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ARKET MARKETING Y
8811403.870.881 www.SamCorea.com 1 www.SamCorea.com
F
SPRINGBANK – $2,500,000
RESULTS
R E S U LT S
Sam has sold more than 3000 homes & generated over $1 billion in sales since 1993. In 2012 he was ranked #8 in Canada and Calgary’s top individual Re/Max agent. So far this year more Sam has sold more than than 100 families have experienced what it’s like to have SAM’s trusted expertise &lion unparalleled their side. 1993. inprofessionalism sales onsince Do you have the right agent working for you?
and Calgary’s top individ than 100 families have ex NEGOTIATING trusted expertise & unp SAM has built an enviable reputation for having a high level of Do you have right ag professionalism in real estate sales and service. SAM isthe more than R A N G E R O A D 31
243142
just another agent trying to close a deal. He becomes your right
Incredible character homestrategist, on a 6 acreyour parcel of land, just of theadvocate city! Cushand man, your sales personal and west discreet tom built French countryyou inspired offering 5800 of interior livingwork space at-large. He brings the home exclusive use ofSFhis estimable + an additional 3000 SF of outdoor entertaining area. Designed to take advanethic well-rounded an3 expert tage of and the panoramic viewsskill fromasall levels itnegotiator. features a huge dining room, kitchen with dual islands & a butler’s pantry, his & her main floor offices, a total of 4 bedrooms, gym, family room with wet bar, wine cellar & 4 car heated garage. The master suite (1100+SF) takes up the entire top floor with separate his & her ensuites & walk-in closets. The walkout is ideal for entertaining with a family &One games room, oversized gym & is guest with key to SAM’s success his suite belief in steam qualityshower. advertising. His ad
N E G OT I A
SAM has built an enviab MARKETING professionalism in real est another agent budget is high. If youjust list your home with him, you’ll be pleased to trying find its full colour image shining inman, some of theyour best-read, highesthand sales strate SPRINGBANK HILL – $2,490,000 quality publications. SAM does not believe in cutting corners at-large. He brings you t when it comes to getting results for clients. His unique commitment ethic andhaswell-rounded sk to superior and far-reaching marketing brought success for buyers and sellers of Calgary homes across ALL price ranges.
COMMITMENT MARKETI
SAM is committed to giving WOW service to all of his clients during One key toSAM SAM’s every step of the home buying and selling process. prides himself success on developing relationships with his clients... for life. In fact, some budget is high. Iffamilies you list y have worked with SAM for as many as 10 times in 20 years and others findsuccess its with full have consistently experienced SAM 3colour to 5 times. Repeat image s relationships and enthusiastic referrals are PROOF that SAM thrives on quality publications. SAM his commitment to his CLIENTS FOR LIFE. S PRI NG W I LLOW M E WS S W
22
when it comes to getting r to superior and far-reach buyers and sellers of Calga
Cul-de-sac, huge lot (11,000+SF), mountain views, backing ravine with a stream! Completely custom, 2 storey with oversized triple garage fully developed walkout basement & a total of 6370 of development + over 1100 SF of outdoor living space. Featuring hardwood floors on all 3 levels, Innotech windows & doors, in-floor heat in walkout & garage, smart home system to control lighting & sound, dedicated home theatre, 3 bedrooms up + 1 on the main all with ensuites & 5th on the walkout level. Incredible kitchen with granite counters, dual tone cabinetry, 2 sinks, butler’s pantry, walk-thru pantry & fabulous stainless appliances including Sub-Zero fridge, 48” Wolf gas stove & 3 ovens.
COMMITM
SAM is committed to givin every step of the home buy on developing relationships
TING Y G YOUR HOME for all it’s worth
FOR ALL IT’S WORTH
®
m
THE SLOPES – $1,595,000 WEST SPRINGS | $2,700,000
889006
H D AV , SW S LO PE V9 I ETW R EI VNEUSEW
TS
A rare find: Amazing half acre lot (24,736 SF) - in the city, with a 4300 SF home of contemporary living & 8500+ huge windows highlighting that is just as special: SF of living space withpanoramic 7 bedmountain vistas levels. The bed Frank Wright inspired rooms & from a den all with murphy (allLloyd ensuite) & 4 car garageexterior in has over-extended & several large decks. Spacious room with Wentworth,eaves just steps from shopping & schools inliving desirable Wenhoned-granite fireplace & SW standards exposure,&dining room with tworth wood-burning Estates! Renovated to exacting featuring statebuilt-in of-the-art cabinetry,heating gorgeous, upscale granite counters, professystem, 5 fikitchen replaces,with extensive built-ins, custom sional style appliances, nook opens to family room with wooden huge windows window coverings (including high-end California shut- & built-in bookcases. bedrooms up including boutique hotel inspired master ters), media4room, exercise room, wine cellar, wet bar & spectacusuite with balcony & 5-piece ensuite with jet appliances. tub. 2nd bedlarwalk-in, kitchen private with butler’s pantry and Wolf & Sub-Zero room also with with in-floor heat hasfamily 2nd family The sizeprivate & floorbalcony. plan are Walkout perfect for a large or extended and room, den & mudroom. suitable for someone who enjoys entertaining. Stunning landscaping takes full advantage of the oversized lot and includes a circular driveway & large play area for the kids.
e than 3000 homes & generated over $1 bil1993. In 2012 he was ranked #8 in Canada ndividual Re/Max agent. So far this year more have experienced what it’s like to have SAM’s & unparalleled professionalism on their side. ght agent working for you?
T I AT I N G PATTERSON $1,150,000 ALTADORE – |$1,395,000
214 1907
enviable reputation for having a high P AT level of OU N 4 8 TAEVRES N E BSO WU L E V A R D , S W Prime location: Backing directly onto the ravine with stunning eal estate sales and service. SAM isviews! more than Walkout offering 3300+ SFjewel-box of living of space & 4 & the Custom built by Missionbungalow Homes, this is a sparking a home total. On theappreciate main floor you’ll nd the in formal ultimatebedrooms retreat forin a couple who the finerfithings life &dinwho like trying to close a deal. He becomes your right ing room vaulted ceiling &plan an open with a cozy to entertain! Openwith concept great-room withliving 2 wetroom bars, stunning kitchgas master fireplace & floor-to ceiling arched windowswith overlooking the den, s strategist, your personal and discreet advocate en, vaulted suite, exquisite ensuite & basement media room, Theensuite, kitchengorgeous is a chef’swine dream, with a gas cooktop, built-in bedroomravine. with full cellar. Designer lighting, white oak you the exclusive use of his estimable oven, islandwork & walk-in built-ins, pantry. The breakfast nook features hardwood, 10”centre baseboards, extensive Gaggenau appliances in kitchsliding doors leadingin-floor to a wall-to-wall deck; perfect for outdoor en, Lutron lighting system, heat in basement & garage & a rare find: ded skill as an expert negotiator. your ownentertaining. emergency The generator! Wonderful curb appeal, gorgeous landscapgenerously scaled master bedroom overlooks the
TING
ing withbackyard. Rundlestone outdoor fireplace,jetted garage with built-ins. The patio, ensuite, with oversized tub, is the ideal spot to unwind at the end of a long day. An elegant curved staircase takes you to the walkout level where you’ll find 2 more bedrooms, a full bathroom, family room, den, games room & wet bar.
success SPRINGBANK is his belief in quality advertising. His ad HILL | $2,900,000 SPRINGBANK HILL – $1,095,000 u list your home with him, you’ll be pleased to R I N G W I L L O W W AY , S W mage shining in some of the best-read,S PhighestE LM O NT PL AC E S W Spectacular 6500+ SF home on a 10,000 SF lot, backing west, directly . SAM does not believe in cutting corners onto wooded ravine, with mountain views & lots of privacy! One of This home offers 2697 SF of luxurious living space. Gorgeous hardwood floora kind with contemporary, West Coast inspired architecture. Distincetting results for clients. His unique commitment ing, boxtive ceilings custom kitchen has full height urban&look & feelmillwork. but with The the use of wide-plank walnut cabinetry, floors, granite counters, under-cabinet lighting, Sub-Zero fridge & 5-burner timber beams, several water features, multiple fireplaces & lotsgas of cookr-reaching marketing has brought success for top. Thenatural 5-star stone. hotel inspired masterhome suite for hasboth a spa-like ensuite bathroom An exceptional entertaining & famwith jetted tub & multi-head shower. The lower level is complete with in-floor of Calgary homes across ALL price ranges. ily living. Huge windows blur the line between indoors & out and heating, family room, games room, flex room, bedroom & full bathroom. This
7 24
TMENT
offer unobstructed views of the backyard (with fountain, fireplace & home also offers central air conditioning, underground sprinkler system & putting green) & ravine beyond. A chic, euro style kitchen with the maintenance free yard so that you can feel free to travel & enjoy life! ultimate appliance package opens to a full-width deck with heated tile floor, built-in BBQ, fireplace & gas heaters. There are 4 bedrooms & 4 ensuites upstairs. The master has private balcony & ensuite w/ fridge drawers & espresso machine. The walkout has family & games room, gym, sport court, wet bar and a wine room with clear glass walls.
o giving WOW service to all of his clients during me buying and selling process. SAM prides himself onships with his clients...for life.In fact,some families
Contents
Volume 24 • Number 5
PUBLiSHeRS
Pat Ottmann & Tim Ottmann
eDiToR
John Hardy
On our cover…
CoPY eDiToRS
Lisa Johnston & Nikki Mullett
Mac Van Wielingen, recipient of the 2014 Distinguished Business Leader Award.
aRT DiReCToR
Cher Compton cher@businessincalgary.com
ConTRiBUTinG DeSiGneR aDMiniSTRaTion
JUNE 2014 $3.50
Nancy Bielecki nancy@businessincalgary.com Kim Hogan kim@businessincalgary.com Melissa Arthur info@businessincalgary.com
www.businessincalgary.com
Jessi Evetts
ReGULaR ConTRiBUToRS Richard Bronstein Frank Atkins David Parker Lonnie Tate Mary Savage
THiS iSSUe’S ConTRiBUToRS Heather Ramsay Andrea Mendizabal Stewart McDonough Barb Munro Dan Cooper Parker Grant Debra Ward
PHoToGRaPHY
Cover photo courtesy of Ewan Nicholson Photography Inc.
aDVeRTiSinG SaLeS
43
The Savvy
of Mac Van Wielingen 2014 Distinguished Business Leader Award
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Contents
57
ALBERTA EXPORT AWARDS Celebrating Export Excellence.
95
Volume 24 • Number 5
THIS MONTH’S FEATURES 36
• The Big Business of Farming
49
• One Year After!
57
• Alberta Export Awards
89
• Waiting for Obama
95
• Right on Time
The generation gap may be a factor By Dan Cooper
The Flood of 2013 showed a lot about Calgary’s character By John Hardy
Celebrating Export Excellence
The dilemma of getting oil to market By Parker Grant
Canada’s successful business aviation community to gather at CBAA convention By Debra Ward
128 • The Blame it on the Course! new normal in golf course design and construction By Dan Cooper
BOMA NEWS 101 • Summer 2014 REGULAR COLUMNS 14 • Safety in Bear Country By Richard Bronstein 16 • Government Intervention By Frank Atkins 18 • Comparing and Contrasting Healthcare
COMPANY PROFILES 109 • KUDU Industries A Quarter-Century Strong
119 • Decades Tiki International of Dedication and Expertise to Help Customers Succeed
123 • Celebrating JAS Electrical Contractors 25 Years of Excellence
Systems
By Lonnie Tate
133 • Leading Business 137 • The Calgary Report Current developments for Calgary Telus Convention Centre, Tourism Calgary, Calgary Economic Development, and Innovate Calgary
142 • Marketing Matters By David Parker
10 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
49
Safety in Bear Country • Richard [title] • Bronstein [section]
By RiCHaRD BRonSTein
Safety in Bear Country
T
his is the time of year when bears have left their dens in our beautiful wilderness areas and they are a bit peckish. As Ukrainians are discovering, this is also the time when the big Russian bear starts snapping and clawing at your political withers. Ursus Putin has already chewed off Crimea. Now he is licking his chops over the Donetsk region in eastern Ukraine and maybe Odessa in the south. Poor Ukraine . . . a serial victim of modern history. At times parts of the country have been dominated by Poland. Then by the former Austro-Hungary empire. Following the Bolshevik revolution came the Holodomor – the “death by starvation” of between 2.5 to 7.5 million Ukrainians in 1932-33 that is widely blamed on Soviet leader Josef Stalin. After the fall of the Berlin Wall in 1989 and the subsequent collapse of the former USSR, Ukraine finally achieved full sovereignty. Despite a quality education system, skilled workers and trained technocrats, as well as rich agricultural potential, Ukraine had been mired by years of corruption, mismanagement, lack of economic growth, currency devaluation, and an inability to raise investments from public markets. Before he was chased from office, Ukraine President Viktor Yanukovych tried to remedy this by forging an agreement with the European Union. But he baulked at the last minute and instead, signed a treaty with Russia. That is when the Maidan revolution began in Kyiv in February this year. It was a statement by Ukrainian nationalists that they wanted to face Europe and not Russia. That left Ukraine with an interim government that called for a May 25 presidential election to legitimize this process. In polling data gathered in the first two weeks of March, nearly 60 per cent of Ukrainians agree with the change of power. In the eastern and southern regions – dominated by Russian speakers – only 20 per cent support the Maidan revolution. This is written before the May 25 election so we don’t know if it will go ahead, and if it does, what the results will be, and whether the election will be credible. But what does
14 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
seem clear on the eve of this important election is that President Putin will do everything short of launching ICBMs to prevent Ukraine from escaping the Russian orbit and becoming a European nation. If Putin can’t make Ukraine a vassal state, he will use all means to weaken and destabilize it. Ukraine is important to Russia because Russia is a rapidly declining world power. Its economy is fuelled by oil and gas and little else. Tens of billions of what should be state revenue used to improve the lives of Russians goes into the pockets of Putin allies. To keep this theft ring going Putin needs a weak Ukraine, not a neighbour that with good government and wise economic policies could become as successful as next-door Poland. Some talk about the troubles in Ukraine as a possible return to the bad old days of the Cold War. This doesn’t seem plausible because I don’t think Russia can sustain a global campaign on behalf of some new Putinesque ideology. It is too weak relative to Europe, the United States and the rising power of China. Brian Stewart, a CBC commentator, called it more aptly a new Cool War because Russia still does have the means and will to protect what it sees as its natural sphere of influence – Novorossiya. But there are dangers here and those lie in the actions of local militias and irregulars. It was a Ukrainian mob that set fire to that building in Odessa killing dozens of people. And it is Russian-speaking groups that are using military force to destroy Ukrainian government control and infrastructure in the eastern regions of the country. Both sides claim to be serving the interests of their respective nationalities. But what is to limit their behaviour? How does one engage irregular armies in the dialogue of diplomacy? And how many times in the modern history of Europe has the term “nationality” been the prelude to catastrophe, disaster and widespread war? It is one thing for outside powers to play the game of political chess through using proxies such as nationalist movements and other irregular forces. But at some point if you are not careful, the tail begins to wag the dog. The next few months will be critical for all concerned. BiC
Wo o d Auto m ot ive G ro u p
Village Honda
S
uccessful businesses are built on many aspects, most importantly vision, quality, customer service and an unwavering passion to always improve. Village Honda has demonstrated its commitment to these values and continues to thrive as the first choice Honda dealer in Calgary. When Gerry Wood and Peter Finch established their partnership over two decades ago, they knew it would take hard work and perseverance to build their business. Little did they know that their dealership would Peter Finch, Village Honda’s dealer principal; and Gerry Wood, president of Wood Automotive Group. venture through three locations in the city, earn numerous awards and ultimately anchor in the heart of the Northwest Auto Mall in 2012. This 54,000 square foot facility includes a welcoming “Our staff is what makes Village Honda a leader. We have show room with iPad stations, express drop off, 15 climate very hard-working, dedicated and loyal staff who are always controlled drive-through bays, 36 service bays (including working on something new and finding ways to improve. a dedicated auto detailing centre) comfortable customer Striving to be the best and enhancing efficiencies are always lounges with refreshment service, winter tire storage, shuttle top of mind,” says Peter Finch, partner of Village Honda. service, an All Makes Auto Body representative on site, and “We pride ourselves on being customer centric and havextensive parts and accessories. ing a truly state-of-the-art facility. Peter’s vision for our new “The concept behind Village Honda was that it be customer location was inspiring. The forethought and planning that oriented, customer driven and customer friendly. Peter’s talhe wove into every inch of space was second to none. That ents and enthusiasm were paramount in the construction and finite attention to detail and enhancing customer experiences completion of Village Honda. He and I are very proud of our is what sets us apart,” explains Aubrey George, general manteam and this leading edge facility,” says Gerry Wood, presiager of Village Honda. dent of Wood Automotive Group.
www.woodauto.ca | www.villagehonda.com | 403.239.3900
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Government Intervention • Frank Atkins
By FRanK aTKinS
I
grew up in Ontario in the years of Liberal hegemony. Everything that the Liberals did was good, and anything that the Conservatives wanted to do (they were very seldom in power) was not only bad it was likely evil and designed to ruin the country. In Ontario in the 1960s and 1970s, we just unquestionably believed this dogma. This was the era that saw huge support for government intervention and government-run enterprises to support this intervention. Now in the year 2014 we are faced with some serious questions concerning the economic realities of government-run enterprises, and a lot of the thinking has not changed since the 1960s. First, we have the CBC which, if you are to believe the left-wing rhetoric, is the glue that binds our country. The problem is this is very expensive glue. The CBC costs Canadian taxpayers approximately $1.4 billion each year, and they still cannot seem to balance their books. The CBC union has an innovative answer for this: the taxpayer subsidy to the CBC should be doubled. This call for the doubling of the subsidy has been accompanied by a clever marketing ploy. Instead of saying that doubling the subsidy would increase the amount that CBC receives from taxpayers to $2.8 billion, which is a big number, the union claims that this would only amount to $43.50 per person. This seems like
Government intervention a small number, and this is the same manner in which the City of Calgary talks about never-ending municipal tax increases. Supporters of the CBC claim that this is worth the money we spend, as the CBC provides programming that no other broadcaster will provide. This is just nonsense. I fail to understand how CBC supporters cannot see the simple economics here. If there is such a demand for the CBC, then private sector companies would provide that type of programming. If this is some kind of a small niche market, then let those who want this type of programming pay for it. I fail to see why all taxpayers should pay for something that appears to be demanded by a small minority of taxpayers. Second, we have Canada Post. Canada Post is clearly an inefficient organization that cannot compete with the private sector. Most people communicate and pay bills online, resulting in a decrease in the demand for Canada Post services. I am certain that Canada Post inefficiencies helped the strong growth in the demand for courier services. If this is the economic reality, then the answer is to privatize mail delivery. I discovered a very strange thing recently. Canada Post owns Purolator Courier, which is a company that will not accept electronic payments for its bills. If you use a Purolator account, you must get a
16 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
stamp and mail in your bill. Somehow, this just seems to fit with Canada Post thinking. When Canada Post recently announced that it could no longer afford home delivery, the NDP government went into an apoplectic fit. It turns out that only about one-third of Canadians get home delivery now anyway. Apparently, cutting this service was not enough, as Canada Post was forced to double the price of stamps. To their credit, the postal union’s response was not to demand a subsidy. However, the union did propose a rather bizarre solution: Canada Post should expand into private banking. I cannot imagine how Canada Post could compete with private sector banking. The bottom line here is that we need to change how we think about government-run enterprises. The CBC and Canada Post do not appear to be able to compete in the marketplace. It is time that we just accepted this reality and privatized both of them. BiC
FRANK ATKINS IS AN ASSOCIATE PROFESSOR OF ECONOMICS AT THE UNIVERSITy OF CALGARy, A SENIOR FELLOW AT THE FRONTIER CENTRE FOR PUBLIC POLICy AND A MEMBER OF THE ADVISORy BOARD OF THE INSTITUTE FOR PUBLIC SECTOR ACCOUNTABILITy.
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Comparing and Contrasting Healthcare Systems • Lonnie Tate [title] • [section]
By Lonnie Tate
Comparing and Contrasting Healthcare Systems
I
think we should all take a deep breath before criticizing our Alberta healthcare system. At the patient level, a lot of it works very well, much better than the systems I see in southern California. There is a lot to be thankful for in Alberta medical care. Now don’t get me wrong! At the administrative level who could think that the nearly one-to-one ratio of administration to health service provider is acceptable? Perhaps those administrators are also working with the $240 million worth of consultants. Oops! That is for another discussion. So let me lead you through my small world of anecdotal information. Recently, while in Palm Springs, I suffered a frightening, partial loss of vision in my right eye. My doctor there said: “Head for emergency, I’ll get neurological and ophthalmological folks ready to see you.” In Palm Springs, those are code words for a $50,000 to $100,000 ride. I called my Calgary doctor, got an appointment for the next day and my wife and I were on WestJet that night. My doctor’s diagnosis was a small blood clot in the eye … but cautioned she was not an expert and I needed a ton of work done. Over the next six days: I had a battery of blood tests, an EKG, a CAT scan, an ultrasound and an ophthalmological review. At the end of the week, my doctor’s original assessment was confirmed. The first line of treatment was to do nothing (these things often go away by themselves). And my wife and I were back on WestJet to Palm Springs. I had the best of care and the only thing I ever got out of my wallet was my Alberta Health Card. Importantly, when urgent attention was required, I got it. More importantly, anyone would have got it! In Palm Springs, urgent care would have occurred because I had a credit card. If I had insurance, there would have been some gnashing of teeth and perhaps the same work would have happened in the same period of time. Without a credit card or insurance, I would still be waiting for some of the services. The most common topic of conversation among my U.S. friends is healthcare, insurance and what happens if something goes wrong. In my extended group of golf buddies,
18 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
there are 50 Americans and perhaps five Canadians. When the subject turns to healthcare, the Canadians share meaningful glances with one another and shut up. Someone will notice and refer to those smug Canadians with their impeccable healthcare. There are no guarantees for healthcare in the U.S. One of my golf buddies, an ex-marine, suffered some artery blockages. A hospital in our area placed three stents but did not have the technical expertise to do a tricky one. He was referred to a hospital (you would recognize the name) and was refused because he was high risk. They were right. Two weeks later he collapsed on the way to the 18th tee and never regained consciousness. Incredibly, the hospital’s statistics outweighed his health. Contrast that with a feisty 98-year-old in my extended family who fell and broke a hip. In the U.S., they would “make her comfortable.” Here, she underwent surgery (yes there was risk) and as this is written, she is up and around on a walker, undergoing physiotherapy. In the U.S., another golf buddy just underwent knee replacement surgery. It took over a year to coordinate the surgeon, the hospital and the insurance company to get the operation done. Cost was the stumbling block and had to be negotiated! Here, my extended family includes an impending knee replacement. The knee had been poor with arthritis for some time and all the non-invasive treatments were exhausted. It took 10 weeks from making a decision to having the surgery to when it will be performed. Much of the time is doing further tests, working up anesthetics and the like. Because of my newfound interest in eyes, I found a professional who had accompanied her mother to Calgary for ophthalmologic work and an operation. So people are coming to Calgary for medical work. Of course these stories do not appear in sensationalist media, they are too routine. But they shouldn’t be taken for granted. In Alberta, they seem to happen a lot. BiC
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Off the Top • News
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Left - right: Ramez Fawzy, Lincoln specialist; Gerry Wood, president, Wood Automotive Group; Sean Van Kesteren, tournament director, Shaw Charity Classic; Travis Eade, Woodridge Ford Lincoln general manager. Photo by Melissa Arthur.
Driving For Children Woodridge Ford Lincoln — Shaw Charity Classic This August top players on the PGA Champions Tour and Woodridge Ford Lincoln will be driving for children. After just one year, the Shaw Charity Classic is on its way to becoming one of the most successful events on the PGA Seniors Tour. This year the Canyon Meadows Golf and Country Club will play host to the top Champions Tour players from August 27-31. The Shaw Charity Classic, which attracted more than 40,000 spectators last year, benefits thousands of children in Calgary and southern Alberta. Woodridge Ford Lincoln has just signed on as the official automotive partner of the Shaw Charity Classic. “The tournament is a tremendous opportunity for Calgarians to see world-class athletes and showcase top competition, while at the same time benefit some very important children’s charities. We are delighted to be the automotive partner,” says Gerry Wood, president of the Wood Automotive Group. Sean Van Kesteren, tournament director for the Shaw Charity Classic, explains that partnerships such as this take 22 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
the event to a whole new level. “Woodridge will be providing Lincolns and Fords for tournament transportation, including provision of some vehicles for top golfers for personal use while they are in Calgary. That’s a wonderful driving luxury for players and special guests,” Van Kesteren explains. The 2013 event exceeded fundraising expectations, topping $2.27 million. With the energy and buzz in the city already, there are high hopes that even more will be raised this year. “The purpose of this non-profit event is to directly contribute to children. Monies raised will be allocated to seven or eight charities and so many children will benefit. We are looking forward to a spectacular event,” says Van Kesteren with a smile. Gerry Wood is also excited about the opportunity for the players to drive the new Lincolns. “When Freddy Couples or Rocco Mediate get behind the wheel of a Lincoln MKC, it may well be their sweetest drive of the week,” says Wood. BiC
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Join us in celebrating Business in Calgary’s Leaders of Tomorrow.
We will be honouring 20 individuals for their business acumen, contribution to community and to their industry. These are the people that are making Calgary a great city to live and work in. Business in Calgary will feature your Leaders of Tomorrow in our July 2014 issue.
Platinum Partner
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HUMAN RESOURCES INSTITUTE OF ALBERTA
Off the Top • News
Enjoy the road. Enjoy the savings. In 2013, Calgary Co-op members saved 6¢/litre on fuel purchases through their annual member refund, plus they collected 3¢/litre in grocery coupons at the pump. That’s 9¢/ litre that can be invested back into a business! A local business owner who is a member of Calgary Co-op can earn Revved up Rewards on all fuel purchases made using a commercial fuel credit card. Plus, there may be eligibility for an additional commercial discount. Commercial fuel credit cards are valid at any Co-op or TEMPO location across Western Canada.
