Advance Shipping Notice: A notice from a shipping location to a receiving location that a shipment is being sent.

Attachment:

Any one of a number of devices, usually hydraulically operated, placed on the front of a lift truck to facilitate the handling of product. The most common attachment is a set of single or double-wide forks, hence, the term forklift. Other common attachments are box clamps, roll clamps, push pull-pull packs, and basiloids.

Available Inventory:

The amount of shippable product in the warehouse; does not include product designated as damaged, on hold, or pending shipment.

Bailee:

A company or individual who is entrusted with the property of another and has responsibility for its care.

Bar code:

A type of label used to identify objects such as cases or pallets. The most common type is the UPC (Universal Product Code) found on nearly all items sold in stores. See UPC definition. It consists of a series of black and white bar-shaped spaces and is scannable by the laser on a RF (Radio Frequency) gun or reader. The bar code represents an identification number that is stored in the computer system along with other information about the product.

Batch Code:

See Date Code.

Bill of Lading or BOL:

A legal document produced by either a WMS or TMS, authorizing transportation of product. It details shipper, receiver, items, pieces (pallets, weight, and special instructions, if needed). Signatures on the BOL document the transfer of responsibility for the shipment from shipper to carrier to receiver.

Block and Brace:

Any one of a variety of methods for securing freight in a transportation vehicle. Blocking and Bracing is particularly used for freight having odd shapes or that is likely to shift in transit. Sometimes involves nailing wood blocks to the floor of the vehicle; hence, the term "Blocking."

Block:

Has two meanings: 1) This is an alternative term for Tie-High; and 2) See Block and Brace.

Book Inventory:

The record of inventory balances kept in the WMS by item or SKU for each customer. Ideally, should always agree with the actual physical inventory in the warehouse.

Break Bulk:

A freight handling process that involves separating (i.e. breaking) a large amount of freight (bulk) into smaller shipments.

Bubble Wrap:

Sheet of plastic with integral air bubbles that is used as a protective packing material.

Bulkhead:

A movable floor to ceiling railcar partition that is used to divide and thus help secure a load.

Carrier:

A railroad, trucking company, airline, or package carrier, or any other company that transports product or passengers for money.

Case Pick:

The manual selection and lifting of individual units (cases, bags, etc.) from a full unit load, typically to fill a customer order.

Chassis:

A trailer frame with wheels that supports a trailer type container that is being transported over land, typically after or before a rail or water movement.

Chock:

To use a wood or metal wedge, called a "chock," to block the movement of the wheels of a trailer or railcar while it is being loaded or unloaded.

Claim:

A demand for money/compensation issued by one party in a supply chain to another. For example, claims are filed with warehouses and carriers for loss and damage of inventory or cargo.

Clamp:

A lift truck attachment comprised of two parallel pads that press or grasp product so that it can be lifted, transported, and stacked. Clamps use hydraulic pressure applied through pads or arms to grasp (clamp) the product tightly. There are "box clamps" for handling stacks of cases and "roll clamps" with curved pads for handing rolls of product (ex. Newsprint).

Clear Height:

The maximum height that product can be stored in a particular building without encountering obstructions such as fire sprinkler heads, lights or structure.

Code Date:

Same as a date code.

COFC:

Container on Flat Car. A container on a chassis is loaded with freight, trucked to a rail yard, removed from the chassis, loaded on a flat car, hauled by the railroad, put back on a chassis and trucked to destination.

Concealed Damage:

Damage to product that is not obvious until after receipt when the product is examined or the condition becomes apparent during storage or handling.

Consignee:

A business to which we ship a customer's products; a consignee is typically our customer’s customer.

Consolidate:

Combine two or more shipments going in the same direction or to the same destination on a single trailer.

Container:

A shipping container similar to a trailer. Unlike a trailer which has permanently attached wheels and landing gear, a container is moved on a detachable chassis. Containers can be stacked on ships and rail cars and come in varying lengths: 20', 40', 45', 48', and 53'. Once used almost exclusively for ocean shipments, they are now used almost everywhere.

Contract:

A legal binding agreement between Saddle Creek and a customer stating terms of our agreement, limits of liability, storage and handling rates, transportation rates, and accessorial charges.

Contract Warehousing

A warehousing service similar to public warehousing, except that in this case the owner of the inventory shares part of the risk renting space regardless of the use.  Normally the cost of contract warehousing is less than public warehousing.

Cross Dock/Cross Docking:

Receiving product and shipping it out the same day or overnight without putting it into storage. A "crossdock" facility is one which has truck or "dock" doors on two or more sides with little or no storage space.

