ABC
ANALYSIS
Methodology
used to classify the items purchased or sold by a company. The ABC analysis is
an application of the Pareto Principle (or 20/80 rule) according to which 20% of
the items account for 80% of the global value or turnover of an
enterprise.
ACCESSIBILITY
Whole
of possibilities to access a transportation network.
ACCOMPANIED
COMBINED TRANSPORT
Transport of a complete
road vehicle, accompanied by the driver, using another mode of transport (for
example ferry or train).
ACTIVITY BASED
COSTING (ABC)
A method of measuring the
cost and performance of activities and cost objects. Assigns cost to activities
based on their use of resources and assigns cost to cost objects based on their
use of activities. ABC recognizes the causal relationship of cost drivers to
activities
.
ADVANCED PLANNING
& SCHEDULING (APS).
A
subcomponent of supply chain planning, typically contextually describing
manufacturing planning and scheduling.
AIR
CARGO
Total
volume of freight, mail and express traffic transported by air. Includes the
following: Freight and Express-commodities of all kinds, includes small package
counter services, express services and priority reserved
freight.
AIR CONTAINER
Container conforming to
standards laid down for air transportation.
AIRPORT
1) An area
of land or water that is used or intended to be used for the landing and takeoff
of aircraft, and includes its buildings and facilities, if any; 2) Facility used
primarily by conventional, fixed-wing aircraft; 3) A facility, either on land or
water, where aircraft can take off and land. Usually consists of hard-surfaced
landing strips, a control tower, hangars and accommodations for passengers and
cargo; 4) A landing area regularly used by aircraft for receiving discharging
passengers or cargo.
AIRTRUCK
Road
transport of air unitised cargoes from an airoport to another one.
AIR WAY BILL
(A.W.B.)
Shipping document used by
the airlines for air freight. It is a contract for carriage that includes
carrier conditions of carriage including such items as limits of liability and
claims procedures. The air waybill also contains shipping instructions to
airline, a description of the commodity, and applicable transportation charges.
Air waybills can be used by many truckers as through documents for coordinated
air/truck service. Air waybills are not negotiable. The airline industry has
adopted a standard formatted air waybill that accommodates both domestic and
international traffic. The standard document was designed to enhance the
application of modern computerized systems to air freight processing for both
the carrier and the shipper.
ALGORITHM
A procedure or formula for solving a problem. The word derives from the name of the mathematician, Mohammed ibn-Musa al-Khwarizmi, who was part of the royal court in Baghdad and who lived from about 780 to 850. Al-Khwarizmi's work is the likely source for the word algebra as well.
ALLOCATING
COSTS
The process of assigning
costs to individual products, processes and
departments.
ALLOCATIVE
EFFICIENCY
The situation in which all
the resources in an economy are fully and efficiently
employed.
ANCHORAGE
DUES
Rights of anchorage.
An equal, or uniform,
payment made over the useful life of a project, which has the same present value
as the initial investment expenditure. The annual capital cost of an asset
essentially reflects the opportunity cost to the investor of owning the
asset.
APPLICATION SERVICE
PROVIDER (ASP)
An application service provider (ASP) is a company that offers individuals or enterprises access over the Internet to applications and related services that would otherwise have to be located in their own personal or enterprise computers.
The process of defining
objectives, examining options and weighing up the costs and benefits and risks
and uncertainties before a decision is made.
APPROVAL
The
process through which a project is recommended for support.
ARTICULATED
TRUCK
A vehicle consisting of a
prime mover having no significant load carrying area but with a turn-table
device which can be linked to a trailer.
ASSEMBLE TO ORDER
(ATO)
A manufacturing environment
where the final product is assembled based on the receipt of a customer order
(instead of to stock). The assembly is normally performed using standard
components, modules and subassemblies that are already stocked based on
forecasts developed from past usage history. An ATO environment allows each
customer order to specify a custom combination of previously-defined standard
options.
ATA
Air
Transport Association of America.
AUCTION
A method of
selling real estate or personal property in a public forum through open and
competitive bidding. Also referred to as: public auction, auction sale or
sale.
AUTOPORT
Terminal
infrastructure for road transport.
AVERAGE
COST
The total cost of supplying
a given output, divided by the number of units of output delivered in a given
period of time. Where there are multiple outputs, the issue of adding them up
has to be addressed (see joint costs).
AVOIDED
COSTS
The value of any savings in
labour, energy or materials inputs, relative to the base case, resulting from
operating the project.
AVERAGE
DISTANCE
Average kilometric value
turning out by the ratio of Passengers-km (or Tons-km) to number of passengers
(or tons) transported.
B/N
Maritime transport booking
note.
BACK-END
SYSTEMS
Legacy
enterprise systems that handle order processing, inventory, and receivables
management for both buyers and suppliers. To deploy a digital trading platform,
companies must often integrate new technologies with these older systems, which
can include mainframe or ERP applications.
BACKHAUL
Return
transportation movement, usually at less revenue than the original move; to move
a shipment back over part of a route already travelled.
BALANCE
The
amount of money (or the size of the deficit) in an account at a particular time;
an amount of money remaining to be paid.
BALANCE OF
TRADE
The
difference between a country's total imports and exports; if the exports exceed
the imports, a "favorable" balance of trade exists.
BALANCED
SCORECARD
A
Balanced Scorecard is a method of measuring and managing business performance
giving a balanced view of financial and operational perspectives to accelerate
the management process.
BALANCE OF
PAYMENTS
The
difference between what a country pays for its imports and receives for its
exports.
BALANCE
OF TRADE
The
difference between the money values of a country's visible imports and
exports.
BALANCE
SHEET
Financial
statement which shows a company's financial condition (amount of debits and
credits) on the last day of an accounting period.
BAR
CODE
A
combination of parallel lines of bars and spaces that communicate data about the
product or shipping container to which it is affixed. The data elements can be
read by an electronic scanner.
BASE YEAR
In the context of
processing time-dependent data such as costs or emissions, the base year is the
year selected for assembly of the raw input data. The base year may also serve
as the year from which projections of the base case are
made.
A rail wagon with a
demountable sub-frame, fitted with devices for vertical handling, to allow the
loading and unloading of semi-trailers or road vehicles.
The width of a
ship.
BELT
LINE
A switching railroad
operating within a port or
other
commercial area.
BENCHMARKING
The
benchmarking process measures a company's current operation profile against
other companies with similar operations that are considered to be
“best-in-class.”
A
place in which a vessel is moored or secured; place alongside a quay where a
ship loads or discharges cargo.
BERTHAGE
Charges
for the use of a berth.
BERTH
TERM
Shipped
under a rate that does not include the cost of loading or
unloading.
BILL OF EXCHANGE
A
written order instructing someone (usually an importer) to pay someone else
(usually an exporter) a certain sum on a given date.
BILL OF
LADING
A
document by which the Master of a ship acknowledges having received in good
order and condition (or the reverse) certain specified goods consigned to him by
some particular shipper, and binds himself to deliver them in similar condition,
unless the perils of the sea, fire or enemies prevent him, to the consignees of
the shippers at the point of destination on their paying him the stipulated
freight. A bill of lading specifies the name of the master, the port and
destination of the ship, the goods, the consignee, and the rate of freight.
BILL OF
MATERIAL
A
listing of all the subassemblies, parts and raw materials that go into the
parent assembly. It shows the quantity of each raw material required to make the
assembly.
BIMODAL
SEMI-TRAILER (RAIL-ROAD)
A road semi-trailer that
can be converted into a rail wagon by the addition of rail
bogies.
Port of a vessel’s initial
customs entry to any country; also known as first port of
call.
Port of a vessel’s initial customs entry to any country; also known as first port of call.
BREAK BULK
Loose, non-containerised
cargo stowed directly into a ship’s hold; to unload and distribute a portion or
all of the contents of a container.
Production
or sales volume at which a company covers its costs.
BROKER
A person who arranges for transportation of loads for a percentage of the revenue from the load.
A
financial operating plan showing expected income and
expenditure.
BUFFER
STOCK
A
quantity of goods or articles kept in storage to safeguard against unforeseen
shortages or demands.
BUILD-OPERATE-TRANSFERT
(BOT)
A
form of concession wherein a private party or consortium agrees to finance,
construct, operate, and maintain a facility for a specified period and then
transfer the facility to a government or other public authority. The
concessionaire bears the commercial risk of operating the
facility.
BUILD-OWN-OPERATE
(BOO)
A form of project wherein a private party or consortium agrees to finance, construct, operate, and maintain a facility previously owned and/or operated by a public authority. The concessionaire retains ownership of the facility. The concessionaire bears the commercial risk of operating the facility.
Ship designed with a single
deck and holds for the bulk carriage of loose dry cargo of a homogenous
nature.
A purpose-designed berth or
mooring for handling liquid or dry commodities, in unpackaged bulk form, such as
oil, grain, ore, and coal. Bulk terminals typically are installed with
specialized cargo handling equipment such as pipelines, conveyors, pneumatic
evacuators, cranes with clamshell grabs, and rail lines to accommodate cargo
handling operations with ships or barges. Commodity-specific storage facilities
such as grain silos, petroleum storage tanks, and coal stock yards are also
located at these terminals.
All vessels designed to
carry bulk cargo such as grain, fertilizers, ore, and oil.
BUNKERS
Fuel used aboard
ships.
BUSINESS
LOGISTICS
Process of planning,
implementing and controlling the efficient and cost-effective flow and storage
of raw materials, in-process inventory, finished goods and related information
from the point of origin to the point of consumption, for the purpose of
conforming to customer requirements (Council of Logistics Management's
definition). Therefore logistics includes the area both of material management
and physical distribution.
BUSINESS
PROCESS OUTSOURCING (BPO)
It
is
the procurement of particular services that involve ongoing outsourcing of
specific business processes. In certain industries, design, manufacturing,
inspection, and logistics may be outsourced. More recently, BPO has come
to include internal, “back-office” functions such as internal audit, finance,
billing, accounting and other operations support. BPO “front office”
functions may include customer relationship management, with sales, call centres
and fulfilment services.
BUSINESS
PROCESS RE-ENGINEERING (BPR)
A
systematic, disciplined improvement approach that critically examines, rethinks,
and redesigns, and implements the redesigned mission-delivery pro-cesses to
achieve dramatic improvements in performance in areas important to customers and
other stakeholders. BPR is also referred to by such terms as business process
improvement (BPI) or business process development, and business process
redesign.
BUSINESS TO
BUSINESS (B2B)
A business conducting
e-commerce with another business or businesses.
BUSINESS TO CONSUMER
(B2C)
A
business conducting e-commerce with a consumer or
consumers.
Transport between two terminals (a terminal of loading/embarkment and a terminal of unloading/disembarkment) located in the same country irrespective of the country in which the mode providing the service is registered.
Capital costs comprise
the consumption of fixed capital and interest payments, and usually represent a
high proportion of infrastructure costs. They differ from annual capital
expenditure that may or may not cover all the capital costs. If annual
expenditure is less, then the quality of the transport assets will
deteriorate.
CAPITALISM
Economic system based on
the private ownership of the means of production, distribution and
exchange.
CAPITAL RECOVERY FACTOR
A factor used to calculate
the annual capital costs of an project. A capital recovery factor may equally be
used to determine the equivalent annual cost of the stream of annual cash
outflows (i.e. the initial investment expenditure and the series of “net” annual
operating and maintenance costs) incurred over the useful life of an
project.
A barge equipped with tracks on which railroad cars are moved by water.
CARGO INTERCHANGE MESSAGE
PROCEDURES (IMP)
ATA/IATA Cargo Interchange
Message Procedures, developed by the Member Airlines of the Air Transport
Association of America and the International Air Transport
Association.
CARRIAGE
COLLECT
Freight
and charges be paid by the consignee.
CARRIAGE
PAID
Incoterm meaning that the
seller pays the freight for the carriage of the goods to the named destination.
However, the risk of loss of or damage to the goods, as well as of any cost
increases, is transferred from the seller to the buyer when the goods have been
delivered into the custody of the first carrier and not at the ship's rail. The
term can be used for all modes of transport including multi-modal operations and
container or “roll on-roll off” traffic by trailer and ferries. When the seller
has to furnish a bill of lading, waybill or carrier's receipt, he duly fulfils
this obligation by presenting such a document issued by the person with whom he
has contracted for carriage to the named destination.
