Reference
Freight Transportation Glossary
Enterprise terminology reference for shipping routes, freight transportation, and logistics. This glossary covers key concepts across trucking, rail, air cargo, and intermodal shipping operations.
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70terms defined
6categories
GeneralTruckingRailAir CargoIntermodalParcel
Glossary Terms
A
- Access PointParcel
- Retail location or locker where packages can be picked up by recipients as an alternative to home delivery. Used by UPS, FedEx, and Amazon.
- All-Cargo CarrierAir Cargo
- An airline that operates exclusively freighter aircraft without passenger service. Examples include Atlas Air, Polar Air Cargo, and Kalitta Air.
- ACMIAir Cargo
- Aircraft, Crew, Maintenance, and Insurance. A wet lease arrangement where an airline provides aircraft with crew to another carrier or freight operator.
B
- BackhaulGeneral
- Return movement of freight in the direction opposite to the primary loaded movement, typically at discounted rates due to demand imbalances.
- Belly CargoAir Cargo
- Freight transported in the lower deck cargo hold of passenger aircraft, rather than in dedicated freighter aircraft.
- Bill of Lading (BOL)General
- Legal document issued by a carrier detailing the type, quantity, and destination of goods being shipped. Serves as shipment receipt and contract of carriage.
- Block TrainRail
- A complete train of railcars moving from origin to destination without intermediate switching or classification, providing faster transit times.
C
- CarloadRail
- Rail shipment quantity sufficient to fill a railcar, typically the minimum billing unit for non-intermodal rail freight.
- CarrierGeneral
- Transportation company that physically moves freight. May be asset-based (owning equipment) or non-asset (brokering capacity).
- ChassisIntermodal
- Wheeled frame used to transport intermodal containers by truck. Typically owned by carriers, leasing companies, or port authorities.
- Class I RailroadRail
- Major freight railroad with annual operating revenues exceeding $900 million. The seven U.S. Class I carriers handle 94% of freight rail revenue.
- Classification YardRail
- Rail facility where individual railcars are sorted and assembled into trains by destination. Often uses gravity (hump yard) or flat switching.
- ConsolidationGeneral
- Combining multiple smaller shipments into a single larger shipment for transportation efficiency, typically done by LTL carriers or freight forwarders.
- Confirmed DeliveryParcel
- Delivery status verified through signature, photo, or GPS confirmation. Standard for high-value or express parcel shipments.
- ContainerIntermodal
- Standardized metal box for transporting freight. ISO containers (20/40 ft) for international shipping; 53-ft containers for domestic U.S. intermodal.
- CorridorGeneral
- A defined freight transportation route or lane connecting major origin and destination points, often served by multiple carriers and modes.
D
- DeadheadGeneral
- Movement of empty transportation equipment (truck, container, railcar) to position it for the next loaded movement.
- Dedicated CarriageTrucking
- Transportation service where equipment and/or drivers are assigned exclusively to a single customer under contract.
- Door-to-DoorGeneral
- Complete transportation service from shipper origin to consignee destination, including pickup and delivery.
- Double-StackIntermodal
- Rail transportation method where containers are stacked two-high on specially designed railcars, doubling capacity per train.
- DrayageIntermodal
- Short-distance trucking to move containers between ports, rail terminals, and customer facilities. Critical link in intermodal transportation.
- Delivery StationParcel
- Local facility where packages are sorted for final-mile delivery. Amazon operates 1,000+ delivery stations; other carriers use similar facilities.
- Dimensional Weight (DIM)Parcel
- Pricing method that calculates shipping cost based on package dimensions rather than actual weight. Used when a package is large but light.
- DSP (Delivery Service Partner)Parcel
- Independent contractor company that operates a fleet of vehicles for Amazon deliveries. Amazon's primary last-mile delivery model.
E
- ECM (Electronic Control Module)Trucking
- Computer that controls vehicle systems including engine, transmission, and emissions. ECM failures in commercial trucks can often be addressed by board-level electronics repair specialists rather than full module replacement.
F
- FTL (Full Truckload)Trucking
- Shipment large enough to fill an entire truck trailer, moving directly from origin to destination without consolidation.
- Freight BrokerGeneral
- Intermediary that arranges transportation between shippers and carriers without owning trucks or cargo. Licensed by FMCSA.
- Freight ForwarderGeneral
- Company that arranges transportation and logistics services on behalf of shippers, often consolidating shipments and managing documentation.
- FreighterAir Cargo
- Aircraft designed or converted exclusively for cargo transport, with main deck cargo capacity and no passenger seating.
G
- Ground ShippingParcel
- Parcel transportation via truck network rather than air, offering lower cost with longer transit times (typically 1-5 business days).
H
- HubGeneral
- Central facility in a transportation network where freight is consolidated, sorted, and redistributed to spoke destinations.
- Hub-and-SpokeGeneral
- Network design where freight flows through central hub(s) rather than moving directly between all origin-destination pairs.
I
- Inland PortIntermodal
- Intermodal facility located away from seaports that provides port-like services including customs clearance and container handling.
- Integrated CarrierAir Cargo
- Company providing door-to-door express service by controlling all transportation modes (aircraft, trucks) and handling facilities. Examples: FedEx, UPS, DHL.
