BizTimes Milwaukee | August 19, 2019 by BizTimes Media

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2019

Nominate Today! 2019 Awards Categories Corporate Citizenship Awards • Corporate Citizen of the Year

CORPORATE CITIZENSHIP

• Next Generation Leadership • In-Kind Supporter • Corporate Volunteer of the Year

Call for Nominations! BizTimes Media presents the sixth annual awards program to salute southeastern Wisconsin’s best corporate citizens and most effective nonprofit organizations. The awards will shine a light on excellence in philanthropy and nonprofit leadership. The recipients of the awards will be saluted at a breakfast program on November 1st, 2019. Nominate the people and for-profit organizations who are making a positive difference in the community by donating their time, talent and treasure. Nominate the nonprofit organizations that are making the region a better place to live, work and play. Self-nominations also are encouraged!

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BizTimes Milwaukee (ISSN 1095-936X & USPS # 017813) Volume 25, Number 10, August 19, 2019 – September 1, 2019. BizTimes Milwaukee is published bi-weekly, except monthly in January, July and December by BizTimes Media LLC at 126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120, USA. Basic annual subscription rate is $42. Single copy price is $3.25. Back issues are $5 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 2019 by BizTimes Media LLC. All rights reserved.

Contents

4 Leading Edge 4 NOW BY THE NUMBERS 5 IN FOCUS 6 WHO’S ON THE BOARD? BIZPOLL MY FAVORITE TECH 7 THE FRANCHISEE 8 GOOD LIFE 9 PROJECT PITCH IT 10 IN THE NEIGHBORHOOD ON MY NIGHTSTAND

11 Biz News 11 MADE IN MILWAUKEE 12 TEACHING CAPITALISM

14 Real Estate 27 Strategies

COVER STORY

27 ECONOMY Joe Galvin 28 INNOVATION Dan Steininger

Clicking with Milwaukee Stakeholders work to attract and retain tech talent

29 COACHING Susan Wehrley

32 Biz Connections 32 NONPROFIT

Special Report

33 AROUND TOWN

Coverage includes a look at some interesting office space designs in Milwaukee and a report on the latest in office space trends.

35 THE LAST WORD

34 GLANCE AT YESTERYEAR COMMENTARY

22 Office space

M I LW A U K E E P U B L I C L I B R A RY F O U N D AT I O N

MILWAUKEE RESCUE MISSION PHONE: (414) 344-2211 WEB: milmission.org

PHONE: (414) 286-3784 WEB: supportmpl.org

The Milwaukee Rescue Mission (MRM) has faithfully served those who are homeless and poor in Milwaukee since 1893. Our mission statement says: “In response to God’s grace through Christ, we compassionately serve men, women, and children who are homeless, hungry, or poor to help them become whole in body, mind, and spirit for the glory of God.” The Milwaukee Rescue Mission offers help in the present in order to give hope for the future.

Milwaukee Public Library Foundation provides essential support through private contributions for books, materials, programs, and library facilities to ensure continued standing as a great library, responsive to community needs.

2019 GIVING GUIDE F E ATU R E D NONPROFI T

To learn more, visit biztimes.com/giving PRODUCED BY

2019 GIVING GUIDE F EATURED NONPROF I T

To learn more, visit biztimes.com/giving PRODUCED BY

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Leading Edge

BIZTIMES DAILY – The day’s most significant news → biztimes.com/subscribe

NOW

Potawatomi wants to build casino in Waukegan, Illinois By Alex Zank, staff writer Potawatomi Hotel & Casino in Milwaukee, which is owned and operated by the Forest County Potawatomi Community, wants to build a new casino in the city of Waukegan, Illinois. Potawatomi announced that it had submitted an application to develop a commercial casino in Waukegan, which lies just south

of the Wisconsin-Illinois state line. Downtown Waukegan is about 15 miles from downtown Kenosha. The city of Waukegan issued a request for proposals in July seeking potential casino developers. Rodney Ferguson, Potawatomi chief executive officer and general manager, said it would be fitting that his group develop a casino in

BY THE NUMBERS

Metro Milwaukee area employment was

890,500

in June, the highest ever for the region, exceeding the previous record set in 2000, according to the Metropolitan Milwaukee Association of Commerce. 4 / BizTimes Milwaukee AUGUST 19, 2019

Waukegan since it has been operating a hotel and casino in Milwaukee for decades. He said Potawatomi considers Waukegan to be in the same market as Milwaukee. “Because we’ve been in the market the last three decades it just makes sense to continue our brand in that particular market area,” he said. The RFP from Waukegan was issued following Illinois Governor J.B. Pritzker signing into law a gambling package that expanded the number of available casino licenses in the state. Ferguson said Potawatomi hadn’t put together in its proposal the full details of what would be included in the new casino. He said the RFP calls for up to 2,000 slot machines, as well as table games and other amenities that would draw guests to the property. Potawatomi’s proposal primarily covers its background and successes in Milwaukee, as well as its plans for marketing the Waukegan facility. It doesn’t identify the specific types of games that would be included in the casino; those details, along with its overall size and location, would be worked out in future feasibility studies. “Our (Milwaukee) property attracts more than 6 million visitors annually, making it one of the largest entertainment destinations in the Midwest. With a history of

expansion and continual reinvestment, we don’t take our success for granted,” Ferguson said. “We are excited about the opportunity to bring that same level of success to Waukegan.” The Waukegan RFP states the city has identified a number of properties it owns as possible locations for a casino. Chief among them is a 28-acre site within the Fountain Square commercial and retail development, located near the southwest corner of Illinois highways 43 and 120. The site is also close to U.S. Highway 41 and I-94. Robert Long, corporation counsel for Waukegan, said the city had received six proposals by the RFP deadline, including the Potawatomi proposal. The Waukegan casino would be built not far from a site in Kenosha where another casino had been planned by the Menominee Indian Tribe. That tribe sought to develop an off-reservation casino at the 220-acre former Dairyland Greyhound Park in Kenosha. The proposal was ultimately rejected by former Gov. Scott Walker. In explaining his decision, Walker noted that an agreement with the Potawatomi would require the state to reimburse the tribe for any lost revenue if the Kenosha casino were built. The Potawatomi tribe expressed strong opposition to the casino proposal in Kenosha. n

inf cus

MAREDITHE MEYER

Sculpture Milwaukee exhibit WHILE TRAVELING along East Wisconsin Avenue in downtown Milwaukee this summer, passersby may have noticed a colorfully dressed couple tangoing in the plaza of the 310W office building, a massive silver tree planted in the Northwestern Mutual Tower and Commons, or a bronze-colored man sitting deep in thought outside of The Pfister Hotel. Those creations started popping up in early May along downtown’s main thoroughfare, from Fifth Street to O’Donnell Park, as part of Sculpture Milwaukee’s third annual outdoor urban sculpture collection. Twenty artists from around the world contributed to the exhibit, which features 22 artworks ranging from life-size statues to abstract constructions. “Tango Dancers” is the work of acclaimed New York City-based multimedia artist Red Grooms, who has two artworks featured in this year’s collection. His sculpture entitled “Hot Dog Vendor” sits outside the 875 East Wisconsin Avenue office building. Considered to be a pop art maximalist, Grooms, 82, draws inspiration for his work from ordinary scenes such as carnivals and 1930s- and ‘40s-era roadside attractions to depict a humorous, larger-than-life take on modern urban life. This year’s Sculpture Milwaukee exhibition will be on display through Oct. 27. n — Maredithe Meyer biztimes.com / 5

Leading Edge

BIZTIMES MEDIA – Like us

Who’s on the Board?

JASON INDUSTRIES INC. • Brian Kobylinski, chairman and chief executive officer of Jason Industries • Jeffry Quinn, former chairman and CEO of Jason Industries • James Heffernan, former chief financial officer and chief operating officer of Danielson Holding Corp. • James Hyman, former president and CEO of Community Education Centers

BIZ POLL

Kobylinski

• Mitchell Quain, former partner for One Equity Partners • James Sullivan, former executive vice president and CFO of Joy Global, Inc. • Nelson Obus, chief investment officer of Wynnefield Capital Management • Andrew Lampereur, former executive VP and CFO for Actuant Corp.

MY FAVORITE TECH DANA GUTHRIE Dana Guthrie is managing director and founder of Alchemy Angel Investors, and product manager at Johnson Controls International plc. She noted the lack of diversity among entrepreneurs and investors, and decided to begin investing in early-stage, high-growth startups. Guthrie uses a few tech tools to keep herself organized:

A recent survey of BizTimes.com readers.

Should Milwaukee County seek a new developer for The Couture site? YES:

NO:

81%

19%

AHA “Aha is a life-saving product management tool, allowing users to clearly define their product vision, strategy and priorities. I constantly receive customer feedback, requiring me to reprioritize my product roadmap, and this dynamic tool allows me to do so in the most efficient way possible.”

TABLEAU “Tableau was recently acquired for about $15 billion and I understand why. It allows users to very easily slice, digest, and run customized reports on large amounts of data. For me personally, it keeps me honest in ensuring that I’m meeting the business goals, identifying opportunities and understanding what’s working well.”

TRELLO “I use Trello in my personal and professional life. I’m usually juggling many projects at once and Trello allows me to keep track of where I am relative to completion for all of them. I have visibility into when things are stalled or not moving as quickly as I’d expect, which forces me to do something different to get things moving towards completion. The cooler part is it’s free and there’s an app. So, I even use it for everyday things like grocery lists or as a reminder for lists of errands.”

GLAS BY JOHNSON CONTROLS

Share your opinion! Visit biztimes.com/bizpoll to cast your vote in the next Biz Poll. 6 / BizTimes Milwaukee AUGUST 19, 2019

“I know this sounds like a plug because I work at JCI but it honestly is one of my favorite gadgets. And it’s the only non-software thing on this list. But I love my Glas. Not only does it allow me to monitor and control the temperature in my home from an app, but it gives me information on air quality, energy savings and is smart enough to sense when the space is unoccupied and go into auto-away mode to save me money. Not to mention, it’s a pretty sexy stat; definitely a conversation piece when I have visitors at my house.” n

the

FRAN C H I S E E Chandler leading a workout on stage with DJ Shawna during the Rock On to Wellness event.

MARGAUX CHANDLER SHRED415

Margaux Chandler, owner of Shred415 on Milwaukee’s East Side.

“Shred415 is truly the only brand I would have done what I’ve done for: left my job, sold my house, moved my family mid-school year,” Chandler said. “This is the brand and the format that lights me up, that fuels my passion, and I jumped on the opportunity to bring it to others.”

