A to Z Glossary of Freight Terms

Timothy Dooner • September 7, 2017

Adjustments - Generally speaking, all costs that weren't quoted for a variety of reasons. These costs can be added for a discrepancy between the freight characteristics quoted and the delivered shipment details of weight, class and dimensions, or may be accrued for additional services performed such as a liftgate, additional unloading hours, equipment, etc.

Agent - A person who transacts business on behalf of another person or company with full or limited decision-making authority.

Axle Load - The weight limit permitted per axle.

Back Haul - The return trip of a truck transporting cargo or freight. It may be a return to the origin of the freight hauled in which the carrier is willing to offer a discount to secure freight for the trip.

Beneficial Cargo Owner (BCO) - Refers to the importer of record, who physically takes possession of cargo at destination. And does not act as a third party in the movement of such goods.

Bill of Lading (BOL) - The bill of lading or BOL is the contract between shipper and carrier, broker or agent that binds the parties together and defines all aspects of the freight shipping arrangement including what is being shipped and to whom.

Blocking and bracing - Refers to wood or other supports used to keep shipments in place on trailers or in containers.

Blind Shipment - When the shipper and receiver are not aware of one another, the freight shipment is called a blind shipment. In such cases, the bill of lading lists the party that paid for the shipment as the shipper or receiver of the freight shipment.

Bogie - This is a rail term that refers to a frame with wheels on which a container is mounted for over-the-road transport.

Broker - A person who makes freight shipping arrangements on behalf of a person or company. The broker has experience in the industry and negotiates shipping rates on behalf of the client.

Brokerage License - A broker gains this in order to have the ability to make land, sea and air freight shipping arrangements.

Bulk Freight - Freight that is not contained within packages or containers is referred to as bulk freight.

Carrier - A person or company who transports freight for a fee.

Cartage - A trucking term that refers to shipping freight within the same city or area.

Chassis - A rail term that refers to a frame with wheels and locking devices to secure a container during shipping.

Classification - A freight classification assigned to an article for the purpose of applying transportation charges. This is used for less that truckload (LTL) shipments.

Common Carrier - A carrier that can be hired by anyone to transport goods, typically hauling less than truckload freight.

Concealed Loss - When the recipient of a package is not able to see damage to the item(s) until the package is opened. The damage was not visible at the time of delivery.

Consignee - In a contract of carriage, the entity who is financially responsible (the buyer) for the receipt of a shipment. Generally, but not always, the consignee is the same as the receiver

Consolidation - When two or more shipments are combined to save money on freight shipping costs.

Container - Standardized re-sealable transportation box used in land, sea, and rail shipping. The most common sizes are 20-footer & 40-footer.

Cross-Town - When a container or trailer is delivered from one railroad as part of the shipping route, the move is called cross-town shipping.

Cubic Capacity - The total freight load capacity of any truck, train or ship is measured in cubic feet, and therefore the carrying capacity is known in the industry as cubic capacity.

Customs Broker - A person or company who is licensed by the U.S. Treasury Department to act on behalf of freight importers and exporters with respect to U.S. Customs transactions.

Embargo - An embargo is any event that prevents the freight from being accepted or handled. Embargo events include floods, tornadoes or congested highways.

Exceptions - When a problem such as shortage or damage is noted at the time of delivery, an exception is noted on the delivery sheet before it is signed to designate there was a problem with the shipment.

Full Container Load (FCL) - A full container shipment. Typically sent in either a 20' or a 40' and contains just one consignee's goods.

Full Truckload (FTL) - A full or partial load shipment filling up an entire truck.

Fuel Surcharge (FSC) - A fee charged by carriers and trucking companies that covers the fluctuating cost of fuel.

Gross Vehicle Weight - The total weight of the transport and its cargo is called the gross vehicle weight or GVW.

Inbound Freight - Shipments coming from vendors to a storage facility.

Interline - The transfer of freight from one carrier to another.

Intermodal Transportation - When freight is shipped using two or more modes of transportation. This typically refers to truck-rail-truck shipments.

