for tuning in to this session on the pricing operating model and how to design such a thing. We're going to dive right into it. The key question that we're going to at least try to shed some light on today is this. So how do you set up your organization to realize the full benefits of your pricing strategy? We've planned a five bullet agenda. So go through over the next 40 minutes with you guys. Firstly, we'd introduce ourselves and to the concepts of monetization strategy and the pricing experts that we claim to be. Then we'll talk a little bit about strategy, price model, technology, and this link that we call the pricing operating model. And then we'll double down on the six dimensions of the operating model, talk to how can we actually deploy for accelerated impact, and then in the end, have a conversation about what can you do right now, what could you do tomorrow, what were your key takeaways from this session. The chat is open, so feel free to use that during, before and after sessions. We'll try to follow along and answer them if there are any pressing questions, but we will have a little bit of time in the end also to just go through, you could say, the most relevant questions. Firstly, let's do a quick virtual round of introductions. So if you could put in the chat your name, where you're located in the world, what company you are currently working for, and then on a scale from one to five, what is your involvement in day-to-day pricing decisions? Where one being, I'm not at all involved in pricing decisions, and five being, I practically have the full control about what we do in pricing decisions. in our organization. While you put that in the chat, we can also say hello. Maybe that's in its place. So my name is Christophe Juhl. I'm a partner here at Implement Consulting Group, and I've been working here all my professional year, all my professional life for quite a few years now, always in the domain of commercial excellence, in the domain of pricing and monetization. With me, I have my good colleague, Christian. Christian, I'm also here at Implement working with the pricing team. I've been working with pricing also my, almost my entire professional career, in the last few years here at Implement, working across several different industries located here in Copenhagen. I see some chatter in the chat, some familiar names as well, that's nice to see. There's a lot of fours and fives. So that's right. We're talking to the right set of people. And on the top question, do we get the slides? Yes, of course, we can share the material with you afterwards. There's no problem. There's nothing there that is hidden to anyone. So we'll for sure let you have those. Yeah. All right. Should we get started? Let's do it. Cool. Again, thanks for signing up. Just to put you into a little bit the broader perspective. So when we work with pricing and monetization, we do that in the realm of what we call commercial excellence, right? So commercial excellence in our world is going to market with a convincing offering provided by a fit organization. And that of course has all elements related to selling and marketing your products. So that's your commercial strategy or customer management approach, your value propositions, your branding, your marketing, your pricing, your commercial setup, all the way down to sort of how do you digitally enable all of these functionalities. A little bit more specifically, deep down in the details, and we like to be that here at Implement Consulting Group. Actually, that's what we do best. We're really nerdy about very narrow topics. That being pricing and monetization for Christian and I. So when we support companies in this, we aim to develop capabilities across all aspects of the pricing excellence framework, right? So that's all the way from understanding the economic indicators that is driving sort of the big level pricing changes in the industry is understanding your context, right? Your corporate strategy, your customer value, your competitive reactions, your cost structures and their developments. All the way to the other side of the way to the other side of the way to the other side of that slide, it's making strategic choices on are we pricing to value perception? Are we pricing to create loyalty? Are we pricing to utilize our capacity and maximize our volume? Are we pricing maybe hopefully for sustainability and profitability? And then in the middle, of course, there's this core set of things that is pricing excellence, right? So it's about a strategic dimension. It's how do you set up your price model? How do you determine your prices, the price setting? How do you actually get the prices you want to be getting out in the market? And then the bottom layer, what is the technology that enables this? And then today's topic, which is the slightly softer topic. Often overlooked, you could say. Often overlooked, or at least underinvested in our opinion, the pricing operating model. So let's just dive right into how those all sort of fit together. Yep. For 35 years now, I think, some very clever consultant coined the power of pricing or the 1% windfall, I think the original article was called, right? It basically looked at 1,000 fortune companies in America and said, on average, if these companies managed to do a 1% price increase without impacting their volumes, they get an 8% profit increase. And that is the strongest profit lever you can pull, right? So you can do stuff on reducing variable costs. You can do stuff on reducing fixed costs. You can do stuff on growing your sales volume. But none of them. But none of them are as strong as the power of pricing. And I think most commercial leaders know that and actually have understood that for quite a long time. Or at least pricing managers and consultants and software vendors alike have now for three decades told us this story every time we talk about