What is a Delivery Order? Its Place and Importance in Logistics

Frequently encountered in logistics and foreign trade, the "delivery order" (ordino) is the authorization document that the importer receives from the carrier in order to withdraw their goods from customs in international transportation. This document plays a critical role in ensuring that physical goods move in an orderly and secure manner in international trade.

While the delivery order enables the owner of the goods or their authorized representative to receive the cargo, it holds a central place in the smooth progress of the logistics process. So, let's examine the answers to your questions, such as what a delivery order is and how it is prepared, in detail!

What is a Delivery Order (Ordino)?

A delivery order is an authorization document used to withdraw imported goods from customs. This term, which is frequently encountered especially in Turkey's logistics and foreign trade terminology, grants the power to withdraw the relevant goods from customs to the importer of those goods or the person/company representing them.

The delivery order document is usually issued by the shipping company or its agent. It is also referred to as a "Receipt Document" or "Delivery Document." It is linked to the bill of lading and is an indispensable document for the importer or their authorized representative to clear the goods from customs.

Functions of the Delivery Order

The delivery order plays a critical role in foreign trade and facilitates the import process with its core functions. This document provides importers or their authorized representatives with the authority to clear goods from customs. Thus, it allows the imported products to be delivered to the recipient smoothly. 

By being linked to the bill of lading, the delivery order ensures that all details, rights, and responsibilities of the transportation process are clearly understood. Important details such as the type and quantity of the goods, shipper, consignee, transportation information, and freight charges are all located on this document.

Thanks to this information, the movement of the goods, their cost, and the agreement between the buyer and shipper become transparent. Thus, the delivery order becomes a document that can be referred to in case of any dispute. 

Importance of the Delivery Order

Since a delivery order is an authorization document allowing a cargo to be cleared from customs, it plays a key role in import and export processes. For importers, the delivery order is the key to fetching their goods from customs. Therefore, it must be filled out correctly and completely.

Another importance of the delivery order is that it determines the ownership of the goods and the rights and responsibilities in the transportation process. Written in connection with the bill of lading, the delivery order defines both the shipping company's and the importer's rights and liabilities.

Having these definitions set up creates a clear agreement among all parties in the process of clearing goods from customs. This is because the delivery order is an official document taken into account in potential disputes.

Since it contains critical details like cargo features, transport information, and costs, it stands as a reliable reference document among the parties.

The delivery order ensures that foreign trade operates smoothly and transparently. For both importers and transport companies, this document is a critical tool in executing transactions correctly and completely.

Issuance Process of the Delivery Order

The issuance process of a delivery order consists of 5 steps. These steps are listed as follows:

• Shipment of the goods

• Issuance of the bill of lading

• Preparation of the delivery order

• Verification of information

• Delivery of the delivery order

1. Shipment of the goods

The foreign trade process begins with the shipment phase of the goods. At this stage, the shipper or exporter searches for a suitable shipping company or agent. Factors such as price, transit time, and reliability are decisive in the selection.

The agreement to be made with the selected shipping company or agent specifies in detail from which port to which port, on what date, and at what cost the goods will be transported. This phase is the beginning of the physical movement of the cargo and forms the foundation of the entire process.

2. Issuance of the bill of lading

The transport company or agent prepares the bill of lading according to the shipping details of the goods. This bill protects both the shipper and the receiver and contains all the details of the transport process.

The bill of lading includes critical information such as the type, quantity, delivery date of the goods, shipping cost, and destination. This document is indispensable for the transparency and regularity of the transportation process.

3. Preparation of the delivery order

The delivery order is the authorization document required for the importer to clear their goods from customs, prepared on the basis of the bill of lading. It is linked to the bill of lading and is usually issued by the shipping company or its agent.

In addition to the shipping details of the goods, it contains the information of the importer's authorized representative, the number of the bill of lading, and other details. This document plays a key role in customs procedures and in delivering the goods to the recipient.

4. Verification of information

The delivery order is a critical part of logistics and customs operations, and any error can cause serious delays or additional costs. Therefore, it is essential to carefully check all information after the preparation process of the delivery order. The sender, recipient, features of the goods, freight cost, bill of lading number, and other details must be verified for accuracy.

Particularly considering the complexity of international transport, a detailed checking process is required to ensure that the correct information matches the correct documentation. These checks prevent any disputes or delays at customs or during delivery.

5. Delivery of the delivery order

The timely and safe arrival of the delivery order to the importer or their authorized representative is critical for the smooth progress of all shipping and customs operations. If the document is incomplete, contains incorrect information, or is lost, it may become impossible for the importer to receive the goods.

Such a situation leads to both a loss of time and additional costs. Therefore, the delivery process of the delivery order must be managed carefully by ensuring that the document reaches the right person, completely and accurately. This step is of vital importance for the success of the entire logistics process.

Common Mistakes and Things to Consider

When preparing a delivery order, there are frequently made mistakes such as incorrect data entry and incomplete delivery of the document. The common mistakes made during the issuance of a delivery order and the points to be considered to avoid these mistakes can be explained as follows:

• The most common error in a delivery order document is incorrect information entry. Particularly, errors in the quantity, type of goods, or sender and recipient details lead to issues in customs clearance. The document must be carefully checked to ensure all info is entered correctly and completely.

• Failure to deliver all pages or annexes of the delivery order document is another common mistake. It is essential that the entire delivery order is handed over completely and in the correct order. The inspection of all pages and annexes of the document must be performed prior to delivery.

• Failure to deliver the delivery order on time delays the passage of goods through customs. It is important to plan the preparation process of the delivery order and to take the necessary steps to deliver the document to the relevant person or institution on time.

• Authorizing the delivery order to the wrong person or institution causes problems in clearing the goods from customs. It must be clearly specified to which person or institution the document is authorized, and the accuracy of this information must be verified.

• Using old forms or formats that do not comply with updated regulations or rules is a reason for rejection at customs. It must be ensured that the format and form of the delivery order used are up-to-date, and when necessary, the correct format should be obtained from the relevant authorities.

Avoiding these mistakes ensures that the logistics process progresses smoothly and costs are minimized. A careful and detailed approach at every step guarantees the correct and effective use of the delivery order document.

Conclusion

The delivery order document secures trust and a smooth logistics process between the parties, which is of critical importance in international transport and trade. This document is required for the importer to receive their goods from customs. Therefore, preparing the delivery order correctly, completely, and on time is of great importance. 

However, mistakes frequently encountered in this process cause both a loss of time and additional costs. Therefore, it is essential to adopt a careful and detailed approach during the preparation, control, and delivery of the delivery order document.

Accurate reporting, careful verification, and continuous updating minimize potential risks and costs while moving the logistics process forward smoothly and efficiently. In this context, having knowledge about the importance and process of the delivery order document is an indispensable part of international trade.