2023 MID-YEAR ECONOMIC REPORT:
In addition to the cover story, coverage includes a look at the labor market, consumer behavior, the manufacturing sector and the local hotel industry midway through 2023.
34 Diversity in Business
BizTimes Milwaukee (ISSN 1095-936X & USPS # 017813) Volume 29, Number 6, July 24August 20, 2023. BizTimes Milwaukee is published bi-weekly, except monthly in January, February, March, April, July, August, November and December by BizTimes Media LLC at 126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120, USA. Basic annual subscription rate is $108. Single copy price is $6. Back issues are $9 each. Periodicals postage paid at Milwaukee, WI and additional mailing offices. POSTMASTER: Send all UAA to CFS. NON-POSTAL AND MILITARY FACILITIES: Send address corrections to BizTimes Milwaukee, 126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120. Entire contents copyright 2023 by BizTimes Media LLC. All rights reserved. 5 Leading Edge 5 NOW BY THE NUMBERS 6 JUMP START – WorkShift 7 MY FAVORITE TECH – Atomix Logistics CEO Austin Kreinz GETTING THERE – Pfister Hotel artist in residence Nicole Acosta 8 MEET THE WISCONSIN 275 – Paul Bartolotta 9 BIZTRACKER BIZ POLL 10 News 10 PHOTO ESSAY: Harley-Davidson’s 120th Anniversary celebration 12 Advocates say efforts to revitalize Milwaukee’s 30th Street Industrial Corridor not slowed by Master Lock exit 14 Real Estate 44 Notable Leaders in Accounting 52 Biz Connections 52 GLANCE AT YESTERYEAR COMMENTARY 53 NONPROFIT 54 5 MINUTES WITH… Vivent Health chief advocacy officer Bill Keeton TOWNBANK.US/YOURPARTNER LAVERNE DAVIS JUAN MIGUEL MALDONADO WISCONSIN’S BANK FOR BUSINESS® $10,000 AUTOMOBILE REPAIRS EASY ACCESS TERM LOAN FOR DIAGNOSTIC EQUIPMENT 4 / BizTimes Milwaukee JULY 24, 2023
Many of the same firms that worked on the 32-story Northwestern Mutual Tower and Commons project, completed in 2017, are back to work on the company’s $500 million transformation of its North Office Building at its headquarters campus in downtown Milwaukee.
Located at 818 E. Mason St.,
the 18-story building will be rebuilt and will replicate the 32-story office tower at 805 E. Mason St. Northwestern Mutual will reclad the parking structure to the west of the building to fit in with the rest of the campus.
The Milwaukee-based life insurance company recently announced the project team, fea -
turing a blend of local and national firms, and held an information session for roughly 180 construction-related businesses to learn about the bidding process.
New Haven, Connecticut-based Pickard Chilton will be joined by Houston-based Kendall/ Heaton Associates as the architectural team. Providence, Rhode Island-based Gilbane Building Co. will parnter with Milwaukee-based CG Schmidt Inc. as the general contractor and construction manager. All four firms worked on the Tower and Commons project.
“Any construction project will have some unique challenges, but I think we have the benefit of working with the same team, largely, that we had with the Tower and Commons,” Rebecca Villegas, vice president of compliance at Northwestern Mutual, told BizTimes.
Milwaukee-based Eppstein Uhen Architects will provide interior design services.
Houston-based Hines will serve as the project’s development manager and advise on all facets of the project, from design and budget through construction and move-in.
The company filled a similar role for the Tower and Commons project and is also building a 31-story apartment tower in Milwaukee’s Historic Third Ward. Hines was also the development manager for Northwestern Mutual’s 7Seventy7 apartment tower development in downtown Milwaukee.
Northwestern Mutual also announced that Cross Management Services, a Milwaukee-based business management company, will recruit small business enterprises and city residents to be involved in the project. Northwestern Mutual has committed to use SBEs for at least 25% of construction and supply costs and at least 18% of professional services costs on the construction of the project.
The company is also adopting the city’s Residents Preference Program to hire unemployed and underemployed residents for at least 40% of total on-site construction worker hours.
Further, the company is working with the City of Milwaukee Office of Equity and Inclusion to ensure that subcontractors represent different groups such as minority-owned businesses, veteran-owned businesses and women-owned businesses.
As part of $30 million tax incremental financing deal for the project, Northwestern Mutual plans to have 5,375 employees working at its downtown campus upon its completion. n
The Milwaukee Repertory Theater has raised
or 81%, of the $75 million it needs to build a new downtown Milwaukee theater complex.
$61 MILLION,
LOCATION:
FOUNDERS:
FOUNDED: 2020
SERVICE:
EMPLOYEES:
3
GOAL:
GOOD HELP is hard to find. For those in the hospitality industry, the impact of the COVID-19 pandemic made it even harder.
For Bekki Yang, chief executive officer of West Allis-based WorkShift, this lesson was learned early on in the process of running her own catering business, called Eggrolls To Go, in 2016.
“To run a weekend-only catering company, plus a pop-up, you get so busy,” said Yang. “That’s when I first thought, ‘Gosh, I wish I had some extra help I could tap into.’”
That’s when the idea behind WorkShift, an app connecting gig workers with restaurants and hospitality businesses, was initially born. After connecting with her now co-founder and chief development officer Manny Lara in 2019, the duo decided to move forward with building the platform. Lara also has a background in human resources
WorkShift aims to connect restaurant and hospitality businesses with available talent to fill open shifts, while also helping talent learn the skills needed to land whatever career they want in the industry. WorkShift took home first place in the business services category of this year’s Governor’s Business Plan Contest.
What differentiates WorkShift from other
gig work apps, according to Yang, is the user base it’s targeting. WorkShift targets college students, those already in the hospitality industry and looking to make some extra cash, and people in between jobs who are looking for work.
“There are not enough restaurant and hospitality workers right now,” said Yang. “The pool of workers has shrunk. What we do know is with inflation, the cost of living is going up. It’s not that we’re looking to find all this new talent. What we’re doing is creating a larger pool of talent (to pull from).”
Another WorkShift feature will be a career advancement component that helps users apply for jobs that will get them closer to their dream job. From there, WorkShift would also offer users an “AI-scripted” resume that would allow them to copy and paste certain work experiences and skills into their real resume.
“We’re not just another gig app. With gig apps, you come in, pick up a job, get paid and check out. We’re that plus more,” said Yang. “Our goal is to grow the next generation of service industry professionals.”
The company is gearing up to launch a funding round, which will help WorkShift move into the beta testing phase. n
Founder and chief executive officer, Atomix Logistics
As the head of a quickly growing e-commerce fulfillment company in Milwaukee, Adam Kreinz is all about leveraging technology to become even more efficient and to stay in contact with his 100-plus customers across the globe. He shared some of his favorites:
It seems simple and boring, but the combination of Gmail for emailing, Google Drive for document storage and Google Meet for meetings is by far the best value for growing a startup, especially a bootstrapped one. Not only is the collaboration aspect for internal teams and external partners a game changer, but for a tech-centric organization, the interconnectedness of their apps and the accessible (application programming interface) makes leveraging modern tools like ChatGPT, Slack, Zapier and thousands more extremely easy and fast.
Our team has been predominantly exploring ChatGPT’s latest version. The most exciting development is twofold. First, leveraging Open AI’s API to connect to other data sources. I’ve used it to pull QuickBooks financials directly into Google Sheets with a simple question: ‘What was net income for Q1?’ Second, implementing AI customer support and training ChatGPT on our internal knowledge base.
There’s no better tool to communicate, plan and organize conversations for internal teams and organizations. I’m also in several additional groups of founders and local Milwaukee entrepreneurs in which we communicate and help each other.
It’s an undervalued tool by most from a business perspective. From firsthand experience, I can say that I’ve made close friends and created highly valuable business partnerships by speaking with others, asking questions, sharing my story and helping others. If you’re looking for opportunity, or simply conversation, go on Twitter and give it a chance. Also, with the proliferation and speed of news and media, it’s important to decipher what’s the truth and what’s not. While that can be hard, the speed of information is incredible. I’ve used this countless times to get insight on news impacting our business, carrier updates, weather and sports (for fun!). n
Personally, as an artist with a very communal practice, visibility is the goal. The Pfister Hotel attracts people from around the world and locally. So, this residency was an opportunity to represent the city I was born and raised in while also reaching people beyond Milwaukee.
People who have a deep connection to hoop earrings were my inspiration. As well as the lack of representation of the work being shown in galleries. I birthed this body of work from the desire to create space for underrepresented voices. For me not to tell my subject’s stories, but for my subjects to share their own personal stories. Right now, I’m focused on taking a break from photographing additional works. I’m focusing on the first iteration of the HOOPS coffee table book.
My marketing background has been instrumental in how I’ve been able to push the messages of my subjects into the world, and I’ve had to think creatively about how to connect with communities outside of Milwaukee. Usually, in marketing, the goal is to sell an idea of some sort or to generate revenue. Although I’m not selling anything, the brand HOOPS has generated a lot of interest and support and has built an entire community of people who now view HOOPS as art, a way to teach history and a place to belong.
Being in spaces that don’t reflect or represent me. As well as being the only woman identifying person in many spaces. n
14th artist in residence, The Pfister Hotel
AGE: 40
HOMETOWN: Milwaukee
EDUCATION: Bachelor’s in marketing management from Alverno College
PREVIOUS POSITION: Marketing director at the Milwaukee Chamber Theatre
This Q&A is an extended profile from Wisconsin 275, a special publication from BizTimes Media highlighting the most influential business leaders in the state. Visit: biztimes.com/wisconsin275 for more.
Education:
Graduate of the Restaurant and Hotel Management program at Milwaukee Area Technical College
What was your first job, and what did you learn from it?
“I was a dishwasher at Balistreri’s Italian Restaurant in Wauwatosa. I learned hard work, discipline and to love working in a restaurant kitchen environment.”
What are some of your favorite destinations or places to visit?
“Italy, France, Spain, the U.K.”
What would people be surprised to learn about you?
“I am actually an introvert and a homebody. Despite my public personality, I am quite shy.”
What was your first car? How long did you drive it for?
“My first car was an Alpha Romero 164L. I drove it for five years. It had a burgundy exterior and a mustard-yellow leather interior.”
If you could take a one-year sabbatical, what would you do?
“I would live in Naples, Italy and learn how to tailor men’s suits, and I would live in Florence, Italy and learn how to be a cobbler and make handmade shoes.”
What’s the toughest business challenge you’ve had to overcome?
“Navigating COVID and the closures were by far the most
Chef, owner and co-founder The Bartolotta Restaurants MILWAUKEE
– today includes 17 restaurants and catering facilities in the Milwaukee area that range from fine dining (Lake Park Bistro, Harbor House and Bacchus) to casual grab-and-go concepts, like Downtown Kitchen inside the U.S. Bank Center. For three consecutive years, Joe and Paul were selected as semi-finalists for the James Beard Foundation’s Outstanding Restaurateur award, and Paul was also a finalist in 2020. In 2022, Bartolotta’s acquired the Harbor House property, opened Roundhouse at McKinley Marina, and is in the process of opening its newest fine dining restaurant at the former Seven Seas building in Delafield. Paul participated in the bidding process to bring the 2024 Republican National Convention to Milwaukee, traveling to Salt Lake City and hosting the site selection committee at Lake Park Bistro.
difficult business challenge we have had to face. It wasn’t even that we had to close, but we had to tell people who worked for us that they couldn’t come to work. We made it a priority to take care of our people as best we could and make sure that no one struggled through quarantine. We set up food pantries and food delivery and if there was anything people needed, we tried to help out. Our team has grown to be family over the years and facing that was incredibly difficult.”
What has been your company’s most significant success over the past 12 months?
“The fact that we have not only reopened our venues and are operating successfully after COVID but are really in growth mode as a company is a huge success that we are proud of. We fully acquired the Harbor House restaurant last summer. Bartolotta’s Lake Park Bistro celebrated its 27th anniversary in 2022, and we celebrated by bringing back the popular a la carte menu that guests have been asking for. We also opened Roundhouse at McKinley Marina last summer as an amenity to the lakefront as well as signed on to open The Commodore - A Bartolotta Restaurant in Delafield this year. I am incredibly proud of the forward momentum of this company.”
What is one thing you would change about Wisconsin to make it even better?
“I want Wisconsinites to be more boastful about how amazing Wisconsin is! We live in the most incredible state. We have four beautiful seasons, farms and industries that
produce products you can’t find anywhere else, miles and miles of lakefront providing unbeatable views, exceptional county parks and incredible activities. Wisconsin has smalltown charm, but it can actually compete with any state in the nation as far as sophistication, industry and innovation.”
Is there a nonprofit cause that has special meaning to you?
“Breast cancer awareness and prevention nonprofit organizations are very close to my heart.”
What is the biggest risk you have ever taken?
“The biggest risk I ever took was to reconceptualize my restaurant Bartolotta Ristorante di Mare at Wynn Las Vegas on the second day of operations. You have to be willing to change and adapt in this industry, sometimes quickly.”
Top of your bucket list:
“To eat Japanese food in Japan and visit the fish markets there.”
What has you most excited about the future?
“The Bartolotta Restaurants is all about forward momentum and growth. We are looking forward to expanding to Lake Country with the opening of The Commodore - A Bartolotta Restaurant this year. We are welcoming back business groups and large events at our catering partners. Our community took a big hit during COVID and we do not take for granted the position that we are in. We are thankful for our community for sticking by us, trusting us, and helping us succeed at what we do best.” n
The latest area economic data.
A total of 2.34 million passengers traveled through Milwaukee Mitchell International Airport during the first five months of the year, an increase of 3.7% compared to the same period in 2022.
IMPROVEMENT: 50%
STABLE/FLAT: 25%
DECLINE: 25%
There were 1,067 new car registrations in the metro Milwaukee area in May, a year-over-year increase of 47.2%
Wisconsin’s gross domestic product grew by 1.2% during the first quarter of 2023.
Wisconsin’s unemployment rate was at 2.4% in May.
Single-family home sales in the metro Milwaukee area were down 25.4% during the second quarter, compared to the same period in 2022.
Including the How She Leads thought leadership pages
August 21, 2023
Space Reservation: August 2, 2023
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THAT FAMILIAR HARLEY-DAVIDSON motorcycle engine rumble was a constant sound across the Milwaukee area as an estimated 200,000 riders from roughly 50 countries recently took to area streets in celebration of the iconic brand’s 120th anniversary. The four-day Homecoming Festival ran July 13-16, with events at Veterans Park along downtown Milwaukee’s lakefront, the Harley-Davidson Museum in the Menomonee Valley, Harley-Davidson’s powertrain operations in Menomonee Falls and several Harley-Davidson dealerships in the suburbs. Veterans Park was the epicenter of day-long activities and music, including concerts from headliners Green Day and Foo Fighters. The celebration culminated with the 120th Anniversary Parade through downtown Milwaukee. Going forward, Harley-Davidson intends to host its Homecoming Festival here as an annual event, not just every five years. Next year’s is set for July 25-28.
1. Bike parking lots took over portions of the Harley-Davidson Museum campus.
2. Attendees, including a rider repping the notorious Outlaws motorcycle club, check out the festivities at the museum.
3. A BMX rider goes off a jump during the Division BMX stunt show.
4.
THERE’S SOMETHING shifting within Milwaukee’s 30th Street Industrial Corridor. At least that’s what some business owners and economic development professionals are sensing.
Kyle Stephens moved his company Craft Beverage Warehouse LLC into the original Century City Business Park building, located at 31st Street and Capitol Drive,
more than two years ago. Formerly vice president of finance for Milwaukee-based Good City Brewing, Stephens is part of the group that acquired the Century City building back in 2018. Today, the building is entirely leased with five tenants.
“People call all the time to ask if we have space available. It wasn’t like that when we first purchased the building,” said Stephens.
This might seem counterintuitive to what most Milwaukeeans have heard about the 30th Street Industrial Corridor over the years.
Earlier this year, news broke that Oak Creek-based Master Lock was planning to close its manufacturing plant in Milwaukee, located at North 32nd and West Center streets. The closure will cost 330 people their jobs.
Master Lock is by no means the only manufacturer to have shuttered operations within the corridor. A.O. Smith, Briggs & Stratton, Glenn Rieder Inc., Perlick Corp. and Leonardo DRS have all moved operations out of the city’s northwest side over the past couple of decades
The Master Lock news is, however, the latest hit in a cycle that city leaders and stakeholders have been working to combat for years.
But Stephens believes the corridor is primed for redevelopment with readily available incentives for
business owners and access to the local workforce. His own company, which specializes in wholesaling packaging materials and digital printing, has grown from two employees to 10 within the last year. There are also two open positions.
Access to the interstate is of high importance to Craft Beverage Warehouse and since Century City is a newer building, the logistics behind shipping products are easier. Of equal importance is the nearby access to workers.
Stephens believes smaller businesses willing to take more risks will be key to spurring redevelopment efforts in the corridor. He also thinks some sort of attraction could serve as a catalyst for those efforts – ideally something that would get visitors out of their cars to explore the neighborhood.
He pointed to how American Family Field has familiarized visitors with the Menomonee Valley.
