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Warehouse & Distribution Glossary — A Complete A–Z Guide

In our glossary, you will find a comprehensive list of explanations for a wide variety of warehouse & distribution industry terms.

A

automated storage and retrieval system (ASRS)

An Automated Storage and Retrieval System (ASRS) is a computer-controlled system designed to automatically place and retrieve goods from defined storage locations.

Autonomous Mobile Robots (AMR)

An autonomous mobile robot (AMR) is a self-navigating robot designed to transport goods within warehouses, factories, and distribution centres.

Buffering in intralogistics

Buffering in intralogistics refers to the temporary holding of items in a material handling system to help manage flow, sequencing, and timing between operational processes.

Cross-docking

Cross-docking is a logistics strategy where goods are transferred directly from inbound to outbound transport, with little or no storage in between.

Goods-to-Person (GTP) System

A Goods-to-Person (GTP) system is a warehouse automation solution [link to term] where items are automatically brought to operators to be picked at workstations, instead of operators walking through the warehouse to pick them.

Intralogistics

Intralogistics refers to the management and optimisation of material flows within a company’s facilities – from goods receiving, storage, and internal transport to picking, packing, and shipping.

IoT Warehouse

An Internet of Things warehouse (IOT warehouse) is a facility where machines, sensors, and systems are connected through the internet to collect and share real-time data.

Lights-out warehouse

A “lights-out warehouse” is a fully automated warehouse that requires little to no human presence on the shop floor, allowing operations to run without lighting or staff onsite.

Omnichannel fulfilment

The process of managing and delivering customer orders across multiple sales channels from a single, integrated supply chain.

Order consolidation

Order consolidation is the process of combining multiple items, SKUs, or partial orders into a single shipment before packing or dispatch.

Order fulfilment accuracy

Order fulfilment accuracy measures the number of correct customer orders in processes such as picking, packing, and shipping.

Pouch sorter

A pouch sorter is an automated material handling system that uses suspended pouches to transport, sort, and sequence individual items throughout a warehouse or distribution centre.

Reverse logistics

Reverse logistics refers to managing the processing of returned items from the end customer. It covers activities such as returns, repairs, refurbishments, recycling, resale and disposal.

Sortation system

A sortation system is an automated solution used to identify, direct, and route items (cartons or SKUs) to their correct destination within a warehouse or distribution centre.

Third-party logistics (3PL)

Third-party logistics (3PL) is the outsourcing of logistics services – such as warehousing, order fulfillment, and transportation – to an external provider. 3PLs help businesses scale operations, reduce costs, and simplify supply chain management.

Warehouse automation

Warehouse automation refers to the use of automated technology, mechatronics, robotics, and digital control systems to perform tasks traditionally handled by people.

Warehouse control system (WCS)

A Warehouse Control System (WCS) is software that manages the real-time control of automated materials handling systems and equipment inside a warehouse or distribution centre. It acts as the link between high-level WMS planning systems and the physical handling equipment.

Warehouse digital twin

A warehouse digital twin is a virtual replica of a warehouse that combines a 3D model of the facility with live operational data.

Warehouse management system (WMS)

A Warehouse Management System (WMS) is a software solution designed to optimise and control daily warehouse operations. WMS platforms provide real-time visibility into stock levels, track the movement of goods, and streamline workflows such as picking, packing, and shipping.

Warehouse order picking

Warehouse order picking is the process of selecting items from storage to fulfil customer or store orders.

Warehouse packing stations

Warehouse packing stations are dedicated areas where orders are prepared for shipment.

Warehouse throughput

Warehouse throughput is the total volume of goods processed within a specific time period. It is typically measured in (SKU) units, cartons, or orders per hour.

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