APRIL 2020
plus: Resources For Working From Home Leadership In Times Of Uncertainty Bridging The Gap for Women In Tech Digital Wellness For Workforce Recruitment
A Co n v e r s at i o n w i t h
Doug Burgum N o r t h D a k o ta G o v e r n o r Ta l k s S m a ll B u s i n e ss
// APRIL 2020
FEATURES
COVER STORY
22 Sponsored Content: Creating A Better Way Of Life 28 Sponsored Content: Be Ready For Anything 32 Sponsored Content: Financial Wellness In The Workplace 36 Sponsored Content: Rising Above Crisis: New Ways to Manage Workplace Health 66 5 Tips For Setting You Organizational Culture 71 Need Help Moving Your Business Online? 72 Helping Your Company Flourish By Using Digital Wellness For Workforce Recruitment 78 The 4 C's To Leading In Times Of Uncertainty 84 From HR To Entrepreneurship 90 Secure Act 92 Bridging the Gap for Women In Tech
40
A Conversation With Doug Burgum:
After three full years in office, Governor Doug Burgum has a lot to say about business in North Dakota. Spotlight’s owner and CEO Mike Dragosavich sat down with the Governor and successful businessman to use his unique perspective as a serial entrepreneur to learn more about what is going on at the state level that directly affects our region's small businesses.
98 The Village Business Institute 102 Non-Obvious Work From Home Resources 108 Right-Brained Workforce Development Strategies 110 Getting Analytical 114 In Good Company: Agricultural Innovation and Construction in Downtown Fargo 116 Ladyboss Of The Month: Kayla Houchin 120 5 Questions With John Machacek 122 Academic Insight
Follow Fargo Inc! on Facebook, LinkedIn and Twitter
8
APRIL 2020
CHECK OUT FARGOINC.COM
All our stories in one place
Business events calendar
Read all the past issues
Extra video content
E d i t o r ’s n o t e
Remember Who We Are
S
ince we started constructing this issue of the magazine on February 28, a lot has changed in our world. Just like a large number of other businesses, we have found ourselves social distancing and spending the majority of our time working from home. This pandemic's professional impact on us is just the tip of the iceberg. We also have legitimate concerns about the health of our loved ones, what the future holds and a need to find an escape during a time when some of our favorite activities are unavailable to us. However, in times like these, it's more important than ever to remember what type of community we are. We are the community that rallies to
Brady Drake, Fargo INC! Editor 10
APRIL 2020
help our neighbors no matter how familiar we are with them. In the flood of 2009, this fact was extremely evident. Nearly every able-bodied man, woman and child was involved in the sandbagging process regardless of whether or not their homes were threatened by the rising waters. We are that type of community. I have lived here my entire life and the battle against the 2009 flood is the clearest example I can come up with that shows our community's resiliency. However, resiliency and determination in our community is evident every single day. I have no doubt that our people and our businesses will pull through. Much of the content gathered for
fargoinc@spotlightmediafargo.com
this issue was created prior to the height of the COVID-19 pandemic. While we don't want to turn a blind eye to what is going on around us, we have decided to include that content because we believe it is as important now as ever to bring the community the positive stories that Spotlight always does while showing support for our local businesses and entrepreneurs During this time, please stay safe, support your local businesses and remember the kind of community we really are.
Brady Drake Brady Drake Fargo INC! Editor
EDITORIAL BOARD COVID-19 continues to alter the way we live and do business and changes by the minute. What this means for our families, friends and co-workers is still being sorted out, of course. What we do know for sure is that things will be different once we get past this crisis. And, we will get past it. The Chamber is committed to keeping you informed with helpful resources during this time. Please visit our website, fmwfchamber.com, for the most up-to-date information.
President
Greater FM Economic Development Corporation
“The situation is fluid.” In the wake of recent events, this phrase has been used by many organizations. Companies that continue to prioritize communication, transparency and community service will be better positioned to succeed in the face of uncertain times.
Happy, healthy and productive employees are a key to a successful business. I encourage you to be cognizant of the happiness and personal connectivity of your coworkers – especially those new to the area. Two “working & living here” resources administered by GFMEDC are www.liveinfargo. com and www. fmwelcomeparty. com. I also applaud the efforts by www. folkways.org in their work to foster a sense of belonging in a community. This is team effort by all of us who live here, including you!
The Edelman Trust Barometer is a global study that measures the level of trust by people across generations and industries. In the 2020 survey, 73% of respondents noted that having an opportunity to participate in planning for their company and having an opportunity to shape their community contributed to greater trust in the culture of their organization.
12
Chief Innovation Officer
United Way of Cass-Clay
APRIL 2020
Communications Manager
Moore Engineering, Inc.
The Classroom of Silence. It’s a term I heard recently that really hit home. When chaos and uncertainty enter our lives, disorganized thinking can result. The Classroom of Silence reminds me to turn down the volume in my brain so I can listen, learn and focus on what I can control instead of what I can’t. This is a time when we need to do our best thinking, to be our most innovative, so we can create the best outcomes for ourselves, our employees, our families and our economy.
Communications and Marketing Officer
FM Area Foundation
The FM Area Foundation has activated the Community Response Fund of Cass and Clay Counties. The purpose of this fund is to pool donations and then distribute those dollars to nonprofits impacted by, or responding to, a community crisis or disaster— in this case, the COVID-19 pandemic. If you’d like to give to the Community Response Fund to support local charities impacted by the coronavirus pandemic, visit areafoundation.org/ disaster.
VP of Finance and Operations
FMWF Chamber of Commerce
While events are on hold through at least the end of April, The Chamber is not postponing applications for the next Leadership FMWF program. Apps have just opened online and will be available through May 15. This program is designed to engage emerging and current leaders through topical sessions, tours and training, and Community Change Initiative projects. This program is not just for managers; all professionals are encouraged to participate! Orientation begins in August for the 40 individuals selected for the 2020-21 program. Please consider applying today. In the meantime, stay safe. We look forward to gathering again.
SCOTT MEYER
Ozbun Executive Director of Entrepreneurship
NDSU College of Business
Leadership is something we look for in our leaders, like Governor Burgum. Leadership can also be found on a local level. At The Nice Center - the entrepreneurship center at NDSU - we have seen our students step up to lead in a time of crisis. Over 45 students have worked with local businesses to build their online stores to help them continue to sell. They have worked with the City of Fargo to promote social distancing with the online #savesummer campaign. They partnered with the Department of Commerce to share #InThisTogetherND stories from across the states. We are continuing to help businesses and would welcome more: thenicecenter.org/covid All of these efforts speak to our mission as a land-grant university. NDSU’s mission is “addressing the needs and aspirations of people in a changing world by building on our land-grant foundation.”
STEVE DUSEK
ANDREW JASON
Dakota Business Lending
Emerging Prairie
President & CEO
As president and CEO at Dakota Business Lending, I have come to realize the importance and freedom that creativity brings to the table. Whether it’s by finding creative financing solutions for small business owners/entrepreneurs, offering resources in a creative and innovative way, or even being creative as we work to grow and develop our workforce, we have seen this aspect make its way to the forefront of our business and the various partners, lenders, and borrowers that we work with. The same applies to the various topics and businesses highlighted in this issue. If you look closely, you’ll seeing where creativity has been interweaved into each of their stories as well. By remembering this important characteristic when both challenges or opportunities arise, you can work to make your impact bigger than ever before.
Director of Ecosystem
Last month, it was announced that Plug and Play, an earlystage investor, accelerator and corporate innovation platform, is opening an agtech branch in Fargo. This means, 50 new startups will be coming to our community every year. With new startups come new jobs, new capital and new opportunities. What do 50 new startups mean for our community? I'm not entirely sure but I'm excited to support them and I encourage you all to think about how you can too.
Founder
The Executives Club of Fargo - Moorhead
The people in your inner-circle are crucial to your long-term success, but don’t forget to occasionally pause and reexamine YOUR role within that circle. Each of us handles crisis, uncertainty and isolation differently. For example, maybe that professional mentor, whom you typically lean on for rocksolid business advice, is silently struggling on a personal level right now and looking to lean on you for support? Re-examine. Reach out. Step up. Keep going. (and...don’t always accept “Fine”) 701-541-1073 or kurt@the100. work if I can help.
Has there ever been a faster changing world with more needs for us to address?
FARGOINC.COM
13
From
spotlight... This March was the 10-year anniversary of Spotlight.
While it’s hard to believe we have been creating magazines and other highlevel marketing tools for our community, it came with a certain amount of bittersweetness. Rather than celebrating our company’s accomplishments over the past decade, we were battening down the hatches to prepare for a battle we have never seen before. Other businesses in the Fargo-Moorhead area were preparing for the same battle along with us. For the first time in our history, our magazines were in jeopardy. In truthfulness, our entire company was in jeopardy. The COVID-19 scare had us leaving our office in Downtown Fargo and our entire staff quarantining themselves while working remotely. With no foreseeable solution in sight, it left many of us questioning if there would be a Spotlight on the other side of this mountain. It was easy for us to adopt a negative mindset in the face of almost insurmountable adversity. And then we remembered what our company was founded upon. A positive and inclusive approach to our community. We have always prided
ourselves on focusing on the positive things in our community. Whether that be through the people (Fargo Monthly), the businesses (Fargo INC!), the places (Design & Living), our state’s foundation (Future Farmer) or our favorite team (Bison Illustrated), our publications have never had a shred of negativity within them. So why would we start now? We as a community (and as a company) have faced hardships before, so why would we fold now? We’re here to say that we’re here to stay, regardless of circumstance. We’ve been supporting this community for 10 years and there is no reason to stop anytime soon. Spotlight is also here to say thank you to those who have come alongside us and supported us through everything. Without the community reciprocating their support, we are nothing. To our advertisers: In the face of hard times, you have continued to place your trust in us in spreading your word around town. Not only does this help us sustain our company at its most basic level, but we also take great pride in making sure you are reaching the outcomes you
desire. Thank you for placing that trust in our hands. To our readers: A free publication is not always free, especially on our end. Your fervor for our content continues to be the backbone of our magazines. Our content means nothing when it is falling on deaf ears. Luckily, you have made that an impossibility. Thank you for letting us share our love for Fargo-Moorhead with you. To the business leaders of FargoMoorhead: You have embraced this publication in so many ways. Without you, your efforts, and your transparency, we wouldn’t be able to share all the amazing things you’re doing to help this community thrive. You are the heartbeat of this city and I know we will all get through this. Thank you, Fargo-Moorhead. From us to you, remain strong, remain tall and we will all forge ahead together. Stay #FargoForged,
The Spotlight Team
M E D I A • INTERAC TIV E • STUDIO 14
APRIL 2020
April 2020 Volume 5 Issue 4
Fargo INC! is published 12 times a year and is available at area businesses and online at FargoInc.com.
Publisher EDITORIAL Editorial Director Editor Graphic Designers Photographer
Contributors
INTERACTIVE Business Development Manager
Inbound Marketing Strategist Videographer Executive Sales Assistant Graphic Designer ADVERTISING Senior Sales Executive Sales Executives
Mike Dragosavich Drago@SpotlightMediaFargo.com Alexandra Martin Brady Drake fargoinc@spotlightmediafargo.com Kim Cowles, Christy German Kayleigh Omang Photography@SpotlightMediaFargo.com Rick Holmberg, Samantha Mohr, Katie Beedy, Shontarius D. Aikens Ph.D, Katie A. Perlberg
Nick Schommer nickschommer@spotlightmediafargo.com Kirsten Lund Tommy Uhlir, Laura Alexander Kellen Feeney Ben Buchanan Paul Hoefer Paul@SpotlightMediaFargo.com Zach Olson Zach@SpotlightMediaFargo.com Matt Becker Matt@SpotlightMediaFargo.com
Client Relations Client Relations Manager Marketing Designer ADMINISTRATION VP of Human Resources Controller Account Strategist DISTRIBUTION Delivery
clientrelations@spotlightmediafargo.com Jenny Johnson Christy German Colleen Dreyer Jay Borland Cassie Wiste Bruce Crummy, John Stuber, Craig Sheets
Fargo INC! is published by Spotlight LLC, Copyright 2020 Fargo INC! & FargoInc.com. All rights reserved. No parts of this magazine may be reproduced or distributed without written permission of Fargo INC!, and Spotlight LLC, is not responsible for, and expressly disclaims all liability for, damages of any kind arising out of use, reference to or reliance on such information. Spotlight LLC, accepts no liability for the accuracy of statements made by the advertisers.
Spotlight LLC 15 Broadway N, Suite 500 Fargo, ND 58102 Info@SpotlightMediaFargo.com ADVERTISING: 701-478-SPOT (7768)
MEET THE TEAM
KIM
KELLEN
BRADY
LAURA
MIKE
ALEXANDRA
NOLAN
CHRISTY
DANNA
NICK
TOMMY
KIRSTEN
MATT
JENNY
PAUL
ZACH
COLLEEN
CASSIE
JAY
Learn more about us at SpotlightMediaFargo.com CRAIG
KAYLEIGH
BRUCE
BEN
JOHN
A better return comes from knowing you better.
CHECK OUT SPOTLIGHT MEDIA'S OTHER PUBLICATIONS
Tax and Accounting
WHAT SEPARATES US FROM OTHER ACCOUNTANTS? EVERYTHING BUT THE MATH. You’ve got a business to run, and so do we. So everything we do is designed to keep things running smoothly. And you can count on that.
This month, we are thinking of spring cleaning in a different way: we are thinking about clean-living as a whole. In this issue, we dove into how we've seen global eco-concious practices enacted in our region. From decorating with reclaimed goods to constructing with sustainable materials, we took a look at the variety of ways you can incorporate clean living into your space.
From crafting construction paper hearts and posting them in our windows to picking up a new hobby we "never had time for" before, creation abounds behind our closed doors right now. Come with us as we meet four local makers and see how their creations are brightening the Fargo-Moorhead community. In these unprecedented times, support your local doers and makers if you can and, who knows, maybe you'll even be inspired to start your own line of creations.
Jamie Passanante, CPA Aimee Schwartzwalter, CPA
(701) 365-0319 • balancecpa.com
We want to try and remain positive at Bison Illustrated. The past decade has brought wonders on and off the field of competition that no one ever thought possible. The next decade is sure to provide more incredible moments at NDSU too. We recall some of our fondest memories in hopes that it will give you a smile during this tough time. Together, the Herd is strong and regardless of circumstance, it is together that the Bison will forge ahead.
SPONSORED CONTENT
Steve Swiontek Executive Chair Gate City Bank
CREATING A BETTER WAY OF LIFE By Brady Drake Photos by Kayleigh Omang and Gate City Bank 22
APRIL 2020
SPONSORED CONTENT
Everyone knows it takes a team to accomplish something great. However, an individual can make a huge difference for a team’s efforts. Steve Swiontek, Executive Chair and former President and CEO at Gate City Bank, is one person who has helped elevate his team throughout the course of his career. In Swiontek’s 42 years with the company, Gate City Bank has grown from an operation with 16 locations, 140 team members and $490 million in assets into an organization with 43 locations, 770 team members and $2.4 billion in assets – all while helping improve the quality of life in the community. We sat down with Swiontek to learn more about his journey to create a better way of life for customers and the communities in which they live and work.
Gate City Bank is the only company you have worked for since leaving college. How quickly did you realize that Gate City Bank was the place for you? I’m a proud North Dakota native who was born and raised in Edgeley. I later attended NDSU, where I met my wife, Mary Anne. Throughout my life, I was encouraged by my dad’s homegrown philosophy, “Just do your job and things will come along.” I graduated from NDSU in 1978, and at the time, there were many challenges in the banking industry. Applying my dad’s philosophy, I began working for Gate City Bank because it was – even then – locally focused and community-driven. The best part? That hasn’t changed in over 42 years.
Did you ever think you’d become President and CEO of the company? No, I didn’t aspire to become President and CEO, it just worked out that way. Seriously! At the time when you’re hired and you’re working, only one person can be President and CEO. The way I saw it, those amazing opportunities are limited and only come by working hard. If you leave your career and don’t become President and CEO, but you made a difference in society through being a servant leader, that’s great. I was incredibly lucky to become President and CEO and be able to make a difference at Gate City Bank and in our communities.
