Operations terminology, explained

Sales pipeline

A structured view of open opportunities grouped by stage, used to estimate future revenue and prioritise commercial effort.

Sales forecast

The estimate of revenue closing in a period, computed from the pipeline by weighting on stage and real historical conversion.

Win rate

The share of closed opportunities that were won - the main indicator of sales process and qualification quality.

Sales cycle

The average time from first qualified interaction to a signed order - the metric that determines how fast commercial effort turns into cash.

Lead scoring

Scoring leads by fit with the ideal customer profile and by behaviour, so the team works the highest-probability opportunities first.

SFASales

SFA (Sales Force Automation)

Automating field sales work: route planning, visit logging, order taking and reporting generated from daily activity.

Routes and visit frequency

Planning visits by potential and geography so each customer is visited at the right interval with minimum time lost in traffic.

CRM adoption

How far the team actually uses the system in daily work - the factor that decides whether an implementation produces results.

CRM-ERP integration

Controlled data exchange between CRM and ERP with a single owning system per entity, so no duplicates or contradictory values appear.

Master data

Core reference data - customers, products, prices, organisational units - for which a single source of truth is defined across the application landscape.

Bidirectional synchronisation

Two-way data exchange between systems, with explicit precedence rules defining what happens when the same record changes in both places.

CRM ROI

The ratio between the annual gain a CRM generates and its total cost, computed from measurable benefit sources rather than general estimates.

Cost of inaction

The annual loss caused by keeping current commercial processes, used as the comparison point for the cost of a CRM implementation.

CACSales

CAC (customer acquisition cost)

The average cost of winning one new customer: sales and marketing spend divided by new customers.

CLVSales

CLV (customer lifetime value)

Total margin a customer generates across the whole relationship, not just the first order.

Churn rate

The share of active customers who stop ordering in a given period.

MQL and SQL (lead qualification)

An MQL has shown interest; an SQL has been checked and accepted by sales as a real opportunity.

Pipeline coverage

How many times open pipeline value covers the period's sales target.

Forecast accuracy

How close the forecast committed at period start lands to actual results.

Upsell and cross-sell

Upsell sells a higher tier; cross-sell sells a category the customer does not yet buy from you.

Sales quota / target

The commercial objective assigned to a rep, team or territory for a period, with its commission rule.

Sales territory management

Splitting the market across reps by clear criteria so every account has exactly one owner.

ABSSales

Account-based selling

Working the target account, not the individual lead, with a dedicated plan and team per account.

NPSSales

NPS (Net Promoter Score)

Satisfaction metric: percentage of promoters minus percentage of detractors on a 0-10 scale.

Sales enablement

The content, training and tooling that shorten ramp-up time and raise win rate.

Net margin per customer (after cost to serve)

Gross margin minus the real cost of serving that customer: deliveries, returns, selling time, receivable financing.

Speed to lead (lead response time)

The gap between a lead showing intent and the first real contact from sales.

Picking

The process of retrieving products from warehouse locations to fulfil an order - the most costly warehouse activity.

Putaway

The process of storing received goods in optimal locations immediately after receipt.

Goods receipt

The process of checking and recording goods entering the warehouse, matched against the purchase order and delivery note.

Replenishment

Automatically refilling picking locations from reserve stock to prevent stockouts during picking.

Wave picking

Grouping orders into planned waves to sync picking with routes, carriers and shipping deadlines.

Batch picking

Picking several orders in one warehouse pass, grouped by common SKUs.

Zone picking

Dividing the warehouse into zones where each operator picks only in their zone, with orders passing between zones.

Slotting

Strategically assigning products to warehouse locations based on rotation, size and affinity to minimise picking effort.

FEFOLogistics

FEFO (First Expired, First Out)

The rule of shipping the batch with the nearest expiry date first, essential for perishable products.

Batch traceability

The ability to track a product batch across the whole chain, from supplier to end customer, for recall and compliance.

Serialisation (serial number tracking)

Assigning a unique identifier to each product unit for individual tracking, warranty and anti-counterfeiting.

Bin location

The unique physical address of a storage slot (aisle-rack-level-position), the foundation of warehouse organisation.

Kitting

Combining several individual products into a single set (kit) with its own SKU, before or at order time.

Inventory accuracy

The degree of match between book stock (in the system) and physical stock (in the warehouse) - the operation's health metric.