THE FRANCHISE: Chicago-based boutique fitness concept Shred415 offers group classes that combine intervals of both cardio and strength training. Since it was founded in 2011 by Bonnie Micheli and Tracy Roemer, the company has grown to 22 studios with an additional nine locations opening soon in 17 states, according to its website. SUMMER 2017: Margaux Chandler had been gearing up to open her own indoor cycling studio in downtown Chicago when the property’s lease agreement unexpectedly fell through. One week later, Shred415 announced it would expand into franchising. An avid client and instructor at Shred415, in addition to her full-time career in retail loss prevention, Chandler decided to pursue this new opportunity. SPRING 2018: Chandler, with her husband and their two children, relocated from Chicago to Milwaukee to open Shred415’s first Wisconsin studio and its first-ever franchise location. She signed a commercial lease for the space at 2165 N. Prospect Ave. in March. In April she resigned from her role as an asset protection manager for Vancouver, Canada-based Lululemon Athletica. SEPTEMBER 2018: Shred415 opens its studio on Milwaukee’s East Side. The 4,000-square-foot facility includes a 1,300-square-foot class space with treadmills and weight equipment, private locker rooms and a playroom with childcare services.

Chandler used to teach indoor cycling classes at her Chicago home.

JUNE 2019: The studio held its largest community event to date as part of Summerfest’s Rock On to Wellness in downtown Milwaukee. Chandler led 250 attendees in an interval training workout set to live music by local entertainer DJ Shawna. THE FRANCHISE FEE $50,000

Chandler leading the studio’s firstever class.

“A big part of my job before we opened was to get out there and meet people, talk to them and lead conversations, not about Shred415, but about Milwaukee…it leads to an organic conversation where people learn more about you and understand your passion,” Chandler said.

“While we have this season where we can get out and come to people who aren’t yet coming to us, we take full advantage of it,” Chandler said.

biztimes.com / 7

Leading Edge

@BIZTIMESMEDIA – Real-time news

Love of music and family help Eisenmann relax By Molly Dill, staff writer

he question in Erik Eisenmann’s household growing up wasn’t whether he and his sister would play an instrument, but what instrument they would choose.

the

Good LIFE

Eisenmann plays the trumpet in a Husch Blackwell Mardi Gras office parade.

His mother was a middle school band director for many years. Eisenmann, now a partner at Husch Blackwell LLP in Milwaukee, messed around with the piano at home, but ultimately chose the French horn in fourth grade. He played in the school band, jazz band and marching band at Waukesha West High School, then the University of Wisconsin-Madison marching band. “I got to travel with the football team to the Rose Bowl in 2000 and did a lot of other fun things with that group,” Eisenmann said. When he was in law school in Washington, D.C., Eisenmann played in a communi-

ty band there. As a new associate, he was among the lawyers and judges playing in the Chicago Bar Association Symphony Orchestra. “When I moved back to Wisconsin, I joined the Waukesha Area Symphonic Band, which is the group I play with now,” he said. Also in WASB is his mom on trumpet, his dad on percussion, his sister Kelsey on trombone and her husband Kent on euphonium. WASB rehearses at Carroll University each week and performs three to four times per year. Practices are like a family reunion, and Eisenmann loves it. He’s even getting his two young daughters interested in music. “Music has always been a nice escape for me. So when school or work is particularly stressful, it’s a way to focus positive energy on something else,” he said. n

Building Milwaukee’s future. From forging the agreements that gave the Bucks their new home at Fiserv Forum to developing our future home at 511 N. Broadway, Husch Blackwell has led the way in shaping Milwaukee’s skyline and building its economy. Visit us online to learn more about how our Real Estate, Development & Construction team has earned its reputation for being a group that gets things done.

huschblackwell.com

Milwaukee, WI | 414.273.2100

8 / BizTimes Milwaukee AUGUST 19, 2019

PROJECT PITCH IT M

ASILI NATURALS LLC LEADERSHIP: Trenise Watson, CEO A D D R E S S: Milwaukee WEBSITE: asilinaturals.com W H AT I T D O E S: Makes plant-based scrubs, soaps and body butters F O U N D E D: February 2018

Asili Naturals appears on national entrepreneurship show By Molly Dill, staff writer

ilwaukee natural skincare startup Asili Naturals was included in a recent episode of national entrepreneurship show “Entrepreneur Elevator Pitch.” The episode was posted in late June on entrepreneur.com and aired on television July 16 on Cheddar Business. The producers contacted Asili co-founder and chief executive officer Trenise Watson after seeing her November appearance on MSNBC program “Your Business.” “They reached out to me through email and said they were looking for niche space businesses and they thought that I would be a good fit,” Watson said in an interview with BizTimes Milwaukee. On “Entrepreneur Elevator Pitch,” Watson was tasked with pitching her business to the investor-judges in 60 seconds. The show puts the entrepreneur on a literal elevator. The doors close, the pitch starts, and the judges give an up or down vote on opening the door. Asili Naturals was co-founded Watson and chemist, Moe Mukiibi. The company works with a local co-packer to make plant-based scrubs, soaps and body butters, which are sold on Walmart.com, at all Outpost Natural Foods stores, and at Beans & Barley. This isn’t the first time Asili has been featured on an entrepreneurship show. Asili also recently earned a $10,000 cash prize on Milwaukee entrepreneurship pitch show “Project Pitch It.” Watson explained to the judges on “Entrepreneur Elevator Pitch” that the company’s body butters, body scrubs and facial masks – including its popular spirulina clay mask – are great for deeply cleansing skin, minimizing pores, “detoxifying” and providing antioxidants and vitamins. She sought $100,000 for a 20% equity stake in Asili Naturals.

Trenise Watson with some of the skincare products she developed. ABOVE: Asili’s popular spirulina clay mask.

The judges were Kim Perell, entrepreneur and CEO of global marketing technology company Amobee; Peter Goldberg, founder of PLG Ventures; Gregg Smith, founder of Evolution VC Partners; and David Meltzer, CEO of Sports 1 Marketing and S1Media House. “Store shelves are so crowded,” Smith said. “It’s hard to understand how successful it is without understanding her revenue.” “I think clean skincare is definitely hot and trending, so it’s a good place to be,” Perell said. “I just think it’s hard to break out.” “So much of this is about the brand, as well, because it is a crowded space. And how could she do that with $100,000?” Goldberg asked. This wasn’t Asili’s big break, as all four judges voted to send Watson back to the lobby. “…I’m not sure what it was for, but this is not going to stop us,” Watson said on the show. “We’re going to continue to go. We’re in discussions with a big retailer. We’re also going to be featured in Shopify’s new retail store, so we’ve got a lot of good things coming up.” n

RESERVE YOUR SPONSORSHIP TODAY! UP TO 4 SPONSORSHIPS ARE AVAILABLE TO ANCHOR THE PROJECT PITCH IT PAGE AND BRAND YOUR COMPANY AS A SUPPORTER OF STARTUPS AND ENTREPRENEURSHIP. Sponsor:

Leading Edge IN THE NEIGHBORHOOD

MOD GEN 211 N. Broadway, Milwaukee NEIGHBORHOOD: Historic Third Ward FOUNDED: 2014 OWNER: Doug McDonald SERVICE: Retail

unGALA L L A B T S I L A E R R U S

SAT.SEPT.7

LEAVE THE ORDINARY BEHIND

10 / BizTimes Milwaukee AUGUST 19, 2019

What inspired the idea for Mod Gen? McDonald: “Mod Gen was known as the Garden Room up in Shorewood for about 15 years before we moved down here. Garden Room always had a diversity of materials but the focus was heavily on the garden side: garden statuary, exterior garden, urns and pots. We loved that, but there was always a smattering of everything else: paper goods, kids’ toys and interior design. As we grew over the years, we realized that the breadth of what we were buying and what we liked really

didn’t fit the Garden Room name. People would call us and they would want woodchips. We were like, ‘There’s a disconnect that’s happening here.’ After 15 years or so we decided that we were going to rebrand and the concept of the Modern General store, or the general store, really seemed to fit the diversity of what we liked and what we were going for. So, that’s where we landed on the new name: ‘ModGen’ for ‘Modern General.’” Do you have any tips for managing a houseplant?

“We give lots of tips for houseplants. Here you get your top 10 questions and we guide people through those issues. Where are you putting it? What direction does your window face? Are you a really attentive plant person? Or are you not? We go through all of those questions with the customer so we can tailor the right plant for them because we want people to have success with it.” If you had to describe Mod Gen in one word, what would it be? “Eclectic.” n

on my nightstand... RAY NITTI Co-founder Sharp Creatives

‘The Secret’ By Rhonda Byrne

RAY NITTI, co-founder of Milwaukee-based Sharp Creatives, is currently reading “The Secret” by Rhonda Byrne. The book is based on a pseudo-scientific theory called the “law of attraction,” – the principle that “like attracts like.” Byrne argues that dreams do in fact come true. For example, thinking about money and wealth will attract those very things and in turn manifest themselves in one’s life. “The message that there is no such thing as coincidences and ev-

erything happens for a reason has resonated tremendously with me,” he said. “The theory of thoughts becoming things has been proven correct in my own experiences.” Nitti said the book has opened his eyes to new possibilities, and has helped him incorporate more positive thoughts and energy into his life. “Once I learned how to only think and focus on the positive things I wanted and not the negative, I immediately noticed a transition in energy,” he said. n

BizNews

New leadership emphasizes culture at Aries Industries IN CITIES AND TOWNS across the United States, thousands of miles of storm and wastewater piping help make the comforts of modern life possible. Of course, when something goes wrong with that infrastructure, flooding and sewer backups can quickly replace those comforts. Preventing or fixing those issues often requires knowing where problems exist in the piping. That’s where the equipment made by Aries Industries Inc. comes in handy. The Waukesha-based company designs and builds video inspection and rehabilitation systems, primarily for the storm and wastewater markets. The company makes individual tractors that carry cameras through pipes and also outfits trucks and trailers with all the equipment crews need to operate the cameras. Customers include municipalities, contractors and dealer distributors. “Mainly it’s wastewater and stormwater, so it’s not the glorified, beautiful, sexiest type of business,” said Jim Kraschinsky, vice president of sales at Aries. “We kind of attack the market as best we can from every angle with really an emphasis on dealers and contractors.” Kraschinsky joined Aries last summer, not long after Larry Brown took over as president and chief executive officer. “It’s a very strong marketplace, especially now as you talk about the aging infrastructure,” Brown said, adding that Aries competes in a broad part of the market, providing equipment for a variety of

pipe sizes with different cameras while also offering both inspection and rehab tools. Brown has put an emphasis on the development of the company’s culture, which he said focuses on a collective “we” attitude, addressing problems instead of assigning blame and providing excellent customer experience. “We felt if we can get a culture that works like that, we will win in the marketplace with our customers and it will also be a place where people want to come to work and when they’re here they’re going to want to stay,” Brown said. It is one thing to outline the principles of a company culture, but it is more important to make sure it exists within an organization. Brown said Aries reinforces its culture by constantly communicating with employees and leveraging their ability to play a role in the company’s success. “What you’re doing, you’re making a difference here,” Brown said. “At our size you’re touching customers, you’re touching the customer experience every day.” The equipment Aries builds is designed to fit through pipes as small as six inches and travel more than 1,000 feet with remote control. “There are very sophisticated electronics inside these bodies that are running in sewer pipes; it has to be water tight,” Kraschinsky said. “And then a lot of these contractors and municipalities maybe aren’t as gentle with them going in or coming out as they could be, should be, and things do break.” When something does go

Aries Industries designs and builds equipment for video pipe inspection.

