Glossary of Logistics Terms

You will find below the details of many terms used in the logistics industry. In this way, you can have a better command of the sector by not being familiar with the terms used in a road or other transport services. Here are the logistics terms that will make your job easier from A to Z:

Agency: It is an individual or business that provides services on behalf of the company in a region outside the central establishment of a logistics company.

ADR: It is the standard that includes the rules for the transportation of explosive, flammable or combustible materials by land and the documents that must be in the drivers and vehicles in order to carry these documents.

Letter of credit: Pursuant to the agreement between the buyer and the seller, it is a bank guarantee that the payment will be made upon submission of the documents proving that the said goods and services have been performed by an intermediary bank within the given period in accordance with the specified conditions.

Transfer: It is the loading of the incoming cargo to a different vehicle for shipment without undergoing any physical processing.

Warehouse: A closed or open place where loads or goods wait for a while, depending on the need.

Arbitrage: It is the provision in the transport contracts and applied in case of conflict.

ATA Carnet: It is an agreement annex document given by the competent authorities of the member country in order to exempt the goods from customs duties in the temporary entry of the goods within the scope of customs agreements and to reduce customs formalities.

ATR Certificate of Movement: It is the document issued by the authorized institutions of the exporting country and visaed by the customs administrations in order to ensure that the goods originating/counted in Turkey or the European Union or in free circulation in Turkey or the EU benefit from the provisions of the Additional Protocol.

Declared Amount: It is the value of the goods declared by the sender.

CMR Agreement: It is a land transport document used by countries that have accepted the CMR Agreement, which has international qualifications.

CMR Land Transport Document: The document issued in the name of the transport company, is the document that includes the transportation of the goods under the specified conditions, the delivery of the goods without any problems and the contract of carriage.

Packing list: The packing is called the packing list. It is a list that shows the weight, size, piece, quantity and numbers of the goods included in the cargo, as well as the recipient address and information.

Distribution: All of the processes that take place to send the products to the delivery point in accordance with the specified quantity and time conditions.

DAP (Delivered At Place): It is a form of delivery in international trade used in all kinds of transportation paid for insurance, cost of goods, domestic transportation and freight.

Warehouse: Intermediate points of strategic importance for the activities carried out from the raw material stage of the products or goods to the production environment, from the production environment to distribution.

Dozvola: It is the document that gives the right of transit to the trucks used by their countries.

Handling: In transport facilities; It is the general definition used for operations such as changing the location of products, recreating packages, checking, labeling.

Commodity: It is the name given to all the goods, cargo and goods that are subject to trade.

Eta: The estimated arrival date.

Ex Declaration: is the export declaration.

FIFO (First In First Out): It is the rule used in costing and storage, in which it is predicted that the cargo that enters the warehouse will be the first to leave.

Fleet Management: It is the regular execution of self-owned vehicles, garages, equipment and infrastructure systems in transportation companies.

FTL (Full Truck Load): Loads that fully fill the carrying capacity of a transport vehicle.

Refrigerated Transportation: It is the transportation of frozen, fresh food or perishable cargoes up to -26 degrees.

Oversize: These are the measurements that determine the height, width and length of the vehicles for safe cruising on the road, unloaded or loaded.

Hidden Damage: It is the understanding that the loads that seem to be undamaged are later damaged.

GPRS: It is the transfer of data to users over the GSM network.

Groupage: More than one customer is using the transport vehicle.

Customs Permit Document: It is the document that all legal permits have been completed and that the vehicle can be exited.

Route: The route between the predetermined point of departure and end of goods, cargo, people or vehicles.

Air waybill: It is an airway bill of lading.

IATA: International Air Transport Association

INCOTERMS: These are the international interpretation rules prepared by the International Chamber of Commerce and optionally used in order to prevent different interpretations of commercial terms between countries in international sales.

Intermodal transportation: It is the transportation of the cargo to be transported to the destination by more than one transportation method without any physical action.

Export: It is the trade made from the country where the goods are made to another country.

Supply: It is the in-warehouse transfer process in order to ensure that the goods can be found in different warehouse locations or packages during the storage process.

Import: It is the trade made to bring the goods from another country to the current country.

Road Transport: It is the transportation activity of the goods to be transported by using the road route from the point of departure of the cargo to the point of arrival.

Complete Freight: Allocating the means of transport or container to a single consignor.

Consignment Stock: Products that are paid for when they are used, not when they are received.

Bill of lading: It is a cargo transport document containing information about the content of the cargo carried.

Consolidation: It is to save scale in transportation by creating large loading lots from small quantities of cargo and showing them under the same bill of lading. (Less than container load)

Container: These are the cargo boxes that are resistant to all weather conditions, can be easily handled and placed on top of each other.

Logistics: It is a service consisting of packaging, storage, handling and transportation and consisting of insurance, customs clearance, stock management, observation and order management.

Manifesto: A document usually used for customs purposes and showing a list of details prepared by the carrier and its agent.

Freight: It is the fee paid for the transportation service.

Summary Declaration: It is the document showing that the goods to be exported or imported have arrived at the customs.

Palette: It is a platform used in storage and shipping, produced from various materials and on which the goods are placed.

Partial transportation: It is the transportation activity carried out by loading the cargoes of more than one customer on the same route on the same transportation vehicle.

Ro-Ro: It is a ship specially built for vehicle and container transportation.

Routing: It is the determination of which route to follow in which order from the starting point to the destination before the transportation process starts.

Trailer: A road transport vehicle that is pulled by the transport vehicle, manufactured according to the characteristics of the cargo to be transported, and used for the purpose of carrying cargo.

Shipment: It is the removal of goods, loads, orders from the warehouse in order to be sent to the destination by sorting them according to certain criteria.

Supalan: It is the case of customs clearance of the goods used in transportation by sea and land, on the vehicle that carries out the transportation without unloading the goods.

Dangerous Goods: These are the materials that are given special importance in storage and transportation services, as they are likely to damage safety, health and other materials around them.

TEU: (Twenty Food Equivalent) Twenty-foot equivalent unit.

Tonnage: It is the load carrying capacity of the load carrying vehicle in tons.

Pallet Truck: It is a goods handling equipment used for order picking, vehicle loading and unloading in warehouses and suitable for working in low positions.

International Transportation: It is the transportation carried out by land, sea, rail and air, which is carried out directly or indirectly from one country to another.

Arrival notification: It is the document in which the information about the cargo is conveyed to the buyer when the cargo arrives at the place of delivery.

Cargo: The material, goods or goods to be transported.

Addendum: It is a document prepared to indicate the changes that occur during the period in which the insurance policy is in effect.