ERIE Magazine | April 2011

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president’s perspective Jim Dible

A FAREWELL

Erie is hard to get out of your system.

How many times have you heard of people who left Erie for career or other reasons, only to let it be known that they would come back here in a heartbeat if circumstances allowed?

Barbara Chaffee was born in Erie. She left when native son Tom Ridge beckoned her to Harrisburg when he was elected Governor of Pennsylvania, and then to Washington when he became the first head of Homeland Security. Then it was to Pittsburgh for personal and professional reasons.

Be prepared to be blown away by the ingenuity and entrepreneurial spirit on display. There are many more examples of such pioneers in technology in the Erie region. They need our support, because they can be the wealth creators and job providers of our present and our future.

But Barbara attests that she never wanted to leave Erie in the first place. And now she is coming home to Erie as the new President and CEO of the Erie Regional Chamber and Growth Partnership (ERCGP).

Judy and I had the good fortune to move to Erie in 1996 after years in northwest Ohio and central Pennsylvania. Now I’m retiring from the position Barbara is coming home to assume. And the Dibles have no intention of leaving Erie.

The biggest challenge for an organization like the ERCGP is to play a role as a partner and a leader in helping the business climate in the Erie region be one where companies want to locate and grow. That’s the best way those expatriates who long to come home will be able to do so. And it’s the best way to address our stagnant population and extraordinary poverty levels.

Those who think we can’t do it are wrong.

And if you attend our “Celebration of Excellence” dinner on Thursday, April 28, you will see why.

“Erie’s Pioneers in Technology” is the theme for the event, as it is for this edition of your ERIE Magazine. The 11 companies featured in this edition will be exhibitors at the Celebration of Excellence at the Bayfront Convention Center. They will each have interactive or hands-on demonstrations of their technology on display to enhance the evening.

Board of Directors Peter Balmert John J. Barber Dr. Donald L. Birx John Bloomstine Kurt Buseck Carl Carlotti Terrence Cavanaugh Rosanne Cheeseman Gary L. Clark Joel Deuterman Mary L. Eckert Thomas C. Hoffman Timothy Hunter Thomas Kennedy Charles G. Knight Leonard A. Kosar John P. Leemhuis John T. Malone

James W. Martin James E. Martin Michael P. Martin Marlene D. Mosco Jack A. Munch David Poor James Rutkowski Jr. Matthew Schultz Nick Scott Jr. John Skory Ronald A. Steele Noreen A. Stegkamper David M. Tullio Russell S. Warner, Chair Michael Weber Thomas J. Wedzik R. Jason Wieczorek

President/CEO Barbara C. Chaffee

Vice President, Chamber Claudia K. Thornburg

Vice President, Economic Development Jacob A. Rouch

Vice President, Growth Partnership Mary C. Bula

Staff

I recently participated in an interview of a young man who wanted to come home to Erie. When asked why, he responded that “Erie has a twinkle in its eye.” He is able to see the potential for Erie to have a bright future. He wants to be part of that. He was hired.

He reminded me of what Judy and I experienced when we were doing our due diligence before moving to Erie.

Blasco Memorial Library was under construction on the waterfront. We were struck by the enormous potential of the Bayfront. The mix of outstanding health care and higher education institutions, the strong retail base, and the enviable manufacturing employment, all combined to lure us to Erie.

Erie had that twinkle in its eye for the Dibles 15 years ago. It still has it today for Barbara Chaffee.

All best,

Joelyn J. Bush, Director of Marketing & Communications Sara Galbreath, Sales Executive Julie B. Graff, Sales Executive Melanie A. Johnson, Business Retention & Expansion Program Manager Doug M. Massey, Workforce Development Coordinator-Training Cathy Noble, Events Coordinator Benjamin C. Pratt, Director of Research Linda Robbins, Accountant Susan M. Ronto, Membership Coordinator

Editor Joelyn J. Bush

Contributing Writers Amanda Prischak John Chacona

Photo Contributors Ferralli Studios

Design Bensur Creative Marketing Group For Advertising Information: Julie Graff, Sales Executive (814) 454-7191 x 139 jgraff@eriepa.com

On Cover: Welders Supply Company and Donjon Shipbuilding & Repair Full article on page 10.

Jim Dible

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Growing a Trusted Family Business ERIE Magazine

| April 2011

what’s inside 2-4

New Investors

Erie’s Pioneers of Technology King of Ice

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after hours We look forward to seeing you at these networking events for Chamber investors.

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Powered by Innovation

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GE Transportation

May 19th

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Welders Supply Company and Donjon Shipbuilding & Repair

5:00 – 7:00 p.m.

Lake Shore Country Club 5950 Lake Shore Drive Erie, PA

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NaviTek Group, Inc.

June 23rd

16-19 Safe, Sound and Smart

A Better Way

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ImmersiMap™, LLC

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Whitetail Electronics

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D.A.G.I.R. Co.

5:00 – 7:00 p.m.

United Way & The Erie Community Foundation 420 W 6th Street Erie, PA

24-29 Four for the Future 25

M-Dot Network

July 21st

26 Renewergy 27

5:00 – 7:00 p.m.

Scott Enterprises/ Splash Lagoon 8091 Peach Street Erie, PA

Industrial Sales & Manufacturing

29 FIRST® Robotics of NWPA 32-33 2011 Louis J. Tullio Award

Save in One Click

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Roger W. Richards

Please RSVP to the Chamber at (814) 454-7191 x 146 or cnoble@eriepa.com

Cert. No.: BV-SFICOC-US07000166

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welcome new investors Silver Level Investors

Bronze Level Investors

Abt SRBI, Inc. A wholly-owned subsidiary of Abt Associates and a full-service global strategy and research organization specializing in customer experience, brand development, enterprise feedback management, public policy and opinion surveys, banking and finance, e-communications, media, energy, transportation, insurance and health care.

