Glossary

B S S 1/1

Basis 1 port to 1 port

B, Eq HC

Barge Equipped with Heavy Crane.

B/B

Break Bulk

B/C

Bulk Carrier

B/L

Bill of Lading

B/N

Booking Note

B/S

Bunker surchage.

B2B

Business to Business

B2C

See Business-to-Customer.

B2C

Business to Customer

Back Door Selling

Enticements by vendors for agencies to purchase goods or services without seeking competitive offers or bidding.

Back Haul

To obtain transport on the home run from B to A after having performed a full transport from A to B.

Back Order

Product ordered but out of stock and promised to ship when the product becomes available.

Back Scheduling

A technique for calculating operation start dates and due dates. The schedule is computed starting with the due date for the order and working backward to determine the required start date and/or due dates for each operation.

Backflush

A method of inventory bookkeeping where the book (computer) inventory of components is automatically reduced by the computer after completion of activity on the component’s upper-level parent item based on what should have been used as specified on the bill of material and allocation records. This approach has the disadvantage of a built-in differential between the book record and what is physically in stock. Synonym: explode-to-deduct. Also see: Pre-deduct Inventory Transaction Processing

Backhaul

The process of a transportation vehicle returning from the original destination point to the point of origin. The 1980 Motor Carrier Act deregulated interstate commercial trucking and thereby allowed carriers to contract for the return trip. The backhaul can be with a full, partial, or empty load. An empty backhaul is called deadheading. Also see: Deadhead

Backhaul:

The process of a transportation vehicle returning from the original destination point to the point of origin. The 1980 Motor Carrier Act deregulated interstate commercial trucking, thereby allowing carriers to contract for the return trip. The backhaul can be with a full, partial, or empty load. An empty backhaul is called deadheading. Also see: Deadhead

Backlog Customer

Customer orders received but not yet shipped, also includes backorders and future orders.

Backorder

  1. The act of retaining a quantity to ship against an order when other order lines have already been shipped. Backorders are usually caused by stock shortages.
  2. The quantity remaining to be shipped if an initial shipment(s) has been processed. Note: In some cases, backorders are not allowed. This results in a lost sale when sufficient quantities are not available to completely ship an order or order line.

Backsourcing

Pulling a function back in house as an outsourcing contract expires.

BAF

Bunker Adjustment Factor

BAF

see Bunker Adjustment Factor

BALANC

EDIFACT Balance message

Balance of Trade

The surplus or deficit which results from comparing a country's exports and imports of merchandise only.

Balance sheet

A financial statement showing the resources owned, the debts owed, and the owner’s share of a company at a given point in time.

Balance to Ship

Balance or remaining quantity of a promotion or order that has yet to ship. Also see: Backorder

Balance-of-Stores Record

A double-entry record system that shows the balance of inventory items on hand and the balances of items on order and available for future orders. Where a reserve system of materials control is used, the balance of material on reserve is also shown.

Balanced Scorecard

A structured measurement system based on a mix of financial and non-financial measures of business performance. A list of financial and operational measurements used to evaluate organizational or supply chain performance. The dimensions of the balanced scorecard might include customer perspective, business process perspective, financial perspective, and innovation and learning perspectives. It formally connects overall objectives, strategies, and measurements. Each dimension has goals and measurements. Also see: Scorecard.

Bale

A large compressed, bound, and often wrapped bundle of a commodity, such as cotton or hay.

BALLAST

Heavy weight, necessary for the stability of a ship not carrying cargo.

BAM

see Business Activity Monitoring

Bank Guarantee

(1) Under certain circumstances, accepted in lieu of original bill of lading to release cargo. (2) A statement issued by an importer’s bank guaranteeing the payment of (L/C) drafts to the exporter or to the carrier. (3) Other forms of guarantees by banks in favour of a beneficiary.

Banker’s Acceptance

A form of financing used in import/export transactions.

BANSTA

EDIFACT Banking status message

BAPLIE

EDIFACT Bayplan/stowage plan occupied and empty locations message

BAPLTE

EDIFACT Bayplan/stowage plan total numbers message

Bar Code

A symbol consisting of a series of printed bars representing values. A system of optical character reading, scanning, tracking of units by reading a series of printed bars for translation into a numeric or alphanumeric identification code. A popular example is the UPC code used on retail packaging.

