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hello everyone Welcome to our webinar today um this is uncovering working capital and eida benefits with a robust SC out process from Tri Vista and stock IQ um we have a great team with us here today um that will be talking through um all things uh scop Sales inventory and operations planning uh you've got Jeffrey Porter from the stock IQ team as well as Jerry Joyce Philip Lee Zack dible Michael V and Rebecca or Rachel Billingsley from Tri Vista a robust s out process so we've got Tri Vista and stock IQ both on the call that is because we are strategic Partners uh these are three recent client engagements in which we successfully partnered and we're able to drive transformational value for our clients I'm not going to read these each to you but you can see that these are some substantial savings and um I'm going to pass it off now to Jeffrey Porter with the stock IQ team he's going to walk through uh some of the capabilities thank you Zach certainly appreciate that introduction um start off by just talking about this strategic partnership that trivista and stock IQ have uh pulled together at the core and the Heart of each of our organizations is is the focus in on supply chain Trista from a process assisting in network redesign and everything that Zach mentioned from the stock IQ side we complement this by providing supply chain planning software that covers demand planning and replenishment we'll go into a little bit of a detail on that another thing that I'd like to mention when we begin talking about this integration uh we talk about software and we talk about a deployment of new processes by the way we're really focused in on people processing tools we feel that um you can get the most out of your investment in either one of these services and or tool when we begin combining all three of them together so um what I'd like to do now is just share a little bit of the offering from stock IQ we will be referencing these as we go throughout so the software capabilities that stock IQ brings to the table starts with demand planning forecasting seasonality looking at hierarchies hierarchy support the snop process it's really the core and the Heart of where we start the demand planning is oftentimes a starting point for the organization for establishing plans it's the heart for what we do from a replenishment perspective we like to see when number in the organization the SC out process drives that second component that we'll be talking about is the replenishment planning replenishment is about the supply that we're responding to the demand profile with this might come in the form of purchase orders work orders manufacturing orders transfers and then optimization uh there of the inventory that resides within the network supplier planning this is all about monitoring one of the pieces that's quite volatile at times s that can cause excess or shortages and this is around the supplier it's managing your suppliers uh developing score cards for them calculating the variability in both the lead time and are they delivering on time are they delivering in full and capacity planning as well so when we begin thinking about that Supply base being a contract manufacturer being a vendor that we're purchasing from inventory planning inventory planning is all about lining up and identifying that right amount of inventory that should be stocked in each one of your individual locations for each stock the inventory planning goes for the parameters that are helping us with replenishment it might be calculating a safety stock level a reorder point it might be analyzing what our optimal inventory should be we're identifying how much we're willing to invest in in inventory to support a certain service level lastly capacity planning this is a rough cut capacity planning module that is looking at both internal and external capacity it gives us perspective on where we are as it relates to our requirements from a build perspective from now through the entire planning Horizon that planning Horizon might be the next six months it might be the next year or 18 months but when combined all of these core elements of the SC up process which the trivista team is going to walk us through will be highlighted in there demand Supply inventory and capacity thank you for that we look forward to sharing with you how stock IQ and tri Vista have partnered to put in what we would consider to be leading practice um from from an industry perspective uh moving forward so hi everyone I'm Rachel Billingsley I'm going to walk high level through the S process and how stock IQ and Trista integrate into it stock I IQ is the light blue and then trivista is the dark blue feel free to put any questions in the chat also as I going through this and we can get to those at the end so starting with demand plan as your forecast and sales orders come through your Erp they can be directly downloaded into stack IQ stack IQ is configured to meet your company's specific needs stack IQ helps track inventory levels safety stocks reorder points mins Maxes again this is all configured specifically to your company um and we will work with you through that configuration process the supply plan will account for all capacity and material constraints production and supplier variation and eqs and mqs and an Executive review meeting is very important to important to get alignment on sales and operations team and to align on the Strategic alternatives for any constraints now steps five and six are really only for manufacturing businesses if you are solely distribution this might not be applicable to you the master schedule produced by stock IQ utilizes the forecast sales orders inventory and custom set configurations and parameters once the master schedule is set work orders and purchase orders are released now just to emphasize um number four that Rachel mentioned Executive scop review meeting this this is probably one of the biggest gaps and it's so critical um I was just recently at a client where sales and operations had not met for 15 months and it's like how does operations run the business if they you know if they don't get the input from sales so the real objective here is that it is at an executive level and every at least once a month sales and