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The New Warehouse podcast hosted by Kevin Lawton is your source for insights and ideas from the distribution, transportation, and logistics industry. A new episode every Monday morning brings you the latest from industry experts and thought leaders. And now, here's Kevin.
Hey, it's Kevin with the New Warehouse Podcast bringing you a new episode today. And on today's episode, I am going to be joined by Roch L'Enfrancois, joining us from Quebec in Canada. And he is the Director of Distribution at Tenequip. And we are going to talk to Roch today about
All things from his background and some of his thoughts on the distribution world as he's seen it and been involved in some pretty interesting projects as I've come to learn, which I think we'll touch on a little bit here today. And we're also going to get some of his perspective on
the human element within the distribution operation and how he views that. He has some interesting notes and posts on LinkedIn about some of these things. So we're going to dive into that a little bit. And I'm really looking forward to this conversation and diving into this with him. So, Rock, welcome to the show. How are you?
Very good. Thanks for having me. Definitely. Happy to get you on here, finally. I know we've been talking about this for a little bit, so definitely excited to tap into some of your knowledge, which we've had some offline discussions about before, and very interested to hear some of your perspectives as well. But why don't we start it off here? I guess, tell us a little bit about your...
your background and kind of how you ended up in the distribution side of things. Because I saw you were in real estate for a while too as well. Right. Yeah, I got a little bit of a mixed background in that I've done a lot of real estate. Actually, I have my certification to be a broker and have my own agency here in Quebec. Okay.
So I've done that for a while as well as development projects. So a lot of stuff there, but I started with the distribution centers and I decided to get back into it. Okay. Yeah. That is something I really like because I'm creating and building something that's everlasting in a way. Right.
Where real estate, you do stuff for you, you kind of go from one transaction to another. But in the DCs, you can actually put in processes or implement solutions that are going to be beneficial for a long time. So I feel like there's more create. So I decided to get back into it about six, seven years ago. No regrets. Interesting.
Yeah, yeah. That's an interesting way to look at it. I don't think I've ever thought of it in that way. It's very true, right? I mean, it's, you know, you're putting in a process or an improvement or something that's going to be long lasting, right? It's going to be there for a while and you're going to have to maybe nurture it a little bit. And over time, maybe it kind of goes on its own. But there's always something that needs to happen there, right?
Right. And hopefully it's beneficial for people as well. Right. So you're helping it also. I mean, when you're selling a house to somebody, of course, you're giving them a place to live and build a family and it is a good thing. But if you're changing a process for someone or bringing new tools or simplifying their work, they may stay there for 20 or 30 years.
So you're also really contributing to other people's life. Yeah, absolutely. Definitely. And I, you know, I think that's at the core of it are, you know, these distribution centers, warehouses, fulfillment centers, they're kind of on the foundationally built on people, right. In a sense, right. And they're driving all of those, those processes, um,
You know, no matter what level of technology you have in there, there's certainly that people aspect. And, you know, that's a great way to look at it is, you know, you're trying to improve like that, that experience for them. And how do you make this easier for them to do those things as well? So tell us a little bit about kind of your roles within the distribution arena. Like what kind of roles have you had in your career and maybe a little bit about your current role as well?
Right. Well, it started off also as a teenager where my dad brought back a computer from work. Okay. The 286. I don't know if people nowadays know what that is, but it's old stuff. And so the whole thing wasn't working, but I was really, really, really interested. And I had to actually learn English to be able to operate it. French being my first language. So the passion for computer and technology is why I learned the language in the first place.
And I got to work in a DC when I was 19 years old. Okay. And they had no barcoding, no scanners, you know, it was a custom ERP. So I was like, okay, how can I mix my passion with what I'm doing right now? And very rapidly, anyway, different events happened, but I ended up being in charge of the DC within about a year. Oh, wow. Okay. Yeah. Through learning the various roles and doing the actual work.
So then I wanted to implement things I was interested about. So I studied up on the RF, on the barcoding. I got Oracle implemented. So I would run the DC by day and do continuous improvement by night. Yeah, I was really into it. Yeah, that's passion for sure. And again, I always stayed very hands-on and implicated because you have to understand what's happening at ground level if you want to be able to make the changes that will really matter.
