Dawn Foods Embraces New, Digital Business Models to Help Customers Grow & Succeed (Cloud Next '19)
We're. Gonna take you through a short journey, in the next 50 minutes so sit, back and relax in these beautifully, comfortable, chairs and this. Is going. To start with a background on don't foods and how. This hundred-year-old, manufacturing. Company became a global, leader in the bakery industry, and we're, gonna look at some of the strategic insights, and the business case that led, into the thinking of digital transformation at, dawn then. Sam. Is gonna take us through together with our partner Sukhbir here on. The. Specifics. Of this journey what the journey looks like and how. The end, product will look like what the technical technical, architecture, is and, towards. The end we're gonna provide you with a demo everything, goes well as planned it's. Going to be basically. A showcase, for the, impact, that the possible what we can do with this system and. At. The very end last, ten minutes we're gonna take your questions, and our. Chief digital officer Bob, Holland is here with us today so we're. Gonna invite kindly Bob to join us with the questions. So. Um I don't know if you ever heard of dawn Foods it's, one of the best-kept secrets, of the business world it's. A family-owned, privately. Owned company. That's, been in business since, 1920. So almost hundred years, headquartered. Out of Jackson, Michigan it's a bakery ingredients, in bakery products manufacturing, company, and what. Started as a small doughnut, shop in 1920. In Jackson, evolved, into this two billion dollar global, company, with more than four thousand people working for it operating. In more than hundred countries with. Serving. 40,000. Customers every day and we. Have more than six hundred and fifty people who are touching these customers, on a daily basis, and don't. Operates, in all regions of the world but. We are much bigger in. North America, where, we have a unique business model which we're gonna talk about because, in, North America, were, not only a manufacturer. But, we are also a wholesale. Distributor. Of bakery, goods and bakery supplies, into, the baking industry which, is vertically, integrated, to our manufacturing, business, and what. We do is we not only. Manufacture. Our products, but we distribute. These products, to the end-user with our own logistics, systems, together. With a bunch, of other products, that are sourced from third-party suppliers.
We. Have about. 30 distribution, centers across North America and, these. Distribution centers. These. Distribution centers. Serve. About 20,000, customers everyday across, North America. What. Do we sell I mean, we. Really sell anything that a baker needs but we can group these things into five categories roughly. We. Sell non bakery foods like your nuts raisins, cream. Cheese we. Sell processed. Bakery, ingredients, like a doughnut mix a cake, mix a brownie. Mix jams. Icings. We, sell raw ingredients, like sugar flour, shortening, oil we. Sell semi, finished and finished products like your decorated, cake in a box if you shopped at Walmart bakery. Products they are made by dawn most of them so. We. Also sell non-food, products, and services, like we, sell baking equipment we. Sell pots pans gloves, forks, knives napkins, you name it anything, that a baker might need we, have more than 5,000, products in our portfolio. So. We operate, in, two, different business models, across. North America, one. Business model is the key account business model where, we take down manufactured. Products like a cake mix or an icing and we, sell it directly, to a large, key account like Walmart 7-eleven. McDonald's. Panera. You, name it and in. This model because the customers, are quite large they, order in very big quantities, like, when Walmart orders, icing. For their cakes, they order like five truckloads of, icing, so in. This model we ship, the products directly from our plants, into, the warehouses, of these large customers, which is a simple business model, yet. We have a second business model where. We basically. Served the small and midsize accounts, these are like your neighborhood bakeries, or small donut shops around, the corner in your neighborhood, and these. Customers. We. Sell, them the dome products but also the third party sourced. Products, and we consolidate. All of these things in our distribution centers, and delivered, them every day and their, orders are by nature smaller, and more complex, there's, a bag of this in it there's a pail of that in it and we need to consolidate, and make very frequent, small shipments every day across North America so, these, are the two business models by. And large and well. Both, business models, are very relevant and important, for Dawn we, do have a much bigger heritage, a well. Invested, Network and also, a, competitive. Sustainable, competitive, edge on the, small, to mid-size account segment, so. I mean, this is the bulk of our customer, base and just like any other company this is more profitable, for us because, these small customers, don't have the negotiation, power of a Walmart or a McDonald's so. This is why it's strategically, imperative. For us that we protect, and grow this segment of the market but. How do we do that. So. As we think, about how to grow this segment, of the market we had two separate. Considerations. Or we looked at our business through two different lenses one, lens we used was the product innovation, lens just, like. Any other company we. Need to constantly innovate our product, portfolio so, we become relevant and we differentiate ourselves and. We. Do that I mean we just introduced. Gluten-free concept. Natural, colors natural, flavors different, formats, and all that the. Problem, is we have 5,000 products in the portfolio so it's. Very difficult to differentiate yourself based on product, because every, single product is not significant. Enough to make a difference, it's a small fraction of total sales that's. Why we. Just looked at our business and we said well well we have to innovate still, you, know we have to bring new bakery, products to the market that's just table stakes and we, have to think about a bigger, mechanism, a higher mechanism, above product, level.
