April 2009

Page 1

APRIL 2009

The Green Light Sustainable-building practices hot despite a cool economy page 14

Open for Business

www.edgebusinessmagazine.com P.O. Box 511 ■ Cedar Rapids, IA 52406

Recession isn’t stopping Corridor entrepreneurs from fulfilling their dreams page 4

Manage Your Energy

Low cost, no cost ways to save energy at work page 16

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INDEX

Page Alliant Energy 27 Americlean 6 Dimensions 2 Electronic Engineering 2 Farmers State Bank 17 Honkamp Krueger & Co. PC 7 Jim Sattler Inc. Custom Homes 6 Kirkwood Center for Continuing Education21 Metro Studios Inc. 3 MidAmerican Career Associates 9 Neumann Monson Architects 8 Pioneer Graphics 25 Presentations 19 Quality Care 10 St. Ambrose University 23 The Mansion 7 Tru Art Color Graphics 5

Editorial

INDEX Alliant Energy Entrepreneurial Development Center Iowa Energy Center’s Energy Resource Station John Pappajohn Entrepreneurial Center Linn-Mar High School MidAmerican Career Associates Neumann-Monson Architects OPN Architects Rockwell Collins Stamats The Bohemian The Physical Therapy Center Ultimate Touch Detail Center United Way of East Central Iowa

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APRIL 2009 ■ EdgeBusiness

CONTENTS

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Stamats Communications Guy Wendler, front, president and CEO, Bill Stamats, center, vice president and general manager Tom Hedges, president of Staco Corp., stand in the nearly completed post-flood renovations of the Stamats building in Cedar Rapids. Executives agreed that green building practices would be used in rebuilding after the June 2008 floods. Cliff Jette photo/ EdgeBusiness

Features 14

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4

About us VOLUME 5 ■ ISSUE 8 ■ APRIL 2009 Online: www.edgebusinessmagazine.com E-mail: theedge@gazcomm.com EdgeBusiness Magazine is a monthly magazine for business owners and executives in Iowa’s Technology Corridor and is published by Gazette Communications Inc.

Staff Editor: Janet Rorholm (319) 398-8469 Art director: Rachel Young Advertising: Mary Reeder (319) 368-8506 Contributing editors: George C. Ford

16 20

Cover story:

Sustainable-building practices hot despite a cool economy

Recession doesn’t stop entrepreneurs from fulfilling dreams Low cost, no cost ways to save energy at work Business organizations, internships, mentoring help shape future entrepreneurs

Departments 6 Accounting 8 Economic Development 9 Corridor News 10 Efficient Workplace 11 Newsmakers 12 Technical Support

Address: 500 Third Ave. SE, Cedar Rapids, IA 52406 (USPS 258) POSTMASTER: Send address changes to Gazette Communications, P.O. Box 511, Cedar Rapids, IA 52406 ■ Copyright 2009

Permissions: The content of EdgeBusiness Magazine

may not be reprinted without written permission. If you have questions about reprinting The Edge content, call (319) 398-8328.

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18 Marketing on the Edge

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19 Legal Angle 22 Book Review 23 Calendar 25 Digest 27 Barometers

3/19/2009 1:32:01 PM


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EdgeBusiness ■ APRIL 2009

OPEN FOR

Business Recession isn’t stopping Corridor entrepreneurs from fulfilling dreams

By Janet Rorholm

W

hen Susan Donohoe started plans to open her own physical therapy business two years ago, the economy was still solid. Since that time, however, things began changing quickly.

“We didn’t know this was going to happen when we started plans. In August, I had two banks vying for my business,” she said. Today the country is in a full blown reces-

sion, credit is tight and people are trying to save as much as they can. That includes co-pays. But Donohoe refuses to be discouraged. “For me this was a life dream ...” she said. “I think I’ll never regret it. I just need to look at obstacles as opportunities.” Donohoe opened the doors to The Physical Therapy Center, 600 Blairs Ferry Rd. NE, Cedar Rapids, in January and began building clientele through e-mail blasts, limited advertising and free Tai Chi and Pilates classes in February. In addition to physical therapy and the fitness classes, the business also offers women’s health and weight loss classes and plans to add massage therapy.

Donohoe hopes to ride out the turbulent economy. “You’re not expected in a new business to break even for at least six months. This economy makes me think it’s going to take longer,” she said. Still, she says “health care is always a good bet” for a business. Donohoe isn’t the only entrepreneur who is opening a business in the Corridor in today’s difficult economy. She’s got plenty of company and opening a business now isn’t as crazy as you think, said Curt Nelson, president and CEO of the Entrepreneurial Development Center in Cedar Rapids, a non-profit organization that assists businesses in interstate commerce.

Patrick Lage, left, president of MidAmerican Career Associates in Cedar Rapids, gets a business update from Scott Sanborn, vice president of client services. Lage started the business in October 2008, in the middle of a recession. Janet Rorholm photo/EdgeBusiness

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APRIL 2009 ■ EdgeBusiness

“There are a lot of very successful businesses that started during down times,” he said. Nelson calls it the “best-of-times, worst-oftimes scenario.” “It’s the worst because it’s hard to raise the money necessary right now, but with so many people out of the work force right now, those who have thought about opening their own business are thinking about it now,” he said. People resist change and so a lot of people who have always thought about opening their own business find it hard to leave a steady job and go out on their own, but getting laid off can certainly be the push they need, Nelson said. “All of a sudden you find yourself on the street. So now is the time to start thinking about starting your own business. You’ve got the time,” he said. While capital may be harder to find, it’s not impossible. Venture capitalists have money, although the terms may be tougher in today’s economy, Nelson said. Nelson said there are areas where timing is right for entrepreneurs with the right product or service. Products that focus on the baby boomer generation, especially ailing baby boomers, will likely do well, as will products that can help people or companies save in this weakened economy, he said. “It’s all about being smart about starting a business,” Nelson said. The current economy makes it far less tolerant of poor practices, so playing it smart has never been more important, Nelson said. “The reason good businesses are started in tough times is because people do the extra work before starting up,” he said. Bridget Casey knows some people thinks she’s crazy for opening a restaurant now, but she’s convinced the timing and her location is ideal. Casey just opened The Bohemian in Czech Village in one of its flooded out buildings that used to be a cafe, a costume shop and, most recently, an antique store when the flood hit. “It’s when the building was flooded and we were up to our eyeballs in mud that I said, ‘Let’s turn this place into a restaurant,’” Casey

said. Casey is banking on Czech Village coming back bigger and better than ever, but she also sees a real need for a community center of sorts for the area and she’s hoping her restaurant/bar will serve that purpose. She said people still eat out, they just may not be spending as much and she believes that they want something unique when they do dine out. “People don’t want to go to another chain or fast-food place,” she said. On the plus side, the higher unemployment rate has allowed her to be choosy with her employees. She said she’s received hundreds of applications from out-of-work steel workers to homemakers needing to supplement their income. Business is already good for Patrick Lage who opened his own business, MidAmerican Career Associates, in Cedar Rapids. Lage is using his skills as chief operating officer at PepsiCo for nearly two decades and his skills at running another career services business that he operated with a partner before going his own way in October 2008. “I’m challenge-motivated, so I’m always looking for my next challenge,” he said of opening his second business in the midst of a recession. While unemployment is high, Iowa is faring better than the rest of the country with the sixth-lowest unemployment rate in the country as of January. Still, Lage has seen his clientele base double to about 45 percent unemployed

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compared to what he saw two years ago in his prior business. The company works largely with those in managerial positions. “You’ve got to know where to look and know how to hunt and that’s what we teach them — how to penetrate the market,” he said. Starting the business wasn’t as easy this go around, however. “The economy is dicey, there’s no doubt about that. That creates some challenges in getting start-up capital,” he said. So Lage turned to family and friends, writing them promissory notes to get the doors opened. With companies outsourcing human resource functions and many people looking for new jobs, business has been good, so good the company is ready to double its staff to six in about as many months. His advice to others thinking about opening a business in this economy? ● Make sure you find a niche. ● Make sure you are fully capitalized. Make sure you have at least six months of cash flow on hand. ● Make sure you surround yourself with the best people. Lage said the economy may be difficult, but suddenly he’s found himself enjoying getting out of bed and going to work again. “I’d do it all over again,” he said.

Susan Donohoe corrects Nancy Viscondi’s form during a Pilates class at The Physical Therapy Center, 600 Blairs Ferry Rd. NE, Cedar Rapids. Donohoe offers Pilates and Tai Chi classes in an effort to help attract clients. Despite opening her business in the middle of the recession, Donohoe said she doesn’t regret chasing her dream. Janet Rorholm photo/EdgeBusiness

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EdgeBusiness ■ APRIL 2009

Use technology, take the ‘greener’ path

C

Kyle Kunz

ACCOUNTING

ombine environmental concern with a desire for an increase in the bottom line and companies are looking at coloring up their business practices with “green” ideas. Some of these ideas involve technology, and if they don’t, they should. Significant ways exist for a company to reduce its operating costs while helping preserve the world in which we live and work. Businesses today rely heavily on information and reporting to operate and make sound decisions. Most of this information comes in paper form. But more companies are looking

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Editorial Calendar May . . . Recruitment & Retention June . . . .Commercial Real Estate

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July . . . . . . . . . . . . Entrepreneurs August. . . . . . . . Sales/Marketing

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APRIL 2009 ■ EdgeBusiness

already know about or have in place, right? But do recycling efforts stop at paper documents and cardboard boxes? In today’s technology infused mainstream, there are other ways to contribute to a green environment by recycling more than just paper waste. You also should include hardware in your recycling program.