So I did that for several years, got some promotion. I got involved into marketing, sales, manufacturing, other aspects of the business I was at. The manufacturing was actually very helpful because we put in a print-on-demand line. We were in the book industry. And with the manufacturing, you kind of get a taste for automation. That was interesting, putting all that together and researching it.
Then I went back to real estate for a few years and then came back to distribution. And I was lucky enough to touch various industries such as pharma and grocery. And in the pharma world, I went to a DC that had been opened up for about six months. And they had the A-frame technology from Schaefer, as well as conveyors, pick-by-light, various tools like that.
And it kind of challenged me to see if I could do better than what they had set up already. So, which I worked on, of course. So got familiar with that. That was my introduction to, I'll say, real automation. Right. So started with that. And then later on, I went to work for Metro, which is the third largest grocer here in Canada. And they offered me the chance to go run their DCs in Toronto. Okay.
And Metro had committed to going forward with automation in a big way. And they invested about a billion dollars over three DCs between Quebec and Ontario. Yeah. So they gave me the chance to go operate one of their bigger project they had in Etobicoke next to Toronto. And that's where I really got involved even further with R.S.,
the CPS, which is the car picking system, where the ASRS will bring down a pallet to the ground level for people to pick from. And at the same time, that's where we're working on tray warehouses, depalletizers, you know, like really next level case picking. Yeah.
So that was very, very interesting. And then being in that environment made it so I wanted to know, well, what are all the solutions out there? So that's kind of why I started my LinkedIn in a way to be connected and to stay afloat of the various solutions that do exist. Yeah. And then I grew up way faster than I would have imagined, to be honest.
And through my roles, again, I was pretty much always the director of distribution or in charge of the place I was at. But I was working very closely with all the people in logistics that were putting the project together. They were doing the testing. Okay. Right. They were the ones with the solution provider doing all the talks. But then I would bring my view as the operator. And also being a geek myself, I could challenge some of the logics, which I didn't.
I really enjoy it. Right? Yeah. I like that. Yeah. So that was very interesting. And I was glad that I could bring some improvements, but also I could be challenged on some of my own thoughts, which is really good. I don't believe that being right is what matters. I believe that it's doing what's right. Okay. Right. So even though you may think you have the right solution, you still got to be open to listen and adjust.
Right. And big projects like that, they will force you to reconsider and rethink. And the challenging is very healthy to get those results. And last year, early last year, I joined Tenequip here in Montreal. It's a family owned company, but they're operating across Canada. And part of why I joined is because of the challenges to actually put in automation, but from day one.
Got it. Okay. Right. So I'm like, okay, now I've been improving automation systems or places where they're using it. I've done that a few times. Now I want to be part of the process from the very start. And because we have so many SKUs or SKUs, it is very challenging and it's very interesting. Yeah.
Right. So I like that. Where in grocery, well, you have some very nice boxes or in pharma, it's mainly pills. Right. Right. Those little bottles. It's very similar from one product to another. And we go from nuts and bolts to step ladders.
Oh, wow. That's a lot of variation in size. Yeah. Yeah. Yeah. It varies quite a bit. So yeah, that, that is one of the things that I really like right now is working on these projects. Yeah. Interesting. Interesting. And so how many SKUs about now are you, are you working with right now? We maintain about between 55 to 60,000 SKUs in stock available at all times. And our catalog is over 180,000 products.
Yeah, we try to be the one-stop shop for most companies so they can just deal with us and they don't have to worry about having the right supplier. You know, you need something, we'll find it, we'll supply it, and, you know, your business will keep on running. Yeah, interesting. Yeah, and definitely a lot of complexity there in terms of the, I guess, the size and also the shape, right, of, you know, going from nuts and bolts to like a stepladder, like you mentioned, and then a high number of SKUs. So I could definitely see, like,
How that could be a challenge, right, that you're excited to take on to try and figure out how to automate in that sense. So definitely extensive background in the space and really interesting to hear, you know, that passion that you have for it and kind of the...
you know, the interest in tinkering or challenging and trying to see, you know, how do we do something better and continuously improve, right? Which I think is at the spirit of, you know, most distribution centers, right? So with your background and now, you know, your eye on kind of the current market and what's happening out there and what's, you know, available, I mean,
What is your current view of kind of the distribution landscape out there? I mean, both from a positive aspect and both from maybe a challenging aspect or a negative aspect too. Well, I think COVID actually helped in terms of the distribution network here in the country. It forced people to be more efficient, be more resilient as well. So rapidly people went to find new technologies that could make that happen.
but also to change their ways, right? It could be in terms of scheduling or it could be on many front, but we had to get better because COVID increased that volume for everybody, right? Everybody wanted everything delivered directly at home, avoid contact and all these things. At the same time, automation had started a bit before that to become more popular in the country, right?
