Terminology list140822
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IKEA of Sweden Terminology list Supplying & Logistics
Transcript of Terminology list140822
IKEA of Sweden
Terminology list Supplying & Logistics
Terminology list
Welcome!
Right now you are holding the official Supplying Terminology List in your hand. The aim with this document is to help all IKEA co-workers in understanding all the, sometimes complex, words used within Supplying. All words in this list has been approved by the responsible Process Leaders.
The Terminology List is updated several times per year which means that the Terminology List is always up to date. This also means that it is not recommended to print the list as printed versions quickly will be outdated.
This type of list is never complete and we need your help to keep it alive and updated. If you would like to propose a new word, change a definition or even delete a word send a mail to the responsible Process Leader from the list below (if you are not sure send it to Jonathan Catlow). The responsible Process Leader will review your case and if everything is ok make sure it will be in the next release of the Terminology List.
Finally just a little tip on how to use the document: In the content list you can click on any word to jump directly to the description of the word. If you rather browse through the document all words are sorted in alphabetical order.
Happy Reading!
Publish dates FY14:
September 3rd October 8th November 5th
December 3rd February 4th March 4th
April 8th May 6th June 3rd
Contact list:
Name Process Leader for: E-mail
Stefan Holmberg Plan Supply [email protected]
Thierry Vonthron Optimise Supply Chain Network
Plan and Manage Delivery
Jonathan Catlow Plan Demand [email protected]
Paul Björnsson Plan Capacity [email protected]
Author(s) : reld
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Terminology list
Contents ACTIVITY 7 ADVICE NOTE 7 ALLOCATE CAPACITY 7 ALLOCATED QUANTITY – RESERVED GOODS IN TRANSIT 7 ALLOCATION 7 ARRIVAL CALENDAR IDENTIFIER 7 ASSEMBLY LEAD TIME 7 BLOCKED GOODS IN TRANSIT 7 BOOKING QUALITY 7 BOOKING RESERVED INVENTORY 8 CAPACITY REQUIREMENT 8 CAPACITY REQUIREMENTS PLAN 8 CAPACITY UTILIZATION 8 CAPACITY VALUE 8 CARRY OUT DELIVERY 8 CENTRAL CUSTOMER DELIVERY 8 CENTRAL PARCEL UNIT 8 CENTRAL STOCK KEEPING SUPPLY 8 CNS 9 COMBINED SUPPLY 9 COMBINED SUPPLY COMMITMENT DRIVEN 9 COMBINED SUPPLY DEMAND DRIVEN 9 COMPLETENESS 9 CONCEPT 9 CONSIGNEE 9 CONSIGNMENT 10 CONSIGNMENT NOTE 10 CONSIGNOR 10 CONSOLIDATION 10 CONSOLIDATION POINT 10 CONSOLIDATOR 10 CONSOLIDATOR’S BILL OF LADING 10 CONSTRAINED PLANNING 10 CONTROLLING 10 CORRECTNESS 11 COST LANDED SALES SPACE 11 COUNTRY FLEX RANGE 11 CROSS-BORDER TRANSPORT 11
CROSS-DOCKING 11 CUSTOMER DISTRIBUTION CENTRE 11 CUSTOMER DISTRIBUTION TRANSPORT 11 DEDICATE CAPACITY 11 DELAYED DELIVERY 11 DELIVERED AT FRONTIER 12 DELIVERED DUTY PAID 12 DELIVERED DUTY UNPAID 12 DELIVERED EX QUAY 12 DELIVERED EX SHIP 12 DELIVERY COMPLETED 12 DELIVERY CONDITIONS 12 DELIVERY DATE 12 DELIVERY DESTINATION 12 DELIVERY DOCUMENTS 12 DELIVERY FREQUENCY 13 DELIVERY INFORMATION 13 DELIVERY INSTRUCTION 13 DELIVERY LEAD-TIME 13 DELIVERY METHOD 13 DELIVERY NETWORK 13 DELIVERY NOTE 13 DELIVERY NOTIFICATION 13 DELIVERY OFFER 13 DELIVERY OPTIONS 14 DELIVERY PLAN 14 DELIVERY POINT 14 DELIVERY POSSIBILITIES 14 DELIVERY REGION 14 DELIVERY RELATION 14 DELIVERY RELIABILITY 14 DELIVERY SCHEDULER 14 DELIVERY SERVICE COMPANY 14 DELIVERY SOLUTION 14 DELIVERY SPLIT 14 DELIVERY TERMS 15 DELIVERY TYPE (MHS) 15 DELIVERY WINDOW 15 DEMAND FORECAST 15 DEMAND FORECAST ACCURACY 15 DEMAND PLANNING 15
Author(s) : reld
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DIRECT DELIVERY 15 DIRECT DELIVERY CUSTOMER 15 DIRECT DELIVERY STRUCTURE 16 DIRECT DISTRIBUTION CUSTOMER 16 DIRECT FLOW 16 DIRECT SUPPLY 16 DISPATCH AVAILABILITY CALENDAR 16 DISPATCH DATE ACTUAL 16 DISPATCH DATE PLANNED 16 DISPATCH LEAD TIME 16 DISPATCH TIME 16 DISPATCHED ORDER 16 DISTRIBUTION CENTRE 16 DISTRIBUTION MODE 17 DISTRIBUTION NETWORK 17 DOMESTIC DELIVERY 17 DOOR TO FLOOR POINT 17 DOOR TO FLOOR POINT PLUS 17 DOOR TO FLOOR POINT SALES SPACE 17 END POINT 17 EUROPEAN LOW FLOW 17 EXECUTING 17 EXTERNAL RETURNS 17 FAILED DELIVERY 18 FILLING RATE 18 FINAL DESTINATION 18 FLEX CONCEPT 18 FLEX GOODS 18 FLEX RANGE ARTICLE 18 FLEXIBLE REPLENISHMENT 18 FLOW TYPE 18 FRAMEWORK 18 FREE CARRIER 19 FREE ON BOARD 19 FULFILMENT STORE 19 FULL TRUCK LOAD 19 GOODS IN TRANSIT 19 GUIDELINE 19 HUB 19 INBOUND STEERING PRIORITY 19 INCOTERMS 19 INDIRECT FLOW 19 IN-DOOR DELIVERY 20
LESS CONTAINER LOAD 20 LESS TRUCK LOAD 20 LOAD (WORKLOAD) 20 LOAD OFFSET DURATION 20 LOAD OPTIMISATION 20 LOAD LEVELLING 20 LOAD PROFILE 20 LOADING INSTRUCTIONS 20 LOADING POINT 21 LOADING SEQUENCE 21 LOADING SLOT 21 LOADING UNIT 21 LOADING UNIT TRIP 21 LOADING UNIT TRIP LEG 21 LOADING UNIT TYPE 21 LOCAL ACTIVITY 21 LOCAL SERVICE CENTRE 21 LONG TERM CAPACITY PLANNING 21 LONG TERM PLANNING 21 MID-RECEIVER 22 MID(MEDIUM)-TERM CAPACITY PLANNING 22 MID(MEDIUM)-TERM NEED PLANNING 22 MID (MEDIUM)-TERM PLANNING 22 MILK-RUN 22 MINIMUM DELIVERY QUANTITY 22 MINIMUM DRP PLANNING QUANTITY 22 MONITORING 22 MULTI-FUNCTIONAL LOGISTICS UNIT 22 NEED ARRIVE DATE 22 NEED DISPATCH DATE 23 NEED PLANNING 23 NON CENTRAL STOCK KEEPING SUPPLY 23 OPERATIONAL CAPACITY PLANNING 23 OPERATIONAL NEED PLANNING 23 OPERATIONAL PLANNING 23 OPTIMIZATION 23 ORDER FREQUENCY 23 ORDER PRIORITY 24 ORDERING LEAD-TIME 24 OUTBOUND 24 OUTBOUND STEERING PRIORITY 24 OUTFLOW 24
