diff --git a/.github/template.yml b/.github/template.yml
index 6bc4323..128f303 100644
--- a/.github/template.yml
+++ b/.github/template.yml
@@ -1,8 +1,8 @@
 template-repository: jebel-quant/sync_template
 template-branch: main
-include: |
-  CODE_OF_CONDUCT.md
-  CONTRIBUTING.md
+include: 
+  - CODE_OF_CONDUCT.md
+  - CONTRIBUTING.md
 exclude:
   - README.md
   - LICENSE
diff --git a/action.yml b/action.yml
index a9e5b06..55a92b8 100644
--- a/action.yml
+++ b/action.yml
@@ -1,220 +1,105 @@
-name: 'Sync Template'
-description: 'Sync template into a project and optionally create a pull request'
-author: 'Thomas Schmelzer'
+name: Sync Repository Template
+description: Synchronize a repository template into the current project and optionally open a pull request
+author: Thomas Schmelzer
 
 inputs:
   token:
-    description: 'GitHub token or PAT for authentication'
-    required: true
-  source:
-    description: 'Path to the YAML configuration file containing template settings'
+    description: GitHub token or PAT for authentication
     required: true
+
   branch:
-    description: 'Target branch in the current repo'
-    default: 'sync/update'
+    description: Target branch for the sync
+    required: false
+    default: sync/template-update
+
   commit-message:
-    description: 'Commit message for sync'
-    default: 'chore: sync template'
-  test-mode:
-    description: 'If true, skip push and PR creation'
-    default: 'false'
-  automerge:
-    description: 'If true, enable auto-merge on the PR'
-    default: 'false'
-  template-ref:
-    description: 'Tag or branch to check out from the template repository (overrides template-branch)'
+    description: Commit message for the sync
+    required: false
+    default: "chore: sync template"
+
+  create-pr:
+    description: Whether to create a pull request if changes are detected
     required: false
+    default: "true"
 
 outputs:
   changes-detected:
-    description: 'Whether changes were detected during the sync (true or false)'
-    value: ${{ steps.commit-changes.outputs.changes_detected }}
+    description: Whether changes were detected during the sync (true or false)
+    value: ${{ steps.sync.outputs.changes_detected }}
 
 runs:
-  using: "composite"
+  using: composite
   steps:
 
     # ------------------------------------------------------------
-    # Checkout target repo
+    # Checkout target repository
     # ------------------------------------------------------------
-    - name: Checkout the target repo
+    - name: Checkout repository
       uses: actions/checkout@v6
       with:
         token: ${{ inputs.token }}
         fetch-depth: 0
 
