WEBVTT

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[Nils]: When we think about our ROI,

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sometimes we get a little bit

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worried about what that means,
but in a simplistic form,

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it's just looking
at the profitability of investment.

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Maybe its your 401k.

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Maybe it's an investment into some stock.

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You know, that's the same thing.

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You're looking to be able to say,
“what's my profitability

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going to be on the investment
that I made?” But it goes straight

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into complicated industrial applications.

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We just want to be able to know our ROI,
whether it's us individually

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or those that we're working for.

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You know, to be able to go back
and justify that.

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[James]: That's a great analogy
of what an ROI is and how we do that.

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But how do you differentiate
between an ROI formula

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and the more complex situations
like larger scale integrated systems?

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You know, it's not as simple as

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head count anymore in the world
we live in now.

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[Nils]: Well, for me,
I think we understand the formulas.

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Okay.

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We understand that there's the initial
investment, and then we can measure it

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based upon that profitability.

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We can back it out and say, “hey,
I just made 20%

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this year” on whatever
it might have been that I invested in.

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And then to be able to go ahead and say,
well, “what's going to be my payback

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period?”
If it was 20%, we know five years,

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that's how fast it's going to go ahead
and be on that return on investment.

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For me, you know, as I think about--

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back a few years ago,
our ROI was always based upon

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headcount and manpower
within being able to determine that.

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I can get that.

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You know, you think about how labor
intensive things were back then.

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And so we can go ahead and say,
all right, to be able to justify this,

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I need to be able to go ahead and be,

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maybe ten people
that I had working in my operations today.

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It's much more complicated.

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It comes to total cost of ownership.

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And not just total cost of ownership,
but total value of benefits.

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And we're going to talk a little bit
more about some of those

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total value of benefits.

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And so being able to look at where it was
in the past versus where it’s at today--

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just a lot of changes with the
complications of what we have today.