Less Than Container Load (LCL) - Smaller shipments that don't require a full 20' or 40' container. LCL shipments are often consolidated or combined with shipments from other consignees in order to fill a full container.

Less Than Truckload (LTL) - Smaller shipments that don't require a full truckload. LTL or partial truckload is generally slightly larger parcel shipments (150 lb +) but don't require the usage of an entire truck.

Nested - A term used in less than truckload (LTL freight) shipping in which materials are stacked so that one item goes inside another. Nested freight reduces the amount of space taken up by the combined freight and makes LTL shipping more efficient as a result.

Not Otherwise Indicated (NOI) - A general class rate or NOI is assigned to any freight that has no rate listed in the NMFC.

Spot Rate - The price quoted for immediate settlement on a commodity, a security or a currency. The spot rate, also called "spot price," is based on the value of an asset at the moment of the quote. As a result, spot rates change frequently and sometimes dramatically.

Tariff - A tariff establishes the cost and contract of freight shipment for the shipper and the carrier.

Through Rate - A through rate applies to the distance between the point of origin and the delivery destination.

Time-Critical - When a freight shipment delivery is set to the earliest possible time.

Time-Definite - Time-definite deliveries guarantee that the delivery will occur on a specific day or time of day.

Transit Time - The total time from pick up to delivery.

Truckload (TL) - A truckload is defined as freight weighing 23,000 pounds or more or that occupies half or more of a trailer's capacity.

VACIS Exam - Typically, which cargo will be subject to VACIS exams are decided by U.S. Customs Border Protection (CBP) before arrival of cargo at port of discharge. Authorities at the container terminal make arrangements for CBP to inspect the cargo. VACIS exams can be determined at random, or for suspected or actual law violators

Volume Rate - A less than truckload (LTL) term for rates that are made subject to a minimum weight of 7,000 pounds or more, or cubic volume exceeding 750 cubic feet.

Warehousing - Warehousing refers to the storage of goods for a specified period of time.

Waybill - A non-negotiable document prepared by or on behalf of the carrier at origin. The document shows origin point, destination, route, consignor, consignee, shipment description and amount charged for the transportation service

Zone Haulage Rate - The rate for which the carrier will undertake the haulage of goods or containers between either the place of delivery and the carrier's appropriate terminal. Such haulage will be undertaken only subject to the terms and conditions of the tariff and of the carrier's Combined Transport Bill of Lading.

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Brendan Lawler Joins FreightPlus as Senior Manager, Strategic Planning and Customer Service

October 4, 2022

Innovative managed transportation provider continues to invest in hiring and developing the best talent within the logistics space QUINCY, Mass — FreightPlus, a data-driven managed transportation solutions provider, announced Brendan Lawler has joined as Senior Manager of Strategic Planning and Customer Service. Lawler brings in over seven years of experience leading diverse, cross-functional teams in challenging, chaotic, and ambiguous environments. In his new role, Lawler will own all aspects of planning, optimizing, appointing, tracking and servicing customers’ freight. He looks forward to standardizing the planning and customer service functions within the department and incrementally improving the throughput of the team through process improvement and technology integration. “I am energized by the opportunity to help continue FreightPlus’s growth as a data-driven transportation management solutions provider,” says Lawler. “I’m eager to use my experience in leading teams toward operational excellence to enhance the customized service for our clients. FreightPlus's mission to ‘simplify complex logistics together’ embodies the people-driven culture that I value so deeply. I look forward to joining a company that is team-focused and has a proven track record of transforming ideas into innovative solutions that create sustainable impact.” Lawler previously served as a Captain in the Marine Corps and as Senior Operations Manager within Amazon Transportation Services, where he focused on driving operational excellence and utilizing new technology to drive process improvements. In his tenure, he was responsible for developing and implementing new network-level process improvements for both under-the-roof (UTR) and over-the-road (OTR) operations, as well as spearheading the effort of optimizing the synchronization of warehouse and transportation operations. With revenue and employee count quadrupling over the past five years, FreightPlus was listed no. 184 on the Inc. 5000 list of fastest-growing private companies in America in 2022. Chief Operating Officer Ben Graeff comments, “I am so excited to welcome Brendan to FreightPlus. Brendan brings a deep background in operational excellence from his time in the Marine Corps and Amazon Transportation. He is a quiet leader that leads by example, lives in the day-to-day details, and is the exact right person to help us scale our operation and customer service teams through our continued growth.” About FreightPlus FreightPlus is an industry provider of data-driven transportation management, offering businesses customized and fully tailored managed transportation solutions in a boutique environment where clients get the individual attention they deserve. FreightPlus combines first class customer service with innovative technology and industry best practices to help mid-size and growing companies work efficiently in the $800B domestic transportation market. Visit FreightPlus.io for more information. ### Media Contact: Courtney Conyers Marketing & Communications cconyers@freightplus.io

