{"id":15109,"date":"2023-08-21T07:39:09","date_gmt":"2023-08-21T14:39:09","guid":{"rendered":"https:\/\/michaeljbrumm.com\/dcl-v3\/?p=15109"},"modified":"2024-05-08T08:51:49","modified_gmt":"2024-05-08T15:51:49","slug":"warehouse-management-terms","status":"publish","type":"post","link":"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/3pl\/warehouse-management-terms\/","title":{"rendered":"Warehouse Management Terms and Acronyms Ecommerce Brands Need to Know"},"content":{"rendered":"<p><span data-contrast=\"auto\">If you are an ecommerce business\u00a0outsourcing your fulfillment and logistics, you\u2019ll probably hear your 3PL or operations team use many terms and acronyms that are unfamiliar to you. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">For those who work in a warehouse, they have an especially specific set of words and concepts they\u2019ll use because of the specialty work they do and the equipment they use. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">This list is nowhere near exhaustive. Various industries may have other terms\u00a0specific to their own operations, these are some of the most used warehouse management terms you may come across. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">If you\u2019re looking for other industry terms you may find these resources helpful: <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<ul>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" aria-setsize=\"-1\" data-aria-posinset=\"1\" data-aria-level=\"1\"><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/shipping\/order-fulfillment-shipping-definitions\/\"><span data-contrast=\"none\">Common Shipping and Order Fulfillment Terms and Definitions<\/span><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" aria-setsize=\"-1\" data-aria-posinset=\"2\" data-aria-level=\"1\"><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/shipping\/common-international-terms\/\"><span data-contrast=\"none\">International Shipping Terms, Defined<\/span><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" aria-setsize=\"-1\" data-aria-posinset=\"3\" data-aria-level=\"1\"><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/inventory\/guide-inventory-management-terms\/\"><span data-contrast=\"none\">Complete Guide to Inventory Management Terms<\/span><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" aria-setsize=\"-1\" data-aria-posinset=\"4\" data-aria-level=\"1\"><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/fulfillment\/reverse-logistics-glossary\/\"><span data-contrast=\"none\">Reverse Logistics Glossary<\/span><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Cross-docking<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">A logistics strategy where incoming goods are immediately unloaded from an inbound shipment and loaded onto an outbound shipment with minimal storage time in the warehouse. <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/supply-chain\/cross-docking\/\"><span data-contrast=\"none\">Cross-docking<\/span><\/a><span data-contrast=\"auto\"> reduces handling and storage costs.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Cycle Count<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">A periodic <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/inventory\/inventory-cycle-count\/\"><span data-contrast=\"none\">inventory counting method<\/span><\/a><span data-contrast=\"auto\"> where a subset of inventory items is counted on a regular basis to ensure accurate inventory levels and identify discrepancies. A cycle count differs from a <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/inventory\/physical-inventory-count\/\"><span data-contrast=\"none\">physical inventory count<\/span><\/a><span data-contrast=\"auto\">, which requires counting every unit in the warehouse\u2014a more intensive process, but also a more accurate inventory counting method.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">FIFO (First In, First Out) <\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/inventory\/fifo\/\"><span data-contrast=\"none\">FIFO<\/span><\/a><span data-contrast=\"auto\"> is a method of inventory management where the oldest stock is sold or used first, ensuring that goods are used or shipped in the order they were received. This approach minimizes the risk of product expiration or obsolescence.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Inventory Management<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The process of overseeing and controlling the movement and storage of goods within a warehouse, including tracking stock levels, organizing inventory locations, and managing stock replenishment.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Labeling and Sortation<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">After a package\u00a0is ready to be shipped a shipping label must be applied to ensure it reaches the correct destination. This often happens via <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/fulfillment\/automated-fulfillment\/\"><span data-contrast=\"none\">automation<\/span><\/a><span data-contrast=\"auto\">\u2014in smaller operations will be done manually. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Packages are then sorted to be picked up from the warehouse\u2014they may get sorted by carrier, or pickups to happen at certain times of day. Some warehouses will need to sort out various types of pickups like retail, B2B, or international, these packages will go to a retail store, a distribution center, or another carrier like a freight forwarder.