And one of the industry where it became very, very popular is ASRS for cold storage. So in the GTA Montreal, there's been some very, very big projects with buildings over 100 feet high just to have cold storage. And that's mainly transportation companies for storing overstock.
so i think it's going the right way at the same time there's been a lot of money that's been spent by the big guys of this world such as metro so these walmart trying different technologies so a lot of automation systems have been put on trial if we could say so in the last few years okay yeah right and uh we'll see who makes it who doesn't but the the interest is very real
Yeah. Interesting. Very real. Yeah. Yeah. And it's interesting that, um, you know, you, you say you look at the pandemic as, uh,
it's like a positive for the industry. And I think that's, you know, interesting perspective and a way to look at, I think a lot of innovation, right. Kind of came out of that as well. Cause trying to figure out, and not only like, how do we, you know, accomplish this task, like you mentioned, you know, how do we meet these, this volume demand and how do we, you know, get things to people the way that they need to get it to them, right. Without touch and, you know, all these different things, right.
And it certainly, you know, spurred a lot of interesting innovations, some that are, you know, still here now, some that haven't, you know, made it out since that time. But I think it is interesting to your point. It's interesting to hear kind of the big development on ASRS. And I mean, 100 foot tall buildings and, you know, I've seen some developments.
Pictures of these and things in it, it's pretty mind-blowing. I mean, pretty wild stuff there. So, I mean, what about from like a challenges perspective? Like what do you think are some of the biggest challenges in our industry right now? Customer's expectations.
And what I mean by that is that if you were to get a next day delivery service in the past, that was anyway, not to promote anybody, but that was prime service. Yeah. Right. Right. It was unexpected. It was the top. It was VIP. Right. Nowadays, I believe that most people are expecting next day service by default. Right. Right. So you don't have room to play anymore. You have to be efficient and you have to be efficient every time.
And that's despite the fact that some people may be on vacation, may be sick, have a wedding, you know, life happens. Everybody has to enjoy it. But the boxes won't move themselves, as we say, right? Yes, yes. Yeah. So that's part of the challenges. There is no room for error anymore. The bar has been set much higher. And, well, we have to adapt. And that's okay. I mean, everybody's winning at it in the end, too.
Yeah, yeah, definitely. And I think that, you know, that is such a driving factor. It's kind of like, you know, we...
I mean, the industry is all about service, servicing the customer. Right. But then it's also like the customer is kind of like the, the challenge to at the same time. It's like, that's why, that's why we exist. Right. To for the customer essentially to get it to them. But then at the same time, it's like, ah, the customer is the one that's like making us have to change and do these things all the time to try and adapt and try and, you know, kind of evolve and progress to be able to, to match what they're, they're asking for. Right. In a sense. And I think that's,
you know, created a lot of different approaches to, to look at that. And like you said, consumer behavior has certainly, you know, increased in their expectation wise. Right. And, you know, because of,
you know, that, that one company, right. That, uh, he said, we don't want to promote here, but that, that one company that, you know, has kind of given that, that access and, and put it in consumers minds that, Oh, that's, that's possible. And it's possible to do like all the time. So why can't I expect that from everybody else? Right. Which I think, you know, certainly brings in a lot of different, uh, ideas on how to, to solve that. So, uh,
You've had some good experience with automation in the facilities you've worked in and, you know, currently are working on something too as well, it sounds like. But how do you approach and how do you look at the
The human element, as we talked about in kind of the beginning of the conversation here, how do you kind of balance that in your eyes and in your operations? Like how do you find the right balance between what to automate and what to keep as like a manual human process? We'll be back after a quick break.
