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Optimising Transport Modes

Explore the alternative transport modes available and reduce road miles with this free online resource from ECR UK.

  • Assess the use of alternative transport modes and whether they are a viable option
  • See how retailers, manufacturers and logistics providers are using alternative modes and non-standard road vehicles 
  • Identify the best solution for you
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Glossary

There are a plethora of acronyms and terms commonly used within logistics and supply chain, below is a list of those specifically relevant to this on-line resource:

Term

Definition

Aircraft Container

A unit load device (ULD) which links directly with the airplane cargo handling and restraint system.

Airway Bill

An AWB is a bill of lading which covers both domestic and international flights . Technically, it is a non-negotiable instrument which serves as a receipt for the shipper, indicating that the carrier has accepted the goods listed therein and obligates itself to carry the consignment to the airport of destination according to specified conditions. Normally AWB refers to the Air Waybill issued by carrying airlines and also called Master Air Waybill (MAWB) which comes with three digits of numeric airline identification codes issued by IATA to non-U.S. based airlines and Air Transport Association of America to U.S. based airlines. However, air freight forwarders also issue HAWB (House Air Waybill) to their customers for each of the shipments.

Allotment

A term used to describe blocked space by airlines on behalf of forwarders/shippers.

Alternative Modes

Non-road modes of transport (air, rail, sea, waterway, pipeline)

ATA

Actual Time of Arrival.

ATD

Actual Time of Departure.

Backhaul

Generally a backhaul is any return load taken after the delivery has been made. An example of this would be the collection of supplier loads from a supplier's premises by a retailer for delivery into the retailer’s own RDC.

Bonded Warehouse

The Customs Service authorises bonded warehouses for storage or manufacture of goods on which payment of duties is deferred until the goods enter the Customs Territory. The goods are not subject to duties if re-shipped to foreign points.

Box Trailer

Semi trailer constructed on a chassis with hard sides and reef (Best practise Glass Reinforced Plastic (GRP)) internally fitted with load restricting runners and bars. Unloaded and loaded via rear doors (best practice are barn door style).

Break Bulk

For consolidated air freight, it is moved under one MAWB and each consignment designated to specific consignee or recipient is under one HAWB. When freight forwarder receives the consolidated cargo from carrier, they will break the consolidation apart per HAWB then proceed customs clearance along with associated shipping and import documents. Such Break-Bulk is normally handled by airlines or their contracted ground handling agent.

Carnet

A customs document permitting the holder to carry or send merchandise temporarily into certain foreign countries for display, demonstration or other purposes without paying import duties or posting bonds.

Coastal Shipping

Movement from one UK coastal port to another

Consolidation
 

In order to handle small lot of consignment efficiently and competitively, freight forwarder usually put many consignments into one lot then tender to carrier for forwarding. In this case, each consignment will be shipped with one HAWB respectively and all of them will be under one master AWB.

Container

Load-carrying unit constructed to internationally-recognised dimensions

Curtain-Sider

A vehicle or trailer which has heavy duty fabric 'curtains' with load retaining straps for side (un)loading, instead of a more rigid body chassis for rear (un)loading. When the straps are released, the curtain can be pulled back and a forklift used for easy and efficient (un)loading. Also termed a 'tautliner'.

Customs

The government authorities designated to collect duties levied by a country on imports and exports.

Customs Broker

An individual or company licensed by the government to enter and clear goods through Customs. The U.S. Customs Service defines a Customs Broker, as any person who is licensed in accordance with Part III of Title 19 of the Code of Federal Regulations (Customs regulations) to transact Customs business on behalf of others. Customs business is limited to those activities involving transactions with Customs concerning the entry and admissibility of merchandise; its classification and valuation; the payment of duties, taxes, or other charges assessed or collected by Customs upon merchandise by reason of its importation, or the refund, rebate, or drawback thereof.

Customs Clearance

The procedures involved in getting cargo released by Customs through designated formalities such as presenting import license/permit, payment of import duties and other required documentations by the nature of the cargo such as FCC or FDA approval.

DDP

Deliver Duty Paid.

DDU

Deliver Duty Unpaid.

DfT

Department for Transport - Government department with responsibility for transport.

Dimensional Weight

Also called measurement weight. This is the size of consignment calculated by total square feet by 6000. Carrier charge for freight based on the dimensional weight or actual gross weight whichever is higher.

Distribution Centre (DC)

A warehouse that is the sole stocking point for the distribution system that it services.

Double Decker

Double-deck trailers are semi-trailers with either a fixed, hinged or moveable (floating) second floor, which enables them to carry more palletised goods. In general, a double decker can carry 40 pallets as opposed to 26 pallets for a standard trailer.