ARIES INDUSTRIES INC. 550 Elizabeth St., Waukesha

INDUSTRY: Pipe inspection and rehabilitation EMPLOYEES: 100

ariesindustries.com

wrong, Aries has sales and service centers in California, Georgia and Ontario to help customers, in addition to its Waukesha operations. Kraschinsky said the company has recently invested in its customer service center to improve the handling of phone calls and make sure customer issues are addressed. “We didn’t have any data for customer service. How many people called? When did they call? What were they asking?” he said. “It’s easy to just throw people at it, but we had to figure out what calls (are coming in). Are they parts orders or are they technical assistance orders? We had to figure that out to get the manpower just right.” Another investment made in the past couple of years is the company’s own machine shop. Having the ability to make parts on site gives Aries’ engineers the ability to quickly make new parts and put them into use on products they are working on instead of waiting for a shipment to arrive. “We feel very excited about the changes we’ve made here at Aries,” Brown said. n

ARTHUR THOMAS Reporter

P / 414-336-7123 E / arthur.thomas@biztimes.com T / @arthur8823

biztimes.com / 11

BizNews FEATURE

Students from Milwaukee Lutheran High School’s Free Enterprise Academy were hosted recently by Bill Nasgovitz, chairman and chief investment officer of Heartland Advisors, in the company’s downtown Milwaukee office.

Teaching capitalism Area programs focused on free enterprise education By Lauren Anderson, staff writer ON A RECENT AFTERNOON in Heartland Advisors Inc.’s downtown Milwaukee office, chairman and chief investment officer Bill Nasgovitz quickly chronicled the story of how he got to where he is today – his journey from Milwaukee Lutheran High School student to founder of an investment firm that today manages roughly $1.5 billion. Sitting around the large conference room table was a group of seven business suit-clad high school students from Nasgovitz’s alma mater. They are part of Milwaukee Lutheran High School’s Free Enterprise Academy, a new “school within a school” that offers curriculum centered on economics, personal finance and entrepreneurship, rooted in the constructs of capitalism. “Free enterprise, free markets, 12 / BizTimes Milwaukee AUGUST 19, 2019

entrepreneurship, financial literacy, self-discipline – we’re taking these concepts and incorporating them into the existing curriculum and creating new courses and programming around those concepts,” said Shannon Whitworth, director of the Free Enterprise Academy. Visits to corporate offices, like Heartland Advisors, are an important part of the academy’s message to students: that success is within reach and, underpinning those opportunities for advancement, is America’s capitalist system. “Remember,” Whitworth told his students at Heartland Advisors, “the person who created all of this was walking the very same halls you’re walking now. This can be done. It’s not insurmountable … It is a matter of what direction do you want to point your life in, whether you’re willing to work hard enough to make it a reality.” As studies indicate attitudes in the U.S. are warming to socialist principles, and politicians are increasingly bringing policies such as free public college and universal health care into mainstream political discussions, area programs like the Free Enterprise Academy

are working to educate students about an economic system that could be at risk of falling out of favor among young people. “In a lot of places, capitalism is seen as a pejorative, it’s seen as a negative,” Whitworth said. “But when you look over the course of history, no other economic system has lifted more people out of poverty than capitalism, and free markets and free enterprise. These are things that should be celebrated.” Milwaukee-based nonprofit organization EconomicsWisconsin works to bolster education about the free market and free enterprise system in Wisconsin elementary and secondary schools. It’s a distinct mission, said EconomicsWisconsin executive director Bob Glowacki. While many other programs drill in financial literacy skills, such as preparing for college tuition or balancing a checkbook, EconomicsWisconsin focuses more on the principles underlying America’s economic system. “We look at where am I in the economy as a consumer, as an entrepreneur, as a member of the

labor force,” Glowacki said. “For us, we think it’s critical that young students understand the interplay between economics, their own lives and even our history.” The organization, which was founded in 1963 as an affiliate of the National Council for Economic Education, provides curricular resources, sponsors training seminars and provides classroom materials to Wisconsin teachers. It also hosts two annual competitions – The Stock Market Game and EconChallenge – for students to put those concepts into action. In 2018, nearly 8,000 students participated in the challenges. EconomicsWisconsin recently announced it will bolster its resources under a new partnership with Carroll University, which will allow the organization to lean on its business school’s expertise to develop curricula for economics teachers. “We have a deep commitment to support the principles of the free market system. Never has the most successful country in history been more at risk for losing the very foundation that made it successful,” said Greg Grambow, chairman of the EconomicsWis-

consin board of directors, and president of Du-Well Grinding Enterprises. “And, we at EconomicsWisconsin believe the way to combat this trend is to reach out to the K-12 population explaining the facts and benefits of our economic system so our students can make informed lifelong choices.” Glowacki said the current political moment underscores the importance of promoting economics education. “We really feel that understanding our role in economics will drive students’ understanding of the world and how to interpret all they’re going to hear in the 2020 elections,” he said. “The piece of how economics connects to our current events is underappreciated by most people. But if you don’t know the basic terms, how can you understand changes in interest rates or changes in gas prices or changes in taxation?”

David Borst, executive director and chief operating officer of the Family Business Leadership Partners, was an instructor for MLHS’s Free Enterprise Academy this past school year. At a time when capitalism isn’t “in vogue,” he said the academy’s mission is urgent. “We believe capitalism is under attack,” Borst said. “We wish to instill in young people … that to truly get ahead, they need to look to supporting the basic tenants of capitalism and free enterprise. That will get you farther ahead than getting government handouts.” Whitworth believes these concepts are particularly important to teach at MLHS, as it serves a growing number of economically disadvantaged students through the Milwaukee Parental Choice Program. “(Black, economically disadvantaged students) are, in my opinion, the ones who are getting

the worst information on how to handle money, how to use the tools of free enterprise in order to build businesses, what are businesses used for, how do you use the tax advantages of corporations and investment in order to help lift yourself out of poverty,” he said. Whitworth, whose professional background included 22 years as a practicing litigator in southeastern Wisconsin, made the pivot to education after a stint with the Wisconsin Institute for Law and Liberty, followed by three years as a prosecutor with the Ozaukee County District Attorney’s office. At the time, his personal interests had increasingly narrowed in on issues related to urban poverty, as his conviction that financial literacy was part of the solution grew stronger. Meanwhile, in the DA’s office, he realized that financial education was key to prosperity, which in turn deters crime.

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“I thought, if I can reach some of these kids before they make the decisions that wind them up in the criminal justice system then I have done some real crime prevention,” Whitworth said. In his role with the Free Enterprise Academy, his goal is to see students graduate “financially literate, entrepreneurially savvy,” equipped to climb the corporate ladder or build their own business from the ground up, if they so choose. Ideally, Whitworth said, when his current students are in positions to do so, they will create jobs and hire from within the community. “I believe that the only way you will get peace in our inner city neighborhoods is to have these homegrown businesses who are creating prosperity and showing other people in our communities the path toward economic success in a capitalist society,” he said. n

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The Future 50 Awards Program is a service of the Metropolitan Milwaukee Association of Commerce (MMAC) and its Council of Small Business Executives (COSBE). biztimes.com / 13

Real Estate

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2201-2211 N. Farwell Ave. Owner: Spectrum Holdings Inc. Tenants: Yo Factory, Artists’ Friends

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14 / BizTimes Milwaukee AUGUST 19, 2019

2 2219 N. Farwell Ave. Owner: Goldberg Ruehl Properties Tenant: None

6 2238 N. Farwell Ave. Owner: New Land Investments No. 7 LLC Tenant: Crossroads Collective

3 2235 N. Farwell Ave. Owner: North Farwell LLC Tenant: Von Trier

7 2216-2230 N. Farwell Ave. Owner: Oriental Building SPE LLC Tenant: Oriental Theatre, Pita Pit, Landmark Lanes, Cutting Group

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FEATURED DEAL: 215 N . WAT E R S T., M I LWAU K E E The office building at 215 N. Water St. in Milwaukee’s Historic Third Ward was recently acquired by an affiliate of Revel Investments LLC for nearly $4.6 million. The 26,100-square-foot red brick and timber loft office building is fully occupied by six tenants. It was built in 1906 for Friend & Marks Co., a men’s clothing manufacturer. Shoe polish manufacturer Harri Hoffman Co. then purchased the building in 1974 for use as a warehouse. It was again sold in 2006 and underwent significant renovations, turning it into a multi-tenant building. Revel also owns the nearby Timberworks Building at 325 E. Chicago St., where its offices are located. ADDRESS: 215 N. Water St. OWNER: Revel 215 Water LLC ASSESSED: $3.4 million

MANTEL ORTHODONTICS’ NEW OFFICE Mantel Orthodontics broke ground on its new 4,000-squarefoot, single-story clinic and office building in Cedarburg in mid-July. The clinic needs a new location to offer additional office space, according to a news release. The new building, located at W68 N102 Evergreen Blvd., will feature a large green wall facing Evergreen Boulevard and a viewport overlooking a prairie landscape. Construction of the $1.2 million project commenced this summer, with the clinic slated to open its doors in January. Milwaukee-based Johnsen Schmaling Architects Inc. is the project architect and West Milwaukee-based Peridot CM LLC is managing construction. Mantel was established in 2011 by Dr. Alison Mantel. OWNER: Mantel Properties LLC SIZE: 4,000 square feet COST: $1.2 million

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biztimes.com / 15

STORY COVER

C L I C K IN G W I TH M I LWAU KEE Stakeholders work to attract and retain tech talent BY MOLLY DILL, staff writer

hen software engineer Roman Reynebeau decided to switch jobs five years ago, he faced a decision: stay in Milwaukee, or move to a more traditionally tech-focused city like Seattle, San Francisco or Denver. The Little Chute native and his wife, Katlynn, decided to stay here because they wanted to be close to family and friends. “At the time, my perception of Milwaukee was there just wasn’t a whole lot going on in the tech community,” Reynebeau said. “Little did I know, there was actually a ton going on. Five years later, not only am I more familiar with the tech ecosystem, but I’ve personally seen a huge uptick in activity.” Now vice president of product development at Milwaukee-based logistics software firm MacGregor Partners, Reynebeau helps recruit other devel16 / BizTimes Milwaukee AUGUST 19, 2019

opers to work at the company – and sometimes to choose Milwaukee themselves. “We’ve got a lot of really cool things that are happening in Milwaukee that everybody’s been working towards and we just don’t do a great job of necessarily telling stories and talking to each other about it and being proud about it and promoting it,” he said.