pricing. So it's there. The power of pricing is there. And we see mature companies that are able to steer their prices based on the strategic choices they made in their monetization strategy. We see lots of teams that perform super advanced analytics, very granular level, and they're able to recommend deal level price guidance to sales folks that either sort of balance, we want to capture margin here, or we really want to grow this side of the business. We still see 70% of implementation projects, of new initiatives coming to life, failing to realize that benefit, failing to actually capture that 1%, 2%, 3% pricing windfall. We believe, or we're actually quite convinced, that a thoughtfully designed pricing operating model is the answer to this lack of success. Right? So those companies that really harvest the power of pricing, they do four things. They make deliberate choices. They make deliberate choices on strategy. What do we want to achieve? Where do we play? How do we win? They explore new price models and exploit the existing ones they have in place. So pricing is not a done deal, one off exercise. It's a continuous improvement towards new domains. They enable decisions with data. And to do that, they've got to have to do that. And to do that, they've got to do that. And then lastly, they're going to do that. And then lastly, they continue to improve their operating model. If you manage to do all of these four things, we are quite confident that you will really be able to reap the benefit that pricing has. So what is a pricing operating model? The key question of the day. So let's dive into how we see the pricing operating model, which is these six different dimensions. The price operating model is the blueprint for how the company organizes around pricing, how they make decisions, what governs those decisions. And it's not until this operating model is sufficiently implemented across the organization that the pricing strategy really can come alive and you can really reap the full benefits of it. And these six dimensions are fundamentally complementary. So you want to have them all working together cohesively to really reap the full benefits. But overinvestment in one can help to lift maturity in others. So for example, companies that are able to hire highly experienced people within pricing, they can usually get by with less formalized processes. Other companies that don't have access to the same talent pool are probably going to need to have more formalized detailed processes, procedures, a more formal governance around how they take their pricing decisions. So it's complementary, but at the same time, but you can overcome immaturity in some areas by investing more in others. And then the pricing operating model, of course, doesn't live alone. It lives together with the overall business strategy. And it needs to, the operating model needs to be tailored to what specific pricing game companies are playing. And what do we mean by a pricing game? Well, you can take, for example, a manufacturer of spare parts supplying OEMs. They need meticulous analysis. They need to operate and optimize their cost plus pricing constantly in the cost plus pricing. They're playing a cost plus pricing game. Really meticulous detailed analyses here. Contrast that to a biotech company that has deep R&D pockets. It needs to really be able to quantify its price premium in the market. It's playing a value-based pricing game. It needs to quantify and measure this value. Then you have the SaaS company with high degrees of customer service. Customizations, high degrees of customer service. Customizations, high degrees of complexity in each deal that it's doing. They're playing a competitive pricing game, usually up against some concentrated sellers with a lot of power. Also some buyers that also are quite powerful because of this market dynamic. And then last, you have this dynamic pricing game, which is the online retailer with endless rows of data that they can build these complicated dynamic pricing algorithms on top of to optimize their pricing day-to-day, even down to the minutes and hours. So each of these pricing games results in different decisions, how you organize around pricing, what decisions you have to take, the processes, how you do it. Let's dive into the details because the devil really is in the details. Before we do that, let's actually just introduce the six dimensions and then we'll go into the details of three of them. So, of course, this operating model is in a context, right? So the outer layer there in that fancy slide that we've drawn up specifies that we're working within a pricing strategy. The pricing model sets some kind of top to these dimensions. Of course, there are the customers. Ultimately, pricing is about taking a strategic choice on how much value do you want to share with your customers. That's all pricing is, right? You have a cost, they're paying for you. Somewhere in between there's a value share. That is pricing. That is pricing. A structured approach to that. And also, of course, there's a stakeholders. All kind of both internal and external stakeholders that we need to interact with in all the choices we're making. So really, that's the context. And what we're seeing is in the upper layer, the operating model is about organization. So how do you organize your people and what kind of leadership principles do you apply? It's about governance and ownership. So who has the right to make certain decisions over price? And how do we govern that? Those that are not really allowed to make certain decisions do not allow, do not make these decisions. What are the processes? Those are both sort of annually recurring things that needs to happen. It's also more operational day-to-day jobs to be done. So that's the top layer. In the bottom layer, what are the skills and competencies that are in place? So are we actually able