FreightPlus Ranks #184 on the Inc. 5000 List

August 16, 2022

For the 2nd Time, FreightPlus Appears on the Inc. 5000, Ranking No. 184 on the List of Fastest-growing Privately Held Companies in America FreightPlus recognizes a three-year revenue growth rate of 2,846% NEW YORK, August 16, 2022 – Today, Inc. revealed that FreightPlus is No. 184 on its annual Inc. 5000 list, the most prestigious ranking of the fastest-growing private companies in America. The list represents a one-of-a-kind look at the most successful companies within the economy’s most dynamic segment—its independent businesses. Facebook, Chobani, Under Armour, Microsoft, Patagonia, and many other well-known names gained their first national exposure as honorees on the Inc. 5000. “We are honored to be featured on the annual Inc. 5000 list for the second year in a row,” said Stephen Aborn, FreightPlus Chief Executive Officer. “This award and our ranking reflect the continuous dedication from our team to providing our customers with the people, technology and processes to build best-in-class logistics programs. We are thrilled to be recognized as we strive to bring customer-centric and innovative solutions to the world of logistics.” The companies on the 2022 Inc. 5000 have not only been successful, but have also demonstrated resilience amid supply chain woes, labor shortages, and the ongoing impact of Covid-19. Among the top 500, the average median three-year revenue growth rate soared to 2,144 percent. Together, those companies added more than 68,394 jobs over the past three years. Complete results of the Inc. 5000, including company profiles and an interactive database that can be sorted by industry, region, and other criteria, can be found at www.inc.com/inc5000 . The top 500 companies are featured in the September issue of Inc. magazine, which will be available on August 23. “The accomplishment of building one of the fastest-growing companies in the U.S., in light of recent economic roadblocks, cannot be overstated,” says Scott Omelianuk, editor-in-chief of Inc. “Inc. is thrilled to honor the companies that have established themselves through innovation, hard work, and rising to the challenges of today.” About FreightPlus FreightPlus is an industry provider of data-driven transportation management offering businesses customized and fully tailored managed transportation solutions in a boutique environment where clients get the individual attention they deserve. FreightPlus combines first class customer service with innovative technology and industry practices to help mid-size and growing companies work efficiently in the $800B domestic transportation market. Visit https://www.freightplus.io/ for more information. Media Contact: Courtney Conyers cconyers@freightplus.io