Differentiate, Ourselves almost, like a business. Model innovation in. Innovation. Where the customer, experience don't customer, experience, will, be better, if we deliver, a more enjoyable and and, and simplified, don't experience for our customers so. We we thought we need to differentiate at that level the, other lens we looked at our business which was the. Undeniable. Factor, that there's a huge digital transformation. That's taking around us in the food service and bakery industries, which we are part of we. See online ordering, coming. Into the play more, and more every day with foodservice distributors. Amazon. They made a public statement with their b2b, business model they said we're, going to go after foodservice and and bakery. Industries, and our. Direct manufacturing, competitors, are doing a lot of digital things to differentiate, themselves so, we, just looked at that and we said we, don't want we don't want to be left behind we. Actually, have. The opportunity to, be ahead of the curve and preempt. Our peers, if we. Act fast in this digital area because, the. You, know digital transformation. And bakery and food service industries, are still at their infancy. So. Putting, these two things together the need to differentiate and the. Need to stay ahead of the curve we. Said we're. Going to invest in digital, technologies, and we're gonna embark on a digital, transformation journey, in partnership, with KPMG, with. The primary goal to, give a better customer, experience, to don't customers, has, differentiate, ourselves. So. Of course it all starts, with, understanding our, customer, who the customer, is and what they want and our. Customers, are as I said you know your neighborhood bakery is the donut shops and and there's, usually a small, you. Know venue in which there's one decision maker the Baker and. This Baker is by. Definition is an artist he. Or she is you. Know having a lot of fun and pride, and you, know enjoying the the art of baking they, focus on the, passion of baking and they focus on the quality and the taste of the food but.
While It's a small establishment. It's a very complex operation at bakery so there are a lot of other elements, so their business that, they need a lot of help and they, rely on their suppliers, to provide those helps so. That was one thing we we. Measured, that at. All we constantly, look at what, bakers need and what, are some of their biggest pain points, what are their biggest concerns, hopes, and fears and, here's. Our latest research we. Understand, that the. Baker's they know technology, is going to be an important, thing in their lives it's gonna play an important, role but they don't know how and they, don't know how to make it happen so they need help in. Terms of product Baker's. Want to make sure that when they put a product, portfolio an, assortment, in front of their shoppers, they, want to make sure that it is something that is, driven from the latest trends, latest. Taste, profiles, color profiles, and the consumers, will enjoy it and they, also want to access the, highest, quality bakery ingredients. At the lowest price possible to make that happen and they need supported, recipes, etc. Labor. Is probably their biggest pain point because they struggle, to find recruit. Trained, retrain. And retain, skilled, labor there's, huge shortage. Financial. As I. Said bakers are artists, they don't necessarily, immediately, know where, they make money where they don't aura or how to prioritize their investments, so, they appreciate, a lot of consulting, in. The area of financial, again. Direct marketing, targeting. A certain consumer. Growth with the right products, and understanding, their needs and, trends is not necessarily, a you. Know inherent, skill set that exists, within bakeries, and then. Last but not the least regulatory. And compliance which. Is all about food law the, labeling requirements which, is constantly, changing Baker's. Just want to make sure they're first of all compliant, but, they're also have access to audit tools. Certifications. Which is required, to run their businesses, so. I mean. While these are very specific, needs that we have identified, the overarching, theme is, yes. They expect, products from us they expect you know icings, and cake mixes and everything but. They want a more. Holistic help, from, us to help with their business, and with. The elements, of the business that are not necess related. To baking, so. Combining. This you. Know ambition, to go digital and the. Understanding, of the customers, we. Just came, up with this vision that says we're going to create a digital bakery, platform, which, we're gonna see the demo off and. Went. Through that bakery platform, we just want, to make sure we provide, products, online to, our customers, but, we also want to surround them with services on a, digital environment, that. They're gonna be needing to run their businesses, more effectively, hence differentiate, ourselves, so. As a. Working charter this. Digital, bakery platform, that we're going to show you today is and. You. Know with that we want to be an indispensable, partner. With the bakers and we want to create a sustainable advantage. Through. The use of technology.
