07 / DIAGNOSTIC LOGICTrading company / industrial components

Trading company / industrial components

The assortment grows while buyer confidence declines

Problem

The company has a broad range, available stock, and competitive prices, yet loses orders, produces quotes slowly, relies on discounts, and receives compatibility-related returns. The conventional response is to stock even more products.

01 / Common assumption

Management believes sales are constrained by insufficient assortment, stock shortages, or price competition from marketplaces.

02 / What the diagnostic revealed

The flow — search → compatibility check → availability → quote → order — stops at compatibility. Supplier data uses inconsistent formats; attributes, equivalents, and substitution rules are not standardized; and only two technical experts can validate a selection. The catalogue is large, but buyers, salespeople, search engines, and AI systems cannot confidently match a component to the job.

03 / Core constraint

The throughput of compatibility confirmation. In practice, the company sells confidence in the technical decision, not merely components.

04 / COFB

COFB intervention scenario

  1. 01

    Start with the most profitable use cases and SKU groups instead of digitizing the entire catalogue.

  2. 02

    Create one data model for key attributes, compatibility, equivalents, permitted substitutions, certificates, stock, and lead time.

  3. 03

    Turn expert knowledge into rules, leaving specialists only new and high-risk exceptions.

  4. 04

    Do not publish an SKU without a verified minimum data set; launch guided selection first, then a grounded AI assistant that answers only from verified data.

  5. 05

    After the model stabilizes, expose structured data through APIs to partners, marketplaces, and AI procurement systems.

05 / How to verify the hypothesis

Time from enquiry to correct quote, specialist workload, return rate, catalogue conversion, automatically confirmed enquiries, and sales completed without extra discounting.

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