FARGOINC.COM
23
SPONSORED CONTENT
Every year, Gate City Bank is one of the main driving forces for Giving Hearts Day.
What has your time at Gate City Bank meant to you? At Gate City Bank, “For A Better Way of Life” is both our tagline and part of our mission, and we’ve gone as far as to register it with the federal government for exclusivity. When I leave work every day, I ask myself what I’ve done to create a better way of life for a customer, team member or one of our communities. Sometimes it’s focusing on team member growth, while other days I try to focus on diversity. For example, when I started at Gate City Bank there were very few women in leadership positions. Now, over 70 percent of our leadership positions are held by women, and 50 percent of our Executive Leadership Team positions are held by women. These statistics make us incredibly proud. Another example of our tagline being integrated into our everyday lives is our commitment to volunteering. Last year, our team members volunteered almost 16,000 hours. We encourage our team members to do that on company time – and for each hour 24
APRIL 2020
they volunteer beyond ten hours, we gift a donation of approximately $25 per hour to the charity. Encouraging employees to get involved in organizations they’re passionate about is a key part of our mission and culture.
Speaking of volunteerism, I hear Giving Hearts Day is a pretty big deal around here. We’ve had a fantastic relationship with Giving Hearts Day. It’s a partnership that has lasted six years and is going strong. Plus, Giving Hearts Day is all over the state of North Dakota and in western Minnesota, which coincides perfectly with our bank locations. Gate City Bank looks forward to making a difference during this time each year. We’ll even have our community members vote on the charities they’d like us to give to. With that feedback, we get to find out what’s important in each community and what organizations make a significant impact on our customers. This Giving Hearts Day, we had the honor of delivering gifts of $2,500 to 30 charitable organizations, and we surprised five charities
with boosts that totaled $60,000. We’re very proud to support local communities and organizations.
How has the company’s culture changed during your time here? The tagline “For A Better Way of Life” has strengthened our culture by encouraging team members to think about the difference we can make, both daily and long term. The culture has changed in regard to our focus on being servant leaders. It’s not about who gets the recognition, but how we can best help our customers and communities. Our goal is to lead by example and empower people to make a difference through the work they do. Gate City Bank is a very unique employer in North Dakota and Minnesota, especially when it comes to our robust benefit offerings. In addition to offering great benefits, we like to have fun and stay connected with our team members. We have a coffee machine on the sixth floor that makes 20 different types of coffees, espressos and cappuccinos.
SPONSORED CONTENT
GATE CITY BANK HAS ONE OF THE BEST EMPLOYEE BENEFITS PLANS IN THE STATE Low-premium health plan with $250 deductible and FREE vision insurance FREE telemedicine program Generous PTO package and bonus gift of four extra days of PTO Fully paid military leave with an additional two weeks of paid leave upon return Fully paid 12 weeks maternity leave Fully paid 4 weeks paternity and adoption leave Fully paid caregiver leave, jury duty, sabbatical and up to 20 days of bereavement leave Team members volunteer an unlimited amount on company paid time Up to 10 days of paid leave for mission work and up to $500 for related expenses
FARGOINC.COM
25
SPONSORED CONTENT It encourages team members to come up to the sixth floor and gets people visiting with one another. It’s so important for our culture to keep teams connected and having fun, wherever they’re working.
like a “Summer Attire Day,” encouraging team members to wear their favorite summer attire. We allow every department to have flexibility on how these days look and feel, based on their own ideas.
Can you tell me how you make work fun?
You seem like you’re really big on empowerment.
I like to laugh. I like to joke. Team members know that I am a little mischievous. It’s important to have fun at work. I’m known to wear crazy socks, like the ones I’m wearing today. We’ve also had fun creating videos like “Carpool Karaoke” and “Storytime with Steve,” and we recently filmed a video where I played a DJ and surprised team members with four additional days of PTO in 2020.
Absolutely. It’s so important to empower people. We believe that our team members are the experts in their jobs. What makes them experts is their incredible knowledge, as well as their passion for their work.
Our offices and departments are also empowered to do their own thing and have their own kind of fun through “Weekly Fun Days.” Some have had a masseuse come in to do massages. Others have gone out and ordered cookie dough for everybody. Companywide, we may set something up
and volunteerism will remain paramount, we will not lay off team members – regardless of economic standings – and we’re going to be servant leaders and make a difference in society. Now, Kevin and the team might have a different way of doing that and that’s OK. I know the entire team is committed to providing a better way of life for our customers, communities and team members, just as we have for the last 97 years.
How will Gate City Bank continue to forward the mission that you’ve helped develop? I really have complete confidence in the team and Kevin Hanson, President and CEO. There were non-negotiables that I had when Kevin took over his role. We are not going public, we are going to be committed to the mission of “For a Better Way of Life,” philanthropic giving
Steve played a DJ in a video where he surprised team members with an additional four days of PTO in 2020.
Last year, team members at Gate City Bank volunteered almost 16,000 hours. 26
APRIL 2020
SPONSORED CONTENT
By Scott Wagendorf Photos by Kayleigh Omang
Be Ready for Anything he events of the last several weeks have been unsettling. But for most successful businesses, managing through growth and decline, good times and bad, is nothing new. For them, staffing is key. Having the right people at the right time can make all the difference. In the Fargo-Moorhead area and beyond, businesses of all types have found a trusted partner in Labor Masters, a leading day labor agency, led by 24-year industry veteran, Owner Nancy Kelly. “Our workers hit the ground running,”
28
APRIL 2020
said Kelly. “They are trained in the basics and updated when the situation warrants it, so they know what to expect.” All new and existing Labor Masters employees receive comprehensive training to protect the health and safety of, not only themselves, but Labor Masters' clients and their clients’ customers as well. Workers have to be adaptable, stresses Kelly. So, multiple times a day, the Labor Masters team reviews new information from the North Dakota and Minnesota Departments of Health and Labor along with the Centers for Disease Control to compile COVID-19 updates. Workers are required to read and acknowledge best
practices before receiving their next job assignment. Labor Masters consults with its clients ahead of time to determine whether any personal protective equipment will be needed and whether the client, Labor Masters or the worker will provide it. If workers are expected to bring their own equipment, Labor Masters will find what they need at wholesale cost. At some point, those businesses that have laid-off workers will want to ramp up their production capabilities. “That’s when we can really be an asset,” Kelly says. “By hiring qualified workers for the day, the week, or longer businesses can test the
SPONSORED CONTENT Labor Masters offers temporary labor solutions for both businesses and individuals, including: • All Phases of Construction • Order Processing • Packaging • Palletizing • Forklift • Warehouse • Housekeeping • Home and Office Cleaning • Event Set-Up • Catering • Moving • Delivery • Painting • Yard and Garden • Road Construction • Flagging and Pilot Car Driving • Answering Phone/Receptionist • Filing • Immediate & Rush Jobs
waters without committing to long-term staffing expenses.” While Labor Masters accepts online applications, the agency requires potential new hires to show up in person to complete an application and kick off the interview process. “What we’re really good at is helping workers find out what they’re really good at,” concluded Kelly. “And the only way we can do that is to meet.” Labor Masters works with most needs and budgets.
Labor Masters offer personal protective equipment to its workers at a reduced rate.
FARGOINC.COM
29
s s e n l l e W l a i Financ e c a l p k r o W In The
SPONSORED CONTENT
Photos provided by Legacy Financial Partners inancial wellness is a trending buzzword among companies and within human resources (HR) departments across the United States. Today’s employees expect benefits that enhance not only their work environment but also their lives. One of those benefits is financial wellness1. There was a time when offering a decent salary, a 401(k), and a health insurance policy was enough to attract and retain high-quality workers. Times have changed, however, and it’s important to consider what employees want from their employer and how to keep them loyal. Having benefits that show you care about employee well-being is a great start.
32
APRIL 2020
Studies show that • 30% of Millennials say that incentives from their employer help them take steps to improve their financial well-being2 • 62% of employees agree that they're looking to their employers for more help in achieving financial security through employee benefits2 • 42% of employees agree that employers have a responsibility for the financial wellbeing of their employees3
SPONSORED CONTENT
Cities with Legacy Financial offerings.
What are you doing to improve the well-being and productivity of your employees? 10 Reason to Offer a Financial Wellness Program: 1. Help employees feel satisfied with their current finances 2. Encourage positive financial behaviors 3. Increase financial knowledge 4. Reduce Stress 5. Create strategies to help employees reach financial goals 6. Help employees retire on time 7. Improve the wellbeing and productivity of employees 8. Increase employee retention and recruiting 9. Help employees maximize their benefits 10. Provide personal unbiased financial support for employees
When it comes to financial wellness benefits, there is a lot at stake. Not only can financial wellness benefits help create financial stability among your employees, thus helping to increase your company’s stability, but they can also reduce costs associated with hiring and turnover as you work to create a financially-well company culture. With the recent volatility of the markets and layoff scares with the corona-virus, financial concerns are stressing your employees. There is no better time than now to reach out to financial advisors who offer financial wellness programs. Legacy Financial Partners, a private wealth advisory practice of Ameriprise Financial, LLC offer financial wellness programs (virtually or in-person) for employers (large or small) throughout the Midwest. Take action today to help improve financial wellness within your workplace. Visit planwithLFP.com or contact Mallory Sand directly at mallory. sand@ampf.com for more information on a financial wellness program for your workplace. planwitLFP.com l planwithLFP@ampf.com To visit Ameriprise’s Financial Wellness Program details go online to: ameriprise.com/fw/legacy-financial-partners This is a paid advertisement. 1 2019 Enrich’s 2020 Employee Financial Wellness Report http://media.igrad.com/ docs/pdf/marketing/2020-Employee-Financial-Wellness-Report.pdf 2 2016 MetLife MetLife’s 14th annual U.S. Employee Benefit Trends Study, Opportunity is Knocking: How Benefits Lay the Groundwork for a Thriving Workforce https://benefittrends.metlife.com/media/1453/14th-annual-ebts_ opportunityknocking_insights_exp0718.pdf. 3 2017 MetLife’s 15th Annual U.S. Employee Benefit Trends Study.2018. The Compass is a trademark of Ameriprise Financial, Inc. Investment advisory products and services are made available through Ameriprise Financial Services, LLC, a registered investment adviser. Ameriprise Financial Services, LLC. Member FINRA and SIPC.© 2020 Ameriprise Financial, Inc. All rights reserved. 3009606ACMR0420
FARGOINC.COM
33
REIMAGINED. REVITALIZED. RENOWNED.
2101 North River Drive, Moorhead, Minnesota
218.236.0100 | moorheadcountryclub.com #LOVEMYMCC
SPONSORED CONTENT
By Brady Drake Photo by Kayleigh Omang
Rising Above Crisis: New Ways to Manage Workplace Health r. Kevin Ronneberg knows from experience that leading a company through a public health crisis takes the right staff, capabilities, guidance, and expertise. As Vice President and Associate Medical Director of Health Initiatives at HealthPartners, a Midwestbased, non-profit, integrated healthcare provider and health insurance company, he also understands the unique nuances and complexities of managing these efforts if you don’t have the right partners and resources at your side. Within the rapidly evolving environment of a global pandemic such as Coronavirus (COVID-19), managing the financial, mental, and physical health of your organization is increasingly difficult. Yet as a business leader, protecting the health and safety of your employees and doing everything you can to ensure the stability of your organization’s operations, are your highest priorities.
36
APRIL 2020
“Organizations are facing challenging business decisions and employee situations, while human resource teams are strapped for resources amid COVID-19,” said Dr. Ronneberg. “Companies are pulled in many directions as they manage the first wave of crisis response to ensure the safety of employees, the continuity of business operations, and worksite safety. HealthPartners works with employers to navigate these circumstances through strategic planning and supportive services that put health and well-being at the forefront.” Having a partner to aid in everything from providing health plan member services resources, claims administration, treatment options for telehealth and virtual care, and occupational medicine services that assist with strategic worksite plans, can be beneficial to streamline business operations and staffing. “The changing work environment with more kids and parents at home, the financial stress, childcare needs, and shifting hours, are impacting businesses and the daily lives of employees,” said Dr. Ronneberg.
SPONSORED CONTENT
Matthew Nagel
Regional Sales Manager at HealthPartners
“These issues reflect the second wave of response to COVID-19, which includes managing social isolation and behavioral health concerns. As a one-stop shop partner, HealthPartners provides an array of telephonic member services to assist employees and employers during these uncertain times.” These services include an Employee Assistance Program (EAP) and leave management support. In addition, behavioral health navigators and nurses are readily available via phone. These individuals have access to integrated health and claims data that give them the immediate information to address employees’ needs and offer evidence-based, effective support. Furthermore, virtual care, such as HealthPartners’ virtuwell and Doctor on Demand, can remove barriers to routine physical and behavioral health treatment while limiting exposure to the virus. With the Centers for Disease Control and Prevention reporting that suicide rates rose by 57 percent from 1999 to 2016 in North Dakota and because mental health concerns are growing due to social distancing measures, it’s clear that increasing access to care can be life-saving.
Dr. Kevin Ronneberg Vice President and Associate Medical Director of Health Initiatives at HealthPartners
“In rural North Dakota, the need to travel long distances, the wait times, and the social isolation felt from the current pandemic can make people less willing to seek behavioral health support,” said Matthew Nagel, HealthPartners’ Regional Sales Manager, based in Fargo, North Dakota. “Yet when services such as virtual care, telephonic case management, and an EAP are part of an employer’s health insurance plan, people feel empowered to make better care decisions.” There’s no question that the COVID-19 pandemic is challenging, riddled with ambiguity and frustration. Throughout it all, HealthPartners is working to help employers stay focused on what matters most – protecting the health and safety of employees and their families above all else.
HealthPartners
Contact: Matthew Nagel, Regional Sales Manager, North Dakota Email: matthew.a.nagel@healthpartners.com Cell Phone: (952) 807-8170 Website: healthpartners.com
FARGOINC.COM
37
Oxbow choose
Join before April 30 and receive
½ OFF YOUR INITIATION FEE
40 Clubhouse Drive Oxbow, ND 58047 | 701.588.4666 | oxbowcc.com
By Brady Drake
A Co n v e r s at i o n w i t h
Doug Burgum
KAYLEIGH OMANG
After three full years in office, Governor Doug Burgum has a lot to say about business in North Dakota. Spotlight's owner and CEO Mike Dragosavich sat down with the Governor and successful entrepreneur to learn more about what is going on at the state level that d i r e c t ly a f f e c t s o u r r e g i o n ' s small businesses. 40
APRIL 2020
Mike Dragosavich, Owner of Spotlight with Governor Doug Burgum FARGOINC.COM
41
KAYLEIGH OMANG
This article is a portion of the interview between Governor Burgum and Mike Dragosavich. Follow us on social to see the full version. The Interview was conducted March 4, 2020, prior to the heat of the COVID-19 Epidemic.