CARRIER
Any
person or entity who, through a
contract of carriage, undertakes to perform or procure the performance of
carriage by rail, road, sea, air, inland waterway, or by a combination of
modes.
CARTAGE
Intra-port
or local hauling of cargo by drays or trucks; also referred to as
drayage.
CATEGORY MANAGEMENT
The
management of product categories as strategic business units. The practice can
empower a category manager with full responsibility for the assortment
decisions, inventory levels, shelf-space allocation, promotions and buying. With
this authority and responsibility, the category manager may be able to judge
more accurately the consumer buying patterns, product sales and market trends of
that category. By emphasizing profits and sales for entire product groups rather
than individual items or brands category management can encourage a longer-term,
joint retailer-supplier focus in marketing and merchandising.
CEMAT
FS-controlled company
who manages the combined transports in Italy.
CFS/CFS
(PIER TO PIER)
The
term CFS/CFS refers to cargo delivered at origin in less-than-containerload
quantities to a container freight station (CFS) to be loaded into containers and
to be unloaded from the container at destination CFS.
CFS
CHARGE (CONTAINER FREIGHT STATION CHARGE)
The
charge assessed for services performed at the origin or destination for loading
or unloading of cargo into/from containers at a CFS.
CFS
RECEIVING SERVICE
The
service performed at the loading port in receiving and packing cargo into
containers from CFS to CY or shipside.
CHARTER
Originally
meant a flight where a shipper contracted hire of an aircraft from an air
carrier, but has usually come to mean any non-scheduled commercial
service.
CHASSIS
A
rectangular steel frame, supported by springs and wheeled axles constructed to
accept mounting of containers for over-the-road transport.
CITY
LOGISTICS
Urban
Logistics.
CITY LOGISTICS
CENTER
Logistic infrastructure
utilized for urban deliveries through light and low environmental impact
vehicles.
CLASSIFICATION
YARD
A
railroad yard with many tracks used for assembling freight
trains.
CLIENT-SERVER
A common form of distributed system in which software is split between server tasks and client tasks. A client sends requests to a server, according to some protocol, asking for information or action, and the server responds. This is analogous to a customer (client) who sends an order (request) on an order form to a supplier (server) who despatches the goods and an invoice (response). The order form and invoice are part of the protocol used to communicate in this case. There may be either one centralised server or several distributed ones. This model allows clients and servers to be placed independently on nodes in a network, possibly on different hardware and operating systems appropriate to their function, e.g. fast server/cheap client.
COLLECT
FREIGHT
Freight which is payable to
the carrier when the merchandise arrives at the port of discharge named in the
bill of lading.
COLLECTIVISM
Economic system in which
the means of production are owned by the state, which plans the economy, sets
prices and output levels, etc.
COMBINATION
VESSEL
A
type of ship that accommodates both container and break-bulk cargo. It can be
either self-sustaining or non-self sustaining. Also known as a
Container/Break-bulk Vessel.
COMBINED
TRANSPORT
Intermodal transport where
the major part of the European journey is by rail, inland waterways or sea and
any initial and/or final legs carried out by road are as short as
possible.
COMMON
CARRIER
A
transportation company that provides service to the general public at published
rates.
COMPETITIVE
ADVANTAGE
The element that makes one
company better than its competitors: a better product or service, lower prices
(due to economies of scale), etc.
CONCESSION
An arrangement whereby a
private party (concessionaire) leases assets from a public authority for an
extended period and has responsibility for financing specified new fixed
investments during the period and for providing specified services associated
with the assets; in return, the concessionaire receives specified revenues from
the operation of the assets; the assets revert to the public sector at
expiration of the contract.
CONFERENCE
An affiliation of
shipowners operating over the same route(s) who agree to charge uniform rates
and other terms of carriage. A conference is “closed” if one can enter only by
the consent of existing members of the conference. It is “open” if anyone can
enter by meeting certain technical and financial standards. Conference members
are common carriers.
Congestion arises when
traffic exceeds infrastructure capacity and the speed of traffic declines.
CONGESTION
COSTS
Congestion costs comprise
direct costs, including opportunity costs of time lost to third parties due to
delays, and social costs (e.g. environmental costs).
A
broad term used to identify user fees that are charged to manage traffic and
avoid congestion.
CONNECTIVITY
Physical
possibilities to use a transportation network in order to optimise the
realizable routes.
CONSIGNEE
The
individual or company to whom a seller or shipper sends merchandise and who,
upon presentation of necessary documents, is recognized as the merchandise owner
for the purpose of declaring and paying customs duties.
CONSIGNOR
A
term used to describe any person who consigns goods to himself or to another
party in a bill of lading or equivalent document. A consignor might be the owner
of the goods, or a freight forwarder who consigns goods on behalf of his
principal.
CONSIGNMENT
Freight sent under a single contract of carriage. In combined
transport, this term may be used for statistical purposes, to measure loading
units or road vehicles. The grouping together of several consignments into a
full load is called consolidation or groupage.
CONSIGNMENT
NOTE
Document prepared by the shipper and
comprising a transport contract. It contains details of the consignment to be
carried to the port of loading and it is signed by the inland carrier as proof
of receipt.
CONSOLIDATED
SHIPMENT
Also
called “groupage”, it is a method of shipping whereby an agent (freight
forwarder or consolidator) combines individual consignments from various
shippers into one shipment made to a destination agent, for the benefit of
preferential rates. The consolidation is then de-consolidated by the destination
agent into its original component consignments and made available to consignees.
Consolidation provides shippers access to better rates than would be otherwise
attainable.
CONSOLIDATION
The
grouping together of smaller consignments of goods into a large consignment for
carriage as a larger unit in order to obtain a reduced rate.
CONSOLIDATION
POINT
Location
where consolidation of consignments takes place.
CONSOLIDATOR
A
firm or company which consolidates cargo.
CONSTANT
PRICES
See real prices.
CONSUMER GOODS
A large standard size
stackable metal box into which cargo is packed for shipment aboard specially
configured oceangoing containerships and designed to be moved with common
handling equipment enabling high-speed intermodal transfers in economically
large units between ships, railcars, truck chassis, and barges using a minimum
of labor. The container, therefore, serves as the transfer unit rather than the
cargo contained therein.
CONTAINER
FREIGHT STATION (CFS)
An arrangement whereby a
private party (concessionaire) leases assets from a public authority for an
extended period and has responsibility for financing specified new fixed
investments during the period and for providing specified services associated
with the assets; in return, the concessionaire receives specified revenues from
the operation of the assets; the assets revert to the public sector at
expiration of the contract.
CONTAINER POOL
An
agreement between parties that allows the efficient use and supply of
containers; a common supply of containers available to the shipper as
required.
A cargo vessel designed
and constructed to transport, within specifically designed cells, portable tanks
and freight containers which are lifted on and off with their contents intact.
There are two types of containerships full and partial. Full containerships are
equipped with permanent container cells with little or no space for other types
of cargo. Partial containerships are considered multi-purpose container vessels,
where one or more but not all compartments are fitted with permanent container
cells, and the remaining compartments are used for other types of cargo. This
category also includes container/car carriers, container/rail car carriers, and
container/roll-on/roll-off vessels.
CONTAINERISATION
Refers to the increasing
and generalized use of the container as a means of freight transport. As a
standard and versatile means, the container has greatly contributed to
intermodal transportation of merchandise and its widespread use, therefore, is
responsible for profound mutations in the transport sector. Through reduction of
handling time, labor costs, and packing costs, container transportation allows
considerable increases in speed of rotation along a circuit and thus entails a
better optimization of time and money.
CONTAINER ON RAILROAD FLATCAR (COFC)
Container-based
land and maritime coordination of freight handling.
CONTAINER TERMINAL
An area designated for the
stowage of cargo in containers, usually accessible by truck, railroad, and
marine transportation, where containers are picked up, dropped off, maintained,
and housed.
CONTAINER
YARD
A materials
handling/storage facility used for completely unitized loads in containers
and/or empty containers.
CONTINUOUS REPLENISHMENT
(CRP)
The
practice of partnering between distribution channel members that changes the
traditional replenishment process from distributor-generated purchase orders,
based on economic order quantities, to the replenishment of products based on
actual and forecasted product demand.
CORNER
FITTING
Fixed points usually
located at the top and bottom corners of a container into which twistlocks or
other devices engage to enable the container to be lifted, stacked,
secured.
CORRIDOR
Broadly defined
transport connections that carry people and goods between two locations. Within
corridors there are specific transport links, for example road and rail
links.
CO-SOURCING
A strategic partnering
strategy which provides an alternative to a pure “make” or “buy” decision by establishing an
agreement where both parties exchange traditional and “non-traditional” assets,
both tangible and intangible, in fulfillment of the agreement.
COST-BENEFIT ANALYSIS
(CBA)
An analysis of the benefits
and costs to society of some action. It aims to value benefits and costs in
monetary terms and provide a summary indication of the net
benefit.
The
cost curve is a graph of total costs of production as a function of total
quantity produced.
COST
DRIVER
A characteristic of any activity or event which results in a incurrence of costs by that activity.
COST INSURANCE FREIGHT
(CIF)
Cost including Insurance
and Freight is the value declared by the importer to Customs. It represents the
Free on Board (FOB) cost ex foreign ports, plus shipping and
insurance.
COST
RECOVERY
This is an approach to
infrastructure charging whereby fixed and variable costs are recovered in full
or in part.
CRANE
Conventional lifting crane where the load is suspended by cable via a
jib. The handling of ITUs requires the cable to be connected to the ITUs’
corners.
Cross-subsidization
involves supplying transport services to one group of consumers (users) at a
loss, which is made up by profits on services provided to other consumers
(users). It can be viewed as a particular way of allocating rents associated
with the transport activity.
CROSS-TRADE SEA
TRANSPORT
International
sea transport performed by a seagoing vessel registered in a third
country.
CURRENT
PRICES
See nominal prices.
A
marketing and fulfilment system that usually includes a call centre, data bases,
software and marketing strategy. Like ERP, CRM initiatives are complex,
involve redesign of internal business process and retraining. Successful
contracting for CRM outsourcing requires attention to business as well as
technology and legal issues.
Tailoring a product or
service to individual requirements.
A governmental body
authorized to regulate the movement of goods into and out of a country and to
collect import and export duties.
CUSTOMS
DUTIES
Taxes charged on most imports (except in customs unions or free trade areas like the European Union and NAFTA).
CUSTOMS HOUSE
The government office where
duties and/or tolls are placed on imports or exports and are paid on vehicles or
vessels entered or cleared.
CUT-OFF TIME (CLOSE
TIME)
The
latest time a container may be delivered to a terminal for loading to a
scheduled vessel, train, or truck.
DATABASE MANAGEMENT SYSTEM
(DBMS)
Software for data
warehousing and management.
Place
where loose or other non-containerised cargo is ungrouped for
delivery.
DEEP SEA MARITIME
TRANSPORT
Intercontinental transport of cargo by
sea.
DEFLATION
A decrease in the general
price level or an increase in the purchasing power of
money.
DELIVERED AT FRONTIER
(DAF)
Incoterm meaning that the seller's obligations are fulfilled when the goods have arrived at the frontier but before “the customs border” of the country named in the sales contract. The term is primarily intended to apply to goods by rail or road but is also used irrespective of the mode of transport.
DELIVERY DUTY PAID (DDP)
Title and risk pass to buyer when seller delivers goods to named destination point cleared for import. Used for any mode of transportation.
DEMURRAGE
The
delay of a vessel or detention of a shipment beyond the stipulated time allowed
for loading or unloading; the resulting payment to the owner for such delay or
detention.
DELOCALIZATION
The splitting of production
processes into separate parts that can be done in different locations, including
in different countries.
DEPRECIATION
Depreciation is an
accounting charge for the decline in value of an asset spread over its
life.
