supply chain
The full network of people, companies and processes involved in producing and delivering a product.
Example: A single delay can affect the whole supply chain.
C120 words · Advanced
Supply Chain vocabulary — C1
Advanced supply chain vocabulary for logistics operations, including cross-docking, just-in-time delivery, a bonded warehouse and the incoterms that govern a cold chain shipment.
20 questions
Words in this set
20cross-docking
Unloading goods from an incoming truck and loading them directly onto an outgoing one, with little or no storage.
Example:
Cross-docking cut the warehouse's storage costs sharply.
just-in-time
Describes a system where materials or products arrive only when they are needed, to reduce storage costs.
Example:
The factory runs on a just-in-time delivery system.
route optimisation
The process of planning the most efficient path for deliveries to save time and fuel.
Example:
Route optimisation software cut delivery times by a third.
bonded warehouse
A secure, government-approved facility where imported goods can be stored without paying tax until they are released.
Example:
The goods stayed in a bonded warehouse until the duty was paid.
stevedore
/ˈstivəˌdɔr/A worker who loads and unloads ships at a port.
Example:
The stevedores unloaded the containers through the night.
manifest
/ˈmænəˌfɛst/An official list of the cargo or passengers carried on a ship, plane or vehicle.
Example:
The captain checked the manifest before the ship set sail.
third-party logistics
A company hired to manage another business's shipping, warehousing or delivery.
Example:
The retailer outsourced its shipping to a third-party logistics provider.
kitting
Grouping separate items together into one package ready to ship or use.
Example:
Workers spent the shift kitting parts for the assembly line.
milk run
A delivery route with a fixed schedule that stops at several locations along the way.
Example:
The driver's milk run collected parts from five factories each morning.
incoterms
Standard trade terms setting out who pays and who bears risk.
Example:
Choosing the wrong incoterms cost them the insurance claim.
bonded goods
Imported goods stored without duty being paid yet.
Example:
Bonded goods can sit for years without a penny of duty.
service level
The agreed standard of delivery performance.
Example:
A service level of ninety-eight per cent sounds better than it is.
fill rate
The proportion of orders satisfied straight from stock.
Example:
Fill rate collapsed the week the forecast was overridden.
stock cover
How long current stock will last at the present rate of sale.
Example:
Two weeks of stock cover on the fastest lines is dangerous.
cold chain
The unbroken chain of refrigeration a product must stay in.
Example:
One hour outside the cold chain condemned the whole consignment.
track and trace
The ability to follow a shipment at every stage.
Example:
Track and trace stopped working at the border and so did everything else.
deconsolidation
Breaking a combined shipment back into separate deliveries.
Example:
Deconsolidation happens at the regional hub overnight.
landed cost
The total cost of a product once it has arrived.
Example:
The landed cost was double the invoice price.
carrier liability
The limit of what a transport company will pay for loss.
Example:
Carrier liability covered about a fifth of what was in the box.