Cube:

Volume in cubic feet (L X W X H = cube). Typically refers to the volume of space occupied by product in a trailer, container, or rail car or the size of a case/pallet. Also refers to a "unit load" of product as in "a cube."

Customer:

A manufacturer, retailer, distributor, or other business that contracts a logistics service provider to store, handle, and distribute its products. All products in the warehouse are owned by the customers.

Cycle Count:

The process of taking a physical inventory of selected products on a rotating basis or cycle so that after a period of time all products have been counted and physical balances reconciled to book inventory.

Date Code:

A series of characters placed on a product by the manufacturer in order to date the product. The date code may be a readable date or may be in a coded format. The date code can refer to the production, "use by", or the expiration date of a product.

Depositor:

See customer. So called because the customer "deposits" the goods in the warehouse.

Distribution Center:

Distribution centers store and sort goods using warehouse space so that full truckloads of merchandise can be sent to a single destination or to multiple destinations along a specific route.

Disposition:

The process of specifying what should be done with product that is on hold. Also used to mean dumping/disposing of bad product.

Dock:

A warehouse door, platform or area near warehouse doors where trailers or railcars are loaded/unloaded. May be exterior or interior. Also used at times to refer to the staging area.

Dock Leveler:

See Leveler.

Dock Plate:

A metal plate that is placed between the warehouse dock door and a trailer or railcar to bridge the gap between the two of access to/from the vehicle. May be attached to building or be portable.

Double Wide:

A lift truck attachment with two sets of forks that permits moving twice the usual amount of product on two pallets side by side at one time or four pallets (two stacks of two).

Drayage:

Sometimes simply used to mean "trucking." More typically means the transport of a trailer or container to/from a seaport or intermodal yard.

Dump:

To discard and destroy product that is damaged or has been designated by the customer as expired or otherwise unshippable.

Dunnage:

Airbags and corrugated cardboard packing material used to separate, cushion, and secure unit loads during transport by truck, container or rail.

DUNS Number:

A unique 9-digit "Data Universal Numbering System" identification number issued by the business-rating firm of Dunn & Bradstreet. The DUNS numbers are used by EDI to identify a company.

E-business

Electronic business is using technology to improve your business processes. This includes managing internal processes such as human resources, financial and administration systems as well as external processes such as sales and marketing, supply of goods and services and customer relationships.

E-commerce

A way to execute transactions and share information with other businesses, consumers or with government by using computer and telecommunication networks, including the Internet

EDI:

Electronic Data Interchange. Refers to a computerized exchange of information between two or more supply chain partners which replaces paper documents being manually keyed into computer systems.

Fixed Cost:

Any cost of production which does not vary significantly with the volume of output.

Flat Bed:

An open trailer with only a front bulkhead. It has no walls, roof, or doors and is used for products that have to be loaded or unloaded from ground level, such as building materials.

Floor Load:

Refers to product stacked directly onto the floor of a transportation vehicle. Product may be placed by hand or using a lift truck, but is then palletized or otherwise removed from the vehicle manually.

Forklift:

A type of lift truck used for lifting, stacking, and transporting pallets of product by means of a set of blades, tines or forks mounted on the front. This term is sometimes used to refer to all lift trucks even if they have other types of attachments.

Freight Bill:

An invoice for transportation covered by a specific Bill of Lading and generated by the carrier when the load is picked up.

Glad Hand Lock:

A lockable device that interlocks with the pneumatic fittings (brake line connectors) of a trailer that prevents a tractor from connecting to the brake lines for towing. This is a basic security device. See also, "Kingpin Lock".

Hand Stack:

Manually handling cases on or off a transportation vehicle or a unit load. Called floor loading/unloading.

Haz Mat:

Short for hazardous material; refers to product that may pose a risk to personal health and safety, environment or property, if improperly transported, handled, stored or damaged. Examples include flammables, corrosives, explosives, and poisons. The handling and transportation of such products are strictly regulated by several governmental agencies.

Home-bases Business:

A home based business is a business whose primary office is in the owner's home. The business can be any size or any type as long as the office itself is located in a home

Inbound:

A load of product coming in.

Inbound Damage:

Damage to product found on an inbound load not caused by the receiving facility.

In-House Damage:

See Warehouse Damage.

Initial Storage:

Warehouse storage charge for the month in which product is first received.

Intermodal:

A transportation activity that involves more than one type (mode) of transportation in a move from origin to destination. Most commonly refers to TOFC (piggy back or COFC).

Interplant:

A load transported from one customer-related facility to another controlled by that same customer; does not include product shipped to a consignee.

