A 2D (two-dimensional) barcode is a graphical image that stores information both horizontally – as one-dimensional bar codes do – and vertically. As a result of that construction, 2D codes can store up to 7,089 characters, significantly greater storage than is possible with the 20-character capacity of a unidimensional barcode.
Abbreviation for the European Agreement concerning the International Carriage of Dangerous Goods by Road (franc. Accord européen relatif au transport international des marchandises dangereuses par route), which defines in detail how and under what special conditions dangerous goods, such as hazardous chemicals, hazardous waste, must be stored.
Article master data
In warehouse management, master data about the goods refers to the core information that is used to manage and track the quantities, locations, and movements of goods within the warehouse. This can include information such as:
- Product identifier: A unique identifier, such as a barcode or GS1 code, that is used to uniquely identify the product.
- Product name: The name or description of the product.
- Product specifications: Information about the physical characteristics of the product, such as size, weight, and dimensions.
- Product category: The product’s classification, such as its type, brand, or model.
- Product supplier: The company or individual that supplies the product.
- Product expiration date: The date on which the product is no longer fit for sale or use, if applicable.
- Product storage requirements: Any special requirements for storing the product, such as required temperature or humidity levels.
Refers to the use of technology to perform tasks without human intervention. In the context of warehouse management, automation can include using machines to move and sort items, using robotic arms to pick and pack orders, or using sensors, scanners and software to track and monitor inventory. Automation can help improve efficiency, accuracy, and safety in a warehouse.
A backorder occurs when not enough goods are available on stock for complete delivery. In that case, either the delivery is delayed, or delivery is made partially with articles that are on stock. Usually, for articles that weren’t delivered, a new sales order should arrive in WMS once stock is updated.
A process that involves using a device, such as a handheld scanner or a fixed scanner mounted on a conveyor belt, to read and interpret barcodes. Barcodes are patterns of lines and spaces that encode information, such as an item’s unique identification number or its manufacturer and product type. Barcodes are often used in warehouses to identify and track items, and barcode scanning is a common feature of warehouse management software.
Batch or a lot
In warehouse management, a batch refers to a specific group of goods that are received, stored, and shipped together. Batching can be used to group goods by a variety of criteria, such as supplier, product type, expiration date, or customer order.
There are several benefits to using batching in warehouse management, including:
- Improved efficiency: By grouping similar goods together, it is easier to efficiently store and retrieve them, reducing the time and effort required to handle and move the goods.
- Improved accuracy: Batching can help improve inventory accuracy by making it easier to track and count the goods in a specific group.
- Improved quality control: By grouping goods that have similar characteristics, it is easier to ensure that they are stored and handled in a way that meets any necessary quality standards.
- Improved compliance: Batching can help ensure that regulatory requirements, such as expiration dates or handling instructions, are properly followed.
Best before date management
In warehouse management, best before date management refers to the process of tracking and managing the expiration dates of perishable goods, such as food or pharmaceuticals, that have a limited shelf life.
The process of unloading goods from an incoming trailer or container and loading them directly onto outbound vehicles or containers, without the need for intermediate storage. Cross-docking can help reduce the amount of time goods spend in the warehouse and improve efficiency.
A delivery note, also known as a bill of delivery, is a document that provides both the sender and the recipient with an overview of the delivered goods. For this purpose, essential information is listed on the delivery bill:
- information regarding supplier and consignee,
- delivery note number,
- delivery date,
- information about the goods (description, weight, quantity, etc.),
- other information.
It is also used both for comparison of the actual receipt of goods and for billing purposes.
A distribution center is a warehouse facility that is used to store and distribute products to retailers or other locations. Distribution centers often handle large volumes of goods and may use advanced technologies such as automated conveyor systems and robots to speed up the process of sorting and packing orders.
A most common type of barcode, consisting of black and white lines and 13 numbers:
Enterprise Resource Planning is the name for business software that combines multiple processes and departments in a particular company, and supports the various operational processes of the company in the business areas of procurement, storage, production, sales, finance, accounting… ERP system is separate from the WMS system, and they are interconnected and data exchange is enabled between them.
FEFO stands for “first expired, first out,” and it is a method of inventory management that is similar to FIFO (first in, first out). Like FIFO, FEFO is used to manage perishable goods, such as food or pharmaceuticals, which have a limited shelf life.
The main difference between FIFO and FEFO is that with FEFO, the focus is on ensuring that the goods with the shortest expiration date are used or sold first. This helps to minimize the risk of spoilage or waste.
In a warehouse setting, FEFO is often implemented using expiration date labels or stickers on the goods, which are placed in the storage area in order of expiration date. When goods are needed, they are taken from the front of the storage area, ensuring that the oldest goods are used first.
FIFO stands for “first in, first out,” and it is a method of inventory management that is based on the principle that the first goods received should be the first goods sold or used. This means that when goods are added to inventory, they are placed at the back of the storage area, and when goods are removed, they are taken from the front of the storage area.