DEPRECIATION
CHARGE
Capital goods (e.g.
installed pollution abatement equipment) are typically used up over a period of
time. Each year, a portion of the usefulness of these assets expires, therefore
a portion of the original investment expenditure should be recognised as an
annual (capital) cost. The term depreciation refers to the systematic allocation
of the cost of an asset to expense over the accounting periods making up its
useful life.
DEREGULATION
The ending or relaxing of
legal regulations or restrictions in a particular industry
DISCOUNTED (CASH FLOW) NET
BENEFIT
The present value of
expected future net benefits.
DISCOUNT
FACTOR
The present value of a
single unit of currency received in the future (normally one year from now). If
the discount rate is r, then the discount factor is
1/(1+r).
DISCOUNT
RATE
The rate used to discount
future net benefits to their present value.
DISCOUNTING
The process of determining
the present value of future net benefits.
DISECONOMIES OF
SCALE
Diseconomies
of scale are like economies of
scale
but with the implication that they are negative, so larger scale would increase
cost per unit.
DISINTERMEDIATION
It
refers
to cutting out the middlemen in transactions.
DISPATCHING
The carrier activities
involved with controlling equipment; involves arranging for fuel, drivers,
crews, equipment, and terminal space.
DISPOSAL OF
GOODS
The
act of getting rid of goods.
DISPOSITIONING
All
activities relating to the inland movement of empty and or full
containers.
DISTRIBUTION
The
set of activities which ensure the availability of goods in the desired quality,
quantity, place and time for the customer.
DISTRIBUTION
CENTRE
A
warehouse for the receipt, the storage and the dispersal of goods among
customers. Synonym: Branch Warehouse.
DISTRIBUTION
MANAGEMENT
Outbound logistics, from
the end of the production line to the end user.
DISTRIBUTION
REQUIREMENT PLANNING (DRP-I)
The
function of determining the need to replenish stock at branch warehouses.
DISTRIBUTION
RESOURCE PLANNING (DRP-II)
The
set of concepts, procedures and techniques, being an extension of DRP-I, for the
effective planning and control of the physical distribution.
DISTRIPARK
Ultra-modern
cargo distribution complex that provides comprehensive warehousing facilities
within a Free Trade Zone.
DOCK
For
ships, a cargo handling area parallel to the shoreline.
DOOR-TO-DOOR
Transportation
of a container and its contents from consignor to
consignee.
DOUBLE-DECK
PALLET
Flat
pallet with a top deck and a bottom deck.
DOUBLE STACK
TRAIN
Rail or train capable of
carrying two containers, one on top of the other.
DOUBLE STACK
WAGON
A rail wagon designed for
the transport of containers stacked on top of each other.
DRAFT
The
depth of a loaded vessel in the water, taken from the level of the waterline, to
the lowest point of the hull of the vessel; depth of water, or distance between
the bottom of the ship and the water line. Also referred to as
draught.
DRAYAGE
Transporting freight by
truck, typically within short distances.
DRY-BULK
CONTAINER
A
container constructed to carry grain, powder and other free flowing solids in
bulk.
DRY
DOCK
An enclosed basin into which a ship is taken for underwater cleaning and repairing. It is fitted with watertight entrance gates which when closed permit the dock to be pumped dry.
DUMPING
Selling goods in foreign
markets at a lower price than in the home market, or even selling at cost price
or at a loss in order to obtain foreign exchange.
DUNNAGE
Material
used in stowing cargo either for separation or the prevention of
damage.
DUTY
FREE
Describes goods that can be
imported without customs taxes.
It
is expressed in term of no. of day that a container changed from one status to
another e.g. from under inbound load (UIL) to empty available (MTA) to under
outbound load (UOL). The shorter the dwell time, the more efficient the
container utilization will be.
E.T.A.
Expected time
arrival.
E.T.D.
Expected time
departure.
E-BUSINESS
Electronic business, that
is
conducting
business electronically .
E-COMMERCE
Electronic commerce, that
is
conducting
commerce electronically.
ECONOMIC
COST
The cost associated with
the supply of any good or service, measured in terms of opportunity costs of the
inputs used.
ECONOMIC
GOODS
Goods that are useful,
scarce, and rationed by price.
Increase in per capita
income, resulting from the increased production of goods and
services.
ECONOMIC
LIFE
The time at which the
marginal costs of operating and maintaining an project exceed the marginal
benefits provided by the asset - because other factors, such as technological
change or changes in economic circumstances, may render the asset obsolete or
inadequate. The economic life of an project may differ from its technical life;
the economic life is typically shorter than the technical
life.
ECONOMIC
LOGISTICS
The term refers to the
study, through the economic analysis tools, of topics concerning specialised
infrastructures, territorial planning, markets’ regulation and external
economies/diseconomies of transport and logistic outsourcing. Economic Logistics
can be understood as “3Ts’ fusion”, that is to say Transports, Tertiarisation
and Territory.
ECONOMIC ORDER QUANTITY
(EOQ)
The quantity per order (in units) that minimizes the total costs of processing orders and holding inventory.
ECONOMIC RENT
Money paid to someone over
and above the amount he or she needs to remain in that particular line of
work.
ECONOMIC VALUE ADDEDTM(EVA)
A financial management system developed and trademarked by Stern Stewart & Co. EVA is calculated as net operating profit after taxes (NOPAT) less the cost of capital, plus capital budgeting adjustments.
ECONOMIES OF
SCALE
Reductions in unit costs
arising from large-scale production.
Cost savings resulting from increasing the number of different goods or services produced.
An organized system for the
production, distribution and consumption of goods and
services.
EDI
Electronic Data
Interchange. The electronic interchange of business transactions between
organizations according to a specific pre-defined
standard.
EDIFACT
Electronic Data Interchange
For Administration Commerce and Transportation EDIFACT stands for “Electronic
Data Interchange for Administration, Commerce and Transport”. This involves an
international hardware- and software neutral industry-wide system for electronic
data exchange. EDIFACT, defined and serviced by bodies of the United Nations
(UN) serves for standardization in electronic exchange of commercial documents
and business messages. Under the umbrella of the UN, EDIFACT is often also
called UN/EDIFACT. All EDIFACT messages are based on ISO9735, in which the
individual syntax units are described in detail. The structure of the control
segments (e.g. UNH, UNT, etc.) is also described there, since they apply to all
messages as an overall standard.
EFFECTIVENESS
A measure
of the quality
of attainment in meeting
objectives;
to be distinguished from efficiency,
which is measured
by the volume
of output
achieved for the input
used.
EFFICIENCY
The ability to produce good
results without wasting time or resources; in financial theory, the fact that
all new information is rapidly communicated, understood by market participants,
and incorporated into prices.
EFFICIENT CONSUMER RESPONSE
(ECR)
A strategy in which the grocery retailer, distributor and supplier trading partners study methods to work closely together to eliminate excess costs from the grocery supply chain and better serve the consumer.
E-FULLFILMENT
Comprehensive order processing system
(operated, for instance, by a logistics service provider) covering the receipt
of orders via the Internet, payment, storage, transportation and delivery as
well as after-sales service and disposal.
ELASTICITY OF
DEMAND
The responsiveness of the
quantity of a good or service demanded to changes in market price or in
consumers’ income.
Changes in the supply of a
good or service in response to changes in price.
Business communities are
beginning to form e-marketplaces, enabling them to automate and leverage
transactions with one another as a community. By bringing together large numbers
of buyers and sellers, e-marketplaces give sellers access to new customers,
expand the choices available to buyers and reduce transaction
costs.
ENGINEER TO ORDER
(ETO)
A manufacturing response to demand in which engineering analysis and design occurs for all materials and production activities designated for a specific customer order. ETO may involve the use of a few common raw materials, but requires constructing new bills of materials and routings to complete intermediate items and the end time required.
ENTERPRISE RESOURCE
PLANNING (ERP)
It
is a software which integrates the various functions of an enterprise based on
sharing of data in common database that, when processed, generates relevant
management information for purchasing departments, manufacturing, sales,
delivery and related internal processes (such as human resources and
accounting). In principle, ERP software is capable of running the
enterprise (and multiple enterprises) as an integrated operation.
Purchasing
which takes place between companies using services such as the Internet,
Electronic Data Interchange or Electronic File Transfer. Two companies, one the
supplier and the other the purchaser, transmit inquiries, orders, invoices,
payments etc. directly through their computer systems.
EUROPEAN REGIONAL
DEVELOPMENT FUND (ERDF)
The ERDF is aimed at
reducing regional imbalances and assisting disadvantaged regions, particularly,
run-down areas facing restructuring problems and industrial decline and rural
areas.
EUROPEAN SOCIAL FUND
(ESF)
The ESF aims to improve
employment opportunities in the European Union by providing financial support
towards the running costs for vocational training schemes, guidance and
counselling projects, job creation measures and other steps to improve the
employability and skills of both employed and unemployed people. It also
provides support for research and improving the capacity of organisations to
better help their target communities.
EQUIVALENT ANNUAL
COST
An equal, or uniform,
payment made over the useful life of an project, which has the same present
value as the stream of annual cash outflows (i.e. the initial investment
expenditure plus the series of net annual operating and maintenance costs)
associated with the measure.
EXCHANGE
RATE
The exchange rate for
foreign currency is the price of a unit of the foreign currency in terms of the
domestic currency.
A tax on the sale or use of
specific products or transactions.
EXTERNAL COST (NEGATIVE
EXTERNALITY)
The costs arising from the
provision of any good or service that are not taken into account by the provider
of that good or service when making decisions about methods of production and
level of production; for that concerns the transport sector they include
pollution, noise, health, accidents costs. Failure to acknowledge such costs may
result in excessive use of a transport service.
EXTERNAL BENEFIT (POSITIVE
EXTERNALITY)
An “external economy,”
“external benefit,” or “positive externality” results when part of the benefit
of producing or consuming a good or service accrues to a firm or household other
than that which produces or purchases it.
EXTRANET
It extends the Intranet to information
users from outside the enterprise. Extranets are used to provide access to
information that can be used by suppliers, customers, banks and other financial
institutions and others needing access to an enterprise's
data.
FEASIBILITY STUDY
The
final determination of the viability of a proposed investment project. Only the
best alternative identified in a pre-feasibility study is developed in a
feasibility study, which covers all economic, institutional, social, and
engineering aspects of the project. The need for the project is analysed along
with resource availability, and refined estimates are made of (1) project
benefits, (2) capital costs of construction, (3) annual costs of operation and
maintenance, (4) economic parameters for evaluation, i.e. Net Present Value,
Internal Rate of Return or other, and (5) repayment probabilities.
FEEDER VESSEL
Vessel
employed in normally short sea routes to fetch or carry goods and containers to
and from ocean going vessels.
FERROUTAGE
Combined transport by rail
and road.
FEU
Forty
equivalent unit. Commonly describes a 40-foot container (12.20
m.).
Those money payments
associated with any given set of economic costs.
FIRST-IN FIRST-OUT
(FIFO)
Method of inventory valuation that assumes that the less recently purchased or produced goods are sold first.
Fixed costs are those which
are independent of traffic flow or usage.
A charge, normally applied
to transport infrastructure, which does not vary with
usage.
FLAG STATE
Country of registry of a
sea going vessel. A sea going vessel is subject to the maritime regulations in
respect of manning scales, safety standards and consular representation abroad
of its country of registration.
FOREIGN TRADE
ZONE
An area within a country
where imported goods,
except contraband, may be stored or processed
without being subject to import duty. Also called a “free trade zone” or “free
port”.
FORK LIFT
TRUCK
Vehicle equipped with
power-driven horizontal forks, which allow it to lift, move or stack pallets,
containers or swap bodies. The latter two are usually empty. These operations
can only be performed on the front row of stack.
FOURTH PARTY LOGISTICS
PROVIDER (4PL)
A logistics provider that manages a number of other logistics providers, hence acts as a shipper or a logistics provider in different circumstances.
FOUR-WAY
PALLET
Pallet permitting the entry of the fork arms of fork-lift trucks or pallet trucks from all directions.
FREE
ENTERPRISE
Economic system in which
anyone can attempt to raise capital, form a business, and offer goods or
services.
FREE MARKET
One in which prices rise
and fall according to supply and demand, with no governmental
intervention.