Mr. Duane Clement 3910 Caughey Road, Suite 110 | Erie, PA 16505 (513) 509-3886

Great Lakes Insurance Associates Founded in 1969, Great Lakes Insurance does business in 21 states while utilizing over 40 licensed professionals with five locations in PA and NY. Representing over 60 carriers allows them to provide clients with the best coverage and service at an affordable cost.

Mr. Louis Caracci 3205 Peach Street | Erie, PA 16508 | (814) 456-0498

Investors Arlington Lawn Care Landscape design, installation, maintenance, snow plowing and removal.

Mr. Richard D. Arlington 8501 Old French Road | Erie, PA 16509 | (814) 864-2586 BlueTree Capital Group, LLC Manages a group of private equity investors called BlueTree Allied Angels (BTAA).

This group is focused on investing (in a systematic way) in start-up and early stage growth companies.

The Final Finish Jewelry repair.

Mr. Richard Wurst 3214 West Lake Road #2 | Erie, PA 16505 | (814) 838-9556 Finish Thompson, Inc. Manufactures pumps, solvent and coolant distillation equipment.

Mr. Casey Bowes 921 Greengarden Road

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Erie, PA 16501 | (814) 455-4478

Ms. Catherine Mott 79 Plummer McCullough Road Mercer, PA 16137 | (724) 457-1182 Creative Marketing Innovations A personal development marketing company specializing in offering training seminars and consulting in the field of social media marketing.

Ms. Denise Peters 11279 North Watson Run Road Conneaut Lake, PA 16316 (814) 282-2031 DC Analytics A small, woman-owned, open source research and analysis firm, providing national security and competitive intelligence services and training, since October 2008.

Ms. Diane Chido 841 Shenley Drive | Erie, PA 16505 (814) 440-2490 Ferralli Studios Cinematography. Editing. Post Production.

Mr. Joe Ferralli 333 State Street, Suite 101 | Erie, PA 16507 814) 528-5439

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(investors continued) ICE Center of Erie, LLC Erie’s only year-round ice rink. Home of youth and high school hockey, learn to skate programs and open skates every weekend. Birthday parties, group outings and field trips are welcome.

MedExpress Urgent Care A full-service, walk-in clinic offering medical treatment to all ages for illness and injury. There are no long waits.

Just walk in at your convenience, 9 a.m. to 9 p.m., seven days a week for great care fast.

Mr. Michael Agresti 3515 McClelland Avenue | Erie, PA 16510 | (814) 899-0808

Mr. Mike Ifkovits 5039 Peach Street | Erie, PA 16510 | (814) 866-1443

International Association of Administrative Professionals - Presque Isle Chapter A not-for-profit professional association, whose mission is to enhance the success of career-minded administrative professionals by providing opportunities for growth through education, community building and leadership development.

Myriad Core Web Technologies A web technology company that specializes in digital marketing and optimization, cloud technologies, web analytics, website development and web-based application development.

Ms. Karen Jendruczak P.O. Box 8922 | Erie, PA 16505 | (814) 725-5825 JAS Forwarding, Inc. A privately owned international freight forwarder and logistics provider. Founded in 1978 in Milan, Italy, JAS has expanded to more than 3,200 employees, 241 offices in 80 countries on six continents. JAS Projects is a new division in Erie specializing in large projects and over dimensional cargo worldwide.

Ms. Darla Crowe 5340 Fryling Road

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Erie, PA 16510 | (814) 899-1224

Loving Hearts Home Care, Inc. Non-medical in-home care.

Mr. Jason Wolff

Mr. Ryan Bardo 2820 West 23rd Street, Suite 103 | Erie, PA 16506 (877) 858-2797 Northshore Technological Support and forward the quality of clients lives through exceptional service. IT services include: maintenance and repair for network and hardware; consulting; project management; network management; and server management.

Ms. Katherine Dudenhoefer 3618 West 12th Street | Erie, PA 16505 | (814) 835-0163 Paragon Packaging Products, Inc. Manufacturer of corrugated shipping containers, specialties and industrial items.

Mr. Daniel E. Wingerter, Jr. P.O. Box 1 | Girard, PA 16417 | (814) 774-9621

3520 West 26th Street | Erie, PA 16506 | (814) 836-1147

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(investors continued) Señor Coyote’s Cantina & Grille Located in the heart of downtown Erie in the historic Modern Tool Building. Offering a fusion of fresh Southwest and American cuisine with a full-service bar and an extensive lunch buffet, as well as a Sunday brunch from 10 a.m. - 2 p.m.

UPS With their finger on the pulse of the global economy, UPS believes that for companies large and small, logistics is the next big competitive advantage that will reshape the way the world does business in the years ahead.

Mr. Ismael Aguilar 319 State Street | Erie, PA 16507 | (814) 459-4695

Ms. Katrina DeVore 2200 West 50th Street | Erie, PA 16506 | (814) 833-3831

ServeToLearn.org A free web application that connects students, nonprofits and educational providers in order to create meaningful volunteer and service learning opportunities.

Van Cleve Payroll Payroll service, small business accountant and bookkeeping.

Mr. Bruce P. Van Cleve 2800 West 21st Street | Erie, PA 16506 | (814) 431-4212

Ms. Holly Dhaliwal 512 Virginia Avenue | Erie, PA 16505 | (814) 602-1056

Van Tuil Photo & Imaging Center Retail photographic equipment, supplies and photo processing.

Dr. Lee J. Simon Dental Dental office.