The Calgary Co-op network of locations includes 28 gas bars in Calgary, Airdrie, Strathmore, High River and Okotoks. In addition to high-quality gasoline, many of these locations offer diesel and propane service and touchless car washes. Plus, Calgary Co-op commercial customers enjoy the convenience of itemized monthly invoices that help ensure recordkeeping and auditing procedures are easy. These invoices can be subtotalled by card or unit number. In certain circumstances, billing and payments are available online, which help make accounting procedures even easier. BiC
What’s so special about taking a plunge on a summer day? The Silver Springs Outdoor Pool (SSOP) was originally conceived in the late 1960s to be just another community pool in the burgeoning suburbs of northwest Calgary. It was the 14-foot dive tank and two diving boards, however, that would make the SSOP a regional destination for the next 40 years. The prospect of a plunge into a crystal blue pool isn’t only a bid for better health and wellness, it is a validation that Calgary’s summers are pleasant enough for an outdoor pool. As the only outdoor diving facility in the region, the SSOP welcomes thousands of visitors each summer to engage in this unique experience. Though the concrete is crumbling and the mechanicals are outdated, the original concept and location are relevant. Located conveniently off Nose Hill Drive and Stoney Trail, the pool is part of the recreational mix that includes Win26 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
Sport’s COP, Calaway Park and the planned outlet mall in Springbank. New residential developments on Crowchild Trail NW will attract more active adults to the pool as well. The diving board is a potent draw that keeps youth and families coming back year after year. Project plans include the addition of a three-metre diving platform, and new safe diving programs. The fundraising foundation group is led by highly-qualified community volunteers, with expertise ranging from law and accounting, to project management and youth advocacy. The City of Calgary has been engaged in a constructive dialogue to raise private funds ($1.85 million) that will match the city’s initial $2-million commitment. Without these funds, the days of taking that blue sky plunge in Calgary would be over. BiC
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Off the Top • News
Bow Valley College President and CEO Sharon Carry to be Invested with the Alberta Order of Excellence “This honour is not due to my life’s work; rather it is an acknowledgment of the great work we do here at Bow Valley College.” ~ Sharon Carry Sharon Carry, president and CEO of Bow Valley College.
The board of directors of Bow Valley College are proud to announce that president and CEO Sharon Carry will be invested with the Alberta Order of Excellence. Carry will join seven other outstanding Albertans in receiving the province’s highest honour this year. “I’m so pleased to have been asked to become a member of the Alberta Order of Excellence. This honour is not due to my life’s work; rather it is an acknowledgment of the great work we do here at Bow Valley College. Since 1965 we have been helping learners fulfil their dreams for a better life, providing work-ready graduates for the economy, and working to promote intercultural practice,” says Carry. Carry’s career has been grounded in her vision of the transformative potential of education to change the lives of adult learners and their families. Over the last four decades, she has worked in progressively more responsible academic and administrative roles at four Alberta post-secondary institutions: University of Calgary, Mount Royal University, Olds College, and Bow Valley College. President and CEO of Bow Valley College since 1997, Carry was hired to lead the college through its transition from a provincially administered institution to a public board-governed college. Under her leadership, the college has nearly doubled enrolment; expanded its reach
throughout the region, and nationally and internationally; introduced dozens of new programs; embraced a new mandate as Calgary and region’s one and only comprehensive community college; and substantially increased revenues, largely through entrepreneurial efforts. To meet the growing demands of the workplace, the college has completed a $300-million campus expansion project to create access to careers for some 20,000 full- and part-time students. Over her career, Carry has been a founder of several organizations including the Educational Liaison Association of Alberta, Alberta Association of Colleges and Technical Institutes, eCampus Alberta, and Apply Alberta. She has also served on the board and executive of the Association of Canadian Community Colleges (ACCC). In the community, Carry demonstrates her commitment to business, social innovation and education by serving on the board of the Calgary Homeless Foundation, as a member of the Council of Champions for the United Way initiative “Upstart Champions for Children and Youth” and actively participating in the Calgary Chamber of Commerce, and other civic initiatives. The Alberta Order of Excellence (AOE) is the highest honour the Province of Alberta can bestow on a citizen. Members of the Alberta Order
28 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
of Excellence come from all walks of life. Their careers range from medicine, science, engineering, law and business to politics, education, agriculture and the arts. The one thing all members have in common is that they have made an outstanding provincial, national or international impact. “The Alberta Order of Excellence is about recognizing those who have made a difference, who have served Albertans with distinction, and whose contributions will stand the test of time,” says Lieutenant-Governor Donald S. Ethell, chancellor of the Alberta Order of Excellence. The new Alberta Order of Excellence members chosen for investiture in 2014 are: • Sharon Carry, Calgary • Tony Cashman, Edmonton • Morris Flewwelling, Red Deer • Colin Glassco, Calgary • Julia Hamilton, Calgary • Willie Littlechild, Maskwacis • Fred Mannix, Calgary • Reinhard Muhlenfeld, Edmonton The lieutenant-governor will preside over the investiture ceremony in Edmonton on Wednesday, October 15, 2014. The new members will bring the total membership of the Alberta Order of Excellence to 140. BiC
COME FOR THE VIEWS Phase 2 of the fastest-selling lakeview homesites in the Okanagan start in the low $200s. Just 16 minutes from the airport, and you’re home. To views that last forever.
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This is not an offering for sale. Such an offering can only be made by way of a disclosure statement. The developer reserves the right to make changes to drawings, plans, specifications and prices without notice. Prices do not include GST. E&OE.
Off the Top • News
TEC Canada Appoints New CEO Plus President and COO
Ken MacLeod, president and chief operating officer of TEC Canada
Catherine Osler, chief executive officer of TEC Canada
Dr. Lynn Tanner, founder of TEC Canada
“I look forward to expanding this vision across the country under Catherine and Ken’s leadership.” ~ Dr. Lynn Tanner TEC Canada (The Executive Committee), an invitationonly peer-to-peer mentoring organization for Canadian business leaders, has announced the appointment of Catherine Osler as chief executive officer and Ken MacLeod as president and chief operating officer. Osler brings more than 30 years of entrepreneurial expertise to TEC Canada and a long relationship with the company. Following several years as a member, she became a TEC chair in 2002 and was recognized for her leadership talents, by her appointment as president in 2009. As CEO, Osler will be responsible for the vision, strategic direction and growth of TEC Canada, evolution of the TEC brand and culture, recruitment of executive mentors as TEC chairs, and development of the company’s international partnerships. She will also continue to provide vision for her special passion of leadership research and innovation, and entrepreneurial excellence. “Canada has a pool of entrepreneurial talent that is astonishing,” says Osler. “It is our mission to give these talented leaders the place to develop their skills, expand their thinking and reach high to build value in their organizations and communities. The demand for meaningful executive mentoring that delivers bottom-line results and personal fulfilment, has never been greater.” She adds, “I am proud to take a new role at the helm of this remarkable community.” 30 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
Ken MacLeod will now assume the role of president and chief operating officer. He brings many successful years of entrepreneurial and executive level expertise and experience to this position. In addition to business development and innovation, MacLeod’s position as president and COO includes oversight of the company’s daily operations and the delivery of excellent member and chair service experience. MacLeod notes, “My involvement with TEC Canada has spanned a period of almost nine years – first as TEC chair and most recently as executive vice president. I can confidently say that it has been the most rewarding experience both personally and professionally. I look forward to my new role in providing strategic counsel to grow TEC across the country.” Dr. Lynn Tanner, founder of TEC Canada, will continue his role as owner and executive chairman by sharing his counsel to the executive team and will remain in his continued role as TEC chair. Of the appointments, Tanner states, “Since founding TEC Canada in 1985, I have watched it grow to become the country’s most prestigious leadership development company. I am proud to have accomplished this and look forward to expanding this vision across the country under Catherine and Ken’s leadership.” BiC
$48,628
*
*Revenue generated by Company Program students in Southern Alberta this year.
On behalf of the 26 teams comprised of 438 students and 156 volunteers, Junior Achievement of Southern Alberta would like to thank all of our generous sponsors for an incredibly successful 2013/2014 Company Program Year.
Riddell Family Charitable Foundation
Congratulations to 2013/2014 Company of the Year, Tracy’s Pins (pictured above)
The Mavericks of Story Telling
Dave and Ro
b Kelly.
World-class productions come from a passion for stories, understanding people and always pushing the envelope in creating dynamic and unexpected experiences.
B
rothers first and foremost, Dave and Rob Kelly are the extremely talented and vivaciously charismatic (not to mention funny) pair behind Kelly Brothers Productions. Two of 10 children whose own story started in Ottawa, progressed to Edmonton and then rooted in Calgary, this duo is clearly passionate about their work. Both Dave and Rob come from successful years spent in front of and behind the camera. Dave’s time on Breakfast Television and Rob’s tenure at Spruce Meadows lend well to their current business offering within the public and private sectors. They’ll quip that what they routinely mastermind “is just a day’s work” (minus the seven shots of espresso that help get them off to a brisk start), but it’s their combined compassion, pragmatic experiences and sincere interest in the lives and stories of others that gives them an unwavering ability to engage, listen and craft unique stories worth telling. “We joke about . . . Lights, Camera, Action! But that’s a slice of our work. The critical piece is getting to the heart of a story and drawing out the originality that’s meaningful. When you locate that gem, you can pick it up, polish it, illuminate it, breathe life and energy into it, and let it speak. That’s what makes a story real engaging. That’s ultimately what we challenge ourselves to do for every client and every project,” says Dave Kelly. “Seeing an audience respond to our work first-hand is truly priceless.” Rob Kelly goes on to explain that although pictures have been telling stories for centuries and techniques and technologies continue to improve, fundamentally it’s the heart of a story and how it’s developed that makes it significant. “How a story resonates with people and stimulates their senses is what they will remember. We always push boundaries to ensure there is an element of intrigue or surprise,” says Rob Kelly. Kelly Brothers Productions brings backdiverse and interesting back grounds to their work including music, ethnomusicology, theatre, public
speaking, media and anchoring, video direction and production, and beyond.The likes of their interests and projects have led them to work with leading local and national corporations, non-profit organizations, on special projects and documentaries and with groups such as the Young Presidents Organization in Jordan and Stanford. Most recently an international joint venture took them to China where yet another world-class event awed audiences and dignitaries alike. As corporate video production continues to evolve, Kelly Brothers Productions’ approach remains steadfast in transforming typically dry content into something that reaches the hearts and minds of others. Marc Vivequin, maintenance manager upgrader, with Shell Canada Energy says that the impact of the corporate health and safety videos Kelly Brothers has created for them has been significant. “They were able to take content that is bland and often times uninteresting to our crews and turn it into something they could relate to. When you present health and safety in the light of looking out for yourself and others, and what an injury would truly do to your family and personal life, it hits home,” explains Vivequin. He goes on to state that while other videos can be overtly two dimensional, Rob and Dave add the third dimension and that’s why people pay attention. “They are able to get to the crux of the topic, tell the story and ultimately motivate people,” says Vivequin. “Their work has enabled us to reduce injuries. That’s exceptional.” As hosts, writers, screen and video directors, Kelly Brothers Productions and their team continue to take projects of all sizes and scope, and turn them into first-rate experiences. Albeit familiar faces within Calgary’s media and business scene, what is most endearing about Kelly Brothers Productions and “the” Kelly brothers, is that they are truly humble, kind and sincere in their efforts. Having come from a family of hard working people and knowing the value of rolling up your sleeves and doing the dirty jobs, they have an astute aptitude for incredible storytelling and shattering the limits of video and event production. With Kelly Brothers Productions you can expect nothing less than spectacular. OK . . . and maybe with just a wee hint of wit, sarcasm or silliness too. That’s the garnish!
A
Above photos: Rob working on non-profit shoot
Top ‘Kelly’ Tips for
Video Production
1. Always have a story in your head when you make a video, even if it’s just a sequence of pretty pictures, a favorite location or cool song you like. If you have a way of structuring it that makes sense in your mind, it will make sense for other people as well.
Dave coaching a young actor through a shoot
2. Trust that your audience will like what you like. You are always your own worst critic. 3. Use a mic. People will still stare at bad video if they can at least hear something. People will stop watching if they can’t hear. Sound wins every time. 4. Make the video shorter than you think it should be. Keep it to the point. 5. Shoot from a position that is not at eye level. The camera can see things differently from how we see things every day - leverage that ability.
Rob working on campaign shoot for oil and gas sector
6. Keep the camera still before and after every shot. You’ll be happy to have a few extra seconds before and after your shots when you get to the edit room. 7. Edit the boring bits out and don’t worry if you think the edit is rough. You’ll lose your audience with a boring video, not with rough editing.
403.261.3808 info@kellybrothers.ca kellybrothers.ca
Unusual Ads Amazing things happen when a genuine passion for community and giving back combine with corporate caring and creative marketing smarts. One exciting example is the passion and marketing savvy of Sherry Schluessel, managing partner of Calgary’s ProCura Real Estate Services – the dynamic, solid and innovative property development and management company. With its diverse asset base of retail, office, residential, multi-residential, mixed-use and landholdings, ProCura has already earned a respected reputation for developing quality buildings that enhance the lives of people who live and work within its walls. Now, ProCura is getting an entirely different kind of attention than from their 35 distinguished and award-winning years of positively enhancing the skylines and communities of Calgary, Edmonton and Vancouver. “Connecting with the community has always been a priority for our company,” Schluessel says with positive passion. “We are especially committed to and involved with kids, special needs and mentorship. I genuinely feel that the return on investing in kids is tremendous. Schluessel is high-energy, personable, creative and market savvy. She had a bright idea of partnering with Big Brothers and Big Sisters (BBBS) to help raise much-needed funds in a unique, drastically different and exciting way. “It’s called We’re Better Together and it’s an opportunity for some of our development, construction and supplier partners to advertise on our site hoarding ... and help the kids. Almost as simple as that,” she shrugs with a laugh. Of course it’s much more exciting and not nearly as simple as that. “Our construction partners, like excavation, heavy equipment, concrete, crane, gravel and glass suppliers, now have a first-come-first-served opportunity for the potent exposure of advertising their logo or their company on the high-profile, 12-16-foot hoarding surrounding our site. 34 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
Sherry Schluessel, senior managing partner, Procura Real Estate Services
Sherry (right) and her husband, George (left)
“They buy a $25,000, $50,000 or $100,000 ad on the hoarding, their ad stays up for 18 to 24 months, for the entire duration of construction. And because We’re Better Together is a legally registered charity, the construction partners get tax receipts.” ProCura fully matches the $250,000 total “ad revenue” donation. “And the kids win!” Schluessel explains with upbeat and revved enthusiasm. “Every penny raised by We’re Better Together goes to BBBS, who will get the entire $500,000 donation.” A unique, creative and communityfocused great idea but giving back is nothing new for Sherry Schluessel, her CEO husband George or Calgary’s ProCura Real Estate Services. The list of Alberta charities, community groups and organizations often quietly helped corporately by ProCura or privately by the Schluessels is long.
Off the Top • News
“We work very hard to achieve our company’s success but we genuinely have great pride in our communities. And we always look for ways to raise awareness about community needs.” ~ Sherry Schluessel, senior managing partner, Procura Real Estate Services
When it comes to the
health of your employees… it’s important to have a plan. “We work very hard to achieve our company’s success but we genuinely have great pride in our communities,” she says with candid sentiment. “And we always look for ways to raise awareness about community needs. I lost my mom at 17 so I have been there, done that and I understand the value and role of mentorship in the life of children. Seeing hope through the eyes of a child is mentorship.” There’s consensus that generating charitable donations by selling advertising on a construction site hoard and the company matching the donations is a creative, clever, terrific and gutsy idea. And ProCura’s Sherry Schluessel is gung-ho and determined to make it happen. “When you’re really passionate about something, everything is possible!” BiC
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businessincalgary.com | BUSINESS IN CALGARY June 2014 • 35
RUN JUNe
The Big Business of Farming • Agriculture
The Big Business of Farming
The generation gap may be a factor BY Dan CooPeR
Classic Mountain Views. Brand New Villas Lifestyle. Canada’s Best Community. From the mid $700,000s. Just 20 minutes from downtown Calgary. CHBA - Calgary Region
PHASE 3 NOW SELLING VillasAtWatermark.com
T: 403.474.5985
This is not an offering for sale. Such an offering can only be made with a disclosure statement. E.&O.E.
BUSINESS IN CALGARY Client: MacDonald Development Project: Villas at Watermark Dimensions: 6.875” x 4.75”
36 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
2013
Community of the Year Calgary Region
The Big Business of Farming • Agriculture
Like some other professions and industries, trades, manufacturing and even trucking, the vital role and essential service that is Canadian farming is dealing with a generation gap.
T
he stereotypes and the clichés are being drastically updated. Farming is more than a way of life. It’s a business – a demanding and a complex business. Canada is one of the largest agricultural producers and exporters in the world. As with other developed nations, the proportion of the population and GDP devoted to agriculture fell dramatically over the 20th century but it remains a solid and important aspect of the Canadian economy. Coast to coast and in most provinces, a wide and diverse range of agriculture is practised in Canada – from the sprawling wheat fields of the Prairies to vineyards and orchards lush with summer produce in the Okanagan Valley. It’s no coincidence that Alberta is still renowned for stampedes and cattle ranching is a main industry. The ag industry is supplemented by livestock, mixed farming and wheat crops, and Alberta is the second largest producer of wheat in Canada. Grain and dairying also play a role in the livelihoods of Alberta farmers.
9
The life, lifestyle and profession that is so familiar with seasonal and cyclical ups and downs and dealing with a gamut of predictable and unpredictable challenges – from insects, parching droughts, torrential rains, fickle markets, spiking costs, slumping prices and the whims of politicians – must now confront an altogether new brick-wall kind of problem. Like some other professions and industries, trades, manufacturing and even trucking, the vital role and essential service that is Canadian farming is dealing with a generation gap. In some ways it may be a modern take on the classic how you gonna keep ’em down on the farm with 24-7 days of early mornings and late nights, exhausting hard work, weather, mud and chores – after they’ve seen Mondayto-Friday, 9-to-5, six-digit salaries, three weeks vacation, comfy offices, profit-sharing, bonuses and even perks like smartphones, laptops and car allowances? Although farmers are renowned for being tough, hard-working, resilient and gutsy doers, “These are times and situations
Put ¢/litre /litre back into your business. *†
Managing a commercial fleet can be costly and time consuming. With a Co-op commercial fleet card you can charge all your driving expenses to one card and get money back. Last year, Calgary Co-op members were paid a total of 9¢ per litre on fuel purchases. That’s 3¢ in grocery coupons right away plus another 6¢ in member refunds. Whether your trip is to the warehouse or the wholesaler, Co-op Gas Bars can help get you there. Call Quinn at 403-219-6025 ext. 6169 for more information.
*Based on Calgary Co-op members saving 6¢/ litre on 2013 member refund plus 3¢/litre in grocery coupons at retail pumps. †Calgary Co-op cardlock customers saved 6¢/litre on 2013 member refund.
businessincalgary.com | BUSINESS IN CALGARY June 2014 • 37
The Big Business of Farming • Agriculture
Dave Sprague, CEO of Alberta’s Ag for Life.
Ag for Life teaches kids about some of the skills and roles involved with farming. Photo courtesy of Ag for Life.
farmers never really experienced,” says Dave Sprague, the affable but dynamic CEO of Alberta’s Agriculture for Life (Ag for Life), a not-for-profit organization with the formal purpose of building a greater understanding and appreciation of agriculture and its fundamental connection to life. Ag for Life generates understanding about the vital role of agriculture in every Alberta community and also helps Alberta farmers cope, navigate and often transition into a
whole new world when it comes to the complex, quirky and everyday basics of the business of contemporary farming. “Food is simply a necessity to have a happy and healthy life, yet agriculture seems to be taken for granted. Agriculture must become a bigger part of the discussion so that everyone understands the connection between agriculture and our personal, social and economic well-being. Our goal is to help lessen the disconnect between those who con-
SEPTEMBER 5th-20th, 2014 “In addition to the team building, networking and fun that CCC participants have during the Games, they also take the time and effort to support our Calgary charities. Through the various charitable components of the Corporate Challenge, corporate Calgary has raised over $6.6 million since 2000. In 2013, CCC exceeded our goal and raised over $640,000 for our charitable partners.”
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38 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
The Big Business of Farming • Agriculture
level as a viable big business and a wellsume the food and those who produce organized operation. the food,” Sprague says with enthusiasm. Unfortunately the generation gap may Part of the Ag for Life mandate is to also cause the farm to become a casualty familiarize the consumer (starting with of changing times. kids in the classroom) about how and According to the most recent Statistics where food comes from and the role of Canada 2011 census, Canadian farmers the farmer. Equally as important, the (like some manufacturing and traditional organization also works with farmers trades, truckers and others) are aging and to develop some of the business skills shrinking in numbers. The average age they need to function and succeed in the of farm operators was 54, up from 49.9 demanding business of farming. years a decade earlier. “Farming and ranching is much more Farmers under 35 years of age repcomplex today than ever. In addition to resented just 8.2 per cent of the total of being in tune and understanding technol293,925 farm operators in 2011, down ogy, communication and science, today’s from 11.5 per cent in 2001. farmers and ranchers must be adept with Ed Knash, vice president of agriculture with ATB. Although specific numbers and situfinancial models, balance sheets, futures ations are impossible to track, many markets, quotas, risk management, when younger Canadians who show interest in and how to sell, financing, land and “making a living from the land” are motivated by a sense of equipment costs and succession planning,” he points out. family devotion or opportunity, opting to work a farm that “And the farmer must also deal with the normal day-tomay have been in the family for generations. day, on-the-farm routines and challenges of agriculture. No And there’s also the attraction of being your own boss and doubt about it, today’s farmer must truly be a jack of all not being tied to a desk. trades and a master of many.” “The business of farming is an evolutionary process that is Depending on the specific situation and circumstances, speeding up at a tremendous rate,” says Ed Knash, vice president the generation gap may be bringing some farms to the next
businessincalgary.com | BUSINESS IN CALGARY June 2014 • 39
The Big Business of Farming • Agriculture
game and agriculture is a dominant indusof agriculture with ATB. “Farmers have try, throughout Canada and most of the been consolidating and getting larger world.” and larger for a few years. Of course Agriculture insiders suggest various actual production still requires a lot reasons why the younger generation is of long hours, hard work and personal considering options, making choices and commitment but leading-edge technolreturning to the farm. ogy and state-of-the-art equipment and With the wealth of support and resources machines – from digital controls to GPS about most farm-related matters from soil and spreadsheets – have made farming quality, biofuels, ecology, water security a lot less physical and the business of and tax planning to cutting-edge IT serfarming much more efficient.” vices that are invaluable both in the field According to Clem Samson, vice (with things like efficient plating and feedpresident of western operations with ing) and in the farm office (with accessible Farm Credit Canada, the essence of and expert advisers about everything from farming is working hard and dealing tax planning, land acquisitions and quotas with constant variables and chalClem Samson, vice president of western operations with to asset, cash flow, debt and risk managelenges. It continues to help farmers Farm Credit Canada. ment) farming is evolving into an appealing adjust, adapt and make the transition good business. to the demands and requirements of a A new generation with driven entrepreneurial skills is viable business. attracted by various factors: the opportunity to work inde“Sounds strange but agriculture is cyclical,” he explains. pendently, be a gung-ho strategist, planner, project manager, “Every four years or so, there seem to be hiccups and issues. marketer, HR manager and spend productive workdays wired But I have not seen a more resilient group of people than and plugged-in to technology. farmers, constantly dealing with so many variables and An accurate guesstimate of actual Canadian farm income some they can’t control. And with each challenge they find is not reliable because, in Alberta and throughout the rest new ways to do things better. They have sharpened their
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40 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
The Big Business of Farming • Agriculture
of the country, there is such a broad range of farm types and sizes. Statistics Canada figures are a decent reflection about the business of farming, tracking the positive trend that, from 2005 to 2010, gross receipts from farms producing oilseeds and grain increased by 49.5 per cent and the average income for farmers producing crops spiked from $67,700 in 2007 to $96,293 in 2011. The rising incomes also trigger interest and optimism about farming and are perhaps attracting a new generation. Experienced and specialized farm consultants and advisers are quick to add that even with the encouraging business of farming and the traditional hard grunt work and chores of farming, even the new systems and operations can’t mask the essential business facts of contemporary farming life. Land prices are at record highs – approximately $5,000 per acre of non-irrigated land, the largest demand being from local farmers wanting to expand their own operation – and the capital investment required for a viable commercial farm operation is huge. As a random example, just basic farm equipment, such as tractors, combines and grain bins, are often pricey with a new combine likely costing upward of $350,000. The figures from Statistics Canada show that the average value of total assets per farm in Canada rose from nearly $1.5 million in 2007 to over $2 million in 2011.
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“We are on a learning curve and the requirements of a typical farm are changing,” admits Knash. “The struggling, barely surviving farmer is long gone, although the volatility of the profitability still varies from year to year. “Managing today’s farm operations has definite similarities to financing and managing a small to mid-size business. The key changes include farms being much more capital-intensive with a need for access to financing. Everything from land values and increasingly expensive chemicals and fertilizers to larger and more sophisticated and pricey equipment, quotas and other assets. “Today, the typical farm usually has lots of equity but it is definitely big business,” he emphasizes. “About 10 years ago, a $5-10 million farm loan would have been large. Today we finance anywhere up to the $30-50 million range.” Some things never change. An experienced farmer still has the key aspects of the physical and traditional job of farming, from grains to diary and livestock, but the business of contemporary farming also requires a good manager who juggles many things at the same time – maximizing the return on investment, growing and expanding operations, improving cash flow, risk management, financing acreage, equipment, quota or livestock. Also a new meaning to the cliché about “being your own boss.” BiC
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The Savvy of Mac Van Wielingen • Cover
The Savvy
of Mac Van Wielingen Keeping the focus on the long term and on people BY JoHn HaRDY
This is the 22nd anniversary for the Haskayne School of Business at the University of Calgary together with the Calgary Chamber to recognize outstanding leaders in the Calgary business community while honouring exceptional demonstrations of vision and leadership, sound business sense and a commitment to the community – with the Distinguished Business Leader Award. The 2014 recipient is Mac Van Wielingen, chairman and co-founder of Calgary-based ARC Financial and ARC Resources. “He is really one of the most respected business leaders in Calgary,” says the Chamber CEO, Adam Legge, “and he has always been supportive of what the Chamber stands for. Mac Van Wielingen has a genuine focus about ethical business leadership practices and a strong conscience about profits.” Business in Calgary spent time with Van Wielingen, who shared some of his insightful thoughts about the Calgary, Canadian and global economies, the roller-coaster that is Canada’s energy sector and about the “new normal” in various aspects of contemporary business.
