Freight glossary

Look up freight and logistics terms, briefly and plainly explained so you can find the meaning fast.

158 terms

#

3PL (Third-party logistics)

3PL stands for third-party logistics — an external partner that handles tasks such as unloading, storage and distribution of goods on behalf of a business. Homerunner partners with Rhenus Logistics, among others, to provide this.

4PL

4PL (fourth-party logistics) is a partner that manages a customer’s entire logistics operation and coordinates several 3PLs and carriers.

A

ADR

ADR is the European regulatory framework for the road transport of dangerous goods — setting requirements for labelling, packaging and documentation.

AI

AI (artificial intelligence) is software that solves tasks normally requiring human judgement — such as predictions and pattern recognition.

Air freight

Air freight is transport by plane — fast, but more expensive. Used for urgent or high-value shipments.

API

An API (Application Programming Interface) is the interface other systems use to communicate with Homerunner’s platform. Through the API, webshops and partners can create shipments, retrieve labels and follow tracking automatically.

Automation

Automation means letting systems carry out repetitive tasks automatically — such as carrier selection, label printing and notifications.

AWS

Amazon Web Services is the cloud platform that most of Homerunner’s systems run on. It hosts our APIs, databases and data platform, so we can scale up and down with the season and traffic.

The advantage is reliability and flexibility: we pay for what we use and can roll out new services quickly.

B

B2B Manager

B2B Manager streamlines business shipments (business-to-business). It brings together the best carrier rates, automatically handles compliance for dangerous goods and generates the required customs documentation.

B2C Manager

B2C Manager is our platform for webshops that send parcels to private consumers. It provides access to 80+ carriers across Europe with pre-negotiated shipping agreements, so the webshop can offer many delivery options from a single place.

Backorder

A backorder is an order for an item that is currently out of stock and will be delivered once the item is back in stock.

Business Intelligence

Business intelligence (BI) is the tools and processes that turn data into insight and reporting, so a business can manage on the basis of facts.

C

Capacity management

Capacity management is ensuring there is enough — but not too much — transport and warehouse capacity relative to demand.

Carrier

A carrier is the transport provider that performs the actual shipping — such as DHL, FedEx, UPS, Royal Mail and a wide range of local and regional providers. Homerunner is integrated with 80+ carriers across Europe.

Carrier Management

Carrier management is the management of relationships with carriers — agreements, rates, performance and the allocation of volume.

Cash on Delivery (COD)

Cash on Delivery means the recipient pays for the goods only on delivery. The amount is collected by the carrier and subsequently settled with the sender.

CIF

CIF (Cost, Insurance & Freight) is an Incoterm where the seller pays freight and insurance to the port of destination; risk transfers at the point of loading.

Claim

A claim is created when a shipment is damaged, delayed or lost. The case is documented and processed, and compensation may be paid out by the carrier under the applicable terms.

Click & Collect

Click & Collect is our flexible parcel-locker solution with 24/7 access, where recipients collect their goods themselves. The lockers can run on solar power and have a built-in modem, so they can be set up almost anywhere.

CMR

CMR is the international waybill for road transport. It documents the agreement and liability for cross-border truck transport.

CO2 reporting

CO2 reporting is the measurement of the climate footprint from transport. With data across shipments, businesses can track and document emissions and make more sustainable shipping choices.

Commercial Invoice

A commercial invoice accompanies international shipments and is used by customs to determine value, duty and VAT.

Consolidated invoice

A consolidated invoice gathers many shipments onto a single invoice for a period instead of one invoice per shipment. This makes billing simpler and gives the customer a single overview of shipping costs.

Consolidation

Consolidation is combining several smaller shipments into one larger consignment to save on freight and make better use of transport. Also called freight consolidation.

Container

A container is a standardised steel box for sea freight and intermodal transport. It typically comes in 20- and 40-foot sizes and can be stacked and moved efficiently.

Container Manager

Container Manager is the solution for booking, tracking and managing container shipments. It gives a real-time overview and coordinates last-mile delivery, so the entire journey — from container to door — can be managed in one place.

Cross-docking

Cross-docking is when a shipment moves directly from inbound to outbound transport without being placed in storage along the way. The parcel simply “crosses” the terminal.

This creates faster flow and less handling — central to an efficient distribution network.

Customer support

Customer support (Customer Success) helps webshops and business customers with bookings, tracking, shipping questions and cases. They are the link between the customer and operations, making sure shipments arrive safely.