As a company, discuss how electronic filing will be structured. Think of folders on your personal computers or network drives as physical file cabinets and subfolders as drawers or hanging files in those cabinets.

of PDF documents by department, business function or individual (i.e., “accounting department,” “financial statements” or “Kyle’s folder”). Talk to your software vendor or software business partner to discover if printing to paperless printers is supported. Some software packages offer a completely paperless solution within the product itself. Menu options for organized recall of journals, registers and reports make some paperless solutions attractive. Once in electronic format, these documents can be password protected and sent via e-mail or faxed directly from your PC, saving additional paper, envelopes and postage. Use multiple monitors for screen display Most common is the use of two monitors, but professions like graphics design, IT or engineering may require more than two for full efficiency. Multiple monitors at your workstation increase the visibility of information in several applications you may be running at one time. They conveniently allow opening of documents or e-mails on one screen while comparing information on the other screen. Finally, they reduce the need to print something off in order to be able to review or compare against another document or e-mail. Recycle hardware Recycling sounds like something you

— Kyle Kunz, Honkamp Krueger & Co. PC, Cedar Rapids

Technology changes fast and companies grow. Old computers and hardware equipment seem to turn as often as two to four years. Local recycling companies or specialized electronic disposal organizations will come to your office and pick up used equipment and dispose of properly. Normally, there is a fee for pickup, but some organizations offer cash

7

back for parts that are sold after breaking down the equipment. Equipment is not just limited to servers and computers. Monitors, printers, calculators and cell phones are also on the list when it comes to recycling electronics. Check with your disposal company for procedures in de-manufacturing of your equipment. Reputable firms will ensure secure data destruction via electronic (overwriting) and physical (shredding) media disposal. Some offer certificates of destruction giving assurance that equipment is destroyed and no data integrity loss. Conclusion Check with your IT department or software provider on implementing some of the greener ideas using the available tools in your software or network environments. Contact your local waste management company or look online for specialized hardware disposal companies on options for your company’s asset disposals. Making changes like these can help reduce operating costs and ensure your business is doing its part to conserve our environment. Kyle Kunz is the information systems manager at Honkamp Krueger & Co. PC. He is a certified public accountant and a certified information technology professional. He can be reached at kkunz@honkamp.com or 1-(888) 556-0123.

Comprehensive “Honkamp Krueger delivers accounting, consulting, taxes, payroll—everything you’d expect from a full-service CPA firm. A real point of pride here is the number of new business owners who seek our services on a recommendation from our long-term clients. That tells us the people who know us best think very highly of Honkamp Krueger and our comprehensive range of services.” Mike Weaverling, CPA Partner Hiawatha, Iowa

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8

EdgeBusiness ■ APRIL 2009

Economic development continues in recession

George C. Ford

ECONOMIC DEVELOPMENT

A

lthough the pace of economic development has slowed during the recession, several recent events show it continues in the Corridor.

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The Entrepreneurial Development Center on March 4 launched a $5 million capital campaign to help it become self-sufficient. The business accelerator has invested $2.9 million in operating capital from public and private sources to assist more than 300 businesses. Since the inception of the EDC in 2003, 42 new interstate commerce businesses and 560 direct and 280 indirect jobs have been created. Tom Aller, a member of the EDC board and president of Interstate Power and Light, recalled the early 1980s when Cedar Rapids lost 22 percent of its manufacturing jobs over a six-month period. “A group of business executives formed the Committee of 100, which would later become Priority One,” Aller said. “It was focused on bringing jobs to the community.” Aller said the EDC, which works with startup and early-stage companies, has a similar focus. “We’re ultimately here to create jobs,” he said. “It’s just a different place along the incubation-growth continuum. It’s at the start of new businesses.” Bringing new jobs to the community also is the focus of a proposed 100-acre industrial park to attract wind power equipment suppliers to Iowa City. The Iowa Transportation Commission last month approved $422,500 in RISE grants to fund road improvements providing access to the park on 420th Street. Joe Raso, president of the Iowa City Area Development Group, said the launch of the wind park will likely come when a major tenant commits to building a production facility. Assuming the credit markets open up and wind generation facilities once again attract sufficient financing, Iowa City and the Corridor will be poised to take advantage of employment opportunities. The proposed industrial park has excellent rail access. It’s also located within a relatively short distance of the Acciona North America wind turbine assembly plant in West Branch and the Clipper Windpower “Liberty” wind turbine factory in southwest Cedar Rapids. The third economic development opportunity is predicated on receiving a $9 million federal Economic Development Administration grant. The Cedar Rapids Area Chamber of Commerce is spearheading a plan to build a $12 million Regional Economic Commerce Centre in downtown Cedar Rapids. The 60,000-square-foot, six-story structure would house Corridor CoWorks, Cedar Rapids Area Convention & Visitors Bureau, Economic

Planning Redevelopment Corp., Greater Cedar Rapids Community Foundation, Priority One and the Entrepreneurial Development Center. All are located in different buildings in downtown Cedar Rapids. The $3 million of local matching funds would likely be a bank loan that would be repaid from rents paid by the tenants. The center would bring together a number of local economic development entities under one roof, making it much easier to provide information and services. While the recession is taking its toll at the local and national level, economic development cannot be allowed to stall. These efforts show that Corridor efforts to develop, recruit and retain businesses — and jobs — are moving forward. George C. Ford is the financial editor of The Gazette. He can be reached at (319) 398-8366 or george.ford@gazcomm.com

3/19/2009 10:57:57 AM


APRIL 2009 ■ EdgeBusiness

CORRIDOR NEWS MARION: Changes at Magid to eliminate 78 jobs — Frank N. Magid Associates Inc. announced plans in February to eliminate 78 positions in Marion due to the opening of a new data collection center in Minneapolis. The company will phase out the Marion jobs by the end of June. They include 61 part-time and 17 full-time positions focused on traditional telephone interviewing. At the same time, Magid will be opening an international data control center in its recently expanded corporate offices in Minneapolis. CEDAR RAPIDS: Reorganization reduces Gazette Co. work force — A reorganization of The Gazette Co. prompted the company to reduce its work force by about 17 percent. The employment reductions, announced Feb. 24, will affect all business units, including Gazette Communications and The Gazette newspaper, KCRG-TV9 and Color Web Printers. At the time of the June flood, the company employed 600. After the reorganization and work force reductions, The Gazette Co. will employ about 500. CEDAR RAPIDS: State OKs aid for new C.R. employer — Cedar Crest Manufacturing, formed by two former managers at Norwood Souvenir in northwest Cedar Rapids, was approved for $25,000 in technical assistance in February from the Iowa Department of Economic Development Board’s Entrepreneurial Ventures Assistance program and Enterprise Zone tax benefits to create 38 jobs. CEDAR RAPIDS: Yellowbook announces more layoffs — About 200 employees, or 20 percent of the local work force at Yellowbook in Cedar Rapids, were laid off either immediately or will lose their jobs over the next 14 months, the company announced Feb. 12.

Yellowbook employs just more than 1,000 at 6300 C St. SW. CEDAR RAPIDS: Florida company plans growth at remaining Iowa call centers — PRC LLC expects to add 100 employees over the next several months at its Iowa call centers in Ames and Cedar Rapids. PRC closed Iowa call centers last year in Des Moines, Marshalltown and Cedar Falls, consolidating much of the work formerly performed at those centers into its larger Cedar Rapids center. CEDAR RAPIDS: Cabo Grill in C.R. closes — Cabo Grill abruptly closed its doors in mid-February due to poor sales. The closure followed a weekend shooting that did not cause any injuries. The business is in a free-standing building on the periphery of Westdale Mall, which has struggled with declining retail occupancy. Bishop’s Buffet closed its Westdale location in January. CEDAR RAPIDS: Office-sharing venture opens in downtown C.R. — Corridor CoWorks, 222 Third St. SE, Suite 600, an alternative to working from home or meeting clients in coffee shops, opened Feb. 10. Corridor CoWorks offers four levels of working space ranging from cafe tables to a private office at a fixed monthly rate, including furnishings and utilities. Theresa Bornbach is founder and chief effectiveness officer of Corridor CoWorks. IOWA CITY: 100 jobs coming with new packaging facility — A contract packaging facility slated to open May 1 in Iowa City will bring about 100 new jobs to the Corridor. The new 192,000-square-foot facility is planned by Alliance, a division of Norcross, Ga.-based RockTenn Co., and by Quality Packaging Specialists International, based in Burlington, N.J. It will inventory products, promotional packaging and retail display materials, then assemble, package and ship them to distribution centers and retailers. NORTH LIBERTY: Cole’s workers vote to unionize — Employees of Cole’s Qual-

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ity Foods in North Liberty voted to unionize in February with the Retail Wholesale and Department Store Union Local 110. The plant produces frozen garlic breadsticks and cheesefilled breadsticks. CEDAR RAPIDS: Pub flooded before opening finally debuts — DC’s River Walk Pub & Eatery, 401 First St. SE, finally opened in early March. The pub was only a week from opening in mid-June when record flooding on the Cedar River destroyed nearly everything, said owner Dave Carey. The menu at DC’s River Walk Pub borrows heavily from the Third Base Sports Bar & Brewery, one of several Corridor establishments in which Carey has an ownership interest. CEDAR RAPIDS: Alliant: Rates for electricity rising in April — Alliant Energy plans to raise electric rates by 18 percent this month. It will be the first general rate increase sought by Alliant in five years, but definitely not the last. Alliant is expected to file another rate increase in 2010 to cover the costs of building its Whispering Willow Wind farm. CEDAR RAPIDS: Child care center returns after flood — Amanda Proctor, 31, and her sister, Cindy Hohenstein, 39, own Building Blocks Child Care and Learning Center, 350 Third Ave. SW. On Feb. 23, their eight-month “nightmare” ended when they were able to welcome children back to their remodeled childcare center near downtown Cedar Rapids after being flooded out. Proctor started Building Blocks in her home in 2003 and moved into the Third Avenue SW building the following year. IOWA CITY: Coralville transit building closer to funding — A state grant will bring Coralville closer than expected to replacing its flood-damaged bus system building. The Iowa Transportation Commission approved a $880,000 Public Transit Infrastructure grant in February to help the city replace its flood-damaged transit building at 314 Third Ave. The building was more than 50 percent damaged by June flooding.