Inventory Turns or Inventory Turnover:

The number of times that inventory is sold/shipped in a period of time, typically expressed as turns per year or annualized inventory turns. There are several methods of calculating inventory turns, but the most common is units shipped divided by average units on hand = turns. For example, if a warehouse ships 10,000 units in a year and average inventory is 1,000 units, then 10,000 divided by 1,000 = 10 turns.

Knock-down (KD):

A flat, unformed cardboard box or tray. Knock-downs, also known as KDs, are constructed and glued in the recoup or packaging areas and used for repacked product. Many KDs are provided by the customer for their recouped products.

Landing Gear:

Metal legs with a pad at the foot that support the front of a trailer when it is not hooked to a tractor. The landing gear is cranked down until the trailer pad is lifted off the trailer's fifth wheel before the tractor pulls away and cranked up under the trailer again in order to engage the fifth wheel and trailer plates before the trailer is moved to a new location.

Leaker:

Product that is leaking due to damage or substandard packaging.

Leveler:

A dock plate attached to the warehouse dock that can be raised or lowered and that adjusts to the height of a trailer.

License Plate:

A pallet tag; refers to a uniquely numbered bar code sticker placed on a pallet of product. Typically contains information about product on the pallet.

Lift Truck:

A powerful piece of materials handling equipment that can accept one or more attachments for the handling of product. The most common lift truck is a forklift that uses fork-like blades, but lift trucks can also be fitted with other attachments for palletized handling of product such as clamps, pull paks, push pulls, basiloids, or double wide forks. Lift trucks can be powered electrically, by use of batteries, or by propane or diesel engines. The most common type used inside warehouses are either electrical or propane.

Location Tag:

A bar coded sign that hangs above or on a warehouse location. The location number can be read from the tag or scanned with an RF gun.

Logistics:

The care and movement of product from raw material, through the manufacturer, through the warehousing and distribution process, to the end customer, and on to the consumer.

Lot Number:

A number assigned to product when it is received into the warehouse via the EXceed computer system. Lot numbers are assigned to inbound product per product code and lottable fields.

LTL:

Short for Less than full Truck Load

Manifest:

A document that lists all of the products being transported; used when several bills of lading are combined into one shipment.

Multi-Pack:

Repackaging various products according to a customer's specification to create a new pack typically with a variety of flavors or products. Also refers to a warehouse area where the multi-pack process occurs.

Multi-site Access:

Control multiple site business processes with simultaneous real-time data entry and analysis

On-Hand Inventory:

The amount of product in the warehouse; includes product designated as available, damaged, on hold, or pending shipment.

On Hold:

Also called Hold Inventory. Inventory ordered by the customer to be held from shipping for some reason: i.e. reserved for a promotion, damaged, expired shelf life, quality, etc. Must never be shipped without formal release from hold.

On Reserve:

Refers to product that is set aside for some specific later shipment.

Order:

A specific instruction from the owner of the goods (customer) for shipment of product; will include date, destination, products, quantities, and other information or instructions.

O.S. & D.:

Over, Short and Damage; it refers to the condition of a load of product which arrives in a defective condition, or whose quantity does not match the bill of lading (cases over or short).

Outbound:

A load of product (order) shipped out at the customer's direction.

Pallet:

A wooden or plastic base upon which layers of product are stacked for storage and transporting with a forklift or pallet jack.

Pallet Exchange:

The process of exchanging pallets with a carrier, customer, or consignee, ultimately on an equal quantity and quality basis.

Pallet ID:

See Pallet Tag.

Pallet Jack:

Material handling equipment consisting of two broad parallel pallet forks on small wheels used in the warehouse to move pallets of product, but not having the lifting capability of a forklift. It may be a motorized unit guided by an operator who stands on a platform; or it may be a motorized or manual unit guided by an operator who is walking behind or beside it. Comes as a "single" (one pallet) or "double" (two pallets).

Pallet Tag:

The bar coded sticker that is placed on a unit load or partial load, typically at receiving. The pallet tag can be scanned with an RF gun.

Partial:

Less than a full unit load of product.

Physical Inventory:

The process of manually counting all of a customer's product in the warehouse and reconciling the physical count to book inventory, including accounting for variances between book and physical.

Pick:

To select product for shipment according to an order placed by the customer.

Pick Line:

An area in the warehouse that contains unit loads of products from which individual cases are picked and shipped in less than full unit load quantities.

Pick/Pack:

A warehouse operation that involves picking individual items (eaches) from cases and putting them together a carton or pack for shipment.

Pick Ticket:

A report generated via the Exceed WMS that shows which products to select for a shipping order. The pick ticket specifies the product code, date code, quantity, and location of each product to be picked and shipped.