M
ac Van Wielingen is a consummate workaholic – with a significant difference. Like many (self-confessed or in-denial) workaholics, Van Wielingen is focused, often intense, ferociously knowledgeable and always thinking. He is an accomplished listener and an engaging talker with a genuine and uncompromising interest in everyone and everything that touches his hectic but well-organized days.
Mac Van Wielingen, recipient of the 2014 Distinguished Business Leader Award. Photo by Ewan Nicholson Photography.
But it’s not so much about work. Officially and unofficially he is retired from the dayto-day demands, decisions and responsibilities of ARC Financial, Canada’s leading energy-focused private equity investor, and ARC Resources, a leading oil and gas company focused on resource plays and which has one of the strongest balance sheets in the energy sector. So Van Wielingen’s ongoing workaholism is not so much businessincalgary.com | BUSINESS IN CALGARY June 2014 • 43
The Savvy of Mac Van Wielingen • Cover
A lively discussion on advanced leadership in diverse fields. (L-R): David Lertzman, assistant professor of environmental management and sustainable development; Jenny Krahn, director of the Canadian Centre for Advanced Leadership in Business; Mac Van Wielingen, chairman of ARC Financial Corp. and chairman of ARC Resources Ltd.; and Piers Steel, professor and distinguished research chair in advanced business leadership at the Canadian Centre for Advanced Leadership in Business. Photo by Ewan Nicholson Photography.
He prioritizes staying contemporary and connecting with the next generation of business leaders, especially his deep commitment and involvement with the Haskayne Business School faculty and students. And most importantly, his fierce pride and passion for family – his spouse, Susan, their three grown children and particularly his two young grandchildren and what kind of a world is being left for them. 44 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
Mac and his wife Susan enjoying quality time with their grandchildren.
about dealing with day-to-day ARC issues as much as it is about anything and everything, business – business in general and business specifics; business trending and performance; tracking and projecting the mood swings of the economy; the global markets; and the constant flux of business strategy. He prioritizes staying contemporary and connecting with the next generation of business leaders, especially his deep commitment and involvement with the Haskayne Business School faculty and students. And most importantly, his fierce pride and passion for family – his spouse, Susan, their three grown children and particularly his two young grandchildren and what kind of a world is being left for them. At 60, and especially compared with his senior management and financial sector peers, Van Weilingen is relatively young to have achieved such high levels of professional success and a widely-respected, rock-solid reputation for exceptional business savvy. The outspoken, personable and proudly Calgary-born and still Calgarybased chairman and co-founder (and retired head) of ARC Financial and ARC Resources is consistently upbeat and positive and, at the moment, encouraged by the current business climate.
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The Savvy of Mac Van Wielingen • Cover
Van Wielingen has no set schedule at Haskayne, but is considered an adjunct professor – an honorary faculty position. Photo by Ewan Nicholson Photography.
“All things considered, we’re in good shape,” he nods with a slight shrug and a grin. “The overall business environment feels far more stable. The global economy, the Canadian, U.S. and even Europe seem to be on relatively sound footing. “The American business meltdown was extremely serious and so disillusioning. It was such a loss of confidence and a dark, difficult time,” he says with a sombre tone. “It left a mark. There’s no getting away from the modern reality that, no matter what else is happening, business and the world economy can’t move forward if the U.S. is in trouble. “But I’m feeling significantly more comfortable these days, especially about the U.S. recovery and their steady growth. In fact, the American economy is showing just how very resilient it really is. And that’s very encouraging to see. Certainly in Canada and even globally, there is a noticeable sense of comfort and confidence in the overall economic 46 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
network,” says the savvy and upbeat Van Weilingen. Although he reflects back with satisfaction, pride and just a few hindsight regrets about the bold and ambitious early ARC years, 25 years later the company he co-founded continues with solid growth and as a remarkable success story in the global energy field. Today, ARC Financial Corp. is a bigger, bolder and internationally respected private equity management firm with an exclusive focus on the energy industry. Van Wielingen is slightly sentimental, recalling building ARC with primarily industry-leading investment research abilities that he and his senior management team leveraged to build a highly successful corporate advisory practice. He remembers that they also began to invest as principals and with partners in the equity of early-stage energy companies and ambitiously acquired oil and gas production assets.
The Savvy of Mac Van Wielingen • Cover
“His mind is always working, usually about how things could be better. He’s a strong family man with an exceptional sense of balance.” ~ Jim Dewald
vision and strategy remains the same as it was 25 years ago,” he points out with a sense of pride and a gratified smile. “The business and the industry always have ups and downs. But we stay focused on long-term facts and fundamentals.” Too savvy to divulge inside strategies (“besides, I’m retired”) he chuckles and does confide that after 25 years of success and growth, ARC’s main priorities remain focus on the long term and on people. “Not only is our corporate culture based on solid values and quality relationships within our company but it is also the key to our long-term partnerships and relationships within our portfolio companies, our investors, our service providers and the communities in which we invest.” Despite his riveted attention on the Jim Dewald, dean of the Haskayne School of Business. specifics, generalities, trends and idioPhoto by Ewan Nicholson Photography. syncrasies of contemporary business that have him hooked, it is respect, loyalty, a grasp of reality, uncompromised values and infectious The evolution of its production acquisition business led to positivity that are key aspects of Van Wielingen’s private the founding of ARC Resources Ltd. in 1996 and the TSXand professional relationships. listed company (ARX) has become one of the leading players The intense business permafrost thaws a bit when he in the Canadian oil and gas sector. mentions his spouse, Susan, and their shared enjoyment The retired boss (but by his own amused admission, still of travelling in Europe, their three grown children, fama very involved and active chairman) explains that, “ARC’s ily vacations or getaways to Invermere, the Palm Desert or investment, research, corporate advisory and equity investrecently to Hawaii. “I absolutely adore my two grandchilment businesses evolved into an exclusive focus on private dren and I love being together with them.” equity investing with the launch of our first fund in 1997. According to Jim Dewald, the affable and gung-ho dean “We have since raised six additional private equity funds and of the Haskayne School of Business, “His mind is always all together the seven ARC Energy Funds represent $3.7 billion working, usually about how things could be better. He’s a of committed capital. Our investors are largely institutional, strong family man with an exceptional sense of balance. He comprised primarily of endowments, family offices, pension loves positive energy and he’s all smiles!” funds and foundations from Canada, the U.S. and Europe. Although Van Wielingen has no set schedule at Haskayne, “The mandate for ARC Energy Funds is to provide growth he is considered an adjunct professor – an honorary faculty equity capital for energy companies with a core focus on position. the Canadian oil and gas industry. The heart and soul of our businessincalgary.com | BUSINESS IN CALGARY June 2014 • 47
The Savvy of Mac Van Wielingen • Cover
A key part of the Calgary business icon’s positivity and supercharged outlook is staying relevant and contemporary – not only about challenging business aspects but about the technical and supply sides of the energy industry.
“With his depth of knowledge, tremendous business experience and his expertise, it is an invaluable and special opportunity for us, as academics, to have him as a member of Haskayne,” Dewald says, with enthusiasm. “He is extremely plugged-in, interested and involved. He usually attends full faculty events and really gets to know our faculty. He maintains a good understanding for whatever is going on and he insists on being directly accessible to our faculty at all times.” Van Wielingen often delivers Haskayne classroom presentations. Dewald explains that with his business acumen, versatility and personal interest in various areas of business and management, the Calgary executive usually gets asked to talk about one of the current business school hot topics not only at Haskayne but in business schools around the world: ethical leadership and the role of ethical leadership in management. “Although leadership is a fairly new but vital business topic and Van Wielingen has been in business for more than three decades,” Dewald observes, “it’s one of the secrets of the man’s success. On the topic of leadership in management and many other things, Mac Van Wielingen continues to be ahead of his time.” Standing at the front of a Haskayne classroom, he is both revved and from the heart when speaks about business and what it takes to achieve success. “The best possible advice for entrepreneurial leaders is: ‘build your company to adapt and last.’ With all the changes we have gone through and are still going through, a lot of us have learned the importance of being adaptable and resilient. I call it strategic optionality: the need to be financed so you have the shock absorber capacity that, when you get hit, you’re not out of the game. “Also, the importance of developing strength of culture. When we started ARC, we wanted great results and great fulfilment and we were not prepared to compromise on fulfilment for the sake of results. I am convinced that the approach is still valid. To have a true sense of fulfilment, you move ahead, get great results, success and build great relationships. That’s what it’s all about.” A key part of the Calgary business icon’s positivity and 48 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
supercharged outlook is, despite 30 years of success and earning an impressive reputation, staying relevant and contemporary – not only about challenging business aspects but about the technical and supply sides of the energy industry. “I am more and more encouraged by the impact of technology in the energy sector,” he says with genuine excitement. “There are so many extraordinary advancements, like horizontal drilling. And I am convinced that it’s a long march of progress when it comes to renewable energy. I’m challenging us to think deeper about what is and is not renewable. For example, I’m bullish about the present and the longterm future of natural gas. “Granted, there are uncertainties we have never seen before,” he warns. “Notably the inability to expand and access key markets because of infrastructure constraints. Alberta needs west coast access to Asian markets. Without infrastructure expansion and access to new markets like China and Japan, the western Canadian oil and gas sector could become the backwater of the North American energy industry.” Van Wielingen is a confident, decisive forward thinker who rarely looks back. But with just a hint of introspection and sentiment, he does have a regret. “I feel extremely fortunate with my life, my career and my circumstances but when I think back to what I used to rant and rave about, years ago, it feels strangely humbling. I look back and realize that my views were incomplete and shallow. I can’t believe I argued some of those things. The result is that I now feel more inspired to think more deeply, look for more insight, academic research and evidence-based understanding and not just that arm-waving stuff.” Maybe it’s his hectic, “unofficially retired” schedule that takes him from chair duties with ARC, looking after the good work of his family foundation, what he calls “the full commitment and serious responsibility” of serving on several Calgary boards. Or maybe it’s a side-effect of dealing with Haskayne students and faculty or how he intently listens to people and the insatiable way he absorbs facts and information that keeps Van Wielingen relevant and up to date. “I still feel I have a lot of exciting challenges in my life.” BiC
One Year After! • News
One Year After! The Flood of 2013 showed a lot about Calgary’s character BY JOHN HARDY
Enmax District Energy Centre on 9 Ave SE and 4 Street SE.
S
ometimes words are not enough. Shocking. Devastating. Brutal. Act of God. Freak of nature. Unpredictable. Horrible luck. The official Calgary records show June 20 and 21 as – The Flood of 2013! And as the corny cliché goes, “they will be talking about it for years.” The worst flood in provincial history rumbled over the banks of the Bow and Elbow rivers and although the deluge hit many low-lying communities exceptionally hard, it took particular aim at several downtown areas, crippling and virtually turning the core into a waterlogged ghost town. The downtown wasn’t the only casualty. The Scotiabank Saddledome had floodwaters up to the first 19 rows. The Stampede grounds were transformed into a sprawling pond, less than two weeks before opening day. The city declared mandatory evacuations of 26 neighbourhoods along both rivers, making 75,000 residents scramble for higher (and drier) ground. Mostly due to emergency safety precautions, Enmax and the city shut down power in the downtown core. Even the riverbank at the Enmax Substation #32 in the Douglasdale area of southeast Calgary was washed away, businessincalgary.com | BUSINESS IN CALGARY June 2014 • 49
One year After! • News
Enmax District Energy Centre.
and the power of the rushing water broke down the steel and glass front doors and flooded the vital Enmax facility. Total damage estimates from throughout the flooded region exceeded $5 billion and in terms of the $1.7 billion tab for just insured damages, “the flood of 2013” is officially the most expensive disaster in Canadian history. There were absolutely no positive sides of this horrific story. None. But an interesting angle was the first major Calgary area disaster in the Wi-Fi, Internet and social media age. It turned out to be a unique opportunity for important and instant communications with official details, alerts and updates from Mayor Nenshi, councillors, Enmax supervisors, the police, first responders and even some media who kept the public in the loop via websites posts, blogs, tweets, Facebook and Flickr. In two very long days, the floodwater started subsiding and the city lifted evacuation orders for several communi-
50 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
ties by June 23. The flooded downtown business district was without power and remained inaccessible until June 26. Most people can imagine or realize the obvious when it comes to disrupted business, downtime, lost time, backlogs and other business consequences of The Flood. Whenever there is a power outage in Calgary, Enmax takes the brunt of the public’s frustration. It was different during The Flood. Of course people understood the inevitable outage. But the logistically and technically complex Enmax operation was a feat of superb crisis management. “The mud and the silt made it an enormous mess,” explains the hands-on and focused Enmax CEO Gianna Manes. “Relatively little damage because our system is designed to be an underground system. The shutdown was not due to damage but a proactive measure done together with the city’s emergency management, mostly for public safety. “One of our major substations on the Bow River became
We are better together Southern Alberta has shown great resiliency since the flood, thanks to amazing citizens and their efforts for relief and clean-up with government support. We were proud be part of it, dedicating 200 boots on the ground to flood response.
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One Year After! • News
“The rebuild took about 8.5 months before we could reopen for business.” ~ Rielly Whitman, general manager of Earls Tin Palace Photos, these two pages: EARLS Tin Palace on 4th Street SW.
an island when the riverbanks washed away. But the enormity of our problem was cleaning up the mess and drying everything out so power could be turned on. “The east side of downtown was unfortunately shut down for eight days. But on Friday, June 28 at 9:28 p.m. we turned power back on. “The positive aspect is that we learned that our procedures and emergency planning is working really well,” says the personable Manes. “And this is such a unique and special city. As a community, we got through it together. The busi-
nesses, the people, the local politicians all came together.” The private and the subtle impact of The Flood is tougher to comprehend. The scramble to get home inspections and appraisals, file insurance claims and schedule the gamut of home repairs. Some families were grateful for the renovations to finish so they could finally move back home as late as this past March and April. Especially in ground-floor and basement-level downtown stores and restaurants, the damage was so extensive that some places had to close, were gutted and rebuilt
Proud member of the community helping to rebuild Alberta after the 2013 Floods.
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52 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
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One year After! • News
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before they could reopen for business. In several situations, the repairs and rebuilds took more than eight months, forcing staff to leave and find work elsewhere. Rielly Whitman is the remarkably upbeat general manager of Earls Tin Palace on 4th Street. He’s laughing now but a year ago he was actually crying. Earls opened that location just in time for the Calgary Olympics in 1988 and it has been a tremendously popular and successful Calgary hot spot ever since.
When Whitman showed up for work on June 20, he couldn’t believe his eyes. “At one point the restaurant was under four feet of water. When it was pumped out and dried out, we realized the whole thing had to be taken down to the studs. We lost all the electrical equipment and every piece of kitchen equipment,” he recalls with a shudder. “We had to do a complete, top-to-bottom renovation. “The rebuild took about 8.5 months before we could reopen for business.” THE RIVER is Calgary’s ultimate
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One year After! • News
Photos, these two pages: Verjee and Associates on 2nd Street SE.
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54 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
“We were without power for three weeks but we managed using a generator. There is a silver lining. Our staff is remarkable. They came together and did whatever it took and kept us going.” ~ Zul Verjee
One year After! • News
Heavy Equipment Guide, Print Ad, Experts, WSL Ws14-heavy-equip-45x475-experts.indd K four days just to pump FILE SIZE: 4.5" wide X 4.75” high | C M“ItY took out the parkade, replace three storm | US Newsprint SNAP 2007 drain lines, rebuild the entire power BLEED: 0.0" on all sides board and change all the duct work,” nods and winces Zul Verjee. “We were
Prepared by: Westminster Savings Marketing Department without power for three weeks but we Manager, Brand & Marketing Services: Ben Champion managed using a generator. D 604.528.3800 E bchampion@wscu.com “There is a silver lining. Our staff
luxury residential development: a dazzling boutique collection of 38 ultra-luxury residences in Mission – right on the Elbow River. Last June, as the heavy equipment was being hauled in to start development of the showpiece site, the flood hit. “We didn’t have massive damage because were just doing grading and had just finished the parkade,” recalls Anne Clarke, director of sales, THE RIVER. “We lost some heavy equipment, some of our trailers were washed away and there was heavy flooding at the site. But it turned out to be a blessing in some ways. We were just about to pour main-floor slabs when the flood hit, so we stopped all construction, got together with our teams of architects and mechanical and electrical engineers and made some major structural and design adjustments. “The end result? It will enable us to offer much better protection and offer superior flood protection – for the next time,” she smiles. What do 11 lawyers and the staff of a busy Calgary law firm do when an act of God makes it impossible for them to access their files, meet with clients, prepare briefs and go to court? They wait. In the case of Calgary’s Verjee and Associates on 2nd Street SE, they
is remarkable. They came together andDepartment did whatever it took and kept us Prepared by: Westminster Savings Marketing going.” Senior Graphic Designer: David Greb Chris Rosamond knew it would be D 604.528.3845 E dgreb@wscu.com a nightmare when he went to work try to connect by remote (luckily the on June 22, actually wearing a pair server is hosted off-site), reschedule of hip-waders. Rosamond is general appointments and wait 10 days for the manager of the popular Wurst German floodwater to recede and let them back restaurant on 4th Street SW in downinto their building. town Calgary.
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businessincalgary.com | BUSINESS IN CALGARY June 2014 • 55
One Year After! • News
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“It was fantastic how the community
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“It was like a lake! When I opened the door to the basement, there was nine feet of water; 7,000 square feet was flooded. There was actually a fish swimming around. “I took some photos, called the insurance and adjusters came down right away. We put in three pumps and after three days we were down to about one foot of water. It was devastating,” Rosamond remembers back and still shakes his head. “We tore everything out. We salvaged our beautiful big oak tables and shipped them out to get kiln-dried. We finally reopened on December 8 but we were fortunate. There were many, many people in Calgary much worse off. “It was fantastic how the community came together and everybody was helping everybody. It said a lot about the character of Calgary.” BiC
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came together and everybody was helping everybody. It said a lot about the character of Calgary.” ~ Chris Rosamond, general manager of Wurst
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The Export Awards Go National
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n the spirit of development and expansion into new markets, Canadian Manufacturers & Exporters and Glacier Media are proud to announce the addition of two new provinces to the Export Awards program; British Columbia and Ontario will each host their own Export Awards later this year. BC has been hosting an export celebration for over 35 years; 2014 will be the first year it will be produced by Glacier Media. Each provincial ceremony will feature the same high calibre finalists and speakers that you have come to expect from the Alberta Export Awards, and celebrate the contributions that exporters have made to the provincial and national economy. For more information, including sponsorship opportunities and nomination forms, please visit www.canadaexportawards.com.
E XPORT AWA RDS
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Ontario Export Awards, November 6 2014, The International Centre, Mississauga, ON BC Export Awards, November 12, 2014, Hyatt Regency Hotel, Vancouver, BC Produced By:
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Hi-Kalibre Equipment Ltd.
Patrick Rabby
H
i-Kalibre Equipment Ltd. develops and manufactures blowout prevention equipment for the oil and gas industry. Every Hi-Kalibre part goes through a full dimensional inspection two separate times before it is assembled or shipped; and as the company president, Patrick Rabby, is proud to point out, “Our parts and equipment ship globally, and from our customer’s standpoint they have to be perfect. Their safety and productivity depends on it. “I think what Hi-Kalibre has done to become a committed global partner in our industry has been to focus on agility without compromising quality or reliability,” says Rabby. “Custom solutions can be engineered and shipped in a matter of weeks.” Initiatives that have supported Hi-Kalibre to become this agile supplier include in-house engineering and design validation, vertically integrated manufacturing facilities for control of manufacturing quality and delivery, and third-party engineering product line design approval to improve timelines for ABS or DNV approved projects. “The advent of Top Drive drilling technology has been an important part of the significant advances in the drilling industry,” explains Rabby. “We are proud to have pioneered products that are of benefit to Top Drive manufacturers, owners and operators. We invented Dual Ball Drill Stem Safety Valves, which are compact mud control and safety devices specifically designed for Top Drive rigs. We also developed one of the first Top Drive actuators in the market. Hi-Kalibre has proudly patented these products; we truly helped revolutionize inside blowout prevention and mud control in our industry. Our Dual Ball Valves are used on the largest offshore rigs in the world. To date we hold nine patents in the U.S. and Canada for these and other products. “We were thrilled to be considered an Export Awards finalist,” concludes Rabby. “My thanks goes to all our valued customers. Without them, this company would not have enjoyed the success we have had over the past 28 years. I would also like to express my thanks to our employees for their dedication and commitment to our company and our industry.”
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BLOWOUT PREVENTION EXPERTISE BY DESIGN At Hi-Kalibre we have supported global oil and gas exploration and development for nearly 3 decades. Our patented blowout prevention equipment works first time, every time, without fail - because you and your crews depends on it. We will proudly provide the same exceptional products and service in the years to come - our reputation is built on it.
We are commited to the safety and productivity of the drilling industry. Our quality products and services include:
• Drill stem safety valves • Drill stem rotary hydraulic actuators • Service and completion safety valves • Quarter turn ball valves • Compact ball valve manifold solutions • Engineering and custom valve design • Full service and repair facility
Hi-Kalibre Equipment Ltd Phone: 780-435-1111 Email: hke@hikalibre.com
www.hikalibre.com Visit us at the Global Petroleum Show in Calgary, June 10-12, 2014 - Booth 5507 in the Big Four.
KUDU Industries Inc.
Ray Mills
K
UDU Industries manufactures and supplies equipment used for pumping oil wells and dewatering gas wells. Recognized as one of Canada’s 50 Best Managed Companies, this progressive business has been pumping out solutions since 1989. KUDU products and services are suited to any environment with PCP systems that work with all grades of oil, as well as coal bed methane and dewatering applications. “I was always very interested in the oil and gas industry,” says Ray Mills, KUDU Industries co-founder and CEO. Mills has good reason to be. He grew up watching his entrepreneur father create technology for the energy industry. Ray’s father, Robert Mills, was a pioneer in the industry. He was one of the first Canadians to work with and create progressing cavity pump (PCP) technology. PCPs maintain the pressure necessary to keep oil flowing from a well while reducing clogging and other issues commonly seen with conventional pump equipment. Although Robert’s first design has long since been phased out in favour of a more efficient drive system, the enthusiasm for creating efficient progressing cavity pump solutions has never wavered. KUDU’s manufacturing facility is located in Calgary. A second manufacturing shop in Lloydminster assembles custom pumps and power units for heavy oil applications. The Lloydminster location will soon be expanded to include additional KUDU products. Using lean management techniques and guided by the Toyota Production System (TPS), KUDU is a prime example of a local company that works efficiently, minimizes waste, strives for excellence and produces quality products for use in and out of Canadian borders. KUDU Industries has a Canadian award for excellence in manufacturing, but was still surprised – and pleased – to be nominated for an Export Award. “There are a ton of great companies that I’ve looked up to and recognized as great leaders,” says Mills. “I’ve learned so much from their leadership and how they manage their companies. I’d like to thank our entire team at KUDU. Because of them, we are successful.”
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At Your Service Helping customers get the most from their oil well is KUDU’s top priority. Whether the concern is production, efficiency, troubleshooting or training; partnering with KUDU gets results. KUDU’s proven artificial lift products handle the demands of heavy, medium or light oil; coal bed methane and dewatering applications. With locations around the world, we’re just around the corner, offering the best service standard in the industry.
Finalist for the Alberta Export Awards 2014
Bringing Solutions to Surface
kudupump.com
STRATA Energy Services Inc.
Jason Scheyen
S
TRATA Energy Services helps clients maximize value and efficiency by providing technological solutions for performance drilling. With a focus on managed pressure and under-balanced drilling, STRATA has been involved in over 500 projects across the globe since opening in 2004. Companies all over the world turn to STRATA for: rotating control devices, surface recovery and separation equipment, membrane nitrogen services, light snubbing services, engineering project management and equipment rentals, along with under-balanced and managed pressure drilling services. With offices in Red Deer, Calgary, Denver, Houston, Cheyenne and Kurdistan, this Albertabased business has gained worldwide recognition in a very short period of time. “Oilfield manufacturing and services is a dynamic industry,” says chief operating officer Jason Scheyen. “We develop our own technology so it is always interesting to see where technology is heading. Our company is a technology leader in our business and I enjoy being part of a team that continually pushes ideas forward and then executes on plans.” By using innovative strategies such as selling products to competitors to gain industry recognition and to finance the company, STRATA was able to achieve accelerated growth. They were the second fastest growing company in Alberta in 2008 (as per Alberta Venture Magazine), and the 36th and 83rd fastest growing company in Canada in 2009 and 2010 respectively as per Profit Magazine. Here at home, STRATA Energy Services is pleased to support Red Deer Minor Hockey, the Joe Schmidek Children’s Education Fund, suicide information and education services and the Canadian Diabetes Association. “STRATA has a great team of dedicated employees and I would not be able to support STRATA without the support of my family,” says Scheyen. “We are excited for STRATA to be recognized so prominently after so many years of dedication from so many employees.”
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Ready to raise your international profile? • Increase your knowledge of international markets • Develop business relationships in regions across the globe • Learn about projects available through international financial institutions • Spread the word about your value-added products and services abroad If you’re an export-ready Alberta company looking for advice, market intelligence or introductory services, the Government of Alberta is here to help build connections and provide the information you need to succeed in the global marketplace. For more information, visit www.albertacanada.com.
DIRTT Environmental Solutions
Scott Jenkins
D
IRTT stands for “Doing It Right This Time” and is also the motto Scott Jenkins, president, and co-founder Mogens Smed, CEO, live by. DIRTT brings together construction and technology to create a more sustainable, efficient way to build. Its proprietary 3D ICE® software technology designs, specifies and produces custom prefab interiors for industries including corporate, government, education and health care. DIRTT’s customizable solutions include DIRTT Walls, DIRTT Millwork, DIRTT Power and DIRTT Networks; all work together to create environmentally sustainable, flexible, productive interiors. “Construction is one of the world’s oldest and largest industries, and we are using technology to flip it on its head,” says Jenkins. And flip it they did! DIRTT was incorporated in 2004, started selling in 2005, and in 2013 achieved nearly $140 million in sales with a team of approximately 800, and a network of 100 distribution partners across the globe. DIRTT does more than provide outstanding, sustainable construction solutions. “We are big believers in building value for stakeholders (community) not just shareholders,” says Jenkins. “At DIRTT, we are very proud of our donations, time and work with Ronald McDonald House, United Way, Adopt a Family and more.” DIRTT is equally proud of their nomination, pointing out the difficulty of being recognized as an export leader when your company is not part of Alberta’s robust oil and gas sector. “I have a dream job, I must admit,” laughs Jenkins. “We [the company] are like young, brash teenagers thinking we can conquer the world! We work hard and we play hard. I know this team can accomplish great things, and I’m proud of them.”
