Addendum

This is a revision to a current contract price list for clients.

AES

Automated Export System (AES). Exported goods valued at more than $2,500.00 (USD) per Schedule B number to any foreign country other than Canada or goods regardless of value that requires an export license to report these shipments to the US government. Exporters must complete this reporting of export commodity data through an electronic Automated Export System filing

API

Application Programming Interface (api.dclcorp.com). We utilize RESTful API to allow clients to send orders directly to the DCL.

ASN

Advanced Shipping Notice. This term refers to electronically sending shipment information to a retailer and incoming stock to DCL.

B2C

The client's direct business-to-customer sales channels include or may include sales from clients' own websites, drop shipments required for clients B2B channel clients, and other direct-to-consumer sales channels.

B2B

Our clients' sales channels involve shipping to wholesalers, distributors, and retailers, among other possibilities.

BOM

Bill of Materials. A structured list of all the materials or parts and quantities needed to produce a particular finished product, assembly, subassembly, or manufactured part, whether purchased or not. A "recipe" for the final product

BTO

Build to Order. These are assembly jobs used for specific orders and then shipped (up to 5 days on the floor)

CARC

Corrective Action Report (Customer complaint). Taken care of within 24 hours. This is our process for reporting a customer issue, identifying its root cause, and establishing preventative measures.

Conforming Inventory

Inventory that is properly barcoded and receipts come with an accurate incoming stock Advanced Shipping Notification (ASN) prior to physical receipt by DCL

CRT

Customer Request Tracker. A CRT is used to track labor and costs for simple jobs. For example, labeling non-conforming products, adding labels per a routing guide, labor-only jobs, charging for turnkey materials, etc. There is no change in part numbers.

Cycle Counting

Inventory counts can be done on a regular basis rather than annually or bi-annually using a technique called cycle counts. These counts are taken while inventory is in motion, such as during shipping or receiving. At DCL, there are four classifications: A (monthly), B (quarterly), C (every six months), and D (no count at all). The classification is based on the cost of the product submitted to DCL by the customer.

DCL

DCL stands for DisCopyLabs. As a software manufacturer, DCL is used to copy diskettes, floppy disks, etc. When DCL changed to a 3PL, we shortened DisCopyLabs to DCL.

DG

Dangerous Goods. Items deemed by the Department of Transportation as hazardous when shipped via an aircraft or ground. Many of our customers have products that contain batteries. Batteries are considered DG. If the product has a battery, work with your Account Manager to follow the DG process so the product will have the correct shipping labels.

E1 Sales Orders

E1 Sales orders are sales orders that are created in our E1 system. These are different from orders we get to ship products for our clients, which we call fulfillment orders. We have three main types of sales orders that are used: SF, SO, and SV.

e-commerce connection

DCL eCommerce integrations allow DCL customers to seamlessly and immediately integrate their existing order platform and e-commerce store with DCL's fulfillment platform. These will be order platforms like Shopify, Amazon seller central, Ship Station, etc.

eFactory

Our web-based platform, eFactory, provides customers with a real-time view of warehouse inventory, an easy-to-use order management system, a transparent returns process, a shipping cost estimate calculator, and a wealth of visualized data and analytics that can be easily incorporated into reports.

EDI

Electronic Data Interchange. The computer-to-computer exchange of business documents from a retailer to a vendor and back. This is normally used with "Big Box" retailers like Walmart, Target, Best Buy, etc.

ERP

Enterprise Resource Planning. A suite of applications called modules, a database, and a set of inherent processes for consolidating business operations into a single, consistent computing platform. This module will keep track of inventory, transactions, Work orders, Sales orders, etc.

E1

E1 is the ERP system used by DCL. It is also known as JD Edwards.

FA

First Article. a First Article is a sample of an assembled product DCL has been tasked to complete or the first shipping order for a new product, retailer, or customer.

FEFO

First Expire, First Out. If a product has an expiration date, we ship using the stock that will expire the soonest.

FIFO

First In, First Out. Stock received earlier by DCL will ship before later arrivals.

Fit Test

If you want us to purchase master cartons for you, we will conduct a "Fit Test" to confirm that the parts will fit in the box. For instance, if you need a master carton that can hold 10 units of part A, we will acquire a sample master carton and attempt to fit all 10 units of part A physically.

Forecast

To predict future trends, we rely on past data. It's important that accounts, orders, and units categorize customer forecasts and then added to a master forecast that covers all customers. Operations use this forecast to plan staffing levels to accommodate the expected number of orders over a specific period of time.

FTL

Full Truckload. Refers to a driver pulling freight for one specific customer only, where only that load is on the truck. No partial loads can be added. This is more expensive than LTL, but the truck driver will wait and come when we need them. We will also call this a "dedicated truck."

Fulfillment Order

An instruction from the client in the form of an order to DCL to ship a specific product to a specific recipient using a specific shipping method.

ITN

An Internal Transaction Number (ITN) is an export identification number generated at filing to confirm that AES has accepted the filing. An ITN number is proof of the filling of the shipment on the AES website, and It is provided to the Carrier, Freight Forwarder, or Customs upon request or business rule via BOL, Packing List, SLI/CI, and/or email

Inventory

All of the clients' products in DCL possession or control

ISO

DCL is ISO certified. ISO is a set of processes that DCL follows to ensure client satisfaction every time. We are audited once a year by a 3rd party ISO auditor that verifies that we follow our own ISO procedures. Having this certification gives our clients confidence in our quality.

