00:00:00 - [LAUREN_VALENTA] Talking. 00:00:04 - [MICHAEL_BELSCHNER] That's probably for the best of us here, Lauren. I'm gonna follow your lead here on that one. Scott will Scott will run point here for us. 00:00:11 - [SCOTT_WARNER] Yeah. And to be very set the bar. I just took over in operations not that long ago, so I know enough to be dangerous. So I'm kind of speaking from our side from our team and but if there's further clarification, I'll quite possibly have to take it back to the team and kinda see what's going on out there. So 00:00:29 - [LAUREN_VALENTA] Yeah. No. That's fine. We, we regrouped Thursday after the initial email to talk about Canadian orders. So April will speak to probably kinda go through your email from top down and then just have that open dialogue of how we can better improve our some of the Canadian shipments that have been getting stuck and kind of how to proceed from here. 00:00:54 - [MICHAEL_BELSCHNER] Perfect. Sounds good. 00:00:56 - [LAUREN_VALENTA] Alright. April, if you wanna 00:00:59 - [APRIL_COPPELMAN] I'll take over. Yes. Nice to meet you all. So like Lauren said, I'm the VP of operations here. So we met as a as a team and regrouped on your email. So I'm I'm not sure who did your investigations as far as the packages that were getting stuck. It would be nice to know what what data you did pull because it looks like the the only challenge that you guys see is that when our customs is put in hold, you know, on hold status, is you guys are not getting the information to you fast enough. So it's a little hard because we're not the importer of record, and we're also not your customs broker. We're just your shipper. So when it leaves our dock, typically, we don't have any say after it leaves our facility, because your broker and your importer of record are working together with UPS to clear your package. So when we do get notified that a customs is on hold, the first thing that we try to do is we try to call to see why it is on hold. 99 of the time that we get told is the CARM number has not been provided, and then they ask for our CARM. So we don't have a CARM because we are not the importer of record on this. So once we let UPS know that we are not the importer of record, then the conversation kind of stops there. So some of the challenges that we see on our end is the email that we provide at time of shipment is typically our own because an email has not been given. So that's one area that we see as an issue as well as, excuse me, we don't have right now your shipments are not there is no international terms being put in, so we wanted to make sure what those terms should be. Should it be DAP, DDP, Xworks, etcetera? You know, what should that international terms be for Festool? 00:03:17 - [SCOTT_WARNER] Okay. That's one of those questions I have no idea. So I'll have to get us answers. So okay. Sorry. Was just pulling up emails that they had forwarded me, but this could be I could be speaking different languages. So Kelsey, on our side, is kinda who handles escalations, you know, and and things. So I think she's been kind of catching at least some of these and she the what she had said was on when it gets to her, it's pretty much just like a missing or an inaccurate HTS code. She she sent those in and and everything clears. But I think we're seeing two different things maybe. So so is the importer of the record then the dealer? And and maybe Michael or Phil, this is I don't know who who's filling out the paperwork. 00:04:13 - [MICHAEL_BELSCHNER] Go ahead. 00:04:13 - [APRIL_COPPELMAN] Sorry. The importer record we have is Tool Tech. Right, Lauren? Is that correct? 00:04:22 - [LAUREN_VALENTA] Did you say, Ambroziak? 00:04:23 - [APRIL_COPPELMAN] So Tool Tech. 00:04:26 - [SCOTT_WARNER] Oh, Tool Technic Systems? Okay. 00:04:34 - [APRIL_COPPELMAN] Yeah. Tool Tech Systems. 00:04:37 - [MICHAEL_BELSCHNER] Is that the close enough situation, or is that something where we're not precise in the text and that's throwing a flag? 00:04:44 - [SCOTT_WARNER] That's a good question. I'd have to find out kinda how that works, because if that's that could be something that's flagging it. Make sure it's we use the right company name. So for that one, it would probably, I mean, I guess it could be TTS or or would be Festool Canada Inc. I don't I'd have to find out which one's the most appropriate for this. Okay. And then, April, this may be not something you can answer, but for, like, the email address, do you know by chance what's getting put on it? Is it, like, our customer service maybe, or do you have any idea? 00:05:21 - [APRIL_COPPELMAN] So the email that we have been using is our warehouse manager has been putting his email in. Okay. 00:05:30 - [SCOTT_WARNER] So it's coming to him first and then okay. 00:05:35 - [APRIL_COPPELMAN] And then we're trying to escalate it from there. 