42
APRIL 2020
@ S p o t l i g h t Fa r g o
@ Fa r g o I N C M a g
/Spotlightmediand
/ fa r g o b u s i n e s s
workforce Mike dragosavich: Very early on I didn't have a lot of money and I bootstrapped my company. I would constantly search the web looking for ways to succeed. The problem today though, is that it's paralysis by analysis. We don't know where to look, it's hard to find. Now, the web is so oversaturated, where do we go to find these things that can help us? I have always seen the value in looking and supporting what the state and the federal government are doing for small businesses and it's there, it's just hard to find sometimes. And so with this article, in this interview, we'd like to shine the light on some of those things. When you're putting yourself in the small business owner’s shoes, right now, what are some of the things that make you excited? What are some of the things we should pay attention to? What are some thoughts on that?
doug burgum Important Business Resource
Legacy Investment for Technology (LIFT): an innovation loan fund aimed at accelerating applied research, experimentation, or operational testing within North Dakota’s targeted diversification sectors. This fund provides low and no interest financing. Visit: business.nd.gov/lift/
For three decades or more I've been involved in trying to hire team members, attract capital and grow. Those were things that I was doing in the private sector and that's something I'm doing now at the state level. What's different is, right now, the economy has been so strong in our country, this is the first time in the history of the nation where there are more jobs available nationally than there are people seeking jobs. And, in North Dakota, we're perennially one of the lowest states for unemployment in the country. That used to be kind of a bragging point among states, who's got the lowest unemployment because it was a sign of economic strength, but then that low unemployment creates a workforce shortage, whether it's you or any of the listeners today that have got open positions. When I talk to groups of people and say, "How many people have got open positions?" Every hand in the room goes up. So then, how do we create that workforce? That leads to a whole set of things or some things that the government can do from education and skill-building and programs. Important Business Resource
ND Career Builders Scholarship & Loan Repayment Program: Is aimed at attracting people into high need and emerging occupations in the state. Employers can contribute dollars to match the investment of the state while filling the workforce needs and helping employees reduce their student loan debt. The program has a lifetime maximum of $17,000, and recipients have the obligation to reside and work (in a high need or emerging occupation) in North Dakota for at least 3 years following program completion. Visit: ndus.edu/career-builders/
FARGOINC.COM
43
J. ALAN PAUL
44
APRIL 2020
Emergency Solutions Grant Program and the North
Dakota Homeless Grants:
In this time of need, it’s important to remember the Emergency Solutions Grant (ESG) and North Dakota Homeless Grant (NDHG) programs that can provide rental and utility assistance, deposit assistance, and shelter operations for agencies and citizens in need. ESG and NDHG funding is provided to 31 agencies across North Dakota, represented in all 8 regions of the state. V i s i t: c o m m u n i t y s e r v i c e s . n d.g o v.
Then, there's the question of what does the small business owner have to do? And the small business owner has got to be better than ever, because you’ve to create an environment where people want to work. The kinds of stuff you're doing here, creating great culture, making sure that there's purpose to the work that people are doing, because people today, if they've got skills they can work anywhere. They can work anywhere geographically; within that geography, within a city they can probably work at five or six different companies. So, as the business owner, the competition for workforce is one of the hardest things. That's where, before you can go start fighting for customers, you’ve got to figure out how to get the workforce. And again, I think it starts with a clear mission, a clear purpose, the right kind of culture. And that was again, something that we understood and we worked really hard to get ourselves on all the “best places to work” lists, because we knew that was one way to get a leg up on trying to attract the team members you need to be successful in a competitive marketplace.
FARGOINC.COM
45
workforce Mike dragosavich: So, that's a real hot topic obviously. And when we think about it, for me, there are levels to that. There's HR, recruitment, retention, we're thinking about it constantly. One of the things I feel like I should do, if I have an issue around that, is start with the state. Because there are job boards, there's Job Service, there are programs, there are initiatives, right? We should start there I think. And that's what I would like to start learning how to do better. So, what have you done with your team or what will you do in the future to make it easier for people like myself? When I have an issue or an idea and opportunity in my business, I should just start with the State of North Dakota and the resources you have. Are you working on the website? Are you working on ways that make it easier for us to have an ambassador? Where do we start?
doug burgum Websites To Visit:
• North Dakota Department of Commerce: commerce.nd.gov
You're talking about the interface, because the job creation has to start with the entrepreneurs, the innovators, the business owners, like yourself. Private sector creates the jobs, not the government. The government can't take credit for your success. You built this thing, we can't take credit for any of these, but we can help and we can be a resource. And one of the things that we can do at the highest level is try to get people to move to North Dakota versus other places. What can we do to make sure we've got a regulatory environment where we’ve got low taxes and great cities to live in? Those kinds of things get people to want to move here in the first place, so, there's a pool of candidates for you. Then within that pool, they have the right skills. Do we have the right kind of programs and certificates, can we keep them? If they need a license to practice in North Dakota, if they're a nurse, a teacher, a plumber, can we get the regulatory licensing down so they can move here as opposed to having barriers to be here.
• Job Service North Dakota: jobsnd.com
• North Dakota Workforce Safety & Insurance: w o r k f o r c e s a f e t y. c o m
• Experience ND: experiencend.com
Important Business Resource
Community Development Block Grant/Community Development Loan Fund: The CDBG/CDLF program awards funds to communities and businesses f o r r e a l p r o p e r t y, s i t e i m p r o v e m e n t s a n d infrastructure, and working capital. The CDBG/CDLF’s economic development function is designed to assist primary and retail sector businesses looking to establish or expand in North Dakota. Visit: Communityservices.nd.gov/communitydevelopment/ Programs/CommunityDevelopmentBlockGrant/
46
APRIL 2020
2320 S Louise Ave • Sioux Falls, South Dakota 57106 Phone: (605) 361-8700 • Fax: (605) 361-5950 www.siouxfalls.clubhouseinn.com
So, those are all things that the state can do. But in terms of the place we'd love to have people go, the place to go is the North Dakota Department of Commerce. That's the entry point for us supporting business growth and entrepreneurs in the State of North Dakota. And job service, another key one. As you say, we've got a place to post and look for jobs and then of course, workforce safety. Because, as a state, the only place you're required to get workforce safety insurance is from the state-owned insurance company called Workforce Safety & Insurance, but it's an interesting thing where the state provides it, but our rates are lower than anybody else in the country. Important Business Resource
Operation Intern: A grant program designed to expand the number of internships, work experience and apprenticeship positions in North Dakota. A $4,000 matching grant per student is available to employers within the s tat e ’ s ta r g e t e d i n d u s t r i e s ( E n e r g y, A d v a n c e d Manufacturing, Value-Added Agriculture, Tourism, and Technology-Based Business) and those looking to fill in-demand occupations. Visit: Workforce.nd.gov/workforce/OperationIntern/
We'd like to think our service is as good or better than anyone else's in the country and, again, it lowers the cost of business, particularly for small businesses. So, we're trying to make sure that we create an environment where we can attract people to come here and have the skills here and have very few barriers and, then, if someone like you wants to get help, you know where to go and we can start with the North Dakota Department of Commerce. Through that, we've revitalized our whole statewide workforce initiative. There was a task force that had gone defunct that we revitalized. It's got legislators, it's got business owners, it's got people from labor and industry. And that group of 32 business leaders across the state has come up with an entire report, which then is leading to changes that we can make to help the government get out of the way.
Mike dragosavich So, I did my research. If you're a business owner and you're trying to help attract people to come to this area, there is a website called Experience ND that has some really nice resources that you can share. There's the task force. And just to keep in the loop with those 32 business leaders and just seeing what their analysis is and just staying in the loop could really help us maybe predict some trends and things with our own business. Like the workforce safety, you wouldn't think as a small business owner to even go there.
J. ALAN PAUL
It's like insurance, you only go there when you need it. But I told you, I went there and I found $5,000 I saved because they ran an ergonomic chair health grant that we were able to capitalize on and it saved me really big money at an important time in my business. So, the point is, this is cool. You're focused on the high-level infrastructure of all of it, but if we can team up and get everybody to realize there are easy ways to find these things.
48
APRIL 2020
KAYLEIGH OMANG
doug burgum On that last one. We just got another $800,000 at Workforce Safety & Insurance where if somebody calls them up, Workforce Safety & Insurance, they'll send an ergonomic specialist to your business, look at your workplace and go, "Here's the changes that you could make. We may even have grants to help you invest." Like you said, chairs or stand-up desks or something. We're trying to reduce having to pay carpal tunnel surgery 10 years from now by giving people the right ergonomic environment today. From the business people, sometimes people say, "Oh, that's not the government's job to do that. Well, it's my job as a business guy, leading the state, to figure out if I spend $1 today to save $20 of taxpayer money tomorrow, I'm going to spend the dollar today." So, this is one of those programs where by investing with companies, we can help avoid a bunch of healthcare costs downstream for the state or for the employer and your employees. Your team members are happy and they're healthy and that's part of what we have to work together to do.
FARGOINC.COM
49
J. ALAN PAUL
50
APRIL 2020
technology Mike dragosavich: The last time you were on the cover of our publication, you were talking about what you were looking to do as governor and it was really a great conversation. A lot of it was around broadband technology so that more people at the garage could be e-commerce specialists and bring revenue to the state. There was a lot of conversation around smart towns and infrastructure. If you reflect on the four years of being governor, what are some of the positive things you've seen that relate to business owners that you've seen happen?
doug burgum
Well, I think some of the things you mentioned that we talked about back when we had just announced that we were running. Some of those became the foundation of what we call the Main Street Initiative. And the Main Street Initiatives has three pillars. The first one is workforce, which we're already talking about because we can't achieve our potential unless every business owner gets a chance to hire quality people. There's actually, we think, over 30,000 jobs available in the State of North Dakota right now, which is a record number of jobs. And some of those we're going to fill because we're bringing in people and graduates, but some of those jobs maybe need to be replaced by automation. If somebody is short of having 20 welders, maybe what they need is two guys that can program a robotic welder and the state could be doing even more in terms of providing tax credits for automation.
Burgum was featured in the October 2016 issue of Fargo INC! during his first running for the Governor of North Dakota. In the issue he fielded questions from several of our area’s finest business leaders.
Main Street Initiative Community Engagement Metrics Since 2018:
C o m m u n i t i e s E n g a g e d : 7 5 # MSI Proclamations: 30 (40% of MSI communities; 52% of visited) % of total ND population engaged: 86% % of eligible population engaged (within city limits): 87% FARGOINC.COM
51
There may be ways where we reduce the number of jobs because we're automating and bringing in IT and advanced technology because, again, that kind of increase in productivity would be great for the bottom line of a business and we should be supporting that. So, workforce is one pillar. The second pillar has to do with building healthy vibrant communities. Drago, you've been so engaged in helping create Fargo into a healthy vibrant community. And I know that when people are recruiting people to come here, even if their business is out on the edge or it's in the industrial park or it's a small business in a strip mall, they bring their team members downtown and say, "Hey, this is a great place to live, look at all the fun things that are happening here." And so we know that when we're competing against other states and other communities, that having that vibrant core, that sense of community, that tech or entrepreneur or small business ecosystem matters. And people like you are making a difference on that and we want to support that. We're supporting education, we're supporting with Main Street grants, we're supporting with all kinds of things — getting the arts involved — so we end up with these communities where people want to live, work, play, get an education, raise a family, all of that. And then the last one, is smart infrastructure. Yes, we need roads and bridges for the physical economy, but we also need high-speed broadband for the digital world that we're in. So much of what's going on today is maybe crossing over between the analog and the digital world. But
52
APRIL 2020
North Dakota shows up well on all the national surveys, that as a rural state, we’re among the top in having the best broadband. But we're not there yet. When I think about the things that are going on at Grand Farm or with your farming publication, in all the advanced precision agriculture, it's not good enough for us to have a gigabit to every school building in the state. Grand Sky
G r a n d S k y i s t h e f i r s t a n d o n ly f u l ly operational commercial unmanned aerial systems (UAS) research and development park i n t h e U n i t e d S tat e s . S t r at e g i c a l ly l o c at e d on 215 acres at the Grand Forks Air Force Base in North Dakota, Grand Sky is the hub of activities in the nation’s leading state for U A S f l i g h t t e s t i n g, t r a i n i n g a n d d e v e l o p m e n t. The park has received $18 million in total state investment appropriated through the legislature and approved by the governor and has also received $55M in private i n v e s t m e n t d u e t o t h e s tat e ’ s s u p p o r t.
KAYLEIGH OMANG
That's great. But we need to get it to every combine, every tractor, every rancher on a horse with a smartphone. We’ve got to get it literally everywhere, which means that last mile we're going to have to have wireless because we can't wire every truck and every machine and every car. We’ve got to have wireless high speed. And part of that then feeds into the things like the whole burgeoning unmanned airspace work that we're doing with the unmanned aerial systems, with a vision of being the first state in the nation having an air traffic control system where we can have UAS flying around with manned and unmanned — remotely piloted with human-piloted. The airspace in America is the safest airspace in the world. The FAA wants to keep it that way. And so to do that you have to have very sophisticated systems that detect and avoid. If we’ve got drones flying around with other planes, the whole nation is going to need that. We're becoming the test site for that because we're building it out. Important Business Resource
And if we build out the first air traffic control system for drones, we're also going to have amazing cell service on the ground. These things go together because we can be among the most wired states and that can help us with everything from flood protection, having better understanding of what's going on with weather and severe weather events. Having more instrumentation across our state will be amazing and we're on the front edge of doing that. And then how does that tie back to a small business owner? When we've got that infrastructure — the infrastructure of roads, bridges and railroads helped create our economy for a century. If we have the infrastructure for technology and broadband and data and information, that's going to create so many business opportunities that people haven't even conceived of yet, because that infrastructure will be there and allow them to come up with new business concepts or new ways to serve their customers. So, it's exciting to see that we're investing in not just our traditional infrastructure, but also the smart infrastructure that would help us really gain a competitive advantage over other states.
North Dakota Development Fund:
Primary sector businesses can secure up to $1,000,000 in financial assistance for use in r e a l e s tat e , e q u i p m e n t, a n d w o r k i n g c a p i ta l through the North Dakota Development Fund. Visit: business.nd.gov/development_fund/ FARGOINC.COM
53
J. ALAN PAUL
Mike dragosavich That's pretty interesting. Gathering most of what you said there, as you're talking about the advantages that the state of North Dakota has for us and I like that. I think about that a lot and I think a lot of business owners should. For instance, the only bank owned by a state in the country, right?
DOUG Burgum Yes.
Mike dragosavich I think you have some other ag-specific advantages, but maybe if you can continue talking a little bit about other advantages you're seeing for businesses, even with the bank, there's just a lot right there.
DOUG Burgum Yeah. Two things you need to build a business is, you got to have capital and you got to have the talent.
Mike dragosavich You can get capital? I didn't know that. (Laughs)
DOUG Burgum Or you can bootstrap. Smart guys bootstrap (Laughs) and get it done that way. But sometimes when you need growth, you need capital to grow. So, the Bank of North Dakota is an interesting thing. It was created 100 years ago by the citizens of the state, because they were concerned that the big banks in Minneapolis were taking advantage of all the new Americans at that time, the immigrants that were coming from Scandinavia and Germany that were populating our plains. They said, “We’ve got to have our own source of capital.� So, the bank has two missions. One is it's a bank that acts as a repository for all the revenue that comes into the state. And so it acts effectively as the bank for the State of North Dakota, but it also has a mission. 54
APRIL 2020
doug burgum And the mission portions of it are, I don't want to call that non-profit versus for-profit, but they carve off capital from the bank through legislative action and say, "Hey, we want to invest in innovation, we want to invest in all kinds of different programs." And again, this is where you contact the Department of Commerce to get a list of all the things that we do to work with you. Because if people have ideas, whether it's ag productrelated ideas or whether it's growing a business, there's a number of programs where the state will participate in and support and help people get the capital they need to grow their businesses.
mike dragosavich I have really good feedback I want to share with you and you might not have an answer, but the number one biggest feedback I've received and I've been shocked by how many businesses I meet with that have direct sales. They have someone who's in sales going out whether it's across the country or the world or locally to sell something face to face or directly. And almost all of them have sales problems. They have all the support to start a business but once they start you’ve got to sell the stuff. And so there's a struggle on sales training and sales certifications. Now that you have to pay salespeople a lot of money because of the job market, and I hear it constantly to the point where we're starting to provide sales services because people just need sales help and it makes sense almost every business needs sales, right? And so I don't know if that's ever a conversation on your level but I'm seeing it from the street level, it's a real right-now concern. So, I just wanted to throw that out there and see if that's ever been something that comes across your table or you think about.