-    - name: Ensure inside a git repository
-      shell: bash
-      run: git rev-parse --is-inside-work-tree >/dev/null || { echo "❌ Not in a git repository"; exit 1; }
-
-    # ------------------------------------------------------------
-    # Parse configuration (repository, branch, ref, includes, excludes)
-    # ------------------------------------------------------------
-    - name: Parse configuration file
-      shell: bash
-      id: config
-      run: |
-        CONFIG_FILE="${{ inputs.source }}"
-        echo "Reading configuration from ${CONFIG_FILE}"
-
-        if [[ ! -f "${CONFIG_FILE}" ]]; then
-          echo "::error::Configuration file not found: ${CONFIG_FILE}"
-          exit 1
-        fi
-
-        # Install yq if needed
-        if ! command -v yq &>/dev/null; then
-          wget -qO /tmp/yq https://github.com/mikefarah/yq/releases/download/v4.44.3/yq_linux_amd64
-          chmod +x /tmp/yq
-          YQ="/tmp/yq"
-        else
-          YQ="yq"
-        fi
-
-        TEMPLATE_REPO="$($YQ '.template-repository // ""' "${CONFIG_FILE}")"
-        if [[ -z "$TEMPLATE_REPO" ]]; then
-          echo "::error::template-repository missing in ${CONFIG_FILE}"
-          exit 1
-        fi
-        echo "template_repository=$TEMPLATE_REPO" >> $GITHUB_OUTPUT
-
-        TEMPLATE_BRANCH="$($YQ '.template-branch // "main"' "${CONFIG_FILE}")"
-        echo "template_branch=$TEMPLATE_BRANCH" >> $GITHUB_OUTPUT
-
-        TEMPLATE_REF="$($YQ '.template-ref // ""' "${CONFIG_FILE}")"
-        echo "template_ref=$TEMPLATE_REF" >> $GITHUB_OUTPUT
-        
-        # New: Tag/Ref override
-        #TEMPLATE_REF_INPUT="${{ inputs.template-ref }}"
-        #TEMPLATE_REF_CONFIG="$($YQ '.template-ref // ""' "${CONFIG_FILE}")"
-        #TEMPLATE_REF="${TEMPLATE_REF_INPUT:-$TEMPLATE_REF_CONFIG}"
-        #echo "template_ref=$TEMPLATE_REF" >> $GITHUB_OUTPUT
-
-        # Include patterns - support both pipe (|) and list (-) syntax
-        INCLUDE_TYPE="$($YQ '.include | type' "${CONFIG_FILE}" 2>/dev/null || echo "null")"
-        if [[ "$INCLUDE_TYPE" == "!!seq" ]]; then
-          # It's a YAML list with dashes
-          INCLUDE="$($YQ '.include[]' "${CONFIG_FILE}")"
-        else
-          # It's a string (pipe syntax) or doesn't exist
-          INCLUDE="$($YQ '.include // ""' "${CONFIG_FILE}")"
-        fi
-        echo "include<<EOF" >> $GITHUB_OUTPUT
-        echo "$INCLUDE" >> $GITHUB_OUTPUT
-        echo "EOF" >> $GITHUB_OUTPUT
-
-        # Exclude patterns - support both pipe (|) and list (-) syntax
-        EXCLUDE_TYPE="$($YQ '.exclude | type' "${CONFIG_FILE}" 2>/dev/null || echo "null")"
-        if [[ "$EXCLUDE_TYPE" == "!!seq" ]]; then
-          # It's a YAML list with dashes
-          EXCLUDE="$($YQ '.exclude[]' "${CONFIG_FILE}")"
-        else
-          # It's a string (pipe syntax) or doesn't exist
-          EXCLUDE="$($YQ '.exclude // ""' "${CONFIG_FILE}")"
-        fi
-        echo "exclude<<EOF" >> $GITHUB_OUTPUT
-        echo "$EXCLUDE" >> $GITHUB_OUTPUT
-        echo "EOF" >> $GITHUB_OUTPUT
-
     # ------------------------------------------------------------
-    # Sparse checkout template (branch or tag -> ref)
+    # Tooling
     # ------------------------------------------------------------
-    - name: Sparse checkout template
-      uses: actions/checkout@v6
+    - name: Install uv
+      uses: astral-sh/setup-uv@v7
       with:
-        repository: ${{ steps.config.outputs.template_repository }}
-        ref: ${{ steps.config.outputs.template_ref || steps.config.outputs.template_branch }}
-        path: .template-temp
-        token: ${{ inputs.token }}
-        fetch-depth: 0
-        sparse-checkout: ${{ steps.config.outputs.include }}
-        sparse-checkout-cone-mode: false
+        version: "0.9.17"
 
     # ------------------------------------------------------------
-    # Clean template and apply excludes
+    # Validate configuration
     # ------------------------------------------------------------
-    - name: Clean template and apply excludes
+    - name: Validate rhiza configuration
       shell: bash
-      working-directory: .template-temp
-      run: |
-        rm -rf .git
-        EXCLUDES="${{ steps.config.outputs.exclude }}"
-
-        if [[ -n "$EXCLUDES" ]]; then
-          echo "$EXCLUDES" | while IFS= read -r item; do
-            [[ -z "$item" ]] && continue
-            item="$(echo "$item" | xargs)"
-            rm -rf "$item" 2>/dev/null || true
-          done
-        fi
-
-        tree -L 2 || ls -R
+      run: uvx rhiza validate .
 