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3/19/2009 1:01:58 PM


10

EdgeBusiness ■ APRIL 2009

Make going green easy

Lisa Van Allen

EFFICIENT WORKPLACE

W

e all know we’re supposed to recycle and go green. It’s the right thing to do. But unless we make it easy and convenient, it just isn’t going to happen at the office. Here are a few ideas on making your office more environmentally friendly:

Awareness 1. Use recycling containers with the recycle logo. 2. Use decals and posters that promote recycling (www.awarenessideas.com/Recycling-s/2.htm). 3. Limit access to the supply closet. If it isn’t readily available, it won’t be used up as quickly. 4. Tell your clients and customers about your waste-reduction efforts. 5. Create a campaign with awards recognizing recycling champions. 6. Keep staff and management informed about the results of their efforts to reduce waste. Reduce 1. Set your photocopiers and printers to print on both sides by default. 2. Make computer files, not paper files, when possible. 3. Create a company culture that does not print e-mails, agendas or reports unless necessary. 4. Fight junk mail — Take steps to reduce the amount of junk mail that your office receives by asking to be removed from mailing lists. 5. Buy only what you know you will use. 6. Intersperse regular use of strong cleaners and solvents with less toxic and water-based cleaners. 7. Write shorter reports and reduce the number of reports required from staff. You’ll not just reduce paper use — you’ll save time. 8. Eliminate unnecessary forms. Create online forms for attendance, sick leave, vacation requests, etc. 9. Circulate memos, documents, etc. within departments instead of copying for everyone. Reuse 1. Reuse envelopes and send them through the mail again whenever possible. 2. Have each staff person set aside paper that they use on only one side. 3. Buy recycled toner cartridges and send

your spent toner cartridges to be recycled. 4. Encourage staff to use reusable coffee mugs. 5. Invest in rechargeable batteries and battery chargers for digital cameras, flashlights and other small devices. 6. Use blank side of discarded paper for fax cover sheets, informal notes and phone messages. 7. Reuse file folders, paper clips, rubber bands, packing materials — don’t throw it away if it can be used again. Recycle 1. Put recycling bins around your office in convenient locations, like near copiers, shipping and receiving areas, and in employee-eating areas to collect white paper, mixed paper, newspaper, magazines, cardboard as well as non-paper products (glass, aluminum, plastic, etc.). 2. Get management to participate and champion recycling. 3. Buy products made from recycled content. 4. Arrange to have wastepaper picked up by your waste hauler or a recycler. Not every office will be able to implement every idea, but if every office did one thing consistently, it would make an impact. Many people on your team will have good ideas about how to reduce paper usage; ask for and encourage those ideas. Celebrate successes as you make progress in reducing waste, reusing materials and recycling in your office.

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3/19/2009 1:10:36 PM


APRIL 2009 ■ EdgeBusiness

Renee GrummerMiller

David Sorg

Barry Frantz

Renee Grummer-Miller has been promoted to executive director of Aging Services Inc. in Cedar Rapids. Grummer-Miller previously served as assistant executive director of the agency, an affiliate of Abbe Inc. ■

OPN Architects Inc. in Cedar Rapids promoted David Sorg to partner. Sorg joined the firm full time in June 1992. ■

Terry, Lockridge & Dunn, with offices in Cedar Rapids and Iowa City, announced Barry Frantz has been named director of Nonprofit Organizations.

■ Mike Anderson (not pictured) has joined Systems Unlimited Inc. in Iowa City as director of finance. Anderson has more than 25 years of experience working with Genesis Health-

Andy Christofferson

Dave Paulson

Darrell Hoxworth

Lisa Werner

Catherine Kriewald

11

Brian Brown

NEWSMAKERS care and the University of Iowa Hospitals and Clinics. Andy Christofferson has joined Securian Advisors MidAmerica in Hiawatha as director of investment management. ■

Midwest 3PL in Cedar Rapids has announced that Dave Paulson has joined the company as chief financial officer and Darrell Hoxworth has joined as general manager. ■

Kleffmann North America in Iowa City announced that Lisa Werner has joined the company as chief operating officer. Werner will lead the interview and communications center, bringing her experience as field director at the University of Iowa. ■

Check out...

Catherine Kriewald has joined the Cedar Rapids Area Chamber of Commerce as vice president of marketing and communications. Originally from Minnesota, Kriewald was previously executive director of the Junior League of Nashville, Tenn. ■

■ The Iowa Small Business Development Centers elected Brian Brown one of seven new members of its state advisory board. The advisory board represents all regions of the state and many of the partners and associations that represent Iowa’s businesses and industries. Brown is chief executive officer and founder of Murphy Business & Financial of the Heartland Corp. and Murphy Business & Financial — Cedar Rapids Area Corp. in Cedar Rapids, and regional director for Murphy Business &

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3/19/2009 2:31:23 PM


12

EdgeBusiness ■ APRIL 2009

What the financial crisis means to your technology plan

E Dean Lemons

TECHNICAL SUPPORT

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very day we see new statistics confirming the worsening economy. As a result, Information Technology analysts predict information technology spending growth in the United States could come in at 2 percent to 3 percent for 2009 with possible declines in IT spending in some quarters, down from earlier projections of 5.8 percent. The financial crisis impacts each industry sector differently. However, what is constant is that technology is a key component to an organization’s success — even if the objective is to ride through the economic storm. Studies show that most organizations have considerably more IT needs than dollars budgeted to support their initiatives — regardless of a robust or slowed economy. On average, IT budgets constitute roughly 25 percent of the immediate technology needs as defined by the company overall. As a result, effective prioritization relative to overall business needs is imperative. Choices should be made based on sound, logical analysis relative to business needs and objectives. Most organizations have adopted a costjustification process. Sometimes, however, cost becomes the focal point to the exclusion of justifying the “right technology.” Often, the technology chosen to fit a short-term need must be replaced well short of its functional life expectancy. Generally this is due to incompatibilities with other technologies that are implemented later. Proper analysis, in many cases, could have identified the unseen business-driven technology need, resulting in a decision that would more likely have supported long-term compatibility, reducing total cost ownership. Technology investment analysis A technology investment analysis can help ensure the real costs of investment are considered and benefits achieved. Each step in the analysis keeps in mind the fundamentals for maximizing your IT budget — and boosting your return on investment. This formal process helps ensure your IT investments are strategic and support your organization’s business plan. ● Involve key stakeholders. ● Understand your current IT environment. ● Anticipate your business needs.

Evaluate alternative technologies. Calculate total cost of ownership. Involve key stakeholders To fully understand whether your planned IT investments are properly focused requires knowing what you have and whether or not alignment with your people, processes and business objectives is accounted for. Before implementing a new system, you must consult with your key stakeholders (managers, process owners, visionaries). The best method to get at your needs is to conduct a SWOT analysis that focuses both on technology and non-technology related topics. This discussion will unearth the strengths, weaknesses, opportunities and threats relative to your company. In many organizations, the resulting feedback will often serve as a solid indicator of future technology requirements. It also is critical to perform anonymous, technology-focused surveys with all employees. The survey results will provide a real understanding of how end users leverage technology to do their job. Understand your current IT environment For many organizations, when management steps back to review operational processes and related technology needs, they discover a myriad of systems. Each department and/or division has its own processes, languages, forms and requirements. A key step in performing a technology investment analysis is to understand your existing IT environment. This is more than “taking inventory.” Key areas to examine include: ● Existing technology — A thorough examination will help you determine which systems are essential and how these systems align with your people, processes and business needs. ● Availability and usability — Technology is the backbone of most businesses. That means all systems and applications must be available to users when needed. Performance, planned and unplanned downtime, and insufficient remote accessibility are areas that can negatively impact employee productivity. ● IT support — Assess your current IT staff. Does the team have the right mix of skills? Do they have tools necessary to fulfill your expectations? Anticipate business needs Smart companies meet difficult challenges. While your industry may be faced with a less-than-optimistic future, recessions do not last forever. It may be tempting to focus on immediate needs as opposed to developing a strategic IT plan. However, with the evolving nature of technology and the economy, focusing ●

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APRIL 2009 ■ EdgeBusiness

improve total cost ownership as all interim IT investments can be made with knowledge of