Customs clearance

Customs clearance is declaring and settling goods with the customs authorities, so they can lawfully be brought into or out of a customs territory.

Customs declaration

A customs declaration is the formal statement to customs — with commodity code, value, origin and quantity — that forms the basis for duty and VAT.

Customs duty

Customs duty is a charge on goods brought in across a customs border. The amount depends on the goods’ HS code, value and origin.

Customs handling

Customs handling is the documents and declarations required when shipments cross national borders outside the EU’s customs union. In the platform, the customs documentation can be generated automatically, so the shipment is not delayed.

Customs processing

Customs processing is the overall process of clearing goods through customs on import or export — declaration, inspection and release.

Cut-off time

The cut-off time is the deadline for booking or dropping off a shipment if it is to make the day’s departure.

D

Damaged goods

Damaged goods are shipments that have been damaged during transport — this typically triggers a claim.

Dangerous goods

Dangerous goods are items subject to special transport rules — such as batteries, chemicals and aerosol cans. Homerunner’s systems automatically help you comply with the rules and produce the correct documentation.

DAP

DAP (Delivered At Place) is an Incoterm where the seller delivers to an agreed place, while the recipient is responsible for import duty and VAT.

Dashboard

A dashboard is a visual overview of key figures and status, so you can quickly follow operations and make decisions.

Data exchange

Data exchange is the transfer of data between systems — for example, via API or EDI — that ties the links in the chain together.

Data Warehouse

A data warehouse is a central data store where data from many systems is gathered and structured for analysis and reporting. At Homerunner, it powers metrics and dashboards — for example, shipment figures pulled from Snowflake.

DDP

DDP (Delivered Duty Paid) is an Incoterm where the seller pays everything — freight, duty and VAT — all the way to the recipient.

Delay

A delay is when a shipment is not delivered at the expected time — for example, due to weather, capacity or missorting.

Delivery

Delivery is the final step, when a shipment is handed to the recipient or made available at a collection point.

Delivery accuracy

Delivery accuracy measures how closely deliveries match the promised time — an important operational quality metric.

Delivery address

The delivery address is the address the shipment is to be delivered to — either the recipient’s door or a collection point.

Delivery experience

The delivery experience is the recipient’s overall experience — from the choice at checkout, through notifications, to the handover itself.

Delivery reliability

Delivery reliability is the share of shipments that arrive correctly and on time — a measure of how dependably the network delivers.

Delivery status

Delivery status is the current state of a shipment — for example, dispatched, in transit, ready for collection or delivered.

Delivery window

A delivery window is the time frame in which a delivery is expected to take place — for example, today between 12:00 and 16:00.

Demand forecast

A demand forecast (forecasting) is an estimate of future demand, used to plan inventory and capacity.

Dimensional weight

Dimensional weight (volumetric weight) is a weight calculated from a parcel’s dimensions rather than its actual weight. Carriers charge by the greater of the two — so large, light parcels also add to the price.

Distribution

Distribution is the process of moving goods from a central warehouse or terminal to multiple recipients through the transport network and the last mile.

Documentation

Documentation consists of the documents and data that accompany a shipment — including the waybill, invoice, customs documents and, where relevant, dangerous-goods documentation.

Dropshipping

Dropshipping is a sales model where the goods are shipped directly from the supplier to the customer, without the webshop holding them in stock itself.

E

EDI

EDI (Electronic Data Interchange) is the standardised electronic exchange of business documents — such as orders and shipping data — directly between systems without manual entry. It is typically used in larger B2B flows.

End-to-end logistics

End-to-end logistics covers the whole way — from order to delivered parcel — in one unified flow and system, with no gaps between the links.

EORI number

An EORI number is an EU registration number that businesses must have in order to import and export goods across the EU’s customs border.

ERP integration

An ERP integration connects Homerunner with the customer’s business system (ERP), so orders, shipping and invoicing flow automatically between the systems without duplicated work.

ETA

ETA (Estimated Time of Arrival) is the expected delivery time for a shipment.

Euro pallet

A Euro pallet is a standard 80×120 cm pallet (EUR pallet) that fits European trucks, racking and handling equipment.

Exception handling

Exception handling is the handling of shipments that deviate from the norm — delayed, misrouted, damaged or uncollected parcels.

EXW

EXW (Ex Works) is an Incoterm where the buyer takes over the goods at the seller’s address and is responsible for all transport and customs from there.

