BizTimes Milwaukee | October 31, 2016

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FOCUSING ON WISCONSIN’S FAMILY & CLOSELY HELD BUSINESSES There are more than 10 million family and closely held businesses in the U.S., from “mom and pop” shops to Fortune 500 companies. Their economic influence is enormous, producing an estimated 50 percent of the nation’s GDP and paying 65 percent of all wages. Wisconsin FamilyBiz will cover the issues facing those businesses, offering advice and strategies, along with “been there, done that” stories from business owners throughout the state. Organized into chapters focusing on Family Dynamics, Leadership, Legacy, Succession and Estate Planning, Wisconsin FamilyBiz delves into five key aspects of every family business. With distribution in metro Milwaukee, Green Bay, the Fox Valley and Madison, make this publication an important part of your marketing strategy and reach the decision-makers in the companies that are driving our state’s economy forward.

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October 31 - November 13, 2016 HIGHLIGHT S Now 4 GE Healthcare adding jobs at Oak Creek repair center.

Social Media Strategies

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Want to drive better foot traffic? Facebook has the ads for you.

M I LWAU K E E ’ S

Coffee Break

I N N E R C IT Y

JOBS PUZZLE

S P E C I A L R E P O R T:

SE NIOR LI V ING 19 A report on Direct Supply’s plans to position itself for rapid growth in the senior living industry and a look at the trends beyond demographics that are driving the development of senior living products.

WHAT WILL IT TAKE TO SOLVE?

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COV E R S T ORY SPECIAL SECTION :

Milwaukee’s inner city jobs puzzle

5

A conversation with Joseph Fikejs, chief operating officer at Bank Mutual.

BU SINE S S IN K E NOSH A CO U NT Y 21 Meet the winners of the Kenosha Area Business

Political Beat

5

Ryan focuses on House agenda.

The Good Life

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Volunteer fire chief.

S TR ATE GIE S Leadership Karen Vernal 30 Insight Susan Marshall 31 Generation Y Aleta Norris 32 BIZ CONNECTIONS Personnel File 34 BizTimes Around Town 37 Glance at Yesteryear 38 Commentary 38 The Last Word 39

Alliance’s Ovation Awards.

What will it take to solve?

V I S I T B I Z T I M E S . C O M F O R A D D I T I O N A L S T O R I E S , D A I LY U P D AT E S & E - N E W S L E T T E R S Editorial . . . . . . . . . . . . 414-336-7120 Advertising . . . . . . . . . 414-336-7112 Subscriptions . . . . . . . 414-277-8181 Reprints . . . . . . . . . . . . 414-277-8181

Founded in 1995, BizTimes Milwaukee provides news and operational insights for CEOs, presidents, owners and other top level executives at companies in southeastern Wisconsin (Milwaukee, Waukesha, Ozaukee, Washington, Racine, Kenosha, Walworth and Sheboygan counties). Subscription Customer Service: BizTimes Milwaukee, 126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120, USA, Phone (414) 277-8181, Fax (414) 277-8191, circulation@biztimes.com, www.biztimes.com

BizTimes Milwaukee (ISSN 1095-936X & USPS # 017813) Volume 22, Number 16, October 31 - November 13, 2016. BizTimes Milwaukee is published bi-weekly, except two consecutive weeks in December (the third and fourth weeks of December) by BizTimes Media LLC at 126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120, USA. Basic annual subscription rate is $42.00. Single copy price is $3.25. Back issues are $5.00 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 2016 by BizTimes Media LLC. All rights reserved.

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leading edge NOW

GE Healthcare adding jobs at Oak Creek repair center

W

hen GE Healthcare announced in February its plans to move repair operations to a former Staples warehouse in Oak Creek, the company hoped to add 40 new technical positions to the 87 jobs being relocated. Hiring at the facility has outpaced the company’s original projections. To date, GE Healthcare has added 60 technical positions and now has 150 employees working at the 280,000-square-foot facility at 120 W. Opus Drive. Scott Trevino, general manager for global repair operations at GE Healthcare, said the company has plans to increase employment at the facility to 250 within the next year and currently has 21 openings for a range of positions. The facility represents the consolidation of operations from four different locations, including from Milwaukee, Drexel Avenue in Oak Creek, Florida and Texas. The Repair Operations Center handles repairs, recycling of used materials, harvesting of parts, and service for large GE Healthcare systems and smaller medical devices. The process of consolidating the op-

erations has taken more than a year and will wrap up this fall. Trevino said one emphasis in bringing all the work under one roof has been to improve processes and implement lean principles along the way. One line has been lean certified, the first in GE Healthcare’s service operations, and there have been space reductions of 35 to 50 percent, depending on the operations. “It’s essential that we do these sorts of things to remain competitive,” Trevino said. Implementing lean principles into a repair operation doesn’t come without its challenges, though. “A repair shop is a little bit different than a high-flow assembly, where you’re doing a million blood pressure cuffs a year and you’re doing the same thing repetitively. Even in the same repair cell on the same part, part-to-part a repair might be a set of 11 different things you could do based on what fails in that part,” Trevino said. Among the features that aid in improved productivity for the repair operations are: the use of OTTO, a self-driving

GE Healthcare has added 60 technical positions at its Oak Creek facility.

vehicle developed by GE Ventures-backed Clearpath Robotics that automates the resupply of materials; engineers developing tests for repairs on-site; and the use of customizable shelving for each cell. The facility processes 11 million pounds of materials per year. Some sys-

tems have more than 50 parts GE can harvest from trade-ins and repurpose to continue servicing devices still in the field. “It’s a great way to continue to use those parts and do it at a high level of quality,” Trevino said.

——Arthur Thomas

SOCI AL M E D I A S T R AT E GI ES

After reading the title you’re probably thinking, “I already know how to target ads locally on Facebook. You select the city where you’re located.” While you’re technically correct, you’re still not picking the best option. If you haven’t tried Facebook’s Local Awareness ads, then you’re missing out on an even better ad format for local targeting. What’s the difference between regular location targeting and Local Awareness ads? Good question. First, let’s review the default Facebook location targeting options. Currently, you can target people who live in a location, recently were in a location or are traveling in a location. With Local Awareness Ads, Facebook starts the reach radius from your actual business location. Then, the advertiser selects how far it wants the ad reach to go. Local Awareness Ads will only appear to users who are in the radius during your desired times. This way, a restaurant running ads in Milwau4

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kee won’t show its ads to people who live in Milwaukee but work out of town. It can now show its Facebook ads to users who are near the restaurant at that very moment. Here’s another way you can use Local Awareness ads: Say the marketing manager for a bar in West Allis wants to drive more traffic after every night of the Wisconsin State Fair. An ad can be created targeting a small radius just covering the State Fair grounds. When people check Facebook while at the fair, the manager can show ads highlighting after-fair specials. Layer this location targeting with proper demographic targets and you have a hyper-focused campaign that won’t cost a ton of money.

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ALEXEY BOLDIN/SHUTTERSTOCK.COM

Want to drive better foot traffic? Facebook has the ads for you

Stop wasting spend by showing “local” ads to users who might not even be in your targeted location. If your goal is to drive local traffic from users who are actually near you, make Local Awareness ads your new best friend.

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——Joe Martinez is senior manager, paid media and community at Milwaukee-based Granular.


leading edge COFF E E B R E A K

POLITIC AL BEAT CHRISTOPHER HALLORAN/SHUTTERSTOCK.COM

Paul Ryan

Ryan focuses on House agenda BY WISPOLITICS.COM

What was the smartest thing your company did in the past year?

next year?

“We challenged ourselves to review our critical processes and procedures to help us achieve our operational excellence goal. We started with our manual processes first and moved on from there. To be successful as a financial institution in today’s environment, you must operate efficiently and effectively.”

What’s new at your company? “Technology is continuously changing within the banking industry. Therefore, we have a completely new website and mobile banking experience designed to support the key features our customers expect with a financial institution.”

Do you plan to hire any additional staff or make any significant capital investments in your company in the next year? “Yes to both. We are in the processes of hiring additional compliance talent. Our significant investments for 2017 will be centered on technology and efficiency. We will have a completely new online banking experience for retail banking customers, which is packed with benefits to help them manage their day-to-day finances and plan for their future life milestones.”

What will be your company’s main challenges in the

House Speaker Paul Ryan avoided mention of Republican presidential nominee Donald Trump during a presentation before a Waukesha business group earlier this month, and instead focused on promoting the House GOP’s “A Better Way” agenda. Trump has slammed Ryan as “disloyal” after the Janesville Republican criticized him over his 2005 remarks about women and told the GOP House conference he would not defend or campaign with Trump. Ryan, however, did make a few references to the election, telling those gathered for the Waukesha County Business Alliance luncheon at the Sheraton Hotel in Brookfield that Republicans are running on issues, despite what is seen on TV or the Internet. “There is an actual choice between two different schools of thought, two different philosophies, two different agendas before us in this country, but you wouldn't know it if you turn on the computer or the TV, would you?” Ryan said. Ryan said he “would like to take a break from all the mudslinging and the mess that's out there on TV” before outlining the House GOP's agenda, which involves fighting poverty, bolstering national security, reforming the regulatory regime, repealing and replacing the Affordable Care Act and reforming the tax code. “This is the agenda that we are running on in Congress, but you wouldn't know about it, would you?” he said. Ryan urged the audience to “forget about the buzz of the day and forget about what Twitter storm is going on.” Referring to the House GOP agenda, Ryan said, “This is who we are; this is what we believe.”

“The regulatory environment for the banking industry continues to be one of our biggest challenges. Regulations enacted since the financial crisis have impacted all banks, large and small. Community banks like Bank Mutual face more complex regulations and scrutiny similar to large national banks, and it requires a lot of resources to manage through them. In addition, margin compression due to the low interest rate environment will be a challenge.”

What’s the hottest trend in your industry? “The hottest trend in our industry continues to be the mobile and digital experience. Providing financial services to our customers anytime, anywhere and on any device.”

Do you have a business mantra? Externally, “Tomorrow starts today” is our mantra, which really hits at the heart of planning today for future life milestones. Internally, “Put the customer first with everything we do” is our guiding principle.

From a business standpoint, who do you look up to?

Joseph Fikejs

BY TH E NU MBERS

“Our customers. They are local businesses and individuals in Wisconsin who are striving every day for financial independence and success, while giving back to our communities.”

Chief operating officer Bank Mutual 4949 W. Brown Deer Road, Brown Deer www.bankmutual.com Industry: Financial Institution Employees: 625 w w w.biztimes.com

Wispolitics.com is a media partner of BizTimes Milwaukee.

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Nine Wisconsin residents made the Forbes 400 list of wealthiest Americans. The wealthiest Wisconsinite, according to the list, is John Menard, Jr. ($9.4 billion net worth). n

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leading edge ON TH E C ALEN D AR

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Commercial Real Estate and Development Conference

Cheese is added to a vessel at First Choice Ingredients in Germantown. The company makes dairy concentrates in pastes, liquids and powders.

Customization a priority at First Choice Ingredients Jim Pekar started First Choice Ingredients in the basement of his home in 1994. More than 20 years later, the company makes dairy concentrates that go into some of the biggest brands in the world. The growth has come from making products that go beyond commodity and building a team that draws on some of the top talent in the dairy industry. “I was always interested in doing valueadded. I was always interested in doing cus-

ARTHUR THOMAS (414) 336-7123 | Twitter: @arthur8823 arthur.thomas@biztimes.com

tom,” said Pekar, First Choice Ingredients president and chief executive officer, and a former defensive lineman for the Iowa Hawkeyes. Before starting the company, Pekar was selling dairy substitutes. The product list fit on a single sheet of paper and while customers were asking for something different, his employer wasn’t interested in expanding its offerings, giving Pekar the motivation to set out on his own. To produce concentrated dairy ingredients, First Choice follows a proprietary fermentation process. Raw products from Wisconsin, including cheese, butter, cream or milk, are combined with enzymes in large reaction vessels. These vessels are then monitored based on varying time and temperature requirements. The end result is an all-natural concentrate that can be delivered as a paste, liquid or powder up to 20 times as strong as the original raw ingredients. The ability to customize those flavors is how First Choice is able to differentiate itself, working with customers to create the exact dairy flavor they are looking for. To date, the company has created nearly 25,000 different flavors. First Choice’s products end up in foods sold in grocery stores, restaurants, food service and more, including brands like McDonald’s, Campbell’s Soup and Frito Lay.

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First Choice Ingredients N112 W19528 Mequon Road, Germantown Industry: Specialty ingredient supplier www.firstchoiceingredients.com “This industry is a lot bigger than everyone can see,” Pekar said. The company now produces batches that can be as large as 40,000 pounds. When he was starting the business, Pekar would get excited for a 250-pound order. With more than 40,000 square feet of space for production, getting a 250-pound order today can present a challenge for Pekar and his team to fit into production. At the same time, he’s determined to continue serving those customers. “We may not make the best margin on it because there’s a lot of costs associated with making a smaller (purchase order) versus getting a larger one where you’re filling a vat and you’re supplying some of the bigger customers, but it’s back to the roots with us; we’re not going to leave those customers hanging,” he said. To help support smaller customers and ease production in general, First Choice developed a frequently produced product list that includes items the company can have in stock. “It’s hard to pick and choose who you do business with; you want to give everybody the opportunity and the chance to grow, as people did for us when we started out,” Pekar said. After working out of his basement, Pekar moved the company to the atrium of a building on Howell Avenue. He signed a threeyear lease but had to move after a year-and-a-half because the company outgrew the space. From there, it was on to Glendale for five years before First Choice finally landed in Germantown. Most recently, the company purchased an 83,000square-foot facility in Menomonee Falls that was used for a similar industry. The plan is to add 30 employees to staff the facility initially, and to have it filled in five to seven years. To continue the 15 years of double-digit growth First Choice has experienced, Pekar will need to continue to find the right workforce. That includes the blue-collar talent to keep up with production demands and the best minds in the dairy industry to continue customizing flavors. “There’s a lot we can do in the dairy industry,” Pekar said. “It’s a worldwide product.”