Inventory turnover

How many times stock is fully sold and replenished in a period - a measure of capital efficiency.

Dead stock

Goods unsold for a long period that lock capital and space, with little prospect of selling at normal price.

PTLTechnology

Pick-to-light / Voice picking

Technologies guiding picking via shelf lights or voice commands, for maximum speed and accuracy.

RF scanning (mobile warehouse terminal)

Using mobile barcode-scanning terminals to validate every warehouse operation in real time.

GS1-128Logistics

GS1-128 logistics label (SSCC label)

The standardised pallet label carrying the SSCC and logistics data, mandatory for retailer deliveries.

Stock allocation

Reserving available stock for confirmed orders by priority rules to prevent over-promising.

ATPOperations

ATP - Available to Promise

The stock quantity that can be safely promised to a new order, accounting for on-hand stock, allocations and future inbound.

Fill rate

The percentage of customer demand fulfilled fully from stock at first delivery, without backorder - a key service-level metric.

Order orchestration

Automatically coordinating each order's lifecycle from capture to delivery, across channels and warehouses.

Order routing

The automatic decision on which warehouse or location fulfils each order, for optimal cost and delivery time.

Split shipment

Splitting one order into several separate shipments, from different warehouses or at different times.

Omnichannel fulfilment

Fulfilling orders from unified stock across all sales channels, with a consistent experience wherever the customer buys.

DOMOperations

Distributed Order Management (DOM)

Managing orders across a distributed network of stock sources (warehouses, stores, suppliers) with centralised fulfilment decisions.

Returns / Reverse logistics

Managing the reverse goods flow - from customer back to warehouse - including inspection, restocking and refund.

Order cycle time

The total time from order placement to delivery to the customer - a direct measure of operational speed.

Perfect order rate

The percentage of orders delivered with no errors - on time, in full, undamaged and with correct documentation.

SLA-based order prioritisation

Automatically ordering orders by promised deadlines and customer importance to meet delivery commitments.

EDIFACTTechnology

EDIFACT (UN/EDIFACT)

The UN international standard for EDI messages, dominant in Europe for B2B commercial document exchange.

ANSI X12Technology

ANSI X12

The dominant EDI standard in North America, used for commercial document exchange between B2B partners.

ORDERSTechnology

ORDERS (EDI purchase order)

The EDIFACT message by which a buyer electronically transmits a purchase order to a supplier.

ORDRSPTechnology

ORDRSP (order response)

The EDIFACT message by which a supplier confirms, changes or rejects an order received from a buyer.

RECADVTechnology

RECADV (receiving advice)

The EDIFACT message by which the recipient confirms the quantities actually received from a delivery.

DELFOR/DELJITTechnology

DELFOR / DELJIT (delivery schedules)

EDIFACT messages for communicating delivery forecasts and just-in-time calls, typical in automotive and manufacturing.

PRICATTechnology

PRICAT (EDI price catalogue)

The EDIFACT message by which a supplier sends the retailer its product and price catalogue, synced electronically.

INVRPT/SLSRPTTechnology

INVRPT / SLSRPT (inventory and sales reports)

EDIFACT messages by which a retailer reports stock and sales per product to the supplier, essential for VMI.

REMADVTechnology

REMADV (remittance advice)

The EDIFACT message by which the payer states which invoices it is paying and with what adjustments, for automatic reconciliation.

AS2Technology

AS2 (EDI transmission protocol)

A secure protocol for transmitting EDI messages directly over the internet, with encryption and delivery receipt (MDN).

OFTP2Technology

OFTP2 (Odette File Transfer Protocol)

The standard EDI transmission protocol in the European automotive industry, for secure file exchange over the internet.

VANTechnology

VAN / SFTP (EDI transmission networks)

Methods of transporting EDI messages: VAN (value-added intermediary network) and SFTP (secure file transfer).

EDI mapping

Translating between the standard EDI message structure and your ERP's data format, for automatic processing.

EDI partner onboarding

The process of connecting EDI with a new trading partner: mapping, transport setup and end-to-end testing.

EDI vs e-Invoice

The difference between EDI (the whole B2B commercial cycle) and e-Invoice (only the fiscal invoice sent to the state via the portal).

Retailer EDI compliance

The set of technical and operational requirements a retailer imposes on suppliers for EDI exchange, whose breach triggers penalties.