F

FCL & LCL

FCL (Full Container Load) is a whole container for a single sender, while LCL (Less than Container Load) is when goods from several senders share the same container. Relevant for container shipments from, for example, Asia to Europe.

FOB

FOB (Free On Board) is an Incoterm where the seller delivers the goods on board the ship; risk and costs then pass to the buyer.

Freight

Freight is the transport of goods from one place to another — and the price for it. An umbrella term for everything sent via a carrier.

Freight booking

Freight booking is ordering transport from a carrier — reserving a pickup and creating the shipment in the system.

Freight forwarder

A freight forwarder is the party responsible for freight forwarding: planning routes, booking carriers and handling documents.

Freight forwarding

Freight forwarding is the organising of transport on behalf of others — finding, booking and coordinating freight with carriers.

Freight insurance

Freight insurance covers the value of goods during transport if they are damaged or lost.

Freight optimisation

Freight optimisation is putting together shipments and carrier choices so that price, speed and service hit the best possible balance.

Freight rate

A freight rate is the price of sending a specific shipment with a carrier — depending on weight, dimensions, zone and service.

Fuel surcharge

A fuel surcharge is a variable add-on to the shipping price that tracks fuel prices.

Fulfilment (pick & pack)

Fulfilment covers the entire process from when an order comes in until the parcel is dispatched: picking the goods in the warehouse, packing them, applying the label and preparing them for the carrier. Also called pick & pack.

G

Green logistics

Green logistics is logistics arranged to reduce the environmental footprint — such as route optimisation, high load-fill rates and low-emission transport.

H

HS code

An HS code (commodity code) is an international code that classifies goods for customs. It determines the duty rate and requirements and must be included in the customs documentation for shipments outside the EU.

Hub / Terminal

A hub (terminal) is a node in the transport network where goods are gathered, sorted and sent onward. Linehaul runs between hubs, and last-mile delivery takes place from the hub out to the recipient.

I

Import

Import is the bringing in of goods from another country. Outside the EU’s customs union, it requires import customs clearance.

Import customs clearance

Import customs clearance is the customs processing when goods are brought into a country outside the EU’s customs union (import). The commodity code (HS code), value and origin are declared, and duty and VAT must be settled before the goods are released for delivery.

Inbound

Inbound covers all the incoming goods: parcels and pallets arriving at our terminal or sorting facility from customers and carriers, ready to be sorted and sent onward.

Incoterms

Incoterms are international standard terms that define who — sender or recipient — bears responsibility, costs and risk, and when, during an international shipment (e.g. DAP, DDP, EXW).

Integration

An integration is a technical connection between two systems that lets them exchange data automatically — for example, webshop ↔ Homerunner.

Intermodal transport

Intermodal transport is when the same load unit (e.g. a container) is moved between several modes of transport without the goods being re-handled along the way.

Inventory management

Inventory management is the management of goods in the warehouse: where they are located, how many there are and when to reorder.

K

KPI

A KPI (Key Performance Indicator) is a metric you manage by — such as delivery precision, transit time or cost per shipment.

L

Last-mile

Last-mile (the final mile) is the concluding part of delivery — from the local hub to the recipient’s home or to a parcel shop. It is often the most expensive and most visible part of the shipment for the customer.

Lead Time

Lead time is the total time from when an order is placed until it is delivered.

Linehaul

Linehaul is the long-distance transport between terminals and hubs — typically fixed routes by truck, where large volumes of goods are moved together between cities and countries.

It is the backbone of the network: efficient linehaul means faster and cheaper delivery out to the recipient.

Logistics

Logistics is the planning and management of the path goods take through the entire chain — from purchasing and warehousing to transport and delivery at the recipient.

Logistics as a Service (LaaS)

Logistics as a Service means businesses gain access to a complete, professional shipping setup without having to negotiate agreements with the individual carriers themselves. Logistics is delivered as a service on top of Homerunner’s network.

Lost goods

Lost goods are shipments that have gone missing in transit and cannot be traced — handled as a claim.

M

Machine Learning

Machine learning is a branch of AI where models learn patterns from data and improve over time — for example, for forecasting and anomaly detection.

Manifest

A manifest is a consolidated overview of all the shipments handed over to a carrier in a single pickup. It serves as a receipt and reconciliation between sender and carrier.

Multi-carrier

Multi-carrier means you can ship with many different carriers through a single system. Instead of being locked to one carrier, the customer can choose the best solution for each individual shipment — the core of Homerunner’s platform.

