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Exam Code: MB-330 Practice test 2022 by Killexams.com team
MB-330 Microsoft Dynamics 365 for Finance and Operations, Supply Chain Management

Implement product information management (25-30%)
Create and manage products
• create a product and product variants
• create Bill of materials (BOMs)
• identify the purpose and capabilities of the Product Configuration models
• create and configure category hierarchies
• create product attributes

Configure products for supply chain management
• create and manage inventory dimensions
• create Item groups and Item model groups
• create and print product labels
• create and assign bar codes
• configure Item coverage
• configure product compliance processes

Manage inventory pricing and costing
• configure inventory costing
• configure costing versions
• configure and manage commodity pricing
• create purchase, sales, and trade agreements
• create smart rounding rules

Implement inventory management (20-25%)
Configure inventory management
• identify the purpose of inventory forecasting
• set up inventory and warehouse parameters
• configure and perform Quality control and Quality management processes
• configure inventory valuation reports
• configure ABC classification
• configure inventory closing components
• implement inventory breakdowns

Manage and process inventory activities
• create and process inventory and warehouse journals
• create and process transfer orders
• create and process chain orders
• manage direct delivery orders
• process quarantine orders
• process quality orders
• perform inventory closing and adjustments
• apply inventory blocking

Implement and manage supply chain processes (25-30%)
Implement procurement and sourcing
• create and manage purchase requisitions, requests for quotes (RFQs), and purchase orders (POs)
• create and manage vendor catalogs
• configure Purchase Order change management
• configure and apply vendor rebates
• implement and manage consignment inventory
• configure and test Vendor collaboration portal
• manage over and under deliveries and delivery schedules

Implement common sales and marketing features
• configure quotations, sales orders, and return orders
• configure sales groups and commissions
• configure and manage up-sell, cross-sell, discounts, and price groups
• configure customer and prospect searches
• implement and manage leads and prospects
• configure inter-company Trade relations

Implement advanced sales and marketing features
• configure brokers and royalties
• configure trade allowances and customer rebates
• implement and process foreign trade
• configure and process Vendor 1099

Implement warehouse management and transportation management and perform business processes (25-30%)
Configure warehouse management
• implement components for warehouse management
• implement location directives
• implement Inventory Statuses
• implement Waves
• implement Loads
• implement shipments
• implement Work
• implement mobile devices

Perform warehouse management processes
• identify inventory movement processes
• perform cycle counting
• use mobile devices for inbound and outbound processes
• implement containerization and packaging
• process inbound orders
• process outbound orders
• perform cluster picking
• process shipments
• identify and apply the replenishment process

Implement transportation management and perform business processes
• configure container management
• configure and manage transportation management
• perform planning and executing of loads and shipments
• configure and generate freight bills and invoices
• identify and configure route and rate engines
• configure and use dock appointment scheduling
• perform transportation processes by using the load planning workbench

Microsoft Dynamics 365 for Finance and Operations, Supply Chain Management
Microsoft Operations, plan
Killexams : Microsoft Operations, plan - BingNews https://killexams.com/pass4sure/exam-detail/MB-330 Search results Killexams : Microsoft Operations, plan - BingNews https://killexams.com/pass4sure/exam-detail/MB-330 https://killexams.com/exam_list/Microsoft Killexams : Microsoft encourages 'strong cyber hygiene' in light of increasing Russian cyberattacks null © Microsoft null

Microsoft is gearing up for a slew of Russian cyber attacks this winter, and warns others to stay vigilant. Between missiles, drones, and cyberattacks the onslaught against Ukraine has been a brutal one, and reportedly only set to get worse in the coming months.

"Moscow has intensified its multi-pronged hybrid technology approach to pressure the sources of Kyiv’s military and political support," says Microsoft in a latest blog post (via Bleeping Computer). "Recent attacks in Poland suggest that Russian state-sponsored cyberattacks may increasingly be used outside Ukraine in an effort to undermine foreign-based supply chains."

In late October, Russian forces were pushed from formerly occupied territory, retaliating with missile, drone, and cyber strikes that left much of Kyiv in need of simple running water.

The Russian ATP group known to Microsoft as IRIDIUM (aka Sandworm) is thought to be working with the Russian intelligence service, the GRU, in coordinated efforts to inflict suffering on the people of Ukraine. The group has been at large for almost a decade, as Microsoft notes, "Following Russia’s annexation of Crimea in 2014, IRIDIUM launched a series of wintertime operations against Ukrainian electricity providers, cutting power to hundreds of thousands of citizens in 2015 and 2016."

Winter, of course, provides a powerful supplementary effect to any attacks on infrastructure that cause power outages. No power, for many, will mean no heat. One would imagine that's why attacks are expected to rise over winter, specifically.

The cyber barrage didn't take long to refocus on targets outside of Ukraine as well, with Microsoft reporting that Sandworm soon deployed its Prestige ransomware on both Polish and Ukrainian logistics and transportation. Microsoft explains this was the "first war-related cyberattack against entities outside of Ukraine since the Viasat KA-SAT attack at the start of the invasion."

It's been ramping up since then, but Microsoft is offering a plan to combat the coming cyberattacks. "Throughout the winter and into 2023, we will be working with our customers and in support of democracies to: Detect … Disrupt … Defend … Deter," it says.

The post signs off with a suggestion that, for its customers, it "encourages the use of strong cyber hygiene and the latest detection and response technology to reduce vulnerabilities to and recover from cyberattacks," which can be found in the 2022 Digital Defense report

Wed, 07 Dec 2022 02:01:02 -0600 en-US text/html https://www.msn.com/en-us/news/world/microsoft-encourages-strong-cyber-hygiene-in-light-of-increasing-russian-cyberattacks/ar-AA151pQD
Killexams : How Online Businesses Implement Intelligent Automation To Strengthen Operational Processes

Gilbert is the Chief Marketing Officer at OpenBots, an Entrepreneur, and a member of the Forbes Business Development Council.

If you want your business to be more efficient and free up time to focus on other, more important things, then automating your repetitive and mundane business processes is a great way to achieve those goals. In addition, there are many benefits to automating your business.

This article discusses how companies with an online presence can utilize intelligent automation to connect disparate systems, take on repetitive computer tasks and Strengthen the overall back-office operational process.

What technology are successful entrepreneurs utilizing to keep their customers happy and their revenue in positive numbers? Before covering the emerging technologies that entrepreneurs are using, let's ensure we cover an essential part of any successful business: customer engagement. "Customer engagement is a collaborative effort…" said Nancy Marshall, Forbes Council Member. When a customer engages with your brand, your business must deliver the best customer experience possible. Providing a great customer experience is key to returning customers to your business in a period defined by your product usage or strategy.

We don't have to guess much about the technologies used by successful entrepreneurs and major corporations; simply looking around in regular retail or e-commerce stores will reveal repetitive efforts from companies looking to satisfy customers' demands and reduce complaints about poor customer experience practices.

Companies like Walmart have automated cashiers, Amazon has physical robots as part of their fulfillment process, and intelligent automation is the new kid on the block.

Intelligent automation is the use of automation technologies like artificial intelligence (AI), machine learning (ML), intelligent document processing (IDP) and robotic process automation (RPA) to streamline and scale repetitive computer tasks across organizations (2).

According to Verified Market Research, the intelligent process automation market size was valued at USD 8.52 billion in 2020 and will reach approximately $21.63 billion by 2028.

What about your back-office and operational strategy?

Your operational back-office strategy is one of the areas where you can apply intelligent automation. For example, you may be running NetSuite or another CRM internally, and your fulfillment company or third-party vendors may want you to use their own systems. Apart from this, I've seen other departments that need help accessing accurate data from multiple disparate systems quickly to process orders.

In addition, intelligent automation platforms, like OpenBots and Microsoft, are making this technology mainstream by facilitating frictionless access, which enables teams to learn and implement this technology in a matter of weeks.

How can you identify which business processes you should automate?

Identifying which business operations you can automate could account for approximately 50% of your automation journey. The first step is to know what issue you are trying to solve or what you are trying to improve.

For example, one of the biggest pharmaceutical companies in Europe wanted to Strengthen their company response time. They were losing hundreds of businesses due to the slow reply to online queries. Welcome to the instant gratification era, where customers are not waiting for companies but instead have several other alternatives at the click of a button.

Once you identify what operational process you are trying to improve, you need to create a plan and map out all the steps your employees or colleagues go through. This plan becomes the scope of work (SOW) for future developers or citizen developers.

You and your team can take a business analyst course to help you get started on your journey to identifying different automation opportunities. Then, using the proper discovery application can help you organize those business processes with the best options.

The basics of every discovery process are to take detailed notes of business processes. For instance, an employee can keep track of every step of an order's journey and keep a journal of necessary events during the process.

What standard automation are online companies implementing?

Over 50% of online businesses now use chat on their website. Usually, a chat service like Google Cloud, HubSpot or Messenger will include automated functionality.

Adding an intelligent automation platform to the back end helps ensure that chat services have all the necessary information to provide your clients with the information they requested in seconds, without a human looking into different systems while the customer is on hold.

Usually, an automated chat will send a predetermined set of messages to the end user. Then, using an IA platform like OpenBots or UiPath on the back end, a digital bot can log in to different systems to retrieve private information and bring it to the end user in seconds. This task usually takes a couple of minutes for humans and is time on hold for the end-user.

Another standard automation is invoice processing. Our previous examples highlighted the importance of being responsive to online requests. Invoice processing is part of this process that might start as an online request and then become a final invoice or an online purchase.

One of e-commerce's go-to automation or digital bots is the fulfillment bot. This digital bot is programmed to connect disparate systems from third-party fulfillment companies and internal systems. The fulfillment bot can complete up to 20 computer tasks over the course of an order, saving e-commerce businesses several hours of their ordering process time.

A quick and accurate response is critical for online businesses trying to maintain the best customer experience. When companies don't have to depend only on humans, they can leverage intelligent automation to produce a digital workforce capable of running business processes 24/7.

To put things in perspective, global retailers can produce over 500 digital bots. If a digital bot can perform over 50 tasks, can you imagine having a digital workforce of 100 digital bots performing over 5,000 computer tasks?

Forbes Business Development Council is an invitation-only community for sales and biz dev executives. Do I qualify?

Wed, 07 Dec 2022 21:30:00 -0600 Gilberto Marcano en text/html https://www.forbes.com/sites/forbesbusinessdevelopmentcouncil/2022/12/08/how-online-businesses-implement-intelligent-automation-to-improve-operational-processes/
Killexams : GitHub introduces Copilot for Business Plan despite ongoing legal issues
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The Enterprise talk Bureau has five well-trained writers and journalists, well versed in B2B enterprise technology industry, and constantly in touch with industry leaders for the latest trends, opinions, and other inputs- to bring you the best and latest in the domain.

Thu, 08 Dec 2022 22:21:00 -0600 en-US text/html https://enterprisetalk.com/quick-bytes/github-introduces-copilot-for-business-plan-despite-ongoing-legal-issues/
Killexams : Ransomware attacks: Microsoft reveals 3 biggest security mistakes

Ransomware attacks are increasing year by year! Every other day, there is some piece of news warning the public about the threat to their personal data which often leads to financial loss. However, several cyber security firms and researchers are coming up with security protocols to Strengthen cyber defence. However, the threat of ransomware and extortion is becoming more audacious with attacks targeting governments, businesses, and critical infrastructure too. Ransomware is basically a type of malware that locks the user out of their files or their device and the hackers demand payment to restore access to information.

Microsoft conducted an investigation during ransomware recovery engagements which revealed that 93 percent of those who have been attacked have insufficient privilege access and lateral movement controls. The cyber criminals take advantage of these security weaknesses and share common attack patterns and techniques. Hence, to combat and prevent attacks of these ransomware techniques, Microsoft Security has identified three main problems that led to ransomware attacks.

Weak identity controls

Human-operated ransomware continues to evolve and employ credential theft and lateral movement methods traditionally associated with targeted attacks. In 88 percent of engagements identified by Microsoft, MFA was not implemented for sensitive and highly privileged accounts, leaving a security gap for attackers to compromise credentials and pivot further attacks using legitimate credentials.

Ineffective security operations

Organizations which suffered ransomware attacks have significant gaps in their security operations, tooling, and information technology asset lifecycle management. 68 percent of impacted organizations did not have an effective vulnerability and patch management process, and a high dependence on manual processes versus automated patching led to critical openings.

84 percent of impacted organizations did not enable integration of their multi-cloud environments into their security operations tooling. Lack of an effective response plan was a critical area observed in 76 percent of impacted organizations, preventing proper organizational crisis readiness and negatively impacting time to respond and recover.

Limited data protection

Many compromised organizations lacked proper data protection processes leading to a severe impact on recovery times and the capability to return to business operations. Attackers usually find their way to compromise systems via exploiting vulnerabilities in the organization, exfiltrating critical data for extortion, intellectual property theft, or monetization. 92 percent of impacted organizations did not implement effective data loss prevention controls to mitigate these risks, leading to critical data loss.

