Glossary

Discover key terms related to order fulfillment, warehouse metrics, Amazon fulfillment and more. Enhance your understanding with our comprehensive glossary, designed to simplify complex concepts and improve your logistics knowledge.

Amazon FBA Prep Center A Prep Center is an intermediary between Amazon and FBA Sellers that receives inventory from sellers, inspects the inventory, and prepares it for shipping.

Amazon FBM (Fulfillment by Merchant) Fulfilled By Merchant (FBM) allows sellers to list their products on Amazon and choose to ship products to each buyer themselves.

Amazon Seller Central Amazon Seller Central is Amazon's platform where sellers view and manage all their marketplace and fulfillment operations.

Case Packed Products Case Packed is an Amazon FBA packing arrangement where the shipment boxes contain the same products with identical SKUs.

FBA Prep FBA Prep is the process of inspecting and preparing inventory to be shipped to the Amazon Warehouse.

Individual Packed Products Individual Packed is an Amazon FBAM packing arrangement where a merchant can place different quantities of different SKUs in a single shipment.

Amazon FBA (Fulfillment by Amazon) Fulfillment by Amazon (FBA) is a service that allows businesses to outsource order fulfillment to Amazon.

Amazon Buy Box Amazon Buy Box refers to the box on the right side of the Amazon product detail page, where customers can add items for purchase.

Amazon Fulfillment Center An Amazon Fulfillment Center is a warehouse where Amazon stores, preps, packs, and ships orders for FBA merchants.

UPC (Universal Product Code) A Universal Product Code (UPC) is a barcode printed on retail product packaging to aid in identifying particular products.

FNSKU (Fulfillment Network SKU) FNSKU is a unique barcode used by Amazon to store, identify, pack, and ship products for FBA sellers.

EAN (European Article Number) European Article Number (EAN) is a standard describing a barcode symbology used in global trade.

ASIN (Amazon Standard Identification Number) Amazon Standard Identification Number (ASIN) is a unique identifier for products on Amazon.

Small Parcel Delivery (SPD) Small Parcel Delivery (SPD) is a shipping option offered by Amazon Carrier Partner Program.

Amazon EFN (European Fulfillment Network) Amazon's EFN allows sellers with an Amazon Europe Stores account to fulfill orders across Europe.

MCI (Multi Country Inventory) Multi-Country Fulfillment allows merchants to send products to multiple countries from a centralized warehouse.

Seller Fulfilled Prime (SFP) Seller Fulfilled Prime (SFP) allows sellers to deliver directly to Prime customers from their own warehouse.

MSRP (Manufacture's Suggested Retail Price) MSRP is the price suggested by a manufacturer for selling their product.

Less Than Truckload (LTL) LTL is a shipping option for smaller freight loads that do not require a full truckload.

Distributed Inventory Placement This service allows merchants to distribute their inventory across multiple fulfillment centers.

Inventory Placement Service Inventory Placement assists sellers in placing their inventory in strategic locations.

BSR (Best-Seller Rank) Amazon Best Sellers Rank is a metric that identifies the popularity of an item on Amazon.

Amazon Partnered Carrier This program allows sellers to use Amazon's shipping partners at discounted rates.

Amazon Multichannel Fulfillment (MCF) MCF provides fulfillment for sellers who sell on multiple platforms.

Brand Registry (BR) Brand Registry gives registered trademark owners better control over their brand and listings.

A-to-Z Guarantee This program protects buyers when purchasing items sold and fulfilled by third-party sellers.

EBC (Enhanced Brand Content) Enhanced Brand Content allows sellers to add rich media to their product descriptions.

Dock Scheduling Dock Scheduling optimizes the scheduling of dock doors and yard schedules.

Amazon's Choice This feature identifies the optimal product for a given search query on Amazon.

ISBN (International Standard Book Number) The International Standard Book Number is a unique identifier for books.

Billing Schedule A billing schedule details the timing and amounts of billing for third-party logistics services.

Bill of Lading The Bill of Lading (BOL) serves as a receipt for the shipment provided by the carrier.

Bill of Materials This is a comprehensive list of all materials needed to manufacture a product.

3PL (third-party logistics) A 3PL provider helps businesses manage their logistics and supply chain.

Batch Picking Batch picking is a method of collecting items for multiple orders simultaneously.

Barcode A barcode is a machine-readable representation of data used to identify products.

Case Picking Case picking involves retrieving products in case quantities from storage.

Break bulk Cargo This method involves shipping cargo in unitized forms like pallets or bags.

Blind Receiving Blind receiving occurs when a warehouse receives goods without prior notification of their arrival.

Consignor The consignor is the owner of the goods being transported to the consignee.

Crossdocking Crossdocking is a logistics process of directly transferring products from incoming to outgoing shipments.