Multimodal transport

Multimodal transport is transport using several modes under one overall agreement and a single shipping document.

N

NUF

NUF (Norskregistrert Utenlandsk Foretak — a Norwegian-registered foreign enterprise) is a Norwegian registration of a foreign business — for example, when selling and delivering in Norway.

O

Order management

Order management is the process from when an order is received until it is packed and dispatched — including validation, picking, packing and booking freight.

Order synchronisation

Order synchronisation is the automatic updating of orders between systems, so the status is the same everywhere without manual entry.

Outbound

Outbound is the outgoing flow: fully sorted parcels leaving the terminal on their way out to parcel shops, drop points or directly to the recipient’s address.

Outsourcing

Outsourcing is letting an external partner take care of a task — such as the entire logistics operation — instead of doing it yourself.

P

Package unit

A package unit is a single handling unit within a shipment — for example, a box or a pallet. A shipment can consist of several package units.

Packing

Packing is packing the picked goods ready for shipment and applying the shipping label. The second half of pick & pack.

Packing List

A packing list specifies the contents of a shipment — quantity, weight and dimensions per package unit. Used for customs and at receiving.

Pallet

A pallet is a wooden or plastic frame that goods are stacked and secured on, so they can be lifted by forklift and transported together.

Pallet collar

A pallet collar is a foldable frame — typically wooden — that is placed on top of a pallet and turns it into an open box. Collars can be stacked to add height and make it easy to gather, secure and transport loose goods on a pallet.

Pallet scan

A pallet scan is scanning at pallet level. Instead of scanning each individual parcel, the whole pallet is registered at once — a quick overview of larger shipments moving through the terminal.

Parcel

A parcel is a single shipping unit — typically B2C — in the form of a box or bag with a label, sent to a consumer.

Parcel robot

A parcel robot is an automated unit at the sorting facility that handles, scans and directs parcels to the right destination. Robots significantly increase both the speed and the accuracy of sorting.

Parcel scan

A parcel scan is the scanning of the individual parcel along the flow. Each scan updates the parcel’s status and feeds Track & Trace, so both customer and recipient can follow the shipment live.

Parcel shop / Drop point

A parcel shop (or drop point) is a collection location — such as a kiosk or store — where the recipient collects their parcel themselves. A dense network of parcel shops makes delivery cheaper and more flexible than home delivery.

Peak surcharge

A peak surcharge is a temporary add-on charged when demand for transport exceeds capacity — for example, during peak season.

Pick & pack

Pick & pack is the warehouse process where the ordered goods are “picked” from the shelves and “packed” ready for shipment with a label. It can be done manually or with robots and is the core of fulfilment.

Picking

Picking is retrieving the ordered goods from the warehouse shelves so they are ready for packing. The first half of pick & pack.

Proof of Delivery (POD)

Proof of Delivery is the evidence that a shipment has been delivered — for example, a signature, a photo or a scan at handover. It documents the delivery if any doubt arises later.

R

Rail freight

Rail freight is the transport of goods by train — energy-efficient over long distances and often part of intermodal transport.

Rate shopping

Rate shopping is automatic price comparison across carriers. The system finds the cheapest or fastest solution for each shipment based on weight, dimensions, destination and service level.

Real-time data

Real-time data is data that is updated continuously and reflects the situation right now — for example, live tracking and capacity.

Recipient

The recipient is the person or business a shipment is addressed to and is to be delivered to.

Recommerce

Recommerce is the resale and reuse of returned or used goods, giving them a new life instead of going to waste. It is both a green and a commercial opportunity in the handling of the returns flow.

Reorder point

The reorder point is the inventory level at which new stock should automatically be ordered, so you don’t run out.

Return

A return is when a recipient sends an item back — for example, due to a change of mind, an error or a defect.

Return label

A return label is the shipping label the recipient uses to send an item back — it can be enclosed or obtained from the returns portal.

Returns flow

The returns flow is the process around returned shipments: receiving, registration, inspection and further handling — for example, back into stock, to the customer or into a recommerce track.

Returns portal

The returns portal is the customer-facing self-service where the recipient can create a return themselves. It ties into the returns flow and makes it easy to send goods back — without the webshop having to be involved manually.

Reverse logistics

Reverse logistics is the handling of goods that are sent back — receiving, inspection and the onward flow back into stock or to recommerce.