Sign on to read the HT ePaper epaper.hindustantimes.com

Thu, 01 Dec 2022 05:56:00 -0600 en-IN text/html https://www.msn.com/en-in/news/world/ransomware-attacks-microsoft-reveals-3-biggest-security-mistakes/ar-AA14LMTB
Killexams : China has a cyberspace campaign plan. Does Washington? "Global connections for social, business, trade & transport, internet.Maps courtesy of" © Provided by Washington Examiner "Global connections for social, business, trade & transport, internet.Maps courtesy of"

Ransomware payments are estimated to have cost U.S. companies more than $1 billion in 2021, according to the Treasury Department. But that staggering figure pales in comparison to the hundreds of billions of dollars worth of intellectual property China steals from American businesses each year.

Over the course of 18 months starting in June 2017, one Chinese scientist alone stole proprietary information worth $1 billion from his employer. The scale of China’s global hacking operations makes Beijing a formidable opponent. But it is the tactics that Chinese hackers employ — penetrating supply chains and the ecosystem behind the digital economy — that provide Beijing with exponentially greater opportunities to undermine the U.S. economy and our security.

The U.S.-China Economic and Security Review Commission cautioned in its 2022 annual report that over the past decade, "China has engaged in a massive buildup of its cyber capabilities." China’s cyberoperations are "more stealthy, agile, and dangerous," the report warned, as Beijing has increasingly relied on "third-party compromise to infiltrate victims' networks." Rather than develop dozens of different battle plans to attack individual victims, Chinese hackers compromise one IT service provider and piggyback on that vendor’s access to infect "hundreds of direct and thousands of indirect clients," as Microsoft explained in its 2022 annual Digital Defense report. Beijing penetrates "telecommunications firms, providers of managed services and broadly used software, and other targets potentially rich in follow-on opportunities for intelligence collection, attack, or influence operations," the U.S. intelligence community concluded in April 2021.

This is not a new strategy for Beijing.

During Operation Cloud Hopper, which began in 2014, Chinese hackers compromised managed service providers to penetrate hundreds of companies worldwide, across numerous industries. In 2017, suspected Chinese cyberactors compromised a popular computer program, inserted a backdoor into a software update, and gained access to the more than 2 million machines that downloaded the malicious patch. They then selected 40 affected IT companies, including Samsung, Sony, Intel, and Fujitsu, for follow-on intrusions. In 2021, hackers working for China’s Ministry of State Security exploited vulnerabilities in Microsoft Exchange Server to compromise tens of thousands of individual servers worldwide. The White House called the operation "irresponsible and destabilizing." Beijing likely viewed it as fruitful and rewarding.

In mid-November, security researchers revealed yet another Chinese operation: State-backed hackers attacked a certificate authority — an organization that provides digital verification for websites, services, and applications. Compromising a certificate authority allowed the hackers to more easily impersonate trusted websites, hide malware, and intercept encrypted data. With each of these operations, China revealed its strategy — if only Washington were paying attention.

China prioritizes widespread infiltration through supply chain compromise rather than blunt spear phishing or exploitation of an individual target. Supply chain attacks have exceptional value because they enable persistent access, sustained collection, and tailored operations. They reflect a broader shift from a "target-centric" strategy toward a "capability-centric" strategy, through which Beijing can pursue multiple objectives at once. These include economic espionage, economic coercion, critical-infrastructure disruption, and the accumulation of personally identifiable information.

Collectively, these objectives combine to facilitate China’s cyberenabled economic warfare. It's an approach we detailed in a report earlier this fall on the strategies of America’s cyber adversaries. Beijing is seeking not just to promote its interests but also to diminish the influence of the U.S. and other free-market democracies. Beijing hopes to use this cyberenabled economic warfare to "win without fighting," according to a long-established Chinese strategic doctrine.

To combat China’s efforts to weaken the U.S. economy and security, Washington will need to recognize and fight this challenge. Measures to date have fallen short. Sanctioning individual Chinese hackers has limited effect if those who profit from cyberenabled intellectual property theft are not also punished. Promoting cyber hygiene is laudable but wholly insufficient if the U.S. continues to permit Chinese technology providers to equip U.S. communications infrastructure. America’s export controls may have some effect. Unless Washington can convince its partners to impose similar controls, however, China will circumvent them, coercing and persuading America’s other trading partners to provide access to technology the U.S. seeks to restrict.

The task for the Biden administration and Congress is to develop effective countermeasures to thwart Chinese cyberoperations and undercut Beijing’s investment in strategic technologies. Washington must also relentlessly impose costs on Chinese actors who perpetrate and benefit from this cyberenabled economic warfare.

Since President Barack Obama and Chinese leader Xi Jinping first held a summit on cyberenabled intellectual property theft in 2015, policymakers on both sides of the aisle have come to recognize that Chinese cybercapabilities pose a significant long-term threat to U.S. national security and prosperity. Recognizing the threat is the first step to confronting it, but without an understanding of how the enemy operates and a robust battle plan to win the cyberenabled economic war, Washington won’t.


Rear Adm. (Ret.) Mark Montgomery is the senior director of the Center on Cyber and Technology Innovation at the Foundation for Defense of Democracies. He previously served as the executive director of the congressionally mandated Cyberspace Solarium Commission. Annie Fixler is CCTI’s deputy director. Follow the authors on Twitter @MarkCMontgomery and @AFixler.


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Tags: Opinion, Beltway Confidential, Blog Contributors, Opinion, Confronting China

Original Author: Mark Montgomery, Annie Fixler

Original Location: China has a cyberspace campaign plan. Does Washington?

Sun, 04 Dec 2022 21:01:00 -0600 en-US text/html https://www.msn.com/en-us/news/world/china-has-a-cyberspace-campaign-plan-does-washington/ar-AA14UGqI
Killexams : Building a customer-centric cargo carrier

For Etihad Cargo, 2022 has been a year of remarkable growth despite the challenges of the pandemic and persisting lockdowns in China, a key market for the Abu Dhabi-based carrier. Foresight and agility have made Etihad Cargo perform exceptionally well. In an interview to The STAT Trade Times, Tim Isik, Vice President, Cargo Commercial, Etihad Airways, talks to Reji John, about key highlights of the year and how the cargo carrier is preparing itself for the future.

It's been six months since you took the current role to oversee Etihad Cargo's global commercial operations - how has your experience been so far?
I joined Etihad Cargo at an exciting time, as we are growing and continuing to expand our global operations and network. A real highlight has been the opportunity to meet with many of Etihad Cargo's customers and gain an in-depth understanding of their challenges and requirements. Our vision is to be the easiest airline in the industry to do business with, and open and transparent communication has enabled the team and to work collaboratively with our customers and partners to provide capacity solutions.

We are committed to bringing innovative solutions to the air cargo sector and are continuously exploring initiatives to add capacity while increasing frequencies to key markets. Areas that I am particularly passionate about are digitalisation and sustainability, so I am looking forward to continuing to work closely with our customers and partners to introduce products and features that will benefit them as their air cargo partner of choice, as well as, the air cargo sector as a whole and the environment.

In the first half of 2022 Etihad Cargo carried 295,000 tonnes of freight

What are the key highlights of the last six months?
Strong mid-year results:
We achieved strong results in the first half of 2022, and even with the return of passenger flows, cargo makes up one-third of the group's operating revenue — up from 12-15 per cent pre-Covid. In H1, we delivered a 6 per cent increase in revenue compared to the same period in 2021 — the best mid-year revenue results in Etihad Cargo's history — and carried 295,000 tonnes of freight. We also witnessed growth across several of our premium products, which we have achieved through introducing new features and solutions, enabling Etihad Cargo to provide best-in-class services for safe and efficient cargo transportation. For example, the performance of Etihad Cargo's award-winning, CEIV Pharma-certified, dedicated pharmaceutical shipment solution, PharmaLife, increased by 46 per cent in the first six months of 2022.

Delivering on our promises: During the first half of 2022, we maintained a strong Delivered as Promised rate of 86 per cent and an 83 per cent freighter On Time Performance (OTP) rate despite the challenging handling environment across the network. This means our customers can be confident that we are delivering their cargo on time and in perfect condition, which has strengthened the trust they have in Etihad Cargo and the services we offer.

Upcoming launch of new pharma facility: The upcoming launch of our new cool chain facility primarily supports the growing global demand for both healthcare and life sciences commodities as well as fresh produce. Following the launch of our new cool chain facility, we will have the capability to accommodate an additional 50,000 tonnes of cool chain commodities, including pharmaceuticals and fresh produce, doubling our cool chain storage and handling capacity.

IATA carbon calculator: We have partnered with IATA to trial a cargo-specific CO2 emission calculation tool, which will provide a valuable proof of concept for the cargo component of the IATA CO2 Connect carbon calculator. We will be working with IATA to track the necessary data for cargo shipments during a three-month trial, in which Etihad Cargo will share data from flights and advise on various use cases.

Passive temperature-controlled containers: To enhance the sustainability of Etihad Cargo's operations, we entered into a memorandum of understanding with B Medical Systems to develop and launch the world's first airline-specific passive temperature-controlled solution for the transportation of life-saving drugs, vaccines and high-value pharmaceuticals. As these temperature-controlled container units utilise passive cooling technology, they do not require an external power source. They can retain temperatures from -80 to 25 degrees Celsius for five days while still significantly reducing carbon emissions.

TIACA's BlueSky verification programme: We were the first Middle Eastern carrier to join the sustainability verification programme. The first phase of the programme will allow us to assess our progress against eight critical sustainability criteria via an evidence-based desktop verification process. This will enable us to more effectively measure our sustainability efforts and performance, benefiting Etihad Cargo's customers and the wider air cargo industry.

What are your readings of the air cargo market today? Do you expect the demand to be stable at least for the remaining part of the year?
If we focus on cargo, there has been a softening of demand. According to the latest IATA figures (released on 7 November), global demand fell 10.6 per cent compared to September 2021 (-10.6 per cent also for international operations), but continued to track at near pre-pandemic levels (-3.6 per cent). Capacity was 2.4 per cent above September 2021 (+5.0 per cent for international operations) but still 7.4 per cent below September 2019 levels (-8.1 per cent for international operations).

The market data could be an early sign that volumes and rates are starting to pick up again. This could signal a better-than-expected end to the year for the air cargo market, despite industry expectations that Q4's peak season may remain muted. Etihad Cargo is continuing to review its network and invest in its premium product range and infrastructure to ensure we can meet our customers' demands during times of uncertainty.

Stagnant cargo volumes to and from Europe are impacting performance in the Middle East, but we are still on track to achieve the ambitious targets we set and are confident we can keep up the momentum moving into next year.

The new pharma facility has a capacity to accommodate an additional 50,000 tonnes of cool chain commodities

Are there any specific market regions that you have special focus on as of now?
In terms of market regions, Etihad Cargo has identified Asia as a growth area. China alone contributes over 20 per cent of Etihad Cargo's total operations, and adding 30 tonnes of capacity via direct flights to Guangzhou further demonstrates our commitment to China and the Asian market. With this latest addition to our network, Etihad has become the first international airline to operate long-haul passenger and cargo services to the top three Chinese gateways — Shanghai, Beijing and Guangzhou — since the start of the pandemic.

The relaxation of China's Zero-Covid policy is having a positive impact on cargo demand, and to ensure we are the easiest carrier to do business with and make the customer experience as seamless as possible, we launched a Mandarin version of our enhanced booking portal this year. Since the launch of our new user-friendly platform, we have achieved an increase in usage and adoption. In H1 2022, 99.2 per cent of all China's bookings were made via the online portal, up from 94 per cent at the end of 2021.

We have also expanded our India operations, including adding new destinations and increasing frequencies, to support the region. Etihad Cargo intends to upgrade our current network to double daily frequencies to India to tap into the country's cargo potential and also provide more connectivity for passengers.

A factor impacting this growth is India's status as a healthcare hub, which is driving demand for our IATA CEIV Pharma-certified products. Hyderabad, for example, is a top healthcare and active pharmaceutical ingredients (API) commodity production and distribution area. We estimate that up to 50 per cent of global flows ex-Hyderabad are currently from this segment. Some of the commodities transported out of Hyderabad require a temperature-controlled environment and advanced packaging solutions. Etihad Cargo's PharmaLife product is perfectly positioned to address these needs.

Going forward, and into 2023, what do you think are some of the major headwinds for the air cargo industry in general and Etihad Cargo in particular?
2023 will likely see a reduction in capacity constraints, especially out of the Asia Pacific region. With more belly-hold capacity returning to the market, we can expect to see some softening of global yield levels. However, a full return to pre-pandemic levels will take more time, with a significant imbalance between strong demand and available supply in key cargo origin markets, such as the Asia Pacific region, and a relatively high share of freighter capacity continuing to demand higher yields.

Looking further ahead, the air cargo market is expected to reach close to $100 billion by 2025 at a CAGR of 11 per cent, according to The Business Research Company's Air Cargo Services Global Market Report. This indicates that while the sector faces challenges, demand for air cargo capacity will continue to grow as traders utilise air freight solutions to avoid supply chain disruption and ensure stock and goods are delivered on time.

While challenges such as high fuel prices, geopolitical tensions and supply chain disruptions remain, there are also opportunities. We have maintained very close relationships with our customers to ensure we can provide innovative solutions to their capacity challenges. Digitalisation and sustainability are two areas that present tremendous opportunities to carriers who are agile, work collaboratively with stakeholders across the sector, and can adapt to evolving market conditions.