Mr. Mike Bumbera 2254 West 8th Street | Erie, PA 16505 | (814) 453-6601

Ms. Cindy Simon 410 Cranberry Street, Suite 300 | Erie, PA 16507 (814) 452-3442

Vermont Tavern A tavern and restaurant with live music.

Snacks ‘n More Vending service for small companies with 50 to 100 employees - snacks, beverages (soda, water, etc.) and microwavable entrees.

Ms. Marlene Flick 1033 State Street | Erie, PA 16501 | (814) 454-4500 YogaErie, LLC Power yoga studio and boutique.

Mr. Frank Sovec P.O. Box 9881 | Erie, PA 16505 | (814) 833-3733

Ms. Jill Murphey 2560 West 8th Street | Erie, PA 16505 | (814) 520-6998

The Stark Law Firm Business law firm engaged in real estate, estate planning, administration, corporate and shareholder transactions.

WQLN Public Broadcasting of NW Pennsylvania Public Broadcasting Center for radio and television.

Mr. Norman “Buddy” Stark 100 State Street, Suite 210 | Erie, PA 16507 | (814) 454-9898

Mr. Dwight Miller 8425 Peach Street | Erie, PA 16509 | (814) 864-3001 PLAYER GOLF SHIRT Embroidered logo on high quality performance polo shirt given to each player

UPPER COURSE Logo on 18 upper course pin flags

LOWER COURSE Logo on 18 lower course pin flags

DINNER Customized to provide maximum company exposure

LUNCH

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$2,500 $2,000 $1,000

GOLF CART (2 available) Logo on all golf carts at your choice of lower or upper course

$1,500

COOLER

$1,500

PIT-STOP (2 available) Have promotional booth on Par 3 Hole

$750

BEVERAGE CART (4 available)

$500

Let us promote your company with a unique sponsorship.

Call for details.

PUTTING GREEN (2 available)

CONTACT: Julie Graff jgraff@eriepa.com 814-454-7191 x 139

$2,500

Customized to provide maximum company exposure

Logo on insulated coolers given to each player

CUSTOMIZE SPONSORSHIPS

$3,500

SNACK CART (2 available)

HOLE (36 available)

$300 $250 $200

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Our Online Resources Are Just A Click Away.

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rie has long been famed for its manufacturing history; now, it’s about to gain renown for the best practices in implementing technology that allows for better and newer products to be made for less money and less time.

Photo above: PowerHaul locomotive (Freightliner, United Kingdom) GE’s PowerHaul locomotive is the most technologically advanced engine to date. The locomotive reduces both fuel consumption and emissions by approximately nine percent compared to Freightliner models currently in use.

The PowerHaul locomotive represents GE’s first entry into the UK and European marketplace.

Incredibly, each of the five thriving companies profiled in this article traces their origins back to the early and mid 20th century. And though there are no doubt many reasons for their success over the decades, each person interviewed said that a fearless embrace of the best and latest technology will allow their companies to remain relevant and profitable today and for years to come.

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Powered by innovation Five of Erie’s most established manufacturers share how–and why–they continually embrace | By Amanda Prischak new technology.

PLATINUM INVESTOR

GE Transportation Technology leadership in a global market

It’s not every day that a Coast Guard cutter clears a path for a locomotive. But it happened this past December as five brand-new GE PowerHaul locomotives, tucked safely in the hold of a cargo ship, left the Port of Erie for the United Kingdom.

Later that same month, teams at the Lawrence Park plant sent the first shipment to South Africa where the locals unveiled the Erie-built locomotives with great fanfare. And in Turkey, residents got their first glimpses of GE locomotives assembled in-country with components made in Erie and Grove City.

GE Transportation, headquartered in Erie for more than 100 years, has transformed from a North American locomotive manufacturer to a global transportation powerhouse.

Global sales are of increasing importance to the company’s revenues and are projected to climb as global growth accelerates.

While locomotives remain the core of the business, GE also serves the mining, marine, signaling, stationary power and energy storage industries. The focus is global.

In order to better serve customers and increase its competitiveness, the company continues to expand its operational footprint in both the U.S. and in growth markets around the world.

Driving success is a sharp focus on technology leadership and product innovation. By the end of 2011 GE Transportation will have invested more than $600 million to help solve the toughest transportation challenges. On the horizon are locomotives that meet more stringent emission standards and further improve energy efficiency, models for higherspeed passenger rail, and advanced rail IT software solutions. GE Transportation’s Durathon battery will soon debut, offering eriepa.com

breakthrough technology for a reliable, long-lasting back-up power source that will ultimately pave the way for hybrid applications within the rail, mining and marine industries.

Technological advances are improving manufacturing processes as well as the products themselves. It took GE 92 days to build a locomotive in 1992.

The introduction of lean manufacturing techniques spurred improvements and productivity gains which reduced cycle time dramatically. Today locomotives can be built in just 12 days.

As GE Transportation invests in technology to remain competitive, the company is also making long-term investments in the competitiveness of the Erie region.

Supporting initiatives that address the community’s most pressing needs— education, health care and basic human services—GE has made numerous transformative gifts to the region including a five-year, $15 million grant to the Erie School District from the GE Foundation’s Developing Futures program to strengthen math and science education.

An additional $4 million grant made to the GO College-Erie program in March 2011 is helping local high school students pursue higher education.

Beyond financial support, GE volunteers provide knowledge, expertise, and hands-on help to local organizations.

GE employees give thousands of volunteer hours to advance programs such as FIRST Robotics, Junior Achievement, Boys and Girls Club, Habitat for Humanity, and many others. Whether in classrooms, community centers or neighborhoods, GE volunteers are helping others make a transformation of their own. 4 getransportation.com

A 2010 study by the research firm Tripp Umbach finds GE Transportation has a profound economic impact on the Erie region.