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BizTimes Media will host the Commercial Real Estate and Development Conference on Thursday, Nov. 17, from 7:30 a.m. to 9:30 a.m. at Potawatomi Hotel & Casino, 1721 W. Canal St. in Milwaukee. Panelists Doug Nysse of Arrival Partners, Bill Bonifas of CBRE, James T. Barry III of The Barry Co. and Robert Monnat of Mandel Group Inc. will debunk commercial real estate myths in the M7 region. Dr. Mark Eppli of Marquette University will moderate the discussion. Cost is $65. For more information or to register, visit www. biztimes.com/creconference.

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leading edge NON P RO F IT N E W S

THE GOOD LIFE

Volunteer fire chief

CONTRIBUTED

Renowned composer to perform at Basilica of St. Josaphat

Ron Wegner is a busy man. Each night after he clocks out from his day job as a loss prevention supervisor for West Bend Mutual Insurance, he immediately puts on a different hat – or helmet, to be exact. For years, Wegner has served as the volunteer fire chief for the City of Jefferson. And it’s no coincidence he ended up in that position. Wegner and his family have been intimately involved with Jefferson’s volunteer fire department for decades. His father was a member of the department for 53 years and chief for 12 years before he retired in 1997. Wegner has been at the department since 1991. “It kind of gets in your blood,” he said. “It’s fun. You get to play with big trucks and big toys, you get to do things others don’t, and it’s Ron Wegner, volunteer fire chief for the City of Jefferson, responds to a call. very rewarding. But when it comes to a time commitment, some people think I’m crazy, including my wife some days. Without my wife’s support and and understanding, as have his family members and his my family’s support, I couldn’t do this. They don’t see me fellow firefighters. much before 9 p.m. on a given night.” “Without a doubt, there is definitely a balancing act,” he Though it can sometimes be tricky to balance his said. “I have an outstanding command staff that works really responsibilities with the department, his job and his family, hard at sharing the load so that it doesn’t all fall on me.” Wegner said West Bend Mutual has been extremely helpful ——Ben Stanley

Grammy-winning composer and conductor Eric Whitacre will perform with his choral choir, the Eric Whitacre Singers, at the Basilica of St. Josaphat in March as part of his six-stop U.S. tour, titled “Mu- Basilica of St. Josaphat sic for Sacred Spaces.” The concert will be held on March 7, 2017 as a fundraiser for the St. Josaphat Basilica Foundation’s $7.5 million capital campaign to make major repairs to the basilica’s masonry, roof and stained glass windows. The 115-year-old basilica, which is considered one of Milwaukee’s most significant architectural assets, has structural issues caused by years of wear. The Basilica Foundation said deterioration has reached “epic proportions,” and needs to be addressed immediately to preserve its legacy and protect its historic designation. The basilica is listed as both a local and national historic landmark.

——Ben Stanley

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leading edge IN T HE NE I GH B OR H OOD

BR EA K ING G ROUN D

Saz’s Hospitality Group »» Why did you decide to move the Neighborhood: Walker’s Point catering operation from the west Address: 201 W. Walker St. side to Walker’s Point? Founded: 1976 Sazama: “Being on Second and Walker Owner: Steve Sazama (“Saz”) was absolutely perfect. It was 30,000 Employees: 250; 650 seasonal square feet, as opposed to our 8,000, Market: Catering, festivals and and it was a building that was very retail barbecue products easily converted into catering because it was a manufacturing company. Also, it was connected to the freeway, which was so important.” »» Why did you decide to invest about $3 million in buying, renovating and equipping the new kitchen? “Our off-premise (catering) has really grown over the years and we just need the extra space. We’re the official caterer for Summerfest, the Wisconsin State Fair, the Elkhart Lake races. We also have a partnership with the Green Bay Packers where we run the Tundra Tailgate Zone. We invested in some state-ofthe-art equipment in which not only can we cook food better, we can cook it faster, but we now have the ability to flash freeze our products so it will keep it fresher than in the past.”

Nexus Jackson Street Holdings LLC is proposing a $279.6 million development at Fourth Street and Wisconsin Avenue in downtown Milwaukee that would include three hotels totaling 506 rooms, 130,000 square feet of convention space and 22,000 square feet of street level restaurants, bars and cafés. The project, to be called Nexus, would fully integrate the city’s planned streetcar. The guest rooms would be located in two towers. The northwest triangular-shaped tower would include 150 rooms. The 270-foot east tower includes 20 floors, with two hotels totaling 356 guestrooms and suites. City of Milwaukee officials are currently reviewing the proposal, along with a proposal from Marcus Hotels & Resorts for the same site.

——Corrinne Hess

Don’t miss this exciting advertising opportunity!

2016 Holiday gift & party planning guide

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Re: Health care costs “The national health care bill of $3 trillion could be cut by one-third, or $1 trillion, if best practices developed in the private sector were adopted broadly.” - John Torinus, Serigraph

Re: Company values “Creating a values-based culture is a commitment to doing business the right way. It will have a positive ripple effect on your organization, employees and all other stakeholders, and it will help your organization to serve its community for generations to come.” - Cedric Ellis, CUNA Mutual Group

Re: Wisconsin in the global economy Washington County Economic Development Corp. recently hosted its annual Business Ready Wisconsin Conference, which focused on Extraordinary Leadership in Action. Pictured: Kristin Brandner of United Way of Washington County, Marcia Arndt of Moraine Park Technical College and Sarah Malchow of United Way.

“Exports from Wisconsin have hovered around $23 billion per year of late, a reflection of the fact that the world needs the state’s agricultural products, manufactured goods and technologies.” - Tom Still, Wisconsin Technology Council

Should Wisconsin Center District taxes be increased to include meeting space in a development at Fourth and Wisconsin?

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EXPERIENCE WITH PERSPECTIVE At First Business, we boast our years of experience all the time. But it isn’t just bragging. Experience is what allows us to do everything from navigating clients toward success, to helping local universities produce business-savvy graduates ready to shape the future of our community. And no matter what issues your business faces today, you can be confident knowing you have a partner who’s faced it down a time, or two, (or a hundred), before. DAVE VETTA President & CEO, First Business Bank - Milwaukee

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innovations Milwaukee startup hopes to redefine local marketing

Interactive lifestyle app Sugr aimed at consumers and small businesses

A

fter a chance encounter with an investor at Carson’s in downtown Milwaukee, entrepreneur Ruben Flores, 25, a largely self-taught computer programmer, is up and running on a new mobile app he’s been

to accomplish two things: help consumers figure out where they want to spend their money, and help small local businesses that can’t afford to throw together sophisticated digital marketing campaigns on their own compete with large corporations that can, such as Starbucks or Panera. “We’ve raised about $130,000 and we’re currently working on raising another $500,000,” Flores said. “The Internet is so giant, you get lost. The big problem with technology right now is you get so consumed by the net, you’re not aware of your own surroundings anymore. So we wanted to change that. Bring it down to the local stratosphere.”

BEN STANLEY (414) 336-7121 ben.stanley@biztimes.com Twitter: @BizTimesBen

developing over the past 17 months to transform the way local businesses market themselves to customers. The app is called Sugr and it’s designed

Sugr creator Ruben Flores (left) brainstorms ideas for the app with team members, who write notes on the windows of his apartment with glass chalk.

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Flores put his college career studying computer engineering at the University of Wisconsin-Milwaukee on hold to build the app, which can be downloaded for free from the Apple App Store. It revolves around the idea of giving consumers an interactive way to sift through local businesses. From its main landing page, users can choose to navigate the app’s trove of information about local restaurants, bars, music venues and stores three different ways by tapping a menu at the top of the screen: channels, places or deals. Channels is like an interactive digital lifestyle magazine. It’s flashy and stylish, and breaks businesses into different categories that users can scroll through for recommendations and promotions for cultural events happening throughout the city that are delivered in a format similar to Snapchat stories. It also breaks those recommendations and promotions out by each city neighborhood. Places was built with more impatient users in mind who are, for example, trying to decide where to get dinner, Flores said. If a user taps “places” on the menu, several bubbles pop up on his or her

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screen with the names of nearby restaurants listed based on the location. Hit a bubble and you’ll get a plethora of relevant information about that restaurant on its landing page within the app – hours, location, deals. There’s even a map with directions on how to get there embedded on the page, as well as a guide at the bottom that details how long it would take to get there using Uber and an estimate of how much the Uber ride would cost. Click on the recommendation and your Uber app will automatically open on your phone. Deals organizes businesses based on their current deals, promotions, coupons and specials. Flores said each menu is using the same information about each business or event, but presented in different ways depending on user preference. And no matter which route users take, they can share on social media what they thought about a local brewery, a show at the Riverside Theater or a restaurant in Walker’s Point, right from the app. .................. INNOVATIONS continued on page 35


real estate Barrett Lo spreads its wings Will break ground on three projects in 2017

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n 2007, a relatively unknown Milwaukee developer proposed a 120room hotel, 80 condos and street-level retail in a 30-story building on the west side of downtown, an area lacking substantial development at the time. By the time the shovels broke ground on The Moderne in 2011, the CORRINNE HESS P: (414) 336-7116 E: corri.hess@biztimes.com Twitter: @CorriHess

economy had crashed, the project was reconfigured into 203 apartments and 14 condos, and Rick Barrett’s name was no longer unfamiliar. By the end of 2017, Barrett, owner of Milwaukee-based Barrett Lo Visionary Development, expects to have broken ground on three more projects: phase two of Emerald Row, a luxury apartment complex at the Drexel Town Square development in Oak Creek that will include 657 units when it is complete; The Couture, a $122 million, 44-story luxury apartment building at the southwest corner of North Lincoln Memorial Drive and East Michigan Street, near the lakefront in downtown Milwaukee; and Blanc Chicago, his first project outside of the Milwaukee area. Blanc, a 12-story, 31-unit condo building with ground floor retail, will be located in Chicago’s River North neighborhood. Barrett purchased the 0.35-acre site from Dean Carson, the son of the founder of famed Chicago ribs restaurant Carson’s, in July 2011 for $4.6 million. Carson’s will be located on the ground floor. Carson’s is a tenant of The Moderne, as well. Barrett admits his desire to build in Chicago comes from having a chip on his shoulder. “It’s always been Chicago developers coming to Milwaukee to develop here,” he said. “I don’t know of a single project where a Milwaukee developer and a Milwaukee architect go to Chicago, buy land, and design and build a project. I’m really proud of my team and I want to say we went to one of the top three markets in the

U.S. and succeeded in that marketplace.” The architect Barrett will be bringing with him is Matt Rinka, principal of Milwaukee-based Rinka Chung Architecture Inc., who has done the design work for all of Barrett’s projects since The Moderne. The two met in 2006, just as Rinka was leaving Milwaukee architecture firm Kahler Slater to start his own business. Rinka said he and Barrett immediately fed off each other’s creativity and to this day, continue to challenge each other. “After the first few meetings with Rick and Tan (Lo, Barrett’s business partner), I was very excited,” Rinka said. “I started my own business because I wanted to do projects that were impactful and inspiring. Rick thinks big. I felt like we could have a pretty special relationship.” Rinka, whose firm has done design work for numerous projects in the Milwaukee area, said Blanc Chicago will be small by Chicago standards, but its design will be highly detailed and very sophisticated. “There will be a sense of elegance that we want every building we work on to have,” Rinka said. “Milwaukeeans are so humble, they tend to design what people expect. Once in a while, you get projects that surprise people. We want to be part of that. A lot of people said The Moderne and The Couture were too international looking for the City of Milwaukee. Well, that’s the whole point.” Originally, Barrett planned to break ground on Blanc Chicago this year, but once The Couture finally began moving forward and with the continued success of Emerald Row – the project has been so successful, Barrett recently purchased seven more acres of land in Oak Creek to build a third phase – he decided to put it on hold until next year. Barrett has 12 people on his team, which is double his staff size just two years ago. Within the next five years, he would like to double in size again. But for now, Barrett says he has to slow down when need be. “I turn down projects regularly because we just don’t have any more bandwidth,” Barrett said. “With what we have w w w.biztimes.com

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A rendering of Blanc Chicago.

RINKA CHUNG ARCHITECTURE INC.

The Moderne was completed in 2013 in the Park East Corridor.

In August, Barrett purchased the Downtown Transit Center from Milwaukee County and began work on The Couture.