“Bigger companies are going to see (what’s happening here) and say ‘if those guys can do it when we have all this infrastructure and capital, then we can do it too,’” he said. “We’re going to see a funnel start to happen at some point. I can feel it.”
Cheryl Blue, executive director of the 30th Street Industrial Corridor Corp. and business improvement district #37, grew up down the street from Master Lock in the city’s Amani neighborhood. For as long as she can remember, the name Master Lock had been deeply engrained within the community and said it was “very disheartening” to hear about the planned closing.
“But we have to continue to move forward,” she said.
Part of moving forward is a new strategic plan created by the 30th Street Industrial Corridor Corp. (a nonprofit organization that supports and promotes economic development in the area), the organization’s board and a group of stakeholders last year. The goal is to take a comprehen -
sive approach to revitalizing the corridor, Blue said.
Unlike the Menomonee Valley or Harbor District, other parts of Milwaukee seeing revitalization, the 30th Street corridor is not completely industrial, Blue explained. This means 30-IC must take a people-centered approach to revitalizing the area.
“When we look at revitalization, we definitely want to attract great companies, however, we also need to invest in the corridor’s greatest resource, the people that live there” she said.
Housing is one of the major initiatives mentioned in the organization’s strategic plan, which has not yet been publicly released. Blue said many of Milwaukee’s 3,000 vacant lots are located within the 30th Street Industrial Corridor. The 30-IC and BID #37 are working on creating a fund that would support
emerging developers looking to build homes on those vacant lots.
Having a satellite historically Black college or university (HBCU) move to the corridor in the hopes of increasing the number of professionals in the area is another idea under consideration, but the idea is still in the exploration stage. HBCUs produce a large percentage of Black professionals in America.
“Manufacturing has changed a lot since Master Lock came here over 100 years ago,” Blue said. “We need to invest in other ways to train and retain the young people that are here.”
Ongoing redevelopment efforts being spearheaded by the city of Milwaukee include using $2 million out of a $5.5 million EPA grant for environmental cleanup efforts at 3940 N. 35th St. Another $500,000 is earmarked for environmental site assessment and will likely be targeted within the corridor. The ongoing Melvina Park expansion project will restore a vacant lot in the corridor, at West Melvina and North 29th streets. The expanded park will include community gardening and other recreational activities.
Millions of dollars have also been spent through a tax incremental financing district to prepare the former A.O. Smith and Tower Automotive site for redevelopment, including to support the building Craft Beverage Warehouse and Good City call home.
There’s also been good news
recently with Sussex-based printer and marketing firm Quad/Graphics opening a presence in the Century City Tower on North 27th Street.
But with so many other large companies relocating their operations from the area, it isn’t unreasonable to question whether the city and partnering organizations should put less emphasis on attracting big corporations to the corridor.
Willie Smith, executive director of Northwest Side Community Development Corp., believes as manufacturing continues to evolve and become more automated –leading to fewer employees and less space required – the corridor doesn’t need to rely as much on heavy industry as it has in the past.
“The argument is that small businesses are going to hire the majority of the people, as they do now,” said Smith. “We’d be wise to focus more on these smaller businesses.”
He echoed Stephens’ sentiment in saying the corridor has become an increasingly popular area for business owners in the last couple of years as it benefits from newer buildings like Century City and efforts to address potential environmental concerns.
NWSCDC remains focused on economic development and workforce development issues within the corridor. In recent years, the organization closed on an
expanded loan to the Mid-West Energy Research Consortium to build an innovation center in the Century City Tower building at 4201 N. 27th St. M-WERC has its own accelerator aimed at attracting new businesses. NWSCDC also funded in part the development of the Century City building.
Now, the organization is working on developing an FDA-approved food manufacturing facility for businesses. The building would be located within the Century City Industrial Park in an adjacent, 54,000-square-foot building, according to Smith.
“I really see it as one small piece at a time, but at some point, you reach a critical mass and others are able to see what you’re able to see,” he said. “I’m able to see a lot but others sometimes have to see something physically happen.” n
RIGHT NOW, it’s the City of Milwaukee Traffic Sign Shop, a yard at 1540 W. Canal St. filled with concrete anchor bases for streetlights, a warehouse and lots of metal poles for street signs.
In the future, the 6.8-acre site, situated on the banks of the Menomonee River, could instead be occupied by a business that manufactures or designs these sorts of items.
It’s all part of an effort to transform Milwaukee’s Menomonee River Valley from the “back door” of the city to the “front door,” says Corey Zetts, executive director of Menomonee Valley Partners.
“When these city uses were put down in the valley, the valley was a place that our community put things it didn’t want anywhere else in the city,” said Zetts. “So much has changed.”
A May fire at the Milwaukee Recycles facility on West Mount Vernon Avenue in the valley prompted some city officials to question the future of that cityowned property, with Ald. Bob Bauman asking during a Public Works Committee meeting, “Is that the highest and best use of real estate as the downtown area
Milwaukee-based financial services firm Baird has extended its office space lease at the U.S. Bank Center in downtown Milwaukee and plans to add signage to the top of the building.
The largest tenant in the 1.1 million-square-foot building (the tallest in Wisconsin), Baird occupies 21 of the U.S. Bank Center’s 42 floors. The company’s lease has been extended to 2033 for 456,000 square feet of office space.
Founded in Milwaukee in 1919, Baird moved its headquarters to the U.S. Bank Center shortly after the building opened in 1973, with approximately 200 employees occupying three floors. Today, Baird has more than 1,600 associates working in downtown Milwaukee.
Under its lease extension deal, Baird will add signs on the north and south sides of the office tower and to its parking garage.
ADDRESS: 777 E. Wisconsin Ave., Milwaukee
OWNER: U.S. Bank
SIZE: 456,000 square feet
The recycling center and the traffic sign shop aren’t the only properties that remain publicly-owned in the Menomonee Valley. The city of Milwaukee and Milwaukee Metropolitan Sewerage District own a combined total of 51 acres of riverfront land in the Menomonee River Valley, largely scattered between North 6th Street to the east and South Layton Boulevard to the west, according to the Milwaukee County GIS system.
“It’s pretty tough to conceptualize how much land they actually own,” said Gard Pecor, senior market analyst with CoStar Group Inc. “There’s a lot (of development) you can do on 51 acres.”
Long term, the Menomonee Valley Business Improvement District (BID #126) would like to see all of these publicly owned sites redeveloped, according to Zetts.
“For the Valley, I think it’s important that we really think long term about the future of the river and see it as an amenity,” said Zetts.
In 2015, the BID studied its land and determined that riverfront land should be used for light industrial uses with an emphasis on businesses that can also bring people to the valley and the river.
None of the publicly owned land in the Menomonee Valley requires river use, which is why the land would be better suited to something like City Lights Brewing, which makes use of the improved Menomonee River while honoring the Valley’s manufacturing roots, Zetts said.
Pecor, who recently took to Twitter to call attention to the 51 acres of publicly owned land in the Valley, envisions more mixed-use, bringing multifamily residential developments to the area as one of the city’s greatest needs right now.
“Retail activating these waterfronts with apartments or condos, those generate the highest taxes and also helps us improve the density and diversification of downtown,” he said.
That’s only if this land were to be freed up. A spokesperson with
the city said no official action has been taken to move the recycling center or any other current city operations out of the valley, through the Redevelopment Authority is getting 10 acres of vacant city-owned land ready for development.
When it comes to the recycling center, city officials said they’ve considered moving it for years, but it’s not cheap, estimating the cost to be between $15 million and $20 million.
The benefits could be synergistic, though.
Selling the city-owned land would put it on the tax roll, increasing the property tax revenue on which Milwaukee is reliant.
Redeveloping former city land isn’t a new concept in the Valley. The Harley-Davidson Museum, The Sigma Group and Palermo’s Pizza were all built on former cityowned land.
“All of those (companies) are supplying a lot of jobs or bringing in a lot of people,” Zetts said.
Larry Stern, president and third-generation family owner of Standard Electric Supply Co. and a BID board member, has worked in the Valley since shortly after the company moved its operations there in 1986. “We were one of the first, if not the first, to recognize the potential of the Menomonee Valley,” said Stern, who’s also on the BID board. “There’s been an amazing transformation of underutilized land in the valley. … There’s no question that there’s a better use for other land like the recycling center.” n
Muskego-based Royal Recognition Inc. is marking four decades in business with a nearly $5 million, 20,000-square-foot expansion of its headquarters office and production facility.
It’s the fourth expansion project at the property since Royal Recognition established its home base there in 1997. The company offers workplace recognition programs in which companies can recognize employees for anniversaries and other performance milestones.
The project will increase warehousing space and production capacity for screen printing and embroidery, with the addition of two new embroidery machines as well as new print machines for apparel. Roughly 1,000 square feet of office space will be added to the second floor for the company’s customer support team.
ARCHITECT: Eric Neumann of -er, Construction Solutions, LLC
SIZE: 20,000 square feet
ADDRESS: S83 W19105 Saturn Drive, Muskego
BIZTIMES: You Joined Bank Five Nine in October 2022 as the new President & CEO. What drew you to the bank?
TIM SCHNEIDER: “I have enjoyed a long career in community banking and was looking for an opportunity to continue to lead a successful organization that fits that model. I have extensive experience throughout Wisconsin, and most recently served as a Senior Vice President at Nicolet National Bank. Prior to that, I was the CEO and Co-Founder of Investors Community Bank in Manitowoc.
Bank Five Nine has an outstanding reputation in Wisconsin, and I really like the communities that the bank serves. I look forward to continuing the tradition of strong support in those areas and have already been impressed with the bank’s culture and outstanding team.”
BIZTIMES: How would you describe the culture of Bank Five Nine?
SCHNEIDER: “I believe strongly in family-oriented cultures. When employees care about each other, they work together to best serve customers. Bank Five Nine is exactly that type of organization. We are one of only a handful of companies to be recognized as a Top Workplace for 14 consecutive years and are recognized by American Banker Magazine as a Best Bank to Work For. The culture here is strong, and through collaborative leadership I hope to make it even stronger in the future.”
BIZTIMES: Where do you see your company in 1 year, 5 years?
SCHNEIDER: “Bank Five Nine is uniquely positioned for future success. Due to continued increase in regulation, investment in technology and staffing issues, many smaller banks will continue to struggle to compete. That means that the number of truly local community banks may decrease, leaving fewer options for those customers that prefer a local bank. We will be a desirable option for those customers, as we are well-capitalized and have a conservative growth plan that ensures we will be here well into the future. We were founded over 160 years ago and are the oldest bank based in SE Wisconsin. Our business model sets us up well to continue to serve our customers for decades to come.”
BIZTIMES: What do you see as your most important responsibility to your customers?
SCHNEIDER: “Our mission at Bank Five Nine is to “Make Lives Better.” That mission is an obligation we have to our employees, our shareholders, our communities and our customers. Making lives better doesn’t just mean that we offer customers a safe place to grow their money. It means that we help make our communities vibrant places to live, work and play. It’s why
we donate over $140,000 annually to local non-profits, and our employees spend over 6,800 hours volunteering with local organizations. We have community loan pool programs to help small businesses open and grow. And we are investing in technology to help our customers better manage their finances and plan for the future. At our core, that’s what it means to be a strong community bank.”
In addition to being a devastating health emergency, the COVID-19 pandemic sent shockwaves through the economy that are still being felt three years later.
Shutdowns of businesses and other operations — some mandated by governments in an attempt to prevent the spread of the virus — were severely detrimental to the economy. Governments around the world then provided massive amounts of stimulus to prevent an economic collapse but that led to significant levels of inflation globally. To fight inflation, central banks raised interest rates. In the United States, the Federal Reserve has increased interest rates 10 different times since March of 2022, finally deciding to hold steady in June of 2023.
Year-over-year inflation in the U.S. peaked at 9.1% in June of 2022 and has steadily declined since.
With inflation cutting into consumers’ purchasing power and higher interest rates increasing borrowing costs, many economic observers expected the U.S. economy to slow and dip into a recession this year. But after two quarters of GDP decline at the start of 2022, the U.S. economy continues to grow, albeit slowly. The Federal Reserve Bank of Atlanta projects second quarter growth of U.S. GDP at 2.3%. First quarter GDP growth was 2.0%.
The U.S. labor market, with an unemployment rate of only 3.6% in June, continues to bolster the economy through numerous headwinds. With year-over-year inflation down to 3.0% in June, a pause by The Fed on increasing interest rates, low unemployment and significant improvement in the stock market since September, some economic observers now say the U.S. economy might avoid a recession — and make a “soft landing.”
To check in on where things stand with the economy midway through 2023, BizTimes Milwaukee editor Andrew Weiland conducted a Q&A with a pair of economists: Michael Knetter, president and chief executive officer of the University of Wisconsin Foundation (and former White House economic advisor), and Brian Jacobsen, chief economist at Annex Wealth Management.
The following is a portion of their conversation. See the full Q&A at biztimes.com/2023-mid-year.
BIZTIMES: Although there was negative growth for the first two quarters of 2022, the economy still has not officially entered a recession yet in this cycle. A recession has been widely expected, largely due to significant inflation and the Fed’s attempts to fight inflation by increasing interest rates. Is it possible that we are actually going to avoid a recession and make a soft landing?
KNETTER: “It is very possible, thanks to the hot labor market and possible growth in labor supply that had been sidelined in the pandemic. Supply chains are working better as well.”
JACOBSEN: “A key question is, ‘A soft landing for whom?’ Manufacturing and housing already had a recession. Services and the broad labor market are doing well, but credit availability is likely to contract. Consumers seem to be running out of stimulus funds and credit card capacity to keep services spending elevated. It really wasn’t until August 2022 that monetary policy started getting tight enough to actually start being considered restrictive. In the timescale of monetary policy, it’s still early days in feeling the full effects of tighter policy. Don’t declare victory yet.”
The U.S. unemployment rate in May was 3.7%, and in Wisconsin it was at 2.4%. That sure doesn’t sound like a recession to me. The labor
market is the biggest thing pulling the economy along, isn’t it?
KNETTER: “Absolutely. And it’s a combination of spending holding up, households facing inflation, and people being drawn back to the labor force by the higher wages and prices.”
JACOBSEN: “The labor market is doing well, but a key question is, why? Hiring isn’t high just for the sake of hiring. During COVID, consumers shifted from spending on services to goods. They’re still shifting back to spending on services. The fastest growth over the past year has been spending on food services, accommodations and recreation. People are craving experiences. The leisure and hospitality industry has seen payrolls expand by 5.7% over the past year while overall payrolls have expanded 2.7%.”
Can the labor market maintain its strong performance going forward?
KNETTER: “As long as demand doesn’t collapse, yes. If the Fed can show enough patience in getting inflation down, they may not need to crush demand.”
JACOBSEN: “Based on the trend in payrolls growth from 2015 through 2019, the (U.S.) economy is still short 4 million jobs. So, yes, the labor market can
continue to improve even if the overall economy slows. The labor market is a lagging indicator, whereas job growth is the last thing to slow. It’s also the last thing to accelerate coming out of a recession. With baby boomers retiring and how difficult it has been to find, attract and retain workers, the labor market damage from a recession could be unusually mild. That should help blunt the pain from any economic slowdown. The flipside is that business profits are likely to come under increasing pressure.”
The labor force participation rate has been improving in recent months. Do you think that’s a sign that more people who left the labor force during the pandemic are returning? Do you see that trend continuing? How much upside is there realistically to labor force participation?
KNETTER: “Yes, it’s very much about labor supply, and inflation and higher wages are stimulating the return of supply. The place we might see more growth in participation is older retirees who might need more income now given higher prices they are facing.”
JACOBSEN: “The labor force participation rate for the prime working age population has improved 1.5 percentage points for men and 2.9 percentage points for women. Those are big improvements
BIZTIMES: How does your company foster innovation?
KEVIN KANE: “First Business Bank fosters innovation by focusing on efficiency, continuous improvement, and an open exchange of ideas among our teams. We want employees to question existing processes and seek better solutions. Equally important, we deeply value client feedback to guide us. Our approach is simple: listen and act. For us, innovation isn’t just about new ideas — it’s about aligning those ideas with our mission while meeting our clients’ needs.”
BIZTIMES: What do you see as your most important responsibility to your customers?
KANE: “I believe the most important responsibility to our clients is understanding their goals and what may be preventing them from reaching those goals. That’s the foundation and helps guide the solutions and services we provide. Our role extends beyond banking solutions. For example, sharing benchmarking data or metrics relevant to their industry, making introductions to potential suppliers, customers, or COIs. How can we empower them with data, connections, and advice to create opportunities for them?”
BIZTIMES: Who was your hero when you began your career?
KANE: “Early in my career, my hero was Jim Wigdale, at the time he was CEO of M&I Bank. He exemplified how to treat people. Despite leading a large company, he was incredibly grounded. His actions spoke louder than words, defining what it meant to be a good banker, including taking responsibility for mistakes, which deeply impressed me. He showed me you can achieve success without an ego simply by being a caring, genuine individual who valued both employees and clients.”
BIZTIMES: What opportunities and challenges do you see on the horizon for your industry?
KANE: “Amid the current volatility, I think banks that remain focused on their core strengths will see more opportunities, not less. A consistent, client-centered approach is more valuable than ever. I believe businesses will seek banking partners that pay attention to them, communicate well, listen to what they need, and deliver it quickly.