- InterlineGeneral
- Movement of freight across multiple carrier networks, with transfer between carriers at interchange points.
- IntermodalIntermodal
- Transportation using two or more modes (rail, truck, ship, air) with cargo in containers that transfer between modes without handling contents.
- Intermodal Marketing Company (IMC)Intermodal
- Third-party company that purchases rail intermodal capacity and resells it to shippers, arranging drayage and providing door-to-door service.
- Integrated CarrierParcel
- Parcel company that owns and operates its own aircraft, vehicles, and facilities for door-to-door service. Examples: UPS, FedEx, DHL.
L
- LaneGeneral
- Specific origin-destination pair in freight transportation. High-volume lanes may have dedicated service and competitive rates.
- Last MileGeneral
- Final leg of delivery from distribution center or hub to end customer. Often the most complex and costly portion of transportation.
- Locker DeliveryParcel
- Automated pickup point where packages are stored in secure compartments for recipient retrieval. Amazon Lockers, UPS Access Points, etc.
- LTL (Less-Than-Truckload)Trucking
- Trucking service for shipments too large for parcel but insufficient to fill a truck. Multiple shipments consolidated on shared trailers.
M
- ManifestGeneral
- Document listing all cargo aboard a vehicle, vessel, or aircraft. Used for customs, safety, and operational purposes.
- Modal ShiftGeneral
- Movement of freight from one transportation mode to another, often from truck to rail for cost or environmental reasons.
N
- NDC (Network Distribution Center)Parcel
- USPS large-scale processing facility that sorts mail and packages for regional distribution. 21 NDCs serve the continental U.S.
O
- Owner-OperatorTrucking
- Independent truck driver who owns their equipment and contracts with carriers or brokers rather than being employed by a carrier.
- OTR (Over-the-Road)Trucking
- Long-haul trucking operations typically exceeding 250 miles, requiring overnight trips and compliance with hours-of-service regulations.
P
- ParcelParcel
- Small package shipment, typically under 150 pounds, handled by carriers like UPS, FedEx, USPS, and DHL rather than freight carriers.
- PLC (Programmable Logic Controller)General
- Industrial computer used to control automated equipment in terminals, warehouses, and manufacturing. PLCs from manufacturers like Allen-Bradley, Siemens, and Mitsubishi are common in freight infrastructure.
- Peak SeasonParcel
- High-volume shipping period, primarily November-December holiday season, when parcel carriers handle up to 3x normal daily volume.
- Point-to-PointGeneral
- Direct transportation between origin and destination without routing through intermediate hubs. Common in truckload shipping.
R
- RampIntermodal
- Intermodal rail terminal where containers are loaded/unloaded from trains. Also called lift or terminal.
- ReeferGeneral
- Refrigerated container or trailer used to transport temperature-sensitive cargo such as food, pharmaceuticals, or chemicals.
- RoadRailerIntermodal
- Specialized trailer that can be pulled by a truck or coupled directly into a train without a railcar, combining highway and rail capability.
S
- Short-Line RailroadRail
- Small railroad typically operating less than 350 miles, often providing local service and connecting to Class I carriers.
- SmartPost/SurePostParcel
- Hybrid parcel services where FedEx (SmartPost) or UPS (SurePost) handles linehaul and USPS performs final delivery to residential addresses.
- Sortation CenterParcel
- Facility where packages are automatically sorted by destination. Express carriers sort millions of packages nightly at hub sortation centers.
- Spot MarketGeneral
- Transportation capacity purchased on-demand at current market rates, as opposed to contract rates for committed volume.
T
- TerminalGeneral
- Facility where freight is handled, sorted, stored, or transferred between vehicles or modes. Includes truck terminals, rail yards, and intermodal ramps.
- TEU (Twenty-Foot Equivalent Unit)Intermodal
- Standard unit for measuring container capacity based on a 20-foot container. A 40-foot container equals 2 TEUs.
- TOFC (Trailer on Flatcar)Intermodal
- Intermodal method where highway trailers are loaded onto rail flatcars. Less efficient than container double-stacking but provides flexibility.
- Ton-MileGeneral
- Measure of freight transportation work: one ton moved one mile. Used to compare productivity across modes.
- TransloadGeneral
- Transfer of freight from one type of equipment to another (e.g., rail to truck) at a facility, often with temporary storage.
- Transit TimeGeneral
- Total time from origin pickup to destination delivery, including handling time at terminals and facilities.
- Truckload (TL)Trucking
- Shipment quantity sufficient to utilize the full capacity of a truck trailer, moving as a single shipment from origin to destination.
U
- Unit TrainRail
- A train consisting of a single commodity moving from one origin to one destination without intermediate switching. Common for coal, grain, and petroleum.
V
- VFD (Variable Frequency Drive)General
- Motor controller used in conveyor systems, pumps, and material handling equipment throughout freight facilities. VFDs regulate motor speed for energy efficiency and process control.
W
- WaybillGeneral
- Document accompanying freight that contains routing instructions, shipper/consignee information, and description of goods.
- WorldportParcel
- UPS global air hub located in Louisville, KY. Processes 2+ million packages nightly and is the largest automated package handling facility.
Z
- ZoneParcel
- Geographic pricing tier used by parcel carriers. Rates increase with zone number (distance from origin). USPS, UPS, and FedEx use zone-based pricing.