Procurement glossary: Logistics & supply chain
125 terms on Logistics & supply chain.
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- ADRAccord relatif au transport international des marchandises d · ADR Agreement · Dangerous Goods Road AgreementADR stands for the “Accord relatif au transport international des marchandises dangereuses par route”, the European Agreement concerning the International Carri
- Advance Shipping Notice (ASN)ASN · Advance shipping notification · Despatch messageAdvance Shipping Notice (ASN) refers to the electronic advance notification of a shipment that a supplier transmits before or with the despatch to the customer.
- AEOAuthorised Economic Operator · Certified Economic Operator · AEOCAEO stands for Authorised Economic Operator – a status under EU customs law granted to companies with reliable and secure processes throughout the entire supply
- AEO StatusAEO · Authorised Economic Operator · zugelassener WirtschaftsbeteiligterAEO status (Authorised Economic Operator) is a customs certification that identifies companies as reliable and trustworthy economic operators in the internation
- Air freight cost componentsAir Freight Cost Components · Luftfrachtkosten · Fuel SurchargeAir freight cost components are the individual cost elements that make up the final price of an air freight shipment. Besides the freight rate, they include in
- Air Waybill (AWB)AWB · air waybill · e-AWBThe Air Waybill (AWB) is the accompanying transport document for air freight shipments and simultaneously serves as the consignment note, receipt confirmation a
- Andler lot sizeAndler formula · EOQ · Economic Order QuantityThe Andler lot size is a classic method for determining the economic order quantity for stock items with constant demand. It balances procurement costs and inve
- ASN Processing (Advanced Shipping Notice)ASN · Advanced Shipping Notice · Advanced Shipment NotificationASN processing (Advanced Shipping Notice) covers the receipt, checking and further processing of shipping notices with which suppliers announce incoming consign
- Available to Promise (ATP)ATP · Available-to-Promise · available-to-promise quantityAvailable to Promise (ATP) denotes the quantity of a product or component that can be firmly promised to a customer for a specific date. The figure results from
- Average Inventorydurchschnittlicher Bestand · Average Inventory · mittlerer LagerbestandAverage inventory refers to the average quantity of goods, raw materials, semi-finished and finished products held in stock over a given period. It is a key bus
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- Bill of LadingBill of Lading · B/L · OrderkonnossementThe Bill of Lading (B/L) is the central transport document in international sea freight. It evidences the carrier's receipt of the goods, documents the contract
- Buffer Stocksafety inventory · safety stock · safety stocksA buffer stock is a deliberately built-up inventory of materials, components or assemblies that absorbs demand and supply uncertainties. It safeguards productio
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- Cargo insuranceWarentransportversicherung · Gütertransportversicherung · Cargo InsuranceCargo insurance is a type of insurance that protects goods during carriage by road, rail, water or air against loss, damage and partial risks. For industrial bu
- Carnet (ATA)ATA Carnet · Merchandise Passport · Admission Temporaire CarnetA Carnet (ATA) is an internationally recognised customs document that enables the temporary export of goods without a fresh customs declaration and, in most cas
- Carrier PerformanceCarrier Scorecard · Carrier Evaluation · Freight Forwarder EvaluationCarrier Performance refers to the systematic measurement and evaluation of the performance of transport providers and freight forwarders across the entire suppl
- CFR (Cost and Freight)Cost and Freight · Incoterms CFR · CFR Incoterms 2020CFR (Cost and Freight) is one of the classic trade clauses of the Incoterms, under which the seller bears the freight costs to the agreed port of destination. H
- CIFCost, Insurance and Freight · Cost Insurance and Freight · Incoterms CIFCIF (Cost, Insurance and Freight) is an international delivery term from the Incoterms stipulating that the seller bears the transport costs and a transport ins
- CIP (Carriage and Insurance Paid to)Carriage and Insurance Paid to · CIP Incoterm · CIP Incoterms 2020CIP stands for 'Carriage and Insurance Paid to' and is one of the eleven Incoterms rules of the International Chamber of Commerce (ICC). It stipulates that the
- CMR consignment notee-CMR · CMR-Frachtschein · Frachtbrief CMRThe CMR consignment note is the international transport document for cross-border road freight transport and is based on the Convention on the Contract for the
