Glossary

UNAMBIGUOUS

Clear and not open to interpretation.

UNIFORM COMMERCIAL CODE (UCC)

A comprehensive modernization of various statutes relating to commercial transactions, including sales, lease, negotiable instruments, bank deposits and collections, funds transfers, letters of credit, bulk sales, documents of title, investment securities and secured transactions. The Minnesota law is found in Minn. Stat. Ch. 336.

UNINCORPORATED COMPANY

A company in which there is no legal distinction between the company and its owner.

UNION

A group of workers joined together in a specific type of organization for the purpose of improving working conditions.

UNIT LOAD

A standard unit that combines individual items to ensure easy and efficient handling.

UNIT PRICE

The price of a selected unit of a good or service (e.g., pound, labor hours, etc.).

UNSUCCESSFUL VENDOR

A vendor whose response is not accepted for reasons such as price, quantity, failure to comply with specifications, etc.

UP-SKILL

Increase the ability of an individual through training and personal development.

UPSTREAM ENVIRONMENTAL FACTORS

Impacts on the environment caused by the extraction of raw materials or the manufacture of goods being purchased.

VALUE ADDED TAX (VAT)

An indirect tax collected by sellers at every stage in the supply chain, based on the value added at each stage of a product’s or service’s production or distribution.

VALUE ANALYSIS

An organized effort directed at analyzing the function of systems, products, specifications, standards, practices, and procedures for the purpose of satisfying the required function at the lowest total cost of effective ownership consistent with the requirements for performance, reliability, quality and maintainability.

VALUE PROPOSITIONS

The attributes of a product or service that makes it attractive to customers.

VARIABLE COSTS

Costs that change with the output of the organization.

VARIANT BID

A tender offer that does not quite match the specification of contract terms, but has been authorized as a secondary offer from a supplier. It is used to see if the proposed specification and contract terms can be improved upon via competitive offers and must be authorized by the purchaser as part of the invitation to tender.

VENDOR

Someone who sells something; a “seller.”

VENDOR MASTER DATA

Vendor Master Data is the enterprise main source of vendor-specific data. It includes information on vendors from which a company can procure, or can sell. A vendor master record contains information such as vendor’s name, address, etc.

VENDOR-MANAGED INVENTORY

An agreement between an organization and a supplier where the supplier is given control of ordering (replenishment) decisions.

VENDORS LIST

A list of names and addresses of suppliers from whom bids, proposals and quotations might be expected. The list, maintained by the purchasing office, should include all suppliers who have expressed interest in doing business with the government.

VENTURE CAPITALISTS

Specialist companies that invest in businesses (particularly start-ups).

VERBAL COMMUNICATIONS

Using the spoken or written word to convey information, for example face-to-face or on the phone, reports, e-mails or posters.

VERTICAL INTEGRATION

When one organization in a supply chain moves into a different stage of that supply chain, either by starting its own business or by acquiring an existing one.

VETERAN-OWNED SMALL BUSINESS

Is a small business that is at least 51% owned by one or more veterans or in the case of any publicly owned business, at least 51% of the stock of which is owned by one or more veterans.

VETERAN’S BUSINESS ENTERPRISES (VBE)

A VBE is defined as a veteran who has served in the active military, naval or air services and who was discharged or released under conditions other than dishonorable. Active-duty service is defined as active duty in the United States Army, Air Force, Navy, Marine Corps, or Coast Guard for any length of time and at place home and abroad. A veteran or group of veterans must have 51% ownership and control of the business.

VIOLATION

Breaching an agreement, policy or code of conduct.

VIRGIN PRODUCT

A product that is made with 100 percent new raw materials and contains no recycled materials.

VISION STATEMENT

A statement describing the future desired state of the organization.

VOLATILE ORGANIC COMPOUNDS (VOCs)

Compounds that evaporate easily at room temperature and often have a sharp smell. They can come from many products, such as office equipment, adhesives, carpeting, upholstery, paints, solvents, and cleaning products. Some VOCs can cause cancer in certain situations, especially when they are concentrated indoors. VOCs also create ozone, a harmful outdoor air pollutant.

WAITING TIME CHARGE

Charge applied by a supplier if their specified waiting time to be offloaded is exceeded.

WAREHOUSE SLOTTING

The process of assigning identity codes to picking locations based on various criteria such as unit sales, size or weight.

WARRANTY

A promise made by the supplier to the buyer, in return for a monetary sum, to repair or replace a product or service without further charge in an agreed period of time.

WARRANTY

The representation, either expressed or implied, that a certain fact regarding the subject matter of a contract is presently true or will be true. Not to be confused with “guarantee,” which means a contract or promise by one person to answer for the performance of another person.

WATER PURIFICATION

The process of removing chemicals, biological contaminants, suspended solids and gases from contaminated water.

WAYBILL (OR AIRWAY BILL)

A bill of lading issued by an airline certifying that items carried comply with standards set by the International Air Transport Authority (IATA).

WEARING PARTS

Parts with a limited lifespan that need replacing periodically.

WHISTLE-BLOWER

A person who discloses activity or information which they believe to be illegal, unethical or not in accordance with the organization’s policies and procedures.

WIRE TRANSFER

A method of transferring funds electronically from one person or entity to another using bank accounts.

WOMAN-OWNED BUSINESS ENTERPRISE (WBE)

A Woman-Owned Business Enterprise (WBE) is defined as one that is at least 51% owned, operated and controlled on a daily basis by one or more female American citizens.

WOMEN-OWNED SMALL BUSINESS CONCERN (WOSB)

Women-owned small business concern means a small business concern which is at least 51 percent owned by one or more women; or, in the case of any publicly owned business, at least 51 percent of the stock of which is owned by one or more women; and whose management and daily business operations are controlled by one or more women.

WORD-OF-MOUTH

The informal sharing of information between people.

WORK IN PROGRESS INVENTORY

Assets that are being used in the production process, which may include raw materials, labor and overheads.

WORKING CAPITAL

Capital of a business that is used in its day-to-day trading operations, calculated as the current assets minus the current liabilities.

Zero-sum game

A ‘zero-sum game’ is an interaction where every gain by one person is an equal loss to the other, so the net gain (the total of the benefits to both parties) is zero.