Glossary

T & AHP

Towing and Anchor Handling Purposes.

T & SP

Towing and Salvage Purposes.

T's & C's

See Terms and Conditions.

T-ACS

Auxiliary Crane Ship

T.H.C.

Terminal Handling Charge

T.R.S.

Terminal Receiving Station

T/B

Integrated Tug/Barge

T/C or TC

Time Charter

T/MB

Tug/Maintenance Boat.

T/OS

Tug/Oil Skimmer

T/S

Transhipment Port

T/T

Transit Time

T/V

Tanker Vessel

T4

Therefore

TACA

Transatlantic Conference Agreement

Tact Time

See Takt Time

Tactical Planning

The process of developing a set of tactical plants (e.g., production plan, sales plan, marketing plan, and so on) . Two approaches to tactical planning exist for linking tactical plans to strategic plans - production planning and sales and operations planning. Also see: Sales and Operations Planning.

TAFTER

There after

TAG

Technical Advisory Group

Tag Number

The number used in the hospitality commerce to identify a specific product that is related to the blueprints or layout plans. Required for maintaining accurate and updated inventory process.

Taguchi Method

A concept of offline quality control methods conducted at the product and process design states in the product development cycle. This concept, expressed by Genichi Taguchi, encompasses three phases of product design, parameter design, and tolerance design. The goal is to reduce quality loss by reducing the variability of a product's characteristics during the parameter phase of product development.

Takt Time

Sets the pace of production to match the rate of customer demand and becomes the heartbeat of any lean production system. It's computed as the available production time divided by the rate of customer demand. For example, assume demand is 10,000 units per month, or 500 units per day, and planned available capacity is 420 minutes per day. The takt time = 420 minutes per day/500 units per day = 0.84 minutes per unit. This takt time means that a unit should be planned to exit the production system on average every 0.84 minutes.

TALFF

Total Allowable Level of Foreign Fishing

Tally sheet

A printed form on which companies record, by making an appropriate mark, the number of items they receive or ship. In many operations, tally sheets become a part of the permanent inventory records.

Tandem

A truck that has two drive axles or a trailer that has two axles.

Tank cars

Rail cars that are designed to haul bulk liquids or gas commodities.

TANSTA

EDIFACT Tank status report message

Tapering rate

A rate that increases with distance but not in direct proportion to the distance the commodity is shipped.

TAPS

Trans Alaska Pipeline Service

Tare Weight

The weight of a substance obtained by deducting the weight of the empty container from the gross weight of the full container.

Target Costing

A target cost is calculated by subtracting the desired profit margin from an estimated or market-based price to arrive at a desired production, engineering, or marketing cost. This may not be the initial production cost, but one expected to be achieved during the mature production stage. Target costing is a method used in the analysis of product design that involves estimated a target cost, then designing the product/service to meet that cost.

Tariff

A tax assessed by a government on goods entering or leaving a country. The term is also used in transportation in reference to the fees and rules applied by a carrier for its services.

Task interleaving

A method of combining warehouse picking and putaway. Warehouse Management Systems (WMS) use logic to direct a lift truck operator to put away a pallet en route to the next pick.

Tasks

The breakdown of the work in an activity into smaller elements.

TAX

Storage Tanks Tax

TAXCON

EDIFACT Tax control message

TBS

To Be Scrapped

TBT

Technical Barriers to Trade

TC

See Time Compression

TC III

Tanker Chemicals type III.

TCO

see Total Cost of Ownership

TCP

Transmission Control Protocol

Tcs

Tanker Caustic Soda.

TCV

Total Calculated Volume

Td

Tender.

TDWDT

Tropical Deadweight

TEA

Targeted Export Assistance

Technical Components

Component (part) of a product for which there is a limited number of suppliers. These parts are hard to make, and require much more lead time and expertise on the part of the supplier to produce than standard components do.

Temporary authority

The ICC may grant a temporary operating authority as a common carrier for up to 270 days.

Ten Principles

‘A principle is a general rule, fundamental, or other statement of an observed truth. Over time certain fundamental truths of material handling have been found to exist. The ”principles” of material handling are often useful in analyzing, planning and managing material handling activities and systems. At the very least they form a basic foundation upon which one can begin building expertise in material handling. These principles, that serve as a starting point to identifying potential problems and assessing need, are : Planning, Standardization, Work, Ergonomic, Unit Load, Space Utilization, System, Automation, Environment, Life Cycle Cost’

Tender

The document which describes a business transaction to be performed.

Term Contracting

Establishing a source from which to acquire goods or services for a specific period of time.