I have already mentioned some of our sustainability programmes and initiatives, but in terms of digitalisation and harnessing the power of technology, we have some exciting developments in the pipeline. In 2022, we have been working on a proof-of-concept utilising computer vision and artificial technology (AI) to help ground handlers calculate cargo dimensions. Back in 2021, we signed a Proof of Concept (POC) agreement with SPEEDCARGO for automated dimension and volume scanning. Upon successful completion of the POC and trials, these digital solutions will become practical tools for minimising leaking and optimising offload recovery.

Traditionally, cargo dimensions are measured manually, following a set of universal guidelines. Etihad Cargo will replace this manual method with AI technology to build fully automated 3D load plans and ensure consistent and accurate values are utilised during loading and offloading. Additionally, replacing the manual process of preparing load plans with an automated AI-driven process will enable us to make maximum use of available cargo capacity. While each load plan takes approximately 30 minutes to prepare manually, we will reduce this to one minute through automation, making the entire process more efficient in terms of capacity and time spent.

Etihad Cargo is also exploring the utilisation of drones in collaboration with DRONAMICS, which is developing a long-range, remotely-piloted and fuel-efficient cargo aircraft capable of transporting 350 kilogrammes over 2,500 kilometres. The transportation costs will be 50 per cent lower than traditional aircraft. The airplane will fly autonomously and can be monitored and managed remotely via satellite.

In 2022 PharmaLife volume increased by 46 per cent

Etihad has been making significant investment into infrastructure that will support some of your key products like pharma? What are your priorities in terms of your product portfolio?
Etihad Cargo continuously reviews its product offering with a view to enhancing capabilities through the introduction of new features. In 2022, we have continued to expand our pharmaceutical capabilities and increased PharmaLife volume by 46 per cent, and we have tripled PharmaLife volumes in less than two years. We are prioritising enhancing our product offering to ensure we stay ahead of the curve and are offering solutions to the challenges of today and tomorrow.

To meet the requirements for transporting dangerous goods in frozen and deep-frozen conditions, PharmaLife provides premium tailored solutions to handle temperature-controlled conditions from -80 to 25 degrees Celsius via our portfolio of leased active and hybrid containers. We also increased our dry ice capabilities, with our full freighters carrying up to 13 tonnes of dry ice, five times more than previously and one of the largest amounts of dry ice that airlines are permitted to carry. Etihad Cargo is also utilising improved thermal covers that dramatically increase the protection of pharmaceutical cargo during aircraft loading and offloading.

The foreseeable future of the pharmaceutical sector will increasingly feature more personalised medication and treatment, including cell and gene therapy. With new treatments will come specific packaging and transportation conditions, so the entire supply chain will need to be adaptable and proactive in bringing new solutions to the market. In addition to requiring new packaging, these treatments will bring new urgency and unpredictability, so carriers will need to adapt to seamlessly combine traditional pharma shipping with express shipping. Etihad Cargo is well positioned to meet the needs of these new types of therapies and is exploring the utilisation of artificial intelligence to Strengthen forecasting and automation to enhance our current capacity and capabilities to support the sector's growth. We are investing in our CEIV Pharma-certified PharmaLife product, introducing enhanced features and solutions to ensure we can anticipate and adapt to future trends and requirements.

Beyond pharmaceuticals, we will continue to invest in our eight strong product range, launching new features and enhancing our offering to ensure we are well-positioned to meet evolving market demands.

As part of enhancing your customer service you recently launched Microsoft Dynamics 365-driven Pulse CRM to optimise response times and make it easier for customers to communicate and provide feedback. What has been the feedback since its deployment in August?
The feedback has been great, and I am very pleased that the launch of our new CRM system is meeting our expectations and has enabled us to enhance our customer service capabilities.

Etihad Cargo's customer contact centre handles over 13,000 transactions per month, including customer enquiries and feedback, bookings and information requests. Transitioning to the Microsoft Dynamics 365-driven Pulse CRM system has empowered customer service agents with more customer-focused data. This has enabled them to communicate with customers more efficiently. The new system has also provided Etihad Cargo's customer service team with improved tools, including an updated case management system, and customer information, such as the customer's history, purchase records, sales interactions and a 360-degree view of customer queries.

These tools are helping us achieve our vision of being the easiest carrier to do business with, and the feedback has been that communications and requests are being handled quickly and efficiently and are enabling us to deliver customer satisfaction across every step of the customer experience.

To further optimise the quality of our customer service offering, Etihad Cargo is exploring additional enhancements, including the integration of Microsoft Power BI, which will facilitate additional efficiencies through reporting and dashboards that will enable customer service agents to measure, monitor and optimise the customer experience. We are also planning to incorporate conversation intelligence and the automation of routine transactions, which will further reduce the time between first contact and the completion of transactions.

As cargo commercial head, how are you planning and preparing your team to deal with the increasingly unpredictable nature of global trade and commerce which directly impacts air cargo business?
Proactivity and adaptability are going to be paramount for our success, given the increasingly unpredictable nature of global trade and commerce. While there are uncertainty and challenges, including on-going geopolitical issues, supply shortages and high fuel prices, Etihad Cargo is taking a customer-centric approach, monitoring market conditions continuously and managing the challenges dynamically and with agility. While we continue to address these challenges, we remain focused on delivering on our service promises and investing in our world-class infrastructure and premium product range to ensure our customers continue to trust us as their air cargo partner of choice.

Our strategic plans include expanding our current fleet, enhancing our processes and procedures, investing in our infrastructure and delivering on our commitment to the group's sustainability vision.

We continuously review Etihad Cargo's network, adding frequencies and routes to adapt our customers' requirements and seasonal flows. Responding to evolving customer needs with agility and proactively has been a key enabler of our continued success and growth. We will soon be announcing more exciting projects and partnerships that will further cement Etihad Cargo's position as the air cargo partner of choice.

Wed, 07 Dec 2022 22:00:00 -0600 en text/html https://www.stattimes.com/air-cargo/building-a-customer-centric-cargo-carrier-1347218
Killexams : Domo (DOMO) Q3 2023 Earnings Call Transcript


Q3 2023 Earnings Call

Dec 08, 2022, 5:00 p.m. ET


  • Prepared Remarks
  • Questions and Answers
  • Call Participants

Prepared Remarks:


Hello, everyone, and welcome to the Domo Q3 fiscal year 2023 earnings call. Today's call is being recorded. All lines have been placed on mute to prevent any background noise. And after the speakers' remarks, there will be a question-and-answer session.

[Operator instructions] And I would now like to turn the conference over to Peter Lowry. Please go ahead.

Peter Lowry -- Vice President, Investor Relations

Good afternoon, and welcome. On the call today, we have John Mellor, our CEO; Bruce Felt, our CFO; and Julie Kehoe, our chief communications officer. Julie will lead off their safe harbor statement and then on to the call. Julie?


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Julie Kehoe -- Chief Communications Officer

Our press release was issued after the market close and is posted on the Investor Relations section of our website, where this call is also being webcast. Statements made on this call include forward-looking statements related to our business under federal securities laws, including statements about financial projections, the plans, and expectations for our go-to-market strategy, our expectations for our sales and new business initiatives, the impact of the macroeconomic and other conditions on our business and our financial condition. These statements are subject to a variety of risks, uncertainties, and assumptions. For a discussion of these risks and uncertainties, please refer to the documents we file with the SEC, in particular, today's press release, our most recently filed annual report on Form 10-K and our most recently filed quarterly report on Form 10-Q.

These documents contain and identify important risk factors and other information that may cause our real results to differ materially from those contained in our forward-looking statements. In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful as supplemental measures of Domo's performance. Other than revenue, unless otherwise stated, we will be discussing our results of operations on a non-GAAP basis. These non-GAAP measures should be considered in addition to and not as a substitute for or in isolation from GAAP results.

Please refer to the tables in our earnings press release for a reconciliation of our non-GAAP financial measures to their most directly comparable GAAP measures. With that, I'll turn it over to John.

John Mellor -- Chief Strategy Officer

Thank you very much, Julie, and thanks to everyone for joining us on today's call. Before I discuss our third quarter performance, I want to recognize Bruce and discuss the CFO transition we announced today. After eight years at Domo, The Bruce will be transitioning out as Domo's CFO. Bruce and I have discussed his next chapter for some time now, and we're grateful that he'll continue in his role until a successor is named.

Bruce is an active part of the search team to find a replacement and is committed to a seamless transition once a successor is identified. Everyone on this call is familiar with Bruce and his many successes, both before and at Domo, and I want to know what a strong partner he has been to me, our board, and our leadership team and the important role he has played in our success. In addition to helping advance our strategy, Bruce has elevated the entire finance function at Domo and helped us successfully navigate through the pandemic. I know I speak on behalf of everyone here in saying that we're grateful for his leadership and dedication, and I'm personally appreciative of his support during my first year as CEO.

Along with the CFO succession planning, I'm working closely with our executive team during our fiscal year '24 planning cycle to determine ways to optimize our business and leadership so that we can better serve our customers and operate more efficiently. It's important that we run lean and stay agile. And I look forward to sharing more details as planning evolves over the coming months, and we assess our needs and plans for fiscal year '24. With that, let's dive into our third-quarter results.

In Q3, our total revenue growth was 21%. Our subscription revenue growth was 22%, and our billings growth was 5%, and I'm particularly pleased that for the first time in the company's history, we achieved a positive non-GAAP operating margin. This underscores our ongoing commitment to operate efficiently and prudently as a business. I'm also pleased with the progress we have made in the sales organization.

Sales rep attrition has slowed. We have brought renewed consistency and rigor to pipeline management and both the size and quality of the pipeline have improved. Based on the changes we announced last quarter, we've seen good production from our corporate sales team where we are putting incremental focus. Additionally, we're seeing progress from our enterprise team in new logo and upsell opportunities and continue to provide transformational experiences for some of the largest companies in the world.

I also want to recognize the tremendous work from our customer success organization, who help customers realize value from their investment in Domo in ways that truly transform how their businesses run. In Q3, our customer success team achieved a gross retention rate of over 90%, which is a strong testament to our team's commitment to customer success and the power of the Domo product. In terms of the macro environment, we're seeing deals more scrutinized and slowed, resulting in our seeing some early signs of pipeline aging with accounts of all sizes. We aren't yet clear on how long this trend will continue, but we're keeping a close eye on it.

Regardless, we don't see this as a reflection of Domo's value proposition as our win rates remain consistently strong, and we continue to see strong top-of-funnel demand. With today's market conditions, whether it be the macroeconomy, supply chain issues, or shifting business priorities, companies are faced with how to optimize their existing processes and how to do more with less, particularly with how they drive action with real-time data in their organizations. Companies are looking for technology solutions that provide a compelling business impact and do so in record time. We integrate, manage, and make data actionable by putting it in the hands of an organization's employees, customers and partners through self-serve analytics and apps that optimize business process workflows so everyone in the organization can drive better outcomes in the time and place where work gets done.

Domo delivers this rapid time to value for companies in all stages of maturity. For companies earlier in these stages, instead of separately sourcing, managing, and integrating multiple point solutions for data connection, storage, integration, and delivery, Domo provides a pre-integrated end-to-end cloud-native platform to rapidly address business problems without the need to stitch together multiple solutions. And for companies further along in their maturity that have existing infrastructure investments, Domo can be plugged in to rapidly fill the gaps they have and leverage their existing systems without having to rip and replace existing technology. Today's organizations are looking to do more with less, faster, which is right in Domo's sweet spot.

Now, let me talk about some customer success stories and Q3 customer highlights. In September, I was able to attend Domopalooza Japan, and it was so exciting to hear the customer success stories coming from that market. For example, we heard from Rakuten, Japan's largest e-commerce retailer and our first customer in Japan, which was also recently named by LinkedIn as the No. 1 place to work in that country.

Rakuten is committed to a data-driven culture. In fact, LinkedIn highlighted the three top skills that Rakuten employees must know as English, Kubernetes, and Domo. When we spoke to Rakuten at Domopalooza, we talked a lot about their data democratization journey, and how it's designed to help them better serve their 1.6 billion customers all over the world and to better run the business. Stories like this validate the value we deliver to some of the largest companies in the world.

As far as Q3 highlights, one significant win in the quarter was a seven-figure ELA upsell with a Fortune 50 healthcare company to provide improved data access across the organization. This company's contract value is now 12 times the size of our initial contract from 2015, showing the power of Domo as it spreads across an organization to literally tens of thousands of people who are touched by Domo via apps. Another significant win was with a large bank in our APAC region, this was a POC, including services contract over $500,000 to support their development of an app that would allow its marketing team to optimize billions of dollars of marketing spend through a multichannel attribution solution using Domo and our data science offering. And a significant new logo win was with a North American construction management software company.

This company had been using one of our primary legacy competitors' solutions to provide analytics for several dozen of its customers but could not scale or even support these customers due to product limitations and wanted to provide analytics to its tens of thousands of additional customers. The company chose Domo and our Domo Everywhere solution to monetize and provide better, more scalable self-service and customizable analytics for their customers. Domo Everywhere, which allows our customers to share data with their customers and partners, continues to be a highly differentiated offering that allows customers to securely extend the full power of Domo to external parties, expanding adoption beyond just their internal use cases. Before I hand this over to Bruce, I have a few more business highlights I want to touch on.