Barrett

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now, and a couple of behind the scenes sizable projects, it’s exciting. We just have to keep rocking and rolling.” In addition to Chicago, Barrett and Rinka Rinka are considering projects in Minneapolis and Nashville, but said Milwaukee will always be their headquarters and the most important place to do business. In August, Barrett finally completed the purchase of the Downtown Transit Center from Milwaukee County and began work on The Couture project. He said deconstruction of the 24-year-old transit center will take about six months. The Couture will begin rising from the ground in the second or third quarter of 2017, he said. The project will have 302 apartments, about 50,000 square feet of retail space, public parking, transit connections and numerous public amenities, including a connection to the Lakefront Gateway Plaza. The project started in 2012 and was delayed by several hurdles, including threats of litigation by a parks advocacy group. Barrett and Rinka began The Couture project fresh off the five-year-long Moderne project, but both men said they never considered walking away. “My wife equates it to having a baby, and we’re on our fifth,” Barrett said. “We’re building a dominant 44-story tower that will be the tallest residential building in the state. It’s going to take some time. I have to look at it that way or I go crazy. I have the patience of a stepped on rattlesnake.” Since first announcing the Moderne project in 2007, Barrett’s public profile has changed, and so has the Park East corridor. Ninety-eight percent of the corridor’s land is for sale or being developed, thanks in large part to Barrett and the Milwaukee Bucks, who are building a $524 million arena and additional development there. Barrett, who started his development career building condos along the Beerline corridor, said he isn’t done yet in the Park East neighborhood. “I have a real interest in building another project there,” he said. “The Moderne has been a very, very good project for us. I believe in the area west of downtown Milwaukee, I believe in the west of the river concept and I am very excited about what’s to come for Milwaukee.” n


cover story

Peter Coffaro, Earl Buford and Willie Wade of Employ Milwaukee lead the charge in connecting workers with jobs.

M I L W A U K E E ’ S

INNERW HCITY JOBS PUZZLE AT W ILL IT TAK E TO SOLVE? M

BY ARTHUR THOMAS, staff writer

ILWAUKEE MAYOR TOM BARRETT told

members of the commercial real estate community, during an April open house, that the Century City project is an important test for the community. “It may not be an easy test, but we all recognize this neighborhood needs more family-supporting jobs,” Barrett said, his voice echoing through Century City I, a new 53,000-square-foot industrial building. The Century City Business Park is the city’s top initiative to attract much-needed jobs to the inner city. Located on the north side in the heart of the city’s 30th Street Industrial Corridor, the 84-acre Century City Business Park is a redevelopment of much of the former A.O. Smith Corp. (and later Tower Automotive) manufacturing complex site at West Capitol Drive and North 31st Street. Most of the original buildings on the Century City site

were torn down and Century City I, developed through a public-private partnership of the city and General Capital Group, is the first new building in the business park. But the new building is vacant, as the city and General Capital are still seeking tenants. Recently, Barrett said the August civil unrest in the city’s nearby Sherman Park neighborhood is a firsthand example of what happens when there aren’t enough jobs, combined with decades of concentrated poverty, and it shouldn’t be surprising the pressure cooker boiled over. “There has been a sense of urgency for a long time,” he said in an interview. Even with the increased attention on the area, Barrett and his administration aren’t looking for just any businesses to fill the new Century City building. “Our focus has always been on getting it right, rather

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than getting it fast,” Barrett said. Meanwhile, local and state leaders have ramped up their efforts to bring resources to the city’s north side neighborhoods, starting with $4.5 million aimed at job training and removing blighted houses. Earl Buford, chief executive officer of Employ Milwaukee Inc., formerly the Milwaukee Area Workforce Investment Board, said the scale of the jobs problem facing the inner city is large. “You’ve seen the results of not having our collective hands all around this; you see things popping up all the time because there’s some hopelessness,” he said. In 2014, almost one-third of the city’s officially unemployed residents live in the zip codes surrounding the 30th Street Industrial Corridor (between Hampton Avenue, Highland Boulevard, 27th Street and 35th Street) and

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ARTHUR THOMAS

cover story

The city of Milwaukee is looking for just the right tenant for the 53,000-square-foot Century City I industrial building developed with General Capital Group.

Mayor Tom Barrett addresses attendees at an open house in Century City I.

Century City I features floor to ceiling windows at its front entrance. Observers say putting the building up sends a clear message of progress at the Century City site. The building has also won awards for its design and impact. “When you pass that, you know you are entering something different,� said Linda Gorens-Levey, partner at General Capital Group.

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half the residents over 16 were either unemployed or not in the workforce. Poverty levels reached 50 percent in some areas and per capita incomes were as low as $11,163, just 57 percent of the citywide average. “The inner city has fallen behind in Milwaukee,” said Abdur Chowdhury, Marquette University economics professor. While manufacturing jobs in the state and country have rebounded and Milwaukee’s downtown booms with development, Milwaukee County has trailed other areas. Waukesha, Ozaukee and Washington counties have added private sector jobs at twice the rate since 2010. Milwaukee County manufacturing employment is essentially flat, while those counties are up more than 11 percent.

ATTRACTING COMPANIES

decision that this city is a valuable asset that they have to contribute to. Sometimes that means they should take a little risk.” Kathryn Dunn, vice president for community investment at the Greater Milwaukee Foundation, said many organizations have already been working on long-term systemic issues and the Sherman Park unrest in August showed the need to have more partners at the table. “It was an unfortunate happening, but I think it also shined a light on the need for this work to be closer to home for our corporate community and our other philanthropy partners,” she said.

BUILDING THE CORRIDOR Jobs weren’t an issue in the central city when A.O. Smith and others employed thousands of workers. But as factories closed, the jobs left. Some went south, others overseas. In some cases, jobs went to the suburbs; in others, the jobs disappeared, eliminated by advances in technology. The result is an area with some of the most troubling statistics when it comes to unemployment, income and poverty in southeastern Wisconsin. Using a roadmap the city first followed in the Menomonee Valley, Century

City represents an opportunity to change those figures and bring economic activity back to an area that once bustled with it. The city bought the land in 2009 and has spent $37 million clearing old buildings, remediating environmental issues and preparing the site for development. And just like in the valley, the city is looking for the right business as the first occupant in the new building. The goal is to have 15 to 20 jobs per acre in the business park, said Rocky Marcoux, commissioner of the Milwaukee Department of City Development. The Menomonee Valley reached 26 jobs per acre, according to the Public Policy Forum. “We get the money (spent by the city on the site) back by restoring the economy to that part of the city and you do that by having the density of jobs,” Marcoux said. The city moved some Department of Public Works jobs to the western portion of the former A.O. Smith site about 10 years ago. That made sense at the time, Marcoux said. But bringing additional public jobs to the site from elsewhere in the city wouldn’t provide any net gain for the economy, he said. Marcoux also said the city isn’t interested in having storage or logistics op-

ARTHUR THOMAS

Tom Ryan, president and owner of Jonco Industries Inc., 2800 W. Custer Ave., remembers what it was like when the 30th Street Industrial Corridor was at its peak, having worked at A.O. Smith Corp. in the 1960s. He watched as the former Eaton Corp. facility on North 27th Street was built in 1965. Eaton left in 2012 and it took Ryan all of five minutes to decide to buy the

seven-story building (now called Century City Tower) “because it should be done.” In addition to the Century City Tower, Ryan and Jonco have six other facilities in the city, all of them located along bus routes. It might ease production to consolidate operations on one site, but Ryan says he finds it easier to repurpose buildings. “I’ve never had a desire to move into the suburbs,” Ryan said, adding that many businesses leave thinking they’ll avoid crime. “I’m sorry, crime happens everywhere.” If he could, Ryan says he would buy struggling suburban businesses and move them to Milwaukee. Instead, he’s started encouraging fellow business owners to relocate into the city. Not with a formal pitch in the boardroom but at social gatherings, on the golf course or in other relaxed environments. “You get to talk to that person on a completely different level,” he said. It is a message that doesn’t come without its challenges. “You’ve got to convince the manufacturers and the smaller shops out there, I’d say the 10 to 50 employee companies that are in the suburbs, that there’s a vibrant community (in the central city),” he said. “Business owners have to make a conscious

The original A.O. Smith headquarters office building, left, and a 1930 research and engineering building are two of the structures the city hopes to one day repurpose on the Century City site.

Tom Ryan, right, with his son Mike at Jonco Industries headquarters at 2800 W. Custer Ave. In addition to A.O. Smith, Tower Automotive once occupied the Century City site. w w w.biztimes.com

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ARTHUR THOMAS

cover story

Talgo and Benson Industries have been among the tenants of a building at the south end of the Century City site. It’s one of three buildings the city opted to repurpose instead of demolish.

Capitol Stampings operates from an 180,000-square-foot facility at 2700 W. North Ave. President Gary Wenzel says the company has turned to internal training to help meet demand for skilled positions.

erations in Century City I. Those are important operations, but he said there are other, more suitable, locations for them. It doesn’t do any good to fill the building with six people when it could support hundreds of employees, Marcoux said. “We don’t want to fill it with just anything,” Marcoux said, noting he passed on a dozen proposals for the valley as big questions loomed about the project and commercial real estate brokers brought proposals that didn’t necessarily fit the vision for the site. “Most people look at (the Menomonee Valley) now as a given,” he said. “But 10 years ago, it was as uncertain as the 30th Street corridor is today.” Corey Zetts, executive director of Menomonee Valley Partners, said the valley took a lot of intensive planning and detailed thought about how to make it a reality. She said cooperation among public, private, regional, city and local entities also was key. Zetts acknowledged the valley was fortunate to be the first in a series of redevelopment efforts, as the bar was set low. There’s also one major difference between the valley and the 30th Street Industrial Corridor: the latter is right in the heart of a residential area, making challenges more complex, she said. Marcoux said Century City now rivals any suburban location for new development, with the unique advantage of being in the heart of a potential workforce. “We’ve done something that the sub-

urban communities are not able to do,” he said, arguing the population in the suburbs skews older, while the city is wellpositioned with a younger workforce. While there are no site-related incentives for Century City I, the Milwaukee Economic Development Corp. is in a position to provide low-interest loans to qualified businesses and the city would help coordinate workforce training and incentives for a business that chose the site, according to Department of City Development spokesman Jeff Fleming. Since the events in Sherman Park, there have been two good pieces of news for Century City. Specialty vehicle maker Rev Group Inc. plans to conduct final assembly of next generation postal delivery vehicle prototypes at the site and train maker Talgo is bringing work back to Milwaukee. “Those are voluntary; they don’t need to be there,” said Linda Gorens-Levey, a partner at General Capital Group. “There’s a renewed energy and focus and reason for optimism.” But drawing companies to the corridor also is made more difficult by perceptions about the neighborhood’s safety. “Growing a company in this world is tough enough, let alone to be in a ‘bad neighborhood,’” said Howard Snyder, executive director of the Northwest Side Community Development Corp. “And that’s the narrative that we always have to fight.” Marcoux said businesses with security concerns may be making some assumptions about the situation that can be ad-

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dressed with time spent in the area and he’s happy to give them tours. The reality, though, is crime is higher in the three police districts covering the corridor than it is in the rest of the city. Nearly 70 percent of Milwaukee’s homicides since 2010 have occurred in those districts. A majority of the assaults, burglaries, robberies and vehicle thefts have occurred there as well, while the districts account for 42 percent of the city’s population. Gary Wenzel, president of Capitol Stampings, located at 2700 W. North Ave., said concerns about safety make it difficult to recruit talent in skilled trades. “There’s a lot of talk out there, but to me, I don’t see enough action,” he said. Safety concerns aside, whether the workforce in the immediate area around the corridor has the skills employers need remains a bit of an open question. Barrett and Marcoux have positioned the Century City site as being located close to a ready labor pool. Marcoux pointed to Talgo’s decision as proof companies can find quality employees. But millions of dollars are spent each year in the city to train workers and more than 100 organizations are engaged in some training. Employ Milwaukee alone has an approximately $20 million budget and 85 percent of its money goes out the door to support various training programs. Marcoux said there are two groups making up the workforce around the corridor. One is an older group, made up of residents who worked in manufacturing

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before the jobs left and can easily adapt to new jobs. The other is a younger cohort who may not have the skills or educational levels employers are seeking. “Those are real issues; I’m not going to say they’re not,” he said.

BALANCING THE WORKFORCE Buford’s organization is in the midst of an effort that in many ways runs parallel to the work at Century City. While Century City is about attracting new business, Employ Milwaukee is trying to prepare the city’s workforce for available jobs, as well as the jobs of the future. Former Alderman Willie Wade, now Employ Milwaukee’s vice president of community relations, said the organization’s mission is about creating a paradigm shift around workforce, stressing necessary changes to job seekers. “You may have to stop drinking or getting high or you may have to get your driver’s license cleaned up. You may have to do some other things that wasn’t your ordinary mode of operation, but if you want to get a job and take care of yourself and your family, these are the adjustments that you’re going to have to make,” Wade said. The message to employers is equally stark. “We also have to make sure we convey to the demand side that this is your workforce,” Wade said. “These are the issues that they have. No other workforce is coming in from somewhere else.”