operations gets on the same page for what's going to happen in the next one to three months and then they review that the next month so that there's no finger pointing because everyone went into the into into the next month or so with you know with full agreement on what the plan was that's a good ad Jerry thank you um I'd like to add a little bit um when we talk about a s process in a robust Scout process oftentimes the reason that they fail starts at the very beginning which is acquiring the information that's required to support that SC out process so we begin thinking about an organization that might be selling 20 or 30 or 40,000 different SKS how do we actually manage and deliver information that helps the team evaluate what the inventory the supply and ultimately what we're going to plan too so in that very first step it's very critical that as we begin a new a new scop cycle it might be at the beginning of the month it might be a weekly cycle that we can very quickly deliver the information to each of the individual teams it might come in the form of what is our uh demand plan and our Revenue projections for the next 18 months in this overall all SC out process delivery of this information both very timely and in a format that can be consumable um one of the things that I'd like to highlight in all of this process when we begin engaging sales folks and we begin engaging finance and we begin engaging operations oftentimes well I shouldn't say often they're always dealing in different parameters sales teams comes in from a revenue perspective we're looking at dollars from the finance operations is units based um if we're getting and we're collaborating with our clients and our customers often times those forecasts will come in for a product family and it's coming in at a revenue so uh we have a lot of variability in how the information comes in but what's most important is that we can deliver it in a consumable fashion for each of the entities operation speaks units we need to begin thinking about aggregating that information in 10 to 15 at the most product families or categories so that we can begin is ating and analyzing whether we're on target or of Target so I would tell you is as important as this process is we oftentimes see it failing on the front end when we don't have the information that can be delivered in the right formats quickly and summarized at the right levels yeah um you know one of the other things that I'd like to bring into this overall picture as we begin thinking about a SC out process it's been our experience and I think trivista can speak to this that there's a about 10% of the companies that we engage with that actually have a formalized process oftentimes in an engagement there's informal scop going on meaning the sales team might be communicating with the purchasing agent that's a form of scop it's not very comprehensive but people are communicating right they're coming in and they're and they're giving their input really what we're talking about in this process is we're talking about uniting the entire organization so that when we get to that final step four we've all arrived at one consensus number that we can all agree on may not always be enthusiastic about the number but we all agreeing to March forward for that next month at that perspective so that 10% number is um it's it's pretty shocking right meaning there aren't a lot of companies that have deployed this uh we think that there's a lot of um opportunity in the marketplace to engage in the SC out process it's not I'm going to say it's not easy but it's also not difficult it really takes that discipline that gets applied um relating to the inputs of a demand plan but I think this relates to Jeffrey's comments and and and what you know the way we look at it is um it starts with a statistical sales forecast by skew based on two to three years or whatever you have available um of historical demand and it should also accommodate um reflect seasonality and Trends um and it also needs to ignore one-time events that occurred in the past past that would not be repeated so you come up with a statistical forecast and that but that doesn't have any the statistical forecast has no idea what's going on in the future so then you need to augment that with sales intelligence which would include things like promotions key customer wins and losses you know new product introductions planned end of life um so forth and any and all sales data that would would not be you know that would not be reflected in historical sales and Jerry I another question that came through with that so while you're on that page um once we have all the consensus there's a question that came through on what is all entailed in the Executive review meeting yeah so I I probably should have said that when I was talking about it but yeah so so for sure you wna you know you want to get all the right players together in sales and operations and and usually um it's best to include Finance in there as well and you're going to first of all review the last month's sale actual sales versus versus the plan um you're going to review the performance of any new products versus the additional versus the initial forecast uh you want to review any end of life plans or zero demand um that wasn't expected um and then you want to discuss all the sales intelligence that I just mentioned you know any key wins and losses over the last month um any any new promotions that have been decided upon and any other one one-time events that came up in that last month um that operations would need to know to make modifications to the the supply plan then you also want and for the benefit of sales to to discuss any Supply constraints those could be purchased parts or manufactured um Parts due to issues in either either your supply base or or your manufacturing operations and then um put that all into a big mixer and agree between sales and operations on the next month plan so that at a high level that that's at a minimum what you want to discuss in in the Executive review meeting and Jerry just to add to that you know in an ideal state in that Executive review process you come into there with um some work done on the demand consensus on the supply and capacity balancing but ideally you come in with a couple of scenarios