Bar Code Scanner

A device to read bar codes and communicate data to computer systems.

Bar Coding

A method of encoding data for fast and accurate readability. Bar codes are a series of alternating bars and spaces printed or stamped on products, labels, or other media, representing encoded information which can be read by electronic readers called bar.

Barcode

A series of bars and spaces read by a scanning device for translation into a numeric or alphanumeric identification code that represents data in machine-readable or computerised form.

Barcode, 2-D

The PDF 1000 style barcode is used to store up to 1800 characters of text. Designed to allow more information to be stored and retrieved electronically, it has not achieved wide use.

Barge

The cargo-carrying vehicle which may or may not have its own propulsion mechanism for the purpose of transporting goods. Primarily used by Inland water carriers, basic barges have open tops, but there are covered barges for both dry and liquid cargoes.

Barrier to Entry

Factors that prevent companies from entering into a particular market, such as high initial investment in equipment.

Barter

The exchange of commodities or services for other commodities or services rather than the purchase of commodities or services with money.

Base Currency

The currency whose value is 'one' whenever a quote is made between two currencies.

Base Demand

The percentage of a company’s demand that is derived from continuing contracts and/or existing customers. Because this demand is well known and recurring, it becomes the basis of management’s plans. Synonym: Baseload Demand.

Base Index

See Base Series

Base Inventory Level

The inventory level made up of aggregate lot-size inventory plus the aggregate safety stock inventory. It does not take into account the anticipation inventory that will result from the production plan. The base inventory level should be known before the production plan is made. Also see: Aggregate Inventory.

Base Port

Ports from which standard tariff rates apply to those normally serviced directly by members.

Base Rate

Rate used only for construction of other rates.

Base Series

A standard succession of values of demand-over-time data used in forecasting seasonal items. This series of factors is usually based on the relative level of demand during the corresponding period of previous years. The average value of the base series over a seasonal cycle will be 1.0. A figure higher than 1.0 indicates that the demand for that period is more than the average, a figure less than 1.0 indicates less than the average. For forecasting purposes, the base series is superimposed upon the average demand and trend in demand for the item in question. Synonym: Base Index. Also see: Seasonality

Base Stock System

A method of inventory control that includes as special cases most of the systems in practice. In this system, when an order is received for any item, it is used as a picking ticket, and duplicate copies, called replenishment orders, are sent back to all stages of production to initiate replenishment of stocks. Positive or negative orders (called base stock orders) are also used from time to time to adjust the level of the base stock of each item. In actual practice, replenishment orders are usually accumulated when they are issued and are released at regular intervals.

Baseload Demand

See Base Demand

Basic Producer

A manufacturer that uses natural resources to produce materials for other manufacturing. A typical example is a steel company that processes iron ore and produces steel ingots, others are those making wood pulp, glass, and rubber.

Basing Points

A point (location) used in construction of through rates between other points.

Basing-Point Pricing

A pricing system that includes a transportation cost from a particular city or town in a zone or region even though the shipment does not originate at the basing point.

Batch Control Totals

The result of grouping transactions at the input stage and establishing control totals over them to ensure proper processing. These control totals can be based on document counts, record counts, quantity totals, dollar totals, or hash (mixed data, such as customer AR numbers) totals.

Batch Number

A sequence number associated with a specific batch or production run of products and used for tracking purposes. Synonym: Lot Number.

Batch Picking

A method of picking orders in which order requirements are aggregated by product across orders to reduce movement to and from product locations. The aggregated quantities of each product are then transported to a common area where the individual orders are constructed. See Zone Picking.

Batch Processing

A computer term which refers to the processing of computer information after it has been accumulated in one group, or batch. This is the opposite of ‘real-time’ processing where transactions are processed in their entirety as they occur.

Baud

A computer term describing the rate of transmission over a channel or circuit. The baud rate is equal to the number of pulses that can be transmitted in one second, often the same as the number of bits per second. Common rates are now 1200, 2400, 4800, 9600 bits and 19.2 and 56 kilobytes (Kbs) for ‘dial-up’ circuits, and may be much higher for broadband circuits.