FREE ON BOARD
(FOB)
Common
price term used in international trade meaning seller's responsible for the cost
of goods is to the point of loading it to the vessel deck or aircraft loading
deck. The risk of loss of or damage to the goods is transferred from the seller
to the buyer when the goods have been so delivered. FOB normally comes with port
of loading either airport or sea port.
FREE
RIDER
Someone who enjoys the
benefits of a (public) good without paying for it. Because it is difficult to
preclude anyone from using a pure public good, those who benefit from the good
have an incentive to avoid paying for it—that is, to be free
riders.
FREE TRADE
Situation where there are
no restrictions (tariffs, quotas, etc.) on imports and exports of
goods.
FREIGHT DISTRIBUTION
CENTRE
Storage
and interchange facility for loading/unloading rail freight and transferring to
road transportation.
FREIGHT
FORWARDER
Individual/company that
accepts shipments and consolidates them into truckloads. An agent who helps
expedite shipments by preparing necessary documents and making other
arrangements for moving freight.
A
front-end system is one that users interact with directly, such as buying a
product or searching a catalogue.
FULL CONTAINER LOAD
(FCL)
In contrast to the LCL (=
Less than Container Load) the carrier/ship owner takes an already fully loaded
container for carriage from the shipper (exporter).
FULL
COSTING
A product costing method
where the value of each manufactured item includes all necessary direct and
indirect manufacturing costs.
FULL EMPLOYMENT
Situation in which everyone
looking for work is able to find it.
GABARIT
Encumbrance limit of a
container wagon with reference to both bridges and galleries of a railway
line.
GAMES
THEORY
Mathematic theory of
rational behavior for interactive decision problems.
GANTRY
CRANE
An overhead crane
comprising a horizontal gantry mounted on legs which are either fixed, run in
fixed tracks or on rubber tyres with relatively limited manoeuvre. The load can
be moved horizontally, vertically and sideways. Such cranes normally straddle a
road/rail and/or ship/shore interchange.
GANTT (BAR) CHART
A Gantt chart is a graphic
display of activity durations. It is also referred to as a bar chart. Activities
are listed with other tabular information on the left side with time intervals
over the bars. Activity durations are shown in the form of horizontal
bars.
GATEWAY
A point at
which cargo is interchanged between carriers or modes of transport. A means of
access, an entry, in other words a pivotal point for the entrance and the exit
of merchandise in a region, a country, a continent.
GENERAL
CARGO
Cargo, consisting of goods,
unpacked or packed, for example in cartons, crates, bags or bales, often
palletised. General cargo can be shipped either in break-bulk or containerised.
Any consignment other than a consignment containing valuable cargo and charged
for transport at general cargo rates (air-cargo).
GENERAL CARGO
RATES
The
rate for the carriage of cargo other than a class rate or specific commodity
rate.
GENERAL CARGO
SHIP
Ship
designed with holds for the carriage of diverse types and forms of goods. This
category includes reefer ships, Ro-Ro passenger ships, Ro-Ro container ships,
other Ro-Ro cargo ships, general cargo/passenger ships and other multi-purpose
ships.
GENERAL
EQUILIBRIUM
Hypothetical state of balance in all the markets which make up an economy (supply and demand of goods, labour, capital, etc.).
GENERALIZED
COST
The total cost an
individual pays to make use of a mode of transport, including the
“out-of-pocket” cost - i.e. the market price of making the trip - the value of
time taken and any other non-monetary factors incurred in making the
trip.
GEOGRAPHIC INFORMATION SYSTEM
(GIS)
An organized collection of
computer hardware, software, geographic data, and personnel designed to
efficiently capture, store, update, manipulate, analyze, and display all forms
of geographically referenced information.
Good with benefits that are strongly universal in terms of countries (covering more than one group of countries), people (accruing to several, preferably all, population groups) and generations (extending to both current and future generations, or at least meeting the needs of current generations without foreclosing development options for future generations).
GLOBALIZATION
The growing
interdependence and interconnectedness of the modern world through increased
flows of goods, services, capital, people and information. The phenomenon is
driven by
processes
of economic liberalisation,
technological advances and
reductions in the costs of international transactions and
transports.
GLOCAL
Word composed by global and
local. The term “glocal economy” refers to an internationalisation and
regionalisation of the economy, and to an increasing tertiarisation,
decentralization, interrelation and privatisation of the economic activities.
GPS
Global
Positioning System. Satellite navigation system used to determine terrestrial
position, velocity, and time. Once exclusively used by the U.S. military, the
GPS is now available to the worldwide general public. The GPS system relays
satellite signals that can be processed by a GPS receiver.
GRAPH
Graphical representation of
a transportation network composed by a set of dots called vertices (or nodes)
connected by links called edges (or arcs).
GREENHOUSE
EFFECT
The absorption of outgoing
infra-red radiation by greenhouse gases and water vapor, which thereby raises
the Earth’s temperature.
GROSS NATIONAL PRODUCT
(GNP)
The money value of all the
final goods and services produced in a country in a year, plus income from
foreign investments (which is excluded in GDP or gross domestic
product).
GROSS
TONNAGE
Applies
to vessels, not to cargo. Determined by dividing by 100 the contents, in cubic
feet, of the vessel's closed-in spaces. A vessel ton is 100 cubic
feet.
GROSS
WEIGHT
Entire
weight of goods, packaging and container, ready for shipment.
GROUPAGE
Consolidation of several
small consignments and the formation of one large shipment thereof.
Port
charges to a vessel for each harbour entry, usually on a per gross registered
ton basis for commercial vessels.
HARBOUR
MASTER
An
officer who attends to berthing ships in a harbour.
HAULAGE
The inland carriage of
cargo or containers between named locations/points. Synonym: Cartage.
HAULIER
Road
carrier.
HIGH CUBE
CONTAINER
Container of standard ISO
length and width but with a height of 9’6” (2.9 m).
See
motorway.
HINTERLAND
Land space over which a transport
terminal, such as a port, sells its services and interacts with its clients. It
accounts for the regional market share that a terminal has relative to a set of
other terminals servicing this region. It regroups all the customers directly
bounded to the terminal. The terminal, depending on its nature, serves as a
place of convergence for the traffic coming by roads, railways or by sea/fluvial
feeders.
HOLD
A
ship’s interior storage compartment.
HTML
Hyper Text
Mark-up Language. Language in which web pages are written.
HTTP
Hyper Text
Transfer Protocol. Conventions used by web browsers
and servers
to transfer web pages.
HUB
Central point for the collection, sorting, transhipment and distribution of goods for a particular area. This concept comes from a term used in air transport for passengers as well as freight. It describes collection and distribution through a single point (“Hub and Spoke” concept).
HUB &
SPOKE
H&S distribution systems are based on the concentration of the traffics over few points (hubs) that sort the goods towards peripheral structures from which the final deliveries then have origin over reduced routes (spokes).
HUCKEPACK
The
carriage of road vehicles and trailers on railway wagons. Synonym: Piggyback.
IATA
International Air Transport Association.
ICAO
International Civil Aviation Organization.
IMO
International Maritime
Organization.
IN BOND
Cargo
moving under customs control where duty has not yet been
paid.
The
set of international standards for the uniform interpretation of common contract
clauses in international trade. INCOTERMS 2000, formulated in concert with many
international entities, comprises the latest revisions and should now be used
exclusively.
Indirect costs refer to
those costs associated with changes in demand in related (markets) sectors of
the economy through backward and forward production linkages with the project.
For example, the (direct) expenditures on an project may induce changes in
demand for certain resources and related services throughout the economy. The
net value of these induced changes is an indirect cost of investing in the
project.
INDUCEMENT
Placing
a port on a vessel’s itinerary because the volume of cargo offered by that port
justifies the cost of routing the vessel.
INDUSTRIAL
DISTRICT
A
highly geographically concentrated group of companies that either work directly
or indirectly for the same end market, share values and knowledge so important
that they define a cultural environment, and are specifically linked to one
another in a complex mix of competition and cooperation. Key source of
competitiveness are elements of trust, solidarity, and cooperation between
firms, a result of a close intertwining of economic, social, and community
relations.
INFLATION
An increase in the general
price level or a decrease in the purchasing power of
money.
INFOMEDIARY
An intermediary business
that captures, segments and analyses consumer data for use by third party
organisations.
INFRASTRUCTURE
Fixed
equipment (such as roads, railways and traffic lights) needed for transport
services.
A
transportation company that hauls export or import traffic between ports and
inland points.
INTEGRATED
Combined
into a unified system taking into consideration all relationships. In terms of
transport this means considering all modes, land use patterns and social,
environmental and economic impacts.
Integrated logistics means
taking a global approach to activities such as demand management, asset
management, purchasing, factory logistics and distribution, including
warehousing and transport. The activities are viewed as a system, rather than
many disparate activities. The aim is then to simplify, synchronise and
integrate the inbound and outbound flows to form a competitive differentiator
for the business.
Railway
undertaking also being an Infrastructure manager.
INTEGRATED TRAFFIC
MANAGEMENT SYSTEM
The
development and application of network-wide data collection and sharing of
traffic information system. The system can integrate data and control systems
from freeways, arterials and city streets to provide real-time proactive traffic
information and control. Implementation of the system would facilitate
congestion management over the entire network across multijurisdictional
boundaries. The system could provide incident detection, transit and emergency
vehicle priority, and advance traveler information.
INTELLIGENT TRANSPORT
SYSTEMS (ITS)
The integrated application
of modern computer and communications technologies to transport systems to
improve transport safety, use of infrastructure, transport operations and the
environment.
INTEREST COST (CHARGE)
A charge made for the use
of money and reflecting the opportunity cost of capital. The yearly interest
charge on the unpaid capital balance is one part of the annual capital cost (see
also interest rate).
INTEREST
RATE
The ratio of the interest
charged in any one time period to the original investment expenditure (see also
interest rate).
A railroad facility
designed for the loading and unloading of containers, swap bodies and trailers
to and from flat cars for movement on the railroad and subsequent movement on
the street or highway.
INTERMODAL
TRANSPORT
The movement of goods in
one and the same loading unit or road vehicle, which uses successively two or
more modes of transport without handling the goods themselves in changing
modes.
INTERMODAL TRANSPORT UNIT
(ITU)
Containers, swap bodies and
semi-trailers suitable for intermodal transport.
Internal costs are those
which the user pays for.
INTERNATIONAL ORGANIZATION
OF STANDARDIZATION (ISO)
ISO
is a worldwide federation of national standards bodies from some 130 countries,
one from each country. It is a non-governmental organization established in 1947
to promote the development of standardization facilitating international trade.
ISO's work results in international agreements which are published as
International Standards.
INTERNET
The vast collection of
inter-connected networks that are connected using the TCP/IP protocols and that
evolved from the ARPANET of the late 60's and early 70's. Any time you connect 2
or more networks together, you have an internet - as in inter-national or
inter-state.
The
Internet connects tens of thousands of independent networks into a vast global
internet and is probably the largest Wide Area Network in the world.
INTERNET2
Internet2 is a consortium
being led by 202 universities working in partnership with industry and
government to develop and deploy advanced network applications and technologies,
accelerating the creation of tomorrow's Internet. Internet2 is recreating the
partnership among academia, industry and government that fostered today´s
Internet in its infancy. The primary goals of Internet2 are to:
-
create a leading edge network capability for the national research
community;
-
enable revolutionary Internet applications;
-
ensure the rapid transfer of new network services and applications to the
broader Internet community.
INTEROPERABILITY
Term which means that the
operating equipment (trucks, trains, ships, etc.) can operate on either side of
the border equally efficiently. This means common technical specifications, or
at least sufficient flexibility in specifications to remove access to all
components of the integrated network. It also means common institutions such as
licenses, insurance, way-bills, computer and information systems, safety
standards, and labor laws and practices. Without these features there is the
needed for consignments or passengers to change carrier at the border even if
the same mode is used on either side. In other words, it means equity of access,
on comparable terms, to the entire integrated transportation infrastructure
network.
It
is a network of computers and related digital files available to all members of
the intranet's owner. Users access the files using an Internet Protocol
rather than simple hard wiring. When added to a VPN, an Intranet can
become an Extranet.