B2B Portal

An online platform where business customers (distributors, retailers, HoReCa) place orders 24/7 at their contract prices.

Self-service ordering

The model where the B2B customer places orders online themselves, without going through an agent or back office.

PunchOutB2B commerce

PunchOut (cXML / OCI)

A mechanism where the buyer browses the supplier catalogue directly from their own procurement system.

Multi-level approvals

The flow where a B2B order passes through several internal approval levels before it is placed.

Quick order lists

Templates of frequently ordered products a customer can reuse to order in seconds.

Contract pricing

Individually negotiated per-customer B2B prices, different from list price, applied automatically at order time.

Live stock availability

Real-time display in the B2B portal of available stock and estimated delivery date per product.

Order history & reorder

Customer access to past orders with the option to quickly reorder them, fully or partially.

Credit limit & balance

Commercial exposure control: the portal checks the customer's credit limit and balance before accepting the order.

Personalised B2B catalogue

Assortment and product content displayed differently per customer, by contract, region or segment.

Bulk order upload (CSV/Excel)

Uploading a many-line order from a CSV/Excel file, instead of manual line-by-line entry.

Supplier portal

A platform where suppliers see your orders, confirm dates, send ASNs and invoices, and track their payments.

POB2B commerce

Purchase Order (PO)

The official document by which you buy from a supplier: agreed products, quantities, prices and terms.

Supplier order confirmation

The supplier's response to a purchase order: acceptance, rejection or proposed changes.

3-way matchFinance

3-way match

The control that compares the purchase order, the receipt and the invoice before approving payment.

Self-billing

The model where the buyer issues the invoice on the supplier's behalf, based on confirmed receipt.

Consignment stock

Goods physically at the buyer but owned by the supplier until actual sale or consumption.

Supplier scorecard

A supplier performance evaluation on metrics such as on-time delivery, compliance and quality.

Supplier onboarding

The process of integrating a new supplier: data, documents, terms and connection to the portal or EDI.

Supplier payment status visibility

Supplier access to their invoice status: received, matching, approved, scheduled or paid.

Web EDITechnology

Web EDI (web EDI portal)

A web interface where a partner with no EDI system of its own can receive and send EDI documents from the browser.

Flip document (turn-around)

Automatic generation of a response document from the received document's data (e.g. invoice from order).

EDI fallback

The backup mechanism that ensures document exchange continuity when the main EDI channel is unavailable.

PODLogistics

Proof of Delivery (POD)

Confirmation that goods were delivered and received: signature, photo, timestamp and any reservations.

Track & trace

Real-time tracking of an order or shipment's status and location, from pickup to delivery.

Web EDI vs full EDI integration

Comparing the two ways of doing EDI: a manual web portal vs automated system-to-system integration.

GS1 labelling from the portal

Generating and printing GS1-128 logistics labels (with SSCC) straight from the Web EDI portal, with no own system.

iPaaSTechnology

iPaaS (Integration Platform as a Service)

A cloud platform that connects applications and data via connectors, flows and transformations managed centrally.

MDMTechnology

MDM (Master Data Management)

The discipline of maintaining a single source of truth for key data: products, customers, suppliers, prices.

DIFOTLogistics

DIFOT (Delivered In Full, On Time)

The metric measuring the percentage of orders delivered in full and on the promised date.

Control tower (supply chain)

A single visibility and decision hub that aggregates chain-wide data to detect and resolve issues proactively.

Integration middleware

The intermediate software layer that connects systems and translates data between them, decoupling them from each other.

Idempotency (integrations)

The property whereby processing the same message repeatedly produces the same result, with no duplicate effects.

Real-time vs batch syncing

The two ways of moving data between systems: instantly on each event, or grouped at scheduled intervals.

LTOperations

Lead time

The total time between placing a replenishment order and the goods becoming actually available for sale.

ROPOperations

Reorder Point (ROP)

The stock level at which a new order must be placed to avoid a stockout before goods arrive.

EOQOperations

Economic Order Quantity (EOQ)

The optimal order quantity that minimises the combined total of ordering and holding costs.

ABCOperations

ABC Analysis

Classifying products into three classes (A, B, C) by their contribution to value or revenue, to prioritise management.

XYZOperations

XYZ Analysis

Classifying products by demand variability (predictability): X = stable, Y = variable, Z = erratic.

Demand Forecasting

Estimating future demand per product based on sales history, seasonality and external factors.