Bay

Designated area within a section of a storage area, or a shop, outlined by marking on columns, posts or floor. Usually, a specific area within a section, such as 20′ x 20′ squares.

Bay

Section of vessel in which containers are held.

BAY

Space between adjacent frames, on the bottom of a tanker.

BBB

Before Breaking Bulk

BBLS

Barrels

BC Eq C Co

Bulk Carrier, Equipped for Carriage of Containers.

BC Eq CR

Bulk Carrier, Equipped for Carriage of Rice.

BC Eq CV

Bulk Carrier, Equipped for Carriage of Vehicles.

BC Model

In cost management, a representation of resource costs during a time period that are consumed through activities and traced to products, services, and customers, or to any other object that creates a demand for the activity to be performed.

BC or Tsa

Bulk Carrier or Tanker,Sapbalic Acid.

BC SHC 1,3 E

Bulk Carrier Strengthened for Heavy Cargoes, Nos 1&3 Holds may be empty.

BC SHC 2,5,7 E Eq C Cn

Bulk Carrier Strengthened for Heavy Cargoes, Nos 2,5&7 Holds may be empty. Equipped for Carriage of Containers.

BCM

Bow to Center Manifold

BCO

Beneficial Cargo Owner

BCP

see Business Continuity Plan

BCS

Bangladesh Coasting Service.

BD

Bundle.

BDI

Both Dates Inclusive

BDI

Both Dates Inclusive

BECU

Billion ECU

Beginning Available Balance

See Available Inventory

BEL

Belgium (flag)

Benchmarking

The process of comparing performance against the practices of other leading companies for the purpose of improving performance. Companies also benchmark internally by tracking and comparing current performance with past performance.

BENDS

Both Ends

Benefit-Cost Ratio

An analytical tool used in public planning; a ratio of total measurable benefits divided by the initial capital cost. Also see: Cost Benefit Analysis.

BERMAN

EDIFACT Berth management message

Berth

Vessel docking area.

BESMA

Belgian ShipMaster's Association Professional Association for shipmasters legally recognized by decision of the Belgian Council of State of 29th November 1977. Main international objective: safety of shipping & promotion of the profession. Practically BESMA was very active on Roro safety leading the IFSMA working group on the issue..

Best in Class

An organization, usually within a specific industry, recognized for excellence in a specific process area.

Best Interest of the State (or Political Subdivisi

A procurement action taken when acceptance of a superior offer is made and a definite advantage is determined.

Best Practice

A specific process or group of processes which have been recognized as the best method for conducting an action. Best practices may vary by industry or geography depending on the environment being used. Best-practices methodology may be applied with respect to resources, activities, cost object, or processes.

Best-in-Class

An organization, usually within a specific industry, recognized for excellence in a specific process area.

Beta release

A pre-released version of a product that is sent to customers for evaluation and feedback.

BH

Belize (Flag)

BHD

Bulkhead

BHP

Brake Horse Power.

BHS

Bahamas (flag)

BI

Both Inclusive

BIA

Best Information Available.

Bid Award File

A file maintained on certain bidders or commodities to provide comparable information for future bidding or to indicate if collusion may be expected.

Bid Bond

An agreement by a third party financier that a certified amount of money is insured and payable if a bidder refuses to accept a contract.

Bid Deposit

The deposit of a specified amount submitted by a bidder to a purchaser which would be forfeited should the bidder fail to accept the contract if awarded.

Bid Opening

The timely process of opening bids made to an invitation and making them available to review for the first time.

Bid Sample

An exact example of a product offered by a bidder as a requirement. Such samples may be compared and/or tested to determine compliance with bid specifications.

Bidders List (or Vendors List)

A list of vendors maintained by a purchasing agency designating sources for certain goods and services that would be required by bid solicitation.

BIIBA

British Insurance and Investment Brokers Association.

Bilateral Contract

An agreement where-in each party makes a promise to the other party.

Bill

See Invoice.

Bill of Activities

A listing of activities required by a product, service, process output, or other cost object. Bill of activity attributes could include volume and/or cost of each activity in the listing.