It
represents a fundamental of Economic Logistics. In particular, by borrowing from
the financial mathematics the law of the capitals equality over time according
to the conditions of the rates of interest or discount, Economic Logistics
reaches to a sort of equality or invariance of the capitals over space in
comparison to both a rate of transport-distance cost and a rate of incidence of
the logistic service cost. The consequence is an higher competitiveness of the
productions owed to smaller costs of the inputs in comparison to invariant
values over space.
INVENTORY
TURNOVER
The number of times the
average inventory has been sold during a period.
INVESTMENT
EXPENDITURE
The total expenditure made
in a given year to purchase plant/equipment or other infrastructure items from a
supplier, and all expenditures associated with installing these items and making
it operational. This includes the purchase of land, general site preparation
etc., if required. Investment expenditure is distinct from the capital cost of
an project. Capital goods provide services over a number of years and therefore
only a portion of the original investment expenditure is recognised as an annual
(capital) cost. In contrast, investment expenditure indicates the total value of
the capital good in the year of acquisition and thus does not reflect the use of
the asset over time.
Structure
projecting out to sea, designed to protect a port from the force of the waves
but also used to berth ships.
The costs associated with
the provision of more than one type of output. Frequently a project delivers
more than one final product. Some of the costs can be clearly attributed to each
separate product, but some costs are shared. These shared costs are joint costs.
Rules of attributing them exist (e.g. on the basis of the relative value of
final output, or on the basis of the value of relative value of some variable
input), but these are essentially arbitrary.
JUST IN TIME
(JIT)
A manufacturing/distribution process that produces/delivers products just in time to meet orders, not for stock.
KAIZEN
Japanese
philosophy of continual improvement, that every process can and should be
continually evaluated and improved in terms of time required, resources used,
resultant quality, and other aspects relevant to the process. When applied to
the workplace, Kaizen means continuing improvement involving everyone - managers
and workers alike. Kaizen is not limited to manufacturing systems only. It also
means continuing improvement in personal life, home life, social life, and
working life.
KANBAN
A method which during
storage uses standard units or lot sizes with a single card attached to each. A
pull system used at a stock point in which a supply batch is ordered only when a
previous batch is withdrawn. Note: Kanban in Japanese means loosely translated
“card” or “sign”.
Ratio of
vehicles-kilometres and number of vehicles.
KNOT
Intersection
between two or more communication lines. However the term also refers to the
measure of speed of a ship, equal to one nautical mile (1.852 meters) per
hour.
LANDBRIDGE
An intermodal connection
between two ocean carriers separated by a land mass, linked together in a
seamless transaction by a land carrier.
LAND
CONTAINER
Container complying with
International Railway Union (UIC) specifications, for use in rail-road combined
transport.
LANDLORD
PORT
An
institutional structure whereby the port authority or other relevant public
agency retains ownership of the land, as well as responsibility for maintaining
approach channels and navigation aids; under this model, the port does not
engage in any operational activities.
LAST-IN FIRST-OUT
(LIFO)
Method of inventory valuation that assumes that the most recently purchased or produced goods are sold first.
LEAD TIME
LESS THAN CONTAINERLOAD
(LCL)
In contrast to the «Full
Container Load» goods too small to fill a container are loaded by the carrier at
a container freight station with other compatible goods received from various
exporters for delivery to the same destination.
Most road freight shipments
transported by common carriers are LTL. The term LCL similarly
applies to ocean freight shipments that are “Less than Container
Load”.
The costs of any project
comprise capital costs and variable costs. The capital costs are shared by the
production that takes place over a number of years. The levelised costs is a
constant annual cost that is equivalent in present value terms to the actual
capital and variable costs of the project.
LIFE CYCLE COST ANALYSIS
(LCCA)
Method which allows to
evaluate the total economic worth of a usable project segment by analysing
initial costs and discounted future costs, such as maintenance, user costs,
reconstruction, rehabilitation, restoring, and resurfacing costs, over the life
of the project segment.
LIFT-ON-LIFT-OFF
(LO-LO)
Loading and unloading of
intermodal transport units (ITU) using lifting equipment.
LIMIT OF
LIABILITY
The maximum sum of money
payable by a carrier to a shipper for any damage or loss to the cargo for which
the carrier is liable under the contract of carriage. The amount of the
limitation is determined by agreement or by law.
LIMITED RECOURSE
FINANCING
Project
financing in which sponsors or governments agree to provide contingent financial
support to give lenders extra comfort; typically provided during the
construction and start-up period of a project, which is generally the riskiest
time in the life of an infrastructure project.
LINE
HAUL
The
movement of freight over the tracks of a transportation line from one city to
another.
LINEAR TRANSPORT COST
FUNCTION
A reference to a
theoretical, linear mathematical function usually involving the variables (1)
(total) transport costs and (2) distance. The function would be linear if it is
suggested that the increase in transport cost is proportional to the increase in
distance. Linearity may exist with or without terminal (or distance-fixed) cost.
The latter would result in a curvi-linear, downward sloping average
transport-cost function. In general, non-linear total transport costs with
declining marginal distance costs would tend to make long-haul transportation
relatively inexpensive and might create the incentive to select locations which
reduce the number of short-haul links and take advantage of the
“distance-economies” of (fewer but) long hauls.
LINER
A
vessel sailing between specified ports on a regular basis.
LINER
TERMS
Condition of carriage denoting that costs for
loading and unloading are borne by the carrier subject the custom of the port
concerned.
LLOYD’S
REGISTRY
An
organization maintained for the surveying and classing of ships so that
insurance underwriters and others may know the quality and condition of the
vessels involved.
LOAD
FACTOR
The
ratio of passengers or freight actually carried versus the total passenger or
freight capacity of a vehicle or a route.
Track on which ITUs are
transhipped.
LOADING
UNIT
Container or swap
body.
The term means also
“external economies of localization” and refers to the agglomeration economies
(benefits, cost reductions) resulting from the concentration of the same or
similar activities: eg. benefits resulting from the local access to a
specialized work force or the specialized reputation of a locality (to which
some but maybe not all of these specialized activities contribute).
LOGISTIC
CENTRE
Geographical grouping of independent companies and bodies which are
dealing with freight transport (for example, freight forwarders, shippers,
transport operators, customs) and with accompanying services (for example,
storage, maintenance and repair), including at least a terminal. In English,
also called “Freight village”. In Italian, also called “Interporto”.
LOGISTIC
COSTS
Six groups of costs relative to logistic activities exist: orders processing and information systems costs; labour costs; warehousing costs; inventories costs; lots costs; transportation and distribution costs.
LOGISTICS OPERATOR
(LO)
Company that plans,
controls, implements and monitors information and material flows as a service
provided to other companies and customers.
LOGISTIC
OUTSOURCING
Purchasing logistic
services from an outside firm, as opposed to performing it
in-house.
A rail wagon with a low
loading platform built to carry, inter alia, ITUs.
MALACCA-MAX
Maximum size ships (containerships and
bulkers) which can cross the Malacca Straits. The Malacca-max reference is
believed to be today the absolute maximum possible size for container
vessels.
MANUFACTURING
COSTS
Costs associated directly
with the manufacturing process including cash operating expenses, but excluding
depreciation and amortization
MANUFACTURING RESOURCE
PLANNING II (MRP II)
MATERIAL REQUIREMENT
PLANNING (MRP)
The computer process of
matching supply with demand. It forecasts all inventory movements and makes
recommendations for material re-supply and production.
Mathematical Programming,
one of a number of Operations Research techniques, is the use of mathematical
models, particularly optimizing models, to assist in taking
decisions.
Marginal costs are specific variable costs related to the provision of a service or the use of infrastructure. Short-run marginal costs are the additional operating and maintenance costs associated with a marginal increase in output without any increase in physical capacity. If external costs are also included, this is referred to as marginal social cost. Long-run marginal costs include also the capital costs of increasing capacity to accommodate an increase in output; they are difficult to measure. Linking charges to long-run marginal costs would lead to significant inefficiencies where excess transport capacity exists.
MARGINAL
PRODUCT
The increase in output resulting from the use of an additional unit of an input or factor of production.
MARGINAL PROPENSITY TO
CONSUME
Proportion of additional
disposable income that is spent on additional consumption.
MARGINAL PROPENSITY TO
SAVE
Proportion of additional
disposable income that people choose to save.
The change in total revenue
resulting from increasing sales by one unit.
The additional satisfaction
derived from consuming a further unit of a commodity.
MARINE
TERMINAL
A designated area of a
port, which includes but not limited to wharves, warehouses, covered and/or open
storage spaces, cold storage plants, grain elevators and/or bulk cargo loading
and/or unloading structures, landings, and receiving stations, used for the
transmission, care, and convenience of cargo and/or passengers in the
interchange of same between land and water carriers or between two water
carriers.
Sea
transport between two ports (a port of loading/embarkment and a port of
unloading/disembarkment) located in the same country irrespective of the country
in which the seagoing vessel is registered.
MARITIME
CONTAINER
A container strong enough to be stacked in
a cellular ship and to be top lifted. Most maritime containers are ISO
containers, i.e. they confirm to all relevant International Organization for
Standardization (ISO) standards.
MARITIME FEEDER
SERVICE
Short sea shipping service
which connects at least two ports in order for the freight (generally
containers) to be consolidated or redistributed to or from a deep-sea service in
one of these ports.
MARKET
ECONOMY
One in which prices and
quantifies are determined by supply and demand.
Situations in which free
competition and the effects of supply and demand do not operate (e.g. monopolies
and oligopolies, and externalities). So the market fails to attain economic
efficiency.
MARKET PRICE
EQUILIBRIUM
the price at which the
amount that buyers wish to buy equals the amount that sellers wish to
sell.
MASTER PRODUCTION SCHEDULE
(MPS)
Plan that a company
develops for production, inventory, staffing, etc. It sets the quantity of
each end item to be completed in each week of a short-range planning horizon. A
Master Production Schedule is the master of all schedules. It is a plan
for future production of end items.
MATERIALS
MANAGEMENT
Inbound logistics from
suppliers through the production process. The movement and management of
materials and products from procurement through
production.
MEDIUM TONNE
DISTANCE
Ratio of tonnes-kilometres
to transported freight tonnes.
MILITARY
LOGISTICS
Whole
of operations dealing with the procurement, distribution, maintenance, and
replacement of materiel and personnel of an army in an
enemy
territory.
MIXED
COSTS
Costs comprising both fixed
and variables components of cost.
MIXED
GOOD
A mixed good lies between
the polar extremes of a private good and a public good, containing elements of
both. For example, inoculation against disease is a mixed good since it benefits
the community at large (by reducing risks of illness) as well as the individual.
In such a case, private consumption confers a beneficial externality on the rest
of the community.
MOBILE
CRANE
General
purpose crane capable of being moved from one part of a port to
another.
MODAL
SPLIT
The relative use of the
modes of transportation; the statistics used include ton-miles, passenger-miles
and revenue.
MONOPOLISTIC COMPETITION
A market structure where a
large number of small firms produce a non-homogeneous product and there are no
relevant barriers to entry or exit
MONOPOLY
Situation in which there is
only one seller of a product or service.
MONOPSONY
A buyers' monopoly, a
situation in which there is only one buyer.
MOOR
To
attach a ship to the shore by ropes.
MOTORWAY
Road, specially designed and built for
motor traffic, which does not serve properties bordering on it, and which: (a)
is provided, except at special points or temporarily, with separate carriageways
for the two directions of traffic, separated from each other, either by a
dividing strip not intended for traffic, or exceptionally by other means; (b)
does not cross at level with any road, railway or tramway track, or footpath;
(c) is specially sign-posted as a motorway and is reserved for specific
categories of road motor vehicles. Entry and exit lanes of motorways are
included irrespectively of the location of the sign-posts.
MULTICRITERIA ANALYSIS
(MCA)
An extension to traditional cost-benefit analysis that endeavours to take account of all relevant impacts, including non-monetary impacts (for example, social equity and environmental impacts).
MULTIMODAL
TRANSPORT
Carriage of goods by two or
more modes of transport.
