Do You Know These Widely Used Logistics Terms?

Posted by Port City Logistics on Sep 18, 2019 11:00:56 AM

During recent years, the topic of logistics has expanded in scope. Many new technologies now contribute to this exciting field. Yet as the world's logistical infrastructure increases in complexity, shippers also encounter a variety of confusing new terms and acronyms. How many of these special logistics vocabulary words do you recognize?

Terms Describing Personnel

Consignee: The person designated to receive a shipped item.

Consignor: The person seeking to ship an item.

Shipping Agent: The person or company chosen by a consignor to make the arrangements to ship an item to a consignee.

Freight Broker: A person or company responsible for making the arrangements to ship freight on behalf of a consignee, usually at the best possible rate.

Customs Broker: A person or a business licensed by the United States Department of the Treasury to serve importers and exporters by overseeing the transmission of goods through customs in accordance with applicable U.S. laws.

Beneficial Owner: The equitable owner of property. This owner maintains an interest in the property, even if someone else holds the actual title.

Motor Carrier: Anyone furnishing motor vehicle transportation services (e.g. trucking services) in exchange for remuneration.

Common Carriers: Individuals or businesses serving the public and authorized to transport people, freight, or messages. (In the shipping industry, this term usually refers to freight lines.)

LTL ("Less Than Truckload") Common Carriers: Common carriers who consolidate or de-consolidate freight for multiple shippers while providing a specific route and shipping rate for this service.

Terms Describing Shipping Modalities And Services

Time Definite: Shipping will occur at a specific time.

Time Critical: Shippers will strive to furnish delivery as quickly as possible.

Warehousing: Placing a shipment in a storage facility.

Drayage: In the past, this term often described hauling material using carts or wagons. Today, this term usually refers to hauling shipping containers from ports to rail yards. It essentially describes any short term hauling between different storage or transport modalities.

Picking and Packing: A slang expression used to describe de-consolidating and re-consolidating shipping loads.

Bill of Lading ("BOL"): A written document transmitted with shipped freight which references the agreement between the customer and the shipper by detailing all the goods in the shipment and indicating the terms of their transport.

Bulk Freight: Freight shipments in which the shipper transports unpacked goods en masse. Some examples of bulk freight include loose grain, aggregate, and crude oil.

Consolidation: The process of combining one or more freight shipments.

Intermodal Transportation: A single shipment undergoes two (or more) different shipping modalities.

Container: A shipping compartment designed to hold freight. Tractor trailer rigs, ships, and railroad cars all sometimes transport this portable item.

Nested: Stacking freight so that items ship close to one another or even inside one another.

Truckload ("TL"): Transporting goods capable of filling a truck trailer. This term sometimes refers to the minimum load required to ship at a per truckload rate (even if the merchandise does not completely fill the available space).

Less Than Truckload ("LTL"): Shipments requiring less than a full truckload. Some shippers consolidate several smaller LTL shipments. An LTL shipper frequently assists customers in conserving money during the freight shipment process.

Services at The Port of Savannah

Port City Logistics serves clients by shipping a variety of goods through the busy modern Port of Savannah, Georgia. We offer drayage services, as well as secure short and long term warehousing facilities. Our state-of-the-art distribution systems include picking and packing. We also maintain a superb regional trucking fleet. Contact us to explore knowledgeable solutions for any logistical problem.

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Topics: Single Source Logistics