DOUG Burgum Well, I'm smiling because I lived this when we're trying to build Great Plains Software. One of the biggest risks we took was we decided to build out a national sales force and not pilot it. We didn't plan to hire two or hire four or hire whatever. We had grand plans of, let's go from zero to 60. Literally, we're going to have zero salespeople, now we're going to have 60 salespeople and we're going to put them all over the country and things are going to be amazing. And it turned out amazing, but we almost went under because of the mistakes we made and I've lived through that whole thing. I would say to the small business owners that are out there today that it starts with understanding what the customer wants. And people have said to me sometimes, "Hey, should I go get an MBA?" And I'm like, "I can save you two years and tens of thousands of dollars in tuition with one sentence. Be better than the competition at what's important to your customers. If you can do that you're going to have a successful business that’s better than the competition in what's important to your customers." Well, a lot of people fixate on their competitors, but they don't understand what's really important to their customer and I think again, getting salespeople that know how to listen, getting salespeople that know how to ask questions, getting salespeople that come back is important. I would tell people when we had this thing and we were like, "Our salespeople aren't selling." And then everyone's like, "Well, let's get rid of all the salespeople." I met with all the salespeople and I said, "I don't care if you don't make your quota next quarter, but if you don't make your quota, you've got to come back and explain to us why people aren't buying our product and they're buying somebody else's.” So, if you can't bring a sale, you’ve got to bring insights. And they came back and said, "Here's how you have to change your product, here's how you’ve got to improve your service." And then the sales force became like you. You're out there listening to 500 people. That listening helped us turn the corner and save the company. And then guess what, when we fix some of those other things, our sales guys started to be able to sell. At the end of the day, it's always a team effort. But if you can't bring insights or revenue, then they weren't on our team. They could go work for somebody else. FARGOINC.COM
55
where to start a business doug burgum Important Business Resource
Innovate ND: I n n o vat e N D p r o v i d e s
entrepreneurs access to venture t o o l s , r e s o u r c e s a n d m e n t o r s h i p. • Access to a certified entrepreneurial center • Assistance on the Business Model Canvas • Business planning tools • Prototype development • Access to the statewide entrepreneurial ecosystem • Grant funds to assist entrepreneurs in commercializing their ideas. Visit: commerce.nd.gov/innovatend/
Well, I know you're a competitor because you like to win. And I'm a competitor. It's easy to focus on the competition as opposed to focusing on the customer, and in state government that’s one of the things that we're pushing on. If you go back in that interview four years ago, one of the things I said was Lieutenant Governor Brent Sanford and I were running to treat the citizens of North Dakota as customers. That's one of the things we said. And then what's the reality? I get to the state government and we found over 170 different websites. If you want to get a fishing license and a boat license and your driver's license and check your taxes and if you're in business and you want to get your business ID to create a new LLC or do your workforce insurance, you have to go to different websites. None of them are connected. If you came back to any of those websites, even after having been in business in North Dakota for the last 20 years, every time you showed up, we'd be like, "Mike, who is this? Okay, we'll re-enter all your information." The average citizen has two consumer experiences. One is the Apple App Store and the other is Amazon Prime. And when you go to Amazon Prime and you're buying a book one day and you're ordering groceries another day and buying a part for your combine the third day, they don't each time go, "Who are you? Re-enter your stuff.” It's like, "Oh, welcome back. Here's one click, buy." And so we've tried to introduce this concept in the State of North Dakota, if we want to treat citizens as customers, then there's a growing gap between the consumer experience and dealing with state government. I'll be speaking in a group of people and ask, "How many of you have got a supercomputer in your pocket? How many of you have got a smartphone?" Okay, they raise their hand. "How many of you have more than 50 apps on your phone? How many of you have an app from the State of North Dakota?" And then maybe two people raise their hand and they're like, "I've got the Department of Transportation winter weather roadmap." That's the only one that ever comes up. We are so far behind as a state in terms of having an experience where a small businessperson shouldn't have to spend a bunch of time trying to go to dozens of agencies just to do their business. So, we're trying to create a one-stop, single hub. Today, we're still sending people to too many different places.
FARGOINC.COM
57
J. ALAN PAUL
58
APRIL 2020
where to start a business
Mike dragosavich This is the best thing that I can hear. That's good to hear that you're working on that right now. And that's something you're looking to roll out over the next couple years, right?
doug burgum Absolutely, at the State of North Dakota, we have some very dedicated people that are working there in information technology and they're working on what they've been asked to work on. We went through and interviewed them and then we said, "How many of you are working on running your existing system, which is usually a legacy system that might have been purchased in the 80s, 90s or 2000s? How many of you are trying to grow that system? And who's working on transformational stuff like we were just talking about?" Well, we went through hundreds of IT employees, 91 percent of their time was going towards running legacy systems, 9 percent was growing those legacy systems and zero was being spent on transformation. There wasn't a single cloud mobile software developer working for the State of North Dakota. And everything I've talked about is how we have to go cloud mobile and we have to have security, we have to take care of all the cybersecurity. So, then I'm right back to where we started the conversation. I'm just like all of your readers, I'm an employer trying to hire people . And how do I hire people? I have to create culture and purpose and all the things to get them to want to come. When there are so many opportunities in the private sector, particularly in software, why would you come to work for a state government? And yet, what we have to do is deliver great software systems to provide the simplification for business owners like you. So, it's a challenge, but we're up to it and trying to solve it.
FARGOINC.COM
59
J. ALAN PAUL
60
APRIL 2020
Mike dragosavich
Getting Involved
Personally, I think that's a really great move for people like myself who just don't know where to start sometimes. But now let's discuss this real quick. Let's say I'm a business owner that understands how to get my way around the resources and I'm familiar. What are some things we need to know to support your efforts and the state? What should we be focused on to show more support or get more involved?
North Dakota Legislators In Districts Around Fargo I n o r d e r t o f i n d t h e w h o l e l i s t, v i s i t l e g i s . n d . g o v / a s s e m b ly / 6 6 - 2 0 1 9 / m e m b e r s / h o u s e
District 11 Sen. Tim Mathern, 701-476-7825 R e p. G r e t c h e n D o b e r v i c h , 7 0 1 - 3 6 1 - 5 6 2 7 R e p. R o n G u g g i s b e r g , 7 0 1 - 3 6 7 - 2 4 7 8 District 13 Sen. Judy Lee, 701-282-6512 R e p. K i m K o p p e l m a n , 7 0 1 - 4 9 2 - 7 3 1 7 R e p. A u s t i n S c h a u e r , 7 0 1 - 7 3 0 - 4 4 7 4 District 16 Sen. David A. Clemens, dclemens@nd.gov R e p. B e n K o p p e l m a n , 7 0 1 - 4 9 1 - 0 6 6 5 R e p. A n d r e w M a r s c h a l l , a m a r s c h a l l @ n d . g o v District 21 Sen. Kathy Hogan, 701-235-1916 R e p. L a u r i e B e t h H a g e r , 7 0 1 - 2 8 0 - 2 5 3 5 Mary Schneider, 701-306-0860 District 27 Sen. Kristin Roers, 701-566-0340 R e p. T h o m a s B e a d l e , 7 0 1 - 2 3 5 - 2 3 4 8 R e p. R u t h B u f f a l o , 7 0 1 - 4 9 1 - 8 1 7 5 District 44 Sen. Merrill Piepkorn, 701-205-2665 R e p. J o s h B o s c h e e , 7 0 1 - 3 6 7 - 3 5 1 3 R e p. K a r l a R o s e H a n s o n , 7 0 1 - 7 9 3 - 9 1 8 1 District 45 Sen. Ronald Sorvaag, 701-361-2156 R e p. M a r y J o h n s o n , 7 0 1 - 2 3 5 - 5 9 1 2 R e p. T o m K a d i n g , 7 0 1 - 6 3 9 - 4 8 4 9 District 46 S e n . J i m P. R o g e r s , 7 0 1 - 3 7 1 - 4 9 9 9 R e p. J i m K a s p e r , 7 0 1 - 2 3 2 - 6 2 5 0 R e p. S h a n n o n R o e r s J o n e s , 7 0 1 - 3 5 6 - 5 0 5 0 f
FARGOINC.COM
61
J. ALAN PAUL
62
APRIL 2020
doug burgum Well, it's a fantastic question. And I think the answer is pretty simple. And it really starts with our state legislature. Our state legislature is a citizen legislature. Most of those folks that are in the legislature have got another job: they're teachers, they're farmers, they're architects, they have something going on that they're doing outside in their real life. And then, every other year, they come together for 80 days in Bismarck. I've found that people know who their mayor is, they maybe know who some of the city commissioners are. But even in a market like Fargo-Moorhead and some of the other metro areas, people don't know who their state legislators are. There are three state legislators, one senator and two representatives, for every 15,000 people. So, in a market like Fargo, there's dozens and dozens of state legislators. So the very first thing I would say is, check out the address of your home and go, "What district do I live in and who represents where I live?" And then check your address where you work and say, "Who represents me where I work?" They could be two different districts, because some of these districts are only a few square miles in Fargo; you could have six legislators who would love to hear from you. You could say, "I work in your district, I'm a business owner in your district and these are my concerns." Or if where you're living you could call another three and say, "These are my concerns." Legislators really listen to their constituents, but sometimes we don't have enough engagement. And again, small business owners — they're busy, they're running their business. In the old days, it was like, "Oh, if you want to have input, you’ve to drive to Bismarck and be part of the hearing." Well, who's got time to do that? I would just say grab them here when you're home, grab them in the offseason, grab them when they're not in session. They'll come back into session next January, but talk to them now and then they can start working on fixing some major concerns and introducing new legislation. And then at some point probably, they might say they're talking to their legislator and they might go, "Hey, I could do that job, I should run for the legislature." Because we need more business owners and more small business owners that are engaged in the system to think about public service. And that's the thing, because we have people in both parties that often run and they run unopposed for these positions. I think that these positions have a lot of power and a lot of influence and I think competition is good. And I think it's good if we have people that can care about their communities, care about their companies, care about the state and getting engaged at that level. Get to know them and give us your feedback.
Don’t overreact to market swings. Get a second opinion. Investors have survived market swings and corrections before. But a twinge of uncertainty may have you wondering if you should get another opinion to help confirm your wealth is in the right place. That’s why we’ve made it as easy as we can to have a complimentary, face-to-face meeting with a Financial Advisor. Maybe you just want to know if you’re really on track for retirement or if your investments could be better aligned to your goals. Or in the process of working hard for your money, you worry you’ve overlooked some necessary steps to transfer your wealth. Whatever’s on your mind, we’re here to listen, and we’ll help you evaluate your plan. It’s free, and there’s no obligation. Then you can decide if your wealth is getting the care it deserves. WEALTH MANAGEMENT | INVESTMENT PLANNING | RETIREMENT
Tim Graveline Senior Financial Advisor Senior Vice President – Investments 406 Main Ave, Fl. 2 Fargo, ND 58103 (701) 293-4917 Tim.M.Graveline@wellsfargo.com https://home.wellsfargoadvisors.com/Tim.M.Graveline
Investment and Insurance Products: u NOT FDIC Insured u NO Bank Guarantee u MAY Lose Value Wells Fargo Advisors is a trade name used by Wells Fargo Clearing Services, LLC, Member SIPC, a registered broker-dealer and non-bank affiliate of Wells Fargo & Company. © 2015 Wells Fargo Clearing Services, LLC. All rights reserved.
97772-v1b A1952
Matt Watson Senior Financial Advisor First Vice President – Investments 406 Main Ave, Fl. 2 Fargo, ND 58103 Direct: (701) 293-4322 Matthew.R.Watson@wellsfargo.com https://home.wellsfargoadvisors.com/Matthew.R.Watson
CAR-1018-02667
5 Tips FOR SETTING YOUR ORGANIZATIONAL CULTURE
T
he culture of a company can make or break the financial stability and long-term success of a business. It’s important in any environment and economic climate, however, a company’s culture is especially important right now. To learn more about how to establish a company’s culture, we teamed up with Rick Holmberg, Owner of 2 Levels Up Coaching.
BY Rick Holmberg/Brady Drake PHOTOS BY Kayleigh Omang
Rick Holmberg MCC, Peak Performance Coach and owner of 2 Levels Up Coaching 66
APRIL 2020
Rick believes there are five keys that help to set an organization’s culture:
1
START WITH YOU
Examine yourself from another’s perspective. If your life were to end today, what would others say about you? How would you be remembered? What impact would you have had on others’ lives? If we desire a life that is fulfilling, rewarding, in the service to others, one that is dedicated to the ideals we hold high, then we need to live with intentionality and integrity in serving those ideals. So, start with you. Get clear with your vision. Your ultimate vision will forever drive you and your entire team. Once you have uncovered that vision everything else will begin to fall into place. But first, get real with yourself. Pursue the best version of yourself. Stick to your vision, for it was forged from your character—who you truly are. Your character is the result of your values being habituated. If you have a value and that value has never cost you anything, maybe it’s not a value at all.
2
DEVELOP A MISSION STATEMENT
The Mission Statement is the ultimate structure of your organization. It is derived from your vision and personal plan for success. Remember to lead within your style and beliefs because a team will always reflect the personality of their leader/coach. Your mission statement will characterize how your Plan for Success drives the fundamental core of your team and program. Do not ask your team to do that which you would not otherwise do yourself. Direct behaviors that you want your team members to exhibit. It must be MEAN-ingful: • M: Memorable • E: Easy to teach and learn • A: Accountability is demanded • N: Never let up A mission statement of 1-3 sentences is most effective. A 5-7 sentence statement can be used as long as there is some rhyme or rhythm to the text. This statement is fundamental to your program. It must be practiced over and over again. Team members should be able to recite the mission statement from memory. Memorize it, believe in it and own it. Remember, thoughts become things and constant repetition and deliberate practice will ingrain the fundamentals of your program. Be deliberate with your teachings, direct your team and demand full accountability.
FARGOINC.COM
67
3
To learn more, contact Rick on LinkedIn or at 2levelsup@gmail.com or call or text him at 701-201-1333.
BUY-IN
The “Buy-in” stage is the most important component of building your culture. It involves more moving parts than the previous ones. The members of your team/ organization must completely commit to the direction of the program. You will encounter three groups of people when implementing your plan: • “One Guys”: They are with you from day one, they are your elite leaders, they yearn for change and are committed to the cause. They want discipline, structure and commitment. They believe in your vision and are aligned with your values. • “Some Guys”: They will side with the view that is most popular or can give them the greatest reward, they are swaying in the breeze. They dare not go against the breeze for fear that they may break, so they bend to the side that has the least resistance. This may be the largest group, so as the leader you must get them to buy-in because it is right. • “Un-Guys”: Un-interested, un-reliable, and un-caring. Use ultimatums, commit or quit. There may be some skilled players in this group that could really help your team. One bad apple can spoil the whole bunch. You cannot compromise everything you believe in for short-term success. Committed members will see right through your intentions and view you and your ideals as a fraud. Remember, character counts. Once your team is formed and full commitment is established, you must train every day. Ask the question, “What type of player do you want to be and what will it take to get there?” You have provided a blueprint for success. Everyone must be speaking the same language in order for you to accomplish your goals. Members will feel that they are making sacrifices for the team. Get them to understand that they are making a choice instead of sacrifices.
68
APRIL 2020
4
DEVELOP RELATIONSHIPS
Your team will never care what you know until they know how much you care. Never overlook the opportunity for a “teaching moment.” This could be anywhere. Sometimes the most meaningful interactions are the ones that are unexpected, unintentional and unscripted. Embrace positive coaching that emphasizes discipline, character, grit and togetherness. Lead and teach within your personality, strengths, genuine care and love for your individual team members will shine through. • What do you value in a team member? • How do you recognize it? • How do you develop it? • How do you reward it? • Reward the behavior you want Every member of your team/organization has value and a voice. No one person is bigger than your program. Provide constant communication, evaluation and feedback. Be honest and compassionate. Give them a plan where they can see themselves having success. You must trust them and they must trust you. Trust is paramount. Help them plan out their goals and ways they can strategically take small steps to achieve them. Help them cultivate willpower and determination knowing that their achievements will take time. Small, smart choices done consistently over time will produce amazing results. In order to become a vehicle of excellence, they must become a machine of consistency. What do your Promote, Practice and Permit?
5 EVOLVE
Every day, you are either growing or dying. Culture is never a zero sum game. You must evolve as a leader, coach, mentor and teacher. Adopt a growth mindset, constantly learning new systems, paradigms and dynamics that will enhance your team and organization. As you grow, your team, players and organization will grow with you. Understand that where your focus goes, your performance and energy go. As you keep moving forward, remember you can only control what you can control: • Attitude: Solutions-based, not problembased. Proactive, not reactive. • Actions: Be true to yourself. • Preparation: Have a plan, work the plan. Stick to the Process. • Energy: “Bring it” every day. People will feed off your energy. • Effort: If you are not working on culture every day, then you do not have one.