S&OPOperations

S&OP (Sales and Operations Planning)

A monthly management process aligning the sales plan with operational and supply capacity.

Stockout

A situation where a requested product is not available in stock, causing lost sales and dissatisfied customers.

Overstock

Stock above the level demand requires, locking capital, taking space and risking becoming dead stock.

Inventory Shrinkage

The gap between book stock and physical stock, caused by theft, damage, expiry or recording errors.

Warehouse Throughput

The volume of orders, lines or units a warehouse can process in a given time period.

Capacity Planning

Aligning operational capacity (staff, space, equipment) to forecast demand, to avoid bottlenecks or wasted cost.

Incoterms

Standardised international rules (ICC) defining who pays for transport, risk and customs in a commercial transaction.

CMRLogistics

CMR Consignment Note

The international road transport document proving the contract between consignor, carrier and consignee.

B/LLogistics

Bill of Lading (B/L)

The sea transport document proving receipt of goods, the transport contract and title to the goods.

Packing List

The document detailing the contents of each parcel/pallet in a shipment: items, quantities, weights, dimensions.

HSLogistics

HS Code (Tariff Code)

The international customs classification code for goods, determining duties and import/export restrictions.

Carrier Management

Centralised management of multiple couriers and carriers: allocation, AWB generation, tracking and performance review.

Freight Audit

Checking carrier invoices against agreed rates and actual shipments to detect overbilling.

CODLogistics

Cash on Delivery (COD)

A payment method where the customer pays the courier at delivery, and the money is remitted to the merchant.

Pickup Point / Locker

A physical location (automated locker or partner point) where the customer collects their order, an alternative to home delivery.

Returns Rate

The percentage of orders or products returned out of those delivered, an indicator of experience and operations health.

Voice Picking

A picking method guided by voice commands in a headset, leaving the operator hands- and eyes-free.

AI Demand Forecasting

Demand forecasting with machine-learning models that learn patterns from history and external factors, at SKU level.

ETLTechnology

ETL (Extract, Transform, Load)

A process where data is extracted from a source, transformed to the target format and loaded into the destination system.

API Gateway

A single entry point that routes, secures and controls API calls to backend services.

GraphQL

A query language for APIs that lets the client request exactly the data it needs, in a single call.

EDATechnology

Event-Driven Architecture (EDA)

A model where systems react to events (new order, stock change) in real time, instead of polling periodically.

Headless Commerce

A commerce architecture where the frontend (storefront) is separated from the backend (orders, stock, checkout) and communicates via API.

Microservices

A software architecture style where the application is built from small, independent services communicating via API.

SSOTTechnology

Single Source of Truth (SSOT)

The principle that each piece of data has one authoritative place, avoiding conflicting versions across systems.

Data Warehouse

A central store of data consolidated from multiple systems, optimised for reporting and analysis, not operations.

Flat File / CSV

A simple data-exchange format (CSV, TXT, Excel) often used for integrations with systems lacking an API.

TCOFinance

Total Cost of Ownership (TCO)

The sum of all costs of a solution over its full life: acquisition, implementation, operation, maintenance and replacement.

ROIFinance

ROI (Return on Investment)

The metric measuring the net gain of an investment relative to its cost: (benefit - cost) / cost.

KPIOperations

KPI (Key Performance Indicator)

A quantitative measure of performance against a goal, used to monitor and improve operations.

EBITDAFinance

EBITDA

Operating profit before interest, taxes, depreciation and amortization - a measure of operating performance.

Gross Margin

The difference between revenue and cost of goods sold, usually expressed as a percentage of revenue.

GMROIFinance

GMROI (Gross Margin Return on Inventory)

The metric showing how many euros of gross margin you generate for each euro invested in inventory.

CCCFinance

Cash Conversion Cycle (CCC)

The number of days cash stays locked in operations: inventory + receivables - payables to suppliers.

Landed Cost

The total real cost of a product up to the warehouse: purchase price + freight + duties + insurance + handling.

DIOFinance

Days Inventory Outstanding (DIO)

The average number of days goods sit in stock before being sold.

RFQB2B commerce

Request for Quotation (RFQ)

The formal request by which a buyer asks a supplier for price and terms for specific products and quantities.

Payment Terms

The agreed conditions on when and how the customer pays: on delivery, net 30/60/90 days, with early-payment discounts.