to find the right people? Are there sufficient? I doubt that in Denmark whether there is a sufficient amount of really talented pricing managers. Luckily, a few of you have dialed in that we know. So we have a great part of the talent pool with us today, I'm quite certain. Then it's about tools and technology. It's not only about tools and technology. Some of the software companies will tell you this. You just need this new software and then everything is cool. It certainly is about tools and technology. It's not only about that. And then there's also an element of performance management. And to that we mean both how do you actually monitor pricing relevant key performance indicators, but also how do you incentivize both the people that are working with pricing, but also the people that have to live with pricing choices. Here I'm talking mainly sales folks maybe. How do we incentivize them to actually be doing stuff that is relevant for optimizing pricing and not only relevant for optimizing their sales goals. Right. So those are the six dimensions. We've decided that we would bore you to death if we meticulously went through every single step of this. So we're not going to do that. We're going to give you three of them with some examples of how it could look and trying to highlight the difference between a cost game or a value game or a competitive game or one of the four pricing games that we spoke about. Right. So let's dive into the details. Let's dive into the details. Sorry for the back and forth. So as Kisela said, we'll deep dive into organization leadership, the annual processes, jobs to be done, and the skills and competencies and look at across the different games. How can those, how can those, how can those be quite different? Let's start off. If we start off with organization and leadership, what is organization and leadership? Well, first of all, it's about making sure that we have an organization, we structure our organization in a way that we can reap the full benefits of pricing strategy. Right. It's making sure that the pricing is well conceived, but also effectively executed across the organization. It's making sure that we have the leadership that's driving a culture around pricing. in the way that we want that links up to the pricing game that we're playing and promoting the right, the right skill set, but also the right decisions. It's about creating these cross functional groups to bring together different viewpoints from across the organization. Pricing is, is a multidisciplinary responsibility across the organization, regardless of what type of pricing game you're playing. That also means you need to have these distinct roles, responsibilities in place, making sure that everyone knows what they need to do. So, what do you need to contribute in order to get the right pricing? And then sometimes you do need a dedicated pricing team, but more often than not, it's about having the right forums, the right meetings, the right committees, the right cadence in these meetings and committees to drive forward the operating model. So how do you go about it? Well, it's about creating this fixed meeting cadence. Who participates? What do they participate with? What do they bring into the meetings, the forums? What do they take out of them? And who participates when? And in order to do that in the right way, we need to have the dedicated pricing responsibilities detailed across the organization. But how does that actually live in practice? Well, if we compare two quite different pricing games, a cost plus pricing game versus a competitive based pricing game, organizing around cost plus pricing, it starts with what are we optimizing for? When a cost plus game, we're trying to drive efficiency gains, we're managing our margins on a product level, which really means that it's finance and operations that are driving the pricing agenda. The pricing team usually sits together with the finance team and sometimes also with the operations team. So finance will have the final say on the margins on a product level, but operations has quite a powerful seat at the table. They make sure that we have consistency in the way that we set our prices, especially in the face of fluctuating input prices. So in this type of pricing game, what's important here is to have a clearly defined accountabilities, roles across the organization, making sure that the analyses that need to be done get done and they also get shared proactively across the organization. Then we have the competitive based game, quite a different setup, quite a different type of pricing that's needed because here we're trying to optimize much more deal specific. There's high degrees of customization, especially in a B2B world where product customer knowledge, deep product and customer knowledge is really key to getting your pricing strategy right on a deal level. That means you have a cross functional team that goes across segments or regions or products, that are led by a pricing lead, led by a pricing lead, often taken from the product team or the commercial team, whoever has the best insight into a particular customer, a particular deal or a competitor in a certain situation. And because there is this high deal complexity, it's this cross functional team that they're leading because you need input from different groups of people across the organization. It's here where the operating model really comes alive and can help to define what are those responsibilities, what is the governance around that, who can make the decision, decisions on certain parts of certain parts of deal pricing and who needs to be involved, who needs to sign off, who needs to provide input and ultimately who is accountable for the pricing that we go with. So two very different ways of organizing around pricing. But underneath that there's of course some processes that really drive the day to day, how