Business Black Box
Quarter 3 • 2014
www.InsideBlackBox.com
WE’VE EXPANDED OUR COMMERCIAL BANKING TEAM TO HELP YOU BETTER EXPAND YOUR BUSINESS.
The Palmetto Bank Commercial team continues to grow, offering your business more robust cash management services than ever before. Take advantage of our best-in-class treasury management solutions and trusted financial expertise so you can improve your operational efficiencies and build your business.
Equipment Financing • Treasury Services Asset-based Lines of Credit • Remote Deposit palmettobank.com
12PAL5967
1.800.PAL.BANK
Member FDIC
Insurance Applications Group, Inc.
A recently released report from S&P Capital IQ Global Markets Intelligence indicates U.S. businesses will realize these cost savings as a result of “profound, and possibly unintended consequences� of the Affordable Care Act (ACA). The report estimates an ACA-facilitated shift in insurance responsibility from employers to employees could save the S&P 500 alone almost $700 billion through 2025.
Insurance Applications Group, Inc. is an industry-leading, award winning employee benefits firm headquarted in the Upstate. With over 1,000 corporate clients, IAG processed 1.5 million enrollment forms, and enrolled over 600,000 employees in IAG health insurance benefits plans in 2013.
Insurance Applications Group, Inc. (IAG) recently announced an exciting new benefit product, called HealthWrap, designed to protect the employer-employee bond through this transition.
For a copy of the report visit: iagbenefits.com/blackboxhealthwrap
I N
T H I S
I S S U E . . .
30
Face to Face with Vincent Sheheen
Ink, Inc.
BUSINESS
BLACK
BOX For more from Business Black Box visit insideblackbox.com
FEATURES
62
4
Q3 2014 // Business Black Box
Small Town, S.C.: Travelers Rest
48
B BU U SS II N NE E SS SS
B B LL A AC CK K
B BO OX X
Dear Tech Colleges Realtors Banks Law Offices Accounting Firms Financial Services Providers Insurance/Benefits Providers Art Galleries Hotels Software Solutions Providers Event Spaces IT Companies HR Service Proviers Caterers
Thank you, but the position has been filled. In 2012, Business Black Box made the decision to offer category exclusivity to our advertising partners. Our readers don’t want our pages filled with 60 percent advertising like those other publications. After all, isn’t separating yourself from your competitors why you advertise in the first place?
So, we commit to you that: BUSINESS BLACK BOX WILL NEVER BE MORE THAN 30% ADS. EVER. YOU CAN LOCK OUT YOUR COMPETITORS FOR AS LONG AS YOU HOLD THE PARTNERSHIP. WE’LL TAKE YOUR AD OUTSIDE OF JUST PRINT INTO DIGITAL, WEB, SOCIAL MEDIA AND EVENT MARKETING— ALL IN ONE CONTRACT
Don’t let your competitors lock you out. Give us a call today.
(864) 281-1323 X. 1010 | INFO@INSIDEBLACKBOX.COM
Q3/2014 E V E R Y
I S S U E . . .
44
70
23 Launch: VisitGreenvilleSC
11 Questions: Sean McEnroe
74
GUT CHECK LAYERS OF THOUGHT RANDOM & RELEVANT STATUS CHECK NEXT GEN
6
Q3 2014 // Business Black Box
T A N K
12 15 16 26 58
11 Questions: Lisa Jones
T H I N K
What Matters: Melissa Eubanks
T H E
For more from Business Black Box visit insideblackbox.com
80
20 24 42 46 60 72 76 78
LAW HR ENTREPRENEUR SALES POLITICS TECH GLOBAL EN ESPAﾃ前L
Speed Pitch: Paisley Paw
A B O U T
B B B
B B B
L E A D E R S H I P
CEO
Geoff Wasserman
OUR STORY... Whether planes crash or crews overcome obstacles to successfully complete flights, airlines go to the black box to discover secrets, answers, and missing information to explain what happened and learn for the future. That’s the mission of our magazine, our connect events, and our interactive platform. News of businesses succeeding, failing, merging, hiring, firing and more are reported everyday, all over the Upstate. But in business, the real power is not just hearing the news, but about going behind the scenes, discovering, connecting, and learning from those that made it happen. At the heart of every event, every blog, every magazine issue, and every documentary Business Black Box produces, you’ll find a relentless passion for connecting, advising and growing Upstate business.
PUBLISHER
CREATIVE DIRECTOR
Jordana Megonigal
EDI TORIAL
BBB
CONTRIBUTING WRITERS
SUBSC RIPTIONS / GIVE A GIFT
Delisa Barkley Marc Bolick Andy Coburn Noelle Coyle Eric Dodds Erin Emory
RE ADER
Chris Heuvel
SERVIC ES
Annual Subscriptions are $20 and include four issues of Business Black Box, as well as one year of full access to our website, Insideblackbox.com. Think someone you know would like to receive Business Black Box? A complimentary gift card will be sent with each order indicating who the gift is from and when the recipient will receive their first issue. If you have a question about your subscription, call us at (864) 281-1323, ext. 1010, or reach us via email at info@ insideblackbox.com.
Chip Felkel Steven Hahn Leslie Hayes Evelyn Lugo Walker McKay Josh Overstreet E Richard Walton
C HANGE OF ADDRESS
When contacting us about changing your address, please provide us with both the old and the new addresses, as well as any other informational changes. The post office will only forward Business Black Box for 60 days, so make sure you let us know as soon as you have your information ready.
BAC K ISSUES DE SIGN ART DIRECTOR Catherine Roberts PHOTOGRAPHY Wayne Culpepper, Fisheye Studios Carter Tippins, Fisheye Studios
When available, back issues of Business Black Box are available for $9 by mail or for $7 for pick-up through our office.
FREELANC E OPPORTUNITIES
Local talent is what keeps us moving. If you’d like to write or photograph for Business Black Box, please contact the editor at editor@insideblackbox.com or by mail to Business Black Box, c/o Freelance Opportunities, 1200 Woodruff Rd., Suite A8, Greenville, SC 29607. REPRINT / PHOTO / VIDEO REQUESTS
INTERACTIVE DIRECTOR Johnathan Burgess
If you’d like to request a copy or a reprint of a photo or an article you’ve seen in Business Black Box, or of a video we’ve done for your event, please contact us for info and pricing at info@insideblackbox. com or by mail to 1200 Woodruff Rd., Suite A8, Greenville, SC 29607.
IT ADMINISTRATION Liz Page EVENT MANAGEMENT / SPONSORSHIP BUSINE SS
Business Black Box (Vol.6, Issue 3) is published four times per year by ShowCase Publishing, 1200 Woodruff Rd. Suite A8, Greenville, SC 29607; phone (864) 281-1323; fax (864) 281-1310. Business Black Box is a registered trademark of ShowCase Publishing 2014. Content may not be reproduced without written permission of Business Black Box. Excerpts may be reprinted, provided that credit is given to the author and to Business Black Box magazine.
ACCOUNTING Jon Cover
Business Black Box hosts events monthly from Business Connect networking held at local businesses to sponsoring events for other local organizations. If you’d like to find out more about hosting an event with Business Black Box, or about working with us to sponsor your event, please call our sales team at (864) 281-1323, ext. 1018, or email sales@insideblackbox.com.
WEBSITE
FAC EBOOK
2014
2014
T en CounT i es, o n e FuTur e Engage and collaborate with key community and business leaders, elected government officials, and colleagues during the 2014 Upstate Regional Summit. Help ensure the Upstate is universally recognized as a leading place to live, learn, do business and raise a family.
T u e s d ay, s e p T e m b e r 1 6 8:30 am – 1:30 pm Td ConvenTion CenTer To purchase tickets, visit www.tenatthetop.org or for general information and table purchases, call (864) 546-4782.
Join the conversation: #TaTTsummit
Premier Sponsors
Keynote Sponsor
Luncheon Sponsor The Daniel-Mickel
FounDaTion
Vision Driver Sponsors
.
Technology Sponsor
.
.
.
.
.
.
.
.
. .
. .
. . . . .
.
.
.
. .
. .
.
. .
.
.
.
. .
.
. .
. . . .
. .
.
.
. .
.
Event Partners
. . . .
.
ficials on life- p 85 werer thoroughfares reported. mostly clear, such as secondaryIn-
house aid. Fire y more aid. “There’s “They Chief Goucher-White there didDepartment Jimmy were no telling assisted PlainsLamb oflike that.” the hicles with said his Volunteer Even that 20 minordepartment Fire had ing as of become collisions likely slick Thursday tograph spots or ve- Ford afternoon, is on the lieved Road the resultsome Page in which of shaded some to have 5A immediately a roads local taken been a JeepWednesday emergency in Cherokee available. to Novant a factor, Wrangler PAGE afternoon 4A officials Health The although overturned. County. driver, accident OBITUARIES were Gaffney who a full Weather on Pictured still Medical was report reporta shaded from immobilized conditions in this Center FERNANDERS, the portionphoHighway for were PAGE on treatment. SMITH, a spine Patrol be- of 8A Tessie, Susie, 81, (Ledger board, wasn’t WALL, Flint, 98, was photo Gaffney Mich. Carolyn,
stuck PERSPECTIVESee WRECKS, on My universal complaint
THE C
M
Y
GAFFNEY B
THE
ter is with and the short wintweenlong nights days March. now and beI guess trick winterto surviving the weather
is managing LEDGER— See SCOTT POWELL’S it in stages. PUBLICAT Column LEDGER — SERVINGIONS ARE
GAFFNEY
CHEROKEE
WILLIAMSON,
79,
Flora,
SINCE
/ TIM GULLA)
Gaffney 82,
DISTRIBUT
COUNTY
San
Diego
ED TO
1894
1.) I KNOW for economic that I 2.) I KNOW successmust be achievable highly and unity. that educated by me, being high quality highly my of family educated life. and my is comm-
23,838
/ VOLUME
120
120 YEARS 2014
864.489.1131 1894
. .
.
.
g appreciation, we are offering a super deal on subscriptions during the month of February. Thank you!
HOUSEHO
NO.
149
C
LDS M
Y
B
B B B
A D V I S O R Y
C O U N C I L
3
1 2 4
7 5 9
6
11
10 8 12
16
14
13
15
18
19
17
20
1.
11.
tony snipes, business coach & entrepreneur
chip felkel, ceo, the felkel group 2.
12.
coleman kirven, commercial banking executive, the palmetto bank
amy wood, anchor, wspa
julie godshall-brown, president, godshall staffing 3.
13. todd korahais, operating partner, keller williams realty
andy coburn, attorney, wyche law firm 4.
14. terry weaver, ceo, chief executive boards international
maxim williams, leadership develoment, apple 5.
15. sam patrick, ceo, patrick marketing & communications
tiffany hughes, director of marketing, meyco products 6.
16. matt dunbar, managing director, upstate carolina angel network
michael bolick, president, selah genomics 7.
17.
john deworken, partner, sunnie & deworken
greg hillman, upstate director, scra/sclaunch 8.
18.
nigel robertson, anchor, wyff
ravi sastry, vp of sales & marketing, immedion 9. jil littlejohn, president, urban league of the upstate 10.
For more from Business Black Box visit insideblackbox.com
For complete bios on our advisory council visit www.insideblackbox.com/advisors
A TEAM OF EXPERIENCED, CONNECTED BUSINESS LEADERS FROM DIFFERENT REGIONS OF THE UPSTATE, WHO ADVISE US REGULARLY ON TRENDS, CHANGES, GROWTH, AND PROGRESS IN UPSTATE BUSINESS.
19. steven hahn, director of entrepreneurial systems, spartanburg chamber of commerce 20. dean hybl, executive director, ten at the top
Q3 2014 // Business Black Box
11
G U T
C H E C K
Thank You
For more from Business Black Box visit insideblackbox.com
S
ometimes, you take a big risk, and you have no idea how it will all work out. Sometimes, you fall flat on your face and have to scramble to get up. Sometimes, though, it works out better than you could have ever imagined. Two years back, we at Business Black Box made one of those risks. We went “off the grid,” bucking industry trends that had been around for decades. We decided we didn’t want to “get by”, as many publishing companies do. We wanted to thrive. We craved relationships. And we wanted to make a difference. So, we created a platform for advertising that did all those things. We decided that we didn’t want pages after pages of ads in the magazine, and we didn’t want 70 or 100 advertisers. We became nationally known for the model, as we ended up with only about 20 or so advertisers that we could partner with, and truly help make a difference in their businesses. “Advertising, make a difference?” you ask. Yes, we believed it could, even though I myself had seen companies take out ads in other local pubs and treat them as donations, never truly expecting anything to come out of them. (Literally heard someone last week talking about advertising say “Glad I could help them (another magazine) out.” I was floored. Help them out? Shouldn’t you be getting a return, too? And if not, how is that a good idea?) But I’m not really here to talk about us—even though I’m supremely proud of what we’ve been able to accomplish in the Upstate and in the magazine industry in the past two years. What I want to do with this note is bring some attention to our partners, instead. Not because they paid us to—they didn’t—but because they are what makes our world go round. See, we found those people who saw where we were coming from and wanted part of it. We found like minds who cared deeply about their businesses and about the Upstate, and we’ve been fortunate to get to know each one on a deeper level over the past two years. And there must be something to it that works for them, too. As I write this, we are looking at a 100 percent renewal rate for our 2014-15 partners. And I couldn’t be happier than to be able to grow those relationships even deeper over the next year and beyond. To our readers: take a look at the ads throughout the book. Take note of these partners, because I can tell you personally—each and every one of them “gets it” and is passionate about the Upstate business community, just like you. If I can help facilitate an introduction, please don’t hesitate to let me know. But whatever you do, understand that they are the ones helping us provide Business Black Box to you...every issue, every e-blast, every event. We couldn’t do it without them, so if you like what you see, keep in mind that they are helping put it on your desk. And to our partners: thank you. We are honored to get to partner and create things alongside you. You make our work even more fun than it was before, and that’s saying a whole lot.