We continue to receive validation from industry analysts of the strength of our technology and our ability to deliver speed to value for our customers. In Q3, Domo was named Customers' Choice in Gartner's Peer Insights Voice of the Customer report for analytics and business intelligence. Domo was also ranked a technology and credibility leader in Dresner Advisory Services 2022 small and mid-sized enterprise business intelligence market study. This marks the sixth time Domo has received this distinction.

In Q3, we, along with our customer, Walker Edison, received a Nucleus Research Award for achieving a total ROI of 1,670%, with a payback period of less than a month through Walker Edison's adoption of Domo's low-code data app platform. Walker Edison, a global furniture company runs its entire business on Domo and gives everyone across its organization access to the insights they need to help the business move more quickly and compete against larger players. Third, culture is critically important to us as we look to build a workplace where the best talent thrives. I am pleased that during the quarter, Monica Pool Knox joined us as Chief People Officer.

Monica has provided strategic HR leadership for companies such as Microsoft, PepsiCo, Sony, and the Walt Disney Company, bringing a depth of experience to help build our organization for long-term sustained growth. In closing, I'm pleased with the progress we have made in the sales organization in Q3. We continue to drive tremendous business value for our customers, large and small, and we plan to continue to do so in any economic environment. Now, I'll hand it over to Bruce.

Bruce Felt -- Chief Financial Officer

Thanks, John, for the kind words earlier. It's been a privilege to work alongside John, our executive leadership team, and all the incredible people at Domo. I'm very proud of our finance organization and the best-in-class practices that we've put in place. We've accomplished a lot in the last eight years.

And the timing is right for me personally. As John mentioned, I've committed to facilitating a smooth transition once my successor is named, and I look forward to maintaining our momentum through that process. Now, let's turn to our results. I think it is appropriate to lead with the milestone of Domo reaching non-GAAP operating margin positive status in Q3.

The combination of our top-line performance and expense management allowed us to sequentially increase our net -- our non-GAAP operating margin by almost 800 basis points. We have been disciplined in our expense management as evidenced by our cost reduction efforts last quarter and have been careful with any new spending initiatives and net new headcount. We have also begun to hire directly in low-cost geographies as a new method to continue to staff strategic initiatives but do so in a much more cost-effective manner. We are in a good position to generate positive operating margin in Q4 and for the full-year fiscal '24.

In Q3, we posted 5% billings growth and 22% subscription revenue growth. The results in the quarter were driven primarily by sales to our corporate customers, which experienced 31% revenue growth, consistent with Q2. Revenue from our enterprise customers experienced 13% growth, up from 10% in Q2. Fluctuations in FX had a 2% negative impact on our billings growth and about a 2.5% negative impact on our revenue growth, primarily due to the strengthening of the U.S.

dollar against the Japanese yen. We delivered Q3 billings of $74 million, a year-over-year increase of 5%. I am pleased that our gross retention rate was above 90%, and up from Q2 as this represents durability and stickiness within our customer base, which should be a protector of growth should we enter into a recession. Net retention on a contracted ARR basis was above 105%, down slightly from Q2.

Our current RPO of $230.3 million grew 21% year over year, while our total RPO grew 19% to $354.3 million. On a dollar-weighted measure, we now have 65% of our customers under multiyear contracts at the end of Q3, up from 61% a year ago. Q3 total revenue was $79 million, a year-over-year increase of 21%. Subscription revenue grew 22% year over year, representing 87% of total revenue and was slightly down from 23% growth in Q2.

International revenue in the quarter represented 22% of total revenue, consistent with Q2. Services and other revenue was up 18% year over year in Q3, driven by increased billable hours and the delivery of more custom data apps. Our subscription gross margin was 84.5%, up 1.7 percentage points from Q3 of last year and down 0.7 percentage points from Q2. In Q3, our operating costs were down from Q2 as a result of our latest cost reductions.

Our non-GAAP operating margin was up 11.4 percentage points from a year ago. Our net loss was $4.5 million, down from $10.3 million a year ago, and our net loss per share was $0.13. This is based on 34.4 million weighted average shares outstanding, basic and diluted. In Q3, cash used in operations was $6.5 million, in part from the cash payments resulting from our Q3 cost reductions and also slower cash collections from our customers that we attribute to the macro.

Our cash balance declined $8.8 million from last quarter to approximately $71 million. We expect Q4 cash flow from operations to be negative but an improvement from Q3 and we expect Q1 fiscal year '24 cash flow from operations to be positive. Given our focus on costs and managing the positive operating income, we believe we have enough cash on the balance sheet to allow us to meet our long-term financial objectives. For Q4, we're guiding to billings of about $107 million.

As we mentioned on our last call, our near-term billings growth is being impacted by temporarily reduced quota capacity that we're in the process of increasing. We're being cautious in our billings outlook as we increase our capacity and at the same time are aware of potential macro headwinds. We have specifically reduced the number and amount of large deals in this Q4 outlook compared to the same quarter last year. During the last two months, we have seen a significant improvement in sales rep turnover.

So, we're on the right path. Our guidance implies full-year billings growth of about 10% year over year, down from our previous guidance of about 13%. Now, the guidance for our GAAP metrics. For the fourth quarter of fiscal year '23, we expect GAAP revenue to be in the range of $77 million to $78 million, we expect non-GAAP net loss per share, basic and diluted, of $0.07 to $0.11.

This assumes 34.7 million weighted average shares outstanding, basic and diluted. For the full year of fiscal '23, we expect GAAP revenue to be in the range of $306 million to $307 million, representing year-over-year growth of 19%. We expect non-GAAP net loss per share, basic and diluted of $0.68 to $0.72. This assumes 34.1 million weighted average shares outstanding, basic and diluted.

Looking ahead to fiscal 2024, although we're early in the planning process, we are very focused on managing profitability with reasonable growth. Our outlook assumes we will see some macroeconomic headwinds next year. And therefore, we're being cautious with our spending plans and will meter our investments based on our near-term outlook. We still plan to increase sales capacity, but with a greater emphasis on ramping reps we have recently hired rather than aggressive new hiring.

And so, rep additions will be -- likely be below historical levels next year. Based on our caution around an economic slowdown and a lower-than-previously planned sales capacity, we're providing a preliminary revenue growth outlook for fiscal year 2024 of about 10%. For fiscal year 2024, we're also planning for positive non-GAAP operating margin for the year. In closing, we're pleased that we were able to achieve a positive non-GAAP operating margin in Q3 and believe we're well-positioned to manage our near-term growth in a manner that allows us to meet our profitability targets.

With that, we'll open the call for questions. Operator?

Questions & Answers:


Thank you. [Operator instructions] Our first question will come from Sanjit Singh with Morgan Stanley. Please go ahead.

Theo Thun -- Morgan Stanley -- Analyst

Hi there. Thank you so much. This is Theo on for Sanjit. Just to start off with the billings number maybe.

Any detail on how much lower was billings growth this quarter due to the sales capacity versus the macro having an impact? And then I have a follow-on.

Bruce Felt -- Chief Financial Officer

I would say the major driver for the numbers this year has been sales capacity. It is down from our targets. And the quota assignment that's out is lower than we had originally planned by a significant amount, actually. So, that's the big driver.

The macro is more of an overlay that we are observing certain behaviors from some of our customers, particularly, the large customers that just seem to be much more reluctant to step into larger deals. We're seeing on the edge a little bit slower collections, not necessarily bad debt is another one. But the smaller customers seem to be buying a reasonably good velocity at this point. So, I'd say, yes, there's macro.

There's definitely a macro overlay to everything we're seeing. But it's -- for this year, really, the impact has been based on sales capacity.

Theo Thun -- Morgan Stanley -- Analyst

OK. Great. That makes sense. Thank you.

And then on the collections point, maybe just sort of thinking through fiscal year '21, and thanks for providing the guidance there. How do you sort of think about collections into next year? And I'm specifically asking to get a sense for free cash flow next year now that you guided to operating margins positive.

Bruce Felt -- Chief Financial Officer

Yeah. We're set up, actually, pretty well, could be cash flow positive next year. I mean, the cost cuts we did last quarter definitely benefited this quarter, will benefit Q4. And we're taking a much more cautious posture on spending, not so much that we still aren't building sales capacity, but kind of spending in other areas.

And that really leads to having a nice Q4 in billings. That's just a seasonally high number against modest increases in spending, in some cases, decreases. That really sets up Q1 to be a pretty good cash flow quarter. And then I think the whole year is set up pretty well as well.

Theo Thun -- Morgan Stanley -- Analyst

Thank you so much.


Our next question will come from Derrick Wood with Cowen. Please go ahead.

Derrick Wood -- Cowen and Company -- Analyst

Thanks. Well, Bruce, you did it again on the profitability side, congrats. It's been a long haul on that, and you'll be missed. It's been a fun ride, good luck in your next venture.

Back on the sales side, it sounds like you've been a little bit under-planned. Where do we stand today in kind of turnover trends? And can you just supply us a sense of kind of what the level of productive sales capacity growth is today or what you're expecting exiting Q4?

John Mellor -- Chief Strategy Officer

Hey, Derrick, this is John. Thanks for the question. I'll supply a little bit of color and then hand it over to Bruce. I think the sales organization -- and Ian has done a great job of managing the attrition there.

I think we've seen that stabilize and get much more positive in the last couple of months. So, that team is building. And just the rigor around pipeline management, hygiene of prospecting activities, things like sales blitzes. It's just a -- it's a muscle that we're digesting first half and really getting the rigor muscle back in place.

And on the demand side, we continue to see strong demand. The top of funnel is working. Pipeline is healthy. It's as strong as it's ever been, frankly.

So, we feel like the demand environment is strong and the sales execution is really getting to where we want it. I'll let Bruce comment on the rep numbers.

Bruce Felt -- Chief Financial Officer

We're actually still building sales capacity on the one hand with the metric that we call ramped sales heads. One of the challenges we have on the numbers is, however, we kind of had a mix change in the business in favor of the corporate sales reps, and they just generally have lower quotas. So, from a headcount view, we're doing fine, we just have to work that through the system and rebalance in a way where we have the kind of the quoted capacity at the street to be commensurate with the headcount. And we do have plans to get that rebalance kind of as we go into next year.

And while I'm at it, we think we're in a good position to really get the enterprise being a much bigger contributor to us next year. We have great reps that are here. They know their accounts well, extremely engaged. The value proposition seems to be showing even better in this economy, even though we have to deal with the budget challenges of our customers on the one hand.

But we have the right kind of architecture and approach and the modern BI that's just going to play well. And we think the large enterprises can actually be a tailwind to us next year. So, yes, we look forward to getting into next year.

Derrick Wood -- Cowen and Company -- Analyst

Wow. I was going to ask a question about the enterprise. I didn't expect that answer. That's good to hear.

But I imagine that -- when I'm looking at your Q4 guidance, I mean, you have revenue down sequentially. Maybe there's some professional services volatility in there. But is it fair to say -- I mean, how come we're not seeing more seasonal strength in revenue in Q4? Is it just because you don't have the level of enterprise business, which is typically a big Q4 seasonality as you did a year ago, and so that's a tougher comp, but once we get through that, we should start to see it better in second half? Maybe you can walk through the puts and takes on the Q4 guide for revenue.

Bruce Felt -- Chief Financial Officer

Two main items to me. One, we're being very cautious in the new business and the contribution of new business and the revenue contribution. Well, I'll even add to that, even being cautious in the renewal rates and the revenue we get out of that. We think this is just that prudent.

It's prudent to do so given these numbers are quite large going into Q4. And then we don't have factored in the same number of like service delivery hours and app delivery. It's possible if it is commensurate with what we've seen just recently, there's some upside there, but it's not baked into the number as we sit here right now. So, that's why it's really services-driven, I would say, in terms of like what's really causing that.

Derrick Wood -- Cowen and Company -- Analyst

Got it. OK. Thank you for that.

John Mellor -- Chief Strategy Officer

Typically, a big deal quarter, and we're just -- we're being conservative when we look at these deals.

Bruce Felt -- Chief Financial Officer


Derrick Wood -- Cowen and Company -- Analyst

Thank you.


And our next question will come from Pat Walravens with JMP Securities. Please go ahead.

Pat Walravens -- JMP Securities -- Analyst

Great. Thank you. Bruce, sorry to see you leave. When did you decide that it was time to leave?

Bruce Felt -- Chief Financial Officer

That has developed over time as I just assessed where I want to be, where Domo needs me to be, what I've accomplished. How much time I've been here, if you've counted it, eight years, that's a long time. But I'll also add, I mean, I just entered an agreement that goes on until about March 26. So, you can kind of argue I might actually be overdoing it by staying here.

But yes, it's been kind of a collaborative discussion I've been having with John and the team about, like, what's needed, what's the state of the business. And one of the things that we spent a lot of time was just the strength and the talent and the finance organization. And frankly, I kind of put myself out of the job, they're so good, so. But I'll be around for a while.

I mean, I'm fully engaged here, and I have a vested interest in making sure the stock is, when I sell it, it's much higher than where it is here. And to be engaged gives me a better shot at influencing that than if I wasn't.

Pat Walravens -- JMP Securities -- Analyst

All right. Great. Thank you. And then, John, this is a tricky one, but we might as well address it.

