Yep, that's right. It basically means that the transport company accepts the stock/product from one party (manufacturer mostly), on behalf of a second party and then deliver it to a customer (or to the second party themselves.) This means that the second party doesn't need a massive warehouse. You may have heard of CEVA Logistics? They are world-wide, here too, and this is what they do. Their warehouse is gargantuan. I've been in it.
Hmm, maybe I'll do a post about some of the terminology someday.
The steel-toe shoes thing, yeah I know right? Truck driver-no steel caps? WTBF?