Author(s) : reld
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PARCEL DELIVERY 24 PICKING GROUP 24 PICK UP POINT 24 PLANNED ARRIVALS 24 PLANNED END 24 PLANNED SALES START DATE SU 24 PLANNED SHIPMENT 25 PLANNING 25 PLANNING HORIZON 25 PLANNING LEVEL 25 PRE-NOTIFICATION 25 PRE-NOTIFICATION TOOL 25 PREPARATION LEAD TIME 25 PRINCIPLE 25 PROJECT 25 PROCESS 26 RECEIVE GOODS 26 RECEIVED ORDER 26 RECEIVED QUANTITY 26 RECEIVER CLUSTER 26 RECEIVING AREA 26 RECEIVING LEAD TIME 26 RECEIVING WINDOW 26 RECOMMENDED ARRIVAL 26 RECOMMENDED SHIPMENT 26 RECOMMENDED SHIPMENTS PUSH OPTION 27 REPLENISHMENT 27 REPLENISHMENT CONCEPT 27 REPLENISHMENT ORDER 27 REPLENISHMENT PARAMETERS 27 REPLENISHMENT POINT 27 REPLENISHMENT RELATION 27 REPLENISHMENT SOLUTION 27 REPLENISHMENT TYPE 27 RE-ROUTING 28 RE-STEERING 28 ROUTE 28 ROUTE PLANNING 28 SALES FORECAST 28 SALES FORECAST ALIGNMENT 28 SALES GOALS 28 SALES PLANNING 28
SCHEDULED ARRIVAL DATE 29 SCHEDULED RECEIPTS 29 SCHEDULED SHIPMENT DATE 29 SCHEDULING 29 SENDER CLUSTER 29 SENDER LEAD TIME 29 SHIP STATUS 29 SHORT TERM CAPACITY PLANNING 29 SHORT TERM PLANNING 29 SIMULATION 30 STMS 30 STOCK BUILD 30 STORE TO DC 30 STORE TO STORE 30 STRATEGIC PLANNING 30 SUPPLIER MATRIX 30 SUPPLY CHAIN MATRIX 31 TACTICAL CAPACITY PLANNING 31 TACTICAL NEED PLANNING 31 TACTICAL PLANNING 31 TASK DESCRIPTION 31 TASK FORCE 31 TIME WINDOW 31 TOTAL INTRANSITS IN 31 TOTAL LEAD TIME 31 TOTAL LOSS&DAMAGE 32 TOTAL SHIPMENTS 32 TOUR 32 TRACK & TRACE 32 TRANSIT 32 TRANSPORT BOOKING 32 TRANSPORT CHAIN 32 TRANSPORT FILLING RATE 32 TRANSPORT ROUTE 32 TRANSPORT SERVICE PROVIDER 32 TRANSPORT VOLUME 32 UNIT LOAD 33 UNLOADING POINT 33 UNLOADING SLOT 33 WORKING METHOD 33 WORKING ROUTINE 33
Author(s) : reld
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Author(s) : reld
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Activity Smallest unit of work having four characteristics:
- definite duration
- logic relationships with other activities in the project
- resource consumption
- an associated cost. Often used as an alternative term for task.
Abbreviation:
Advice note Notification of a delivery to the CDC. Corresponds to a consignment. Abbreviation:
Allocate capacity Capacity that is assigned to a given Product group within a given Resource group.
Restriction (on Resource group level):
- Sum allocated capacity <= dedicated capacity
Abbreviation:
Allocated Quantity – Reserved Goods in Transit The physical quantity that is assigned from Goods in Transit for the fulfillment of an order, e.g. assigning one specific order for cross docking to an outgoing order.
Abbreviation:
Allocation To split a quantity of article to one or more receivers, e.g. with phasing in and phasing out, split of block orders, balance the stock (over stock and/or shortage).
Abbreviation:
Arrival Calendar identifier This defines the name of a calendar that denotes any periods of time that the destination location is not open to receive any deliveries. In Need Cap also used to reflect Suppliers dispatch days to a certain destination.
Abbreviation:
Assembly lead time The Assembly lead time is an optional value to be used when there is a need to extend the Preparation lead time for a certain Sender-Receiver or Item-Sender-Receiver combination.
Abbreviation:
Blocked Goods in Transit The part of the Goods in Transit which is blocked due to Customs, Licence, Quality etc. reasons.
Abbreviation:
Booking quality Net Volume divided by Booked Volume.
Abbreviation:
Author(s) : reld
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Booking reserved Inventory Booking Reserved Inventory is a system, which provides real-time booking capability directly against stock in a warehouse.
Abbreviation:
Capacity requirement The resources needed on Resource group level to produce the projected IKEA need for related Product group/groups for an agreed time period. Capacity requirements can be expressed in different unit of measurements.
Abbreviation:
Capacity requirements plan A time-phased display of present and future load (capacity required) on all resources based on planned and released orders and the planned capacity of these resources over span of time.
Abbreviation:
Capacity utilization The actual use of a supplier's capacity. It is defined as the Capacity requirements used divided by the dedicated capacity for a given time period.
Abbreviation: Capacity value Value (translated to pieces) that is allocated to a given Product group for a single or number of Resource groups that limit total production throughput.
Abbreviation:
Carry Out Delivery On arrival at the customer's address the delivery is unloaded according to the set rules. During unloading the customer should be able to check all the goods by the set rules. The customer must be asked to sign the delivery note and clearly report any deviations
Abbreviation:
Central Customer Delivery IKEA or a transport service provider contracted by IKEA transports the goods from a stock location in a central warehouse, i.e. customer distribution centre, or other central point such as a supplier, on behalf of the customer to him/her or to a pick-up point.
Abbreviation: CCD
Central Parcel Unit A Central Parcel Unit is a ‘central’ logistic unit with centrally stocked parcel range used as the first choice to pick, prepare and deliver directly to Customer’s requested address and/or to a ‘Pick Up point’. The orders fulfilled are Customer Orders generated in Store or by a Customer shopping on-line.