Publisher, Business Black Box
jordana@insideblackbox.com | 864/281-1323 x.1010 twitter.com/jmegonigal | linkedin.com/in/jordanam facebook.com/jordana megonigal Photo by Wayne Culpepper/FishEye Studios
12
Q3 2014 // Business Black Box
L AY E R S
O F
T H O U G H T
6
Individual Photographs Used
535 Photoshop Layers
retouched photo
typography added
added color & background to type
background elements added
DE SIGN
PHOTO GRAPHY
MODEL
Chris Heuvel
Wayne Culpepper, FishEye Studios
Vincent Sheheen Q3 2014 // Business Black Box
For more from Business Black Box visit insideblackbox.com
For more Layers of Thought visit www.insideblackbox.com/layers
8
Production Hours
15
R A N D O M
&
R E L E VA N T
Between the Lines
DIREC TORY
Travelers Rest Farmers Market
What we read:
The ONE Thing: The Surprisingly Simple Truth Behind Extraordinary Results, by Gary Keller
The Gist: You know all those business practices
For more from Business Black Box visit insideblackbox.com
that you know but haven’t been able to put to work? And there are so many of them that you’re not quite sure how they all work together, anyway? This book takes all the things you think you know— along with a lot of things that you don’t—and then smashes them together, all with the sole purpose of helping you work more effectively with less “to dos” on the list.
The Traveler’s Rest Farmer’s Market opened for business at it’s new location on Wilhelm Winter Street on May 10 and will be open from 9 a.m. to noon every Saturday until September 27. The market’s site includes events such as musical performances and informative talks as well as their very own t-shirt designs.
www.TravelersRestFarmersMarket.com
How it’s Written: Very easy to read, with short
chapters that you can fit in between meetings. Super crunched for time? Check out the recap at the end of each chapter.
Great if: You’re overwhelmed, feel like you have too much going on, or are just generally a non-stop multitasker. Don’t Miss: The illustrations, charts and graphs sprinkled throughout the book. Because who doesn’t love charts and graphs? And also because sometimes seeing a principle makes everything a little clearer… Our Read: A huge help to us personally—and to anyone who wants to be better at doing less, without missing out on something important! We consider it a “must read.” * Editor’s Note: Thanks to J. Michael Manley with Keller Williams for the recommendation and the copy!
16
Q3 2014 // Business Black Box
“You may encounter many defeats, but you must not be defeated. In fact, it may be necessary to encounter the defeats, so you can know who you are, what you can rise from, how you can still come out of it.” MAYA ANGELOU
R A N D O M
&
R E L E VA N T
Charts & Tables:
People who Nap More, Make More (In Some Cases)
Congrats, AAF!
Did You Know?
A hearty congratulations are due to the American Advertising Federation of Greenville, after they won some big awards this year at the National AAF Conference—including the 2014 National Club of the Year for Division IV. Meanwhile, President Whitney Hanna (a Greenville local) won 2014 President of the Year for Division IV, and five other national awards came home to Greenville to stay. That’s a big feat— keeping the Upstate of South Carolina in a national spotlight once again.
If you are thinking of learning a new language, keep in mind how long it will take you to become proficient. Rosetta Stone aside, the Foreign Service Institute of the U.S. Department of State estimates that it takes the average person about 24 weeks (or 600 hours) to become proficient in “easy” languages—that includes Spanish, Italian, French or Dutch. For “hard” languages—Japanese, Arabic, Chinese or Korean—plan on keeping at it for almost two years (88 weeks), or 2,200 hours. Q3 2014 // Business Black Box
17
For more from Business Black Box visit insideblackbox.com
According to a study by Pew Research, 34 percent of people said they had taken a nap in the past 24 hours. Interestingly enough, 21 percent of people who earn between $75,000 and $90,000 a year claimed to nap whereas 33 percent of adults with yearly salaries of $100,000 or more gave the same response. Lower income adults were reported as having a greater tendency to take naps (42 percent reported taking one within 24 hours of taking the survey). Out of this same demographic, 32 percent had trouble sleeping the night before as opposed to the 22 percent of affirmative responding $100K earners. The elderly recalled napping the most out of any demographic tested (52 percent admitted to napping).
R A N D O M
&
R E L E VA N T
Calendar
16
SEPTEMBER
For more from Business Black Box visit insideblackbox.com
FOR MORE INFO OR TO REGISTER: TenAtTheTop.org
2
TUESDAY
WHAT: Business Black Box’s LEADER Series WHERE: McNair Law Firm Greenville, South Carolina WHEN: 2nd Tuesday of every month The Leader Series, monthly business series presented by Business Black Box and sponsored by McNair Law Firm and Sandlapper Securities, focuses on topics of interest for businesses in the emerging middle market space. Topics vary, but the interactive panels bring expertise designed to help you grow your business. Events are free; space is limited. FOR MORE INFO: www.Facebook.com/BusinessBlackBox Follow Business Black Box on Facebook to get information on events, or look for our events on Eventbrite.
18
SE ARC H
WHAT: Ten at the Top 2014 Regional Summit WHERE: TD Convention Center, Greenville, S.C. WHEN: September 16 In 2009, more than 400 community, business and elected leaders from across the Upstate joined together for the Upstate Reality Check, a regional summit that looked at the projected growth for the Upstate, and how the ten counties could cohesively address key community issues. This event was the catalyst for the incorporation of the group now known as Ten at the Top.The 2014 Upstate Regional Summit will review what accomplishments have been made in the region over the past five years, as well as look to future opportunities that will improve economic strength and quality of life in the Upstate as well as provide a forum through which the spirit of collaboration and partnerships among leaders and influencers may be strengthened through the lens of common visions, opportunities and challenges.
ND
C EO
Q3 2014 // Business Black Box
The NEXT High School, a project-based learning public school, is on the hunt for a CEO to lead the program as it prepares to open for first session in Fall 2015. If you feel like you know someone that fits the parameters below, contact the SmartWork Network immediately. 1. Provide Vision/Leadership & Administration of all NEXT High School Educational practices 2. Provide management oversight for the Curriculum Director, but empower him/her to deliver on the day-to-day leadership of NEXT curriculum and faculty 3. Provide partnerships and alliances with the Greenville Educational Community as well as other communities within the state and surrounding area, including the S.C. Charter Public School Board of Education 4. Provide partnerships and alliances to Business and Government communities within the state to nurture future career opportunities for NEXT H.S. Students and to support fund development for the long-term vision for the school 5. Provide public relations and awareness of the successes of NEXT High School to the local and global communities. Be indirectly responsible for long-term fund development efforts based on the anecdotal success and leadership of the School 6. Provide leadership, management and mentoring to all NEXT High School Administrators and Faculty 7. Provide leadership and practical direction for the innovative programs to have a positive impact on the students of NEXT HS and their parents 8. Report to and provide on-going partnership with the NEXT High School Board of Directors
ANDY COBURN ATTORNEY WYCHE LAW FIRM
T L AW
here are a multitude of things that can kill the sale of a company, but there are a few serial killers that can obstruct the sale of even a “good” business. The typical scenario is an established, profitable business that has done well for years and is expected to continue to do well for the foreseeable future. It is a “good” business, so the owner expects that it will be easy to sell for what the owner considers to be a fair price. When the proposed sale does not work out as the owner planned, the following culprits are often to blame. No significant growth potential. Even if your business if profitable, most buyers won’t be interested if they can’t grow its value beyond what they paid for it. A $500 million company or private equity fund will not get much benefit from buying a $2 million business with no growth potential, unless the business has some unique attraction such as a valuable patent. A $80 million company still may not be that attractive to buyers if the total market for its products and services is only $100 million. Skeletons, real and imagined. Skeletons such as significant litigation obviously can scare off buyers, but there are weaknesses that can kill a deal even if they have not yet resulted in actual problems. Classic examples include weak financial reporting and lack of audited financials (which make the buyer unwilling to rely on seller’s information regarding the company’s performance); failure
SELLING YOUR COMPANY— POTENTIAL DEAL KILLERS About the author...
As an attorney with Wyche, Andy regularly represents clients in mergers and acquisitions, reorganizations, structuring of joint ventures, securities offerings and other financing transactions. He has extensive experience with growing companies and private placements of securities. Andy also advises and assists public and private company clients in the design and implementation of executive compensation arrangements, equity compensation plans and broad-based employee benefits. Outside of his legal profession, Andy is on the board of the Greenville Little Theatre, a project leader for Habitat for Humanity, and serves as a Business Black Box advisor in law.
20
to ensure that company intellectual property is properly protected; and failure to ensure proper, and properly documented, compliance with environmental, import-export or other legal requirements. “It’s all about me.” Buyers are always concerned if a potential target is heavily dependent on one or two individuals. If the individuals are critical merely for general management skills, a buyer may be comfortable that they can be replaced. If the individuals are critical for other reasons such as technical know-how or key customer relationships, that will be a bigger issue for buyers. In many cases this issue can be addressed (by a combination of employment agreements with non-compete restrictions and earn-out provisions making a portion of the purchase price contingent on future performance of the company), but it will still be a significant deal issue. Not a game for amateurs. It is surprising the number of deals that fall through because a potential seller fails to use professional advisers (such as lawyers and valuation experts) experienced in mergers and acquisitions or fails to engage them early enough in the process. The sale of your company is not likely to succeed if you hire an inexperienced lawyer who advises you not to agree to provide any representations or warranties regarding the business. (Yes, this situation actually occurs.) You are also likely to have problems if you don’t engage your lawyer until two weeks before closing. If the lawyer discovers key issues that need to be addressed, your buyer is likely to be extremely upset when you then try to renegotiate the deal terms just before closing. Possibly the biggest deal killer in this category is unrealistic expectations regarding purchase price. If the market won’t pay what you expect for your company, don’t bother to start the sales process or adjust your expectations before you do.
For more on this topic visit InsideBlackBox.com/law
22
Q3 2014 // Business Black Box
For more from Business Black Box visit insideblackbox.com
L A U N C H
CITY WEAR
YEAH, THAT GREENVILLE CLOTHING LINE made by local manufacturers in collaboration with VisitGreenvilleSC greenville, sc
for more info, visit www.visitgreenvillesc.com/ Photo by Carter Tippins/FishEye Studios
From S.C. to the World
LESLIE HAYES PRESIDENT & ORGANIZATIONAL COACH THE HAYES APPROACH
W
ondering what The Question is? How about: How many parodies are there of the songs in the movie Frozen? Some of these parodies are truly funny, some are cheesy and some are plainly disturbing, but the fact remains that our HR practices can benefit from the advice in one of the movies popular songs, Let it Go. These are great words to cap the trilogy (alongside “Hang Ten” and “Keep the Plates Spinning”) that we started in January. In Q1 this year, we discussed picking a focus for your HR initiatives—clarifying what you want to accomplish within your employee population this year. In Q2, we explored finding a balance between keeping the company running and advancing those employee goals. Now, as the goals are being advanced, of what is it time to let go? For each of us the answer may be different, but here are my thoughts about the frontrunners in the HR arena: Let go of your own benefits administration. Benefits have always been complicated and the Affordable Care Act, while providing access to insurance for many, has substantially complicated the arena. Even if you have been enrolling people in benefits for many years, do not assume it is business as usual. Some small employers are considering dropping group cover-
HR
THE ANSWER: MORE THAN FORTY, AND STILL COUNTING About the author...
Professional Coach, Workplace Educator, HR Consultant and Author, Leslie Hayes has used her Psychology degree from Harvard University to spark a diverse career. Beginning as an abuse investigator and counselor, Leslie transitioned into Corporate HR, building HR teams from the ground up. The Hayes Approach, formed in 2007, provides a platform to assist clients large and small in all areas of workplace effectiveness and productivity.
24
age and sending people to the exchanges and, for some employers with very low paid employees, this option may make sense. However, for most people, group health care is still a much cheaper and more comprehensive option than the exchanges and those companies offering it will continue to have a competitive advantage in attracting talent. Let go of your outdated policy manuals. The employment law landscape around protected classes, concealed weapons, electronic communication, social media, telecommuting, benefits and a host of other issues continues to change rapidly. Without realizing it, you may have policies that are no longer useful and, perhaps, no longer legal. If your manual has not been updated in the last twelve months, it’s time to take a look at it again. Let go of your assumptions about the performance of your employees. Many of us trip over our beliefs about what our employees should, could or would do if we could only motivate them appropriately. What matters is what our employees are doing right now, what we need them to do next and how well we communicate that goal. Designing the perfect incentive plan, performance appraisal or leadership program is great—but the most critical driver of employee performance is crystal clear agreement about and visualization of the goal followed by regular progress checks. Do your employees really know what you are solving for in your business and what is in it for them to help you get there? When was the last time you talked about it with them? These are my top three things to let go of in the HR arena in Q3—what are yours?
For more on this topic visit InsideBlackBox.com/hr
S TA T U S
C H E C K
The Post-Recession Consumer
For more from Business Black Box visit insideblackbox.com
By most accounts, the Post-Recession consumer buys differently than the consumer pre-2008. We asked the experts featured in our LEADER Series to give us their insight on the the burning question when it comes to this topic: what is the most important thing that we should know about the post-recession consumer, and how do we go about addressing them?
26
Q3 2014 ////Business BusinessBlack BlackBox Box
S TAT U S
Imagine with me: You sit in your office chair one day— just like every other day. The chair has been strong and sturdy, but not something you give a lot of attention to on a daily basis. In fact, you’ve never had a reason to question its ability to hold you up, until one day, you sit down down to suddenly find yourself flat on your back counting the lights on your ceiling. Your trusty office saddle has failed you. Sure, you may have put on a few pounds and may have attributed to its downfall... but that’s not the point. This chair was supposed to be strong. Unbreakable. You’ve seen office chairs break in the past but this one was supposed to be different. The manufacturer supposedly learned from the mistakes of the chair makers that failed before it, right? Apparently not. How do you respond? It’s not that you’re never going to sit in an office chair again; you’re just not going to sit in the next chair with the same reckless abandon for a little while. There’s going to be hesitation. You’re going to put your hands on the armrests first to test the stability of this chair. Because, be honest, you don’t want to be “let down” again.
