Glossary of Fulfillment Terms
A reference guide to common terms used in fulfillment and logistics.
- 3PL (Third-Party Logistics)
- A company that provides outsourced logistics services, including warehousing, fulfillment, and shipping, on behalf of another business. YouParcel is a 3PL provider.
- ASN (Advance Shipment Notification)
- A document sent by the client to YouParcel before an inbound shipment arrives, detailing the contents and expected arrival date.
- Allocated Inventory
- Units that have been reserved for an open, unfulfilled order and are no longer available for other orders.
- B2B (Business to Business)
- Orders shipped from one business to another, such as wholesale orders to retail stores.
- DDP (Delivered Duty Paid)
- A shipping arrangement where the seller pays all duties and taxes, so the recipient receives the package without any additional charges.
- DDU (Delivered Duty Unpaid)
- A shipping arrangement where the recipient is responsible for paying customs duties and taxes upon delivery.
- DTC (Direct to Consumer)
- Orders shipped directly from the brand to the end customer, typically via an e-commerce storefront.
- FBA (Fulfillment by Amazon)
- Amazon's program where Amazon stores and ships a seller's inventory from Amazon fulfillment centers.
- HS Code (Harmonized System Code)
- A standardized international code used to classify products for customs purposes.
- Kitting
- The process of assembling multiple individual components into a single sellable unit or bundle.
- LTL (Less Than Truckload)
- A freight shipping method where multiple shippers' goods share space in a single truck.
- MSA (Master Services Agreement)
- The primary contract between a client and YouParcel outlining service terms, pricing, and responsibilities.
- RTO (Return to Origin)
- A package that could not be delivered and was returned by the carrier to the originating warehouse.
- SKU (Stock Keeping Unit)
- A unique identifier assigned to each distinct product variant. Every variation of a product (color, size, etc.) has its own SKU.
- VAS (Value Added Services)
- Additional services beyond standard pick and pack, such as kitting, labeling, photography, and rework.
- WMS (Warehouse Management System)
- Software used to manage warehouse operations including inventory tracking, order management, and labor management.