Our challenges are macroeconomic disruptions and changing regulations. And attracting younger talent by showing them banking is a rewarding career.”
Kevin KaneBIZTIMES: Does your company have any new products or services to announce?
KANE: “First Business Bank launched Integrated Payables, a solution for businesses that automates the accounts payable function. It significantly improves operational efficiency by simplifying payment processing, reducing cost, and enhancing payment security. We’ll continue to emphasize Treasury Management and technology as a way for us to help clients transform their companies.”
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and are close to where they were pre-COVID, finally. The labor force participation rate for those 55 and older has fallen, and it doesn’t seem to be budging any higher. That may appear to be a structural change, but people did come out of retirement throughout the economic expansion from 2003 through 2007, so you never really know.”
Many were alarmed with the inflation rate in the U.S. during the past year, but now that’s slowing down. What do you expect inflation to look like in the coming months and why?
JACOBSEN: “A lot of people look at the year-overyear changes in prices as a measure of inflation, but the pros look at the shorter-term changes in the various components of inflation to see if there is a change in the trend. Inflation is really a mixed bag of goods and services and instead of everything going up or down in prices, we’re seeing a lot more price divergences. Inflation at the headline level will likely continue on a downward trend but with plenty of potholes and bumps along the way. The cost of eating out versus at home was growing but has begun to moderate a bit. Shelter costs include rent and hotels, and both of those shot up last year but are beginning to come back down to earth. Used car prices skyrocketed but have begun to fall, while new car prices are beginning to increase. Gasoline costs fell a lot from last year, but are beginning to stabilize if not trend higher. Airline fares were very elevated but have begun to enter their descent. Medical costs have been on a downward trend but look like they could start to rebound.”
Encouraged by the slowing rate of inflation, the Fed has finally taken a pause on increasing interest rates. How significant is that? How long do you think the Fed will stand pat?
KNETTER: “The Fed may do a couple more 25 basis-point hikes yet this year. Again, it depends how patient they are in bringing inflation down.”
JACOBSEN: “We don’t know because they don’t know. They’re flying by the seat of their pants. It is somewhat comforting that they decided to pause their rate hiking campaign in June, but what they say they plan on doing is only as credible as their forecasts. Their forecasts have been horribly wrong. They seem to come from a Magic 8 Ball instead of a crystal ball. One problem is that they tend to forget that monetary policy affects supply along with demand. They can crush the will of buyers of homes with higher mortgage rates but that also reduces the inventory of existing homes available since people may feel locked into their low-rate mortgages. The Fed dug itself a hole by
being too slow to hike, but now they’ve dug a different hole by hiking without a clear view of what those hikes mean for the economy. Prudence would suggest they should take the summer off.”
Perhaps the biggest economic red flag of the first half of 2023 has been turmoil in the banking sector. The failure of a few banks, including Silicon Valley Bank, had some worried that the industry was on the verge of a collapse like in 2008, which drove the economy into the Great Recession. That seems to have calmed and stabilized more recently. Are we out of the woods there? What’s your take on the state of the nation’s banking sector?
KNETTER: “The big banks weathered stress tests very well. There could be more isolated issues from banks with unusual exposures to commercial real estate loans but I believe we are past the worst.”
JACOBSEN: “I’m not worried about a cascade of bank failures. They really are in better financial shape than before the (2008) financial crisis. Most importantly, the Fed has their back. Banks have ample availability of funding and if they are in dire straits, the FDIC has a very comprehensive and rapid way to ring-fence the problem banks. With more than 4,000 commercial banks in the U.S., it would be surprising if some of them didn’t fail, but it will likely be due to problems specific to the individual banks. Bank exposure to commercial real estate is a real question. Smaller banks have more exposure than larger banks and commercial real estate, like all real estate, is very local. Lending standards are rising, bank profitability is falling, and it’s not exactly a recipe for good times for small businesses and households that rely on small banks for loans.”
Consumers are still spending, but how long can they continue to do so? Inflation is causing many consumers to eat into savings and to borrow more. Are we in danger of a consumer-spending slowdown that tips the economy into recession?
KNETTER: “So far, we are muddling through. This is the million-dollar question and it’s probably 50-50 whether spending, labor supply, wage and price inflation can keep in a balance that allows slow growth to continue.”
JACOBSEN: “It depends on what type of spending. In recessions, it is spending on durable goods like cars and appliances that are the first to fall. Service spending usually just slows instead of becoming outright negative. This could be a little weird as spending on durable goods has already gone negative a few times over the past year. It’s services spending that has been the engine pulling the rest of the consumption train along. But service spending — especially on non-essential
services like recreation, leisure and dining out — seems most vulnerable to a pullback.”
Has there been enough wage growth to offset inflation?
KNETTER: “On average, it’s kept real wages steady but, by definition, that also adds a new underlying driver to inflation across the economy: wage growth that firms try to pass to higher prices.”
JACOBSEN: “Since the middle of 2020, inflation-adjusted weekly earnings has been falling. The nominal increase in wages has been positive, but inflation has eaten away at those gains. In June 2022, real weekly earnings began to stabilize. Lower income and younger workers have seen their real earnings improve, but the broader population hasn’t really seen many gains.”
The stock market has performed better lately, leading some to declare it a bull market while others are skeptical. What do you think?
KNETTER: “Seven tech stocks have dominated the rise of the S&P 500: Amazon, Apple, Microsoft, Alphabet, Meta, NVIDIA and Tesla. The other 493 have wandered pretty aimlessly. So that might be a ‘bull’ bull market. Tech was beaten up so badly, some of those seven became ‘value’ stocks for brief periods. Keep in mind inflation has been running above target for many months, which erodes the real return investors are getting here. Nominal growth fueled in part by inflation makes the market look better than it is in delivering future purchasing power.”
JACOBSEN: “We think it’s likely a lazy bull market and not a raging bull. They differ in that some market recoveries are very rapid. Those are raging bulls. We have lingering problems, and a lazy bull market is one where you can go from bear market lows to a longer-term increase but characterized by many setbacks and pauses along the way.”
So, what’s your call: when will the U.S. economy go into recession?
KNETTER: “I believe we are muddling through a slow growth period and will flirt with recession while avoiding a technical recession. One reason is the tight labor market. But growth in real GDP and productivity will be relatively weak until a possible burst fueled by the application of AI in 2025 or later.”
JACOBSEN: “Parts of the economy have already been in a recession. Rather than being one where every sector falls together, this has been a roving recession. It will likely lead to a stumbling and staggered recovery.” n
BIZTIMES MILWAUKEE: What do you see as your most important responsibility to your employees?
JIM POPP: “Our associates are truly the ‘secret sauce,’ and the single most important driver of our success. We feel a great responsibility to do all we can to make Johnson Financial Group an exceptional place not just to work, but to have a career. That means fostering a culture that is productive, engaging, dynamic, and inclusive. It also means investing in our associates’ training and development, coaching, and mentoring them, and providing opportunities for career advancement and mobility. Happy, engaged associates are the life blood of good companies.”
BIZTIMES: What do you see as your most important responsibility to your customers?
POPP: “It starts with probing and listening to understand each customer’s unique story and needs. Once we know their needs, I like the simplicity of striving to deliver on four key attributes for our customers. Simple, safe, competitive, and personal. If we do those four things well – plus all the little things that lead up to them – we’ll bring value to our customers and have a great chance to earn our fair share of their business.”
BIZTIMES: What is your corporate philosophy? What sets it apart?
POPP: “The organization was built upon the idea of making life better for the associates who work here, the individuals and companies we serve, and the communities where we do business. Those were the fundamental tenants that led Sam Johnson to start Johnson Bank 53 years ago, and they still ring true for us today. We’re thankful and proud to be privately held, family owned, and truly local. That allows us to make decisions that are best for our customers, our associates, and our communities, with an eye toward the next quarter century, not just the next quarter. We think that helps to create the compelling value proposition that resonates with so many.”
BIZTIMES: What opportunities or challenges do you see on the horizon for your industry?
POPP: “The financial services industry continues to change and evolve rapidly, creating both challenges and opportunities for all of us. The evolution of digital banking is just one example of the shift that has made banking an ‘always on’ business. Our customers expect 24/7 access from virtually anywhere they can get a connection. At the same time, many still value the personal touch and connection of face-to-face banking. At Johnson Financial Group, we’re grateful for the opportunity to assist our customers in navigating the complex and evolving financial services landscape to achieve their personal financial goals with confidence.”
Callen Construction is a recognizable name in the residential remodeling market. Michael Wood is the new owner and president of the company, navigating the change that comes with new leadership. He continues to push the company’s commitment to best practices and use of the latest tools and technologies to ensure projects are completed to the highest standards of quality and craftsmanship.
BIZTIMES: You recently took over as president of Callen. How have your past experiences prepared you for this role?
WOOD: “I have been with Callen since 2002, starting as a salesperson selling exterior home improvements. In 2005 I became sales manager, creating systems and processes that gave our clients a predictable and reliable remodeling experience. In 2013, I took over general management as the company’s vice president, where my focus shifted to company growth. In every position, my focus has always been finding new and innovative ways to bring unparalleled value to our employees and to our clients, focusing on communication, team culture, and creating efficient and repeatable systems and processes.”
BIZTIMES: How are you addressing the challenges of change within your organization?
WOOD: “To address the challenges of change, we have implemented a design thinking mindset. This allows us to honor the strong values and legacy of the past while still moving the company forward. By gathering stakeholder input, allowing space and time for creative solutions to foster, and then leading with a strong point of view, we have created a collaborative environment where everyone feels they have a voice and can be part of the outcome.”
BIZTIMES: What is an example of an innovative product or service you offer?
WOOD: “The Infinity from Marvin fiberglass replacement window is unique in the residential window category. While most windows have historically been made from wood or vinyl, Infinity is made of Ultrex, a pultruded fiberglass patented by Marvin. This window material is 8x stronger than vinyl and 3.5x stronger than wood. It is dimensionally stable, and works well in our Wisconsin climate, which is known to be extremely harsh on all building materials.”
BIZTIMES: Where do you see your company in 5 years?
WOOD: “We will continue to be the top choice for kitchen and bath remodeling and window and door replacement in Southeastern Wisconsin.
In addition, we have plans for top line growth, first in our current market and then through expansion into other geographical markets that we don’t currently serve. We plan to do this by maintaining a laser focus on what we do best, having repeatable and perfectible systems in place, and then scaling the business model as opportunities arise.”
BIZTIMES: How does Annex foster innovation?
DAVE SPANO: “We’ve built a flat organizational structure, which has allowed us to pay attention to the insights and suggestions from the members of our team. Structure is important – but listening is even more so. I try to make sure I’m attuned to the team, and make sure we’re both lighting the way, and not creating an obstacle for innovation and growth.”
BIZTIMES: What do you see as your most important responsibility to your employees?
SPANO: “When we use the term “team,” we mean it. We work hard to make sure that Annex employees feel they’re part of a team striving together to meet goals. Our responsibility is to foster and support an environment conducive to excellent teamwork; to listen to our team as they innovate and forge new paths; and finally, to help them feel at home while working together.”
BIZTIMES: What do you see as your most important responsibility to your clients?
SPANO: “Our biggest responsibility is to provide holistic wealth management from our team, without products to push. Our goal is to help financial journeys through fiduciary strategies, a culture of service, and our commitment to education. There are people who have experienced some or all three of those values – but unfortunately, discovered that a transactional obligation was twisted into the conversation. It can be truly wearying.
I think some in our culture are reaching a saturation point on being “sold to.” At Annex, we believe many would prefer to simply get independent information and fiduciary advice without a sales pitch.”
BIZTIMES: Where do you see the role of AI in your industry?
SPANO: “It seems that practically anytime a new paradigm-shifting technology is produced, segments of the “experts” will announce the death knell for financial services.
Just a few years back, some were predicting that roboadvisors were going to replace humans. What we observed is that technology provides a significant boost to how we do business and the breadth of our services – but it didn’t replace it.
And while there’s little doubt AI can enhance and expand our field; we believe that people do want to meet with people to talk about their futures. That attitude might change as my son’s generation grows, but for now, we see AI being a support to an industry forged with deep interpersonal relationships.”
BIZTIMES: Does your company have any new products or services to announce?
SPANO: “For a number of years, we’ve consistently delivered our brand of team-driven, full-time fiduciary service. Our growth has flowed naturally from that client-centric dedication.
We’ve been carefully planning Annex team growth to ensure continued consistency for our clients. As a result, we will be relocating our headquarters from Elm Grove to Brookfield at the end of 2023.”
STARTING AROUND LATE 2021, about a yearand-a-half after the onset of the COVID-19 pandemic, the job market in Wisconsin and around the country became incredibly favorable to those looking for a new position. People were quitting their jobs in record numbers. Companies were offering higher and higher wages to lure candidates away or to keep employees from leaving.
Fast forward to mid-2023 and many measures of the labor market would suggest things have only continued to become more favorable for job candidates.
Wisconsin’s unemployment rate, for instance, ended 2022 at 3% and has continued to fall and reached 2.4% in May, a record low, according to data from the U.S. Bureau of Labor Statistics.
The state’s labor force participation rate, which measures the portion of the state’s population working or looking for work, has also increased 0.6 percentage points since February, reversing a downward trend from the prior 18 months and reaching 65.1%.
Both Wisconsin’s unemployment and labor force participation rates are better than the national rates.
Wisconsin has also averaged 200,000 job openings per month for the first four months of the year. Pre-pandemic, that figure was typically around 150,000, according to BLS data.
However, despite the strong data, there are signs the labor market has cooled.
Companies are still in need of top talent and are having trouble filling key roles, but they’re being more selective about filling less critical roles, said Jim Morgan, vice president of workforce strategies at Waukesha-based nonprofit employer association MRA.
“We’re not in that panic of we’ve got to attract, we’ve got to attract,” Morgan said.
The data on job openings is one sign of that shift. While the 200,000 average monthly openings figure is still higher than pre-pandemic, it is down from around 226,000 in 2022.
“It is without a doubt, still a candidate-driven marketplace,” said John Hagenow, chief executive officer and managing partner at Waterford-based Fusion Recruiters.
Fusion does recruiting for managerial, director, vice president and C-suite roles with nearly half of its retained search work in Wisconsin.
Hagenow said the current labor market is the
BY ARTHUR THOMAS, staff writermost unique he has seen in his career. While the market may favor job candidates, he noted top talent is not necessarily looking for new opportunities at the moment. Candidates are a bit anxious, and many would prefer to have stability.
Ryan Festerling, CEO of Brookfield-based staffing firm QPS Employment Group, is seeing something similar. He noted his company’s data has shown more candidates at least interested in looking at a new opportunity, but a higher percentage are unwilling to actually make the jump to a new role.
Data on the number of people quitting their jobs supports what Festerling and Hagenow are seeing. The number of quits per month in Wisconsin was as high as 95,000 in late 2021, but this year it has averaged around 64,500, a figure more in line with pre-pandemic levels.
Even though the unemployment rate has reached a record low, wage growth has slowed down. In the first five months of 2022, the average hourly wage in the state averaged a 7% year-overyear increase, topping out at 8.1% in May. This year, the average increase is 3.2%, including a 2.3% increase in May.
Festerling said candidates are less likely to leave for a small increase in wages. He said transparen-
cy from a company about what a job is and what it is not, a willingness to talk with candidates about what their future could look like and talking about what the future of the work will be are things that increase the likelihood a candidate will take a new role.
He also pointed out flexibility is something employees are looking for regardless of their wage or salary, adding that in many ways flexibility could be even more important for someone making $17 per hour as an assembler.
“The best companies are figuring that out in a way that doesn’t disrupt their manufacturing or warehouse environment,” Festerling said.
Hagenow noted that attracting top talent still does require paying top dollar in many cases and wages are not keeping up with the pace of inflation.
“Despite everything else that’s going on, money still rules,” Morgan said.
Money may make a big difference, but there are still a number of factors that go into attracting and retaining employees. Hagenow said in many cases people will leave a role because of their manager.
“The employment brand and culture remain critical,” he said.
Morgan said companies are becoming more and more strategic about their internal talent supply, focusing on preparing current employees for the next level up so that when the business does need to hire for an open role, it will be one that is easier to fill.
Festerling said companies are also trying to work at a very granular level to use compensation not just in hiring, but also to improve the proficiency of their teams. That means tying wage increases to added skills and professional development, which not only helps the business, but also provides a clear pathway for employees to earn more. n
Source: U.S. Bureau of Labor Statistics
BIZTIMES: What is your corporate philosophy? What sets you apart?
KEITH WALZ: “At KDV, we are reliable, trustworthy, and straightforward focusing on the best interest of our customers, employees, and community. This philosophy guided our brand refresh just over a year ago when we formalized our core values: care, craftsmanship, creativity, and collaboration. Everyone at KDV sets our corporate philosophy apart from those of other companies. Living our values seems to come naturally for our team and our customers reap the benefits!”
BIZTIMES: What opportunities do you see on the horizon for your industry?