GE’s contributions include:

4 A total economic impact of $4.6 billion

4 Supporting 1 of every 11 jobs in Erie County

4 Supporting 1 in approximately 350 jobs in Pennsylvania

4 Generating $1 of every $130 in the state’s economy

GE’s total economic impact is greater than that of all Pennsylvania-based professional sports teams ($1.37 billion) and the state’s mining, oil and gas extraction industries ($1.79 billion) combined.

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SILVER INVESTOR

Welders Supply Company and Donjon Shipbuilding & Repair New Products and Smart Partnerships Grow a Trusted Family Business

The fact that the third generation of the Raimy family helms Welders Supply Company is in no small part due to the family’s willingness to seek out new ways to move the company’s products and services ever forward—and to instigate smart partnerships with other companies.

“We realize that we must provide turnkey solutions that add to our customers’ competitive advantage,” says CEO Mark Raimy.

As part of this commitment, Raimy doesn’t just provide needed products and services to companies that request them; he also actively seeks out mutually beneficial partnerships.

For instance, Raimy approached Donjon Shipbuilding & Repair, which was just starting out as a shipbuilding operation in Erie, in 2005. Welders Supply correctly anticipated Donjon’s need for essential tools like welding wire, state-of-the-art robotic welding machines and production equipment that lets its now 200 employees do their jobs. Six years later, both sides couldn’t be more pleased with the way things have turned out.

“Our commitment to the customer, our commitment to invest in technology and technological expertise and our commitment to Erie have never changed.”

“We look at our business relationship with Welders Supply as a true partnership,” says John J. Quirk, Director of Donjon Marine Co. “Welders Supply visits the shipyard on a weekly basis to ensure that we have sufficient welding supplies on hand to meet our needs and to provide technical support for our robotic welding initiatives.”

Quirk goes on to explain that Welders Supply ultimately helps Donjon become a better, more efficient company that’s better positioned to increase its employee base.

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“Welders Supply has helped us principally through robotics to make our fabrication process more efficient, which has enabled us to increase the amount of steel tonnage that is moved into our assembly operations,” he explains.

“This has enabled us to increase our level of employment at the shipyard.”

Welders Supply is always seeking out new products to provide the most competitive offerings to a customer base that spans Ashtabula to Warren, Meadville to Jamestown.

With so many advancements in automated and computerized welding equipment, delivering the competitive edge that Welders Supply Company customers demand is more exciting than ever. “Labor costs and quality control are the biggest expenses in the welding process,” he explains. “Automated, or robotic, welding has evolved to be a very flexible solution… and it dramatically reduces costs while at the same time providing consistent performance.”

Welders Supply even invites customers to sample new technology at a special welding demonstration laboratory; there, visitors get a hands-on education in operating new products like a robotic arm and the newest welding equipment.

Raimy says that even though his company is constantly adopting the latest industry standards, many of its core attributes have remained the same. “Our commitment to the customer, our commitment to invest in technology and technological expertise and our commitment to Erie have never changed,” he says. Raimy also proudly reports that many of the company’s early partnerships, such as the one they forged with The Lincoln Electric Company over 60 years ago, are still intact.

Only the very best companies can maintain long-time business relationships while actively courting new ones.

With the success of partners like Donjon, Raimy sees much of the latter in Welders Supply’s future. “As Erie grows, so do we,” he says. “Our forecast for manufacturing is nothing but positive.”

4 welderssupplyonline.com 4 donjonshipbuilding.com

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PROUD INVESTOR

KOLD-DRAFT The King of Ice Brings an Exciting New Machine to Market

Marty Gardner is President and COO of a company whose genesis stretches all the way back to 1920s; even still, he describes KOLD-DRAFT, a commercial ice machine manufacturer, as a “60-year-old startup.”

It’s an understandable statement considering KOLD-DRAFT languished in Chapter 11 bankruptcy before Erie Management Group (EMG) helped it start the process of reinventing itself back in 2005. “We’ve done a good core business with our ice machines, but our future growth will be coming from our bagging system,” he says in reference to the In Store Ice Bagging System that has been in production since December 2010. This system allows a retailer to sell bags of ice that are made on-location, a significantly more cost-effective and environmentally friendly option for retailers who typically pay drivers to deliver bags.

“Consumers are always looking for new, innovative ways of doing things…”

Though water is seemingly the driving force behind the machine, Gardner considers something else its impetus.“Technology has given us an avenue to increase business from just the pure ice machine,” he says.

“Technology is growing this company—we’d be out of business if we existed as we always had before.” Fresh new ideas certainly went into making the In Store Ice Bagging System, which is able to fill and heat-seal up to 360, 10-pound bags per day—a feat that no other machine on the market can rival.

“It’s so exciting,” Gardner enthuses. “Consumers are always looking for new, innovative ways of doing things, and the market we serve is no different.”

The machine is a testament to Gardner, his 80 employees, and the foresight of EMG, who wisely made capital investments in the KOLD-DRAFT facility on East Lake Road as well as human investments in highly-skilled engineers who are on an endless quest of innovation.

That’s not to say some of the company’s earlier technology wasn’t spot-on. Take the example of how KOLD-DRAFT makes its cubes: they’re made in an upside-down tray that allows impurities to fall out. This results in a purer, harder, longer-lasting and colder cube. The final product is so good that many high-end bartenders will only use KOLD-DRAFT ice cubes in drinks.

Today, Gardner is proud to say that KOLD-DRAFT was up 30% over the past two years even though the industry as a whole was down 20%. He says numbers like that make him feel closer to his goal of hiring more workers. “Creating jobs is what EMG is all about, and I’d love to accelerate things to the point that we’d have second and even third shifts,” he says.