BY Brady Drake
NEED HELP MOVING YOUR BUSINESS ONLINE The Nice Center Might Be Able To Help Scott Meyer, Ozbun Executive Director of Entrepreneurship
What is the Nice Center and how can the community utilize it? The Nice Center is the entrepreneurship center at NDSU. Our mission is “entrepreneurship for all”, so we help students, faculty and community members generate and launch ideas.
OVID-19 and social distancing has changed the game. Companies need to adjust and one way to do so might be to move you business online. If you need help with this, the Nice Center at North Dakota State may be your solution.
Community members are welcome at all of our events and can meet with our team for help with their ideas. A few examples would be: -CO.STARTERS nine-week program to help businesses launch: costartersnd.com -Our upcoming “Creativity in Isolation” webinar series: thenicecenter.org/isolation -One-on-one meetings: thenicecenter.org/ about -Digital support for businesses affected by social distancing: thenicecenter.org/shoplocal
Scott Meyer, Ozbun Executive Director of Entrepreneurship, spoke with us about how the Nice Center is offering to help all North Dakota Businesses through the COVID-19 Pandemic.
I saw the release about how Nice want to help local businesses sell online of offer pickup/delivery options. How can our local businesses take advantage? Any businesses affected by social distancing can visit thenicecenter.org/shoplocal and signup. Our team will provide free support to help create and market your online
C
storefront so you can continue working, even if customers can’t come visit you in-person. Why is this important? It’s clear that social distancing is our new normal for the foreseeable future. Our local businesses are essential to our community, and they need a strong digital presence to continue their work. The Nice Center wants to help. Our student workers can provide assistance for free, helping their community while gaining valuable knowledge along the way. How quickly can a business expect to be able to offer these sorts of options? We are following up with businesses within 24 hours and are creating their platforms within a few days. The businesses are important partners and need to provide photos, descriptions and other information, but when they work alongside of our team, we can move very quickly.
FARGOINC.COM
71
Helping Your Company Flourish By Using
Digital Wellness For Workforce Recruitment How One Local Company Is Leading The Way In Digital Wellness BY Brady Drake
ANDREW SCOTT
A
s we have seen throughout this magazine, wellness programs can help give your company an edge in hiring while also allowing employees to be more productive. Flourish, a local digital wellness solution, is helping employers tailor its programs to their employee’s unique needs while increasing their access to local products, programs and services that actually improve well-being.
72
APRIL 2020
Owner of Flourish
According to Flourish’s owner, Andrew Scott, users of Flourish have reported increased employee engagement in wellness offerings, greater morale in the workplace and increased knowledge of employee needs. Increases in these areas can make a real difference in an organization. According to Scott, there are three major reasons why organizations need to support their employees’ wellbeing needs:
1 POOR HEALTH IS ON THE RISE AND IT IS GETTING COSTLY An estimated 60% of working adults experience poor health: high blood pressure, diabetes, high cholesterol, mental health issues, cancers, the list goes on! Health economists project that the number of individuals battling poor health is only going to get worse. Organizations are experiencing rapid increases in healthcare spending. Employees with poor health have, on average, five times higher healthcare costs annually. These sicker employees lead to greater
Users can access Flourish Wellness services from their phones
KAYLEIGH OMANG
utilization which increases spending. Those with poor health incur 81 percent of hospital admissions, 91 percent of all prescriptions and 76 percent of all physician visits.
2 7 IN 10 EMPLOYEES ARE DISENGAGED Another epidemic plaguing organizations is that a majority of employees are ‘checked out.’ They are disengaged. According to Gallup, 7 in 10 employees are disengaged in the workforce. These employees are not helping the organization grow or become a
Users don’t just find reduced rates on the Flourish Wellness app, they get advice as well! FARGOINC.COM
73
Users get reduced rates from many of the area’s wellness companies
percent due to a number of factors. One of the biggest factors that keeps employee engagement low for traditional wellness programs is the limited ability to participate in activities outside of the office. And those activities that are available in the office are limited because it’s difficult and costly for companies to provide robust wellness programs internally. success. They are putting in the time, but lack passion and energy when completing tasks. A disengaged workforce can kill the morale of the office as they tend to be less satisfied, not as collaborative and lack the motivation to move the organization forward effectively. 3 75% OF ALL ORGANIZATIONS STRUGGLE TO RECRUIT AND RETAIN TOP TALENT Focusing on taking care of employees significantly influences recruitment and retention of high-quality individuals. Organizations who make supporting employees a business priority are more likely to be viewed as employers of choice.
In today’s market, it is becoming increasingly difficult to recruit and retain top talent. 75 percent of organizations struggle to
74
APRIL 2020
attract and recruit the top people they need. Establishing a reputation of firmly embracing employee needs garners attention of active job seekers and even those who are currently high-performers in other organizations not thinking of leaving. A major deciding factor between your organization and the next for a highly-talented employee could be how you engage your employees. 57 percent report that the organization’s reputation around supporting employees is a significant factor in job selection.
Flourish Is Setting Itself Apart From Traditional Onsite Wellness Programs Traditional wellness programs can be costly and not well received. According to Scott, traditional wellness programs have an average engagement of just 20-30
“Simply put, employees are unique with unique well-being needs,” said Scott. “For many, the programs are limited and do not resonate with their needs. Having a program in the workplace that meets the needs of most would be nearly impossible – they would be costly, require a dedicated individual to manage all of the programs, and require the infrastructure or space to accommodate all employees.” Flourish and its digital platform allows employees to access resources outside of their workday that include but are not limited to: fitness, nutrition, financial wellness, spiritual wellness, social connectedness, mental/emotional support, rest/relaxation, stress management, self-care and career/ professional development.
What’s more? Each employee’s needs are evaluated using a three-step approach to help them figure out their greatest needs. 1 EVALUATE Users complete a five-item health survey and receive feedback to help build awareness of their top health needs. 2 EDUCATE Based on needs and interests, users can access content written by local and national health experts.
3 ENGAGE Users can access hundreds of local and national (complimentary, reduced-rate, and enhanced) experiences based on health needs and interests.
To learn more about Flourish Wellness, visit flourish.eco
The 4
C’s TO LEADING IN TIMES
OF UNCERTAINTY BY Brady Drake
In March, I visited with Mike Meagher and Tami Kilzer from Sagency, an Executive Coaching and Search firm in Fargo. I wanted to explore how they help their clients create job benchmarks and assess talent against those benchmarks for hiring, coaching, and succession planning. Fast forward a short week later and everything in our world has changed. As editor of a business magazine, I too am functioning in a time of considerable uncertainty. My questions to Mike and Tami shifted to how leaders can be effective, especially in the new environment COVID-19 has forced upon so many organizations. 78
APRIL 2020
Mike Meagher, President of Sagency
KAYLEIGH OMANG
Tami Kilzer, Executive Recruiter and Career Coach
FARGOINC.COM
79
Take Care of Business Meet // Focus // Energize
By the time this article hits print, work could be drastically different than it was last month for many companies. There have been many articles about technology and communication during the COVID-19 health and economic crisis. Beyond those things, what would you say is the most important thing for a manager or leader to focus on during this time?
Element Fargo’s bright and modern meeting room is fullyequipped with a U-shaped, boardroom style table, two 75” LED TV screens, and a high-tech Crestron panel system that gives you the power of the entire meeting space at your fingertips. Contact Morgan Hanson for pricing and availability mhanson@elementfargo.com 701 478 0957
925 19th Avenue East West Fargo, ND 58078 701 478 5333 elementfargo.com
Mike: Stay committed to the mindset that your number one job as a leader is to help your people and teams maximize potential. Yes, there will be critical decisions about technology, finances, and operations during this crisis and beyond. However, navigating the current environment will demand a focus of helping individuals and teams thrive. The world has already been changing at breakneck speed. This creates a dynamic referred to as a “VUCA world”. VUCA is a military acronym that stands for volatility, uncertainty, complexity, and ambiguity. Today, every leader in the world is facing unprecedented levels of VUCA. Many business models will be tweaked or overhauled. Leaders will be tested and stretched. Organizations will rely on exceptional teams to survive and thrive in this environment. Success will require wisdom, boldness, and genuine care for people. Tami: Many companies are navigating the move to virtual workplaces. Responses, changes, and new solutions will be constant. Amid all this change, we must remember our priority is our people. We aren’t just moving assets or capital around to meet new challenges. These are humans with fears and anxieties, many of whom are looking for hope in a time of uncertainty. Most importantly, they still have incredible potential.
Mike: We may not see it directly, but leadership significantly influences whether or not human potential is maximized; whether or not individuals and teams do extraordinary things during extraordinary times. The success of your organization depends on high levels of engagement, performance, and teamwork from everyone. Putting time, attention, and energy into serving your people and helping them succeed will return dividends. So, what are the best things a leader can do to make sure they are caring for and engaging their team, especially if they are in a virtual environment? Mike: There isn’t a silver bullet for leadership effectiveness. And here is why: leadership is all about how you bring yourself into circumstances. As a leader, your best asset is yourself. How you show up, moment by moment, will define your leadership impact, now and in the future. Your leadership can be a stabilizing force, helping people feel safe and free to do their best work. Conversely, ineffective leadership can create an environment of fear, insecurity, and distrust, which will erode short-term and long-term performance significantly. You have a leadership model you use with your clients. Is it relevant during this time? Mike: Yes, we help our clients leverage a model to engage their teams in a deeply human way, leading to tangible results. The model works well when business is operating smoothly, and it becomes even more critical during an extended crisis. See the model at right.
It seems like Connect would be critical in a time like this. What are your suggestions for leaders whose teams are settling into virtual work? Tami: “Connect“ is about building trusted relationships with team members. Trust is the backbone of any enduring organization and a catalyst for engagement. Clear, transparent, vulnerable, and two- way communication builds trust. Right now, leaders need to confront reality with assurance and confidence. One of the best ways to connect and build trust is to show people you care about them as a person and value them because of who they are, not just what they do for the organization.
You can show care by being curious about your team member’s needs, offering support, and providing assurances when fears are intense.
Co-create is an interesting title of the second part of the model. What does that mean and what tips do you have for a team that has suddenly found themselves functioning in a virtual environment? Mike: Co-create is about enabling people to create the future with you. First, make sure you are tapping into the team and organization’s shared purpose and values. Authentic shared purpose and values anchor us in something bigger than ourselves. They shape our behavior and compel us to action. Hold a virtual meeting with this simple agenda: 1. How do we more fully pursue our purpose/ mission, given the circumstances? 2. How do we live out our values in these times? What behaviors should we expect from each other?
3. What will we do, with intention, to become a more cohesive and healthier team during this time? What are our team norms? Encourage healthy conflict and robust debate. You don’t want everyone to agree on everything. Use open and honest dialogue to get the best ideas on the table and then help the team commit to a unified path forward. Then, it’s time to co-create strategies and action plans. Start by engaging your team with the following questions: 1. What is most important right now? 2. How can we complete our regular responsibilities with excellence? 3. Outside of our day jobs, what else do we need to accomplish that we must set aside time and attention to achieve? 4. Should the way we keep score change? What measurements will help us know if we are making progress on what is most important? It is critical that every team and every teammate has crystal clear expectations about what it means and takes to be successful. With your guidance, give your team the first shot at creating those expectations and then fill in the blanks. Many leaders are surprised by how well their teams create the level of clarity that drives significant progress, and this leads us to the third “C” in the model.
The People-Wise Leadership Model is used by Sagency to illustrate effective leadership
FARGOINC.COM
81
Sagency tip: Send a handwritten thank you card or make a video with your smart phone and send it via email or text. Make it meaningful by specifically telling the recipient what you noticed, why it stood out to you, and how it impacted you and others. You’ll be amazed at how much people will appreciate this. They will re- read or re-watch your act of appreciation many times to re- energize. Genuine and specific recognition literally provides a mental boost to the recipient
It seems like many leaders will worry about accomplishing goals in the midst of this new reality. How does Carry Out help with this? Mike: Carry Out is about focused action. This part of the model is about holding ourselves accountable for hitting the goals we agreed to in the Co-create stage. The leader plays an active role in creating an environment where expectations remain clear and all team members have visibility into progress against goals.
82
APRIL 2020
We recommend a weekly (virtual) huddle. During this quick meeting, every team member will share what they accomplished last week to move the needle on the shared goal(s). Teammates will also share what they plan to do in the coming week to make progress against the goal. Daily and weekly progress is a powerful engagement stimulus. You can also set aside time to discuss new developments, potential opportunities, and common barriers that may affect your team. Since the leader doesn’t control everything, teams are free to respond with more agility to changing circumstances. Proactively nurture team agility and resiliency in this VUCA world. It will continue to come in handy. Tami: It’s important to note that leaders should avoid the temptation to micromanage. This may be a time to give more autonomy. When possible, give employees permission to choose when and how they will deliver the results expected of them. What works for them as they balance children schooling at home, taking care of elderly parents, etc. is different now. Going back to the first C, Connect, check in to ask how they are doing and what you can help with, but employees will be happier and perform better when they have autonomy and feel trusted.
The fourth C is Coach. Coaching is a term that can have different meanings to different people, what do you mean by it and what tips do you have? Mike: With Coach, a leader invests in the growth and development of others. An effective coach helps a player achieve greatness in ways even the player didn’t think was possible. The best way to start is by holding regularly scheduled one-on-one meetings with each of your direct reports. Get curious. Ask how they are doing. What are they enjoying? What isn’t going well? What barriers do they need help thinking through? Instead of directing, ask thoughtful questions to help your people come up with their own solutions to challenges. Provide candid and timely feedback on performance. Most importantly, stay in the moment and show that you are listening by summarizing what you hear them say. Ultimately, we hope leaders make additional effort to lead with vision and empathy, remembering that humans have a tremendous capacity to build an optimal path forward together. To learn more about Sagency, visit www.sagencytalent.com.
CELEBRATING 30 YEARS OF DEDICATED, LOYAL,
AND TRUSTWORTHY SERVICE 1202 27th St S, Fargo, ND 58103 | (701) 235-2002
WHAT DO YOU LIKE ABOUT WORKING AT HEARTLAND TRUST? “I love the care and concern that all of our employees show towards each other and our clients. We take great care in choosing the right people to work here and it shows. We are truly a company filled with generous hearts.”
Monica Millette,
Vice President – Retirement Services Division Manager
Visit our website to learn how we can help you heartlandtrust.com
401(K) • WEALTH MANAGEMENT • TRUST ACCOUNTS
84
APRIL 2020
NTREPRENEURSHI
From HR To
BY Brady Drake | PHOTOS BY Kayleigh Omang
INDIRA KOVACI
Those who think the Human Resources field is linear are sorely mistaken. A local entrepreneur, Indira Kovaci, knows this better than most.
ovaci started down her professional path by majoring in Human Resources while attending Minnesota State Community and Technical College in Moorhead. After graduating, Kovaci worked a number of office management and human resource jobs before becoming an entrepreneur on somewhat of a whim. “My husband likes to tinker with cars and I was doing an office job at the time. He wanted me to go online to look for a shop for him to work on cars, so, I went to Craiglist and typed in “shop”. A boutique came up and I was like, ‘that’s interesting.’ So, I clicked on it and it was the last day to purchase the shop because the people were coming to get the sign that day. I went to take a look at it during my lunch and fell in love with it,” said Kovaci. The rest is history, Kovaci purchased Prim Rose Boutique three year’s ago and began her entrepreneurial journey. Kovaci moved the business to its new location in West Fargo this past July and recently opened a salon right
86
APRIL 2020
next door to the boutique where contractors can lease spots from Kovaci. We caught up with Kovaci to learn more about her journey from HR to business owner and what she’s learned along the way. Did you ever think you’d be an entrepreneur? Not on a whim like that. I’m more of a careful planner. So, when my husband has an idea on a whim I’m the one to say let’s stop and think about this. So, when I did that, he was like, “what did you just do?”