POOR RANKING Milwaukee hasn’t fared well in attracting and retaining tech talent, according to a recent report from global commercial real estate firm CBRE. It ranked 44th among the 50 largest U.S. and Canadian markets (by number of tech talent professionals) in CBRE’s 2019 Tech Talent Report. The report reviewed 13 metrics, including tech talent supply, growth, concentration, cost, completed tech degrees, industry outlook for job growth, and market outlook for office and apartment rent growth. Milwaukee scored 29.26 on CBRE’s metrics. As of 2018, it had 31,620 employed in tech occupations,

up 10.1% from 2013, with an average wage of $82,775, up 7.5% from 2013. About 800 tech degrees were awarded in Milwaukee in 2017, up 26.8% from 2012. The living cost in Milwaukee is 1% below the national average, while business costs are 3% above the national average. But Milwaukee is losing 20-somethings, at -2.9% from 2012 to 2017, while the average U.S. city gained 2.5% during that time. And it is a brain drain city, with 636 fewer tech jobs added than tech degrees awarded over roughly the past five years. And Milwaukee’s tech talent efforts haven’t improved since last year. In CBRE’s 2018 Scoring Tech Talent report, Milwaukee ranked 43rd. Madison, on the other hand, scored a 47.96 on CBRE’s 2019 metrics, rocketing up 10 spots in the rankings to 25th, which CBRE attributed to strong

1 Amanda Daering of Newance 2 Roman Reynebeau of MacGregor Partners 3 Teresa Esser of Silicon Pastures 4 Nadiyah Johnson of Jet Constellations 5 Larry Hitchcock and Matthew Salzer of Socialeads 6 Archna Sahay

3 4

6 biztimes.com / 17

STORY COVER tech-centric universities. Madison had 23,470 employed in tech occupations in 2018, up 47% from 2013, with an average wage of $84,169, up 15% from 2013. Its labor force pipeline is strong, with 1,790 tech degree completions in 2017, up 42.6% from 2012. Madison’s living cost is 1% higher than the national average and business cost is 1% lower than the national average. Madison is still considered a brain drain city, with 205 fewer tech jobs added than tech degrees awarded over roughly the past five years.

W H AT ’ S L A C K I N G H E R E Teresa Esser, managing director of Milwaukee angel investing organization Silicon Pastures, said a real estate company like CBRE may overlook the fact that there are brilliant engineers working inside some of the large Fortune 500 companies in Milwaukee. “In my opinion, CBRE is specifically looking for where are rents going to go up,” Esser said. “I’m looking at something different. I’m looking at where can we build a good business that will have good incomes for investors and where you can make a good profit as an investor.” “From there, we have to look at brand. We just have to look at how we’re promoting ourselves as a city. I think we’ve got a lot of opportunity to reinvent ourselves,” she added. The startup community is achieving small wins, but Milwaukee hasn’t secured a major early-stage exit to hang its hat on – a success story to point to, said Tom Still, president of the Wisconsin Technology Council.

Tom Still The relationship among the city and surrounding suburbs could also be more coherent, with the region uniting behind a common mission like Denver has done, he said. “Madison, it worked on being funky and eclectic and Epic (Systems Corp. in Verona) is a great example,” Still said. “Milwaukee now, the Third Ward, other parts of the city, it’s coming on and it’s 18 / BizTimes Milwaukee AUGUST 19, 2019

starting to get a reputation for being an attractive place to work and live, but it’s a bit more of a recent phenomenon.” The pieces of the puzzle are there in Milwaukee, but its tech ecosystem is still developing, Still said. Madison had about a 25-year head start with companies like Epic and Promega Corp. seeing earlier success. Milwaukee has more of a traditional corporate culture, and had resistance to change until recently, he said. “What else is Madison doing right? I think the region is big enough to be effective and small enough to be collaborative,” Still said. “Business, academia, government, independent groups like ourselves come together, talk regularly about common problems, opportunities and challenges.” Pittsburgh is another city Milwaukee would do well to emulate, said Brian Kennedy, senior vice president of operations and strategic programs at the Pittsburgh Technology Council. Both have experienced deindustrialization and declining populations, and have sought creative solutions to those challenges. In 1983, after unemployment reached more than 17% amidst the steel industry collapse, a group of Pittsburgh executives declared the city could no longer depend on steel and had to focus on high-tech jobs for growth, leveraging Carnegie Mellon University to reinvent itself, Kennedy said. They created the PTC and the Ben Franklin Technology Development Authority. BFTDA formed four quasi-venture capital accelerators to invest in startups, he said. “They had the right vision and the region rallied in a way that most places have a hard time doing,” Kennedy said. “Everybody got on the same page and focused and it took 20 years.” Pittsburgh now has attracted Apple, Uber, Facebook, Google and other tech companies to open large offices in the city, and has developed a regional specialization in robotics and autonomous vehicles. One autonomous vehicle startup, Argo AI, raised $2.6 billion in July. “We didn’t actually believe in ourselves until 2009 when the president brought the G20 to Pittsburgh,” Kennedy said. “At that point in time, Pittsburghers saw themselves differently and they were OK to start thinking beyond steel. The G20 was showcasing our city, but the more transformative change was on people from Pittsburgh: ‘Oh, we’re cool.’”

DEFINING M I LWA U K E E ’ S I D E N T I T Y Over the past few years, Milwaukee-based Northwestern Mutual Life Insurance Co. has been leading the charge on improving Milwaukee’s pipeline of tech talent with the idea that not only the more tech-focused insurer but also the rest of the region’s tech community will benefit. “The goal of the Milwaukee Tech Hub effort is to build a vibrant tech ecosystem and culture

where people want to live and work, as well as create a thriving, innovation-based economy where technology and entrepreneurship are core to its success,” said James Hischke, senior director of tech advancement and outreach at Northwestern Mutual, in a statement. “Our overarching measurable goal is driving up the number of tech workers in the region.” The effort also entails increasing the volume and velocity of innovation in the region; changing perceptions around the identity of Milwaukee; and improving the reality of living and working in Milwaukee for everyone, Hischke said. Northwestern Mutual has worked to bring in other corporate partners on the initiative, including Milwaukee- and Downers Grove, Illinois-based Advocate Aurora Health. In 2017, the companies simultaneously launched $5 million venture capital funds, Cream City Venture Capital and InvestMKE, which are investing solely in Milwaukee startup companies. Advocate Aurora also joined Northwestern Mutual in organizing the second iteration of its Tech Hub Summit in 2018. “Additionally, there are other nontraditional partnerships that have been formed and silos being broken,” Hischke said. “For example, there is more collaboration in the tech communities in Milwaukee and Madison, and the Northwestern Mutual Data Science Institute brought together both Marquette University and (the University of Wisconsin-Milwaukee).” In March, Reynebeau and Philadelphia-based consultant Archna Sahay hosted a public event at MacGregor called #MKETech 101. Each gave a short presentation on their work in the tech space and the resources available to entrepreneurs in Milwaukee, and then an unscripted conversation ensued among attendees about what Milwaukee needs to do to succeed in the field. Everything from duplicated, siloed efforts to convene the tech community, to the segregated nature of Milwaukee – and the need for economic successes to reach disinvested neighborhoods – were discussed. Sahay, who has been active in building the Philadelphia tech community for several years and is now consulting with Northwestern Mutual on the Tech Hub effort, said building a sustainable tech ecosystem takes time. It took Philadelphia about 10 years to become a tech hub, she said, and Milwaukee is probably in year one or two. “We’re in the digital economy. It’s not even like we’re preparing for it. It’s here, it’s moving at a fast pace, so how do we stay relevant as a city, as a community? How do we keep our citizens there and creating and building and innovating within our city? So, it was an economic growth imperative for us,” Sahay said of Philadelphia. She pointed to research done at the University of California-Berkeley which found for every one job created in tech, another five non-tech jobs are created around it. “So what tech does is it serves as a really strong catalyst for communities that are interested in growing jobs and growing their communities,” she said.

Nick Turkal, former co-CEO of Advocate Aurora, and John Schlifske, CEO of Northwestern Mutual, presented together at the 2018 Tech Hub Summit. Asked what attainable thing Philadelphia did that Milwaukee could emulate, Sahay said: Communicate with each other. “Get involved, have conversations – online, offline, whatever – but you have to create that critical mass,” she said. “You have all the raw material, because you’re so similar to Philadelphia. What you benefit from: So many Fortune 500s that we do not have.” As Milwaukee is working to make itself a tech hub, diversity and inclusion are an integral piece of the puzzle – and they could be harnessed as a differentiator, said Nadiyah Johnson, founder of Milwaukee-based software company Jet Constellations. She calls it the Milky Way Tech Hub. “To me, a tech hub is a place that fosters innovation and allows for collaboration and cooperation with tech companies and academic organizations … to advance the city leveraging technology,” Johnson said. “It’s really important when moving forward with a mission such as this to take on a grassroots effort and empower individuals that are not necessarily well-represented in the typical tech scene.” Milwaukee should set its sights on being the coolest city in the United States, starting with a wacky marketing campaign such as: “the polar vortex: certified cooler than Antarctica,” Esser said. “We need to make a new Milwaukee that’s cool and knows it,” she said. “Because people who work in technology want to be where it’s cool. I think it’s going to take a lot of work to change the mentality.” A major event like the 2020 Democratic National Convention is a huge opportunity to showcase what’s going on in Milwaukee and tell its positive stories on a broader scale, Sahay said. “But you have to have an organized message

about what it is that’s happening,” she said. “It has to come from conversations like this; it has to resonate with what is authentic to Milwaukee.”

L AW S O F AT T R A C T I O N Amanda Daering, chief executive officer of Milwaukee-based tech recruitment firm Newance, works with area employers like Panorama Mortgage Group, Layer One Media and HealthChampion to fill roles in areas like software development and data and business analytics. “Typically, companies come to us when they’re interested in engaging with really high-quality passive talent, particularly with high-skilled technical talent,” Daering said. “Those people are getting a lot of messages daily.” While it’s not always possible to woo someone to Milwaukee, newance has had some success. “We just had a data scientist start at Bright Cellars. He moved here from New York,” she said. He and his family were looking for a change of pace in their lifestyle, but the data scientist still wanted to have good tech challenges to solve and access to the tech community while making a big difference, Daering said. “The combination of lifestyle and the ability to work on interesting, dynamic teams is really important,” she said. “So, when you can show someone that they can find interesting work here, when they get here they tend to really love the city. The challenge is to get people to come here and experience the city.” Newance and sister company NEWaukee give job candidates concierge tours of southeastern Wisconsin tailored to their interests to try to demonstrate where they would fit within the region, Daering said.