Volume Discount

A price reduction granted when quantity thresholds are exceeded, to encourage larger orders.

B2B E-commerce

Electronic commerce between companies: business customers ordering online, with contract prices, credit and B2B-specific flows.

Pre-order

An order placed for products not yet in stock but expected to become available at a future date.

Subscription Ordering

Orders scheduled automatically at fixed intervals, for repeat consumption, without manual re-entry each time.

Trade Promotion

A promotional action between supplier and retailer/distributor: discounts, rebates, co-funding aimed at boosting sales.

Sell-through rate

The share of received stock sold in a period: units sold / units received × 100.

Cost-to-serve

The true total cost of fulfilling an order or serving a customer: processing, picking, transport, returns and support.

OTDLogistics

On-Time Delivery (OTD)

The share of deliveries arriving within the promised window: on-time deliveries / total deliveries × 100.

Backorder rate

The share of orders (or lines) that cannot be fulfilled immediately from stock and go on backorder: backordered / total × 100.

Order accuracy rate

The share of orders processed without errors: correct orders / total orders × 100.

Payback period

The time it takes for the savings or gains from an investment to cover its initial cost.

NPVFinance

Net Present Value (NPV)

The value today of all an investment's future cash flows, minus the initial cost, discounted at a chosen rate.

IRRFinance

Internal Rate of Return (IRR)

The discount rate at which an investment's net present value (NPV) becomes zero - the project's intrinsic return.

Cost of downtime

The total loss from each hour a critical system or process is unavailable: missed sales, blocked work, penalties.

FTEFinance

FTE (Full-Time Equivalent)

The unit expressing workload equivalent to one full-time employee - used to measure resource savings.

OEEOperations

OEE (Overall Equipment Effectiveness)

The production efficiency metric: availability × performance × quality, expressed as a percentage.

Invoice-to-Pay

The flow from receiving a supplier invoice to its approved payment: capture, matching, approval, payment scheduling.

Cash Application

The flow of matching received payments to their corresponding invoices, to correctly close receivables.

Credit-to-Cash

The extension of Order-to-Cash that starts from the customer's credit check and runs to payment collection.

Pick-Pack-Ship

The warehouse execution flow from picking the products, to packing, to shipping the order to the customer.

Exception management

The flow by which blocked or abnormal orders and transactions are detected, routed and resolved quickly, without stopping the rest of the operation.

Replenishment flow

The automated flow that refills stock at the right time, in the right quantity, based on demand and reorder thresholds.

Available-to-Promise flow

The flow that computes in real time what quantity can be promised to a customer and when, based on real stock and already-allocated orders.

SmartBill vs Oblio

Two popular Romanian invoicing tools; both excel at invoice issuance and e-Factura, but neither covers the operational flow before and after the invoice.

WinMentor vs SAP

WinMentor - affordable Romanian ERP, strong on local accounting; SAP - global enterprise ERP, complex and costly. A rip-and-replace migration is rarely justified.

EDITechnology

EDI (Electronic Data Interchange)

Structured exchange of commercial documents between B2B partners, without emails or manual data entry.

OTIFLogistics

OTIF (On-Time In-Full)

Share of orders delivered on time AND complete. Critical KPI for modern retailer relationships.

VMIB2B commerce

VMI (Vendor Managed Inventory)

The supplier manages stock at the customer/shelf - orders are triggered automatically at threshold, not issued manually.

O2COperations

Order-to-Cash (O2C)

The end-to-end cycle from order receipt to invoice payment. A key cash-flow health indicator.

NIROperations

NIR / Goods Receipt Note (GRN)

Internal document confirming the physical receipt of goods in the warehouse - the pivot between supplier delivery note and invoice.

GS1Technology

GS1

The global organization managing trade identification standards: GTIN (EAN), GLN, SSCC, EANCOM.

GLNTechnology

GLN (Global Location Number)

13-digit GS1 code uniquely identifying a location (HQ, warehouse, store, delivery dock).

SSCCLogistics

SSCC (Serial Shipping Container Code)

Unique 18-digit code identifying an individual transport unit - pallet, case, container.

GTINTechnology

GTIN (Global Trade Item Number)

Global product identification code - base for EAN-13, UPC, marketplaces.

ASNLogistics

ASN / DESADV (Advance Shipping Notice)

EDI shipping notice sent before goods physically arrive at the retailer - describes pallet, batch, quantity.

