Glossary of Supply Chain Terms – Glossary of Transportation

Logistic term definition In simple terms, logistics is generally the procedure of handling how resources are attaining, storing, and transporting to their endpoints. This term is similarly widespread in the business sector nowadays, mainly by companies dealing with manufacturers. This term also refers to the management of capitals and progression along the supply chain.Supply Chain Terms. In basic terms, logistics management’s objective is to have the proper sum of a resource or input at the correct time, getting it to the appropriate location in legitimate condition, and delivering it to the right inside or outside client. For instance, within the …

Understanding Incoterms: Which Terms Are Best for You?

Which Terms Are Best for You? Understanding Incoterms, Whether you’re a Supply Chain Manager or an international export or import shipper, you’re likely familiar with Incoterms. Incoterms were specifically designed to regulate the shipment and delivery process by carefully managing various aspects of the process, such as delivery costs and insurance policies. In addition, Incoterms help to transfer the risks of damage from the seller to the buyer to ensure a smooth delivery and shipment process every step of the way. With so many types of incoterms available, it can be a challenge to select the right terms for your …

Understanding Cargo and Freight Insurance!

Cargo and Freight Insurance The supply chain is dependent on the shipment services of goods or products and accounts for a lot of revenue gained in most organizations. In the process of transportation, some goods may get damaged or even lost on deck. To counter such problems, insurance companies have come up with transportation mitigation measures that counter these problems. They have introduced cargo insurance, freight insurance, marine cargo, and air cargo insurance. Cargo insurance is a method of protecting shipments against losses that may occur in air, sea, or land transportation. This also includes physical damage or theft and loss …

Supply chain budget recommendations for 2021!

Supply chain budget 2021 Supply chain budget, COVID-19 has posed a set of new challenges that have seen a few supply chains rise, and unfortunately many falling in the semi-annual part of 2020.  A supply chain’s profitability will be determined and maintained by two key factors as follows: How each company handles its operational challenges The strategies that are important to solve the problems The internet has presented many opportunities during this pandemic season. For example, consumers have largely shifted to ordering goods and services online and receiving their deliveries at the comfort of their homes. Equally, companies have been …

Contract Logistics: The Next Big Thing Is Already Here

THE NEXT BIG THING IS ALREADY HERE. As international trade continues to evolve, logistics have followed a parallel path, evolving along with it. Which explains why we’re witnessing the almost inevitable rise of Contract Logistics. So what, exactly, is that? Logistics used to mean simply moving goods from one place to another. Today, the market is demanding more wide-ranging services and more specific processes. Contract Logistics is the answer to that demand, the ideal solution for companies that want expert monitoring and managing of their operations. Contract Logistics is the comprehensive process from production to distribution at the final point …

Drayage: What it is,And Why It’s Important 

Drayage: Why It is important? Drayage is a specialty logistics service used to move freight over short distances. While it is an essential part of modern-day intermodal shipping, dray has actually been around for centuries. In fact, its name has originated from a horse-drawn vehicle known as a dray cart. In olden times, people used dray carts for hauling very heavy loads. People used workhorses like Clydesdales and Percherons for pulling these carts. Because the freight they carried was so heavy, the horses could travel only short distances. Dray horses and carts were common sights near ocean ports, canal terminals, …

Tough New Requirements For Amazon Sfp Merchants

Requirements For Amazon Sfp Merchants With more than 100 million active users, Amazon Prime is an attractive option for online sellers. In 2016, it got even more attractive when Amazon rolled out its Seller Fulfilled Prime (SFP), a program that allows merchants to sell their goods under the Amazon Prime badge. The seller then fulfilled those orders themselves, or through third-party logistics providers. The eligibility requirements are pretty stringent, but SFP has been a game-changer. However, now the game’s about to change again as Amazon even more stringent requirements that will make it even harder for merchants to maintain eligibility …

Critical Cutoffs, And How To Avoid Missing Them

How To Avoid Missing Them Critical Cutoffs, No freight forwarder, logistics professional, or shipper ever wants to hear the words “we missed the cut.” But many providers have learned the hard way that ocean freight is time-critical, and there are certain “cutoffs” that shippers must be aware of. Missing the cut result in serious delays and significant costs. Delays of at least a week are common, and in some cases can be much longer if compounded by weather delays, port congestion, and in today’s world, the unforeseen effects of Covid-19. And that’s just for container cargo. If you’re shipping Break …

FCL and LCL Difference between

What’s The Better Choice Products shipped via ocean freight make the journey inside those familiar steel shipping containers. But before the journey begins, the shipper faces an important question: FCL or LCL?  FCL stands for full container load, and as the name suggests, it refers to a shipment that occupies the entire space of a container without having to share it with other merchandise. LCL stands for less than container load. Sometimes referred to as groupage, LCL refers to shipments that take up only part of a container, which means your merchandise is shipped alongside merchandise from other shippers in …

What is a freight broker and what do they do?

What’s A Freight Broker? Companies that want to get their products to market often seek help from third-party logistics (3PL) providers to get the job done. Freight brokers are a popular choice. A freight broker is a person or company that connects a shipper who has goods to move and a motor carrier who can move them. Brokers help carriers fill their trucks, a service for which they earn commissions. And they help shippers get their products to the marketplace by putting them in touch with reliable carriers. As a matter of fact, it’s not unusual for a company to …