August 2016 ibaw magazine

AUGUST 2016 August 8th

August 19th

Sales Roundtable “Building a Powerful Advantage - In Steel Mike Wabiszewski, President & CEO, Maynard Steel

Dealing with Cheapskates

Inside This Issue:

KORTES: DEATH MARCH OR ORIENTATION?

KEATING: 15 IMPORTANT POINTS IN THE GOP PLATFORM ON TAXES AND REGULATIONS

SEROKA: ENVISION YOURSELF IN THE SHOES OF THE MILLENNIAL EMPLOYEE

Networking matters

At AT&T, we know that making connections is critical to success. In Wisconsin and across the nation, we link businesses with their customers and the world through our wireless network with access to the nation’s largest Wi-fi network. It’s just another way we help our customers stay connected.

AT&T is proud to support the Independent Business Association of Wisconsin.

© 2014 AT&T Intellectual Property. All rights reserved.

IBAW thanks AT&T for it’s continued sponsorship.

IBAW MEDIA LINK The surprising habits of original thinkers _________________________________________________________

How do creative people come up with great ideas?

Organizational psychologist Adam Grant studies "originals": thinkers who dream up new ideas and take action to put them into the world.

Executive Director Steve Kohlmann President Jim Leef ITU AbsorbTech Secretary Dan Hansen Waukesha State Bank President Elect 2015-16 Craig Coursin Stier Construction VP. State & National Programs Charles Fry Baird Treasurer Casey Malek Sikich Directors

To watch, click here.

Ann Barry Hanneman Simandl Law Group S.C John Weber Hypneumat Je Homan Boerke Co. Richard Blomquist Blomquist Benefits Lisa Mauer Rickert Industries Tom Boelkow BSI Design, Build, Furnish Robert Gross Gross Automation Scott Seroka Seroka Brand Development

IBAW Mission: To advance business prosperity through insightful programming, executive networking and member-driven public policy and advocacy.

Wisconsin MANUFACTURING Summit 7:00 AM - 9:30 AM Wisconsin Club Ballroom, 900 W. Wisconsin Ave. Milwaukee

Edward Bogle,

September

16

Senior Investigator, U.S. Dept. of Labor

“What to Expect From a DOL Audit”

Key Presenter: Tim Sullivan, CEO, The REV Group

“The Optimism of Wisconsin Manufacturing” Event Sponsors:

POWERED BY:

Register at IBAW.com

Friday, August 19th, 2016 Building A Powerful Advantage In Steel The success and challenges of a multi-generational family business

Mike Wabiszewski, President & CEO, Maynard Steel

A three generation family business started in 1913, Maynard Steel Casting Company occupies 13 acres with 460,000 square feet of manufacturing space under one roof producing castings up to 65,000 lbs for a worldwide market.

While product engineering technology and innovation plays an important part of production, physical production from Maynard's workforce is built on pure American muscle and true grit determination helping it survive for over 100 years in a highly competitive national and foreign market.

LOCATION

THE WISCONSIN CLUB 900 W. WISCONSIN AVE. MILWAUKEE

7:00 AM

REGISTRATION & NETWORKING

7:30 AM

BREAKFAST & PROGRAM

9:00 AM

PROGRAM ENDS

IBAW Members: $32.00 Guests: $42.00 Includes plated breakfast • Attire: Business Professional

Registration now open! Click here.

Behind the Scenes: The Amazon Factor Steve Kohlmann, IBAW Executive Director

Every so often, IBAW arranges tours of a business or facility that you normally could not get access to.

We call it “Business Behind the Scenes” and it’s a great way for our members to gain insight and experience other business firsthand. We’ve done tours of Caterpillar Heavy Mining, Mitchell International Airport and others. As director for the IBAW, doing this type of event is my favorite because we get to see and experience things we normally wouldn’t have access to.

Last month we had our fourth behind the scenes event - the new Amazon Fulfillment Center in Kenosha. You can’t help but notice the Amazon building when you drive past it on I-94. It’s so massive that it commands your attention and when I saw it I knew we had to get into it to see what it was all about.

Amazon is almost the complete opposite of any small business which makes up most of the IBAW membership. Amazon is a publicly held company (not private), employs thousands of workers (not dozens) and is housed in building so mammoth that just the energy bill alone would probably cripple a small business.