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IMC International Mascot Corporation
Joel Leveille
I
nternational Mascot Corporation (IMC) is the driving force behind thousands of instantly recognizable mascots worldwide. Hershey Corporation, SeaWorld, Carnival Cruise Lines, A&W Restaurants and countless sports teams turn to IMC for mascots, mascot services and mascot accessories. “I saw a business opportunity and decided to explore it, to determine its potential,” says CEO Joel Leveille. “Within five years I came to understand the wide array of opportunities available in the character costume industry. I sold my business interests and focused 100 per cent on IMC with my business partner at the time, Brian Baker.” This single-minded focus on IMC had plenty to do with the competition, but not in a way you would expect. While analysis of the competition was completed in pursuit of IMC’s accounts, Leveille is happy to say, “We place a high value on respect for our competitors. We always speak highly of them and reach out to establish personal contact. When opportunity and circumstances dictate, we send referrals to them.” This gracious thinking, which is as unique as the characters turned out by IMC, is partly why the costume giant has been an international success for over 25 years. Another reason is because IMC provides a full range of services for their clients, from costume design to maintenance, cleaning and repair. IMC also provides inflatables, plush toys, promotional products and animatronic character displays. IMC sales and manufacturing facilities are located in Edmonton and Atlanta. Satellite offices are in California, New York and Madrid. When not delighting audiences near and abroad with imaginative characters, IMC can be found supporting the Crohn’s and Colitis Foundation of Canada, Edmonton’s local hospital foundations, numerous Edmonton festivals, juvenile diabetes research, sports teams and much more. “I was humbled to be nominated,” admits Leveille. He thanks all current and past employees, IMC’s suppliers, HSBC for their advice and support, current president Brendan Watson and his family, business partner Brian Baker, lawyer John Huckell, IMC’s accountant Brian Farrell at MNP LLC and his wife Michelle. “Keep dreaming and keep an open mind,” concludes Leveille.
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NOVA Chemicals Corporation
N
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Grant Thomson
OVA Chemicals Corporation was founded in 1954. With a mission to enable the development of great plastic products that make life easier, healthier and safer, NOVA Chemicals uses advanced process technology solutions to create high-quality polyethylene and polystyrene products for customers in North America, Asia, Latin America and Europe. “We believe in a zero-injury workplace,” says Grant Thomson, president, olefins and feedstock, as he explains one of NOVA Chemicals’ core values: responsibility. “We value the safety and well-being of our co-workers, communities and the environment. Everything we do includes the goal of sustaining them for the future.” Additional values of equal importance include a strong focus, collaboration with all stakeholders and being straightforward in everything they do. NOVA Chemicals is committed to challenging and improving their industry. “In Eastern Canada, we are upgrading our Corunna facility, enabling it to utilize up to 100 per cent natural gas liquids feedstock,” explains Thomson. “In December 2013, we reached a key milestone in the project and were the first mover of Marcellus-based ethane – with our Corunna facility being the first to receive and begin cracking ethane supplied from the Marcellus Shale basin as a routine component in our feedstock diet.” In Western Canada, NOVA Chemicals has continuously innovated through diversification of their feedstock slate as well, reducing dependence on natural gas from border flows. “We were the first to recover petrochemical feedstock in the form of ethane from oilsands upgrading in Alberta, through our agreement with Williams Energy,” says Thomson. The company is also accessing ethane from oil-based shale development in North Dakota to bring north across the U.S. border via the Vantage pipeline, as well as accessing ethane from field sources not associated with border flows. Active community engagement is key for NOVA Chemicals. “We value the safety and well-being of our communities and the environment, and work collaboratively to provide open dialogue and outreach. We lend a hand through our active service and to invest in select organizations dedicated to making a difference and improving quality of life. Through projects such as tree plantings and wetlands programs, NOVA Chemicals’ employees and volunteers engage in the health and safety of their communities year-round,” says Thomson. The Export Award nomination is a welcome recognition amongst many other awards, such as the Canadian Medal for outstanding achievements made in business development in the field of chemistry or the chemical industry (2013), the Pennsylvania Resources Council Innovative Recycling Award (2013), ICIS Company of the Year (2012), Elite U.S. Customs Trading Partner (2012), United Way Centraide Canada Thanks a Million Award for contributions of over $1 million in 2011 and 2012, a Community Builder Award (2012) and numerous safety awards.
Making everyday life easier, healthier and safer. Thank you to our employees, communities, customers and suppliers for helping NOVA Chemicals add value to Alberta’s natural resources. At NOVA Chemicals, we turn natural gas liquids into ethylene into polyethylene—that gets turned into thousands of great plastic products, like your mulch bags. Throughout the petrochemical value chain, we’re committed to health, safety, and the environment—to help make everyday life easier, healthier and safer.
novachemicals.com A Responsible Care® company.
PERFORMANCE DRIVEN. CUSTOMER INSPIRED.
EMSCAN Corp.
Stéphane Attal
E
MSCAN develops and sells leading-edge lab bench solutions for printed circuit board engineers and antenna engineers to test electromagnetic emissions; reducing if not eliminating the need for an anechoic chamber. These solutions are based on patented fast very-near-field magnetic measurement techniques. The company enables accelerated time-to-market for PCB engineers, antenna designers and wireless engineers. EMSCAN has thus helped transform the design process for manufacturers of cellular, Wi-Fi, RFID, military, consumer electronics, automotive, semiconductor and medical devices. “I was recruited to turn around the company,” says CEO Stéphane Attal. He proceeded to meet the challenge with a mind full of great ideas, relentless drive and unbridled enthusiasm. “I took on the job when I saw that the fundamentals were outstanding: a great team and very innovative patented products for a market large enough to sustain aggressive growth.” “EMSCAN was rebuilt from the ground up; a massive overhaul,” explains Attal. “The products were great, but they needed to be brought to the market’s and end-user’s attention to generate revenue. Solid sales and marketing strategies were required first. EMSCAN was rebranded, product packaging was redesigned, a new attractive and informative website was developed, a corporate brochure and data sheets were created and we made sure it was easy for suppliers and clients to communicate with us. Then we embarked on getting EMSCAN known through trade shows, technical seminars, webinars, articles, social media and more.” But he didn’t stop there. “With sales and marketing in place, it was time to develop new products. EMSCAN invests heavily in research and development to deliver leading-edge solutions, in excess of 40 per cent in 2010 and around 20 per cent in 2014,” Attal continues. “In parallel, EMSCAN’s offices were redesigned to provide an outstanding work environment and to foster cooperation and innovation. EMSCAN’s IT was upgraded with Microsoft 365 and Dynamics CRM. More importantly a ‘team’ was forged; a focus on quality and on customer care was elevated to a mantra level, and EMSCAN invested and continues to invest in employee training and recognition.” That was four years ago. Today the company is thriving corporately and among its peers. “We are elated and grateful that EMSCAN’s team efforts have been recognized by others,” says Attal of the Export Award nomination.
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Pure Technologies Ltd.
Peter & Jaime Paulson
P
ure Technologies was founded in 1998 and is on a mission to provide owners of critical pipelines with innovative management solutions that prevent failures, reduce capital expenditure and lost revenue, and contribute to a sustainable future. “We are renowned for our engineering and technical expertise, client-first approach and ability to develop innovative solutions that solve specific issues,” says Pure Technologies chairman, Jamie Paulson. “Throughout our history, we have constantly challenged the status quo in this industry by developing new solutions to assess and manage critical infrastructure,” explains Paulson. “Our primary industry, municipal water and waste-water pipelines, has seen most of this innovation. Previously, there was no way to assess large-diameter pipelines without taking them out of service, which affected a huge number of end users. These assets were also not designed to be inspected, which created a need for solutions that met the difficult operational requirements.” After identifying this challenge, Pure Technologies developed technologies to assess the condition of live pipelines. This represented a major step in the industry, as critical pipelines could now be assessed for structural damage without affecting service. This allowed operators to prevent pipes from failing and renew assets selectively in favour of replacing them entirely. That was just one of the ways Pure Technologies has changed the industry. They also had the foresight to realize the majority of large-diameter water and waste-water pipelines constructed many decades ago were close to the end of their serviceable life. By providing solutions that help operators identify areas on pipelines that are most in need of repair, the company helped shift utilities toward proactive management, which contributes to environmental sustainability and fiscal responsibility on the part of operators. Pure’s solutions have now been enhanced and applied to the oil and gas industry to verify containment as part of integrity management programs, which is a growing focus of the business. With a Cleantech Stock of the Year (2013) Award, Water’s Next Award (2013) and a Canadian Institute of Chartered Accountants Corporate Reporting Award (2012) already in their trophy case, Pure Technologies is pleased and grateful to be recognized with an Export Award nomination.
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Streamline Automation Ltd. Dwayne Lehman & Jacob Groen
Y
ou’ve seen their work; those iconic sculptures that characterize Las Vegas’ massive hotels, dimensional signage with 3D images, the statues in Disneyland, intricately detailed architectural finishes and lifelike displays in museums. As you pause to admire the realism and fine detail, did you ever stop to wonder who was behind it all? Streamline Automation is a powerhouse in the automated 3D carving industry, and their focus and drive has seen the company rise from idea to international success in just 14 short years. With applications for 3D carving in virtually every industry including arts, automotive, construction, medical and hospitality, Streamline supports an impressive client list on every continent and in dozens of countries worldwide. “Dwayne (Lehman) automated the ice sculpture process,” says Jacob Groen of his co-founder. “Then he started streamlining automated production processes for large sculptures.” Groen’s induction into Streamline Automation was almost accidental. “I was Dwayne’s accountant,” he laughs. “I financed his original company and as the company grew, I got more and more involved in it.” Today the results of this dynamic duos work can be seen around the globe. In fact, the world’s tallest sculpture (525 feet) is currently being built in India using Streamline Automation’s system. The source of Streamline’s success is their FROG3D® system. FROG3D® (Foam Replication of Organic Geometry) is a stateof-the-art, automated 3D carving solution. Fully integrated, the system is built around Streamline’s FROGMill™, a sophisticated four-axis CNC carving router that carves foam, plastic, wood and aluminum. With cutting-edge 3D scanners, FROGScan™ and FROGScan™ Flash (a portable version) to generate exact 3D digital copies of any (and they mean any) physical object; FROGWare™, a complete line of 3D digital modelling software; FROGWire™, an industry-leading hot wire cutter; and FROGSkin™, a delivery system for a specialized range of FROGCoat™ protective coatings for finished works, FROG3D® takes a project from design through to completion with speed, precision and stunning results. “I think one of the most interesting things that happened along the way was that we slowly started building our own manufacturing systems,” says Lehman. “We manufacture 75 per cent of our own equipment now. We have our own brand and we manufacture. We are like Apple Inc. in that we control everything from start to finish.” While the co-founders were surprised at their nomination, Groen had to admit, “It made sense. We export everything we make!” Groen and Lehman thank their incredible staff who have helped them achieve this industry recognition.
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SAIT Polytechnic
Dr. Alex Zahavich
W
ithout educational institutions developing the bright minds of Alberta’s export leaders, the export industry would not thrive. Dr. Alex Zahavich, vice president of corporate development and applied research at SAIT Polytechnic explains, “The vice president, corporate development and applied research, has the responsibility of developing and executing on opportunities, locally and globally, outside of SAIT’s core business of grant-funded education. This includes providing learning opportunities for individuals developing their careers through continuing education at SAIT or at a distance. As well, it involves meeting the training needs of corporate clients and other institutional partners. In addition, the division meets the needs of industry through applied research and innovation services, which assists in the development of products and processes while providing students the unique opportunity to develop their entrepreneurial skills through these industry-led projects.” Alberta’s post-secondary education system is critical in developing the competencies that students will need in order to be prepared for careers in today’s global marketplace. A wide variety of academic and industry-based training programs are available in Alberta’s post-secondary institutions to support growth in this area. For instance, supply chain management, both domestic and international, is taught in many of Alberta’s post-secondary institutions. SAIT does more than provide an educational link in the export chain. SAIT exports a valuable commodity as well. “For more than 20 years, SAIT has been a significant exporter of educational services to labour markets around the world,” says Dr. Zahavich. “In particular, SAIT has been involved in developing energy-based educational training programs and facilities across the globe. This includes SAIT’s workforce nationalization training programs, which were the basis of SAIT’s submission for an Alberta Export award. These programs have been offered to oil and gas industries based in many different countries, including Angola, Kazakhstan, Australia, Trinidad and Tobago, Syria, Libya and Venezuela.” SAIT is pleased to be recognized with a nomination for its efforts in workforce nationalization and wishes to thank the Province of Alberta, the Government of Canada and, most important, its industry and institutional partners for the years of continued support.
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THIS CHANGES INDUSTRY. Our commitment to research, innovation and technology set in motion 10 years ago has made SAIT Polytechnic Canada’s number one research college today. SAIT is setting new standards in applied research and innovation. Take, for example, the laser induced breakdown spectrometer, LIBS. One of the first in Canada, this technology precisely blasts a tiny piece of solid material to provide instant composition analysis. For our industry partners LIBS means access to new approaches that boost productivity and profit. For our students this means leading-edge learning opportunities. Find out how SAIT can make a difference for you.
THIS CHANGES EVERYTHING. SAIT.ca
Champion Petfoods LP
Frank Burdzy
C
hampion Petfoods® is a proud Alberta-based agricultural company with a long history in rural Alberta. “As Canada’s largest independent pet food maker, our three-part mission is to make Biologically Appropriate™ dog and cat food from fresh regional ingredients that are never outsourced,” says president and CEO Frank Burdzy. “Our brands, ACANA and ORIJEN, are found in over 70 countries and more than 100,000 pet specialty retailers. At Champion, we’re committed to building trust with pet lovers, supply partners, our local community and public institutions worldwide.” Champion is no stranger to the world markets. Exports have long been a key to their growth. The company was founded over 196 dog years (28 human years) ago with a clear emphasis on the global marketplace. The founder, Reinhard Muhlenfeld, had the vision of providing dog and cat food to feed pets worldwide, and this vision remains a focus today. Now, as in the past, the whole Champion team is dedicated to pet lovers all around the world. Over the past 20 years, Champion established lasting distributor partnerships in each export market, where distributors, exclusive to ACANA and ORIJEN brands, are focused on educating and selling only to pet specialty shops — there are no mass market sales. The progressive company also invests in their local and regional community. “Champion invests $500,000 in Morinville and Sturgeon County families,” Burdzy explains. “Champion is proud to partner with several local organizations, including the Morinville Library, Cultural Centre, Festival Society, Chamber of Commerce, Youth Basketball Association, Community High School, as well as several regional animal rescue organizations.” Champion Petfoods® is no stranger to winning awards, having already gained a Nashville Paw Award, a six-dog ranking from Dogfoodanalysis.com, three consecutive “Pet Food of the Year” Awards, Alberta’s Premier’s Award of Excellence (2007), Manufacturer of the Year (2008-2009), first place in SPOT Magazine’s Top Dog Awards – ORIJEN (2013) among many other awards and distinctions. “Being a finalist for the 2014 Alberta Export Awards in the agricultural and consumer products category is an honour,” smiles Burdzy. “Our 250 teammates work very hard to export our Biologically Appropriate™ foods to over 70 countries. They drive our innovation.”
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Green Prairie International Inc.
John Van Hierden
G
reen Prairie International Inc. embodies the sentiment “necessity is the mother of invention.” Over his career, John Van Hierden, company founder and president, applies persistent creativity until he finds solutions to problems facing the company. Located near Lethbridge, Alberta, Green Prairie is a wholesale supplier of forage hay products, primarily timothy and alfalfa. The company’s main markets are in Asia and the Middle East. At its beginning, the hay exporting industry was faced with high shipping costs. Technology at the time only allowed shipping eight tonnes in a container with shipping costs priced per container and not by weight. With the industry tackling this problem, Green Prairie invented and patented a machine to compress bales to allow 26 tonnes to fit into a container and to improve production from four bales to 12 bales per minute. Another feature of the machine was a finished bale slicer for production of smaller packages that are easily handled by Green Prairie’s export customers. This new machine also allowed farmers to bale hay into large 4x4x8 bales instead of the typical small square bales. This change introduced efficiencies in baling and transportation. The company sold the patent to an Alberta manufacturer and this machine became the world’s top selling hay press, used on every continent. After this success Green Prairie worked with the manufacturer to design and build another press that produces a large 450kg package, now one of the industry’s most popular packages. Today Green Prairie is in another growth stage, increasing production capacity and introducing to Canada a new production line to dehydrate and dry long-fibre hay for its export markets. Last year Green Prairie International Inc. celebrated their 25th anniversary and was recognized as an industry leader with a Dale Carnegie award. Even so, the Export Award nomination still managed to catch Van Hierden by surprise. “It’s a great thing,” says the company founder. “I am proud to be part of the growth in Canada. I really am thankful for all the staff. I have great support and a great attitude from our team. Our success comes from the entire team working together.”
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EMSCAN Corp.
Stéphane Attal
E
MSCAN develops and sell worldwide real-time lab bench electromagnetic measurement test solutions. EMSCAN’s systems not only require low CAPEX and OPEX, but they also deliver significant return on investment for clients’ R&D through immediate reduction in outsourced/allocated anechoic chamber costs, higher revenues from substantially shortened time-to-market, increased designer productivity, lower costs and elevated innovation. Further expansion will come from transforming testing for clientsmanufacturing processes as well. “My entire career has been focused on growing high-tech companies through aggressive worldwide business strategies,” says CEO Stéphane Attal. “On the sales side, I first went to visit every sales channel of EMSCAN (manufacturer’s representatives in the U.S. and distributors overseas) and as many customers as possible worldwide to listen to what they liked and disliked about EMSCAN. Then the team went on to fix everything that needed fixing. The most critical action item was the development of a ready-towoo demonstration kit, which required a massive investment in equipment but ensured that every demonstration by our sales team was successful each time. I then recruited and/or replaced sales partners globally in every market where there was a need for our products; this continues every year to make sure sales channels are qualified and passionate about selling EMSCAN. I also introduced annual sales meetings for all the sales channels in the three main regions (North and South America, Europe/ Middle-East/Africa and Asia/Pacific) to reward, motivate, inform and train our sales partners. We then became a partner of Agilent (soon Keysight Technologies); EMSCAN is thus benefiting from the reputation and the marketing might of the largest electronic test and measurement manufacturer in the world. Finally, manufacturing was outsourced to help EMSCAN focus its resources and attention on what was critical to its success.” In 2010, EMSCAN received the Frost and Sullivan Best Practices Award for Global RF and EMC Measurement Technologies/Customer Value Enhancement. EMSCAN is elated to be nominated for an Export Award in 2014.
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Extreme Telematics Corp.
Mark Scantlebury
E
xtreme Telematics Corp. (ETC) is an expert in advanced technology for the oilfield. “ETC is known for building low power, wide temperature range, hazardous locations approved controls and sensors for the oil and gas industry,” explains president and CEO Mark Scantlebury. ETC’s product line includes a waste-reducing chemical injection system, a reliable plunger lift controller and sensor, solar panels and more. “We knew that to grow the company, we needed to increase the number of products we sold, diversify into other vertical markets and expand geographically,” Scantlebury continues. “We really focused on solidifying our brand here in Canada first. After we rebranded and started taking over the Canadian market, we focused on rebuilding our main product for a broader market. We designed a second-generation controller and designed it to be certified to an international standard so it could be sold in more markets. This certification, combined with a more cost-effective configuration, allowed us to enter the U.S. market. During the same period, we designed a sensor to complement our controller. It was also more rugged and reliable than anything on the market. Armed with these products, we made a concentrated push into the U.S. The fact that we have a number of challenges locally with cold temperatures, low sunlight and strict regulations really helps us to build products that can run anywhere in the world.” With a successful push into the American marketplace, ETC is looking forward to expanding their team, adding additional products and pursuing ISO 9001 certification. Here at home, the energetic company contributes to different charitable causes each year, such as adopting a family at Christmas, supporting the women’s shelter and participating in Movember. “The success of ETC is truly a team effort,” concludes Scantlebury. “We have amazing people in every area of the business including operations, sales/marketing and technology. None of the growth we are seeing would be possible without our amazing corporate culture and the fact that everyone has bought in and is pulling in the same direction.”
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Hunter Well Science Ltd.
Lane D. Roberts
H
unter Well Science delivers world-class products backed by world-class support. The design team has over 100 years of combined experience and creates innovative oil and gas industry solutions for downhole logging and data acquisition products, data transmission, surface acquisition, processing and support. A progressive company, Hunter Well Science develops software to support their products and creates customized parts when applicable. CEO and company president Lane D. Roberts harboured a vision to deliver to the global industry a new generation of technologies. “The best way to fulfil this vision was to build a company totally focused on it,” says Roberts. He did just that, founding Hunter Well Science in November 2009. “The industry up to that point had relied on electronics that required component level repair after exposure to harsh downhole environments,” explains Roberts. “Our change was to fully test complete boards that could be plugged in and simply replaced without expensive troubleshooting. The number of different types of electronic boards typically required for inventory numbered in the hundreds to support this technology. Another industry change we created was to move much of the design into firmware, allowing us to standardize our electronic boards. We now have five different boards ready for programming and overnight global delivery. Much of the top-tier technology was only available from multinational service companies. Our top-tier technologies are made available to service companies located regionally across the world.” Hunter Well Science is a relatively small company with less than 30 employees and just over 30 international clients, but they are making a big impact at home and overseas; and not just for their outstanding technology. “We support a technical college (Haiti Arise) constructed by a charity organization in Haiti. We are a company made up of technical people and Haiti Arise seeks to deliver technical skills to a nation desperately short of these types of skills,” says Roberts. As a small and new company, the Export Award nomination came as a surprise for Hunter Well Science, but as they know they have carved out a unique position in the global market, Hunter Well Science is pleased and grateful to be recognized in this way.
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Charles Ma
C
harles Ma is the International Business Studies Award winner. Ma is a fourth-year bachelor of commerce student at MacEwan University. He took part in the inaugural MacEwan University International Trade Simulation (ITS). Competing against five teams, Ma and his business partner secured the (simulated) trades and deals that gained them first place and the coveted ITS Best Company Award. Ma also participated in MacEwan University’s Florianopolis, Brazil field study. “It was an exciting, unique and nerve-racking adventure,” laughs Ma. “The trip meant working in several groups alongside Federal University of Santa Catarina students. We developed a corporate education strategy for the CERTI Foundation – a business incubator for technology and market innovations in Brazil. Additionally, we were given the opportunity to become junior consultants for a startup technology company called, Nanovetores (that specialized in nanotechnology). Our task was to research the logistics of expansion and development into North America, which led to collaborative help from Canadian business incubator, TEC Edmonton. Following his experience in Brazil, Ma was thrilled to be accepted into the exchange program between MacEwan University and Switzerland’s Lucerne University, where Ma will complete his international management and economics major during the winter 2014 term. “I am steadfast in contributing to the international business and trade industry that supports our global economy,” says Ma. “After graduation, I plan to attend law school in Canada. I wanted to create experiences and memories that I could not only look back on, but also look forward to as well. MacEwan University created the environment and offered the opportunity in order to make that happen. My friends and family also played a pivotal role in supporting and encouraging me to pursue my career and life goals – I definitely didn’t get to where I am now on my own.” An avid tennis player, Ma plans to capitalize on the opportunity to attend the Roland Garros tournament (French Open) in Paris, and will also be volunteering his time for the upcoming Rogers Cup tournament in Toronto when he returns from Switzerland. He hopes that his next big international experience will be participating in Alberta Abroad’s Externship Program next summer.
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John Cotton
J
ohn Cotton, senior affiliate with Ian Murray and Company (IMC), has been nominated for an Export Award due to his 30-plus years of government work in the field of international relations; a nomination, Cotton feels, is ironic. “I thought it was important to recognize the work of our exporters. I was on the founding committee for the Alberta Export Awards,” says Cotton. “Now I’ve been nominated for one!” The journey behind the nomination started in 1982 when Cotton took a job in federal/provincial relations. When an opening came up in international relations, Cotton was ready. “I had an interest in that area and had training for it. This was an opportunity to build on that.” For over three decades Cotton worked tirelessly, collaborating with and advising Alberta’s many industries to work with the government in making Alberta an export leader. “We developed sophisticated advocacy programs for the energy industry to promote an accurate picture of our oilsands development,” says Cotton of one of the many initiatives he spearheaded. “Image is important when looking for new markets. “I think through a career with the Alberta government, we have always looked for innovative ways to work with associations to promote the industry internationally. Government has an important role to play in helping companies take advantage of opportunities in international markets. The quality of life Albertans enjoy is because of our ability to export our products and services worldwide.” Retiring from that position hasn’t stopped Cotton from international pursuits. He enjoyed five years in Japan, working in the Alberta trade office, and now with IMC continues to promote the business interests of the company’s clients. Cotton enjoys contributing to the United Way, is a member of the Rotary Club of Edmonton, is the vice president of E4C and sits on the advisory committee for the business program at Grant MacEwan, among many other altruistic pursuits. “I was quite shocked by the nomination but also honoured that people I worked with throughout the years felt that way about my involvement in the industry,” smiles Cotton. He would like to thank Patricia Glen and Doug McNeil from the Export Awards committee, his past and present colleagues, and all those who supported him over the years.
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Message from the Honourable Cal Dallas
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n behalf of Premier Dave Hancock and the Government of Alberta, welcome to the 2014 Alberta Export Awards. Today’s event is a unique opportunity to thank all of you for the pivotal role you play in both Alberta’s and Canada’s economic sustainability. Making up one-third of our economy, Alberta’s success is driven by our global exports. With more than $102 billion in goods exported last year alone, Alberta companies are leading Alberta’s economic growth by keeping their sights on the world stage. Alberta companies are among the most innovative in the world. You form relationships between our province and new markets, showcase Alberta’s innovative products, services, technologies and solutions and exhibit the entrepreneurial spirit Albertans are known for. Through Alberta’s international office network and dedicated staff, we are committed to working with all of you to develop and grow markets abroad. Key to the Building Alberta Plan, new markets mean more economic opportunity, better jobs and fairer prices for Alberta’s products and services. Thank you for your inspired vision and unwavering dedication to helping unlock long-term opportunity for our province. On behalf of the Alberta government—and all Albertans—I wish you even more achievements and success in the year ahead.