we do the pricing and drive the agenda. True. So third dimension here turns the attention to the the way that the jobs are executed. And here we have annual processes, right? That's sort of an overview of who in the organization does what, when, and what are the dependencies. So obviously there's also heaps of other processes running in a big corporation. You have a finance process, that stock and setting process, there's costing processes, there's annual reviews, monthly business reviews, and so forth. And the pricing process plays into these and takes inputs for some of these processes. So you need that overview on an annual basis. Sort of what is required for setting, reviewing, and modifying prices. That is both along, you could say, the sort of the production and sales value chain, but also in the deal specific setups. We of course want a standardization here to deliver consistency, right? So when we have to react to a market, we know how to react to a market. If something goes on, a trigger point out there, a competitor moves in with a super aggressive strategy, we have a process for it. We know what the reaction patterns should be. Either we react or we deliberately don't react. Oftentimes the don't react reaction is better because we don't want to encourage people to do it. So in the what of these processes, of course there's a fair deal of data collection and analysis because we want facts to make decisions on. There's a great deal of not strategic, but more sort of tactical development. All right, this and this is happening out in the market. We're getting these signals. Hey, let's do, you know, hey, let's go in with a promotion. Hey, let's try to do this. Try to sell value more over there. Hey, let's do this or this or this. And then of course a big thing and in the last three years has been a massive topic and has actually moved sort of pricing from quite far down in most organizations, way up into the executive team or even into the boardrooms are these how do we implement price changes. Some companies have implemented 20, 30% price changes in the last three years, right? And some were completely taken by surprise for how difficult it actually is to go out with such a price change in the market. So data collection, tactical development and implementation of these price changes, those are sort of the core activities. And how do we do this? I oftentimes joke that this is the boring part of pricing consultancy at least because it is process mapping. It's about describing the steps, setting them up, and a sequence, understanding dependencies, and a sequence, understanding dependencies. It's about saying, here are the roles. Here's who's responsible, accountable, who's supporting, who's consulted, who needs to be informed, setting up a matrix-like structure in the decision points. And then of course standardizing the methods in a way that they're explained such that when you onboard a new pricing manager, they don't need to learn from whomever did it before. They have a way of working with it. So contrary to what Christian talked about, where the cost game and the competitive game have very different ways of organizing, we actually think sort of on a high level, the annual processes are applied across all the different games. So you need the roles. You need the pricing manager, the head of sales, the sales executive, controlling, global marketing, yada, yada, yada, yada. All of those folks needs to be involved. There are four quarters in a year where certain things need to happen every single year. In Q2, we collect competitive intelligence. We update our costing. We review our pricing maps. We update our list prices end of year so they're ready for 1st of January. All of that, of course, is different, but all of that goes into an annual process that's relevant for all pricing games. And so the nuances are really sort of in the daily jobs to be done that differentiate quite a bit, right? So that could be how do we actually get a price to a new product that we're launching? How do we take care of deal price setting? How do we take care of escalations if certain deals are not meeting the targets that they want to be meeting? How do we do pricing and performance monitoring? All of these specifics. So here we could look at, again, contrasting a value-based pricing game towards a cost-based pricing game. So where the steps are actually the same, right? You've got to understand the customer, the value, the price, the cost, and the product. The sequence in which these are happening are flipped if you run a value-based pricing game relative to a cost-based pricing game. So in the value-based pricing game, you start out with making an increase into your customer needs and pains and truly understanding what is it we're solving for here. And then you go out and figure what's the differential value. If they have a next best competitive alternative and we're doing it better or worse, how do we actually quantify that differential value? Then we can set a price that should reflect the willingness to pay. Now that we know the product and we know the price or we know the value and we know the price, we can then derive a cost structure, go back to our operations team, go back to our design and engineering team and say, hey, here's a price point in the market that we'd like to meet. Please go ahead and design a product that meets that price point. IKEA recently launched a fantastic ad in London that basically showed nothing and a price tag. And it says the most important thing for us is, I don't remember it exactly, is selling to a certain price point, right? Therefore, we start out there and then we design a product that can meet those goals. Super cool, super fun example of really, really cool value-based pricing. On the contrary, cost-based pricing starts with a cool product that has a list of technical features. That runs with a