Milwaukee Public Schools also is important, giving Employ Milwaukee a chance to make sure the future workforce is on track. “The more of those people that we can get into the workforce through that relationship and that opportunity, the less people that we have with the barriers on the other side,” Wade said. When he served on the Common Council, Wade said he saw jobs as the No. 1 issue and “the key to turning Milwaukee around.” But he also said “mode of operation” over the past few decades meant the general community wasn’t prepared to take advantage of opportunities like the construction of the Northwestern Mutual Life Insurance Co. tower, the new Milwaukee Bucks arena or the Century City development. Addressing workforce barriers like driver’s license issues, drug use and reentry from the criminal justice system is part of preparing for those opportunities. Those barriers are prevalent in the populations served by a number of the main workforce programs in the city. An October 2015 Public Policy Forum report found that among roughly 7,200 job seekers, 23 percent lacked a high school diploma or GED, 50 percent did not have a valid driver’s license and 42 percent had criminal backgrounds. A total of 39 per-

cent had more than one of those barriers to employment. With so many people lacking a driver’s license, public transportation becomes an important part of connecting the workforce to available jobs. But Joel Rast, director of urban studies at the University of Wisconsin-Milwaukee, said it is unlikely public transportation can solve the problem, because the percentage of employees going to the suburbs is small and it’s difficult to create efficient bus routes to those sprawled areas. New bus routes into Menomonee Falls and New Berlin have been established in recent years with mixed results. The New Berlin route has capitalized on seasonal needs at costume supplier BuySeasons Inc. Two routes into Germantown and Menomonee Falls were cancelled due to lack of ridership. One route to Menomonee Falls remains in operation. The routes were funded by a settlement over the Zoo Interchange project, and face an uncertain future, as money is set to run out around 2018. Even if the Milwaukee County Transit System can run a line to a suburban location, the time it takes to reach an employer may discourage potential riders. “The reality is, nobody wants to ride a bus for two hours to get to a job,”

Barrett said. Snyder said a number of the Northwest Side CDC’s recent loans have been to companies near Good Hope Road “because we know people from here can get out there.” The area is home to two of the biggest business expansion projects announced in the city over the past year, as HellermannTyton Corp. and Direct Supply Inc. continue to grow.

BUSINESS INVOLVEMENT Stephanie Harling, executive director of the Havenwoods Economic Development Corp., said businesses have to be able to attract and retain talent in a particular location and it is important for a company’s workforce to feel comfortable coming into a community. She said that wasn’t the case in the past and some businesses left because of it. “We took that to heart and we started making sure our businesses knew what was going on in the community and they’re involved,” she said. Getting businesses involved in volunteering, including rehabbing or beautifying homes, a neighborhood cleanup or running in the Havenwoods neighborhood’s 5K, has increased involvement and puts employees shoulder-to-shoulder with the residents they drive by every day, she said. ARTHUR THOMAS

Buford joined Employ Milwaukee in 2014 as CEO. He has since brought Wade and Pete Coffaro, the former business and community engagement manager at the Milwaukee Metropolitan Sewerage District, on board to help lead the organization. Their goal is to serve as a middleman between employers and the workforce. While Wade works to bring organizations involved in job training together, Coffaro, vice president of business services, is strengthening relationships with the business community. “You see a groundswell of employers and businesses recognizing that they’re having tremendous challenges when they look at their talent pipeline and they need to apply the very same business practices that they’ve used in supply chain management to human resource practices,” Coffaro said. To engage with those employers, Employ Milwaukee launched industry advisory boards, drawing on companies and industry groups to develop career pathways, give candidates direction on which credentials to pursue and improve communication. Employ Milwaukee also is shifting away from broad job fairs to more targeted industry recruitment. To get a more detailed picture of the demand for certain skills, Employ Milwaukee has begun regularly completing job scans, surveying employers about their current and future openings in specific ways. Wade is able to take the information and relay it to the job training community through a coordination council meant to bring organizations together instead of spending time working alone without a clear idea of employer demand. “Getting those folks to stop looking at themselves as small businesses and think of 'Well, if we’re going to make a collective impact in this community and leverage our resources, we’ve got to link arms.' That to me is the hardest part of this job,” Buford said. Wade said many organizations are worried about what collaborating will do to their funding. “That’s what I see as the most intimidating thing,” he said. “They’re worried about, ‘If we do this, do we lose money?’ My message to them is, ‘No, we’re going to grow the pie.’” The idea is that by working together, all the groups will be better able to meet their contract goals, giving them a better chance of finding more work and more funding. Wade said the agency’s relationship with

Crews from Northcott Neighborhood House deconstruct a city-owned home at 2709 N. 40th St. In the wake of unrest this summer in the Sherman Park neighborhood, the State of Wisconsin is allocating $2 million for the City of Milwaukee to help train residents in construction trades by rehabilitating, deconstructing or demolishing homes. w w w.biztimes.com

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cover story Closer to Century City, Vince Stammetti, vice president and general manager at DRS Power and Control Technologies Inc., a division of Arlington, Va.-based DRS Technologies, said it is the connection to the neighborhood that’s helped the company keep its presence there since 1952. DRS, located at 4265 N. 30th St., recruits employees from the surrounding neighborhoods, handing out flyers and canvassing the area. It’s a process that recently generated 50 applicants and Stammetti said DRS is able to find the manufacturing talent it needs from the area. He also said being involved in the community has reduced the number of issues DRS has faced. “We’re very involved in the community because a lot of our folks live in the community,” he said, noting the company often contributes to food and school supply drives, provides Thanksgiving dinners to needy families, and holds an annual picnic. DRS also has forged a relationship with officers from the Milwaukee Police Department, establishing a small substa-

tion at its facility that includes an office, restroom and microwave to make it easier to take breaks. Wenzel also said he sees it as an advantage for Capitol Stampings to be located so close to a large labor pool. But he acknowledged that not being located in the suburbs adds to the difficulty of attracting highly skilled trades like tool and die makers, maintenance technicians and skilled punch press operators. “That makes it a little more difficult recruiting people, but we do find them,” Wenzel said. “You’re going to pay more.” To counter those challenges, the company has turned to internal training, developing apprentices and recruiting entry level employees with opportunities to advance within the company. Capitol Stampings also has invested in automation to improve efficiency and remain competitive. A common complaint among manufacturers has been new employees from the central city lacking the soft skills required for regular employment. Wenzel is

no different. “I wish they were doing a better job in our middle schools and high schools preparing these kids, because when we get them, you just shake your head sometimes,” he said. Despite the challenges, Wenzel said he has no plans to leave the area. The location is close to a large labor pool and he knows manufacturers around the state are facing the same challenges. He also said that in the past 11 years, Capitol Stampings’ sales have tripled. “You don’t do that without good people,” he said. Barrett, Marcoux and Wade all believe being close to the workforce is going to draw companies to the 30th Street Industrial Corridor. If it isn’t possible to get the workforce out to where the jobs are available, the jobs will need to come to where the workforce is located. In the wake of the unrest in Sherman Park, Barrett has called for more involvement from the business community. He’s optimistic and hopes and expects busi-

ness leaders will realize the importance of what the city is trying to do. “I feel very positive about this,” he said. Marcoux said many business leaders have been asking what they can do to help, and the answer is to look for ways to leverage jobs into the city and take a hard look at an opportunity to make a difference for their company, the city and the region. Snyder acknowledged the Century City site isn’t likely to become a hotspot of development, like other areas of town. “This isn’t Walker’s Point. People aren’t going to come here, drink here, hang out here, party here, want to live here. It’s not going to happen,” he said. But he also said it’s good to seek an anchor institution as the first one in to Century City. Growing one organically within the city from a startup would be a challenge, but attracting a major relocation will also be difficult. “It would require us to do things that we haven’t done for a really long time,” Snyder said. “Collaborate, work with one another, trust one another.” n

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special report

senior living

More than demographics driving senior living products Technology, regulation opening new opportunities

BY ARTHUR THOMAS, staff writer

I

t’s not hard to look at the approaching wave of retirements by baby boomers and see a potential business opportunity. With the population over the age of 65 projected to double over the next three decades, more people will be in the market for products and services aimed at senior citizens. But assuming the demographic shift is driving the development of new business obscures other shifts in the market. Technological changes are leading to innovative products, regulatory changes are altering the imperatives for health care providers and trends in aging create new consumer patterns. Surveys have shown aging adults prefer to remain at home as long as possible, and Oconomowoc-based Bruno Independent Living Aids manufactures products – including stairlifts and vertical platform lifts – designed to make a home or apartment more accessible. The company also has expanded into accessibility options for commercial buildings. Pat Foy, director of sales and marketing at Bruno, said with people living healthier lifestyles, the age of those using Bruno products is steadily increasing. The shift means the children helping their parents make decisions also have gotten older, now in their 40s or 50s, instead of their 30s. Foy said the result is a more sophisticated consumer spending longer on research, asking more thoughtful questions and paying more attention to value. Marc Cayle, founder of Milwaukeebased OnKöl, was one of those providing in-home senior care for more than 500 clients as the owner of three Comfort Keepers franchises before he saw a need to use technology to improve remote monitoring. After delaying production to incorporate feedback from field trials, OnKöl was set to inspect its first 200 units at the end of October. Its device monitors everything from door sensors, to scales, to blood pressure cuffs, and can send data to family members via text message. The changes opened up the potential for new

OnKöl's monitoring device.

business with call centers, and the first two production runs are already sold out. Beyond demographic changes, connected devices and regulatory changes under the Affordable Care Act that emphasize quality over quantity of care have created a “perfect storm” for the industry, Cayle said. OnKöl’s technological choices include an open architecture that allows for easy updates and only transmitting, not storing, user data. “We are not in this to play the data game,” he said, noting many companies seek to own the data and charge for access to it. Cayle said many companies going after the senior market “truly do not understand what the need is.” “Most of the devices that I see seem like they were developed by a kid in a cube with a grandparent that’s not even old enough to use these things yet,” he said. For Cory Wanek, his own experiences with family members prompted him to start Hales Corners-based Senior Diamond Referrals, a service that generates senior living community recommendations from a database it has developed. Senior Diamond then accompanies families on facility tours to help them make a systematic decision about what will best fit their needs, instead of making an arbitrary decision. Sorting through the available options has become increasingly complex in recent years as facilities have proliferated and become more specialized. Just in metro Milwaukee, the number of conw w w.biztimes.com

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A VibeTech product aimed at helping low-mobility adults improve muscle strength and function in their lower extremities.

tinuing care and assisted living facilities is up more than 80 percent since 2005, to 279, according to the U.S. Bureau of Labor Statistics. Wanek said the decision is a big one financially, and having someone who knows the right questions to ask on a tour is as important as using technology to narrow the options. Josh Silldorff, founder and chief executive officer at Milwaukee-based BrightLife Innovations, has found plenty of ways for technology to help inside senior living communities. BrightLife’s EasyConnect HD was intended to help senior living residents communicate with family and friends, but now it’s used by management and staff for training, connecting multiple locations, and providing access to experts around the country, among other things. Silldorff is looking to the future, making EasyConnect HIPAA-compliant so it can be used in what he sees as a coming wave of telehealth for senior citizens. “We are going to provide the ability and the connection so that people can access the care,” he said. BrightLife is now in nine states. Senior living communities tend to test new solutions in pilots and aren’t afraid to make companies jump through some hoops to

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demonstrate their capabilities, Silldorff said. In one case, a company asked BrightLife to complete installations in five communities in five different states over two days to prove it could handle the work. Silldorff also has discovered his best sales tool is developing a reputation for having a quality product and service. Jeff Leismer, president and CEO of Sheboygan-based VibeTech Inc., agreed that building a reputation is important. He’s doing that through research studies as he develops a product aimed at helping lowmobility adults improve muscle strength and function in their lower extremities. Leismer’s product uses mechanical vibration to stimulate leg muscles in a way that simulates the impact of walking. While he originally developed the technology to help astronauts in space for long durations, a 2010 National Institute on Aging grant helped him develop the products for older adults. He now has a commercial product and counts the Jewish Home and Care Center in Milwaukee among his customers. Leismer also said the increasing availability of technology leaves room for companies to collaborate to improve lives. “There’s so much more room for collaboration,” he said. n 19


senior living

Direct Supply positioned for rapid growth Company planning major expansion over next few years

BY BEN STANLEY, staff writer

B

aby boomers have been eclipsed by millennials as the largest living generation in the United States, according to population estimates released this spring by the Pew Research Center. But that doesn’t mean the aging generation, which for years has shaped the nature of U.S. culture, will stop exerting its hefty influence over the country’s economy any time soon. Especially when it comes to the senior living industry. And Direct Supply, an employeeowned senior living industry supplier founded on Milwaukee’s northwest side in 1985, is well positioned to capitalize on the country’s graying demographic shift. By 2029, every member of the baby boomer generation will be 65 or older and together will account for roughly 20 percent of the U.S. population, according to the U.S. Census Bureau. Since younger generations are opting to get married later than previous generations and have fewer children, the Census Bureau projects the nation’s demographic shift toward an increasingly older population will endure well into the 21st century. Those trends bode well for Direct Supply. That sector of the population – those ages 65 or older – is the backbone of its business. Direct Supply offers a comprehensive slate of equipment, furnishings, renovation and design services, technology solutions, building management services and automated procurement services to senior living communities across the country and has spent more than 30 years laying foundations in the industry. Now that industry is on the cusp of massive growth. Based on its plans to expand, Direct Supply’s efforts have been paying off – as has its recent push to recruit young engineers to expand its e-commerce solutions and computer technologies offerings related to building management and senior care. In March, Direct Supply announced plans to expand at its 10-building headquarters campus along North Industrial Road on the city’s northwest side. Plans call for a five-story, 280,000-square-foot 20

A rendering of Direct Supply’s planned $60 million campus expansion along North Industrial Road on Milwaukee’s northwest side.