Cal Dallas Minister of International and Intergovernmental Relations
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Waiting for Obama • Oil & Gas
Waiting for Obama The dilemma of getting oil to market |
BY PARKER GRANT
C
sometimes contentious Keystone XL pipeline decision anada and especially Alberta have a problem. until after the American midterm elections in November While the country and the province continue to and possibly even leaving the hot topic on the Oval Office be oil-rich, they are also, almost to the point of desk for the next U.S. president to deal with, after the desperation, transportation-poor. 2016 elections. Only a fifth of the world’s oil reserves are accessible to While most Canadian oil industry and Keystone boostprivate-sector investment. Alberta has proven oil reserves ers are chanting choruses of blatant political strategy and of 170 billion barrels consisting of bitumen (about 168 gamesmanship by the White House, even opponents like billion barrels) and conventional crude oil (1.7 billion some environmental groups are in unusual and strange barrels). A staggering 55 per cent of all Canadian crude agreement about the time-wasting and pricey frustration production is from the Alberta oilsands. of waiting for Obama and not knowing, either way. That’s why viable ways to get the oil to market is such With every decision delay, the eventual price of Keya hot topic. stone keeps growing and impacts the planning needed for For the public and the media, the fine line between backup options and plan Bs. distraction and diversion invariably Saskatchewan Premier Brad Wall seems to cross the preoccupation with warned in a formal statement following waiting for Obama. the latest mid-April delay announceMost western oil boosters from the ment from the White House that he is likes of outspoken and feisty Sasdeeply concerned and called the delay katchewan Premier Brad Wall, labour a major disappointment. unions representing anxiously waitA portion of the 2,700-kilometre ing pipeline construction workers Keystone XL pipeline that would move to TransCanada CEO Russ Girling the bitumen from Alberta’s oilsands has were surprised, broadsided, fed up, been waiting for more than five years disappointed and furious with the for U.S. approval and would ultimately most recent (late April) White House take the oil through a portion of Sasannouncement that waiting for katchewan, into Montana and South Obama will continue for most of this Dakota to a hub in Nebraska where it year. would connect with existing pipelines The American president has again to carry more than 800,000 barrels of decided – not to decide. crude oil a day to Texas refineries. There is yet another delay about Brad Wall, Premier of Saskatchewan. “The pipeline has been studied long the much lobbied, long-awaited and businessincalgary.com | BUSINESS IN CALGARY June 2014 • 89
Waiting for Obama • Oil & Gas
“The worst case scenario? If the Americans say “no” to Keystone, we have to remember that Canada has three coasts and that Canada will get the oil to world markets.” ~ Andrew Leach, the Enbridge professor of energy policy at the University of Alberta Andrew Leach, the Enbridge professor of energy policy at the University of Alberta.
and hard,” Wall says. “It will create thousands of jobs on both sides of the border, it offers a safe and efficient method of moving large volumes of oil, and, according to a long, detailed environmental assessment by the American State Department, Keystone will not contribute to a net increase in greenhouse gas emissions. “Approval of the project is critical to the successful transport of other commodities in Saskatchewan. Grain, potash and other commodities suffer every day the Keystone XL pipeline is not being built,” the premier warns. “These politically motivated decisions are hurting the economy, the U.S. economy and our ability to develop new markets and support North America energy sustainability. The United States needs to quit wavering and make a decision based on the facts, which support the construction of Keystone. “The delays represent a major blow to the energy industry in Saskatchewan and in Canada and will place unnecessary strain on relations with our largest trading partner,” says the dynamic and personable Saskatchewan premier. Keystone XL is unarguably an extremely high-profile and big piece of the long-term Canadian oil puzzle. Industry insiders, analysts, economists and academics are unanimous in cautioning that although the colossal, expensive and contentious $5.4-billion (U.S.) pipeline, in its sixth year of review, is vitally important despite the constant attention focused on it, the pipeline must not be considered the proverbial “eggs in one basket” or the be-all and end-all of Alberta’s or Canada’s oil strategy. “Look! If we take the Canadian oil industry at their word, they are targeting production of nearly six million barrels a day,” snaps the fiercely knowledgeable and outspoken Andrew Leach, the Enbridge professor of energy policy at the University of Alberta, where he teaches courses on energy markets, energy investments and environmental policy. “There’s no doubt that Keystone is important but even if it was up and operational, on a good day it could handle only 700,000 barrels a day. Clearly the industry knows that with 90 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
or without Keystone, they must and are undoubtedly making plans about various options for getting oilsands product to market.” Now and then, the American push for energy self-sufficiency triggers (some say fantasy) fears of a U.S. that will no longer need Canadian oil and Canada confronting an economic catastrophe of unprecedented proportions. Most agree that kind of a scenario is not likely for at least a couple of generations, if at all, since the North American culture and lifestyle are so heavily reliant on fossil fuels. Leach shrugs that it’s all usually bluster. “Despite much talk about alternative and renewable energies the fact remains that the U.S. is and will remain Canada’s largest oil market and is going to continue importing significant amounts of crude oil for many years. But the worst case scenario? If the Americans say “no” to Keystone, we have to remember that Canada has three coasts and that Canada will get the oil to world markets,” he says with confidence. While many American Keystone advocates and lobbyists were also outraged by the April delay announcement and they keep pleading the case for the approximately 13,000 jobs the pipeline construction would create and assure energy security and eventually eliminate American reliance on Venezuela, Moscow or the Middle East, they point out other options, such as Kinder Morgan’s Trans Mountain pipeline already carrying oil to the British Columbia coast with a recent application to triple the line to 890,000 bpd. Besides, boosters on both sides of the border suggest that if Keystone does finally get nixed, another tweaked proposal is ready to spring up, take its place and trigger the next debate. If laid end-to-end, Canada’s existing oil and natural gas pipelines would circle the earth 2.5 times. And yet this still isn’t enough capacity to accommodate the rapid growth of the oilsands. Midstream companies, like TransCanada, Kinder Morgan, and Enbridge, plan to add 3.1 million barrels of daily pipeline capacity – almost double today’s level – over the next decade just to keep up.
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t XCEL Professional Services, the focus is on you, the client. Maintaining a professional standard of service, XCEL strives to ensure you are receiving the best possible IT experience. Operating out of Calgary and Edmonton, they take client satisfaction so seriously that in October, they were awarded the 2013 Calgary Chamber’s Customer Service Excellence Award. With a proven track record of success, XCEL manages clients with an average user base between 20 and 80 people, yet also works with several larger companies of 100 users or more. Using the XCEL system, clients have experienced smooth transitions and IT reliability through rapid growth during acquisitions; one case study of theirs took a client from 10 to 150 employees in just 12 months by building a scalable network. XCEL isn’t just another Cowboy IT company shooting from the hip. They differentiate themselves by drawing from more than 100 combined years of experience on staff, to provide first class IT support. Utilizing their Network Operations Center (pictured above) XCEL has a central point of management which results in faster response to support requests. XCEL’s outsourced IT service offers a 3-Tier support desk in a structured fashion which ensures a logical escalation path and expedited resolution to incom-
ing trouble tickets. Another advantage with XCEL is the ticketing system which gives access to the entire team of analysts rather than dealing with just one person, endlessly troubleshooting your computer issues. If you are planning on expanding or replacing your network, XCEL offers a team of dedicated project analysts to assist in building out your custom infrastructure to ensure your end users are operating exactly how you envisioned. XCEL manages the end to end solution including mobile device management, IT support, projects, business continuity, security and IT product procurement. Whether via phone, email or onsite visits, their professionals adhere to the highest of standards.
From left to right: Colin Knox, Ray Archer, and Ryan Barker. Photo © Brett Gilmour
When asked what led to the company’s success, XCEL President, Colin Knox said “Our team is the key to our success. By empowering and trusting each team member to make decisions and take ownership of solutions, they have a heightened value to the organization and in turn deliver a superior experience to our clients”, Colin also attributes employee empowerment to a rate of near zero staff turnover, allowing XCEL to provide a more consistent and familiar service. For clients who require that extra level of resilience from IT, XCEL leverages their relationship with Rogers Data Centres to co-locate the client servers and infrastructure into a secured facility which guarantees the electricity and internet connectivity will never go down. “As a junior oil and gas company in a rapid growth phase, we required an IT services firm that could design and build a reliable network relocated to a
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Waiting for Obama • Oil & Gas
“Canada simply can’t afford the luxury of being on standby, waiting.” ~ Brian Lee Crowley, managing director of the Macdonald-Laurier Institute in Ottawa Brian Lee Crowley, managing director of the Macdonald-Laurier Institute in Ottawa.
As the getting-to-market crunch gets more urgent, there is also more and more reference and speculation about Enbridge’s Northern Gateway project as another viable piece of the get-the-oil-to-market puzzle. There are billions of dollars at stake in the Enbridge pipeline that would link the oilsands with a tanker port on the coast of British Columbia and the lucrative oil markets of Asia and India. The $6-billion project would allow landlocked Alberta to expand its customer base beyond the U.S., where the going rate is about $8 less per barrel because there is no buyer competition. Analysts and industry experts warn that the messy gauntlet of the Canadian review and approval hoops that Gateway would have to jump through before any oil actually starts flowing may be even more frustrating and discouraging than Keystone continues to be. Key clauses and terms laid out in the Joint Review Panel’s conditional approval of Gateway and the almost guaranteed court challenges by First Nations, blockades along the pipeline route between Edmonton and Kitimat, B.C. and rallies in major cities during the run-up to a federal election that will be called by Stephen Harper before October 2015 make gung-ho government support for Gateway dicey, at best. And then there’s rail. Some insiders suggest it may just be western oil’s most desirable option. Rail is already making a significant dent in getting Alberta crude to market. Recent stats show that in 2008 less than 10,000 car loads of crude oil moved by rail. Last year there were more than 400,000 car loads and the logs are steadily increasing. According to some specific estimates, just Canadian National Railway’s crude shipments will triple to 300,000 barrels per day by 2015 totalling about eight per cent of the company’s revenues. If that kind of traffic continues, 94 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
as many experts suggest it will, it would mean that by next year, more than 10 per cent of Canada’s daily crude production will be shipped by just one of Canada’s two major railways. Most of the arguments and standoffs are usually slanted, subjective and one-sided but objective and impartial experts like Leach and Brian Lee Crowley, managing director of the Macdonald-Laurier Institute in Ottawa (Canada’s rigorously independent, non-partisan and only national public policy think-tank), are unanimous that Obama or no Obama, something must and will happen to continue getting Canadian oil to market. “In the next few years, the daily output of Alberta is supposedly going up to over four million barrels a day. One way or another, it must get to market,” Crowley echoes the urgency. “Even if Keystone came together and was carrying oil, it would be a solution for maybe a quarter of that. The rest? Maybe Gateway North. The Trans Mountain. By rail to B.C. or to the East, like Montreal? “Canada simply can’t afford the luxury of being on standby, waiting. For sure, behind-the-scenes alternatives are being worked on. The problem is that other viable transportation alternatives also require considerable lead time and money.” With the robust oil industry forecast of increasing production, the frustrations of waiting for Obama and (best-case scenario) having Keystone to send no-competition and devalued Canadian oil to the U.S., the 50/50 odds for Northern Gateway, the proposed tripling of capacity for Trans Mountain or the surging loads hauled to B.C. by rail to grow new markets in Asia and India, as Brian Lee Crowley says with an upbeat gut-feel, “Something has to happen!” BiC
Right on Time • Aviation
Right on Time Canada’s successful business aviation community to gather at CBAA convention BY DEBRA WARD
C
anada’s business aviation community takes flight in Edmonton this June, as hundreds of operators, flight managers, exhibitors and aircraft manufacturers attend the annual Canadian Business Aviation Association (CBAA) Convention and Exhibit, June 17-19, 2014. “Alberta is a key market for business aviation, and we are delighted by the enthusiastic support we have received from the local community,” says CBAA’s president and CEO, Rudy Toering. “For growing numbers of Alberta companies, business aviation has become a necessary and competitive corporate tool.” Business aviation has virtually a 0 per cent accident rate, outperforming all other types, including commercial scheduled service. That is due to the attention our sector takes to assure the safety of the high profile personnel we carry. Numerous major corporations make the use of their corporate aircraft a condition of employment to protect their top leaders. Even for vacations, boards will insist that the corporate aircraft be used both for safety reasons as well as access to their top leaders.
For a lot of companies, once they do their due diligence, they see that the cost of flying business aviation is more than compensated by the exponential increase in time and productivity savings that it provides. “There is a wide range of possibilities for companies who are considering business aviation,” says Rudy. “They can charter one-off flights, or they can lease an aircraft with the crew and maintenance provided. Some own and operate a single aircraft, while others have multiple aircraft run by internal corporate flight departments. Other companies work with a flight management company to look after their aircraft. In the world of business aviation, there is always a customizable and flexible option to ensure that companies get exactly the level of service they need.” The wealth of choices extends to the aircraft themselves, many of which will be on display at the CBAA convention. “CBAA has a close partnership with all of the major business aviation aircraft manufacturers,” says Toering. “The planes come in all sizes and types of configuration. They are greener, more fuel efficient and safer than they have businessincalgary.com | BUSINESS IN CALGARY June 2014 • 95
Right on Time • Aviation
Business Aviation Aircraft at the CBAA 2014
T
he following is a list of business aviation aircraft that are scheduled to be on display at the Signature Flight Support Hangar at the Edmonton International Airport during CBAA 2014. While closed to the public, there is a limited opportunity for serious buyers to have an exclusive showing of the aircraft. Those interested in taking the next step toward business aviation may contact Lise Hodgson at lhodgson@cbaa.ca for more information.
• Beechcraft King Air 350i • Beechcraft Baron G58 • Beechcraft Special Mission 350ER • Bombardier Challenger 605 • Cessna Citation M2 – Innotech-Execaire • Cessna Citation Sovereign+ – Innotech-Execaire • Dassault Falcon 7X
• Grand Caravan EX – Prairie Aircraft Sales Ltd. • Gulfstream G150 • Gulfstream G650 • KODIAK – Clay Lacy • Metro 23 • Phenom 300 – Embraer • Phenom 100 – Embraer • TBM 850 – Socata Daher
96 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
ever been. They can be customized to exactly what the company requires, with Wi-Fi and meeting rooms, and in some aircraft, showers and bedrooms. “Business aviation gives company executives that added edge of being refreshed and ready to walk off the plane directly into a high-powered meeting, fully prepared and engaged. Or, it can be the way to get employees and equipment to remote destinations.” The benefits of business aviation are not restricted to companies’ bottom lines. The sector has a significant impact on Canada’s economy as well. “It’s a virtuous circle,” Toering explains. “Business aviation allows more Canadian companies to compete and succeed. In turn, this creates wealth and jobs across Canada. In fact, we have a number of members who have manufacturing operations that provide steady and well-paid employment in small communities – and they are only able to locate away from major airport hubs because they have ready access to their clients and markets with their BA aircraft.” While U.S. and international statistics demonstrate the economic value of business aviation, there has been no serious analysis of the Canadian market, an issue being rectified by CBAA. “We are currently working on a Business Aviation Economic Impact study,” says Toering. “Our sector is one of those hidden catalysts of growth, and we hope to shortly have the data to show the straight line between business aviation and economic opportunity.” Despite its importance to Canadian companies and the economy, the past few years have been challenging. “The business aviation sector is just emerging now from the recession. Its growth is still fragile and depends not only on the health of the Canadian economy but also on its regulatory environment,” Toering explains. “The CBAA has been working nonstop with the federal government on a new regulatory regime that provides the highest safety and training standards, without imposing an unfair and onerous regulatory burden.” There is also some national pride at stake. “Canada leads the world in business aviation aircraft manufacturing,” Toering says. “The Canadian BA operators are significant users of made-in-Canada aircraft, parts and services. Canada is a global aerospace power, and often the first showcase for our aircraft is right here in Canada, on a business aviation flight.” BiC
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Aviation Directory
ALBERTA AVIATION OPERATORS ABITIBI HELICOPTERS LTD. Bertrand Perron, President/Director of Operations Toll Free: 1.800.247.9591 Aircraft Operated: (10) AS-350FX2, (1) AS-350BA + ADVENTURE AVIATION INC. Michael Mohr, Owner/Ops Manager Tel: 780.539.6968 Aircraft Operated: (3) C172, (1) Twin Comanche PA30 (1) Cessna Centurion p210N, (1) Precision Flight Controls “Cirrus II” Simulator AHLSTROM AIR LTD. Kyle Wadden, Operations Manager / Chief Pilot Tel: 403.721.2203 Cell: 403.844.0978 Aircraft Operated: (1) AS350SD2 AIR PARTNERS CORP. Tim Morgan, President / Founder Toll Free: 1.877.233.9350 Alternate Number 403.291.3644 Aircraft Operated: Citation Encore, Citation Excel, Citation Ultra (C-FTIL) (C-FKBC) (C-FWHH) (C-GOOB), Citation X, King Air 200, Learjet 45 AIRBORNE ENERGY SOLUTIONS LTD. Roch Dallaire, President/CEO Toll Free: 1.888.496.3222 Aircraft Operated: (6) Robinson RH44, (16) Robinson RH44 Raven II (RH44 II), (6) Bell 206 B, (1) Bell 206 L3, AS350 BA, (2) AS350 B2, Euro Astar AS350FXII, Euro EC120B (3) Piper Navajo A-31, (1) Cessna 208 Caravan, (4) Cessna 172, (2) Cessna 206, Piper Navajo PA31 ALBATROS CHARTERS Joe Viveiros, Ops Manager Tel: 403.274.6195 Aircraft Operated: (2) Beechcraft King Air B200, (4) Cessna Citation CJ4, (1) CE425 Conquest, (1) Bell 407 www.albatroscharters.ca ALBERTA GOVERNMENT AIR TRANSPORTATION SERVICE Rob Madden, Director of Flt Ops Tel: 780.427.7341 Aircraft Operated: (2) KA B200, (1) KA 350, (1) DHC 8 ALTA FLIGHTS LTD. Bob Lamoureux, President Tel: 587.400.9789 Aircraft Operated: (2) Metro 23, (1) King Air 350, (1) Piper PA31, (5) Cessna 172 www.altaflights.com charters@altaflights.com AVMAX GROUP INC. Don Parkin, Executive VP Toll Free: 1.888.524.9444 Aircraft Operated: CRJ 100/200, Beechcraft 1900D, Dash 8-100/300 CALGARY POLICE SERVICE Tel: 403.567.4150 Aircraft Operated: (2) EC120
CAN-WEST CORPORATE AIR CHARTERS Natalie Hanczak, Flight Coordinator Tel: 780.849.5353 Aircraft Operated: Citation 560, King Air 200, Piper Navajo, Cessna 210, 206, 185,182
INTEGRA AIR INC. Brent Gateman, President/CEO Toll Free: 1.877.213.8359 Aircraft Operated: (3) BAE Jetstream – 31, (3) King Air 200
CANADIAN HELICOPTERS LIMITED Don Wall, President/CEO Tel: 780.429.6900 Aircraft Operated: (32) AS350B2, (4) AS350B3, (1) AS350B3e, (16) AS350BA, (2) AS355F2, (5) AS355N, (2) BH206B, (7) BH206B3, (3) BH206L, (1) BH206L1, (8) BH206LR, (2) BH212, (7) BH212HP, (1) BH407, (1) BH412, (1) BH412SP, (4) EC120B, (2) EC135P2+, (3) R22B, (1) R22B2, (3) R44 II, (3) S61N, (1) S76A, (1) S76A++, Grand Total: 111
KENN BOREK AIR LTD. Brian Crocker, VP Operations Tel: 403.291.3300 Aircraft Operated: Twin Otter DHC6, Turbine DC3, King Air BE200, Beechcraft 1900
CATHTON INVESTMENTS LTD/CRA INVESTMENTS LTD. Wayne Wetterberg, Aviation Manager Tel: 780.890.7443 Aircraft Operated: (1) Falcon 900C DELTA HELICOPTERS LTD. Don Stubbs, President Toll Free: 1.800.665.3564 Aircraft Operated: (9) Bell 206B, (4) A-Star 350BA, (4) Bell 204b, (4) AF350-B2 EDMONTON INTERNATIONAL SHELL AEROCENTRE Sarah Gratton, Aerocentre Manager Tel: 780.890.1300 Toll Free: 1.888.890.2477 Aircraft Operated: No aircraft listed
MOUNTAIN VIEW HELICOPTERS Paul Bergeron, President/CP Tel: 403.286.7186 Aircraft Operated: (3) R22, (2) R44, (1) Bell 206 NORTH CARIBOO AIR Toll Free: 1.866.359.6222 Aircraft Operated: Dash 8 100/300, Beech 1900, King Air 200, Challenger, AvroRJ100, Q400 www.flynca.com PEREGRINE HELICOPTERS Tel: 780.865.3353 Aircraft Operated: (1) B206B3, (1) Bell 206 L3 www.peregrinehelicopters.com peregrinehelicopters@gmail.com PHOENIX HELI-FLIGHT INC. Paul Spring, President Tel: 780.799.0141 Aircraft Operated: (2) EC120B, (3) AS350B2, (1) EC130B4, (1) AS355N, (1) AS355NP, (1) AS350B3, (1) EC135P2
E-Z AIR INC. Ezra Bavly, Pres/Ops Mgr/CFI Tel: 780.453.2085 Aircraft Operated: (1) Robinson R44
R1 AIRLINES LTD. Eric Edmondson, President Toll Free: 1.888.802.1010 Aircraft Operated: (1) Dash 8-100, (2) Dash 8-300, (2) CRJ100/200
EDMONTON FLYING CLUB Ralph Henderson, President Tel: 780.454.4531 Aircraft Operated: (3) C-152, (3) C-172, (2) DV-20, (1) MFD Simulator, (1) DA40, (2) DA42
RIDGE ROTORS INC. Hans Nogel, Ops Mgr Toll Free: 1.877.242.4211 Aircraft Operated: (2) B206B2, (1) A Star 350 B2, (2) R44
EDMONTON POLICE SERVICE Tel: 780.408.4218 Aircraft Operated: (1) EC120
ROTORWORKS INC. Adam Sloan, Office Manager Jim Hofland, Chief Pilot/Ops Manager Ryan Cluff, Chief Flt. Instructor/Comm Pilot Kyle Hutchinson, Instructor/Comm Pilot David Buckland, Comm Pilot Tel: 780.778.6600 Aircraft Operated: (2) R22 Robinson, (1) R44 Robinson
ENERJET Thomas Morgan, President/CEO Tel: 403.648.2848 Aircraft Operated: (2) Boeing 737-700NG GEMINI HELICOPTERS INC. Roch Dallaire, President Tel: 780.402.2444 Aircraft Operated: B205A, R44, AS 350B2, AS 350D, AS 350FXII, EC120B GUARDIAN HELICOPTERS INC. Graydon Kowal, President/CEO Tel: 403.730.6333 24 Hr: 403.862.1234 Aircraft Operated: (3) Bell 205, (1) AS350 B3, (1) AS350 B2, (1) AS350 SuperD, (1) AS350 BA, (1) Bell206L, (1) Bell 206 INFINITY FLIGHT SERVICES William Vasquez, Ops Manager Toll Free: 1.877.VIP.7900 Aircraft Operated: (1) King Air B100, (1) Citation V
98 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
AIR PARTNERS CORP. Tim Morgan, President / Founder Toll Free: 1.877.233.9350 Aircraft Operated: Citation Encore, Citation Excel, Citation Ultra (C-FTIL) (C-FKBC) (C-FWHH) (C-GOOB), Citation X, King Air 200, Learjet 45 AIRBORNE ENERGY SOLUTIONS LTD. Roch Dallaire, President/CEO Toll Free: 1.888.496.3222 Aircraft Operated: (3) Piper Navajo A-31, (1) Cessna 208 Caravan, (4) Cessna 172, (2) Cessna 206, Piper Navajo PA31 ALTA FLIGHTS LTD. Bob Lamoureux, President Tel: 587.400.9789 Aircraft Operated: (2) Metro 23, (1) King Air 350, (1) Piper PA31, (5) Cessna 172 www.altaflights.com charters@altaflights.com ARIES AVIATION SERVICE CORP Marvin Keyser, President Toll Free: 1.877.730.6499 Aircraft Operated: (2) LR36 Learjet, (4) PA-31 Navajo, King Air 200, Turbo Commander AVMAX GROUP INC. Don Parkin, Executive VP Tel: 403.291.2464 Toll Free: 1.888.524.9444 Aircraft Operated: CRJ 100/200, Beechcraft 1900D, Dash 8-100/300 CANADIAN NORTH Steve Hankirk, President Tel: 403.705.3118 Aircraft Operated: (4) Dash 8, (9) 737-200 Combi, (2) 737-300 CAN-WEST CORPORATE AIR CHARTERS Natalie Hanczak, Flight Coordinator Tel: 780.849.5353 Aircraft Operated: Citation 560, King Air 200, Piper Navajo, Cessna 210, 206, 185, 182 CENTRAL AVIATION INC. Colin MacLeod, Ops Manager Tel: 403.242.9130 Aircraft Operated: (1) Cessna Citation Ultra 560, (1) King Air B200, (3) Waco ENERJET Thomas Morgan, President/CEO Tel: 403.648.2848 Aircraft Operated: (2) Boeing 737-700NG
WESTJET AIRLINES LTD. Toll Free: 1.888.937.8538 Aircraft Operated: (13) Boeing 737-600, (69) Boeing 737-700, (23) Boeing 737-800