that are monetized where executive leadership can then make the correct call that says you know we're we have a constraint or we have an imbalance we have options one two or three these are the financial and service ramifications related to each uh and that's a really good uh rigorous robust uh executive Supply um um Executive review process yeah good comment there Philip was as it relates to the activities that are occurring so so much of what's occurring before we get to that review meeting is these analyses so that when we get to that Executive review it's typically an hour in length right where hey we bring two to three scenarios that are our top priorities that we begin reviewing these are the things that we need Executive consens and help on making decisions can we can we push the envelope here right and if we don't reach our targets are we okay sitting on $5 million in extra inventory these are the types of big decisions that we need consensus from the organization on and we recommend that at least a see depending on the size of the company but we we work primarily both of us stock IQ and Trista in the mid-market space But we would recommend at least that a a chief um operating off the COO or if not the CE um participates in the meeting so that you have somebody that oversees both sales um and operations and like Philip said it's it's it's really important to have Finance there too because if there's if you're gonna if there's some some capacity constraints or some material constraints Supply constraints that are going to impact revenue for the next month you know everybody's aware of that upfront and there's not a lot of emotion and finger pointing when it happens as a surprise uh when additional comment that I was thinking about on the front end I shared a little bit of a statistic on when we begin looking at the marketplace and how many folks have adopted a a formal SC out process I I'll speak to the technology as well is um we find that about 40% of the prospective clients that we're working with uh start with spreadsheets so spreadsheet is is oftentimes the starting point for this data I would tell you spreadsheets um it's difficult right to to get that replication so we're we're a big fan of Technologies from the standpoint that delivering the information and being able to summarize so that we can do these scenario plans is oftentimes quite challenging in a spreadsheet type of a format if the process is too onor to create the information to support the process it oftentimes breaks down so again um as we're talking about this we're talking about a technology component we're talking about a process component and people that are committed to all of this um another comment as well as we begin embarking on this um there are some tier one applications like an SVP installation that might take you two or three years um multile multiple millions of dollars we're not talking about that scale in here we're talking about um process overviews and process development and technologies that are affordable right they're affordable for the marketplace so as you begin looking at this and you're thinking about embarking on this step the returns are substantial but it's not a huge investment it's probably more of a commitment on the organization's part to move forward um we're talking very affordable from the technology and from the process development as well as we're going in good afternoon everyone my name is Mike VY I'm gonna take take you through the next couple slides here and we'll start to talk a little bit more about the specific areas of your business that would be impacted by improving uh the S out process so we've kind of laid out up until this point you know the structure of what's all included in a in a robust SC out process but want to start to take you into the business impact first and foremost I know a lot of folks on the call are very familiar with with what we're talking about here today in terms of iida um but just as a as a quick um plug for those that that maybe don't deal with it on a day-to-day iida is simply an acronym standing for earnings before interest taxes depreciation and amortization um it's essentially a a good metric for um understanding a company's operational performance and their profitability um you know one of the main purposes is for um you know either investors or or analysts to understand um how you know how a company can is performing um you know on their on their day-to-day operational activities and it's irrespective of the company's capital structure probably most importantly so it normalizes it across companies as well um so really just wanted to to plug that in here um but you know the main question is how does robust SC out process impact iida uh in a positive way and so you know there there's there's several different areas one of the more obvious byproducts of uh a robust scup process is the reduction in working capital right you you might understand that um improving and optimizing your inventory is going to increase your turns um reduce or even eliminate some of your excess and obsolete inventory and therefore you're left with just a reduction in working capital that's certainly the case but there's several different impact areas of your business that we want to speak to today that uh you know that ultimately benefit eida and and improve your bottom line so very first one labor efficiency um there's two areas in most businesses where you can gain uh labor efficiency as a result of a of an improved SC out process um and the first one is your direct labor cost on your production line so you know if you if you incur or if you uh realize uh high frequency of part shortages um you'll surely uh incur high production line downtime uh and an inefficient labor force um also if you are maybe you have a subassembly stocking strategy let's say uh in preparation for a you know customer bill to order customer order um you know you may have to delay that postpone that because of part shortages uh material shortages and and then have to ramp up Labor uh maybe in the form of overtime let's say um you know when when parts do finally come in and you're trying to rush that order to fulfillment uh to meet your customer demand and so you know direct labor is certainly one that is uh that is impactful um