Drop deck trailer

A drop-deck trailer is a trailer on which the floor drops down a level once clear of the tractor unit. The most common types of drop-deck trailer are flatbeds and curtain sided.

Duty

A tax imposed on imports by the customs authority of a country. Duties are generally based on the value of the goods, some other factors such as weight or quantity (specific duties), or a combination of value and other factors (compound duties).

Efficient Consumer Response (ECR)

An initiative within the food & grocery industry based around retailers and suppliers working together to fulfil consumer wishes, better, faster and at less cost. Most European countries have an ECR initiative, as well as countries such as USA, Australia and South Africa. ECR UK is managed by IGD and actively participates in ECR Europe.

ETA
 

Estimated Time of Arrival. Then, It normally takes 3 hours for carriers to Break Bulk then ready to be picked up by forwarders along with customs release notification.

ETD
 

Estimated Time of Departure. The cut-off time for carriers' cargo ramp handling is normally two hours ahead of ETD. However, the freight forwarders' consolidation cut-off time may vary depending on each forwarder's operations respectively.

FFG

Freight Facilities Grant.

FMCG

Fast Moving Consumer Goods. Any relatively cheap day to day products that consumers buy regularly such as food, drink, toiletries etc.

FOC
 

Freight Operating Company, one which is licensed to operate freight trains on the national rail network.

Freight Grants

Government aid, from the DfT, Welsh Assembly, Scottish Executive, to support freight projects that reduce road traffic.

Fronthaul

A fronthaul is a store delivery made by a supplier on behalf of a retailer, following an inbound delivery of goods by the supplier into the retailer's warehouse.

Gateway

In the context of travel activities, gateway refers to a major airport or seaport. Internationally, gateway can also mean the port where customs clearance takes place.

Harmonised System

The Harmonised Commodity Description and Coding System (or Harmonised System, HS) is a system for classifying goods in international trade, developed under the auspices of the Customs Cooperation Council. Beginning on January 1, 1989, the new HS numbers replaced previously adhered-to schedules in over 50 countries, including the United States.

HAWB

House Air waybill issued by carrying airlines, normally freight forwarder.

Health and Safety (H&S)

Occupational health and safety is a cross-disciplinary area concerned with protecting the safety, health and welfare of people engaged in work or employment.

Hub

Site where transport activity is concentrated.

IATA

International Air Transport Association (IATA), established in 1945, is a trade association serving airlines, passengers, shippers, travel agent, and governments. The association promotes safety, standardisation in forms (checks, tickets, weigh bills), and aids in establishing international airfares. IATA headquarter is in Geneva, Switzerland.

IATA Designator
 

Two-character Airline identification assigned by IATA in accordance with provisions of Resolution 762. It is for use in hotel, timetables, tickets, tariffs as well as air waybill.

Import
 

Bringing goods from foreign countries (European and rest of world) to UK market.

Import Certificate

The import certificate is a means by which the government of the country of ultimate destination exercises legal control over the internal channelling of the commodities covered by the import certificate.

Import License

A document required and issued by some national governments authorizing the importation of goods. Also referred as import permit. With such documentation, customs clearance can be conducted.

Import Restrictions

Import restriction, applied by a country with an adverse trade balance (or for other reasons), reflect a desire to control the volume of goods coming into the country from other countries may include the imposition of tariffs or import quotas, restrictions on the amount of foreign currency available to cover imports, a requirement for import deposits, the imposition of import surcharges, or the prohibition of various categories of imports.

Incoterms

Maintained by the International Chamber of Commerce (ICC), this codification of terms is used in foreign trade contracts to define which parties incur the costs and at what specific point the costs are incurred.

Inland Waterways

Movement of volume along inland waterways i.e. canals or rivers

Intermediate Consignee

An intermediate consignee is the bank, forwarding agent, or other intermediary (if any) that acts in a foreign country as an agent for the exporter, the purchaser, or the ultimate consignee, for the purpose of effecting delivery of the export to the ultimate consignee.

Intermodal

Movement of freight by more than one mode of transport (e.g. ship, train and lorry).

Intermodal Unit

Load-carrying unit designed to be carried on more than one mode of transport

Just in Time (JIT)
 

Means of supplying goods such that they are delivered to a customer as close as possible to when they are required, to reduce their need to hold stock on site.

LD3

Lower deck type 3 container. This is the most commonly used container in passenger aircraft.

Lead Time

The time between when new stock is ordered and when it is received and available for use. Lead time varies, depending on the system, speed of deliveries, availability and reliability of transport, and, sometimes, weather.