     # ------------------------------------------------------------
-    # Apply template + commit & push
+    # Materialize + commit changes
     # ------------------------------------------------------------
-    - name: Commit and optionally push changes
-      id: commit-changes
+    - name: Sync template
+      id: sync
       shell: bash
-      env:
-        TEST_MODE: ${{ inputs.test-mode }}
       run: |
-        cp -R .template-temp/. .
-        rm -rf .template-temp
+        set -euo pipefail
+
+        git checkout -B "${{ inputs.branch }}"
+
+        uvx rhiza materialize .
 
         git add -A
 
         if git diff --cached --quiet; then
-          echo "changes_detected=false" >> $GITHUB_OUTPUT
-          echo "No changes."
+          echo "No changes detected."
+          echo "changes_detected=false" >> "$GITHUB_OUTPUT"
           exit 0
         fi
 
-        echo "changes_detected=true" >> $GITHUB_OUTPUT
+        echo "changes_detected=true" >> "$GITHUB_OUTPUT"
 
         if git diff --cached --name-only | grep -q '^\.github/workflows/'; then
-          echo "⚠️ Workflow files modified — PAT with workflow scope required."
+          echo "⚠️ Workflow files modified — PAT with workflow scope may be required."
         fi
 
-        git config user.name  'github-actions[bot]'
-        git config user.email '41898282+github-actions[bot]@users.noreply.github.com'
-        git commit -m "${{ inputs.commit-message }}"
+        git config user.name  "github-actions[bot]"
+        git config user.email "41898282+github-actions[bot]@users.noreply.github.com"
 
-        if [[ "$TEST_MODE" == "true" ]]; then
-          echo "🧪 Test mode: skipping push"
-          exit 0
-        fi
-
-        target_branch="${{ inputs.branch }}"
-        git push origin "HEAD:$target_branch" --force-with-lease
+        git commit -m "${{ inputs.commit-message }}"
+        git push origin "HEAD:${{ inputs.branch }}" --force-with-lease
 
     # ------------------------------------------------------------
     # Create Pull Request
     # ------------------------------------------------------------
-    - name: Create Pull Request
-      id: create-pr
-      if: ${{ inputs.test-mode != 'true' && steps.commit-changes.outputs.changes_detected == 'true' }}
+    - name: Create pull request
+      if: ${{ inputs.create-pr == 'true' && steps.sync.outputs.changes_detected == 'true' }}
       uses: peter-evans/create-pull-request@v8
       with:
         token: ${{ inputs.token }}
         branch: ${{ inputs.branch }}
-        commit-message: ${{ inputs.commit-message }}
         delete-branch: false
-        title: "chore: sync template from ${{ steps.config.outputs.template_repository }}@${{ steps.config.outputs.template_ref || steps.config.outputs.template_branch }}"
+        title: ${{ inputs.commit-message }}
         body: |
-          This PR syncs the template from:
-          **${{ steps.config.outputs.template_repository }} @ ${{ steps.config.outputs.template_ref || steps.config.outputs.template_branch }}**
+          This pull request synchronizes the repository with its template.
 
-    # ------------------------------------------------------------
-    # Auto-merge
-    # ------------------------------------------------------------
-    - name: Enable auto-merge
-      if: ${{ inputs.automerge == 'true' && steps.create-pr.outputs.pull-request-number }}
-      shell: bash
-      env:
-        GH_TOKEN: ${{ inputs.token }}
-      run: |
-        gh pr merge ${{ steps.create-pr.outputs.pull-request-number }} \
-          --merge \
-          --auto \
-          --delete-branch
\ No newline at end of file
+          Changes were generated automatically using **rhiza**.
diff --git a/tests/test-action.sh b/tests/test-action.sh
index d7aeb9a..09c786a 100755
--- a/tests/test-action.sh
+++ b/tests/test-action.sh
@@ -1,251 +1,56 @@
 #!/bin/bash
-set -e
+set -euo pipefail
 