And Data that, otherwise. They wouldn't have access to and by, doing that we want to help them and we're gonna help them achieve their goals and aspirations so, that's, what we've been working out, so. What does this platform look like. Conceptually. Imagine. This is a website or, an app it, may take different shapes but this is for, explanation, purposes, at the. Center of it there's, gonna be a b2b, product. Online ordering facility, where, they can basically place, their orders and get, their products online, while. Online ordering, is nothing new it's been around for 20 years by now there's. Very little of that in bakery, industry, so it's still very progressive simply. Because, bakers. Are not you, know digital. Native people and they. They you, know that the operation. Is very complex, product portfolio, is very fragmented, and pricing. Is very customized, per baker per product so. There's a there's an inherent complexity. Which we are working on once. We get that rolling, the. Second thing so these are areas for bakers to go into conceptually, we, want to work on we. Are actually working on a b2c, online, ordering facility, for our Baker's the. Bakers want to engage digitally. With their consumers with their shoppers, they want to make sure that they have an online ordering, facility, through their stores but, they don't know how to get it done so we're. Working on a turnkey, solution to, provide to the bakers so, that they can turn their own operation, in it to, a digital online. Friendly. Operation, and, they're gonna appreciate that. We. Said labor is a big issue for our Baker's we. Are, going, to be connecting, to, customized. Job search engines, in partnership, with indeed. You, know monsters, or, someone. Like zip recruiter, so. That the bakers are seeing, who is available and, who they can recruit they know we also will, connect them to training videos through YouTube and, we're, going to connect them to certification, programs, through you, know our educational, institutions in. Terms, of marketing and innovation at dawn we have tremendous knowledge, of consumer. Desires, once needs trends, everything, and their. Behavioral. Statistics and all that so we want to make sure that we provide these things to our bakers in a digestible, format, that, makes sense to them and helps them get the right product assortment and also, we want to partner with tools like Twilio where you, are gonna be helping the bakers to run digital, campaigns, sales, campaigns, which is gonna increase their sales and that's that's what they want. We. Talked about regulatory, compliance. There are a lot of companies, out there that help the. Companies. Do these things for, example track, my risks, comm, is one of those digital companies, who, are specialized, in auditing audit tools, certification. We, want to work with them on a bakery, specific, solution, and plug them to our platform, same. With financial lots of financial companies who can help, us with training, measuring, tools investment, prioritization, tools that we can plug onto the platform, and, what. Are the things that we're gonna be doing is and the side of operations, think about a neighborhood bakery receiving. A large, donut, order like five hundred donuts for a college, party in the middle of the night well. What they need to do is of course make it and box it and everything but to, deliver it they usually have a van which, is sometimes out so they need to wait, for that van to come back and the. Order, is delayed and all that. Sted we want to connect them to a last mile delivery service. Like post mates curbside, so. They, can they, don't need that van anymore maybe they, can just deliver, their product through those services, by. Doing those things they're gonna be able to look at their business and their assets very, differently, and. We. Can go on and on and be as creative as we want with these things but the central idea here is to provide, our customers with, the. Online. Ordering facility. And their high, quality products, but, also surround. Them with these digital services.