Milky Way Tech Hub is working to recruit diverse employees to Milwaukee tech jobs, creating a talent pipeline, Johnson said. “It’s just been a constant effort to brand Milwaukee as a place where black and brown people… can thrive in tech,” she said. “More and more people are seeing that Milwaukee is a city that fosters a culture that embraces diversity and has great potential for people with all sorts of backgrounds, which I know has been a huge struggle with larger tech hubs in the past.” “We believe in investing in people so we’re not necessarily going to find an industry expert that has 30 years of experience that lives in Manhattan and we’re going to somehow pitch them on Milwaukee. That’s just not realistic,” Reynebeau said. Instead, he has taken advantage of Milwaukee’s strong education cluster to find hungry, young, local talent seeking opportunities. Founded in 2012, MacGregor has grown to about 75 employees and $11 million in revenue. It also offers perks like unlimited sick days, paid maternity and paternity leave, and a paid sabbatical program. “The other strategy I would love to see more companies embrace is just being willing to allow more employees to work remotely,” Reynebeau said. “That’s unlocked a plethora of talented employees, a massive labor pool that we otherwise wouldn’t have access to.”

SELLING THE CIT Y In 2011, Facebook’s Mark Zuckerberg told a group of startup companies if he could do it all over again, he would have kept the company’s headquarters in Boston. He said it’s not necessary for a startup to be based in Silicon Valley to succeed. The factors that make Milwaukee appealing biztimes.com / 19

STORY COVER for tech talent include the lower cost of living, lower home prices and lower business costs, as well as the lack of traffic and the arts and cultural amenities, including its renowned festivals. “A smaller mid-sized city, there’s so much more opportunity to make a name for yourself and make a lasting impact on the community, and that was really attractive to me,” Reynebeau said. Daering said she finds there is a misconception that people have a negative view of Milwaukee. More often, they don’t have an opinion yet at all. “I believe people come here because they see the opportunity and the momentum that’s currently building,” Daering said. “I believe people stay here because they’re able to keep their roots and also to blossom where they’re planted. People who have been given great opportunities early in their careers grow into those companies and they stay here in the region.” In Milwaukee, some employees are seeing they can make a bigger impact than in larger markets, Johnson said. “One thing that I’ve noticed is that within the young professional network, it’s been said that it’s easy enough to establish a good personal brand for yourself and progress your career here in Milwaukee,” she said.

Larry Hitchcock grew up in Shorewood and graduated from UW-Madison in 1983. He went to work for a startup in Madison, which then moved him to San Francisco. Hitchcock has stayed in California, working in the tech field, ever since. He was in town visiting his parents at the Cudahy Tower in downtown Milwaukee in fall 2017 when he realized it was Startup Milwaukee Week. On a whim, he attended the Reverse Pitch MKE session, in which Northwestern Mutual asked enterprising technologists to help it solve some of its biggest challenges. Hitchcock had an idea. “I was there randomly, but I got really excited about it because it’s rare that you get a company of the size and the scale of Northwestern Mutual to stand up and say, ‘We tried buying something for this problem but there’s nothing available.’” He and Matthew Salzer created social media lead generating tool Socialeads, and ended up winning the contest. Hitchcock decided to move back to Milwaukee to be closer to his client. He’s what recruiters call a “boomerang” employee. “Overall, (Milwaukee) wasn’t on my list five years ago, but it certainly wasn’t out of my consciousness because of my family being here and them constantly sending me more news about Milwaukee,” Hitchcock said. “Now once I’m here, of course, I’m really excited about how changed everything is. I’m super encouraged at the poten-

tial to create a pipeline of people discovering Milwaukee from the West Coast because there’s just so much more quality of life here that I’ve experienced just in the last nine or 10 months since I’ve been back here.”

NEXT STEPS Leaders at Northwestern Mutual and Advocate Aurora have been working to spin off the Milwaukee Tech Hub effort into its own organization that Hischke described as an “independent, standalone coalition.” Sources have indicated the organization would be a nonprofit funded equally by the companies and headed by Hischke. Last July, Northwestern Mutual created a website for the Tech Hub effort where it details the region’s tech ecosystem and keeps the community apprised of its efforts on the initiative. The company has now hosted two Milwaukee Tech Hub Summit events to garner additional corporate support for attracting tech talent to the region, and in October is hosting its second Fall Experiment event, a local take on South by Southwest. Meanwhile, individuals in the space are continuing to preach the gospel of Milwaukee. “All of the large companies would benefit from an increased pool of highly motivated, highly intelligent, well-trained, well-educated technology workers, and I think that’s the point of the tech talent effort,” Esser said. n

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Special Report OFFICE SPACE

Cool offices A sampling of interesting office space designs in Milwaukee By Marla Hiller, staff writer

F STREET Andy Warhol’s New York City studio was named The Factory. Milwaukee-based F Street Group’s offices share that name and, fittingly, the company decorates its space with abstract and pop art, including a series of skateboards with the Campbell soup can painted on them and an abstract painting of Donald Duck and Mickey Mouse. Mike Doney, director of marketing and creative for F Street, said those artworks are intended to inspire “new perspectives” and create an “exciting and fun” workplace environment. The offices for F Street, an investment firm, also include a lounge area and gym to encourage employees to “stay in the building and be engaged with their workspace” and create a more comfortable work experience, Doney said.

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PLUM MEDIA Plum Media, a video production, live event and live streaming production company in Milwaukee, designed its office space to “celebrate what it is we do,” said president Rich Schmig. One of Plum Media’s producers, Lance Miller, decorates his office with a “retro-future style,” Schmig said. Miller used posters and memorabilia from the past to predict what the future might look like, including a “Metropolis” poster. The theme of putting the past on display continues with Plum Media’s “Mac Museum,” which features computers the company has used throughout the years, starting with one of Apple’s first personal computers, the Lisa.

VCPI The employees at Milwaukee-based IT firm VCPI are encouraged to focus on their “balance and well-being” during the work day by using its quiet and wellness rooms, according to Helena Scherer-Jones, vice president of human resources and organizational development. VCPI organizes guided meditation and mindfulness sessions for its employees, providing them a “comfortable environment to decompress,” Scherer-Jones said. One of VCPI’s recent hires, marketing generalist Mrinal Gokhale, said she leaves these rooms feeling refreshed and motivated, and is more productive during the workday after spending time unwinding in the quiet room.

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Special Report OFFICE SPACE NEW LAND ENTERPRISES A wall of Milwaukee-based New Land Enterprises’ office breakroom features a large, eye-catching Scrabble board, demonstrating the “playful nature” of the residential real estate development firm, according to director Tim Gokhman. The idea originated when Gokhman would bring in Scrabble to pass the time in the winter months when business slowed down. Playing was not only a good way to take a break, but also to “connect with a coworker in a different way,” Gokhman said. New Land Enterprises’ offices are designed to be open and multipurpose. The private offices have glass doors and walls, and the open seating is broken down into groups. The company also uses plants not only for their production of higher-quality air, but also to “create visual and acoustic separations without using walls,” Gokhman said.

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THE SHIFTING TASTES of workers has led employers in southeastern Wisconsin to reimagine what their offices should consist of, according to those who are in the business of helping companies choose and design their office spaces. Observable trends include more collaborative spaces, smaller workstations and greater attention being paid to design aesthetics and sustainability. Amanda Stein, vice president of support services with New Berlin-based Schroeder Solutions, said a major trend designers have seen is clients adopting a smaller footprint for workstations. About a decade ago, it was typical for employees to find themselves in six -by-six-foot, tall, gray cubicles, she said. They weren’t sexy, but they offered privacy. “Slowly through the last ten years, people have kind of started to lower the panels, create a little bit more of an open office, and now … in the last couple years we’ve seen clients go from that cube to a more open, modern (look),” Stein said. Companies are also adding more collaborative areas that encourage people to work outside of their designated stations. “It’s not just a café or a lunch room,” Stein said. “They’re popping in a couple arm chairs in be-

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tween a workstation, or a high-top table with two chairs and a screen. Even in our office, we’ve made our stations a little bit smaller and created one area with all different lounge furniture so that we can get away from our workstations and work.” Bill Bonifas, executive vice president and office broker at CBRE’s Milwaukee office, said as office spaces have begun opening up, the use of private offices has decreased. He attributes the trend to the changing views of leadership hierarchy. “People know who runs the show, but there may not be the oldschool dominance and subservience there used to be,” he said. “It’s more, ‘O.K., we’re all in this together, how can we work together?’ So, I think we have more leadership and less bosses. And this environment helps to foster that.”

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Stein also noted that activity-based design, something that was viewed as trendy five or so years ago, has now become more commonplace in office environments. Activity-based design refers to a workstation that allows employees to stand up while working. Desks can be raised or lowered so workers can switch from standing to sitting. “Pretty much almost everyone we work with, in some capacity within their space, has a sit-to-stand (desk),” she said. “That’s definitely still a trend, but I would say it’s become more standard.” Some employers go beyond standing desks. Bonifas noted that Northwestern Mutual Life Insurance Co., headquartered in downtown Milwaukee, offers treadmill workstations. In addition, employers now more than ever are sensitive about their environmental footprint, Bonifas said. For instance, some companies now seek out buildings with LEED certification, which indicates the buildings meet certain environmental benchmarks. A major driver of these changes comes from employers looking to attract younger workers, both Stein and Bonifas said.