What is some advice you’d give to someone who’s trying to start their own business? Don’t use all your money to open your own business. Have a backup plan. How do you use your HR degree in your day-to-day? A lot of people think HR is just hiring, but it’s so much more than that. With HR you just learn to work with so many different people with different personalities.
What’s the journey been like for you? It’s been really rewarding meeting all of the different kind of entrepreneurs. My first year, I was kind of on the down-low. I didn’t really know about the different networking groups around town. However, you need to network and you need to be involved in the community to be more aware of everything that’s going on. Now it’s better, but the first year was really rough because I was really alone in it and I didn’t have any connections. What type of networking groups have you used for your business? I’m in a ladyboss group but you just connect with different people through photoshoots and morning buzz talks. Things like that.
FARGOINC.COM
89
SECURE ACT: HOW THE NEW LAW BY Katie A. Perleberg
Katie Perleberg is a shareholder with Fredrikson & Byron, P.A. and a member of the Trusts & Estates group. She works closely with business professionals to develop a uniquely tailored estate plan that provides for an orderly succession of family assets. She can be reached at kperleberg@fredlaw.com.
90
APRIL 2020
T
IMPACTS IRAS AND RETIREMENT PLANS OF BUSINESS OWNERS AND OTHER PROFESSIONALS
he SECURE Act was passed late last year and includes sweeping changes to retirement plans, requiring many people to review— and possibly change—their beneficiary designations and/ or estate plans. This column addresses general estate planning topics and is not meant as actual legal advice. 1. What is the SECURE Act? The Setting Every Community Up for Retirement Enhancement Act—or “SECURE Act”—is a new law that was enacted on December 20, 2019, taking effect on January 1, 2020. It includes major changes for individuals with retirement plans (such as IRAs, 401Ks, and 403Bs), as well as several changes to the way employer-sponsored plans are administered. To pay for the new law, which calls for over $1.7 trillion of spending, the law effectively eliminates the “Stretch IRA” and accelerates distributions of tax-deferred retirement plans after the death of the plan participant. 2. What led to the passage of the SECURE Act late last year? The SECURE Act was a bipartisan effort
to address the growing concern that too many Americans are not saving enough for retirement. One in three Americans has less than $5,000 in retirement savings, and the median household retirement savings is only $50,000. Congress’s goal was to provide incentives and make it easier for businesses to offer retirement plans to their employees, as well as to allow more people to participate in tax-advantaged retirement plans and for longer periods of time. 3. How does this law encourage people to save more for retirement? Certain part-time employees are now allowed to participate in employer-sponsored retirement plans. Although not every parttimer will be able—or can afford—to take advantage of this, it will certainly be helpful for people who have multiple part-time jobs, people just entering the workforce, or those who are scaling back hours as they near retirement. Additionally, it is not uncommon to delay retirement and continue working well into your 70s. Before the SECURE Act, individuals were prohibited from making retirement plan contributions past the age of 70½. Now, there is no age limit on contributions to a
Traditional IRA, allowing more time to save and invest on a pre-tax basis. The law also delays depletion of retirement accounts. Historically, retirement plan participants were required to take minimum distributions each year starting at age 70½. The SECURE Act increases that start date to age 72, allowing retirement accounts to keep growing and deferring taxable distributions for a little while longer. 4. The new law regarding inherited IRAs requires payout within 10 years. What does this mean? If a retirement plan participant dies in 2020 or later, the general rule is that the retirement account must distribute to the beneficiary over the course of 10 years. Previously, the beneficiary had the choice of “stretching” the distributions over his or her life expectancy. This was called the “Stretch IRA” and it was commonly used because retirement plan distributions are considered ordinary income and stretching out distributions over a long period of time was a tax advantageous way of inheriting a retirement account. In addition, it provided a nest egg for the beneficiary’s own retirement. The Stretch IRA is now effectively gone and replaced with the 10-year payout rule. However, there are some exceptions and special rules if the beneficiary is a spouse, minor child, disabled person, or close in age to the plan participant. 5. Is there anything different I should be doing if my spouse is the outright beneficiary of my retirement plan? Not really. Importantly, if a spouse is the beneficiary, the 10-year payout rule does not apply. The spouse still has the choice to either roll the account into his or her own IRA, or treat it as an inherited IRA and stretch the distributions over his or her life expectancy. If your estate plan sets up a marital trust for your spouse and the trust is the beneficiary of your retirement plan, this arrangement should continue to work well as long as the trust was set up correctly in the first place. Many of my clients have this type of trust, most commonly when the client wants to make sure that his or her retirement plan is available for his or her surviving spouse, while ensuring that at the death of the surviving spouse, the retirement plan gets passed
to the client’s children, instead of to a new spouse or to the children of the surviving spouse’s first or later marriage; or to prevent the spouse from succumbing to undue influence or unwise decisions later in life. 6. What if my children are named as beneficiary of my retirement plan? If you have adult children who are named as direct beneficiaries, there is probably nothing you need to do except simply to understand that the taxes will be accelerated and there needs to be money available to pay the tax. If you have minor children who are named as direct beneficiaries, the 10-year payout rule does not apply while the child is still a minor. During that time, the minor child (or more likely the guardian or custodian) will have to take required minimum distributions over the child’s life expectancy. Once the child reaches the age of majority, the account must be liquidated over the next 10 years, either in one lump sum or as desired over the 10-year period. This can be a problem for parents who do not want their retirement plans paid out to children or young adults. This is why many parents set up trusts for their children in their estate planning documents. 7. How does this affect the trusts that are set up in my estate planning documents? If your will or revocable trust establishes trusts for your spouse, children, or other heirs, you should meet with your estate planning attorney to review whether those trusts will still have the intended effect. Some trusts will continue to work well, such as marital trusts for a surviving spouse. Other trusts will not work quite as intended. If you have a “conduit trust” set up for your children, this means that any distributions from retirement plans paid to the trust must be subsequently paid out directly to the child in the same year. This type of trust will continue to work just fine, but since the 10-year payout rule applies, the distributions will simply flow from the retirement account, through the trust, and directly to the child within a 10-year period, rather than over the lifetime of your child, as you probably intended when you first set up the trust. There are still some valid uses of these trusts, but if you are concerned about the beneficiary having access to the distributions and spending unwisely, you
may want to consider an accumulation trust, if you are willing to accept the adverse tax consequences. An “accumulation trust” is designed to hold retirement plan distributions inside the trust, rather than pay them directly to the beneficiary. A reason for having this type of trust might be because you would rather keep the bulk of the retirement plan distributions inside the trust where they are protected from a child’s potential frivolous spending, creditors, divorces, or estate tax. Again, there is still some value to this type of trust, but it may not work as well as expected, because with the distributions taking place over a 10-year period, the taxation is accelerated. An accumulation trust pays taxes on any income not distributed to the beneficiary, and trust tax rates are generally higher than they are for many individuals. So it is important to review your trust in light of the new distribution rules and decide whether it is more important to protect the assets or to minimize taxes. 8. Is there anything else I could be doing? If you are in a lower tax bracket than your beneficiary, or if you would rather take on the tax burden yourself than pass it to your beneficiaries, then you could consider converting your retirement plan to a Roth IRA. If you want to leave money to a charity at your death, kudos to you! In addition to doing good, you are saving taxes. One way to do this is to leave your retirement plans to charity (because charities do not pay taxes on retirement plan distributions) and leave different assets to your other heirs. Another option is a charitable remainder trust in which your heirs get an income stream, and the balance goes to charity upon the heir’s death. 9. Review your estate plan now The SECURE Act includes many important benefits for retirement plan participants but can make things complicated after the participant’s death. I would strongly advise business owners and professionals to meet with their estate planning attorneys to review their estate plans and beneficiary designations in light of the changes to postdeath distribution rules.
FARGOINC.COM
91
Bridging the Gap for
WOMEN IN TECH How uCodeGirl Is Making An Impact In Our Community
BY Brady Drake PHOTOS BY Kayleigh Omang
92
APRIL 2020
Nicole Haugen, Principal Software Engineer at Microsoft.
S
tarted in 2016, uCodeGirl, a local non-profit founded to address the shortage of women in technology, has already made a profound impact on students who attend its after school classes and summer technology camps in the Fargo-Moorhead and surrounding communities. “Our vision is to inspire and support girls to become the future face of innovation and computing. To encourage girls to think differently, into the various ways Computer Science solves complex real-world problems so they can chart their own pathways to the T of STEM careers. We tell the young women we serve to come as they are because we believe they already have a natural curiosity, focus, and intellect to succeed in STEM fields.” said Gronneberg, the founder of uCodeGirl.
Bethlehem Gronneberg, Founder of uCodeGirl
Explaining why she founded the organization, Gronneberg stated, “We exist to remove roadblocks for girls that separates them from pursuing rewarding technology careers. Roadblocks such as peer pressure, selflimiting beliefs, and lack of opportunities, mentors and role models. We do this by giving them sustainable opportunities from elementary to middle school to high school to micro experiment with computing/ coding, entrepreneurial activities and confidence-building practices.” Researchers call it the middle school cliff where girls show interest early on but due to the points Gronneberg outlined, they self-select out of programs in school that are STEM centered.
The middle school and high school female students involved in the program receive first-class instruction and mentorship from some of our area’s brightest professionals. Two of the mentors helping out at the Crack the Code: STEM Mentorship for Girls program are Nicole Haugen, a Principal Software Engineer at Microsoft and Linlie Huggans, a Core Developer at SCHEELS. “About three years ago, I was at a point in my career where I was looking to give back in terms of the software engineering industry,” said Haugen. “Obviously, there’s not a lot of females like me. So, I was really looking for a way to improve that. It’s been really important to give back. I got into software engineering because I happened to have a female high school teacher that taught me basic web design and had I not had that role model at a young age, I probably would have been on a different career path.” FARGOINC.COM
93
We caught up with Haugen and Huggans engaged with the girls at the 3rd annual Crack the Code: STEM Mentorship for Girls, occuring on Tuesday nights at 6:00 PM at NDSU College of Business. At this particular mentorship, the girls are participating in an international competition called Technovation for Girls where they brainstorm, design, prototype and implement mobile apps that solve problems in their respective communities. Four groups of girls were each working on different mobile prototype apps ranging from NextMeal app, which connects food banks with people in need to Thrive & Vibe app, to embrace and celebrate cultural diversity. The girls will unveil their respective mobile apps as part of an elevator pitch in front of a panel of judges, representatives from area software companies. As a result, girls will gain skills to plan, take feedback from peers, test & articulate their new ideas
#TrashTag is a growing viral trend where people are cleaning up littered areas of their local communities. 94
APRIL 2020
Mckinley Paul (left) and Linlie Huggan (right) work together as mentor and mentee on their TrashTag app
– all 21st century skills for them to become a creative, innovative & resourceful adult. Mckinley Paul, a seventh-grader at Horizon middle school east campus, is working with her mentor, Huggans, to build an app called TrashTag which will encourage people to get outside and clean up the trash on the streets by giving organization to the TrashTag movement. Paul, who has been attending the uCodeGirl program for three years in a row, began learning to code on her own in the 3rd grade after hearing a talk in class about the importance of coding. Now she has a strong bond with her uCodeGirl mentor, Huggans. “Mckinley and I got along really well last summer when I was a teacher at uCodeGirl Crack the Code: Tech Camp for Girls, so I
asked to work with her as soon as I found out she was a part of the mentoring program. I am also looking forward to teaching again at uCodeGirl 2020 summer tech camp for girls during June 8-12. Mckinley will be supporting young ones as this will be her third time around.” said Huggans. While there are others in the program, like Paul, who seem to know very early on that coding is the path for them, there are others who took time to figure things out. Cynthia Mochoge, a senior at Davies High School and mentee of Haugen, didn’t decide that she was going to pursue a career in computer science until she had experienced the uCodeGirl program and mentorship sessions for a number of years. Previously, Mochoge wanted
to be a dentist before starting uCodeGirl summer camp in middle school at the urging of her father, a Chemist at North Dakota State University. Now, Mochoge is deciding between her father’s employer, NDSU and the University of Minnesota Duluth to pursue a Computer Science degree. “I saw how much of an impact Betty (Bethlehem) had on me
because of how driven she is by what she does,” said Mochoge. “The shortage of women in the STEM fields also gave me another source of inspiration to be in the STEM field.” Meghan Hemmer, a sophomore at Fargo Davies high school, is another student in the program that has been impacted by Gronneberg’s passion. Meghan sparked her interest in coding
Proud parents, Jason and Christina Hemmer, look on as their daughter, Meghan, works
at the age of eight after a trip to the bookstore and finding a book on coding. Meghan’s parents are her cheerleaders. “One day when we went to Barnes and Noble she found a book on Scratch and she just started carrying it around with her,” said Meghan’s mother Christina Hemmer. Seeing her interest, Mrs Hemmer signed her up for uCodeGirl programs. This is her second year attending the mentorship. “I liked video games so I kind of wanted to learn how they were made,” said Meghan.
Photo via uCodeGirl
96
APRIL 2020
Meghan hasn’t completely decided what she wants to specialize in during her postsecondary education, but she’s leaning towards computer science and engineering. To learn more about uCodeGirl and the difference the organization is making, visit ucodegirl.org
Cynthia Mochoge
TRADITION. COMMUNITY. EXPERIENCE.
EQUAL HOUSING LENDER
The
Village Business Institute
One of the biggest investments employers can make for organizational success is to create a culture that encourages and supports employee health and well-being. BY Brady Drake KAYLEIGH OMANG 98
APRIL 2020
Sherri Hasbarger
PHOTO VIA The Village Business Institute
T
he Village Business Institute (VBI) provides a variety of consulting, training and counseling services to assist organizations in this endeavor, including:
• Employee Assistance Program • Executive/Leadership Coaching • Organization Development and Strategic Planning • Workplace Mediation • Human Resource Consultation • Crisis Management Services • Leadership and Employee Training • Career Transition and Outplacement Services • Financial Counseling
Denise Hellekson.
the program since 2003. “The trend that I have been seeing in recent years is that companies are beginning to see more clearly the importance of health and well-being services for their employees,” she said. “We’re getting more and more requests for services to address issues such as compassion fatigue, leadership development, employee engagement and morale, signs and symptoms of depression and anxiety, and how to break down the barriers to getting help.
People are looking for employers that see and value them as people and not just for their skill set or knowledge,” Hellekson said. “In a competitive market, employees are going to choose – and stay with – the employers that provide a healthy work culture that fosters employee health and well-being.”
“Now more than ever, employers are recognizing that creating a healthy work environment and supporting employees’ emotional health is just good business,” she added.
Denise Hellekson, Program Supervisor for The Village Business Institute, has been with FARGOINC.COM
99
(Left) Denise Hellekson, Village Business Institute Program Supervisor, and (Right) Sherri Hashbarger, Director of Marketing and Communications for The Village Family Service Center
While VBI’s consulting and training services are available to all organizations, many companies access these services at a reduced rate as part of their Employee Assistance Program (EAP) contract. The Village EAP provides organizations with training, crisis management services and a Supervisor Helpline to help them meet their organizational needs. The Village EAP also provides confidential counseling services to employees and their household members to address a variety of concerns including emotional health and well-being, grief and loss, relationship issues, personal adjustment issues, financial counseling and concerns related to alcohol or drug use. “People are looking for employers that see and value them as people and not just for their skill set or knowledge,” Hellekson said. “In a competitive market, employees are going to choose – and stay with – the employers that provide a healthy work culture that fosters employee health and wellbeing.”
“I hear from our staff after they respond to a workplace that has experienced a crisis, such as an employee death,” said Hashbarger. “They go in and help these groups process and deal with something that’s often unthinkable. The long-lasting effects of that early intervention cannot be overstated.” Companies can also benefit greatly from using VBI services in less drastic circumstances, such as by hosting a training on-site or encouraging employees to access their counseling benefit. “Employees often comment on our satisfaction surveys how beneficial it was for them to be able to see a counselor at no cost,” said Hashbarger. “I remember one quote that stood out to me: ‘I needed someone to listen to my concerns, give me guidance, and that happened.’”