Or The, platform that. Will help them with their broader business and that's, how we are planning to differentiate. Ourselves from, those. Competitors, who are just selling traditional products, today with. That I'm gonna hand, it off to Sam. Thanks. For her, I've. Heard the story so. Many times and, it's. Just. Incredible. That here's, a, hundred-year-old, company what, would be hundred years next year right. That's, gone through so many transformations this is the, fourth or fifth transformation, if I remember one of the story lines that you have did you talk about the, first one actually being. You. Know when we had the Great Depression right, they the company reinvented, itself and is going through so. Many transformation, so this is a this, is a company that actually worked. Through. Quite. A bit of change and is now ready for the next frontier so. What, I want, to sort of take you through is Sarah. Talked about how entrenched, the entire, value. Proposition, is with. Regards to talking, to the customers, and frankly to the customers, customers. Which are consumers, like you and I and, really. Building out how, do you actually relate to them how do you engage with them how do you create that stickiness but. I want to unpack that conceptual. View the value proposition, view and the conceptual view this is the previous slide. That he that serhat, showed and build. On it and talk about what, does the logical, model look like to, you and you unpack that and when you unpack that what does the physical model look like which is the technical elements needed. To make this a reality, it's great to talk about business agility but, since it's so entrenched in sort. Of linking business, and Technology together, making business technology, and digital capabilities. Together it's kind of incredible that you had to bring all this together to actually deliver a. Value, proposition so I want to sort of uncover, that and then when we when we get to the end of the presentation, Sukhbir will come up here and do a quick demo of our of where. We see this going look. Before I get into it I want to talk about this journey a little bit because the journey that, we started, together. About eight, nine months ago it didn't sort of happen you know there's an app of the fingers there was a lot of interaction there was a lot of working with sir, hatt's. Don, leadership, team the board bob steams, the Bob's obviously. Part of the leadership team but, really getting everybody to understand, what is the value here why should you make this pivot and why is it important it didn't happen the snap of fingers Azeroth. Will definitely. Tell you so, I want to sort of walk through how do we actually go to the process and what kind of an approach did we use to help people think through it right now I'm gonna spend too much time on it but, it is it, is what we think of us as our.
Transformation. Framework, this is business led digital, transformation, I want to be very clear and the journey is what, we what. We really believe it because this is not gonna happen, in one year two years it actually takes a little bit of time and more importantly is needs. To be sustainable, you can't just expect that this will happen in two years and then you're done it's not an initiative it's a pivot for the whole firm and the whole company we, call it the connected enterprise and really. The connected Enterprise has several key elements to it and I'm going to go through all of it I'm just going to spend about. Three or four minutes going through the the. Top-line. Capabilities. If you may the. First serhat, spent a, lot, of time talking about it which is the, fact that the customer agenda, is actually. Ready. For disruption everything, that we talked about is customer, centric is outside, in the, surveys that the serhat talked about the interactions. With the customers, and the cuss and in this case the artisanal. Bakers the, Walmarts, of the world and their consumers, was very important, to inform what. The strategy needs to look like right. So, once, we had that in place really. Started to take a look at what kind of experiences, do we need to create in order to enable that today, and down the road so, this notion of creating, experience. And customer experiences, that are going to really. Effectively. Enable. The, strategy that was created was an extremely, important part of it and oh by the way we were not looking at just products, and services, that Don. Provided, we opened. Up the aperture to say what does a customer really want from us and we, created this this this, notion that. We said was more important, for you to understand, what, experiences, the, customer, wants not what experiences, you could provide still, an outside-in perspective, and then, translating, that in terms of organizational. Capabilities, to deliver our number one and number two right. How, do you deliver a profitable, growth how do you deliver this from an organizational, capability, because nobody else is going to do it you have to do it and you have to transform your organization to do that when. You looked at all of this and you pivot into what capabilities are, necessary, how do you break down these silos that we're normally, used to whether it's you, know supply chain Tony does this or you. Know your. Customer, service stream only does this right. How do you break down these barriers between, front, middle and back office, and how do you create an environment. That allows transformation. To happen more naturally. That was really what we were jointly. Working on together and so. There. Are eight capabilities. That we believe and this is all based on research by the way that we've done over the last three. Years not, just from talking to customers but working with external. Parties who have actually, thought through what these capabilities, need, to be and they've done service for us we've done research, we've really, entrenched, that research in terms of outcomes. And constantly, refined it I'm, not going to go through these eight capability, it's just gonna point out a couple three of them right the, first one is kind of obvious. I think a lot of us are here because we believe that, insights. Driven strategies, and actions are core. To the way a, digital. Or business would behave in a digital world right, and what's interesting is that one, of the service KPMG, does on.