building to be constructed in place of an existing single-story building. A presentation the company shared with the Milwaukee Common Council in July indicated it plans to spend $60 million constructing its new headquarters building. As part of the project, the Common Council approved the company’s request to close a portion of North Industrial Road, which currently runs through the center of its campus. In August, the state certified Direct Supply under the Wisconsin Economic Development Corp. Enterprise Zone Program to generate $22.5 million in tax credits to help finance the expansion and the company’s vow to create 800 new jobs over the next seven years that would pay $30 or more per hour. The company currently employs roughly 1,100 people at its headquarters campus and an additional 100 computer engineers and technology interns at its technology center located on the Milwaukee School of Engineering campus downtown, where the company also plans to expand its presence. MSOE confirmed earlier this month that Direct Supply was negotiating a lease with the engineering college to occupy the entire four-story, B i zT i m e s M i l w a u k e e

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48,000-square-foot German-English Academy building at 1020 N. Broadway. The technology center, which opened in 2012 as a way to connect MSOE computer engineering and business students with internships and experience working for Direct Supply, has served as a talent pipeline for the company as it has expanded its e-commerce and technology solutions services over the past four years. It also includes an incubator for startups Direct Supply has been investing in to develop innovative technologies that could be useful in the senior living industry. One of those startups, Milwaukeebased OnKöl, has developed advanced monitoring devices that senior living communities could use to track the health and location of patients. “We could not be in a better place,” said OnKöl founder Marc Cayle of his company’s presence in the Direct Supply Technology Innovation Center at MSOE. He said Direct Supply introduced the company to two or three of the chief executive and chief technology officers at the largest senior living companies in the world within the first week it was in the center. “The credibility that it adds for our

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Direct Supply’s technology center on MSOE’s campus is located in the German-English Academy building at 1020 N. Broadway in downtown Milwaukee.

brand is unbelievable,” Cayle said. When it opened four years ago, the technology center occupied 9,000 square feet of space on the building’s top floor, but has since expanded into an additional 9,000 square feet of space on the third floor. Expanding into the building’s bottom two floors would add 30,000 gross square feet of space. “The negotiations aren’t complete for the lease, but (Direct Supply’s) intention is to take over the entire building,” MSOE spokesperson JoEllen Burdue said on Oct. 17. “They’re planning to do some remodeling work, but a timeline hasn’t been finalized yet.” Direct Supply did not return a request for comment for this report. n


Please join us in congratulating this year’s Ovation Award winners as we celebrate their growth, success and contributions to the Kenosha Area and its economic development. The 2016 Ovation Awards program, formerly known as the Kenosha County Business Excellence Awards, is hosted annually by the Kenosha Area Business Alliance, in partnership with BizTimes Milwaukee. The program and the related feature coverage by BizTimes provide a fantastic opportunity to learn about the companies and people driving Kenosha County’s economy – now and into the future. This year’s award winners represent a diverse group of businesses and entrepreneurs that are leaders in their respective industries. We congratulate them on their success, thank them for their investments in the community and encourage them to continue innovating and striving for excellence. On behalf of our sponsors, Johnson Financial Group, the University of Wisconsin-Parkside, CliftonLarsonAllen and Colerget Conference Center, and our supporting sponsors, CenterPoint Properties, Dooley and Associates and Good Foods Group, we are proud to recognize and celebrate their collective achievements.

P R E S E N T E D B Y:

Congratulations and best wishes for much continued success! MEDIA SPONSOR:

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ULINE MOVED ITS CORPORATE HEADQUARTERS TO PLEASANT PRAIRIE IN 2010.

Business of the Year: Uline

U

BY ALYSHA SCHERTZ, staff writer

line moved its corporate headquarters from Waukegan, Illinois, to Pleasant Prairie in 2010. Since then the company, founded by Liz and Dick Uihlein, has grown significantly. “We’re thrilled to be here. We’re delighted that we made the decision to move to this community,” said UNICK Frank Unick, chief financial officer of Uline. “We continue to see more of the same robust growth.” Uline has taken an aggressive sales approach and has seen double-digit sales growth as a result. “We continue to add approximately 3,000 new products a year and in 2017, we will add an additional 30 pages to our catalog,” Unick said. The company has opened new facilities in Mexico, California, Illinois and Canada, in addition to several new buildings in Kenosha County. Uline recently completed a second 1.1 million-square-foot distribution center at its current corporate campus. In 2017, the company plans to relocate its remaining Waukegan operations to a new 800,000-square-foot location in Kenosha, and will also complete construction on a second corporate office building

at the Pleasant Prairie headquarters. To support that growth, Uline continues to hire. With the expansion of its headquarters, the firm plans to hire another 500 people by mid-2017. “To support our double-digit growth, we continue to add to our employee count. We expect to be close to 6,000 (employees company-wide) in the next year,” Unick said. Uline expects continued growth for the company, despite a sluggish economy, Unick said. “We will continue to grow and expand as opportunity allows,” he said. The skilled and dedicated workforce in Kenosha County and the support of local government leaders have helped the company sustain its robust growth, he said. “The region has such a tremendous workforce,” Unick said. “The individuals we hire are key to the continued success of the company and we’re proud to say the employee base here is energetic and highly promotable, which is important for rapid growth.” The company has also established relationships with the education and nonprofit community in the area. Uline has built two homes for Habitat for Humanity, and has participated in multiple fundraisers, run/walks and drives like the United Way Day of Caring.

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...............................ULINE continued on page 26 n

DICK AND LIZ UIHLEIN, FOUNDERS OF ULINE.

IN AUGUST, ULINE COMPLETED A NEW, 14,000-SQUARE-FOOT CONFERENCE CENTER ON ITS PLEASANT PRAIRIE CORPORATE CAMPUS.

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Johnson Financial Group proudly supports the

KENOSHA AREA BUSINESS ALLIANCE, INC. “We’re only as healthy as the community we’re part of. So whatever we do, we strive to be a force for good.” -Helen Johnson-Leipold, Chairman of Johnson Financial Group

Embedded in our culture is a genuine sense of mission to make every community where we live and work better because we’re there. It’s a philosophy anchored in the philanthropic spirit of our founder and demonstrated in the way we do business and the individual actions of our associates. That is why we are proud to recognize the 2016 Kenosha County Business Excellence Award Winners: » Business of the Year - Uline » Small Business of the Year - Partners in Design Architects, Inc. » Entrepreneur of the Year - Bob Lee Jr., Lee Plumbing Mechanical Contractors, Inc. » Fast Five - Bone Dry Products, Cordeck, Leeward Business Advisors, MedTorque, Regulatory Compliance Associates

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Small Business of the Year: Partners in Design Architects

BY ALYSHA SCHERTZ, staff writer

F

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PARTNERS IN DESIGN ARCHITECTS INDUSTRY: Architectural services ADDRESS: 600 52nd St., Suite 220, Kenosha EMPLOYEES: 21 WEBSITE: www.pidarchitects.com

THOMAS O’CONNELL, WERNER BRISSKE AND MARK MOLINARO.

the region, O’Connell said. In 1991, a Kenosha businessman con-

vinced O’Connell and his business partner, Werner Brisske, to start their business

in Kenosha, despite the perceived downturn in the region. “He told us that with the pullout of Chrysler, the federal, state and county, even city governments would be highly proactive in promoting and attracting business to the region,” O’Connell said. “There was a strong focus on diversification that would necessitate quite a bit of building, and it turned out we’d be well-

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GO AHEAD, DREAM BIG

©2015 CliftonLarsonAllen LLP

Reach your goals with proactive planning and timely advice from people who are passionate about private businesses and their owners.

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PARTNERS IN DESIGN ARCHITECTS DESIGNED THE GATEWAY TECHNICAL COLLEGE BIOSCIENCES BUILDING.

positioned to react to that.” Partners in Design Architects has designed office, industrial, retail, health care and educational buildings throughout the Kenosha area. The firm recently completed the Gifford School in Racine, the football stadium at Bradford High School in Kenosha, commercial properties in the Lakeview Corporate Park in Pleasant Prairie and buildings at Gateway Technical College in Racine and Carthage College in Kenosha. The experience the principals brought to the table initially was perhaps happenstance, but the diversification of talent and experience has propelled the company’s growth, said Mark Molinaro, principal. “In any community we work, we remain committed to diversification. It helped us weather the recession, and con-

tinues to help us grow steadily,” he said. Molinaro, a native of Kenosha, left the region in 1989 but the growth initiatives in the region brought him back, and he joined PIDA as the third principal six months after its foundation. According to O’Connell, 75 to 80 percent of the firm’s business is from repeat clients, a testament to the relationships they’ve formed. “We’d be remiss if we didn’t recognize the decisions that our city officials made (25 years ago) that set this track in motion for the Kenosha community,” Molinaro said. “If they didn’t take the visionary approach they did, all the naysayers in the region predicting doom and gloom may very well have been right. We’re grateful to have been here to witness those changes, and look forward to continued success in the region.” n w w w.biztimes.com

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Entrepreneur of the Year: Bob Lee, Jr.

BY ALYSHA SCHERTZ, staff writer

B

ob Lee, Jr., was 17 years old when he started working for his father’s plumbing business. He had dreams of making it big in the real estate industry, but needed to save some money first. “My dad had worked for other plumbing contractors, but my mother was the one who encouraged him to step out on his own,” Lee said. “He opened Lee Plumbing on July 4, 1976. My mom was the secretary and my dad was the boss and only employee.” Lee joined in 1977. By 1984, his father was pursuing his passion as the owner of a minor league baseball team and Lee and his brother, Mike, were left in charge of the company. “We already had a pretty good repu-

tation in the community,” Lee said. “My brother and I were able to build on that solid reputation.” The two worked hard, knocking on doors to earn additional business. The company grew as the Kenosha community grew, he said. Lee Plumbing has been involved in several high-profile projects in the region, including Evinrude Outboard Motors’ buildout project in Sturtevant, the WE Energies power plants in Oak Creek and Pleasant Prairie, the expansion of St. Catherine’s Hospital in Pleasant Prairie, Carthage College in Kenosha, Gateway Technical College renovations in Racine and the Chrysler engine plant in Kenosha. “The region has grown so much,” Lee said. “We’re just happy to be a part of it.”

Congratulations! from the strategic partners behind

LEE PLUMBING MECHANICAL CONTRACTORS INC. INDUSTRY: Plumbing, HVAC, electric, pipe fitting/

welding/process piping ADDRESS: 2915 60th St., Kenosha EMPLOYEES: About 100 WEBSITE: www.leeplumbing.com

In addition to plumbing, the company has expanded to offer HVAC, electrical and mechanical services. Lee Plumbing will celebrate its 40th anniversary this year. Lee’s brother Mike moved with his family to Vancouver and his younger brother Greg is in the plumbing business in Kansas, he said His father, Bob Lee, Sr., is nearing 80. “I’m very fortunate to have great people around me,” Lee said. “We’re a small company, but it’s our team that really makes things happen. My father taught me early on that the key is to surround yourself with good people and delegate to them the responsibility to do what you’re paying them to do.” As he nears nearly 40 years in the business, Lee plans to try to cut back on the

LEE, JR.

work he does. “If I’m not here, these people will keep it going on the same track, rowing in the same direction,” he said. “I’ve been letting my people take more of the day-to-day operations and letting them have more of a say in the next chapter. They are the future of the company.” Lee says he will always be involved in the business and doesn’t have plans for retirement at the moment, but is looking forward to seeing how the company and the Kenosha community continue to grow. n

Lee Plumbing Congratulations, Bob Lee! We are proud to call Lee Plumbing Mechanical Contractors, Inc. a client. DOOLEY & ASSOCIATES Jennifer Dooley (262) 925-4769 WWW.GODOOLEY.COM

EACH YEAR, ULINE EMPLOYEES PARTICIPATE IN A HOMEMADE BOAT RACE AT THE COMPANY’S ANNUAL BARBECUE IN PLEASANT PRAIRIE.

We are proud to partner with Lee Plumbing Mechanical Contractors. Congratulations on your Ovation Award.

“We’re thrilled to have a workforce that is not only great at what they do for our company, but also what they do for the community,” Unick added. “They are not afraid to roll up their sleeves and give back, and we are very proud of that. We’re proud to be a large, significant employer in Kenosha County, and we feel we have an obligation to give back. We gain as

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ULINE INDUSTRY: Packaging and distribution ADDRESS: 12575 Uline Drive, Pleasant Prairie EMPLOYEES: 5,200 WEBSITE: www.uline.com

much as we give by being a part of this vibrant community.” n


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1 Based on asset size according to federal reserve release as of 12/31/15: www.federalreserve.gov/lbr/current. 2 According to Thomson Reuters LPC as of Jan. 2016. 3 Merger and acquisition advisory and related services are provided by Harris Williams LLC. Harris Williams LLC is a registered broker-dealer and member of FINRA and SIPC and is a wholly-owned subsidiary of PNC. Harris Williams & Co. is the trade name under which Harris Williams LLC and Harris Williams & Co. Ltd. conduct business. 4 Certain equity capital markets advisory services are provided by Solebury Capital LLC, a registered broker-dealer and member of FINRA and SIPC and is a wholly-owned subsidiary of PNC. PNC is a registered mark of The PNC Financial Services Group, Inc. (“PNC”). Banking and lending products and services, bank deposit products, and treasury management products and services are provided by PNC Bank, National Association, a wholly owned subsidiary of PNC and Member FDIC. Investment banking and capital markets activities are conducted by PNC through its subsidiaries PNC Bank and PNC Capital Markets LLC, a registered broker-dealer and member of FINRA and SIPC. Certain banking and lending products and services may require credit approval. ©2016 The PNC Financial Services Group, Inc. All rights reserved.