-# Colors for output
+# ------------------------------------------------------------
+# Colors
+# ------------------------------------------------------------
 GREEN='\033[0;32m'
 RED='\033[0;31m'
 YELLOW='\033[0;33m'
-NC='\033[0m' # No Color
+NC='\033[0m'
 
-echo -e "${YELLOW}Starting test for Sync Template Action${NC}"
+echo -e "${YELLOW}Starting test for Sync Repository Template action${NC}"
 
-# Create test directory
-TEST_DIR=$(mktemp -d)
-echo -e "Using temporary directory: ${TEST_DIR}"
-
-# Cleanup function
-cleanup() {
-  echo -e "${YELLOW}Cleaning up test environment${NC}"
-  rm -rf "${TEST_DIR}"
-}
-
-# Register cleanup function to run on exit
-trap cleanup EXIT
-
-# Function to check if a test passes
-assert() {
-  local condition=$1
-  local message=$2
-  
-  if eval "${condition}"; then
-    echo -e "${GREEN}✅ PASS: ${message}${NC}"
-  else
-    echo -e "${RED}❌ FAIL: ${message}${NC}"
-    exit 1
-  fi
-}
-
-# Setup source repository (template)
-echo -e "${YELLOW}Setting up source repository${NC}"
-SOURCE_REPO="${TEST_DIR}/source-repo"
-mkdir -p "${SOURCE_REPO}"
-cd "${SOURCE_REPO}"
-
-git init
-git config user.name "Test User"
-git config user.email "test@example.com"
-
-# Create template files
-echo "# Template README" > README.md
-echo "# Code of Conduct" > CODE_OF_CONDUCT.md
-echo "# Contributing Guide" > CONTRIBUTING.md
-mkdir -p .github/workflows
-echo "name: Test Workflow" > .github/workflows/test.yml
-echo "# License" > LICENSE
-
-git add .
-git commit -m "Initial commit"
-
-# Create a main branch (default in newer repos)
-git branch -m main
-
-# Setup target repository
-echo -e "${YELLOW}Setting up target repository${NC}"
-TARGET_REPO="${TEST_DIR}/target-repo"
-mkdir -p "${TARGET_REPO}"
-cd "${TARGET_REPO}"
-
-git init
-git config user.name "Test User"
-git config user.email "test@example.com"
-
-# Create initial files in target repo
-echo "# Target README" > README.md
-echo "# Target License" > LICENSE
-git add .
-git commit -m "Initial commit"
-
-# Create test branch
-git checkout -b sync/update-configs
-
-# Simulate running the action
-echo -e "${YELLOW}Simulating action execution${NC}"
-# Save the branch name to ensure we stay on it
-BRANCH_NAME="sync/update-configs"
-
-# Create template.yml file
-echo "Creating template.yml file"
-cat > template.yml << EOF
-template-repository: ${SOURCE_REPO}
-template-branch: main
-include: |
-  CODE_OF_CONDUCT.md
-  CONTRIBUTING.md
-  .github/
-exclude: |
-  README.md
-  LICENSE
-EOF
-
-# Step 1: Sparse checkout from template repo
-echo "Performing sparse checkout"
-git remote add template "${SOURCE_REPO}"
-git fetch template
-
-# Create a temporary directory for template files
-mkdir -p .template-temp
-cd .template-temp
-
-# Clone specific files from template
-git init
-git config user.name "Test User"
-git config user.email "test@example.com"
-git remote add origin "${SOURCE_REPO}"
-git config core.sparseCheckout true
-
-# Read include patterns from template.yml file
-while IFS= read -r pattern; do
-  pattern="$(echo "$pattern" | xargs)"
-  [ -z "$pattern" ] || echo "$pattern" >> .git/info/sparse-checkout
-done < <(grep -A 10 "^include: |" ../template.yml | tail -n +2 | grep -v "^exclude:")
-
-git pull origin main --depth=1
-