When technology initiatives do not align with business needs, the total cost ownership for the technology soars. — Dean Lemons, RSM McGladrey

on immediate needs will not properly align IT initiatives with business objectives. Start by discussing your organization’s strategic imperatives. Ask: ● What will our customers want one, two and three years from now? ● What is the competition doing or planning? ● What really comprises our costs? ● What is preventing more revenue growth? ● What potential new revenue sources exist? ● What are our operational efficiency and improvement opportunities? ● What if any, are likely changes to facilities? ● What type of compliance requirements do we foresee having to fulfill? ● What new cultural dynamics (both internal and external) can we forecast? ● What manual processes would benefit from automation? The answers serve as a starting point for anticipating general business requirements and opportunities. Evaluate alternative technologies Once you have assessed standard infrastructure and systems impacted as a result of fulfilling your anticipated business needs, the next step is to identify specific technologies to be leveraged. It is important to note that these technologies may not result in a direct investment for one, two or even three years. However, foreseeing the need can dramatically

these impending solutions. Some key emerging technologies that you should consider in your strategic plan include wireless communications, server virtualization and storage area networking, thin-client technologies, IP Telephony, Voice over IP (VoIP) and unified communications. Calculate total cost of ownership When technology initiatives do not align with business needs, the total cost ownership for the technology soars. Total cost ownership consists of the costs incurred throughout the life cycle of an asset, including acquisition, deployment, operation, support and retirement. Only after you’ve identified the right technologies, can the results of your return on investment or total cost ownership analysis be truly relevant. ● Does the technology manufacturer possess both the vision and ability to execute long

13

term? ● Is there broad market availability of technical support skills? ● Does the technology meet the immediate, secondary and anticipated needs of the business? ● Will it integrate with existing, planned and anticipated technologies? These and other questions, if left unanswered, will often times result in technologies having shorter, sometimes significantly shorter, lives than desired. Yet, diminished viability is only one of many commonly affiliated and costly problems that can be associated with making short-sighted purchases. Conclusion Information technology has been and continues to be an integral and defining factor in the day-to-day operations of most successful companies. During this recession, it is critical to maintain a focus on the role technology plays in your company’s success and in the creation of value. Too often, that value goes unrecognized until the company suffers a loss. The opportunity for IT to enhance your business is stronger than ever. Dean Lemons is a managing director in RSM McGladrey’s information technology practice. You can reach him at dean.lemons@rsmi.com

12th Annual Cedar Rapids Professional Development Conference

“ProCon 2009” Growing Global Leaders

Tuesday, May 12, 2009 Mariott Hotel and Conference Center 1200 Collins Rd. NE, Cedar Rapids

7:30–11:30 11:45 12:00 - 12:45 1:00 - 5:00

Track 1 - Leadership Track Track 2 - Project Management Track Presented by Debra Salz from Prevention Services & Strategies Presented by Jamie Northrup from Triple Constraint Super Stars, Shooting Stars, and Falling Stars – Coaching and Mentoring for Today’s Workplace Proactive Project Risk Management Lunch (included in registration fee) Luncheon Speaker: Premier Advisors Protecting Investments and Investing During Financially Unstable Times High Performance Teams Lean Project Management

Early registration will run through April 17th, 2009: IEEE Members $75 / All others $90 After April 17th, 2009: IEEE Members $90 / All others $105 Undergraduate/Full-time Student/Unemployed/Retired: $30

Register online at www.ProCon2009.org

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3/19/2009 2:03:02 PM


14

EdgeBusiness ■ APRIL 2009

The

Green light

Sustainable-building practices hot despite a cool economy

Dan Thies, principal architect at OPN Architects, goes over plans for the proposed $15 million human services building in downtown Cedar Rapids with Lois Buntz, president and CEO of the United Way of East Central Iowa. The building has been designed with sustainable building design practices. Janet Rorholm photo/EdgeBusiness Magazine

By Janet Rorholm

F

looding may have damaged Stamats’ 75-year-old headquarters last June, but the company knew it would rebuild and, in doing so, would embrace the green trend. “It was time to practice what we preach,” said Guy Wendler, president and CEO of Stamats. Stamats was familiar with green building practices from its business-to-business publications, Buildings, Interiors & Sources and Archi-Tech. Employees all were in favor of the idea and “it just made economical sense,” Wendler said. So the company changed its lighting and included more natural light, installed water-efficient faucets and toilets, installed all recyclable carpet and used environmentally friendly paint. It also insulated the drafty building with soy-

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based biofoam. Wendler said going green cost the company about 10 percent more, but he expected the payout to be worth it through reduced costs in the long run. Stamats isn’t alone in thinking green. Environmentally friendly building design and remodels are quickly becoming the norm across the country, and especially in the Corridor. As of early March, there were 128 projects seeking Leadership Energy and Environmental Design certification across the state, 32 of which are located in the Corridor. Stamats is one of those projects. Developed by the U.S. Green Building Council in 2000, LEED is a thirdparty certification program and the nationally accepted Kevin Monson benchmark for the design, construction and operation of high-performance green buildings. To certify as LEED, projects must satisfy certain prerequisites and earn points in six categories: sustainable sites; water

efficiency; energy and atmosphere; materials and resources; indoor environmental quality; and innovation in design. The number of points the project earns determines the level of LEED certification the project receives. LEED certification is available in four progressive levels: certified, silver, gold and platinum. The economic downturn hasn’t slowed down the number of green projects, overall. “It’s kind of independent of that,” said Kevin Monson, president of Neumann-Monson Architects in Iowa City. “People have a much more heightened awareness of their carbon footprint than they ever have before. Part of that comes from the spike in energy costs that we’ve seen.” This long-term thinking has created a demand for buildings that are as cost-efficient as they can be, especially since the cost of energy is only expected to increase. “That means more than ever it is important, in light of these economic times, to make sure that fixed costs like power and energy are at the lowest they can possibly be,” Monson said. In the United States alone, buildings account for: ● 72 percent of electricity consumption

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APRIL 2009 ■ EdgeBusiness

15

Account executive Paul Hagen works in his office at Stamats Communications in Cedar Rapids on March 13. The building has been remodeled after it was damaged in last summer’s flooding to meet Leadership Energy and Environmental Design certification with changes including greater use of natural light in offices as well as glass doors to bring more natural light into the interior of the building. Cliff Jette photo/EdgeBusiness

39 percent of energy use 38 percent of all carbon dioxide emissions ● 40 percent of raw materials use ● 30 percent of waste output (136 million tons annually) ● 14 percent of potable water consumption Dan Thies, principal and LEED certified architect at OPN Architects in Cedar Rapids, agrees that the number of companies and residents interested in sustainable building practices will increase. “Far more people are interested in this, and I think over time we will only see that number continue to grow,” Thies said. Soon, sustainable building practices could become second nature, just like the American with Disabilities Act. “When the ADA came out, there was a lot of discussion and concern about how to incorporate all of these standards into a building. Now it’s not even a conversation anymore. It’s just how you design a building. In my view, soon people won’t ask anymore about efficiency and sustainability, they are just going to expect it ... It won’t be a buzz concept. It will be the baseline,” Thies said. Thies said OPN now has 50 percent of its staff LEED accredited. It hopes for that number to be 100 percent soon. “We want 100 percent of our staff to be ●

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LEED accredited, we think it’s that important,” he said. Thies said often the first question clients ask is, “How much more will it take to make the building green?” Today, the answer is often minimal. “All of these elements of building (green) are now mainstream and so many of the premiums have evaporated,” he said. Monson said national estimates suggest that sustainable building practices account for about 2 percent of additional construction costs today. “Many times that is quickly paid back through increased productivity, energy-cost savings and the increased value of the building,” he said. “LEED-certified buildings tend to receive higher rental rates ... That’s just making it good financial sense as well.” Rockwell Collins’ gold certification LEED building at 131 Rockwell Dr. NE proves going green doesn’t have to be costly. That building was constructed at less than $100 a square foot, Thies said. The United Way of East Central Iowa also is thinking green with its proposed $15 million human services building in downtown Cedar Rapids. “When, or if, we (build), we feel we have an important obligation to do things as economically and environmentally friendly as we can,”

said Terry Bergen, director of marketing for the United Way of East Central Iowa said. Bergen said United Way is working with OPN architects to make sure it can incorporate as many green aspects to the building as it can within its budget. “The money you spend comes back to you. It will be returned over time in energy savings, but the other aspect of this is being a good citizen of the community. We want a building that will have benefit to our community,” Bergen said. Clients are able to build a sustainable building regardless of their budget, Thies said. “The beauty of sustainable buildings and design is that there are all different kinds of ways you can approach the various strategies ... so clients have choices,” Thies said. Today’s sustainable buildings include energy efficiencies such as natural daylight to reduce the use of lighting and positioning buildings to best use natural daylight from the north and shading on the south and west side that will protect the building from direct sunlight, therefore reducing the cooling load. Other features include dimmer switches and occupancy sensors that turn off lights when no one is around, water use reduction features, water-efficient landscaping and using renewable energy.