An Annual basis with CEOs across the globe we, found that while everybody sort of believes that this is their strategy seventy eight percent of CEOs. Actually. Don't use. Data-driven. Insights, to inform, their decisions, they still go with their gut I'm. Not suggesting that gut is not important, for a CEO in particular, but, this is something that. That. We've sort of we are learning and we're trying to inform everybody but this we believe is core to one. And one of the capabilities required for our transformation. Sahra is not one of those CEOs by the way. But. The second one of course Sarah talked about which is the innovation on products and services not, only innovation, of existing. Products. That you sell to your customers but also digital. Twins, that you want that. You want to sell or enhance. Your existing products, with experience. Sensor City that's something, that is talked, about a lot where your customers, really are the center of your universe and, you want to deliver an experience not just a product for them right and, this is not just for the customer but also your employees, so that they're serving customers, more effectively and that's extremely important, as well. Seamless, commerce and seamless interactions, this, is about omni-channel capabilities. So that if you start a transaction, or if you start an inquiry or you start a conversation or one channel which, could be digital that you don't lose track of it you don't lose track of it when somebody walks in the store or walks up to your your your sales agent or whoever it might be the. Piece that is is. A challenge, as you start to unfold all these capabilities is the response of operations, and supply chain supply. Chain is sort of making a move and we believe this is an important move from being make centric, and cost centric, to, be customer, centric and commercially. Oriented right, sort of moving upstream so that you're not just thinking of yourself as I got to deliver the best product create the best product or those cheapest price and, so we can go on and on through this it suffice, it to say that we. Believe obviously the alignment, of people, talent. Whether, it's growing talent, internally, changing. The way people think or externally hiring talent is very important and. Finally a digital enable architecture. Which we will talk about in a little bit more detail so I'm not going to delve it it delve, into details there sir. Had already talked about the importance, of the partner ecosystem and, the fact that you want to welcome partners, and. What's. What very refreshing about this is none, of this is sort of behind some firewall sitting, in so hard and Bob go out and talk to their customers talk to their partners are very open, about what they want to do which, is sort of what's our heart calls the open. Source world of businesses, right you want to sort of share as much as you can so that you're inviting people into your ecosystem, and you're creating, possibilities, that, you never knew power, right and so that's something that we want to our creating opportunities, that you never knew possible, so. One, of the things I'll end with is that as. We started to unpack this, more and more we found that as we talked. About it and began to monitor, companies, that were using this, companies. That use this kind of a framework not, exactly, the framework but really invested, in those capabilities, were, twice, as likely to succeed in their transformation, efforts and this. Is something that whether, you believe in exactly, all those capabilities or you want to modify some of this this, is directionally, where we believe companies will need to go in order to survive. And thrive in, the digital age and this, is where when sorrowed open we, really are trying to link those two together and saying there is no business strategy and digital, strategy it's one in the same thing and, you have to understand, how they work together and how you would sustain them together so. With that said and as, a backdrop, for how we actually, went through this journey I want, to sort of transition a little bit into where, we left off with our story and so how talking about what. Is Dawn looks like as a platform company. Conceptually. These. Are the products services, areas, categories. That, we believe is, important, down Don believes very important, for the, future.