INFINITY FLIGHT SERVICES William Vasquez, Ops Manager Toll Free: 1.877.VIP.7900 Aircraft Operated: (1) King Air B100, (1) Citation V
ALBERTA CHARTER OPERATORS CHARTER FIXED WING
INTEGRA AIR INC. Brent Gateman, President/CEO Toll Free: 1.877.213.8359 Aircraft Operated: (3) BAE Jetstream – 31, (3) King Air 200
ADVENTURE AVIATION INC. Michael Mohr, Ops Manager Tel: 780.539.6968 Aircraft Operated: (3) C172, (1) Twin Comanche PA30 (1) Cessna Centurion p210N, (1) Precision Flight Controls “Cirrus II” Simulator
KENN BOREK AIR LTD. Brian Crocker, VP Operations Tel: 403.291.3300 Aircraft Operated: Twin Otter DHC6, Turbine DC3, King Air BE200, Beechcraft 1900
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Aviation Directory
NORTH CARIBOO AIR Toll Free: 1.866.359.6222 Aircraft Operated: Dash 8 100/300, Beech 1900, King Air 200, Challenger, AvroRJ100, Q400 www.flynca.com
BLACK SWAN HELICOPTERS LTD. Linda Johnson, President Toll Free: 1.877.475.4774 Aircraft Operated: (1) FX 2, (1) B206B, (2) R44, (1) B204C
MUSTANG HELICOPTERS INC. Tim Boyle, Ops Manager Tel: 403.885.5220 Aircraft Operated: BELL 214 / 212 / 205 / 407 / 206, AS350 BA/B2/B3E
NORTHERN AIR CHARTER (P.R.) INC. Rob King, President Tel: 780.624.1911 Aircraft Operated: (1) Piper Aztec, (1) Piper Navajo, (1) King Air 100, (5) King Air 200, (1) Beech 1900
CANADIAN HELICOPTERS LIMITED Don Wall, President/CEO Tel: 780.429.6900 Aircraft Operated: (32) AS350B2, (4) AS350B3, (1) AS350B3e, (16) AS350BA, (2) AS355F2, (5) AS355N, (2) BH206B, (7) BH206B3, (3) BH206L, (1) BH206L1, (8) BH206LR, (2) BH212, (7) BH212HP, (1) BH407, (1) BH412, (1) BH412SP, (4) EC120B, (2) EC135P2+, (3) R22B, (1) R22B2, (3) R44 II, (3) S61N, (1) S76A, (1) S76A++, Grand Total: 111
PEREGRINE HELICOPTERS Tel: 780.865.3353 Aircraft Operated: (1) B206B3 www.peregrinehelicopters.com peregrinehelicopters@gmail.com
SKY WINGS AVIATION ACADEMY LTD. Dennis Cooper, CEO Toll Free: 1.800.315.8097 Aircraft Operated: Cessna 172, Piper Senaca I, Piper Navajo Locations in Red Deer and Okotoks R1 AIRLINES LTD. Eric Edmondson, President Toll Free: 1.888.802.1010 Aircraft Operated: (1) Dash 8-100, (2) Dash 8-300, (2) CRJ100/200 SUNWEST AVIATION LTD. Richard Hotchkiss, President/CEO Toll Free: 1.888.291.4566 Aircraft Operated: (1) Falcon 900EX, (2) Challenger 604, (3) Cessna Citation Sovereign, (2) Gulfstream G150, (2) Hawker 800, (2) Lear 55, (3) Lear 45, (1) Lear 35A, (7) Beech 1900D, (4) Metro liner 23, (4) King Air 350, (4) King Air B200, (1) Challenger 300, (2) Dash 8-300, (1) King Air 200/B200 ABSOLUTE AVIATION Ron VandenDungen, Director of Flight Ops Tel: 780.352.5643 Aircraft Operated: (5) Cessna 172, (1) Piper Twin Comanche, (1) Piper Aerostar
ALBERTA CHARTER OPERATORS CHARTER ROTARY WING ABITIBI HELICOPTERS LTD. Bertrand Perron, President/Director of Operations Toll Free: 1.800.247.9591 Aircraft Operated: (10) AS-350FX2, (1) AS350BA + AHLSTROM AIR LTD. Kyle Wadden, Operations Manager / Chief Pilot Tel: 403.721.2203 Cell: 403.844.0978 Aircraft Operated: (1) AS350SD2 AIRBORNE ENERGY SOLUTIONS LTD. Roch Dallaire Toll Free: 1.888.496.3222 Aircraft Operated: (6) Robinson RH44, (16) Robinson RH44 Raven II (RH44 II), (6) Bell 206 B, (1) Bell 206 L3, AS350 BA, (2) AS350 B2, Euro Astar AS350FXII, Euro EC120B BAILEY HELICOPTERS LTD. Brent Knight Tel: 403.250.7915 Aircraft Operated: Bell 212, Bell 206 L/B, AS 350 B2/BA, Robinson R44 www.baileyhelicoptors.com
PHOENIX HELI-FLIGHT INC. Paul Spring, President Tel: 780.799.0141 Aircraft Operated: (2) EC120B, (3) AS350B2, (1) EC130B4, (1) AS355N, (1) AS355NP, (1) AS350B3, (1) EC135P2
DELTA HELICOPTERS LTD. Don Stubbs, President Toll Free: 1.800.665.3564 Aircraft Operated: (9) Bell 206B, (4) A-Star 350BA, (4) Bell 204b, (4) AF350-B2
PRECISION HELICOPTERS INC. John Carlton, GM Toll Free: 1.877.545.5455 Aircraft Operated: (1) AS350BA, (1) AS350D2
E-Z AIR INC. Ezra Bavly, Pres/Ops Mgr/CFI Tel: 780.453.2085 Aircraft Operated: (1) Robinson R44
REMOTE HELICOPTERS LTD. Jeff Lukan, President Tel: 780.849.2222 Aircraft Operated: (2) Bell 206B, (1) AS350B2, (2) AS350D SD2, (2) Bell 212, (2) 205A1++
EDMONTON POLICE SERVICE Tel: 780.408.4218 Aircraft Operated: (1) EC120B GEMINI HELICOPTERS INC. Roch Dallaire, President Tel: 780.402.2444 Aircraft Operated: B205A, R44, AS 350B2, AS 350D, AS 350FXII, EC120B GREAT SLAVE HELICOPTERS INC. Adam Bembridge, President Todd Johnson, Senior Director of Business Development Tel: 867-873-2081 Springbank Base Facility, Tel: 403.286.2040 Aircraft Operated: Bell 206B, Bell 206 LR, Bell 206L3, Bell 206L4, Bell 212, Bell212S, Astar 350 BA, 350B2, 350B3, EC 130B4, BK 117D2, Bell 412EP, Bell 407, Bell 205 GUARDIAN HELICOPTERS INC. Graydon Kowal, President/CEO Tel: 403.730.6333 24 Hr: 403.862.1234 Aircraft Operated: (3) Bell 205, (1) AS350 B3, (1) AS350 B2, (1) AS350 SuperD, (1) AS350 BA, (1) Bell206L, (1) Bell 206 HIGH COUNTRY HELICOPTERS Hjalmar Tiesenhausen Toll Free: 1.877.777.4354 Aircraft Operated: Bell 206, 206 Long Ranger HIGHLAND HELICOPTERS LTD. Terry Jones, Director of Operations Tel: 604.273.6161 Aircraft Operated: (18) Bell 206B, (2) Bell 206 L-3, (2) AS350 BA, (16) AS350 B2 www.highland.ca MOUNTAIN VIEW HELICOPTERS Paul Bergeron, President/CP Tel: 403.286.7186 Aircraft Operated: (3) R22, (2) R44, (1) Bell 206
100 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
RIDGE ROTORS INC. Hans Nogel, Ops Mgr Toll Free: 1.877.242.4211 Aircraft Operated: (2) B206B2, (1) A Star 350 B2, (2) R44 SLAVE LAKE HELICOPTERS LTD. George Kelham, President Debbie Kelham, Owner Tel: 780.849.6666 Aircraft Operated: (3) AS350 B2, (1) AS350 B3, (1) Bell 206 BIII, (1) EC120 SLOAN HELICOPTERS LTD. Troy Sloan, President Tel: 780.849.4456 Toll Free: 1-888-756-2610 or 1-888-SLOAN10 Aircraft Operated: (2) RH44, (1) EC120B, AS350B2 THEBACHA HELICOPTERS LTD. Kim Hornsby, President/DOM Tel: 780.723.4180 Aircraft Operated: (1) Bell 206B, (1) AS350B2 TEMPEST JET MANAGEMENT CORP Brent Genesis Tel: 866.501.0522 Aircraft Operated: Citation Ultra www.tempestjet.ca WOOD BUFFALO HELICOPTERS Michael Morin, President & Operations Manager Tel: 780.743.5588 Toll Free: 1.866.743.5588 Aircraft Operated: (2) Bell 412, (6) AS350 B2/ SD2, (2) EC120B, (2) B206B operations@woodbuffalohelicopters.ca
JET CHARTERS AIR PARTNERS CORP. Tim Morgan, President / Founder Tel: 403.291.3644 Aircraft Operated: Citation Encore, Citation Excel, Citation Ultra (C-FTIL) (C-FKBC) (C-FWHH) (C-GOOB), Citation X, King Air 200, Learjet 45
AIRSPRINT INC. Judson Machor, President Toll Free: 1.877.588.2344 Selling interests in Citation XL/S and CJ2+ www.airsprint.com flywithus@airsprint.com ALBATROS CHARTERS Joe Viveiros, Ops Manager Tel: 403.274.6195 Aircraft Operated: (2) Beechcraft King Air B200, (4) Cessna Citation CJ4, (1) CE425 Conquest www.albatroscharters.ca AURORA JET PARTNERS Toll Free: 1.888.797.5387 Fax: 780.453.6057 www.aurorajet.ca CANADIAN NORTH Steve Hankirk, Senior Manager Charters Tel: 403.705.3118 Aircraft Operated: (4) Dash 8, (9) 737-200 Combi, (2) 737-300 ENERJET Thomas Morgan, President/CEO Tel: 403.648.2848 Aircraft Operated: (2) Boeing 737-700NG GENESIS AVIATION INC. Brent Genesis, President Tel: 403.940.4091 Aircraft Operated: Full complement of turbo props & Business jets www.genesisaviation.ca TEMPEST JET MANAGEMENT CORP Brent Genesis Tel: 866.501.0522 Aircraft Operated: Citation Ultra www.tempestjet.ca
AIRCRAFT BROKERAGE JOHN HOPKINSON & ASSOCIATES Andrew Hopkinson, VP Tel: 403.291.9027 Fax: 403.250.2459 Aircraft: Specializing in commercial and corporate aircraft www.hopkinsonassociates.com sales@hopkinsonassociates.com
AIRCRAFT SALES GENESIS AVIATION INC. Brent Genesis, President Tel: 403.940.4091 jetsales@genesisaviation.ca www.genesisaviation.ca PRAIRIE AIRCRAFT SALES LTD. Kathy Wrobel, President Andrew Fletcher, Sales Associate Tel: 403.286.4277 Aircraft Operated: (1) Caravan www.Prairieaircraft.com sales@prairieaircraft.com
TOC
Page 1 - What a Difference a Year Makes... Page 4 - Building a Great City Page 6 - BOMA Insider Page 8 - The Bicycle Debate
NEWS SUMMER 2014
What a Difference a Year Makes… Sandy McNair
Calgary’s Office Market Continues to Pivot
T
he amount of office space under construction in Calgary has almost doubled in just one year. As the two tables on the following pages confirm, Calgary’s inventory office space is growing faster than any other major market in Canada. While each of the major office markets have more under construction now than a year ago, Calgary has had the largest increase, with Edmonton being the next largest increase. During the past year the inventory of completed office buildings in Calgary has grown by 915,133 square feet. Not including the buildings that are under construction, the portion of Calgary’s total office inventory that has been built since 2000 is now 31.6 per cent. Since 2000, Calgary’s office inventory has grown much faster than Vancouver, Edmonton, Toronto or Montreal at 22.5 per cent, 13.1 per cent, 16.3 per cent and 14.6 per cent respectively.
New office towers are being added to Calgary and elsewhere for one (and often more than one) of three major reasons: a) Incremental Demand – new and current occupants are growing and committing to additional space; b) Pressure to Place Capital – among investors, commercial real estate is in favour and new development has become a desired alternative offering superior returns to acquiring existing buildings; and c) Obsolescence – in the battle for talent, new buildings with better design and performance characteristics are seen by some employers as distinctly different and more desirable than older buildings.
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BOMA Calgary News
BOMA Calgary News is a co-publication of BOMA Calgary and Business in Calgary.
Business in Calgary
1025, 101 - 6 Ave. SW, Calgary, AB T2P 3P4 Tel: 403.264.3270 • Fax: 403.264.3276 info@businessincalgary.com www.businessincalgary.com
BOMA Calgary
120, 4954 Richard Road SW, Calgary, AB T3E 6L1 Email: info@boma.ca • Web: www.boma.ca Tel: 403.237.0559 • Fax: 403.266.5876
Communications Committee Chair - Leah Stewart, Sizeland Evans Interior Design Bobbi Joan O’Neil, Business in Calgary Giovanni Worsley, MNP LLP Kim Bogner, 20 Vic Management Rita Reid, First Capital Realty Lia Robinson, BOMA Calgary Carly Chiasson, Bee-Clean Building Maintenance Serah Nguyen, Bentall Kennedy (Canada) LP Kim Wiltse, 20 Vic Management
If no incremental leasing (on balance tenants vacate the same amount of space that they move into) was to occur and no additional buildings are started, the availability rate will climb in each future year. Based upon the circumstances of a year ago the future availability rates were expected to be 8.2 per cent, 10.2 per cent, 11.1 per cent, 11.7 per cent and 11.7 per cent at end of each of 2013, 2014, 2015, 2016 and 2017. Based upon the current facts and the assumptions that there will be no incremental demand
Board of Directors
CHAIR Ken Dixon, ATCO Group CHAIR-ELECT Chris Nasim, GWL Realty Advisors SECRETARY TREASURER Lee Thiessen, MNP LLP PAST CHAIR Chris Howard, Avison Young Real Estate PRESIDENT & CSO William G. R. Partridge, CAE, BOMA Calgary
Directors
Fred Edwards, Servpro Cleaning Steve Weston, Brookfield Properties Marjorie Cone, H & R Property Management Ltd. Robert Brazzell, Altus Group Corrine Jackman, Hopewell Real Estate Services Cam Gresko, Cadillac Fairview Dustin Engel, Alberta Infrastructure Richard Morden, Bentall Kennedy (Canada) LP Loy Sullivan, 20 VIC Management Jay de Nance, Fairfield Commercial Real Estate Pearl Madryga, Sun Life Assurance Company
The Building Owners and Managers Association of Calgary publishes BOMA Calgary News quarterly. For advertising rates and information contact Business in Calgary. Publication of advertising should not be deemed as endorsement by BOMA Calgary. The publisher reserves the right in its sole and absolute discretion to reject any advertising at any time submitted by any party. Material contained herein does not necessarily reflect the opinion of BOMA Calgary, its members or its staff. © 2014 by BOMA Calgary. Printed in Canada.
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and no additional buildings are started, the future availability rates are now expected to be 6.2 per cent, 9.1 per cent, 9.1 per cent, 12.4 per cent and 15.1 per cent at the end of each of 2014, 2015, 2016, 2017 and 2018. This is not a forecast, but merely a reference point from which alternative demand and supply scenarios can be rationally explored. Fortunately inventory, new supply, current availability and future availability is being carefully monitored and shared with many of the industry’s leaders. In Calgary, the current key variable is demand. Will the energy sector continue to have access and appeal to equity capital? Will the outlook for access to global markets by pipe and rail improve? Will the gap between global and Alberta pricing continue to narrow? Will Calgary’s energy talent and technology remain competitive on the global stage? The Calgary office market is at a pivot point because the answers to these and other questions are no longer a clear ‘yes’ which means developers, occupants, lenders and others all need to have their eyes wide open as the next wave of critical decisions relating to office space supply, demand and pricing are made.
SANDY MCNAIR IS THE PRESIDENT OF ALTUS INSITE. THE ALTUS INSITE TEAM LEVERAGE EXTENSIVE INDUSTRY-WIDE EXPERIENCE AND MARKET INFORMATION TO PROVIDE PERSPECTIVE TO CLIENTS IN CANADA’S COMMERCIAL REAL ESTATE INVESTMENT, DEVELOPMENT AND LEASING COMMUNITIES. WWW.ALTUSINSITE.COM; SANDY.MCNAIR@ALTUSINSITE.COM BK_BomaAD_6.875x4.75_0514.pdf 1 5/1/14 1:02 PM
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3
President’s Report
By William G.R. Partridge, CAE
Building a Great City
President & Chief Staff Officer
B
OMA members build cities. And Calgary is one of them. Buildings, however, in and of themselves, do not make a good city. It is people who give a city its heart and soul. One way BOMA contributes to the greatness of Calgary as a trade association is by facilitating the development of standards. For well over 25 years, BOMA has been promoting professionalism in our industry through awards and recognition programs. The program developed by BOMA in Calgary in the early 1980s has evolved into a
national awards program offered in all 11 Canadian cities served by BOMA. Elements of the awards program have found their way to the international stage in the form of the EARTH Award. These activities establish performance standards aimed at continuous improvement. As the level of excellence finds a new and higher threshold, all Calgarians benefit by way of better managed and healthier workplaces. And healthy workplaces are high on the list for BOMA members. Through the BOMA BESt program, BOMA pro-
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CIVIL INFRASTRUCTURE
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We are construction partners who are passionate about what we do and about creating successful outcomes for our clients which lead to our mutual success. We look beyond the immediate project needs to see the bigger picture: to understand your business goals, share your vision of success and work tirelessly to exceed your expectations. Watch us build at PCL.com
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As the level of excellence finds a new and higher threshold, all Calgarians benefit by way of better managed and healthier workplaces.
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motes sustainability and wellness in buildings through the establishment of best practices in the areas of energy reduction, water usage, hazardous materials, waste reduction and recycling and tenant engagement. BOMA members too are very responsive to the service needs of tenants. On a largely voluntary basis they have responded well to the surge in interest for cycling. Many buildings where capacity exists have provided bike storage areas, change rooms, showers and locker facilities. And some even have wash and workstations where cyclists can clean and effect minor repairs on their bikes. It has become something of an industry practice to include these amenities. When there are major incidents, such as high winds and floods, BOMA is quick to address the concerns. Two recent examples of this proactive initiative is the collaborative leadership role assumed by BOMA to address the negative impacts of sudden high wind incidents. Working with regulatory agencies BOMA produced a set of guidelines for industry members to follow. The 2013 Recommended Practices in Health + Safety: A guide for Building Owners + Managers – Building Envelope Safety Supplement is the benchmark set of guidelines for buildings. A second example, and this is still a fresh memory, is the flood of 2013. Many buildings were unprepared for this extraordinary event. And BOMA has responded through the recently released guidebook Is Your Building Ready? A Flood Preparedness Guide for Building Owners & Managers, aimed at preventive and mitigating actions that can be taken by building owners in the event of another such incident. Publications such as these are valuable tools for building owners and operators to aid them in keeping building occupants comfortable, healthy and safe. BOMA’s mission, among other things, is to undertake those initiatives that not only make the industry better, but moves our city forward to greatness. Looking at BOMA’s record of achievement, we and our industry certainly have done that.
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BOMA Insider Excellence Awards Recipients TransCanada: Powering Alberta Business At TransCanada, our business has always been about making your business successful. For over 60 years we have invested in and developed the energy infrastructure required to deliver the products our economy depends on for its growth and prosperity. Our vast pipeline network gave us our start, and over the past decade our role as Canada’s largest private-sector power company has also been at the forefront of our growth. In Alberta alone, we currently own, manage, operate and market more than 2,000 MW of power assets. So what does that mean for you? It means when you work with TransCanada for your electricity needs, you are working with a market expert who understands the importance of managing costs and mutual benefits. After all, you can’t operate for over 60 years if you don’t have a reputation for putting customer needs first. For us, that means providing competitive pricing, access to market knowledge and easy contracting terms for every customer we serve. At TransCanada, our aim is to make you successful. Contact our Western Power Marketing team today at 1-877-239-3001 or visit our website at www.transcanada.com/western-region to find out how we can Power Alberta together.
Pinnacle Above & Beyond, ServiceMaster of Canada Disaster Restoration
EARTH Award, Park Place Shopping Centre, Primaris REIT
TOBY Office Building 100,000 – 249,000 SQ FT, Centrium Place, Triovest Realty Advisors Inc.
TOBY Industrial Building, Rangewinds Business Park, Bentall Kennedy (Canada) LP
Pinnacle Innovation Award, Servpro Cleaning Property Management Team of the Year, Palliser Square Complex, Aspen Property Management Ltd.
Pinnacle Customer Service Award, SerVantage Services Group
Golf Classic Co-Title Sponsor
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Malcolm Bryce Award, Glen Kitteringham (left) and Ray McPhee (right)
Chairman’s Award, Don Fairgrieve-Park
Indoor Air Quality Affects Employee Preformance
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Indoor Enviromental Air Quality Asbestos Containing Materials (ACM) • Bulk asbestos surveys • Air monitoring programs during abatement • Asbestos management plans For Commercial, multi-family and institutional properties
Moisture Monitoring • Determining leakage or affected material • Moisture or water sources
Industrial Hygiene / Occupational Monitoring • Painters • Sand Blasting • Chemical/dust exposure
Mould Assessments • Sewer back-ups • Initial air & surface testing • Post remediation verification & reporting
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Calgary Ph: 403-229-3131 Edmonton
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780-567-3130 100% Canadian Owned
T
he vast majority of today’s workforce spends most of their day indoors. With this in mind it is important to consider the indoor environment and the associated air quality. Those buildings that have chosen to partake in the BOMA BESt program have made a conscious decision to ensure the well-being of the occupants in their buildings. As buildings have become more efficient in energy consumption, air quality has traditionally suffered, due to less ventilation. Additionally, tenants are challenging the designs of the buildings we occupy through highdensity staffing and cubicles, which can adversely affect air quality.
Those buildings that have chosen to partake in the BOMA BESt program have made a conscious decision to ensure the well-being of the occupants in their buildings. Included in the BOMA BESt program is an entire section dedicated to controlling and evaluating the overall indoor air quality within that building. When the air quality in a building is known and proven to be of good quality, the overall performance of occupants improves and absenteeism, due to illness and air quality related matters, decreases. When comparing different leasing options, a prospective tenant in an office building should ask the question: “Is this building part of the BOMA BESt program?” Participation in this program is one more sign of an owner/ property manager who cares about their building and all of its occupants no matter how big or small the lease may be. Dennis French is the president of DF Technical & Consulting Services Ltd., with three locations and staff of 18 Certified Indoor Environmental Consultants and Expert Witness (Court of Queen’s Bench) on Indoor Air Quality and Assessments. 7
The Bicycle Debate By David Parker
J
eff Fielding is known for reshaping the way administration handles their books but when he returns to Calgary as its new city manager he will have to face a few other problems that are making the headlines, like bicycle lanes and a much needed new convention centre. The bicycle has probably garnered more letters to the editor than Rob Anders and measles combined, and the pilot project that has been estimated to cost ‘somewhere between’ $9.3 and $11.5 million was depicted by one writer as an “apolitical decision allowing the minority to rule the majority.”
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I am a cycle enthusiast and really enjoy watching the professionals racing across the European countryside. But flying through an Italian mountain pass or the back lanes of Brittany is a lot more exciting than pedalling from Shawnessy to Stephen Avenue Mall. Fine for people living in the beltline or Bridgeland, but in this winter city that we live in I cannot believe that many more of downtown office workers would be enticed to pedal to work no matter how many bike lanes are made available. That despite one letter writer who stated that more than 20 per cent of Calgarians said they would bike if the city built safe infrastructure. What would be the result – bicycle as well as automobile congestion. Imagine what 5th Avenue would be like with dozens of cycles as well as cars trying to feed into it, and its crowded bus lanes from underground stalls during quitting time. Some glorified and well-intentioned ideas are just not practical. But it seems that our transportation engineers have made a decision and no-one is going to stop them. When I asked an alderman – sorry his badge now says councillor – how come we were surprised to read about the new network his response was, “It was all new to us – we were just as shocked.” How come I might ask? Nevertheless the minority won even though some avid cyclists don’t agree with the expenditure or proposed routes. And I certainly object to the idea of having my casual stroll along the mall interrupted by an aggressive, in a hurry peddler. Walking there on our first sunny day it was a mass of people enjoying conversations – unfortunately that pleasure might come to an end by having to watch out for cyclists. Methinks we are headed for confrontations. Another writer commented that the use of concrete dividers is an insane idea. Why not easily removed partitions if this is indeed a pilot? And if this is a pilot project who is going to make the review, and when? Welcome Mr. Fielding to some interesting decisions.
8 businessCalgaryAD.indd 1
2014-05-09 11:04 AM
Entire KUDU product package operating in the field.
A Quarter-Century Strong By Mary Savage
I
f you’ve ever had the opportunity to talk with Ray Mills, chances are you’ve left the conversation feeling a bit more knowledgeable and inspired. It’s also likely that Ray gleaned a bit of insight as well – his sense of curiosity drives him forward to be a better leader and industry front-runner – regardless of who he’s talking to. As the co-founder and CEO of KUDU Industries Inc., Ray Mills represents half of the ingenuity and driving force behind KUDU. His father, Robert, founder and chairman, is the other half. Robert and Ray Mills founded the company in 1989 and launched the business from the family garage, but the impetus had been in the works since the late 1970s when Robert first started developing the concept of using progressive cavity pumps (PCP) for down-hole oil wells in Canada. Today, KUDU has become a formidable, global leader in the oil and gas industry – making them the world’s second largest manufacturer and distributor of PCPs. Sitting in Ray’s office at the manufacturing plant – 25
years after the company was established – he speaks of a passion and blind faith that spurred the father-son team forward. Their unwavering belief in their technology and innovative thinking ultimately led to the creation of a company that stands for excellence in management, manufacturing and innovation. Having survived Alberta’s boom-bust cycle numerous times and as a privately-owned company, Robert and Ray have witnessed the layers of success and near failure. However, they never gave up. They have built a business model that has been duplicated and followed by international companies and they are recognized as thought-leaders when it comes to adopting new strategies in LEAN manufacturing practices. KUDU is also recognized as the ‘technology know-how’ people when it comes to PCPs and artificial lift solutions. Time and again, they have solved their customers’ problems through innovative thinking and drawing upon decades of experience.
KUDU Industries | 25 Years | 1
“I really believed in the technology that my father had developed, but we needed to get the word out and we needed to sell it.” ~ Ray Mills Ray and his father Robert Mills.