Bill of Exchange

(1) A signed, written order by one company that instructs another company to pay a third party a specific amount. (2) An unconditional written order addressed by one person to another and signed by the person placing it. It requires the person, to whom it is addressed, to pay on demand or at a fixed or determinable future time, a certain sum of money to the order of a specified person or to bearer. The drawee is not liable on it until he has accepted it.(3) Usually used in foreign transactions.

Bill of Lading

A transportation document that is the contract of carriage containing the terms and conditions between the shipper and carrier. The document is issued by a carrier to a shipper, signed by the captain, agent, or owner of a vessel, furnishing written evidence regarding receipt of freight, the conditions on which transportation is made and the date to deliver goods at the prescribed port of destination to the lawful holder of the bill of lading.

Bill of Lading (BOL)

A transportation document that is the contract of carriage containing the terms and conditions between the shipper and carrier.

Bill of Lading Number

The number assigned by the carrier to identify the bill of lading.

Bill of Lading, Through

A bill of lading to cover goods from point of origin to final destination when interchange or transfer from one carrier to another is necessary to complete the journey.

Bill of Material

A structured list of all the materials or parts and quantities needed to produce a particular finished product, assembly, subassembly, or manufactured part, whether purchased or not.

Bill of Material (BOM)

A structured list of all the materials or parts and quantities needed to produce a particular finished product, assembly, subassembly, or manufactured part, whether purchased or not.

Bill of Material Accuracy

Conformity of a list of specified items to administrative specifications, with all quantities correct.

Bill of Materials

A listing of materials required by a supplier to complete or produce a specified product required by an agency (as required by certain bids or a Request for Proposal).

Bill of Resources

A listing of resources required by an activity. Resource attributes could include cost and volumes.

Billed Weight

Weight stated in a waybill and/or (freight) bill of lading.

Billing

A carrier terminal activity that determines the proper rate and total charges for a shipment and issues a freight bill.

BIMCO

The Baltic and International Maritime Council

BIMCO

The Baltic and International Maritime Council Information and support service located in Copenhagen (Denmark) Founded in 1905, n 1995 it had 2650 members in 110 countries: shipowners, brokers, agents, P&I; clubs.

Bin

(1) A storage device designed to hold small discrete parts. (2) A shelving unit with physical dividers separating the storage locations.

Bin Center

A drop off facility that is smaller than a public warehouse

Binary

A computer term referring to a system of numerical notation that assumes only two possible states or values, zero (0) and one (1). Computer systems use a binary technique where an individual bit or ‘Binary Digit’ of data can be ‘on’ or ‘off’ (1 or 0). Multiple bits are combined into a ‘Byte’ which represents a character or number.

Binder

A strip of cardboard, thin wood, burlap, or similar material placed between layers of containers to hold a stack together.

BISD

Basic Instruments and Selected Documents(GATT).

Bisynchronous

A computer term referring to a communication protocol whereby messages are sent as blocks of characters. The blocks of data are checked for completeness and accuracy by the receiving computer.

Bitmap Image

The standard image format on Windows-compatible computers. Bitmap images can be saved for Windows or OS/2 systems and support 24-bit color.

BK

Book

BKI

Biro Klasifikasi Indonesia

BKN

Broken Up.

BL

Bill of Lading

BL

Bulgarian Lloyd (Class Society)

BLADING

See B/L

Blanket Order

See Blanket Purchase Order.

Blanket Purchase Order

A long-term commitment to a supplier for material against which short-term releases will be generated to satisfy requirements. Oftentimes, blanket orders cover only one item with predetermined delivery dates. Synonyms: Blanket Order, Standing Order.

Blanket Rate

A rate that does not increase according to the distance a commodity is shipped.

Blanket Release

The authorization to ship and/or produce against a blanket agreement or contract.

Blanket Wrap

A service pioneered by the moving companies to eliminate packaging material by wrapping product in padded 'blankets' to protect it during transit, usually on 'air ride' vans.

Bleeding Edge

An unproven process or technology so far ahead of its time that it may create a competitive disadvantage.

Blind Counts

Describes a method used in cycle counting and physical inventories providing inventory counters with the item number and location but no quantity information.