by you know by improving your SC process secondly your planner and buyer group your procurement team um can also realize a labor efficiency gain uh by you know and this is where actually the the stock IQ portion of this enables it um not only does a robust Sout process enable this but stock iq's ability to more or less automate a lot of the um you know review of plan and and also launching of purchase orders no longer would your planner and buyer team need to meticulously review every detail of let's say a purchase order going out to supplier they may only need to review in great detail the exceptions so let's say 10 to 15% uh roughly of those purchase orders going out so there is a a labor productivity to be had in procurement group as well we typically see it around 25 to 30% productivity Improvement in that group specifically um outside of Labor there's um there's also a pretty Direct Hit um for the food and beverage folks on the call let's say or even the chemical or farmer folks on the call those up deal with um expiration dates or shelf life constraints uh quite obviously if you are if you're unable to plan that inventory accurately um you know you may you may have large inventory write-offs due to that expiration or due to those constraints um and that's a direct hit on on your bottom line as well so as you optimize your inventory and as you plan more accurately to your forecast um you can reduce those writeoffs pretty significantly and and um you know and gain in in eido as well I'll skip uh I'll skip over a few of these I want to speak to a few that um actually you know enable Topline growth and drive drive Revenue as opposed to maybe cutting cost within your organization um you know as you can imagine the more that you can become a service provider reliable service provider to your customer um you know through ontime delivery uh or just reliable execution Um this can lead obviously to repeat current sales repeat sales from current customer base um also could lead to uh you know future future business opportunities as well or even just increased sales from uh from current customers as well um and it can certainly also create better margin opportunities for future business so you know there there's two two lenses to look at uh to look through I should say um when thinking about how a Scot process can impact eida it's not just the way you can become more you know cost conscious and and and sort of reduce your cost uh to create a better margin it's also uh you know it enables you or can enable you to drive the Topline growth as well um one one thing to note is uh as you optimize your your inventory and your planning you may also you may also realize that you uh have created some capacity within your operation and can therefore leverage that capacity for future sales as well future Revenue yeah Mike I was going to add to that that that's a great point the U having confidence in future available capacity enables the sales organization to go out to Market with confidence understanding there is available capacity uh and customers appreciate that and obviously will take take take hold of that available cap capacity assuming you're a high service provider for them absolutely yeah and and actually one more on the service uh service end of this is uh and this this I guess would be you know reducing potential cost uh so you know technically speaking but um you may you may be a a business where if you're late for a customer uh on an order you may incur a fee uh for that so there's there's also late charges to be had on on delayed uh fulfillment um so certainly something not to be overlooked right when when uh thinking through how you go and improve your SC process the last one I wanted to talk to on this slide before moving uh to a project example is carrying cost savings um you know this one is is going to be significant or or maybe insignificant depending on uh your your excess inventory value um but nonetheless you know something not to be overlooked there certainly is a cost incurred by every business by by holding uh any inventory at all right and so um your cost of that Capital storage costs uh related to that insurance and shrinkage all can add up we we see it around 10 to 15% of that inventory value as the potential uh savings um so you know if you have if you're sitting on $5 million of excess inventory there's you know half a million dollars right there in just carrying cost alone uh that you could reduce or eliminate by you know implementing a more robust SC out process Mike last quick quick thing if I could um not mentioned here but but also for those of you that are in the uh you know ESG uh concern space the having uh you know a plan a rigorous plan that that's out into the future that's balanced that enables you to procure um and deliver materials to your facilities without air freight without expedite uh without having spoilage and loss really plays into that as well so a really nice enabler of an ESG platform is a really rigorous um and solid scup process as well great Point great Point yeah there's there's you know the more we dig into it right there's second order and third third order positive benefits that um all would not be enabled without you know the the Improvement in the S process and Mike really quickly before we go to the next slide there was just a question that came through here and I think it's a good place to address it is just what is typical uh savings percentages when it comes to inventory reduction as well as EV Improvement yeah that's a a great question and and you know it's across the the board we we deal with a lot of different companies with a lot of different um you know inventory profiles and things like that but what we typically see from from our past experience is we're going to have a revenue lift that's going to be in the 3 to 15% range typically um in terms of what we're going to see um from an inventory reduction it's typically in the 10 to 30% range and then what we what we typically see in terms of iida is going to be 5 to 20% Improv M upon what is the Baseline um even a position yeah I think you alluded to it Philip but really the the product profile the skew profile is what's going to make that up and see how vast those savings can be it's obviously different by industry um but