CLTD - Module 4
Dekitting - answerThe removal of accessories or part kits from a product and returning
the kit to the store or main product without the kit to the store. May also refer to the
allowance of the resale of kits or products without their part kits.
Buffer - answer1.) A quantity of materials awaiting further processing. It can refer to raw
materials, semifinished stores or hold points, or a work backlog that is purposely
maintained behind a work center. 2.) In the theory of constraints, this can be time or
material and support throughput and/or due date performance. This can be maintained
at the constraint, convergent points (with a constraint part), divergent points, and
shipping points.
Slip Sheet - answerThing sheets of fiberboard or plastic on which product is stacked,
used as an alternative to wood pallets because they take up little space in warehouses
or shipping containers.
Consolidation - answerPackages and lots that move from suppliers to a carrier terminal
and are sorted and then combined with similar shipments from another supplier's
container load or truckload for travel to a final destination.
Kitting - answerThe process of constructing and staging kits.
Duty Paid Warehouses - answersee: public warehouse
Distribution Center (DC) - answerTypically a finished goods warehouse designed for
demand-driven rapid distribution to retailers (retail distribution centers), wholesalers, or
direct shipments to customers (order fulfillment centers). Cross-docking warehouses are
another type.
Work in Process (WIP) - answerA good or goods in various stages of completion
throughout the plant, including all material from raw material that has been released for
initial processing up to completely processed material awaiting final inspection and
acceptance as finished goods inventory. Many accounting systems also include the
value of semifinished stock and components in this category.
Safety Stock - answer1.) In general, a quantity of stock planned to be in inventory to
protect against fluctuations in demand or supply. 2.) In the context of master production
scheduling, the additional inventory and capacity planned as protection against forecast
errors and short-term changes in the backlog. Overplanning can be used to create this.
Cube Utilization - answerIn warehousing and transportation, a measurement of the
utilization of the total storage capacity of a vehicle storage bay, container, type of
, warehouse equipment, or entire warehouse. The intent is to minimize unused horizontal
or vertical space.
Overstock - answerA supply or quantity of inventory in excess of demand or
requirements.
Bonded Warehouse - answerBuildings or parts of buildings designated by the U.S.
Secretary of Transportation for storing imported merchandise, operated under U.S.
Customers supervision.
Order Fill Rate - answer1.) A measure of customer orders fulfilled from stock, usually
expressed as a percentage. In a make-to-stock company, this percentage usually
represents the number of items or dollars (on one or more customer order) that were
shipped on schedule for a specific time period, compared with the total that were
supposed to be shipped in that time period. 2.) In a make-to-order company, it is usually
some comparison of the number of jobs or dollars shipped in a given time period (ex: a
week) compared with the number of jobs or dollars that were supposed to be shipped in
that time period.
Backorder - answerAn unfilled customer order or commitment. It is an immediate (or
past due) demand against an item whose inventory is insufficient to satisfy the demand.
Automatic Identification and Data Capture (AIDC) - answerA set of technologies that
collect data about objects and then send these data to a computer without human
intervention. Examples include radio frequency wireless devices and terminals, bar
code scanners, and smart cards.
Ordering Cost - answerUsed in calculating order quantities, the costs that increase as
the number of orders placed increases. It includes costs related to the clerical work of
preparing, releasing, monitoring, and receiving orders, the physical handling of goods,
inspections, and setup costs, as applicable.
Private Warehouse - answerA company-owned warehouse
Pallet - answerA platform designed to be loaded with packages and moved by a forklift.
80-20 - answerA term referring to the Pareto principle. The principle suggests that most
effects come from relatively few causes; that is, 80 per cent of the effects (or sales or
costs) come from 20 percent of the possible causes (or items)
Warehouse Management System (WMS) - answerA computer application system
designed to manage and optimize workflows and the storage of goods within a
warehouse. These systems often interface with automated data capture and enterprise
resources planning systems.
