Glossary of Warehousing Terms

ASRS: Automated storage and retrieval system, automatically placing and retrieving loads from defined storage locations

Backorder: Order for which the supplier is not available.

Cantilever rack: Racking system suited to store goods of different length.

Cross-docking: Involves a single terminal where cargo goes in and out. In that, on one side is the receiving dock and the other the outbound dock.

Cycle count: Process of regularly scheduled inventory counts.

DC: Distribution center

Distribution requirements planning (DRP): Process for determining inventory requirements in a warehouse.

Dock leveler: Device that acts as a bridge between a truck or trailer and the loading ramp.

Drive-in rack: Racking system that contains a lift truck into the bay.

FIFO: First in first out, Method of rotating inventory so that the oldest goods are used first.

Flex conveyor: Conveyor that can be expanded, contracted, and curved.

Flow rack: Racking system that stores pallets on wheel tracks or conveyor rollers and are loaded from one side and discharged on the other side.

Forecast: Estimate of future demand.

High-density storage: Storage in which pallets are stored more than one unit deep or high.

Open order: Order that has not yet been fulfilled.

Order cycle: Time between orders of a specific item.

Real-time locator system (RTLS): System that used RFID technology to track the location of tagged items.

Reverse logistics: Management of returns.

RFID: Radio frequency identification, uses electromagnetic fields to automatically identify and track tags attached to objects.

Safety stock: Quantity of inventory used in inventory management systems to allow for irregularity in demand or supply.

SKU: Stock Keeping Unit is a product and service identification code.

Slotting: Process of organizing inventory in a warehouse.

Wave picking: Method of order picking in which goods are picked first and then arrange into specific orders.

Warehouse management system (WMS): Computer software used to manage the storage and movement of goods within the warehouse.