The logistics and materials handling glossary

Direct answer. A 3PL (Third-Party Logistics provider) is an outside company that carries out one or more logistics operations, warehousing, transport, order picking, for a…

Direct answer. 5S is a workplace organization method from lean management, structured in five steps originally named after five Japanese words starting with "S": sort, set in…

Direct answer. ABC analysis, also called Pareto analysis, is a method for classifying references (products, customers, suppliers) into three categories, A, B and C, based on their…

An AGV (Automated Guided Vehicle) is a driverless handling machine that moves along a fixed path set by infrastructure: buried wire, magnetic tape, floor QR codes or laser…

An AMR (Autonomous Mobile Robot) is a handling robot that moves with no guidance infrastructure at all. Using its onboard sensors (LiDAR, cameras) and SLAM mapping, it builds a…

The anatomy of a handling truck covers the parts and technical characteristics common to pallet trucks, stackers and forklifts: forks, carriage, mast, tiller, as well as concepts…

The anatomy of a pallet rack covers the parts that make up a pallet racking bay: the vertical frames, the horizontal beams, the cells they define, the decking that closes off…

Direct answer. An API (Application Programming Interface) is a standardized connection point that lets two pieces of software exchange data and trigger actions in each other…

In short, what sets the autonomous pallet truck apart from the two other pallet-truck families: it needs neither an operator (unlike the manual and electric versions) nor guidance…

A barcode is a graphic representation of data (product reference, batch, logistics unit) read optically by a scanner. GS1 is the international organization that defines the global…

Direct answer. Biberonnage (opportunity charging) refers to the practice of recharging a battery through small, frequent, partial sessions, as soon as a break allows, without…

Direct answer. CACES is the proof recommended by the INRS and the CNAM to obtain, from an employer, the authorization to operate a ride-on material-handling truck (R489…

Cantilever racking is a storage system made up of vertical uprights fitted with horizontal, cantilevered arms, with no front upright to get in the way of loading. It's designed…

Direct answer. A cariste is a warehouse or logistics-site employee trained to operate material-handling trucks, pallet trucks, stackers, counterbalance forklifts or reach trucks…

Direct answer. Case packing (colisage) refers both to the operation of grouping sales units into a case (carton, crate) for transport, and to the document, packing list, that…

Direct answer. In logistics, the center of gravity is a theoretical geographic point calculated as the weighted average of the locations of several sites (suppliers, customers…

Direct answer. Chartering is the contract by which a charterer (shipper, freight forwarder or main carrier) hires a road carrier to make a vehicle available to carry out a freight…

Direct answer. The CMR consignment note is the document that evidences the international road transport contract for goods, in accordance with the CMR convention signed in Geneva…

Direct answer. Co-packing is the outsourcing of a product's packaging operation, assembly, multi-pack bundling, or creating a promotional bundle or gift set, to a specialized…

Direct answer. A cobot (short for "collaborative robot") is a robot designed to work in close proximity to an operator, without a safety cage, thanks to sensors that limit its…

Direct answer. Groupage (freight consolidation) consists of combining several shipments from different senders, bound for several recipients, into the same vehicle, in order to…

Direct answer. A conveyor is a fixed, continuous-flow material-handling system, rollers, belt, chain or strap, that automatically moves loads (parcels, totes, cartons or pallets)…

The cross-docking is a logistics technique in which goods are moved directly from a receiving dock to a shipping dock, with minimal or no storage in between. The goal is to cut…

Direct answer. The CU (consumer unit) is the smallest unit purchased by the end customer, a yogurt cup, a bottle, a single item. The HU (handling unit) is the container used to…

Direct answer. Cycle counting is a physical stock-counting method that consists of regularly checking only a portion of the references, by zone, family or ABC class, rather than…

Short answer. Demurrage refers to the financial penalties charged to a customer when a means of transport, container, trailer or wagon, remains detained beyond a contractual free…

Direct answer. The DESADV (Despatch Advice, or shipping notice) is a standardized EDI message by which a supplier informs its customer, before the goods physically arrive, of the…

A digital twin is a dynamic virtual replica of a physical site, warehouse, plant, logistics zone, or piece of equipment, continuously fed by real data (layouts, equipment…

Direct answer. The DLC (French: date limite de consommation, or use-by date) is the date beyond which a perishable product (fresh food, meat, dairy) must no longer be sold or…

