Key Terms.

Chapter 2
1. Application-specific software: Refers to software that has been
developed for managers to deal with specific logistics functions or activities
(e.g., transportation management systems).
2. Big data: The collection of large amounts of near real-time data collected
through a variety of sources, such as sensors, smartphones, RF tags and
business-to-business data exchanges.
3. Cloud computing: See on-demand software.
4. Data: Facts or recorded measures of certain phenomena.
5. Data mining: Utilizes sophisticated quantitative techniques to find hidden
patterns in large volumes of data.
6. Data warehouses: A central repository for all relevant data collected by an
organization.
7. Electronic data interchange (EDI): Computer-to-computer transmission of
business data in a structure format.
8. Electronic procurement (e-procurement): Uses the internet to make ot
easier, faster, and less expensive for an organization to purchase goods
and services.
9. Enterprise resource planning (ERP) systems: Lets a company automate
and integrate the majority of its business processes, share common data
and practices across the enterprise, and produce and access information in
a real time environment.
10. Global positioning systems (GPS): Use satellites that allow companies to
compute vehicle positions, velocity, and time.
11. Information: A body of facts in a format suitable for decision making.
12. Internet of things (IoT): The sensors and data-communication technology
that is built into physical objects that enables them to be tracked and
controlled over the internet.
13. Logistics information system (LIS): People, equipment, and procedures
to gather, sort, analyze, evaluate, and distribute needed, timely, and
accurate information to logistics decision makers.
14. Logistics optimization models: Utilize spreadsheets software and add-ins
to help logisticians make complex judgements and decisions about key
logistics issues at strategic, tactical, operational and collaborative levels.
15. Machine learning: Computer-based discipline that leverages algorithms
that can “learn” from data. These algorithms use data to build and constantly
update their prediction models for activities such as forecasting.
16. On-demand software (software as a service): Refers to software that
users access in a per use basis instead of software they own or license for
installation.
17. Radio-frequency identification (RFID): The use of radio frequency to
identify objects that have been implanted with an RFID tag.
18. Reverse auction: A buyer invites bids from multiple sellers, and the seller
with the lowest bid is often awarded the business.
19. Simulation: A technique that models a real world system, typically using
mathematical equations to represent the relationships among components
of the real world system.
20. Transportation management systems (TMS): A software package that
automates the process of building orders, tending loads, and tracking
shipments, audits, and payments.
21. Warehouse management systems (WMS): Software packages that
control the movement and storage of materials within a warehousing facility.
22. Wireless communication: Refers to communication without cables and
cords, and includes infrared, microwave, and radio transmissions.