WALZ: “The pressure sensitive label market is very large with a fragmented and diverse set of suppliers. The shape of this market alone creates both opportunities and challenges. KDV is focused on enhancing our digital print production capabilities to offer customers enhanced quality, shorter lead times, and lower costs for short production runs, leveraging efficient production processes and scale to grow our foothold in end markets and acquiring other label producers with a similar culture and philosophy to extend our reach into new markets and geographies.”
BIZTIMES: Does your company have any new products, services to announce?
WALZ: “This year, we anticipate leapfrogging a large portion of the market in both sustainability offerings and digital printing capabilities. Both areas are changing rapidly in the label industry, and we have been working diligently to support our customers and be able to help guide and advance their packaging. We have prioritized our sustainability resources to pinpoint label solutions that make meaningful, positive environmental impact while maintaining the value proposition we have established with the brands we serve. By the end of the year, we will have one of the most advanced digital presses in the industry and aligned it to, what we like to call, our unique production-powerhouse methodology. This significant advancement in our digital printing capabilities will synchronize value and quality gains for our customers.”
BIZTIMES: Where do you see your company in 5 years?
WALZ: “I see us growing our reach and capabilities as a leader in the packaging industry while continuing to set the bar high for serving our customers. As we approach KDV’s 50th anniversary in 2024, our goal is to continue to grow. We have established an aggressive strategic plan that will see the business leverage its existing core capabilities to penetrate or expand into the food, pet, nutraceuticals, and consumer-packaged-goods (CPG) automotive markets. This will require the expansion of our sales and marketing efforts to drive organic growth, which will be augmented with strategic acquisitions.”
ENTERING THE SECOND half of the year, many of the headwinds that have plagued manufacturers for years – including labor shortages, supply chain issues, the rising cost of goods and overall economic uncertainty – remain challenging.
The National Association of Manufacturers’ outlook survey for the second quarter of 2023 found the sentiment among business owners is the lowest it’s been since the third quarter of 2020. The survey found 67% of respondents felt either somewhat or very positive about their company’s outlook, down from 74.7% in the first quarter. Just over 56% of respondents are still expecting a recession to take place this year.
Amidst the uncertainty, Joe Jurken, managing director of The ABC Group, a Milwaukee-based supply chain management company, has seen more manufacturers moving production out of China and into other parts of Asia. It’s also become increasingly common for business owners to consider reshoring.
“We are fielding calls daily from people looking to do business in Vietnam and India,” said Jurken. “That has been the rally cry for the last six months,
but it’s really intensified lately.”
He explained larger Wisconsin manufacturers have been sourcing products from China for decades. Now, the desire for smaller companies to create a footprint in Asia is due in part to a mix of higher import tariffs placed on manufacturers and an uncertain geopolitical climate.
In the past, a company’s back-up suppliers would largely be in China, according to Jurken. Now, companies are looking for back-up suppliers in other countries to diversify their supply chain and give China less leverage.
Mexico has become a less popular option for manufacturers as labor costs there have risen by 40% since 2018, according to a report from the Center for Economic Studies of the Private Sector.
“For years and years, China was the first and only stop when people were looking for outsourced manufacturing. Now, they’re looking for any place that’s available,” said Jurken.
To deal with economic uncertainty in the short term, he’s recommending clients look for creative ways to save out-of-pocket costs. This might involve a company looking at its office locations
BY ASHLEY SMART, staff writerglobally. Over the past decade, the need for a local company to have offices in Asia has plummeted, according to Jurken. It may have made sense to have employees on the ground in China when first opening a new factory several years ago, but keeping those teams on the ground could be an unnecessary expenditure.
“With the geopolitical situation, having a company-run office (overseas) is an expense and a risk,” said Jurken. “Having your own people utilize outsourced resources is cheaper and more efficient. For three years, nobody went to China and the world didn’t stop. I think we all learned a valuable lesson that all the time and money spent to send people over there wasn’t needed.”
The ABC Group also recommends clients consider an asset-light business model to gain greater supply chain flexibility and the ability to source materials at lower costs. An asset-light model involves outsourcing the production of some goods to other companies rather than owning and operating several production facilities.
“I think anyone that can cut costs with limited work, (those cuts) need to be done right now,” said Jurken.
BIZTIMES: What is your corporate philosophy? What sets it apart?
VICKI J. MARTIN: “Milwaukee Area Technical College is a comprehensive and open access community and technical college that serves students in Milwaukee, Ozaukee and parts of Washington and Waukesha counties. We are the largest and most diverse two-year college in Wisconsin, and we are committed to creating and sustaining a culture of inclusion where everyone feels valued, respected, welcomed and appreciated. And that is reflected through our 180+ programs, 56% students of color, and 76% of our graduates work in the MATC District.”
BIZTIMES: What do you see as your most important responsibility to your customers?
MARTIN: “Our highest priority is to provide anyone who wants a certification, diploma or degree access to high-quality programs and resources that will help them succeed and achieve their goals. We are committed to offering indemand programs that offer a pathway to family-sustaining wages.”
BIZTIMES: Does your company have any new products, services to announce?
MARTIN: “Microcredentialing and badges to meet student demand and employer needs based on competencies required in the workforce. We are sharpening the focus on our shorter-term credential programs – technical diplomas that train students in a year or less and get them into the workforce as fast as possible. We are also working to expand our bilingual services to become a federally-recognized Hispanic-Serving Institution.
We have received generous and historic support for this effort through the Ellen and Joe Checota MATC Scholarship Program which, when combined with donations that will be matched two-to-one, creates a $7.5 million scholarship fund. It’s the college’s first-ever full-ride scholarship and the largest in the 110-year history of MATC.”
BIZTIMES: What is different in higher education today than when you started your career?
MARTIN: “We are being sought out as a first-choice college more than ever before. We continue to see an increase in the diversity of our students, faculty and staff that reflects the community we serve. Also, our responsiveness to the local labor market is much more front and center today. Students and employers appreciate how we effectively and quickly provide high-quality training and instruction that prepares students for a well-paying, familysustaining career.”
BIZTIMES: What opportunities/challenges do you see on the horizon for your industry?
MARTIN: “We have some real opportunities to grow our enrollment through
Vicki J. Martin, Ph.D.
our dual enrollment/dual credit programs, where high school students can earn college credit and credentials.
We continue to work with our business and industry partners to ensure we provide rapid, relevant workforce training to reskill or upskill. In our healthcare apprenticeship, workers are learning while working and earning. Challenges will be to recruit and retain top talent for our faculty, administration and staff, and being agile, adaptive and effective in managing changes in technology such as artificial intelligence.”
There’s a reason why The ABC Group has seen such interest from clients in entering Asian markets. Asia has seen the most economic growth of any continent in the 21st century, said international economist Michael Weidokal during a recent economic update for manufacturers hosted by Sikich.
By 1950, Asia’s share of global economic output had fallen by two-thirds, but today Asia accounts for nearly 40% of all economic output. More than half of new global economic output is currently generated in Asia.
“If you don’t have a presence in Asia, you’re really missing the number one opportunity for growth from a geographic perspective,” said Weidokal.
As China’s relationship with the U.S. and other major economies continues to deteriorate, companies of all sizes are starting to consider other locations for their operations. Jurken said emerging markets such as Vietnam, the Philippines and Indonesia are expected to see continued growth.
“I think India is the future. I think India is going to give China a run for its money sooner rather than later,” he said. “People should act on their beliefs. If they think they shouldn’t be fully vested in China, then they should act on that.”
The National Association of Manufacturers’ outlook survey also addressed the manufacturing woes that have been at the forefront of conversation since early 2020. Despite rising costs and the possibility of a recession, 39% of respondents expect their capital investment plans to remain the same, with 15% saying their plans will increase by between 5% and 10%.
Rob Cowen, chief executive officer of Milwaukee-based Badger Alloys Inc., a full-service castings manufacturer, said his outlook on the overall economy hasn’t changed much within the past year, but how he runs the business has.
“My opinions really haven’t changed. I’m cautiously optimistic,” he said. “I’ve probably been running the business more conservatively than I have in the past. I would say others within my industry, within different segments, are seeing a bit of a slowdown.”
Cowen is continuing to invest in the company at pre-pandemic levels so it can catch up from the slowdown caused by the pandemic and stay ahead of other companies in the future. Some upcoming technological investments include a new “cobot,” or collaborative robot.
Cowen doesn’t believe supply chains will ever return to pre-pandemic levels as clients continue to
shrink their inventories, a strategy that will likely worsen if a recession does hit. NAM survey respondents anticipate their inventories will shrink by 2% over the next year, the most since the question was added to the survey in 2011.
“People become much more conservative in what they’re doing, and I think that slows down the economy more than we would like to see,” said Cowen.
Workforce development continues to be the biggest challenge for Badger Alloys as more tenured employees reach retirement age. This is in line with NAM’s survey, which found that attracting and retaining a quality workforce is the top-ranked difficulty for manufacturers (74.4% of respondents selected the issue).
As for what manufactures can expect for the rest of the year, Weidokal is forecasting GDP growth to be about 1.9%. The U.S. economy is expected to remain sluggish in the long term before a stronger recovery takes hold.
“I’ve been doing presentations like this for over 20 years, and I would have to say this is probably the year with the most uncertainty as to the direction of the economy,” said Weidokal. “Typically, we know when it’s going to be a difficult year or when it’s going to be a bounce-back year. This is a year that can really go in either direction.” n
Thursday, October 5, 2023
Italian Community Center
12:30 PM – Registration, Exhibitor Booths, Networking
1:00-2:00 PM – Concurrent Seminars
2:00-2:30 PM – Networking
2:30-5:00 PM – Main Program, Concurrent Seminars
PRESENTING SPONSOR:
Save the date for the annual Next Generation Manufacturing Summit on October 5th. This year, the event will be a half-day program where you can immerse yourself in the latest industry trends with exhibitors, gain invaluable knowledge from thought-provoking seminars, and hear from a panel of local manufacturing leaders discussing trends and best practices. Stay for cocktails and hors d’oeuvres at the networking reception. Don’t miss this opportunity to make connections, learn and propel your business to new heights. Register now!
5:00-6:30 PM – Networking Reception
Confirmed Speakers:
• George Baumann, President and CEO, GL Industrial (1)
• Tracy Pearson, President & CEO, Perlick Corp. (2)
• Megan Tzanoukakis, President & CEO, Sussex IM (3)
BIZTIMES: Pathfinders has served Milwaukee’s youth for more than 50 years. Tell us about that work.
TIM BAACK: “Pathfinders provides housing, basic needs resources and intensive case management to young people, ages 11 to 25, who experience homelessness, sexual exploitation and crisis. Annually, about 1,000 young people access our intensive services and 5,000 engage with our street outreach team. We prioritize an invisible population who are experiencing deep and complex trauma. Pathfinders offers innovative support, often starting with addressing their housing instability.”
BIZTIMES: Milwaukee County & United Way have prioritized ending chronic and family homelessness, respectively. How could ending youth homelessness complement these efforts?
BAACK: “Everyone deserves a safe place to call home and Pathfinders is a proud partner in these existing efforts. Many adults experiencing homelessness first faced housing instability when they were children or young adults. If we can help young people gain stability now, it will significantly reduce their likelihood of future, of lifetime, homelessness. And it will have a positive effect for generations of families.”
BIZTIMES: What are the factors that lead to instability for the young people you serve?
BAACK: “Black and Brown youth and/or those who identify as LGBTQ+ disproportionately experience homelessness. Young people aging out of foster care are also at enormously high risk, as are single-parenting youth and those living in poverty. Housing costs and secure employment are also huge barriers. It’s not coincidental that we see marginalized communities overwhelmingly represented in the homelessness system. Until we address the systemic issues that cause homelessness to move across generations, it will continue to exist.”
BIZTIMES: How does youth homelessness impact the broader community?
BAACK: “When we prioritize the needs of young people experiencing homelessness, the whole community becomes stronger and safer. First, young adults will no longer experience the kind of homelessness that leads to a lifetime of instability, exploitation, violence, substance dependency and mental health crisis. Second, we will see cost savings in other systems when we reduce homelessness; Pathfinders services cost about $52 per day to house one young adult. Milwaukee’s Secure Detention Facility costs $216 per day per person and the Milwaukee Mental Health Complex costs $659 per day per person. When young people are housed, stable and independent, we decrease their need for lifelong housing resources.”
BIZTIMES: Where do you see your organization in 5 years?
BAACK: “Pathfinders is in a strong financial position with an eye toward continued strategic growth in response to the demand for our services. In the next five years, we plan to provide stable housing to more young adults along with wraparound support to address their trauma, educational and employment goals. All of which will create a future for young adults who now have nowhere else to turn and give them a chance to make their way forward.”
as shoppers look to stretch their dollar – and avoid credit card debt – are ‘buy now, pay later’ plans or layaway, which allows shoppers to make a down payment and reserve an item until they have paid the remainder of the price in installments.
“It’s really a consumer response to not being as willing to put it on a credit card because of that uncertainty,” said Belz.
Something consumers are not as likely to skimp on, however, is leisure and hospitality purchases, according to the Chicago Fed’s Beige Book.
“There’s still a strong desire to get out of the house for experiences,” said Chad Paris, chief financial officer at Milwaukee-based Marcus Corp., which operates hotels, restaurants and movie theaters in multiple states. “Whether it’s travel, dining or going out for entertainment, including going to the movies, people want to go out and do things and we’re not really seeing any softening in that.”
On the hotels and resorts side of the business, weekly industry data in early July showed “excitement about leisure travel remains at a record high,” Paris said, also noting there are indications among some segments of gradual slowdown from a period of so-called “catch-up travel,” particularly for lower-income customers who are beginning to pull back on the number of trips they’re booking.
MIDWAY THROUGH 2023, consumers may be less concerned about inflation than a year ago when inflation peaked at 9.1% – the highest rate since November 1981 – and a recession seemed inevitable.
In June of this year, the annual inflation rate was 3%, the lowest since March of 2021, down from 4% in May. The latest Consumer Price Index report marked 12 consecutive months of year-over-year inflation declining.
Overall, Americans are feeling better about their personal finance situations and about the health of the U.S. economy at large. According to McKinsey’s most recent U.S. Consumer Pulse Survey, 36% of respondents felt optimistic about economic conditions and 22% felt pessimistic. That’s compared to June of 2022 when 26% of respondents cited optimism and 30% cited pessimism.
But despite growing confidence among shoppers, the amount of money they’re spending has lagged. In May, consumers spent only 0.1% more than they did in April. That was down from a 0.6% uptick in spending from March to April, according to the Bureau of Economic Analysis. Further, as highlighted by the Federal Reserve Bank of Chicago’s Beige Book released last month, spending has continued to “shift toward essential items and away from discretionary ones, and for many products, consumers continued to trade down in quality or convenience.”
“There’s still caution. We’re not to pre-pandemic levels of spending by any means, but it’s improving,” said Angie Belz, Ph.D., associate professor of business at Concordia University Wisconsin.
Belz highlighted a lingering trend of consumers spending more time researching products before making a purchase – and not just for big-ticket items like cars and boats.
“People are starting to do more research on mid-to-lower priced items as well, comparing things like subscriptions and streaming services,” she said. “There’s less of that impulse to jump in for (purchases), what they’re looking for is: what is my overall value?”
Referencing a recent HubSpot consumer trends report finding that 56% of consumers use mobile phones more than any other device when researching purchases via search engine, Belz urges businesses to make sure their websites and digital ads are mobile friendly and targeted.
“It might be worth paying for those google ad words, and it’s still important to be on that first Google search page,” she said.
Product bundling has emerged as an increasingly popular marketing strategy in response to consumers’ quest for value in a volatile economy. Take Disney Plus, for instance, which allows subscribers to add on ESPN Plus and Hulu for a discounted total. Another sales tool retailers, including Amazon, Target and Walmart, are leaning into
On the theater side of the business, demand for seeing movies on the big screen also remains strong, with no signs of slowing, especially given this year’s slate of releases, Paris said, pointing to the value of the cinema experience in comparison to other leisure activities.
“When you think about the relative cost of going to the movies, compared to sporting events or concerts or other live entertainment, it’s a very affordable night out,” said Paris. “Historically, in past recessions, the consumer has actually traded down from other more expensive forms of entertainment to moviegoing as a cheaper alternative.”
History may be on its side but that doesn’t mean the company can rely solely on the past to understand the ever-changing expectations of today’s consumer – or to make decisions that make sense in a post-pandemic business climate.
Earlier this year, Marcus Theatres upped the cost of its popular “$5 Tuesday” promotion as it grappled with inflationary pressure. Now known as “Value Tuesdays,” admission is $6 for members of the chain’s rewards program and $7 for non-members. The new discount program was tested in three different versions, in three different markets before it was finalized and rolled out company-wide. Paris said product testing is an important piece of how the company stays engaged with customers and finds what works for the bottom line.
“We try to be nimble and creative in creating different offerings that our customers want, and as we see changes in consumer preferences or the general economic environment, we adjust quickly,” he said. n
For more than three decades, Potawatomi Casino Hotel has served as a leader in Tribal gaming. With $190 million in new renovations, dining/ entertainment venues, employment opportunities and the addition of sports betting, Potawatomi Casino Hotel will provide guests and visitors with even more options in the Menomonee Valley.