INVOIC

The EDIFACT commercial invoice message - exchanged directly between supplier and customer (different from the fiscal e-Invoice).

OMSTechnology

OMS (Order Management System)

The system centralizing orders from every channel (EDI, online, phone, field agent) and orchestrating execution.

WMSLogistics

WMS (Warehouse Management System)

The system orchestrating physical warehouse operations: receiving, putaway, picking, packing, shipping.

SFAOperations

SFA (Sales Force Automation)

The mobile app for the field agent - planned visits, catalogue ordering, collection, daily report.

ERPTechnology

ERP (Enterprise Resource Planning)

The system unifying accounting, inventory, production, payroll and sales in a single database.

CRMOperations

CRM (Customer Relationship Management)

The system managing prospect and customer relationships: leads, pipeline, communications, contract.

PIMTechnology

PIM (Product Information Management)

The source system for all product data - attributes, images, descriptions - distributed to every channel.

P2PFinance

Procure-to-Pay (P2P)

The end-to-end procurement cycle: request → order → receipt → invoice → payment → reconciliation.

DSOFinance

DSO (Days Sales Outstanding)

Average number of days from invoice issue to cash collection. Key cash-flow indicator.

DPOFinance

DPO (Days Payable Outstanding)

Average number of days from supplier invoice receipt to actual payment.

SKUOperations

SKU (Stock Keeping Unit)

Internal unique code of an item in your stock - finer granularity than GTIN.

Backorder

Order accepted but not deliverable from current stock - fulfilled at a known future date.

Cross-docking

Logistics operation where goods flow through the warehouse without storage - directly from receiving to shipping.

Last-mile

The final delivery stage - from local DC to end customer. The most expensive segment.

3PLLogistics

3PL (Third-Party Logistics)

External logistics provider - runs warehouse + fulfillment + courier on behalf of its customers.

Fulfillment

The complete order fulfilment process: pick → pack → ship → tracking → delivery → returns support.

Marketplace Connector

Connector syncing products, stock, price, orders and delivery status between ERP/OMS and marketplaces (eMAG, Amazon).

Smart Layer

Modern orchestration layer over the existing ERP - adds OMS, WMS, EDI, marketplace without replacing accounting.

REST API

The standard HTTP integration interface for data exchange between systems.

Webhook

HTTP push notification sent automatically on event - the opposite of "polling".

Cycle counting

Continuous small-batch counting with no activity stops - modern alternative to annual physical inventory.

Chargeback (retail)

Automatic deduction from supplier invoice for SLA breaches - wrong ASN, low OTIF, invalid label.

Multi-tenant

SaaS architecture where one software instance serves many logically-isolated customers.

SLATechnology

SLA (Service Level Agreement)

Contractual guarantee of availability, support response time and technical performance.

D394Finance

D394 (Romanian VAT Informative Declaration)

Monthly Romanian tax filing listing all domestic B2B sales and purchases - the main source of ANAF cross-checks.

SAF-TFinance

SAF-T D406 (Standard Audit File for Tax)

Monthly granular Romanian tax filing: every invoice, stock movement and ledger entry - mandatory for VAT payers.

e-FacturaFinance

e-Factura (RO_CIUS)

Romanian electronic invoice in XML UBL 2.1, mandatory B2B and B2G via the ANAF SPV portal.

SPVFinance

SPV (Romanian ANAF Private Virtual Space)

Official ANAF portal through which taxpayers file returns, receive notifications and submit e-Invoice, e-Transport, SAF-T D406.

RO e-TransportLogistics

RO e-Transport (Romanian electronic transport monitoring)

Romanian ANAF system for monitoring shipments of high-fiscal-risk goods; requires advance declaration with a UIT code issued via SPV.

Transport accompanying note (Romanian aviz de însoțire)

Romanian fiscal document accompanying goods between supplier and recipient until the invoice is issued.

UITLogistics

UIT code (Unique Transport Registration Code)

Unique code issued by Romania's ANAF through SPV for every shipment declared in RO e-Transport, valid for the duration of the goods movement.

D394Finance

Declaration 394 (D394, Romania)

Romanian recapitulative informational declaration of domestic supplies/acquisitions, filed monthly by VAT payers to ANAF.

Trial balance (Romania)

Monthly accounting summary that confirms debits equal credits and feeds every Romanian tax filing (D300, D394, D112, SAF-T).