FreightPlus Names New Senior Vice President of LTL

July 26, 2022

Innovative managed transportation provider brings on LTL industry leader to continue to support rapid growth QUINCY, Mass — FreightPlus, a data-driven managed transportation solutions provider, has announced the expansion of their company with the hiring of Curtis Garrett, joining as Senior Vice President of LTL. Garrett will focus on improving carrier relationships and interactions through utilizing technology and strategic processes. With revenue and employee count quadrupling over the past five years, FreightPlus was named the second-fastest growing privately held company in Massachusetts by the Boston Business Journal. FreightPlus was also listed as the 783 rd fastest-growing company on the 2021 Inc 5000 list. CEO Stephen Aborn commented, “I am thrilled to have the opportunity to work with Curtis. Expanding our team with his experience is a great step in the right direction for FreightPlus as we continue to look for the most innovative and ambitious thinkers in the logistics space.” Garrett brings fifteen years of LTL experience prior to joining FreightPlus, including eight with ODFL in operations, driving, pricing, yield, and W&I. Since departing from ODFL, he has spent six years on the 3PL, software and consulting side of the industry, recently serving as Vice President of Pricing and then Chief Strategy Officer at Reconex. Garrett is fascinated with technology and is truly a student of the industry. Having overseen hundreds of millions of dollars in revenue on the business profitability side, as well as pricing and carrier relationships and procurement, Garrett is more determined than ever to break down silos and get everyone on the same playing field. “I am beyond excited to join FreightPlus”, said Garrett on his new role. He continued, “from what I have witnessed, this company has all the right parts and pieces – customer obsession, innovation, and grit – to do big things in the freight industry and I could not be more excited to be a part of it.” About FreightPlus FreightPlus is an industry provider of data-driven transportation management offering businesses customized and fully tailored managed transportation solutions in a boutique environment where clients get the individual attention they deserve. FreightPlus combines first-class customer service with innovative technology and industry practices to help mid-size and growing companies work efficiently in the $800B domestic transportation market. Visit https://www.freightplus.io/ for more information. Media Contact: Courtney Conyers cconyers@freightplus.io

FreightPlus Named to Boston Business Journal's Fast 50 List

FreightPlus Named to Boston Business Journal's 2022 Fast 50 List

March 28, 2022

FreightPlus has been named to Boston Business Journal's exclusive 2022 Fast 50 list for the first time.

Ben Graeff Appointed as FreightPlus Chief Operating Officer

FreightPlus Expands C-Suite with the Appointment of Ben Graeff as Chief Operating Officer

March 7, 2022

Innovative managed transportation provider continues to invest in executive team to support the company’s rapid growth. QUINCY, Mass — FreightPlus, a data-driven managed transportation solutions provider, announced Ben Graeff has joined as Chief Operating Officer, the first in company history. Graeff will be responsible for the company’s operational, managerial, and product strategy, as well as driving day to day and quarterly results and innovation in FreightPlus’ next stage of scale and growth. With revenue and employee count quadrupling over the past five years, FreightPlus was named to The Inc. 5000 list of fastest-growing private companies in America in 2021. CEO Stephen Aborn commented, “I am thrilled to welcome Ben to FreightPlus. His natural ability to lead and his experience scaling large businesses at the intersection of technology and operations will be invaluable to our growth story. Every person or partner that works with Ben will be better for it.” Graeff brings over 10 years of experience building technology and businesses at Amazon. Prior to joining FreightPlus, he served as Sr. Manager, Product Management and Data Analytics within Amazon Transportation Services. During his tenure, Graeff was responsible for P&L ownership in Amazon’s consumer retail division, developing new software and customer experiences for Amazon Prime, as well as product development and business results in operations and logistics across the globe. “I am excited to join a company whose mission embodies solving complex problems in partnership with its customers,” said Graeff on his new role. He continued, “Like all great organizations , FreightPlus is powered by its people. I’m eager to join this growing team and blend my experience in building and developing organizations with delivering fast-paced results through people, process and technology. FreightPlus’ commitment to driving long-term partnerships, cost savings and strong service for our customers aligns closely to my core values. I look forward to continuing to build the products, processes, programs and technologies to drive FreightPlus’ future growth as a data-driven transportation management service.” About FreightPlus About FreightPlus FreightPlus is an industry provider of data-driven transportation management offering businesses customized and fully tailored managed transportation solutions in a boutique environment where clients get the individual attention they deserve. FreightPlus combines first-class customer service with innovative technology and industry practices to help mid-size and growing companies work efficiently in the $800B domestic transportation market. Visit https://www.freightplus.io/ for more information. Media Contact: Courtney Conyers cconyers@freightplus.io