MULTIMODAL TRANSPORT
OPERATOR (MTO)
Any person or entity who
concludes a multimodal transport contract and assumes the whole responsibility
for the performance thereof as a carrier or a transport operator.
NATURAL
MONOPOLY
A situation where one firm can produce a given level of output at a lower total cost than can any combination of multiple firms. Natural monopolies occur in industries which exhibit decreasing average long-run costs due to size (economies of scale). According to economic theory, a public monopoly governed by regulation is justified when an industry exhibits natural monopoly characteristics. Modern view of natural monopoly rests on the concept of subadditivity of costs. Cost function is subadditive if any division of output between N firms results at greater industry costs when if one firm produces that quantity of output. In the single product case economies of scale imply subadditivity Natural monopoly exists where one firm is able to produce the relevant range of outputs at a lower cost than two or more firms.
NETWORK
ECONOMIES
The whole of
both economies of scale and scope.
NEW
ECONOMY
Internet-based
public and private economy.
Nominal or current price
variables refer to values at the prices ruling when the variable was measured.
Such prices have not been adjusted for the effects of
inflation.
NOMINAL DISCOUNT/INTERST
RATE
Nominal or current price
variables refer to values at the prices ruling when the variable was measured.
Such prices have not been adjusted for the effects of
inflation.
NON-EXCLUDABILITY
Benefits that are available
to all once a good is provided are termed non-excludable. Goods whose benefits
can be withheld costlessly by the owner or provider generate excludable
benefits. Firework displays, pollution control devices and street lighting yield
non-excludable benefits because once they are provided, it is difficult if not
impossible to exclude individuals from their benefits.
NON-RECOURSE
FINANCING
Project
financing for which no loan guarantees or financial support is provided by the
sponsors or governments to lenders for the project.
NON-RIVALRY
A good is non-rival or
indivisible when a unit of the good can be consumed by one individual without
detracting, in the slightest, from the consumption opportunities still available
to others from that same unit. Sunsets are non-rival or indivisible when views
are unobstructed.
NON-VESSEL OPERATING COMMON
CARRIER (NVOCC)
A
cargo consolidator in ocean trades who buys space from a carrier and re-sells it
to smaller shippers. The NVOCC issues bills of lading, publishes tariffs, and
otherwise conducts itself as an ocean common carrier, except that it does not
provide the actual ocean or intermodal service.
NON-RECURRING
COSTS
See investment
expenditure.
NO-REGRETS
MEASURES
A project or policy
intervention which achieves its stated objective at no incremental
cost.
Normative economics is the study of "what should be" in economic matters. Normative economics is subject to, and relies on, personal biases, opinions, and moral beliefs which may cloud the question at hand. The study of normative issues is more than likely to exist in the realm of political science and philosophy than in the strict study of economics, although economists occasionally study normative topics.
OLIGOPOLY
The
situation in a market where there are only a small number of large
suppliers.
OLIGOPSONY
The
situation in a market where there are only a limited number of
buyers.
ON-CARRIER
Person or company who
contracts to transport cargo from the port or place of discharge of a sea-going
or ocean-going ship to another destination by a different means of transport,
such as truck, train or barge.
ONE-TO-ONE (121)
See
Customization.
OPERATING AND MANTEINANCE
COSTS
The costs of the energy,
labour, materials and environmental services required to operate and maintain
the project during a single year. Operating and maintenance costs may include
fixed annual costs associated with administration, insurance premiums and other
general overheads. However, they exclude any costs associated with the financing
and depreciation of plant or equipment. These are covered through the use of a
capital recovery factor when determining total annual costs or annual capital
costs. As operating and maintenance costs are incurred annually throughout the
useful life of the project, they are also known as recurring
costs.
These are running costs
associated with operation of transport services.
OPERATIONS
RESEARCH
The study of statistical
and mathematical methods, such as linear programming and simulation, in order to
analyze and solve organizational problems.
OPPORTUNITY
COST
The value of a scarce
resource in its next best alternative use. The economic, or “true” private, cost
of a resource is given by its opportunity cost.
OPPORTUNITY COST OF
CAPITAL
The expected rate of return
that is foregone by investing in the project rather than in the best alternative
investment.
OPTIMIZATION
It is a technique to
achieve the best possible solution to a problem in terms of a specified
objective function.
ORDER CYCLE
The
time and process involved from the placement of an order to the receipt of the
shipment.
ORDER
PICKING
Putting
together various products for a given order.
Means of replenishing
stock. A new replenishment of stock is requested from the supplier (or other
replenishment source) when the company's current stock level falls to its
calculated order point. The order point is calculated from three factors: (1)
the forecast off-take of
stock, expressed in units per time period; (2) the replenishment lead-time of a
new delivery; and (3) the safety stock provided to cover forecast
error.
OUTPUT
The total value of the
goods produced or services performed (by a person, a company, an industry, or a
whole country).
A carrier, which operates
on a route served by a liner conference but which is not a member of that
conference.
It
is the transfer (or delegation) to an external service provider the operation
and day-to-day management of a business process. The customer receives a service
that performs a distinct business function that fits into the customer's overall
business operations. Sometimes the process is one that historically has been
performed by a vertically integrated enterprise. More recently, outsourcing
defines the services sector for those services that were not part of the
vertically integrated enterprise, such as telecommunications, website hosting,
transportation services, logistics, etc.
PACKAGE
Any
physical piece of cargo in relation to transport consisting of the contents and
its packing for the purpose of ease of handling by manual or mechanical means.
The final product of the packing operation consisting of the packing and its
contents to facilitate manual or mechanical handling.
PACKAGING
Materials
used for the containment, protection, handling, delivery and presentation of
goods and the activities of placing and securing goods in those
materials.
PACKING
LIST
Document
specifying the contents of each individual package.
PALLET
A
device used for moving and storing freight. It is used as a base for assembling,
sorting, stacking, handling and transporting goods as a unit load. It is
constructed to facilitate the placement of a lift truck's forks between the
levels of a platform so it may be moved onto a freight car or into a
warehouse. Pallets are of standard
dimensions. The most used in Europe are 1000 mm x 1200 mm (ISO) and 800 mm x
1200 mm (CEN).
PANAMAX
Ship with dimensions that
allow it to pass through the Panama canal: maximum length 295 m, maximum beam
overall 32.25 m, maximum draught 13.50 m.
PARCEL
See
Package.
PARETO EFFICIENT
A
resource allocation is said to be Pareto efficient if there is no rearrangement
that can make anyone better off without making someone else worse
off.
PARK
’N’RIDE
An
arrangement whereby people can drive an automobile to a transit hub, transfer
station or terminal, park in the designated lot, and use a transit vehicle for
their ultimate destinations.
PARTNERSHIP
A
business run collectively by two or more individuals, who share risks and
profits.
PASSENGER-KILOMETRE
Unit of measure
representing the transport of one passenger over one kilometre.
PERFECT
COMPETITION
Exists
when there are a large number of sellers and buyers, freedom to enter and leave
markets, a complete flow of information, etc.
PIER
The
structure perpendicular to the shoreline to which a vessel is secured for the
purpose of loading and unloading cargo.
PIGGYBACK
The hauling of road
vehicles and containers on wheels or railroad flatcars.
PIGGY
PACKER
A
mobile container-handling crane used to load/unload containers to/from
railcars.
PICKING
Taking
products or components out of a stock.
PICKING
LIST
A
list used to collect items from stores needed to fulfil an order. Synonym:
Material issue list, Kitting list.
The
act of assisting the master of a ship in navigation when entering or leaving a
port or in confined water.
PILOTAGE
DUES
Fee
payable by the owner or operator of a ship for the services of a pilot; the fee
is normally based on the ship’s registered tonnage.
PLAN
A
unified group of decisions that expresses a country or region's economic and
social development options, including the specific measures required to achieve
selected objectives. The plan is composed of (1) a definition of objectives; (2)
an ordering of human and material resources; (3) an explicit determination of
the methods and forms of organization, and a timeframe; (4) the sectoral and
spatial location of activities; and (5) other specifications necessary to orient
the execution and control of the development process.
PLATFORM
FLAT
A
shipping container without sides, ends or a roof. Normally 20 x 40 feet long, it
is used for awkwardly shaped cargo that cannot fit on or in any other type of
container.
POCKET
WAGON
A rail wagon with a
recessed pocket to accept the axle/wheel assembly of a semitrailer.
PORT
Significant
trading infrastructure.
Maritime
facility generally made up of wharfs and loading/unloading infrastructure for
large vessels. Can include small craft facilities under an adjoining
harbour.
PORTAL
A web
site that is or is intended to be the first place people see when using the web.
Typically a “portal site” has a catalogue of web sites, a search engine, or
both. A portal site may also offer e-mail and other service to entice people to
use that site as their main point of entry to the
web.
PORT
AUTHORITY
An
entity of state or local government that owns, operates, or otherwise provides
wharf, dock and other marine terminal investments at
ports.
PORT
DUES
Charges
levied against a ship owner or ship operator by a port authority for the use of
a port.
The port
at which a consignment of goods was loaded onto the ship from which it is
unloaded at the reporting port.
PORT OF
UNLOADING
The port
at which a consignment of goods, loaded onto a ship at the reporting port, is to
be unloaded from the same ship.
POSITIVE
ECONOMICS
It is concerned with the
description and analysis of economic facts.
POST
PANAMAX:
Ship with at least one
dimension greater than Panamax.
POSTPONEMENT
The delay of final
activities (i.e., assembly, production, packaging, etc.) until the latest
possible time.
PREPAID
A freight term which
indicates that charges are to be paid by the shipper.
PRESENT VALUE
The amount of
money today considered equivalent to a cash inflow or outflow expected to take
place in the future. That is, the discounted value of future cash
flows.
PRICE
DEFLATOR
A price indicator used to
convert (to deflate) between nominal and real prices. The Gross Domestic Product
(GDP) deflator at market prices is an example of such a price indicator. The GDP
market prices deflator provides an index of inflation in the economy as a whole,
and therefore is equally applicable in removing the effects of inflation from
industrial and domestic prices.
PRICE
DISCRIMINATION
This is where users are charged according to their willingness or ability to pay. Users valuing a service highly will make a greater contribution to fixed costs than those who can afford to pay less.
PRISONER’S
DILEMMA
A situation in which the independent pursuit of self-interest by two parties makes them both worse off.
PRIVATE
COST
The costs taken into
account by identifiable parties in making production and supply
decisions.
PRIVATE
SIDING
Direct rail connection to a
company.
PRODUCTION
FUNCTION
The mathematical relation
between the maximum output of a good and the amount of inputs needed to produce
it.
PRODUCTIVITY
The amount of output
produced in a certain period, using a certain amount of
inputs.
PRODUCT LIFE CYCLE
Refers
to the time from a product's first launch on the market until it is finally
withdrawn.
PROGRAM EVALUATION AND
REVIEW TECHNIQUE (PERT)
An aid to efficient project
management. It is a tool to plan, schedule, and control a large number of
activities in a project within the specified technological sequence.
PROJECT
A
planned and goal-oriented socio-economic development activity requiring
financial investment or human participation over a given time. Examples include
construction of physical infrastructure, the extension of credit or financing,
the diffusion of new technology, the conservation or management of natural
resources, and human resource development. As used by DRD, this term does not
cover most research and planning activities.
PROJECT
FINANCING
Financing
wherein the lender looks to a project’s cash flows to repay the principal and
interest on debt, and to a project’s assets for security; also known as
“structured financing” because it requires structuring the debt and equity such
that a project’s cash flows are adequate to service the
debt.
PROJECT
LIFE-CYCLE
All phases or stages
between a project's conception and its termination. Note: The project life cycle
may include the operation and disposal of project deliverables. This is usually
known as an “extended life-cycle”.
Application
of modern management
techniques
and systems
to the execution of a project
from start to
finish, to achieve predetermined objectives
of scope,
quality,
time
and cost,
to the equal satisfaction
of those involved.
PROTECTIONISM
The practice of
restricting imports in order to increase the sales of domestic
products.