- Commercial InvoiceCommercial Invoice · Export Invoice · Customs InvoiceThe commercial invoice, in German Handelsrechnung, is the central settlement and evidence document for cross-border goods deliveries. It documents the obligatio
- Consignment stockConsignment Stock · Consignation Warehouse · Consignment InventoryA consignment stock is a stock in which the supplier's goods are physically held at the buyer's premises but legally remain the supplier's property until withdr
- Container TypesFreight containers · ISO containers · Sea freight containersContainer types refer to the standardised designs of transport and cargo containers used in international freight transport by sea, rail and road. For buyers an
- CPT (Carriage Paid To)Carriage Paid To · Incoterms CPT · CPT Incoterm 2020CPT (Carriage Paid To) is one of the eleven Incoterms® rules that determine which contracting party bears transport costs and the transfer of risk in internatio
- Cross DockingCrossdocking · Direct transfer · Flow-through distributionCross docking is a logistics method in which incoming goods are received at the transhipment point, sorted immediately and transferred directly to outbound tran
- Customs agentcustoms agency · customs broker · Customs AgentA customs agent is a licensed service provider that represents companies in handling customs and foreign trade matters. For industrial buyers and supply chain m
- Customs clearanceZollabwicklung · Customs Clearance · EinfuhrabfertigungCustoms clearance refers to the customs handling of goods across a customs border, including declaration, valuation, classification and payment of duties as wel
- Customs clearanceCustoms Clearance · Zollabfertigung · ZollanmeldungCustoms clearance covers all the steps required to bring goods legally across a customs border – from declaration and document checks to payment of duties. For
- Customs tariff numberHS Code · Commodity Code · CN CodeThe customs tariff number is the codified classification of a good within the international customs tariff system and determines the duty rate, goods statistics
- Customs warehouseZolllagerverfahren · Customs Warehouse · Type A customs warehouseA customs warehouse is a customs-approved warehouse in which imported goods can be stored free of duty and tax under EU customs supervision. For technical buyer
- Cycle CountingDauerinventur · permanente Inventur · perpetual inventoryCycle counting refers to the permanent, continuous stocktaking of inventory in which items are counted in defined cycles rather than on a single cut-off date. F
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- Dangerous Goods ManagementDangerous Goods Management · DG-Management · GefahrgutbeauftragterDangerous goods management refers to the systematic planning, control and monitoring of all processes relating to the procurement, transport, storage and dispos
- DAPDelivered At Place · Incoterms DAP · delivered at placeDAP (Delivered At Place) is a delivery term under the Incoterms under which the seller transports the goods to the named place of destination and makes them ava
- DDP (Delivered Duty Paid)Delivered Duty Paid · Incoterms DDP · DDP Incoterms 2020DDP (Delivered Duty Paid) is a delivery term from the Incoterms rules under which the seller delivers the goods to the named destination, handles import customs
- Delivery conceptsLieferkonzept · Anliegervorschrift · Delivery ConceptDelivery concepts describe the structured definition of how materials, components and assemblies are delivered to a company, both physically and in terms of dat
- Delivery Date TrackingTerminverfolgung · Delivery Tracking · ExpeditingDelivery date tracking refers to the systematic monitoring of confirmed and planned delivery dates throughout the entire procurement process. It ensures that or
- Delivery lead time variabilityLieferschwankung · Liefertreue-Streuung · Delivery Time VarianceDelivery lead time variability describes the range of fluctuation of actual delivery times around the agreed or planned date. Alongside on-time delivery, it is
- Delivery reliabilityDelivery date reliability · OTIF · On Time In FullDelivery reliability denotes the proportion of deliveries that arrive at the customer on the agreed date or within the agreed delivery window. It is one of the
- Delivery timeLead Time · Vorlaufzeit · Delivery Lead TimeDelivery time is the period between the order or order confirmation and the goods receipt at the customer. In industrial procurement, it is one of the most impo