00:05:39 - [SCOTT_WARNER] Okay. I think I mean, sorry. I'm just reading through what they kinda had given me. So I think if we just assume right now that the data is at least there. What was the what was the piece of data you you said you were missing? I'm sorry. The 00:05:56 - [APRIL_COPPELMAN] The international terms. 00:05:58 - [SCOTT_WARNER] Okay. Let me just ping Kelsey and see if she's around. Let's see. 00:06:08 - [LAUREN_VALENTA] And I believe from the process perspective, we're not looping in Kelsey unless there's something that's caught in customs, and then we've reached out to UPS, didn't get anywhere. So then Ryan has been providing the order details to Kelsey to try to push it through or figure it out on Festool's side. 00:06:29 - [SCOTT_WARNER] Okay. And and Kelsey is certainly willing to help that. I think she was kinda I think we were kinda seeing it as as a slightly different issue. So I think if we can solve the the data piece, then, you know, that might help. We'll also check the importer record and see what what should be going there. I think from our side, this isn't we don't usually use a third party, and it sounds like you guys this isn't something you've done a ton of either. Is that correct? 00:06:59 - [APRIL_COPPELMAN] Currently, you are the only customer we have issues with importing into Canada. 00:07:05 - [SCOTT_WARNER] Okay. So that's what we're trying to figure out is which piece is missing. 00:07:11 - [APRIL_COPPELMAN] I did I did see that they gave us the correct expediter's operational contact. So if there if there is issues with our HTS codes, that would be good to know if they're having to fix them on on their end because then that means it's saved in our system incorrectly. 00:07:33 - [SCOTT_WARNER] Right. 00:07:36 - [MICHAEL_BELSCHNER] And we assess that. 00:07:40 - [APRIL_COPPELMAN] But I didn't see that as an issue in the email that was provided to us as that being an issue. 00:07:49 - [SCOTT_WARNER] She sent me three previous issues. I didn't go through them all. I know one of them was an one was a missing invoice that sent or something, so she sent that one. She did say international term. She uses DAP. 00:08:13 - [APRIL_COPPELMAN] DAP. Perfect. Mhmm. 00:08:17 - [SCOTT_WARNER] And then, yeah, the other one was an HTS for price tag inserts was one. So it's not I mean, honestly, the the trouble here is is I don't know. Is it the same thing every time or is it something random? Right. Kelsey on our side is a fantastic resource. It can help with one offs, and she's certainly happy to do that. The intent. I I told Philip and Michael, like, my email was very process driven, but it was because I don't know the process. So that was my only way to put it in paper for myself. You know? But we definitely wanna be good partners, and and Kelsey is certainly happy to help. She indicated that Chantal is super helpful and and works with us quite a bit. So that's why I wanted to make sure you had her name because it sounds like she clears most of the items for us. 00:09:05 - [APRIL_COPPELMAN] Right. 00:09:06 - [SCOTT_WARNER] So that I think that'll be a great spot. I think, Michael, what you were asking in the last call when we talked about this was, you know, April, if if you guys get a ping back from customs, if there was a way to forward that to, like, Kelsey and Michael and Philip or whoever all needs to be on it so that at least one person on our side can jump in because we Right. We don't wanna, like, leave you guys hanging. 00:09:31 - [APRIL_COPPELMAN] No. Absolutely. 