KPI

Key Performance Indicator. We use key performance indicators to measure how well our company is achieving its business objectives. Our primary KPIs focus on the accuracy of shipping, receiving, and inventory.

KPL

The KPL or Kit Pick List is the list of parts a warehouse clerk uses to pull products from the warehouse locations for fulfillment orders, sales orders, or work orders.

LIFO

Last in, First Out. Stock that arrives later will be shipped out before stock that arrived earlier.

LTL

Less Than Truckload. In this arrangement, a shipper contracts for the transportation of freight that will not require an entire truck. Shipments are priced according to the weight of the freight, its commodity class, and mileage within designated lanes. The truck that comes in has other stops to make and is planned and arranged earlier in the day. LTL appointments need to be made before noon, and the shipment must be ready to be picked up at the appointment time.

Manifest

After the verification station, the next step is the Manifest station. Once the shipment is received by the manifest clerk, the order will already be packed in the box(es). The clerk will weigh the box(es), and a shipping label will be printed. In case an 8 x 11 packing list is used, it will also be printed out. The clerk will seal the box and attach the shipping label. It's important to note that the PANDA line automates the manifesting process, and an 8 x 11 packing list is not available on the PANDA line.

MTT

Material Transfer of Transaction. This is a manual form to deduct or transfer material from the warehouse.

NPS

Net Promoter Score. DCL uses an NPS score to help gauge how we are doing as a company. The higher the score, the better.

OA

OA stands for Order Administrator. This is the team that will process and route the orders that come over to us from the client. They look out for special instructions on orders, make changes, and batch them to the shipping lines. They handle the day to day of the fulfillment orders.

OSG

Order Support Group. Once an order has been shipped, the order support group will take care of any issues. This includes handling reroutes, tracers, and claims.

PandA Line

DCL Print and Apply shipping line. This line automates a big portion of our shipping. The system will automatically seal box shipments, print a shipping label, apply the shipping label to a box, and route the box to the correct carrier.

PI

Physical Inventory. A physical inventory is usually done once a year. Before starting a physical inventory, all transactions must come to a halt. This includes receipts and shipping. Your Account Manager will schedule the PI and notify you of the associated costs and timing.

POD

Proof of Delivery. A POD is a document that carriers provide to show the recipient of a shipment has acknowledged delivery. The POD can be either a physical or digital signature.

PRS

Packaging Routing Slip. This is all the paperwork the assembly uses for work orders. It includes approved label specs, BOM, and the kit pick list (KPL)

QBR

Quarterly Business Review. We can schedule a business review to assess our SLA performance, identify any challenges we may be facing, review our successes, and discuss upcoming plans from the client.

QWI

Quality Work Instructions. At DCL, as an ISO-certified company, all departments must adhere to work instructions for quality assurance. These instructions are known as Quality Work Instructions.

Returns

Any products returned to DCL for any reason.

RMA

Return Material Authorization. An authorization from a company to return a product for a refund or repair

RTV

RTV, an abbreviation for "Return to Vendor," designates a classification assigned to returned items deemed unsuitable for reshipment or restocking.

Rush

These are orders that are received after the cut-off time and need to ship the same day. Orders that come over "Rush" after the cut-off are not guaranteed to ship the same day, but we will make every effort to get them out. A fee may be charged for a Rush order regardless of whether we get it out. This is because there is still labor involved in processing a Rush order. Please refer to your contract for any Rush fees.

Routing Guide

A document that can provide a variety of shipment-related information such as shipment preparation, freight invoicing, a list of preferred carriers, and a list of which carrier or carriers to use for shipments moving between two points. It is up to the AM to gather the routing guide from the client and work internally with the operations team to train the team and create instructions (routing checklist) to verify each order is shipped correctly per the routing guide.

SF

SF is a type of sales order typically used to transfer products owned by DCL to those owned by the customer. The sales order will also be used to create an invoice to charge the customer for either materials purchased for the customer or for an assembly build.

SLA

Service Level Agreement. This is the agreement signed by both the customer and DCL of the services and pricing DCL will provide. We also call this the contract.

Shipping Method

Shipping Method is the field in the API where you list your preferred shipping service level for your order from the available options which include Ground, 3-Day, 2-Day, Next Day, or any other suitable options.

SLI

When shipping goods, a Shipper's Letter of Instruction (SLI) is an essential document that provides clear shipping instructions to the freight forwarder. The main aim of this document is to ensure that the products are transported smoothly and accurately across borders. In addition, the SLI may also include details about the billing terms for freight charges and other related fees.

SO

SO is a type of E1 Sales order. SO Sales Orders are typically used to scrap products or to transfer large amounts of products out of the warehouse.

SOP

Logistics typically rely on Standard Operating Procedures (SOPs) to provide clear and concise instructions to operational staff on how to perform specific tasks. These SOPs aim to ensure conformity and efficiency in areas such as warehouse picking, vehicle loading, and stock replenishment. DCL may need to request SOPs for tasks such as building, testing, or shipping products.

SPX

Small Package. This is an abbreviation for a small package that will ship ground or air. This is as opposed to an LTL shipment that will ship via a Pallet.

Turnkey

This is the terminology used when DCL purchases stocks on behalf of a customer and charges them for the stocks upon their arrival at DCL.

Verify

The Verify Station is where the shipping process begins. Here, clerks assign a shipping box and scan each item into it. The system verifies that the correct parts have been included in the order by cross-checking the scanned items with the order requirements.

WO

Work Order. This is a job created in DCL's ERP system to build a product.

WR

Rework Work Order. This is a job created in DCL ERP system to rework an already existing product.