- DemurrageDetention · Storage · Container demurrageDemurrage refers to charges incurred when containers or means of transport exceed agreed standing times and therefore remain tied up longer than permitted with
- DetentionDetention Charge · Container Detention · StandgeldDetention refers to the charge levied by shipping lines or container lessors when import containers are not returned to the carrier promptly by the consignee af
- Direct deliveryDirektbelieferung · direct delivery · DirektlieferungDirect delivery describes the logistics variant in which a supplier does not deliver the goods to the buyer's warehouse or plant, but directly to the end recipi
- Dock AppointmentTime Slot Management · Slot Booking · Delivery AppointmentDock appointment refers to the scheduling of a loading bay (dock, gate, ramp) for inbound or collection deliveries between the shipper, the haulier and the rece
- Dock-to-StockDock to Stock · D2S · Dock-to-Stock timeDock-to-Stock refers to the process path of a good from its arrival at goods receipt (dock) until it is available in warehouse stock (stock). The aim is to make
- DPUDelivered at Place Unloaded · DAT · Incoterms DPUDPU (Delivered at Place Unloaded) is one of the eleven Incoterms rules and denotes delivery from the unloading point. The seller bears all costs and risks up to
- Dynamic safety stockdynamic minimum stock · adaptive safety stock management · dynamic safety stockDynamic safety stock is an inventory buffer that is regularly recalculated and adapts to changing demand and delivery patterns. Unlike a static, fixed safety st
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- Economic Order Quantity (EOQ)EOQ · economic order quantity · optimal order quantityEconomic Order Quantity (EOQ) denotes the most economical order quantity at which the sum of procurement and inventory holding costs per year is minimised. This
- Export processingExport Processing · Ausfuhrabwicklung · Export DocumentationExport processing covers all organisational, commercial and official steps between order confirmation and delivery of goods abroad. This includes customs declar
- EXW (Ex Works)Ex Works · ex works · Incoterm EXWEXW (Ex Works, English: ex works) is a delivery term from the Incoterms rules of the International Chamber of Commerce (ICC). It stipulates that the seller only
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- FAS (Free Alongside Ship)Free Alongside Ship · Incoterms FAS · FAS ruleFAS (Free Alongside Ship) is an international delivery rule from the Incoterms governing the handover of goods 'alongside the ship' in the seller's port of ship
- FCA (Free Carrier)Free Carrier · Incoterms FCA · FCA Incoterms 2020FCA (Free Carrier) is a delivery term of the Incoterms rules under which the seller hands the goods over to the carrier nominated by the buyer at the agreed pla
- FOB (Free On Board)Free On Board · FOB Incoterms · FOB clauseFOB (Free On Board) is one of the classic delivery clauses from the Incoterms catalogue of the International Chamber of Commerce (ICC). It governs when costs an
- Freight AuditFreight Audit & Payment · Freight audit · Freight invoice auditFreight audit refers to the systematic checking of freight and logistics invoices for calculation errors, incorrect tariffs, duplicate billing and surcharges no
- Freight cost breakdownFreight Cost Breakdown · Breakdown of Freight Costs · Transport Cost BreakdownThe freight cost breakdown is the systematic itemisation of the transport and logistics costs of a procurement transaction into their individual components. It
- Freight cost managementTransportkostenmanagement · Freight Cost Management · LogistikkostenmanagementFreight cost management encompasses the structured steering of all costs incurred in the transport of goods between suppliers, production sites and customers. T
- Freight surchargefreight cost surcharge · transport surcharge · Fuel SurchargeThe freight surcharge is a mark-up on the net goods value or on the pure transport cost base through which suppliers pass increased or fluctuating transport cos
- Freight SurchargeFrachtzuschlag · Fuel Surcharge · TransportzuschlagThe freight surcharge is a surcharge on the product price intended to pass on specific or flat-rate transport costs to the customer. It is widespread in industr
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- Goods receiptGoods Receipt · Goods Acceptance · Goods InwardGoods receipt refers to the physical and accounting takeover of goods and materials by the receiving company. It links logistics with procurement, quality assur
- Goods Receipt Lead TimeWareneingangsleadtime · Inbound Lead Time · WareneingangsdauerGoods receipt lead time describes the period from the physical arrival of a delivery at the company until the material is fully available in stock. It covers al