Abbreviation:CPU
Central Stock Keeping Supply In this Replenishment Concept, IKEA Stock is kept both at the selling unit and a central distribution center. The selling unit is replenished by the distribution center.
Abbreviation:
Author(s) : reld
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CNS The Cargo Network Services was developed to support IKEA´s transport needs in an efficient and userfriendly way and to always have control of goods in transit where they are and to what cost. All transport needs are stored in one system independent of order method or organisation.
Abbreviation: CNS
Combined Supply Combined Supply is a replenishment Concept where one article can be delivered to a single Selling Unit from the Supplier (Direct Delivery) and also from the Distribution Centre (DCG Delivery) during the same time period, whilst using the Safety Stock calculation in the Selling unit based on the lowest Lead-time from Distribution Centre to Selling Unit. Within the Combined Supply replenishment we can use two different solutions: Combined supply demand driven and Combined supply Comittment driven.
Abbreviation:
Combined Supply Commitment Driven One of two types of Combined Supply replenishment solutions.
A Direct share between the supplier and store/Customer Distribution Centre is defined. Orders created based on pre-defined supplier-article-store-quantity and delivery frequency.
Abbreviation:
Combined Supply Demand Driven One of two types of Combined Supply replenishment solutions.
A Direct share between the supplier and store/Customer Distribution Centre is defined. Orders created using the Centralized Need Calculation logic.
Abbreviation: DDr
Completeness Supply Plan Completeness is defined as the extent to which an Original Supply Plan includes all the relations and volumes (flow) of goods actually ordered at a pre-defined later point in time. Completness can be asessed on different time horizons. NB Completeness is measured on relation level. An increased order volume in an existing and originally planned flow, can never compensate for the absence of a goods flow in a relation not included in the original Supply Plan.
Abbreviation:
Concept A notion or statement of an idea, expressing how something might be done or accomplished, that may lead to an accepted procedure.
Abbreviation:
Consignee The final destination of the goods.
Abbreviation:
Author(s) : reld
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Consignment A group of one or more items for one receiver that is sent at one occasion and administratively kept together during transportation.
Abbreviation:
Consignment note The document that details the content of a consignment (articles, quantities) and that identifies the consignment by displaying the Consignment Id.
The Consignment Note usually accompanies the physical consignment on its way from consignor to consignee and it is used by the consignee to make the link between the physical consignment and its corresponding information in IKEA's computer systems.
Abbreviation:
Consignor The original sender of the goods.
Abbreviation:
Consolidation The combining of less than truckload (LTL), or less than container load (LCL), shipments from a number of consignors to increase filling rates.
Abbreviation:
Consolidation Point An IKEA or non-IKEA unit consolidating or de-consolidating goods. See Consolidation.
Abbreviation:
Consolidator A company that provides consolidation services.
Abbreviation:
Consolidator’s Bill of Lading A bill of lading issued by a consolidation freight forwarder to a shipper. (Reference from: Dictionary of International Trade 4th Edition)
Abbreviation:
Constrained planning Constrained Planning is defined as the process of identifying and modifying an existing plan that cannot be executed, into one which can. The Constrained Planning process considers a variety of constraints related to Supplier production or dispatch capabilities, Transport capabilities, Central Storing and handling capabilities, and receiving and storing capabilities in Retail Selling Units within a 0-20 weeks time horizon.
Abbreviation:
Controlling Comparing actual to planned performance and taking corrective action, as needed, to align performance to plan.
Abbreviation:
Author(s) : reld
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Correctness The Supply Plan Correctness is defined as the extent to which an Original Supply Plan is aligned with the later ordering of the very same item(s), seen either from a Sender or Receiver perspective. Correctness can be assessed on different time horizons. NB A discrepancy due to the late actual ordering of goods, not part of the original Supply Plan, is a matter of Completeness, not Correctness.
Abbreviation:
Cost Landed Sales Space Total IKEA supply cost from the supplier to the place where the article is available for the customer.
Abbreviation:
Country Flex Range The range in a Country (Retail Unit) for which the stores belonging to that country can select articles according to the Flex Concept. Flex orders are usually used to optimize the Delivery from a DC to a store.
Abbreviation:
Cross-border Transport A transfer of goods between a sender (consignor) and a receiver (consignee) in two different countries.
Abbreviation:
Cross-docking Cross-docking of goods is the activity consisting of assigning existing orders against inbound inventory to facilitate efficient handling in a Distribution Centre (DC).
Abbreviation:
Customer Distribution Centre A Customer Distribution Centre is a ‘central’ logistic unit that for lead-time and/or economical reasons, is the first choice to execute picking and dispatch activities, for orders, generated in the Store or by a Customer on-line to be delivered to a Customer’s requested address or ‘Pick Up point’, within a defined geographical area.
Abbreviation:CDC
Customer Distribution Transport Customer Delivery Transport provides a delivery service for a customer delivery from CDC or from a stock location in Store or External handout to customer's home or to a Pick-up Point.
Abbreviation: CDT
Dedicate capacity Capacity that is designated to a given Resource group for IKEA for an agreed time period.
- If Product groups from different Material areas are sharing (a specific) Resource group then Material area have to dedicate their own capacity.
- Dedicated capacity can be defined in different units of measurement (hours, kg, m, m2, m3 etc.)
Abbreviation:
Delayed Delivery A delivery later than the delivery day and time window which have been agreed with the sender and receiver.
Abbreviation:
Author(s) : reld
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Delivered at Frontier 1. Carriage to be arranged by the seller.
2. Risk and cost transfer from the seller to the buyer when the goods have been delivered at the frontier.
Abbreviation: DAF
Delivered Duty Paid 1. Carriage to be arranged by the seller.
2. Risk and cost transfer from the seller to the buyer when the goods are placed at disposal of the buyer.
Abbreviation:DDP
Delivered Duty Unpaid 1. Carriage to be arranged by the seller.
2. Risk and cost transfer from the seller to the buyer when the goods are placed at disposal of the buyer.
Abbreviation:DDU
Delivered Ex Quay 1. Carriage to be arranged by the seller.
2. Risk and cost transfer from the seller to the buyer when the goods are placed at disposal of the buyer on the quay.
Abbreviation: DEQ
Delivered Ex Ship 1. Carriage to be arranged by the seller.
2. Risk and cost transfer from the seller to the buyer when the goods are placed at disposal of the buyer on board the ship.
Abbreviation: DES
Delivery Completed The delivery is only considered complete when : the customer has received the goods according to the agreed delivery conditions , the delivery note has been signed by the customer , the customer order has been reported via the system from TSP to IKEA as delivered.
Abbreviation:
Delivery Conditions The information given by the customer about the internal accessibility at their premises and the areas to which they want their goods delivered.
Abbreviation:
Delivery Date Date (time) specified on an order that says when the goods have to be received at the receiver e.g. store, DC, customer.