This is the story of the post recession consumer. (I won’t insult your intelligence by defining this metaphor.)
and Italy are still officially in recession. So, the effects of the recession and the actual recovery of the economy has surely had an effect on consumer behavior. That said, people have fundamentally the same needs and generally the same behaviors post-recession. The main changes in consumers are in the nuances of when people decide they need something, how they evaluate their purchases, and ultimately how much of their limited resources they decide to spend on items that are discretionary. These nuances are driving consumers to be more quality and value conscious. Buyers are less likely to spend frivolously on replacing items that have more useful life. When they do buy, they pay more attention to quality and added-value like warrantees, services and design. Perhaps one of the biggest changes is not so much related to the recession itself as to the evolution of those nascent technologies mentioned earlier. With constant in-your-pocket access to reviews, recommendations and price comparison, the shopping experience has transformed. Exactly how it has transformed really depends on what’s being purchased. The car purchase is changing in a different way from how food purchases are changing, for example. But, technology doesn’t always make things easier. More information in some cases increases the stress of making a decision.
“If there is one thing that businesses can do to better meet their customers’ needs, it is to better understand their customers...“
Daniel Lovelace
If there is one thing that businesses can do to better meet their customers’ needs, it is to better understand their customers. Sounds simple, but most businesses don’t invest enough time building empathy with their customers. Try to understand their overall experience with your products and services. Identify those points of particular anxiety and stress, and design ways to make their encounter with your brand more enjoyable.
2008 is a long time ago. The iPhone and Kindle were both only a year old, Facebook was hitting its first 100 million users, and Flip video cameras were hot (remember the Flip?). These nascent consumer technologies were plugging along until that dramatic day in September 2008 arrived and the prestigious Lehman Brothers bank failed. It seemed like the world was falling apart.
After all, it is humans who make decisions to buy, and we make our purchase decisions primarily based on emotion (pause to think about this and you’ll probably agree). Technology is a great thing, and there is no question that consumers have access to more sophisticated information that they can rally to their cause of spending money wisely. But, ultimately, commerce is a human endeavor and people want to feel good about parting with their hard earned money. Crack that nut, solve that problem, meet that need for your customers and you’re focusing on the right things to win over the post-recession consumer.
The post recession consumer is not never going to buy again. For the most part, they just aren’t going to buy the same way again. Most of our transactions will happen at “The Speed of Trust”, and your ability to build a quality sales pipeline will be a representation of how well you’ve been able to build that trust. Agency Director, Showcase Marketing
The impact of the Great Recession was felt far and wide, but the actual ‘recovery’ from recession has been agonizingly slow. In fact, economies like Greece
Marc Bolick
Managing Partner, DesignThinkers Group
Q3 2014 // Business Black Box
27
For more from Business Black Box visit insideblackbox.com
Obviously, every metaphor breaks down at some point, but stay with me.
C H E C K
30
Q3 2014 // Business Black Box
Q3 2014 // Business Black Box
31
32
Q3 2014 // Business Black Box
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
Q
JORDANA
Let’s start at the beginning. You have a long family history of politics in South Carolina, so what made you want to get into it? What made you decide to jump off that cliff? When I was growing up, I really was the person in the family that didn’t want anything to do with politics. So I did my own thing, and ended up going to Clemson so I could get away from Camden and everything that my family did. I got married to my college sweetheart, Amy, who I met at Clemson, and we had our twins, and I was working in Columbia. It seemed like the right time to go home and be closer to the family. When I got there I found that, when you’re in a small town, you have to step up to the plate and be involved in the community. And so all of a sudden I was on every board, helping to raise money for non-profits, and being in leadership roles. Of course, I was a prosecutor when I got there as well, and that really got me involved in public service. So it was really going back to the small community and stepping up to the plate like all of us have to. Then, the house seat came open that my uncle had occupied—I actually did not know that he was going to retire and we hadn’t talked about it—but I started thinking about it, and I said to myself, “I think I could do a good job. I think that I could contribute; I think I can make a difference for this community.” It was very much based on the community; coming from a small town where it didn’t matter if you were a Democrat or a Republican—you had to work together to solve problems.
VINCENT
SHEHEEN
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
So, did you identify as a Democrat then?
MEGONIGAL
A
very independent person, and in South Carolina, it’s easier to be independent and be a Democrat then it is to be a Republican. So it’s been a nice fit—I can do what I want. I don’t fit ideologically, necessarily, in either party, but this has allowed me the freedom to be who I am and really reflect those values from Camden—the values that say “you have to work together, regardless of whether you’re a Republican or a Democrat.” Also, I’m from a diverse community— it’s racially very diverse and economically it’s very diverse. And so those are values I bring to the state level as well, and it’s been fun. I think those have been assets for me.
You know, I really didn’t think too much about it. My uncle had been a Democrat, and so that’s really more or less why I ran as a Democrat for the House of Representatives. But when I got to Columbia, I quickly learned that I am a
Q
JORDANA MEGONIGAL
You mentioned that you don’t fit quite perfectly into either party…do you feel like you get flack from that? I mean, I’ve seen it myself, so how do you feel when that happens? You know, I do get flack, from both the left wing and the right wing, and I think that tells me in my mind that I’m doing the right thing. So I don’t let it bother me. When I meet with people and talk with people who are actually out in communities doing work, like I have been today up in Greenville, they generally don’t think that way, either. They think in what I call “pragmatic, problem-solving approaches.” And that’s very much who I am, and to me, that’s what state government should be about. State government should not be an ideological battleground; it should be a place where we say, “how do we pave our roads and fix our bridges; how do we offer early childhood education and decent teacher pay; how do we focus on small business and entrepreneurship and change the economy of South Carolina?” To me, those are very pragmatic, practical issues and problems that call for a solution that is not based in Washington ideology. Still, you have identified as a Democrat to this point, and South Carolina has been called the “reddest of the red states.” But at the same time, you lost by only a small margin last time. So looking forward to this race—this year—what do you think is happening nationally, culturally that may or may not give you an edge this time?
33
A
VINCENT
SHEHEEN
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
Well, I think that people are looking more to the future and less to the past, and I think that that plays toward the issues I’m talking about. This time around—it was a very close election in 2010; Haley got 51 percent—but this time, there’s a record, on both sides—on my side and on hers. People who wanted their highways and their roads fixed can now look and say,“Guess what, nothing has happened in the last four years.” People who wanted a commitment to public education can say, “The governor vetoed funding for public education; for teacher pay raises.” People who understand that we’ve seen declining incomes in South Carolina for the last three years, they get that we haven’t changed our economic development model over the last four years, much less 40 years, so there’s a good contrast between me and Governor Haley. So when you’re talking about only a couple of percentage points, that dynamic of wanting to see real change, real leadership and real accountability—which is very very important now in the state government—I think play extremely well with the public.
wealth from within. And truthfully, that is the only way that a state is economically successful. Under Haley, South Carolina has been 50th for Small Business Administration loans, and we’ve seen declining incomes in the state. How do you change that? Well, you have to do more than just show up to cut the ribbons, or get branch offices of corporations to come to South Carolina—you have to focus on South Carolina businesses and growing business from within.
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
And yet, Haley is perceived as being a very good governor in terms of job creation. What could you do better or differently were you elected governor? Job focus is part of what a governor does, but the other part of it is that they have to run a government. Relating to job creation, here’s what we’ve seen over the last four years: declining incomes for South Carolinians; a record number of people drop out of the workforce; and a push of the same old, 40-year-old economic development model. If we’re going to change South Carolina so that we actually create wealth, we’ve got to change that economic development approach and Haley certainly hasn’t done that. She’s great at showing up to cut the ribbons at plant announcements—and that is something that a governor should do, but a governor really should do a whole lot more. My focus is on entrepreneurship...on small business growth. I call it “Growing South Carolina from within.” Growing
Q
JORDANA MEGONIGAL
34
Q3 2014 // Business Black Box
To that point, last fall you went on a tour of small businesses around the state. What did you find out about while on that tour? What are small businesses telling you? Well, I learned several things, but three that I think are critically important. One is that businesses have a hard time finding a workforce to meet the needs of growing that business. So that’s why we put forth an education reform package and a higher education reform plan. Secondly, I heard that infrastructure is deplorable, and we have to improve roads, bridges, for business to grow within South Carolina. Thirdly—and I am a small businessman...I have a small real estate firm and also a small law firm where I represent people—the other thing I’ve heard, and that I know myself from my own business, is that we have a very unfair tax system in South Carolina— especially in commercial and small business property taxes—and the result has been a real damper on the economic growth of small business and entrepreneurship in this state.We have the highest industrial property taxes in the country, and we have some of the higher commercial property taxes in the whole country, because of policies that were supported by the governor and others in Columbia. I want to change that and have real reform that supports small business and economic activity in the state. But how do you that, when you have a culture that doesn’t necessarily have that as a value?
A
VINCENT
SHEHEEN
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
36
[Laughing] That’s an interesting question. It’s linked to school funding; to reduce commercial property taxes you really have to move toward a state-funded system of education. The other great thing about that is that you begin to sort out all the inequities in school funding. You know, I represent rural south Carolina, and I am neighbors to some school districts that are very poor. They are never going to be able to provide the funding for a high-quality education unless the state steps up to the plate. We know that funding is one piece of the puzzle, and there are other pieces as well, but if we have real tax reform in this state that helps small businesses and that helps entrepreneurs, we can also help level the playing field for schools across the state. That’s interesting, beacuse I want to skip to a question. There’s a book called How Children Succeed, and the book cites that 66 percent of children from wealthy homes will obtain a college degree, while only 9.5 percent of children from the lowest quartile will graduate. So we are looking at economic vitality of the future, future workforce, and those things, yet we seem to have an educational system that filters money away from the students and teachers. If you are balancing the systems and allowing those schools to be properly them funded…. how do you keep the money in the schools and not in the pockets of all the people the money filters through? My mom was a schoolteacher, and so that’s really where my education policy comes from—observing her. You know, I think I’ll be the first governor who went to integrated public schools from start to finish, and my kids are in the same schools in Camden that I went to, and so my approaches and my solutions are very practical.They are not that we need to have more standardized testing, or that we need to have vouchers, or even that we need flat-screen TV sets on every inch of space. How you make sure you have a highquality education is really pretty simple: you start very early—so I’m a strong supporter of early childhood education and I worked
with Democrats and Republicans this year and last year to begin to offer four-year-old kindergarten throughout the state, which many other states are doing and which Haley didn’t support. So that’s part of it—number one: get them early. It’s cheaper compared to the back end, and you make sure that money is in the classroom. Number two is that you pay your teachers a decent wage. South Carolina is behind Georgia; behind North Carolina; behind the Southeastern average. If you want to guarantee monies are going into the classroom, you focus on the teacher. Number three is smaller class size. If you have 40 kids in the class versus 15 or 18, results can be dramatically different, especially in today’s world. So those, to me, are the cores. I’m not into a lot of the gimmick approach, which I’ve seen in South Carolina for a long time—usually coming from the top down. When I talk to teachers, they say, “Vincent, we need smaller class sizes.” They say,“Vincent, we need to get these kids early.” They don’t say “Vincent, we want to be paid more,” but I know, because I’m in business, that the way you retain high-quality people is to reward them. And we ought to.
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
When it comes to education, you’ve also been a strong advocate of technical college system and higher education in order to promote workforce development…but in the past years, each state budget has come out and trimmed a little bit more and a little bit more, which in turn then increases tuition costs for the student,You’re basically talking about a complete shift away from that model—how are you going to get buy in to that? Well, I think people have already bought into it. People believe that it’s not okay that we have the highest college tuition in the Southeast and, I believe, the seventh highest in the country. That’s not okay. And people understand that. And people understand that for the jobs of the future we need more and more advanced degrees. What they don’t really know is that there has been incredible dramatic turn away from funding of higher
education in South Carolina in the last decade. We now fund our public colleges at around 10 percent of the cost of a college education, which is crazy. I can’t tell you I’m going to fix that problem in a year or two, because I’m not. My goal is to reverse the trend. My goal is to say, when we have budget growth—which we have had for the last few years—that we’re going to dedicate a larger portion of that to higher education, so that over four years…eight years…12 years…we’ll stop that escalation in cost and begin to reinvest in education. I think it’s a mindset, and it’s not going to happen overnight because it’s so much money, but it can open a path over time, and that’s what we need a governor to do.
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
Q
JORDANA
Is that even possible, to shift the current legislature to think that differently? I mean, we’ve talked here today about a number of things that require major cultural shifts in the state of South Carolina’s government. Well, we know we need change in the state, so the short answer is absolutely. Absolutely. I believe that leadership matters, and that we haven’t had leadership in a long time, and that’s why we had a fragmented legislature, that’s why we’ve had a fragmented government—that’s why you’ve had agencies going in all different directions. If you have real leadership—leadership that we had with Dick Riley; leadership like we had with Carroll Campbell—you can achieve great things, and I believe the legislature is hungry for that. I believe they are dying to have a leader in office who will help move forward instead of always looking backward. I think the most exciting thing about running for governor right now is that we can make large dramatic changes in our economic development policy, in our public education, and in our infrastructure, because it’s all been lagging for so long. It’s an exciting time to be involved in government. It’s an exciting time to be a leader.
I guess that’s one way to look at it…
A
SHEHEEN
[Laughing] I sense that from a lot of people, that they are frustrated that nothing ever happens in South Carolina’s state government. They sense that there’s no leadership—the legislature’s going in 20 different directions, the governor is going one direction, the cabinet agencies are all going in another direction—but to me, I see it as an opportunity to make dramatic change.
Q
In this campaign, as of right now, there are third party candidates. How do you feel their interaction in the race is going to affect your outcome?
