Glossary

    Plain-English definitions of the terms we use across warehouse management, order management, and supply-chain operations. Each entry explains what it means, why it matters, and how BizBloqs relates to it.

    WMS — Warehouse Management System

    WMS (Warehouse Management System) definition: software that manages inbound, storage, picking, packing, and shipping in a warehouse.

    OMS — Order Management System

    OMS (Order Management System) definition: software that decides which stock is promised to which order, and from where it ships.

    IMS — Inventory Management System

    IMS (Inventory Management System) definition: software that tracks stock levels, movements and valuation. A WMS directs the work of moving that stock.

    BPaaS — Business Process as a Service

    BPaaS (Business Process as a Service) definition: cloud delivery of an entire business process, not just software.

    EDI — Electronic Data Interchange

    EDI (Electronic Data Interchange) definition: structured B2B message exchange between trading partners.

    WCS — Warehouse Control System

    WCS (Warehouse Control System) definition: real-time control layer for warehouse automation equipment.

    3PL — Third Party Logistics

    3PL (Third Party Logistics) definition: outsourced provider that handles warehousing and fulfilment on behalf of shippers.

    Order Orchestration

    Order orchestration definition: the OMS logic that decides how, where, and when each order is fulfilled.

    SKU — Stock Keeping Unit

    SKU explained simply: the code you give each product, size and colour so stock, prices and shelf locations can be tracked. With an example.

    Inventory turnover

    Inventory turnover explained simply: how many times a year you sell through your stock, how to work it out and what a low number tells you.

    Stock control

    Stock control explained simply: knowing what you have, where it is and when to reorder, so you neither run out nor tie up cash. With an example.

    Stock take

    Stock take explained simply: counting what is physically on your shelves and comparing it with your records, how often to do it, with an example.

    Backorder

    Backorder explained simply: an order for something out of stock, accepted now and sent when it's back. When it helps, when it hurts, with an example.

    Pick and pack

    Pick and pack explained simply: collecting the items on an order from the shelves, then packing them with the right label. How to keep it accurate.

    Dead stock

    Dead stock explained simply: items that haven't sold for a long time and probably won't. How to spot it and what to do with it, with an example.

    Cross-docking

    Cross-docking explained simply: goods arrive and leave again straight away, without being shelved. When it works, when it doesn't, with an example.

    iPaaS — Integration Platform as a Service

    iPaaS explained simply: an online service that connects your business apps so data moves between them by itself. With an example for small companies.

    Lot number

    Also called a batch number: the code that tells one delivery of a product from another. The short answer; the full explanation is under batch number.

    Batch number

    Batch number explained simply: the code that tells one delivery of a product from another, so a problem touches only the boxes it should.

    Expiry date

    Expiry date explained simply: best before versus use by, what each means in a warehouse, and why the date decides what ships first.

    FEFO — First Expired, First Out

    FEFO explained simply: ship the stock that expires first, not the stock that arrived first. Less waste and a faster recall, with an example.

    FIFO — First In, First Out

    FIFO explained simply: your oldest stock goes out first. When the rule works, when it doesn't, and how it differs from FEFO. With an example.

    Serial number

    Serial number explained simply: the code that belongs to one single item, so you can trace that exact unit for a repair, warranty or recall.

    GTIN — Global Trade Item Number

    GTIN explained simply: the number under a product's barcode that identifies it worldwide, why marketplaces ask for it and how it differs from a SKU.

    SSCC — Serial Shipping Container Code

    SSCC explained simply: the unique 18-digit number on a pallet or carton label that lets the receiver scan it and know what is on it.

    GLN — Global Location Number

    GLN explained simply: the 13-digit number that identifies a place or a company, such as a warehouse, store or dock door, in orders and shipping messages.

    GS1-128

    GS1-128 explained simply: one barcode on a carton or pallet that carries product number, batch, expiry date and more, so one scan records them all.

    DESADV — Despatch Advice

    DESADV explained simply: the message a supplier sends ahead of a delivery listing what is on the truck, so the receiver can check goods against it.

    EDIFACT — Electronic Data Interchange For Administration, Commerce and Transport

    EDIFACT explained simply: the international format for business messages such as orders, despatch advice and invoices that computers exchange directly.

    HIBC — Health Industry Bar Code

    HIBC explained simply: a barcode format used on medical supplies to carry the maker, product, lot and expiry date. What it is and where you meet it.

    UDI — Unique Device Identification

    UDI explained simply: the code on a medical device that identifies exactly which device it is and which lot it came from, so it can be traced and recalled.

    Wave picking

    Wave picking explained simply: releasing orders to the shop floor in timed groups so each group is ready for the courier's collection. With an example.

    Zone picking

    Zone picking explained simply: each picker covers one part of the warehouse and only picks what is stored there. When it pays off, with an example.