Abbreviation:
Delivery Destination The destination to which the goods are to be delivered. This can be either the delivery address given by the receiver or the collection point chosen from a pre-defined list or any other destination in an IKEA defined business unit.
Abbreviation:
Delivery Documents All documents needed to perform a delivery.
Abbreviation:
Author(s) : reld
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Delivery Frequency The frequency with which deliveries are executed. (The time between 2 deliveries)
Abbreviation:
Delivery Information All necessary information related to the delivery of the goods, e.g. Name, address, floor, delivery conditions etc.
Abbreviation:
Delivery Instruction A delivery Instruction is a plan of how the goods should be physically moved from a sender to the next receiver. It contains the necessary consignments, shipments and loading instructions to be able to execute the delivery.
Abbreviation:
Delivery lead time The Delivery lead time is the difference between the date when the loading unit is expected to be dispatched and the date when the goods arrive at the Receiver (DC, CDC, Store).
Abbreviation:
Delivery Method Delivery Method describes possible Delivery solutions to move goods from a sender to a receiver, e.g. single sender - no mid receiver - multiple receivers etc ...
Abbreviation:
Delivery Network Delivery Network describes the different solutions available for delivering goods between the sender and the receiver, using mid-receivers or not: Full load supplier to store or DC, supplier co-load, clusters, consolidation close to supplier, cross docking close to stores (transit), milk runs, part loads, etc...
Abbreviation:
Delivery Note The delivery document created by the dispatching IKEA unit/TSP for a specific delivery. The delivery crew use this to deliver the order to the delivery address. It is signed by the customer to confirm either; receipt of the goods listed on the note, or goods to be returned have been given to the delivery crew.
Abbreviation:
Delivery Notification Event indicating that the dispatch has taken place for a specific delivery.
Abbreviation:
Delivery Offer In addition to the information given on the price offer, a delivery offer will give a freight charge and an estimated delivery date. The order will not be confirmed with the TSP but a temporary reservation for a maximum of "x" hrs will be created at the CDC.
Abbreviation:
Author(s) : reld
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Delivery Options There are multiple options when deciding how the goods are to be delivered: front door parcel delivery, basic delivery service or special delivery service.
Abbreviation:
Delivery Plan Booked deliveries which are planned into the delivery route according to specified delivery times.
Abbreviation:
Delivery Point The physical point where the handover from transport service provider to the customer will take place according to service definition.
Abbreviation:
Delivery Possibilities Available Delivery solutions for the Supply Chain, e.g. co-load, CP, transit, milkrun etc.
Abbreviation:
Delivery Region This corresponds to a geographical area defined by zip codes where the TSP delivers customer orders.
Abbreviation:
Delivery Relation Defines the available Delivery Solutions per sender-receiver relation. This includes Delivery Method, transport routes, carriers, prices, mid-receivers, volume brackets, etc.
Abbreviation:
Delivery Reliability The reliability of IKEA/TSP with regard to the agreed delivery terms relating to quality, quantity and delivery time.
Abbreviation:
Delivery Scheduler An application supporting delivery planning by creating and maintaining delivery schedules throughout the IKEA Supply Chain.
Abbreviation:
Delivery Service Company Company in charge of transporting goods between stores and Local Service Center (LSC), HUB or third party operator.
Abbreviation:
Delivery Solution Describes the different solutions available to send goods from sender to receiver, using mid-receivers or not: full load supplier to store or DC, supplier co-load, clusters, consolidation close to supplier, cross docking close to stores ( transit ), milk runs, part loads, etc.
Abbreviation:
Delivery Split This is when a delivery is split due to lack of space in the transport unit.
Abbreviation:
Author(s) : reld
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Delivery Terms Also see INCOTERMS.
A codification of international rules for the uniform interpretation of common contract clauses in export/import transactions involving goods. Developed and issued by the International Chamber of Commerce (ICC) in Paris. The version which is currently valid is Incoterms 2010 from 2011.
Abbreviation:
Delivery Type (MHS) The Delivery Type describes if the Article will be delivered as a Pallet or Multipack. DT 0 = Multipack and DT 1 = Pallet. It is calculated automatically or set manually. Manual settings overwrite automatic.
Abbreviation: DT
Delivery Window Allowed deviation (in days or hours) from calculated delivery date/time.
Abbreviation:
Demand forecast Article forecasts within the demand planning system that predict what we will sell in the future. These form the base of all planning within the supply chain systems landscape.
Abbreviation:
Demand Forecast Accuracy Demand Forecast Accuracy shows how we in IKEA are able to foresee and meet our customer’s demand for our products. We are measuring the percentage difference between demand forecast and actual sales. If our forecast is identical to actual sales quantity, we have 100% gross forecast accuracy. If difference (error) is equal or greater than 100% we have 0% gross forecast accuracy. It can also be considered in terms of a positive and negative difference defined as Net forecast accuracy. A positive difference means we are over-forecasted and a negative difference means we are under-forecasted.
Abbreviation: DFA
Demand planning This is the way of working as well as the role for how we create an accurate demand forecast.
Abbreviation: DP
Direct Delivery Direct Delivery is a Delivery solution within the Direct Supply Delivery Concept. It covers the goods flow from Supplier direct to Store, CDC, and LSC, excluding transit from supplier.
Abbreviation: DD
Direct Delivery Customer Direct delivery from supplier stock to transport service providers or directly to the customer. i.e.: direct delivery sofas or worktops.
Abbreviation: DDC
Author(s) : reld
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Direct Delivery Structure The strucutaral set up in the INOS system identifying the relations between suppliers and selling units as input to replenishment.
Abbreviation: DD Structure Direct Distribution Customer The common term for the direct distribution of products from the CDC to the customer.
Abbreviation:
Direct Flow Movement of incoming goods directly to the sales location.
Abbreviation:
Direct Supply Direct Supply is a Delivery Concept which covers the goods flow from Supplier direct to Store, CDC, and LSC, including transit from supplier.
Abbreviation:
Dispatch Availability Calendar Name of a calendar that defines open and closed periods for "production" and regulates timing of PlanOrders. Only used for Supplier SKUs.
Abbreviation:
Dispatch Date Actual Date (time) when the goods have left the sender e.g. supplier, CDC, DC.
Abbreviation:
Dispatch Date Planned Date (time) specified on an order that says when the goods have to leave the sender e.g. supplier, CDC, DC.
Abbreviation: Dispatch lead time The Dispatch lead time starts when the item is available for dispatch planning and ends when the loading unit is expected to be dispatched from the sender.
It is a volume driven lead time and is used to accumulate enough orders to reach a full load with optimal filling rate. It is defined on Sender-Receiver level.
Dispatch lead time is a mandatory lead time.
Abbreviation:
Dispatch Time The time that the order leaves the CDC bound for the customer.
Abbreviation:
Dispatched Order The status of an order when the order has been dispatched on the consignment.