So, Domo's agreement with Josh James expires on March 1, 2023. What should people expect and what key points would you make to investors?

John Mellor -- Chief Strategy Officer

Yeah. I would say that the team that's here is really, really solid and focused on operating the business in a prudent way. I think this is a fantastic business. If you just look at the top lines of $300 million in recurring revenue, 90% retention, 80% gross margins, operating margin positive, that was a big, big milestone.

So, we're focused on running the business. We're not really trying to answer those questions right now with the team.

Pat Walravens -- JMP Securities -- Analyst

OK. Thank you.


And our next question will come from Eric Martinuzzi with Lake Street Capital Markets. Please go ahead.

Eric Martinuzzi -- Lake Street Capital Markets -- Analyst

I know it's still early days here. You talked about the 2024 planning process. But just curious to know if the -- if we're drafting a change in the sales compensation architecture, either kind of payouts for corporate or skewing that toward the front half of the year versus back half of the year. Any early thoughts on sales comp?

John Mellor -- Chief Strategy Officer

We're right in the middle, I'd say at the planning process for next year, which is it's kind of exciting to be able to plan for next year and look at the progress we've made this year. And we want to be conservative. We want to be prudent for where we are in the macro environment, but also, we're pretty bullish on the value proposition that Domo brings to customers. I mean, we see it every single day with these customers, who are actually transforming how they do business with the Domo product, and we think that is a real significant positive in this environment.

Bruce Felt -- Chief Financial Officer

Yeah. And I'll add. The big mistake this year was in the sales reorg, so to speak, quotas were too high. The ability to get the business just wasn't where it needed to be for a set of reps to make their number, and that really has contributed to sales turnover.

We know that. We're planning next year. One of the principles is the sales guys have to make money or sales, men and women, have to make money. So, that's a given.

And we're going to make sure that we have plans that do that. And by the way, sales reps that are listening to this, ignore this comment. This is for investors only. I'm only kidding.

John Mellor -- Chief Strategy Officer

We love our sales reps.

Bruce Felt -- Chief Financial Officer

But we do need to make sure there's a structure where they get paid. I'm fully supportive of that, and I'm working with Ian and his sales reps team on making sure that's set up. And we're doing it early this year, too. So, we hope to get off to next year with a bang.

Eric Martinuzzi -- Lake Street Capital Markets -- Analyst

OK. And then I want to make sure I understand expectations for the operating expenses for Q4. And then, I guess, might as well address at least early on for Q1. Am I to understand that there's not an expectation that opex would rise with the potential incremental investment in sales force, or is it the variable part? We'd hope that would rise, what's the expectation for opex in Q4 and Q1?

Bruce Felt -- Chief Financial Officer

Yeah. We're focusing on non-GAAP operating margin. And expenses or revenue could flex a little bit, but the commitment we have is to make sure we hit our target and definitely be positive in Q4. And all our planning models are targeting positive in fiscal year '24.

Eric Martinuzzi -- Lake Street Capital Markets -- Analyst

On a full-year basis but not necessarily on a quarter-by-quarter?

Bruce Felt -- Chief Financial Officer

Well, we'll say full year for now. And when we get to like formal guidance at the end of Q4, we may provide some more color about how that could be divided among the quarters, between the quarters.

Eric Martinuzzi -- Lake Street Capital Markets -- Analyst

OK. Thanks for taking my questions.


And with no further questions, that will conclude today's conference. [Operator signoff]

Duration: 0 minutes

Call participants:

Peter Lowry -- Vice President, Investor Relations

Julie Kehoe -- Chief Communications Officer

John Mellor -- Chief Strategy Officer

Bruce Felt -- Chief Financial Officer

Theo Thun -- Morgan Stanley -- Analyst

Derrick Wood -- Cowen and Company -- Analyst

Pat Walravens -- JMP Securities -- Analyst

Eric Martinuzzi -- Lake Street Capital Markets -- Analyst

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Killexams : A Structured Plan is a Framework for Growth

Everything in the universe has a structure. Nothing grows without it. Bodies have bones. Plants have roots, stems and leaves. Buildings have frames. Towns have municipal systems that codify street and utility plans. Structure is a framework for growth.

Marketing needs a planned framework to succeed. Defining the structure – planning – allows a brand or business to grow with a purpose, and to increase sales. Carrying out the marketing plan is executing a series of steps that establish the structure for growth.

While a single overarching plan guides “marketing”, within that main marketing plan there will be a need for specific action plans. Each type of marketing and each marketing project should have its own plan within the larger whole.

An example of a specific plan within a larger marketing plan is a website build: a website could call for layers of plans to create it; a plan for the website’s layout, another for its content. A plan for the search engine optimization (SEO), and one for driving traffic to the website. A plan for maintaining documentation on the website. A plan for regularly checking the website’s functionality.

Preferably, each plan would be documented, and shaped by a schedule and goals. Without the structure provided by goals, plans, and a schedule, growth can become unsustainable quickly and devolve into random acts of reactive marketing that lack the momentum for growth. (Random acts of marketing are exceptional resource-wasters.) Working without a structure also can leave your brand drifting in directions that you don’t want it to go, and correcting the direction can create substantial additional work. It’s simply an ineffective use of resources to operate without a marketing plan.

It can seem overwhelming to start marketing planning. Necessary marketing plans might  include: communication, social media, crisis communications, advertising spend, trade shows, sales collateral, internal communication, employee recruiting, website updates and SEO improvements, etc. Depending on the size of your team and support, tackling everything marketing-related can seem a bit intimidating.

Everything does not need to be accomplished at once. Start with one plan. Focusing on one plan per month – framing them to fit within an overall marketing plan for the company – would allow you to build  a well-rounded set of executable, marketing action plans in less than a year.

Before any individual plan for a marketing activity can launch, it’s good to do a brand evaluation. If you were to think of marketing as a building, evaluation questions would inform the architect of the purpose of the building. There is a huge difference between designing a home and designing a municipal building! Your marketing is the same – there are differences in B2B versus B2C, as well as a high-dollar/infrequent-sales cycle versus low-cost/frequent-sales cycle. Analyzing those differences will influence your marketing plan. 

Start with your company’s market profile. Ask: What do we do well for customers? What do we do better than our competitors? Who do we think our competitors are? Who do customers tell us our competitors are? Why do customers select us instead of competitors? Answering these will require listening to customers and staff that interact with customers.

Move on to questions about your current marketing processes. Consider: What are we doing for marketing now? Which of these activities is going well? (And how are we measuring “well”: Leads? Closed sales?) Can we do more of what is going well? What would be a stretch activity for us? Are we meeting customers in the places they expect to find us? Where can we do a better job of supporting customers? What would shorten our sales cycle?

Use the answers to these questions to frame your overall plan and guide the creation of specific focus areas for your company. Maybe SEO should be your first priority, or perhaps employee recruitment. The more limited your people or financial resources are, the more important it is to focus on what matters most (aka what will create results.) Starting with purpose will help you gain more ground than haphazardly trying to do everything at once.

As you create marketing action plans and build systems to support them, don’t forget to plan how the systems will be maintained – who is responsible for doing what to ensure continued progress? Maintenance-and-upkeep planning is critical to continued progress – especially for anything digital, such as ad campaigns, automated email sequences, or websites. Having a plan now can help limit future problems and keep you from a reactive random act of marketing.

Marketing framework for success in 2023: Create structure by making a plan and executing on that plan. (Try not to be unnecessarily reactive.)  Don’t forget to maintain the system.  Wishing you all the best in 2023!

Alexandria Trusov is the Global Marketing Director at Alpha Resources and a B2B marketing consultant to manufacturers and other B2B companies. Contact her at atrusov@truinsightsconsulting.com  or visit www.truinsightsconsulting.com.

Wed, 30 Nov 2022 23:26:00 -0600 en text/html https://www.americanmachinist.com/shop-operations/article/21255642/a-structured-plan-is-a-framework-for-growth-machine-shop-marketing
Killexams : DocuSign (DOCU) Q3 2023 Earnings Call Transcript


Q3 2023 Earnings Call

Dec 08, 2022, 4:30 p.m. ET


  • Prepared Remarks
  • Questions and Answers
  • Call Participants

Prepared Remarks:


Good afternoon, ladies and gentlemen. Thank you for joining DocuSign's third-quarter fiscal year '23 earnings conference call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session.

As a reminder, this call is being recorded and will be available for replay from the Investor Relations section of the website following the call. [Operator instructions] I will now pass the call over to Heather Harwood, head of investor relations. Please go ahead.

Heather Harwood -- Head of Investor Relations

Thank you, operator. Good afternoon, and welcome to the DocuSign Q3 2023 earnings call. I'm Heather Harwood, DocuSign's head of investor relations. Joining me on the call today are DocuSign's CEO, Allan Thygesen; and our CFO, Cynthia Gaylor.

The press release announcing our third-quarter results was issued earlier today and is posted on our Investor Relations website. Now, let me remind everyone that some of our statements on today's call are forward-looking. We believe our assumptions and expectations related to these forward-looking statements are reasonable, but they are subject to known and unknown risks and uncertainties that may cause our real results or performance to be materially different. In particular, our expectations regarding the pace of digital transformation and factors affecting customer demand are based on our best estimates at this time and are therefore subject to change.


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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and memorizing the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability.

The Motley Fool has positions in and recommends DocuSign. The Motley Fool recommends the following options: long January 2024 $60 calls on DocuSign. The Motley Fool has a disclosure policy.

Please read and consider the risk factors in our filings with the SEC, together with the content of this call. These forward-looking statements are based on our assumptions and expectations to date. And except as required by law, we assume no obligation to update these statements in light of future events or new information. During this call, we will present GAAP and non-GAAP financial measures.

In addition, we provide non-GAAP weighted average share count and information regarding free cash flows and billings. These non-GAAP measures are not intended to be considered in isolation from, a substitute for, or superior to our GAAP results. We encourage you to consider all measures when analyzing our performance. For information regarding our non-GAAP financial information, the most directly comparable GAAP measures and a quantitative reconciliation of those figures, please refer to today's earnings press release, which can be found on our website at investor.docusign.com.

I'd now like to turn the call over to Allan. Allan?

Allan Thygesen -- Chief Executive Officer

Thanks, Heather, and good afternoon, everyone. I'm happy to be here for my first earnings call as DocuSign's CEO. I'd like to begin by thanking Maggie Wilderotter for leading the team as interim CEO. Maggie set the stage for a smooth and seamless transition, and we're grateful to her for her leadership and for her continued stewardship as our board chair.

There are three main points I'd like you to take away from today's call. First, we delivered solid third-quarter results, exceeding the key operating metrics we laid out last quarter despite the continued macro headwinds. Our results are a reflection, I think, of the continued signs of stabilization across the business. I'd like to commend our team for their unwavering commitment despite the considerable distraction.

Second, as the global leader in the e-signature category, DocuSign is expanding across broader agreement-related workflows. We have challenges to address, but we have an exceptionally strong foundation and meaningful competitive advantage, which leads me to my third point. I believe our future is bright. Along with the team, I'm personally energized by the opportunity and the work that lies ahead.

I'm confident in our progress, and I believe we are unequivocally well positioned for the long term. Now, before I move on to discuss the future of our business, I want to share what compelled me to join DocuSign. I followed the company for many years, and like our over 1 billion users, I find our value proposition distinctive and invaluable. We've built a powerful brand that's recognized by decision-makers well before we even engage with them.

That combination of affinity that DocuSign has with customers and users and our untapped market potential is very rare in the enterprise software space. Now, DocuSign created and built the e-signature category, yet agreement processes are still at the early stages of moving from pen to paper to more automated ways of working. In fact, I believe we're just at the beginning of revolutionizing how businesses initiate, negotiate, and manage agreements, and we will leave that as we did for e-signature. We provide solutions for customers of all sizes, industries and functions.

During my almost 12 years at Google, I first led the global SMB and mid-market business and then the enterprise business in the Americas, including managing our relationships with our largest global partners. I've experienced firsthand how exceptionally powerful a broad, diversified customer base can be, and I'm excited to bring that experience to DocuSign. For my first 60 days, I've focused on gaining a deeper understanding of our business, meeting with employees across the company, as well as spending time with customers and partners. Through these conversations, I've started to identify some critical areas in which we can Strengthen to strengthen our value proposition in addition to scaling the business by streamlining and creating efficiencies.

I continue to see customers embrace and expand with our core e-signature offering. For example, this past quarter, one of the U.K.'s largest healthcare providers expanded their use of e-signature. They began the journey as a customer during the pandemic, and they've now migrated their entire patient onboarding process and adopted our products across their HR, legal, joint ventures, and other departments. Key criteria in the latest competitive selection process included privacy and security of their customer data and the ability to utilize the advanced workflow features we offer.

Notwithstanding our considerable strengths, I believe it's important to acknowledge where we have not executed as well. It's clear we did not pivot quickly enough, and we were slow to make changes. As we experienced tremendous growth during the pandemic, we did not scale the team properly. We lost some innovation velocity.

We didn't fully address the changing market dynamics nor mature our operations and systems sufficiently. We understand those gaps, and we're committed to moving forward with more transparency. I think the good news is that the future is in our own hands. So, let me turn to our focus going forward.

