Hey, everyone. Derek Degees here, president of West USA and Degees Corporation. And we're here at BabTech twenty twenty three in our West USA booth in the finishing pavilion and was having a great time talking to our customers. And with I have a guest today, we have Steve Schwartz our new national director of sales. Steve, thanks for joining us today. Thanks for having me, Derek. So, Steve, we're gonna talk a little bit about we talked to our our people about FabTech what it's like to finish a million. I'd love to introduce you to our listeners and anyone new. You're new to the role here, not new to sales. You've been in the system side, you've been in industrial and OEM equipment side, and now come into the geist. New to their sales role, tell us a little bit more about yourself, and how you see your role in the the vision of what you're gonna do with your sales team? Well, you know, it's been a a true honor to join the organization and I don't just say that because you're my boss. But I can tell you that taking my, four four and a half decades worth of background in sales and distribution management I'm excited to take, the foundation of what you built as a business model and really expand it and blow it out to to capitalize on the potential of this business. It's been an exciting mission that I've learned from you. I've been sitting in this job now for about a hundred and four days, and it's been a whirlwind, but it's been a whole lot of fun, and it's been great learning. Hundred hundred and four days. I it it seems like you've been here way longer. You're you're picking up really fast, which has been really fun to see. And now as we're starting to push forward, We, you know, we brought cell phone and robotic technology to the market. We're starting to get in we're growing our solutions. We're adding a lot of things to be able to bring it together. And now it's growing so fast. You know, so one of the big things that you came to be able to help us with with your experience growing national sales teams and national distribution. What does that what does that look like to you? Yeah. You know, the first question you asked me during our pre employment process was, you know, what's gonna be your vision for how we address customers? And when I look at our group, you know, we're a lean organization with people based in Sioux Falls, South Dakota, center of the country, but we are not closest to the customer. So our model has to be partnering with entities that do service the finishing industry. Mhmm. Very, very close in every town USA in Canada and Mexico if we can. But we are the subject matter expert. We are the product expert, but we work in collaboration and in true partnership. With other entities that provide finishing equipment that provide boots and ovens and spray guns and everything else that surrounds a finishing operation, where then the robot becomes an element of that solution. Great answer. So very good. So if you with what you said there, bring it a little deeper with the group. So what makes us different then? Because we're selling robots, and we integrate, and we we provide the the full solution it looks like. Right? I mean, from start, from assessment, to engineering design, to in house fabrication, we test application labeling install, we teach them how to run the robot, Why would someone need to care about any local distributor or local health? So a couple of things. Number one, with all respect, we're not just selling a robot. And so the veracity of our argument about why robotics work is obviously a follow on to the story of the Degees organization. So having trans formed from a manual painting operation to a robotic one are lessons that we've learned that you've learned. I wasn't even there, but we have been able to transfer that knowledge how to affect change management at the client level. Now, when you get down to why we need local partners, Yeah. We support we manufacture, distribute support a robot. Around the robot are a lot of other moving pieces. So when it comes to the spray gun, We need gun distributors in every town USA. That's moving parts that have to be maintained consumable products That's not our deal, but our local partners who do that do that. When it comes to ovens, when it comes to conveyor lines, when a line goes down, when an oven goes off or breaks, We're not the ones doing that. So a full turnkey solution in our industry includes the robot, which is a value associated with the problems associated with human labor, but yet all the other piece parts that keep a paint line going It requires local support ready to respond in any given place in ours, and we are a manufacturer based in Sioux Falls, So the partnership is what the magic is to our end user clients. Yeah. That's right. Cause we've seen, if they're typically there's an issue, if something's not running, which there's a lot of variables in a paint or liquid powder application. And then if something happens, it doesn't work, initial call is the robot's not working. And so we say, okay, let's break it down. And when we work through it, we usually really quickly, get to the part. There's something wrong. We got a clogged tip. We got a pump that's not working correctly. Gotta something's not working in that paint system. Or the powder system and having that local support that can come take care of it is important. And I think we talked a little bit with our have come in and people are asking and evaluating solutions, you're right. This turnkey solution that we're bringing, but then it's not complex that saying that you buy a system just from someone that you drop it in there, you have no buy and you have no local support because they weren't part of the process. So to buy something, equipment, pumps, and guns all integrated without having that local support and person being involved in that process, We've seen that then they're not they're not gonna take care of it. They're not gonna help because that's not theirs, but wasn't part of it. So it's very powerful Yeah. This is this is an integrated system solution. Fancy word maybe, but that's really what we are. So it takes all the parties that surround the painting operation to be there as advocates for the client, and we know our place, and what we do, we do really well. But what we don't do, we don't ever fake and that's why we need those partners. Sure. So we've we've done full systems for people before. And now as we've grown, how are you seeing that changing? So our expertise in how to integrate systems comes from our team. We have a director of operations who's been in the painting industry longer I have, which is pretty easy to do. But at the end of the day, we know have the know how, but we're not the ones doing the experts solutions of those other systems. So what I'm trying to do in our distribution model is to