Abbreviation:
Distribution Centre A Distribution Centre is a central logistics unit with inventory stored for replenishment of other IKEA Units (Stores, CPU’s, CDC’s and MFLU’s), is always available for Transit flows and directly replenished by Suppliers.
Abbreviation: DC
Author(s) : reld
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Distribution Mode Mode of distribution for external supply to IKEA. There are different possibilities for the set-up: DCG Supply, Direct Supply, Combined Supply, Customer Supply.
Abbreviation:
Distribution Network To create the Supplier Matrix, attach the Order Method, Steer Inbound and Outbound Priorities and create the Delivery set-up.
Abbreviation:
Domestic Delivery Delivery operations within the territory of a single country.
Abbreviation:
Door To Floor Point The Door To Floor Point represents the Sales Space Size permitting Direct Replenishment from unloading to Sales Space of the incoming goods.
Abbreviation: DTFP
Door To Floor Point Plus A calculated Sales Space size by the parameter “DTFP+ Coverage Days”. It is usually higher than DTFP and lower than Max summarised on article level.
Abbreviation: DTFP+
Door To Floor Point Sales Space Another expression for Direct Flow Minimum sales space size to be in direct flow. Everything smaller will increase the risk of local-local shortage.
Abbreviation: DTFP Sales Space
End Point The end point is when the goods are delivered to the final receiver (consignee). The receiver takes responsibility for the load.
Abbreviation:
European Low Flow A Distribution Centre Group supplying the stores in Europe with parts of the range that are defined as low volume items.
Abbreviation: ELF
Executing The processes performed to complete a plan to accomplish the objectives set forth in the plan.
Abbreviation:
External Returns All CCD deliveries which the customer has accepted, but returned via CCD to IKEA because of differrent reasons as a "return"" or as an "exchange" as well as all articles which have been declared "damaged" at receipt by transport service provider (TSP) or during TSP safekeeping. These returns may be delivered to an agreed timetable from TSP to IKEA at the agreed return delivery days.
Abbreviation:
Author(s) : reld
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Failed Delivery The delivery is considered as failed when the customer has not received the goods according to pre-agreed delivery conditions. The TSP is liable for any damage to as well as total or partial loss of the goods, from the time they are taken over to the time they are delivered, together with any delay in delivery.
Abbreviation:
Filling Rate The general meaning of the term "Filling rate" is how well you have filled up a space. The term can be used for different purposes i.e. Truck filling rate, Pallet filling rate, etc. In the IKEA store "Filling rate" usually refer to how well a sales space is filled up and is expressed as a percentage.
Filling Rate (expressed in %) is the ratio between Department Actual Density and Department Maximum Density or Department Volume Actually Placed and Department Maximum Volume.
Filling rate is mainly used when investigating how well you utilize your Market hall area.
Abbreviation: FR
Final Destination The location where the goods must be finally moved to.
Abbreviation:
Flex Concept A means of supplying Selling Units with DC articles not based on need, rather from a list of designated articles in order to fill trucks to a maximum possible filling rate.
Will be replaced by Flexible Replenishment
Abbreviation:
Flex Goods Goods that can be delivered before they are ordered according to the Flex Concept. The dispatched ULs are based on the Flex quantities shown in the Flex Supply plan.
Abbreviation:
Flex Range Article A selected article which can be sent as "early delivery".
Abbreviation:
Flexible Replenishment A way of supplying Selling Units with DC articles based on a future need and by that optimizing transport filling rate.
Abbreviation:
Flow Type Represents if an article has a "direct" or "indirect flow" (if all received goods go directly to the sales location without buffering or not).
Abbreviation:
Framework Broad overview, outline, or skeleton of interlinked items which supports a particular approach to a specific objective, and serves as a guide that can be modified as required by adding or deleting items.
Abbreviation:
Author(s) : reld
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Free Carrier 1. Carriage to be arranged by the buyer or by the seller on the buyers behalf.
2. Risk and cost transfer from the seller to the buyer when the goods have been delivered to the carrier at the named place.
Abbreviation:
Free On Board 1. Carriage to be arranged by the buyer.
2. Risk and cost transfer from the seller to the buyer when the goods pass the ships rail.
Abbreviation:
Fulfilment Store A Fulfilment Store is an IKEA Store that, for lead-time and/or economical reasons, is the first choice to execute “picking and dispatch” services for a pre-defined geographical market area – for customer orders generated in the Store and by a Customer on-line.
These orders can be delivered to a Customer’s requested address, or a ‘pick up’ point.
Abbreviation:FS
Full Truck Load Solution for which IKEA pays on the use of Loading Unit's entire capacity regardless of the filling rate (use in land transportation business)
Abbreviation:
Goods in Transit Goods that are notified as dispatched from the consignor but not yet reported as consignment received at the consignee yet.
Abbreviation:
Guideline A guideline is a statement by which to determine a course of action. A guideline aims to streamline particular processes according to a set routine or sound practice. By definition, following a guideline is never mandatory.
Abbreviation:
Hub An IKEA or non-IKEA unit e.g. CP, DC, CDC, external platform used in the consolidation and splitting of goods between a sender and final receiver.
Abbreviation:
Inbound Steering Priority Defines to which DC within a DCG a sender (Supplier) should supply Articles. Could be defined on three different levels: Country (mandatory), Supplier and Supplier-Article.
Abbreviation:
INCOTERMS A codification of international rules for the uniform interpretation of common contract clauses in export/import transactions involving goods. Developed and issued by the International Chamber of Commerce (ICC) in Paris. The version which is currently valid is Incoterms 2010 from 2011.
Abbreviation:
Indirect Flow Sales spaces smaller than Door-to-floor-point. Arriving goods need to be partially or fully stored.
Abbreviation:
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Terminology list
In-door Delivery The goods are handed over to the customer inside his/her home.
Abbreviation:
Less Container Load Less Container Load (LCL) is a shipment that is not large enough to fill a standard cargo container.
Alternative: Less Than Container Load
Abbreviation: LCL
Less Truck Load Transport solution for which IKEA uses and pays for a part of a loading unit.
Alternative: Less Than Truck Load
Abbreviation: LTL
Load (workload) The amount of planned work scheduled and actual work released to a facility, workcentre or operation for a specific span of time.
Abbreviation:
Load Offset Duration LoadOffsetDur defines any additional time required after a production step, before the finished goods is available.
Abbreviation:
Load Optimisation The main purpose with Load Optimisation is to reach high transport volume and filling rate in a loading unit for concerned orders. It also includes a suggestion of how to best place the goods into a loading unit taking into account order flexibility possibilities and prioritisation rules. The result of the Load Optimisation process is a Load Instruction.
Abbreviation:
Load levelling Spreading orders out in time or rescheduling so that the amount of work to be done in sequential time periods tends to distributed evenly and is achievable.
Abbreviation:
Load profile A display of future capacity requirements based on released and/or planned orders over a given span of time.
