Logistic terms

Open Cover.

Abbreviation: OBO Vessel. Vessel, designed for the carriage of either dry or liquid bulk cargo.

Products or materials that cannot be or are unlikely to be used in future processes and which are to be sold or disposed of through the usual outlets.

Bill of Lading (B/L) issued by the actual shipping line.

Abbreviation: OEM. Customers who incorporate the exporter’s product into their own merchandise for resale under their own brand names.

The organization of logistics contract work carried out at sea (e.g. logistics in drilling for oil).

Abbreviation: OBO Vessel. Vessel, designed for the carriage of either dry or liquid bulk cargo.

Bill of Lading confirming the receipt of merchandise and the fact that it was loaded on board the ocean vessel.

Bill of Lading which states that the cargo has been stowed on deck.

Charge which applies to carriage over the lines of a single carrier (air cargo).

Charge which applies to carriage over the lines of a single carrier (air cargo).

Carriage of goods (containers) by any mode of transport to the place of delivery after discharge from the ocean vessel (main means of transport) at the port (place) of discharge.

Disposable Pallet, only used once. Note: The addition “One Way” has nothing to do with the number of pallet sides in which the forks of e.g. a fork lift can enter, as opposed to the two- and four-way pallets.

The organization of logistics contract work carried out on land.

Abbreviation: O/A. Trade arrangement in which goods are shipped to a foreign buyer without guarantee of payment. The obvious risk this method poses to the supplier makes it essential that the buyer’s integrity be unquestionable. The transaction is payable when specified (i.e., R/M return mail; E.O.M. end of month; 30 days – 30 days from date of invoice; 2/10/60 – 2% discount for payment in 10 days, net if paid 60 days from date of invoice). If no term is specified O/A usually implies payment by return mail.

Marine insurance policy that applies to all shipments made by an exporter over a period of time rather than to one shipment only.

Open Order

Exposure to a foreign-exchange risk not covered by an offsetting transaction.

Shipping container with frames of wire mesh at the sides covered by means of a tarpaulin which can be dropped down to give unrestricted access to the sides of the container for loading or discharging.

Shipping container similar in all respects to a general purpose container except that it has no rigid roof but may have a flexible and movable or removable cover, for example one made of canvas or plastic or reinforced plastic material normally supported on movable or removable roof bows.

Ratio of the actual output of a piece of equipment, department, or plant as compared to the planned or standard output.

Party responsible for the day-to-day operational management of certain premises such as warehouses, terminals and vessels.

Orderly transit of merchandise from the point of origin to the final destination without interruptions or delays resulting from the action or inaction of any party at interest.

Achieving the best possible solution to a problem in terms of a specified objective function.

Cargo of which the final destination is not defined at the moment of departure of the vessel, but will be indicated during the voyage.

Port of which it is not known whether or not it will be called by a vessel during a voyage.

Bill of Lading which gives the carrier the right to stow cargo wherever they see fit, especially with respect to the stowage of containers on deck.

Request to deliver specified quantities of goods or to render specific services.

Negotiable Bill of Lading made out to the order of a named party.

Each line on a customer’s purchase order. An order line always contains one Stock Keeping Unit (SKU) only, but the number may vary.

Abbreviation: OEM. Customers who incorporate the exporter’s product into their own merchandise for resale under their own brand names.

Cargo of which dimensions exceed the normal dimensions of a 20- or 40-feet container, e.g. overlength, overwidth, overheight, or combinations thereof.

Shipping line, which operates on a route served by a liner conference but which is not a member of that conference.

Written statement by a stevedoring company in which the condition of cargo discharged from a vessel is noted along with any discrepancies in the quantity compared with the vessel’s manifest.

Operations to be performed on outgoing goods from a production unit, both administrative and physical, starting at the moment forwarding orders can be executed to the moment of actual departure of the goods.

Rate per kilogram to be charged for the over pivot weight (air cargo).

Weight in excess of the pivot weight (air cargo).

All additional premiums charged on an open cover declaration where the carrying vessel is outside the scope of the classification clause. It may be applied, also, to additional premium charged for breach of navigational warranties (e.g. institute warranties) where the ship is more than 15 years old.

Carrier within a consortium which carries cargo beyond the allotment distributed to them.

Cargo exceeding the standard height.

Cargo exceeding the standard length.

Unit used by a single shipper to contain one or more package(s) and to form one handling unit for convenience of handling and stowage. Dangerous goods packages contained in the overpack must be properly packed, marked, labeled and in proper condition as required by the regulations regarding dangerous goods (air cargo).

Work beyond normal established working hours.

Cargo exceeding the standard width.

Legal owner of cargo, equipment or means of transport.

Four-letter code that forms the first part of a container identification number indicating the owner of a container.