VINCENT
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
Q
JORDANA MEGONIGAL
Well, we know that this race is going to be really close, just like it was in 2010. And I’m not so concerned with how different people in other parties or efforts are going to affect the statistics of the campaign. What I think is important is having a powerful message. And if you have a powerful message—our message is restoring honest leadership and accountability to state government, fixing roads and bridges, improving public education, focusing on small business—if you have that, then at the end of the day, that’s what lifts you over the top. So when you have a one- or two-point race like we know this one’s going to be— regardless of whether there are third-party candidates or only two—the most important thing is having that message that people know intuitively, and also want. And as I travel around the state, and especially when I come to Greenville and the Upstate, I really hear the hunger for that. Let’s talk about some weaker areas, though. You’ve gotten some kickback over some things you’ve supported in the past—like Medicaid expansion, which has gotten wrapped into the Affordable Care Act argument, and accepting federal stimulus funds—and these are both topics that business owners and business leaders are concerned with, because now they are real. From my perspective, we are hearing a lot about that, and probably will even more so in the campaign as it rolls out. So, how do you defend those stances when you have business owners and leaders who are now being hit very hard by those decisions?
MEGONIGAL
37
38
A
VINCENT
SHEHEEN
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
Well, Haley likes to talk about national politics, and the way that I deal with that is by talking about South Carolina and how we can help South Carolina through our state government. While there are serious problems with the Affordable Care Act, one of the ways we know here in South Carolina that we’re getting screwed as business owners is by Haley keeping our Medicaid money from coming to the state. She is turning away almost a billion of our own tax dollars that are going to New Jersey or are going to other states, and the result of that is that you, and I, and others who actually provide health insurance to our employees are seeing our rates go up because we have people out there who were supposed to be covered by Medicaid—working South Carolinians who aren’t—and they’re showing up in emergency rooms. We’re also seeing that her policy of keeping the Medicaid tax dollars away from the state is really hurting the healthcare sector of the state. Talk to the folks at Greenville Hospital System. Talk to the folks at the rural hospitals around the state who are barely making ends meet, because the indigent care funds from Washington have been slashed, were supposed to be made up by the Medicaid money, and Haley is blocking that. So you know what? I say we are getting too often screwed on the national level and now here at the state level, and we need a pragmatic practical approach that could really make a difference. But when you have a state like South Carolina, who is historically independent of federal government and likes to be so, how do make that argument, for taking more and relying more on federal government to fix the problems within the state? Well, you say this: “They’re our tax dollars, and we want them here.” I pay a lot in federal tax dollars—I don’t want them going to New Jersey. I don’t want them going to New York. I don’t want them going to other states. I want my tax dollars here. South Carolina has traditionally has been very heavily dependent on federal tax dollars to support a variety
of things—including our roads, bridges and, of course, military bases across the state. I think the key there is: we don’t want more help from the federal government—we want our federal tax dollars here in South Carolina being put to work for our businesses, our economy and our people. And that’s a message that people in South Carolina understand. We don’t want you taking our money and spending it somewhere else. We want our money here.
Q
JORDANA MEGONIGAL
A
VINCENT
SHEHEEN
One more question before we wrap up: You’ve been endorsed by a number of mayors across the state in the last year—a lot of them in these rural areas where you’ve helped establish infrastructure banks and that sort of thing. How valuable do you see that type of support in the race and going forward. How important are these relationships to the governorship? Well, they are critically important. We know we’ve had a dysfunctional state government for a while, and so what I’m trying to do is build those relationships, both in the private sector—which is why we did our small business and entrepreneurial tour—and in those local governments, with those mayors and city council members and county councils who are really hungry for a partner in state government. My leadership style is collaborative. It is cooperative. I think that’s a pretty stark contrast from what we’ve seen here in the recent past and that’s a part of it—trying to build those relationships. Because at the end of the day, I’m running for governor to win, but more importantly, I’m running for governor to fix problems in South Carolina. And once I’m elected, if I don’t have those relationships and those partnership and that collaboration then I can’t solve the problems. I don’t want people four years from now saying, “The roads still stink; they still aren’t any good; we haven’t expanded opportunities for four-year-old kindergarten; or there’s not that level of cooperation at the local and state government.” I want people to say “he fixed problems,” and it’s all a part of that.
Q3 2014 // Business Black Box
39
SOUTH CAROLINA
GUBERNATORIAL
ELECTION CANDIDATES Election day is coming up quick, and with five candidates for governor, it’s important to get a feel for who’s on the field. Take a look through this run-down, but be sure to visit candidate websites for the most up-to-date information.
NIKKI HALEY (INCUMBENT)
VINCENT SHEHEEN PARTY: Democratic
PARTY: Republican
FROM: Camden, SC
FROM: Bamberg, SC
EDUCATION: Graduated from Clemson University (with a Bachelor’s Degree) and University of South Carolina School of Law
EDUCATION: Graduated from Clemson with a B.S. in accounting POLITICAL EXPERIENCE: On Orangeburg County & Lexington Chamber of Commerce’s board of directors (1998 and 2003 respectively), President of National Association of Women Business Owners (2004), and in House of Representatives (2004) PROFESSIONAL EXPERIENCE: Chief Financial Officer at Exotica International PLATFORM(S): Creating jobs and lowering taxes nikkihaley.com
POLITICAL EXPERIENCE: State Representative (2000-2004), South Carolina Senator (since 2004), PROFESSIONAL EXPERIENCE: Law Clerk for the United States District Judge (1996-1998), Attorney/Member of Savage Royall & Sheheen LLC (since 1998), Adjunct Instructor for the University of South Carolina School of Law (1998-2001) and prosecutor for the city of Camden (2000) PLATFORM(S): Funding for technical colleges, supporting small businesses, funding for public schools, raising salaries for teachers, and expanding the use of universal pre-kindergarden programs in elementary schools vincentsheheen.com
TOM ERVIN
STEVE FRENCH
MORGAN REEVES
PARTY: Independent
PARTY: Libertarian FROM: Raleigh, NC EDUCATION: North Carolina State
PARTY: Independent/Green Party/United Citizens Party
FROM: Honea Path, SC EDUCATION: Graduated from Erskine College and University of South Carolina School of Law
University for Political Science and Business Administration
POLITICAL EXPERIENCE: South Carolina House of Representatives (1979, re-elected in 1981), South Carolina Circuit Court Judge (1985-1999)
POLITICAL EXPERIENCE:
PROFESSIONAL EXPERIENCE: First President of the Foothills Community Foundation, CEO of Foothills United Way, Owner of several Upstate Radio Stations
PLATFORM(S): Enacting the
PLATFORM(S): Putting more focus on infrastructure and per capita income growth, providing students with STEAM education, promoting alternative energy sources, and phasing out state personal income taxes www.trustintom.wpengine.com
Volunteer for the Elizabeth Dole for Congress campaign (2002) Professional Experience: Owner of Coastal Grease Services Taxpayer Rebate fund, designating more money towards each individual student, removing government from marriage, and ending South Carolina’s war on drugs www.frenchforfreedom.com
FROM: Irmo, SC EDUCATION: Graduated from Michigan State University with a BA in Urban Planning and Development and Michigan State University Minor in Business Administration POLITICAL EXPERIENCE: Candidate for South Carolina State Governor (2010), Candidate for South Carolina Senate (2012) PROFESSIONAL EXPERIENCE: Founded a construction/land-clearing company, Volunteer counselor at the South Carolina Department of Juvenile Justice, Played for the Detroit Lions and the Baltimore Colts PLATFORM(S): Year round school calendar, increase in funding for technical colleges, regional vocational high schools, support for entrepreneurs, providing financial help for the middle and lower class www.gp.org/candidates/display. php?Campaign_CLName=Morgan+Reeves
STEVEN HAHN DIRECTOR OF ENTREPRENEURIAL SYSTEMS SPARTANBURG CHAMBER OF COMMERCE
I ENTREPRENEUR
t’s time for the entrepreneurs to step up. During these past few years, business support professionals across the Upstate have been working diligently to lay the basic infrastructure for a strong entrepreneurial community. They have been hard at work starting business assistance programs, building incubators, organizing investor groups and conducting educational programs for startup CEO’s. A few highlights … • Led by Spartanburg’s now famous “Main Street Challenge,” several neighboring cities are busily planning programs designed to boost retail startup development in their respective downtowns. Unlike traditional incubator projects, these retail-based competitions are especially effective in promoting the public’s awareness of an emerging local entrepreneurial culture. • The already-successful Upstate Carolina Angel Network (UCAN) has expanded its reach and is making progress towards establishing a statewide angel investment community. Recently, a two-day series of meetings—co-sponsored by Greenville’s NEXT program, Spartanburg’s SERN (Spartanburg Entrepreneur’s Resource Network) and UCAN—aimed at familiarizing the community with the angel investing concept, attracted more than 100 prospective investors, entrepreneurs seeking funding and support professionals.
STEP UP, ENTREPRENEURS
About the author...
Steven Hahn is a former partner in a management consulting firm, and has launched several successful businesses. He presently serves as the Director of Entrepreneurial Systems at the Spartanburg Area Chamber of Commerce.
42
• The South Carolina Department of Commerce recently issued $2.4 million in grants to further strengthen regional efforts across the Palmetto State. The “Innovation Challenge” awarded more than $500K to programs in Greenville, Spartanburg and Anderson to be used towards entrepreneurial support programs. In addition to the funding, the newly created Office of Innovation aims to build a strong active network of programs throughout the state. Only one month old, the program is already in full swing. • The South Carolina Research Authority’s S.C. Launch provides investment funding for innovative projects statewide and is actively interested in entrepreneurial projects in our region. The overall goal is to foster a startup-friendly environment across this great state. • Finally, only those residing under extremely heavy rocks are oblivious to the fact that there seems to be a new startup incubator announced in our area every few months, with nearly every college campus in the region now having also organized some form of student entrepreneur effort. But this brand new infrastructure, some still under final phases of construction, faces an unexpected challenge. Many incubators are having trouble filling their spaces with worthwhile startup projects. Various efforts are now underway to attract new businesses to facilities. The problem of “undercrowding” in incubators and accelerators is not unique to our area. The condition is a nationwide phenomenon. Given the increasing popularity of entrepreneurship as a noble community objective, cities and counties across the country are rushing to transform empty commercial buildings into incubators and accelerators. From Long Beach to Long Island, our nation is riddled with vacant incubator offices and empty co-work desks. It’s time for the entrepreneurs to step up. Here in the Upstate, efforts have not gone unnoticed. Several programs in our area have received national attention and have successfully launched strong startups. If we are to maintain the momentum we have worked so hard as a community to build, it is imperative that we attract more startups to hang their shiny shingles in our local incubators. These facilities offer free or low-cost occupancy, ready access to a myriad of support services and the invaluable opportunity to interact daily with fellow entrepreneurs. These assets should not go to waste. It’s time for the entrepreneurs to step up. Take the first step by contacting your local entrepreneurial office, ask them how they can help you overcome your particular obstacles and … get ready to be blown away! For more on this topic visit InsideBlackBox.com/entrepreneur
T R A I L B L A Z E R
SEAN MCENROE CEO, PROAXIS THERAPY
Many of us are familiar with Proaxis Therapy—with 19 clinics scattered across the Upstate, they’ve become a standard for the highest level of patient care around. But for Sean McEnroe, physical therapy is only one small part of a quickly growing business.
Photo by Wayne Culpepper/FishEye Studios
T R A I L B L A Z E R
TRAILBLAZER. Innovation. Passion. Fun. Businesses that practice each of these will always be on the cutting edge in their respective field and people will be drawn to you; so it should be no surprise that identifying, cultivating and encouraging those three values are how Proaxis Therapy has managed to bottle lightning and be at the forefront of the physical therapy world in Upstate South Carolina. “We perform physical therapy, sports medicine and rehabilitation, but we are much more than a physical therapy company,” says Sean McEnroe, CEO of Proaxis Therapy. “We are an experience company. Our job for the hospital is to make musculoskeletal care better.” As to McEnroe’s experience—he has been with Proaxis since before it was Proaxis, when they were getting a start in Colorado. A native of Aurora, Illinois, McEnroe attended Marquette University on a track scholarship. He then graduated and became a certified physical therapist. “I wanted to see the west, so I moved to Colorado,” he says. After beginning his practice in several physical therapy clinics, he eventually began working with what would become Proaxis Therapy in Vail, Colorado. Founded by Topper Hagerman and John Atkins, whose Olympic level experience was only matched by the electricity in which they instilled in their first clinic, Proaxis was an instant fit for McEnroe. “They took the essence and the excitement of sports and put it into a clinic,” he says. “You could tell the energy was there.” As an example, his first day of work included a couple of athletes, some older folks and a couple of kids. Everyone in the room was having a blast. Eventually, the small team began setting up smaller clinics within the area and the hospital system in
Vail took notice. They realized that Proaxis was offering a different patient experience then the hospital offered, and they wanted Proaxis to be in the front window showing to every patient and visitor the energy and passion ingrained into the DNA of the company. “People looked at Vail, and wondered how gravity just brought patients to our door,” says McEnroe. Then, when one of their physicians relocated to South Carolina, Proaxis began taking notice of the opportunities and economy and decided to try and replicate they success. Locally, Proaxis successfully opened a few clinics before being approached by Greenville Hospital System, who had seen both the local clinics in addition to visiting Colorado—they wanted the energy and innovation that Proaxis brought to physical therapy. “By that time we had learned what to look for in a partner, and what we needed is an innovative and experiencebased thought process in the executive leadership of the hospital,” McEnroe says. The partnership was vital; prior to GHS, they had walked away from three other partnerships because they lacked a forward thinking and passionate attitude when it came to healthcare. But according to McEnroe, GHS was looking ahead to the future of healthcare, which included an experience-based approach to medical care and actually engaging the community and creating easier and better access for healthcare to a wider number of people. “Could they have just hired a bunch of physical therapists? Absolutely,” he says. “But what they realized was that they wanted a musculoskeletal experience that changed the way patients saw medicine.” Proaxis Therapy isn’t just about physical therapy, but about making physical therapy better, and by extension, helping to improve healthcare in general. Partnering with GHS has revealed exciting potential.