The EAN (European Article Numbering) is a numeric barcode that identifies a product reference at the commercial level. The GTIN (Global Trade Item Number) is the international…

Direct answer. EDI (Electronic Data Interchange) refers to the automated exchange of structured business documents (orders, invoices, shipping notices) directly between the…

An electric pallet truck is a pallet truck whose traction, lift, or both, are battery-powered, which removes the physical effort of manual traction. The most common model, known…

Direct answer. An ERP (Enterprise Resource Planning system) is software that centralizes and connects a company's main functions (finance, purchasing, sales, production, stock…

Direct answer. The EUR pallet, or EPAL pallet, is the most widely used standardized pallet in Europe for transport and storage, measuring 1,200 x 800 mm as defined by standard EN…

FIFO (First In, First Out), LIFO (Last In, First Out) and FEFO (First Expired, First Out) are three methods for managing stock outflows. FIFO sends out the first products that…

A fleet manager (or fleet management system) is the supervision software that orchestrates several material-handling robots (AGVs, AMRs) on the same site: it allocates missions…

A forklift truck is a motorized, ride-on material-handling machine equipped with a mast and forks capable of lifting, stacking and transporting heavy loads at height. It covers…

Direct answer. Freight refers both to goods carried by a professional means of transport (road, sea, air, rail) and, by extension, to the price paid to the carrier for that…

Short answer. A freight forwarder organizes the transport of goods on behalf of a customer, generally acting as an agent, without taking on liability for the entire shipment. A…

Direct answer. Goods-to-person (GTP) is an order-picking method in which an automated system, shuttle, stacker crane or robot, brings the product to the operator's fixed station…

Direct answer. Incoterms (International Commercial Terms) are a set of international trade rules published by the International Chamber of Commerce, updated in 2020, that define…

Interoperability is the ability of systems, software or equipment from different manufacturers to communicate and work together thanks to shared standards or protocols, whether…

Direct answer. Intralogistics refers to all physical and information flows internal to a site (receiving, storage, order picking, handling, shipping), as well as the technologies…

Short answer. The inventory turnover rate measures the number of times stock is fully renewed (sold, consumed or shipped) over a given period, usually a year. It is calculated by…

The IoT (Internet of Things) refers to the full range of physical objects (sensors, terminals, machines, doors or equipment) connected to a network, able to collect and transmit…

Direct answer. Just-in-time (JIT), or "juste-à-temps" in French, is a flow-management method aimed at producing or supplying exactly what is needed, at the moment it is needed, in…

Direct answer. Kaizen (literally "change for the better," or "improvement" in Japanese) is a continuous-improvement approach carried out in small steps, involving the whole team…

Direct answer. Kanban is a visual signaling system, historically a card or cardboard tag, that triggers the replenishment or production of a part only when it is actually…

Direct answer. Kitting consists of grouping several distinct items into a single ready-to-use or ready-to-sell set, a "kit," before shipping or supplying a production line. It…

Direct answer. The last mile refers to the very final leg of the transport chain, between the last distribution hub or depot and the final recipient, whether an individual or a…

The lead time is the total delay between when a need is triggered, an order is placed, a manufacturing order is launched, and its actual fulfillment, that is, the receipt of the…

Direct answer. Lean (or lean management) is a management approach aimed at maximizing the value perceived by the customer while minimizing waste (muda) across processes…

An LGV (Laser Guided Vehicle) is an AGV that finds its way using laser triangulation: an onboard rotating scanner measures its position relative to fixed reflectors installed in…

LiDAR (Light Detection And Ranging) is a ranging sensor that measures distances by emitting laser pulses and timing their return after reflecting off surrounding objects. Mounted…

A loading dock is the interface area between a warehouse and trucks, where goods are loaded and unloaded. The dock leveler is the mechanical or hydraulic equipment that…

Direct answer. Location addressing is the system that assigns every storage location in a warehouse a unique code, generally combining aisle, bay, level and slot, in order to…

Direct answer. A logistics KPI (Key Performance Indicator) is a numerical measure used to steer and evaluate the efficiency of logistics operations: receiving, storage, order…

Direct answer. Logistics covers the physical operations, transport, storage, handling, order picking, that move a product from one point to another. The supply chain designates a…