In a warehouse setting, FIFO is often used to manage perishable goods, such as food or pharmaceuticals, which have a limited shelf life. By ensuring that the oldest goods are used first, the risk of spoilage or expiration is minimized.
FIFO can also be used to manage non-perishable goods, such as consumer products or industrial supplies. In this case, the goal is to ensure that the oldest goods are sold or used first, so that the warehouse does not end up with a backlog of outdated or obsolete inventory.
GS1 is a global organization that provides standards for supply chain management and logistics. One of the main tools used by GS1 is the GS1 barcode, which is a standardized way of identifying and tracking products using a unique numerical code.
In warehouse management, GS1 codes are used to identify and track products as they move through the supply chain. This can include information about the product’s manufacturer, the product’s type, and the product’s location.
There are several benefits to using GS1 codes in warehouse management, including:
- Improved efficiency: By using a standardized system for identifying and tracking products, it is easier to efficiently move and manage goods within the warehouse.
- Improved accuracy: GS1 codes can help improve inventory accuracy by making it easier to track and count specific products.
- Improved compliance: Many regulatory agencies and industry standards require the use of GS1 codes in order to track the movement and location of specific goods.
- Improved visibility: By using GS1 codes, it is easier to track and trace the movement of goods within the supply chain, improving overall visibility and transparency.
Unlike a conventional pallet warehouse, a high-bay warehouse has racks at least twelve meters high. These can be built up to 50 meters. In the case of the particularly high high-bay warehouses, the racks themselves are the load-bearing framework of the building, also known as a silo type of construction. Thanks to the height and construction structure, more pallets can be stored in a smaller space. Storage and retrieval machines are used in such warehouses because they allow automated operation between the individual rows of racks.
In warehouse management, an inventory count is a process of physically counting the quantities of goods that are stored in the warehouse. This is typically done to ensure that the warehouse inventory records are accurate and up-to-date.
There are several reasons why it may be necessary to conduct an inventory count, including:
- To reconcile discrepancies: An inventory count can help identify and correct discrepancies between the physical quantities of goods in the warehouse and the quantities recorded in the inventory management system.
- To prepare for an audit: An inventory count may be required as part of an audit process to verify that the warehouse is accurately tracking its inventory.
- To optimize inventory levels: An inventory count can help identify excess or obsolete inventory that can be sold or disposed of, freeing up space and reducing carrying costs.
- To identify theft or loss: An inventory count can help identify any missing goods, which may be the result of theft or loss.
Overall, the goal of an inventory count in warehouse management is to ensure that the warehouse has an accurate and up-to-date record of the quantities of goods in stock. This helps the warehouse operate efficiently and effectively, and can also help the business make informed decisions about its inventory management.
Inventory management involves tracking, organizing, and storing inventory in a warehouse. This can include tasks such as counting and verifying inventory levels, creating and maintaining inventory records, setting reorder points and safety stock levels, and forecasting future demand. Inventory management software can help automate and streamline these tasks, allowing businesses to make more informed decisions about their inventory.
A system used in lean manufacturing and inventory management to signal the need to replenish materials or products. Kanban can be used to trigger the production or procurement of items when inventory levels reach a certain point, helping to ensure that there is a steady flow of materials and finished goods through the warehouse.
The kitting process consists of compiling individual items or component parts into a ready-to-ship package, known as a kit. All individual items are located somewhere in the warehouse which then needs to be compiled together and shipped to the 3rd party as one, complete item.
LIFO stands for “last in, first out,” and it is a method of inventory management that is based on the principle that the most recently received goods should be the first goods sold or used. This means that when goods are added to inventory, they are placed at the front of the storage area, and when goods are removed, they are taken from the back of the storage area.
LIFO is often used in situations where the cost of goods is steadily increasing, such as in times of inflation. By using LIFO, a business can effectively “time” its inventory purchases, with the goal of minimizing the cost of goods sold.
An approach to warehouse management that aims to minimize waste and increase efficiency by identifying and eliminating non-value-adding activities. Lean warehousing techniques can include implementing kanban systems, using automation and real-time tracking to improve accuracy and speed, and streamlining processes to reduce errors and delays.
Position, i.e. the exact place where some goods are located within the warehouse, eg. A01-05-03.
Refers to the process of planning, organizing, and managing the movement and storage of goods, services, and information from a point of origin to a point of consumption. In a warehouse setting, logistics can include tasks such as sourcing and purchasing raw materials, managing the flow of goods through the warehouse, and coordinating transportation and delivery.
Mobile devices used by warehouse workers when working and handling goods that completely replace pen and paper. They contain a barcode reader that allows faster reading and working with goods.
In warehouse management, packing refers to the process of preparing goods for shipping or storage. This can involve a variety of tasks, including:
- Selecting the appropriate packaging materials: Depending on the type and size of the goods being shipped or stored, different packaging materials may be required, such as boxes, envelopes, bubble wrap, or foam padding.
- Packaging the goods: This involves placing the goods in the selected packaging materials and securing them in place to protect them during transport or storage.