costing, takes whatever it takes to produce this. Then we slap on a margin on top of that costing base that gives us sort of a desired level of profitability. We go out and tell sales, hey, please communicate these features and these benefits when you're trying to sell this product. And then a little bit provocatively, ultimately, we hope that the customers are willing to pay that price that we're asking for that costing from that set of features, right? So fundamentally different ways of pricing a new product. I think the most important part. I think the most important part of pricing is really the people, right? Yeah. And the people will ultimately be the ones that are driving these processes. And if we look at what type of skills do these people need, what is the ideal pricing manager? And that is different for the different pricing games, but there are some things that go across all of them. But starting with the why. It's about attracting, keeping the right people, keeping the right talent, the right skills they have, but also continuing to invest in the right skills, making sure that you continue to develop in certain areas, not overlooking other areas, but really deep diving on where, what parts of the process these people need to drive. So the pricing professional, it's a jack of all trades. It's a multidisciplinary function. They need to be able to understand strategic thinking. They need to be very analytical, have this financial acumen. Pricing does link up directly to our finances, of course. And of course, don't overlook the soft skills, the ability to collaborate, communicate across the organization, bring together different groups of people in these pricing forums, in these meetings, in these processes, creating energy in these processes as well. And how do they actually go about doing that? Or how do we go about doing that? Of course, it starts with recruiting and retaining the right people who are who possess these skills. But it's also about ongoing training. It's about training them to be able to handle the financial analyses that they need to do, be able to understand the operational side of things, and also be able to understand how they can measure and quantify the value that our products are ultimately providing customers. And it's about pricing, you really need to create this clear career path, right? Pricing can often be a silo in a lot of companies, but you need to create this engagement across the organization, make sure that pricing people can come in and take leadership roles down the line. Pricing analysts, pricing managers, ultimately, they have a lot of skills that are quite useful in these leadership roles. They work across the organization, they have networks across the organization, and they have skill sets that go across the organization. And I think, just to add here a question, we recently did a little bit of a back-over-the-envelope analysis, but we were interested in that, I think, just to understand, actually, do we see this career path materialize in Denmark? So we did a big scrape of LinkedIn titles that were pricing, value, revenue, monetization, any sort of acronym surrounding this person could be working with pricing. And we found very few vice president level people that had pricing or monetization in their titles. Pharmaceutical companies have some. Big software companies have some. Because revenue operations are super important there. In manufacturing, I don't think I found one. So perhaps that's just the life cycle we're in with pricing as a professional thing. Maybe we're not there yet that people have grown into these VP titles. Or perhaps it's because companies actually are not good enough at visualizing this career path for the pricing professionals. And maybe these pricing professionals also need to kind of take on the responsibility, take this role, take this title on as well. Make yourself, I mean, we see earlier in the session here, we saw a lot of fourths and fives, people that are driving the pricing agenda. Take on that role. Take on that title. Make sure that you have the authority across the organization to make those decisions. Especially if we think back to the power of pricing, right? You have a VP sales? Yes, for sure. Everyone has VP sales. We're a four-man company. We have a VP sales. Yeah. Do you have a VP of operations and cost hours and production? Yes. Of course, certainly. Right? So those two levers are still not the toughest one or the fastest one to improve your profitability. Why do you not have a VP pricing? It's a really fun question. If anyone has an idea, put it in the chat or shoot me an email if you have an explanation other than the ones that we've thought about here. Quite interesting. Let's say, sorry I interrupted. Let's move on to the difference between... What are the different skills? As we say, it's a jack of all trades. You need to have all these different skills, but some are more important than others in certain roles. You need to invest more in some. What does that look like? If we continue with the juxtaposing the value base versus the cost plus, two of the most common games and two that are quite different in how you approach it, right? The value base, it's about maximizing the price value premium. The perception in the market. It's about strategically differentiating the product so customers can self-select and you can upsell to your customers along their lifetime with you. Juxtapose that with the cost plus where you're driving efficiency, you're managing your margins on a product level. Inherently, these need different skill sets. On the value base, it starts with this customer value insights, the understanding, being able to measure, quantify the value, translating that into and the higher willingness to pay through pricing. That links up to the strategic product differentiation thinking. How do you structure your offering to customers