Direct answer. LTL (Less Than Truckload) and FTL (Full Truckload) are two terms, also used as-is in France, that describe how a truck is loaded. In FTL, the vehicle is dedicated…

A manual pallet truck is a handling truck with no motorization: the forks are raised by pumping the tiller, and movement comes from the operator's own muscular effort. It's the…

Flow massification consists of grouping several orders, shipments or replenishments into larger volumes, a full pallet, a full truck, rather than handling them in small, scattered…

Direct answer. The MES (Manufacturing Execution System) is software that manages and tracks production operations in real time on the shop floor, work orders, workstation…

Direct answer. Messenger transport is a road transport mode organized to carry small shipments, parcels, boxes, single pallets, belonging to different shippers, via a network of…

A mezzanine is a raised platform, carried by a self-supporting metal structure, that creates an additional storage or picking level within the clear height of a warehouse, without…

Direct answer. A milk run is a regular, timed replenishment route that serves several consumption points, most often line-side stations in a factory, from a stockroom or a staging…

MRP (Material Requirements Planning) determines, based on the bill of materials, the master production schedule and available stock, what quantities of components to order or…

Direct answer. Muda ("waste" in Japanese) refers, in lean terminology, to any activity that consumes resources (time, material, movement) without creating value perceived by the…

Short answer. The occupancy rate measures the percentage of a warehouse's storage capacity, pallet locations, bays, square meters or cubic meters, actually in use at a given…

OCR (Optical Character Recognition) is a technology that converts an image of text, a label, a plate, a delivery note or a scanned document, into digital text usable by an…

Direct answer. The OMS (Order Management System) is software that centralizes and orchestrates the lifecycle of a customer order, from its creation on an e-commerce site, a…

In short: wire-guidance and LGV impose a physical infrastructure (wire, reflectors); opto-guidance reduces this constraint to a simple visual marking; geo-guidance and SLAM…

Direct answer. The order picker is the warehouse employee responsible for gathering the items of a customer order, through picking, checking and packing, before shipment. It is…

An order picker is a lift truck whose operator platform, and sometimes the forks, rises with the operator to pick or place items directly at rack level, from the floor up to…

OTIF (On Time In Full) is a logistics indicator that measures the percentage of orders delivered both within the agreed deadline (on time) and with exactly the quantity and…

Direct answer. Packing is the operation of packaging the items picked during order picking into a parcel ready to ship: boxing or bagging, cushioning and protecting the goods…

A pallet rack is a metal shelving system designed to store pallets at height. It's made up of bays formed by vertical uprights and horizontal beams, on which the pallets rest.…

A pallet truck is a piece of handling equipment fitted with two forks that slide under a pallet to lift it a few centimeters and move it horizontally. There are three main…

Direct answer. Palletizing is the operation of arranging and securing products or parcels on a pallet according to a precise loading pattern (the stacking plan), to obtain a…

The PDP (Master Production Schedule) is the plan that translates the PIC/S&OP into precise quantities to produce or procure, item by item and period by period, usually the week…

Pick-to-light and put-to-light are order-picking aid technologies based on light indicators mounted on racks or sorting stations. They light up to show the operator the exact…

Direct answer. Picking (or order preparation) refers to the operation of retrieving, from a warehouse's storage locations, the items needed for an order, before they are packaged…

Logistics pooling consists of sharing resources, transport, warehouse, distribution platform, between several companies, often complementary or even competing, in order to reduce…

Direct answer. Push flow consists of producing or replenishing based on demand forecasts, independently of orders already actually placed. Pull flow, conversely, triggers…

Direct answer. RaaS (Robotics as a Service) is a business model in which a material-handling robot (AGV, AMR) is made available under a monthly subscription that generally…

A drive-in rack is an accumulation pallet-racking system in which the truck drives directly into the structure to deposit or retrieve pallets in depth. It maximizes storage…

Direct answer. Rail freight refers to the transport of goods by train. Combined transport (or intermodal transport) pairs rail with one or more other modes, most often road, using…

A reach truck is a forklift whose mast can slide back and forth on the chassis, allowing the forks and the load to retract within the machine's footprint. This retraction reduces…

Direct answer. Reverse logistics designates all the flows and processes organized to bring goods back from the customer or point of consumption toward the upstream of the chain…

RFID (Radio Frequency IDentification) is a technology that reads, remotely and without contact or direct line of sight, the data stored on an electronic chip (tag) attached to a…