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Well, we have to keep in mind that all of these projects are done in order to actually help people, right? To get the work done. Right. So it needs to assist. Any solution that you put in that is more work is probably not a good solution. The other thing is I know there's a lot of concern when people hear automation about jobs being lost. Now, the truth is sometimes it will create new processes that did not exist before.
new jobs on the site. And then you're going to need electromechanics. You're going to need more people in IT, more programmers. So you'll be creating higher quality jobs at the same time, right? But what you do want to do is involve your staff in the project, not have it be a big surprise or nobody saw it coming because then everybody loses. You'll create panic for one. And the second thing is the people doing the work right there on the floor are
They have the know-how. They have the experience. They know what they run into. So if they're not involved, you will be missing out on data. And I've observed that sometimes they could have avoided some huge loss or huge surprises would they have been listened to. Interesting. Yeah. So you have to really, really keep them in mind.
Definitely, yeah. Yeah, and I think that that is such an important factor, right? I mean, getting that on the floor, essentially, right? That feedback from them. The people that do that job every single day, right, are going to know that job the best, essentially, right? Or you would think. And, you know, I think that allows them to give an interesting perspective, like on, you know, how the solution works,
could potentially work well or, or potentially not, not work well. Right. In a sense too. And give those, those data points, like you mentioned, you know, like, you know, I think that's very interesting. And I've had certainly some of those instances in my career as well, where, you know, you show something, somebody in there like, oh, well,
how would we be able to do this then, right? That we need to do within the process. And you're like, oh, I didn't think of that, right? And, you know, you kind of avoid, like you said, you know, rolling something out and then all of a sudden it's like, well, I can't do this and I can't do that. And it's just slowing down the flow of everything. So you kind of vet some of that stuff out ahead of time, right?
Yeah, and there's always the exceptions that you may not think of. You'll look at the process, you'll think at what 90, 95% of the volume looks like, and that's what you're going to focus on. But out of the 5% with the issues, that could be things you really, really need to take into account. And if you don't, there'll be surprises and you'll have to reorganize. And the thing with automation is once you put it in, it's there.
Right. So you can't just move it around anymore. It's often tens of millions of dollars. It's large amounts. So it's better to do a lot of thinking upfront.
Yeah, definitely. I mean, it's certainly a commitment for sure, right? So yeah, you definitely want to think about that. And I think it's an interesting way to approach it and certainly great input and feedback from someone that's experienced that and, you know, been able to see how the human element can be involved, right? And when we talk about that human element, you know, I...
still very prevalent within the distribution arena, even though we see tons of discussion and marketing and all kinds of things about automation and robotics and AI and all these things. I mean, the human is still very much at the core of these distribution processes. And I see that
You post a lot about LinkedIn, some very interesting stories about interviewing and hiring employees. Tell us a little bit about, you know, kind of your approach to maybe finding the right workers for the warehouse and kind of what some of those tips are for vetting them out and interviewing them. Well, first of all, I would say avoid the cliches that you see on social media.
Right? 95% of jobs can be thought. Yeah, that's true. But you need people with the willingness to learn it. And in some cases, they need to have most of that knowledge upfront. Right? Again, it depends what you're doing. If you have good processes, you can probably teach them within a few hours. And then yes, take somebody who's got the right attitude, who really wants to make things happen. And you feel it's going to be a good fit with the culture that you have in the place. Because this is the one thing you don't want to disrupt.
the morale on the floor and how people behave, you need a good team, right? You don't want to divide them up. So pay attention to how the person sees things and what your feeling is about that. Interesting. Yeah. That is really key. Yeah. Yeah, definitely. I like that. You're saying that they need to bring some, some experience and the willingness to, to learn if they need to learn. Right. And I think that's really, really important to, to find that,
fit as well from a cultural perspective because you could you know you could have somebody that's on paper amazing and you know could be like super productive but then you rub the the rest of the team the wrong way and don't fit into the culture and it's just it just can be toxic right for for everybody else so you know it's it's great to to focus on that i i'm curious and i i feel like
Maybe you have some interesting interview questions, but what's like one, one of your like top interview questions for when you're, you're hiring for warehouse employees? I'll be honest. I don't have a script. No. Okay. No, I'm very different that way. I simply don't have a script to me. It's a conversation, right? And one tip I would give to anybody who's hiring any position, whether it's in the warehouse or elsewhere is,
know the job you're hiring for yourself. Really understand it, right? You don't want to hire someone who knows more than you do about what they should be doing. Now, I'm not saying you have to be the pro at everything because you can't be, that's impossible. But you can't be clueless either. And in regards to your expectations, then just have that conversation. You know what work needs to get done. So see if they can get it done, right? You got to be open. You got to tell them, this is what we have as a challenge. This is what we're running into.