Our two hour tour was nothing short of amazing. There are experiences in life that, when they occur, defy words or descriptions. You’re left to stand there and babble out some type of explanation that might accurately describe the event. Then you just throw up your hands and say, “You just had to be there.” These are the type of experiences that leave a big impression on you and you’re at a point where words simply cannot convey the experience. It’s the size, complexity and logistics of Amazon that are so overwhelming.

The vast row of mobile shelves stretch to infinity in a warehouse area that looks like something out of a sci-fi movie, while small floor robots hum and blink while they slide underneath the shelves, jack them up enough to clear the floor and then wisk them away to their destination; in line with other robots waiting for a human to pick a product out of one of their many bins and into a yellow tub where the order will be whisked away to a boxing station. The place runs like this 24 hours a day, 365 days a year. And while you walk through this, you realize this shift of 900 or so workers don’t really make anything. They just ship stuff. Lots of stuff. And people are buying all this stuff. And how fast is ordering? From the time you hit the “Place my order” button to the time it gets to the shipping truck is about 15 minutes. The facility employs about a 900 workers per shift and will double in size with during peak holiday times.

You can probably imagine what over a million square feet looks like but to experience the organized chaos firsthand is overwhelming. And even at a million square feet it’s already filled. And if you doubled it, it would be filled again.

Mind numbing logistics that seemingly only a giant, like Amazon with an endless supply of cash, can execute. No problem is too big when you’re able to shovel an endless supply of cash for a solution into the furnace like coal shovelers in the engine room of the Titanic. Light off the boilers and shovel in another $100 million!

It took me over a year to arrange this event. Even though the Amazon facility is over a well over a million square feet and is right next to I-94 you would swear that it’s locked up tighter than Area 51. I think that has to do with this place is very busy, there’s a lot going on. It runs like a two ton 1967 Buick with the gas pedal stuck to the floor - woe to those that get in the way.

Business Behind The Scenes: Amazon Tour They simply don’t have time to do tours. When I inquired about a tour, I was told they would be happy to give a tour of a Amazon Fulfillment Center “there’s one in Indiana you can go through.” That seemed a little inconvenient.

Though a series of connections, persistence and lighted candles in church, the tour became reality. It wasn’t easy. In fact, there were several times when this event was put on hold as it wove its way through the upper echelons of Amazon management. But we pulled it off and I’ve been asked countless times how I managed it. There’s an old saying about how a good magician never reveals how his secrets...so I’ll remain silent.

Wondering what it was like?

Here’s a short video from a news station that is very similar to our tour:

Link to video.

Safety first! Our group of 30 donned the orange safety vests which all Amazon employee wear. Our tour lasted the full 2 hours and covered all aspects of the Amazon facility.

While cameras were not allowed on the tour, I found this photo on the web of a similar Amazon facility. The size and complexity are similar: HUGE.

: S E L A S

2nd Monday of the Month SALES ROUNDTABLE 7:30 am - 9:00 am Free & open to IBAW members only Register at IBAW.com

Sales can be a tough road of ups, downs, potholes and a few bumps.

But it can also be fast paced, exhilarating and rewarding.

If you’re in sales, you know there are things only other sales people understand; the thrill of scoring the big account, the uncertainty of “let me think about that.”, the frustration of phone calls or emails that don’t get returned. IBAW’s Sales Roundtable is a support and knowledge resource for sales professionals, business owners, marketing and branding experts who are charged with driving sales.

Join us to discuss the strategy, tactics, inspiration, and motivation to increase sales. It’s a FREE benefit of your membership!

Who should attend: • Sales professionals of any level.

• Business owners • Sales Managers • Marketing & P.R. Professionals

“For many years I ran sales meetings for as few as 3 and as many as 22 sales rep’s now I can go as a participant once a month to IBAW’s Sales Roundtable.

BONUS! Join the IBAW Sales Roundtable and get a compact disc with the BEST in Sales Survival Music. Play it to pump you up before that big meeting or to console you if you hit a sales slump. Guaranteed to make life better.

It’s a focused meeting and everyone wants the same thing – to be more effective at selling.”

- Jerry Wick, CEO, Custom Data Too Mail

Welcome to our newest IBAW Members!

Vx Group Eric Zoroski W61 N491 Washington Ave. Cedarburg, WI 53012

Milwaukee Truck Service Tom Helmers 16605 W. Victor New Berlin, WI 53151 262--393-1010

414-377-3161

www. milwaukeetruckservice.com

www.thevxgroup.com

Who helped WISCONSIN BUSINESS advance the most last year?

