by Ekrem Duman | Jul 23, 2026 | Contract Negotiation, Cost Reduction, Procurement
⚡ TL;DRCASH WITH ORDER means payment is made when the order is placed, before normal delivery or production completion. It is an even earlier funding event than many staged prepayments, so procurement should define order acceptance, price and scope, cancellation,...
by Ekrem Duman | Jul 23, 2026 | Contract Negotiation, Cost Reduction, Procurement
⚡ TL;DRCASH IN ADVANCE requires the buyer to pay before the supplier ships or transfers the goods. It can secure production capacity or a scarce item, but it moves credit and performance risk to the buyer. Procurement should link every advance to supplier...
by Ekrem Duman | Jul 23, 2026 | Contract Negotiation, Cost Reduction, Procurement
⚡ TL;DRCASH AGAINST DOCUMENTS (CAD) links payment to the release of shipping or commercial documents, commonly through a documentary-collection process. Procurement must define the exact documents, bank instructions, payment event, document holder, discrepancy path...
by Ekrem Duman | Jul 18, 2026 | Contract Negotiation, Cost Reduction, Procurement
⚡ TL;DRC&F is a legacy expression that the SSDER glossary notes was replaced by CFR in the ICC terminology. Procurement should not rely on the shorthand: name the current rule, port, edition, cost scope, risk point, insurance and document duties explicitly. Key...
by Ekrem Duman | Jul 18, 2026 | Contract Negotiation, Cost Reduction, Procurement
⚡ TL;DRCAF is a currency adjustment factor used to manage exchange-rate movement in freight pricing. Procurement should identify the currency basis, reference date, index, calculation, notice, cap, floor and scope so an FX adjustment is transparent rather than a...
by Ekrem Duman | Jul 18, 2026 | Contract Negotiation, Cost Reduction, Procurement
⚡ TL;DRBASE RATE is the primary transportation charge before additional services or surcharges. Procurement should define the lane, unit, equipment, included work, minimum, validity, index and accessorial boundary so the headline rate remains comparable and auditable....