create a network where we walk arm in arm with these integration partners or equipment partners so they can do what they do expertly. We can kinda be the quarterback or the Maestro at the front of the orchestra, making sure that the whole solution is aligned on a series of principles, but at the end of the day knowing where we hand off in between our job and the respective roles of the different partner and providers, which is really great because we're leading the industry forward and we're bringing them with us. It's not we're not doing it alone. And that's that and we're not alone. And I think that's where the key for a customer to know is that we've made the right partnerships from equipment from the systems from the local distribution so that you have the full support of every piece of the industry knowing that the solution is gonna work, and they're working together on a partnered level to be able to make sure that they're that they're gonna have a solution support and they're gonna be successful. Yeah. And as far as those partners are concerned, you know, we're bringing them the opportunity to differentiate themselves from other providers of the same commodities. You know, I've been in the business world for a lot of years, and it doesn't seem like any product no matter who the manufacturer is is really alone and unique. There are commodities in every category of every product type. So if I'm a paint gun provider in a local town, I have competition. So how is it that that local provider becomes differentiated? Well, part of it, and I think this is a huge value to end users is the ability to bring a solution set to a client to solve some of the pain points of their world and then become that trusted advisor over time. So our best distribution partner, someone who sees our robot and our expertise Yep. As something that adds to their value to their end user So truly, it's a win for us. It's a win for the distribution partner and certainly a win for the end user with the benefits accrued to our solutions. And that's what we're about. It's about win win win. Nobody loses. Nobody's being displaced. We're adding to their value stream. We're not substituting for something they already do. Very well said, Steve. Great job. And so if you're looking for automation, if you're looking to add to your lines, you know, what do you think, customers should do or what do a distributor do who has a customer that doesn't know about it? What what was their next steps from both sides? Yeah. Mean, one of the things that I've just recently developed is a is a brand new distributor training program. And what we're doing is teaching the distribution channels the whys and the hows and the whats of what we are all doing. So lean on us to teach you the business from the robotics integration point of view. From that point forward, we have a sales process, which is somewhat easy and intuitive. And if we can convey in our training to our distribution representatives, What the process is, call us. We'll take you and your client through a journey. We'll ask a bunch of questions that'll help us identify whether or whether or not our solution is viable for you. Once we realize that there is a viability, we get into all sorts of engineering studies reach studies, cost studies to provide a logical return on investment. And then ultimately, that win win, I talk about is manifest in the results of those studies. So we're not asking anybody to go rogue. We're not offering to go rogue ourselves But I have used the word in true partnership and collaboration with these intermediaries and these distribution partners of all sorts of equipment we can provide them with enough know know it all and wherewithal to be comfortable and confident and not feel like they're going out on a limb just to talk about something snazzy Yeah. Robot and AI are the snazzy words, but we're way past that. We're into the implementation of really legitimate bona fide solutions. And how to make the robot work after it's installed. Absolutely. And so on my customer side, then if if someone's has a system and they don't know where to start, would say they probably should contact us first and let's find out where let's talk to them and where they're at. What partners do we have in their area? Let's give them a couple options of people that are already working with us proven process or distributors and equipment companies that you're developing for to make sure that the things we've described here are gonna happen for them. Yeah. I think it's important that we take the steps to vet an opportunity. So end users should call us. We have a cursory conversation. We get into a little bit of depth One of the values that we'll bring to our distribution channel are something coveted called leads. I don't wanna send leads to a distributor partner that are not validated. Because by the time you do that twice, they become desensitized to the lead. So why don't we do, and we have the wherewithal within our company Yep. To validate the opportunity to ask the right questions. And when we engage a distribution partner, we're not wasting their time. We're not sending them down a a primrose path. Yeah. And at the end of the day, it'll turn out to be more of an opportunity than not because we've done that early phase due diligence on behalf of the customer and on behalf of their time as well. It's wonderful. Steve is awesome to be able to have you on our team. I'm just ecstatic. For what's what we're building and where we're gonna go. How many people we're gonna be able to help, partners, customers, and painters and powder coaters, bringing technology to be able to help make careers out of jobs, help companies move forward, continue to manufacture and help move the industry forward. Yeah. And you know, Derek, you know, not not a latitude, but when I first met you, and you shared with me what your mission is in life, which is which is bolstering American manufacturing, keeping America strong and vital and productive You know, that sounds very, very high level, but in these, three and a half months, fascinated with the amount of people who listen to you, listen to us, because we're doing it from having we're selling it from having done it, and I'm super joy to be on the journey with you. Thank you. Let's keep doing it together. Rock on. Awesome. Alright. Thank you, Steve. Thank you, Derek. Everyone, if you wanna learn more about Lesta USA and Degees, make sure you look us up on our website. Give Steve a call. Let's find out how we can help you on the partner level, the customer level, or if you're a painter that wanna bring it into about a help you do your job. So thank you again for listening. Check us out. Make sure you're subscribing to listen to manufacturer and stronger standard. And this is, signing out Stephen Derek from FabTech twenty twenty three.