Abbreviation:
Loading Instructions Instructions on how to load the goods using as a basis the loading sequence, load optimisation (packaging, stacking), sub-sequences, specific sender and receiver needs, legal restrictions, securing of goods, goods storage requirements, goods composition information.
Abbreviation:
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Terminology list
Loading Point Address where goods are loaded.
Abbreviation:
Loading Sequence Describe how the goods should be loaded, taking into account the sequencing of loading and unloading including whether from back or side of the loading unit.
Abbreviation:
Loading Slot Specified time interval and availability of gate or other resources at a sender to load goods.
Abbreviation:
Loading Unit Any equipment available in transportation specifically defined by loading unit types.
Abbreviation:
Loading Unit Trip A trip from the first loading point to the last unloading point. The loading unit trip reflects the shipment.
Abbreviation:
Loading Unit Trip Leg A sequenced subdivision of a loading unit trip defined by a start point and an end point. One loading unit trip can have more than one loading unit trip leg with different mode of transport.
Abbreviation:
Loading Unit Type Loading Unit Type describes the different loading units of the general class in terms of maximum weight, maximum volume and measurement e.g. C40DV =40 foot dry van , 12029 mm wide, 2392 mm high, 68 m³ max, 26700 kg max loadweight.
Abbreviation: LUT
Local Activity A commercial activity aimed at stimulation sales for a time limited period, initiated by a selling unit.
If the local activity is expected to lead to a substantial increase in the retail country sales, it can be handled as a Country Activity.
Abbreviation:
Local Service Centre A Local Service Centre is a location owned/operated by a service provider which is used to optimise their own equipment and/ir to temporarily store Customer deliveries prior to being delivered.
Abbreviation:LSC
Long term capacity planning
Long term planning Planning horizon: above 84 weeks
Abbreviation:
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Terminology list
Mid-receiver An IKEA or non-IKEA unit used in the consolidation and splitting of goods between a sender and final receiver e.g. a CP, external hub.
Abbreviation.
Mid(Medium)-term capacity planning Main action is to dedicate capacity on Resource group level to meet the total projected need for all connected Product Groups.
Planning level: Flexible
Planning horizon: 13-84 weeks.
Abbreviation:
Mid(Medium)-term Need Planning Mid (medium) term Need Planning is defined as the creation of Supply Plans (Replenishment Plans) to achieve a predefined availability of goods for consumers while balancing demand with capacity at the lowest possible cost. The planning horizon is typically 13-84 weeks, and decisions are made at any level (article, group of articles, families).
Abbreviation:
Mid (Medium)-term planning Planning horizon: 13-84 weeks
Abbreviation:
Milk-run A Delivery solution used to drop of goods from one shipment to multiple receivers.
Abbreviation:
Minimum Delivery Quantity Smallest quantity of an article that can be delivered.
Abbreviation: MDQ
Minimum DRP Planning Quantity Minimum Delivery Quantity. The minimum quantity that can be ordered by a business unit on any one occasion. This defines the quantity multiples of planned arrivals.
Abbreviation:
Monitoring The process of comparing actual to planned progress.
Abbreviation:
Multi-Functional Logistics Unit A Multi-Functional Logistics Unit is a scalable central logistic unit designed for efficient handling, storage and dispatch of goods for both Store inventory replenishment and Customer Order fulfilment utilising one common inventory.
Abbreviation:MFLU
Need Arrive Date The date that this shipment needs to arrive at the destination to maintain inventory policy. Can occur inside the lead-times.
Abbreviation:
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Terminology list
Need Dispatch Date The date the goods are needed to be dispatched to reach the receiver in time.
Abbreviation:
Need Planning Need Planning is defined as the creation of Supply Plans (Replenishment Plans) to achieve a predefined availability of goods for consumers while balancing demand with capacity at the lowest possible cost.
Abbreviation: NP
Non Central Stock Keeping Supply In this concept IKEA has stock only in the selling unit, which is replenished by the supplier.
Abbreviation:
Operational capacity planning Proactive planning with focus on ”IKEA constraint periods”. Main action is to allocate/reallocate capacity on Resource group level to meet the projected need on Product group level.
Planning level
- Operational Supplier capacity planning is done on Article/Product group level.
Planning horizon
- Operational Supplier capacity planning is done with a planning horizon of 0-8 months rolling; in exceptional cases, the planning horizon can be extended to 12 months. The main purpose is to cover a minimum one “constrained planning period”.
Abbreviation:
Operational Need Planning Operational Need Planning is defiend as the creation of Supply Plans (Replenishment Plans) while working at article level to achieve a predefined availability of goods for consumers while balancing demand with capacity at the lowest possible cost.
Abbreviation:
Operational planning Planning level: article (detailed). Detailed planning and execution of schedules. The objective is to support the tactical plan.
Abbreviation:
Optimization Optimization focuses on finding the optimal solution from millions of possible alternatives while meeting the given constraints of the supply chain.
Optimization utilizes mixed integer programming (MIP) or linear programming (LP) to obtain the optimal solution.
Optimization models are used for network optimization, allocation management (refinery and terminals), route optimization (retail logistics) and vendor-managed inventory (retail network management).
Abbreviation:
Order Frequency States how often an order can be generated for a specific replenishment solution (sender-item-receiver).
Also specifies order moment: when the order shall be generated.
Abbreviation:
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Terminology list
Order Priority Indicates the relative importance of an order in comparison to other orders in pipeline. Is used whenever choices between orders have to be made.
Abbreviation:
Ordering Lead-time The lead-time from Need detected for an order proposal until the order is received/acknowledged by the order receiver e.g. supplier, DC.
Abbreviation:
Outbound Outgoing deliveries from all senders in the supply chain, e.g. DC to store.
Abbreviation:
Outbound Steering Priority Defines in which sequence of DCs within a DCG a Selling Unit (Store or CDC) should be supplied with Items. Can be defined on Selling Unit level (default) and Item-Selling Unit level.
Abbreviation:
Outflow Physical goods flow from a sender.
Abbreviation:
Parcel Delivery Delivery of goods that is transported through a service provider parcel network. weight and dimension limitations on the goods apply and these vary between differrent service providers.
Abbreviation:
Picking Group A term/parameter to group more than on BA/PA to a pickpallet also considering Sales Method.
Abbreviation:
Pick Up Point A Pick Up Point is a location where the customer can pick up his/her goods. This location can be IKEA owned/operated location or a location owned/operated by a service provider contracted by IKEA. The Pick Up Point contains pre-prepared orders and no other stock. All IKEA Stores (that is, Fulfilment and Normal Stores) can be used as a Pick Up Point for a Customer Order.
Abbreviation:
Planned Arrivals What is needed to be delivered in order to cover Demand and adjustments to the Safety Stock. PlanArriv is only adjusted for/constrained by lot size (MinDRPQty)arrival calendar and PlanLeadTime.
Abbreviation:
Planned end End date when the csm reaches the port of destination.
It is the term used in the CNS Track & Trace system.