3/19/2009 11:26:00 AM


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EdgeBusiness ■ APRIL 2009

Manage

Your Energy Low cost, no cost ways to save energy at work

By Janet Rorholm

J

erry Niederhauser knew he needed to make some capital investments into his more than 125-year-old commercial building located at 101 First St. in downtown Mount Vernon to make it more energy efficient, so he contacted Alliant Energy and had a business energy audit done to find out where he was wasting energy. It was no surprise to him that insulation was practically nonexistent, but the audit uncovered a lot of other areas that Niederhauser could make his building more energy efficient. “I’ve been involved in real estate for a long time. I knew I had issues. I was working on some of them. But it was much more thorough than I thought it would be,” he said of the audit. Niederhauser said he now has a game plan of energy efficient projects that he can tackle over time when finances allow and he recommends other businesses do the same. “I think it’s a great program. People should be taking advantage of it,” he said. Getting a free energy audit is just one of the low cost, no cost things that businesses can do to make sure their business is as energy efficient as it can be, said Curtis Klaassen manager of the Iowa Energy Center’s Energy Resource Station in Ankeny. While the audit may uncover some serious

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problems that require serious capital outlays, Alliant and other energy companies offer various incentives or rebates to help make some of those changes, he said. Niederhauser, for example, spend nearly $1,500 on insulating his building, getting more than 50 percent of that back in energy efficient rebates from Alliant. “It seems odd to encourage customers to use less of our product... but at the end of the day, the more cost efficient our customers can be with energy, the less investment we have to make in multibillion-dollar power plants,” said Ryan Stensland, spokesman for Alliant Energy. Areas where people typically can find savings include more or better insulation, windows or doors, lighting, heating and cooling systems and water heaters, he said. About 300 businesses had an audit done last year, a number that continues to grow, he said. “The goal is to help Jerry Niederhauser them save some dollars and make some investments over time,” Stensland said. Last summer’s flooding prompted increased interest into Alliant’s energy audits and rebates. “The silver lining of the flood, if there was any, is that people are taking a look at those offerings, rebates and incentives to build green in their rebuilding efforts,” he said. Klaassen said businesses often don’t have to look too hard to find places where they can save. “Start with your office equipment,” Klaassen said. “Office equipment can consume 15 (percent) to 20 percent of your energy

3/19/2009 3:03:31 PM


APRIL 2009 ■ EdgeBusiness

consumption.” Surveys show that about 57 percent of computer monitors and printers are left running at night and on weekends. Actual working hours

It seems odd to encourage customers to use less of our product... but at the end of the day, the more cost efficient our customers can be with energy, the less investment we have to make in multibillion-dollar power plants.

— Ryan Stensland, spokesman for Alliant Energy

are about 30 percent of total hours, meaning that 70 percent of the time those monitors and printers aren’t in use, he said. Klaassen doesn’t buy the excuse that information technology departments want them left on to push out system upgrades, etc. “With a little coordination those computers could be left on every Tuesday night and turned off the rest of the week,” he said. “Besides, when a computer is left on, it could open a

portal to be a source of net attacks, depending on your security.” Klaassen also recommends businesses put their lighting on a “diet,” since lighting accounts for 25 percent to 30 percent of energy use in the office. He said all T12 lamps should be converted to T8 or T5 lamps with electronic ballasts. The move can save 15 percent to 20 percent in energy, he said. “To sweeten the pot, most utilities have a rebate per fixture to make the change, often anywhere from $8 to $16,” he said. Klaassen also encourages business to install occupancy sensors to control the lighting so that it goes off when it is daylight and when no one is in the room. Often these sensors can be purchased at any big box retail stores for as little as $15 or as much as $35 for a more sophisticated one, he said. And when looking at lighting, don’t forget outdoor lighting, he said. He recommends businesses put lights on photo cells or timers so that a business is “not lighting up the parking lot during the day,” he said. Other low-cost or no-cost tips to conserve energy from area professionals: ● Make sure all computers and monitors have a sleep mode and it is activated so that it can power down during lunch breaks and meetings. Note: Screen savers are not sleep mode.

Green!

17

● When you upgrade copiers, computers and other equipment, make sure to buy one that has the Energy Star label (www.energystar.gov). Products with the Energy Star label meet strict energy efficiency guidelines set by the Environmental Protection Agency and U.S. Department of Energy. Also, when upgrading your computer monitor, seek out flat panel LCD models, not the bulkier CRTs that use more energy. For example, equipment in a single home office over its lifetime that meet the new Energy Star specifications save more than $115 over the life of the products, so think of what it could save a business. ● Using Energy Star vending machines that reduce power during off hours. Some vending machines have occupancy sensors. ● Recycle ● Use ceramic mugs for coffee, not Styrofoam cups. ● Print and copy on both sides of that piece of paper. If one in four office workers made copies on both sides, it could save 130 billion sheets of paper each year. ● When landscaping, use trees and plants that are native to the area so they require less watering. Using prairie grass can reduce mowing. “It’s small things that add up,” Klaassen said.

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Member FDIC

3/19/2009 3:03:34 PM


18

EdgeBusiness ■ APRIL 2009

The light is green, it’s time to go

I

Shelby Kraus

MARKETING ON THE EDGE

remember going to an elementary school assembly in the early 1980s to learn about recycling. I remember thinking, “What is that?” We left that day with pamphlets, coloring books and tips on how we could all recycle at home and help save the environment. That was my introduction to conservation. Since that time, Americans have gotten much better about recycling. But, we’ve never really taken it as far as our European or Australian counterparts. Today, America is finally jumping on the bandwagon. Whether you think the green trend started out of politics, high gas prices or a movie, one thing is for sure: Consumers are standing up and taking personal action and are asking businesses if they are doing their part. Consumers also are savvier about what it means to be eco-friendly and many are skeptical about business claims of being “green.” Seventy percent of Americans either strongly agree or somewhat agree that when a company calls a product green, (meaning better for the environment) it is usually just a marketing tactic. So as marketers, what can we do? If your company wants to only jump on the bandwagon and not really commit to ecofriendly programs, products or services, your hands may be tied. “Green washing,” as this is called, will be sniffed out quickly by the value-driven green consumer. However, if your company has started taking an official stance, then here are a few tips to help you communicate your efforts. 1. Know your market. Sounds like a nobrainer, but we tend to stereotype consumers interested in eco-friendly products and services as tree-huggers. Think bigger. Survey your audience and find out what is important to them. 2. Get to the heart of the matter. Identify online green communities such as RiverWired that are an information resource for the green consumer and get involved in these communities. 3. Monitor, learn about and pitch stories to green blogs. Some of the more noted blogs are

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Eco Geek, Alternative Consumer, Ecorazzi and Eco Sherpa. 4. Linking, linking and more linking. Get your Web site listed on green information sites such as EcoStreet.com, TheGreenGuide.com, and GreenForGood.com. 5. Advertise on blogs. Be mindful to ask for traffic stats before jumping in, but when you find good matches it is a great way to target your message and test response. 6. Think globally, act locally. Sponsor environmental events in your area or even start an event. Of course everyone knows about Earth Day, which is April 22, but one of the largest held events is Live Earth. Tie local events to some of their initiatives. Check out LiveEarth. org and how you can create a green event. 7. Be a resource. Provide information and educational materials about what it means to conserve. Promote sustainability and provide information about your products, services and internal programs. 8. Be transparent. Post information about your company’s sustainable guidelines or partner with organizations to promote green initiatives. Consumers want to know that you are doing something and realize you have to start somewhere. Also, talk to your stakeholders about current programs and future ones. When I was a child, the mail and the schools were the best ways to connect with families and compel them to act, if you couldn’t afford print, television and radio advertising. Without that school assembly, I am not sure how long it would have taken my family to gather a couple of old cardboard boxes and begin recycling. Today we still use the mail and school assemblies as ways to connect with consumers, but we have something even more powerful — the Internet. It is easier than ever to get started and to communicate your initiatives. Tell your story. Just take a step, the light is green.

lby Kraus is an account executive at Henry Shelby Russell Bruce (www.hrb-ideas.com) who recycles as much as she can. She can be reached at skraus@hrb-ideas.com or by calling (319)2980242.

3/19/2009 11:29:29 AM


APRIL 2009 ■ EdgeBusiness

19

Green building: A bright forecast for the year ahead

Jason Sytsma

LEGAL ANGLE

I

t is hard to believe any industry could have a positive outlook given the economic conditions, but the forecast for green building looks bright. This relatively new industry is seeing an expansion in projects from financial incentives and government backing. Businesses with green building design, construction and legal expertise will be positioned to profit from the expansion in green building. Green building uses advances in construction materials, technology systems, design and construction efficiencies to reduce energy consumption and greenhouse gas emissions. The most widely used standard for green building construction is the LEED, or Leadership in Energy and Environment Design, building rating system. LEED, developed by the U.S. Green Build-

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ing Council, is a point-based rating system that grades buildings based on efficiency performance. The ratings consider water and energy efficiency, building material selection and indoor environmental quality. LEED certification uses a progressive four-level rating system to rate buildings in order of increasing energy efficiency. There are many advantages to seeking LEED certification. LEED-certified buildings can command higher rents as environmentally conscientious tenants look to reduce their carbon footprint. LEED-certified buildings have reduced utility costs. A large Cedar Rapids employer announced in October that their newly constructed building achieved LEED’s second highest certification level and boasts, among other features, a 40 percent reduction in water use. Green buildings are also eligible for tax credits. In March 2008, the Cedar Rapids City Council approved a $400,000 property-tax incentive for a $5 million office building partly for the project’s green design. Federal and state governments also are promoting green public buildings. The proposed new Cedar Rapids federal courthouse will seek LEED certification. Also, the federal economic stimulus package includes provisions for construction and retrofit of green government buildings, for example, in the form of funding to make schools more energy efficient. Further, Gov. Chet Culver is promoting LEED-certified buildings, including LEED-certified construction projects to replace flood damaged property. Businesses immediately should begin to prepare themselves to meet the growing demand for green buildings. Those with the experience in green building and especially those with LEED project experience have the expertise to profit on this expanding industry. The newly

constructed building by the large Cedar Rapids employer was able to achieve LEED’s second highest certification level through a concerted effort involving local and national businesses that were able to bring the skills acquired from early experience to move the project forward quickly and at low-cost. Legal expertise from lawyers experienced with LEED certification also can help move your project forward. Green construction, and especially LEED certification, is fairly new and experienced legal counsel will be invaluable to those builders, contractors, architects and owners hoping to profit from these new initiatives. Before development it is important to contractually allocate responsibility for administering LEED certification and allocate liability that could be created for failure to obtain that certification. Also, an experienced attorney can identify and navigate any potential intellectual property disputes related to green construction techniques used by your green project. Failing to anticipate potential problems or overlooking valuable tax incentives can make the difference between your project coming over or under its budget. The forecast for green building looks profitable in the year ahead. Financial incentives and government backing is creating an expansion in the number of projects seeking LEED certification. Businesses with experience and expertise in green building, and especially LEED certification, or that surround themselves with a team of experienced architects, contractors and lawyers will be positioned to profit from the expansion in green building. Jason Sytsma is an attorney at Shuttleworth & Ingersoll PLC in Cedar Rapids. He can be reached at jrs@shuttleworthlaw.com or (319) 365-9461.