We are committed to broadening the category. That starts with a more clearly defined product road map that leverages our core e-signature strength and our ambition of delivering easier, smarter, trusted agreements. We see opportunities beyond the replacement of paper signatures to deliver innovative new experiences and integrate more deeply with partner applications. If you think about it, many use cases don't require editing or completion of the static, unstructured, highly formatted traditional agreement.

Instead, I think data capture for agreements should happen through digital forms on the web or in an app. The agreements themselves should be dynamically generated, and the metadata should be automatically captured to enable personalization for future interactions. With our new web forms offering, which is currently in early beta, we're enabling our customers to transition from a PDF-centric experience to guided web-native experiences. We're also continuing to innovate on the CLM front, further solidifying our vision, customer validation, and execution within the CLM space.

Most recently, DocuSign was named the leader in the Gartner 2022 Magic Quadrant for CLM for the third consecutive year. We play the highest of all vendors on the ability to execute access and second highest on the completeness of vision access. These products directly support each other. We're encouraged by how existing e-signature customers continue to embrace our CLM capabilities to enhance and speed their workflows.

For example, this past quarter, we expanded our relationship with one of the largest ride-sharing organizations. Our team identified key areas of expansion using our signature and CLM product to support their evolving business needs. They expanded their e-signature footprint and are now more streamlined in their internal processes, thanks to our CLM offering. Over the next few quarters, we'll expand our work here and augment the road map to broaden the power of managing workflows throughout the agreement life cycle.

While we're not seeing dramatic shifts recently in the competitive landscape, it is important to recognize that today's market is more competitive, particularly for the basic sign use cases, which further highlights the importance of an innovative and differentiated product portfolio like DocuSign's. I want to touch on our plans to Strengthen operations and sales productivity. While we are continuing to lead with innovation, we are staying hyper-focused on making the customer experience more seamless and integrated, particularly with our go-to-market motion. I think that starts with bolstering our self-service mill initiatives.

I was deeply involved in enabling self-serving for every stage of the order cycle for customers at -- of all sizes at Google, and I know the power of a frictionless experience. I'm confident we can achieve both improved customer experiences and greater go-to-market efficiency as we move in this direction. We already have over 1 million customers who self-serve. The inbound traffic to our website continues to grow, and we have a highly recognized and trusted brand.

So, we have a lot to work with. We also want to create stronger efficiencies in our direct, sales, and field efforts and strengthen our partner ecosystem. So, I'm pleased that sales attrition is continuing to moderate, and we're seeing stabilization in the field. Moving forward, we're focused on improving funnel conversion, consolidating and streamlining our teams, strengthening our focus on customer success and retention, and implementing new incentive structures, all with the goal of driving efficiency and accountability.

We're also leaning in on simplifying our pricing and packaging strategy, recently began rolling out new product bundles to enable customers to more easily access useful and differentiated productivity features, which in turn further the customer ROI and Strengthen retention and being the customer a richer experience. We know that customers who use more than three features are more likely to expand their footprint with us, and that will be critical for more profitable growth at scale. We already have an industry-leading partner ecosystem. This represents a significant opportunity to expand customer value and distribution reach through our network of ISVs, resellers, system integrators, and developers.

By reimagining how we engage that ecosystem, we expect to create a platform that will see stronger revenue contribution from our partners and help unlock and fuel international expansion opportunities in particular. I personally visited customers and teams in four of our key European markets last week, which reaffirmed that one of our most significant growth opportunities will come from international markets. During the trip, I had the pleasure to meet with one of the world's leading communications carriers. They've been a customer for seven years now.

Our account team identified key areas to drive growth with expanded use cases which accelerated adoption, which in turn led to an early renewal expansion. So, we're excited to grow our footprint in their ecosystem as they continue to leverage our products to digitize their customer experience and reduce operating expenses while helping to create a more sustainable future. Lastly, internally, our operational focus has been on streamlining our processes, upgrading our internal systems, and modernizing more of our own workflows to Strengthen efficiency and scalability. As an example, we just closed our first quarter on our new ERP system, which has been a key dependency for automating more of our operations.

In summary, I believe we're acting with urgency to recalibrate the business and leverage our strong foundation to adapt to the evolving business landscape and the changing and challenging macro environment. These efforts will take time, and they represent a continued evolution for DocuSign. However, I am fully confident that the opportunity is here for DocuSign and is within our reach with a clear strategy, focus, and execution. Thank you for your time today.

I'm thrilled to be leading DocuSign, and I'm committed to being transparent with all of you about our progress as we move forward. Now, I'll hand it over to Cynthia, who will take you through our Q3 financial results and outlook. Cynthia.

Cynthia Gaylor -- Chief Financial Officer

Excellent. Thanks, Allan, and good afternoon, everyone. We delivered solid Q3 results, delivering on the top and bottom line. We continue to expand our customer base and remain focused on progress against our key priorities as we execute against our long-term strategy.

As the macro becomes more challenging, we are seeing softening demand trends materialize, including smaller deal sizes and expansions with increased customer scrutiny on priorities and budgets in some cases. On the other hand, we are still seeing healthy results as customers recognize DocuSign offers high-ROI applications that are easy to use, efficient, and cost-effective. Let me now review our Q3 results. Total revenue increased 18% year over year to $645 million, and subscription revenue grew 18% year over year to $624 million.

The continued strengthening of the U.S. dollar resulted in a couple-point headwind to total revenue growth in the quarter in line with our previous expectations. The impact was not material to our results. Our international revenue grew 23% year over year to reach $157 million in the third quarter, representing 24% of our total revenue.

Third-quarter billings grew 17% year over year to $659 million as our installed base continued to expand. The strength in billings growth was partially driven by early renewals, particularly renewals from Q4. As a reminder, quarter-to-quarter billings can fluctuate due to the timing and completion of deals, including timing of renewals and expansions. Customer growth remained strong as we added approximately 42,000 new customers during the quarter, bringing our total installed base to 1.32 million customers worldwide at the end of Q3, a 19% increase compared to a year ago.

This includes the addition of approximately 10,000 direct customers to reach a total direct customer base of 202,000, a 26% increase over last year. We also saw a 34% year-over-year increase in customers with an annualized contract value greater than $300,000, reaching a total of 1,052 customers. These results demonstrate progress against our key initiatives. However, we continue to see the effects of a more challenging macro environment.

Real estate and financial service verticals continue to see headwind. So, even within these sectors, we see pockets of expansion with customers for specific use cases. Expansion use cases underscore our product differentiation and value for our customers as we continue to invest in innovation around broader agreement workflows. As it relates to verticals, we are also encouraged by relative strength in our manufacturing, retail, business services and technology sectors, highlighting the important benefit of our diversified customer base.

And while the global slowdown presented challenges more generally, we saw varying degrees of strength and weakness across all regions and segments. Dollar net retention was 108% for the quarter. We continue to see more muted buying patterns and slower expansion rates from customers in the current climate. We expect buying patterns to remain cautious in the near term, resulting in dollar net retention continuing to trend downward for the remainder of the year.

Total non-GAAP gross margin for the quarter was 83%, compared to 82% last year. Q3 non-GAAP operating profit reached $147 million, compared with $122 million last year. Non-GAAP operating margin was 23% from 22% last year. Non-GAAP net income for Q3 was $118 million, compared with $121 million in the third quarter of last year.

As noted on our Q1 call this year, we introduced a non-GAAP tax rate within our non-GAAP net income calculation as we reached consistent non-GAAP profits for the prior three years. We're using a non-GAAP tax rate of 20% for fiscal '23. Q3 non-GAAP EPS was $0.57. In September, we announced a restructuring plan, which included a workforce reduction in response to the changing environment.

This was not an easy decision but was an important step for the health of the business. Our GAAP results include $28 million in Q3 restructuring-related expenses. As we take a long-term view of the opportunity ahead, we will evaluate the best ways to reinvest capital into areas that accelerate initiatives and present the strongest return. We are committed to making progress in a sustainable way toward our long-term target margin.

We ended Q3 with 7,522 employees compared to 7,056 last year. The restructuring process is well underway, and we expect to be substantially completed by the end of the fiscal year. The workforce reductions, coupled with more disciplined spending and cost containment throughout the company, drove strong Q3 non-GAAP operating margin. While we are pleased with the Q3 margin, we delayed some spend in the quarter, and we'll continue to evaluate the most critical areas for investment.

Operating cash flow in the third quarter was $53 million, representing an 8% margin. Free cash flow was $36 million or a 6% margin. As we mentioned on our Q2 earnings call, during the third quarter, we implemented a new ERP, a foundational system for our company. The go-live was successful with smooth implementation and no material disruptions to our core processes.

As noted on our last call, the timing of cash collections and payments were impacted by the ERP transition, as we anticipated, and some were pushed from Q3 to Q4. We also incurred one-time cash expenses in Q3 related to the restructuring. On a more normalized basis, excluding the impact from the restructuring and our ERP implementation, our operating cash flow margin would have been approximately 14%, and our free cash flow margin would have been approximately 12%. This compares with operating cash flow of $105 million or a 19% margin and free cash flow of $90 million or 17% margin for the same period last year.

We expect lower restructuring cash payments to benefit fourth-quarter cash flows relative to Q3. We exited Q3 with more than $1.1 billion in cash, cash equivalents, restricted cash, and investments. Turning to our share repurchase program, we repurchased approximately 740,000 shares during the quarter for approximately $38 million, which demonstrates our confidence in the durability of our business and in the opportunities ahead. As of the end of Q3, we had approximately $137 million in remaining buyback capacity.

We remain committed to opportunistically return capital to our shareholders. With that, let me turn to our Q4 and fiscal '23 guidance. For the fourth quarter and fiscal year '23, we anticipate total revenue of $637 million to $641 million in Q4, or a growth of 10% year over year, and $2.493 billion to $2.497 billion for fiscal '23, or growth of 18% to 19% year over year. Of this, we expect subscription revenue of $624 million to $628 million in Q4, or growth of 11% year over year, and $2.423 billion to $2.427 billion for fiscal '23, or growth of 19% year over year.

For billings, we expect $705 million to $715 million in Q4, or growth of 5% to 7% year over year, and $2.626 billion to $2.636 billion for fiscal '23, or growth of 11% to 12% year over year. We expect non-GAAP gross margin to be 82% to 83% for Q4 and 81% to 82% for fiscal '23. We expect non-GAAP operating margin to reach 20% to 22% for Q4 and 18% to 20% for fiscal '23. We expect to see a de minimis amount of interest and other income.

We expect non-GAAP fully diluted weighted average shares outstanding of 205 million to 210 million for both Q4 and fiscal '23. Looking ahead, we are in the early stages of planning for next year and focused on executing across our critical priorities to finish the year strong. While we will not be formally providing guidance for next year, we would like to share a preliminary outlook for fiscal '24 informed by what we are seeing across the business and in the broader macro environment. We currently expect a slower start to the fiscal year.

For total revenue, we would expect high single-digit growth during fiscal '24. For billings, we would expect low single-digit growth for next year. We're committed to maintaining our disciplined approach to expenses, carefully addressing and prioritizing strategic investments that will drive our sustainable growth at scale. As a result, we expect to operate at the lower end of our long-term target operating margin range of 20% to 25% in fiscal '24.

In closing, we delivered a solid Q3 despite a challenging operating environment. To drive growth, we'll continue to invest thoughtfully and closely monitor the returns on our investments, pivot as needed, and evaluate opportunities to drive growth, efficiency, and profitability at scale. Our Q3 results are a meaningful indicator of the strength of our business and the customer value proposition we deliver that allows us to delight our customers in a meaningful way. We are thrilled to welcome Allan to DocuSign and want to take a moment to also thank our team for their exceptional work and focus during this time of transition.

While we know it will take time for our progress to be fully reflected in our financial results, we are committed to advancing the business and executing against our long-term strategy while delivering sustainable growth at scale. We look forward to updating you on our progress. Thank you again for joining us. And with that, operator, let's please now open up the call for questions.

Questions & Answers:


And at this time, we'll be conducting a question-and-answer session. [Operator instructions] And our first question comes from the line of Tyler Radke with Citi. Please proceed with your question.

Tyler Radke -- Citi -- Analyst

Yes, thanks for taking the question, and welcome aboard, Allan. I wanted to ask you. You made some comments just around broadening the category, integrating with partner applications. Maybe talk about where you see the most low-hanging fruit.

And, you know, as you look at the business, I mean, clearly, this is a business that has gone from high-growth into more low-growth mode as you're looking at the outlook. But where do you kind of see the medium-term opportunity here in terms of where you can get back to if you accomplish all your strategic initiatives? And then I have a quick follow-up for Cynthia.

Allan Thygesen -- Chief Executive Officer

Yeah. Thanks for that. So, the first thing I would say is if you think about all the steps in the agreement workflow, we did an excellent job nailing the specific use case of signing an agreement. But all of the other steps, I think, remain -- there remains plenty of opportunity to revamp that.

And so, as I alluded to in my prepared comments, we're excited about the opportunity, for example, to redefine what an agreement looks like. It doesn't have to be this highly formatted document. It's something you can enter on a web page. We already have clients who do this with us.

Mobile carriers have people sign up through DocuSign, but it looks like a web interface. And a variety of health organizations use our new functionality to do this for patients. So, once they've gone through it once, they can pre-fill the agreements and sign-ins for future. So, I think this functionality around helping people both create the agreement and, in a sense, negotiate and complete them online is a significant opportunity.