Globally, they operate with 350 employees, KUDU equipment can be found in more than 30 countries worldwide and they have international offices in Russia, Kazakhstan, Romania, Australia, Oman and the U.S. Likewise, they have won numerous export awards over the past 15 years with the most recent one recognizing KUDU as one of Canada’s Top 50 Best Managed Companies in 2014. So how does a privately-owned company reach such stature – not only in Alberta, but on the global stage? In a word or two, Ray defines it as being “dynamic and sustainable.” “It’s about continually moving forward and adapting to change. Being ‘dynamic’ brings a certain attitude; an attitude that’s positive,” says Ray. “We’re also building a company that’s sustainable and that starts with our team. We are building an environment that people enjoy coming to every day and fostering growth.”
Nine years after establishing KUDU, the accolades start to filter in… • Canada’s Top 50 Best Managed Private Companies 1998 & 1999 • Innovation Insights Award for Manufacturing Practices from the National Research Council of Canada • Calgary Manufacturing Industry’s 2008 Best Employer for Medium Sized Manufacturers • The Alberta Export Award: Oil and Gas Manufacturer 2009 • The Alberta Export Award: Oil and Gas Manufacturer 2011 • The Alberta Export Award: Exporter of the Year 2011 • Canada’s 50 Best Managed Companies 2014
Decades of Innovation, Determination and Listening to the Customer Throughout his career, Robert had always worked for himself and during the 1970s and early ’80s it was no different. He was in partnership with several men who were all stationed in Lloydminster – working in heavy oil. “They were servicing a well for the umpteenth time and one of Robert’s colleagues suggested using a PCP to lift the oil. They had been using the same technology on the surface, but not down hole,” recalls Ray. “The pumps were suited for the well, but one question remained: how do you run power to it?” Both Robert and Ray spent the better part of the 1980s refining the pump design and technology – producing numerous prototypes – until they felt confident they had the right equipment. “I really believed in the technology that my father had developed, but we needed to get the word out and we needed to sell it,” says Ray. By 1989, Robert and Ray were ready to take their technology to market. “We used Robert’s garage as a shop, I made cold-calls from the house and we found it was very slow going at first, but we were up against two competitors that had been in the market for seven years,” notes Ray. They persevered and Ray landed his first sale. When it came time to install the pump, Ray went to the rig to make sure the product was installed properly – it was key. “There were a number of large, established manufacturers that were trying to get into the business with perfectly good pumps, but because they were not installed properly, they failed and the customer thought is was because of an inferior product,” recalls Ray. “After the first order of KUDU pumps were installed, the customers came back to us – extolling the virtues of their efficiencies – and that’s because they had been installed correctly,” he continues.
KUDU Industries | 25 Years | 2
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Congratulations KUDU Industries on many years of success. We are proud to have been a part of your success from the very beginning and look forward to continuing on this journey with you for many more years to come.
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KUDU Industries | 25 Years | 3
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As Robert and Ray were also the manufacturers of the pumps, it was not uncommon for the customers to bring up other problems. “We were standing beside our customers – seeing these problems at the well head, and the next step was being able to innovate our products and provide solutions,” adds Ray. “We understood the challenges that our customers were having and we quickly earned the reputation of being the ‘problem solvers’ because we would go to the well,” he notes. Subsequently and in the weeks that followed, KUDU’s mantra became: ‘Go to the Well.’ About 18 months into their new venture, KUDU hit a turning point that proved to be extremely important. “We were working with Renaissance Energy and one of their engineers decided to try one of our pumps,” says Ray. “In its day, Renaissance was a bit of a maverick and they discovered the most efficient way to recover oil from a well was to pump as hard you could – a departure from the conservative approach. Their mentality led us to develop a higher horsepower pump and systems that could achieve those results.” Over time, KUDU replaced all of Renaissance’s pumps and KUDU experienced rapid growth. “We grew faster than we had anticipated and we grew beyond our ability to manage the company. We realized there were some problems associated with growth and we thought they would go away, but they didn’t – they came back to haunt us,” says Ray. During the first decade, KUDU’s vertical integration was all encompassing and the major players in the industry were starting to notice – because KUDU was gaining greater market share. “Our competitors recognized that we had the right business model: we were vertically integrated,” adds Ray. “We provided everything under one roof, so when the customer talked to us, he was talking to the guy who sold the product, designed it and manufactured it. We also looked after the distribution and installation.” And then the price of oil dropped in 1998. “Industry experts thought it was just a dip in the market and prices would recover, but a year later that hadn’t happened,” says Ray. By now the company had grown to 110 employees with 10 field offices. They had started to expand overseas, initially into Kazakhstan and then Colombia followed by Australia. As well, they had grown their product offerings, but the market had yet to recover. As Ray observed, all the growing pains they had experienced over the last decade had come home to roost when the price of oil dropped. “When the price dropped, we were literally moments away from being insolvent and the bank stopped by to let us know … and we had to correct the problem by cutting our overhead,” reflects Ray. “We also received an 11th-hour offer to buy the company, but they wanted to conduct their due diligence, so that bought us a few days. We knew there was going to be one of two outcomes: either the business was going to be sold or we were going to save the company,” he adds.
KUDU Industries | 25 Years | 4 WIC-EN-PUB-BUSINESS-IN-FOCUS.indd 1
2014-03-28 11:23:47
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From 25 years of revolutionizing the pump systems industry to exceptional global expansion—that’s the kind of dedication, innovation and vision that KUDU Industries is known for. At Grant Thornton LLP, we celebrate KUDU's passion for growth and are proud to be a part of their continued success.
KUDU Industries | 25 Years | 5
Robert and Ray Mills on the floor of KUDU’s manufacturing plant in Calgary, Alberta.
Solutions at a Glance Over the years, KUDU has expanded their product and service lines to provide the perfect fit for any environment. Their PCP systems are engineered to handle the demands of heavy, medium or light oil, coal bed methane and dewatering applications. Identifying well conditions can be challenging and often call for unique solutions, and it is through decades of ‘going to the well’ and working alongside their customers that KUDU has developed these solutions. Driveheads are available in various combinations of torque, speed, hydraulic or electric options. PC Pumps are energy efficient and offered in chrome or KUDU’s very own Tough Coat™. A range of elastomers and PC Pump solutions are available for the following application types: • Heavy, Medium or Light Oil • Dewatering Gas Wells • Coal Bed Methane • High Water Cuts • Highly Corrosive Wells • Thermal Applications • Steam Assisted Gravity Drainage SAGD • Cyclic Steam Simulation CSS • Horizontal, Slant and Directional Wells
And on the morning when everything came to a head, Robert and Ray opted not to sell the company. Instead, they had secured new financing and returned to the KUDU office, rolled up their sleeves and went back to work. It was also during this time when they adopted the LEAN Manufacturing principles and although they still had to cut their operation in half, their long-term goal was to never find themselves in this position again. “When we adopted the LEAN principles, it was through Chuck Harrison, a contact that Robert had made with the National Research Council (NRC). The NRC offered a program that dovetailed very nicely into our existing mantra of going to where the problem existed. In our case, it was at the well,” notes Ray. “Given our existing business model, we didn’t realize the strength of our operation – it was simply how we ran the business. It wasn’t until years later that we realized the importance of our business model and how important our communication with our customers had become.” Integrating the LEAN principles also proved to be a significant turning point for the company and that too was all encompassing – from management to manufacturing. “Implementing the LEAN philosophies has allowed us to build a sustainable and successful company,” remarks Ray. In 1998, the company was insolvent, carrying huge debt and dealing with inventory issues. By 2003, they went from
KUDU Industries | 25 Years | 6
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JAS Industrial Service & Repair Ltd. 6140 – 44 Street SE Ph: 403-279-7460 • Fax: 403-279-7668 www.jasindustrial.com KUDU Industries | 25 Years | 7
“Greater efficiency means you need less people, but LEAN teaches you about insourcing opportunities that allow you to retrain your employees – not lay them off.” ~ Ray Mills
John Wilson (left) and Darren Oberg (right)
having 250 stock outs to only five stocks with two-thirds less inventory. “Greater efficiency means you need less people, but LEAN teaches you about in-sourcing opportunities that allow you to retrain your employees – not lay them off,” he adds. “… and in Alberta, businesses compete globally – Alberta is not an island. Alberta is one of the most expensive places to do business, so you need a well-run operation if you’re going to make a buck.” KUDU also continued to focus on their customer service – providing quality solutions that incorporated LEAN strategies. The outcome saw the rise of more field stores located close to customer activity, improved technical knowledge of service personnel and delivering greater value to the customer cycle. In 2007, KUDU went through more significant changes as Robert retired, the company experienced changes at the executive level and the following year, the recession hit. By now, Robert had moved to Barbados and was enjoy-
ing retirement until the call came: Ray needed helped and ironically, Robert needed a challenge, so he returned to the business. “Ninety per cent of success is how we work every day: it’s understanding the importance of what we do and how we do it. It’s also a moving target,” comments Ray. “The manufacturing process makes up about 10 per cent of the overall process.” In the last four years, KUDU has worked hard internally to renew their LEAN longevity and it appears to be affecting change among the employees once again. “As a leader, there’s only so much change you can affect, but if everyone knows where they should go and what they are doing, collectively we can affect significant change,” observes Ray. “We compete against companies that have 10 times the number of employees that we do – our competitors are massive, but we have noticed that when we change the way we do something, they often change their model as well.”
KUDU Industries | 25 Years | 8
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KUDU Industries | 25 Years | 9
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KUDU driveheads operating in the field.
Looking forward, Ray talks about automation, expanding their artificial lift products and continued global expansion. “It’s building the core products but also expanding the core of our products,” he adds. “It’s about becoming a better managed company and proving our understanding of those LEAN management principals. It’s
also about creating a momentum and critical mass.” As KUDU celebrates their 25th anniversary, they pause from the workday to extend a sincere note of thanks to all of their customers, business partners, employees and suppliers that have played a role in helping them achieve this milestone. •
1 403 279 5838 | www.kudupump.com KUDU Industries | 25 Years | 10
TIKI INTERNATIONAL Decades of
Dedication and Expertise to Help Customers Succeed By Mary Savage
Deer Valley Shopping Centre, LEED project
T
wenty years ago, Radenko and Boba Vujadinovic arrived in Winnipeg, Manitoba on July 7, 1994 – emigrating from a war-torn Yugoslavia. Given the unsettled political environment, the couple left their home in Sarajevo – before the war broke out. After searching the globe for a safe and prosperous country to relocate the family, Radenko and Boba settled in Canada – recognizing it was the best country to live and raise a family. Radenko spoke broken English, but Boba spoke French fluently and frequently spoke with the friendly Manitobans in St. Boniface. Before long, Radenko had landed a full-time position with a construction company.
In 1999, the couple started Tiki International in Winnipeg, formerly Tiki Engineering which they had started 10 years prior in Bosnia-Herzegovina, but were forced to close the doors when the war broke out. Although Radenko and Boba graduated from civil engineering programs in Bosnia-Herzegovina and Radenko had spent 10 years working on infrastructure projects, their degrees weren’t recognized in Canada as being an equivalent. Radenko challenged many of the exams and passed, but the couple soon realized they already had the credentials, skills and experience to grow their business as general contractors.
Tiki International | 15th Anniversary | 1
Deer Valley Shopping Centre, Development
When they established Tiki International, Boba looked after many of the initial contracts – getting their name into the marketplace. Radenko was working on contract for another construction company, but within two years they moved to Calgary. Boba secured many contracts for Tiki International – among them she was successful in landing contracts for the garden centre structures with the big-box retailers. Among their early endeavours, they landed sizable contracts with Canadian Tire, Walmart and RONA looking after the construction and irrigation of their greenhouses. The contract included all the stores from Terrace, B.C. to Barrie, Ontario. And as Radenko recalls, they installed 43 irrigation systems in 43 days. Soon after, Tiki International was bonded and competing for larger commercial projects as the general contractor. Today Tiki is a well-recognized name in the construction industry in Canada. Tiki International was the general contractor for the Superstore in Deerfoot Meadows (the largest new built Superstore in Western Canada) and oversaw work on the entire complex that included the main store, gas bar and liquor store - a 16-acre construction site and about 180,000 square feet of retail space. While the project was underway and during the busier days, about 500 tradespeople worked on the site.
They have worked as the general contractors on several projects throughout Calgary including numerous Superstores, Canadian Tire stores, Lululemon stores and shopping malls for First Capital Reality, specifically the Tower Lane Mall in Airdrie and Deer Valley Shopping Centre in Calgary. They have also worked in major retail destinations including Toronto’s Eaton’s Centre, Polo Park Winnipeg, West Edmonton Mall, and the most recent, Metrotown in Burnaby, B.C. Additionally, many of their projects are LEED certified – an accomplishment the Tiki International team is very proud of. And while construction is underway, Tiki International has built a reputation for running a very clean crew in order to help the store managers maintain sales during an otherwise disruptive time. “During our weekly meeting with the store managers, we always inquire about store performance since we are assisting managers to provide a high level of customer service,” says Radenko Vujadinovic, president, Tiki International. “During a renovation project, we usually work at night while the store is closed and prior to the store reopening, we ask our workers and subtrades to exit the store and then re-enter it, but view the store through the eyes of a customer,” he says. “When you help the store manager make the store look as good as possible during the renovation, it makes a huge difference, so our team is always thinking about the customer
Tiki International | 15th Anniversary | 2
Deerfoot Meadows Superstore - Store, Gas Bar and Liquor Store
…while construction is underway, Tiki International has built a reputation for running a very clean crew in order to help the store managers maintain sales during an otherwise disruptive time. – we like to see our clients succeed even while the renovations are underway,” adds Radenko. After 30 years in the engineering and general contractor business, Radenko says finding good tradespeople in Alberta has been the biggest challenge. “Now when we interview a new worker, we ask them what they plan to do in five years. If they are ambitious, hard working and wish to learn, then we will consider them for our team,” notes Radenko. “I would rather they tell me they aspire to have their own company than just a job and a paycheque – we like to teach our people to be the best.” Radenko has trained many people who have gone on to start their own business and although he’s sad to see them leave, he’s also happy they want to better themselves.
graniteelectrical.ca
Congratulations on your success! We look forward to many more years of working together.
Always great to work with you. Congratulations on 15 years! P: 403-295-0210 | F: 403-730-8085 www.rimrocklandscaping.ca info@rimrocklandscaping.ca
Commercial | Acreages | Construction | Maintenance Tiki International | 15th Anniversary | 3
“We greatly appreciate every employee for their contributions. One man can do some work, but a good team has unlimited possibility.” ~ Radenko Vujadinovic
Above photo (L-R): Boba Vujadinovic, Jeff Glaza, Tijana Vujadinovic, Radenko Vujadinovic, Lynn Poelzer, Joel Degagne. Photo by Mary Savage. Right photo (L-R): Dorde Grujic, David Nevison, Radenko Vujadinovic, Jeff Glaza, Travis McConnell
“We greatly appreciate every employee for their contributions. One man can do some work, but a good team has unlimited possibility,” he adds. “I often think back to my university days when I played basketball and the strength that comes from a dedicated team.” Presently Tiki International employs about 15 people, but that number varies depending on the size and scope of projects underway. Radenko and Boba’s daughter, Tijana, joined
the company to share the workload with Radenko. Many say she is a workaholic – just like her father. As Tiki International celebrates their 15th anniversary, Radenko and Boba wish to extend a heartfelt ‘thank you’ to all of the people who helped bring this milestone to fruition –the employees, subtrades and clients – Canadian Tire, First Capital Realty, Loblaws, Lululemon, and many others – and also the business partners – thank you to everyone. •
TIKI INTERNATIONAL To learn more about the Tiki International, call, click or visit their office: Tiki International 624 Beaver Dam Rd NE, Calgary, AB • www.tiki-international.com • 403.241.1093
Tiki International | 15th Anniversary | 4
JAS Electrical Contractors: Celebrating 25 Years of Excellence By Mary Savage
J
ohn Schmidt’s first job was delivering newspapers; he was 12 years old and as he walked from house to house, the idea of having pocket change motivated him. But Schmidt never thought he’d own a business one day – he never considered himself to be an entrepreneur. After high school, he pursued his electrical ticket, graduated from SAIT in 1984 and three years later, he became a master electrician. While he pursued his education, Schmidt was laid off three times within a five-year period – given union seniority rules and Alberta’s volatile economic climate. He was always hired back, but the third time Schmidt was handed a pink slip, he decided it would be the last. As the old saying goes, ‘Necessity is the mother of invention,’ and in Schmidt’s case, he needed a stable job – he and his wife, Cindy, were newly married and wanted to start a family. During the late
Back row, left to right: Greg Young, Greg Hertz, Patrick McKenzie, John Schmidt, David Duport. Front row, left to right: Nicole Gaboury, Trish Hayne, Cindy Schmidt, Miranda Hayne, Janelle Schmidt, Colin Sampson. Photo by Mary Savage.
JAS Electrical Contractors | 25 Years | 1
1980s, Schmidt started JAS Electrical Contractors and he never looked back. Early on, the majority of work was residential until one day when Schmidt booked a service call that proved to steer the company in a different direction. “I got a call to service a fire bell that wasn’t working and the client asked me to contact the fire marshal to determine which bell needed to be repaired, and that conversation ultimately took JAS Electrical in a different direction,” recalls Schmidt. The fire marshal asked Schmidt if he was certified to which he replied, “I’m a master electrician…” But the marshal pressed on, “Are you a certified fire alarm technician?” As Schmidt learned, you had to be certified by the province to work on fire alarm systems. Shortly thereafter he earned his certification and focused on working in the commercial sector – specifically with fire protection systems. “When the company shifted direction, there were only a handful of businesses that specialized in fire alarm systems. Today there are about 40, but many of them don’t offer all of the in-house services that we do,” explains Schmidt. “Once we forayed into fire alarm systems, we expanded our business to include fire extinguishers – servicing the equipment – as well as sprinkler systems.”
Above and below photos: John Schmidt (above left) working along side his team in their shop, located in Calgary. Photos, these two pages, by Melissa Arthur.
Ask one simple question… When it comes to apartment and condo dwellers, there is one question that every person should know the answer to: Is the fire alarm system active and current? “Many people who live in apartment or condo buildings are not aware of their rights. With a fire panel, there’s always a green light on. If you’re a tenant, ask the landlord or owner if the fire protection system has had it’s annual certification and is completely operational – you have the right to ask the question,” asserts Schmidt. “People are afraid to ask that question… but don’t you want to know you’re safe?” he asks. “If the landlord denies the tenant that information, they can call the fire department.” This applies to office buildings as well. Here’s an example: let’s say one of the tenants is making toast and they burn it – causing the alarm to sound. The owner/maintenance man goes to the utility room and turns off the breaker – killing the signal to the fire alarm system.
Now you have a building with people living in it and no fire protection. “Don’t kid yourself, we have found this to be the case too many times, especially with the older 3-wire systems which are still out there…a fire panel does have battery back up, but if left un-serviced without power too long you will lose your protection,” says Schmidt. ‘We have worked hard to educate our customers (the building owners) and we call them annually to remind them to get their fire alarm system(s) serviced.” According to Schmidt, there are three major common components to the fire protection system: (1) the fire alarm system includes the panel, the smoke detectors, heat detectors and pull stations, (2) the fire extinguishers and (3) the sprinkler system which all have to be tested annually by qualified personal. Additionally there are also kitchen systems, computer suppression systems, etc. “The fire department doesn’t test the different components of the
JAS Electrical Contractors | 25 Years | 2
Equipment which pressurizes hoses to the required test pressure for safety measures.
Hose realer, used after testing procedures to properly store hoses.
Corroded sprinkler pipes removed from clients’ buildings.
Extinguishers to be serviced for clients.
system, that’s our job,” states Schmidt. As Schmidt notes, the requirements of a fire protection system are not applicable to every building – it depends on usage and occupancy. “If you have four or more common doors to a single exit from the building, you have to have a fire alarm system, so if you have a four-plex (as mentioned) you need a system. If each unit has their own entryway, a fire alarm system is not needed.” “When you change the occupancy or usage, you need to check the regulations. The fire department checks the buildings to ensure they are in compliance with the rules,” he says. For more information on testing and maintenance of fire protection systems, please visit our website JASELECTRIC.COM and click on the City of Calgary link…if you are a building owner, manager or maintenance man, this link is important. “If this information helps to save one life, we’ve done our job,” says Schmidt.
Hoses that have been tested and reeled up for storage.
Initially Schmidt subcontracted the fire extinguisher and sprinkler business, but within a few months he had brought it in-house to monitor quality control. Schmidt has always operated the business with very high standards and the only way to ensure his customers were taken care of was to offer these services in-house. “Our motto is ‘One call does it all’ and our customers appreciate the level of expertise we supply,” asserts Schmidt. For almost two decades, JAS Electrical has provided specialized service for customers that have fire protection systems – making up about 70 per cent of their business. JAS Electrical continues to service the residential sector and a small percentage of their work comes from the industrial field. “You go with your strengths and what you’re good at – and servicing fire protection systems is our forte,” says Schmidt. When Schmidt established the company, his wife Cindy played an integral role in helping with the administration and accounting side of the business. During the early years and by day, she maintained a full-time day job. In the evenings, she managed much of the paperwork, administration and accounting.
JAS Electrical Contractors | 25 Years | 3
“Initially I used our three-car garage plus I rented two additional garages to stock parts and I ran the business like that for about 10 years. In 2004, we bought the building of our current location and incorporated the business,” he adds. Today, JAS Electrical employs 11 people including Cindy, who is still involved but purely from a management position where she oversees the administration and accounting. “We work in an industry that requires a lengthy paper trail and as an example, with every fire alarm report there is a stack of paperwork that has to be completed,” notes Schmidt. Looking back over two decades and like most industries, technology has had the biggest impact when it comes to change. When Schmidt started the company, all the invoices were written by hand and fire alarm systems were seemingly simple by today’s standards. “The old or conventional systems only read from a zone, so when there was a fire or trouble, those systems identified the floor or zone, but that was all,” says Schmidt. “Today, most new systems are addressable and computerized, and they will tell you exactly which detection device went off and its precise location.”
As Schmidt has observed, you can’t modernize the end users’ electricity voltage, but you can modernize what runs off of electricity. “The codes have changed to create safer environments, but nothing else has changed.” In 25 years, Schmidt still enjoys running the business and meeting new people – that hasn’t changed either. “We’ve made a lot of friends and we’re still servicing many of the same customers from when we started the business,” he says. And every morning, you will find John in the shop – greeting every employee as they come through the front door. He continues to work along side of his electrical crew in the shop and there are times you’ll still find John in the field – lending a hand on larger or more complicated jobs. This year also marks the 30th wedding anniversary for Schmidt and his wife, and while they were busy growing the business, they were also raising a family. They have three children plus three grandchildren. As JAS Electrical Contractors celebrates their 25th anniversary, they pause for a moment to extend a sincere note of gratitude to all the people who have helped them achieve this milestone. From employees and customers to business partners and colleagues – thank you to everyone. •
Providing full electrical services in commercial, residential
and industrial buildings, from new installs to renovations. We also provide full fire safety services. This includes fire alarm system maintenance, inspections, and installations. Complete inspection and servicing fire extinguishers, fire hoses, hydrants, sprinkler systems and backflow testing.
www.jaselectric.com
|
403.278.0738
JAS Electrical Contractors | 25 Years | 4
Blame it on the Course! • Golf
Blame it on the Course! The new normal in golf course design and construction BY DAN COOPER
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Larry White
128 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
ot many Calgary golfers know Larry White. But if they knew Larry White, they would envy Larry White. Oh sure, he plays golf (and he’s pretty good) as often as he can during the all-too-brief Alberta season. The rest of the time, he is preoccupied with fairways, tees, roughs, doglegs, bunkers, greens and flag sticks. White is the soft-spoken, personable and tremendously knowledgeable design associate at Puddicombe Golf, the highly-respected, family-owned and operated golf course consulting, design and construction business. For 33 years, the Alberta-based Puddicombe has been involved with the design and construction of many golf courses throughout Alberta and B.C., and has recently completed a new course in Auckland, New Zealand. “Although there are all kinds of changes and new ways of doing things on golf courses, our job is to be up to date with the planning and design of courses,” White says. “It all revolves around playing the game on three-, four- and fivepar holes but we consider all factors and create a strategic golf course layout that is contemporary and interesting for the low handicap but still enjoyable for the high handicap.” He laughs at the suggestion that the layout of any course, and some notorious specific holes, often get blamed for a lousy round of golf. He is far too nice, professional and polite to point out that the layout of any course, the length of the fairway, the condition of the grass, the placement of the bunkers, the slope of the green, the placement of the holes and the rest of the course conditions are the same for a day’s bogey or worse golfer as they are for that day’s scratch golfer. But there’s no doubt about it. They way a course or an individual hole is laid out does impact the golf that is played on it. The first strategic design section of a golf course, and the one that gets the least blame for course layout and design, are the tees. There is usually more than one available tee box where a player places the ball, each one a different distance from the hole (and possibly with a different angle of approach to the green or fairway) to provide differing difficulty.
Blame it on the Course! • Golf
“Hazards are intentional golf strategy that add to the game and require the golfer to think their way around the course – instead of just hitting the longest ball they can.” ~ Larry White
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130 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
According to standard rules and procedures, each tee box has two markers showing the bounds of the legal tee area, and the teeing area spans the distance between the markers and extends two club lengths behind the markers. Golfers may play the ball standing outside the teeing area, but the ball itself must be placed and struck from within the area. On all North American golf course layouts, the area between the tee box and the putting green is the fairway. The area between the fairway and the out-of-bounds markers and also between the fairway and the green is the intentional rough – where the grass is cut higher and is generally a disadvantageous area from which to hit. While many holes are designed with a direct line of sight from the teeing ground to the green, a hole may bend either to the left or to the right and is called a “dog-leg,” a traditional and peculiar reference to a dog’s ankle (even professional golf course designers like Larry White don’t know why). Just as there are good-quality grasses for putting greens, there are good-quality grasses for the fairway and rough. The quality of grass influences the roll of the ball as well as the ability of the player to take a divot. “There is definitely a purpose to hazards – water hazards and bunkers,” White says. “Hazards are intentional golf strategy that add to the game and require the golfer to think their way around the course – instead of just hitting the longest ball they can.
Getting out of the Bunker
John Seymour Head Golf Professional Lynx Ridge Golf Club
your club face open slightly will go in the direction of your target not where you’re aimed.
One of the most inconsistent parts of too many golfers’ games … bunker play! When hitting a green-side bunker shot, you should use one of your wedges: gap, sand and/or lob.