-# Step 2: Apply excludes
-echo "Applying excludes"
-# First, remove the .git directory
-rm -rf .git
-
-# Read exclude patterns from template.yml file and remove files
-while IFS= read -r pattern; do
-  pattern="$(echo "$pattern" | xargs)"
-  [ -z "$pattern" ] || rm -rf "$pattern" 2>/dev/null || true
-done < <(grep -A 10 "^exclude: |" ../template.yml | tail -n +2)
-
-# Make sure we're on the sync/update-configs branch before copying files
-cd "${TARGET_REPO}"
-git checkout sync/update-configs
-
-# Step 3: Copy template files to target repo
-echo "Copying template files"
-# Copy all files from template temp directory
-cp -R .template-temp/. .
-rm -rf .template-temp
-
-# Step 4: Commit and push changes
-git checkout "${BRANCH_NAME}"
-git add CODE_OF_CONDUCT.md CONTRIBUTING.md .github
-git commit -m "chore: sync template"
-
-# Verify results
-echo -e "${YELLOW}Verifying results${NC}"
-
-# Check that files were synced correctly
-assert "[ -f CODE_OF_CONDUCT.md ]" "CODE_OF_CONDUCT.md exists"
-assert "[ -f CONTRIBUTING.md ]" "CONTRIBUTING.md exists"
-assert "[ -d .github ]" ".github directory exists"
-assert "[ -f .github/workflows/test.yml ]" "Workflow file exists"
-
-# Check that excluded files were not synced
-assert "[ \"$(cat README.md)\" = \"# Target README\" ]" "README.md was not overwritten"
-assert "[ \"$(cat LICENSE)\" = \"# Target License\" ]" "LICENSE was not overwritten"
-
-# Check commit message
-assert "[ \"$(git log -1 --pretty=%B)\" = \"chore: sync template\" ]" "Commit message is correct"
-
-# Simulate auto-merge behavior as implemented in action.yml
-# Condition: Enable auto-merge only when automerge input is 'true' AND a PR number is available (non-empty)
-echo -e "${YELLOW}Simulating auto-merge behavior${NC}"
-
-# Positive case: automerge enabled and PR number available triggers auto-merge command
-AUTOMERGE="true"
-PR_NUMBER="123"
-AUTO_MERGE_CMD=""
-if [[ "${AUTOMERGE}" == "true" && "${PR_NUMBER}" != "" ]]; then
-  AUTO_MERGE_CMD="gh pr merge ${PR_NUMBER} --merge --auto --delete-branch"
-fi
-assert "[ \"${AUTO_MERGE_CMD}\" = \"gh pr merge 123 --merge --auto --delete-branch\" ]" "Auto-merge command generated when automerge is true and PR number is set"
-
-# Negative case: automerge disabled means skip even if PR number exists
-AUTOMERGE="false"
-PR_NUMBER="123"
-AUTO_MERGE_EXECUTED="false"
-if [[ "${AUTOMERGE}" == "true" && "${PR_NUMBER}" != "" ]]; then
-  AUTO_MERGE_EXECUTED="true"
-fi
-assert "[ \"${AUTO_MERGE_EXECUTED}\" = \"false\" ]" "Auto-merge is skipped when automerge is false even if PR number is provided"
-
-# Negative case: automerge enabled but no PR number means skip
-AUTOMERGE="true"
-PR_NUMBER=""
-AUTO_MERGE_EXECUTED="false"
-if [[ "${AUTOMERGE}" == "true" && "${PR_NUMBER}" != "" ]]; then
-  AUTO_MERGE_EXECUTED="true"
+# ------------------------------------------------------------
+# Ensure uv / uvx is available (mirror action)
+# ------------------------------------------------------------
+if ! command -v uvx >/dev/null 2>&1; then
+  echo -e "${YELLOW}Installing uv / uvx${NC}"
+  curl -LsSf https://astral.sh/uv/install.sh | sh
+  export PATH="$HOME/.local/bin:$PATH"
 fi
-assert "[ \"${AUTO_MERGE_EXECUTED}\" = \"false\" ]" "Auto-merge is skipped when PR number is empty"
 