appreciate those ranges awesome I think yeah I think the next slide here we just kind of you know show a a project uh scenario here a real project example from earlier this year where you s um sock IQ and and a travisa Improvement was was within the scope of work here uh for one of our clients so you can see we've listed out some of the symptoms that our client was was facing uh and some of the estimated benefits and and financial impact um as a result of you know both of these uh both of these things coming together um you know at the very top we we laid it out for you and and this was the common um byproduct that we were anticipating a reduction in working capital um we saw the opportunity to go from 1.2 to 3 returns resulting in uh $88 to9 million roughly in working capital reduction opportunity um but then you can see that we we listed out several other areas where uh evida Improvement was was an opportunity as well over a million dollars worth which for this client four to six percentage points um we mentioned labor right labor efficiency this client faced as we mentioned High part shortages therefore high production downtime so direct labor on the production uh line as well uh as well as the procurement team right there was fairly inefficient and and undefined procurement processes in place so by implementing stock IQ and and and having a more robust planning process and and S out process we estimated about $150,000 annually just in in labor alone to be saved Philip mentioned the Expediting of of material um not only from an ESG standpoint right that's a that's a uh another great benefit related to Expediting inbound um but there's also a cost when you you go and do that both inbound and outbound to try to fulfill orders in more of a rush um this client in particular had Fairly reactive purchasing um habits right um because they couldn't plan quite ingly the way they would the way they would have liked to so we saw another about $160,000 annually as an opportunity there um I mentioned carrying cost can be a pretty big hitter uh depending on what that excess inventory opportunity is so you know 10 to 15% on the on the 8 to n million in in excess inventory um we uh you know obviously that'll burn down over time but uh you know there there's there's your roughly million dollars in potential savings right in uh in carrying cost alone so something we we definitely want to emphasize to not be overlooked um there is certainly a cost to holding uh inventory and when it's when it's uh inventory that doesn't need to be there there's there's definitely potential savings to be had um and then lastly here uh we have one one other uh piece here that is the footprint uh reduction opportunity not necessarily applicable for all businesses or or all companies or scenarios but this client happened to um kind of check the box on really three main boxes I would say first of all you know their their excess inventory value um happen to be meaningful space happen to take up meaningful space so if if your EXs inventory doesn't necessarily take up meaningful space then you know maybe this opportunity doesn't apply secondly um their current footprint scenario they were on a three building uh campus so you know consolidating to maybe two buildings wasn't going to necessarily be a problem for them um so if that is you know if you're a single building headquarters in manufacturing building maybe this doesn't apply again but for this client it did and then third there were in a geographic area where there was high likelihood of of a new tenant coming in and so what we we sort of identified here was you know roughly $200 to $250,000 in suble income potential suble income to be had um again just by you know very at the very start stemming from a more robust Diop process uh and optimizing your inventory so there's there's several different ways when you kind of start to peel back the onion uh and look under the covers here of you know all the benefits to be had and and financial impact to be had that drops down to iida as you create a more robust s process in your organization i' just like to jump up to the top and just make a comment you know when you when I don't know what industries um the participants in the webinar are from but when you see 1.2 turns like to a lot of people you're GNA probably laugh and then we're so we're taking it from 1. two to three um and this is a this is a Manufacturing Company um and and that's alone generates 8 to 9 million in savings um I come from hulet Packard in the technology sector and even in very complex Electronics manufacturing operations we expected five to six turns of inventory so this is a very conservative number of the 8 to n million so I just wanted to point that out that it's it's uh we're not bragging about going from 1.2 to three but it's still it's you know that was a starting point you know with with 8 to9 million in in working capital um Improvement what's typical in terms of burndown timing so when we're saying the8 to9 million of reduction how long it's a good question I mean we typically see if if there if there's any reasonableness in in in trying to manage excess inventory six to 18 months um however it it could take it could take up to five years but I I I would say the that the typical is more the 6 to 18 months to to burn down excess inventory assuming that you still have if it's completely dead then it's it's eternity but um and you need to take a provision and you know and write it off but but the sooner you can identify a slow uh moving part um and stop buying more or making more um you sort of hitting the 16 18 to 18 month burndown and whether you're private or public company um you know Gap usually allows you to take that time period without taking um a hit to your eida and Jeffrey I was gonna ask um because talking about the burndown timing made me think of the executive summary screen with the burndown if you want to explain that really quickly yeah certainly yeah thank you Zach so uh one of the things that we've done inside of the stock IQ application is it's very operationally focused as I talked about the demand and the supply but another real key element in monitoring is identifying these opportunities on the front end so we've built that an executive dashboard that focuses uh very um