3/19/2009 11:30:25 AM


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EdgeBusiness ■ APRIL 2009

YOUNGGUNS Business organizations, internships, mentoring help shape future entrepreneurs

By Janet Rorholm

P

arker Valdez always wanted to be an entrepreneur, and he started early.

Valdez, a senior at Linn-Mar High School, started his first business with his brother, Preston, when he was 9 years old. The brothers handed out fliers in their neighborhood offering to mow lawns. They have been encouraged by their father, Perry, who owns his own business, Ultimate Touch Detail Center in Cedar Rapids. Valdez says the experience of running his own business has been invaluable. “I was able to learn a lot of things, like time management. I had to call on people and give them estimates. I also had to learn how to deal with people.” Valdez plans to shut down that business when he goes off to college at the University of Iowa in the fall, but after graduating in business, he hopes to open up his next venture,

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an auto collision repair business, also with his brother. Both are taking auto tech classes at Kirkwood Community College. Valdez also is working on his business skills through Linn-Mar’s Future Business Leaders of America, an organization that hones business skills for students as young as middle school. “To provide the opportunity for students to get practical experience is valuable on many fronts. They get experience and responsibility. It also gives them a better sense of finance and how to deal with money and anything we can do to improve financial literacy is important,” said David Hensley David Hensley, director of the John Pappajohn Entrepreneurial Center at The University of Iowa. Business organizations for young people like FBLA and DECA, Business Professionals of

America and business mentoring and internship programs aren’t just important for students. They also are important to the state in terms of economic development and community piece to the state, Hensley said. And he said there is always a need for more opportunities for young people to interact with entrepreneurs and business people in the state, he said. “All of those interactions help mold and develop our students in unique ways — whether they get a job in business or create their own company,” Hensley said. Everyone wins by participating in these opportunities, he said. “Business owners get to see what the next generation is like and what kind of talent they bring. They can help develop that talent,” he said. Often these students also learn just what it takes to make it in business. “It also comes down to hard work. Students learn how hard you have to work. They get a sense of what it takes to be successful,” Hensley

3/19/2009 11:39:06 AM


APRIL 2009 ■ EdgeBusiness

Linn-Mar High School Senior Parker Valdez works on his resume for the state FBLA conference slated for April in Cedar Rapids. Hundreds of FBLA students from across Iowa will compete in various business areas including interviewing skills, public speaking and graphics design. Janet Rorholm photo/EdgeBusiness

said. Hensley said the University of Iowa has pushed experiential learning for youth for several decades. “The idea isn’t that you turn 4- or 5-yearolds into entrepreneurs. You get them to think about it and how you take their interest and use it. Young people are very, very creative and we want to get them to harvest those skills... we want to motivate and empower them,” he said.

The Premier Learning Environment for Today’s Adult Learner.

That includes experiential learning programs for high school and college students like the Okoboji Entrepreneurial Institute that Hensley helped found. The institute gathers together students from state’s three public universities at the Iowa Lakeside Laboratory on West Lake Okoboji in northwest Iowa for a one-week crash course in entrepreneurship. Students are mentored by area entrepreneurs, an experience Cody Seeley found the

21

most valuable. “To get the opportunity to speak with them and share contact info was probably the greatest benefit,” he said. Seeley, 22, a senior at the University of Iowa’s Tippie College of Business, graduates in May. He and a friend and business partner, Jason Willcox, are planning their own online investment firm catering to college students. Seeley said he’s turned to the entrepreneurs he met at the institute for advice as he works on starting his own business. For younger students, some of that mentoring comes from the National Future Business Leaders of America program, the largest business career student organization in the world. Nationally, it has about 215,000 members at the high school level, about 15,000 at the middle school level and about 11,000 college students. The organization’s professional division has more than 3,000 members. Iowa has about 1,031 FBLA members at 27 schools. Cedar Rapids will host the state FBLA competition April 1-4 at the Crowne Plaza Five Seasons Hotel in Cedar Rapids. Students will come together to compete in everything from Web site design, interviewing skills, public speaking and economics. Dana Lampe, FBLA adviser at Linn-Mar High School and for the state, said students who get involved in FBLA don’t just learn business skills, they learn important leadership and communication skills. “These kids really develop a self confidence,” she said. Zafir Dharssi, a junior at Linn-Mar who is involved in FBLA, said he was looking forward to the state competition. “It’s given me a lot of new experiences and I’ve met so many new people. I really like that social aspect of it,” he said. He said is motivation for getting involved was simple. “I wanted to see if I got into business and could learn the fundamentals,” he said. Dharssi has dreams of owning his own business some day.

At the Kirkwood Center for Continuing Education, the Corridor’s leading training and education center, we handle the details before, during and after your event. We take the guesswork out of planning with the latest technological tools and value-priced packages. To schedule a tour, contact Stephanie at 319-398-1276 or stephanie.bredman@kirkwood.edu. 7725 Kirkwood Blvd. SW | Cedar Rapids, IA | www.kirkwood.edu/kcce

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3/19/2009 11:39:10 AM


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EdgeBusiness ■ APRIL 2009

BOOK r • e • v • i • e •w

“The Power of Full Engagement” by Jim Loehr and Tony Schwartz Struggling to make better use of time? “The Power of Full Engagement” suggests that time isn’t the problem, energy is. Time management is no longer the critical element to high performance, energy management is. In fact, this book recognizes that most “corporate athletes” (the authors’ name for those of us working in business and industry) have much more stressful and demanding lives than any athlete, so we need to renew ourselves much more often. “The Power of Full Engagement” applies the principles learned on the tennis courts and in all athletic endeavors to the corporate workplace to improve efficiency and performance. What is the difference between two world class tennis players? Jim Loehr and Tony Schwartz studied, coached and trained pro tennis players and discovered that the difference between the winner and the loser had more to do with what happened between the points than what went on during the match. Recovery time is the key element to high performance. When is your brain most awake? What is your cycle? Did you realize it takes the brain 25 minutes to get up to speed on any subject or project, and that in business we are interrupted every 11 minutes? Is it any wonder we fail to accomplish much each day? To accomplish more, the authors suggest you do your No. 1 task during your best hour. For most of us, that’s the first thing in the morning. You should set that time aside so you have no interruptions. What’s the root of all stress? Unfinished business. When you get your No. 1 task done each day, you eliminate a lot of stress. Managing energy is about discovering what your purpose is. In order to have the fuel necessary to achieve peak performance, we must first discover our mission. In fact, energy comes from four sources, physical, emotional, mental and spiritual capacity. It starts with the latter where our mission comes from. Spiritual capacity provides the passion for life and reason for achievement. Once aware of your personal and work/career mission, you now have the fuel necessary to energize your life. However, you must provide yourself with renewal, physical and emotional activity to enjoy optimal performance. Reaching peak performance requires the right food and frequent breaks in our work lives in order to be at our best. About 90 minutes is the optimum amount of time for concentration, after which a short five- to 10-minute break will provide renewal and increased focus. The authors provide not only numerous insights into peak performance but also tools and worksheets for increasing performance and for discovering your personal and career mission. Review by Doug Wick, owner of Positioning Systems

“CRM in Real Time: Empowering Customer Relationships” by Barton J. Goldenberg Drawing from a 20-year career in guiding companies to successful customer relationship management (CRM) solutions, Barton Goldenberg has written a comprehensive guide to CRM. CRM is defined as a business approach that integrates people, process and technology to maximize relationships with customers. Goldenberg begins with what he calls a primer on CRM and quickly moves to the critical issues executives and business owners must face: integration of technology and people, security concerns and Web 2.0 applications. This broad topic is dealt with in depth and offers best practice solutions applicable to a wide range of organizations, including non-profit and government examples (including the City of Des Moines Citizen Response System). The overlap of CRM and social media or Web 2.0 applications is made clear in a final chapter with a digital client road map that is excellent. Review by Lisa Van Allen, Van Allen & Associates

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April 2009 n EdgeBusiness

BUSINESS

e •v •e •n •t •s

APRIL Business calendar 3

Friday Train the Trainer: Cooking Up Tempting Training. Consider that your training sessions are like master cooking classes and you are the master chef. There are basic ingredients, terminology, tools and strategies that you can use to design and/or facilitate effective learning experiences for your staff. To this, your staff members will add their spices such as motivation, learning styles, “states,” context/experience and their key ingredient: their brains. The class will be held from 9 a.m. to 4:30 p.m. at Kirkwood Training & Outreach Services, 3375 Armar Dr., Marion. Cost is $199. To register, call (319) 398-1022 or visit www.kirkwood.edu/ce Monday

6 Welcome Reception. Access

Iowa, Diversity Focus, the Eastern Iowa Human Resources Association, the Iowa Cultural Corridor Alliance, Professional and Technical Diversity Network, Cedar Rapids Downtown District and the Cedar Rapids Area Convention and Visitors Bureau will hold a Corridor Welcome Reception for new faces to the Corridor from 5:30 to 7:30 p.m. at CSPS, 1103 Third St. SE, Cedar Rapids. Appetizers, beer and wine will be served. Please RSVP to http://eihra. org/content.asp?ID=862

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Tuesday Small Business Tax Series. Learn about sales, use and local-option taxes, information for the sole proprietor, as well as business expenses and deductions. The course also will include information on self-employment and employment taxes. Co-sponsored by Kirkwood and the Small Business Development Center, this four-session class will be held from 6 to 7:30 p.m. at Kirkwood Training & Outreach Services, 3375 Armar Dr., Marion. Cost is $35. To register, call (319) 398-1022 or visit www.kirkwood.edu/ce

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Tuesday The Essentials of Human Resource Management. Be prepared to handle daily HR challenges. The SHRM Essentials of Human Resource Management Certificate Program is an introductory course offering an overview of the human resource function. If you’re new to human resources or simply

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c o py ?

