If you’ve ever heard someone say, “We’ll push it via EDI to the ERP, then sync with the WMS,” and nodded like you got it—this one’s for you. WMS, ERP, ASN, 3PL… logistics acronyms are everywhere, and most brand operators fake it till they make it and this post breaks down 8 of the most commonly used acronyms in e-commerce logistics—what they mean, why they matter, and what you should actually know about them.
Intro
Understanding the key terms will save you from costly mistakes, time-wasting confusion, and operational mess. Here’s a no-BS breakdown of the 8 acronyms every brand should know, complete with real examples to make it stick.
1. WMS – Warehouse Management System
A WMS controls your warehouse: receiving, putaway, pick/pack/ship, returns, and real-time inventory tracking.
Example: If you sell 100 units of a hoodie and want to know exactly how many are on hand (and where they’re stored), your WMS tracks it in real-time.
2. ERP – Enterprise Resource Planning
An ERP is your business-wide system of record: orders, inventory, finance, purchasing, and forecasting all in one place. It is the central hub of sales channels and supply chain partners.
Example: A brand using Full Circle ERP creates a PO for 1,000 pieces, which flows into the WMS for receiving and allocation.
3. EDI – Electronic Data Interchange
EDI is the data language for retail, used to send POs, ASNs, invoices, and more.
Example: Retailers like send POs via EDI, and you send back ASNs and invoices through the same channel.
4. ASN – Advanced Shipping Notice
The ASN is a digital packing list that tells retailers exactly what’s coming and how it’s packed.
Example: You ship 40 cartons to Nordstrom. The ASN tells them what’s in each box by SKU and quantity.
5. 3PL – Third Party Logistics Provider
A 3PL handles your fulfillment: storing, shipping, returns, and reporting. As of this year, about 9/10 Fortune 100 companies use a 3PL instead of solely fulfilling themselves.
Example: Your 3PL fulfills e-commerce & wholesale orders, handles returns, and gives you real-time tracking through their WMS.
6. SLA – Service Level Agreement
SLAs define your expected turnaround times and accuracy rates. They are typically service goals and not complete guarantees.
Example: A standard SLA might say: all orders placed before noon ship the same day with 99.5% accuracy.
7. SKU – Stock Keeping Unit
Your internal code for a specific item and variation. This may change slightly based on industry, for example in apparel a SKU typically includes an item’s style, color, and size whereas a wellness vitamin may include other variant elements such as vitamin strength instead of product size.
Example: HV-RD-M for a Hoodie (Hooded Villain) in Red, size Medium.
8. UPC / GTIN – Barcode Systems
UPC is the most common barcode, used in retail. GTIN is the global standard umbrella. Sometimes, merchants like Amazon have their own barcode & SKU approach called FNSKU and often require you to relabel your product according to their item names.
Example: A 12-digit UPC like 081567890123 uniquely identifies your product throughout the supply chain, from factory to fulfillment center to retail store.
Less Guessing, More Control
No more head nods and Google searches mid-meeting. These are the acronyms that run your business. Learning how they work—and how they connect—is step one to building a logistics operation that can scale without chaos.
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