Terminal delivery allowance

A reduced rate offered in return for the shipper of consignee tendering or picking up the freight at the carrier’s terminal

Terms and conditions

All the provisions and agreements of a contract.

Terms and Conditions (T's & C's)

All the provisions and agreements of a contract.

Testing (Commodities)

To perform a laboratory analysis of products purchased from a contract to determine if the quality and performance agreed to by the contractor remains in compliance.

TEU

see Twenty-foot Equivalent Unit

TEU

Twenty Foot (Container) Equivalent

TF

Tropical Fresh

Tfw

Tanker Fresh Water.

TGV

Tr

Theoretical Cycle Time

The back-to-back process time required for a single unit to complete all stages of a process without waiting, stoppage, or time lost due to error.

Theory of Constraints (TOC)

A production management theory which dictates that volume is controlled by a series of constraints related to work center capacity, component availability, finance, etc. Total throughput cannot exceed the capacity of the smallest constraint, and any inventory buffers or excess capacity at non-related work center is waste.

Third Party Logistics

Outsourcing all or much of a company's logistics operations to a specialized company.

Third Party Logistics Provider

A firm that provides one or multiple logistic related services for use by customers. They can facilitate the movement of parts and materials from suppliers to manufacturers, and finished products from manufacturers, and finished products from manufacturers to distributors and retailers. Among the services they provide are transportation, warehousing, receiving, cross docking, inventory management, packaging, and freight forwarding.

Third Party Logistics Provider (3PL)

A firm which provides multiple logistics services for use by customers. Preferably, these services are integrated or bundled together, by the provider. These firms facilitate the movement of parts and materials from suppliers to manufacturers, and finished products from manufacturers, and finished products from manufacturers to distributors and retailers. Among the services they provide are transportation, warehousing, cross docking, inventory management, packaging, and freight forwarding.

Third-Party Warehousing

The outsourcing of the warehousing function by the seller of the goods.

Three-layer framework

A basic structure and operational activity of a company, the three layers include operational systems, control and administrative management, and master planning.

Threshold

A pick-up or delivery service to the door only. No unpacking or placement of goods is performed.

Throughput

A measure of warehousing output volume (weight, number of units) . Also, the total amount of units received, plus the total amount of units shipped divided by two.

THTS

Thailand Home Trade Service.

Tier

A single layer of units forming part of a unit load, column, stack row or block.

Time Based Order System

See Fixed Reorder Cycle Inventory Model

Time Bucket

A number of days of data summarized into a columnar display. A weekly time bucket would contain all of the relevant data for an entire week. Weekly time buckets are considered to be the largest possible (at least in the near and medium term) to permit effective MRP.

Time compression

In its most bsaic form it relates to the reduction of time consumed by business processes through the elimination of non-value-adding process time.

Time Fence

A policy or guideline established to note where various restrictions or changes in operating procedures take place. For example, changes to the master production schedule can be accomplished easily beyond the cumulative lead time, while changes inside the cumulative lead time become increasingly more difficult to a point where changes should be resisted. Time fences can be used to define these points.

Time utility

A value created in a product by having the product available at the time desired. Transportation and warehousing create time utility.

Time-Definite Services

Delivery is guaranteed on a specific day or at a certain time of the day.

Time-Stop

An additional service for product that requires a specific pick-up or delivery date and or time.

Time-to-Product

The total time required to receive, fill, and deliver an order for an existing product to a customer, timed from the moment that the customer places the order until the customer receives the product.

Time/service rate

A rail rate that is based upon transit time.

Timetables

Time schedules of departures and arrivals by origin and destination, typically used for passenger transportation by air, bus, and rail.

TIQREQ

TIQRSP

TL

See Truckload Carriers

TMS

See Transportation Management System

TMS

Transportation Management System

TOC

See Theory of Constraints

TOFC

See Trailer on a Flat Car, Piggyback

TOFC

Trailer-on-Flatcar

Ton-mile

A measure of output for freight transportation, it reflects the weight of the shipment and the distance it is hauled, a multiplication of tons hauled and distance traveled.

Total Annual Material Receipts

The dollar amount associated with all direct materials received from Jan 1 to Dec 31.

Total Annual Sales

Total Annual Sales are Total Product Revenue plus post-delivery revenues (e.g., maintenance and repair or equipment, system integration) royalties, sales of other services, spare parts revenue, and rental/lease revenues.

Total Average Inventory

Average normal use stock, plus average lead stock, plus safety stock.

Total Cost Analysis

A decision-making approach that considers minimization of total costs and recognizes the inter-relationship among system variables, such as transportation, warehousing, inventory, and customer service.