BLK

Bulk

BLN 10.0 & -196

Barge, Liquefied Nitrogen maximum pressure 10kg/cm

Block diagram

A diagram that shows the operation, interrelationships and interdependencies of components in a system. Boxes, or blocks (hence the name), represent the components, connecting lines between the blocks represent interfaces. There are two types of block diagrams: a functional block diagram, which shows a system’s subsystems and lower level products and their interrelationships and which interfaces with other systems, and a reliability block diagram, which is similar to the functional block diagram except that it is modified to emphasize those aspects influencing reliability.

Blocking bug

A defect that prevents further or more detailed analysis or verification of a functional area or feature, or any issue that would prevent the product from shipping.

Blow Through

An MRP process which uses a 'phantom bill of material' and permits MRP logic to drive requirements straight through the phantom item to its components. The MRP system usually retains its ability to net against any occasional inventories of the item.

BLR

Boiler

BLRHS

Boiler Heating Surface(combined)

BLS

1.Bureau of Labor Statistics, Department of Labor.2.Bow Loading System

BM

Beam

BM

1.Beam2.Boom3.Mayanmar (Burma)(flag).

BMEA

British Marine Equipment Association

BMISRM

EDIFACT Bulk marine inspection summary report message

BMLA

British Maritime Law Association

BMP

see Bitmap Image

BMP

Best Manufacturing Practices.(US navy program).

BMU

Bermuda (Flag)

BNM

Broadcast Notice to Mariners.

BOB

Bunker on Board

Body of knowledge

The prescribed aggregation of knowledge in a particular area an individual is expected to have mastered to be considered or certified as a practitioner.

BOFFER

Best Offer

BOILERS

Steam generating units used aboard ship to provide steam for propulsion (and) for heating and other auxiliary purposes.

BOK

see Body of knowledge

BOL

See Bill of Lading.

Bolero

Bolero is a neutral, open platform, intended to be a cross-industry community moving world trade onto the Internet. The focus is to process trade documents fully electronically via a secure communication platform (CMP). The initial focus has been on the carrier’s bill of lading through the Title Registry replicating the paper bill of lading functionality and bill of lading parties’ roles. Lately, Bolero’s focus has changed towards the trade settlement engine, ‘SURF’, Settlement Utility for Risk and Finance, which Bolero has developed together with some major banks.

BOLSTERS

Pieces of soft wood, covered with canvass, placed on the trestle-trees, for the eyes of the rigging to rest upon.

BOLT-ROPE

The rope which goes round a sail, and to which the canvass is sewed.

BOLTS

Long cylindrical bars of iron or copper, used to secure or unite the different parts of a vessel.

BOM

See Bill of Material.

Bonded

See Bond, In.

Bonded Goods

A dutiable goods upon excise duty has not been paid, i.e., good in transit or warehouse pending usage. The bond is the agreement entered into by the owner of the dutiable goods with Customs and the excise authority that the owner agrees to pay the duty when goods are released for final distribution or usage.

Bonded Warehouse

Warehouse approved by the Treasury Department and under bond/guarantee for observance of revenue laws. Used for storing goods until duty is paid or goods are released in some other proper manner.

Bonded Warehouse - Export

A secure building or area, approved by customs, where cargo, for which export clearance has been performed, is stored. Goods are considered foreign and must go out for export. In some countries, a bonded warehouse is defined as a warehouse with customs officials onsite. In others, it is a warehouse in which customs inspect cargo prior to authorising export clearance. Ensure the local definition is established. In some countries, some manufacturers are also granted a licence to operate a bonded warehouse in which they can store manufactured products in anticipation of export and hence suspend payment of local taxes (e.g. on cigarettes).

Bonded Warehouse - Import

A secure building or area, approved by customs, where cargo, for which export clearance has been performed, is stored.

Book Inventory

An accounting definition of inventory units or value obtained from perpetual inventory records rather than by actual count.

Bookable Leg

See Leg.

Booking

The act of requesting space and equipment aboard a vessel for cargo which is to be transported.

Booking Number

The number assigned to a certain space reservation by the carrier or the carrier's agent.

Bookings

The sum of the value of all orders received (but not necessarily shipped), net of all discounts, coupons, allowances, and rebates.