Three pilot programs have been implemented with success that have physical therapists working in tandem with doctors and surgeons to better assist patients. For McEnroe, the question to ask is,“How do you get best care to the right patient at the right time in a system that is already flooded?” he asks. “Step One is taking average physical therapy and turning it into world class physical therapy. Step Two is taking world class physical therapy and inserting it into the continuum of care.” As an example, a program focused on lower back pain has proven unbelieveably successful. “It reduced cost 20 percent and returned patients to work 80 percent faster,” says McEnroe. Another such program deals directly with shoulder pain, the number two surgical intervention behind lower back pain. In both programs, a physical therapist runs tests and measures, including ultra-sounds, to determine if a patient would be better served by surgery or physical therapy. Programs like this implement physical therapists as patient navigators, who can quickly identify what sort of care is required— whether it be surgery, medicine or physical therapy. From their beginnings in Colorado to Upstate S.C., Proaxis has been successful because of a simply formula that helps keep their energy and passion alive for performing physical therapy. By identifying therapists and team members who not only want to take physical therapy to the next level but also ones who can do so with passion and those who can have fun doing it. “Therapy can be painful, but you can make a difference in someone’s life if you really engage them,” says McEnroe. For Proaxis and McEnroe, it’s not just about helping patients simply get better, but to increase their quality of life. “Don’t just recover, conquer,” he says. Q3 2014 // Business Black Box
45
For more from Business Black Box visit insideblackbox.com
By Josh Overstreet
WALKER MCKAY PRESIDENT SANDLER TRAINING
SALES
D
on’t talk to strangers. Don’t cross the street unless you are holding an adult’s hand. Don’t talk about money. All these are directives or rules that my parents taught me that were to keep me safe and to make me more “presentable” to the world. They are smart, good rules; many of which I attempt to instill in my own children. It is clear, however, that my parents were not preparing me to be a sales guy. I am fairly certain that my dear mother did not look down at her favorite (only) son and say, “I hope little Walker grows up to be a sales professional.” Psychologists say that our values and view of how the world works is mostly sealed by the time we are 12- years-old. Many of the rules that are pounded in our subconscious as children do keep us safe and help our parents maintain some sense of sanity.The problem is that many of those same rules will be a hindrance years later when we choose business, much less sales, as a career. Don’t cross the street without holding an adult’s hand and don’t talk to strangers are obvious rules that need to be broken to be successful in most businesses. Others are not quite so obvious. Don’t talk about money is one that sticks with many people long after it’s useful. Sales and business are all about money. I can guess that if it weren’t for the money, or the lure of
RULES THAT DON’T PAY
About the author...
All you do is help them figure out what’s real. It’s not just a business philosophy, it’s a life mantra for Walker McKay. Innately curious, disarmingly honest, and—let’s just say it—liable to say anything at any time to any one—he’s a trusted coach and mentor to entrepreneurs and business owners across the state. Walker is a proud graduate of Washington and Lee University. Prior to serving as president of Sandler Training, he worked in commercial real estate, a career choice for which he says he was “wildly unprepared.” That led to his interest in helping other high achievers learn the skills they need to effectively navigate a business world in which everything can become a negotiation.Contact Walker at (803) 667-4598 or at walker@
money, most of us wouldn’t bother. Business is too hard. In sales, an honest conversation about how much money the prospect is ready, willing, and able to spend to fix the problem is vital, so that a proper and workable solution can be presented. If the buyer believes that $100 is the right amount to spend and the sales guy shares a $10,000 solution, chances are that the transaction is not going to close and at least a couple of people have wasted their time. The same is true in reverse. If a sales guy presents a $100 solution to a problem the buyer thinks should cost $10,000, the buyer will most likely not trust the solution. Again, at least two people will have wasted their time. Conversations about money and budgets need to happen in the sales process before any presentation is made. Sales professionals need to discuss money and encourage the prospect to do the same. Only then can a proper suggestion for a solution be made.To not do that would break another rule that our parents taught us that we should not outgrow: Don’t waste other people’s time.
mystrategicpartner.com
46
For more on this topic visit InsideBlackBox.com/sales
48
Q3 2014 // Business Black Box
49
For more from Business Black Box visit insideblackbox.com
For more from Business Black Box visit insideblackbox.com
fills the room as Izzy Hughes preps his station for a new customer. “Amber” is in town visiting family and decided on a whim to get a new tattoo after finding his shop, Ink Slingers, online. “Just something small today,” she says with a grin. “I’m saving up for a big one.” Less than five minutes later, she displays her left ring finger. The words “Stay True,” along with a heart, are now permanently inked to her hand. Ink Slingers is one of 104 tattoo parlors with active permits in South Carolina. The industry is relatively young in South Carolina—at least the
50
Q3 2014 // Business Black Box
legal practice of it, having been illegal up until 2004, when a bill sponsored by the late Bill Mescher (R-Berkeley County) was passed by the state Congress. An amendment that passed in 2010 changed the minimum age requirement from 21 to 18. Prior to the amendment, 18- to 20-year olds needed parental consent. Although economic figures for South Carolina aren’t available, nationally the tattoo industry is showing growth. In fact, an estimated $2.3 billion will be spent on tattoos—and another $66 million on their removal, this year alone.
Q3 2014 // Business Black Box
51
For more from Business Black Box visit insideblackbox.com
Hughes has more than 10 years experience in the tattoo industry. He gained most of that experience in California, where he got his first tattoo at the age of 27 in honor of his wife who passed away from breast cancer. Today he has close to 40 tattoos—many of which are prominently displayed on both arms. Among his favorites is the biblical reference Genesis 9:6. “He who sheds man’s blood must also his blood be shed by man,” he explains. “So, he who tattoos must be tattooed, is the way I put it.” Hughes’ shop in Greer has only been open for a year and a half, but he has seen a steady growth in business. “We’ve doubled in business this year,” he says. “It’s been a real blessing.” He estimates that he and his son, Justin, average 30 customers a week. Religiously-or iented tattoos are the most popular request, making up roughly 75 to 80 percent of his business, followed by sports and nature. But the popularity of religious tattoos at his shop is not attributed to being in the south, Hughes notes, adding that he can name several other shops that don’t produce nearly as many religious tattoos; rather, he credits it to word of mouth. “A lot of my wordof-mouth business is from people I associate with outside of work, and the people I hang out with are all believers. I even tattooed my pastor and he helps spread the word,” Hughes says.
Although business is doing well now, it was not as easy to get it started as it now sounds. Hughes spent six months looking for a location that met all the state and local city requirements and filing proper paperwork before he was approved. “It’s almost impossible, as far as zoning issues go,” he says. Most cities’ zoning requirements end up placing tattoo parlors in an industrial area rather than commercial, he explains, which is what led to his opening Ink Slingers down the road from the S.C. Inland Port and GSP Airport. Tattoo parlors are regulated by the South Carolina Department of Health and Environmental Control. Among other things, DHEC requires certificates of completion in the training of blood-borne pathogens, tattoo infection control, first aid and adult CPR. It also requires a minimum distance of 1,000 feet between a tattoo parlor and a church, school or playground. Compared to Jordan Yarborough, however, Hughes has had it easy. Yarborough has spent the last two and a half years trying to open a shop. He spent several thousand dollars on equipment and even had a Web site created, but he has yet to find an ideal location. The zoning laws vary between cities, “meaning that every time I tried to find a new shop somewhere, it would be a completely different set of hoops to jump through,” Yarborough says. “I’d find a building, start negotiations with management and generally two months later I would ultimately be denied.” Yarborough blames his struggle to convince building owners to rent space to him on the age old stigma attached to people with tattoos.
For more from Business Black Box visit insideblackbox.com
“My favorite [statement from management] is ‘You’re an extremely impressive young man, but we just can’t have a tattoo shop; we don’t want that in our building,’ while they have a bar three doors down,” he says. While he has found several buildings that would approve his business, they are all located in industrial areas, and he desires a shop within a commercial district where he’s more likely to see an increase in customers. He cites downtown Greenville as an especially ideal location, but says the city’s zoning will not allow for any tattoo parlors. “A recent article called the West End an art mecca, but I can’t understand why they are leaving this medium out. Sculpture and painting is fine, but body art seems to not be accepted,”Yarborough notes. Even a location near the Harley Davidson of Greenville that was rezoned to be a perfect location became a bust. Yarborough spent approximately three months in negotiations with the owner when a silent partner stepped in and overruled the decision. In Greenville, the city zones tattoo parlors in the S1 (Service) zoning district, explains Zoning Administrator Bryan Wood. In addition to the stringent requirements set
52
Q3 2014 // Business Black Box
“A recent article called the West End an art mecca, but I can’t understand why they are leaving this medium out. Sculpture and painting is fine, but body art seems to not be accepted,” Yarborough notes. Even a location near the Harley Davidson of Greenville that was rezoned to be a perfect location became a bust. Yarborough spent approximately three months in negotiations with the owner when a silent partner stepped in and overruled the decision. In Greenville, the city zones tattoo parlors in the S1 (Service) zoning district, explains Zoning Administrator Bryan Wood. In addition to the stringent requirements set forth by DHEC, the city also requires tattoo parlors be at least one-half mile from a special emphasis neighborhood, which is designated by HUD for federal funding. They are not allowed to provide outdoor seating and exterior building and sign colors must be subdued; no fluorescent paint allowed. “There are some S1 zoning districts downtown, but they are all within a half mile of a special emphasis neighborhood,” Wood says, “so essentially the areas of town that would qualify are going to be on the Eastside — Haywood Road, Woodruff Road, and the Verdae area.” Josh Henderson, planning director for the city of Spartanburg, says cities end up zoning tattoo parlors in industrial areas because available commercial properties are typically too close to the facilities they are prohibited from. In Spartanburg, those zones are I1 and I2, which are light and heavy industrial zones. “There are industrial areas they could go to within the city limits,” Henderson says. “We give zoning maps to them, instruct them of the locations they could fit, but the ball is in their court to find a location within those zones meetings those requirements.”
Q3 2014 // Business Black Box
53
Obviously, the tattoo industry is growing across the state of South Carolina, and beyond. As it grows, however, more businesses are, in turn, finding themselves faced with a growing problem—appearance rules in the workplace. Many customer service-oriented businesses prefer their employees appear as professional as possible. Some managers may consider tattoos such as sleeve or knuckle tattoos to be offensive. To avoid this problem, businesses are beginning to initiate stricter dress and appearance regulations. Matthew Korn, an attorney at Fisher and Phillips, LLP in Columbia, says there’s no federal or state law that prohibits employers from having a policy in place that restricts tattoos. “South Carolina is an at-will state, which means an employer can terminate an employee for any reason so long as it’s not an unlawful reason,” Korn explains. “So if the employer decides they want to put a policy in place that restricts people with tattoos from working at their establishment, then they can do that.” Rather than terminating tattooed employees, however, many businesses choose to require employees to simply cover the tattoos with clothing or professional makeup. Yarborough says he knows of a company that provided long sleeved shirts with the company logo to employees with sleeve tattoos. Hughes’ sister-in-law works at a Starbucks and is not required to cover up her tattoos; she is, however, expected to remove any piercings during her shift.
54
Korn says that while tattoos in general many not be offensive to everyone, certain tattoos of a sexual or racial content can be, which can lead to problems in the workplace as fellow coworkers may feel offended by the tattoo’s context. “If you have an employee with a tattoo that can be deemed offensive to someone’s race, religion or gender, then having the employee cover that up will be important to you,” Korn says. “You don’t want to just ignore that problem and have the employee who feels offended feel like you’re not doing anything about the issue.” There’s one thing that employers need to keep in mind, however: Some tattoos may also fall under a protected category, Korn adds, which may make the employee exempt from the policy. As an example, he cites the Church of Body Modification, which is a group of people who believe that modifying their body is a form of religious practice or belief. “The test for employers is this: does the employee have a sincerely-held religious belief and if they do, then you have to start talking about whether you can accommodate their religious beliefs or would it create an undo burden for the company,” he explains. Korn recommends prior to enforcing a new dress and appearance policy, companies should have a legal expert review it, “to make sure you’re covering all your bases.” Whatever your opinion or decision in the workplace, Hughes says people should keep an open mind when interacting with people with tattoos. It’s just their way of expressing themselves.
55
For more from Business Black Box visit insideblackbox.com
It’s a growing business venture, but it’s not for the faint of heart. Just to get started, here are a list of requirements provided by the Department of Health and Environmental Control.