Road transport

Road transport is transport by truck and van — the most flexible link, used for both linehaul and last-mile.

Route optimisation

Route optimisation is planning the most efficient order and path for deliveries — saving time, kilometres and CO2.

S

Safety stock

Safety stock is an extra buffer of goods held to avoid running out during fluctuations in demand or lead time.

Sea freight

Sea freight is the transport of goods by ship — typically in containers over long distances (e.g. Asia to Europe). It is cost-effective, but slower than air freight.

Sender

The sender is the person or business that dispatches a shipment — typically the webshop or company.

Service level

Service level is the share of orders or shipments that meet the promised service level — for example, delivered on time.

Shipment

A shipment is a specific parcel or consignment sent from sender to recipient — with its own tracking number and shipping label.

Shipping

Shipping covers the entire journey of sending a shipment from sender to recipient: carrier selection, booking, label, pickup, transport and delivery. It is Homerunner’s core service — made simple across 80+ carriers.

Shipping agreement

A shipping agreement is a negotiated pricing agreement with a carrier. Homerunner provides pre-negotiated shipping agreements, so customers get competitive rates without having to negotiate with each individual carrier themselves.

Shipping cost

Shipping cost is the total freight expense on a shipment — including the rate and any surcharges.

Shipping document

Shipping document is an umbrella term for the papers that accompany a shipment — waybill, invoice, packing list and, where relevant, customs documents.

Shipping label

A shipping label is the freight label on the parcel with the barcode, recipient and carrier details. It is generated in the platform and is what gets scanned throughout the flow, driving Track & Trace.

Shipping Rules

Shipping rules are rules that automatically select carrier and service based on, for example, weight, country, value or delivery preference.

SLA

An SLA (Service Level Agreement) is an agreement on service level — such as delivery times, uptime or response times — with clear, measurable targets that the provider commits to.

Smart Checkout

Smart checkout is a checkout that automatically shows the relevant delivery options and prices to the customer based on shipping data.

Sorting facility

A sorting facility is the automated plant that sorts parcels by destination using scanners and conveyor belts. It is the heart of the terminal and determines how quickly and accurately parcels can be sent onward.

Stock level

Stock level is the number of items currently in the warehouse and ready for sale and shipment.

Supply Chain

The supply chain is the entire journey from raw material and supplier, through production and warehousing, to the end customer.

Supply Chain Visibility

Supply chain visibility is a real-time overview of the entire supply chain — where goods and shipments are and how they are moving.

T

Tender

A tender is a competitive freight bidding process in which a business solicits and negotiates rates from several carriers to secure the best agreements for its shipment volumes — typically for an agreed period.

Third-party warehouse

A third-party warehouse is warehouse space you rent from a third party that stores and handles your goods — often part of a 3PL setup.

TMS

A TMS (Transport Management System) is software for planning, booking and managing transport across carriers. Also called transport management.

Track & Trace

Track & Trace is real-time shipment tracking. Each scan (parcel and pallet scan) updates the status, so customers and recipients can always see where the parcel is and when it is expected to be delivered.

Track & Trace notification

A Track & Trace notification is an automatic message (SMS or email) to the recipient about the shipment’s status — for example, when it has been dispatched or is ready for collection.

Tracking

Tracking follows a shipment’s journey from sender to recipient, whether it consists of parcels or pallets. The shipment is scanned several times in transit, creating tracking events that can power notifications and show whether its journey is progressing without interruption.

Transit Time

Transit time is the time the transport itself takes — from when the shipment is picked up until it is delivered.

Transloading

Transloading is moving goods from one means of transport to another en route — for example, from ship to truck at a port.

Transport

Transport is the physical movement of goods by road, sea, air or rail between sender and recipient.

U

UN number

A UN number is a four-digit number that identifies a hazardous substance or type of goods internationally (e.g. UN3480 for lithium batteries).

V

VOEC

VOEC (VAT On E-Commerce) is a Norwegian scheme where webshops charge Norwegian VAT on low-value goods when selling to Norwegian consumers.

W

Waybill

A waybill is the transport document that accompanies the goods and confirms the agreement between sender and carrier, as well as the contents.

Webshop integration

A webshop integration connects a webshop (for example, via plugin or API) to the shipping platform, so orders, labels and tracking flow automatically.

WMS

A WMS (Warehouse Management System) manages operations in a warehouse: receiving, put-away, picking and packing. Homerunner can integrate with the customer’s WMS, so shipments and inventory movements are connected.