While political candidates spend your contributions on media attack ads, mailers or robo calls, IBAW invests contributions to help businesses like yours. Our monthly meetings, sales roundtable discussions, white papers, web development or video messaging keeps you, your business - and your team - informed, updated and inspired.

Last year, IBAW tackled issues such as workforce development, employee retention, restrictive business regulations, sales, marketing, human resources, leadership, manufacturing logistics, and Wisconsin exporting.

Your support of IBAW through membership, sponsorship and other financial contributions helps Wisconsin business at a grass roots level.

THANK YOU!

MESSAGE FROM THE BOARD

Scott Seroka Get Involved with IBAW If you are a CEO, entrepreneur or on the leadership team of your company and would be interested in aligning yourself with an organization that was formed to exclusively serve the needs and interests of small business, I encourage you to join the IBAW. For you existing members, take advantage of the stimulating programming, conversation and personal interaction at IBAW events. As our executive director says, “Get out of that business bunker!”

I am a partner in a small, family-owned brand communications business, and I also serve on the IBAW’s Board of Directors and membership committee. I have been active in quite a few different local business groups, and the IBAW has proven itself to be one of the best and most valuable to me.

One of the many things I value about my membership is that our Executive Director is able to consistently recruit high-profile leaders in the business and political communities to speak about timely issues at our monthly events. And, because we are a smaller group by design, I have the opportunity to personally meet and talk with the speakers before or after each event, further enriching my experience.

“For you existing members take advantage stimulating programming, conversation and personal interaction at IBAW events.”

I also appreciate that the IBAW provides an ideal environment and culture for business leaders to make meaningful and valuable connections with one another – not one where salespeople looking for fresh leads arrive with a stack of business cards to pitch attendees for business. For this reason, I have met a lot of great people, some of whom have become good friends as well as strong, valuable business connections.

In addition to the quality of the speakers the IBAW recruits and its many networking opportunities, I also participate in its monthly sales roundtable where sales professionals discuss strategies and best practices for winning and retaining new business.

When there is an event of interest or a roundtable I cannot attend, I know that I can always send someone else from my team.

Board Stats Name: Scott Seroka, Certified Brand Strategist Company: Seroka Brand Development Website: Seroka.com Member Since: 2014 Joined Board: 2016

Death March or Orientation?

Jeff Kortes, Human Asset Management, LLC.

As an employee retention speaker and employee retention expert, I talk about how crucial the first 30 days is in the employee retention process. Statistically, 30% of the people make the decision to stay or leave in the first 30 days. They might not leave but they will make the decision in that 30-day period. With that in mind, I focus on what I call the “30- day experience.” Part of your retention strategies should be to make that first 30 days a positive experience so that people want to stay.

Recently, I was speaking with a young millennial about his experience in orientation on the first day of his summer job doing research at a university. Orientation consisted of sitting in a room and watching 8 hours of video. Several others were with him. The boredom factor was beyond comprehension. Several people with him in the room even fell asleep. All of them walked away shaking their head in disbelief.

Had they not needed the job, they probably all would have quit because none of them want to work in a boring, mundane job in an institution that can’t do orientation properly. Even they realize this is NOT how to do orientation and have people learn, much less create an experience they would want to repeat.

Don’t get me wrong. I realize not all learning is fun and games but as an employee retention trainer, you have to at least try to spice it up a bit. Sadly, this is what “onboarding” looks like in many organizations. If you want to have new employees view the organization as a place worth working in long-term, you need to get innovative, throw in some variety and actually use adult learning techniques. It’s not just about checking the box on the orientation form, it’s about learning so they can do their job right and view the employer as a place they want to work.

Given this experience on the first day, this young man is seriously dreading what the rest of the summer might be like. His mind is geared toward a boring, unfulfilling job. If this weren’t just for the summer, he would seriously be looking at how quickly he could get out of this job.

In his mind, this was more like a death march than an orientation! __________ Jeff Kortes is an IBAW member and he operates Human Asset Management, LLC. He can be contacted by email here.

Envision Yourself in the Shoes of the Millennial Employee Scott Seroka, Seroka Brand Development Let’s get the obvious out of the way – the sky is blue and Millennials are addicted to technology. Next…

Sometimes, one of the best ways to understand other people and other generations is to place yourself in their shoes. So, stick with me on this – if you were a hard-working, intelligent, well-educated Millennial with bragging rights to noteworthy accomplishments and achievements, you would have many reasons and every right to be frustrated.