PHOTO VIA The Village Business Institute
To learn more about The Village Business Institute visit TheVillageFamily.org/VBI
Hellekson said investing in services such as those provided by VBI not only helps organizations improve productivity, it also assists them in recruiting good workers and reducing turnover. Director of Marketing and Communications for The Village Family Service Center, Sherri Hashbarger, has seen VBI’s services be utilized effectively during times of crisis. FARGOINC.COM
101
Non-Obvious Work From Home
Resources By Mike Dragosavich and Brady Drake
Offices are closing around the world and people are working from home. However, that doesn’t mean that things need to slow down. We are currently living in the most technologically advanced time in history and there are a number of resources that can help your business continue to thrive. Mike Dragosavich is the Owner and Founder of Spotlight. As a serial entrepreneur, he is always looking for new ways to improve his business processes, making him the perfect person to give insight on some great tools to use in this time of working from home. 102
APRIL 2020
POSTER MY WALL
UPSTREAM - TROY WHITE
Thousands of Templates for creating quick graphics to update your customers or sales sheets.
From Mike: Troy White from Upstream has provided our team with sessions to help our leadership along with our team learn how to control our professional mindset better. Reach out to troy to see if upstream is a good service for yourself or to provide your team. Troy and I have a 1 on 1 conversation every week and we work through his Upstream program and train my brain to become a better leader and understand the scientific psyche around my path for success.
From Mike: You probably heard of Canva. I would recommend that as well. But Poster My Wall is another really great software that is very affordable and efficient when finding quick templates to design for your company. These templates can be Covid-19 updates, flyers, etc. Super easy to use and it does have video templates as well!)
TINYPULSE
PANDADOC.COM
From Mike: Tinypulse is a company that has some ties to Fargo so I would recommend looking into it if you are looking for software to help collect feedback and engagement from your team while working remotely. This is becoming the new norm in 1 on 1’s and performance reviews. They also allow for more “anonymous” feedback which is always hard to come by.
From Mike: To help make proposals look like presentations. We have used PandaDoc for years. We love it for presentations and proposals. It allows you to create a “content library” so you have all your assets ready to build out a pitch deck or proposal. It also allows you to send your proposals to prospects and they can sign them electronically. I even embed video and other files in the presentation.
FARGO, ND SMALL BUSINESS CORONAVIRUS SUPPORT GROUP ON LINKEDIN From Mike: I started this group on LinkedIn to create a common place for Fargo and ND business owners and professionals to share resources around the pandemic. Most of the resources are around remote workforce tips and tools. Request to join this group and follow along and contribute.
EXPRESS VPN Virtual Private Networks are great for securing internet communications by hiding your IP address and encrypting your network data. This allows users unrestricted access to the web while also cutting down on data theft.
SOAPBOX
AIRTABLE.COM
From Mike: When working remotely we need to put together sales presentations. I have used this tool to make my screen recording look more professional. I can walk a person through a PowerPoint and send it to them in their email using soapbox.
From Mike: I have been using Airtable for five years. It’s a nice complement to Xcel or Sheets when you need to do more and have more collaboration. It’s super easy for anyone to use and it’s great for presentations because the data looks way better and there are many more options to embed photos, checklists and different views of your data.
LUCIDCHART
SCREENCASTIFY
From Mike: We use this all the time. It allows visionaries like myself to create flow charts to showcase our corporate structure, road map of a project, org chart and more. I love Lucidchart and it integrates with so many tools. Great way to show your remote team exactly a map of what your vision is for something.
From Mike: I use Screencastify almost daily. It has a convenient google chrome extension that allows me to record my screen and save as an mp4 or gif. It also has a quick editor to crop or trim the video. I use this when trying to show my team how to use a part of our software or show a prospect a section of a website.
Non-Obvious Work From Home
Resources SPOTLIGHT.SALES
BILL.COM
From Mike: If you are a b2b company and working remotely, you may need more interactive video presentations and graphics. At Spotlight, we launched a service called Spotlight.sales. We work with your team remotely and help build a ton of marketing and sales assets to enable your sales efforts better in the digital environment. Email me if you would like me to send you some examples; drago@spotlightmediafargo.com
From Mike: We have been using bill.com for years and we work with our accounting firm with it. We pay our bills through it, manage our receipts, run AP reports and it integrates with our Quickbooks Online. I have an app and all bills have to be approved by myself and our department managers. I can approve or question bills from anywhere on my phone and it’s super easy.
PRODUCTHUNT.COM
BASECAMP
From Mike: I go to producthunt.com every day. It’s a site that updates daily with different software products that are on the market. It gives me insight into these products and it has a forum under each product where people give their opinions on them. You can filter by topic or collection. Try going to Product Hunt and then hit “topic” in the navigation. I love the PRODUCTIVITY topic. So many resources!
Basecamp is a project management software that we use every single day at Spotlight. Basecamp allows our team to communicate seamlessly across multiple projects and departments. We can’t even begin to imagine how much more difficult our jobs would be if we weren’t using a platform that allows us to track every bit of communication within a project from start to finish. Basecamp also allows us to coordinate with clients inside the application, allowing us to set restrictions on what they can and can’t see.
Bonus Resources Product Hunt Founder Club producthunt.com/founder-club/benefits
104
APRIL 2020
Non-Obvious Work From Home
Resources FOREST Forest is a mobile app that helps users stay focused on the tasks in front of them. What’s more? Users of Forest can spend the virtual coins they earn on Forest to help real trees get planted on Earth through an organization called Trees for The Future. The app works like a game in which users plant a virtual seed in a virtual forest. The seed then grows into a virtual tree if users don’t leave the application in the preset amount of time to answer a text message or do something else that is distracting on their device. The app also allows users to listen to audio content while using the app.
OFFICEVIBE
PELOTON APP
Officevibe is an employee engagement platform used to conduct employee surveys for managers to receive feedback and measure employee satisfaction
Download the Peloton app for unlimited access to running, strength, toning, cycling, yoga meditation and outdoor workouts. Right now, the app is offering a 90-day free trial to users which should be perfect to help you and your fellow employees get through any bouts of cabin fever.
CONTRIBUTED BY DAKOTA BUSINESS LENDING
Right-Brained Workforce Development Strategies
W
ith the workforce shortage in North Dakota, small businesses throughout the state have been working hard
to attract, retain, and develop quality employees. Because of the varying sizes, locations, and industries that exist in North Dakota, it appears as though there is not one “magical” strategy that solves this issue. Small business owners and entrepreneurs are forced to be creative in the way they work to stabilize and grow their workforce like never before. For this issue, we wanted to take a deeper look at how some of North Dakota’s own small businesses used the right-side of the brain
JEFF A
ND MA
PHOTOS CONTRIBUTED BY DAKOTA BUSINESS LENDING
to further develop their workforce.
108
RIA SH
IPLEY
Jeff Shipley - Keller Williams Inspire Realty – real estate company in Fargo, ND
Challenge:
Meeting the ever-changing interests and needs of his 130+ employees to promote staff retention and culture development.
Creative solution:
Offering a community and family-focused approach that emphasizes self-development and role satisfaction. We’re a very transparent company that pours back into the people. By offering over 1,100 training events throughout the year and giving people the freedom to be in a role that best suits them, their needs and their interest. This culture and approach attracts other people because it’s more than work – it’s a family.” – Jeff Shipley, KW Inspire Realty APRIL 2020
KYLEE GEER,
OWNER, MINOT CENTER FOR PEDIATRIC THERAPY Kylee Geer - Minot Center for Pediatric Therapy – occupational and speechlanguage therapy clinic in Minot, ND
We’ve made huge investments in automation in order to stay competitive in our compensation. By automating our bun and donut production, we can produce over 17,000 more pieces an hour with the same amount of people, giving us the financial ability to pay better. In addition, our employees love working for a place that is innovative and where they can become experts in stateof-the-art technology.” -Guy Moos, Baker Boy Lipp, Carlson, Witucki, & Associates, LLC – psychology clinic in Grand Forks, ND
Challenge:
Competing with the work schedule of school-based occupational therapists and speech-language pathologists and recruiting new graduates.
Creative solution:
Visiting with local colleges about job opportunities and offering unique benefits such as four-day work week and short-term disabilities plan. Speech pathologists and occupational therapists are really attracted to the school setting. We’ve had to be more proactive with reaching out to future grads about our clinic and any opportunities. In addition, we have worked to compete with school system benefits by offering a four-day work week as well as a short-term disabilities plan, which helps pay for maternity leave – a big need in a female-dominated field.” – Kylee Geer, Minot Center for Pediatric Therapy
GUY MOOS,
OWNER, BAKER BOY
Guy Moos - Baker Boy – bakery manufacturer in Dickinson, ND
Challenge:
Offering competitive compensation since the oil boom and plummeting unemployment rates.
Creative solution:
Investing in automation and innovation as a way to pay better and stay competitive.
Challenge:
Hiring clinical psychologists that want to work in North Dakota and for a private practice rather than a clinic.
Creative solution:
Changing and rebuilding the clinic’s model to hire social workers and other types of mental health professionals that can meet the need.
Clinical psychologists in town and even in North Dakota are really hard to hire. By opening up our clinic to other types of mental health professionals other than psychologists, we have been able to attract more employees and be a more encompassing medical provider. Personally, reaching out to these professionals made it a lot easier.” - Brenda King, Lipp, Carlson, Witucki, & Associates, LLC The solutions of these four businesses were not something huge and elaborate. Instead, these innovative business owners took a look at the needs of their employees and found a simple solution that coincided with what they value as a company. What we’ve noticed is that, whether it’s a bakery manufacturer, psychology clinic, real estate company or occupational/speech therapy clinic – all of varying sizes and locations throughout the state – perhaps these workforce challenges can be figured out in a new and innovative way. If you’re like these right-brained business owners, you can find creative solutions to these challenges and opportunities for growth that will help move your business forward. Congratulations to these four small businesses and their success! To learn more about Keller Williams Inspire Realty, Minot Center for Pediatric Therapy, Baker Boy, and Lipp, Carlson, Witucki, & Associates, LLC, read their success stories at www. dakotabusinesslending.com/success-stories.
FARGOINC.COM
109
Getting getting Analytical W
hen we hear the term data analytics we often think about how an organization is doing based on the data that they present or share with their stakeholders. When reviewing data, you can start to pull out trends from month to month and year over year. Knowing and understanding the data helps leaders understand the dynamics of their business, anticipate market shifts and manage risks. This data can be critical when new opportunities present themselves and knowing when to grow your workforce or when to take a step back. There are so many ways human resources can partner with organizations and leaders to help them achieve their
overall business strategic goals. It all comes back to the workforce (the people) to help achieve those goals. The Human Resources departments are the gatekeepers of key information that can be used when working with leaders on business decisions. Building a partnership with other business leaders and understanding the organization that you support as a human resource business professional will help you understand what data you can bring to help in specific situations. Below are some of the key areas of human resources and how you can use data analytics to help support and drive new ideas for your organization to have a seat at the table when making business decisions.
Turnover, Retention Rates and Market Data As you’re working with leaders to create a strategy for filling open positions, start thinking about what kind of data you can pull to bring to your planning meeting. Some things I like to start digging into are turnover rates, retention rates, market data and unemployment stats for the specific roles and states you are going to be recruiting for. I would also suggest looking on local job boards to see if other companies have the same or similar job openings and what they are paying and offering as benefits. Having this information helps you think about what things you want to highlight when preparing the posting and when engaging with candidates. You can also pull data from the last time you posted the position and recap what worked, what didn’t work, and if there were any top candidates that you could proactively reach back out to. Bringing data with you to these conversations help you make decisions based on facts.
Employee Drivers Understanding and knowing what drives employees to stay with your organization is key.
110
APRIL 2020
We have four generations in the workplace so understanding what each generation is looking for will help drive the different programs your organization will need to maintain or develop. Reviewing data from stay interviews or doing mini focus groups with your employees will help you determine what path you want to take. Having the data to show the impacts of investing in your employees will help you influence senior level leadership when presenting ideas such as leadership, mentorship, and other training opportunities.
Compensation & Benefits Having high-quality compensation and benefits programs are essential in not only retaining top talent but also in recruiting top talent to your organization. Understanding what is important to your employees can be found by conducting pulse surveys, focus groups and new hire surveys to understand where you stand from a benefit and compensation perspective. Using the data that you receive will help you understand what areas of opportunities you have. Combining this data into a total rewards packet will help you educate your current employees so they understand the value of their total compensation package and will also help recruit the top talent you are looking for.
Workforce Planning Workforce planning data is one of the most important pieces an organization can put together to help drive and meet their key performance indicators. Knowing when your long-term employees are approaching retirement and what the hiring needs are of each area can help determine what the future staffing needs will look like to accomplish company goals. Forecasting staffing isn’t something that is new, finance professionals do that from a month to month or year to year basis when projecting where an organization might end up and what it takes to get to their financial goal. Data helps organizations digitize their processes and improve their customer service interactions. From enabling businesses to make consumer oriented marketing decisions to help them address key operational inefficiencies, analytics is radically changing the perception towards the importance of data. Using data will not only help business leaders make the best decisions but will also help make drive performance. In summary, if you haven’t already, I challenge business leaders to start asking for data as it relates to your workforce. It will in return help you make better strategic decisions and continue to move your company forward.
Melissa Erdmann, FNP Jaeda Ertelt FNP
Sarah Baker, FNP
IN GOOD COMPANY: Agricultural Innovation and Construction in Downtown Fargo
W
ith the opening of their new Downtown Innovation Studio, Doosan Bobcat is making a bold statement: that the future of agriculture and construction is happening in Downtown Fargo. There is plenty to see in Downtown Fargo: eateries offering everything from pizza to pho, a different colorful mural to admire around every corner, the legendary Fargo Theatre marquee shining above it all. But perhaps what’s most exciting about Downtown is what you don’t see. Behind the walls of some of our city’s most iconic buildings, an agricultural revolution is brewing. Within a span of seven city blocks you will find Emerging Prairie, the organization
spearheading the Grand Farm initiative; Bushel (formerly Myriad Mobile), an ag software company developing world-class applications for grain retailers and growers; R.D. Offutt Company, a family-owned and operated company, based in Fargo, N.D., comprised of business entities in the agriculture/construction equipment, farming, real estate/development, and food production industries; and now Doosan Bobcat, a global market leader in compact construction equipment. In October 2019, Bobcat opened the doors to its new Downtown Innovation Studio in the historic Black Building, located at 118 Broadway. Bobcat is not a new name here in Fargo. The company was founded more than 60 years ago, right down the road in Gwinner, North Dakota, and has grown into a $4 billion-a-year global business.
BY Katie Beedy for Kilbourne Group PHOTOS BY Kilbourne Group
114
APRIL 2020
But as one of the most recent businesses to make the move to Downtown, Bobcat is making a bold statement: that the future of agriculture is happening in Downtown Fargo. “We’re the people out looking at the new, farreaching technologies,” said Joel Honeyman, VP of Global Innovation at Doosan Bobcat. “I think people would be shocked to know that a lot of all of that development globally is done right here in Fargo, North Dakota, at our Downtown Studio.” Deciding on Downtown Fargo The goal of The Studio is to accelerate the development of new technologies by encouraging hands-on collaboration in a high-tech environment. While scouting out potential locations for The Studio, Honeyman
traveled across the country, benchmarking similar facilities from Seattle to Silicon Valley. What stood out to him most in these larger cities was the networking taking place between industry leaders. “What we want to do is really create a collaborative environment to enable teams to work together along with outside partners, outside third parties to really develop these new solutions faster for the marketplace,” Honeyman said.
Working In Good Company
blocks away, their teams can meet daily.
With its wide-open floor plan, abundance of natural light, and close proximity to other agtech companies, the Black Building stood out as the perfect location for the collaborative high-tech workspace Honeyman envisioned. In the few short months since Bobcat opened the doors to the Downtown Innovation Studio, the company has already found several opportunities to be In Good Company.
“I don’t think we would’ve been able to do that at a different facility, to be able to have an environment like this and to share our culture and our vision for what we want to do,” Honeyman said. “Just inherently, being together daily, we are going to get more stuff done than having a weekly conference call.”
It became clear that in order to stay on the front end of new technologies, Bobcat needed to be where the action was. They needed to be downtown.