Proofing The business at. The heart of this of course is all, the data that you're going to collect, this. Is a fairly, seasonal. Business Baker's. Have, to react there obviously there's, a lot of bakery business all throughout the year but when they get into Thanksgiving or now coming up with Easter, there's a big spike, when. Are they actually looking for labor what kind of Labor they're looking for how often did they look for that labor what can they pay for you know what kind of you know you are collecting that data even, if you anonymize, it it's very powerful data and so, each one of these bubbles. Or clouds that you look at creates, and puts out so much data that we believe, that. Is actually, how we're going to keep, this a sustainable, competitive, edge, for. Don and for their Baker's so, let's sort of unpack and go from a conceptual view into a more of a logical, view and then into a technology view so. If you look at this a little differently in, order for us to be able to create what. We think of as a plug-and-play architecture. There, are two fundamental, l, that are necessary, even, before you get down to collecting, the data right, to, be, able to create these business. Services, that's our hot talked about whether, it's connecting. Up it indeed or a, gig, economy a, provider, of resources, or whoever, you have there's. Two things that we wanted to sort of ensure that we do the first one was working, together with it with the with the don team said it needs, to be a micro services based architecture, whether, you're building your own you're plugging something in you essentially, need the ability to plug into a chassis, and that micro, services architecture has to enable that right. The, second piece is that, using. AP is that are readily available is, an excellent, way to accelerate. And, frankly. Not only accelerate, but also run tests and learn cycles, and we're, doing some of that and exploring, that as we go along when we go into the details we'll talk about some of that but. All of this whatever. The area is are there Bob talked about in the pre-op sorry sir how talked about in the previous slide with operations, marketing technology. Knowledge. Etc. What. We believe is that you would need these. To plug in to a technology backbone. That you would what we're calling the core business, platform. For Don or Don core business platform, so. What does that look like, today. That is built on a Google. GCP, backbone, that is think of that is the chassis that, chassis is where everything, is going to plug into and the. Chassis obviously has core capabilities, which we'll talk about in a second but it also has business solutions, we, don't think of YouTube as a business solution we just think of it as a. Cool. Place to watch videos, possibly but. Don, has already started the process of creating a Don Channel right somebody. Knows what does it look like when you're creating a very specific. Product. Or or a end, product, for your for your customer and what do you need to in order to be able to create that because, this is an art for them this is their passion they want to learn about new, techniques for, frosting. Or to create a new kind, of a cake or what's what's coming up in the in the, food services industry that, is relevant to them so. When, we look at this we are actually looking at plugging in things that are fairly native, to what Google already does and we're calling those Google, the solutions, right it's still part of Google cloud but it's a business solution that is provided, it could be AdWords, could be expressed shopping, lists it could be recommendations.
API That, we're going to use right. But, there are things that you have to always create by yourself you, know one of them is the, commerce, engine we do believe that in. Order to achieve the goals that that service you talked about you, are going to need to transact, fundamentally, well that's not native in the Google cloud. Yep at least but, we will be using a commerce engine that we will plug and play from elsewhere we, will be creating our own customer, service transformation, interaction, models we will be creating things that are specific, to what Don needs curated. By drawn created by Don but they will all ultimately plug, into the same chassis and we believe that's extremely, important, for us. When. You sort of unpack this a little bit more what, we're seeing is that. We're. Going to use I mean this is all this. Is not a technical deep tie presentation, but I'm going to do the best I can to sort of cover the top elements right you, are going to have a server let's computing architecture, you are going to have an elastic cloud you are going to have all, those things that are normal, expected, container, engines, whatever you want to call it right you are going to do all of that and that's sort of the top. Line item you are going to use a big queries you're going to do all of that but. There are elements that you need in, order to deliver this business agility which will only come from really thinking about your ability, to not, only subscribe. To api's but also publish, api's, right. So as, much as you're subscribing, to an API and we'll talk about that in a second we're also going to publish API so that other people might use maybe. It's the organizer, of this event that, need you. Know I don't know how many doughnuts we had in the morning maybe we don't have any doughnuts but, maybe they need 2,000 doughnuts a day right, they could subscribe to this and find a way to engage, with artisanal, bakers to deliver those 2,000 dollars a day in the morning right so. When. We look at the enabling. Technologies. And what, it takes to be able to really unpack this there, are two elements to it the first is. The. Ability to sort of have a, conversational. And interface, and that's what we're using dialogue flow for so I'm going to literally. Just not talk about the top row there because I think we've, already have sessions that cover those we're. Gonna talk about the business elements of this the, first one is dialogue flow and we'll talk a little bit more butter but dialogue flow is essentially the interaction, engine for conversational, commerce extremely. Powerful if you don't know if about it I would recommend you you you you, learn more about it because it really brings across the. Notion. That whether you're interacting. With a, customer. Using, Google. Home or whether you're using your mobile phone or whether you're using some other element that you don't know about today it will be extremely powerful, the. Second that, we found very valuable is the ability to store, session, data because, your. Performance. Of your. Conversation. Is, important. And that speech, the text the text to speech kind of elements are important, you. Will need to have a caching capability, and we are using firebase, for that cloud. Communications, we use Twilio to, be able to start use using, the. Ability to alert people quickly give them informed, and. If you don't know tell you I would recommend you get to know them, now. You're gonna get into I'm going to talk about the commerce engine next, which is commerce, tools, it's a. Ground-up. Microservices, architecture, based commerce. Engine right we, found it to be extremely powerful, easy to plug-and-play easy, to get off the ground and really, curate your overall, interactive, experience, and. Commerce, tools is is, is one, of and we believe one of the what, are the two vendors are that that's doing a great amount of work around how do you actually plug into more of a cloud-based native. Micro. Services architecture, now. This interesting, part that I left off in Biddle is actually, one the elements, where we believe we're going to generate a lot of business interest this is what. We think of as one, aspect, of our fulfillment engine.