We have some deficiencies in that, in that area, and we're doing very well in this one and this one. So is that something you could contribute to and help us fix it out? Right. And yeah, you need to have the conversation. Interesting. Yeah. Yeah. Right. It's one thing to tell them how nice of a place you have and how great the culture is. And I'm actually very happy because I have a good place with a great culture and
But they have to see it and they have to know truthfully what is the work that they'll have to do and what will you be expecting? How are you going to behave as a manager? Right. An interview goes both ways. You're interviewing the person to hire them, but at the same time, they're paying attention to what you're asking, what you're saying and how you're treating them. Right. Especially in today's market, people have options. Yeah.
right so if they feel they're better fit with somebody else they're probably going to go with somebody else even if it's 5 10 k 15 k difference on the salary right so keep that in mind keep it very human yeah yeah absolutely i love that and i think that's a great point and and call out too is that you know not only are you interviewing them
to see if they're a good fit for your business, right? But they're interviewing you too at the same time, right? Which I think, you know, they could easily, like you could be like, yeah, we're going to offer you a job and they can still say no, right? It's not like you're giving them this amazing gift in a sense. I mean, you know, hopefully they'll look at that if they like what they see. But at the same time, you know, they can easily say no. So you want to present
see and make sure that they're able to kind of vet that they're going to be in the right situation as well, which I think, you know, if that aligns and you have those synergies, then that's where you're going to get the best experiences on both sides of the table. Right. So I think that's really interesting tip there. And I love the idea of just making it very conversational. In addition to that, one thing I would really suggest is show them the workplace, show them what the work is. Yeah. You know, take time to actually walk through the warehouse and
and give them an idea of what they're going to be doing. Because sometimes people have surprises and they're like, oh, that's not what I was expecting. And you know, they don't end the day. Yeah. Just go home. I've seen, I've definitely experienced that before too as well. Yeah. But yeah, that's a great tip. I mean, I always would do that as well. We would do, we basically do the interview while we were walking around the perimeter of the
the warehouse. And yeah, my, I'll tell you my, my go-to question was one of them was always like, uh, how did, how do you feel about cleaning? Cause, uh, you know, we always had everybody pitch in on the, the cleaning and, you know, getting rid of the, the cardboard and trash and stuff like that. And we definitely weeded out some, some people, uh, through that question because people would be like, oh, well, no, I don't, I don't really clean.
It's funny you're saying that because we had a little incident a couple of weeks ago where we ran out of work for a short period of time and yeah, somebody was handed the broom and didn't like it. I've had that happen too. Yeah. Yeah. We had somebody really, really get upset at one time because we had like a similar situation. It was a lighter day and, you know, we asked them like, not really much. We just asked them like, oh, could you, you know, take this one?
you know, trash bin out to the dumpster. And they were like, B, take out trash? Like, that's beneath me. And, you know, I was like, yeah, yeah, just on and on and on. And they walked out and they never came back. It was, I was shocked, honestly. But yeah, it's interesting the different personalities you get. Oh, yeah. And while we're on this object, I mean, if you have a cleaner environment, it is more productive. The morale is much higher as well. Like you see it right away.
And the more you involve your crew with the cleaning and keeping it very neat, the cleaner, it will stay as they work, right? It's taking ownership for your area and your space. Yeah, I think it's the right mentality to be part of it. Yeah, yeah, 100%. I definitely agree with you there. And I think that it's, to your point, right, the cleaner you keep it, the more, like, it puts the onus on the individuals to, like, keep clean too because...
if they don't like it's, it's very noticeable, like it sticks out, right. And, and you're gonna, you know, get called out. And I think, and, you know, I think that it's such a important thing to, to do. And I, I'll say I, I love a clean, shiny warehouse to me. I think that's, that's the best, but so very interesting to, you know, kind of hear some of your, your perspectives here and kind of what's, what's going on and, and some of your experiences as well and what you've been involved with and your,
approach to the human element within the warehouse. But I'm curious as to, you know, what you think about or maybe even some technologies that have your attention right now in the space. I mean, what do you think about some of these newer things involving robotics and automation, AI stuff? I mean, what are your thoughts around that?