Limits of Liability These limits set the maximum liabilities a provider may incur.

Stock Cycle Count A stock cycle count helps ensure accuracy in inventory management by regularly counting a portion of stock.

Consignee Consignees are the recipients of shipment goods transferred from the consignor.

Handling Rates Handling rates cover costs associated with receiving goods into storage.

Value Added Services These services enhance the typical logistics service offering, such as assembly or packaging.

Cubing Cubing is the process of determining the dimensions of inventory items for space management.

Dispatch Confirmation This confirmation message is sent to notify that goods have been dispatched.

Delivery Confirmation This is a notice sent by the carrier confirming delivery of goods.

Reverse Logistics This involves processing returned goods or materials that flow back through the supply chain.

PIPO (pallet in/pallet out) PIPO refers to the handling of complete pallets in a warehouse.

Order Picking Accuracy This measure indicates the accuracy of orders picked without errors.

Rewarehousing Rewarehousing is moving returned goods back into storage.

Lien Rights These refer to a 3PL's right to retain goods until paid for services rendered.

Omnichannel Fulfillment Omnichannel fulfillment allows users to fulfill orders from multiple distribution channels.

Order Processing Time This time is measured from the receipt of an order until it is shipped.

Order Cycle Time This is the total time from order placement to final delivery.

Line Item Fill Rate This measure reflects the percentage of order items filled completely from inventory.

On-Time Shipment Rate The on-time shipment rate reveals how many orders are shipped on time.

Backorder Rate This rate indicates the percentage of orders that cannot be immediately filled due to stock unavailability.

Average Shipping Cost per Order This reflects the average expense for shipping orders.

Delivery Time Variance It measures the difference between actual and expected delivery times.

Order Cancellation Rate This measures the percentage of orders canceled before shipping.

Dock-to-Stock Time This time is tracked from receiving to placing goods into storage.

Order Fulfillment Throughput This represents the total number of orders processed per hour.

Supplier Lead Time This metric tracks the time taken for suppliers to deliver products.

Carrying Costs of Inventory These are expenses incurred from holding inventory over time.

Inbound Order Accuracy This reflects the accuracy of inbound orders received.

Rate of Supplier Returns This rate indicates the percentage of returned shipments due to issues.

Inbound Order Cycle Time This measures the duration of inbound orders from purchase to receiving.

Inventory Accuracy This reflects how accurately physical stock matches records.

Inventory Turnover Ratio This ratio shows how often inventory is sold and replaced over a timeframe.

Cubic Space Utilization This metric measures effective utilization of warehouse space.

Storage Space Allocation This reflects how inventory types are allocated efficiently in storage.

Stock-Outs This indicates how often a product is out of stock unexpectedly.

Inventory Days of Supply This measures how long current stock will last at the current rate of demand.

Actual Stock This refers to the actual quantity of goods available for sale.

ATA - Actual Time of Arrival ATA signifies the moment a shipment arrives at its destination.

Inventory Ageing This metric tracks how long inventory remains unsold in storage.

Removal Order Fees These are fees Amazon charges for managing inventory at FBA fulfillment centers.

Inventory Velocity This measures how quickly inventory moves from receipt to shipping.

ATD - Actual Time of Departure ATD is the time a shipment leaves its point of origin.

Advanced Shipping Notice (ASN) This document details the specifics of an upcoming shipment.

Commodity Code A Commodity Code is used for classifying goods in international trade.

Order Consolidation This process groups multiple orders for efficient shipping.

Demurrage Demurrage refers to fees incurred when cargo is not moved timely.

Cubage (Cubic Volume) Cubage measures total volume occupied by items or packages.

Cumulative Lead Time This measures the total time from order placement to delivery.

Dock Receipt A Dock Receipt confirms receipt of goods by a carrier.

DDP - Delivered Duty Paid DDP indicates the seller's responsibility for shipping costs and duties.

LIFO (Last-In, First-Out) LIFO is an inventory management method prioritizing the most recent items.

FIFO (First-In, First-Out) FIFO means the oldest products are sold first.

Flow Rack Flow Rack is a system that uses gravity rollers to move inventory.

FEFO (First-Expired, First-Out) FEFO prioritizes selling products that will expire soonest.

Holding Cost Holding cost refers to expenses from storing unsold inventory.

FGI - Finished Goods Inventory FGI refers to products ready for sale after manufacturing.

General Agreement on Tariffs and Trade (GATT) GATT aimed at reducing global trade barriers.

Logistics Data Interchange (LDI) LDI is the electronic transfer of logistics-related documents between entities.

GTIN - Global Trade Item Number GTIN is a system for uniquely identifying products in commerce.

Supply Chain Operations Reference (SCOR) Model This model helps analyze and improve supply chain operations.