Couriers, Messengers, Despatch Riders Industry Terminology
Address Validation
The process of checking and standardizing destination addresses to ensure deliverability before shipping.
Run address validation to fix missing apartment numbers; Our API flags addresses that the postal service can't verify; An invalid address surcharge was applied due to failed validation.
Air Waybill (AWB)
A non-negotiable transport document for air shipments with a unique number used for tender, tracking, and customs.
Put the AWB number on the commercial invoice; Shipment tendered under AWB 074-12345675; The airline rejected the cargo due to an incorrect AWB.
Attempted Delivery
A delivery try where handover fails due to consignee unavailability or access issues.
First attempted delivery at 10:12 AM—no one home; Three attempted deliveries trigger return-to-sender; Driver left an attempted delivery notice on the door.
Barcode Symbology
The encoding standard printed on labels (e.g., GS1-128, QR, DataMatrix) enabling scanning and routing.
Switch to GS1-128 for longer tracking IDs; Our handhelds support QR and DataMatrix symbologies; Misprints reduced barcode readability at induction.
Bill of Lading (BOL)
A legal contract/receipt between shipper and carrier describing goods and terms, often used for consolidated linehaul.
Linehaul requires a consolidated BOL; Driver wouldn’t pick up without a signed BOL; A BOL discrepancy delayed dispatch.
Brokerage (Customs Brokerage)
Service that clears goods through customs, handling declarations, duties, and compliance.
We offer in-house brokerage for DDP parcels; Brokerage fees were billed to the receiver; An incorrect HS code led to a brokerage hold.
Cash on Delivery (COD)
Payment method where the consignee pays at delivery; carrier remits funds to shipper.
COD stops require extra security; The driver collected the COD via mobile card reader; We paused cash-only COD during the pandemic.
Chain of Custody
Documented control of a shipment at each handoff to ensure accountability and integrity.
Pharma parcels require a full chain of custody; Each handoff was logged in the driver app; A custody gap voided the insurance claim.
Consignment
A shipment or batch handed to a carrier; also the act of sending goods to a consignee.
Create a consignment in the TMS; Consignment 000345 arrived at hub A; Multiple orders were consolidated into one consignment.
Contactless Delivery
Delivery without physical contact, often using photo POD, GPS, or remote signature.
Switch residential stops to contactless delivery; Photo-on-delivery counts as ePOD; Follow knock-and-leave policy for groceries.
Cross-Docking
Direct transfer from inbound to outbound vehicles with minimal storage to speed flow.
Cross-dock late linehaul to morning routes; We x-dock returns to the vendor trailer; Cross-docking cut dwell time by 30%.
Customs Clearance
Process of getting goods authorized to enter/leave a country, including duties and compliance checks.
Shipment pending customs clearance; Use paperless invoices to pre-clear; Clearance delays caused missed SLAs.
Deadhead Miles
Distance traveled empty, without payload—wasted time and fuel.
Backfill deadhead miles with marketplace loads; Optimize routes to reduce deadheading; A breakdown created extra deadhead after the last drop.
Delivery Window
The agreed time range for delivery at destination.
Customer chose a 2–4 PM delivery window; We missed the window by 15 minutes; Dynamic windows adjust based on traffic.
Despatch Rider
A motorcycle courier specializing in rapid movement of documents and small parcels in dense cities.
Use a despatch rider for urgent filings; Riders queued at the courthouse; Implement rain gear policies for despatch riders.
Dimensional Weight (DIM)
Pricing based on parcel volume to reflect space usage, not just actual weight.
Carrier billed DIM, not actual weight; Reduce box size to avoid DIM charges; The DIM divisor changed this year.
Dispatch (Dispatching)
Assigning and releasing pickup/delivery jobs to drivers in real time.
Dispatch pushed three hot shots to Route 12; Automated dispatch reduced wait time; We used manual dispatch for a hazmat load.
Electronic Data Interchange (EDI)
Standardized machine-to-machine exchange of business docs (e.g., 204 load tender, 214 status, 210 invoice).
Send 214 status updates via EDI; Retailer mandates EDI compliance; Fail over to API when EDI is down.
Electronic Proof of Delivery (ePOD)
Digital confirmation of delivery, often with signature, photo, timestamp, and GPS coordinates.
ePOD photo shows the doorstep; Signature captured on glass; ePOD sync failed while offline.
Estimated Time of Arrival (ETA)
Predicted arrival time based on routing, traffic, and status signals.
Live ETA improved customer satisfaction; ETA recalculated after a road closure; SMS the ETA to the consignee.
Exception Management
Processes and tools for detecting, communicating, and resolving shipment issues (damage, delay, address).
Auto-create tickets for exceptions; Standardize exception codes; Notify customers when an exception occurs.
Express Service
Premium expedited shipping with faster transit and priority handling.
Upgrade to express for next-day; Use the express lane at sortation; An express surcharge applies.
First Mile
The initial leg from seller or warehouse into the carrier network.
First-mile pickup is at 5 PM; Micro-fulfillment improves the first mile; Bundle first-mile stops for efficiency.
Fleet Telematics
Technology for monitoring vehicle location, utilization, and driver behavior.
Telematics cut idling by 12%; Install dashcams and OBD trackers; Configure geofences in the telematics platform.
Fuel Surcharge
Variable fee indexed to fuel prices, added to base transportation rates.
