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Lost in the Vocabulary of Logistics? We've got you covered!
What does FESL do and why do you need LCL? What are XD Operations and when should you book OBC? Our carefully selected list will shed some light on frequently used phrases in our Land, Air and Ocean services, as well as in the world of Contract Logistics.
Logistics has its own special jargon. Although it’s clear that we ensure safe delivery of your shipments, we understand that it is easy to get lost in the industry's vocabulary. Therefore, we have identified some of the most important terms and abbreviations for you – deciphering transportation terminology to help you navigate your business through the world of logistics.
Logistics Terminology
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An Automated Storage and Retrieval System is a rail-guided, single-track vehicle set up for handling goods in a high-bay warehouse.
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Break-bulk refers to the transport of goods that are too large or heavy to be transported in containers and therefore must be handled individually. This type of cargo requires either specialized equipment (e.g. flat-racks, open-top containers) or non-standard types of vessels (e.g. MPPs, Heavy-Lift vessels) for transport.
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Linehaul shipments deliver goods from one terminal to another. Collection and Delivery (CoDi) on the other hand delivers goods to their destination or picks them up at their point of departure – the first or last mile delivery. Combined this usually adds up to collection –> terminal –> linehaul –> terminal –> delivery.
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Connect2Track providesourcustomerswith real-time tracking and monitoringoftheirshipments, ensuring end-to-end visibility and fulltransparency. Find out more and use the benefits of a second pair of eyes.
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Customs brokers are specialists licensed to conduct “customs business” on behalf of other persons. In their role, they handle customs formalities on their customer's behalf, organizing the customs clearance process, payment of duties and taxes and ensuring their customers are in compliance with government regulations. In short, they do the paperwork to obtain necessary clearances for imports and exports.
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The ‘Corporate Sustainability Reporting Directive’ aims to enhance transparency, accountability, and comparability of sustainability information across the European Union (EU). Even though transposition of provisions of CSRD into national legislation across Member States is ongoing, companies must prepare to report on material sustainability matters. Companies are also required to obtain independent limited assurance on the data reported.
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The estimated time of arrival indicates when a vehicle, cargo ship, or other modes of transportation will arrive at its final destination.
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Full Container Load refers to a shipment that fills an entire container. While FCL is used in Ocean Freight, FTL – Full Truck Load – is the equivalent term used in Land Transport.
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FESL stands for our Fairs Events and Special Logistics services. Looking for a reliable partner in any of these areas? Reach out to us.
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FIFO is a rule usually used in warehousing and costing stipulating that the first item to enter the warehouse is the first item to leave.
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A Free Trade Zone Warehouse is a designatedareawheregoodsare outside a country'scustomsterritory. Importing businesses can storetheirgoodstherewithoutpayingcustomsdutiesortaxes. Other typicalfree trade zones can beseaportsorairports.
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Groupage transport, or simply groupage, defines a transport that groups together goods dispatched by several different customers into the same load. Learn all about our groupage service with DB SCHENKER system.
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Just-in-time is a logistics strategy in which materials and products are only delivered when they are needed. The aim is a reduced stock and accordingly reduced bound capital for the customer.
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Less-than Container Load is – opposed to a Full Container Load (FCL) - a load that does not fill an entire container. Customers can use LCL services as an inexpensive option for shipments of less than one container load: Find out how our LCL service can be your link to global markets. LTL refers to Less-than-full-Truck Load in Land Transport.
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LIFO is a rule stipulating that the first item to enter the warehouse is the last item to leave or the last item to enter the warehouse is the first to leave.
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LkSG stands for the German word and law “Lieferkettensorgfaltspflichtengesetz” - in English: German Act on Corporate Due Diligence in Supply Chains – that DB SCHENKER is obliged to adhere to.
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OBC stands for On Board Courier service. It is a fast and reliable express method of air transportation to and from any location in the world. A courier person is dispatched at short notice to personally accompany the cargo item as a passenger on a commercial flight.
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Sustainable Aviation Fuel is an option for reducing carbon emissions in aviation. In 2020, DB SCHENKER became the first company in the logistics industry to cover a commercial full charter round trip with SAF. Since then, we have continued to push the boundaries of sustainability in air freight.
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Terminal Handling Charges, also called Container Service Charges (CSC), are handling fees at ports. These are charged by the container terminals for the loading and discharging of containers from vessels.
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TMS stands for Transport Management System. At DB SCHENKER, our TMS covers the entire process from order management to transport execution – including monitoring, handling deviations, and financial settlement.
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XD refers to cross dock operations. In this storing type, goods from several suppliers are collected and then sorted for further shipment in different trucks to different customers.
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A fourth party logistics solution offers a single point of contact for supply chain management. At DB SCHENKER, our Schenker Dedicated Services Control Tower is that central point of contact where a dedicated team of experts is available for all supply chain services.
Curious to stay tuned about what is going on in the world of logistics?