The Millennial generation has been, and continues to be relentlessly researched, talked about, and grouped into stereotypes that are mostly negative, often times over-exaggerated and perpetuated through online and offline conversations. Because of this, some employers have been soured to the thought of hiring Millennials before even meeting them. And, may I say that they do so at their own peril.

There is a substantial amount of empirical research and data that prove the attitudes of many Millennials are not much different than the attitudes held by other generations as they entered the workforce.

It’s important to keep in mind that every generation is a product of their environment and upbringing, and employers must first need to understand why Millennials think and act the way they do before judging them. During their most impressionable years, Millennials witnessed terrorist attacks (9/11) and school shootings, felt the effects of financial turmoil in the markets through their parents, and were very aware of corporate deception and a double-standard justice system. Add to this the poor examples set by once revered celebrity and political figures who were later caught lying, cheating and living unethical lives. It’s no wonder Millennials are skeptics of people, corporations and government, desire transparency, and want to play an active role in making the world a much better place.

If you are from the Gen-X or Baby Boomer generation, you, just like Millennials, probably thought you knew more than you actually did. You probably wish that you had a mentor, or a coach to help you succeed in your job. You probably appreciated getting feedback on your performance more than once each year during your review. If you had an autocratic boss or micro-manager breathing down your back, you probably hated it, and copped an attitude when you were told that you “didn’t know anything yet” while performing rote, brainless tasks for longer than you thought fair. And, you also appreciated it if and when you were given opportunities to spend more time with your family and pursue your personal interests.

Today, we are much more knowledgeable about the significance of E.Q. (Emotional Intelligence/Empathy Quotient) leadership and understand what it takes to inspire employees to give us their best every single day. Twenty years ago and beyond, many CEOs and other leaders weren’t nearly as cognizant of how much employees wanted and desperately needed to know that they were doing meaningful work while making a positive difference in the lives of the company’s customers. Many CEOs and leaders failed to consider that there was much more to employee motivation than competitive salaries and benefits. They didn’t realize that productivity, innovation, morale, efficiencies, effort, engagement, passion and a desire to hit corporate objectives was one-hundred percent directly connected to the quality of their leaders. It’s E.Q., not I.Q. Culture trumps strategy. We know this now, or at least most of us do.

We are experiencing an evolution – not a revolution – and on this continuum, we must learn and adapt to knowledge we acquire. Millennials are smart. Some even brilliant. So brilliant, in fact, that more than 25% of millionaires are Millennials.

They are globally connected, they are “on” to any company or individual that tries to deceive, and thanks to the Internet, they can acquire instant knowledge on just about anything they can shake their iPhones at.

By the year 2025, Millennials will make up 75% of the workforce and will have billions in purchasing power. As an employer, you can join in with many others and gripe about this generation – or you can study them, start to understand them, learn why they think and act the way they do, and how to tap into the value they could bring to your company. Many have, and are much better off because of it.

What generation doesn’t have a fair amount of lazy, unmotivated workers who feel as if they are entitled to much more than they are worth? What generation doesn’t have its share of undesirables who have a hard time making it into work on time and watches the last five ticks of the second hand to strike 5 p.m. so they can bolt out the door? What generation doesn’t desire to have a life outside of work? None of them. The fact is, given the right environment, Millennials will bust their tails.

You just need to find them.

Think about this: Despite all the complaints Gen-Xers and Baby Boomers have about Millennials, it is the very generation that those same Gen-Xers and Baby Boomers raised. Isn’t it ironic?

IBAW Executive Committee Annually Reviews Strategic Plan

Members of the IBAW Executive Committee spent the afternoon of Friday, July 22nd reviewing the IBAW strategic outlook for 2016 and 2017.

Reviews include membership goals, by-laws, meeting and possible policy and recommendations. Those recommendations are then sent to the IBAW Board of Directors for review, discussion and possible vote.

The Executive Committee meets annually for this review.

15 Important Points in the GOP Platform on Taxes and Regulations Ray Keating, Chief Economist, SBE Council, Washington D.C.

It’s not unusual to hear proclamations that political party platforms don’t matter. After all, they’re not binding on any candidates or officials.

I’ve always disagreed. If you think that ideas matter in politics and policy – and I most certainly do – then party platforms do very much matter. These are declarations of what the party stands for and believes, that is, the principles and policies upon which the party rests.

Given the importance of tax and regulatory matters to entrepreneurship, small businesses, investment, economic growth and job creation, let’s highlight key points in the Republican Party’s platform that point to the current ills on the tax and regulatory fronts, and various potential remedies.