“I think a lot of this is millennial-centric, because they’re trying to attract the younger workers who can embrace the new technology and drive different and new solutions,” Bonifas said. Schroeder Solutions, in collaboration with Colliers International, funded a study of millennials’ views in metropolitan Milwaukee, which covered everything from design to furniture to amenities. According to the study, most millennials value a workplace that promotes collaboration, but they also value the availability of quiet workspaces. Many also find benefit in office environments with natural elements, such as greenery and sunlight. In fact, nearly 70% of millennials surveyed said natural light is an important aspect of their ideal workplace. Beyond office design, younger workers also have come to expect things like flexible scheduling, meaningful work experiences, an emphasis on health and wellness and strong corporate social responsibility. Stein said younger workers want to be in a fun work environment, and that desire is a strong factor when choosing where they will end up working. “It’s not just this concept that’s out there. Working with some of our larger clients, that’s exactly why they’ve redesigned their space because they want to attract and retain the best talent that they can,” she said. “Also, we’ve seen in our company personally and with our clients that it’s competitive out there now for (workers).” Stein said Schroeder in June attended NeoCon in Chicago, an event that showcases innovations and trends in the commercial design industry. The hottest trend the company saw at the event, she said, was the incorporation of phone boothlike space in open-concept offices. “One of the things that companies are doing, and we’ve seen this in Milwaukee to a smaller degree, they have these really cool little booths,” she said. “They’re super private, and you can go in there and make a phone call, or some of them have little tables where you can work. So, that was a very hot product.” n

Strategies ECONOMY

Vistage CEOs’ optimism for U.S. economy tumbles Business leaders in Wisconsin have bigger decline in confidence

ECONOMIC CONFIDENCE among CEOs from small and midsize businesses has fallen to the lowest level in three years, according to the latest survey results from Vistage. The Q2 2019 CEO Confidence Index survey, conducted June 3-10, drew responses from 1,463 CEOs of small and midsize businesses across the United States. In Wisconsin, CEO confidence has fallen at a greater pace than the national average. The survey asked CEOs about: »» Their sentiment on the current and future state of the national economy »» Expectations for revenue and profitability »» Expansion plans that include hiring and investments Of those, the biggest factor was a more pessimistic view that CEOs nationwide have of current and future conditions in the U.S. economy. Let’s look at how CEOs in Wisconsin compare to those national averages, as well as the change from last quarter’s survey results.

WISCONSIN CEOS SEE DARK CLOUDS GETTING DARKER While less than one-third (31%) of all CEOs

nationally reported that economic conditions had recently improved, only 19% of Wisconsin CEOs agreed. That’s the most significant difference. Only 13% of CEOs nationally said they think the economy will improve in the next 12 months, a figure that was mirrored by CEOs in Wisconsin. The number of CEOs that expect gloomy days ahead is growing. Thirty-five percent of CEOs nationally reported that they expect the economy to worsen in the year ahead, while in Wisconsin 39% of CEOs said they expect declines.

LOWER REVENUE AND PROFITS TOO The proportion of Wisconsin CEOs that expect increased revenues in the year ahead dropped 14 percentage points, from 70% in Q1 to 56% in Q2. That’s more than twice the rate of decline from the national revenue growth expectations, which fell from 70% to 64%. Less than half (48%) of Wisconsin CEOs expect more profits in the year ahead compared to 54% nationally. That figure also dropped significantly – by 15 percentage points – from last quarter when 63% of Wisconsin CEOs expected greater revenues. Why? Possibly because of a greater impact of higher tariffs in Wisconsin. Nearly half (48%) of CEOs in Wisconsin report being hurt by tariffs, compared to 40% nationally. But the good news is that 10% of CEOs of small- and medium-size businesses in Wisconsin, compared to only 4 % nationally, say tariffs are helping their companies. One example of positive impacts of tariffs is when a business has a supply chain from countries not subject to tariffs. When their competitors raise prices due to increased costs, it puts the business in a unique position to either be more price competitive or to also raise prices without the burden of the increased cost.

EXPANSION PLANS SAFER THAN EXPECTED Despite less confidence in the economy and

slowing expectations for growth in revenue and profitability, expansion plans in Wisconsin appear safer than you would expect. Nearly half (48%) of CEOs of small and midsize companies here said they plan to increase investments. That’s compared to last quarter’s 44%, and above the national data, which shows that just 40% plan to increase investments. On the other end of the spectrum, 21% of Wisconsin CEOs say they plan to decrease investments, 8 percentage points above the national average. Declining revenues and profitability are having the biggest effect on plans to hire fewer employees. The pace of workforce expansion in Wisconsin has dropped 10 percentage points, from 55% to 45%. That’s 11 points lower than the latest national figure of 56%. In this case, the shift seems to be to the other end of the spectrum, toward downsizing. Thirteen percent of CEOs in Wisconsin report plans to decrease their workforce in the year ahead, nearly twice the national average of 7%. n

JOE GALVIN Joe Galvin is chief research officer for Vistage Worldwide and can be reached at research@vistage.com. For more reports and insights, or to connect with a Vistage chair, visit vistage.com/research-center. biztimes.com / 27

Strategies INNOVATION

THE TRADITIONAL PERFORMANCE REVIEW AND MERIT SYSTEM.

Culture leads to innovation Sendik’s game plan to compete with larger grocers WHAT DO YOU DO if you’re in a highly competitive industry and you are taking on giants who have the advantage of pricing because of their size? Sendik’s Food Market, since its inception in 1926, has competed with giants in the local grocery industry including: Kohl’s, Roundy’s, Sentry and Jewel Osco; and more recently Amazon, Whole Foods, Walmart, Meijer, Costco, Pick & Save (Kroger), Target, Trader Joe’s, Menards and even Fleet Farm! Some of those large stores have come and gone, but Sendik’s is still standing in the Milwaukee grocery scene, and is expanding the number of stores it owns. For Sendik’s, competing on price alone is mission impossible against the giants. So, Ted Balistreri, current family co-owner with his siblings, decided to focus on culture. That sounds almost amorphous. How does one measure culture? But there’s an old saying, “culture eats strategy any day.” Sendik’s developed a game plan that your company can also follow if you face a similar challenge of trying to compete in the land of giants:

1. BE CLEAR ABOUT YOUR VISION AND WHY YOU EXIST. The Balistreris set a goal for what their company culture should look like. They wanted to create a “family feel” in all their grocery stores. That family feel would become their distinguishing brand promise.

2. SUBSTITUTE COACHING FOR 28 / BizTimes Milwaukee AUGUST 19, 2019

HR executives across the nation consistently rate performance reviews tied to merit increases as uniformly unpopular with executives and the employees being rated. And yet, they continue to do them annually. Ted and his team perceived early on that ranking employees every year is not a way to build a family culture. There is academic research that supports what they believe. In his book “Punished by Rewards,” Alfie Kohn laid out the case that statistics show incentive plans, grading people, and dishing out gold stars act as disincentives for employees. Just think about it. Have you ever watched a child learn to talk? Did you have to bribe them or threaten them to learn probably one of the most complex skills they will learn in a lifetime? If one of your children misbehaves do you tell them that you will discuss that with them at the end of the year during their annual performance review? If you wouldn’t do that to your children, why would you do it to adults? They decided to substitute reviews with coaching, giving the employee an opportunity to meet with their coach and discuss their goals and the skills they need to succeed as an employee and advance their careers at Sendik’s. Compensation is not determined by performance reviews but by the market for the positions, which therefore encourages employees to work with customers and not focus on pleasing the boss. This is consistent with the advice of the great Dr. Edwards Deming who was responsible for Japan’s post-World War II success when he advised substituting leadership for the merit system. He made clear you cannot have quality and a merit system at the same time. In his book “Out of the Crisis,” Deming actually describes the performance rating system as a disease. It may be alluring because the claim is that it motivates people to do their best for their own good. But according to Deming, the effect is exactly the opposite. Everyone propels themselves forward, striving for their own good, and the organization is the loser.

They are not alone. Major employers such as Adobe and Deloitte have abandoned the performance review and merit system. Google, Accenture and Microsoft have substituted new ways of working with employees.

3. SET EXCITING GOALS AND BE TRANSPARENT ABOUT PROGRESS TOWARD THOSE GOALS Any kind of change to the status quo is always problematic because people resist changing habits. To get people to rally around change it is necessary to set an exciting goal that people can rally around. Sendik’s set a goal of expanding the number of stores in this metropolitan region and then were transparent about progress toward those new openings. Ted feels strongly that it’s critical to “over communicate” those goals to employees and get their feedback on the progress being made.

CONCLUSION: Culture may sound like it is soft, but it’s just the opposite. It demands that managers and leaders become coaches and recognize the number one job is to help their employees succeed in accomplishing a common goal. This is not for the fainthearted. n

DAN STEININGER Dan Steininger, author, international speaker, and business leader is president of Steininger & Associates LLC, which helps companies drive new revenues through innovation. He can be reached at: Dan@BizStarts.com.

COACHING

Slow down and breathe Become more clear, calm and confident in your decision making

WHILE WE HAVE EMBRACED IQ (Intelligence Quotient) and EQ (Emotional Intelligence), it’s time to understand what GQ (Gut Intelligence) really is and how it is equally as important as IQ and EQ. Gut Intelligence is not trusting your gut alone. It is the ability to create a superhighway of information between the gut, heart and head so that these “brains” collaborate with one another like an effective board of directors. When we listen to the input of each, we notice our gut alerts, listen to our heart to align us to our vision, values and goals— and engage our head-brain to help us choose that just right solution. Science now tells us the vagus nerve links our gut to our heart and head together. Some call this the gut-brain axis. The problem is most of us impede this Gut Intelligence when we run around in a busy beta brainwave state, trying to get all our tasks done. Our rapid breathing from rushing shuts down the bridge in our brain (corpus callosum), closing off this connection between our gut, heart and head. As a result, the neurotransmitters, neurons and hormones from our gut cannot send a message to our head-brain to assimilate what it unconsciously knows. When we do not listen to this ping in our gut, we end up with anxiety. Foggy thinking is a byproduct of anxiety; whereas being clear, calm and confident is the byproduct of tapping into our Gut Intelligence. To increase your Gut Intelligence, use the S.T.O.P. Technique. This technique will help you

to slow down, breathe into your gut, and shift from a beta to alpha brainwave state of mind. The alpha brainwave opens the corpus callosum, creating a pathway for the gut and heart to communicate with the head. When you breathe deeply and focus on one simple clarity question, such as: “Hmm…isn’t that interesting? I wonder what is happening here?” your head-brain can synthesize the information, giving you that “a-ha” feeling—a heightened awareness where you just know!

S.T.O.P. TECHNIQUE: Slow down and breathe: Breathe three times at the chest, heart and then into your gut. Breathe slowly and evenly, in your nose and out your mouth. Tune in within: Ask a problem-solving question such as, “How might I make a wise choice to help me align to my vision, values and goals, given the facts at hand?” Observe what is happening within you: Pause at each one of these information centers within to listen to your wisdom: »» Check into your gut (look down and ask: what do I know for sure?) »» Check into your heart (how do I feel and what is it that I ultimately want)? »» Check into your head-brain (what is it telling me to do or say to align to my vision, values and goals)? Perceive the best possibility: Check in and ask yourself your focused question again, “How might I make a wise choice to help me align to my vision, values and goals, given the facts at hand?” While increased Gut Intelligence will make you more clear, calm and confident in your decision making, you can quickly shut down your Gut Intelligence when you see a truth you don’t like. Our fears – based on our attachments to our needs for safety, security, love and belonging – get threatened when reality is not as we hoped. Until we can learn to detach from our desired outcomes and believe we can create a positive reality, we will slip back into denying our Gut Intelligence once again. When this happens, practice the 3 Steps to

Increase Gut Intelligence below to transform your fear and find your wisdom once again.