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FA S T F I V E

BONE DRY PRODUCTS INC.

CORDECK

INDUSTRY: Concrete sealing

INDUSTRY: Building and construction

ADDRESS: 9009 58th Place, Kenosha

ADDRESS: 12620 Wilmot Road, Kenosha

EMPLOYEES: 4

EMPLOYEES: 50

WEBSITE: www.bonedryproducts.com

WEBSITE: www.cordeck.com

Kenosha-based Bone Dry Products Inc. was born out of necessity. Prairie Shores Ltd. is a manufacturer of wood flooring for commercial and retail use. It was founded in 1994. As the company grew, changes in the adhesives used for securing the floor coverings forced the company to seek out new products to prevent moisture. In 2001, Prairie Shores secured the rights to a new product and formed Bone Dry Products, a manufacturer of concrete sealers and moisture mitigation solutions, which has since become the parent company of Prairie Shores. “We changed the formula slightly, making the product even better so we can provide a 20-year warranty with the sale,” said Jim Gourley, owner. Bone Dry has added four additional products and recently purchased a building and moved to the Business Park of Kenosha. The company remains small but strategic, Gourley said. Together with his son, James Gourley, and Brent McWhinny, he expects continued growth in the Kenosha community.

GOURLEY

“We’re just barely scratching the surface of our potential,” he said. “We’re currently looking at possible acquisition of a company, possibly adding new products and we’re positioned right now to be extremely productive. We’re confident we can have substantial growth for a long period of time.” Gourley grew up in the Kenosha area and says he is amazed at the changes the community has made.

Kenosha-based Cordeck has experienced 10 years of continuous growth and recognition in the construction industry. President Ken Moore comes from a long line of successful entrepreneurs. He says he learned everything he knows about customer service and quality from his parents and grandfather. Cordeck is a full-service steel deck manufacturer and stock distributor. Its focus on superior service has allowed the company to expand to six U.S. locations in Kenosha, New Jersey, Ohio, Tennessee and Texas. “We serve our customers in our additional locations the exact same way we service our customers here at home,” Moore said. “If we’re going to expand and grow, we only do so if we know we can provide the same level of service at the new location.” Cordeck’s footprint allows the company to better serve existing clients and garner new ones, Moore said. “We’ve been able to put together a team, instill in them the core values of the company and strive to always do things the right way,” Moore said. “I’m so very grateful for the team we have here. We truly have

MOORE

an amazing team, dedicated to doing the right thing and treating people the way they want to be treated.” Cordeck recently opened its New Jersey location to serve the East Coast and in six months, will open up another new location.

LEEWARD BUSINESS ADVISORS

MEDTORQUE INC.

INDUSTRY: Technology consulting

INDUSTRY: Medical device, orthopedic implants and surgical instruments

ADDRESS: 5455 Sheridan Road, Kenosha

ADDRESS: 5601 95th Ave., Kenosha

EMPLOYEES: 16

EMPLOYEES: 103 (39 in Kenosha)

WEBSITE: www.leewardba.com

WEBSITE: www.medtorque.com

we are eternally grateful because it’s a big part of our success story.”

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KLEIN

POLZIN

n

In the past three years, MedTorque Inc. has tripled its staff, doubled its sales and solidified its commitment to the Kenosha area and its passion for providing quality products with superior customer service. Today, the company has sales approaching $20 million and has office locations in Kenosha and Chicago. The Kenosha facility continues to focus on the development of specialized orthopedic surgical instruments, including silicone-handled ratcheting and torque limiting drivers, and recently began manufacturing implants and other types of surgical instruments. MedTorque was founded in 2005 and quickly garnered a strong reputation for delivering high-quality products with exceptional customer service. “Our existing customers have really been driving our growth,” said Chad Ryshkus, director of marketing and business development. “We’ve been working to expand our customer base while maintaining that commitment to quality and service that’s at the core of the company.” MedTorque joined forces with Chicago-based precision machining company Inland Midwest Corp. in 2012, and was eventually acquired by Strong Precision Technologies. Under current president and chief executive offi-

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RYSHKUS

SUNDBERG MEDTORQUE.COM

In just under two years of operation, Kenoshabased Leeward Business Advisors has grown its Kenosha office from two to 16 employees, and has made the decision to expand its operations to Madison, as well. “The business started with just myself and Jason Klein, chief technology officer,” said Michael Polzin, chief executive officer of the company. “Our mission and vision for the company is to make enterprise class technologies available to the broader market.” According to Polzin, legacy technology providers do not adequately serve the average business. Yet so much of business success depends on technology, he said. Leeward Business Advisors continues to grow and expand its offerings to better serve its customer base. “Our goal is to listen to our customers, discover what they need, and implement solutions so they can focus on the business,” Polzin said. Leeward Business Advisors is an employeeowned business, which makes for a strong and powerful culture, Polzin said. “Our growth happens because of our owners,” he said. “Kenosha has provided us with the types of employees we want to have come in and offer ownership to. You can’t get that everywhere, and for that

cer Steven Sundberg, who was named president and CEO of SPT in 2014, the two companies divested from SPT corporate and combined efforts under the MedTorque banner. In 2014, the company moved to its current 20,000-square-foot location in Kenosha, with plenty of room for growth, Ryshkus said.


FA S T F I V E

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REGULATORY COMPLIANCE ASSOCIATES INC. INDUSTRY: Life science compliance ADDRESS: 10411 Corporate Drive, Pleasant Prairie

Congratulations to these dynamic companies and entrepreneurs!

EMPLOYEES: 60 WEBSITE: www.rcainc.com

MATYE

Mitch Januszewski teamed up with Steve Schultz in 2000 to form Regulatory Compliance Associates Inc. Combined, the two have more than 50 years of experience in the heavily regulated health care, life science and technology industries. The pair grew the company from nothing to 60 employees, $20 million in revenue and locations in Kenosha; Tampa, Florida; and Warsaw, Poland. Regulatory Compliance Associates and its team of regulatory experts provide full-spectrum solutions to compliance, regulatory, quality assurance, R&D and operational challenges for life science clients, said Brian Matye, chief executive officer of the company. For the past six years, the company has experienced steady growth, Matye said. “Between 2013 and 2016, the company has doubled in size,” he added. RCA made some investments in technology to allow for bigger business. According to Matye, the com-

JANUSZEWSKI

Let’s continue to celebrate growth in the Kenosha area throughout the year.

SCHULTZ

pany implemented a new financial relationship management system, became ISO certified and completed a rebranding initiative about six years ago. The company’s location in Kenosha has played an integral role in the growth of RCA, Matye said. “Being strategically located in the Midwest between two airports puts us in a position to get anywhere in the world pretty easily,” he said. “We run an international business and the market only continues to grow.”

Thank you to our sponsors, Johnson Financial Group, the University of Wisconsin-Parkside, CliftonLarsonAllen and The Colergét Conference Center, for their investments in the Kenoshaarea business community. Congratulations and best wishes for continued success!

Congratulations! from the strategic partners behind

Regulatory Compliance Associates Inc. Congratulations to Regulatory Compliance Associates, and all the other 2016 Ovation Award Winners! Well Done! FIRST BUSINESS BANK

Wes Ricchio (2 62 ) 6 05-7801 • W W W. F IRS TBU S INE S S. C O M

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strategies Leadership lessons from Mom Wisdom to remember

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oo often, we get stuck believing that there is a “How To,” or “Five Steps” or “7 Qualities of Leadership,” that if embraced, will guarantee the making of a great leader. We may believe great leadership means successfully running a company or a country, managing people, negotiating deals and winning big. While there is something to be said for each of these beliefs, we often miss important leadership lessons from our own lived experience. In recent weeks, I have had the opportunity to consider another lens of leadership. Helen E. Vernal, age 92, died Sept. 19. Helen is my mother. She never led a company or a country. She never managed people, unless you count her four children and husband. She didn’t negotiate deals beyond chores and curfews. And yet, there are significant lessons I have learned from her that I think make a difference for leaders.

KA R EN VER NA L LEADERSHIP ence of a leader who is truly present in the moment? What is it like when, in the moment, we are the whole world for the other?

Mom’s Leadership Lesson No. 4: Joy is contagious

Mom’s Leadership Lesson No. 1: Transform challenges into possibilities As a young child growing up in Wheeling, West Virginia, I never knew my parents struggled financially. My father was a novice salesman and Mom, a stayat-home mother with four children. A month before Christmas for three or four years, my sister’s and my favorite dolls would disappear. Mom would assure us that they had gone to Santa’s workshop and would return Christmas morning. To add to our anticipation, she taught us a song about a little doll that was dropped and broken, that went to Santa’s workshop and returned on Christmas Day. And, sure enough, Christmas morning, under the tree were our favorite dolls! They were scrubbed clean, hair combed and they were wearing new dresses made from scraps of material my grandmother gave mom. Magic! A question we invite leaders to consider is a reflection of this lesson. The question is: “What can we make possible when…”

Karen Vernal and her mother, Helen.

Believe in yourself

Mom’s Leadership Lesson No. 2:

My sisters and brother and I don’t remember when Mom taught us the poem “Thinking” by Walter D. Wintle (1905). We often tease that it was before we were born! As children and adolescents, when our self-confidence began to erode, or when we were preparing for a test or tryouts for basketball, cheerleading, etc., Mom would have us recite a poem that begins: “If you think you are beaten, you are; If you think you dare not, you don’t. If you’d like to win, but think you can’t, It’s almost certain you won’t.” There are three more verses, ending with: “Life’s battles don’t always go, to the stronger or faster wo/man. But sooner or later, the one who wins is the one who thinks s/he can.” One of the most important roles for

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any leader is to name and invite the best in those he leads. There are times when a leader needs to believe in others, even when she may not believe in herself.

Mom’s Leadership Lesson No. 3: We only have the moment In the past several years, Mom lived with Alzheimer’s disease. Joan Chittister, author of “The Gift of Years” suggests that as we age, we lose our memories so we have the heart space to be present in the moment. I remember sharing that wisdom early on with Mom, when she realized that her memory was fading. We pledged to each other that we would be present to one another in the moment. That would be enough. For five years, we did, and it was! What is it like when we are in the pres-

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It was Easter two years ago. My son, Jonathan, and I took Mom to a lovely Easter brunch. I had Easter baskets for both Jonathan and Mom. We delighted in her delight as she took each item out of the basket, held it and remarked, “How beautiful” or “This looks delicious.” Once Mom enjoyed examining chocolate eggs and commenting on the foiled rabbit, she returned each to its rightful place in the basket and set the basket down on the floor. After a few sips of coffee, Mom looked down and saw the basket and exclaimed, “Karen, look! There’s an Easter basket.” She was seeing the basket for the “first” time and repeated the ritual of examining each piece. Joy. Her joy was contagious. She taught us that you can see the same thing over again and see it for the first time, and repeat joy. Leaders who live with joy inspire others. Leaders who see the same thing from a different viewpoint expand possibilities. There are many among us who do not consider themselves leaders. My mother was one of them. Yet we have the possibility of noticing and naming for others what they may not be able to name for themselves. Thanks, Mom. Thank you for the profound leadership lessons you taught us. We will remember. n Karen Vernal is the president of Vernal Management Consultants LLC, a Milwaukee-based leadership and organizational firm dedicated to “igniting the spirits and skills of leaders.” The company is one of two firms in the nation to be certified in Emotional Intelligence through the Institute for Health and Human Potential. For more information, visit www.vernalmgmt.com.


strategies

Be radical

Do your homework and listen

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fter weeks on the road working with a variety of clients and listening to animated discussions/debates on the current state of things, I am struck once again by how much time people spend making noise that is devoid of meaning. Maybe that’s not quite fair. There is meaning in what people say—it is important to them, after all—but exchanges too often leave participants unsatisfied, even frustrated. It’s the circular argument you continue to have with a friend or partner about money or loyalty or power. Each side knows the other’s point of view and judges it wrong. No new information is exchanged, no new thoughts enlighten a different dialog and nothing gets resolved beyond another airing of the issues. Political noise is deafening again thanks to a circus-like presidential election in full swing. Debates over foreign and domestic policy, a raft of social issues, and the future of the country are worthy of deep and serious discussion; however, it doesn’t appear that anyone is interested in listening to a different point of view. It reminds me of a song written by Fred Neil in 1966 and famously performed by Harry Nilsson in 1969: “Everybody’s talking at me

I don't hear a word they’re sayin’ Only the echoes of my mind” In the category of “old things that are new again,” those lyrics capture the present moment quite profoundly. Add the cyber chatter of social media and it’s no wonder we have forgotten how to listen, think, judge and decide. Who’s got time for all that? So we retill old soil, fervently wishing for a more productive outcome. We bring new players to the table, rewrite talking points to make them more eloquent and persuasive, and convince ourselves that now is the time for real change. Idealism and energy are helpful in making a new run at a persistent problem. Sometimes new words trigger new thoughts and new players can change group dynamics. But a new kind of homework needs to be done as well. Old arguments dressed in new outfits only serve to distract and frustrate. With so much talk and so little action, how can anything possibly get better? It’s a worthwhile question. Part of the solution may be to take a radically different approach. Stop talking. Stop trying to convince. Sit with people who have a w w w.biztimes.com

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SUSAN MARSHALL INSIGHT different point of view and listen. Hear what they are saying without feeling a need to correct, redirect or respond. Feel the energy of the conversation. Watch interactions among people. If you feel compelled to say something, wait until they are finished and then share what you

heard. “I heard” is sometimes very different from “you said.” It is important to note the difference. This sitting with others and truly hearing their conversations is called doing your homework. Listening is a powerful act of respect if your motivation is to understand. If you are listening in order to gain material you can refute, you will sow disrespect and further discord. And your reputation may precede you. Be aware of that. Last week, I was involved in a discussion about organized religion in which a friend stated that churches run big businesses and Sunday services are simply ongoing advertisements and propaganda to get members to contribute money. This viewpoint is disappointing to me personally, but I understand it. Because my friend has decided this is so and that he will not participate in such shakedown activities under the umbrella of religion, there is little I might say to change his mind. However, finding peace and happiness in the practice of my faith and support of my church show him that intelligent people can have very different ideas and still get along. Some topics are considered too personal to discuss in polite company. Feelings run too deep, experiences are too real and disclosure of true beliefs is too dangerous. Perhaps that’s what keeps us all stuck. Be a radical. Instead of trying to convince someone of how terrific you are, do your homework on their needs. Listen. Learn. Seek to understand. n Susan A. Marshall is an author, speaker and the founder of Backbone Institute (www.backboneinstitute.com). She can be reached at (262) 567-5983 or susan@backboneinstitute.com.