Get your own subscription mailed to you each month so you’ll never miss another issue. Go to www.EdgeBusinessMagazine.com and click on ‘Subscribe.’ It’s fast, it’s easy and it’s absolutely

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To advertise call Mary Reeder today @ (319) 368-8506

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want to strengthen your employee management skills, this program is for you. Essentials is designed for entry-level HR professionals, small-business owners responsible for the HR function in their companies and people looking into HR as a career change possibility. The six-week class will be held from 6:30 to 9:30 p.m. at Kirkwood Community College’s Linn Hall Room 203B, 6301 Kirkwood Blvd. SW, Cedar Rapids. Cost is $399. To register, call (319) 398-1022 or visit www.kirkwood.edu/ce

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Thursday Introduction to Project Management. We all practice project management, but there is a big difference between carrying out a simple project involving one or two people and one that involves a complex mix of people, organizations and tasks. This course is a general introduction to project management. It examines the role of the project manager, the structure of a project and the project team, the project planning process and how to monitor and control your project during execution. The class will be held from 8 a.m. to noon at Kirkwood Training & Outreach Services, 3375 Armar Dr., Marion. Cost is $119. To register, call (319) 398-1022 or visit www.kirkwood. edu/ce

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Monday Iowa Inventors Group. This group will hold its monthly meeting at 7 p.m. at the Community Savings Bank, 101


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EdgeBusiness n April 2009

Robins Sq. Ct., Robins. Local inventors and interested individuals are welcome to attend at no charge. A SCORE representative will be the featured speaker. For more information, contact club President Frank Morosky at (206) 350-6035 or info@iowainventorsgroup.org or go to www.iowainventorsgroup.org

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Tuesday Twitter for Dummies. Twitter can be confusing at first, but you can get the hang of it quickly, even if you aren’t technologically savvy. Get some tips for how to use Twitter effectively to connect with your community. Presenter for this free Morning Edge Seminar sponsored by The Edge is Steve Buttry, an editor at The Gazette. The seminar will be held from 7 to 8:30 a.m. at The Gazette, 500 Third Ave. SE, Cedar Rapids. RSVP to theedge@gazcomm.com

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Tuesday Intellectual Property and Employment Issues. Join the Entrepreneurial Development Center and representatives from Shuttleworth & Ingersoll for this educational luncheon. All intellectual property derives from the mind of its creator, protect your rights and investment by using confidentiality, noncompete and joint development agreements. Learn what you need to know when laying off employees. The lunch will be from 11:30 a.m. to 1 p.m. at the Kirkwood Training & Outreach Services Center, 3375 Armar Dr., Marion. Cost

is $10 for EDC members and $20 for all others. The fee includes lunch. To RSVP call (319) 369-4955 or visit www.edcinc.org and click on the “Events” tab.

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Tuesday & Thursday Excellence in Service. We all know what bad service looks like, but do we know how to give excellent service? What do you do when the customer is angry or unreasonable? You can keep your customer happy and satisfy business needs. In this course, you will gain the skills to address customer expectations, find solutions in difficult situations, communicate clearly and be empowered for excellence. Tuition includes textbook and course materials. The class will be held from 5:30 to 8:30 p.m. at the Iowa City Learning Center, 1810 Lower Muscatine Rd., Iowa City. Cost is $95. To register, call (319) 398-1022 or visit www.kirkwood.edu/ce

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Thursday PM Exchange. This Cedar Rapids Area Chamber of Commerce networking event will be held from 5 to 7 p.m. at the Armstrong Centre Building, 222 Third Ave. SE, Cedar Rapids.

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Thursday Leadership and Supervision of Volunteers. Quality leadership makes the difference in getting the work done. Identify management styles and learn how they affect the building of a team, organizational climate,

The

MorningEdge

leadership characteristics and styles, components of effective supervision, communication, delegation and empowerment; and supervision as a risk management tool. The class will be held from 9 a.m. to 4 p.m. at the Kirkwood Center for Continuing Education, 6301 Kirkwood Blvd. SW, Cedar Rapids. Cost is $79. To register, call (319) 398-1022 or visit www. kirkwood.edu/ce

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Friday How to Bounce. How can your business thrive during difficult economic times? Learn how to gain true business confidence with Barry Moltz, business owner, speaker and author. Discover how to build a resilient business that can navigate all the peaks and valleys of the business cycle with confidence, patience and purpose. This seminar will be held from 9 to 11:30 a.m. at Kirkwood Center for Continuing Education, 6301 Kirkwood Blvd. SW, Cedar Rapids. Cost is $119. To register, call (319) 398-1022 or visit www.kirkwood.edu/ce

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Wednesday Cost Savings Opportunities for Business. This Cedar Rapids Area Chamber of Commerce Chamber Academy will feature Jason Wilson, partner at Clifton Gunderson. Learn more about saving opportunities related to businesses that have expanded or remodeled real property over the last few years, including accelerating depre-

Join us the second Tuesday of every month for a

free seminar featuring business experts.

Each month The EdgeBusiness Magazine brings you advice to help your business from local experts in fields like efficiency, marketing, accounting and legal.

7 a.m. to 8:30 a.m. | The Gazette | 500 Third Ave. SE in the Nile Kinnick room, 2nd floor

SEMINAR

Enjoy coffee, juice, bagels & doughnuts Space is limited! Please RSVP to theedge@gazcomm.com

April 14 – Twitter for Dummies Twitter can be confusing at first, but you can get the hang of it quickly, even if you aren’t technologically savvy. Get some tips for how to use Twitter effectively to connect with your community. Steve Buttry is editor of The Gazette. May 12 – Using LinkedIn for Your Business Learn about this fast-growing professional networking site with more than 35 million professionals can help you grow your contacts and even your business. Annette Schulte is editorial manager at Gazette Communications.


April 2009 n EdgeBusiness

ciation and the installation of energy efficient property. Other ideas include sales tax, tax credits. The class will be held from 8:30 to 10 a.m. at the chamber, 424 First Ave. NE, Cedar Rapids. Cost is $15 for members and $25 for non-members. Continental breakfast included. Register with Julie Stow at (319) 730-1409 or jstow@cedarrapids.org

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Thursday Buy Here Business Fair. Network with hundreds of attendees at the largest Iowa City Area Chamber of Commerce Business PM. Enjoy food, drink, music and prizes as you connect to local businesses that can help you buy here. The event will be held from 5 to 7 p.m. at The Holiday Inn & Conference Center, 1220 First Ave., Coralville. The event is free and open to the public.

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Friday Leading a Culture of Execution. Only 10 percent of manager are truly focused on what matters most to their organization. Ninety percent of managers are typically either distracted or disengaged from key priorities. Learn practical and measurable steps you can take to lead your teams to execute on the highest goals of your organization with this Franklin Covey Workshop sponsored by the Iowa Quality Center. The event will be held from 9:30 a.m. to noon at Kirkwood Training & Outreach Services, 3375 Armar Dr., Marion. Register by April 21 with Larry Reynolds at larry.reynolds@franklincovey.com or (913) 721-3650. There is no cost.

Social calendar 15

Wednesday The Jimmy Dorsey Orchestra. Playing great hits like “So Rare,” “Tangerine,” “Green Eyes” and “Amapola,” this 16-piece orchestra revives your dreams with the music from the big band era. It is under the direction of trombonist Bill Tole, with featured vocalist Nancy Knorr, lead singer of the popular Pied Pipers. The concert will be held at 7:30 p.m. at the U.S. Cellular Center, 370 First Ave. NE, Cedar Rapids. Tickets are sold through the Cedar Rapids Community Concert Association at (319) 540-2301 or through Tick-

etmaster and the U.S. Cellular Center at (319) 363-1888. Prices are $10 for adults.

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Saturday Rock & Worship Road Show. Artists Mercyme, Jeremy Camp, Hawk Nelson and Tenth Avenue North will perform. The concert will be at 6 p.m. at the U.S. Cellular Center, 370 First Ave. NE, Cedar Rapids. Cost is $10 at the door. For more information, go to www.uscellularcenter.com

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Friday Alpin Hong. Hong amazed school kids by playing piano and Tetris at the same time. Then he amazed an adult audience with a performance that had patrons invoking the name Horowitz. He returns bringing his fiery technique and his winning personality (and probably his skateboard) to music lovers up and down the Corridor. The performance will be at 7:30 p.m. at City High School, 1900 Morningside Dr., Iowa City. Tickets are $28. Call (319) 335-1160 for tickets.