BOPBNK

EDIFACT Bank transactions and portfolio transactions report message

BOPCUS

EDIFACT Balance of payment customer transaction report message

BOPDIR

EDIFACT Direct balance of payment declaration message

BOPEC

Bonaire Petroleum Corporation N.V.

BOPINF

EDIFACT Balance of payment information from customer message

BORCO

Bahamas Oil Refining Corp.

BOSCA

British Oil Spill Control Association

BOSV

A British Offshore Support Vessel Owners Association

Bottleneck

A constraint, obstacle, or planned control that limits throughput or the utilization of capacity.

Bottom-up Replanning

In MRP, the process of using pegging data to solve material availability or other problems. This process is accomplished by the planner (not the computer system), who evaluates the effects of possible solutions. Potential solutions include compressing lead time, cutting order quantity, substituting material, and changing the master schedule.

Box Rate

A lump sum charged to move cargo in various size containers from origin to destination.

Box-Jenkins Model

A forecasting method based on regression and moving average models. The model is based not on regression of independent variables, but on past observations of the item to be forecast at varying time lags and on previous error values from forecasting. See: Forecast.

Boxcar

An enclosed railcar used to transport freight

BPAG

Business Planning and Analysis Group.

BPM

See Business Performance Measurement.

BPO

See Business Process Outsourcing.

BPO

Business Process Outsourcing

BPR

See Business Process Reengineering.

BR

1.Brazil(flag)2. Brazilian Class society.

Bracing

To secure a shipment inside a carrier's vehicle to prevent damage.

Bracketed Recall

Recall from customers of suspect lot numbers, plus a specified number of lots produced before and after the suspect ones.

Branding

The use of a name, term, symbol, or design, or a combination of these, to identify a product.

Breadman

A specific application of Kanban, used in coordinating vendor replenishment activities. In making bread or other route type deliveries, the deliveryman typically arrives at the customer’s location and fills a designated container or storage location with product. The size of the order is not specified on an ongoing basis, nor does the customer even specify requirements for each individual delivery. Instead, the supplier assumes the responsibility for quantifying the need against a prearranged set of rules and delivers the requisite quantity.

Break Bulk Cargo

Cargo that is shipped as a unit or package (for example: palletized cargo, boxed cargo, large machinery, trucks) but is not containerized.

Break Bulk Vessel

A vessel designed to handle break bulk cargo.

Break-Bulk

The separation of a consolidated bulk load into smaller individual shipments for delivery to the ultimate consignee. The freight may be moved intact inside the trailer, or it may be interchanged and rehandled to connecting carriers.

Break-Even Chart

A graphical tool showing the total variable cost and fixed cost curve along with the total revenue curve. The point of intersection is defined as the break-even point, i.e., the point at which total revenues exactly equal total costs. Also see: Total Cost Curve

Break-Even Point

The level of production or the volume of sales at which operations are neither profitable nor unprofitable. The break-even point is the intersection of the total revenue and total cost curves.

BRG

Bearing

Bricks and Mortar

The act of selling through a physical location. The flip side of clicks and mortar, where selling is conducted via the Internet. An informal term for representing the old economy versus new economy or the Industrial economy versus information economy.

BRM

Bridge Resources Management.

BRN

Burned.

BROA

British Rig Owners Association

Broadband

A high-speed, high-capacity transmission channel. Broadband channels are carried on radio wave, coaxial or fiberoptic cables that have a wider bandwidth than conventional telephone lines, giving them the ability to carry video, voice, and data simultaneously.

BROB

Bunkers Remaining on Board

Broken case

An open case. The term is often used interchangeably with ‘repack’ or ‘less-than-full-case’ to name the area in which materials are picked in that form.

Broker

There are 3 definitions for the term 'broker': 1) an enterprise that ownsand leases equipment2) an enterprise that arranges the buying & selling of transportation of, goods, or services 3) a ship agent who acts for the ship owner or charterer in arranging charters.

Brokerage Licence

Authority granted by the Interstate Commerce Commission (ICC) to persons to engage in the business of arranging for the transportation of persons or property in interstate commerce.

