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Freight Terminology
• Bill of Lading - The transportation documentation that
acts as a contract of carriage between the shipper and carrier;
also provides a receipt for the goods tendered to the carrier.
• COFC - Container on flatcar; intermodal container that
ships without chassis on rail flatcars.
• Consignee - The receiver of a freight shipment.
• Consignor - The sender (shipper) of a freight shipment.
• CWT - Hundredweight or per 100 lbs.
• Demurrage - Charges that are assessed when consignor
or consignee fail to load or unload shipments in specified time
limits. Also known as detention.
• Density - The physical characteristic measuring mass
in pounds per foot; affects equipment utilization and rate decisions.
• Detention - See Demurrage.
• Expedited Shipment - Shipments that need to move more
quickly than normal service, usually at a higher cost.
• FAK - Freight all kinds; either a mixture of products
and/or special rates being applied.
• Flatbeds - Some shipments require side loading or unloading,
these shipments may require a flatbed trailer. A wide variety of
flatbed trailers accommodate the trucking of almost any type of
surface shipment. Flatbeds are also used for trucking anything
that cannot be moved in a van, such as: special equipment; wide,
long, oversized or heavy haul loads; or, any other type of trucking
that can legally move by highway in Continental U S.
• Fuel Surcharge - Surcharge imposed by carriers when fuel
prices reach over certain levels.
• Heavy Haul and Oversized Shipments - Heavy haul and oversized
are also known as over-dimensional shipments and can pose special
challenges for shippers. Shipments can be both heavy haul and oversized
in nature. Heavy haul shipments may require special routings because
only certain highways allow extremely heavy vehicle weights. These
shipments also may require special trucks and trailers or special
permits issued by various state or local government agencies.
• Intermodal - Shipments moving two – three modes, die:
ocean, rail and ground.
• LTL (Less-Than-Truckload) - This is a shipment that does
not fill an entire truckload. Specialized carriers provide service
exclusively for this type of shipment. LTL services are priced
by weight, density, value and ease of handling in combination with
distance. Pricing is calculated based on cents per hundredweight
rating. Their services are readily available in the U.S. and Canada.
The National Motor Freight Classification standards are commonly
used in order to identify the best pricing for a particular commodity
on a particular shipping lane.
• NMFC - National Motor Freight Classification. This publication
contains descriptions for commodities transported by LTL carriers.
The NMFC contains class descriptions and rankings used to determine
pricing.
• Pallet - A small platform, usually 40 x 48 on which goods
are placed. Depending on how it's loaded into the trailer, 22-24
pallet positions fit in a 48' trailer; 26-28 pallet positions in
a 53' trailer.
• Piggyback - Rail-truck service. Same as intermodal.
• Rail Shipments - Rail shipments are also known as piggyback
or intermodal shipments. Shipping by rail is a cost effective alternative
to over the road trucking, but has longer transit time.
• SLC - Shippers Load & Count; notation on Bill of Lading.
• TOFC - Trailer on Flatcar; truck trailer that ships on
rail flatcar.
• Team Service - This is a service used when a shipment
requires expedited delivery ¬ beyond what normal transit time
can deliver. A two-person team drives in shifts and the truck is
stopped only for fuel. Although slightly more expensive due to
additional labor costs, team service is used when critical shipments
need to be moved quickly. Team service is the fastest, over-the-road
shipping option available.
• Truckload - Full truckloads (FTL or sometimes TL) utilizing
van or flatbed trailers, depending upon shipment configuration.
• Vans - Many shipments are serviced by van trailers, especially
loads comprised of loose cartons or unitized or palletized freight.
(In order to determine an accurate cost estimate, it is important
to know whether or not a palletized shipment can be stacked.) This
type of service usually requires 48 or 53-foot trailers. While
trailer lengths are standard, styles vary.
• Warehousing - Warehousing is sometimes needed, and can
be provided, to complement inbound and outbound transportation
services. There are 4 distinct types of warehousing available,
depending upon load content: for finished goods; for raw materials;
for consumer fulfillment; and for vendor-managed inventory (VMI).
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