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strategies

Adapt for the emerging workforce Strategies to address the preferences of millennials

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t our most recent Living As A Leader Leadership Breakfast, executives from local companies came together to explore and discuss the clash between the baby boomer cultures of many organizations and the preferences of the millennial workforce. A portion of the inputs focused on what organizations are doing to create a culture that will attract and retain the emerging workforce.

The strongest themes that emerged include:

»» Flexibility – The emerging workforce works in a different way than the boomers traditionally have. Some prefer working remotely, listening to earbuds during tasks, dressing differently than boomers, having access to a

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cell phone and flexibility with hours. Leadership Breakfast participants said focus should not be given to the means by which work gets done, but to the quality of work and the timeliness in which it is finished. »» Continuous Coaching – Millennials are in search of regular feedback and clarity of expectations for development. Because of this, boomers may want to employ a practice of continuous coaching versus the traditional annual performance evaluation. The continuous coaching model offers an informal, ongoing communication opportunity to focus on feedback and developmental needs. »» Collaboration – Break down any invisible barriers between millennials and boomers. After all, everyone is a team. It is important to be conscious of the differences between the generations, but it is more important to act on the differences and work together to bridge any gaps and unify the team. »» Technology – Utilizing technology is second nature to millennials and is generally preferred when completing tasks. Some boomers, on the other hand, may have difficulty acclimating to it. Both experiences with technology should be acknowledged and respected.

Some of the specific examples that were shared:

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»» “We are actively working on restructuring our annual performance reviews to a more ongoing coaching/feedback format. This is a huge change for the existing boomer ownership and management. We also had two current managers attend the breakfast this morning who both verbally stated they better realize the importance of flexibility.” »» “(We will be) establishing and maintaining metrics that allow us to objectively see the contributions being made by all employees to our business. If the baby boomers see that the millennials are meeting productivity and quality guidelines,

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A LETA N O R R IS GENERATION Y they will have less cause to complain about the means being used to get those results.” »» A general theme of technology was at the forefront of the conversation. While some baby boomers view technology as a “necessary evil,” millennials don’t know a world without it. To bridge that gap, baby boomers need to make a conscious effort to embrace, and even search for, new and productive technology. I understand that some boomers aren’t personally up to the challenge of searching for new technology for their company, though. Technology-oriented professionals are out there for hire and I believe if a senior level individual isn’t up to the challenge, that person should rely on someone who is able to help his or her overall cause. These tech professionals can also train all the boomers on staff. Kudos to these organizations in the Milwaukee area proactively making changes in their organizations to acknowledge the preferences of their emerging talent! n

Aleta Norris is a co-founding partner of Brookfield-based Living As A Leader, a leadership training, coaching and consulting firm. You may send questions to her at anorris@livingasaleader.com. To read all of her columns, visit the knowledge portal at www.livingasaleader.com.


biz connections CA L E NDAR BizTimes Media will host the Nonprofit Excellence Awards on Thursday, Nov. 3, from 7:30 a.m. to 9:30 a.m. at Potawatomi Hotel & Casino, 1721 W. Canal St. in Milwaukee. The event will recognize area corporations for their dedication to making a positive difference in the community by donating their time, talent and treasure, and area nonprofits for making the region a better place to live, work and play. Cost is $40. For more information or to register, visit www.biztimes.com/npawards.

NONPROFIT DIRECTORY

SPOTLIGHT

Wisconsin Servant Leadership will host the Wisconsin Servant Leader City Tour on Monday, Nov. 7, from 11 a.m. to 1:30 p.m. at Milwaukee School of Engineering, 1025 N. Broadway, Milwaukee. The free event will focus on “Implementing Servant Leadership.” Dr. Mary Spencer of MSOE, Doug Rutledge of Southwest Airlines and John McHugh of Kwik Trip will speak about their servant leadership journeys. For more information or to register, visit www.biztimes.com/events/wi-servant-leadership/. The Waukesha County Business Alliance will host a Young Professionals Luncheon on Tuesday, Nov. 15, from 11:30 a.m. to 1 p.m. at MRA, N19 W24400 Riverwood Drive in Waukesha. The event will focus on generational gaps and how to work together effectively and efficiently. Cost is $25 for members and $45 for non-members. For more information or to register, visit www.waukesha.org/pages/youngprofessionals. BizTimes Media will host the 2016 Health Care Heroes Awards on Thursday, Dec. 8, from 7:30 a.m. to 9:30 a.m. at Potawatomi Hotel & Casino, 1721 W. Canal St. in Milwaukee. The awards salute the impact and accomplishments of people and organizations that are making a positive difference in the community on the front lines of health care. Nominations are open until Nov. 4. For more information or to nominate, visit www.biztimes.com/hero.

BIZ NO T ES Swimming Pool Services Waukesha-based Swimming Pool Services Inc. has won four awards in two industry organization competitions, recognizing several unique, custom-built projects that exemplify the company’s longstanding commitment to quality and creativity. Swimming Pool Services won three Gold Awards of Excellence from the Midwest Chapter of the Association of Pool and Spa Professionals. Its design and construction professionals also captured a Silver Wisconsin Remodeler Award. The APSP Midwest Chapter competition includes more than 100 companies in Wisconsin, Illinois and Iowa. Swimming Pool Services has won consecutive Gold awards for more than a decade from the APSP Midwest Chapter, and been recognized as an “Outstanding Service Company,” based on APSP consumer surveys. Swimming Pool Services has won numerous WRA awards in recent years, including several Gold medals.

SEEK Careers/Staffing SEEK Careers/Staffing, Grafton, was conferred a 2016 American Staffing Association Care Award honorable mention distinction. This national awards program recognizes outstanding corporate social responsibility initiatives—business processes that positively affect society—among ASA member staffing firms, associate members (staffing industry suppliers), and regional councils and affiliated chapters. SEEK Careers/Staffing was honored for Project Reboot, an initiative which matches job applicants in need of steel-toed boots with pairs which have been donated to local SEEK branches. More than 1,000 pairs of boots have been donated through Project Reboot and more than 500 have been re-booted to needy employees. Project Reboot is part of SEEK’s ongo-

ing commitment to service the success of others in its communities by helping people realize their career goals, earn stable incomes and build their confidence.

Bartelt. The Remodeling Resource Delafield-based Bartelt. The Remodeling Resource took home a Metropolitan Builders Association Achievement Award in the Best Remodeling Project $250,000+ category. The winning Bartelt project was originally an 1850s barn and was converted to a home in 1938. With so much charm and history, the homeowners wanted to retain and enhance the home’s original character while accommodating their modern lifestyle. The two-story addition houses a new mudroom, kitchen expansion, hearth room, master suite and attached garage with a bonus room. Throughout the addition, it was important to create a rustic yet refined aesthetic. This was achieved with beams, board and batten siding, shakes, layers of lighting, exposed wood and other selections that acknowledge the home’s barn past.

West Bend Mutual Insurance West Bend Mutual Insurance is the winner of the 2016 Professional Insurance Agents National Company Award of Excellence.The Award of Excellence honors the West Bend-based company for its dedicated support of the American independent agency system by providing outstanding service to agents, furthering the interests of agents, and actively supporting the company’s efforts to create a better business environment for professional, independent insurance agents. The National Association of Professional Insurance Agents represents independent insurance agents in all 50 states, Puerto Rico and the District of Columbia.

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Milwaukee Symphony Orchestra 1101 N. Market St., Suite 100, Milwaukee (414) 291-6010 | www.mso.org Facebook: facebook.com/MSOrchestra Twitter: @MilwSymphOrch Instagram: @milwsymphorch Youtube: youtube.com/c/msoorg Year founded: 1959 Mission statement: As a key cultural asset, the Milwaukee Symphony Orchestra both delights its audiences with the finest in orchestral music, and fosters music appreciation through extensive community outreach and education. Primary focus: The MSO exists to comfort, educate, entertain and exhilarate the human soul through events of cultural significance, relevance and artistic challenge; as well as to embrace, preserve and foster our musical heritage. Other focuses: The MSO also aims to enhance the vibrancy of our community by fueling the local economy and attracting new business development. Having a strong symphony shows that Milwaukee is not only invested in the arts, but is quickly becoming a world class cultural destination. Employees at this location: 112 Key donors: The following organizations and people are MSO Visionaries and offer significant support: »» Argosy Foundation »» The Lynde and Harry Bradley Foundation »» Herzfeld Foundation »» Rockwell Automation »» United Performing Arts Fund »» Arthur and Nancy Laskin »» Sheldon and Marianne Lubar »» Keith Mardak and Mary Vandenberg »» Victoria Mayer »» Michael and Jeanne Schmitz »» Julia and David Uihlein

Executive leadership: »» Mark Niehaus, president and executive director »» Edo de Waart, music director »» Pam Garvey, vice president, development »» Catherine Kiekhofer, chief financial officer & vice president, finance and administration »» Susan Loris, vice president, marketing and communications »» Ian Harwood, vice president and chief operating officer Board of directors: »» Andy Nunemaker, chairman »» Eric E. Hobbs, vice chair »» Alyce Coyne Katayama, vice chair; secretary; chair, Governance Committee »» Patrick Murphy, treasurer; chair, Finance Committee Is your organization actively seeking board members for the upcoming term? No Ways the business community can help your nonprofit: The Milwaukee Symphony Orchestra is both artistically and operationally at its highest levels. By providing donor or volunteer support, you ensure the preservation of the MSO’s long-term artistic and financial future in Milwaukee. Because music has the power to unite people and cultures, the MSO serves as a crucial resource for enhancing our city. Learn more about ways to give at: https://www.mso.org/support/ways_to_give. Key fundraising events: The Symphony Soiree, May 19, 2017

Get the latest nonprofit news delivered to your inbox every Friday. Sign up for BizTimes' Nonprofit Weekly at biztimes.com/subscribe

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biz connections PER SO NNE L F I L E

■ Building & Construction

■ Accounting

LaCrosse

Submit new hire and promotion announcements to www.biztimes.com/submit/the-bubbler

Nowaczynski

Kruchko

Barnhart

VJS Construction Services, Pewaukee, has hired Mark Barnhart as an estimator and Jason Kruchko as a project manager.

■ Engineering Gokey

Schroeder

Windt Schenck SC has promoted Allen LaCrosse and Amanda Nowaczynski to manager, and Scott Gokey and Frank Windt to senior manager. Additionally,

Michael Schroeder

was promoted to M&A associate at Schenck M&A Solutions.

R.A. Smith National, Brookfield, has promoted Paul Schafer to assistant director of construction services. Schafer has been employed with R.A. Smith National’s construction services group as a municipal construction group manager since 2011.

■ Legal Services Foley & Lardner LLP recently announced Jennifer Rathburn has returned to the firm’s Privacy, Security & Information Management, Technology Transactions and Outsourcing and Health Care Practices as a partner in the Milwaukee office. Rathburn is an established figure in the cybersecurity community and brings a depth of practical experience in guiding organizations through data breaches and privacy issues.

Wucherer

Roang

Austin

Zelenovskiy

Hillary Wucherer, Isaac Roang, Joel Austin and Katrene Zelenovskiy partners

Leonard

Metz Vrakas S.C., Brookfield, has hired Jeffrey Sheahan and Mariana Ellingboe as accounting support specialists, and Shelby Leonard, Tyler Metz and Jordan Costabile as new staff accountants.

Milwaukee-based Clinical Path Consulting, a leading provider of management and technology services to the health care industry, has hired Brian Beinborn as vice president of its Epic Practice. Beinborn will be responsible for delivering technology solutions to CPC’s current and future Epic clients, building and managing CPC’s Epic team, and identifying prospective Epic opportunities.

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Derek Van Calligan has joined Ellenbecker

Mallery & Zimmerman S.C., Milwaukee, has hired Christopher “CJ” Rundell as an associate. Rundell will be a part of the firm’s employment law team, concentrating his practice on various labor issues and related litigation.

■ Marketing & Public Relations

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Pflughoeft

Wildes Trefoil Group, Milwaukee, has named Cindy Cooper account coordinator, Jessica Wildes senior account executive and Michael Pflughoeft account director.

Boelter + Lincoln Marketing Communications, Milwaukee, has promoted Katie Vieau to production manager within the creative department. Vieau was previously a graphic production artist at B+L.