Abbreviation:
Planned Sales Start Date SU Date, an article is planned to be sold the first time in a particular Selling Unit.
Abbreviation:
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Terminology list
Planned Shipment A Planned Shipment represents a future replenishment as a result of the unconstrained plan process, from the sender perspective. Potential inventory constraints are therefore not considered in the Planned Shipment figure. (Order frequency, lot size and Arrival Calendars are taken into consideration). PlanShip (from the MPSPlan) =PlanArriv (from the DRPPlan/receiver perspective).
Abbreviation:
Planning The process of setting goals for the organization and choosing various ways to use the organization's resources to achieve the goals.
Abbreviation:
Planning horizon Decision horizon - fix decision horizon with flexible decision level/levels. Example: Which decision/decisions (operational, tactical, strategic) can we make with a horizon of 12 weeks?
Abbreviation:
Planning level Decision level - fix decision level with flexible decision horizon/horizons. Exampel: What is the needed lead time (planning horizont) to make decision/decisions on tactical level?
Abbreviation:
Pre-notification Electronic delivery note identifying incoming delivery on daily level, stating the volumes to be expected.
Abbreviation:
Pre-notification tool Tool providing information about goods for which the dispatch from the DC has been planned.
Abbreviation:
Preparation lead time The Preparation lead time is the possible shortest lead time the sender (supplier or DC) can offer on item level. It starts when an order is received and ends when the item is available for dispatch planning (For STMS rolled out relations, this will be reflected in the stock available date).
It is a mandatory component and it is defined on sender-item level. The lowest possible value is zero days.
Abbreviation:
Principle A fixed or predetermined policy or mode of action.
Abbreviation:
Project A project is typically defined as a collaborative enterprise, frequently involving research or design that is carefully planned to achieve a particular aim. Projects can be further defined as temporary rather than permanent social systems that are constituted by teams within or across organizations to accomplish particular tasks under time constraints.
Abbreviation:
Author(s) : reld
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Terminology list
Process Processes define why and what we do together, not limiting ourselves to functions and organization, they explain the unique recipe IKEA has to create value to our customers.
- A process is a value-creating structure
- Every process has, by definition, minimum one customer
- A customer perspective is preferably used when defining the purpose of a process
- The customer's need and satisfied need are the starting and final points of a process
- The start and final points of a process is connected by: a repetitively used network of activities… linked in an orderly manner… using information and resources… for transforming ”object in” into ”object out”… extending from the point of identification… to that of the satisfaction… of its customer’s needs.
Abbreviation:
Receive Goods Update legal stock inventory with received quantity, and register quality and quantity deviations as a base for claim handling.
Abbreviation:
Received Order In Order Management System, the status of an order when the order has reached the final destination.
Abbreviation:
Received Quantity The quantity that has been received in a Business Unit but not unloaded or stored.
Abbreviation:
Receiver Cluster A 'group' of business units for which the inflows can be combined (see Milk-run).
Abbreviation:
Receiving Area Area in the store dedicated to unloading and loading of goods.
Abbreviation:
Receiving lead time The Receiving lead time is the difference between the arrival of the goods at the Receiver (consignment arrival date) and the unloading of the goods (consignment unloading date).
Abbreviation:
Receiving Window The period between the earliest and latest receive moment (date/time).
Abbreviation:
Recommended Arrival The Recommended Arrival is the Recommended Shipment, seen from the destination (DCGs and Stores) perspective, and is generated by the constrained plan process. RecArriv will be equal to PlanArriv if no constraints exist, neither in supply nor capacity, and the MinDRPQty and MinMPSQty are equal or multiples of each other.
Abbreviation:
Recommended Shipment A recommended shipment represents what needs to be shipped from the Supplier (or DC) to cover the demand at the destination. It has however been constrained by supplier capacity,
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Terminology list
available stock, lot size and the supplier DispCal.
Abbreviation:
Recommended Shipments Push Option Indicates whether available stock will be pushed out. EXAMPLE (Y or Yes means push etc).
Abbreviation:
Replenishment The process of refilling sales spaces with IKEA products. IKEA stores are replenished every day the store is open for business to
ensure that products are available to visitors.Please see the In-store logistics the IKEA Way manual. replenishment is a mandatory part of the IKEA Concept.
Abbreviation:
Replenishment Concept Classification of possible replenishment solutions: Central Stock replenishment, non central stock replenishment or Combined Supply.
Abbreviation:
Replenishment Order An order to fulfil the receivers demand to receive goods.
Abbreviation:
Replenishment Parameters Parameters that define the business set ups used in each replenishment solution. They include delivery parameters (eg. delivery solution), order parameters (eg. order frequency), transport parameters (eg. mode of transport).
Abbreviation: Replenishment point The quantity of stock the store should have in the moment of replenishment (applied safety stock + commercial quantity).
Replaces "Reorder-Point".
Abbreviation: RP
Replenishment Relation Connects a sender and receiver to describe who can be replenished by whom.
Abbreviation:
Replenishment Solution Set of parameters matching to possible set ups that result from "Define Optimal Replenishment Solution" process.
Abbreviation: RS
Replenishment Type Describes how the SKU is being replenished. Store and DCG SKUs will use ReplenType 1(DRP) and Supplier and DT SKUs will use ReplenType 2 (MPS).
Abbreviation:
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Terminology list
Re-routing Re-destination of goods in transit.
Abbreviation:
Re-steering Re-steering means that the original buyer or destination is changing before the goods arrive at the original destination.
Abbreviation
Route A method of grouping customer orders which are delivered on the same transport vehicle.
Abbreviation:
Route planning This determines the order in which the customer orders on a particular vehicle will be delivered.
Abbreviation:
Sales forecast This refers to when sales makes estimates to what their plans will bring- often specific estimates on articles and/or family level, these can often be expressed as a percentage increase or on a store level we will sell an extra pallet.
They lack any sophistication or accuracy as they are not connected to any actual order to the supply chain but are a useful way of being concrete.
Abbreviation:
Sales Forecast Alignment Sales Forecast Alignment measures how well the Demand Planning forecast (for
dimensioning IKEA supply chain) align with the Global Sales forecast (from Mgmt Leiden) on HFB dimension. An Index above 100 means that Demand planning forecast is higher than the Global Sales forecast.
Abbreviation:
Sales goals Overall goals set by group management leading to goals being set by the HFB and country on a total level
- Owned by group management, country management and HFB management and supported by navigation.
Clarification:
Often we can talk about individual sales goals when we mean sales forecasts.
Abbreviation:
Sales planning A collective term used for many different events to decide what will be done to realize the commercial strategies. The plan for what sales will do.
This includes:
- Price investments
- Commercial calendar and activities
- Media – catalogue, adpages, backpages etc..
In store media – common store planning, lay outs in practice, merchandising platform. Remerchandising
( additionally we include who should sell what where via range classification and store classification)
Abbreviation:
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Terminology list
Scheduled Arrival Date The date when this load is scheduled to be received at the destination, and be available as Stock on Hand.