Commercial Printing Electronic Prepress High Res Scanning Digital Proofing

• • • •

remodel, $74,160. 401 Fourth Ave., Coralville, commercial remodel, $93,600. l

3466 Dolphin Dr. SE, rural Iowa City, billboards, $50,000, Waitt Outdoor LLC. l

3486 Dolphin Dr., rural Iowa City, billboard, $50,000, Waitt Outdoor. l

745 Community Dr., North Liberty, alteration, $89,500, Liberty Lake LC. l

Linn County 4545 Wenig Rd., Cedar Rapids, school addition, $4,700,000, Cedar Rapids Community School District. l

9440 Wright Brothers Ct. SW, Cedar Rapids, new commercial, $2,026,000, Linn Star Transfer. l

2515 Arthur Collins Parkway, Cedar Rapids, commercial remodel, $500,000, Eastern Iowa Airport. l

109 Second St. SE, Cedar Rapids, commercial repairs, $2,500,000, United Fire Group. l

Digest Building Permits Johnson County

109 Second St. SE, Cedar Rapids, commercial repairs, $100,000, United Fire Group. l

2909 Center Point Rd. NE, Cedar Rapids, new fence, $500,000, Interstate Power & Light Co. l

2909 Center Point Rd. NE, Cedar Rapids, new building, $130,000, Interstate Power & Light Co.

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410 E. Washington St., Iowa City, city attorney office remodel, $130,000, City of Iowa City.

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660 Eastbury Dr., Iowa City, remodel, $130,000, Dairy Queen.

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210 S. Dubuque St., Iowa City, remodel basement conference area of hotel, $75,000, RBD Iowa City LLC.

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1660 Sycamore St., Iowa City, reroof mall building, $398,152, MGD LC. l

1210 Highway 6 W, Iowa City, office building flood repair, $180,765, Nancy and Tom Riley. l

1451 Coral Ridge Ave., Coralville, commercial remodel, $60,000, General Growth Properties. l

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401 Fourth Ave., Coralville, commercial

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Direct Mail Services Envelope Printing Bindery Services Custom Publishing

• Trading Cards • Postcards • Posters

329 10th Avenue SE • Cedar Rapids, Iowa 52401 • www.thepioneergroup.com Home Office: 316 W. 5th Street • Waterloo, IA 50701

Call Jim Sigmon at 319-366-7777

401 29th Ave., Marion, school building, $5,153,967, Linn Mar Schools. 2900 Indian Creek Rd., Marion, school addition, $173,783, Indian Creek Elementary. 2127 27th St., Marion, school remodel, $145,367, Wilkins Elementary School. l

First St. SW, Mount Vernon, dormitory, $850,000, Cornell College. l

1600 Sixth St. SW, Cedar Rapids, commercial addition, $75,000, Extreme Automotive. l

2230 Wiley Blvd. SW, Cedar Rapids, commercial addition, $412,944, VA Medical Clinic. l

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915 Shaver Rd. NE, Cedar Rapids, commer-


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EdgeBusiness ■ APRIL 2009

cial addition, $1,500,000, Alliant Energy. 800 66th Ave. SW, Cedar Rapids, commercial repair, $108,000, Midwest Metal.

1026 A Ave. NE, Cedar Rapids, hospital remodel, $142,000, St. Luke’s Hospital.

415 First St. SE, Cedar Rapids, commercial remodel, $104,150, Redwood.

200 Fifth Ave. SE, Cedar Rapids, commercial remodel, $400,000, Borden-Hutchison.

1150 42nd St. NE, Cedar Rapids, bank remodel, $146,525, Collins Community Credit Union.

● 4444 First Ave. NE, Cedar Rapids, mall space remodel, $400,000, Lindale Mall.

4200 C St. SW, Cedar Rapids, commercial remodel, $3,665,062, Steve Dummermuth. ●

Swisher; Mark Bloom, Newbury Park, Calif.; Hugh Finlay, Moorpark, Calif.; David Ripley and Terry Shie, both of Cedar Rapids; and Kevin Hoheisel, Hiawatha; assignee: Skyworks Solutions Inc., Woburn, Mass.; filed: Oct. 21, 2003; assigned: Oct. 28, 2008. ● Hat combined with a bandana; inventor: Brandon Bridges, Cedar Rapids; filed: Feb. 11, 2008; assigned Oct. 28, 2008. ● Frequency hopping spread spectrum scheme for RFID reader; inventor: David Eastburn, Cedar Rapids; assignee: Intermec IP Corp., Everett, Wash.; filed: Jan. 12, 2007; assigned:

819 Fifth St. SE, Cedar Rapids, commercial remodel, $572,600, Horizon Family Services of Iowa.

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3620 Edgewood Rd. SW, Suite 500, Cedar Rapids, store remodel, $85,500, Radio Shack.

525 A Ave. NE, Cedar Rapids, church remodel, $54,000, Grace Episcopal Church.

Easy. Affordable. Effective.

3801 Blairs Ferry Rd. NE, Cedar Rapids, church remodel, $120,000, River of Life Ministries. ●

1150 42nd St. NE, Cedar Rapids, bank roof repair, $114,015, Collins Community Credit Union. ●

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1601 Boyson Square Dr., Hiawatha, commercial remodel, $60,000, Compass Commercial Services.

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* KCRG.com and their new A-list * GazetteOnline.com iGuide link on its homepage * HooplaNow.com - Bar and Dining Guide

SBA Loans* ●

Carlson Building Services, Cedar Rapids, $2,000,000, 180 jobs created or retained.

HH Ventures LLC, Hiawatha, $960,000, 27 jobs created or retained.

Troy and Gery Albrecht (EPC), Marion, $1,081,400, 15 jobs created or retained.

● ICAN Inc., Marion, $150,000, no new jobs listed as created or retained. * Note: Information is based on approvals only and does not imply funds have been disbursed.

Patents

iGuide houses over 160,000 businesses and organizations across Iowa - and allows consumers FREE access to search, leave reviews and interact with YOU! You can find iGuide on iowa.com!

318 Fifth St. SE, Cedar Rapids, commercial repair, $348,000, Waypoint.

JOHNSON COUNTY Gluten Evolution LLC, Iowa City, $35,000, one job created or retained. LINN COUNTY

● Control of reconfigurable SIS/MAC protocols used in wireless communication devices; inventors: Richard Robertson and Robert Frank both from Cedar Rapids; assignee: Rockwell Collins Inc., Cedar Rapids; filed: l Rotating priority queue manager; inventors: T. Douglas

FINALLY! Online marketing made easy.

Nov. 4, 2008. ● Recirculating retransmission queuing system and method; inventors: Charles Young, Plano, Texas; Brad Parke, Carrollton, Texas; assignee: Rockwell Collins Inc., Cedar Rapids; filed: July 29, 2003; assigned: Nov. 11, 2008.

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Active quadrature radio frequency power detector; inventors: David Jones and Andrew Folkmann, both of Cedar Rapids; assignee: RF Micro Devices Inc., Greensboro, N.C.; filed: Feb. 6; assigned: Oct. 21, 2008. ● Constant current biasing circuit for linear power amplifiers; inventors: Paul Andrys,

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APRIL 2009 ■ EdgeBusiness

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BAROMETERS HR cuts

As businesses make cuts, human resource initiatives are increasingly a target. Forty-six percent of businesses said they have cut their HR budget in the last 12 months. Here’s where most of the cuts have been made: 57% Morale and team building activities, including company picnics and holiday parties 51% Recruitment 44% Professional development 39% All staff training on general topics not related to company’s core business; for example, antiharassment, diversity training 36% Refreshments/snacks, like coffee, for employees 23% HR-related technology, like time and attendance, payroll recruitment, applicant tracking 16% Spot awards 15% Volunteer and philanthropic activities, like blood drives, community clean-up, canned food collections 13% Fitness and stress management initiatives, like onsite gyms, off-site fitness center membership subsidies Source: Society for Human Resource Management

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EdgeBusiness graphic

A delicate matter

Health care coverage

Times are tough. People are hurting. If you learned that a co-worker was seriously depressed, would you share that will his or her boss?

HR professionals believe more employees will elect COBRA coverage as a result of the new COBRA subsidy. The recentlyenacted economic stimulus package provides for a 65 percent subsidy for COBRA continuation premiums for up to nine months for workers who have been involuntarily terminated and for their families. The subsidy terminates when the covered individual is offered any new employer-sponsored health care coverage or becomes eligible for Medicare.

It depends on the situation. 57%

Yes. 23%

No. 12%

20% No.

Source: SmartBrief on Workforce

EdgeBusiness graphic

4% 38% Yes, slightly more.

Source: Compensation.BLR.com

49% Yes, significantly more. EdgeBusiness graphic

3/19/2009 1:18:21 PM


Lunch & Learn Online Marketing MADE EASY! FREE

You are invited to attend this Lunch & Learn on how to be successful with Online Marketing! This one hour seminar will focus on tools and resources to maximize your online marketing – regardless of your budget.

April 14th OR 15th

11:30 a.m. – 12:30 p.m. Kirkwood Center for Continuing Education; 6301 Kirkwood Blvd. S.W., Cedar Rapids Lunch will be provided. Please go to www.edgebusinessmagazine.com to register for this event.

Space is limited – so RSVP today! www.kirkwood.edu/ce

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3/19/2009 11:48:13 AM


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