Weekly fuel surcharge is 19%; Contract caps fuel at 25%; The invoice shows fuel as a separate line item.
General Rate Increase (GRI)
A carrier’s periodic increase to base tariff rates, excluding fuel and some accessorials.
Budget for the 6.9% GRI; GRI announced effective January 1; Pass the GRI through to clients.
Geofencing
Virtual boundaries that trigger events when devices enter or exit an area.
Auto-arrive when entering the depot geofence; Use geofence proofs for SLA audits; Avoid deliveries inside the school geofence during hours.
Goods in Transit (GIT) Insurance
Coverage protecting shipments against loss or damage while handled by carriers.
Add GIT for high-value electronics; File a claim under the GIT policy; GIT excludes poor packing claims.
Hazmat (Hazardous Materials)
Regulated dangerous goods requiring special packaging, labeling, documentation, and training.
Lithium batteries can be hazmat; Driver needs a hazmat endorsement; Parcel rejected due to missing hazmat labels.
Hours of Service (HOS)
Rules limiting driving hours and mandating rest to improve safety.
HOS reset after 34 hours; Electronic logs ensure HOS compliance; The proposed route would violate HOS limits.
Hub-and-Spoke
Network design where hubs consolidate and sort; spokes handle local pickup and delivery.
Move to two hubs and twelve spokes; Late linehaul into the hub caused misses; Hub rebalancing improved throughput.
Incoterms
Standard trade terms (e.g., DDP, DAP) defining responsibilities, risk transfer, and costs in international shipments.
Ship under DDP to reduce surprises; Incoterms misalignment caused a duty dispute; DAP requires consignee to pay taxes.
Injection (Postal Injection)
Inducting parcels deep into a postal or partner network near destination to cut cost and transit.
Inject into USPS at the destination SCF; Plan Canada Post injection post-peak; The carrier offers regional injection.
Import One-Stop Shop (IOSS)
EU scheme allowing VAT collection at point of sale for low-value imports (≤ €150).
Print the IOSS ID on the label; Parcel held—missing IOSS number; The marketplace remits VAT via IOSS.
Job Dispatching
Real-time assignment and sequencing of pickup/delivery tasks by proximity, capacity, and SLAs.
Auto-dispatch jobs to the nearest rider; Dispatch throttled due to storms; Manual override for a VIP job.
Key Performance Indicator (KPI)
A quantifiable metric used to measure performance and guide decisions.
OTD is our primary KPI; Track first-attempt success as a KPI; Driver utilization KPI improved this quarter.
Knock-and-Leave
Practice of knocking, leaving the parcel, and departing without signature, often supported by photo POD.
Set groceries to knock-and-leave; Policy forbids knock-and-leave for alcohol; Require a photo for knock-and-leave deliveries.
Label Compliance
Adherence to required label content and formats to ensure scan-ability and routing accuracy.
Missing GS1 AIs violated label compliance; Label QA failed at induction; The portal validates label compliance before printing.
Last Mile
The final delivery leg to the end customer—costly and operationally complex.
Last-mile costs dominate our P&L; Crowdsourced drivers cover the last mile; EVs deployed for last-mile routes.
Linehaul
Long-distance transportation between terminals/hubs within the network.
Linehaul arrives at 2 AM; Share linehaul with a partner to cut costs; Friday linehaul capacity is tight.
Locker Delivery (Parcel Locker)
Delivery to secure lockers where recipients retrieve parcels with a code or app.
Shift failed home deliveries to lockers; The locker network expanded downtown; An OTP is sent for locker pickup.
Manifest
A compiled list of shipments on a vehicle or flight used for handover, reconciliation, and audits.
Close the manifest before departure; A mismatch appeared during manifest audit; Print driver manifests from the TMS.
Micro-fulfillment Center (MFC)
Small urban fulfillment site near consumers to enable rapid delivery.
Use MFCs for two-hour delivery; Nightly MFC restock from the DC; Robotics deployed in the MFC.
Missort
A parcel routed to the wrong facility or route due to scanning/sorting error.
Missort found at hub B; Reduce missorts with better OCR; Missort exceptions are auto-redirected.
Network Optimization
Modeling and reconfiguring facilities, routes, and volumes to improve service at lower cost.
Run a network study post-merger; Add a regional hub per the model; Optimization showed zone-skipping gains.
Next Flight Out (NFO)
Time-critical service that books space on the next available flight for fastest transit.
Send the lab sample NFO; NFO quotes include tender and recovery fees; A rider will make the NFO tender.
Non-Delivery Report (NDR)
Documentation of a failed delivery attempt and next steps.
NDR code 23—address incomplete; The call center works NDRs daily; NDR volume spiked after the storm.
On-Time Delivery (OTD)
KPI measuring the share of deliveries completed within promised windows.
OTD improved to 96%; Bonuses are tied to OTD; Weather exceptions are carved out of OTD.
Order Management System (OMS)
Software that manages orders, inventory allocation, and fulfillment orchestration.
OMS triggers carrier selection; Sync the OMS with WMS and TMS; The OMS split the order into two consignments.
Out for Delivery (OFD)
Status indicating a parcel is on a vehicle headed to the consignee.
OFD text sent at 8:05 AM; The parcel stayed OFD after a breakdown; Customers track OFD in the app.
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