Now. One, of the one of the things that came out and and we're obviously learning, from the market and there's a huge test and learn cycle that works pretty quickly is that, last. Mile delivery for, fulfillment is, important. The. Example that uses serhat you know I got a deliver you, know 500. Cupcakes. Now, I, need, ingredients tomorrow. How are you going to get it to me you. Can either use Don's, logistics, network, to be able to deliver it which, is not done. Meant for last, mile delivery or. You, can engage by plugging and playing a post mates or somebody, else to be able to do it right. And what we're saying is eventually we, expect, that these partnerships. Whether it's supposed to mate or whether it's somebody else, curbside, what-have-you. You're going to start using these these, to be able to actually deliver products. On the last mile and we're, going to see that when we get to the demo all right we've actually plugged that in what, we also found is that it's not a one-size-fits-all you. Could use post mates in New York you could use curbside, in Miami you could use your own network, in in, Chicago you could whatever you want ultimately. You have the ability to plug in business, api's, business, services, and rapidly. Get it off the ground in, terms, of of course you know when you're looking at these business api is it's kind of complicated because there. Are a lot of operational. Factors but. What used to be the longest pole in the tent which is connect. Up the whole infrastructure. From post meets connect up there's make sure it works we got it done in a week at. Least the the first shot. At it we got it done in a week and that, was actually a big, revelation, for us because it is about the, speed of business, this is about, the clock speed of business and if technology doesn't support that we've got a big problem and this is really what it's meant to do is to accelerate that process. For. Those of you sort of interested. In the architecture diagram. Within, disappoint so we do have, the, more complex ones that I've seen it's actually a very simple one compared to where we are going to be, but. This, is setting. Up the demo a little bit just to give you a flavor for I'm. Not gonna steal, subpage thunder here but, really. What I want to communicate here is the fact that we. Have. Separate. Out the modalities, of interaction. From. The, api's. API. Is is actually where you, know in some sense the magic happens and and you. Can look at it as those, of you are technologists, and say of plugging in the API is extremely, important the resiliency, of the API the the.
Performance Of the, of the service itself etcetera etcetera etcetera, but. We're seeing that a lot of the magic is beginning to happen and will happen continue, to happen on the front end because, of the vices that are proliferating. Businesses. We, foresee a situation where there could be a Google device sitting, at every artisanal, Baker and they're. Going to actually use the device to interact, with Don, not, sort of get on a phone or do something else we. Believe that that is extremely important, for the future of this. Platform, that is being created and and should be we'll go through why we believe that's the case of an experience, perspective speaking, about the, connected enterprise story and how important experiences, are a part of it for. The, purposes, of our, conversation today. One, of the things I want to point out is the entire API, gateway, I shouldn't, say the entire piece let me clarify the API gateway, is based on Apogee, now. Not every API is available to our Apogee so sometimes you have to go directly, to, the to. The provider to the service provider and get the API and connect to them commerce. Tools is an example of that it's not available at least when we started off it wasn't available as a part of Apogee but, post meets this and we accelerated, our process because we used Apogee to connect the back-end so. We. Are obviously this is a this is a aboard. It's a drill-down off the actual architecture, that we have there's a bigger architecture, that brings in a lot. Of the machine learning capabilities. The data capabilities, that are extremely important, for the, growth of this so. With that I'm gonna hand it over to Sapir to, actually go through the demo and then, we'll have about 78. Minutes for, a. Q&A. At the end of this. Thanks. Sam. So. Before, we begin is there a clicker there thank you. It's. Really important to understand, first the actual, experience, that we're looking to enhance for a lot of these Baker's so throughout. This journey what we've done is we've got gone and visited a lot of these