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Glossary & TermsUnderstanding the language of supply chain logistics

Words, phrases, and abbreviations with their definitions

A

  • APM: Automated parcel machines

    • APM, or Automated Parcel Machine, refers to a self-service kiosk deployed by PostNord for parcel sending, receiving, and returns. These machines often referred to as "parcel lockers" allow customers to conveniently deposit outgoing parcels, collect incoming parcels, and initiate return shipments, enhancing efficiency and flexibility in parcel management.
  • API: Application Programming Interface

    • API for PostNord refers to a set of protocols and tools allowing developers to integrate their systems with PostNord's services. This enables functionalities such as tracking shipments, calculating shipping rates, and accessing other relevant data, facilitating interaction between our services and external applications or platforms.

B

  • Barcode scanning

    • Barcode scanning at PostNord refers to the automated process of reading and interpreting barcode symbols on packages and items using advanced technology. This allows for swift and precise identification, enhancing our ability to efficiently manage inventory, track shipments, and optimize logistics operations within our network.

C

  • Customs clearance

    • Customs clearance refers to the essential process of verifying and formalizing the movement of goods across international borders in accordance with customs regulations. This includes submitting required documentation, paying applicable duties and taxes, and facilitating inspections to ensure compliance with import/export laws. Efficient customs clearance is critical for expediting the movement of shipments and ensuring cross-border trade for businesses and individuals using PostNord services.
  • Cross-border

    • Cross-border refers to the movement of goods, packages, or shipments between different countries or territories. This involves navigating customs procedures, import/export regulations, and international logistics networks to facilitate the smooth and efficient transfer of goods across borders. Cross-border shipping enables businesses to reach new markets, expand their customer base, and engage in global trade.

D

  • Direct injection

    • Direct Injection for PostNord refers to a delivery method where parcels are shipped directly from the sender to the terminal without intermediate stops or transfers. This approach simplifies the delivery process, reducing transit times and ensuring efficient handling of shipments from origin to destination.

E

  • E-commerce fulfillment

    • E-commerce fulfillment involves the process of receiving, processing, picking, packing, and shipping orders placed online. Our solutions ensure efficient order fulfillment, including inventory management, order processing, and last-mile delivery, to meet the needs of online retailers and provide a smooth shopping experience for their customers.
  • EDI: Electronic Data Interchange

    • EDI, or Electronic Data Interchange, is a standardized electronic communication method used to exchange business documents, such as purchase orders, invoices, and shipping notifications, between PostNord and partners or customers. It optimizes data exchange processes, improves accuracy, and enhances efficiency in managing supply chain transactions.

F

  • Fuel surcharge

    • A fuel surcharge is an additional fee applied to shipping costs to offset fluctuations in fuel prices and related expenses incurred during the transportation of goods. It helps ensure fair and transparent pricing while accommodating changes in fuel costs, allowing us to maintain reliable shipping services for our customers.
  • First mile

    • The first mile refers to the initial stage of the logistics process, incorporating the collection, consolidation, and preparation of shipments for transportation from the point of origin to the distribution center or transportation hub.

G

  • Global logistics

    • Global logistics involves the efficient management and coordination of the movement of goods, information, and resources across international borders. We ensure smooth transportation, customs clearance, and distribution to facilitate global trade and supply chain operations.
  • Green logistics

    • Green logistics entails optimizing supply chain operations to minimize environmental impact. PostNord prioritize sustainable practices, such as efficient route planning, vehicle electrification, and carbon-neutral shipping, to reduce emissions and promote eco-friendly logistics solutions.

H

  • Hub operations

    • Hub operations refer to the centralized facilities strategically located within transportation networks. These hubs serve as crucial points for sorting, processing, and redistributing goods, optimizing efficiency and ensuring timely deliveries across the logistics network.

I

  • IOSS: Import One-Stop Shop

    • IOSS, or Import One-Stop Shop, is a simplified VAT payment system introduced by the European Union for e-commerce imports. It enables businesses to collect and remit VAT on goods valued at less than €150, optimizing customs clearance processes and reducing administrative burdens for both merchants and customers.
  • International shipping

    • International shipping refers to the process of transporting goods or packages across borders to destinations outside the domestic territory. This involves navigating customs regulations, coordinating with international carriers, and ensuring compliance with import/export requirements to facilitate the smooth and timely delivery of shipments to customers worldwide.

J

  • Journey optimization

    • Journey optimization involves strategically planning and optimizing transportation routes and modes to ensure efficient and timely delivery of goods from their origin to destination. This process aims to minimize transit times, reduce costs, and maximize resource utilization, ultimately enhancing the overall efficiency and reliability of the supply chain network.