Brokered Systems

Independent computer systems, owned by independent organizations or entities, linked in a manner to allow one system to retrieve information from another. For example, a customer’s computer system is able to retrieve order status from a supplier’s computer.

Browser

A utility that allows an internet user to look through collections of things. For example, Netscape Navigator and Microsoft Explorer allow you to view contents on the World Wide Web.

BRS

Navigation Bridge Systems.

BS&W

See S&W

BSS

Basis

BT

Berth Terms

BT

Berth Terms

BTM

Bottom

BTN

Brussels Tariff Nomenclature

BTO

See Built-to-Order

BTS

see Balance to Ship

BTU

British Thermal Unit

Bucketed System

An MRP, DRP, or other time-phased system in which all time-phased data are accumulated into time periods, or buckets. If the period of accumulation is one week, then the system is said to have weekly buckets.

Bucketless system

An MRP, DRP, or other time-phased system in which all time-phased data are processed, stored, and usually displayed using dated records rather than defined time periods, or buckets.

Buffer

1) A quantity of materials awaiting further processing. It can refer to raw materials, semi-finished stores, or hold points, or a work backlog that is purposely maintained behind a work center. 2)

Buffer Management

In the theory of constraints, a process in which all expediting in a shop is driven by what is scheduled to be in the buffers (constraint, shipping, and assembly buffers) . By expediting this material into the buffers, the system helps avoid idleness at the constraint and missed customer due dates. In addition, the causes of items missing from the buffer are identified, and the frequency of occurrence is used to prioritize improvement activities.

Buffer Stock

A quantity of goods or articles kept in storage to safeguard against unforeseen shortages or demands.

Build to Inventory

A 'push' system of production and inventory management. Product is manufactured or acquired in response to sales forecasts.

Build to Order

A method of reducing inventory by not manufacturing product until there is an actual order from the customer.

Build to Stock

See Build to Inventory.

Built-to-order

Syn: Make-to-Order

Bulk Area

A storage area for large items which at a minimum are most efficiently handled by the palletload.

Bulk Cargo

Unpacked dry cargo such as grain, iron ore or coal. Any commodity shipped in this way is said to be in bulk.

Bulk packing

The process or act of placing numbers of small cartons or boxes into a larger single box to aid in the movement of product and to prevent damage or pilferage to the smaller cartons or boxes.

Bulk storage

The process of housing or storing materials and packages in larger quantities, generally using the original packaging or shipping containers or boxes.

Bulletin Board

An electronic forum that hosts posted messages and articles related to a common subject.

Bullwhip Effect

An extreme change in the supply position upstream in a supply chain generated by a small change in demand downstream in the supply chain. Inventory can quickly move from being backordered to being in excess. This is caused by the serial nature of communicating orders up the chain with the inherent transportation delays of moving product down the chain. The bullwhip effect can be eliminated by synchronizing the supply chain.

Bundle

A group of products that are shipped together as an unassembled unit.

Bundling

An occurrence where two or more products are combined into one transaction for a single price.

Bunker Adjustment Factor

Surcharge assessed by carrier which is applied to freight rates to supplement an unexpected rise in fuel costs.

Bunker Surcharge

Surcharge assessed by carrier which is applied to freight rates to supplement an unexpected rise in fuel costs.

Burn Rate

The rate of consumption of cash in a business. Used to determine cash requirements on an on-going basis. A burn rate of $50,000 would mean the company spends $50,000 a month above any incoming cash flow to sustain its business. Entrepreneurial companies will calculate their burn rate in order to understand how much time they have before they need to raise more money, or show a positive cash flow.

BUSCRD

EDIFACT Business credit report message

Business Activity Monitoring

A term which refers to capturing operational data in real-time or close to it, making it possible for an enterprise to react more quickly to events. This is typically done through software and includes features to provide alerts / notifications when specific events occur. See also: Supply Chain Event Management

Business Application

Any computer program, set of programs, or package of programs created to solve a particular business problem or function.

Business Continuity

Any process, item or asset that is needed for a customer to maintain operations during a disaster or contingency.

Business Continuity Plan

A contingency plan for sustained operations during periods of high risk, such as during labor unrest or natural disaster. CSCMP provides suggestions for helping companies do continuity planning in their Securing the Supply Chain Research. A copy of the research is available on the CSCMP website.