- Goods Received Note (GRN)Goods Received Note · GRN · WareneingangsscheinThe Goods Received Note (GRN) documents the type, quantity and condition of all deliveries accepted at goods receipt. It forms the interface between logistics,
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- IncotermsIncoterms · Incoterms 2020 · International Commercial TermsIncoterms are the terms issued by the International Chamber of Commerce (ICC) governing delivery obligations, cost transfer and risk transfer in international t
- Incoterms CFRCFR · Cost and Freight · CFR Incoterms 2020Incoterms CFR (Cost and Freight) is one of eleven delivery terms of the International Chamber of Commerce (ICC) and governs who bears transport costs and risk i
- Incoterms CIFCost, Insurance and Freight · CIF Incoterms 2020 · CIF clauseCIF (Cost, Insurance and Freight) is one of the classic Incoterms for transport by sea and inland waterways. When buying 'CIF port of destination', the seller b
- Incoterms CIPCarriage and Insurance Paid to · CIP Incoterm · CIP clauseIncoterms CIP (Carriage and Insurance Paid to) is a delivery term of the International Chamber of Commerce under which the seller bears transport and insurance
- Incoterms CPTCPT · Carriage Paid To · Incoterms 2020 CPTCPT (Carriage Paid To) is one of the eleven Incoterms® rules of the International Chamber of Commerce (ICC) and governs who bears transport costs and the point
- Incoterms DAPDelivered at Place · DAP Incoterms 2020 · delivered named placeDAP (Delivered at Place) is an Incoterms rule under which the seller transports the goods to the agreed place of destination and makes them available there for
- Incoterms DDPDDP · Delivered Duty Paid · Incoterms 2020 DDPDDP (Delivered Duty Paid) is a delivery term under the Incoterms under which the seller delivers the goods to the agreed destination and bears transport, export
- Incoterms DPUDPU · Delivered at Place Unloaded · Incoterms 2020 DPUIncoterms DPU (Delivered at Place Unloaded) is a delivery term of the International Chamber of Commerce (ICC) under which the seller transports the goods to the
- Incoterms EXWEx Works · EXW · ex worksIncoterms EXW (Ex Works) is one of the eleven delivery terms of the International Chamber of Commerce (ICC) and describes the handover of goods at the seller's
- Incoterms FASFAS · Free Alongside Ship · Incoterms 2020 FASIncoterms FAS (Free Alongside Ship) is a delivery term from the International Chamber of Commerce's Incoterms® rules under which the seller delivers the goods a
- Incoterms FCAFCA · Free Carrier · Incoterm FCAIncoterms FCA (Free Carrier) is a delivery term of the International Chamber of Commerce (ICC) under which the seller hands over the goods at the named place of
- Incoterms FOBFOB · Free On Board · FOB Incoterms 2020Incoterms FOB (Free On Board) is an international delivery term under which the seller loads the goods onto the vessel nominated by the buyer, and it is there t
- Incoterms transfer of riskGefahrübergang Incoterms · Transfer of risk · Risk transfer pointThe Incoterms transfer of risk describes the point in time at which the risk of loss of or damage to the goods passes from the seller to the buyer. It is a cent
- IntrastatIntrastat declaration · Intra-Stat · intra-Community trade statisticsIntrastat is the statistical reporting procedure of the European Union for recording the movement of goods between member states. For industrial companies, the
- Inventory AnalysisInventory Analysis · Bestandsbewertung · LagerbestandsanalyseInventory analysis is the systematic recording, evaluation and interpretation of all stock held by a company. It shows which materials exist in which quantities
- Inventory Issue AnalysisLagerabgangsstatistik · Inventory issue analysis · MaterialabgangsanalyseInventory issue analysis is the systematic evaluation of all goods withdrawals from the warehouse over a defined period. It shows which materials are consumed i
- Inventory ManagementBestandsführung (German) · Inventory Management · Stock Level ManagementInventory management refers to the systematic recording, administration and control of all stock levels of a company – from raw materials via semi-finished and
- Inventory ManagementInventory Management · Stock Management · Stock Level ManagementInventory management refers to the planning-based, controlling and monitoring management of stock levels along the entire value chain. In industrial procurement
- Inventory methodsstocktaking procedures · inventory types · perpetual inventoryInventory methods (Inventurverfahren) are the methods and processes by which companies determine the actual stock of their assets, in particular their goods and