“We have Bushel, one of our partners, a block and a half away,” Honeyman said. “So one of the things we’re doing here at this facility is, those employees and our employees can go back and forth with our partners.”
“Downtown Fargo has really changed, the renaissance of businesses that are moving into downtown I think has led to a lot of companies like ourselves taking a look at downtown Fargo and saying ‘Hey. It’s a great fit,’” Honeyman said.
Bobcat’s headquarters are along I94 in West Fargo. Previously, if Honeyman and his team were collaborating with outside groups like Bushel on a project, they could only interact face-to-face in weekly meetings or video conferences. Now that they are just a few
We chose downtown because we really wanted to create a connection to a lot of the different companies and culture that’s part of downtown in order for us to attract talent, but also to attract partners and people that we want to work within our technologies.”
In February, Bobcat hosted a roundtable discussion at the Downtown Innovation Studio that was attended by Scheels, Sanford Health, Marvin Windows, North Dakota State University, and Bushel. That event was just one of many to come. In partnership with Emerging Prairie, Bobcat will be hosting a series of peer group sessions with key area business leaders. “If Fargo-Moorhead is going to put itself on the map, if we as a community are going to be able to grow this region and grow agriculture and grow technology, then we need to collaborate and work together,” Honeyman said. “There’s no reason for me to get on an airplane once a month to go fly to Silicon Valley when I can collaborate with other companies right here in FargoMoorhead, and be able to do that right here at the Black Building.” Industry leaders like Bobcat are choosing downtown Fargo to enhance their company culture and to attract and retain the region’s best talent. Put yourself in good company; visit officedowntownfargo.com to view the Kilbourne Group’s available commercial spaces.
FARGOINC.COM
115
116
APRIL 2020
Q It sounds like you keep very busy! How do you manage your time and energy? A My days go by in the blink of an eye and that’s because I’m doing things that bring me fulfillment. That doesn’t mean it’s always fun; a lot of the time it is hard work. You can find me cursing loudly in the kitchen during the middle of the night from time to time because quite frankly I would rather be sleeping. But it all goes back to gratitude. I’m so thankful that I have so many cake orders I can hardly keep up some weeks. It’s still not easy, and I have to say no sometimes. You have to do what is best for you at the end of the day.
Q What is charity: water? A Charity: water is a non-profit organization bringing clean and safe drinking water to people in developing countries. 785 million people live without clean water. That’s nearly 1 in 10 people worldwide or twice the population of the United States. The majority live in rural areas and spend hours every day walking to collect water for their family. Not only does walking for water keep kids out of school and take up time that parents could be using to earn money, but the water often carries diseases that make them sick. When a community gets access to clean water, it can change just about everything. It can improve health, increase access to food, grow local economies and help kids spend more time in school. charity: water works with experts and community members to find the most sustainable solution in each place, whether it’s a well, a
piped system, a BioSand Filter or a system for harvesting rainwater. And with every water project they fund, charity: water’s partners coordinate sanitation and hygiene training and establish a local Water Committee to help keep water flowing for years to come. Q When & why did you get involved with charity: water? A I first heard about the clean water issue as I was reading “Start Something That Matters” by Blake Mycoskie, founder of TOMS Shoes. Months down the road, I learned that Scott Harrison, the founder and CEO of charity: water, would be speaking at a public event in Fargo. After hearing Scott, I was hooked. I could not unsee the video he showed us that day. I was so captivated and mad and heartbroken, but also eager to make waves. In 2013 I celebrated my birthday with a fundraising campaign for charity: water, and I’ve done four campaigns since. These
BY KATIE BEEDY, LADYBOSS AND WRITER AT TELLWELL
Kayla Houchin is best known in the F-M as the woman behind Indulgence Baking Co. But when Kayla isn’t whipping up delectable cakes and mesmerizing macarons, she’s devoting her time to charity: water, a non-profit working to end the clean water crisis around the globe.
Q In a brief summary, what do you do? A I get to spend three hours each weekday with Kindergarten through second graders teaching physical education at Oak Grove Elementary School. I also own Indulgence Baking Company, where I take custom orders and teach baking classes. My main focus is weddings, but you can celebrate any event or day with a cake! I spend my free time volunteering for my favorite organization, charity: water. I’ve always been generous with giving my time to organizations that I’m passionate about and charity: water certainly tops that list.
FERNWEH + LIEBE
Kayla Houchin
goldmarkcommercial.com
701.235.2900 | commercialinfo@goldmark.com
GOLDMARK COMMERCIAL REAL ESTATE IS ONE OF THE MOST EXPERIENCED COMMERCIAL BROKERAGE FIRMS IN THE REGION AND OFFERS A VARIETY OF SERVICES INCLUDING:
birthday campaigns have raised over $25,000 for clean water thus far. Q Tell us about the event you are hosting in May 2021! A A few months ago I came across a notebook from 2014 and one of the things under my to-do list was “email Scott Harrison.” My email to Scott was quite bold, and the gist of it was that I wanted to bring him back to Fargo. I honestly didn’t expect him to respond, but nearly five weeks later, he did. I’m happy to announce that Scott will be making his way back to Fargo on September for the inaugural Fargo Gala supporting charity: water at The Pines! Scott will be the keynote speaker, and he will be joined by local rockstar Sawyer Anderson, the author of “Water Works.” Sawyer is 10 and one of the most accomplished humans I have ever met. I first learned about her heart for clean water as her physical education teacher last year. Sawyer has raised over $100,000 for clean water. Tickets, table sponsorships, and event sponsorships are still available for the Fargo Gala! If people are interested, they can contact me directly at 701-3418952 or induglencebakingco@ gmail.com, or find tickets on Eventbrite.
Q Who is your hero and why? A I better chose one, although a few come to mind! Scott Harrison is an absolute hero of mine. He has dedicated his life to ending the water crisis and has done more for this planet than most. charity: water supporters have given over 11 million people clean water in 14 years. What I love about Scott is that he wants zero credit. He’s one of the most humble people I have met. charity: water has taught me that nothing is crazy, pushed me far beyond my comfort zone into my growth zone and has shown me a bigger picture. I have Scott Harrison to thank for all that. Q What is the best career advice you have ever received? Or, what’s the best advice you have to offer? A What motivates me the most is knowing this is all I get. This one shot at this one life. One of my college buddies used to always say “be about it, be all in” and it’s become a motto for my life. Find your passions and no matter how long or difficult the journey might seem, put in the work and chase that passion with everything you have. Passion fuels everything I do and leads to serving others. I feel like the luckiest girl in the world some days, and I truly hope you do too.
• Sales and Leasing Brokerage • Business Brokerage • Site Selection and Tenant Representation • Data-driven Property Analysis • Investment Services • Build-to-suit and Leaseback • Ag Land Sales and Auction Services • Partnership Ventures and Project Consulting
goldmarkcommercial.com
701.893.3839 | design-info@goldmark.com
PROVIDING EXTENSIVE ARCHITECTURAL DESIGN AND DEVELOPMENT SERVICES. Architectural • Master Planning • Construction Documents • 3D Imagery • Owner’s Representative • Cost Estimating Development • Entitlements • Land Planning • Site Design and Evaluation • Public Meeting Representation • Subdivisions/Plat 1711 Gold Drive, Suite 130, Fargo, ND 58103
5Questions WITH JOHN MACHACEK
J
ohn Machacek, Chief Innovation Officer for the Greater Fargo Moorhead Economic Development Corporation, has worked with countless startups throughout our community over the past seven years. He knows their ups, their downs, but most of all, he knows the questions to ask them. Here is John Machacek’s 5 questions for Wanido, a company making waves in workplace well-being.
BY John Machacek PHOTO BY Kayleigh Omang
120
APRIL 2020
1 Tell us your Wanido elevator pitch Wanido “wanna-do” is a workforce well-being and engagement platform. We deliver personalized insights to equip employers and employees with the tools to influence change where it’s needed most. We are the only platform that motivates employees to engage in culture, health, and personal finances. Wanido provides individualized resources to manage health, tools to keep finances on track and a user-experience similar to social media platforms to encourage company-wide engagement. Aggregate reports and dashboards allow employers to see where their organization has opportunities to improve. Wanido was founded under the philosophy that when employees are happier, healthier, and more financially secure – so is the employer.
2 Why does an employer need Wanido? Turnover is costing employers billions of dollars every year. Many organizations are attempting to solve this problem with incentives and achievement rewards, but it’s not working. Employees are more apt to stay when they feel valued at work and connected to their colleagues, and when the programs being offered match their needs. We believe the key to retention and success is to engage employees while investing in their personal well-being. Companies with strong employee engagement are 21 percent more profitable and have 2.5 times higher revenue growth. Furthermore, the rates of presenteeism and absenteeism go down dramatically when employees improve their physical and financial wellness. Wanido provides a solution that benefits all employees, at all hours of the day, across all divisions and locations. It unifies your workforce and helps everyone become happier and healthier. More engaged employees means better business results.
3 You’ve developed a Cost of Disengagement calculator. What is that? The disengagement calculator looks beyond annual surveys and turnover rates to expose the true financial impact due to lost productivity and absenteeism because of personal factors like health and financial distress. We wanted employers to see these hidden costs, so they can fully appreciate the potential savings using our holistic engagement and well-being solution.
4 If you could go back in time to Troy from a few years ago, what hindsight advice would you give yourself? It’s never too early or too late to pursue your dreams. Find a passion that you think will change the industry and don’t be afraid to follow that idea. Get the advice of other entrepreneurs and business leaders and boldly take the next step. My schedule is very busy, but forcing myself to take more time meeting and building deeper relationships with local mentors has proven to be really valuable. Our community is blessed to have many successful businesses and leaders and most are willing to share their knowledge and experiences.
5 What can we do as a community to help Wanido succeed? Providing a positive culture, and encouraging employees to take care of their health and finances can change the outlook for generations to come. We all have a role to play in contributing to a happier and healthier workforce and it starts at the top. Don’t underestimate your role if you are a business leader. Take care of your personal health, understand what positive culture means to your workforce, and recognize that half your employees are likely living paycheck to paycheck. Bring them the tools they need to succeed.
About John: John Machacek has been helping local startups with the Greater Fargo Moorhead Economic Development Corporation since Prior to his position with the GFMED, Machacek was the VP of Finance & Operations at United Way of CassClay and a business banker at U.S. Bank.
We work with mid-sized employers across the U.S. but we always appreciate opportunities to work with employers in our own backyard. If your business believes your employees are your greatest asset, contact us to schedule a demo and find out more about our 30day free trial program.
PHOTO BY Hillary Ehlen
FARGOINC.COM
121
GARY USSERY
Academic Insight
How LMX can help businesses recruit and retain employees
BY Shontarius D. Aikens, Ph.D., Assistant Professor of Management at Offutt School of Business at Concordia College 122
APRIL 2020
I
’m a huge college football fan. And I love to follow the early signing period for college football teams across the country. During the most recent early signing period, one of the nation’s top college football recruiters was asked a question during a press conference about why he was so good at recruiting. His response: “Well, I am just who I am. I hope I’m brutally honest and direct to the point. he whole thing about it is that we try to recruit so hard that it’s almost impossible and to have that relationship that they just can’t tell you ‘no.’” I found this statement intriguing, because there are similarities between the recruiter’s quote and the findings of the 2015 State of the American Manager report published by the Gallup Corporation: “Great managers build relationships that create trust, open dialogue, and full transparency.”
Recruiting talented employees is one thing; retaining them is another. I think the key to doing both well lies with a manager’s ability to build good working relationships with employees. Throughout my career, I have seen how work relationships with both great managers and bad managers affected individual employees and the organizations as a whole, sometimes for the better and sometimes for the worst. And because of those experiences, this was a motivating factor for me when selecting a topic for my dissertation -Leader-Member Exchange (LMX) -- and how that concept could make a positive difference in organizations. If you are a manager in the local Fargo-Moorhead area looking for a way to develop a sustainable competitive advantage when it comes to your recruiting and retention efforts, I hope this information will be beneficial to you and your organization. What is LMX? LMX is a concept that examines leadership based on the quality of the relationship between a supervisor (manager) and a subordinate (employee). A few essential points to understand: • 1 to 1 relationships (or dyads). Instead of focusing on the overall relationship that a manager has with all the employees in their scope of authority, LMX focuses on the relationship quality between the
To see all of Aikens’ sources and references, read the article at fargoinc.com.
manager and each employee in their scope of authority. For example, if a manager has 5 direct reports, there would be 5 manageremployee relationships, or dyads, that would be evaluated. • Each manager-employee relationship (or dyad) is unique and different in terms of quality. The quality of a manageremployee relationship can range from being classified as high quality (“mutual trust, respect, liking”) or low quality (“low trust”). • In-Groups and Out-Groups. Employees within a manager’s scope of authority can be put into groups based on their relationship quality with the manager. Employees that have high quality relationships with their manager are considered to be in their managers’ In Group. Employees with a low quality relationship with their manager would be considered part of their manager’s OutGroup. Since every manager-employee relationship is different in terms of relationship quality, the ultimate goal is for a manager to build a strong positive high quality relationship with every employee in their scope of authority. What makes up LMX, or relationship quality? While there are several inventories created by academic scholars to measure LMX, or relationship quality, my favorite is the LMX-MDM inventory, because it describes relationship quality using four different dimensions, or components: • Affect: Interpersonal attraction based on friendship, rather than work or professional values. • Loyalty: Expressing support for the goals and defending the personal character of the other person. • Contribution: Willingness to go above and beyond what is required for work activities. • Professional Respect: One’s internal and external reputation of excellence, professional skills and experience in their line of work. Using the LMX-MDM framework to describe work relationships is beneficial for two reasons. First, it can help a manager understand the complexity and the makeup of existing manageremployee relationships. For example,
some manager-employee relationships could be based on one dimension (100% Professional Respect), while others could be based on more than one dimension (75% Professional Respect; 25% Affect). Understanding and being able to describe the foundation of a current working relationship is an important starting point for improving that manager-employee relationship if needed. Second, it gives a manager a mental model for developing future manager-employee relationships. A mental model is simply a representation of something real, hypothetical, or an imaginary situation. Mental models are important, because by shaping what a person sees or looks for, it affects and influences what a person will do. It also enables individuals to make decisions and take actions on events and situations that could occur in the future. So in this case, managers can use this LMX-MDM framework to determine the best ways to develop initial manager-employee relationships with future employees. Why would LMX concepts be beneficial to my organization? Are the following organizational outcomes important to your organization? • Employee Job Satisfaction • Employee Commitment • Reducing Employee Turnover • Overall Employee Satisfaction • Organizational Citizenship Behaviors • Organizational Commitment • Job Performance If you circled one or more of these items, then understanding LMX would be beneficial to your organization. Why? Because over the years, LMX researchers have consistently found positive correlations between LMX and organizational outcomes on this list. In other words, when the manager-employee relationship quality improved, so did the organizational outcomes. How can I use LMX leadership theory concepts and principles in the workplace? Below is a template I created that managers can use to start examining the quality of relationships in their scope of authority. (Note: The blank lines represent a place for the manager to include the name of their employee, or direct report):
1.
What is the quality of my current relationship with _________?: Using a scale of 1-10, with 10 being the highest quality, rate the overall quality of the relationship based on the manager’s perspective. Be sure to jot down notes and comments for the rating.
2. When considering the different dimensions of a relationship (Affect, Loyalty, Contribution, Professional Respect), what is the makeup of my current relationship with _________? Which dimension(s) are present?: Determine which dimension(s) best describe this relationship from the manager’s perspective. It is possible that two or more dimensions could be present. 3. Would _________ agree with my description of our relationship?: The first two questions examine the relationship from the manager’s perspective. The third question considers that the employee may have a different perspective than the manager. Best practices suggests examining manageremployee relationship quality from both the leader’s and the follower’s perspectives. In order to accomplish this, a manager could ask each employee to complete the first two questions on their own. Then, comparing the responses of the manager and the employee would identify any similarities or differences in order to more accurately understand the manager-employee relationship quality holistically.
For more information on LMX leadership theory and how to formally implement this within your organization, or to submit questions you would like answered in future editions of “Academic Insight”
Email Dr. Aikens at:
saikens@cord.edu FARGOINC.COM
123