That may soon come true for KOLD-DRAFT and for other area manufacturers. Gardner cites the region’s strong supplier base, an encouraging business community that includes visionary leaders like EMG Founder, Chairman Pat Black and EMG President and CEO Len Kosar, and manufacturers’ dedication to the area as reasons why he has a positive outlook on future manufacturing. Still, he hastens to add one thing that companies must keep in mind for that to be true.

“The marketplace changes everyday,” he says. “Those who don’t change go backwards.” 4 kold-draft.com

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NaviTek Group How a Traditional Manufacturer Rewired Itself

Though NaviTek Group, a Fairview-based engineering, machining and manufacturing company, is over half a century old, it couldn’t be more thoroughly modern.

Much of the credit for the company’s 21st century capabilities goes to President and CEO Harvey Downey. Back in 1993, the Erie native was working in Richmond, Virginia, and looking for an opportunity to move home. So he and his wife, Louise, purchased Johnson Tool, a shop that consisted entirely of manual machines. With vision, hard work and smart capital investments, Downey transformed an old-school manufacturer into a leading-edge company.

He’s hardly the only person who recognizes the uniqueness and usefulness of the product; right now, the U.S. Army and TRICARE health program placed orders to provide EMMA to service men and women who suffered traumatic brain injuries so that they can properly manage their medications.

After years of design work and unexpected setbacks, Downey is confident that EMMA is set to make an even bigger splash in the consumer market. “This product was designed to go mass market,” he says. “The average senior takes 12 medications, and it’s easy for a person to forget to take them or to get them mixed up.”

“Success requires continuous improvement, and continuous improvement requires continuous change.”

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“Over time, we purchased sophisticated CNC equipment that leverages the knowledge and ability of our toolmakers,” says Downey. “It allowed us to become more efficient and to enter new markets.”

Two industries in which NaviTek is making big inroads include the aerospace and medical industries. And though the clients they serve in these industries hail from all over the world, the partnership they’re the most excited about is the one they have with Altoona-based INRange Systems.

That story began in 2000 when cardiologist Mary Anne Papp came to Downey with an idea and a prototype made from a child’s erector set for helping patients manage their medications. Just a year later, the idea went on to win the Ben Franklin Technology Partners and the Gannon University Small Business Development Business Plan Contest, a coup that gave startup company INRange Systems the necessary seed money to start developing Papp’s idea.

Their collective efforts resulted in the debut of the Electronic Medication Management Assistant (EMMA), the only remotely controlled FDA-approved device that administers medications.“There is nothing else like EMMA® out there,” says Downey.

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Even though NaviTek’s 16 employees have changed with the times, at first it wasn’t easy for them to watch things be upended by a 31-year-old boss. Downey said he had to hang a special sign to get everyone on board. “It said ‘Success requires continuous improvement, and continuous improvement requires continuous change,’” he says.

Then, to drive the point home even more, he wrote “Normal will never be back” in big, bold letters.

Yet as much as change is important, Downey finds it just as necessary to maintain many of the traditions that made the company strong in the first place. “NaviTek Machining, formally Johnson Tool, continues to be known for excellent precision work,” he says. “Today, technology lets us do very close tolerance machining at a higher volume.”

Downey reports that he’s hopeful about hiring more employees as production of EMMA ramps up—and about Erie’s manufacturing future. “We have a great infrastructure, good support and a strong work ethic,” he says. “As long as we continue to teach workers the right skills, we’ll have good years ahead.” 4 navitekgroup.com

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community, or our jobs—is something everyone wants in their lives. Recognizing this need and the oversights that can come in delivering it, three area businesses stepped up to offer and in some cases even develop products that can benefit us all.

One company has a huge inventory of home safety products that make dead bolts look like child’s play; another offers analytics that make it exponentially easier and faster to pinpoint criminals; and another makes an important aspect of a law enforcement officer’s job safer and more efficient. The uniting factor is that all of them capitalize on cutting-edge technology to great effect.

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safe, sound and smart ERIE’S PIONEERS OF TECHNOLOGY

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Safe, sound and smart A trio of local companies are at the forefront of the way we safeguard our homes, catch criminals and navigate emergency situations | By Amanda Prischak

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ImmersiMap™ A Former Police Officer Develops an Innovative Law Enforcement Technology

As it so often goes with game-changing innovators, Tom Stankiewicz, founder of ImmersiMap™, literally looked around and thought: There has to be a better way.

Stankiewicz, a born-and-bred Erieite, decided to start his company while working for the City of Erie police. “As a bomb squad commander, I noticed a repeated scenario,” he says. “We would respond to an emergency at a building from which everyone was evacuated, but no one could lead us to where we needed to go.” He remembers receiving directions that were often hand-drawn or simply related from memory.

So in 2006, Stankiewicz started ImmersiMap, a company specializing in sophisticated video mapping of buildings; two years later, he moved it into the Erie Technology Incubator. It’s a huge step up from the former solutions, which were limited to real estate type images that didn’t provide enough information to allow for a tactical response in an emergency situation.

The ImmersiMap video mapping process starts when a person straps on the Digital Vacuum™, a backpack-style data collection system that records each and every route a person walks in a building. From there, a post-production software program edits and organizes all the information.

“I would describe our end product as being similar to Google Street View insofar as you can look at and move around an area via a computer program,” says Stankiewicz. “But that’s the only similarity, because our product allows the user to experience a fluid first-person perspective walk through of the environment. It leads them to wherever they need to go in the building so there’s no more confusion. It even takes them up and down stairs and through elevators.”