Dekitting - answerThe removal of accessories or part kits from a product and returning
the kit to the store or main product without the kit to the store. May also refer to the
allowance of the resale of kits or products without their part kits.
Buffer - answer1.) A quantity of materials awaiting further processing. It can refer to raw
materials, semifinished stores or hold points, or a work backlog that is purposely
maintained behind a work center. 2.) In the theory of constraints, this can be time or
material and support throughput and/or due date performance. This can be maintained
at the constraint, convergent points (with a constraint part), divergent points, and
shipping points.
Slip Sheet - answerThing sheets of fiberboard or plastic on which product is stacked,
used as an alternative to wood pallets because they take up little space in warehouses
or shipping containers.
Consolidation - answerPackages and lots that move from suppliers to a carrier terminal
and are sorted and then combined with similar shipments from another supplier's
container load or truckload for travel to a final destination.
Kitting - answerThe process of constructing and staging kits.
Duty Paid Warehouses - answersee: public warehouse
Distribution Center (DC) - answerTypically a finished goods warehouse designed for
demand-driven rapid distribution to retailers (retail distribution centers), wholesalers, or
direct shipments to customers (order fulfillment centers). Cross-docking warehouses are
another type.
Work in Process (WIP) - answerA good or goods in various stages of completion
throughout the plant, including all material from raw material that has been released for
initial processing up to completely processed material awaiting final inspection and
acceptance as finished goods inventory. Many accounting systems also include the
value of semifinished stock and components in this category.
Safety Stock - answer1.) In general, a quantity of stock planned to be in inventory to
protect against fluctuations in demand or supply. 2.) In the context of master production
scheduling, the additional inventory and capacity planned as protection against forecast
errors and short-term changes in the backlog. Overplanning can be used to create this.
Cube Utilization - answerIn warehousing and transportation, a measurement of the
utilization of the total storage capacity of a vehicle storage bay, container, type of
, warehouse equipment, or entire warehouse. The intent is to minimize unused horizontal
or vertical space.
Overstock - answerA supply or quantity of inventory in excess of demand or
requirements.
Bonded Warehouse - answerBuildings or parts of buildings designated by the U.S.
Secretary of Transportation for storing imported merchandise, operated under U.S.
Customers supervision.
Order Fill Rate - answer1.) A measure of customer orders fulfilled from stock, usually
expressed as a percentage. In a make-to-stock company, this percentage usually
represents the number of items or dollars (on one or more customer order) that were
shipped on schedule for a specific time period, compared with the total that were
supposed to be shipped in that time period. 2.) In a make-to-order company, it is usually
some comparison of the number of jobs or dollars shipped in a given time period (ex: a
week) compared with the number of jobs or dollars that were supposed to be shipped in
that time period.
Backorder - answerAn unfilled customer order or commitment. It is an immediate (or
past due) demand against an item whose inventory is insufficient to satisfy the demand.
Automatic Identification and Data Capture (AIDC) - answerA set of technologies that
collect data about objects and then send these data to a computer without human
intervention. Examples include radio frequency wireless devices and terminals, bar
code scanners, and smart cards.
Ordering Cost - answerUsed in calculating order quantities, the costs that increase as
the number of orders placed increases. It includes costs related to the clerical work of
preparing, releasing, monitoring, and receiving orders, the physical handling of goods,
inspections, and setup costs, as applicable.
Private Warehouse - answerA company-owned warehouse
Pallet - answerA platform designed to be loaded with packages and moved by a forklift.
80-20 - answerA term referring to the Pareto principle. The principle suggests that most
effects come from relatively few causes; that is, 80 per cent of the effects (or sales or
costs) come from 20 percent of the possible causes (or items)
Warehouse Management System (WMS) - answerA computer application system
designed to manage and optimize workflows and the storage of goods within a
warehouse. These systems often interface with automated data capture and enterprise
resources planning systems.