BIZTIMES: What new products or services do you plan to offer?
DOMINIC ORTIZ: “Sports betting has taken off across the United States and is now a core amenity to gaming operations. It’s important that we stay on top of where the business is going. You have to be able to offer all these new avenues of gaming. Sports betting is engaging, it’s fun, it’s exciting and something that we certainly need to make sure that we get ahead of and offer just like we see our competition doing. What we are doing with our temporary sports betting options on the property is making sure we can take those bets and get people engaged and start to build up our business as we get ready for the future of our retail sportsbook.”
BIZTIMES: Where do you see your company in the next 5 years?
ORTIZ: “It’s simple. We want to be a regional casino destination. To do that, we must be able to offer great food, great customer service and a facility that is at or above our competition. All casinos need to keep up. We need to refresh our properties and make sure we have the latest games and that we have a clean, well-organized, and thought-out facility that provides the best type of offerings to be a destination casino. We are the only casino to represent Milwaukee, so as we see competition around us, we want to make sure that our box is at that level. Guests can look forward to a great many changes in the next 5 years.”
BIZTIMES: How does your company foster innovation?
ORTIZ: “We could sit around here and enjoy our property and just chug along and say the business is doing great, but there comes a point in time when you want to win a world championship. You’ve got to look at your organization end to end and pay homage to all your loyal guests. You just want to have a memorable experience that is truly something that draws regionally and complements what’s going on in the city. We want to be up there with the Fiserv Forums of the world and bring excitement at the same time. We, too, want to come along and bring the property to that level. We certainly love where we’ve been and where we’re going to continue to bring fun and exciting gaming.”
A key feature of the post-pandemic hotel industry is the absent business traveler, Hanis noted, which is keeping hotel occupancy from reaching pre-pandemic levels.
Business travelers, whom hotels rely on to fill rooms during the week and, in Milwaukee, during the winter months, were forecasted to return last fall, but that didn’t happen, Hanis said. Rather, the group market has come back stronger than the corporate/commercial market has thanks to a return of conventions and festivals in 2022 and 2023.
With the 2024 Republican National Convention taking place in Milwaukee next July — bringing an estimated 45,000 visitors, nearly $200 million economic impact and significant media exposure to the city — Milwaukee hotels will see a surge in group market travelers next year.
In Milwaukee, the convention market hasn’t been as strong as in other cities due to limited nonstop flights from major metros and a lack of large hotels.
The largest hotel property downtown is the Hilton Milwaukee City Center with 729 guest rooms and suites, followed by the Hyatt Regency with 481 rooms, Potawatomi Casino Hotel with 381 and The Pfister Hotel with 307. After that, downtown only has smaller hotels with 250 rooms or less.
“For major conventions, those are not attractive hotels,” Hanis said.
THREE YEARS AFTER the COVID-19 pandemic crushed the hotel industry, resulting in well over $100 billion in lost revenue, things are looking better — nationally, that is.
In Milwaukee, that’s not exactly the case.
“Milwaukee is hurting,” said Greg Hanis, hotel industry analyst and president of New Berlin-based Hospitality Marketers International Inc.
While an increase in tourism has given the downtown hotel market a boost, the loss of business travelers has weighed heavily on the city’s hotel properties.
Hotel occupancy in downtown Milwaukee was around 66% for the first four months of 2019, compared to 50.7% for the same timeframe this year, according to data from Tennessee-based STR, a hospitality data and analytics company.
That’s behind where the industry is nationally, according to Hanis.
But this comes as Milwaukee and Wisconsin saw a record year of tourism in 2022, having a $6 billion impact on the greater Milwaukee economy, according to the state Department of Tourism. Further, the city recently celebrated the opening of The Trade, the first full-service hotel to open in more than four years in downtown Milwaukee, with two other hotels proposed in the area as well.
“I always rate the hotel developers as either seeing the glass half full or half empty,” Hanis said. “Right now, hotel developers see the glass twothirds full.”
Things are trending in the right direction. The downtown hotel market closed out 2022 with an average of 56% occupancy for the year, much better than the 32% occupancy in 2020 when the pandemic devastated the industry. Average room rates in 2022 were up from 2019 by about $10, according to STR.
“The hoteliers have been a little bit more aggressive with their rate, so they’ve been increasing the rate to make up some of the difference,” said Hanis, noting that inflation is also part of the formula.
The rate increase has paid off. Revenue in the downtown Milwaukee hotel market has also nearly returned to pre-pandemic levels, with April’s year-to-date revenue only about $300,000 shy of April 2019.
Still, it’s a slower recovery than the hotel industry has seen nationally. Part of the problem is who is coming to Milwaukee and who isn’t.
There are three primary markets for hotels: the social/leisure traveler, or tourists; the corporate/commercial traveler, or business traveler; and the group market, made up of the former two categories booking rooms on a larger scale.
A record 111 million visits to Wisconsin in 2022 indicates that tourists have returned. However, it’s not guaranteed that these tourists will keep coming back as the novelty of post-pandemic travel wears off, and inflation could discourage some from booking vacations in the future, Hanis said.
But those are the types of hotels that Milwaukee is seeing more of. In May, the 205-room Trade hotel opened in the Deer District; The Tempo hotel is proposed in the Westown neighborhood, with 161 rooms, and a third hotel, with 130 rooms, has been proposed near Brady Street.
“Right now, the demand isn’t there (for more hotels in or near downtown Milwaukee),” Hanis said, given the numbers.
New hotels, though, could alter where people stay when they visit the city.
“These new hotels are going to strip demand away from existing hotels,” Hanis said. “The existing hotels that are the main bread and butter of Milwaukee are going to be sitting there and going, ‘Oh man, what do I do? Do I lower my rates? What do I do to try and attract people back?’”
Some of the city’s existing hotels have already felt some turbulence coming out of the pandemic. The Iron Horse Hotel, one of Milwaukee’s few independent, locally owned hotels filed for bankruptcy in June 2022, citing the impact of COVID-19. The Hampton Inn & Suites in the heart of downtown abruptly shut its doors in early May, saying it was closing for renovations but hasn’t provided any timeline or details on the project.
“New hotels are great, they add excitement to the area, but for existing hotel operators there’s still some frustration with getting back to 2019 levels,” Hanis said. “2019 is the benchmark. We’ll know when we’ve recovered when we come back to 2019 levels.” n
BIZTIMES: What do see as your most important responsibility to customers?
STEPHAN ACHS: “I believe we have a multifaceted responsibility. First, to intimately know and understand our customers’ business and their challenges. To learn what keeps them up at night and what we can do to help them be most successful. To know and clearly communicate our vision and that Super Steel has a culture centered on passionately leveraging the ‘why’ in what we do. Finally, by championing servant leadership our purpose and expectation are to help remove hurdles and streamline our teams to do what they do best; develop effective, innovative, and high value solutions for our customers.”
BIZTIMES: What do you see as your most important responsibility to your employees?
ACHS: “Being an employee-centric organization, at Super Steel we strive to provide the safest place to work as well as develop truly rewarding career paths for all employees, thereby remaining viable in the marketplaces we serve. Our commitment to this starts at the top, leading by example. Through transparency and by consistently saying what we’ll do, and then doing what we say. Pretty basic stuff, but what too many leaders and organizations often overlook. Bottom line engaged and happy employees make engaged and happy customers – in that order.”
BIZTIMES: What did your company learn from the COVID crisis? How is your company stronger?
ACHS: “COVID brought to the surface many of the things’ leaders knew yet may have been too busy to address. We rapidly learned how to operate much leaner. Likewise understood that a smaller and more competitive workforce elevated the importance of putting in place things that would keep the talent you have engaged and inspired as well as attract the best new talent. Super Steel quickly realized the importance of doing the right things surrounding optimizing the work they perform, their working environment and safety. To remain viable and competitive in manufacturing, we also learned that having the required capabilities and reliable capacity requires upskilling the workforce and automating wherever possible.”
BIZTIMES: What opportunities/challenges do you see on the horizon for your industry?
ACHS: “Over many years our world has been getting smaller through advancements in technology and logistics. Yet, in recent years the challenges of having a global supply base have become greater. Here’s where many opportunities Super Steel and North American manufacturing companies are developing. Decades ago, the push was to source low-cost products
overseas, now it’s starting to come back due to many geopolitical realities, and as costs have continued to rise overseas, onshore costs continue to drop. This also poses a significant challenge toward effectively increasing capacity as well as developing the needed skilled workforce to build things and run an increasingly greater number of automated factories.”
WELCOME TO BIZTIMES MEDIA’S BUSINESS CARES SERIES ON DIVERSITY & INCLUSION. Diverse workplaces and work teams are more innovative, creative and better for the bottom line. We thank the 35 companies and organizations listed below for their sponsorship of this important section. Their investment reflects the level of engagement and intention these organizations are placing in diversity and inclusion. Their support also funds a D&I awareness campaign for the next month via print, digital and e-newsletter platforms. We hope you’ll support them as they join all of us in working toward a more diverse and inclusive Milwaukee and southeastern Wisconsin region.
BIZTIMES: Why are diversity and inclusion important to your organization?
THERESA JONES: “At Children’s Wisconsin, we have a long-standing commitment to support all children. We are dedicated to providing the best possible care and experiences for kids and families, creating a strong and inclusive workplace culture, and building a better world so our children can grow up healthy.
To reduce the health inequities that exist in our community, we are removing obstacles to care. We’re opening clinics and providing other offerings in underserved communities and working to address social factors that impact health. This includes food insecurity, housing challenges and difficulties with transportation that make it hard to access to care. We want every child and family to have a fair and just opportunity to achieve their full potential.”
BIZTIMES: What diversity and inclusion efforts do have underway?
JONES: “Several of our current initiatives are related to enhancing our culture and developing our workforce.
We are currently establishing an Inclusion, Diversity and Equity Engagement Index to measure the impact of our work in areas like workforce diversity, authenticity and respect.
We’re also adding metrics for increasing the diversity of our team, including measures for leadership, professionals, nurses and our overall workforce, and engaging our caregivers through Inclusion, Diversity and Equity teams and Inclusion Resource Groups to help us make new connections.
Additionally, we are creating programs that help fill high-demand roles through education and through community partnerships that grow the skills of our current staff and new applicants.”
BIZTIMES: What benefits do you expect to see as you work to become more diverse and inclusive?
JONES: “Our goal is to create an environment that is welcoming to everyone. All members of our organization should be able to be their authentic selves.
The kids and families we serve can’t exceed the experience of our caregiving team. This is why we work to foster a culture that helps employees and providers be at their best. Respecting all differences – race, color, national origin, age, disability, sex, sexual orientation and more – is central to our expectations for how we treat each other.
When our teams better reflect the community we’re a part of, more kids and families will feel we can be a trusted partner in their health journey. This will allow for more open discussions, better health outcomes and a brighter future for our kids.”
THE WORK of those involved in diversity, equity and inclusion within organizations has continued to evolve in recent years. In the summer of 2020, organizations couldn’t move fast enough to express their commitment to improving diversity. Now in 2023, the landscape has changed with greater political polarization on DEI issues, potentially challenging a company’s commitment to making changes.
For those leading DEI efforts, a label that increasingly also includes the term “belonging,” the work has continued to change as well. In the past, the emphasis may have been on diversity along dimensions of gender, race or ethnicity. Those dimensions have not disappeared, but now DEI leaders must also account for other differences like remote versus in-person work, ways of learning or processing information, and mental health.
“What’s really cool, though, is no matter where you start, it’s that same muscle, how you uncover
BY ARTHUR THOMAS, staff writerwhat different demographics need to create that sense of belonging and create the environment where people can speak up. If you do it in one aspect of diversity, it’s the same muscle memory that can carry over,” said Beth Ridley, founder and chief executive officer of Milwaukee-based Ridley Consulting Group.
To get a better sense of the day-to-day work of DEI leaders, BizTimes worked with Ridley to record a podcast with members of an inclusive leaders roundtable group she leads. Along with Ridley, the conversation included Sri Kadasinghanahalli, vice president of enterprise data and analytics at Milwaukee-based MGIC Investment Corp.; Michelle Naples, chief integration officer at West Allis-based Lutheran Social Services of Wisconsin and Upper Michigan; and DeAnna Osteen, vice president of human resources at Glendale-based Weyco Group.
The following is a portion of the conversation.
For the full episode, visit biztimes.com/podcast
“It is very much in line with our core belief in the infinite worth of each person, and that means respecting and honoring all the unique differences that we bring to the table when we show up to work,” Naples said.
She added that as a social service provider, LSS has a responsibility to address disparities and barriers, work that is helped when employees have a sense of belonging and want to come to work every day to grow their careers and help those that the organization serves.
Osteen said Weyco is working to create an environment where employees feel they belong, are valued and are comfortable sharing their thoughts and feelings.
“We’re looking for this culture where our employees feel empowered to really perform and be their best and really enjoy it,” she said.
Kadasinghanahalli said success for MGIC is creating an environment in which coworkers and business partners feel comfortable bringing their own unique perspective to every interaction.
“Fundamentally, we think that diversity of thought, uniqueness of experiences and the power of inclusion fuels the creation of an environment where we think business can be conducted purposefully and obviously benefit from diverse perspectives,” he said.
“We think about diversity as variety, both in people and ideas,” Kadasinghanahalli said, adding the organization is working to have it “show up intentionally in our DNA instead of this thing being a specific program or a project.”
Naples said LSS has defined diversity in the broadest sense possible.
“Extending beyond the visible form of diversity to include life experience and perspectives and that is a more inviting approach for our colleagues,” she said.
Internal discussions at LSS have also focused on whether it is better to go broad and touch on as many dimensions of diversity as possible or focus deeply on specific areas, Naples added.
“It’s an ongoing balance we’re trying to navigate there,” she said, adding that not everyone is always pleased with the balance the organization strikes.
Osteen acknowledged Weyco is early in its DEI journey and the organization is figuring things out as it goes and taking things slowly. The company recently did a culture and belonging survey. One of the results of the survey was a seemingly high number of respondents who did not want to disclose demographic information, something Osteen said the company is now looking at more closely.
‘Go where the energy is’ and other advice from DEI leaders at Wisconsin companiesDeAnna Osteen Sri Kadasinghanahalli Michelle Naples Beth Ridley
“Was it just they didn’t want to?” she said. “Are there reasons at our company as to why they’re not comfortable doing that?”
Kadasinghanahalli said MGIC has tried to engage with employees in multiple ways including focusing on the employee experience, starting with the onboarding process, being very intentional about volunteer efforts, providing grants to smaller organizations nominated by employees, and having ongoing dialogue with business partners.
“A key has been our consistency,” Naples said.
She pointed out that LSS is three years into its DEI efforts and has built them into the organization with committees and subcommittees to carry out the work. LSS also used conversations with employees to develop a strategy map and the committees are taking action based on that map.
The work of bringing employees together does not always have to be completely serious either.
At Weyco’s corporate headquarters, around 250 employees are spread between the office and in distribution.
“We’re all there pretty much at the same time of the day, but our work is so divided,” Osteen said. “Literally, there is a cement wall that divides the of-
fice from the distribution center.”
To break down at least the metaphorical wall between the two groups of employees, the company has been hosting an annual cornhole tournament with teams made up of one office and one distribution employee.
The matches are held over the lunch hour and top executives participate. While Osteen acknowledged it may sound “a little bit silly,” it does get people from across the facility involved and interacting with each other.
Ridley said the theme across successful employee engagement is empowering them to be involved.
“Go where the energy is,” she said. “Once employees appreciate what this work is all about, they see how it benefits them – at a minimum it makes it a more interesting, fun place to work – and then their wheels start spinning with their own ideas of what that would mean to create that sense of belonging.”
With shifting attitudes towards DEI, the potential for employee or stakeholder pushback has only grown.
Naples said LSS has had instances in which employees, donors or others involved with the orga-
A diverse workforce stimulates innovation, builds relationships and supports the local economy. As a leader in the construction industry, we believe it’s our responsibility to create meaningful employment opportunities for the people and communities in which we work. We are your trusted building partner, we are drivers of diversity, equity and inclusion, and we strive for continuous improvement to build a better tomorrow, together.
nization have expressed concern after DEI-related communications. She said Hector Colon, chief executive officer of LSS, will reach out to the individual to ask for a conversation to clarify perspectives, seek to develop an understanding and ideally reach a place of mutual respect and common ground.
“You’ve got to have the support, too, from the very top,” Osteen said.
Kadasinghanahalli noted the importance of having passion for the topic and believing it is the right thing to do.
“If it comes from the heart, the right messaging will come out,” he said, although he added you can learn to better communicate ideas constructively and emphasized the need to approach issues respectfully and allow people to embrace it at their own pace.
“This is not something you force, in my opinion,” Kadasinghanahalli said.
Ridley noted that ultimately working on an organization’s diversity and inclusion is about changing the organization.
“You’re always going to have folks who process and embrace change at different rates, people who don’t want to change for various reasons,” she said. “You could talk about implementing a new technology system, and you’d have resistors and folks who are reluctant.” n
MILWAUKEE // MADISON // CGSCHMIDT.COM
BY CARA SPOTO, staff writer
won’t jeopardize their current employment.