PUBLIC GOODS AND
SERVICES
Those which are for the
benefit of all citizens. Public goods and services have the properties of
non-rivalry in consumption and non-excludability. For example, peace costs
little or nothing for an extra individual to enjoy. In addition, the costs of
preventing any individual from the enjoyment of this good are high.
PUBLIC
LOGISTICS
The term has a twofold meaning: 1)
logistics for the public sector and for all the public agencies which have flows
management problems; 2) logistics as resource of a country, where logistics
enters in the sphere of interest and competence of a
State.
PUBLIC
SECTOR
Local government and
nationalized industries or services.
PUBLIC
SPENDING
Government expenditure (on
health, education, social security, defense, etc.).
PUBLIC
UTILITIES
Services such as the
provision of water, electricity, gas, etc
The ability of money to buy
goods and services. As the general price level rises, the purchasing power of
money declines. Thus, in periods of inflation, an ever increasing amount of
money is required to represent a given amount of purchasing
power.
The
theoretical study of waiting lines, expressed in mathematical terms including
components such as number of waiting lines, number of servers, average wait time,
number of queues or lines, and probabilities of queue
times' either increasing or decreasing.
QUICK RESPONSE
(QR)
A
management system that makes manufacturing and supplying of products more
efficient.
RADIO
FREQUENCY IDENTIFICATION (RFID)
RFID
is a technology that uses radio-frequency waves to transfer data between a
reader and a tagged movable item to identify, track or locate that item. RFID
does not require physical sight or contact between the reader (scanner) and the
tagged item. Broadly speaking all RFID tags (also called intelligent tags or
smart labels) comprise a semi-conductor chip with memory processing capability
and a transmitter connected to an antenna. The advantage of RFID over
traditional barcode-based technologies is that it does not require line of sight
and can read in bulk.
RAILCAR
Tractive
railway vehicle constructed for the conveyance of passengers or goods by rail.
The definition of the various categories of locomotives (electric, diesel)
apply, mutatis mutandis, to railcars. Block composed of railcars and railcar
trailers can be referred to as:
-
“multiple units” if it is modular;
-
“ trainset” if it is fixed.
In
motor vehicle statistics, each railcar in an indivisible set is counted
separately; in statistics of passenger vehicles and goods vehicles, each body
fitted to carry passengers or goods is counted as a unit.
RAILCAR
TRAILER
Non-tractive
passenger railway vehicle coupled to one or more railcars. Vehicles for the
transport of goods, even when pulled by a railcar, are referred to as
wagons.
RAILHEAD
End of the railway line or
point in the area of operations at which cargo is loaded and
unloaded.
RAIL LOADING
GAUGE
The profile through which a rail vehicle
and its loads (wagons - ITUs) must pass, taking into account tunnels and
track-side obstacles. There are 4 basic gauges recognised by UIC: international
gauge, A, B and C gauge. These gauges are indicated for individual lines. In
principle, the smallest loading gauge may not be exceeded throughout the
transport journey. Restrictions regarding the width and height of the load in
curves have to be taken into account. Combined transport consignments often
exceed loading gauges A and B. Another gauge of particular significance for
combined transport is the B+ Gauge. There are also many other gauge codes
(P/C/S/…) recognised.
RAIL
TRANSIT
Railway
transport in the same railway vehicle through the reporting country between two
places (a place of loading/embarkation and a place of unloading/disembarkation)
both located outside the reporting country. Wagons loaded/unloaded at the
frontier of that country onto/from another mode of transport are
included.
RAILWAY
COMPANY
Any company acting mainly as a railway
undertaking which provides services for the transport of goods and/or passenger
by rail.
RAILWAY
INFRASTRUCTURE MANAGER
Any
public body or undertaking responsible in particular for establishing and
maintaining railway infrastructure, as well as for operating the control and
safety systems. An infrastructure manager can delegate to another railway
company the following tasks: maintaining railway infrastructure, as well as for
operating the control and safety systems.
RAILWAY
UNDERTAKING
Any
public or private undertaking which provides services for the transport of goods
and/or passengers by rail. Included are all undertakings that dispose of/provide
traction. Excluded are railway undertakings which operate entirely or mainly
within industrial and similar installations, including harbours, and railways
undertakings which mainly provide local tourist services, such as preserved
historical steam railways. Sometimes the term railway operator is
used.
This involves setting
charges according to the elasticity of demand
of
each user or group of users.
REACH
STACKER
Tractor vehicle with front
equipment for lifting, stacking or moving ITUs.
REAL DISCOUNT/INTEREST
RATE
A nominal discount/interest
rate adjusted for inflation so that it represents an increase in purchasing
power. The real discount/interest rate measures how much extra consumption you
can have in period 2 if you give up some consumption in period
1.
REAL (CONSTANT) PRICES
Real or constant price
variables adjust nominal variables for changes in the general level of prices.
They are inflation-adjusted prices.
RECURRING
COSTS
See operating and
maintenance costs.
REENGINEERING
The process
of redesigning a product,
system
or process
to be more effective
or efficient.
REFEER (REFRIGERATED
CONTAINER)
A specialized
container which holds perishable goods at controlled
temperatures.
REGIONALIZATION
Denotes the (empirical) process that
leads to patterns of co-operation, integration, complementarity and convergence
within a particular cross-national geographical space.
REINTERMEDIATION
Reintermediation
refers to using the Internet to reassemble buyers, sellers and other partners in
a traditional supply chain in new ways.
RELATIVE
PRICES
The price of a
particular good or service relative to other goods and services in general. If
any good or service is expected to change relative to the general price level,
then it is said to have changed in real terms.
RETAIL DISTRIBUTION CENTRE
(RDC)
A
distribution point operated by or on behalf of a retailer that serves a number
of stores in an area with a range of products.
RETURN ON INVESTMENT
(ROI)
Return on Investment is the
ratio of the net gain from a proposed project, divided by its total costs. ROI
is a great measure for illustrating how much each dollar of expense will yield
in returns. An accurate ROI analysis measures both the tangible and intangible
paybacks.
REVERSE
LOGISTICS
The
process of planning, implementing, and controlling the efficient, cost-effective
flow of raw materials, in-process inventory, finished goods, and related
information from the point of consumption to the point of origin for the purpose
of recapturing value or proper disposal.
ROAD
RAILER
A specialized truck chassis
that either has retractable rail wheels or is lifted onto bogies that allow it
to operate directly on rail.
ROAD
TRAIN
A truck cab hauling two or
more trailers.
ROLLING-ROAD
Transport of complete road
vehicles, using roll-on roll-off techniques, on trains comprising low-floor
wagons throughout.
ROLLING-ROAD
WAGON
A rail wagon with low floor
throughout which, when coupled together, form a
rolling-road.
ROLLING
STOCK
The vehicles used in a
transit system, including buses and rail cars.
ROLL-ON/ROLL-OFF
A specially constructed
ship that allows cargo to be rolled in and out doors on wheeled loading devices
or under the cargo’s own propulsion, such as motor
vehicles.
RO-RO
RAMP
A flat or inclined ramp,
usually adjustable, which enables road vehicles to be driven onto or off a ship
or a rail wagon.
RUNNING
COSTS
The costs necessary to keep
a particular asset or service in operation. They do not enhance the value of the
asset.
A
track providing end-to-end line continuity designed for trains between stations
or places indicated in tariffs as independent points of departure or arrival for
the conveyance of passengers or goods.
SEAMLESS TRANSPORT
SERVICES
Transport services provided by different services operators and different modes appear to the user as if they were a part of a single system of integrated services, fares and tickets.
SECONDARY
COSTS/BENEFITS
Costs
or benefits arising from a productive activity that are not the main
focus of that activity. Given
this definition, there is clearly an element of arbitrariness in the definition
of what is secondary. Where such costs/benefits exist, they give rise to the
allocation of joint costs - those production costs that have to be shared
between the main output and the secondary output.
SEMI-TRAILER
A non-powered vehicle for
the carriage of goods, intended to be coupled to a motor vehicle in such a way
that a substantial part of its weight and of its load is borne by the motor
vehicle. Semi-trailers may have to be specially adapted for use in combined
transport.
SERVER
Computer that handles
requests for data, e-mail, file
transfers, and other network services from other computers (i.e. clients).
Computers connected to the Internet which store web pages are referred to as
Hosts, or Host Servers.
SERVICE LEVEL AGREEMENTS
(SLAs)
They
are
specifications for services to be delivered. SLAs define the type, value and
conditions of the outsourcing services to be provided. SLAs define the overall
relationship by establishing parameters for quality of service.
SHIP’S
TACKLE
All
rigging, etc., used on a ship to load or unload cargo.
SHORT SEA SHIPPING
(SSS)
Movement of cargo by sea
between ports situated in Europe as well as between ports in Europe and ports
situated in non-European countries having a coastline on the enclosed seas
bordering Europe.
Operation
of moving a rail vehicle or set of rail vehicles inside a railway station or
other railway installations (depot, workshop, marshalling yard,
etc.).
A
lift truck fitted with lifting attachments operating to one side for handling
containers.
Tracks
branching off running tracks.
The
space on board a vessel, required by one TEU, mainly used for administrative
purposes.
The sum between private
(internal) and external benefits of any given activity are defined as the
social benefits.
The sum of the private
(internal/financial) and the external costs of any given activity are defined as
the social costs.
SOCIALISM
Economic theory or system
in which production should be for the public good rather than private
profit.
SPINE
WAGON
A rail wagon with a central
chassis designed to carry a semi-trailer.
SPOTTING
Placing
a container where required to be loaded or unloaded.
SPREADER
Adjustable fitting on
lifting equipment designed to connect with the upper corner fittings of an ITU.
Many spreaders have in addition grappler arms that engage the bottom side rails
of an ITU.
STACK
CAR
An
articulated multiple platform rail car that allows containers to be double
stacked.
STACKING
Storage or carriage of ITUs
on top of each other.
STACKTRAIN
A
rail service whereby rail cars carry containers stacked two high on specially
operated unit trains.
STEVEDORE
A
rail service whereby rail cars carry containers stacked two high on specially
operated unit trains.
STEVEDORING
CHARGES
Fees
for loading and stowing or unloading a ship.
STOCK KEEPING UNIT
(S.K.U.)
A part, material type, or a
product for which stock (inventory) is planned.
STOCK
OUT
Reduction of a material’s
usable inventory level to zero.
STOWAGE
FACTOR
The
average cubic space occupied by one tonne weight of cargo as stowed aboard a
ship.
STRADDLE
CARRIER
A rubber-tyred overhead
lifting vehicle for moving or stacking containers on a level reinforced
surface.
STRUCTURAL MANTEINANCE
Maintenance of a capital
nature such as road resurfacing. The benefits of this type of maintenance are
reaped over a number of years.
STUFFING/STRIPPING
Loading and unloading of
cargo into or from an ITU.
STURDONS
Port
workers engaged in the stowage of cargo in the holds of a
ship.
SUNK COSTS
The cost of assets with
zero resale value or which have exceeded their economic
life.
SUPER HIGH CUBE
CONTAINER:
Container exceeding ISO
dimensions. These dimensions vary and may include, for example, lengths of 45’
(13.72 m), 48’ (14.64 m), or 53’ (16.10 m).
SUPPLY
CHAIN
The total
sequence of business processes, within a multiple enterprise environment, that
enables customer demand for a product or service to be
satisfied.
Situation in which
retailers and suppliers share forecasts, promotion plans and other data to
determine the final forecast. So they work on collaborative bases and share
risks and profits.
SUPPLY CHAIN OPERATIONS
REFERENCE MODEL (SCOR)
A concept that has emerged
in recent years, based on the premise that development must meet the need of the
present generation without compromising the ability of future generations to
meet their own needs.
SWAP
BODY
A freight carrying unit
optimised to road vehicle dimensions and fitted with handling devices for
transfer between modes, usually road/rail.
SYSTEM
INTEGRATORS
TANKER
Ship
designed with a single deck and an arrangement of integral or independent tanks
specifically for the bulk carriage of liquid cargo.
TARE
Weight of ITU or vehicle
without cargo.
TECHNICAL LIFE
The estimated “physical”
life of an projects, i.e. the time at which the asset literally wears out due to
“physical” deterioration. The estimated technical life of an project depends on
the ordinary and extraordinary maintenance regime; a good repair policy may
lengthen the life of the asset.