Pig:

A type of trailer that can be transported on a rail car and also pulled by a tractor.

Piggy Back:

See TOFC.

Piggy Back Yard:

Sometimes called an intermodal yard. A facility where containers or trailers are transferred from one mode (ex., truck) to another (ex., rail).

P.O.D.:

Proof of Delivery; a signed bill of lading, "proving" what was delivered.

Pool Zone:

A geographic area comprised of multiple origins and/or destinations covered by a single set of freight rates: used for combining LTL shipments.

Pool Distribution:

A cost saving distribution method that involves shipping a solid carload or truckload of multiple ("pooled") smaller shipments from origin to a crossdock or break bulk point such as a warehouse or truck terminal from which point the small shipments are separated and delivered by multiple trucks.

Product Code:

A series of characters assigned by the manufacturer to identify each of its products. This is usually the SKU.

Public Warehousing

This warehousing service is directly associated with usage of space, transactions or any resources.  The owner of the inventory pays only for usage; therefore, the risk of the warehouse is exclusive of the warehouse owner.  This type of service is more expensive than contract warehousing.

Pull Pak or Push Pull:

An attachment to a forklift that is used to handle product stacked on a slip sheet.

RA:

Return Authorization; this is usually a number supplied by the customer authorizing the return of product from a consignee to the logistics services provider.

Rack:

Metal framework in the warehouse used to store palletized or shelved products several levels high. Typically used for items that stack poorly or that have small quantities, in order to save space.

Rate Sheet:

A schedule of warehouse or transportation charges for a customer.

Real-time information:

Real-Time information is data which appears to arrive instantaneously, without any time delay.

Receive Product:

The process of unloading, recording and storing inbound product.

Recoup:

To manually sort through damaged product, repackage items that can be salvaged, and discard items that cannot be used. A warehouse area where the recoup processes takes place.

Recurring Storage:

An amount charged to a customer for monthly storage; it is based on the amount of product stored in the warehouse on the first day of the month.

Renewal Storage:

Same as Recurring Storage.

Return Authorization:

See RA.

Reverse Logistics:

Reverse logistics is the return transportation of empty reusable pallets and containers and is often the most expensive component of a reusable transport packaging system. It is very important to consider the logistics and costs of returning empty reusable transport packaging together with other cost-saving opportunities.

RF:

Radio Frequency (wireless) transmission to a computer of data scanned by a hand held laser "RF gun" or other RF device.

RF Gun:

A wireless hand-held radio frequency terminal with a screen, a keypad, and a scanner or "gun" that is used by warehouse personnel to scan bar coded unit load and location tags and to then transmit data to, or receive data from, a computer.

SCAC/SCAC Code:

Standard Carrier Alpha Code; a unique 2 to 4-letter code assigned to transportation companies for identification purposes. SCAC codes are required for EDI, and are printed on bills of lading and other transportation documents.

Seal:

A simple device, typically made of plastic or thin metal and carrying a unique identification number used to "seal" a transportation vehicle and to detect whether or not the vehicle has been opened without authorization. Seals are constructed so that they must be cut or broken in order to open the vehicle doors.

Ship Product:

The process of selecting, loading and releasing outbound product.

Shipping Order:

A directive sent by the owner of the goods, to ship product out of the warehouse. A shipping order specifies product, quantity, shipping date, destination and may contain special instructions.

Shrink Wrap:

Heavy clear plastic film that is tightly formed around a tray of product through a heating and shrinking process.

SKU:

Stock Keeping Unit; a product code assigned by the owner of the goods.

Slip Sheet:

A sheet of cardboard with a protruding lip on which product is stacked; used instead of a pallet to handle unit loads with Pull Pak attachment which grasps the lip of the sheet.

Slip Sheet Attachment:

An attachment to the front end of a forklift that is used to handle product on a slip sheet. Same as Pull Pak or Push Pull.

Split Month Billing:

A common method of billing public warehouse customers for initial storage or storage on receipt. If product is received in the first half of the month, 100% of the initial storage rate is applied to the product received during that period. If the receipt takes place after the 15th day of the month, then one-half of the initial storage rate is applied. There is a variation to this system that involves applying 75% of the initial storage rate to all product no matter when received (100% + 50% divided by 2 = 75%).

Spot:

To place a trailer or rail car in a designated location or warehouse door. Also another name for a warehouse truck or rail door.

Stack Height:

The number of unit loads that can be safely stacked on top of each other; without falling or crushing: referred to as "One High", "Two High", etc.

