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Logistics Glossary - D
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Dashboard: A performance measurement tool used to capture a summary of the Key Performance Indicators (KPIs)/metrics of a company. Metrics dashboards/scorecards should be easy to read and usually have “red, yellow, green” indicators to flag when the company is not meeting its metrics targets. Ideally, a dashboard/scorecard should be cross-functional in nature and include both financial and non-financial measures. In addition, scorecards should be reviewed regularly – at least on a monthly basis and weekly in key functions such as manufacturing and distribution where activities are critical to the success of a company. The dashboard/scorecards philosophy can also be applied to external supply chain partners such as suppliers to ensure that supplier’s objectives and practices align. Synonym: Scorecard
Discrete Order Picking: A method of picking orders in which the items on one order are picked before the next order is picked. Also see: Batch Picking, Order Picking, Zone Picking
Distribution: Outbound logistics, from the end of the production line to the end user. 1) The activities associated with the movement of material, usually finished goods or service parts, from the manufacturer to the customer. These activities encompass the functions of transportation, warehousing, inventory control, material handling, order administration, site and location analysis, industrial packaging, data processing, and the communications network necessary for effective management. It includes all activities related to physical distribution, as well as the return of goods to the manufacturer. In many cases, this movement is made through one or more levels of field warehouses. Synonym: Physical Distribution. 2) The systematic division of a whole into discrete parts having distinctive characteristics.
Distribution Center (DC): The warehouse facility which holds inventory from manufacturing pending distribution to the appropriate stores.
Distribution Channel: One or more companies or individuals who participate in the flow of goods and services from the manufacturer to the final user or consumer.
Distribution Warehouse: A warehouse that stores finished goods and from which customer orders are assembled.
Distributor: A business that does not manufacture its own products, but purchases and resells these products. Such a business usually maintains a finished goods inventory. Synonym: Wholesaler
Documentation: The papers attached or pertaining to goods requiring transportation and/or transfer.
Downstream: Referring to the demand side of the supply chain. One or more companies or
individuals who participate in the flow of goods and services moving from the manufacturer to the final user or consumer. Opposite of Upstream.
Durable Goods: Generally, any goods whose continuous serviceability is likely to exceed three years.
Duty Free Zone (DFZ): An area where goods or cargo can be stored.