I think it's a good thing on the AI in regard to automation and how it will really help to work on all these fast movers, slow movers, having proper allocation of inventory in the right place at the right time. Because a machine might be faster than the person when traveling, but it still has to travel. Right. So you do want to optimize that. And with AI, it will really take into account what type of products you have and how often do you need them and go put them back somewhere faster.
that they're going to be readily available if they're fast or way at the back if it's a slow mover. And I think AI will bring automation to another level in terms of productivity. That is for sure. And that's one of the most interesting things about it. I do see some challenges with automation, though, that people don't talk about much, and that's critical points of failure. So some solutions are very efficient until they fail.
So again, that's why at this time I'm in favor of more hybrid type solutions or solutions that have either a lot of robots that, you know, if one goes down, well, you got another 55, so not a big deal. But when you go with the SRS and you decide to go, I'll say overkill where you have these warehouses at a hundred feet high and things like that. If your SRS goes down, it could be thousands of pallets you don't have access to.
Yeah, they're kind of just stuck in limbo, essentially, right? Pretty much. And there is no way to retrieve them even with a forklift. You're done. Yeah. Right. So you got to keep that in mind on the risk tolerance that you have, depending on the industry. If you have products that will last for weeks or months, not a big deal. If you're dealing with products that have a shelf life of 24 to 72 hours, then you may want to reconsider it as a solution. Interesting. Yeah. Yeah, that's definitely an interesting point there. And I think, you know,
Your product almost gets trapped in a sense, right? If that goes down. And you mentioned hybrid solutions there. So what do you mean by that one, hybrid? Well, I mean that your automation is present, but you still have access to the goods when you need to. Got it. Right? So pick by light. It's not a lot of automation. It's more like a guidance system. But you have access to your products regardless of the light turning on or not. Right? If you have some shelving solutions, right? Yeah.
Same thing. You still have access to products. If you have a picking where you have conveyors for your totes and the totes are coming to you and then you fill them up, push them back. Well, even if the conveyor goes down, you could always have somebody carry that tote to the picking area and still pick the products, right? You got, you got redundancy. You got ways around it. If you have a huge tray warehouse or something like that,
If your conveyor is down or you have one of those critical points of failure that needs maintenance, expect a few hours delay. It may not be a problem or it may be a problem, but as long as you're aware, right? Yeah, yeah, definitely. I think that's a great way to look at it for sure. And I think it's interesting too what you said there about
you know, depending on the shelf life of products, like you may not even want to consider that because of that potential for, for that failure. And then essentially loss of, of product that's, that's usable. Right. And the very interesting perspective there, and I've definitely, you know, I've been in a shuttle system trying to clear, clear jams before. And when that's like holding up a ton of orders and inventory and yeah, it's not fun. I will say.
To put it simply. But again, to be fair though, some solutions are so efficient that even if they do go down for a couple hours, you'll still get the work done on time. You can make it up. Yeah. Yeah. That's right. Yeah. Like the A-frame system, for example, it's a hell of a machine. You know, you can pick 50,000 units in a couple hours with it. So even if you're delayed by an hour or two, you will make it on time. Yeah.
Yeah. Interesting, interesting stuff here. And yeah, I really appreciate you coming on and kind of giving us some of your, your perspective from your experiences within the distribution world. And, you know, definitely your, your passion for it, I think shows through and the way that you're constantly thinking about how to approach some of these, these challenges and, and,
make them better and provide those solutions. So definitely appreciate you coming on the podcast and talking to us here today to share some of that with us. If people are interested in learning more from you or getting connected to you, what's the best way to do that? I'm on LinkedIn. I post almost every day. I actually answer all my DMs 100%. I try to be very active, but also very real. I do it to help out.
I hope I can just share my knowledge and contribute to other people and solve their problems and at the same time learn from them as well. So keeping it simple, I'm really glad we had this talk. Thanks for the invite.
Yeah, definitely. And happy to get you on. And I will say that he is definitely a good person to follow and connect with on LinkedIn. Lots of interesting posts on there from him. So we'll put the link to that in the show notes here and also at thenewwarehouse.com. So, Roque, thank you once again for your time on the show today. You've been listening to The New Warehouse Podcast with Kevin Lott. Subscribe and check us out online at thenewwarehouse.com.
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