■ Media Aaron Johnson has joined the staff of Plum Moving Media, Milwaukee, as an art director and animator. Plum is a video and events production company.

■ Nonprofit Katy Matola has been

Jack Demski has started a one-year term

Investment Group, Pewaukee, as a wealth advisor associate.

■ Banking & Finance

in the firm.

■ Insurance on the Independent Insurance Agents of Wisconsin board of directors. Demski is a commercial insurance advisor at Ansay & Associates, Port Washington. Additionally, Marc Petersen started a three-year term on the Independent Insurance Agents of Wisconsin board of directors. Petersen is president of American Advantage-Petersen Group, New Berlin. Both currently serve on the IIAW’s Emerging Leaders Committee.

Costabile

Cooper

Dr. Kevin McGinn has

Quarles & Brady LLP, Milwaukee has named

Ellingboe

Ascedia, Milwaukee, has added Chris Remington to its business development team as director of client strategy. Remington consults with clients on business transformation through digital media solutions, leads business development in the higher education vertical, and manages client and partner relationships.

■ Health Care joined the practice of Elmbrook Family Dental S.C., Brookfield.

Sheahan

assets for client needs. Gunkel will be responsible for developing and maintaining the visual look for all agency client projects.

Gunkel

Becker

West Bend-based EPIC Creative has hired Kelsey Becker as a designer and Emily Gunkel as an art director. Becker will work to help develop and execute print and digital

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named operations director of Girls on the Run of Greater Milwaukee, which encourages lifelong learning and health and fitness among girls.

■ Professional Services Nathan LaFleur has been hired as a de-


biz connections INNOVATIONS................................ from page 10 sign engineer at W.M. Sprinkman Corp., Waukesha, a third-generation family business providing sanitary, stainless steel processing solutions for the dairy, food, craft brewing and personal care industries.

LaFrombois

Grahn

Brookfield-based Lemberg has hired Hannah LaFrombois as service coordinator for its service division and Adam Grahn as an assistant project manager in its construction division. LaFrombois has more than 10 years of customer care experience.

■ Technology Enterforce Inc., has promoted Tim Griffin to vice president of client services and Peggy Neiman to senior director of HR Analytics.

“The mission for Sugr, to me, is to redefine marketing,” Flores said. “Advertising is a necessity for businesses to survive. They depend on that. But the focus should be more on engagement than coercion. You don’t have to bother people. Why not just put (your information) in front of the user, find out what they want, and center it around a lifestyle or topic or channel? That will make the user feel like they have a say in the community.” The app’s initial $130,000 investment came from Eric Falkeis, chief operating officer of Direxion Investments, an investment management company based in New York City with a Milwaukee office. In simple terms, Falkeis, a Marquette University graduate, described the app as a “marketing platform for small businesses with a user interface.” “But there’s multiple phases to this,” Falkeis said. “What I liked about it was I really thought it could be a marketing platform for small businesses. It’s a way for small businesses to use marketing in an

2016 E D I T I O N

app to compete with larger companies that have the technology and infrastructure to do that. And it empowers users.” Falkeis and Flores met after a mutual friend of theirs, who works at Carson’s, connected them. The pair broke down how the team will generate revenue through the app. First, they’ll bring Milwaukee hospitality and entertainment venues on board at no cost upfront. Second, they’ll build marketing schemes around them – help them set up deals, promotions, events and rewards programs. Third, they’ll charge consumers a processing fee on tickets or coupons purchased through the app. They’ll only make money if the app generates sales, Ruben said, and they plan to undercut the processing fees of companies like Groupon and Ticketmaster, which he feels are far too high and ripe for disruption. They also plan to use data on how users are interacting with local businesses to inform owners what their most loyal customers are looking for and how to improve or better tailor their offerings to

those customers’ needs. “I’m excited,” Falkeis said. “The first milestone was to get the app out without going to outside investors. We did that. The team worked really hard at doing that. And now we’re entering the second phase.” The second phase involves signing businesses up and cutting deals to start driving revenue. By Oct. 17, Flores was in discussions with Swarmm, a Milwaukee events company that organizes things like the popular city-wide “Shamrock Shuffle” bar crawl. “We’re going to do a partnership with them where we’re going to start selling tickets with them through Sugr and giving them good analytics,” Flores said. Sugr is attempting to raise $500,000 by the end of 2016 to help it expand throughout Milwaukee in 2017, Falkeis said. The app makers hope to eventually introduce Sugr to other cities around the country. “As someone that travels for business, for me as I go to a city where I don’t really know much about it, it would be nice to have an app like this,” Falkeis said. n

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biz connections

TEMPO Milwaukee's 11th Annual Leadership Event TEMPO Milwaukee hosted its 11th Annual Leadership Event on Thursday, Oct. 13 at The Pfister Hotel in Milwaukee. Tommy Spaulding, president of the Spaulding Companies Corp. and bestselling author, gave a keynote address on authentic leadership.

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Beth Schumacher of Wangard and Paula Pergl of LauberCFOs.

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Jill Nieskes of Wisconsin 4-H Foundation, Mary Geiser of Northwestern Mutual Life Insurance Co. and Mandee Pope of Fidelity Investments.

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Jennifer Mattes of Johnson Controls and Shelly Zinda of BDO.

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Jessica Vander Zanden, Josh Weisbrod and Penny Ransom, all of Network Health.

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Michele Matthai of Rockwell Automation Inc. and Shanta Owens of Johnson Controls Inc.

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Rachel Kirkman, Kimberly Rindo and Jeanne Yaunke, all of Caterpillar.

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Hina Rathore of Johnson Controls with Amy Acherman and Kara Eulgen, both of CPI.

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Amy Zellmer and Katie Rudelich, both of GMR Marketing.

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Jayne Hladio, chair of the TEMPO Milwaukee board and metropolitan private client executive at U.S. Bank, discussed authentic leadership with Spaulding, who encouraged leaders to reveal their true selves and demonstrate love to their employees. Photos by Molly Dill

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biz connections

n GLANCE AT YESTERYEAR VOLUME 22, NUMBER 16 OCTOBER 31 - NOVEMBER 13, 2016 126 N. Jefferson St., Suite 403, Milwaukee, WI 53202-6120 PHONE: 414-277-8181 FAX: 414-277-8191 WEBSITE: www.biztimes.com CIRCULATION E-MAIL: circulation@biztimes.com ADVERTISING E-MAIL: ads@biztimes.com EDITORIAL E-MAIL: andrew.weiland@biztimes.com REPRINTS: reprints@biztimes.com PUBLISHER / OWNER

Dan Meyer dan.meyer@biztimes.com DIRECTOR OF OPERATIONS

Mary Ernst mary.ernst@biztimes.com DIRECTOR OF STRATEGIC INITIATIVES

Jon Anne Willow jonanne.willow@biztimes.com ADMINISTRATIVE ASSISTANT

Sarah Sinsky sarah.sinsky@biztimes.com

EDITORIAL EDITOR

Andrew Weiland andrew.weiland@biztimes.com MANAGING EDITOR

Molly Dill molly.dill@biztimes.com REPORTER

Corrinne Hess corri.hess@biztimes.com REPORTER

Arthur Thomas arthur.thomas@biztimes.com REPORTER

Ben Stanley ben.stanley@biztimes.com

SALES & MARKETING DIRECTOR OF SALES

Linda Crawford linda.crawford@biztimes.com BUSINESS DEVELOPMENT EXECUTIVE

Maribeth Lynch mb.lynch@biztimes.com ACCOUNT EXECUTIVE

Kevin Gaschk kevin.gaschk@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

PRODUCTION & DESIGN GRAPHIC DESIGNER

Alex Schneider alex.schneider@biztimes.com ART DIRECTOR

Shelly Tabor shelly.tabor@biztimes.com

Layton Art Gallery This photo, estimated to have been taken circa 1940, shows the Layton Art Gallery at Mason and Jefferson streets in downtown Milwaukee. Frederick Layton, a meat packer, built the gallery in 1888, hung his own 38 paintings inside and established a $100,000 endowment. In 1957, the Layton Art Gallery was combined with the Milwaukee Art Institute and installed in the War Memorial Center. This Layton Art Gallery building was torn down in 1958. Many of Layton’s works remain in the Milwaukee Art Museum collection today. —This photo is from the Milwaukee Public Museum’s Photo Archives collection. Additional images can be viewed online at www.mpm.edu.

Independent & Locally Owned —  Founded 1995 —

COMME NTA R Y

Glimmers of hope in Century City

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very time I drive down Capitol Drive in Milwaukee between North 31st and 35th streets, I think of my grandfather. Why? Because that’s where A.O. Smith once had a huge manufacturing complex, with thousands of employees, that produced millions of automobile frames. One of those employees was

my grandfather, who worked there for much of his life. Long after my grandfather retired, A.O. Smith sold its automotive products business to Tower International in 1997. Tower shut down the Capitol Drive complex in 2006.

The closure of the former A.O. Smith/ Tower Automotive manufacturing complex left a huge void in Milwaukee’s central city, and was one of the most prominent of numerous employers that left during the area’s decline. Today, Milwaukee faces a daunting challenge: how to bring much-needed jobs back to create opportunities for an impoverished central city population that desperately needs them. The high crime rate and other social problems in the central city make that extremely difficult. Economic opportunities could help reduce crime and would improve the neighborhoods, but few businesses want to operate in a highcrime, impoverished area. The cover story of this edition of BizTimes Milwaukee goes into great detail about the massive challenge of attracting jobs to the central city. If you haven’t already, give it a read. At the heart of their efforts to attract

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ANDREW WEILAND Editor BizTimes Milwaukee

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jobs, city officials are working to transform much of the former A.O. Smith site into Century City Business Park. In April, the first new building in the business park was completed by Fox Point-based General Capital Group. But it remains empty. The good news is there have been some glimmers of hope recently for Century City. Spanish train company Talgo has decided to return to Milwaukee to overhaul rail vehicles for Los Angeles. The company left Milwaukee after Gov. Scott Walker canceled the high-speed rail project from Milwaukee to Madison and the state refused to pay for trains it had ordered when Jim Doyle was governor. Talgo sued the state, which had to pay the company about $10 million to end the dispute. Despite the bad experience the company had with the state, city officials deserve credit for maintaining a relationship with Talgo

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and urging the company to return. Now it is, and city officials expect 25 to 30 people will work there. Also, a Turkish firm partnering with Milwaukee-based Rev Group Inc. was recently named a finalist for a contract to build 180,000 vehicles for the U.S. Postal Service. Prototypes of the vehicles will be built at Century City by Rev Group. If the firm and its partner, Karsan, win the contract, they could create up to 2,500 jobs to build the vehicles at Century City. Hopefully, this is the start of something big for these companies at Century City. The Postal Service contract would be huge, even if Rev Group just gets a portion of it, which is a possibility. Talgo’s return is great, and hopefully the company gets more contracts, creates more jobs and is here for the long haul. For Milwaukee’s sake, let’s hope for the best. n


ERICH SCHROEDER PHOTOGRAPHY

the last word

Collaboration makes all of us better “In a world where everyone is pushing to get ahead, the idea of collaboration may seem outmoded. But it’s more important now than ever. Simply put, the best get better by learning from each other. “Partnership long has been the cornerstone of the Froedtert & Medical College of Wisconsin philosophy. Together, Froedtert & MCW form the region’s only academic medical center. The very essence of an academic medical center is a partnership between a medical school and a teaching hospital, where the ability of each to carry out its multiple missions depends upon collaboration. “As a leader in a collaborative organization, I must understand the big picture in terms of what we do well, where we need to improve and how to close that gap. It’s

my responsibility to guide an aligned vision of where the organization is headed, to bridge external and internal environments, and to connect the dots for our leaders and staff. This is crucial in an era where collaboration and competition both matter. “In evaluating partners that can help us achieve our strategic vision, we’ve learned to look for shared values, complementary capabilities and willingness to learn from each other. In establishing partnerships, commitment, clear purpose and expectations, and constant communication are essential, as is putting it in writing. “Partnerships can generate benefits that extend beyond a single organization, building ties that strengthen the communities we serve. Collaboration leverages

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Cathy Jacobson President and CEO Froedtert Health 9200 W. Wisconsin Ave., Wauwatosa, Staff: 10,913 (active staff, not FTE’s) Industry: Nonprofit regional health care network www.froedtert.com

knowledge, scale, skills and resources that may be inaccessible alone. When it all works, the return on investment can be tremendous.” n

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Presents:

Thursday, November 17, 2016 || 7:30 - 9:30 AM || Potawatomi Hotel & Casino Commercial Real Estate Myths

BUSTED Commercial real estate myths abound in the M7 region, but what’s the bottom line? Join BizTimes Milwaukee, Marquette University’s Bell Real Estate Program and the Commercial Association of Realtors Wisconsin (CARW) for the 2016 Commercial Real Estate Development Conference.

Panelists so far include:

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Doug Nysse (1) Principal, Arrival Partners

James T Barry III (3) President, The Barry Company

Bill Bonifas (2) Executive vice president, CBRE

Robert Monnat (4) Partner, Mandel Group Inc.

Emcee and moderator: Dr. Mark Eppli (5) Marquette University, Robert B. Bell, Sr., chair in real estate; professor of finance

Our expert panel will debunk some of the most common myths about local commercial development – and take your questions about office, retail, industrial, hospitality and multi-family real estate. What you learn may surprise you! (1)

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