56
Q3 2014 // Business Black Box
Q3 2014 // Business Black Box
57
For more from Business Black Box visit insideblackbox.com
N E X T
G E N
Photo by Wayne Culpepper/FishEye Studios
By Erin Emory
“The founders of the company should be able to do everything within it,” says Yellachich. This couldn’t be truer in regards to Yellachich and husband Chris, who are more than versed in the world of business, software development, design, security, programming, applications, consulting…the list goes on and on. But software wasn’t always Yellachich’s inspiration. “From the earliest I remember, I wanted to be a cardiologist. I was in the elevator during training as a Cardiac Tech after a code (when someone goes into cardiac arrest), and remember thinking ‘I can’t do this, I’d be miserable’. When I’m not in complete control, I don’t like it, and in medicine, you’re never in control.” After that realization changed her life, she discovered an ad for Full Sail University and “I got excited for the first time in years,” says Yellachich.The intensive program gave Yellachich everything she needed to succeed…incredible experience, business knowhow…and a rather important factor, her husband Chris. “Chris is brilliant. He’s the core of our business—he can build tools that anyone can use. I met him on the second day of school, ended up planning a wedding during the week of finals a couple of years later, and aced my presentations doing it.” As a native of Australia, Chris had to partake in the immigra-
tion process to become a U.S. citizen; this process included an immigration officer…and one who just so happened to need a website for the meat pies he sold. It was a match made in heaven. From there,Yellachich began taking on projects for an array of clients—one of the more detailed being her mom’s equestrian apparel website.With the increase in clients, Yellachich and Chris created Haute Vie. (French for “high life”, named after their honeymoon in France). In 2009, Haute Vie became Yella Soft. Yellachich began focusing on online software and web apps on an International scale and with a focus on high data sensitivity. “Security is our forte. We make people independent. I want to give you something reliable and dependable that will last.We want to give the client power,” she says. Through Yellasoft, Yellachich thrives to focus on both creative and technical services. “They’re both critical.You can have something that is beautiful, but it doesn’t matter if it doesn’t work. Developers develop for other developers but I prefer to be in the middle and play translator between the design and develop process. This is what they’re saying and this is what they’re meaning and this is how we marry both worlds.” She not only wants to provide a great service but also become completely transparent and allow
the client to operate for themselves. This includes the ability to educate and provide complete access for her clients. “Education is just as critical as the services you provide,” she notes. “We purposely maintain a small client number because we want to give our clients 100 percent of our attention.” Yellachich admits, “I like to lead by example and I have extremely high standards. If you can meet my standards, you’ll exceed everyone else’s.You only fail when you stop. One of the best things you can do is make a mistake, nobody has all the answers, and I’d rather ask a question than give an answer if it means improving.” With the drive to always progress, Yellachich admits the thing she loves most about her job is solving problems. “I like to give back. My end goal is to help people. It just so happens that we like tech and that there happen to be a lot of problems with tech. I always want to make it better, easier, faster and more secure creating things from scratch and fixing things that are broken.” With the confidence, poise and passion that Yellachich maintains about her company, she admits that she is a “total conundrum. To be so incredibly introverted, I have to lead and I love to emerge as the one who takes charge.” Of course, that doesn’t mean the job doesn’t come with its own set of challenges. “Usually I’m
the youngest, if not only, female member of many of the groups that I am involved in. Whenever you hear female and tech used together in a sentence, you can feel the eyes rolling around you but that actually drives me to excel, it gives me the opportunity to prove myself. I don’t automatically expect respect, but I’m willing to prove myself and gain it.” Gaining respect and proving herself extends to her own growing team. “Everyone should feel valued and needed. There’s truth to the saying ‘happy employees work harder.’” So with growing success and having experienced the pros and cons of software solutions first hand, Yellachich offered her own advice to those looking to start their own business or enter the tech field. “Find a niche. Find something the big boys aren’t doing and embrace it,” she says. “How can you help? Who is being ignored? Fill a need. Don’t look at other people and try to replicate what they dofind something that has a problem and figure out how to fix it. Improvements are the key to everything! I love innovating more than inventing so if you want to model yourself after someone, look at what they’re doing wrong and grow from their mistakes. But most of all, make sure what you do, you love to do.”
Q3 2014 // Business Black Box
59
For more from Business Black Box visit insideblackbox.com
When it comes to software solutions, Ashley Yellachich leads by example. As the CEO of Yella Soft, founded in 2007, Yellachich runs an “all hands on deck” company.
CHIP FELKEL CEO THE FELKEL GROUP
T POLITIC S
he June 2014 primaries—and subsequent run offs—have come and gone. In some cases, with no fall opponent, the winners have, for all intents and purposes, been decided with the November ballot serving as a mere formality. There are however, some interesting races, and the competitive contest for governor, lieutenant governor, and superintendent of education, which should keep a few political operatives gainfully employed through November. Here are a few observations: • The Tea Party is mostly (though not completely) comprised, led and supported by voters who are more or less Libertarian. I say less because many are not pure Libertarians, as they have strong positions on social issues, which negates their claim to ideological purity. The Tea Party movement is loud, but not as strong as it once was, due primarily to its inability to attract candidates that can appeal to a larger segment of voters. This, I think, has more to do with message delivery, as opposed to the actual message. The Tea Party is not the GOP, though many on the other side would like to lump them together. • The SC Democratic Party is on life support in South Carolina and frankly, that is not a good thing (more later). They have been marred with infighting, fundraising woes, and a real lack of depth when it comes to candidates who are up to the challenge of a statewide race. There are a lot
ELECTION 2014: WHAT HAVE WE LEARNED? About the author...
Chip Felkel is a veteran public affairs strategist, media relations expert and advocacy innovator with over two decades of experience in the State and National arenas. Felkel’s extensive political resume includes roles with Campbell for Governor, the South Carolina Republican Party, the Republican National Committee, as well as the 1988 Bush-Quayle Campaign (Executive Director, Georgia), DeMint 2002 Congressional Re-elect (campaign manager) and in strategic and communications roles with Bush-Cheney 2000 and 2004. He also serves as a political analyst for WYFF (NBC).
60
of reasons for this, but one is President Obama’s lack of popularity generally, and concerns over his leadership on foreign policy and over his signature issue, health care. Only the more ardent liberals are ready to offer full-throated defenses of this administration. • The S.C. GOP is still the party of power and choice for the majority of voters, but it too, has room to improve. Being in control means that eventually fissures will appear, and that has been true within the SC GOP and among some of the elected leadership. A lot of the infighting is “inside baseball”—power struggles and policy disagreements between traditional Republicans and some of the more fervent conservatives, making Chairman Matt Moore’s job even harder. So what should we look for when the political season restarts after Labor Day? Democratic gubernatorial nominee and State Senator Vincent Sheheen, who narrowly lost to Haley four years ago, will find that aligning oneself with the Obama Administration too much is costly. Sellers is a rising star, and the idea of a 29-year-old African American and son of a civil rights activist running against a 67-year old fixture in S.C. politics for the last 20 years will in the least make this an interesting and intriguing race for lieutenant governor. Still, both Sheheen and Sellers face an uphill challenge. Their party simply does not seem to be in position to offer much financial support, or serious ground game or organizational structure and that spells trouble with a capital “T”. For Sheheen, his hope is that somehow Tom Ervin manages to catch fire in his attacks on Haley, and that he can somehow take advantage. All of this is to say that until the GOP stumbles mightily, the Democrats find a way to appeal to South Carolinians en masse, and the Tea Party either disappears or gets on board with their conservative brethren, not much will change in the state of political affairs. I am becoming more and more of a believer in a healthy two-party political system. The greater good is gained when political parties have to work and compete for votes, in the general election. Today, the general election outcome is, in many cases, a foregone conclusion as the primary fight is the real battle. In many cases, the differences on major issues are not significant, meaning topics that are smaller or less significant in the greater scheme of governance get too much attention during the primary process. Recognition that there are some great ideas from all walks of life and political persuasion is important. Let’s work harder to improve not the GOP or the Democrats or the Tea Party. Let’s work harder to improve South Carolina. For more on this topic visit InsideBlackBox.com/politics
U
p to now, Travelers Rest has had a cherished identity as a place to rest. To kick back. A place to vacation, and perhaps forget stress.
It was the railroad’s employees who first stopped in, alongside tourists and drovers bringing livestock through the area. All needed a place to recharge, ushered in by the Upstate’s natural beauty, from Paris Mountain to Caesar’s Head and the Blue Ridge Mountains. A resident for 60 years, Dot Bishop witnessed the city transform from its earlier days. Initially, it was inhabited by the Native Americans, and especially the Cherokee. “Early on, of course, it was a stopping point for drovers and people coming down from the mountain,” Bishop says. “It was a little country farm welcoming place.” Like much of the Upstate region, textile mills dominated the scene, and employed many of the area’s residents. Some mills were operated by J.P. Stevens; others by local mogul Roger Milliken. Joe Dill was born in Travelers Rest.The Greenville County Councilman, who has represented the area since being elected 17 years ago, recalls that when he was a boy, there were the farms, and loggers doing their hawking. For the locals, there were country stores. Typically, those stores “had everything from shoes to horse collars.They had a big Sears,” he says. Back then, “you only had to travel to Greenville for big things.” But even with a long-ago history of being a haven for the weary traveler, until recently, this city of 4,800 had few travelers who stayed long, or, for that matter, overnight. Of course, there are parents visiting Furman University— mostly to check out the school or visit a child attending college, but in recent years, the city of Travelers Rest has struggled to maintain an identity among the larger city just outside its doorstep. This struggle soon brought about a number of changes—some economic, and some cultural—under a vision that would transform the city and its development. Prior to those changes, the city of Travelers Rest hired Arnett Muldrow & Associates, an Upstate-based consulting firm, to do an outlook on the area. In short, it was a market analysis, designed to steer the economic development of the area. In its management report, the firm wrote that Travelers
64
Rest was “poised for economic gain.” And even while some of the city’s restaurants were just drawing just 25 to 31 percent of their customers from outside areas, it added that the city had the potential of being a true destination and recreation site. Those studies of the area—going back to 2003—helped establish the vision that is now shaping the area. In 2012, Tee Coker of Arnett Muldrow did a market analysis; he is currently updating it with 2013 figures. “Our firm has a long history with the city,” Coker says. There was also the determination that perhaps, Travelers Rest was ready to return to its status as a destination. Out of analysis like this, the city came up with a master plan—one that would address five major concerns. First, the city would create points of interest, establishing destinations throughout the area and creating walkable spaces. Secondly, they realized the need to have a consistent logo and “brand” to the city, creating signage that would help visitors navigate the points of interest within the city.Third,Travelers Rest would alleviate through traffic and focus on their streetscapes. Fourth, a focus on Buncombe Road park, where the Swamp Rabbit Trail crosses, and finally, that the city would help establish new businesses, restaurants and retail. Travelers Rest City Manager Dianna Turner notes that the adoption of its master plan provides an impact far beyond the city’s 4,800 citizens, especially considering the proximity of Caesar’s Head, Brevard and Asheville. “Travelers Rest lays claim to a community larger than its incorporated area,” officials say.
65
For more from Business Black Box visit insideblackbox.com
Yet, as a destination city, Coker notes, cities like Travelers Rest must plan for tourists. Cities must design, for example, for tourists to not visit just one place, but rather a cluster of locations, he explains. “When visiting an antique store, you really don’t just go to one; you go to several and have lunch,” he says. “It’s an experience.” But to create that experience, a city must provide a bit of help. Things like signage and streetscapes play a large part in how a visitor will experience the city, and so they also play a key part in revitalizing a city like Travelers Rest. To begin with, the city placed new signage for both cyclists and motorists. Then, in 2009, the city completed $4.4 million in improvements along Highway 276, a major arterial road that runs next to Highway 25, a second major thoroughfare. Those improvements included new sidewalks, trees and lighting, and reduced the number of lanes from five lanes down to three. Turner notes that moves like these are helping to underscore Travelers Rest’s mission as the city repositions itself. “We are really positioning ourselves to be the economic hub of northern Greenville County,” she says. With that infrastructure in place, people came to the city. One immediate boon to the local economy was Greenville Hospital System’s Swamp Rabbit Trail, which threads Travelers Rest into Greenville for walkers, hikers and cyclists.
66
Q3 2014 // Business Black Box
But along with increased traffic, the trail also brought a boom in business—30 new businesses and restaurants in recent years. Rebecca Crown Cooper,Travelers Rest City Councilwoman, gives perspective from a couple of viewpoints. In addition to serving on Travelers Rest’s city council, she is also employed by GHS’ Community and Customer Relations Coordinator at North Greenville Medical Campus. Through the trail, she notes, the hospital system can have an impact on a large geographic span that stretches from the Cherrydale Shopping Plaza to Greenville’s Westside and to Paris Mountain. “What could be better to GHS’ mission than encouraging people in the metro area to get outside, do more walking, biking and enjoying the trail,” she asks.“It generates a “healthy atmosphere.” But in addition to the trail bringing folks into the city, it also provides a significant economic impact, in a few ways. According to Cooper, if people are spending less on doctors and healthcare, they theoretically have more disposable income, as well. That income can then filter into businesses in the city itself—businesses like Sunrift Adventures, which was arguably the most talked about destination prior to the arrival of the Swamp Rabbit, Trail. Arguably, Sunrift—locally known for their outdoor gear—has drawn traffic since the ‘80s. Lots of it. Even today, it continues to drew considerable traffic from both shoppers and serious campers.
Known throughout the area as place to shop for cutting-edge canoes, a range of single- and double-rider bicycles and spiffy backpacks, Sunrift continues to draw hiking enthusiasts, especially from nearby Asheville. “We bring a fair amount of traffic out of North Carolina,” says Bo Terry, Sunrift’s proprietor. Terry operated a 15,000 square foot enterprise in the 1980s in one spot, but more recently relocated to his current spot in the Travelers Rest mix. A slim, outdoorsy businessman, Terry says that until the recent arrivals of competitors REI or Cabela’s, Sunrift had the outdoor market for itself. “We were the only major outdoor store in the Upstate,” Terry says. While the trail itself likely brings new customers to Terry’s door, there are many who credit the trail with a bit more—including saving the Travelers Rest community. “I think if it wasn’t for the Swamp Rabbit Trail, Travelers Rest would have been in bad shape,” says Dill. He also credits Upstate Forever for developing the trail, including doing the legal work and promotion. “It’s a comfortable place to come for recreation.”