THE 3 STEPS TO INCREASED GUT INTELLIGENCE ARE: 1. Own it: Own the fear that is blocking your wisdom. What is it? 2. Ask it: Ask your wisdom to help you see the truth about your situation. 3. Voice it: Now ask your wisdom how you can speak the truth in a loving manner or do what you need to do to be aligned to your vision, values and goals. We’ve all had experiences where our gut knew something was off. When we dismiss this inner knowing, we often end up with devastating proof glaring in our face. In hindsight, we look back and can see the cues we ignored. When you practice increasing your Gut Intelligence, however, you have the wisdom to know the truth and the guts to do something about it. n

SUSAN K. WEHRLEY Susan K. Wehrley is an executive coach and business consultant that aligns executives and businesses to their vision, values and goals. She is also a regular contributor to Forbes. You can email Susan at Susan@ BIZremedies.com, (262) 696-6856 or visit her website www.BIZremedies.com. biztimes.com / 29

Marketplace

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GET THE WORD OUT! News? Press Releases? Awards? Show them off in BizTimes’ new BizUpdates section. Submit your company news at biztimes.com/bizconnect 30 / BizTimes Milwaukee AUGUST 19, 2019

BIZ PEOPLE

Advertising Section: New Hires, Promotions and Board Appointments

BANKING North Shore Bank announces Scott Herron as new vice president of commercial banking. North Shore Bank has announced that Scott Herron is the company’s new vice president of commercial banking. Herron brings to this role nearly 20 years of commercial banking experience with the top financial institutions in the state.

LEGAL SERVICES Emily Fons, Quarles & Brady attorney, named a top 100 legal influencer in nation. Emily Fons, an attorney with Quarles & Brady LLP in the firm’s business law practice group in Milwaukee, has been named to The Business Journals’ national “Influencers: Law” list. Fons is actively involved in the firm’s pro bono efforts.

ENGINEERING Justin Johnson, P.E., promoted to associate and manager of JSD’s Milwaukee Office. JSD Professional Services, Inc. (JSD) is proud to announce that Justin L. Johnson, P.E., has been promoted to associate and manager of its Milwaukee regional office. Johnson has over two decades of site design and project management experience. To place your listing, or for more information, please visit biztimes.com/bizconnect

New Hire? Share the news with the business community!

Announce new hires, promotions, accolades, and board appointments with BizPeople. Visit biztimes.com/bizconnect to submit your news!

2020 EDITION

Reserve your space in the 2020 Giving Guide! Publication Date: November 11, 2019 Your involvement in this annual publication includes an in-depth profile, plus several advertising elements in BizTimes Milwaukee magazine, BizTimes Nonprofit Weekly enewsletter and BizTimes.com.

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A SUPPLEMENT OF

BizConnections NONPROFIT SELIGS DONATE $1 MILLION TO UWM’S LUBAR ENTREPRENEURSHIP CENTER Former Milwaukee Brewers owner and Major League Baseball commissioner emeritus Bud Selig and his wife, Sue, made a $1 million donation to the University of Wisconsin-Milwaukee’s Lubar Entrepreneurship Center. The gift will support the school’s entrepreneur-in-residence program, which allows successful entrepreneurs to share their experiences and insights with students. UWM recently opened a new 24,000-square-foot building on its campus to house the center’s programs and initiatives, which have been operational for several years. The new facility includes labs, instructional spaces, collaboration areas, conference rooms,

a coffee shop and campus welcome center. The Seligs made the donation in honor of Bud’s father, Ben Selig, who Bud credits with instilling his entrepreneurial spirit. “My father was a sophisticated business person who taught me to take calculated risks,” Bud Selig said. “Through this entrepreneur-in-residence program at UWM, his legacy as an innovative leader will live on.” UWM awarded Selig an honorary Doctor of Business degree in 2013 and the Chancellor’s Innovation Award in 2015 in recognition of his leadership and entrepreneurial spirit. — Lauren Anderson

c alendar Hispanic Professionals of Greater Milwaukee will recognize its

2019 Leadership Award recipients at its annual meeting on Aug. 22 from 11 a.m. to 1 p.m. at The Pfister, 424 E. Wisconsin Ave. The winners were selected from a pool of candidates who enrich the Hispanic community in the Midwest through unique and substantial contributions. More information is available at hpgm.org. Cousins Subs and the Vince Lombardi Cancer Foundation will host

the Starr Children’s Fund Punt Pass Kick Competition, a fundraiser to support pediatric cancer research and care, on Aug. 25 from 9 a.m. to 1 p.m. The event will be held at Wisconsin Lutheran College’s Raabe Stadium, 1401 N. Swan Blvd. in Wauwatosa. More information is available at lombardifoundation.org/events. Guest House of Milwaukee will host its annual golf open on Aug.

26 at Ozaukee Country Club, 10823 N. River Road in Mequon. Registration and lunch begin at 11 a.m., with tee off to follow at 12:15 p.m. A cocktail hour, dinner and auction will follow. More information is available at guesthouseofmilwaukee.org.

D O N AT I O N R O U N D U P Cousins Subs recently awarded a $2,500 grant to Above & Beyond the Playground, Inc. to support the organization’s financial literacy program. | NARI Milwaukee and the NARI Milwaukee Foundation made a $20,000 donation to Team Phoenix, an Aurora Research Institute initiative that assists female cancer survivors in regaining endurance and overall health and wellness after cancer treatment. | Milwaukee-based Junior Achievement of Wisconsin has received $733,000 in grants from funds and foundations within the Community Foundation for the Fox Valley Region to support the Community First Career Exploration and Financial Literacy Center, a partnership of JA of Wisconsin and Fox Valley Technical College. | The Lowlands Group, in partnership with Bofferding Beer, raised $4,762 for Diverse and Resilient throughout Pride Month.

32 / BizTimes Milwaukee AUGUST 19, 2019

nonprofit

SPOTLIGHT

C AT H E D R A L C E N T E R I N C . 845 North Van Buren St., Milwaukee (414) 831-0394 | cathedral-center.org Facebook: facebook.com/TheCathedralCenter Twitter: @TheCathedralCtr

Year founded: 2002 Mission statement: To provide a safe environment for women and families while working to end homelessness – one life at a time. Primary focus: Emergency shelter and case management for women and families with children who are experiencing a housing crisis or instability. Other focuses: Workforce development through Cathedral Center’s Women’s Independence Program and flexible housing through a partnership with Friendship House of Milwaukee. Employees at this location: 42 Key donors: Bader Philanthropies, Catholic Community Foundation, Crossroads Presbyterian Church, Forest County Potawatomi Foundation, Friendship House of Milwaukee, Godfrey Family Foundation, Greater Milwaukee Foundation, Herb Kohl Philanthropies, Martin Family Foundation, Peter Geisert Giving Fund, The ROS Foundation, Rita Stevens Charitable Trust, United Way of Greater Milwaukee & Waukesha County, The Ursula Fund, Women’s Fund of Greater Milwaukee and Zilber Family Foundation. Board of directors: Debbie Granger, Paula JohnsonBoorse, Kristin Walters, Laura Lutter Cole, Marquette Baylor, Patti Dew, Molly King, Alicia Kopp, Jeremy

Lucas, Kimberly Montgomery, Jessica Simons, Jan Uebelherr, Tracey Wellman and Portia Young. Executive leadership: Donna Rongholt-Migan, executive director Is your organization actively seeking board members? Yes. What roles are you looking to fill? Individuals to serve on the board development committee and individuals with experience in commercial real estate dealings. Ways the business community can help your nonprofit: »» Invite a member of Cathedral Center staff to share the mission with employees through an onsite presentation »» Attend an open house »» Host an in-kind donation drive »» Host a Do-It-Yourself fundraiser »» Workplace volunteering: organize sandwich/bag lunch assembly »» Volunteer at the Cathedral Center »» Sponsor or attend our annual fundraiser, Pathway Home »» Follow us on social media and like/ share our posts Key fundraising events: »» Empowerment Challenge, an online/social fundraising effort in March to raise funds and awareness of our mission »» Glitz & Glam: a Do-It-Yourself fundraiser hosted by Novel Women Book Club in May »» Pathway Home »» Year End Campaign

2019 The BIG One Golf Outing

AROUND TOWN

The Waukesha County Business Alliance recently held The BIG One Golf Outing at the Ironwood Golf Course in Sussex. 1. MATT MATSON of Strang Inc., HOLLY HAWKINS of Tri-North Builders, CHAD FERGUSON of Tri-North Builders, THOMAS OLEJNICZAK of Harwood Engineering Consultants, MICHELLE PETERSON of Harwood Engineering Consultants, HONEY SZYMANSKI of Harwood Engineering Consultants, and STEVE SZYMANSKI of von Briesen & Roper s.c.

2. TOM TEGEDER of James Imaging Systems, SUZANNE KELLEY of Waukesha County Business Alliance, and AMY LINDNER of United Way of Greater Milwaukee and Waukesha County.

3. DAVID WABISZEWSKI of 2W Technologies, Waukesha County Executive PAUL FARROW, MIKE MANGOLD of Mangold Creative, DALE SHAVER of Waukesha County Department of Parks and Land Use, and HEATHER MANGOLD of Mangold Creative.

4. JESSICA ZERATSKY of von Briesen & Roper, AGNES O’CONNOR of J. Hilburn, MARIE O’BRIEN of Enterforce, ANN BELTER of Belter & Associates, and LORI BOTTONI of Enterforce.

5. MIKE HARRISON, STEPHANIE RIESCHKNAPP, JACK RIESCH and MIKE PAYNE, all of R&R Insurance Services.

6. DALE SHAVER of Waukesha County Department of Parks and Land Use; SHAWN LUNDIE of Waukesha County, Waukesha County Executive PAUL FARROW, ALLISON BUSSLER of Waukesha County Department of Public Works. Photos courtesy WCBA

ACTS Housing’s 2019 Longest Table event ACTS Housing recently hosted its 2019 Longest Neighborhood Table Event at the Jan Serr Studio. 7. DANIEL SWEENEY of PNC and PAUL FEHRENBACH of BMO Harris Bank. 8. TUBA TARIQ of ACTS Housing and DEMETRIUS NASH of Old Town Bank.

9. YVETTE MURGUIA of Associated Bank and JASMIN TRESKE of BMO Harris Bank. 10. NATHAN HAMMONS of Marquette University Law School, MICHAEL GOSMAN of ACTS Housing, and CHARLIE DOMER of Domer Law. 11. CHRIS FOLEY, RORY FOLEY, MURPH BURKE and WENDY BURKE, all of Burke Properties. 12. ERIN HAAN, EMILIA LAYDEN and ANNA BARITT, all of Husco.