Abbreviation:
Scheduled Receipts The Schedules receipts are used to project incoming shipments to DCs (Equal to intransits to DCGs), either as shipments from suppliers or as goods temporarily on quality or license hold. DC clearings will also be shown as schedule receipts.
Abbreviation:
Scheduled Shipment Date The date that this shipment can be made based upon lead-time, available inventory and calendar constraints.
Abbreviation:
Scheduling The act of creating a schedule timetable for planned occurrences) - such as shipping schedule, master planning schedule, maintenance schedule or supplier schedule.
Abbreviation:
Sender Cluster A 'group' of business units for which the outflows can be combined (co-loaded).
Abbreviation:
Sender lead time The Sender lead time is the difference between the date when the order is received (at the Sender) and the date when the loading unit is expected to be dispatched (planned dispatch date on consignment).
It consists of three sub-components: Preparation, Assembly and Dispatch lead times.
Abbreviation:
Ship Status Shows the status of the load, e.g. CONFIRMED, DISPATCHED or CREATED.
Abbreviation: Short term capacity planning Proactive planning with focus on ”IKEA constraint periods”. Main action is to allocate/reallocate capacity on Resource group level to meet the projected need on Product group level.
Planning level
- Flexible
Planning horizon
- 0-12 weeks.
Abbreviation:
Short term planning Planning horizon: 0-12 weeks
Abbreviation:
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Terminology list
Simulation Simulation identifies the impact of different variables on an organization’s entire supply chain.
It answers the fundamental question – what will happen to the cost and service levels associated with a Supply Chain if an ‘X’ factor is manipulated.
The tool however does not drive to an optimal solution. Simulation also enables a user to visualize real world behavior of an “optimal solution” derived from the optimization.
Abbreviation:
STMS Supplying Transport Management Solution.
Abbreviation: STMS
Stock build Stock build is the process of temporarily building up inventory to ensure the targeted service to end customers. Stock build can be located in different parts of the Supply Chain depending on the volumes and capabilities of suppliers, Stores and DTs in the Supply Chain. A strategy is needed to define the preferred location of inventory to guide the planning and execution of the Stock Build. A Stock build always consists of a build-up and a build-down period.
Abbreviation:
Store to DC Movements of goods from a store to a DC.
Abbreviation: Store to Store Movements of goods from a store to another store.
Abbreviation:
Strategic planning Planning level: aggregated groups (very aggregated). Plans for acquisition of resources. The objective is to support the overall vision, mission and goals.
Abbreviation:
Supplier Matrix Supplier Matrix connects the supplier and article with the supply market defining the sourcing of IKEA. When we want to keep central stock, it is connected to a DCG.
Abbreviation: SMX
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Terminology list
Supply Chain Matrix Creates the base set up for the execution of orders and deliveries in the IKEA Supply Chain based on right service available at lowest possible cost.
Abbreviation: SCM
Tactical capacity planning Main action is to dedicate capacity on Resource group level to meet the total projected need for all connected Product Groups.
Planning level
- Tactical Supplier capacity planning is done on Product group/Segment level.
Planning horizon
- Tactical Supplier capacity planning is done for current and next FY.
Abbreviation:
Tactical Need Planning Tactical Need Planning is defined as the creation of Supply Plans (Replenishment Plans) while working with group of articles to achieve a predefined availability of goods for consumers while balancing demand with capacity at the lowest possible cost.
Abbreviation:
Tactical planning Planning level: group of articles (aggregated). Plans for utilization of resources. The objective is to support the strategic plan.
Abbreviation:
Task description A Task Description is a description of a task to be performed within a function by a small number of people in that function. It is normally a task which can be completed in a very short time but which can involve the use of more than one tool (IT application, Excel worksheet, etc). Task Descriptions can be referenced by more than one Working Method. A Task Description describes What, Who, When and How at general level.
A Task Description is owned by a Process Leader (Sub-process).
Abbreviation:
Task force Temporary group of people formed to carry out a specific mission or project, or to solve a problem that requires a multi-disciplinary approach.
Abbreviation:
Time Window The times between which the customer can expect their delivery. This can be given at the point of sale if the order is ATP.
Abbreviation:
Total Intransits In Represented the aggregated InTransitIn if more than one shipment on the way.
Abbreviation:
Total lead time The Total lead time starts with the order received at the Sender and ends with the articles being unloaded at the Receiver.
Abbreviation:
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Terminology list
Total Loss&Damage Means the percentage of delivered orders with lost or damaged goods reported by the customer to IKEA Customer Contact, and IKEA Store Customer Service
Abbreviation:
Total Shipments Sum of PlanShip and FirmPlanShip, only on SUP and DC level.
Abbreviation:
Tour The pre-defined transport route between two different points or geographical areas.
Abbreviation:
Track & Trace The possibility to identify where the article/shipment is.
Abbreviation:
Transit Transit of goods is the activity consisting of deconsolidation of incoming goods for shipment to pre-defined end-receivers.
Abbreviation:
Transport Booking The transport booking is to create and book a shipment and send the transport order to a carrier.
Abbreviation:
Transport Chain All transports from the first sender to the final receiver of a delivery.
Abbreviation:
Transport Filling Rate Factor expressed in %, describing the utilization of a booked loading capacity.
Abbreviation:
Transport Route (a)The course or direction that a shipment moves. (b) To designate the course or direction a shipment shall move.
Abbreviation:
Transport Service Provider Service provider contracted by IKEA in order to deliver goods to the IKEA customer or to a pick up point. The TSP can perform both local and central customer deliveries.
Abbreviation: TSP
Transport Volume Transport capacity needed to transport the goods, taking into account the article dimensions, weight, packaging and stacking rules.
Abbreviation:
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Terminology list
Unit Load A number of consumer packages or multipacks unitised together with a load carrier (paper pallet, loading ledge, composite pallet, wooden pallet, one-way pallet) in such way, that it can be handled mechanically. Detailed specifications can be found in Packaging Requirements (IoS P-0010)
Abbreviation:
Unloading Point Address where goods are unloaded.
Abbreviation:
Unloading Slot Specified time interval and availability of gate or other resources at a receiver to unload goods.
Abbreviation:
Working method A Working Method describes in more detail the flow of tasks within an activity or group of activities within a process. A Working Method cannot extend outside the boundaries of the process to which it belongs. A working Method involves people in 2 or more operative functions. A Working Method does not describe in detail how to perform the various tasks, it states what by who and when. It can refer to other working methods, work routines, documents etc.
A Working method is owned by a Core Process Owner.
Abbreviation: WM
Working routine A Routine describes how a particular, very limited task, is to be performed in detail. This often describes what has to be done, and how, in a particular IT application at a particular point in a Task Description or Working Method. A Routine is always linked to what ONE person has to do. Routines can be referenced by more than one Task description from several Working Methods or Processes.
This is normally owned by the business solution responsible or equivalent.
Abbreviation:
Author(s) : reld
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