either in a self-selection online world, but also when you go deal by deal, how can you come with multiple offers so a customer has something to pick from? They can understand the difference, different value offerings that you can provide them. And of course, it's the application of behavioral economics and understanding of behavioral economics to an extent that you can use this to drive self-selection, to drive customers towards the products that are most relevant for them. On the cost plus side, it's much more about the analytical financial acumen, being able to do these deep financial analyses, linking that up to the operational efficiency, helping to drive the operational efficiency agenda, but also helping to translate that into pricing levers and pricing decisions. And then it's about the market trend and competitor insights. Here, it's super important because you'll need to be able to react quickly to what your competitors are doing. You'll need to be able to react quickly to what's happening in the market on a product level, on your input prices. But across all pricing games, I would say the most important thing, and don't forget it, it's change management and communication. It's about driving energy behind the pricing agenda. It's about getting people to come together to make these decisions and to have the conversations that ultimately lead to better pricing strategies, lead to better pricing outcomes. Those are the three dimensions of the price operating model we wanted to dive into today. So how do we actually go about deploying this, really getting the accelerated impact from a price operating model? It doesn't live alone. It needs to live with the pricing strategy, with the pricing game that you're playing. And the way that we like to see this is, of course, it's a two-by-two matrix. We are consultants, after all. So really, to get this significant lasting impact for pricing, it's this two-sided street or two-way street. It's about exploring pricing strategies, exploiting your existing pricing strategies in new ways, finding new ways to charge for your products and price your products. New value metrics, new price models, new price structures, especially in an evolving world, this is so important. But it's also about linking that up to the pricing operating model, having a systematic, a meaningful, a purposeful approach to how you work. How you work with pricing internally in the organization. So I think the natural next question is, which comes first? Yeah. And first of all, it's a both-and. Yeah. Right? It always is, right? We can for sure get lasting impact from improving our pricing operating model. Going from a cut towards something that's more systematic within whatever strategy and model we have. You can get impact there. You can also make a big bang transitioning into a new price model, right? Boom. Get it up there. We saw the value. But then ways of working sort of comes back to average, regression to the mean. All of those concepts are true here as well. So they won't last. So truth be told, investments in both directions are important. There is a perspective whether you go from west to east, before you go from south to north, or whether you go south to north, before you go west to east. I, myself included, would want to prioritize exploring new ways of working. Yeah. Right? So the strategic decisions, the price model design, the setting down and figuring out, okay, coolies algorithms can actually price super effectively for me, super exciting, fun work to be doing. But in reality, I think I actually take the long and winding road. So saying it's probably better to start forming a better pricing operating model before you start exploring new ways of pricing, right? Because once you have processes and people and governance model and decision frameworks in place, it's way easier to actually be, not the exploration of the new. That could probably work. That could probably work super unstructured. That could probably work super unstructured in little teams. But the testing and finding out what works of that exploration and making that work at scale. Yeah. If you have your pricing operating model in place, that we believe will get you, you know, both faster and higher up that impact curve. So the long and winding road would be my answer. Still, still there is likely sort of five steps process or ways that you need to go through. And whether that is over a 12 week project trying to define a blueprint for an operating model or whether that's fortunate enough to be consulting an organization for five years running now where we've undeliberately probably got a lot of the time. So, we've got a lot of pricing model, operating model work. So whether it's a short and sweet sprint or a five year transition or transformation, we go through these five steps, right? So of course, it's about change. So therefore, we need to in a step one know what we're changing away from. So there is a diagnostic phase, right? Understand the current strategy, understand the current models, understand, and this can hurt a little bit maybe, understand the competencies that you have. You know, do we actually have the right people with the right set of skills on board? Map out your processes, know your technologies, the possibilities, and the limitations. A lot of companies have bought and pay good money for pricing technology that they're not leveraging at all. We see that a lot. Understand what we have and understand where do we want to go and understand that as is versus to be. I think ultimately it's about an evolution, not a revolution, right? Yeah, yeah. True, true. Step two, page one, I think of the big change management book or really anything on change management says, involve the people that will be affected by the change when you're designing change, right? So if we want to succeed with the transformation, we have to rally around