The S&OP (Sales & Operations Planning), known as PIC (Plan Industriel et Commercial) in French, is a recurring process that reconciles sales forecasts with production, supply and…

Short answer. Safety stock is an extra quantity of goods held beyond forecasted need, designed to absorb unexpected events, sudden demand swings, delayed supplier deliveries…

Direct answer. Scheduling is the activity of planning, in time, the detailed execution of logistics or production operations: sequencing order, allocation of resources (machines…

Direct answer. A standard semi-trailer (about 13.6 meters long) can hold up to 33 Euro pallets (EUR/EPAL, 1200 × 800 mm) arranged on the floor on a single level, at a rate of two…

The service level is a logistics indicator that measures a company's ability to meet the demand of its customers or points of sale, generally the percentage of orders, order lines…

Direct answer. Shrinkage (démarque inconnue) is the gap observed between theoretical stock, derived from accounting or the information system (WMS, ERP), and the physical stock…

Direct answer. An SKU (Stock Keeping Unit) is the unique reference code that a company assigns internally to each precise variant of a product (color, size, packaging, batch) in…

SLAM (Simultaneous Localization And Mapping) is the technique that lets a robot build a map of an unknown location while pinpointing its own position within it in real time, using…

Direct answer. Slotting is the method used to determine, for each stored reference, the most relevant location in the warehouse, based on its turnover, weight, volume, or the…

The SSCC (Serial Shipping Container Code) is a unique 18-digit identifier, defined by the GS1 standard, assigned to a specific logistics unit (a pallet, a shipping carton, a…

Direct answer. A stacker crane is an automated machine that travels along a narrow aisle between two rows of racking to store and retrieve loads, pallets, totes, or cartons, at…

A stacker truck is a material-handling truck fitted with a lifting mast that raises a pallet to store it at height in racking, from 1.6 to more than 5 meters. Unlike a pallet…

Direct answer. Stock coverage expresses the number of days (or weeks) for which currently available stock can cover average consumption or sales, at a steady pace, before running…

Direct answer. A tail lift is a lifting platform mounted on the rear of a truck or van that lowers to ground level to load or unload goods without a loading dock. It is mainly…

Short answer. Takt time is the theoretical production pace needed to produce one unit in order to exactly match customer demand over a given period, without overstocking or…

Short answer. A tautliner is a semi-trailer fitted with a sliding curtain side running its full length, which allows loading and unloading from the sides as well as the rear…

Short answer. The TMS (Transport Management System) is software that manages the planning, execution and tracking of freight transport operations: carrier selection, route…

The track & trace (tracking and traceability) refers to the ability to locate in real time (track) and to reconstruct the full history of the stages (trace) of a parcel, pallet or…

A traffic aisle is the open space left between two rows of racking, or between racking and a wall, to allow handling trucks and, depending on the zone, pedestrians to pass…

Direct answer. The transport plan is the document or system that organizes, for a given period, the full set of shipments to be carried out: choice of modes and carriers…

Direct answer. The US pallet, also called the ISO pallet or American pallet, measures 1,200 x 1,000 mm, a wider format than the EUR/EPAL Euro-pallet (1,200 x 800 mm). The…

VDA 5050 is an open communication standard that lets AGVs and AMRs from different brands talk to the same supervision system (fleet manager), via a common protocol for exchanging…

Direct answer. VGP (general periodic inspection) is a mandatory regulatory inspection, carried out every 6 months by a competent person or an approved body, on lifting equipment…

VMI (Vendor Managed Inventory), known as GPA (Gestion Partagée des Approvisionnements) in French, is a collaborative model in which the supplier itself manages the replenishment…

Voice picking is a picking method in which the operator receives, via a headset connected to the WMS, voice instructions indicating the location and quantity to pick, then…

A warehouse is a building intended to store goods for a variable length of time, often from several days to several months. A logistics platform, by contrast, favors rapid…

Direct answer. The WCS (Warehouse Control System) is the middleware software that translates high-level orders issued by the WMS, "prepare this order," "store this pallet," into…

Wire guidance is an AGV-guidance technology in which an electric wire is embedded in the warehouse floor; the vehicle detects the magnetic field emitted by this wire and follows…

Direct answer. The WMS (Warehouse Management System) is software that runs the day-to-day physical operations of a warehouse: goods receiving, slotting and storage, order…