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Packing<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The process of preparing items for shipment includes packing all components into the box, adding appropriate packaging and packing materials, and including any supplemental materials like flyers, stickers, or branded assets to the box. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/shipping\/benefits-branded-shipping-for-sellers\/\"><span data-contrast=\"none\">Applying tape and packing materials<\/span><\/a><span data-contrast=\"auto\"> may happen at the same picking station, a different packing station, or via an automated tape machine. Some ecommerce companies may choose to have branded tape put on manually, whereas others may opt for standard packaging to be applied with automation to lower costs and time on the line.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Picking<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Selecting and collecting items from their designated storage locations within the warehouse to fulfill customer orders or transfer to other areas within the supply chain.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Pick-and-Pack<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">This signifies the combined process of picking items from their storage locations and immediately packing them into shipping containers or packaging materials, reducing handling time and increasing order fulfillment speed.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Putaway<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The process of assigning a specific location within the warehouse for newly received items or restocking inventory, ensuring efficient storage and easy retrieval. This is an essential function for ecommerce brands who have new stock and returned merchandise coming into the warehouse daily.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Receiving<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Accepting and inspecting incoming shipments is usually its own department. Processing goods that come into the warehouse requires verifying the quantity and quality of the received items and updating inventory records accordingly.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Replenishment <\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The process of restocking inventory to maintain optimal stock levels. Replenishment may be triggered by reaching <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/inventory\/reorder-point-formula\/\"><span data-contrast=\"none\">predetermined reorder points<\/span><\/a><span data-contrast=\"auto\"> or through demand forecasting. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Reverse Logistics<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The management of the process for <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/fulfillment\/returns-management-process\/\"><span data-contrast=\"none\">handling returned or defective merchandise,<\/span><\/a><span data-contrast=\"auto\"> including their transportation, disposition, repair, or disposal.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Shipping<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The process of arranging and executing the transportation of goods from the warehouse to the customer or another destination, involving carrier selection, load planning, and tracking.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">SKU (Stock Keeping Unit)<\/span><\/b> <span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">A unique identifier assigned to a specific product or item within the inventory. SKUs are used to track and manage inventory levels accurately throughout a warehouse and sometimes beyond.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Warehouse Management System (WMS) <\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">A software application that helps <\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/fulfillment\/warehouse-management-systems\/\"><span data-contrast=\"none\">manage and control warehouse operations<\/span><\/a><span data-contrast=\"auto\">, including inventory management, order fulfillment, picking, packing, and shipping.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">If you are looking for a fulfillment provider with modern tools and an automated warehouse, at DCL Logistics we adapt and iterate when and where necessary to help give our customers a competitive edge.\u00a0<\/span><a href=\"https:\/\/michaeljbrumm.com\/dcl-v3\/company\/get-started\/\"><span data-contrast=\"none\">Reach out for a quote<\/span><\/a><span data-contrast=\"none\">\u00a0or to hear more about how we can help your brand scale.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you are an ecommerce business\u00a0outsourcing your fulfillment and logistics, you\u2019ll probably hear your 3PL or operations team use many terms and acronyms that are unfamiliar to you. \u00a0 For those who work in a warehouse, they have an especially specific set of words and concepts they\u2019ll use because of the specialty work they do [&hellip;]<\/p>\n","protected":false},"author":11,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[2],"tags":[46],"class_list":["post-15109","post","type-post","status-publish","format-standard","hentry","category-3pl","tag-warehouse-management"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.5 (Yoast SEO v26.9) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Warehouse Management Terms &amp; Acronyms | DCL Logistics<\/title>\n<meta name=\"description\" content=\"The most commonly used terms, acronyms, &amp; definitions for warehouse management concepts that every ecommerce business needs to know.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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