Staging:

The process of positioning product in the warehouse either after receiving or prior to shipping. On inbound, staging is used to reduce vehicle unloading time and to permit checking and inspection of product prior to putting away in the warehouse. All outbound staging is used for checking and inspection prior to loading and also to smooth out work in the warehouse and to speed up loading once the vehicle arrives.

Staging Area:

A designated area of the warehouse near the docks where product is placed prior to shipment or after receipt.

Storage on Receipt:

Same as Initial Storage.

Stretch Wrap:

Clear plastic film that is wrapped around a unit load or partial load of product to secure it. The wrap is elastic.

Stripping:

A term used to describe the unloading for an inbound transportation vehicle. Most commonly applied to floor loaded freight. Also, see Lumping.

Suffix:

A specific series of characters added to the end of a product code to designate something unique about that product, such as promotional product, new label, special status, etc.

Supply Chain:

Process by which an organization creates and distributes its products from raw material through manufacturing and distribution to retail and the consumer.

Supply Chain Logistics:

The care and movement of product from the manufacturer, through the distribution and warehousing process, to the end consumer.

Supply Chain Management:

Managing and controlling the flow of goods through the supply chain.

Tally Sheet:

A form used by unloaders in non-RF operations to record the receipt of incoming products. Shows Vehicle ID, items, quantities, and any exceptions (over, short, damages).

Tariff:

Transportation: A document published by a carrier that describes charges for transportation between 2 or more points, and contains other terms and conditions governing the transportation activity. Warehousing: Contract rates for the storage and handling of product.

Third Party Logistics:

The providing of logistics services of certain supply chain functions by a third company that is not the owner of the goods. Third Party logistics activities can be limited to one function such as warehousing or transportation or can involve many activities provided by one provider.

Third Party Logistics Provider:

A company that performs all or part of its customer's supply chain logistics activities. These activities may include the care and control of the customer's products; distribution of products according to customer specifications; and special services such as repackaging and transportation.

Ti/Hi (Tie/High):

The stacking pattern of product making up a unit load. Tie (Ti) tells how many pieces (ex., case, bag, barrel) are on a layer while High (Hi) tells how many layers there are. For example, a 10 X 6 Tie/High would be 10 cases/layer times 6 layers or 60 cases.

TOFC:

Trailer On Flat Car; also called "piggyback." A trailer that is transported by road to a rail terminal, moved by rail for the long haul, then delivered by truck to its final destination. Same as COFC except COFC uses a container, not a trailer.

TMS:

See: Transportation Management System.

Tractor:

The truck that pulls a trailer or container.

Trailer:

A wheeled transportation vehicle with attached wheels and landing gear, pulled by a tractor (together called a tractor trailer) to transport cargo. A container on chassis is also commonly called a trailer although this is not strictly correct.

Transaction Set:

In EDI, a group of data elements that represent the information on a business document, like a shipment order, and which are transmitted through EDI to accomplish a special task. Each task (ex., shipping confirmation) is accomplished by a specific transaction set. Some SCC customers use a few transaction sets, others use many. SCC supports about 15 sets.

Transportation Management System (TMS):

A powerful computer system (such as the Maddocks System used at SCC) used to manage some aspect of transportation.

Unallocate:

In a WMS, refers to the process of releasing specific cases of a product, as defined by lottable units, location, and/or pallet ID, from a given order to which it had been assigned or allocated.

Unit Load:

Multiple units (ex. cases, bags, etc.) handled as a single unit. A pallet with its load of product is the classic unit load. Can also be handled without pallets (with clamps, pull pak, etc.).

UPC:

A code used by the manufacturer of consumer packaged goods and other products to identify both the item and the manufacturer. The UPC code is the bar code found on nearly every item purchased in a retail store.

Warehouse Damage:

Damage to customer product that occurs in the warehouse as part of handling. Often results in a claim being filed by the Customer against the Warehouse.

Warehouse Management System (WMS):

A powerful computer system used to manage all aspects of warehouse operations, including RF if used.

Warehouse Receipt:

A receipt issued for product received into the warehouse. It is a legal document that details the quantity and condition of received product, the place of storage, the warehouse duties and obligations, and the charges for initial storage and handling.

Warehouseman's Lien:

Under the laws of the Uniform Commercial Code (UCC), a Warehouseman has a lien or claim against the owner of the goods in storage for the payment of lawful charges.

White Line:

A sanitation line that is white, 18 inches wide, and painted around the inside perimeter of each warehouse; it is used to make contamination more visible and to facilitate cleanliness behind the stacks in the warehouse. No product may be placed on the white line.

Workflow:

Workflow is the processing of manual and automatic activities to fulfill a specific goal.

WMS:

See: Warehouse Management System