Looking on the personalization side, you can imagine, we do this today with Salesforce and a variety of other platforms. Reps can send out documents that are personalized and tailored to the customer based on data that's already in the system, again, a way of integrating directly with third-party applications and leveraging the simplicity and power of DocuSign. Post agreement, I think the CLM space hold tremendous promise for DocuSign, both in terms of extracting more value, more business value from agreements, as well as on the risk and compliance side. And I've had a number of meetings with large enterprises that are excited about both of those use cases.

So, I feel like there's actually quite a bit of breadth there, and we're just at the early stages of delivering against that opportunity.

Tyler Radke -- Citi -- Analyst

Great. And Cynthia, you talked about some early renewals in the quarter. And I guess I'm wondering, since the Q4 guidance was kind of in line with the prior implied guide. Was the early renewals kind of the -- driving most of that upside that you saw in the quarter? And if you could kind of just unpack what you think drove those early renewals.

Was it customers kind of consuming ahead of contracts that they renegotiated down post-pandemic? And if that's the case, do you still think there could be some more of that as you look out in the coming quarters? Thank you.

Cynthia Gaylor -- Chief Financial Officer

Thank you. So, we were -- we were super pleased with where the billings number came out. It did come out better than we were expecting, and it was driven, you know, primarily by early renewals. And when you look at kind of the customer dynamic there, I would say a few things as we have dug into it.

One is it's mainly -- we have a certain level of early renewals in every quarter. We had more early renewals coming in from Q4 into Q3 this quarter than we normally would have from a Q plus 1. And it's really driven by where customers are in their usage of the product and capacity. And what we were seeing was there were more customers at capacity who were looking to expand or increase their usage with add-on products.

And so, that was leading to early renewals because they were at capacity on their subscription. And so, those were brought in a quarter earlier than the renewal would have come due. And so, I think to commend our sales team, taking deals off the table as they come due in the quarter is great. And, you know, we feel good about where we are for Q4.

We're not anticipating that dynamic. We will have early renewals as we always do, but that level is kind of baked into the guide now for Q4.

Tyler Radke -- Citi -- Analyst

Thank you.


Our next question comes from the line of Josh Baer with Morgan Stanley. Please proceed with your question.

Josh Baer -- Morgan Stanley -- Analyst

Great. Congrats on a really strong quarter, and welcome, Allan. Wanted to ask you about a comment you made around increasing competition for the core signature use cases. Was wondering how much of your business would you say fits in that category.

And then more broadly, as you've been digging in on the space, just wondering for your take or your view on the competitive landscape and DocuSign's positioning. Thanks.

Allan Thygesen -- Chief Executive Officer

Yeah. So, first of all, I think at the highest level from a category perspective, we feel good that, fundamentally, helping businesses close agreements electronically, it's both a cost and productivity saving and a better customer experience. And so, we think that's relatively resilient from a macro perspective. In terms of the competitive landscape, we do see some competition at the low end.

I would see sort of generic e-signature without much of the value-add that I think we excel at. And so we've got to become a little bit more engaged competitively in that space without damaging our value and premium positioning. And so, we're looking at ways to do that. But the vast majority of our products -- of our revenue come from customers who appreciate the value that DocuSign delivers.

I'll just supply you a couple of examples. We know from a variety of surveys that customers see that when they send agreements with DocuSign, people tend to sign faster. They're more likely to sign, they're more satisfied. There's a more positive brand halo.

All of that feeds into a premium positioning. In addition to that, we tend to do very well on helping with the internal workflows in the companies that adopt DocuSign, which creates cost savings and efficiencies. So, I feel pretty bullish that we can maintain our position. But it's absolutely true at the low end, it's super high-volume commodity e-signature, there's more competition.

And we need to be more agile in responding to that, and we're working on that as we speak.

Josh Baer -- Morgan Stanley -- Analyst

Great. Thanks. Appreciate it.


Our next question comes from the line of Michael Turrin with Wells Fargo. Please proceed with your question.

Austin Williams -- Wells Fargo Securities -- Analyst

Hey, great. This is Austin Williams on for Michael Turrin. I just wanted to go back to the expansion rate. It looked like the expansion ticked down a touch here.

Is there anything you would call out as it relates to those expansions and how we should think about that settling in from here?

Cynthia Gaylor -- Chief Financial Officer

That was on the dollar net retention number? You broke up a little bit.

Austin Williams -- Wells Fargo Securities -- Analyst


Cynthia Gaylor -- Chief Financial Officer

Yeah. So, on last quarter's call, we talked about kind of that trend line. And as I said in my prepared remarks, we would continue to expect the trend line to push downward in Q4. You know, I think what's embedded in that number is mainly expansion rates are moderating, and so the growth and expansion is declining.

As a reminder, that's a -- it's a dollar net retention number. So, it's based on our book of business. The book of business is quite large, so it takes larger dollars and larger rate of expansion to move the number up. And just given some of the dynamics we've been talking about the last few quarters around expansion rates and deal sizes contracting, we would expect to see continued pressure on that particular metric for Q4.


And our next question comes from the line of Brad Sills with Bank of America. Please proceed with your question.

Brad Sills -- Bank of America Merrill Lynch -- Analyst

Wonderful. Thanks for taking my questions, and welcome, Allan. I wanted to ask a question on Agreement Cloud. As the company starts to transition over the longer term, I understand toward a more workflow-oriented business.

Today, we think of e-signature as transactional. Do you think there's a different go-to-market that's required here to really materially move the needle and gain some traction there? You talked about some SI efforts there, global SIs, etc. I assume they would play a role there. But any thoughts on that? Thank you.

Allan Thygesen -- Chief Executive Officer

Yes. So, a couple of points there. I think from a customer segment perspective, we have a very nicely balanced book of business now across SMB, mid-market, and enterprise. A lot of our enterprise adoption has been departmental level historic, but we're negotiating more enterprise-level agreements.

I think we need to continue to evolve our sophistication and readiness there. We've brought in some leaders with great experience there, but I think we're still coming up the curve in terms of being fully ready to being a broad enter platform supplier, if you will. So, that would be my -- the main point I'd make on that. In terms of the other parts of the business, I think the CLM business is already very much an enterprise play.

And as we've rolled that out, we've seen a lot of our larger deals, you know, have a significant CLM element. So, we're pushing hard on that. I think that is still a relatively early stage market opportunity. As you noted, there's -- it's so complicated and there's so much customization on a vertical- or company-specific basis that, inevitably, there's a strong service element to that.

While we will have a base level of services, we absolutely need third-party partners like the big SIs and others. And they're very eager. In fact, we have a lot of inbound interest to partner with DocuSign in creating combined solutions to address those needs. So, I'm bullish on that, but I want to maintain DocuSign's focus as a SaaS software company with necessary customer success and professional services elements and then augment that with the ecosystem of ISVs and SIs and others to present solutions to enterprises that have more complicated needs.

Brad Sills -- Bank of America Merrill Lynch -- Analyst

Great to hear. Thanks, Allan. And then one for you, Cynthia, if I may, please. Just on the guidance for next year, low single-digit billings growth.

This quarter, you saw, it looks like 19%. Obviously, you had some deals pulled into Q3, but, you know, good results in comparison to kind of the guide. So, just what are you factoring in for next year? Is it a worsening macro? You talked about some elongating sales cycles and perhaps deal size compression. Are you just assuming that, that environment sustains here? Any color on just what's factored into that next year outlook? Thank you.

Cynthia Gaylor -- Chief Financial Officer

Yeah, sure. So, we're not technically guiding to next year. We're kind of giving you our best view of what we're seeing. And, again, in the spirit of of being transparent, we did want to provide some direction to what we're seeing as we look into Q4 and next year.

You know, the embedded assumption there, I guess, when you look at Q3, it was 17%. Q4 is, I think, 6%. And so, we're certainly seeing kind of a more challenging macro environment and some softening trends materialize. And I talked about kind of smaller deal sizes, smaller expansions, and expansions at a slower rate.

So, I think those things in particular between the macro and then what we're just seeing with customer behavior on the softening trends of expansions. Customers are still expanding, but they're just expanding at a lower rate, and that puts pressure on the growth rate. You know, I'd also say in the macro, there's just more scrutiny by customers on spend and budgets. So, we're not modeling material degradation there or material improvement.

So, we're kind of assuming just kind of a softening macro environment that we're currently seeing.

Brad Sills -- Bank of America Merrill Lynch -- Analyst

Thanks, Cynthia.


Our next question comes from the line of Mark Murphy with JPMorgan. Please proceed with your question.

Mark Murphy -- JPMorgan Chase and Company -- Analyst

Yes, thank you very much, and I'll add my congrats. Allan, I'm interested in how commonly do you sense that some of your customers might have overprovisioned themselves with DocuSign capacity during the pandemic. And maybe now, they've been drawing down some of that e-signature inventory in a manner that maybe it could position them to run out of the excess capacity. It sounded like you actually might have seen a little bit of that here in Q3 and where they might be able to reengage on new purchases.

Maybe it's in the back half of next year or somewhere out beyond that.

Allan Thygesen -- Chief Executive Officer

I do think that we're we're on the tail end of that part of the cycle as we've -- significantly lapping COVID as a broad phenomenon and the stance the companies took at that time. At the same time, of course, some of our customers saw very inflated volumes during COVID and during a very low interest rate environment. You're familiar with the government loan scenario. I think the mortgage and real estate volumes, which just simply lower now even if they have completely exhausted their pre-bought envelope allotments.

So, I think I'd like to be cautiously optimistic along the lines that you note. But I think there's that counteracting factor of some of the things that were the most volatile, whether it was the most prebuying, are probably also people who are now in a different demand environment, if that makes sense.

Mark Murphy -- JPMorgan Chase and Company -- Analyst

OK. Yes. Understood. And just as a quick follow-up, how are you viewing the partnership between DocuSign and Microsoft, how that might evolve over time? Because I think there's a viewpoint out there that Microsoft is conspicuously absent from this market in some ways in that perhaps they could end up offering e-signature as part of Office 365.

And I'm just wondering if you see any opportunity to be involved there or perhaps if you see some other angles to that relationship.

Allan Thygesen -- Chief Executive Officer

Yeah. I mean there's a lot of pieces to that. First, I'd just say, look, we're really excited about our evolving partnership with Microsoft. As you know, we entered into a large strategic partnership deal with them earlier this year.

They are -- and we've delivered a number of really, I think, exciting new integrations with Microsoft, with Teams, with SharePoint, Build, and others. So, I'm -- and we have -- I think we're still just scratching the surface of what we're capable of in terms of integration with a variety of Microsoft platforms. So, I -- look, I expect that Microsoft and Google will have some basic e-signature capability embedded in their office suites. But I don't really think that that's the core value that we provide.

We provide a lot of richness and workflow around signature that goes well beyond what I think the core office suites will supply. And I don't -- I don't feel that that is the biggest competitive risk that we face. I think we're very pleased with the progress of the partnership with Microsoft and with the other software suppliers. I think most of them view us as the best-of-breed partner for them, and we want to capitalize on that.

And, of course, they're a huge partner for us with our amalgamation to Azure. So, that's a whole separate topic.

Mark Murphy -- JPMorgan Chase and Company -- Analyst

Thank you.


Our next question comes from the line of Jake Roberge with William Blair. Please proceed with your question.

Jake Roberge -- William Blair -- Analyst

Hey, thanks for taking my questions, and congrats on the great quarter. So, given signature usage from existing customers and the incremental new logo next year may be impacted as a result of the macro, how do you expect your expansion motion, so thinking about CLM, notary or premium pricing, insurer capabilities like ID verification to perform next year?

Allan Thygesen -- Chief Executive Officer

Well, I think -- on the one hand, I think you will see us expand the number of products that we have that we can offer across the entire agreement workflow, as I outlined earlier. And at the same time, I think if we make it too complicated and itemize the buy too much, we make it harder to buy and we don't necessarily include some of the features that truly differentiate us from low-end competitors. And so, one of the big pushes this quarter that I initiated was a better bundling mechanism to bring together some of these features so that we make -- as well as an initial onboarding for new clients to make sure they get off to the right start and that they are using not just the core e-signature capability but some of the other features you allude to. And, you know, the early signs of that are promising.

So, we are, at the same time, I think packaging more of the features that directly relate to e-signature and making sure that we're fully selling that bundle of features and expanding our footprint to other aspects of agreement workflow that we recharge for separately.

Jake Roberge -- William Blair -- Analyst

Great, thanks. And then, Cynthia, if you could just add any commentary on the linearity of demand trends month-to-month throughout the quarter and into November. Did anything change over the last months leading into Q4 as it relates to demand or usage of your products?

Cynthia Gaylor -- Chief Financial Officer

Yes. I would say there hasn't been material changes from exiting Q3 into Q4, and that kind of informed some of our macro comments. I would say and just maybe reiterate what we said on last quarter's call, we have been seeing a little bit of shift in linearity in the quarter itself between the months. And so, I would say that continued in Q3 in month three.

We saw softer linearity leaving the quarter than entering the quarter than we had historically -- than we have historically seen in the kind of those quarter linearity trends -- intra-quarter.

