Logistics Terminology

Logistics Terminology

Logistics is a complex industry where every step is carefully planned and executed to ensure the efficient flow of goods. By understanding commonly used logistics terms, you can enhance your business efficiency and improve communication with partners and clients.

Horda Logistics provides a detailed overview of essential logistics terms that are crucial for effectively managing the supply chain and ensuring accurate information flow.

Freight Containers

Standard-sized metal boxes used for transporting goods by ship, train, or truck. Containers efficiently pack and transport various items and are widely used in international and continental shipping.

Delivery Contracts

A legal document that outlines the terms and rates for transporting goods between the carrier and the client. It includes information on routes, pricing, product specifications, and other essential conditions.

transportation fee

The cost of transporting goods from one place to another. This fee can be based on the weight, volume, or distance of the goods. It is an international standard that governs the legal and commercial conditions of transporting goods between buyers and sellers.

INCOTERMS

International commercial terms that specify the division of responsibilities and costs between parties during the shipping process.

LDM (LOADING METER)

A loading meter represents the space that cargo occupies in a transport vehicle's cargo hold. It is crucial for determining the required space and forms the basis for the pricing offer.

Expedition

A logistics and transportation sector focused on organizing and managing the movement of goods from one location to another. Freight forwarding encompasses various processes related to the transport and delivery of goods, with the primary goal of ensuring that goods reach their destination efficiently, safely, and on time.

ADR

The acronym "ADR" stands for the "European Agreement on the International Carriage of Dangerous Goods by Road. This agreement regulates the transportation of hazardous materials and items on roads.

Declaration

Documentation that describes the goods being transported, including their weight, value, origin, and other important details. This document is necessary for customs procedures and inspections.

ftl (full truck load)

A term that refers to the transportation of a full truckload in a single vehicle. In this process, the entire transport unit is reserved and used by a single client or shipper. The advantage of full truck load transportation is speed, as it allows for more efficient use of transport resources and reduces overall delivery times.

Multimodal transportation

A freight transportation method that combines two or more modes of transport, such as road, rail, sea, and air. This method is used when geographical conditions make one mode of transport insufficient. It allows for more efficient delivery of goods and optimization of delivery time and costs.

Intermodal transportation

A specific type of multimodal transportation where a single cargo unit is used throughout the entire journey. This method speeds up transportation, increases efficiency, and reduces the risk of damage. It is often used for longer routes, combining the advantages of different transport modes.

Consolidated or partial shipments

This involves grouping smaller shipments from multiple clients and delivering them to different destinations. This type of transportation is often more cost-effective, as the shipping costs are shared among several clients, reducing the overall cost for each shipment.

Inventory Management

An essential part of optimizing the flow of goods within the supply chain. It includes coordinating the movement of goods, optimizing inventory, and managing warehouse operations. Effective inventory management offers several benefits, including cost reduction, faster delivery times, improved customer service, and enhanced business competitiveness.

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