Total Cost Curve

1) In cost-volume-profit (break-even) analysis, the total cost curve is composed of total fixed and variable costs per unit multiplied by the number of units provided. Break-even quantity occurs where the total cost curve and total sales revenue curve intersect. 2) In inventory theory, the total cost curve for an inventory item is the sum of the costs of acquiring and carrying the item.

Total Cost of Ownership

Total cost of a computer asset throughout its lifecycle, from acquisition to disposal. TCO is the combined hard and soft costs of owning networked information assets. ‘Hard’ costs include items such as the purchase price of the asset, implementation fees, upgrades, maintenance contracts, support contracts, and disposal costs, license fees that may or may not be upfront or charged annually. These costs are considered ‘hard costs’ because they are tangible and easily accounted for.

Total Cost of Ownership (TCO)

Total cost of a computer asset throughout its life cycle, from acquisition to disposal. TCO is the combined hard and soft costs of owning networked information assets. 'Hard' costs include items such as the purchase price of the asset, implementation fees, upgrades, maintenance, contracts, support contracts, disposal costs, and license fees that may or may not be up-front or charged annually. These costs are considered 'hard costs' because they are tangible and easily accounted for.

Total Cumulative Manufacture Cycle Time

Average time between commencement of upstream processing and completion of final packaging for shipment operations as well as release of approval for shipment. Does not include WIP storage time.Calculation: [Average # of units in WIP]/[Average daily output in units] - WIP days of supply

Total Inventory Days of Supply

Total gross value of inventory at standard cost before reserves for excess and obsolescence. Includes only inventory that is on the books and currently owned by the business entity. Future liabilities such as consignments from suppliers are not included. Calculation: [5 Point Annual Average Gross Inventory] / [Cost of Good Sold/365]

Total Make Cycle Time

The average processing time between commencement of upstream processing and completion of all manufacturing process steps up to, but not including, packaging and labeling operations (i.e., from start of manufacturing to final formulated product ready for primary packaging.) Does not include hold or test and release times.Calculation: [Average # of units in active manufacturing]/[Average daily output in units.]

Total Package and Label Cycle Time

The average total processing time between the commencement of the primary packaging and labeling steps to completion of the final packaging steps for shipment. Calculation: [Average

Total Product Revenue

The total value of sales made to external customers plus the transfer price valuation of intra-company shipments, net of all discounts, coupons, allowances, and rebates. Includes only the intra-company revenue for product transferring out of an entity, installation services if these services are sold bundled with end products, and recognized leases to customers initiated during the same period as revenue shipments, with revenue credited at the average selling price.Note: Total Product Revenue excludes post-delivery revenues (maintenance and repair of equipment, system integrations) , royalties, sales of other services, spare parts revenue, and rental/lease revenues.

Total Productive Maintenance

Team based maintenance process designed to maximize machine availability and performance and product quality.

Total Productive Maintenance (TPM)

Team-based maintenance process designed to maximize machine availability and performance and product quality.

Total quality management

A management approach in which managers constantly communicate with organizational stakeholders to emphasize the importance of continuous quality improvement.

Total Sourcing Lead Time

Cumulative lead time (total average combined inside-plant planning, supplier lead time [external or internal], receiving, handling, etc., from demand identification at the factory until the materials are available in the production facility) required to source 95% of the dollar value (per unit) of raw materials from internal and external suppliers.

Total Supply Chain Management Cost (five elements)

Total cost to manage order processing, acquire materials, manage inventory, and manage supply chain finance, planning, and IT costs as represented as a percent of revenue. Accurate assignment of IT-related cost is challenging. It can be done using activity-based costing methods, or more traditional-based approaches. Allocation based on user counts, transaction counts, or departmental headcounts are reasonable approaches. The emphasis should be on capturing all costs, whether incurred in the entity completing the survey or in a supporting organization on behalf of the entity. Reasonable estimates founded in data were accepted as means to assess overall performance. All estimates reflected fully-burdened actuals inclusive of salary, benefits, space and facilities, and general and administrative allocations.Calculation: [Order Management Costs + Material Acquisition Costs + Inventory Carrying Costs + Supply-Chain Related Finance and Planning Costs + Total Supply Chain-Related IT Costs]/[Total Product Revenue] (Please see individual component categories for component detail and calculations.)