Jake Roberge -- William Blair -- Analyst

That's helpful commentary. Thanks, again, for taking my questions, and congrats on the great results.


Our next question comes from the line of Rishi Jaluria with RBC. Please proceed with your question.

Rishi Jaluria -- RBC Capital Markets -- Analyst

Wonderful. Thanks so much for taking my questions. Allan, welcome aboard and very much looking forward to working with you. Two questions, if I may, just on the kind of preliminary outlook or framework or whatever we want to call it for next year.

Really appreciate the color, a helpful way of thinking about things. I guess, just for starters, if we think about low single-digit billings growth for next year, I'm sure there's some sort of cadence there in terms of maybe lower in the first half, higher in the second half, just given the macro picture. When we think about that, I mean, that kind of implies that calendar year '24, FY '25 will be mid-single digits growth. And I know it's way too early to start talking guidance for that.

But maybe more importantly, what would need to be done to bridge that gap from that baseline that you're talking about based on the billings guidance to a growth rate that you'd be happy with? Because I can't imagine you'd be happy with -- given the market opportunity and everything, with mid- to high single digits growth. So, maybe, can you walk through what from an execution and market opportunity standpoint needs to happen to get that growth rate, you know, to where you'd want it to be? And then I've got a follow-up.

Allan Thygesen -- Chief Executive Officer

Yeah. I think, first of all, we set aside macro, which obviously weighed heavily on us as we looked out to 2024. And you don't want to presume that the economy is necessarily going to get better. So, that is embedded in our forecast.

But looking beyond that, I think the key -- the key levers for us are we got to get our digital motion to work much better, and that's a huge focus and investment area for us now. We think we can capture more business that way. But until we can really prove that to ourselves, we're certainly not going to put it in our guidance. And similarly, I think we have a series of product initiatives that will roll out over the next two, three quarters that I think will dramatically broaden our footprint.

But, again, until we have a little bit more solidity there, it would be imprudent to include that in even a preliminary outlook. So, I think we have -- our international opportunity is another one where we'll be doing some significant investing in 2024. That market is at a much earlier stage of evolution, and we have significant headroom there. So, I think there's a number of areas where we hope to see significant upside.

Obviously, I didn't join to run a low or mid-single-digit revenue company. So, I'm pushing very hard to get us to a different place, and we're -- we hope to have a lot of news to report on that over the next few quarters.

Cynthia Gaylor -- Chief Financial Officer

Yeah. And I might just add that.

Rishi Jaluria -- RBC Capital Markets -- Analyst

Fantastic. Sorry, go ahead.

Cynthia Gaylor -- Chief Financial Officer

Yeah. Sorry, I might just add to that. The -- our fiscal '24 is calendar '23, right? So, that's -- it's an outlook, it's not a guide. Ninety days from now, we'll supply a more specific guide, so we'll be able to supply you more detail there.

Understand what you're talking about in terms of calendar '23 into calendar '24. As we said, we would expect the first half of next year to be kind of -- get off to a slower start, and that's partly macro and it's partly the initiatives that Allan was talking about. We are going to take some time to gain traction. And so, the scenario where, I guess, calendar '24 could be better would mean that macro has probably gotten better, and then some of the initiatives are starting to take off.

And you start seeing that in the back half of next year because that can spill into the following year. I would just say, though, our -- when we supply guidance and we supply outlook, and you all have been following the company for quite some time, there are opportunities and there are risks. And, you know, we've, I think, balanced those things in kind of what we're telling you in the spirit of the '24 is really to provide transparency to what we're currently seeing, but it's still balancing those opportunities and risks. So, I just want to make sure that you all understand that.

Allan Thygesen -- Chief Executive Officer

Yes. I mean, I think what I would just add to that. Cynthia is exactly right. What we're giving you now is an extrapolation of our current trends.

We have a lot of levers that we're pulling, and we hope to be able to update you on those over the course of the next several calls. We're bullish on long-term prospects. We think we have a lot of headroom and are very well positioned.

Rishi Jaluria -- RBC Capital Markets -- Analyst

All right. Fantastic. Really helpful, both of you. Thank you.

And then just kind of a quick follow-up. If we think about the margin, not guidance, for next year, you're talking about the low end to about 20%. I guess, you know, given that you also have all these cost savings that you've been working at generating over the past quarter, two quarters, a 9% rip. I imagine that a lot of the upside that you're getting from those cost savings, you're reinvesting in the area.

So, maybe can you walk us through why would margins not be higher? And if it is, in fact, you're just reinvesting in other areas, what are kind of those top investment priorities that's getting that margin to 20%, again, in spite of the cost-cutting focus and the 9% rip? Thank you.

Cynthia Gaylor -- Chief Financial Officer

Sure. I'll talk about the margin, and then Allan can talk about some of the investments. So, on the margin, our long-term target margin has been 20% to 25%. So, we're expecting to be at the lower end of that into next year -- would be what we'd expect.

So, we would get some uplift from the restructuring that we've done and are in the process of completing. But we -- as you said, we would be reinvesting in the business. And, you know, it's -- a lot of it is around things like international, the go-to-market initiatives, and R&D in particular. And those pieces, I think, are going to be really important.

Allan Thygesen -- Chief Executive Officer

Yeah. Just to add to what Cynthia was saying, look, I think our go-to-market motion needs to become more efficient. We need to grow into -- we've made some adjustments. We need to grow into the infrastructure that we have and do a lot more on the digital side, as I've alluded to.

So, that's an area where I would hope to see our metrics continue to improve. I'd say I feel differently about our R&D investment. You know, we are, frankly, below many of our SaaS peers in terms of our divestment-relative revenue. And I think we have a -- a lot of ideas, a lot of opportunity here.

And I think we -- to the extent that we invest sort of beyond baseline, that will probably where the bulk of it goes.

Rishi Jaluria -- RBC Capital Markets -- Analyst

All right. Wonderful. Thank you so much.


And our next question comes from the line of Kirk Materne with Evercore ISI. Please proceed with your question.

Kirk Materne -- Evercore ISI -- Analyst

Hi, there. Thanks very much. Allan, maybe following on to your last comment on the go-to-market. Have most of those changes been put in place, I guess, to date? Obviously, some of those it's difficult to do that as you're trying to close up a fiscal year.

Or are you waiting to sort of instrument some changes, perhaps on the direct side, as we get into the beginning of next year? I was just trying to get a sense on if there's still some -- I assume there's always going to be some tweaking, but have some of the more fundamental changes been established? Or is that something that you're still waiting on doing once you close out this fiscal year?

Allan Thygesen -- Chief Executive Officer

No. We're not planning any broad efforts risk type of structures along the lines of what we did for the whole company last quarter. We're going to continue to tweak. I mean, I think the market environment is dynamic.

We're going to continue to move resources around as I alluded to. And individual functions and departments in the go-to-market function elsewhere, I think we'll see some prioritization or deprioritization. But I'm not looking to do anything at the macro companywide level.I do expect that we will get significantly more productive and efficient in our go-to-market motion and that's a hugely for us. In addition to the digital side, we've had an all-hands-on-deck effort to remove friction internally and to just realign and combine functions.

We were overly segmented, I believe. And so there was just a lot of work to get our field operation organization in a better state. I think Steve Shute, our president of fields has done a very nice job pulling that together, bringing in senior leaders. And I think we're much better poised to grow with the resources that we have today than we were six months ago.

And some of those initiatives that I alluded to on the self-serve side will obviously bear more fruit in the next few quarters.

Kirk Materne -- Evercore ISI -- Analyst

That's really helpful. And then, Cynthia, really quickly, you brought up, obviously, in the cash flow discussion the ERP implementation. Are there any other big systems that need to be sort of upgraded given you guys have scaled so quickly? Or is that sort of the biggest one that was outstanding? Just trying to get a sense if that's another area -- your potential spend for you all next year.

Cynthia Gaylor -- Chief Financial Officer

Yeah. I mean, we need to continue to invest in our systems and more automation. But I would say ERP has been a multiyear endeavor, you know, that started before I even joined the company. So, it's a big milestone for the company that will enable a lot of other automation to happen.

So, we'll continue to invest there, but I wouldn't expect another project as large as that project and cross-functional in the near term.

Allan Thygesen -- Chief Executive Officer

Yeah. I agree with that. Just to add to that, I think -- I don't think there's anything huge to talk about from an investment perspective. But just for color, this company feels like it has one of every SaaS product that's been backed by the venture industry in the last 10 years, certainly.

So, we need to dramatically clean that up and get to a much smaller number of anchor tools. In addition to our ERP system, the other big focus this year has been on our Salesforce implementation, which obviously is a core platform. I think we're in much better shape now than we were at the beginning of the year. And there's a couple of other areas where I think we have opportunity to dramatically simplify and consolidate, and that will help everyone become more productive.

But it's not going to have not going to be able a magnitude that Cynthia went through with the ERP project.

Kirk Materne -- Evercore ISI -- Analyst

That's super helpful. Thank you all.


And we have reached the end of the question-and-answer session. I'll now turn the call back over to Allan Thygesen for closing remarks.

Allan Thygesen -- Chief Executive Officer

Thank you. Well, thank you all for joining to hear more about where we're headed. I'm excited to be on this call with all of you and to be leading this incredible iconic company. In closing, we believe we delivered a solid Q3, and we're focused on delivering an exciting product road map and improving the efficiency of our go-to-market to drive growth and profitability.

My first two months have affirmed DocuSign's tremendous headroom, strong customer relationships, and world-class talent. I'd like to thank our employees, our customers, and our partners for their warm welcome and the insights and dedication they've shared. I look forward to updating all of you as we make progress. Thank you for joining.


[Operator signoff]

Duration: 0 minutes

Call participants:

Heather Harwood -- Head of Investor Relations

Allan Thygesen -- Chief Executive Officer

Cynthia Gaylor -- Chief Financial Officer

Tyler Radke -- Citi -- Analyst

Josh Baer -- Morgan Stanley -- Analyst

Austin Williams -- Wells Fargo Securities -- Analyst

Brad Sills -- Bank of America Merrill Lynch -- Analyst

Mark Murphy -- JPMorgan Chase and Company -- Analyst

Jake Roberge -- William Blair -- Analyst

Rishi Jaluria -- RBC Capital Markets -- Analyst

Kirk Materne -- Evercore ISI -- Analyst

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Thu, 08 Dec 2022 21:00:42 -0600 en-US text/html https://www.msn.com/en-us/money/companies/docusign-docu-q3-2023-earnings-call-transcript/ar-AA155blj
Killexams : Cequens announces new hires as part of five-year expansion plan

The communication solution provider headquartered in Dubai, Cequens, has announced new executive hire roll out in line with the company’s five-year expansion plan.

Having over 25 years of experience in the technology and software development domain, Ahmed Shabrawy rejoined the company as chief research and innovation officer. In his new role, he is in charge of conceptualising and developing new, market-disruptive solutions.

Prior to this, Shabrawy was the founder of EgyptNetwork, and then went on to found and lead multiple organisations in the field of technology and communication innovation including MetalSoft and Vytru.

Meanwhile, appointed as VP Growth and Revenue Operations, Hussein Malhas, will be spearheading Cequens’ growth endeavours, new market penetration and increased sales.

With over 25 years of experience in the CPaaS and SaaS domains, his role will be to manage global accounts with the goal of exceeding station revenue, prospecting and defining new business targets for the company. His previous leadership roles include VP Revenue, MENA for Infobip and Microsoft’s country manager – Levant.

Read: GB Talks: In conversation with Hussein Malhas, VP of Revenue – MENA at Infobip

Cequens also announced the appointment of Yara Milbes as VP Global Marketing. Milbes has more than 16 years of experience in B2B, B2G marketing in Telecommunications and Information Technology sectors. In her new role, she will be in charge of redefining the strategic and creative narrative, in addition to elevating the brand experience for a seamless transition into global markets. Prior to this, she held the position of global marketing director at Infobip.

The company also announced the appointment of Nermeen Sobhy as VP of Carrier Relations. Sobhy is a growth-focused leader with extensive experience of more than 22 years in telecom overseeing both technical and commercial aspects. Sobhy will be spearheading the expansion of the company’s network inside and outside the region. She previously was the head of Commercial Roaming Operations at Etisalat Egypt.

Furthermore, Ashraf Othman is appointed as the VP Commercial Strategy Execution. In his new role, he will be in charge of driving the company’s vision to implement scientific methods and best practices in sales and business development teams to achieve sustainable business growth.

Prior to this, Othman acted as the company’s growth and development consultant. He was also a board member for Egyptian National Post Office subsidiary and a business effectiveness coach for numerous regional and international organisations.

Muhammad Nauman will be taking on the role of VP Operations. As an accomplished executive with a successful track record overseeing regional operations, HR, Marketing, IT and procurement and logistics. In his new role, Nauman will oversee the company’s daily operations, define operations strategy, structure and processes, and identify efficiency issues and solutions.

He was previously Cequens’ chief of staff. Prior to joining, he acted as chief operating officer for Hello Group.

These strategic hires come as the company prepares to launch its customer excellence centre in Dubai in Q1 of 2023.

Sun, 27 Nov 2022 22:15:00 -0600 Divsha Bhat en-US text/html https://gulfbusiness.com/cequens-announces-new-hires/
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