-# Test list format for include/exclude
-echo -e "${YELLOW}Testing YAML list format for include/exclude${NC}"
-
-# Setup a new test with list format
-cd "${TARGET_REPO}"
-# Clean up previous test files
-git checkout main 2>/dev/null || git checkout -b main
-git reset --hard HEAD~1 2>/dev/null || true
-git checkout -b sync/test-list-format
-
-# Create template.yml with list format
-cat > template-list.yml << EOF
-template-repository: ${SOURCE_REPO}
-template-branch: main
-include:
-  - CODE_OF_CONDUCT.md
-  - CONTRIBUTING.md
-exclude:
-  - README.md
-EOF
-
-# Install yq if needed
-if ! command -v yq &>/dev/null; then
-  wget -qO /tmp/yq https://github.com/mikefarah/yq/releases/download/v4.44.3/yq_linux_amd64
-  chmod +x /tmp/yq
-  YQ="/tmp/yq"
-else
-  YQ="yq"
-fi
-
-# Parse the list format using same logic as action.yml
-INCLUDE_TYPE="$($YQ '.include | type' template-list.yml 2>/dev/null || echo "null")"
-if [[ "$INCLUDE_TYPE" == "!!seq" ]]; then
-  INCLUDE="$($YQ '.include[]' template-list.yml)"
-else
-  INCLUDE="$($YQ '.include // ""' template-list.yml)"
-fi
+## ------------------------------------------------------------
+## Clone the jebel-quant/rhiza repository to test with
+## ------------------------------------------------------------
+#TEST_DIR="$(mktemp -d)"
+#trap 'rm -rf "${TEST_DIR}"' EXIT
+#echo "Using temp dir: ${TEST_DIR}"
+
+#echo -e "${YELLOW}Cloning tschm/monkeys repository${NC}"
+#cd "${TEST_DIR}"
+#git clone --quiet https://github.com/jebel-quant/sync_template.git
+#cd sync_template
+
+# ------------------------------------------------------------
+# Run rhiza commands (mirror what the action does)
+# ------------------------------------------------------------
+echo -e "${YELLOW}Running rhiza validate${NC}"
+uvx rhiza validate .
+
+echo -e "${YELLOW}Running rhiza materialize${NC}"
+# git checkout -B sync/template-update
+uvx rhiza materialize .
+
+# ------------------------------------------------------------
+# Verify basic functionality
+# ------------------------------------------------------------
+echo -e "${YELLOW}Verifying results${NC}"
 
-EXCLUDE_TYPE="$($YQ '.exclude | type' template-list.yml 2>/dev/null || echo "null")"
-if [[ "$EXCLUDE_TYPE" == "!!seq" ]]; then
-  EXCLUDE="$($YQ '.exclude[]' template-list.yml)"
+if git diff --cached --quiet && git diff --quiet; then
+  echo -e "${GREEN}✅ PASS: rhiza commands executed successfully${NC}"
 else
-  EXCLUDE="$($YQ '.exclude // ""' template-list.yml)"
+  echo -e "${YELLOW}ℹ️  Changes detected (this is expected if template has updates)${NC}"
 fi
 
-# Verify parsed values
-assert "[ \"$INCLUDE_TYPE\" = \"!!seq\" ]" "Include field is recognized as a sequence"
-assert "[ \"$EXCLUDE_TYPE\" = \"!!seq\" ]" "Exclude field is recognized as a sequence"
-
-# Check that parsed values contain expected content
-assert "echo \"$INCLUDE\" | grep -q 'CODE_OF_CONDUCT.md'" "Include contains CODE_OF_CONDUCT.md"
-assert "echo \"$INCLUDE\" | grep -q 'CONTRIBUTING.md'" "Include contains CONTRIBUTING.md"
-assert "echo \"$EXCLUDE\" | grep -q 'README.md'" "Exclude contains README.md"
-
-echo -e "${GREEN}All tests passed!${NC}"
\ No newline at end of file
+echo -e "${GREEN}All tests passed!${NC}"