Total Supply Chain Response Time

The time it takes to rebalance the entire supply chain after determining a change in market demand. Also, a measure of a supply chain's ability to change rapidly in response to marketplace changes.Calculation: [Forecast Cycle Time] + [Re-Plan Cycle Time] + [Intra-Manufacturing Re-Plan Cycle Time] + [Cumulative Source/Make Cycle Time] + [Order Fulfillment Lead Time]

Total Supply-Chain Management Cost

Total cost to manage order processing, acquire materials, manage inventory, and manage supply-chain finance, planning, and IT costs, as represented as a percent of revenue. Accurate assignment of IT-related cost is challenging. It can be done using Activity-Based-Costing methods, or based on more traditional approaches. Allocation based on user counts, transaction counts, or departmental headcounts are reasonable approaches. The emphasis should be on capturing all costs, whether incurred in the entity completing the survey or incurred in a supporting organization on behalf of the entity. Reasonable estimates founded in data were accepted as a means to assess overall performance. All estimates reflected fully burdened actuals inclusive of salary, benefits, space and facilities, and general and administrative allocations. Calculation: [Order Management Costs + Material Acquisition Costs + Inventory Carrying Costs + Supply-Chain-Related Finance and Planning Costs + Total Supply-Chain-Related IT Costs] / [Total Product Revenue] (Please see individual component categories for component detail and calculations)

Total Test and Release Cycle Time

The average total test and release time for all tests, documentation reviews, and batch approval processes performed from start of manufacturing to release of final packaged product for shipment. Calculation: [Average

Total Test Release Cycle Time

The average total test and release time for all tests, documentation reviews, and batch approval processes performed from start of manufacturing to release of final packaged product for shipment.Calculation: [Average number of units in test and release]/[Average daily output in units]

Toto authority

A private motor carrier receiving operating authority as a common carrier to haul freight for the public over the private carrier’s backhaul, this type of authority was granted to the Toto Company in 1978

Touch Labor

The labor that adds value to the product - assemblers, welders, packagers, etc. This does not include indirect resources like material handlers who move and stage product, and mechanical and electrical technicians who maintain equipment.

TPFREP

EDIFACT Terminal performance message

TPM

see Total Productive Maintenance

TQC

Total Quality Control

TQM

Total Quality Management

TQM

see Total quality management

Traceability

1) The attribute allowing the ongoing location of a shipment to be determined. 2) The registering and tracking of parts, processes, and materials used in production, by lot or serial number.

Tracing

The practice of relating resources, activities, and cost objects using the drivers underlying their cost causal relationships. The purpose of tracing is to observe and understand how costs are arising in the normal course of business operations. Synonym: Assignment.

Tracking and Tracing

Monitoring and recording shipment movements from origin to destination.

Tracking Signal

The ratio of the cumulative algebraic sum of the deviations between the forecasts and the actual values to the mean absolute deviation. Used to signal when the validity of the forecasting model might be in doubt.

Tractor

The tractor is the driver compartment and engine of the truck. It has two or three axles.

Trademark

A symbol, initialing, lettering, etc., which has been adopted as a positive identification of a supplier. A trademark, to be valid, must be properly registered with legal rights assigned to only one user.

Trading Partner

Companies that do business with each other via EDI (e.g., send and receive business documents such as purchase orders) .

Trading Partner Agreement

The written contract that spells out agreed upon terms between EDI trading partners.

Trading partners

Organizations a company does business with.

Traffic

A department or function charged with the responsibility of arranging the most economic classification and method of shipment for both incoming and outgoing materials and products.

Traffic Management

The management and controlling of transportation modes, carriers, and services.

Trailer

The part of the truck that carries the goods.

Trailer Drops

When a driver drops off a full truck at a warehouse and picks up an empty one.

Trailer on a Flat Car (TOFC)

A specialized form of containerization in which motor and rail transport coordinate. Synonym: Piggyback.

Trailer on a Flatcar

A specialized form of containerization in which motor and rail transport coordinate. Synonym: Piggyback.

Tramp

An international water carrier that has no fixed route or published schedule, a tramp ship is chartered for a particular voyage or a given time period.

Transaction

A single completed transmission, e.g., transmission of an invoice over an EDI network. Analogous to usage of the term in data processing in which a transaction can be an inquiry or a range of updates and trading transactions. The definition is important for EDI service operators who must interpret invoices and other documents.

Transaction Set

Commonly used business transactions (e.g., purchase order, invoice, etc.) organized in a formal, structured manner consisting of a transaction set header control segment, one or more data segments, and a transaction set trailer control data segment.

Transaction Set ID

A three digit numerical representation that identifies a transaction set.

Transactional Acknowledgement

Specific transaction sets, such as the Purchase Order Acknowledgement (855) , that both acknowledges receipt of an order and provides special status information, such as reschedules, price changes, back order situation, etc.

Transfer Pricing

The pricing of goods or services transferred from one segment of a business to another. Transfer pricing generally includes the costs associated with performing the transfer and therefore item costs will be incrementally higher than when received through normal channels.