TERMINAL
A place equipped for the
transhipment and storage of ITUs.
TERMINAL
COSTS
Transhipment and loading
costs which must be paid regardless of the distance
involved.
Public or private structure equipped with network informatic and telematic tools and technologies in order to fulfil both the logistic-informatic and training needs of a community, business, district, geographic area.
TEU
Twenty-foot Equivalent
Unit. A standard unit based on an ISO container of 20 feet length (6.10 m), used
as a statistical measure of traffic flows or capacities.
TEU-KILOMETRE
OFFERED
Unit
of measure representing the movement of one TEU of capacity in a container ship
over one kilometre.
THIRD PARTY LOGISTICS
PROVIDER (3PL)
An outsourced provider that manages all or a significant part of an organization's logistics requirements and performs transportation, locating and sometimes product consolidation activities. See also Logistics Operator.
THROUGH
FLOWS
Trips that have neither an
origin or destination within the region but are simply passing through the
region.
The
charge for moving a container through a container yard off or onto a
ship.
Refers to the preference of
an individual or society for current consumption versus future consumption. For
example, if an additional unit of consumption in any one year has the same
social value as 1.10 additional units of consumption in the following year, then
the marginal time preference rate (or implied social discount rate) is 10 per
cent.
TIME TO
MARKET
Time from the point the
product is first conceived to when it is launched on the market.
TIR
Transport Internationaux
Routiers.
T.O.F.C.
(TRAILER-ON-FLATCAR)
A transportation arrangement in which a truck trailer is moved by train to a destination. Also called “Piggybacking.”
TOLL
Pre-established price for
the use of an infrastructure.
TONNE
KILOMETRES
The number of tonnes moved
multiplied by the distance travelled in kilometres (e.g. 25 tonnes of freight
moved a distance of 100 kilometres is 2,500 tonne
kilometres).
TOP
OFF
To
fill a ship that is already partly loaded with cargo. Typically occurs where
there is a draught restriction at the first load port - the ship loads a
quantity of cargo corresponding to the permissive draught, then fills up at the
second port where there is no restriction.
TOP STOW
CARGO
Goods
that are stowed on top of all others in a ship’s hold because of their
relatively low density and the probability that they would be damaged if
over-stowed.
TOP
LIFT
Attachment
to a fork-lift truck that is designed to lift a shipping
container.
TOTAL ANNUAL
COSTS
See levelised
costs.
TOTAL
COST
This is an imprecise term,
which is used to refer to the sum of the capital (fixed) and variable costs
(with or without discounting), the sum of the external and private costs etc.
Without further qualification it has little meaning.
A market value measure of
shareholders’ equity calculated by multiplying the number of common shares
outstanding by the closing stock price.
TOTAL
QUALITY
Holistic sufficiency, efficiency, efficacy
and effectiveness in all organization functions to accomplish continuous
excellence in business outcomes.
TOTAL QUALITY CONTROL
(TQC)
The application of precepts
and procedures intended to promote continuous improvement within the company and
the production of goods and services conforming to customer requirements. Total
quality control applies not merely to activities relating to physical
manufacture (important though conforming product units may be). As well, it
applies to such non-technical activities as (say) the issuance of printed
instructions to enable the customer to use the units easily and the conduct of
consumer surveys to ensure that the requirements of the customer are anticipated
in design and product development in the first place.
TOTAL QUALITY MANAGEMENT
(TQM)
The smooth operation of the
activities connected with total quality control will inevitably from time to
time meet problems or will be seen to be deficient in some way. TQM is the
guidance, control, review and adjustment of the operation of the procedures
included in TQC.
TOWAGE
Charges
for the services of tugs assisting a ship or other vessels in
ports.
TRAILER
The non-powered truck unit
that carries freight in a tractor-trailer combination. Trailers are commonly
seen as the cargo unit of an “18-wheeler” or five-axle
“truck.”
TRACK
A
pair of rails over which railway vehicles can run.
TRACK
GAUGE
The distance between the
internal sides of rails on a railway line. It is generally 1.435 m. Other gauges
are generally used in some European countries: for instance, 1.676 m in Spain
and Portugal, 1.524 m in the Russian Federation.
TRAIN-KILOMETRE
Unit
of measure representing the movement of a train over one kilometre. The distance
to be covered is the distance actually run.
TRANS EUROPEAN NETWORK
(TEN)
Generic
term for interconnected networks and services available on a pan-European
basis.
TRANSFER CONTROL PROTOCOL/INTERNET PROTOCOL
(TCP/IP)
These two protocols were
developed by the U.S. military to allow computers to talk to each other over
long distance networks. IP is responsible for moving packets of data between
nodes. TCP is responsible for verifying delivery from client to server. TCP/IP
forms the basis of the Internet, and is built into every common modern operating
system (including all flavors of Unix, the Mac OS, and the latest versions of
Windows).
TRANSHIPMENT
Moving ITUs from one means
of transport to another.
The term also means a distribution method whereby containers are moved between
large mother ships and small feeder vessels, or between equally large ships
plying north-south (Europe-Africa) and eastwest (Asia-Europe)
routes.
TRANSIT
TIME
The
elapsed time between the collection of goods at the origin and their delivery at
the destination.
The convenience at which
passengers, freight or information can be moved. It refers to transport costs,
but also to the attributes of the what is being transported (fragility,
perishable, price). Some institutional factors can also influence
transportability such as laws, borders and tariffs. If transportability was
optimal, the spatial division of labor and production would be absolute at the
global scale. Some goods, such as semiconductors, are almost reaching this
condition since they have a high value to weight ratio.
TRANSPORTATION MANAGEMENT
SYSTEM (TMS)
Category of operations
software that may include products for shipment manifesting, rate shopping,
routing, fleet management, yard management, carrier management, freight cost
management.
Inquired quantity of
transport.
TRANSPORT
INFRASTRUCTURE
Fixed linear or punctual
framework able to concur the realization of transportation activities.
Effect of the economies’
globalisation and exchanges’ liberalisation, which determines a growth both of
the volume of the commodities in movement and distances to manage. Consequently,
in the majority of the advanced countries the rate of growth of the transport
demand overcomes the rate of growth of the GNP.
It can be defined as the
framework in which transportation activities are executed. It is composed both
by terminal or punctual infrastructures (ports, airports, etc.) and linear
infrastructures (road, rails, maritime and aerial routes).
TRANSPORT
MODE
A transport mode is a
method of moving passengers or freight. The main transport modes are road, rail,
sea, air and pipelines.
TRANSPORT
SUPPLY
Realizable quantity of
transport.
TRANSPORT WHITE PAPER
Document
through which European Commission analyzes the transports' problems and
exposes future possible lines of realization. Such document doesn't have binding
character, but it is entirely a document of reflection, while acting as a
reference for future community realizations.
TRANSROULAGE (RO-RO)
Loading and unloading of a
road vehicle, a wagon or an ITU on or off a ship on its own wheels or wheels
attached to it for that purpose. In the case of rolling road, only road vehicles
are driven on and off a train.
TURNAROUND
The
time it takes between the arrival of a vessel and its departure from port;
frequently used as a measure of port efficiency.
TWISTLOCK
Standard mechanism on
handling equipment which engages and locks into the corner fittings of ITU; also
used on ships and vehicles to fix ITUs.
TWO BIN
SYSTEM
A system of reordering
goods based on using two storage bins to regulate reordering times. A order is
placed for re-supply when the larger bin is emptied.
TWO-PART TARIFFS
Two-part tariffs comprise a
fixed charge plus a variable charge. In principle, the latter would be related
to marginal costs and the former would be set to contribute to fixed
costs.
TWO-WAY
PALLET
Pallet
permitting the entry of the fork arms of fork-lift trucks or pallet trucks from
two opposite directions only.
UNACCOMPANIED COMBINED TRANSPORT
Transport of a road vehicle
or an intermodal transport unit (ITU, see 4.1), not accompanied by the driver,
using another mode of transport (for example a ferry or a
train).
UNIT
LOAD
Palletised load or
prepacked unit with a footprint conforming to pallet dimensions and suitable for
loading into an ITU.
UNITIZATION
The
consolidation of a quantity
of individual items into one large shipping unit for easier
handling.
UNMOOR
To
remove the ropes that attach a ship to the shore.
UNSTUFF
To
unload a shipping container.
VALUE ADDED
NETWORK
A
clearing house for electronic transfers between partners.
It refers to a business as
a “collection of interdependent activities, which in turn, form part of a
continuous system that stretches back to suppliers and forward to channels and
customers. Using the value chain framework, Michael Porter suggests advantage
can be captured through improvement or reorganization of these value
activities.
VARIABLE
COSTS
Costs
that vary directly with the level of activity within a short time. Examples
include costs of moving cargo inland on trains or trucks, stevedoring in some
ports, and short-term equipment leases.
Unit
of measurement representing the movement of a vehicle over one kilometre. The
distance to be considered is the distance actually run. It includes movements of
empty vehicles. Units made up of a tractor and a semi-trailer or a lorry and a
trailer are counted as one vehicle.
In
VMI the Vendor (supplier) manages the stock levels and availability in his
customer’s warehouse, based on forecast demand.
It means a company merges
or takes over other companies in the same supply chain.
Declarations
made by international ocean carriers relating to the ship’s crew and contents at
both the port of departure and arrival. All Bills of Lading are registered on
the manifest.
WAGON
Railway vehicle normally
intended for the transport of goods. Railcars and railcar trailers fitted only
for the conveyance of goods are included.
WAREHOUSE
A
place for the reception, delivery, consolidation, distribution, and storage of
goods and cargo.
WAREHOUSE MANAGEMENT SYSTEM (WMS)
Computer
software designed specifically for managing the movement and storage of
materials throughout the warehouse. WMS functionality is generally broken down
into the following three operations: Putaway, Replenishment, and Picking. The
key to these systems is the logic to direct these operations to specific
locations base on user defined criteria. WMSs are often set up to integrate with
data-collection systems.
WAREHOUSING
Storing goods in
warehouses; in finance, using other people to buy shares prior to a takeover
bid.
WAYBILL
Document, issued by a
shipping line to a shipper, which serves as a receipt for the goods and evidence
of the contract of carriage.
WEB CONTENT
MANAGER
Professional figure
specialized in development, organization and supply of publishing contents for a
web-site. He is often responsible also for both the graphic-functional
architecture and updatings of the site.
WEB
MASTER
Professional figure responsible for both the computer programming and maintenance of a web-site.
WEB
MARKETING
Technique that promotes your brand, image or web site on the Internet using Search Engines, Directories, Online Advertising banners, email advertising, web site sponsorship etc.
WELFARE
ECONOMICS
Branch
of economics that is concerned with improving the quality of life by a fairer
distribution of wealth and an adequate provision of social welfare.
WHARF
Structure
built alongside the water or perpendicular to the shore where ships berth for
loading or discharging goods.
WHARFAGE
Charge
assessed by a pier or dock owner against freight handled over the pier or dock
or against a steamship company using the pier or dock.
WHAT-IF-ANALYSIS
An
affordability analysis that is based on a what-if scenario. A what-if analysis
is useful if you do not have complete data or if you want to explore the effect
of various changes to your income, liabilities, or available funds or to the
qualifying ratios or down payment expenses that are used in the analysis.
WIDE AREA NETWORK (WAN)
Any internet or network
that covers an area larger than a single building or campus.
WIN-WIN MEASURES
See no-regrets
measures.
WORK IN
PROGRESS/PROCESS
Partially manufactured
goods.
WORLD WIDE WEB
(WWW)
An Internet
client-server
system to distribute information, based upon the hypertext
transfer protocol (HTTP). Also known as W3 or the Web, it was created
at CERN
in Geneva, Switzerland in 1991 by Dr. Tim Berners-Lee.
Also known as “Extensible
Markup Language”, is a meta-language that tags, or classifies, each data
“object” within a data base or a message. The software programmers defines the
attributes of the data object.
There are no currently
terms in the glossary under this letter.
There are no currently
terms in the glossary under this letter.