00:09:33 - [SCOTT_WARNER] So I think, you know, Michael, is it do you is that something you want to to land on your plate with Kelsey, or how do you want 00:09:40 - [MICHAEL_BELSCHNER] That's fine. It gives me the most yeah. Yes. That's ideal, I think. K. That allows me to reach out to the other folks in Canada on the sales end and and get them to change their schedules if need be and get ahead of it scheduling wise. 00:09:56 - [SCOTT_WARNER] And then April, I think what we found is Chantal's the one who tells us if an HTS code's wrong. So then I I don't know who if if someone could correct it in your system after, you know, she tells them that or or what what would be best on your side. But I know 00:10:11 - [APRIL_COPPELMAN] that Yeah. She could she could easily send that information to myself and I can update our system so that no no item going forward has the incorrect code. 00:10:21 - [SCOTT_WARNER] Okay. Cool. Any other things either from the email or that you're thinking because you have more experience with this that would help or that we could do different, do you think? 00:10:34 - [APRIL_COPPELMAN] So the the only the only thing that kinda hinders iologic a little bit is so in your email that you had said is that biologic needed a day to day contact. The issue is because we're just the shipper, we can't the only thing we would be able to assist on is the HTS codes and if something's wrong with the paperwork. But typically, there shouldn't be anything wrong with the paperwork. You know, we do this all day long. So Yeah. But an incorrect HTS code, obviously, that is something that we would have to update on our side as well. 00:11:12 - [SCOTT_WARNER] Okay. 00:11:14 - [APRIL_COPPELMAN] And if if Expeditors does need to reach out to someone for HTS code clarification, that would be myself as well. 00:11:23 - [SCOTT_WARNER] Okay. 00:11:24 - [APRIL_COPPELMAN] So I would I would be the resource for that as well. Excuse me. 00:11:28 - [SCOTT_WARNER] Would it be official on the paperwork to instead of using one of your team's shipping addresses to to have it be someone on our side or like Michael or or somebody who can, you know, send the communications depending on what it is? Or do you think it makes sense to start with someone on your side and then ping us as as you need? 00:11:49 - [APRIL_COPPELMAN] So we if we use one of your emails, every shipment that we use for Festool, you would get a your order has been shipped. Oh, okay. Your order has cleared customs. Your order has an exception. So you'd be getting you'd be getting, like, four to five emails per shipment. 00:12:08 - [SCOTT_WARNER] Mike, you're not that bored. 00:12:09 - [MICHAEL_BELSCHNER] Scott, I'm well, Scott, I'm okay with it if we if we have or perhaps we have to create a separate dedicated email address for that. Either Kelsey and or I have joint access to or something. I can keep an eye on things, especially for orders that are particularly important. 00:12:24 - [SCOTT_WARNER] But, April, is that something your team would be then missing? Or do 00:12:29 - [APRIL_COPPELMAN] you Is that what? 00:12:30 - [SCOTT_WARNER] Would that inform is that information, like, shipped on hold or whatever stuff that you guys need from your side as the shipper? 00:12:38 - [APRIL_COPPELMAN] Yeah. So the it's the automatic tracing emails from UPS. Right? So right now, we're using our own, and we just have a rule in our in our mailbox that every time we get an email, it goes to a special, you know, inbox for us. But you can also write a rule that if, you know, exception is in there or delay is in there, then then it automatically goes to your inbox instead. So that's that's kind of nice. It would be more beneficial for you guys to have your own email rather than us using ours because you can escalate it faster than we can. Right? We have to call, figure out what the issue is, whereas, your, broker should already have that information before we have it, if that makes sense. If there's an issue, your importer your customs broker should know before we do. 00:13:28 - [SCOTT_WARNER] Yeah. Okay. Sorry. Let me just scroll down. So it looks like so it does look like most of these come from our importer first. So that that's that tracked except for g y g h y international. I don't know who that is. But this was an older one. So I think, Mike, that's, something we can talk about, see if IT couldn't create something or maybe there's already an address for this. I don't know how that works. We can see if that makes sense. I think, April, until we get that figured out, if your team can just let us know if there's you know, feel free to reach out to Michael or or whomever, you know, if there's an exception in the meantime. But I we would say it probably makes sense for us to, you know, start capturing some of that on our side. I just wanna see what's been done in the past and how we can make that work the best. So 00:14:32 - [APRIL_COPPELMAN] Right. 