Q3 2014 // Business Black Box
67
About seven years ago, a few key people—businesses and residents alike—thought it was a good idea to start a farmer’s market. Interesting enough, Arnett Muldrow had suggested the same idea during its analysis in 2012. “A key opportunity to grow as destination place would be to develop a year-round outdoor farmer’s market,” the firm wrote in its report. So, the group approached Sunrift’s Terry. He endorsed the idea, and even provided the tents. At first, growers showed up on Saturday mornings, and brought some visitors to his store. But with seven spots for growers, the market remained a small-scale operation; that is, until 2014. Sandra Stroud, a Travelers Rest businesswoman and one the founders, pushed the idea. Like Cooper, she wanted folks to buy locally from farmers and those same people to eat healthy, fresh food that probably cost a bit less as compared to that sold in a local super market. Because of this push, the city went ahead and purchased 15 acres at the site of the former Travelers Rest High. It named the site Trailblazer Park, and built a covered pavilion for the newly established Travelers Rest Farm Market. When it opened May 10, the market had mushroomed to 55 growers and vendors, spokeswoman Adrienne Hawkins said. Since then, market attendance has tripled. “We started with just a few tents and tables and things have grown or morphed into a waiting list of more vendors,” Hawkins says. Lisa Marvel, a Travelers Rest Farmer’s Market board member and maker of the sugarless “Marvelous Pies” that can be found at the market, likes that the farmers market and Swamp Rabbit trail work in unison with what the city has been
doing. And in fact, the city couldn’t have designed it any better; the area is adjacent to both Highways 276 and 25,and Trailblazer Park and the Swamp Rabbit Trail are adjacent to each other. The city is also spending about $2.3 million to construct a fire station at the Trailblazer site, and in three to five years, expects to house a “municipal center or complex” that include a new Travelers Rest City Hall and other offices. The area is also home to a new amphitheater, designed to hold 1,500 people for entertainment, music and movies. Now in its first year of operation, Beth Sicignano, a park spokeswoman, notes that the park is intentionally designed to be family friendly, with lots of green space for kids to roam. Opposite of the 15 acres of the former high school site that the city of Travelers Rest purchased is another 16 acres, purchased by Greenville County Recreation, who plans to develop soccer-baseball and athletic fields. Don Shuman, the county’s director of parks, said that while there are plans still on the drawing board, the department wants to build several baseball fields, and another for soccer and other sports. While Rec doesn’t have the money in hand, it’s searching for an estimated $2 million to $3 million to do the job in the next three to five years—the same timeline that the city is working on to complete the complex. It’s important to remember, however, that at the end of all the development are people— visitors and residents alike. Business owners, cyclists, tourists, and commuters. The upgrades simply help to enhance the quality of life that each person can experience in their own right. As an example, take Steve and Cheryl Kraus, co-owners of Upcountry Provisions— Bakery & Bistro, who are more than pleased with all the developments. Since the Travelers Rest Farmers’ Market opened in May, Steve notes that his Saturday business—located about a mile from Trailblazer Park and Farmers’ Market—has improved weekly. “It’s much more beneficial” than even he envisioned, he says. But for all the growth that’s already happened, there is still much more to come, and many, like Coker, realize that Travelers Rest has yet to realize all that it can accomplish. “Travelers Rest hasn’t put its foot on the gas,” Coker says.
Q3 2014 // Business Black Box
69
1 1
Q U E S T I O N S
LISA JONES Publisher
For more from Business Black Box visit insideblackbox.com
GSA BUSINESS
70
Q3 by 2014 // Tippins/FishEye Business BlackStudios Box Photo Carter
1 1
Q U E S T I O N S
[1] What was your first job?
[7] What is your plan for yourself in the future?
[2] What are some of the skills you developed early, that you’ve found to be essential now?
[8] If you could be anything in any other industry, what would it be and why?
I’ve generally worked for smaller companies where everyone had to wear several different hats and pitch in on whatever needed to be done. It gave me a chance to learn how a company works from both the small details to the big picture. I learned that taking initiative can lead to responsibilities and opportunities that may not have presented themselves otherwise.You have to go after what you want and not be afraid to ask for the chance to prove yourself.
[3] How do you strike a balance between your personal and professional lives?
As someone who works for a small company, I share many of the struggles common to small business professionals. My husband and sister both own their own retail businesses in Greenville, and we all struggle to find a balance. For small business owners and entrepreneurs, there is really no such thing as set work hours. For a daily news organization, we have a small staff so everyone puts in long hours, and it can be difficult to just turn off the phone and email at the end of the day. I struggle with leaving my work day at the office. I can be a perfectionist and I have high expectations, so sometimes it’s difficult to come home and be in the moment with my family, but you have to find ways to unplug that give you perspective
[4] What are some strategies you use to keep yourself in check?
I’m a list maker. Sometimes people make fun of my lists but it keeps me on track and makes me more productive. I find that by writing down tasks I’m better able to prioritize my time and make sure my attention is given to work that has the most impact on our company. I also try and set aside specific times to return calls and answer email so I’m not frantically attempting to multi-task, which is often a less productive way to work.
[5] What vision do you promote for your employees, and how do you get them to buy into that vision?
I try to empower my staff to be creative and think outside the box to accomplish our common goals. GSA Business is full of smart people willing to work hard for something we truly believe is an important resource to business people across the Upstate. I like a good challenge, so the minute someone says something can’t be done I’m energized to prove them wrong. We are a team and I’m blessed to have employees who are willing to pitch in and help with anything that needs to be done.They inspire me to fight for them and alongside them.
[6] What is one of your favorite hobbies, and what is it that you find most fulfilling in it? I really enjoy working in my garden.We have such a great climate that it keeps me busy year round. It really offers a balance to a hectic work day.
I have always found that it’s important to seize opportunities when they present themselves, which is one of the reasons I enjoy working with GSA Business so much. We’re the kind of company that looks for opportunities for ourselves and for the business community in the Upstate. So my plans for the future are largely based in where the future takes me.
Do you think it’s too late to be a singer or a ballerina? I envy people who have artistic talent.
[9] What most excites you about the Upstate business community as a whole?
The business community in the Upstate is very optimistic about the future. Great strides have been made in attracting new business to our area and providing job opportunities for our residents. The business community has also taken a strong leadership role improving the quality of life by supporting parks, community gathering places, arts and recreational opportunities. Our local businesses have helped make the Upstate a nationally recognized place to live and prosper. I’m fortunate to be able to reflect that prosperity in GSA Business.
[10] What is your take on South Carolina’s business economy?
South Carolina has enjoyed some impressive growth over the past 20 years.While we have seen strong growth in the Upstate and Charleston areas, many parts of the state struggle economically. It is still a very difficult environment for small business owners to find funding necessary for launch and expansion expenses.We continue to hear serious concerns from our readers about the high cost of running their small business. Unemployment tax rates have increased dramatically in South Carolina. Medical insurance rates rise by double digit percentage points every year. Most small business owners operate on very thin margins and with less access to capital, volatile changes can be difficult to survive.
[11] What changes, if any, do you think S.C. needs to make for a better future—for its workers and its citizens?
Our education system must be a priority so we can train and retain the workers needed by the businesses we attract. Readers of GSA Daily e-blasts see many stories of Upstate businesses having to go outside South Carolina to hire skilled workers. We have done a great job of attracting impactful business to South Carolina, but we are unable to meet the needs for an educated work force. Education matters. Starting with early childhood education and continuing to support the training offered by the state technical college programs. Four year degrees remain out of reach for many in South Carolina as the cost of in-state tuition continues to rise. We lag behind the rest of the country on high school graduation rates and testing scores. Poverty remains a serious issue in South Carolina where more than 50 percent of our children live in poverty. This is disgraceful and contributes to the ongoing problems with poor education in our state. All of these factors affect our state’s economy. Our political leaders need to acknowledge and address the lack of funding available to assist those who live in poverty while we bring business and educators together to create effective and sustainable education programs. Q3 2014 // Business Black Box
71
For more from Business Black Box visit insideblackbox.com
My first job where I received a paycheck was working in a mouse trap factory the summer before college. I stood at a table in a nonair conditioned factory stuffing traps into plastic bags to be labeled for sale. That job taught me the importance of showing up on time, being responsible and that people work hard to support themselves and their families.
ERIC DODDS CMO THE IRON YARD
W TEC H
e’ve all experienced it before: you purchase an item online and almost immediately you’re faced with recommendations for additional products that “you might also enjoy...” At one point in time that might have been an un-scientific attempt at grabbing another sale from a customer, but no more. The age of data collection and ‘smart’ applications is upon us and its goal is to make almost every aspect of your life easier. Amazon and others have been at this for a while with product recommendations, but we’re already seeing the same paradigm in everyday technologies like our calendars and music apps. Google Now is a perfect example: instead of simply storing your information, it will study your appointments, search history and more, then proactively send you recommendations and reminders. For example, if traffic is bad and Google Now sees that you have an upcoming meeting in a different place than your current location, it will tell you when you need to leave to make it on time. If you create a similar appointment multiple times or perform the same action in a certain location over and over, Google Now has the ability to recognize those patterns and suggest that you let it automate those tasks. If you constantly look up sports scores for a certain team, your interest will be recognized and you’ll start getting game updates automatically. It seems the first version of an intelligent robot assistant has arrived.
SIT BACK AND LET THE INFORMATION COME TO YOU About the author...
Eric Dodds was born and raised in Greenville, studied marketing at Clemson, and is passionate about growing the tech economy in his hometown and throughout the Southeast. He serves as co-founder and managing director for The Iron Yard.
72
That a robot, or a company, more accurately, can learn so much about you is concerning to some and online privacy is a very serious issue. With the right precautions, though, technology that can learn these patterns will prove to make available data more meaningful than it already is—connecting related (but normally isolated) elements like schedules traffic conditions is powerful. Personal customization is very useful, but not all applications are focused on providing a singular experience. TipHive, an Iron Yard Accelerator company, wants to collect all of the best experience and recommendations among groups of people and make it readily available. The tool works in many contexts, but really flexes its muscles in large organizations like schools or businesses. New students or employees, especially if they are in a new city, face a significant learning curve both in and outside of the organization. TipHive allows the collective mindshare of a student body or workforce to gather and organize all of the important information around a subject so that on-boarding, orientation or simply finding a good Chinese restaurant happens for everyone, rapidly, without the arduous process of asking a hundred people a hundred questions. Before, the internet was a vast sea of information that we sailed ourselves, but the power of today’s technology is sending the right ships to our ports automatically.
For more on this topic visit InsideBlackBox.com/tech
S P E E D
P I T C H
ROBIN (& ELMO) SNELGROVE PAISLEY PAW
THE PITCH: We take our dog Elmo almost everywhere we go, including day trips to Greenville and weekend trips to Charleston. Whenever we take these trips, we enjoy visiting the local pet boutiques so we can find Elmo a treat or a new toy, and also check out all the cool new items that will make him happy and healthy. We started thinking about these fun pet boutiques and how there was nothing similar in Spartanburg. So we decided to create one ourselves. In addition to a retail space, we also wanted to expand our services to include a DIY dog wash, with a spa-like atmosphere. This is how the concept of Paisley Paw came to be. It will be an eclectic pet boutique, which will incorporate designer style collars, leashes, beds, toys, pet bowls, and grooming products. We will also carry high quality pet foods and treats, along with homemade treats in our bakery section. We will have large elevated tubs with all the amenities; choice of shampoos and conditioners, temperature controlled water, warm towels, dryers, and a variety of grooming tools. Most importantly, Paisley Paw will provide great customer service by being knowledgeable about our products and giving personal service. Our research shows that 68 percent of the population own a pet. That being said, with Spartanburg County having a population of approximately 300,000, this means there should be approximately 204,000 pets. The average expenditure is $212.00 per pet, per year. Spartanburg has two large chain stores which do very well, but we feel we can take a portion of that market due to our great customer service and unique products. Paisley Paw will partner with local organizations and businesses, like the Spartanburg Humane Society and local businesses to organize dog walks, fundraisers, and pet adoption drives. Our hope is for Paisley Paw to be a community-minded business, making a difference in the health and well-being of our animals. Photo by Wayne Culpepper/FishEye Studios
S P E E D
P I T C H
THE FEEDBACK: Many successful businesses are launched when someone realizes their own personal needs are not being met. They think, “If I need it, someone else must.” This is especially true in the consumer products and services industry and it seems as if this is the case for the Snelgroves. I applaud them for acting on their intuition and turning their passion into a business. This is the true spirit of entrepreneurship, and I wish them all the luck! However, oftentimes this passion can cloud someone’s outlook on the industry causing them to launch without properly vetting the local landscape. Just as investors go through a comprehensive due diligence process before making an investment, entrepreneurs should do the same on their industry before starting a business. The Snelgroves should spend considerable time researching how other family-owned pet boutiques in other markets coexist with “big box” stores. What are their value propositions vs. the big guys? Can they offer something that cannot be obtained at a large, chain pet store? They mention a higher caliber of customer service, but I’m not sure if that is enough to sustain a business. Perhaps the DIY salon is their special sauce or customer experience needed to attract customers away from the big competition. Whatever their unique value proposition is, I suggest they use this to their advantage, get creative with their marketing, and (after proper research) dump their passion into their business and go after it!
For more from Business Black Box visit insideblackbox.com
Like many small businesses, Paisley Paw sounds like a venture born at the intersection of a passion and a perceived gap in the market for serving others with a similar passion. It also sounds like a business poised to take advantage of the growing reaction among consumers to seek out unique, trusted, localized retailers rather than homogenized big box experiences. Certainly that formula has proven to be very successful for many entrepreneurs and I very much hope that will be the case for the Snelgroves, but stand-alone retail stores are notoriously difficult to sustain, so before launching the business, here are a few quick thoughts they should consider, if they haven’t already. First, I would recommend taking a page from the lean startup approach to building a business and spend more time in the customer discovery process. Rather than relying on top-down market size estimations, get out and talk to 100 or more pet owners in Spartanburg and find out their preferences and willingness to pay for products, services and experiences related to their pets. Second, go talk to other types of local retailers in Spartanburg and local pet stores in other communities to determine their biggest challenges and keys to success. Third, take those inputs and build out a detailed financial model to determine what minimum viable traffic/ revenue must be generated to cover your fixed costs and generate enough profit to meet your financial goals for the business. Of course there’s much more to it than that, but if at the intersection of those three exercises the business appears viable, then Paisley Paw could be the newest successful addition to Spartanburg’s local retail offerings.