ONE: “Republicans consider the establishment of a pro-growth tax code a moral imperative. More than any other public policy, the way government raises revenue — how much, at what rates, under what circumstances, from whom, and for whom — has the greatest impact on our economy’s performance. It powerfully influences the level of economic growth and job creation, which translates into the level of opportunity for those who would otherwise be left behind.” This is a bold, foundational declaration that recognizes the real and significant negatives of burdensome, complex and misguided taxes, and how pro-growth tax reform can enhance incentives for growth-generating entrepreneurship and investment.

TWO: “To guard against hypertaxation of the American people in any restructuring of the federal tax system, any value added tax or national sales tax must be tied to the simultaneous repeal of the Sixteenth Amendment, which established the federal income tax.” It is important to recognize the full ramifications of any tax reform. For example, while replacing the current tax system with a national retail sales tax might make sense in theory, the real world consequences must be clear, including that without repeal of the Sixteenth Amendment, taxpayers and the economy would face the ominous costs of both an income tax and a federal sales tax.

THREE: “The Republican path to fiscal sanity and economic expansion begins with a constitutional requirement for a federal balanced budget. We will fight for Congress to adopt, and for the states to ratify, a Balanced Budget Amendment which imposes a cap limiting spending to the appropriate historical average percentage of our nation’s gross domestic product while requiring a super-majority for any tax increase, with exceptions only for war or legitimate emergencies. Only a constitutional safeguard such as this can prevent deficits from mounting to government default.” The fight for a balanced budget amendment has been going on for some time. It’s billed as a positive for the economy. But a balanced budget does nothing for economic growth per se. For example, a large tax increase to balance the federal budget would not be a plus for the economy. However, this measure, tying a balanced budget to a cap on federal spending as a share of GDP and a required super-majority for any tax increases, would be plus for fiscal responsibility and economic growth.

FOUR: “Private investment is a key driver of economic growth and job creation. After falling dramatically during the recession, private investment has recovered at a disappointing pace due in part to high corporate tax rates and increasing regulatory burdens and uncertainty.” And at another point, it is noted: “Over-regulation is the quiet tyranny of the ‘Nanny State.’ It hamstrings American businesses and hobbles economic growth. The Great Recession may be over, but in the experience of most Americans, the economy is still sick. The federal regulatory burden has been a major contributor to that stagnation.” This is a simple economic truth in need of being stated. Private investment fuels entrepreneurship, business expansion, productivity and income growth, and job creation.

The Great Recession and the subsequent poor recovery can be traced to the U.S. economy experiencing a yawning private investment shortfall. (See SBE Council analysis here.) And yes, that, in turn, is largely due to government costs and uncertainties on the regulatory and tax fronts.

As for regulatory reform, SBE Council supports the measures noted in point five.

FIVE: “We will revisit existing laws that delegate too much authority to regulatory agencies and review all current regulations for possible reform or repeal. We endorse Republican legislation, already passed by the House, to require approval by both houses of Congress for any rule or regulation that would impose significant costs on the American people. Further, Congress should work towards legislation that requires removal of a regulation of equal or greater economic burden when a new regulation is enacted.

“Because regulations are just another tax on the consumers, Congress should consider a regulatory budget that would cap the costs federal agencies could impose on the economy in any given year.”

SIX: “Instead of facilitating change, the current Administration and its agents at the National Labor Relations Board are … attacking the franchise model of business development, which is essential to the flexibility and creativity of the new economy. They are wielding provisions of the Fair Labor Standards Act from the 1930s, designed to fit a manufacturing workplace, to deny flexibility to both employers and employees. They have repealed union transparency rules that allowed members to discover what was being done with their dues. They have outlawed alternatives to unions even when they were favored by the workers. Their Project Labor Agreements discriminate against the overwhelming majority of workers by barring them from jobs on taxpayer-funded projects. Their patronizing and controlling approach leaves workers in a form of peonage to the NLRB. We intend to restore fairness and common sense to that agency.”

The best policies to aid American workers – whether unionized or not – is economic growth. But in a vicious downward spiral, the current administration has pushed an agenda of increased labor regulation that undermines growth and hiring, and then seeking to placate assorted special interests, like labor unions, imposes additional regulation.

SEVEN: “We support the right of states to enact Right-to-Work laws and call for a national law to protect the economic liberty of the modern workforce.”