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The final result is a system that’s a quantum leap away from the old guess-and-go emergency response system of the past.

The ImmersiMap video mapping technology is so good, in fact, that the New York Police Department—the largest police force in the nation—already purchased a system. Another purchase order is about to come from one of the biggest airports in the world while additional requests from nuclear power plants are also expected.

“No other company has a system such as ours.”

In an effort to make inroads with defense contractors and other diverse solution providers, ImmersiMap is actively partnering with integrators and service providers like V.C.O.R.E. Solutions in Long Island, NY to make that goal a reality. “And more partnerships will be announced later in the year,” reports Stankiewicz.

Expanding its client base shouldn’t be too difficult for ImmersiMap in light of the fact that it doesn’t just offer a superb product that is sorely needed—it also happens to be the only such product on the market.

“No other company has a system such as ours,” says Stankiewicz. “This is the definition of the forefront of technology.” 4 immersimap.com

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Whitetail Electronics Continually Introducing New and Better Ways to Safeguard and Enjoy Your Home

For Gregg Butala, President of Whitetail Electronics, making people feel safe and happy in their homes comes down to some pretty cool technology. “I’m always looking for new and better,” says Butala in reference to the electronics systems contracting company he’s operated since 1993.

Whitetail, which regularly sells and installs home fire, security, camera and monitoring systems, certainly does that and much more, with the company also specializing in installing systems that make a home fun and efficient.

“We’re really a one-stop shop for many home needs.”

“We install home and entertainment systems, home automation systems, intercom systems,” says Butala.

“We’re really a one-stop shop for many home needs.”

When Butala places orders for the products he wants to carry, he takes pains to choose the most reliable and technologically advanced ones on the market. “We use only high-end—but still affordable—equipment,” he says with pride. “Our products are easy to use, and they’ve never sounded a false alarm for our customers.”

A look into Whitetail’s inventory reveals that Butala is serious about offering only the most cutting-edge technology; after all, this is a guy who has fire systems that incorporate into your security system to offer double protection; cameras that let you monitor the interior and exterior of your home from anywhere in the world; and a home automation system that alerts you if the indoor temperature gets hot enough to kill plants or cold enough to cause a pipe to burst.

The company’s eagerness to continually adopt the latest technology helped it win a number of awards.

Locally, Whitetail has several from the Builder’s Association of Northwestern Pennsylvania; it also was a Small Business Development Center 2010 Small Business of the Year Nominee.

On the national scale, Whitetail won the top regional award at the 2008 Innovative Housing Technology Awards for an installation that let homeowners control lighting, heating and air conditioning, security cameras, fire system, phone/cable, two home theater systems, 14 recessed speakers, outdoor rock speakers, Sirius/XM, DIRECTV, iPod and Internet at the touch of a button. Then, in 2009, Whitetail was an Electronic House Magazine Home of the Year Finalist for its work outfitting a home pool area with audio, intercom, security, and lighting systems. It’s an impressive list of recognitions for a four-person operation—but it’s not enough for Butala, who is on the cusp of introducing an interactive touch screen system for home control.

Still, Whitetail’s core business, especially during the recent economic downturn, is home security products. And though the means of offering security are new fangled, the technology’s goal is to foster an age-old feeling in people. “I want customers to have the peace of mind they deserve,” says Butala. 4 whitetailelectronics.com

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D.A.G.I.R. Co. Uncovering the Science of Catching Criminals

Though D.A.G.I.R. Co. is an acronym for Defense Analyst’s Generic Intelligence Requirements Company, it could simply be boiled down to this succinct explanation: Bust the bad guys faster and cheaper.

The company, which resides in the Erie Technology Incubator, is the brainchild of 36-year-old Mark Blair, a native of Charlottesville, Virginia and a former Marine intelligence specialist who decided to launch D.A.G.I.R. Co. while he was an intelligence studies undergraduate student at Mercyhurst College.

“Bust the bad guys faster and cheaper.”

“I started discussing how to automate structured analysis with people at Mercyhurst, including Mike Thomas, who is now D.A.G.I.R. Co.’s COO,” says Blair. “There wasn’t as much openness to change as we wanted to see in the intelligence community, and I realized I needed to start my own company to have the freedom to innovate.”

Blair decided to focus on meth because he knew there was a golden opportunity to “eviscerate an insidious problem.” The other technology on the market just looked for purchases of pseudoephedrine that were over the legal limit,” he says in reference to the main ingredient that goes into making meth.

“But smurfs (people who supply meth labs) almost always purchase below the legal limit.”

Meth Hunter gained a following among law enforcement agencies that include Washington, DC/Baltimore High Intensity Drug Trafficking Areas; the Pennsylvania Attorney General’s Office; and the Girard Borough Police Department.

What’s more, Meth Hunter has led to 36 arrests and more than 30 indictments in just one year.

D.A.G.I.R. Co. has also unveiled a law enforcement intelligence/crime analysis project that helped solve an epidemic of church thefts in St. Paul, Minnesota; a system that uses feature recognition and geospatial applications to help pinpoint criminals when an Amber Alert is issued; and an analytic tool that is helping cities bust violent gangs.

Blair attributes the success of Meth Hunter to adapting faster than the smurfs. And, ironically enough, perhaps the best testimony on his forward-thinking technology comes straight from a smurf. “One arrested meth manufacturer made a call to a buddy from jail,” recalls Blair. “He basically said, ‘Don’t come to Pennsylvania—they’ll arrest you!’” 4 dagirco.com

After just four years in business, D.A.G.I.R. Co. has created an impressive range of intelligence solutions that typically automate 80% of the time-consuming and tedious analysis that goes into an intelligence operation. Foremost among them is Meth Hunter, a technology that pinpoints and ultimately helps shut down dangerous and illegal methamphetamine rings.