D300Finance

VAT return (D300, Romania)

Monthly/quarterly Romanian VAT return reporting output VAT, input VAT and the net payable or refundable amount to ANAF.

Sales journal (Romania)

Mandatory accounting register listing every issued invoice chronologically, with VAT base and output VAT - the primary source for D300 and D394.

Purchases journal (Romania)

Mandatory Romanian accounting register listing every supplier invoice received, with deductible VAT - the primary source for recoverable VAT through D300.

General journal (Romania)

Mandatory Romanian accounting register listing every economic transaction chronologically - the foundation of double-entry bookkeeping.

Proforma invoice

Preliminary commercial document with no fiscal value, used for quoting and advance payment before issuing the fiscal invoice.

Reversal (storno) invoice

Negative-value invoice that cancels or corrects a previously issued invoice while preserving the fiscal audit trail.

VAT on collection (cash accounting)

Optional Romanian scheme where VAT becomes chargeable when the invoice is collected, not when it is issued.

Chart of accounts (Romania)

Structured list of all accounting accounts a company uses, organised by classes and groups per Romanian OMFP regulations.

Journal entry (accounting note)

The record of an economic transaction on accounts (debit = credit), the base unit of double-entry bookkeeping.

Balance sheet (Romania)

Financial statement showing a company's position at a point in time: assets = equity + liabilities.

Profit and loss statement

Financial statement showing a company's revenues, expenses and result (profit/loss) over a period.

Cash-flowFinance

Cash flow

The actual movement of money in and out of a company over a period - a measure of liquidity, not profit.

Depreciation

Systematic allocation of a fixed asset's cost over its useful life, recognised as a periodic expense.

Safety stock

Extra buffer inventory held to prevent stockouts caused by demand or supply variability.

FIFO/LIFO/CMPLogistics

Inventory valuation methods (FIFO, LIFO, WAC)

Accounting rules to determine the cost of goods leaving stock: first-in-first-out, last-in-first-out, or weighted average cost.

Stocktaking (physical inventory)

The process of physically verifying inventory and reconciling it with book records to establish the real asset position.

D390Finance

Declaration 390 (D390 - EC Sales/Purchase List, Romania)

Monthly recapitulative statement of intra-EU supplies, acquisitions and services between VAT-registered persons, filed to ANAF via SPV and feeding the EU VIES system.

D112Finance

Declaration 112 (D112 - social contributions, Romania)

Monthly Romanian return of social contributions, income tax and the nominal record of insured persons, filed to ANAF via SPV.

CAENFinance

CAEN code (Romanian NACE activity code)

The Romanian economic-activity classification code identifying a company's business object, used for registration, licensing and tax reporting; harmonised with EU NACE.

e-TVAFinance

e-TVA (Romanian pre-filled VAT return)

The ANAF system that auto-generates a pre-filled VAT return from e-Invoice, e-Transport and SAF-T data, which the taxpayer compares against their own records.

Dropshipping

A sales model where the merchant holds no stock: on receiving an order, the supplier ships the product directly to the end customer on the merchant's behalf.

Supply ChainLogistics

Supply chain

The complete network of processes, actors and flows that move a product from supplier to end customer - from sourcing and production to storage, distribution and delivery.

ProcurementB2B commerce

Procurement

A company's sourcing function: identifying needs, selecting suppliers, negotiating, ordering and receiving goods and services at the optimal total cost.

Working CapitalFinance

Working capital

The difference between current assets and current liabilities - the cash a company has to fund daily operations. A key financial-health indicator.

Opportunity cost

The value of the best alternative you give up when choosing a particular use of resources - a key concept in strategic capital-allocation decisions.

MOQB2B commerce

MOQ (Minimum Order Quantity)

The minimum quantity a supplier accepts per order - a factor that directly affects inventory levels, cash flow and unit cost.

Q2OB2B commerce

Quote-to-Order (Q2O)

The full flow from quote/estimate to a firm accepted order - the step before Order-to-Cash.

Order Fulfillment

The operational flow that turns an order into a delivery: stock allocation, picking, packing, shipping and confirmation.

Dock-to-Stock

The receiving flow that makes goods available for sale: from unloading at the dock to validated stock.

Reverse Logistics

The reverse flow of goods: returns, RMA, refurbishment, restock or disposal - from customer back into the chain.