CHARLIE BANKS Managing Director Capital Angels
MATT DUNBAR Managing Director Upstate Carolina Angel Network
Q3 2014 // Business Black Box
75
MARC BOLICK PRESIDENT DMARC8 INTERNATIONAL
GLOB AL
I
am a big soccer fan. I remember the first wave of soccer mania to hit the U.S., and I actually saw Pelé play with the New York Cosmos back in the day. The “Beautiful Game” has captured the imagination of young and old in all reaches of the globe. It’s a simple game that can be played almost anywhere using just about anything as a ball. The game of soccer, or more appropriately, “football,” is truly the most global team sport. The FIFA World Cup runs for a month every four years. It’s a collection of the world’s best players who don their country’s colors to fight for bragging rights to the title of best team on earth. You have star players from Country A facing off against star players from Country B who normally are teammates playing in Country C, with coaches from Country D and owners from Country E. To say that soccer is an international sport with high stakes is a gross understatement. In today’s corporate world, things are not so different. If you work for a global organization it is likely that you work with one or more people from another country. Somewhere in your organization there are star players who bring unique talent as expatriates.Your teams are playing for a global audience and, increasingly, you recruit, hire and promote the best talent you can
THE BEAUTIFUL GAME
About the author...
Marc Bolick replanted his native roots in Greenville after living in Europe for 13 years. He has worked in all aspects of product and service creation for companies ranging from Fortune 100 multi-nationals to mid-sized European firms to startups. Marc is managing partner in the US of DesignThinkers Group, an international design-driven innovation agency. He is passionate about using the power of service design thinking to help companies build their capacity to work collaboratively, to innovate and to solve vexing problems.
76
find around the world. In other words, business and soccer aren’t really that different. They both nurture talent, provide opportunity, are highly competitive and are truly international. What is the common element in both soccer and business, then? People. It’s all about how good your people are and how your organization supports them, helps them grow and achieve their goals. It’s also about teams and how your company enables people to work together in ways that allow them to win—on a global scale. So, while we all root for our favorite team in the World Cup, think about what really makes these teams win or lose. The talent on the field is only as good as the coaches and the team’s ability to work together as one. Sure, superstars score graceful goals. But, the fact is that teams with little exposure to global play, or with national leagues that are less competitive in nature tend to be eliminated early in the competition. Winners benefit from international star players who come home to represent the national squad after playing abroad. While the sport of soccer has a truly international employment market, it is ultimately teamwork and leadership that create the winning side. Think about how you, as a leader or change agent in your organization, can create a great employee experience so that you can attract and retain the world-class talent that will allow your company to win in your own version of the World Cup.
For more on this topic visit InsideBlackBox.com/global
AFTER SIX YE ARS IT’S BECOME COMMON KNOWLEDGE... WE’RE NOT YOUR AVERAGE BUSINESS MAGAZINE.
WE COVER THE PEOPLE YOU KNOW...AND THOSE YOU NEED TO KNOW. AD SALES DON’T DRIVE OUR DEC ISIONS …GREAT CONTENT DOES. JOURNALISTS THAT GO DEEPER. BELIEF THAT INNOVATION AND TRAILBLAZING TRUMP STATUS QUO. EVERY TIME.
STILL IN DOUBT? C HEC K US OUT. SUBSC RIBE AT WWW.INSIDEBLAC KBOX.COM
EVELYN LUGO FOUNDER & PRESIDENT SCHCC
E N E S PAÑOL
E
n días recientes, la Comisión Federal de Comunicaciones (FCC), deliberó sobre las nuevas reglas para supervisar el futuro de la Internet. En 1996, cuando el Internet estaba en sus comienzos, los políticos se unieron en una exhibición única de liderazgo bipartidista para desarrollar un marco regulatorio que ha permitido a la Internet prosperar en los Estados Unidos y que beneficia a todas las clases sociales en Carolina del Sur. Adelantándose a esta reunión de la FCC, algunos grupos han pedido una regulación de mano dura con el falso pretexto de que la Internet está de alguna manera dañada y necesita arreglos. Esta afirmación no podía estar más lejos de la verdad. El crecimiento de la economía de la Internet en Carolina del Sur—y los avances que la comunidad hispana ha tenido con la adopción de la Internet— demuestran lo mucho que el enfoque actual de la Internet ha beneficiado a nuestras comunidades. La Comisionada de la FCC Mignon Clyburn, una nativa de Carolina del Sur y ex Comisionada de la Administración Pública de Carolina Sur, agradece profundamente el poder de la Internet para servir al interés público y ayudar a cerrar la brecha digital. Su experiencia y liderazgo son fundamentales para garantizar que los empresarios y dueños de pequeños negocios, al igual que los consumidores puedan seguir beneficiándose de una Internet de primera clase a nivel mundial. La comunidad hispana ha experimentado un crecimiento en términos del uso de la Internet y
WASHINGTON Y LA INTERNET
About the author...
Evelyn Lugo is the founder and President of the South Carolina Hispanic Chamber of Commerce (SCHCC). With a background in business administration, Ms. Lugo obtained additional experience in working with corporations such as Eastman Kodak, Abbot Pharmaceutical and 3M. Her motivation is to help entrepreneurs, identify business growth opportunities, and help others to overcome challenges during their business development. The South Carolina Hispanic Chamber of Commerce was incorporated in August 2007 and designated a 501(c)6 nonprofi organization in June 2009 by the IRS.
78
otras tecnologías en los últimos años. De acuerdo con el Pew Internet y American Life Project, el 68 por ciento de los hispano-americanos utilizan sus teléfonos móviles para acceder la Internet o utilizar el correo electrónico—un promedio más alto que el promedio nacional que es de 63 por ciento. Para muchos de estos consumidores y empresarios, sus teléfonos inteligentes funcionan como computadoras pequeñas móviles conectadas de forma inalámbrica a la Internet. En Carolina del Sur, las empresas de comunicaciones han invertido cientos de millones de dólares en las mejores redes inalámbricas y por cable en los últimos años. Esta inversión ha generado un aumento en la velocidad de la Internet en Carolina del Sur. Estas mejoras en la red casi han duplicado las velocidades residenciales y en los pequeños negocios en Charleston, Columbia y Greenville, proporcionando velocidades de hasta 45 megabits por segundo de descarga y hasta 6 megabits por segundo de subida. La inversión de las empresas privadas ha sido, y seguirá siendo, un tremendo impulso para el crecimiento de la comunidad hispana, la movilidad ascendente y oportunidades económicas y educativas en Carolina del Sur y en todo el país . Desde 1996, las empresas privadas han invertido más de $1.2 billones a nivel nacional para construir la infraestructura de la Internet de nuestro país. Esta inversión ha contribuido a la creación de empleos. En la actualidad la banda ancha y la tecnología apoyan casi 11 millones de empleos por año en los EE.UU. Sin embargo, todos estos avances notables se pueden retrasar dependiendo de las posibles decisiones de la FCC. Algunos grupos han pedido que los proveedores de servicios de la Internet sean regulados como se hacia el siglo pasado. Esta regulación sin precedentes podría traer problemas mas allá de nuestro control. Hoy en día el ecosistema de la Internet está evolucionando rápidamente. Charleston, en particular, ha sido un centro vibrante de la innovación, con el surgimiento constante de nuevas empresas. Si el Internet es sometido a regulaciones de telecomunicaciones obsoletas e inadecuadas, las empresas que prestan estos servicios dejarán de invertir en nuestro estado. El resultado podría ser devastador. Sin Internet accesible, muchos negocios podrían cerrar, y muchas personas en Carolina del Sur podrían perder sus trabajos. La accesibilidad y la conexión de alta calidad de la Internet es esencial para nuestras empresas, y las posibles nuevas normas suponen una amenaza injustificada a esa accesibilidad.
For more on this topic visit InsideBlackBox.com/enespanol
O UR ADVERT I SING PART NER S
25 Carolina Gallery • carolinagalleryart.com 9 Cribbs Catering • cribbscatering.com 14 Fisheye Studios • fisheyestudios.com
NOW YOU CAN PICK UP BUSINESS BLACK BOX AT THE FOLLOWING LOCATIONS:
19 Greenville Tech • gvltec.edu 2 The Hayes Approach • the hayesapproach.com BC Holiday Inn Express • holidayinnexpress.com
ANDERSON Anderson CVB SPARTANBURG Carolina Art Gallery
13 Human Technologies, Inc. • htijobs.com 1 Insurance Applications Group • iagbenefits.com 41 Keller Williams Realty • kw.com 28 McNair Law Firm • mcnair.net
Chapman Cultural Center Hub-Bub Showroom Hub City Bookshop Spartanburg Chamber GREER Greer Chamber GREENVILLE
IFC Palmetto Bank • palmettobank.com
Barnes & Noble | Haywood Rd Barnes & Noble | Woodruff Rd
47 ProActive • pa-tech.com 7 Sandlapper • sandlappersecurities.com 22 Stax Catering • staxs.net
Broadway Bagels Coffee Underground Commerce Club Newsbox @ Blueberry Frog (downtown) Newsbox @ Wells Fargo (downtown) Newsbox @ Washington St./Laurens (downtown) Fisheye Studios
10 Ten at the Top •tenatthetop.org 61 Water of Life • givefreshwater.org 21 Zen • zengreenville.com
Greenfield Bagels Greenville Chamber Michelin on Main NEXT Innovation Center Runway Cafe Soby’s on the Side The Epicurean Stax Omega Swamp Rabbit Café
Q3 2014 // Business Black Box
79
For more from Business Black Box visit insideblackbox.com
IBC Palmetto Technology Group • palmettotg.com
MARC BOLICK W H AT
PRESIDENT DMARC8 INTERNATIONAL
M AT T E R S
W
hen Melissa Eubanks wanted to start a daily childcare program, she knew it had to be more than just a daycare. “I had a vision of a child care center that embraced the a big soccerevery fan. I remember the first wave of soccer mania to hit the U.S., and I actually holistic child,” she says. Her vision am would address saw Pelé play with the New York Cosmos back in the day. The “Beautiful Game” has need a child faces in their early years—physically, mentally, captured the imagination of young and old in all reaches of the globe. It’s a simple game that spiritually and emotionally. canhusband be played almost anywhere using just about anything as a ball. The game of soccer, or So three years ago, alongside her Darwin, more appropriately, “football,” is truly the most global team sport. Eubanks started Minds in Motion Learning Center, G where L O Bthey A Lcould take their visionThe FIFA World Cup runs for a month every four years. It’s a collection of the world’s to a new level. Serving bestyears players their country’s colors to fight for bragging rights to the title of best children aged six weeks to five old who in thedon daily team earth. You have star players from Country A facing off against star players from programs, and older kids through the on afterschool program, B who normally are teammates playing in Country C, with coaches from Country D the center grew, providing newCountry opportunities for learning and owners from Country E. To say that soccer is an international sport with high stakes is a beyond books and paper. gross They began with a focus on understatement. STEAM—Science, In today’s Technology, Engineering, Arts and Math, corporate but quicklyworld, things are not so different. If you work for a global organization likely that work with one or more people from another country. Somewhere in your evolved their curriculum toit isinclude otheryouoptions organizationand there are star players who bring unique talent as expatriates.Your teams are playing like chess, yoga, meditation, horticulture, diversity. global audience and, increasingly, you recruit, hire and promote the best talent you can Languages are taught—Spanishfor anda German, currently— and a life coach provides insight into children’s behaviors, as well as an outlet for learning positive social interaction. Resources like an occupational therapist and a speech therapist are available for children who need them, and it’s not uncommon to walk into a classroom and hear children from two to age five discussing topics like diversity or fair trade.The fun, Eubanks notes, is in the opportunity. “Every day is not the same, and every child is not the same,” Eubanks says. “You’re dealing with different find around the In other words, business and soccer aren’t really that different. They both ethnicities, different family dynamics…there areworld. all these nurture talent, provide opportunity, are highly competitive and are truly international. things in one building or one classroom.” What is the common element in both soccer and business, then? People. It’s all about how The ethnicities are important, she says, as she notes that About the author... good your people are and how your organization supports them, helps them grow and achieve it helps shape conversations about culture and diversity. their goals. It’s also about teams and how your company enables people to work together in ways Marc Bolick replanted his “We have people from Bulgaria, Egypt, Columbia, native roots in Greenville that allow them to win—on a global scale. South America, Bangladesh, Sri Lanka…we have a lot of after living in Europe for So, weimportant all root for our favorite team in the World Cup, think about what really makes different “It while was very 13 years.ethnic He hasdynamics,” worked she says. these teams win lose. The talent on the field is only as good as the coaches and the team’s toinus create of thisproduct type of atmosphere—one of theorparents allto aspects ability to work together as one. calls a ‘microcosm anditservice creationofforthe world as it should be.’” Sure, superstars score graceful goals. But, the fact is that teams with little exposure to global That “microcosm” is important; it’s not unusual to see companies ranging from play, or with national leagues that are less competitive in nature tend to be eliminated early in the Fortune 100helping multi-nationals parents teach a class or provide a service based competition. Winners benefit from international star players who come home to represent the mid-sized ontotheir own European expertise and passions. In the end, both national squad after playing abroad. firms to startups. Marc is the founders of and families within the learning center soccer has a truly international employment market, it is ultimately managing partner in the US know: it’s all about the child, and While makingthe suresport theyofhave of DesignThinkers Group, an teamwork and leadership everything they need to allow them to feel knowledgeable, that create the winning side. Think about how you, as a leader or international design-driven change agent in your organization, can create a great employee experience so that you can attract comfortable, safe and innovation agency. Heloved. is the world-class “We about want using thosethechildrenand to retain be ready,” Eubanks talent that will allow your company to win in your own version of the passionate World Cup. says. “When theydesign leave to go to school, we want them power of service to be to above the mark. They are already facing a new thinking help companies build their capacity tobig, workthere are big children, everything environment—it’s collaboratively, is new—so that’s one less problem to deal with, if you to innovate and to solvestable and educationally ready, and have them emotionally vexing problems. nurtured to the point where they feel confident.” For the Eubanks, who are now looking toward larger projects that can expand the Minds in Motion brand, they are happy with where they’ve ended up. “I don’t want to say it’s utopia, but we’re working on it.”
I
For more from Business Black Box visit insideblackbox.com
THE BEAUTIFUL GAME
Photo by Carter Tippins/FishEye Studios
80
Q3 2014 // Business Black Box
For more on this topic visit InsideBlackBox.com/global