importantly on where it's our burnd down what can we expect um coming in so we can actually pinpoint and identify based on the demand plans in the debt inventory whether it would be a six-month an 8-month or a 15-month type of a burn down and essentially what we're doing is is looking at the demand plan for each in each of the individual SKS we're identifying them as slow movers recurring sporadic demand we're also looking at the current inventory plans and balancing that off of a demand plan um obviously uh more inventory coming in doesn't help situations on the burndown so we identify where we have open Supply orders but that's what that's focused on um while we're also mentioning the executive dashboard uh there are dashboards out here that identify where our revenues are being attributed from we look at where the inventory opportunities exist within an organization and one of the services that we offer is we can very quickly complete this assessment with four pretty simple files looking at sales history onhand information we uh we begin looking at um a few other key elements if you're a manufacturer bill of material and we can make an assessment on the front end very quickly to identify where these opportunities exist and just to to add to that Jeffrey so what we do typically um in an engagement or before an engagement based on the business based on you know all the all the diversity of different businesses is we can usually in a diagnostic in three to four weeks identify what is the evida opportunity that would come with scop as well as what could be the working capital uh alluded to What Jeffrey was just talking about Rel related to inventory positions today relative to Optimal inventory or future inventory and future burndown of inventory so usually in three to four weeks we can give a really good perspective around the opportunity for SC up so you're not all the way in you can kind of test the waters and see what that value would be for your organization yeah great point philli and it's not it's not a theoretical exercise we're actually working with information coming from your operation the history so it's uh it's it's pretty targeted and focused another comment in here as well we start talking about executive level overview and expectations and we talk about operationally how we execute oftentimes there's a pretty big gap between expectations and what we're able to do what the SC out process allows us to do is it allows us to line expectations to what can actually be accomplished and not to understate that right so developing the information to help um help the executive level management understand what's going on in an operation in the tradeoff is sometimes one of the big challenges we spend a lot of time analyzing data putting it in spreadsheets and they typically want to see what I've seen with organizations is a different scenario so we we do this analysis and it's like well what if we we operated on this type of a service level where you go through those exercises so the emphasis on the technology and the ability to align the goals and objectives of the organization with operationally how we're executing and the opportunities is often times a difficult thing the SC process brings those together so that we're working more efficiently and in alignment with where the organization uh needs to go one of the other questions that it came up earlier um that we didn't necessarily address was what are the inputs of an inventory plan or Safety stock plan and you know every probably a lot of people on the webinar are familiar with the traditional Apex algorithm which is the square root of lead time times the standard deviation of historical demand times the zcore that's associated with your desired service level and that's all well and good um as a very basic safety stock algorithm except for two things it doesn't take into account seasonality whatsoever it considers that variation and it doesn't take into account Trend it considers that um that variation so um that that that that traditional you know Apex algorithm kind of breaks down and you know just to kind of give a plug for the supply chain software of stock IQ you know they look at lead time they look at historical demand variability they also add in historical Supply variability of course desired service level and then it uses its its own also uses its own you know previous or historical forecast error to put put all that together to come up with a statistical forecast and then the other thing is that a many SKS as you probably all know have highly sporadic demand so all of the traditional algorithms assume normally distributed um variation of demand but if you're highly sporadic there's it all those algorithms break down and um stock IQ has a number of of algorithms for calculating Safety stock for you know at the user's discretion for excuse with sporadic demand you know that are much more accurate than trying to use effective I should say than trying to use just standard statistical algorithms so the first one that I have here I I know you already touched on this briefly um but maybe just to reiterate how long does it usually take to quantify the size of an opportunity within an organization with regard to implementing scop and the supporting software yeah yeah it it's it's going to depend on the organization size typically our space we you know we're working in is mid-market sometimes on the smaller mid-market size um you know if it's a couple of plants you're a $200 million Enterprise uh three to four weeks if you're multi facility if you're um um if if you're in the 500 plus million dollar range maybe four to six weeks but coming out of that we're going to identify and tease out what are all the benefits that you have we're going to assess where your service levels are today um what's your inflation how are you passing inflation on in terms of price increases is there gaps how are you utilizing your facilities uh capacity as a function of scop um what are the working capital takedown opportunities that will that will develop in conjunction with working with stock IQ so it's going to be a really rigorous um um identification of the benefits um fairly low cost you're not all the way into an implementation but as part of that diagnostic we're also going to be teeing