- Inventory OptimisationInventory Optimization · Lageroptimierung · BestandsmanagementInventory optimisation refers to the systematic control of stock levels with the aim of ensuring product availability while minimising tied-up capital, inventor
- Inventory VarianceBestandsdifferenz · Inventurabweichung · LagerdifferenzThe inventory variance describes the deviation between the recorded book stock and the physically counted actual stock of a warehouse item. It is a key indicato
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- KanbanKanban system · eKanban · two-bin systemKanban is a demand-driven control principle in which material replenishment is only triggered once actual consumption has taken place. In industrial procurement
- Kanban systemKanban · e-Kanban · Kanban cardThe Kanban system is a method of pull-controlled material scheduling in which consumption automatically triggers replenishment. Instead of central demand planni
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- Lead Timelead time · replenishment time · throughput timeLead time refers to the time that elapses from the placement of an order until the goods or service are available to the buyer. In industrial procurement it is
- Load carrier managementLoad Carrier Management · LCM · Reusable Packaging ManagementLoad carrier management refers to the systematic planning, control and monitoring of transport and packaging equipment such as pallets, mesh boxes, containers a
- Logistics CostsTransportkosten · Lieferkosten · Logistics CostsLogistics costs cover all costs incurred in connection with the physical flow of goods – from transport and warehousing to packaging, handling and inventory fin
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- Material Availability Checking (ATP)ATP · Available-to-Promise · Available to PromiseMaterial availability checking, internationally often referred to as Available-to-Promise (ATP), is a planning procedure used to check whether, and to what exte
- Material Requirements Planning (MRP)MRP · Material Requirements Planning · Material requirements planningMaterial Requirements Planning (MRP) is the demand-driven planning and provisioning of materials, components and pre-products based on bills of materials, stock
- Materials ManagementMaterial Management · Materialdisposition · Material LogisticsMaterials management refers to the entirety of all processes for planning, procuring, storing, supplying and controlling materials within a company. It links re
- Milk RunMilkrun · Collection route · Round-route logisticsMilk run refers to a logistics supply concept in which a transport vehicle travels a fixed route schedule calling at several suppliers or stations, collecting o
- Min-Max ControlMin-Max Planning · Reorder Point Method · Order Point SystemMin-max control is a classic method of planning-oriented inventory management in which items are controlled via a minimum and a maximum stock level. If the stoc
- Minimum stock levelSafety Stock · Reorder Point · Minimum Stock LevelThe minimum stock level is the lower stock limit of an item in the warehouse, below which replenishment is triggered immediately. It serves as a safety buffer t
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- Obsolete stockDead Stock · Totbestand · ObsoleszenzObsolete stock refers to inventories of materials, components or finished goods for which no foreseeable demand exists any more – for example because products h
- Ocean Freight Cost ComponentsOcean Freight Cost Components · Ocean Freight Surcharges · Demurrage & DetentionOcean freight cost components are the individual cost elements that make up the transport of goods by sea – from base freight through surcharges to port and doc
- On-Time Delivery (OTD)OTD · delivery performance · schedule adherenceOn-Time Delivery (OTD) refers to a supplier's ability to meet agreed delivery dates and is usually measured as the percentage of orders delivered on time. For b
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- Package sizesPackungsgröße · Packgebinde · Packaging UnitPackage sizes (Gebindegrößen) denote the quantity and division in which a product is packed, ordered and delivered – for example units per carton, cartons per p
- Packaging managementPackaging Management · Packaging Logistics · Packaging SourcingPackaging management refers to the systematic planning, procurement, steering and optimisation of packaging along the entire value chain. It covers product pack
- Packaging reductionVerpackungsoptimierung · Packaging Reduction · VerpackungsminimierungPackaging reduction refers to the targeted reduction of packaging material, packaging volume and packaging-related process costs across the entire supply chain.