- Labeling and marking the package: It is important to clearly label and mark the package with information such as the destination, contents, and handling instructions. This helps ensure that the package is properly handled and delivered to the correct location.
- Storing the packaged goods: Once the goods have been packaged, they can be stored in the warehouse until they are ready to be shipped out.
Overall, the goal of packing in warehouse management is to protect the goods and ensure that they arrive at their destination in good condition.
Pick & pack refers to the picking of orders in which the individual items are packed directly into a shipping carton or a shipping box, ready to be shipped to the customer.
The process of selecting and gathering items from a warehouse to fulfill an order. Picking can be done manually (outdated way), using a paper or electronic pick list, or it can be automated using robots or barcode scanner technology. Different types of picking are possible, and some of the most common are:
a) “Zone picking” – a collection of goods based on predefined zones within the warehouse, eg. entry zone, exit zone, return zone, etc.., and
b) “Batch picking” – a collective collection of goods, in such a way that the warehouse worker takes over several work orders at once, and in one tour of the warehouse collects more of the same products, for different customers. This type is often used in large area warehouses, to save workers walking time from site to site.
Process of checking whether an item is ready to be stored in the warehouse and shipped to the customer. It usually occurs during the inbound process of the goods, after the truck arrives, to check if products are in good condition. If any damage is observed, you should contact a customer to see how to resolve this issue.
Refers to the ability to track the movement and location of goods and materials in real-time. This can be especially useful in a warehouse setting, as it allows businesses to quickly locate and retrieve items when needed. Real-time tracking can be achieved using technologies such as barcode scanners and WMS system.
Receiving in warehouse management refers to the process of receiving goods that are delivered to a warehouse or storage facility. This process involves several steps, including:
- Inspecting the goods: Upon arrival, the goods should be inspected to ensure that they are in good condition and meet the expected quality standards.
- Checking the documentation: The accompanying documentation, such as the bill of lading or packing list, should be checked to ensure that the goods being received match the expected quantity and quality.
- Verifying the goods against the purchase order: The received goods should also be compared to the purchase order to ensure that everything listed on the order has been received.
- Unloading the goods: The goods should be unloaded from the delivery vehicle and moved to the appropriate storage area within the warehouse.
- Storing the goods: The goods should be properly stored in the warehouse, taking into account factors such as expiration dates, fragility, and required storage temperature.
Overall, the goal of receiving in warehouse management is to efficiently and accurately receive and store goods in a way that maximizes space and minimizes damage.
Replenishment is a special form of relocation of items. In the replenishment process, a quantity of one material is e.g. repositioned from a reserved area to an order picking area. The most common process is the replenishment of the goods from higher racks to order picking areas on lower floors, so pickers can do the picking without using forklifts to lower the goods.
A serial number is a unique numerical identifier that is assigned to a specific item or product. In warehouse management, serial numbers are often used to track and identify individual items within the warehouse.
In warehouse management, traceability refers to the ability to track the movement and location of goods within the warehouse. This can include information about when goods were received, where they were stored, and who handled them.
Traceability is important for a variety of reasons, including:
- Quality control: By tracking the movement of goods within the warehouse, it is easier to identify any potential issues or discrepancies that may have occurred during handling or storage.
- Inventory accuracy: By keeping track of the location and movement of goods, it is easier to maintain accurate inventory records and prevent shortages or excesses.
- Compliance: In some cases, traceability may be required by regulatory agencies in order to ensure that goods are being handled and stored safely and in accordance with industry standards.
- Efficiency: By tracking the movement of goods within the warehouse, it is easier to optimize storage and retrieval processes, which can help improve overall efficiency.
In warehouse management, the transfer of goods refers to the movement of goods from one location to another within the warehouse. This can involve transferring goods between different storage areas within the warehouse, or it can involve moving goods from one warehouse to another.
There are several reasons why goods may need to be transferred within a warehouse, including:
- To make room for new inventory: As new goods are received, it may be necessary to transfer existing inventory to a different storage area to free up space.
- To consolidate inventory: Transferring goods from multiple storage locations to a single location can help improve inventory accuracy and efficiency.
- To prepare for shipping: Goods may need to be transferred to a designated shipping area when they are ready to be shipped out to customers.
- To meet changing demand: If demand for a particular product changes, it may be necessary to transfer inventory from one location to another to ensure that it is readily available for customer orders.
Overall, the goal of transferring goods in warehouse management is to efficiently and accurately move goods within the warehouse in order to meet the needs of the business.
A load-bearing stand with or without superstructure, used for compressing products, creating a cargo unit for shipping, storage, and stacking in vehicles, or manipulating with the help of other mechanical means. One example of a transport unit is a pallet. The goods together with the pallet make up a complete unit of cargo, i.e. all the goods on one pallet make up 1 transport unit.
Warehouse Management System is a software solution that provides complete control over all warehousing operations and processes and accurate insight into the state of the stock, from the moment the goods enter the warehouse till the moment they exit.