    Batch picking

    Batch picking explained simply: one picker collects the items for several orders in a single round, then sorts them. When it saves walking, with an example.

    Pick-to-light

    Pick-to-light explained simply: lights at each shelf location show the picker where to pick and how many. Where it pays off, with an example.

    Putaway

    Putaway explained simply: carrying goods from the dock to a shelf and recording exactly which shelf. Simple rules that work, with an example.

    Slotting — warehouse slotting

    Slotting explained simply: deciding where each product lives in the warehouse so that picking takes the least walking. A simple start, with an example.

    Goods receipt — goods-in

    Goods receipt explained simply: checking a delivery against the order and booking it into stock. What to check, and why to do it the same day.

    Cycle count — cycle counting

    Cycle count explained simply: counting a few locations every day or week instead of everything once a year. A simple plan, with an example.

    Kitting

    Kitting explained simply: putting several products together into one ready-to-sell set. How to count the stock, and when it pays off, with an example.

    Cut-off time

    Cut-off time explained simply: the time of day before which an order ships today. How to work it out from the courier's collection, with an example.

    Despatch — dispatch

    Despatch explained simply: the last step, handing packed parcels to the carrier and recording that they have gone. Where errors creep in, with an example.

    Returns processing

    Returns processing explained simply: logging a returned item, checking it and deciding what happens next. Why speed matters, with an example.

    Safety stock

    Safety stock explained simply: the cushion of extra stock that covers a busy week or a late delivery. A simple way to size it, with a worked example.

    Reorder point — reorder level

    Reorder point explained simply: the stock level at which you place the next order, so the delivery arrives before the shelf is empty. With a worked example.

    Days of inventory — stock cover

    Days of inventory explained simply: how many days your stock would last at today's sales rate. Two versions, and a worked example.

    Stock accuracy — inventory record accuracy

    Stock accuracy explained simply: how often the number in your system matches the number on the shelf. How to measure it, with a worked example.

    ABC analysis

    ABC analysis explained simply: ranking products by how much they matter and splitting them into A, B and C groups. How to use it, with an example.

    Lead time

    Lead time explained simply: the time from placing a supplier order to having the goods ready to sell. Why to measure the real figure, with an example.

    Vertical lift module — VLM

    Vertical lift module explained simply: a tall enclosed cabinet that brings the tray you need to an opening. When it pays off, with an example.

    Vertical carousel

    Vertical carousel explained simply: shelves on a loop inside a tall cabinet turn until the one you need reaches you. When it pays off, with an example.

    Horizontal carousel

    Horizontal carousel explained simply: a low oval loop of bins turns until the one you need stops in front of you. When it pays off, with an example.

    AS/RS — automated storage and retrieval system

    AS/RS explained simply: machines that put goods into storage and fetch them again by themselves, with nobody on board. When it pays off.

    Mini-load — automated bin storage

    Mini-load explained simply: a narrow crane in a tall rack fetches bins and trays and brings them to a pick station. When it pays off, with an example.

    Pallet AS/RS — automated pallet storage

    Pallet AS/RS explained simply: cranes in narrow aisles store and fetch pallets up to the roof without drivers. When it pays off, with an example.

    Shuttle system

    Shuttle system explained simply: small vehicles run on every level of a rack and bring bins or pallets to a lift. When it pays off, with an example.

    Cube storage — grid storage

    Cube storage explained simply: bins stacked in a grid with robots on top that fetch them for a picker. When it pays off, with an example.

    Goods-to-person — G2P

    Goods-to-person explained simply: the stock is brought to the picker at a station instead of the picker walking to it. When it pays off.

    Autonomous mobile robot — AMR

    Autonomous mobile robot explained simply: a wheeled robot that finds its own way around people and obstacles. When it pays off, with an example.

    Automated guided vehicle — AGV

    Automated guided vehicle explained simply: a driverless vehicle that carries goods along a set route. When it pays off, with an example.

    Conveyor

    Conveyor explained simply: a belt, roller track or chain that carries cartons, bins or pallets by itself. When it pays off, with an example.

    Sorter — automated sortation system

    Sorter explained simply: a machine that reads each parcel's label and sends it to the right lane by itself. When it pays off, with an example.

    Put-to-light

    Put-to-light explained simply: a light at each slot shows where an item goes when a batch is sorted into orders. When it pays off, with an example.

    Voice picking

    Voice picking explained simply: a headset tells the picker where to go and how many to take, hands and eyes stay free. When it pays off.

    RFID — radio-frequency identification

    RFID explained simply: a small tag answers a radio signal with its code, so goods can be read without seeing them. When it pays off, with an example.

    Warehouse execution system — WES

    Warehouse execution system explained simply: software that decides minute by minute what each machine and station does next. When it pays off.

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