Loading Gauge

Standard height and width dimensions for railway vehicles and their loads to ensure safe passage through bridges, tunnels and other structures.

Lower Deck

The compartment below the Main Deck (also synonymous with lower hold and lower lobe).

Main Deck

The deck on which the major portion of payload is carried, normally known as Upper Deck of an airplane. The full cargo freighter aircraft has it entire upper deck equipped for main deck type of containers/pallets while combi-aircraft uses it rear part of the upper deck for cargo loading. There is no upper deck or main deck type of container/pallet at passenger aircraft.

Modal Split

Share of transport activity between different modes of transport.

Network Rail

Not-for-dividend company that owns and operates the majority of the rail infrastructure of Great Britain.

NVD

No Value Declared.

ORR

Office of Rail Regulation.

Packing List

A shipping document issued by shipper to carrier identifying product, quantity, dimensions and weight, etc.

Path

Time slot within the national rail timetable into which a train can be scheduled.

Payload

Cargo, goods or produce being delivered or transported; or the net carrying capacity of a trailer, container or aircraft.

Payload

The weight of goods carried on a vehicle.

Piggyback Trailer

A road trailer designed to be lifted onto a railway wagon for movement by rail.

POD

Proof Of Delivery.

Primary Distribution

From supplier to retailer DC.

Rail Terminal

The place where goods are transferred from and to rail wagons

Rigid

A non-articulated goods vehicle. The vehicle is permanently attached to its load carrying capacity.

Rolling Stock

Rail vehicles for carrying freight.

Route Freight Manager

Network Rail staff responsible for co-ordinating rail freight operations through each Route.

Route to Market (RTM)

The agreed logistics route that a product will take from the point of manufacture to the point of sale. The RTM is used to establish all know transportation costs within the products supply chain.

Scissor Lift

A type of platform which can usually only move vertically, named due to the use of linked, folding supports in a criss-cross 'X' pattern. Scissor lifts are commonly used on the loading bays of distribution centres to align the loading dock with the back of a vehicle/trailer.

Secondary Distribution

Delivery from retailer DC to retail store (consumer point of purchase)

Semi Trailer (Also known as articulated lorries)

A semi-trailer is a trailer without a front axle. A large proportion of its weight is supported either by a tractor unit, by a detachable front axle assembly known as a dolly, or by the tail of another trailer. A semi-trailer is normally equipped with legs which can be lowered to support it when it is uncoupled. In the UK, semi-trailers on tractor units are referred to as "articulated lorries."

Shipping Mark

The letters, numbers or other symbols placed on the outside of cargo to facilitate identification.

Shipping Weight

Shipping weight represents the gross weight in kilograms of shipments, including the weight of moisture content, wrappings, crates, boxes, and containers (other than cargo vans and similar substantial outer containers).

Short Sea

Use of short sea crossing e.g. English Channel, Irish Sea, Scottish Isles.

Supply Chain

The movement of products from inbound raw materials and components through to delivery to end customers, in some cases including disposal of waste.

Sustainable Distribution

Means of delivering goods to customers that seek to minimise the impact on society and the environment.

Swap Body

Load-carrying unit constructed to European-standard dimensions.

TACT

Proof Of Delivery.

Tare Weight

The weight of a ULD and tie down materials without the weight of the goods it contains.

Tautliner

A generic (trade) name for curtain-sided trucks and trailers. See curtain-sider.

Third Party Logistics Company (3PL)

A distribution company that offers transport, warehousing, inventory and information systems management to companies in the supply chain.

TOC

Train operating company.

Tonne Kilometres

A measure of freight activity, tonnes lifted x distance moved.

Traction

Means of hauling a train, i.e. locomotive(s).

Transhipment

Transfer of freight to and from vehicles, warehouses and loading areas.

Transit

Freight that travels through an area without stopping.

Tripping

Short-distance movement of freight.

Trunking

The element of transport between distribution and/or manufacturing centres.

ULD

Unit Load Device, Any type of container, container with integral pallet, aircraft container or aircraft pallet.

Ultimate Consignee

The ultimate consignee is the person located abroad who is the true party in interest, receiving the export for the designated end-use.

Unaccompanied

Trailer or container is travelling without tractor and driver, i.e. by water or rail.

Value for Customs Purposes Only

The U.S. Customs Service defines "value for Customs purposes only" as the value submitted on the entry documentation by the importer which may or may not reflect information from the manufacturer but in no way reflects Customs appraisement of the merchandise.

Vehicle

Generalised term which may constitute anything from a small van up to a heavy goods vehicle.

W6-W12

Network Rail loading gauge standards for freight vehicles. Consult your rail service partner for more detail.

 

 

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This online guide has been created by ECR UK.