13. STEVE LONG of Town Bank, and BRENDA and HENRY BROWN of Great Midwest Bank. Photos by Lauren Anderson biztimes.com / 33

BizConnections GLANCE AT YESTERYEAR VOLUME 25, NUMBER 10 | AUG 19, 2019 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

SALES & MARKETING

DIRECTOR OF OPERATIONS Mary Ernst mary.ernst@biztimes.com

EDITORIAL EDITOR Andrew Weiland andrew.weiland@biztimes.com ASSOCIATE EDITOR Lauren Anderson lauren.anderson@biztimes.com ASSOCIATE EDITOR Arthur Thomas arthur.thomas@biztimes.com REPORTER Maredithe Meyer maredithe.meyer@biztimes.com REPORTER Alex Zank alex.zank@biztimes.com

The Rave This photo, taken circa 1940, shows The Eagles Club at 2401 W. Wisconsin Ave. in Milwaukee. Designed by Frank Lloyd Wright student Russell Barr Williamson, it opened in 1927 as a home for the Milwaukee chapter of the fraternal organization and eventually became the national headquarters. It included an athletic club and hosted dances and concerts in the ballroom. In the 1980s, the club fell into disrepair and in 1992, Anthony and Marjorie Balestrieri purchased the building and restored it as a live music venue now known as The Rave/Eagles Club. — This photo is from the Milwaukee Public Museum’s Photo Archives collection.

COMMENTARY

State line casino games POTAWATOMI HOTEL & CASINO in Milwaukee, the only casino in southeastern Wisconsin, has certainly been extremely lucrative for the Forest County Potawatomi Community. Seeking a similar windfall, the Menominee Indian Tribe of Wisconsin for years tried to gain approval to build a casino and entertainment complex at the former Dairyland Greyhound Park dog track along I-94 in Kenosha. The tribe planned an $800 million complex including a casino, hotel and multipurpose entertainment facility and partnered with Hard Rock International. However, the Potawatomi tribe adamantly opposed the Menominee’s plans for a Kenosha casino. The Ho-Chunk Nation, which is now trying to get approval to build a casino in Beloit, also opposed the Kenosha casino plans. After a lengthy process, the Menominee tribe finally got approval for the Kenosha project from the federal government. However, approval from the Wisconsin governor was also required, and in early 2015 then-Gov. Scott Walker rejected the 34 / BizTimes Milwaukee AUGUST 19, 2019

project. Walker said he did so because the state’s gaming compact with the Potawatomi would have required the state to reimburse the tribe for any losses suffered by the opening of a competing casino. Mike Huebsch, Walker’s secretary of administration, said the state could have had to pay the Potawatomi “hundreds of millions” of dollars if it allowed a competing casino in Kenosha. Others disagreed with the Walker administration’s interpretation of its legal obligations to the Potawatomi. The Menominee tribe offered to cover any losses incurred at competing casinos. But it was all for naught. The Kenosha casino complex could have created 3,300 jobs and generated millions in shared revenues with the state. The idea of putting a casino halfway between Milwaukee and Chicago made a lot of sense from a business standpoint. Rejecting the project raised a major concern: What if Illinois allows a casino to be built just across the state line, competing with Potawatomi but depriving Wisconsin of the jobs and revenue opportunity? Well, it appears that is exactly what’s going to happen. Earlier this year Illinois Gov. J.B. Pritzker signed into law a gambling package that allows casinos in Waukegan, Rockford and three other areas.

DIRECTOR OF SALES Linda Crawford linda.crawford@biztimes.com ACCOUNT EXECUTIVE Paddy Kieckhefer paddy.kieckhefer@biztimes.com ACCOUNT EXECUTIVE Molly Lawrence molly.lawrence@biztimes.com ACCOUNT EXECUTIVE Maggie Pinnt maggie.pinnt@biztimes.com ACCOUNT EXECUTIVE Christie Ubl christie.ubl@biztimes.com SALES INTERN Tess Romans tess.romans@biztimes.com

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Independent & Locally Owned — Founded 1995 —

The city of Waukegan, located about 12 miles south of Kenosha, issued a request for proposals for casino developers. The city received six responses, including one from Potawatomi. It will be very interesting to see if Waukegan officials select the Potawatomi proposal or if they choose a different entity to establish a casino there. The stakes are high. Rodney Ferguson, Potawatomi Hotel & Casino chief executive officer and general manager, said Potawatomi considers Waukegan to be in the same market as Milwaukee. “Because we’ve been in the market the last three decades it just makes sense to continue our brand in that particular market area,” he said. One reason Potawatomi wants to build a casino in Waukegan is because if they don’t, someone else will, Ferguson said. n

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Share your vision

Brunch

Morgan Sampson is founder and owner of Brunch, a breakfast and lunch eatery with locations in downtown Milwaukee and Brookfield. The business is currently relocating its downtown restaurant to a larger space nearby and plans for a third location are in the works. Sampson says it’s important to share your company’s vision. “One of the most valuable lessons I’ve learned through my entrepreneurship journey is to make my vision for the company known, and to remind myself daily what that vision is. The reason this has been so vital is that it has allowed me and my entire leadership team to make decisions based on where we know we are going. We know our path and we take pride in it. We aren’t making decisions based on feelings or circumstances, yet on where we know we will end up.” “I’ve been faced with a lot of big decisions,

especially lately, that have determined the path of my company. I opened Brunch in 2016 with a clear path of expansion, opening my second location in 2018. Don’t get me wrong; we’ve pivoted when necessary. Yet, I’m very aware and make sure my staff is aware that our plan is growth. “Every unplanned situation that pops up, I can tackle it head-on knowing exactly what it should look like at the end. Having a clear and defined vision takes away so much uncertainty. We plan to open our third location next year, and a fourth

18895 W. Capitol Drive, Brookfield 714 N. Milwaukee St., Milwaukee (opening fall 2019) Industry: Restaurant Employees: 50 brunchitup.com

after that. Franchising is the end goal. While we make amazing food and provide awesome customer service, we are also an outstanding place to work. I can’t wait to see how many great leaders we can produce and how many opportunities we can provide.” n biztimes.com / 35

LILA ARYAN PHOTOGRAPHY

the LASTWORD

SHAPING THE FUTURE Manufacturing Matters! 2017 will take place at the Hyatt Regency in Milwaukee on February 23rd, 2017. The theme of this year’s conference is Shaping the Future, and the conference features 18 breakout session in six tracks including: Growth • Operational Excellence • Human Capital Management C-Suite Essentials • Technology & innovation Wisconsin Manufacturing P L AT I N U M S P O N S O R

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on the minds of most manufacturers, we are pleased to announce this year’s keynote presenter is Kip Wright, Senior Vice President of Manpower, North America. Kip will discuss G O key L D workforce SPONSORS trends and what manufacturers can do to secure and develop their current and future workforces.

Wednesday, October 4, 2017 • October 7:00 - 11:00 AM Save the Date! Wednesday, 9th, 2019 WI Manufacturing & Technology Show at Wisconsin Exposition Center at State Fair Park Kip Wright

Senior Vice President of Manpower, North America

7:00-11:00AM | WI Manufacturing & Technology Preparing For What’s Next Show REGISTER TODAY! at Wisconsin Center at aState Fair Park Are you letting the disruptors controlExposition you, or are you building “Proactively Adaptable Organization” www.manufacturingmatters.org Join us for the annual Next Generation Manufacturing Summit, featuring a lively interactive discussion with chief executive officers and

leadersConnections of southeastern Wisconsin manufacturing companies. These CEO’s will share their company’s ideas and best practices for competThe Shaping Your ing in a global marketplace and how they strive to be “proactively adaptable” world-class manufacturers in the 21st century. 1 2 disruptors in Company’s Future Proactively adaptable organizations look beyond their own four walls and next purchase order and are preparing for the inevitable

today’s business environment. Hearare from industry leaders who creating processes and a culture of innovation, as well as methods of talent Next generation manufacturing companies making connections withare other businesses willare drive their business. to driveattraction, innovation.that They alsoinnovation connectinginmachines to improve productivity, reacting to connections between Moderated Panel: economies and markets, and striving to connect with their future workforce. • Jim Hawkins, CEO - Kenall Manufacturing (1) • Jim - ITU AbsorbTech (2) Join us for theLeef, 14thPresident Annual Next Generation Manufacturing Summit on Oct. 9. CEOs from • John W. Mellowes, CEO - Charter Manufacturing Company, (3) 4 5 the region’s leading manufacturers will discuss how they make these Inc. connections and will • David Werner, and Supply Chain Area Director, Industrial Adhesives and Tapes Division (IATD) - 3M (4) share best practices thatManufacturing help their businesses succeed. manufacturing leaders will also share their ideas at roundtables focused on topics like: Moderator - Joseph Weitzer, Ph.D., Dean - Center for Business Performance Solutions, Waukesha County Technical College (5)

SHAPING THE FUTURE » Growth Through International Trade

Manufacturing Matters! 2017 will take place at the Hyatt Regency » Women In Manufacturing » Effectivelyon Navigating Tariffs in Milwaukee February 23rd, 2017. The theme of this year’s » Best Practices in Recruiting and Retention 1and the conference 2features 18 conference is Shaping the Future, » Selling the Business and Maintaining a Legacy breakout session in six tracks including: » Leadership: Building a High-Performance Environment

Presenters: • John Batten, President & CEO, Twin Disc (1) 3 4 5 • Bill Berrien, CEO, Pindel Global Precision (2) • Ken Bockhorst, President & CEO, Badger Meter, Inc. (3) » New• Product Development & Innovation • Jeffrey Dawes, President & CEO, Komatsu Mining Corp. (4) Growth Operational Excellence • Human Capital » Managing Growth – Organic, Acquisitions The program continues with roundtable discussions. The CEO panel and roundtables will address a variety topics including: • Stacy Peterson, CEO,ofConnoils, LLC (5) Management C-Suite Essentials • Technology & innovation » Connected Buildings • Building an organization’s “adaptability muscles” • Creating a process and culture to be more innovative • Additive manufacturing/3D printing Wisconsin Manufacturing » Transformational Productivity for the future • Automation and process improvement • Process improvement » And• More Talent attraction, development and retention • Logistics & supply chain management • Customer-focused innovation

As workforce challenges and trends are • Leadership & engagement • Succession planning on the minds most manufacturers, • Big data,of Internet of Things, Artificial Intelligence • Exporting, global engagement we are pleased to announce this year’s keynote presenter is Kip Wright, Senior SPONSORS: Vice President of Manpower, North America. Kip will discuss key workforce GOLD SPONSORS trends and what manufacturers can do Kip Wright to secure and develop their current and Senior SVice President of UPPORTING: PARTNER: future workforces. Manpower, North America

• And more

FEATURED MAIN STAGE EVENT AT

OCTOBER 3-5, 2017 • SHOW REGISTRATION: WIMTS.COM