Bunker Drill: Place a tee underneath
your golf ball in the sand and draw a line two inches behind your golf ball. Keep your eye on the line behind the be very confusing and misleading. To golf ball; this will be your target for understand setup without confusion, the club to make contact with the sand. you need to first figure out where you Place a tee underneath your golf ball in the sand and draw a line two inches behind your golf ball. You should take enough sand to be would like your golf ball to land. From able to move the tee out from underthere you will aim 8-12 feet left of the neath your golf ball. This will create confidence knowing you are able target if you are a right-handed golfer. Ball positioned middle to forto get the ball out of the bunker while the club digs through the sand. ward in your stance while continuing a standard address to the ball. Lastly, look at your splash mark in the sand. If your impact in the sand Open up the club face slightly and take your grip which should be is behind your line you most likely will have a sand shot that did not go relaxed. Have a little more of your weight on the front foot and you very far and if your impact in the sand is ahead of your line then you are ready to swing! likely didn’t get under the golf ball enough or in time to get the desired Swing: Similar to the putting stroke, if you take the club three-quarheight you wanted. ters of the way back (hinging the wrists at the top) you are going to Make it a goal to get out of the bunker and onto the green every follow three-quarters of the way through the ball; this will keep the chance you get. This will lead into less putts and eventually less momentum smooth through the swing. Keep your eyes focused two strokes making the game of golf more enjoyable to play! inches behind the golf ball where you will make contact with the sand and with a relaxed grip your lower body stays relatively still. Having John Seymour, Head Golf Professional
Setup: Setting up for a bunker shot can
“
Golf is deceptively simple and endlessly complicated; it satisfies the soul and frustrates the intellect. It is at the same time rewarding and maddening and it is without a doubt the greatest game mankind has ever invented. ~ Arnold Palmer, US golfer
”
Blame it on the Course! • Golf
As a quirky surprise for some novices and non-golfers, the hole’s placement is not fixed and typically is changed a few times a week by the greens crew… “It’s kind of a risk-reward part of the course layout. The placement of the hazard forces a long-ball hitter to think and play with accuracy and hit over the bunker. For shorter hitters, there’s strategy to try and avoid or sometimes, chip their way out of the hazard.”
132 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
The putting green is the area of truth: very closely trimmed grass on relatively even, smooth ground surrounding the hole, allowing players to make precision strokes. The hole (or cup) on the green has a regulation diameter of 108 millimetres (4.25 inches) and a depth of at least 10 centimetres (3.94 inches). As a quirky surprise for some novices and non-golfers, the hole’s placement is not fixed and typically is changed a few times a week by the greens crew, mostly to prevent excessive localized wear and damage to the turf. Most courses have only par 3, 4, and 5 holes and traditional distances for the various holes from standard tees are: Men • Par 3 – 250 yards (230 m) • Par 4 – 251–450 yards (230–411 m) • Par 5 – 451–690 yards (412–631 m) Women • Par 3 – 210 yards (190 m) • Par 4 – 211–400 yards (193–366 m) • Par 5 – 401–575 yards (367–526 m) As White points out, being contemporary is key for the planning, design and construction of a golf course. “Enjoyment and safety are major aspects of golf course design. And something fairly new is that today’s players can hit the ball much farther than before, mostly because of the sophisticated new equipment. “Because the shots go further and also concern for golf safety, golf course architects are lengthening and widening golf courses,” White outlines. “A 7,500-yard course used to be rare but happens more and more often and requires more land.” Most modern 18-hole golf courses are as much as 60 hectares (150 acres) of land, and the average course has 30 hectares (74 acres) of maintained turf. Environmental concerns over the use of land for golf courses have grown over the past 20 or so years, especially the amount of water required for irrigation and the use of chemical pesticides and fertilizers in maintenance. The United Nations estimates that, worldwide, golf courses consume about 2.5 billion gallons/9.5 billion litres of water per day. Many golf courses are now irrigated with nonpotable water and rainwater. “After all the planning, design and construction is done, there is really only one true priority,” White explains. “A round of golf should be enjoyable and memorable. The rest is just detail.” BiC
Leading Business Connecting to solve business challenges
JUNE 2014
Fast-Growth 30 Guide
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t was many great quotes like this that the Chamber drew from in developing its recently published Fast-Growth 30 guide. The publication is made up of a collection of stories, ideas and advice presented by the 10 CEO panellists from the Chamber’s popular Fast-Growth Champions series. These top-notch CEOs covered across many different industries, but remarkably the themes taken from their stories were very consistent. They didn’t focus on business plans or capital, but on the human side of business such as managing human resource issues, growing a strong corporate culture and the reality of reinventing their business
more than once. Whether operating a big or small company, this is an essential read for anyone involved in running a business. To take a look at The Fast-Growth 30, and read the stories behind this fascinating series, go to CalgaryChamber.com/FastGrowth30. The Fast-Growth Champions series was launched in the fall of 2013 and quickly became a vital part of the event series at the Calgary Chamber. The first three instalments consisted of some of the standout entrepreneurs who made up Profit Magazine’s Profit 500 list of the fastest-growing companies in Canada. From roofing operations to human resource firms, the events featured a wealth of knowledge, candid stories and an honest look at what it takes to run a hyper-growth business. This series was developed to inspire, inform and ignite all facets of the entrepreneurial spirit. Through the vision and partnership of Telus and ATB Financial, the Calgary Chamber has continued the FastGrowth Champions series in 2014 to sold-out crowds. To find out more and to register for the next event in this series, please visit CalgaryChamber.com. businessincalgary.com | BUSINESS IN CALGARY June 2014 • 133
2014 Board of
Directors
Chamber Member Spotlights
Executive Chair: Leah Lawrence, President, Clean Energy Capitalists Inc. Immediate Past Chair: Joe Lougheed, Partner, Dentons Canada LLP Chair Elect: Rob Hawley, Partner, PricewaterhouseCoopers LLP
The Calgary Chamber is proud to represent many Calgary businesses large and small; this month we are highlighting some of our industry leading members.
Second Vice Chair: Denis Painchaud, Director, International Government Relations, Nexen Inc. Vice Chair, Finance: Bill Brunton, Chief Communications Officer, Calgary Board of Education CEO: Adam Legge, President and CEO, Calgary Chamber
PwC Directors David Allen, President, Calgary Land, Brookfield Residential Properties Inc. Carlos Alvarez, Audit Partner, KPMG Lorenzo DeCicco, Vice-President, TELUS Business Solutions Rob Hawley, Partner, PricewaterhouseCoopers LLP
PwC helps organizations and individuals create the value they’re looking for. More than 5,700 partners and staff in offices across the country are committed to delivering quality in assurance, tax, consulting and deals services. PwC Canada is a member of the PwC network of firms with close to 169,000 people in 158 countries. For more information visit PwC.com/ca/DoingBusinessInAlberta
Wellington Holbrook, Executive Vice-President, ATB Financial Guy Huntingford, Chief Executive Officer, Urban Development Institute Bruce Okabe, Chief Executive Officer, Travel Alberta Phil Roberts, Vice-President, Axia NetMedia Corp Linda Shea, Senior Vice-President, AltaLink Mike Williams, Executive Vice-President, Corporate Services, Encana
Management Adam Legge – President and CEO Michael Andriescu – Director of Finance and Administration Kim Koss – Vice President, Business Development Scott Crockatt – Director of Marketing and Communications Rebecca Wood – Director of Member Services
Bayer CropScience Canada After 150 years, Bayer continues to fulfill its mission of ‘Science for a Better Life’ through its core competencies in the fields of health care, agriculture and high-tech materials. Bayer CropScience, the subgroup of Bayer AG responsible for the agricultural business, is one of the world’s leading innovative crop science companies in the areas of seeds, crop protection and non-agricultural pest control. Headquartered in Calgary and well represented with hands-on, local expertise across the country, Bayer CropScience Canada remains a leader within the crop production industry through its innovation, people and expertise. For more information visit BayerCropScience.ca
Justin Smith – Director of Policy, Research and Government Relations
Leading Business magazine is a co-publication of the Calgary Chamber and Business in Calgary Calgary Chamber 600, 237 8th Avenue S.E. Calgary, Alberta T2G 5C3 Phone: (403) 750-0400 Fax: (403) 266-3413 calgarychamber.com
Central Aviation Central Aviation Inc. has been operating executive aircraft charter and management services in Calgary, for over 15 years and serves Alberta, the oil fields and airports throughout North America. Today they operate from their new state of the art modern corporate facilities located just minutes west of Calgary at the Springbank Airport. Central Aviation Inc. takes pride in offering a first class, on demand aircraft charter service to the oil and gas industry and Alberta’s general business community. With a diverse fleet of business aircraft, a pool of talented, experienced and motivated people, Central Aviation is well positioned to help you with any of your air transportation requirements. For more information visit CentralAviation.ca
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Upcoming Events For details and to purchase tickets for any of the Calgary Chamber’s events please visit CalgaryChamber.com.
Thursday, June 5, 2014 Brian Burke: The Business of Hockey 7:30am - 9:30am | Hyatt Regency Calgary With hockey season coming to a close, take advantage of this exciting opportunity to meet and hear from Brian Burke, president of hockey operations for the Calgary Flames, as he breaks down what it takes to keep a professional hockey team on the ice. Burke has over 15 years of senior-level experience in the hockey industry, and will give a behind-the-scenes look at the executive side of the hockey business, from budgeting to the decision-making process of a general manager. You won’t want to miss these business tips given from one of the most prominent executives in the Canadian hockey industry.
Wednesday, June 25, 2014 Play with the Presidents Golf Tournament Presented by TELUS 7am - 3pm | The Hamptons Golf Club | 69 Hamptons Dr. NW It’s hard to find a better place to build, deepen and strengthen business relationships than on the golf course. Where else would Calgarians have the opportunity to network and share business tips with some of the most influential business and political leaders in our city, other than the annual Play with the Presidents golf tournament? Attracting the top business and political leaders, as well as special guest celebrities, this tournament is really about high-level networking at its finest. Join the Chamber and other top business professionals for Calgary’s most prestigious business golf tournament. Members: foursomes $1,900
Friday, July 4, 2014 Calgary Chamber Stampede Breakfast 7:00am - 12pm | Delta Bow Valley They say some of the best business deals are made during Stampede. Come network and make connections amongst other members of the Calgary business community, while celebrating the kickoff of our city’s largest event. Join the Calgary Chamber and other Calgary business executives for a hearty buffet breakfast at the Delta Bow Valley, prior to the annual Stampede Parade. Then stay for the parade, as the Chamber has reserved bleacher seating located on 6th Avenue between 3rd Street and Macleod Trail SE. Book now, as there are only a limited number of tickets and they are going fast!
136 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
In the heart of hIstorIc calgary The central location of Stephen Avenue in Calgary’s downtown provides a unique glimpse into the city’s rich history. In addition to the beautiful architecture of the historic buildings, the popular pedestrian mall is home to dozens of restaurants, cafes, pubs, and bars, and there are several hotels located within a short walking distance. A mix of unique boutiques and art galleries line the avenue and several major shopping centres and department stores anchor the inner city blocks. Visitors and delegates attending a convention or meeting in the city demand access to hotels, restaurants, and shopping destinations and the Calgary TELUS Convention Centre’s (CTCC) location provides them with a variety of choices. But Stephen Avenue’s rich history goes much farther back than the CTCC’s 40 years and the area’s current offerings. Stephen Avenue runs through the heart of Calgary and contains many of Calgary’s historic buildings. The avenue was named for the Canadian Pacific Railway’s first president Lord George Mount Stephen. Historically, Stephen Avenue has played an important role for Calgarians and visitors to the city. The area was Calgary’s original banking centre, shopping destination, and the avenue led to Old City Hall. In 1884, Calgary experienced a major fire in the downtown area, which destroyed most of the existing wood structures. The buildings that were destroyed were replaced with new structures constructed from locally quarried sandstone in an attempt to fireproof the downtown core. Sandstone was readily available from rich seams along the banks of the Bow and Elbow rivers and several quarries were opened to source stone for the new buildings. Skilled stoneworkers were attracted to the city and Calgary soon became known as “The Sandstone City”. Approximately three dozen Stephen Avenue buildings that were built between 1880 and 1930 are listed as national historic sites. The CTCC is integrated into Calgary’s historic centre with the facility’s North building retaining much of the original Neilson building’s façade. The CTCC is one of the main sites that ensures Calgary’s downtown core remains a vibrant place for business related tourism. This tourism is an important revenue generator for downtown restaurants, boutiques, pubs, and a range of other businesses and amenities. The Centre draws an average of 300,000 people per year to downtown businesses and attractions and has a substantial impact on the Calgary economy; the Centre generates direct spending of $50 million per year and an annual economic impact of approximately $105 million. Calgary’s strong economy is driving growth and the city continues to expand to meet the needs of a dynamic business community and increasing population. New infrastructure and facilities are being developed throughout the city and Calgary’s Stephen Avenue will remain an intriguing destination for visitors.
calgary-convention.com expandthecentre.ca businessincalgary.com | BUSINESS IN CALGARY June 2014 • 137
Investing in Storytelling and a Storied Past BY BARB MUNRO
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n July 1, 1964, Heritage Park Historical Village opened its gates for the first time to 10,000 visitors. The park featured a smattering of historical buildings, a handful of costumed staff and a circling locomotive. At the time, Calgary’s population was just under 300,000 and this little historical village was a welcome tourist attraction for a growing city. As Calgary flourished, so did Heritage Park. Today, as Heritage Park celebrates its 50th anniversary, it has grown into Canada’s largest living history experience and one of Calgary’s most visited attractions. The park is a charitable organization, governed by the Heritage Park Society, which consists of up to 200 members who represent the community at large. However, the community’s involvement with the park is far more reaching. Generations of Calgarians have grown up with the park, and many feel a sense of pride and ownership. Support comes through annual pass purchases, attendance at catered and ticketed events, financial or artifact donations and through volunteering time or services. It is because of community support that the park has been able to offer an authentic historical experience for the past 50 years, and will continue to do so for many more. The park’s 50th anniversary plans have been in the works for years. A total of $5.8 million has been invested in developing exciting new programming that will augment the visitor’s daily experience, enhancing existing special events and opening three new exhibits. A new pricing structure for 2014 combines park admission with unlimited ride access – a welcome change for both local and visiting guests. And an assiduous marketing plan that extends into neighbouring cities and provinces, the United States, United Kingdom and China will assist in bringing an estimated 656,000 visitors to experience Heritage Park this year. A whopping 40 per cent of those visitors are tourism based, which means heads in beds, restaurants and shops with a $15-million contribution to Calgary’s tourism economy. The 50th anniversary celebrations have already begun. The year kicked off with Cars of the Big and Small Screen, a blockbuster exhibit that paid homage to the iconic television and movie cars from the past 50 years. A total of $125,000 was invested into creating this new exhibit, which drew thousands of visitors and increased the park’s attendance by 168 per cent over the same time last year. That was just the beginning of what is in store for this golden anniversary. 138 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
Heritage Park Historical Village
On June 20, the Famous 5 Centre of Canadian Women will open as the first of its kind in this country to honour our trailblazers, specifically, Alberta’s own Famous 5. The centre cost $3.4 million to develop, and is a stunning reproduction of Nellie McClung’s former Calgary home. The majority of the centre was designed and built to exact detail by Shane Homes with liberties taken to include classroom space in the lower level, and an expanded dining room and veranda in order to accommodate private evening functions and afternoon teas. A $350,000 investment ensures that this year’s Canada Day and Heritage Day will go down in history as spectacularly memorable events. The park’s official birthday celebrations take place on July 1 and will feature cultural performers, an official citizenship ceremony and a brilliant fireworks show. Heritage Day celebrations include daytime family concerts and an evening outdoor concert with a trio of Canadian greats – Holly Cole, Sarah Slean and The Stellas. The River Forth Rail Car opens in August and will provide guests a unique historic dining experience. This $400,000 transformation will turn a 1929 Solarium CP railcar into a luxury 1920s dining car. Each new addition adds another chapter of history to Heritage Park’s already in-depth look at the past, drawing more visitors to Calgary, so they too can experience how the West was once. Continued investment in telling Calgary’s storied past keeps the park enticing to new visitors, builds remarkable new experiences for Calgarians and gives regional and long-haul travellers urgent reasons to head back. Calgary’s history is the basis for its renowned western hospitality and provides a critical authentic background to a growing and dynamic tourism brand.
Cutting-edge Fluid Additives for the Oil and Gas Industry BY ANDREA MENDIZABAL
D
rilling fluid is an important part of an oil and gas drilling operation – its many uses include cooling the drill bit, removing cuttings, lubricating the well bore and providing hydrostatic pressure to balance the pressure from the reservoir. The loss of drilling fluid into the cracks and pores of the surrounding geology is not only a safety risk but also nFluids Inc. is developing a unique drilling fluid additive that has demonstrated the ability to reduce drilling fluid loss by up to 90 per cent (as very costly with negative environmenper API test standards) in lab tests. Image courtesy: nFluids Inc. tal consequences. nFluids Inc., a privately held University – we don’t buy nanoparticles off the shelf, we actually form of Calgary spinoff company created in collaboration with them in-house. As a result we’ve seen much better properties Innovate Calgary’s Company Creation program, is developcompared to what is being reported in the literature.” ing a unique product that has the potential to reduce the loss nFluids is currently focusing its efforts to reduce the of fluid while providing a more efficient, environmentally amount of drilling fluid that seeps into the reservoir formafriendly, cost-effective and safer drilling operation. tion. Thus far, the technology has had impressive lab results “This really is a leading-edge technology for the oil and that demonstrate the ability to reduce drilling fluid loss by gas industry and we’re entering into a brand-new phase of up to 90 per cent (as per API test standards – high pressure, technology using nanoparticles in oil and gas,” says Jeremy high temperature). Krol, vice president, corporate development at nFluids, and Currently, nFluids is in the process of field testing and manager, company creation at Innovate Calgary. “nFluids is has several tests lined up for 2014. Krol says that early tests harnessing the potential of nanotechnology with the goal to have provided a wealth of valuable information and lessons develop a drilling fluid additive that can help reduce fluid learned but it is still too early to draw any major concluloss, reduce friction in the horizontal section and provide sions. However the nFluids team is encouraged by the field increased strength to the well bore.” tests and noted that the results might demonstrate additional nFluids was formed in mid-2012 based on the patented benefits that were not part of the original research. drilling fluid additive technology being developed by Maen “You may end up going in a slightly different direction Husein, a professor in the department of chemical and petrothan when you started from but you have to see the benleum engineering at the University of Calgary’s Schulich efit, recognize it, change your process a little bit, and start School of Engineering, and Mohammad Zakaria in the labs focusing on what’s going to be most important,” says Krol. of Geir Hareland, former industrial research chair in drilling “That’s the exciting part, what other benefits are we going engineering. to find that we did not already think of?” “I was working on forming nanoparticles for several difTo learn more about nFluids Inc., visit www.nFluids.com ferent uses when I was approached by Dr. Geir Hareland or contact Jeremy Krol at (403) 775-1856. To learn more saying that nanoparticles have applications in drilling fluabout Innovate Calgary and how it supports new and emergids,” says Husein. “The application of nanoparticles and ing technology, visit www.innovatecalgary.com. drilling fluids has been tested by other universities and different research centres however our approach is unique businessincalgary.com | BUSINESS IN CALGARY June 2014 • 139
The 2013 Flood; Marking One Year
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ne year ago, our city came together in the face of disaster and Calgarians showed how, despite tragedy, our community spirit is strong and enviable. As calls for volunteers went out, thousands came. People and businesses joined together to clean out flooded homes and businesses, feed the volunteers, and rebuild the spirit of those affected. Nearly every Calgarian has a story to tell. In addition to the hundreds of homes affected by the flood, approximately 4,000 businesses in Calgary and region were closed, damaged or without power for several days. Even as businesses in the flood-affected areas reopened, customers were slow to return and damaged inventory and the extensive structural repairs many of these business faced only compounded the issue. While thousands of Calgarians worked together on the homes and businesses affected by the water, Calgary Economic Development came together with The Calgary Chamber to co-chair the Calgary Business Recovery Task Force. The intent of the group was to support businesses to get up and running as quickly as possible, encourage community members to support their local economy, and ensure the world knew that the city is open for business. While the Calgary Chamber helped affected businesses navigate the process to re-open, Calgary Economic Development worked with ATB Financial, the Calgary Hotel Association, the Government of Alberta, and media partners, including the Calgary Herald, CTV, Pattison Outdoor, Corus Entertainment, Far West Outdoor, CBS Outdoor and NewCap Radio to develop a $1.4 million campaign that ran for six months inviting Calgarians to visit, eat, drink and shop in flood affected areas. Within weeks, most Calgary businesses had re-opened their doors to welcome back customers. At the same time, Calgary Economic Development led a marketing campaign
140 • June 2014 BUSINESS IN CALGARY | businessincalgary.com
aimed at encouraging citizens to support the businesses that were affected by the flood - the YYC is Open campaign profiled businesses in flood-affected zones and asked Calgarians to rediscover our city using a number of platforms including newspaper, online, radio, television, outdoor advertising and social media. The flood-affected areas also worked to bring out people some great community events to their already busy summer calendars. In Inglewood, the Night Markets popped up and this summer, Calgarians can enjoy another season. Visitors to the Calgary Folk Festival and Sled Island will be able to enjoy these events to their fullest once more. There is still work to be done. Although most of Calgary and the region’s business districts are starting to look like they do every other spring, it is important that we continue to visit, eat, drink and shop at businesses of all sizes in these flood-affected areas. They are unique and important destinations in our community, key to our business and cultural vibrancy.
THE CALGARY TELUS CONVENTION CENTRE COULD ATTRACT TWICE AS MANY VISITORS HOW DO WE GROW FROM 300,000 TO AS IT DOES NOW 600,000? WHAT’S
NEXT AT THE CENTRE OF ENERGY? –
calgary-convention.com
MarketingMatters • David Parker
MarketingMatters inside the building to get it covered with a new skin. The new router has software that can cut metals, wood, acrylics and cardboard into any shape or size. ••••••••••••••
BY DAVID PARKER
O
ver the past year Vovia, a Calgary-based online marketing agency that specializes in online advertising, search engine optimization and social media marketing, has grown revenues by 70 per cent and doubled its size. It has enjoyed significant growth over the past three years and founder and CEO Cameron Prockiw has welcomed Susan Murphy as president to support Vovia in the next chapter of its growth. Murphy has over 15 years of agency experience and prior to joining Vovia was a group account director at Venture Communications handling clients in a variety of industries including tourism, homebuilding, development, oil and gas and technology. Plans are for Vovia to add new services of conversion optimization, email marketing and advanced analytics. It currently works with companies and organizations in Canada, the U.S., Australia and the U.K. including Travel Alberta, BrokerLink, Hopewell, Enmax, Kudos, the City of Calgary and True North Mortgage. •••••••••••••• Agencies should take the time to tour West Canadian’s new building, just blocks from its Inglewood headquarters, to check out its new Vutek UV-curing printer and new router. The printer is capable of rigid and roll-to-roll printing up to 10 feet across on a variety of surfaces from cellophane wrap to two-inch-thick plywood. From small display jobs to vehicle wraps – drive your bus or truck
Up against several U.S. agencies in a comprehensive review process, WAX Partnership came out tops and was selected as agency of record for Seattle-based Complete Office, the largest independently-owned office supply company on the west coast of the United States. WAX is responsible for developing and deploying the company’s marketing campaign plus its internal communications and new website. The company’s creative has enjoyed good publicity south of the border. It was featured in an issue of San Francisco-based Communications Arts magazine and WAX partner Monique Gamache is a member of the worldclass team of judges for the New York ADC Awards. Locally it was awarded Newalta’s AOR status and has completed its annual report and sustainability report focusing on Newalta’s culture of innovation in the recovery and recycling of materials across industrial sectors. WAX is now working on its advertising and online projects. •••••••••••••• Did you know that Calgary is an exporter of blood? Sales of fake blood developed by Bleeding Art Industries is being used by filmmakers, theatres, medical trainers and a surprising number of other customers here, across Canada and into the U.S., Europe and Australia. Owners Becky Scott and her husband Leo Wieser are pumping out fresh blood, aged blood and mouth blood that has no smell and does not stain like pig’s blood that is often used for effects.
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Bleeding Art has become a leader in model making, animation and fabrication of mechanical effects and produced its own award-winning short film, Skeleton Girl, Canada’s first 3D stop-motion animated film that was one of nine for the CBC Short Film Face Off in Halifax. •••••••••••••• For the third consecutive year Twist Marketing grabbed multiple awards for client Alberta SouthWest at the Economic Developers Alberta Conference. In addition to the prestigious Alex Metcalf Award for the “Best of the Best” projects for the SouthWest Connect Regional Wi-Fi Network it was presented with three other Marketing Alberta awards. And Twist has taken another leap in expansion by opening its fourth Canadian office in Toronto. It will be run by Melissa Gallagher, vice president Ontario, who was most recently account director with Toronto-based Cundari Integrated Advertising managing accounts such as Subway restaurants, Toronto Zoo and 3M. •••••••••••••• When Simon House and Nathan MacKenzie launched Storm Division in 2011 they boldly took a three-year lease on 700 square feet of basement space. Now they have renovated 2,100 square feet on the ground floor of the same building on 8th Street SE. Cars have figured large in their growth working with Prestige Auto Group and Hyatt Automotive. But it’s not all machines. Storm helped launch Vulcan Ale brewed under licence for CBS Consumer Products. BiC Parker’s Pick: Hotel Arts group’s always up-todate email promotional piece.
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Now. Then Never. T H E R I V E R is Calgary’s ultimate luxury residential development. Nestled on the Elbow River, in the heart of the prestigious Mission neighbourhood, this intimate collection of premium residences is designed to incomparable standards. THE RIVER is for those who understand the value of a once-only location created by the distinguished Ledcor Properties.*
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403.263.5133
T H E R I V E R C A L G A R Y. C O M
anne@therivercalgary.com Visit our DISCOVERY CENTRE: 120-396 11th Avenue SW Open weekdays 11am - 4pm or call us to arrange a personal tour *THE RIVER is being developed by 26th Avenue River Investments Inc., a dynamic affiliate of Ledcor Properties Inc. The developer reserves the right to make changes to the information contained herein. Renderings, photographs and maps are representational only and may not be accurate. E.&O.E.
WHAT SERVES 14,000 LEARNERS EVERY YEAR, SPEAKS 98 LANGUAGES, AND IS A GREAT PLACE TO WORK?
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