Meth Hunter works by employing sophisticated algorithms to analyze tens of thousands of data points to save police forces huge amounts of time and money.

“It’s very timely for someone to thumb through logs,” says Blair. “Without Meth Hunter, departments spend about $20,000 in overtime a month to bust a meth ring—and then there’s more investigative time on top of that.

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PROUD INVESTOR

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If you know a company or organization that wants to invest in Erie and in their business, please contact:

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Sara Galbreath Sales Executive (814) 454-7191 x 138 sgalbreath@eriepa.com

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It’s an easy choice to be green.

Let Printing Concepts help you develop realistic, cost-effective strategies to use “green” paper on your next printing projects.

4982 Pacific Avenue / Erie, PA 16506 800-540-7805 / 814-833-8080 fax 814-833-4208 www.printingconceptsonline.com

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P A R T N E R S H I P G R O W T H A N D C H A M B E R R E G I O N A L

T he conventional wisdom has it that Erie’s an

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“old technology” economy. The city that grew around plants that made steam boilers and iron castings has cast its lot with the technologies of the 20th and even the 19th Centuries. Shiny, newly minted firms in fields like medical technology and applications for smart phones – well, you can find them in the Sun Belt, not here.

But entrepreneurs are attracted to the unconventional wisdom, and they can be found everywhere, even in Erie – perhaps especially in Erie, though you don’t hear as much about them as you should.

G R E G L I N D E N | B I L L C ATA N I A M-DOT NETWORK

That – like the world economy and technology itself – is about to change, and you are about to meet the people who are in the vanguard of that transformation.

Four for the future ERIE’S PIONEERS OF TECHNOLOGY

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four for the future Erie entrepreneurs and students gear up for the future

PROUD INVESTOR

M-Dot Network On the “Dot” – A Tech Company Reshapes a Good Idea Into a Better One

M-Dot Network mediates between three iconic nexuses of the 21st century economy: consumers, mobile telephony and the Internet.

On the buyer’s side, the company’s technology allows consumers to receive digital coupons via mobile phone.

On the retailer’s side, M-Dot enables the retailer to redeem coupons from multiple digital coupon issuers at the point of sale in real-time.

“Our original idea was a mobile technology company, rather than a retail technology concept,” says M-Dot CEO Bill Catania. “What we had was a private label mobile phone capable of accruing free air time or for perks that would generate coupons that you’d get nowhere else.

Nowhere did we solve the redemption problem.”

It was a problem that caused the founders to reassess their proposition and discover a new opportunity in the process. “We were competing with cell phone companies like TracFone and Virgin,” he says, “so we went back and looked at problems facing paper coupons. How do you make the event of clicking on the coupon an event that’s auditable and trackable and how do you get it to inject into the point-of-sale system at the register?”

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| By John Chacona

“You can take Erie talent and compete on a global stage. I hope we showed that you can do it here.”

The solution was impressive enough that the company won the 2010 Amazon Web Services Start-Up Challenge, and received $100,000 in cash and AWS credits.

More importantly, M-Dot won clients, including a Federal contract for processing electronic coupons in 255 Defense Department Commissaries in 13 countries, the third-largest redeemer of coupons behind Wal-Mart and Kroger.

“We had access to great talent here,” Catania says. “You can take Erie talent and complete on a global stage. I hope we showed that you can do it here.” 4 mdotnetwork.com

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Renewergy The Nature of Technology is in the Technology of Nature

He’s Lucas McConnell, the thirty-something president and founder of Renewergy, a corporation that uses aeroponic algal culture to process wastewater. Basically, the process uses large-scale cultures of algae, one of the most simple and abundant forms of plant life, to treat wastewater. It’s an elegant idea, but it wasn’t McConnell’s original idea, which was to feed wastewater to fast-growing algae that would then be harvested as biomass for alternative fuel production.

“We thought that cleaning up wastewater was a nice thing to do while we were making biofuels, but we now realize that it’s the opposite,” McConnell says.

“We thought that cleaning up wastewater was a nice thing to do while we were making biofuels, but we now realize that it’s the opposite.”

While developing his low-water-use aeroponic cultures, McConnell realized the opportunity the technology presented for emerging Third World markets, where wastewater treatment is not widespread. “Because this produces a crop, it’s self-funding. It’s not dependent on people in the community to pay for it in the way we pay for sewage treatment.”

McConnell notes, “The best part about this industry is that you can’t outsource it. You can’t ship waste to Mexico or China for processing. We’re not just processing one thing into another form. We’re using sunlight to extract value out of something nobody wants.” 4 renewergy.biz

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Radio waves and medical equipment present a familiar face of high tech in the new economy, but technology is more than circuits and even machines as another Erie entrepreneur is out to prove.

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GOLD INVESTOR

Industrial Sales and Manufacturing, Inc. Tradition Catches the Wave of the Future

At first glance, Industrial Sales and Manufacturing, Inc. would seem to be a classic Erie manufacturing company in the archetypical Erie industry: metalworking. As a manufacturer and supplier of machined, fabricated and assembled metal components, ISM uses all manner of technologies that are well established in the field – welding, milling, pressure forming and high-definition plasma burning among them.

“We hope we’re able to add different technologies that will be adopted to improve the quality of life through an added workforce.”

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But ISM also employs what is perhaps the most exciting technological advance to have been created in Erie since Hugh Lord found a way to bond rubber to metal: the machine, conceptualized by the late John Kanzius, that uses directed radio-frequency waves to heat and destroy cancer cells in humans.