L

  • Last-mile delivery

    • Last mile delivery, refers to the final stage of the delivery process where parcels are transported from a distribution center or local hub to the end destination, typically the customer's doorstep or designated service point. This crucial phase involves navigating through urban areas, neighborhoods, and residential streets to ensure timely and accurate delivery, providing customers with a smooth and convenient experience. 

M

  • Milk run

    • A milk run, refers to a logistics strategy where a single vehicle follows a predefined route to collect or deliver goods from multiple suppliers or customers. This approach optimizes transportation efficiency by consolidating shipments and reducing empty miles, ultimately lowering costs and improving delivery reliability.

N

  • Next day delivery

    • Next-day delivery, refers to a shipping service that guarantees parcels to be delivered to customers on the day following their dispatch. This expedited delivery option offers fast and reliable shipping, ensuring timely receipt of goods for time-sensitive shipments.

O

  • Order fulfilment

    • Order fulfillment, refers to the process of receiving, processing, and delivering customer orders. This includes activities such as picking items from inventory, packing them securely, and arranging for their shipment to customers' desired locations. The goal is to ensure timely and accurate order delivery while maintaining efficiency and customer satisfaction throughout the process.

P

  • PUDO: Pick-Up Drop-Off

    • PUDO, or Pick-Up Drop-Off, refers to a convenient delivery option that allows customers to collect or drop off parcels at designated locations, such as parcel lockers, retail stores, or other service points. This service provides flexibility and convenience for both senders and recipients, offering alternative delivery options beyond traditional home delivery.

Q

  • QR: Quick Response codes 

    • Quick Response (QR) codes, are two-dimensional barcodes that store information and can be scanned using a smartphone or QR code reader. These codes are widely used in logistics for tracking shipments, managing inventory, and facilitating contactless interactions. QR codes provide a convenient and efficient way to access data, such as tracking numbers, product details, and delivery instructions, helping to optimize operations and improve transparency throughout the supply chain.

R

  • Returns

    • Returns refer to the process of handling products or items that are sent back by customers due to various reasons such as defects, incorrect orders, or changes in preferences. This includes receiving returned items, inspecting them for quality and condition, processing refunds or replacements, and managing reverse logistics to ensure efficient and customer-friendly returns management.

S

  • Shipment tracking

    • Shipment tracking is the process of monitoring and tracing the movement of goods or packages in real-time as they progress through the transportation and delivery process. This allows customers and stakeholders to access timely updates on the status and location of their shipments, providing transparency and peace of mind throughout the shipping journey.

T

  • TMS: Transportation Management System

    • TMS, or Transportation Management System, is a software solution that enables businesses to efficiently plan, execute, and optimize transportation operations. It helps organizations optimize processes such as route planning, carrier selection, shipment tracking, and freight auditing, leading to improved visibility, cost savings, and customer satisfaction.
  • Third-party logistics

    • 3PL, or Third-Party Logistics refers to outsourcing logistics activities to a specialized provider. PostNord offers logistics services such as warehousing, transportation, and distribution to its customers. This enables efficient supply chain management and enhances PostNord's capabilities in meeting diverse logistical needs.

V

  • VOEC: VAT on E-commerce

    • VOEC, or VAT on E-Commerce, is a system implemented in Norway for collecting value-added tax (VAT) on low-value imports of goods purchased online. It requires foreign suppliers to register with the Norwegian tax authorities and charge VAT on sales to Norwegian consumers, simplifying the process and ensuring compliance with tax regulations.

W

  • Warehousing

    • Warehousing, encompasses the storage and management of goods within dedicated facilities known as warehouses or distribution centers. These facilities serve as hubs for receiving, storing, picking, packing, and shipping products, ensuring efficient inventory management and timely order fulfillment. Warehousing plays a crucial role in the supply chain by providing storage space, inventory control, and distribution services to meet customer demand and support logistics operations.
  • Waybill

    • A waybill is a document issued by the carrier or logistics provider that serves as a receipt of goods and contains essential details about a shipment. This includes information such as the origin and destination of the shipment, a description of the contents, the weight, and any special handling instructions. The waybill accompanies the shipment throughout its journey, providing visibility and tracking information for both the sender and recipient.

Z

  • Zero-emission logistics

    • Zero-emission logistics, refers to the transportation and delivery of goods using vehicles and methods that produce no greenhouse gas emissions. This includes the use of electric vehicles, bicycles, and other sustainable transport modes powered by renewable energy sources. The goal of zero-emission logistics is to reduce environmental impact, improve air quality, and contribute to sustainable development by minimizing carbon emissions and reliance on fossil fuels in the transportation of goods.