00:14:34 - [SCOTT_WARNER] Okay. 00:14:35 - [MICHAEL_BELSCHNER] In the short term, going forward from today, if we've closed out the the open topics, what we're gonna do right now, you know, we do need a couple of ones up to Canada, one in Vancouver, one, in Ontario. Would we feel good about placing that right now and having those land by the end of first week of March by chance? Or is there anything specific we can do to get those on their way and feel confident about it? 00:15:03 - [APRIL_COPPELMAN] Have you already placed the orders? 00:15:05 - [MICHAEL_BELSCHNER] No. 00:15:06 - [APRIL_COPPELMAN] No? So I will go to my shipping department right after this and let them know to update the terms to DAP. That should significantly help. And then I'll have them use my email on these shipments until you guys get back to me on a address email for for you guys on where you want those emails to go. Because then that way I have a little bit more visibility to it as well right now, And I think I have a little bit more international shipping knowledge for that as well. We can there was a a note in the email if we could export all of our data information and provide that to exporters. We can definitely do that as well. And if Chantel can she can review that and see if there's items that may be missing in your system. Maybe that's one of the things is some of the new items that have come through, maybe they're not in your system, which is why it's lagging first. So I think that that would really help as well. 00:16:18 - [SCOTT_WARNER] Okay. I think that would be trying to remember where that was. But yeah. Was that in the one 00:16:25 - [APRIL_COPPELMAN] on the areas to align going forward. 00:16:31 - [SCOTT_WARNER] Okay. 00:16:32 - [APRIL_COPPELMAN] The correct expediters and then on three was the last bullet. Our logic should have this data on file for existing items. For any new items, expediters will need the HTS and country of origin. 00:16:47 - [SCOTT_WARNER] Yeah. 00:16:48 - [APRIL_COPPELMAN] So that keep it on file. So if we just export everything we have now, they should be able to import all those items, the HTS codes in the country of origin and we shouldn't have any issues with the the items themselves. 00:17:02 - [SCOTT_WARNER] Yeah. That's kind of the way my team made it sound like was we send those things to Chantal normally, and she updates it, and then it's kinda like a one and done thing. That that sounds the same. So okay. 00:17:15 - [LAUREN_VALENTA] So sorry. Scott, you had mentioned one thing about one of the HTS codes being incorrect for the price tag inserts. So if we correct that on our end, assuming Mike, if one of those three Canadian orders have that item, we can correct that on our end. But how would we get that information to Chantal so that she has it? 00:17:38 - [SCOTT_WARNER] She has that one now. So we sent that back to her. So that one should be good, but I 00:17:46 - [APRIL_COPPELMAN] don't Okay. 00:17:46 - [SCOTT_WARNER] The rest. So okay. Okay. It does yeah. So this is an email from Chantal. She said we're down to one new part. Price tag inserts, and Kelsey gave her that code, so we should be good. 00:18:04 - [APRIL_COPPELMAN] Okay. 00:18:05 - [SCOTT_WARNER] Cool. Well, I think that helps. I I think, you know, from our side, you know, just let us know if if you guys are seeing anything that you think needs to be done differently. You know, like I said, we we we obviously have a vested interest in making this go as as well as we can. So, you know, happy to help, and and we will get back to you on the email address as soon possible. And then, April, if you see anything on these new orders, you know, that that flag something of interest that, you know, maybe lends more to it, just please let us know. 00:18:35 - [APRIL_COPPELMAN] Okay. Sounds good. 00:18:37 - [SCOTT_WARNER] Okay. Perfect. All good? 00:18:41 - [MICHAEL_BELSCHNER] Alright. Appreciate your time. Thank you for joining today, April. I really appreciate it. 00:18:44 - [APRIL_COPPELMAN] Not a problem. Have a good day, guys. 00:18:46 - [SCOTT_WARNER] Thank you all. We'll see later.
Transcript
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