the stakeholders that will be part of leading the transformation, right? So that's, of course, not necessarily involvement from top management, but the sponsorship. They need to sign it off and say, hey, this is going to hurt, but we're going to take us to a better place. We blueprint this, please prioritize it. It's about ensuring a buy-in from all of these parts of the organizations that have very divergent views on pricing, right? So sales has a view, marketing has a view, finance has a view, product has a view, so on and so forth. Getting the buy-in and the common north is a move star in place, so they sort of agree on, all right, okay, we can see why we need to do this. We can see the direction in front of us. And then, of course, commitment from the commercial teams is super, super, super important, right? Ultimately, it is a commercial discipline, primarily pricing. Once you've done that, you know where you are, you know where you want to go, you've got your energy going around the transformation, then we would start with the upper half of the pricing operating model, right? So that's outlining the jobs to be done, the processes, setting that into context. It's defining roles, responsibilities, without defining a 1,200-step ASCII matrix, but still getting into detail slightly, more than just, hey, you have that and you have that. It's about what are the rules for adjustments and approval of different pricing choices. Get that in place because that sets the skeleton somehow of these other three dimensions down the bottom part of it, right? Which is then how do we integrate capabilities, that is both human capabilities and technical capabilities. How do we integrate that into the existing infrastructure? How do we perhaps buy new software? How do we scale it across time but also across use cases? Maybe start smaller and then expanding into more use cases. And then, of course, this ability to all the time have data-driven insights, right? So run your performance analytics, run your data in the right way. And then, of course, it will be a change project. So therefore, the four project management principles that we live and breathe by and implement consulting group is super important here. It's about leadership commitment. It's about focusing on impact. So rather have shorter sprints that deliver impact and not five-year processes that might result in something better. It's about flow. So do you have the cadences of the meetings? Is there room for people to do deep work? And then it's about energizing the teams. If we can do deep work. If we can do deep work. If we can do deep work and have fun at the same time, well, then I want to work in pricing forever, basically. Right? So those are the five steps that we see. They can be short and sweet and fat or they can be a five or six-year transformational process. So we're coming to an end. Yes. Super fast. Hopefully, there was a lot of inspiration here for you. We're going to be a lot of inspiration here. We're going to be a lot of inspiration here. We're going to just say two more things and then we'll open up the, not the mic, because I think that is not technically possible in this broadcasting setup. But we'll open up the chat and there's a few questions in there already and we'll try to put some answers to them. First of all, here's an invitation. If you want a structured view of your company's pricing maturity, reach out to a question or me or anyone with the implement consulting group in their email, really. We do have an online pricing maturity assessment that outlines across the pricing operating model where our weaknesses and where our potentials, both in your price strategy and your price operating model. So that is the first diagnostic phase framework that we use oftentimes when we go into any new project. Right? So we can go from sucking towards not sucking in the future if we look at that little graph there. So there's an invitation there to reach out. And then an invitation to open up your your chat and get your fingers going. Either way, you have to do some emailing in three minutes. So you might as well warm up. Put a question or two in the chat. Let us know your key takeaways from the session. Let us know what will you go back and do differently tomorrow, maybe even today. It's early in the day. There's a full work there ahead of us. Put that in the chat. And while you think, thank you so much. Yeah, thank you for joining us. We have at least one question here from Fleming who says, can you talk a little bit about the perceived price elasticity and actual price elasticity? Do we make pricing pressure ourselves? I think there's a degree of truth to it. I want to say something on price elasticity, but I'm not going to go there because of a very long conversation. Elasticity is a thing, right? Obviously, a too high price you will not sell. A too low price could stimulate excess value or excess volume in the short run. I think there's a truth to perceived price elasticity being higher than actual price elasticity. And the reason is very simple. So it's oftentimes sales that has this perception. And they have this perception because page one of procurement book is take to the vendor, you're too expensive, you're too expensive, you're too expensive, you're too expensive. If that is what you're being hit with every single day, you start believing you're too expensive. So I think there is some truth to it, Fleming. There's quite some funny ways to test this with your sales folks that we could talk more about. But ultimately, time's up. Yeah, time is up. That was it. Thank you for joining us. Thank you. If you have any additional questions, feel free to reach out. Both of us are available. Put them in the chat. We can come back to that and answer them later in an email. Thank you. Go price. Go understand value. Go make an impact. Thank you so much for joining us. Take care.