“They are going into a field they feel might be better for them and their family, but they also need those assurances, because the $10 or $15 per hour that they are making right now is still very important to their household,” Hernandez said.
To keep participants on track, the program enlists cohort navigators that regularly check in with the students and instructors to make sure any hiccups are addressed before they snowball into something harder to manage.
Once hired, the CNAs can make about $18 to $19 an hour to start, but many often use tuition reimbursements offered by their new employers to pursue even better-paying health care jobs.
Kim Quetschke, senior talent sourcing specialist for Advocate Aurora Health, who has worked closely with the cohorts – holding presentations about preparing for interviews and the like – said the nursing assistants Aurora recruits are often encouraged to pursue any position with the health care provider they feel will suit them best.
“Sometimes when people start at the bedside, they may decide that direct patient care is not where they ultimately want to be, so we encourage them to explore other careers at Aurora, like medical lab technician,” she said. “And we have a really fabulous tuition reimbursement program.”
For Orozco, becoming involved in the pilot program made her realize she chose the right path in being a nurse.
“At first, I was a little nervous, but now I feel a lot more confident,” she said. “It’s been great just gaining that experience and working with patients.”
LAST SUMMER, Sara Orozco was sweeping up hair in a beauty salon making $13 an hour.
Today, the 18-year-old Golda Meir High School graduate is working as a certified nursing assistant in an oncology unit at Aurora St. Luke’s Medical Center in Milwaukee, making $21 an hour while earning a four-year nursing degree at Alverno College.
Orozco was able to secure the higher paying health care job due to an upskilling initiative piloted by the Hispanic Collaborative, an organization founded in 2019 with the aim of making Milwaukee a top 10 city for Hispanic well-being.
Loosely referred to as the Latino Cohort or the Upskilling Initiative Pilot, the program kicked off last summer and has so far helped 62 students earn nursing assistant diplomas through an eightweek training program at Milwaukee Area Technical College, but its broader goal is to increase the household incomes of dozens of Latino households across the Milwaukee area. This fall, another 100 students are slated to go through nursing assistant training. The collaborative has also worked to develop a similar effort focused on information technology skills.
“The Latino workforce is the only growing sector and it is about 18 years younger in this
region than the rest of the population,” said Nancy Hernandez, president of the Hispanic Collaborative. “For us, we want to help stabilize and improve as many of those households as possible.”
With that goal in mind, the collaborative set out last year to figure out how best to help workers in those households – those who have been in the workforce for a while or may just be entering it –get into higher-paying jobs.
Staffers interviewed different types of workers to see what obstacles existed in their lives that might keep them from training for a better paying job, gaining insights they then used to shape the program.
“So, we asked ‘how do we mitigate some of those risks?’ The program we built really has the market in mind, and by ‘the market,’ we mean the workers who have jobs now but are looking to train-up to something better,” Hernandez said.
What they’ve developed is a hands-on approach that works with lower-wage workers from recruitment through training and job placement, to help ensure that things like child care issues or even a flat tire, won’t knock them off their track toward a more fulfilling, better-paying job, but also
The collaborative received initial funding for the pilot project from Advocate Aurora Health, but they hope it will raise enough funds to provide upskilling training to about 1,000 Latinos in the region each year. The program is free for all participants and could remain that way as long as the collaborative has funding.
While the effort is designed to help Latino families, it will also serve the entire Milwaukee region, Hernandez said. That’s because Latinos make up one of the fastest growing workforce populations in the country.
According to the U.S. Bureau of Labor Statistics, one in five workers in this country will be Latino by 2030. In the Milwaukee-Waukesha metro region, about 15% of workers over age 16 were Latino in 2021. They are also the only demographic in the region, Hernandez said, that has a birth rate that isn’t contracting.
“So, when you think about who your Gen Zers and Gen Alphas are? America is going to look more and more Latino.” Hernandez said. “If you are in a three-legged race, you want to make sure that your partner is strong and coordinated. If you want to win, that’s what you gotta do.” n
EVEN AS MULTINATIONAL companies like IBM, Microsoft and JPMorgan Chase & Co. alter their hiring process to attract neurodiverse talent, for others there remains a stigma around incorporating employees with different cognitive abilities into the workplace.
The term “neurodiversity” is relatively broad, referring to individuals with attention-deficit/hyperactivity disorder, autism, dyslexia, dyscalculia and dyspraxia. According to a 2023 study done by the U.S. Department of Labor, 85% of autistic adults are unemployed, despite the fact that autistic employees were found to be 92% more productive than neurotypical employees.
Many employers shy away from hiring neurodiverse talent because they mistakenly see it as a financial liability, says Peter Rathmann, president and chief executive officer of West Allis-based Allis Tool & Machine Corp.
“These companies are looking at these people as a cost,” said Rathmann, who is no stranger to the concept of neurodiversity. In May, he and his daughter, Emma, who is high-functioning autistic, gave the opening presentation at a Disability:IN Wisconsin event on hiring neurodiverse talent in manufacturing.
Rathmann has seen the benefits of neurodiverse talent play out in real time. He tells the story of an employee who cut assembly time by 30% with just a swivel chair.
“We had spent thousands of dollars on visual management. I came in the next week, and the kid had brought in a chair on wheels and turned off the visual cue machine,” Rathmann said. “He laid
BY ELLIE BATTEN, staff writerit out like a McDonald’s assembly line and could roll from one station to the other.”
To Kate Siekman, neurodiversity in the workplace is an indisputable advantage. Siekman is the director of learning and outcomes at Milwaukee-based Islands of Brilliance. The nonprofit organization’s programs allow neurodiverse students to practice communication and technical skills in STEM, art and design.
“Every day that I’m in a workshop with students, I see this crazy, unique perspective that I would have never thought of, whether it’s incorporating a certain design element, or a bit of humor or a philosophical idea,” Siekman said. “The way that they interpret the world and think about how everything interacts is so different, and why wouldn’t you want as many different perspectives in your workforce as possible?”
Tapping into neurodiverse individuals’ unique skill sets requires employers to re-evaluate the foundations of the hiring and training processes. Forcing neurodiverse employees to adapt to a “normal” work environment, Siekman argues, is counterproductive.
“One thing that a lot of people don’t understand is (neurodiverse individuals) don’t have an intellectual disability, and if you would look at it from a strict IQ standpoint, neurodiverse employees don’t have a lower IQ than anyone else,” she said. “Once you tap into recognizing and honing in on their strengths, the rest comes really easily, and you find that you don’t have to do a ton of environmental adaptations.”
Inclusion Coffee Co. in Hartland is proof that
honing in on neurodiverse skills is beneficial to the workforce. When Mackenzie Edinger opened Inclusion Coffee in 2022, her goal was to hire a staff of 50% neurodiverse employees. A year later, more than half of the staff is neurodiverse, and the business is thriving, said Edinger.
“There’s not a lot of places around here that do something like we do. People see that we work like everyone else, and they see how happy and excited everyone is to have a job,” Edinger said. “The community really loves it, and people even travel from out of state to visit.”
Inclusion Coffee’s success is largely due to the accommodating and adaptable environment. Every step of the training and working process is tailored to fit neurodivergent needs. The mentors, who are neurotypical staff, are trained to work with employees who may need more guidance.
“Some of our staff can’t read, so we show them our system for punching orders in pictures,” Edinger said. “A lot of our recipe books are 100-plus pages, and there are pictures of logos or objects to show them what to grab as opposed to having a bunch of words.”
Bringing neurodiverse talent to the workplace starts with the hiring process. It’s not as simple as a top-down approach, Rathmann says. Successful inclusivity hinges on an entire organization filled with people dedicated to embracing change and helping others grow, something Rathmann calls a “committed ecosystem.”
“The top can claim they’re going to be 10% neurodiverse, and say to the middle, ‘You guys figure it out,’” said Rathmann. “They have no knowledge of these individuals, or how to grow them and teach them.”
Neurodiverse applicants are often snubbed by employers during the interview process; social challenges are especially common among those with autism. The opportunity to prove their work ethic is made even more difficult, even though these individuals want to add value to the workplace just as much as employers want people to work, said Rathmann.
“My philosophy as an employer is if you can be on time, if you care about the work you do, and you want to learn more, I can teach you anything,” Rathmann said.
A committed ecosystem requires a deviation from the traditional mindset, too. For many neurodiverse employees, mastering skills one at a time with clear direction is essential.
“The biggest mistake most companies make is saying, ‘Here’s your first shift job, there are the tools, there’s a machine. Good luck,’” Rathmann said. “You can’t leave anything to translation.”
To Rathmann, hiring neurodiverse talent should go beyond ticking an inclusivity box. The real value lies in how the employees succeed and grow.
“I believe in growing a company by growing the people,” he said. “If I grow the people, the business will grow naturally.” n
Why and how employers should increase neurodiversity in their workplaceThe Inclusion Coffee Co. team in front of its Hartland cafe location. INCLUSION COFFEE CO.
JOHN DZIEWA was just 17 years old when a diving accident left him mostly paralyzed from the neck down.
Having spent most of his teen years working as a mechanic for his father’s business, Dziewa didn’t really have a plan for what would happen when he graduated from high school in 1988.
That’s when he applied for a computer programmer training program that was being sponsored through a partnership between Goodwill Industries of Southeastern Wisconsin & Metro Chicago and local companies, including Brookfield-based Fiserv.
Although he disliked computer programming in high school, Dziewa decided to give the program a try.
“I adapted really well to it. It was really focused on program system analytics as well as making sure that with a disability you could handle an eight-hour workday. We were required to wear suits and ties and everything,” he said, recalling the experience.
Thirty-five years later, Dziewa still works for the financial technology company, currently overseeing conversions, the process by which financial institutions upgrade from an older system to one of Fiserv’s.
What has impressed Dziewa most throughout his career is Fiserv’s continued effort to accommodate and support workers with disabilities – not because federal law requires it, but because it’s part of the company’s culture. When he enrolled in the training program that Fiserv participated in, for in-
stance, it was still two years before the passage in 1990 of the Americans with Disabilities Act, which prohibits discrimination against people with disabilities and mandates reasonable accommodations in the workplace.
“Right away, they recognized an untapped workforce in people with disabilities, and from the very beginning they made accommodations,” Dziewa said.
Those accommodations have taken on many forms – from ensuring workplaces and workstations are accessible to the creation of Thrive, an employee resource group for people with disabilities, caregivers and allies.
According to the U.S. Census Bureau American Community Survey, only 27.6% of the 166,360 disabled persons over the age of 16 in the Milwaukee-Waukesha metro area were employed in 2021. That’s about 6% of the 783,166 total workers in the region at that time.
Today, Fiserv partners with Disability:IN, the leading nonprofit resource for business disability inclusion worldwide, and the offices of disabled veterans at several universities as part of its recruitment efforts, noted Mark Jelfs, the company’s senior manager of communications.
Earlier this month, Fiserv was named a Best Place to Work for People with Disabilities by the Disability Equality Index for the fifth year in a row. An effort to advance the inclusion of people with disabilities, the index is a joint initiative of Disability:IN and the American Association of People with Disabilities, the nation’s largest disability rights organization.
While Dziewa is the most severely disabled
person in his Thrive group at the Brookfield campus, and the only person who uses a wheelchair, all of the members of the employee resource group have backgrounds that make them keenly aware of the needs of disabled individuals in the workplace.
“When you talk about six degrees of separation, you only have to go to two or three degrees to find a close connection to someone with a disability,” Dziewa said. “Whether they have a child, or another family member (with a disability), or just have had a past experience, the passion is there.”
The Thrive group at Fiserv’s headquarters has also been instrumental in ensuring that the company’s buildings are as accessible as possible. As a result of input from Dziewa, Fiserv rebuilt the ramp at its Brookfield campus three times to get it right.
“They finally ended up with a built-in, heated ramp and platform that worked not only for me, but any able-bodied (person) who had to walk on it in the wintertime,” he said.
Dziewa and his Thrive group have also played a key role in making sure the company’s future headquarters at the HUB640 building in downtown Milwaukee is as accessible as it can be in a structure that is more than 100 years old.
He set up a tour of the building with the design architects working on the renovations, Fiserv’s facility management staff and experts with Milwaukee-based nonprofit Independence First, which provides resources for people with disabilities and has one of the most accessible buildings in Wisconsin.
“The (Independence First experts) talked about everything from wheelchair users to the blind, the deaf and people with epilepsy, and what they did to design (their building) with those users in mind,” Dziewa said. “Fiserv is taking those design components and is incorporating them into the new building.”
Marci Boucher, president and chief executive officer of Independence First, said the nonprofit welcomed the opportunity from Fiserv “to weigh in on ways to make spaces accessible and inclusive for everyone.”
The support and encouragement Dziewa has received from Fiserv has had a mobilizing impact on his career, he said, eventually leading him to earn a degree in organizational leadership from Marquette University.
“When I first started, I had a lot of fears about how I would be accepted and wondering if I could do the job, and those concerns quickly went away just by me opening up and Fiserv being proactive and saying it wanted to know what those fears and concerns were,” he said. “Once that fear was over and I started doing the job, the disability wasn’t an issue anymore. Talk about a confidence and morale booster.” n
Join us on August 23rd for this half-day symposium filled with valuable insights to help you take your career and leadership skills to the next level.
Keynote Converstion:
» Julie Brandt, Vice President, President, Building Solutions North America, Johnson Controls (1)
Moderator: Caroline Krider, Senior Vice President & Milwaukee Market Leader, Global Industrials & Services, U.S. Bank (2)
Panel Discussion:
» Dr. Stacia Thompson, Executive Director, Sherman Phoenix Foundation (3)
» LaVay Lauter, Director Talent Development, Senior Vice President, Baird (4)
» Tiffany May, Vice President Preconstruction, Berghammer Construction Corporation (5)
» Melissa Tashjian, President and Founder, Compost Crusader (6)
Moderator: Kathy Thornton-Bias, President & CEO, Boys & Girls Clubs of Greater Milwaukee (7)
Breakout Sessions: 10:20 AM
Curating your next career steps
» Molly Mulcahy
» Joy Vertz, Drybar
» Kathleen O’Leary, Food + Farm Exploration Center
Moderator: Isioma Nwabuzor, Modine Manufacturing Company
Lessons learned on the road to leadership
» Samantha Maldonado, Chaska Consulting
» Erica Gumieny, Pivotal Point Consulting, LLC
» Tammy Belton-Davis, Athena Communications, LLC
Woman Executive of the Year: Cathy Jacobson, President & CEO, Froedtert Health
Understanding and supporting your younger workforce
» Deajah Scott, Northwestern Mutual
» Alexa Lopez, Accenture Technology
» Jessica Hanson, Milwaukee Tool
Moderator: Allison Wagner, All-In Milwaukee
11:15 AM
Adding to your mental health and wellness toolbox
» Meg Galarza, YogaOne Studio
» Dr. Michelle Braun, Ascension - Wheaton Franciscan Healthcare
Moderator: Jennifer Bartolotta, Bartolotta & Associates
SUPPORTING SPONSORS: SPONSOR: PRESENTING SPONSOR:
The power of connection
» Alexandra Don, Antonopoulos Leonhard Group LLC
» Jamie Andrzejewski, Nourish Natural Products
Moderator: Kim Chisholm, Modern Sprout
LAURA KOHLER LEADS environmental sustainability and social impact efforts at Kohler Co. as the company’s first chief sustainability and diversity, equity and inclusion officer. Her appointment earlier this year to the newly created role builds upon a 30-year tenure at her family’s company, serving most recently as senior vice president of human resources, stewardship and sustainability. As a global manufacturer of kitchen and bath products with more than 40,000 employees across six continents, Kohler has diversity and environmental sustainability in its blood, Laura explained in a recent interview with BizTimes Milwaukee associate editor Maredithe Meyer. She discussed how those commitments are now being strengthened “from the top.” The following portions of their conversation are edited for length and clarity. See the full Q&A at biztimes.com/laura-kohler
“When you're a global company, you are inherently diverse because you are in countries that are not your headquartered country, and that really does require your executives and managers to stretch and learn. It requires you to figure out how to hire incountry. So, the inherent nature of Kohler's growth around the world as a global brand brought diversity to us before we named it that. In the 2000s, we started to recognize that we needed a focus on intentionally recognizing diverse representation and inclusion, and in the early days, that was really gender. That was the common denominator around the world, whether you're in India, China, the U S. or Europe. Over the next 20 years, diversity continued to grow in different forms with managers, but in 2022 we were able to establish a senior director of DEI, reporting to the head of HR. We then expanded the diversity strategy to include supply chain, talent diversity and a culture of inclusion, but also new markets. And with that, when I took on my new role, we brought diversity, equity and inclusion together with sustainability. We believed that it was more than just talent and culture, that it really needed to inform supply chain, it needed to inform how we address new markets, how we address our product development, so integrating DEI into everything that we do.
“We decided to go big with this new role at the C-level, with a chief title, to say, yes, Kohler has been doing environmental sustainability. We've had an inherent focus on diversity, equity, inclusion. We've been doing Waste Lab for 10 years. All of these different examples of the work have been integrated in the business, but we wanted to come out and say we are serious. We are leading from the top. We are committing to the title and to the teams underneath to embed it into everything that we do.”
What does that mean for you and your 40-person team?