- Packing ListPackliste · Pack List · Packliste der SendungThe packing list is a commercial and shipping document that itemises the contents of a consignment in detail. It complements the invoice and delivery note and e
- PalletisingPallet building · Palletizing · Pallet formationPalletising refers to the systematic arrangement and securing of goods on pallets to optimise transport, storage and handling. For buyers and supply chain manag
- Plan-Actual Stock ComparisonTarget-Actual Stock Comparison · Stock Reconciliation · Plan-Actual Stock ReconciliationThe plan-actual stock comparison is the systematic reconciliation of planned stock levels with actually available inventory as at a key date. It is one of the c
- Preference calculationPräferenzkalkulierung · Präferenzermittlung · preferential origin calculationPreference calculation is the systematic determination and documentation of whether a good qualifies as an originating product under a preferential agreement an
- Preferred CarrierPreferred Carrier Agreement · Preferred Carrier List · Preferred Freight ForwarderPreferred Carrier refers to a transport service provider that a company has designated as its preferred partner for specific traffic routes, lanes or freight ty
- Procurement logisticsInbound logistics · Procurement logistics management · Supply inboundProcurement logistics encompasses the planning, control and monitoring of the movement of goods from the supplier to the goods receipt of the purchasing company
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- Reorder Pointreorder level · reorder point method · order pointThe reorder point is the inventory level at which a new order is triggered. It links demand planning and procurement and ensures that material is available befo
- Reorder Point Procedurereorder point method · reorder point system · ROP methodThe reorder point procedure is a classic method of material requirements planning in which an order is automatically triggered as soon as the stock level of an
- ReplenishmentReplenishment planning · Reordering · Replenishment ManagementReplenishment refers to the systematic reordering of materials and items before stock levels become critically low. In industrial practice, the term covers both
- Replenishment lead timeReplenishment Lead Time · Replenishment Time · Restocking TimeReplenishment lead time denotes the period from triggering a purchase order until the goods are ready for use in the warehouse. It covers order handling, delive
- Return DeliveryRücksendung · RMA · Return DeliveryA return delivery refers to the return of goods, materials or components from the customer or buyer to the supplier, for example due to defects, shortfalls, inc
- Returns processReturns management · RMA process · Return processThe returns process refers to the structured procedure for handling return shipments, return deliveries and complaints between customer and supplier. In industr
- RTO supplierReturn to Origin · RTO · Return-to-Origin supplierThe term RTO supplier denotes the supplier to which goods are returned as part of Return to Origin (RTO) – i.e. to the origin of the supply chain. In practice,
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- Safety stockSafety Stock · safety inventory · buffer stockSafety stock is the quantity of a material held beyond the demand-driven stock in order to cushion unforeseen fluctuations in demand or lead time. It is a centr
- Safety Stock Calculationsafety stock calculation · Safety Stock · Security StockSafety Stock Calculation refers to the systematic calculation of safety stock, i.e. the additional inventory reserve that covers unpredictable fluctuations in d
- Safety Time BufferSafety Time · Buffer Time · Lead Time BufferThe safety time buffer is a planned time reserve that buyers and supply chain managers build in between the delivery date and the actual requirement date. It ab
- Service level target per commodity groupService level per commodity group · Target Service Level · product availability levelThe service level target per commodity group defines the level of product availability that a company bindingly aims to achieve for individual procurement or sa
- Slot BookingTime window booking · Time Slot Management · Slot terminal bookingSlot booking refers to the scheduled reservation of loading and unloading time windows between the shipper, recipient and freight forwarder. In the industrial p
- Stockholding StrategyStockholding Strategy · Inventory Strategy · Stocking StrategyThe stockholding strategy defines which materials a company holds in stock, in what quantity and for what period. It balances product availability, capital tied
- Supply Chain VisibilitySCV · Supply chain transparency · Supply chain visibilitySupply Chain Visibility refers to a company's ability to view all relevant inventory levels, processes and events along its supply chain in near real time. For
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- Throughput timeLead Time · Durchlauf · Cycle TimeThroughput time refers to the period that an order, material or product requires from the start of a process to its completion. In industrial procurement it oft
- Transport CostsTransportkosten · Freight Costs · Transportation CostsTransport costs refer to all costs incurred through the carriage of goods, materials and finished parts along the supply chain. In industrial procurement, they
- Transport RiskTransportgefahr · Transport risk · VersandrisikoTransport risk denotes the danger that goods are damaged, lost, delayed in transit or legally in the wrong sphere of responsibility on their way from supplier t
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- 3PLThird-Party Logistics · Third Party Logistics Provider · Logistics Outsourcing3PL (Third-Party Logistics) refers to the outsourcing of logistics services such as warehousing, order picking and transport to a specialised external service p
- 4PLFourth Party Logistics · 4PL provider · Logistics integrator4PL (Fourth Party Logistics) refers to the outsourcing of complete logistics management to a neutral service provider who, as Lead Logistics Provider, manages t