The Millcreek company whose facility is located just yards from the Regional Cancer Center was chosen to build the human-size scanner beds needed for the Phase Two human trials of the radio wave technology. Production was aided by a $500,000 PA Department of Community and Economic Development grant awarded in 2009.

The outcome of those trials could herald the beginning of a new industry in Erie’s future, but the benefits of developing the cancer-killing machine are accruing to ISM and its customers right now. “That fits into our manufacturing realm for our original equipment manufacturing customers,” says ISM general manager and treasurer Jim Rutkowski, Jr., who adds, “We hope we’re able to add different technologies that will be adopted to improve the quality of life through an added workforce.” 4 ismerie.com

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From “Brain Drain” to “Brain Gain” The 21st Century Economy in Erie

It’s the kind of question that is on the mind of Jim Kurre, the Director of the Economic Research Institute of Erie, whose knowledge of the trends affecting the local economy – historical and emerging – is broad and deep.

“The US Bureau of Labor Statistics looked at the projection for the decade 2008 to 2018 and post-secondary education is projected to be the fastest growth industry in that interval.

Medical care is the second-fastest, and we have more than our share of each,” he says.

“We know that there’s a pretty darn close link to educational attainment and income levels, and there is a close link between the lack of education and poverty rates. For people with a high school diploma the poverty rate is 30%.

For people with a college degree, that rate is 4%. Areas with higher education levels tend to be more productive and competitive.”

Kurre notes that while the “brain drain” of talented graduates leaving the region’s colleges and universities to live and work elsewhere is a problem, we would do well to think of a “brain gain” that is possible given the concentration of post-secondary schools nearby.

“If we can retain people with those degrees, it will be better for the area.“

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A crucial question for the future then becomes: Will homegrown tech entrepreneurs start the businesses of the future here, or will they take their talents and ideas elsewhere?

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FIRST® Robotics of NWPA Technology FIRST – the Entrepreneurs of the Future Are Here Today

And where will those people come from? Erie County’s high schools are a logical place to find them.

They may be among the local primary and secondary school students who participate in the FIRST® family of programs founded to help young people nurture a passion for science, engineering, technology, and math.

Four Erie County school districts, in the City of Erie, Corry, Fairview, Harborcreek and Millcreek, participate in the programs, which range from the elementary school Lego Leagues to the varsity FRC robotics competitions for high school students.

“These kids are growing up as digital mavens and nothing is beyond their scope.”

Participants are presented with a challenge requiring teamwork, critical thinking and engineering skills, all culminating in the robotics competitions held in the spring.

Erie County’s competition is held at the Junker Center at Penn State Erie, The Behrend College, and the atmosphere is almost like the NCAA basketball championship held concurrently.

FIRST Robotics of NW PA If that doesn’t sound like old fashioned Darwinian American capitalism, Smith would point to a changing competitive environment – both in the FIRST robotics challenges and the economy at large.

“It’s a whole new playing field from times ago. These kids are growing up as digital mavens and nothing is beyond their scope. Whether you’re working with someone across a lab table or across the world you need to act professionally to achieve the goal.” 4 usfirst.org

And though the teams play to win, Ned Smith, FIRST’s regional director, asserts that the program’s code of “gracious professionalism” always prevails. “This is not cutthroat. If a team you’re opposing next door has a problem, help them out with it.” eriepa.com

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2011 Louis J. Tullio Award Recipient |

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Roger W. Richards is the founder and President of Richards & Associates, P.C., a firm that specializes in corporate and municipal finance, commercial banking, and mergers and acquisitions. He is also the owner of Bliley Technologies, Inc., which designs and manufactures crystal oscillators and quartz crystals, and its subsidiary Sunburst Electronics, Inc., an electronic contract manufacturer serving the aerospace, military, medical device and industrial equipment sectors. A graduate of Westminster College and Dickinson School of Law. Mr. Richards is an active member of the business community in Erie. Throughout the years, Mr. Richards has worked on numerous community projects and has earned great respect for his wisdom, persuasiveness and dignity on important economic issues in the community. Mr. Richards was appointed to the Erie County Convention Center Authority (ECCA) Board

by Governor Tom Ridge in 2001 and he was reappointed by Governor Ed Rendell in 2006.

Mr. Richards has been instrumental in advancing strategic initiatives as the Chairman of the ECCA Strategic Planning

Congratulations to Mr. Roger W. Richards,

Committee. He was influential in securing more than

the Erie Regional Chamber and Growth Partnership’s 2011 Louis J. Tullio award recipient!

$55 million for the Bayfront Convention Center and more than $45 million in hotel revenue bonds for the Erie Bayfront

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Sheraton Hotel. In total, the project brought approximately

Improvement Grant from the Commonwealth of Pennsylvania

$115 million of waterfront development on Erie’s magnificent

and a $10 million County grant to renovate the 28-year-old

Presque Isle Bay. More recently, Mr. Richards, working with our

Louis J. Tullio Arena. Mr. Richard’s leadership, dedication and

elected officials, secured a total of $10 million dollars for the

perseverance have redefined Erie’s Bayfront and have greatly

Redevelopment Assistance Capital Budget Grant Program

enhanced Erie’s image in the region. Mr. Richards is married to

for the remediation and development of the 12.5 acre

Nedra, who is a psychotherapist at The Center for Personal and

GAF site adjacent to the Bayfront Convention Center.

Family Growth. They have three adult sons, Benjamin, Michael

He has also played a role in securing a $32 million Public

and Dane, who have careers in Manhattan and Washington, DC.

Join us on April 28, 2011 at our

Celebration of Excellence where we will celebrate Erie’s Pioneers of Technology, ATHENA PowerLink® program winners and Mr. Roger W. Richards, the 2011 Louis J. Tullio Award Recipient.

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