Laura Kohler sustainability and DEI officer Kohler Co. 444 Highland Drive, Kohler kohlercompany.com“I get to be much more involved with the aspects of the business that I'm passionate about. So, in just the DEI space, to me, the diversity of our workforce and how we include people is directly related to innovation. I have much more time to do business integration with innovation and our diverse teams and much more focus on diverse talent and spending time with the business resource groups. We have 11 of them and they're started organically at Kohler by passionate associates who want to innovate, ideate and connect
Chiefwith each other. We have all of these groups, so how do we take their energy and passion and talent and bring them closer inside the business so that when we're opening a new market – let's just say we're opening more focus on Latinx communities – where do the businesses go? They go and they connect with the Latinx BRG, called Viva Kohler. When we're innovating a product for aging in place, which is a diverse, more inclusive approach to design, they go to the caregiver BRG to better understand (the needs of the community).
“It’s this opportunity for us to really think deeply about all these areas that are important to us for the future but push them into the business and connect the business to that work. We can really spend time building it in instead of having it be in parallel to the business, and that's what makes us different.”
How has the adoption of a hybrid work format impacted Kohler’s ability to attract diverse candidates, at the corporate headquarters or globally?
“COVID really forced us to move from a traditional on-site company. Pre-pandemic, I would say 80% of our positions were onsite around the world. Certainly, sales teams around the world have always worked out of their homes and handled their branches, but Kohler was very on-site up until March of 2020. We then, like the rest of the world, pushed our teams remotely, except for manufacturing and our hotels. We've come out of that really realizing the value of flexibility and giving our associates the ability to manage their life and work more seamlessly. We’ve moved to three different work modes – on-site, hybrid and remote with travel – and giving more flexibility to the work modes has allowed us to hire more diverse
talent. My team is almost 60% diverse, either gender or people of color, and that is because we're more flexible in how we work. I'm also a big proponent of culture, and I do love the energy of people being on-site, and I think people learn faster and achieve more when they can ideate, so I bring my teams together as much as I can.”
Have you faced challenges or obstacles in pushing to make sustainability and DEI a top priority for Kohler? How have you worked through that?
“For as many people as we're engaging and inspiring in this work, we have to bring along others who are struggling with it. We are 150 years old, think about that. We have managers and leaders in place who have been at Kohler a long time and we have to continue to help upskill them. Right now, we're in the middle of going through something called inclusive leader training, globally, for 3,600 leaders around the world. They're all going through inclusive leader training, which is helping them learn new skills, because it could be that in the past, their team all looked like them. And now, the candidate pools are changing, the ages are changing, and all these candidates are coming from different walks of life, different ethnicities and our leaders need to keep upskilling. Our goal is to upskill all of the leaders around the world and then upskill all of the associates because if you worked at Kohler and you were a diverse associate, it's not just your manager experience, it's also your experience with peers, people around you. In some places, in areas of Wisconsin, it's not as diverse as we would like, so we have to work harder at training and development and creating support mechanisms for people to welcome and be comfortable with more diverse populations.” n
MATC, BUT DO YOU REALLY KNOW MATC? matc.edu/impact
of MATC students are students of color 56%
BizTimes Milwaukee is proud to present its showcase of Notable Leaders in Accounting, spotlighting accomplished professionals in the accounting field. The individuals profiled on the following pages were nominated by their peers at work and in the community and showcase the talent in our market.
METHODOLOGY: The honorees did not pay to be included. Their profiles were drawn from nomination materials. This list features only individuals for whom nominations were submitted and accepted after review by our editorial team. To qualify for the list, nominees must be currently employed in an accounting function at a business or nonprofit based in the southeastern Wisconsin area, and they must be currently serving in a senior-level role at their organization.
Wendy Schuler, vice president-finance and treasurer for Sheboygan-based Acuity Insurance, has been instrumental in the development of the company’s Own Risk and Solvency Assessment, in partnership with its actuarial department.
ORSA is an internal process that assesses risk management and solvency positions under a range of stress scenarios, requiring insurers to analyze relevant material risks that could have an impact on an insurer’s ability to meet its policyholder obligations, according to Michael Voelker, senior correspondent at Acuity. “Closely tied to this is her work to develop Acuity’s approach to Enterprise Risk Management, the process by which insurers assess, control, finance and monitor risk from all sources,” said Voelker. “Wendy’s work and leadership in these spaces has transcended Acuity to help set the standard of what these analyses mean in the insurance industry.”
Schuler was also part of the team that represented Acuity in a legal case that set a precedent in the property-casualty insurance industry.
Shawn Selk, chief financial officer at Milwaukee-based Altius Building Co., has 20 years of experience within the commercial real estate development industry.
“Shawn is an excellent motivator and communicator with strong client service skills as well as the ability to manage a diverse set of cross-organizational responsibilities. He has served as guest lecturer for UW-Milwaukee’s Lubar School of Business and is a member of the American Institute of Certified Public Accountants and the Wisconsin Institute of Certified Public Accountants,” said Scott Drees, president and CEO of Altius.
Selk is also a certified yoga instructor and affiliated with the Yoga Alliance, having studied under Fr. Joe Pereira of the Kripa Foundation in India. He developed a passion for yoga during his recovery from a major auto accident, according to Drees.
“When he is not off crunching numbers, creating and implementing improved financial strategies or bringing inner peace to those within his ‘Yoga with Shawn’ group, he is mentoring our company’s senior accountant or assisting another (architecture, engineering and construction) company with their accounting needs.”
Daniel Bruins, controller at Menomonee Falls-based Renaissance Manufacturing Group LLC, started as a finance and accounting leadership development associate with Navistar, eventually becoming accounting manager.
When part of Navistar’s business was purchased by Renaissance, Bruins stayed on and led the Renaissance accounting department. He became controller in 2018.
“Dan oversaw two acquisitions and is known for his people skills,” said Phil Knoebel, CEO of Renaissance. “He takes on responsibility and achieves great success for our companies. His integrity is much appreciated. In his role at RMG, he has been instrumental in keeping our company balanced.”
Bruins is also a captain in the Wisconsin Army National Guard. Under his command, his unit was awarded the Army Award for Maintenance Excellence in 2022.
Rachel LaMantia, president of Masterpiece Bookkeeping, has been an entrepreneur for more than a decade and is known by colleagues for her “heart for small business,” believing in the big impact small business owners can have on their communities.
“Rachel likes knowing how everything fits together and works just right, which is why she is fascinated by small business,” said Art Flater, principal and vice president of sales at Central Office Systems. “She loves figuring out how to make things better and appreciates effectively run organizations and all of the people who make them tick.”
LaMantia’s first step into entrepreneurship was launching SERVPRO of East Central Waukesha County with her father. As general manager of the disaster restoration franchise, she learned administration and finance skills that would later come in handy when she started Masterpiece Bookkeeping in 2017.
“Being a bookkeeper is the right blend of her background, skills, experiences and passions,” Flater said. “Her vision is that every small business owner has clean books that they understand and can use to make solid business decisions.”
As principal at SVA Certified Public Accountants’ Brookfield office, Nancy Mehlberg leads the Management Advisory Services practice.
“She drives innovation and has grown firm revenue with her leadership in conceptualizing and launching new product lines,” said Matt Vanderloo, chief executive officer of SVA. “During the pandemic — and still to this day — Nancy took charge to help the business community.”
As businesses struggled to stay afloat amid the COVID-19 pandemic, Mehlberg presented educational webinars and articles on the federal government’s Paycheck Protection Program and Employee Retention Credits, assisting hundreds of businesses with their funding applications. She continues to provide support to clients as they navigate a treacherous economic climate, said Vanderloo.
In addition, Mehlberg helps lead the Women of SVA initiative, which provides education, mentorship and support for female employees in every level of the organization.
“She is committed to mentoring and helping grow the careers of the next generation,” said Vanderloo.
Before joining Colliers | Wisconsin in 2017, Ryan Frohmader worked in public accounting for more than 10 years. Now as partner and chief financial officer, Frohmader oversees a team of more than 50 accountants and property managers, while also managing all financial aspects of the organization.
“The financial side of commercial real estate is complicated and fast-moving. Ryan excels in this environment and is viewed as a leader not only by his team, but also the company as a whole,” said Lyle Landowski, president and chief executive officer at Colliers | Wisconsin.
Since Frohmader joined Colliers | Wisconsin, it has grown to more than 200 employees and is primed for continued growth under his leadership, said Landowski.
Frohmader serves as treasurer on the Pewaukee Youth Baseball board. He helped develop and organize the food and beverage vending operations where he manages the financials as well as oversees a small team of employees. He is also involved with NAIOP Wisconsin’s Developing Leaders program.
Brooke Vogt, an accounting manager with Gilbane Building Co. in Milwaukee, specializes in project financial health and is responsible for educating her team to meet internal accounting needs.
“In nine years, Brooke has ascended from project accountant to accounting manager for Gilbane Milwaukee thanks to a dedication to the clients and the projects themselves,” said Dallas James, superintendent III at Gilbane. “An active member of local women in construction groups, Brooke advocates and tries to inspire young women to join the construction industry as often as possible.”
Vogt also participates in the Gilbane Rising Contractor program, which provides diverse and disadvantaged trade partners an opportunity to develop and broaden their industry skills and knowledge, while also gaining first-hand insight on working with Gilbane.
“Brooke helped our most recent local cohorts during a session dedicated to developing financial strength which focused on participants managing their cash flow management and an understanding of the financing resources that could help strengthen their business,” said James.
Vince Montemurro began his career with Kenosha-based Riley Construction as a division accountant. In 2013, he was promoted to controller, and he became chief financial officer in 2021.
“He has developed the company’s accounting department into a technologically advanced team that keeps pace with Riley’s growth,” said Kelly Wright, marketing coordinator at Riley Construction.
Montemurro leads several company initiatives, including employee health and wellness, prefabrication and customer service. He has also led the Riley Community Service team, supporting events for Habitat for Humanity and Feed My Starving Children.
“Vince is extremely approachable and personable, which results in clear communication and builds trust. He is practical and dedicated to finding ways to improve efficiency,” said Matt Prince, chief executive officer of Riley.
Montemurro serves as a fire commissioner for the Village & Town of Somers and as a board member of the Boys & Girls Club of Kenosha. He served as board president of Kenosha Area Family and Aging Services Inc. from 2018 to 2022, offering services such as Meals on Wheels, volunteer transportation and teen parenting programs.
As chief financial officer of West Allis-based Beyond Vision, Dennis Martin has led the organization through a number of changes, including the purchase and development of its VisABILITY Center.
The project, which transformed a former Sam’s Club store, remained on budget thanks to Martin’s work with PNC Bank to apply for and secure new markets tax credits — all while continuing to guide the day-to-day financial needs of the organization, according to Monica Gorko, grants and events leader at Beyond Vision.
“Using his financial knowledge and compassion, Dennis makes employment for people who are blind a reality, showing true dedication and commitment to giving people who are blind the opportunity to excel in their careers,” Gorko said.
Additionally, Martin serves as volunteer board treasurer at Mount Olive Lutheran Church in Milwaukee.
As chief financial officer at Children’s Wisconsin, Marc Cadieux has made a profound impact on the lives of hundreds of thousands of children and their families each year, according to Matthew D’Attilio, president of Pegasus Partners Ltd.
“His unwavering dedication and exceptional financial expertise have played a crucial role in making Children’s Wisconsin one of the best and most comprehensive pediatric health care institutions in the country,” D’Attilio said.
Cadieux’s responsibilities include the accounting oversight of two pediatric hospitals, 70-plus medical specialties, 20 primary care locations, the largest community services organization in the state, and Chorus Community Health Plans.
“Since Marc started at Children’s in 2005 as the director of physician financial services, he has navigated the complexities of financial management in the health care sector. His astute decision-making and ability to adapt to challenges, including the COVID-19 pandemic, have been remarkable,” D’Attilio added.
Cadieux currently serves as a board member for Special Olympics Wisconsin and is a committee member for Make-A-Wish Wisconsin Golf Kids and Children’s Wisconsin Tee-Up Fore Kids golf events.
As part of her role as a director at Sikich in Brookfield, Jill Boyle leads the firm’s not-for-profit tax practice and recently earned the title of not-for-profit industry vertical leader.
As a nonprofit industry and tax subject matter expert, Boyle has had several speaking engagements on Sikich-hosted webinars, in addition to presentations for community organization boards over the years. She has also made an impact through her involvement in women’s leadership initiatives, according to Mark Sobczak, partner at Sikich.
“She has been the leader of one of the many women’s leadership discussion circles for three years,” he said. “She also continues to drive staff development as a team leader.”
Boyle has been involved in nonprofit organizations in the Milwaukee community for many years, currently serving as board chair for the Running Rebels Community Organization and as financial review chair for Impact100 Greater Milwaukee. She was also board treasurer of an affiliate of the Down Syndrome Association of Wisconsin and was on the finance committee for Meta House.
Wipfli names new principal
Wipfli is proud to announce that Angela Haasch has been promoted to principal in our risk advisory services practice. Angela has over 16 years of experience helping organizations with risk advisory services, project management, process improvement and technology initiatives. She specializes in the technology and healthcare industries, assisting her clients with assessing, testing and improving the security and privacy of their information systems.
Wipfli names new principal
Wipfli is proud to announce that Robert Zondag has been promoted to principal. He brings leadership experience as an entrepreneur and executive in financial services. His clients have included financial institutions, technology companies and government entities. He specializes in strategic and capital planning, enterprise risk management, and regulatory and compliance matters. Robert is passionate about bringing clarity to his clients when they face complex business issues and regulatory matters.
Greenwoods hires Jim Meyer as Executive Vice President - Head of Commercial Banking
With over 30 years of financial services experience, Jim has worked for multiple regional banks in the Midwest. Most recently he served as Senior Managing Director – at Hiawatha National Bank where he was responsible for the commercial banking growth efforts.
In his new role at Greenwoods State Bank, Meyer will set the strategic direction for commercial banking, with oversight of Greenwoods State Bank’s treasury management, private banking and assisting with the overall strategic direction of the bank in his role as part of the Executive Management Team.
Patrick Cops joins Greenwoods State Bank as Vice President, Business Lender
Greenwoods State Bank is pleased to announce the addition of Patrick Cops to its Commercial Banking Division. Cops is a graduate of UW Whitewater and has most recently worked as a commercial lender. Prior to that, Patrick was a bank examiner for the State of Wisconsin. Rob Cera said, “Patrick has great expertise in structuring commercial loans to best meet individual client needs. Patrick will primarily work out of our Lake Mills Headquarters while supporting the commercial banking teams in our other eight locations as needed.” Contact Patrick for your commercial banking needs by calling him directly at 608-282-4855.
Matt Quinn, Waste-to-Energy Developer, Joins Mead & Hunt
Bringing 12 years of experience, Matt knows the importance of establishing resilient, reliable, and affordable energy sources to help enable the transition to renewable energy for our planet and our communities. As a Waste-to-Energy developer for Mead & Hunt, he helps project developers, manufacturers, landfills, and municipalities turn waste into power by customizing combined heat and power, gensets, and anaerobic digestion to biogas systems. Driving growth for Mead & Hunt’s waste-to-energy solutions, Matt works remotely from Millbury, MA. He earned his Mechanical Engineering degree from the University at Buffalo.
Operose Advisors Welcomes Mandy Nowaczynski
Mandy M. Nowaczynski, CPA, CFP, MSPA, has joined Operose Advisors as the Director of Tax Services. She leads the firm’s tax and accounting practice and is responsible for family office accounting, tax planning, and return preparation for clients. Mandy has 13 years of experience in tax and financial planning for clients. Mandy holds a B.S. in accounting and finance, and a Master’s in professional accounting with an emphasis in tax from the University of Wisconsin Milwaukee. Mandy serves as the Treasure for the Waukesha County Estate Planning Council.
R&R Insurance Names Brian McEvoy as Director of Risk Management Strategies
Brian McEvoy has joined R&R Insurance as Director of Risk Management Strategies. He has more than 23 years of experience in workers’ compensation underwriting with a strong focus on developing collaborative strategies with clients that optimize costs and leverage the resources of insurance companies and employers. His extensive knowledge of pricing strategies and cost containment initiatives assists clients in managing their total cost of risk. Previously, McEvoy was the Director of Underwriting for West Bend Mutual Insurance Company, where he helped grow the Argent division from zero premium to $136 million in 2022.
Kate Musser Joins R&R Insurance as an Account Executive
Joining R&R as an Account Executive, Kate has over eight years of experience with complex and litigated workers’ compensation claims in multiple jurisdictions, as well as knowledge of compensability, medical management and disability management.
Nickolas Steiner Named Loss Control Consultant at R&R Insurance
Joining R&R as a Loss Control Consultant, Nickolas Steiner has over 15 years of experience establishing a culture of safety in organizations, developing health and safety practices, and engaging production employees in change management.
Kahler Slater Promotes Evelyn Freimann to Associate Principal
Kahler Slater is pleased to announce the promotion of Evelyn Freimann to Associate Principal. She is an accomplished and recognized project leader with a focus on highly complex projects including mixed-use, multifamily, and adaptive-reuse projects.