Transit Inventory

Inventory in transit between manufacturing and stocking locations, or between warehouses in a distributed warehousing model. Also see: In-transit Inventory

Transit privilege

A carrier service that permits the shipper to stop the shipment in transit to perform a function that changes the commodity’s physical characteristics, but to pay the through rate.

Transit Time

The total time that elapses between a shipment's pickup and delivery.

Translation Software

‘Software the converts or ”translates” business application data into EDI standard formats, and vice versa.’

Transmission Acknowledgment

Acknowledgment that a total transmission was received with no errors detected

Transparency

The ability to gain access to information without regard to the system's landscape or architecture. An example would be where an online customer could access a vendor's web site to place an order and receive availability information supplied by a third party outsource manufacturer or shipment information from a third party logistics provider. Also see: Visibility.

Transportation

The movement of goods by method of rail, ocean, air, truck and/or pipeline.

Transportation Association of America

An association that represents the entire U.S. transportation system–carriers, users, and the public, now defunct.

Transportation Management System

A computer system designed to provide optimized transportation management in various modes along with associated activities, including managing shipping units, labor planning and building, shipment scheduling through inbound, outbound, intra-company shipments, documentation management (especially when international shipping is involved) , and third party logistics management.

Transportation method

A linear programming technique that determines the least-cost allocation of shipping goods from plants to warehouses of from warehouses to customers.

Transportation Mode

The method of transportation: land, sea, or air shipment.

Transportation Planning

The process of defining an integrated supply chain transportation plan and maintaining the information which characterizes total supply chain transportation requirements, and the management of transporters, both inter- and intra- company.

Transportation Planning Systems

The systems used in optimizing assignments from plants to distribution centers, and from distribution centers to stores. The systems combine moves to ensure the most economical means are employed.

Transportation Requirements Pplanning

Utilizing computer technology and information already available in MRP and DRP databases to plan transportation needs based on field demand.

Transportation Research Board

A division of the National Academy of Sciences which pertains to transportation research.

Transportation Research Forum

A professional association that provides a forum for the discussion of transportation ideas and research techniques.

Transshipment problem

A variation of the transportation method of linear programming that considers consolidating shipments to one destination and reshipping from that destination.

Travel agent

A firm that provides passenger travel information, air, rail, and steamship ticketing, and hotel reservations. The travel agent is paid a commission by the carrier and hotel.

Trend

General upward or downward movement of a variable over time such as demand for a product. Trends are used in forecasting to help anticipate changes in consumption over time.

Trend Forecasting Models

Methods for forecasting sales data when a definite upward or downward pattern exists. Models include double exponential smoothing, regression, and triple smoothing.

TRP

see Transportation requirements planning

Truck Stop Electrification (TSE)

Provides power outlets at truck parking spaces in which truck drivers can simply plug in, and turn off their engines, rather than idle their truck engine.

Truckload

A shipment of freight that is loaded to a trailers maximum capacity either by bulk or maximum weight.

Truckload Carriers (TL)

Trucking companies which move full truckloads of freight directly from the point of origin to destination.

Truckload Lot

A truck shipment that qualifies for a lower freight rate because it meets a minimum weight and/or volume.

Trunk lines

Oil pipelines that are used for the long-distance movement of crude oil, refined oil, or other liquid products.

TS

Training Ship.

TSA

Transpacific Stabilization Agreement

TSDUPD

TSR

Trans Siberian Railway

TT

Telegraphic Transfer

TTL

Total

TUPREQ

TUPRSP

Turnaround

In water transportation, the time it takes between the arrival of a vessel and its departure.

Turnaround Time

The length of time for completing a process usually expressed as an average but can be determined for individual items (i.e. time from placing requisition to issue of goods or time from requisition to issuance of a P.O.).

Turnover

1) Typically refers to inventory turnover 2) In the United Kingdom and certain other countries, turnover refers to annual sales volume. Also see: Inventory Turns.

TVC

Time Volume Contract

TW

Tween Decker

Twenty-foot Equivalent Unit

Standard unit for counting containers of various capacities and for describing the capacities of container ships or terminals. One 20 Foot ISO container equals 1 TEU. One 40 Foot ISO container equals two TEU.

Two-bin system

An inventory ordering system in which the time to place an order for an item is indicated when the first bin is empty. The second bin contains sufficient supply until the order is received.

Two-Level Master Schedule

A master scheduling approach in which a planning bill of material is used to master schedule an end product or family, along with selected key features (options and accessories). Also see: Production Forecast

TWRA

Transpacific Westbound Rate Agreement

TYT

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