up all the things that would be necessary in the implementation so it isn't just a finding it's a it's a finding with some development of what would be next steps in implementation um and then coming out of that would be the benefits the realization of benefits in terms of time uh the required investments in terms of cost if we were going to help as well as some things that we would suggest that the organization could just do uh with with existing um personnel and and um and capability uh as well as the things that we would suggest that we would come behind and support uh in an implementation awesome thank you and just to add you know Philip start I don't again know the the revenue levels of some of the participants in the webinar but you know Philip kind of started with 100 to 200 million if you know if it's like a 50 million dollar company we could easily go in you know and do that assessment in in in one to two weeks so like he said it's the size of the company but if you're if you're you know a $50 million company it's it would it it we could do it in one to two weeks yeah that's Gary you can answer this one in your experience what are some of the roadblocks that you've seen and implementing sop in stock IQ well that's a great question so I would say the majority of mid-market companies still heavily rely on Excel and um you know the the people in planners and buyers they love their spreadsheets and so one of the one of the most difficult things is is and this is part of a key part of the implementation of our SC processes and stock IQ is to sort of break that mold where they're you know and and get them to believe in in the data coming out of stock IQ which is when it's configured correctly is highly accurate and I I think one of the primary roadblocks is if if there's if for some reason it's config it's not configured to optimize to a certain company's business processes then they Lo the the you the the use the new users lose faith in it and then they tend to revert back to their old processes so you know the implementation process is just really important that the system gets configured correctly and that there's lots of followup with the client on making sure that um like from our standpoint the client making sure that they sustain sustain it but it's um it's mentalities that are the biggest um roadblock there's one other question that Philip I think this one um would be pretty geared towards your your expertise uh so is where does your product model fit into a company's supply chain Journey if they've currently got decentralized ordering itest ordering and no MRP is it too soon depends um we would want to see what that looks like um I I if if we're decentralized um and we don't have an MRP but we have the inputs that that we could use um to understand demand um um the Billow material the requirements uh netting against inventory there's something we could probably do um right away to get the business up and running obviously the the benefits of having integrated planning software like stock IQ sitting on top of apis that's not going to be available at that stage um but there still are benefits that could be realized uh in the near- term we would need to see how how detailed the information is we can create um statistical demand plans statistical inventory suggestions things that a business uh in its early stages might be able to deploy uh at an initial stage um to to get by and have significant benefits ultimately what we'd like to see is is the the move towards uh an Erp environment with apis where we could patch in uh a great software like stock IQ for for for full and optimal benefits and one final question here um Rachel if you go go back to the case study slide y aside from the obvious influence of Tri Vista and stock IQ what do you see as common threads amongst these three projects that really made the biggest difference in success in terms of people process and tools well I would say that uh commonality would be um to to to have significant opportunity would be um rapid growth um rapid growth um that was primarily sales-driven sales driven um where a company expanded far beyond its um processes that it had developed uh to sustain that level of growth is usually the biggest uh uh opportunity that comes out is that you know they had something in place that could kind of navigate 50 million or 100 million or or 30 million and all of a sudden it's two or 3x two years later and the things that you would want to have to sustain you know think of a an organization where you've got somebody planning you know for a certain amount of production or procurement or what have you and all of a sudden it's 3x of what that is and they don't have a tool or a process in place that would enable them to scale with that level of volume increase that's where these tools these processes really step in and really help an organization and that's where the greatest benefit comes the other thing I would add is complexity of the organization if you have bills of material that are long that have a tremendous amount of source materials to procure from and this situation happens it's even further so it's that kind of thing when you get significant growth or you have um a significant degree of complexity those are really opportunities generally where this really comes out um it from my perspective um I'll let Jerry elaborate a little bit on on if he has a different perspective but from my perspective significant growth that that happens in a complicated environment is usually where scop is realizing we can get back to getting scalable growth with with EIT of returns that are better than they used to be and in the in the meantime we're we're kind of just just you know just trying to just trying to survive the key success factor is when you've got an executive team and an operational team that is truly interested in learning and improving improving their business you know and willing to invest um you know in processes and systems and people to make that happen yeah that's a great point and I know that I speak for all of us um we are very appreciative of everyone who joined today um happy to walk through this it's obviously something that we're all very passionate about um but it was great having you and hopefully uh took some benefit out of it