bakeries. Across. The country and we've you know we spent the day with them to understand what, their current experience, really is what. We found is a lot of them you. Know they they, handle every aspect of their business it's not only honing, their craft and, their art but it's also really, effectively, running their business so, they're in the back you know they're actually the ones in, the kitchens creating. The goods. They are then, you know moving over washing, up and going over to their laptops, and you know calling up vendors to see tracking. Orders bill payments, and then also handling. Customer service they're. Also you, know looking up new recipes looking. On social media they're trying to find out you know how, do I get inspired to build what, I love doing so. With that in mind we, fed it created a demo to see if how do we handle and enhance, this experience for them so they're not kind of running around everywhere and it, really creates almost a seamless interaction, with, them so. With, that in mind. If. We could transition to the demo, screen. So. There are many mediums. You could use to centrally interact, with this platform here which we are calling. Baker Assist for. This situation we've used the, Google assistant mobile app and so. Just to engage with it you know one would just have to start off by saying. Talk. To Baker, assist. All. Right here's, the test version of Baker Assist. Hi. I'm Baker Assist have, a question, about ingredients. Or baking techniques, I'm here. To answer you, may also choose to subscribe to Baker alerts, to receive upcoming. Instructional, videos by asking, alert me on new tips. That. Sounds pretty cool so I think I'm going to ask, to be alerted. Alert. Me on new tips. Okay. I'll, start alerting, you I noticed. That the NYC autumn, Food Festival is trending on social media, and will take place near your location within, the next several days, some. Type of pumpkin, dessert might be great for this event. So. You see here they're pairing. Location. They're able to do the research and, kind, of provide all that information right.
To You at your fingertips I mean, this sounds really neat and it's right near me pumpkin. Desserts during autumn was always great so, I'm. Thinking a pumpkin dessert maybe I, want to learn how to make pumpkin doughnuts. Show. Me a video, on how to make pumpkin, doughnuts. Here's. The instructional, video for making pumpkin doughnut. Perfect. So I can access this. Hey. Guys it's corn sweet world and today we're making these pumpkin doughnuts whatever you see if it's called YouTube and figured. Out a repository. Of videos that we have to, be inspired and terminus. Of how to make new Goods, and. Now I want to know a little bit more detail regarding these, pumpkin. Doughnuts I've just learned to make. Show. Me the ingredients for. The pumpkin, doughnut recipe. Here. Are the ingredients for, pumpkin, doughnut. And. So, I take a look at these ingredients and I see one of the ingredients here is whole wheat flour now. You. Know as sûreté, mentioned a lot of these bakers they're really entrenched in their communities, and. I know my community and I know that they, you. Know they're very health conscious so maybe I want gluten-free. Flour. Instead, are. There, gluten free substitutes. For wheat flour. Sure. Here are a list of wheat flour substitutes. That are gluten free almond. Flour buckwheat, flour amaranth, flour teff, flour brown. Rice flour. Brown. Rice flour seems pretty cool so add, 5. Kg, of brown rice flour to my cart. Great. 5 kilograms, of brown rice flour as successfully, added to cart. Add. The pumpkin donut, recipe to my cart. Grate, the pumpkin, doughnuts products, are added to cart. So. Instead of adding each and item I can add the entire block of items. View. My cart. Here. Are your cart details. Looks. Pretty good. Place. Order. Great. Your, order has been placed successfully, your. Order will arrive in, three to four business days however. It looks like the NYC autumn. Food festival, is only two days away, would. You like to opt for fast delivery. Well. That's a good thing they told me that so of course I want fast delivery, yes. You. Have opted for expedited, delivery. Great. So now as the Baker I can go in take. A look at where my order is and you know based on based out of New York and I can see that you know my order is waiting, to be accepted, right now and will, be delivered fairly. Soon and I can track it I can go away and you know handle the rest of my business and whenever I feel like checking up my order and I I can, do that as well as I know I'll be alerted, on the, status of my order as the day goes on.