Business Continuity Plan (BCP)

A contingency plan for sustained operations during periods of high risk, such as labor unrest or natural disaster. CSCMP provides suggestions for helping companies do continuity planning in their Securing the Supply Chain research. A copy of this research is available on CSCMP's web site at www.cscmp.org.

Business Logistics

The process of planning, implementing, and controlling the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption for the purpose of conforming to customer requirements.

Business Performance Measurement

A technique which uses a system of goals and metrics to monitor performance. Analysis of these measurements can help businesses in periodically setting business goals, and then providing feedback to managers on progress towards those goals. A specific measure can be compared to itself over time, compared with a preset target or evaluated along with other measures.

Business Performance Measurement (BPM)

A technique that uses a system of goals and metrics to monitor performance. Analysis of these measurements can help businesses periodically set business goals, then provide feedback to managers on progress towards those goals. A specific measure can be compared to itself over time, compared with a present target, or evaluated along with other measures.

Business Plan

  1. A statement of long-range strategy and revenue, cost, and profit objectives usually accompanied by budgets, a projected balance sheet, and a cash flow (source and application of funds) statement. A business plan is usually stated in terms of dollars and grouped by product family. The business plan is then translated into synchronized tactical functional plans through the production planning process (or the sales and operations planning process) . Although frequently stated in different terms (dollars versus units) , these tactical plans should agree with each other and with the business plan.
  2. A document consisting of the business details (organization, strategy, and financing tactics) prepared by an entrepreneur to plan for a new business.

Business Process Outsourcing

The practice of outsourcing non-core internal functions to third parties. Functions typically outsourced include logistics, accounts payable, accounts receivable, payroll and human resources. Other areas can include IT development or complete management of the IT functions of the enterprise.

Business Process Outsourcing (BPO)

The practice of outsourcing non-core internal functions to third parties. Functions typically outsourced include logistics, accounts payable, accounts receivable, payroll, and human resources. Other areas can include IT development or complete management of the IT functions of the enterprise.

Business Process Reengineering

The fundamental rethinking and oftentimes, radical redesign of business processes to achieve dramatic organizational improvements.

Business Process Reengineering (BPR)

The fundamental rethinking and radical redesign of business processes to achieve dramatic organizational improvements.

Business Unit

A division or segment of an organization generally treated as a separate profit-and-loss center.

Business-to-Business

As opposed to business-to-consumer (B2C). Many companies are now focusing on this strategy, and their sites are aimed at businesses (think wholesale) and only other businesses can access or buy products on the site. Internet analysts predict this will be the biggest sector on the Web.

Business-to-Business (B2B)

As opposed to business-to-consumer (B2C) . Many companies are now focusing on this strategy, and their web sites are aimed at businesses (think wholesale) and only other businesses can access or buy products on the site. Internet analysts predict this will be the biggest sector on the web.

Business-to-Consumer

The hundreds of e-commerce Web sites that sell goods directly to consumers are considered B2C. This distinction is important when comparing Websites that are B2B as the entire business model, strategy, execution, and fulfillment is different.

Business-to-Consumer (B2C)

The hundreds of e-commerce web sites that sell goods directly to consumers are considered B2C. This distinction is important when comparing web sites that are B2B as the entire business model, strategy, execution, and fulfillment is different.

BUTANE

Butane, See C4H10

Buyer

An enterprise that arranges for the acquisition of goods or services and agrees to payment terms for such goods or services.

Buyer Behavior

The way individuals or organizations behave in a purchasing situation. The customer-oriented concept finds out the wants, needs, and desires of customers and adapts resources of the organization to deliver need-satisfying goods and services.

BV

Bureau Veritas (French Class Society)

BWAD

Brackish Water Arrival Draft

BWMP

Ballast Water Management Plan

BWT

(Vessel) To Be Used As Breakwater

Byte

A computer term used to define a string of 7 or 8 bits, or binary digits. The length of the string determines the amount of data that can be represented. The 8-bit byte can represent numerous special characters, 26 uppercase and lowercase alphabetic characters, and 10 numeric digits, totaling 256 possible combinations.