Benson’s Restaurant Group names
Monica Wang as Director of Marketing
Monica Wang has been named Director of Marketing for Benson’s Restaurant Group. Wang, with nearly a decade of experience in sales and marketing at top consumer brands, will lead marketing efforts for all six of the group’s restaurants.
Waukesha State Bank Hires Dave Rios
Waukesha State Bank is pleased to announce the addition of Dave Rios as bank manager of its Muskego office. Dave will be responsible for all aspects of daily operations, including business development, personnel management, service and lending.
The LCCSEW Announces Tanya Puebla as Marketing & Membership Engagement Director
The Latino Chamber of Commerce of SEW has promoted Tanya Puebla as Marketing & Membership Engagement Director. In her new role, she will be responsible for new marketing strategies, providing creative direction, and maintaining client relationships.
Kahler Slater promotes Kim Bruffy to Principal
Kahler Slater is pleased to announce the promotion of Kim Bruffy to Principal. She serves as the National Director of Business Development for the firm’s Healthcare market.
Benson’s Restaurant Group names
Nicole Rouleau as Director of Sales
Nicole Rouleau, previously Benson’s Restaurant Group’s event sales manager, has been named Director of Sales. Rouleau will lead sales, event management and catering for all six of the group’s restaurants, including The Edison, opening July 2023.
Kahler Slater Promotes Kelli Zaremba to Associate Principal
Kahler Slater is pleased to announce the promotion of Kelli Zaremba to Associate Principal. She serves as the National Director of Business Development for the firm’s Residential, Hospitality, and Corporate markets.
Citizens Bank, Mukwonago expands business banking team with new member
Eric Olson has joined Citizens Bank, Mukwonago as AVP – Business Banker. A graduate from UWWhitewater with a BBA in Finance, Olson brings almost a decade of banking experience ranging from credit analysis to commercial relationship management.
SourcePoint Staffing, a leading employment agency specializing in connecting qualified candidates with top-notch organizations, is delighted to announce that it has been voted the Top Choice Employment Agency in Greater Milwaukee for the fifth consecutive year. CEO Steven J. Appel stated, “we appreciate the recognition for our consistent
von Briesen & Roper, s.c. welcomes Jonathan J. Feldbruegge to its Milwaukee office.
Jon is a Shareholder in the Litigation and Risk Management Section. Jon has more than 10 years of litigation experience and focuses his practice on construction litigation, fire and explosion litigation, insurance coverage and fiduciary litigation.
hard work serving our customers and candidates. SourcePoint Staffing is thrilled to announce it has been acquired by Staffworks Group, a prominent national staffing company, headquartered in Auburn Hills, MI known for its unwavering commitment to excellence in the industry.“ The partnership with Staffworks Group presents an exciting opportunity for SourcePoint Staffing to expand its reach, leverage the national network, and deliver even more robust staffing solutions to clients and candidates.
DeAnna Leitzke is MSOE’s newest academic chairperson
Dr. DeAnna Leitzke, P.E. is chairperson of MSOE’s Civil and Architectural Engineering and Construction Management Dept. She will lead the department, its academics, and the renovation of the Kendall Breunig Center for the Built Environment.
Nesemann Joins Payroll Complete Team
Payroll Complete, a division of Waukesha State Bank, is proud to announce the addition of Dave Nesemann as Human Capital Management (HCM) Account Executive. Dave will work with prospective clients to create and build business relationships.
Crisis Prevention Institute welcomes Kirsten Kessler as first Chief Growth Officer
Crisis Prevention Institute, the leader in evidence-based de-escalation training, has hired Kirsten Kessler as its inaugural Chief Growth Officer. Kessler will explore new markets to extend the reach of CPI’s mission of creating safer communities.
This June 1962 photo shows a crowded outdoor pool at Hoyt Park in Wauwatosa, including a man flipping from the diving board.
TAX INCREASES are never good news for consumers or businesses. But the 2% sales tax increase recently approved by City of Milwaukee officials was realistically the only way the city could avoid drastic cuts and give it a chance to rectify financial problems that have been growing for many years.
Milwaukee County is facing similar severe budget problems. The County Board could vote on July 27 to increase the county’s sales tax by 0.4%.
That means the sales tax in Milwaukee could be 7.9%, and the sales tax in suburban Milwaukee County could be 5.9% next year. By comparison, Waukesha County’s sales tax is 5.0%; Ozaukee and Washington counties both have a 5.5% sales tax.
So, Milwaukee will be a sales tax island in the region, which will create a challenge for retail businesses in the city and an additional financial burden for city residents. But the tax increase was approved overwhelmingly by the Common
Council vote, and signed by Mayor Cavalier Johnson, as city officials said it was needed to prevent a financial disaster. The city and county have been approaching a fiscal cliff for years as investment returns on their pension fund have not been adequate to meet their growing pension obligations and the state made several cuts in shared revenue to local governments during the past 20 years. The state has limited what local governments can do to raise revenues.
As a result, the city and county have made numerous cuts for years, each eliminating more than 1,000 jobs since 2000. The impact of their budget cuts shows up in many ways including slow police response times, run-down parks facilities and streets in need of repairs.
The sales tax increase is expected to provide $193.6 million in annual revenue in 2024, a huge increase that largely solves the city’s budget crisis, though some cuts still might be necessary.
In addition to allowing Milwaukee to raise its sales tax, the state has also finally agreed to increase shared revenues to local governments, which will benefit Milwaukee and communities around the state. But the state should do even more to help local governments.
VOLUME 29, NUMBER 6 | JULY 24, 2023
126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120
PHONE: 414-277-8181 FAX: 414-277-8191
WEBSITE: www.biztimes.com
CIRCULATION: 414-336-7100 | circulation@biztimes.com
ADVERTISING: 414-336-7112 | advertising@biztimes.com
EDITORIAL: 414-336-7120 | andrew.weiland@biztimes.com
REPRINTS: 414-336-7100 | reprints@biztimes.com
PUBLISHER / OWNER
Dan Meyer dan.meyer@biztimes.com
DIRECTOR OF OPERATIONS
Mary Ernst mary.ernst@biztimes.com
COMMUNITY ENGAGEMENT / OWNER
Kate Meyer kate.meyer@biztimes.com
EDITORIAL
EDITOR
Andrew Weiland andrew.weiland@biztimes.com
MANAGING EDITOR
Arthur Thomas arthur.thomas@biztimes.com
ASSOCIATE EDITOR
Maredithe Meyer maredithe.meyer@biztimes.com
REPORTER
Ashley Smart ashley.smart@biztimes.com
REPORTER
Cara Spoto cara.spoto@biztimes.com
REPORTER
Hunter Turpin hunter.turpin@biztimes.com
INTERN REPORTER
Ellie Batten ellie.batten@biztimes.com
SALES & MARKETING
DIRECTOR OF SALES
Linda Crawford linda.crawford@biztimes.com
SENIOR ACCOUNT EXECUTIVE
Christie Ubl christie.ubl@biztimes.com
ACCOUNT EXECUTIVE
Paddy Kieckhefer paddy.kieckhefer@biztimes.com
ACCOUNT EXECUTIVE
Dylan Dobson dylan.dobson@biztimes.com
ACCOUNT EXECUTIVE
Christy Peterson christy.peterson@biztimes.com
SALES ADMIN Gracie Schneble gracie.schneble@biztimes.com
ADMINISTRATION
ADMINISTRATIVE COORDINATOR
Sue Herzog sue.herzog@biztimes.com
PRODUCTION & DESIGN
SENIOR GRAPHIC DESIGNER
Alex Schneider alex.schneider@biztimes.com
Independent & Locally Owned Founded 1995 —
Act 10, signed into law by then-Gov. Scott Walker, removed most collective bargaining rights for public employees in the state. That helped local governments significantly reduce the cost of benefits for their employees, resulting in a huge savings for taxpayers. But Act 10 has a major flaw: it exempts police officers and firefighters. In a community like Milwaukee with large police and fire departments, that’s a big problem. If the Republicans in the state Legislature want to help local governments cut costs, they should eliminate the police and fire exemption for Act 10.
Regardless, from a budget perspective, Milwaukee’s city and county governments have a new lease on life. Local officials need to take advantage of it and not squander the opportunity to right their financial ship. n
ANDREW WEILAND
EDITOR
/ 414-336-7120
/ andrew.weiland@biztimes.com
/ @AndrewWeiland
Envision Growth, Turner Community Partners and VIA CDC have been chosen by the Community Development Alliance and Local Initiatives Support Corp. to lead an effort to build 45 affordable homes for early childhood educators in five Milwaukee neighborhoods.
The announcement comes after the CDA issued a request for proposals seeking partner developers for the effort. The responses were reviewed by a panel of housing, neighborhood and government representatives. Envision Growth, Turner Community Partners and VIA CDC were selected because of their commitment to supporting
and enhancing neighborhoods so residents can thrive, according to a press release.
The homes will be built on vacant lots owned by the city of Milwaukee, and the first home is expected to be completed by the end of 2024.
Funding for the project is coming from a $5 million American Rescue Plan Act grant from the Wisconsin Department of Workforce Development.
The homes will be built within walking distance from early childhood education providers on Milwaukee’s north and south sides.
—Cara Spoto, staff writer1415 Campus Drive, Sheboygan, WI, 53081 920-287-7895 | bookwormgardens.org
Facebook: facebook.com/BWGbookwormgardens
The Helen Bader Institute for Nonprofit Management at the University of Wisconsin - Milwaukee and Bader Philanthropies will host the inaugural Wisconsin Nonprofit Summit on July 27 and 28 at the Brookfield Conference Center, 325 S. Moorland Road, Brookfield. Ticket prices range from $75 for students to $200 for full, in-person access.
Outpost Natural Foods and Hunger Task Force will host a food sort on July 28, from 1-4 p.m. at Hunger Task Force, 5000 W. Electric Ave., Milwaukee. Volunteers will sort through donated items to ensure the organization is distributing the highest quality food possible.
Making Strides Against Breast Cancer will host a kick-off breakfast celebration on Aug. 10, from 7-9 a.m. at American Family Field in Milwaukee, ahead of its premier event this fall.
Revitalize Milwaukee will host its 23rd Block Build MKE event on Aug.18 and 19. The event will bring together thousands of volunteers to transform up to 30 homes in the Muskego Way neighborhood in Milwaukee.
Kohl’s is donating nearly $1.5 million to COA Youth & Family Centers, Discovery World and the Milwaukee Public Museum in support of youth STEM programming, summer camps, free museum entry days and more. | Northwestern Mutual is donating $3 million to local efforts to help boost home ownership among Black and Hispanic families in the city. The bulk of the funding, $2.5 million, will be given to the Milwaukee Community Land Trust and $500,000 is going to Acts Housing’s Homeownership Acquisition Fund. | Cousins Subs and the Milwaukee Bucks teamed up to raise $20,150 through their Block Out Hunger campaign during the 2022-‘23 NBA season, donating the funds to Hunger Task Force to help fight food insecurity across the state.
Instagram: @bookworm_gardens
LinkedIn: linkedin.com/company/bookworm-gardens/
Year founded: 2010
Mission statement: To inspire a love of books and nature in the young and young at heart.
Primary focus: The design of exhibits within Bookworm Gardens, along with the stewardship of the nonprofit’s 7.5acre botanical gardens that are inspired by children’s literature.
Other focuses: Education, conservation and visual arts.
Number of employees at this location: 27 (full time, part time and seasonal)
Key donors: Bookworm Gardens was founded by the grassroots support of the Sheboygan County community and the generous individuals, corporations and foundations that exist there. As our reach continues to grow, we welcome and encourage philanthropic participation from anyone who believes in and will help to fulfill our mission.
Executive leadership: Sandy Livermore, founder; Elizabeth Wieland, executive director; Charles Parks, director of horticulture and facilities; Cate Tinker, director of education and community programming; Amanda Salazar, director of operations; Dana
Elmzen, director of marketing and communications
Board of directors:
• John Donovan, CloverNord Consulting Inc., president
• Kathie Norman, Kees Inc., vice president
• Kimberly Johnson, Rogers Behavioral Health, secretary
• Brian Begalke, Begalke & Associates, treasurer
• General members: Barbie Walker, Gus Reed, Ross Leinweber, Craig Pereira, Jessica Jens, Scott Luedke, Jenny Le Clair-Bemis, Marilyn Morrissey, Mike Beil, Elise Opel, Karen Rhyan
Is your organization actively seeking board members for the upcoming term? Yes
What roles are you looking to fill?
Development and human resources. Ways the business community can help your nonprofit: Event sponsorship, fundraiser donations and corporate giving.
Key fundraising events: Secret Garden Dinner Series (2023 dates are sold out), Happily Haunted Gardens (October).
Vice president and chief advocacy officer Vivent Health
IN LATE JUNE, Milwaukee-based Vivent Health relocated its downtown clinic to a $9 million, 46,200-square-foot facility at the corner of North Sixth Street and West Fond du Lac Avenue. Compared to the HIV health care provider’s former home, the new stand-alone clinic is about a third larger, with capacity to serve an additional 1,000 patients. It also places the nonprofit (formerly known as the AIDS Resource Center of Wisconsin) closer to an area with the highest prevalence of people living with or at risk of contracting HIV in the state. BizTimes Milwaukee associate editor Maredithe Meyer recently spoke with Vivent’s vice president and chief advocacy officer Bill Keeton about the organization’s impact and continued growth.
“First and foremost, when I think about what the impact of this organization has been and what our successes are, if you look at the state of Wisconsin over the past 15 years or so, people with HIV by and large live longer and healthier lives here than just about anywhere else in the country. And that’s a testament to the fact that we’ve been providing the model of care that we provide here in the state to some of the most vulnerable and marginalized people living with HIV. For someone of resources and means, HIV is a relatively straightforward, managed chronic disease. … But it’s for those folks who are struggling to have a place to call home every night, it’s the folks who face food insecurity, who can’t find meaningful and sustainable employment, struggling with mental health or substance abuse issues, the fact that we’re able to help them live longer, healthier lives is really a testament to the power of what we do. We’ve also been suc-
cessful in helping to reduce the number of new HIV infections in this state.”
“We’re not seeing the same outcomes and the same advancements happening equitably across all folks who are impacted. Unfortunately, communities of color are still experiencing HIV diagnosis rates that are way too high and significantly outpace the rates for white folks. So, we still have work to do, but I believe the power of our model and as we are able to reach more folks, we’ll be able to reduce those disparities for folks of color, especially African American, Latino/Hispanic, and gay men and bisexual men. Reaching those populations is really what it will take to achieve the collective goal for the country of ending HIV as an epidemic by reducing the new cases of HIV to much lower levels.”
“Geographic accessibility is really important to helping make the services we’re here to provide accessible. But there’s another part of that story. It doesn’t matter if you’re located in the community that you’re trying to serve if the people you’re serving don’t feel valued, don’t feel appreciated, if they’re not treated with dignity, sensitivity, understanding of everything that they’re coming to us with. At the end of the day, the unfortunate truth is folks are not only coming to us with their HIV. We know that racism still exists and plays a role in the lives of African American and Hispanic folks we’re serving, we know that sexism still exists and plays a role in the lives of the women we’re serving, and we know that homophobia and transphobia are playing really significant roles in the lives of folks from those communities we’re serving.
“The location is critical, but it’s got to be coupled with a team of service providers and clinicians who are incredibly sympathetic, empathetic and are able to help people not just with managing their HIV but understanding and creating a space where those folks can bring their whole selves to their appointment. When they do this, we can be a part of solving some of those challenges.” n
See the full conversation at biztimes.com/bill-keeton.
Congratulations to the 2023 Future 50 award winners! We are thrilled to recognize these companies, the fastestgrowing privately owned businesses in southeastern Wisconsin. They have demonstrated remarkable achievements, exhibiting substantial revenue and employment growth over the past three years.
We invite you to join us in celebrating their remarkable accomplishments at the awards luncheon on September 22.
Adventure Rock
American Construction Services, Inc.
Arrow Sewing
Atomix Logistics
Automated Energy Solutions, Inc.
Basic Metals, Inc.
Benz Metal Products, Inc.
Best Version Media
Bevco Engineering Co.
Bliffert Lumber & Hardware
Briohn Building Corporation
Central Standard Distillery
Color Ink, Inc.
Duffek Construction
Edge Electric
Empower Electric
Evans Transportation
Galbraith Carnahan Architects
Gorilla Mill / Carbide Grinding Co., Inc.
Great Lakes Industrial
IEWC
Implecho, LLC
Kelmann Restoration
Kesslers Diamond Center, Inc.
Koru Health LLC
Lakeland Supply Inc.
Lauber Business Partners, Inc.
Lisbon Creek Systems
Magellan Promotions
MARS Solutions Group
Midwest Precision Molding
MilwaukeeWarehouse
Moore Construction Services, LLC
MPE
Presenting Sponsor:
Palmer Hamilton, LLC
PartsBadger, LLC
Pattyn North America
Premier Medical Staffing Services, LLC
QPS Employment Group
River Run
RJ Schinner
Stamm Technologies / Stamm Media
TKO Miller, LLC
Total Mechanical, Inc.
Valor Technologies, LLC
Vizance
Vyron
WeldFab Manufacturing
WOLTER, INC.
Xiogenix
Partner: Sponsor:
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