As noted in SBE Council’s Small Business Policy Index 2016, “A right-to-work state means that employees generally are not forced to become labor union members or pay dues to unions. Such worker freedoms offer a more dynamic, flexible workforce, and a more amenable environment for increased productivity and improved efficiency.”

EIGHT: “We propose to shift responsibility for environmental regulation from the federal bureaucracy to the states and to transform the EPA into an independent bipartisan commission, similar to the Nuclear Regulatory Commission, with structural safeguards against politicized science. We will strictly limit congressional delegation of rule-making authority, and require that citizens be compensated for regulatory takings.”

NINE: “We will put an end to the legal practice known as ‘sue and settle,’ in which environmental groups sue federal agencies whose officials are complicit in the litigation so that, with the taxpayers excluded, both parties can reach agreement behind closed doors. That deceit betrays the public’s trust; it will no longer be tolerated. We will also reform the Equal Access to Justice Act to cap and disclose payments made to environmental activists and return the Act to its original intent.”

TEN: “We will enforce the original intent of the Clean Water Act, not it’s distortion by EPA regulations. We will likewise forbid the EPA to regulate carbon dioxide, something never envisioned when Congress passed the Clean Air Act. We will restore to Congress the authority to set the National Ambient Air Quality Standards and modernize the permitting process under the National Environmental Policy Act so it can no longer invite frivolous lawsuits, thwart sorely needed projects, kill jobs, and strangle growth.”

Regarding abuses and costs imposed via the EPA that points 8, 9 and 10 above are meant to remedy, see the following SBE Council analyses and letters: Letter supporting H.R. 3880, Stopping EPA Overreach.

GAO Report: EPA’s Illegal “Covert Propaganda” Campaign SBE Council’s Center for Regulatory Solutions: Five Things to Know about EPA’s Stringent New Ozone Standard ELEVEN: “The President ordered the chair of the supposedly independent Federal Communications Commission to impose upon the internet rules devised in the 1930s for the telephone monopoly. He has unilaterally announced America’s abandonment of the international internet by surrendering U.S. control of the root zone of web names and addresses. He threw the internet to the wolves, and they — Russia, China, Iran, and others — are ready to devour it. We salute the Congressional Republicans who have legislatively impeded his plans to turn over the Information Freedom Highway to regulators and tyrants. That fight must continue, for its outcome is in doubt.

We will consistently support internet policies that allow people and private enterprise to thrive, without providing new and expanded government powers to tax and regulate so that the internet does not become the vehicle for a dramatic expansion of government power.”

Until the Obama administration, the FCC had engaged with a light regulatory touch that allowed private investment and innovation to flourish, to the benefit of consumers, creators and content providers, including, of course, small businesses.

However, a regulatory command-and-control mindset has taken over, with commensurate increases in costs and uncertainty, which, in the end, will diminish the benefits for entrepreneurs, small businesses and consumers.

TWELVE: “Any honest agenda for improving healthcare must start with repeal of the dishonestly named Affordable Care Act of 2010: Obamacare… a Republican president, on the first day in office, will use legitimate waiver authority under the law to halt its advance and then, with the unanimous support of Congressional Republicans, will sign its repeal. The Supreme Court upheld Obamacare based on Congress’ power to tax. It is time to repeal Obamacare and give America a much-needed tax cut.” Indeed, the largest governmental assault on business and hiring over the past near-eight years arguably has been ObamaCare. Its repeal is critical for businesses of all sizes, along with additional reforms that expand choice and competition in the health care marketplace, including those noted in points 13, 14 and 15.

THIRTEEN: “We will return to the states their historic role of regulating local insurance markets, limit federal requirements on both private insurance and Medicaid, and call on state officials to reconsider the costly medical mandates, imposed under their own laws, that price millions of low-income families out of the insurance market. To guarantee first-rate care for the needy, we propose to block grant Medicaid and other payments and to assist all patients, including those with pre-existing conditions, to obtain coverage in a robust consumer market.”

FOURTEEN: “To ensure vigorous competition in healthcare, and because cost-awareness is the best guard against over-utilization, we will promote price transparency so consumers can know the cost of treatments before they agree to them. We will empower individuals and small businesses to form purchasing pools in order to expand coverage to the uninsured. We believe that individuals with preexisting conditions who maintain continuous coverage should be protected from discrimination… We propose to end tax discrimination against the individual purchase of insurance and allow consumers to buy insurance across state lines. In light of that, we propose repealing the 1945 McCarran-Ferguson Act which protects insurance companies from anti-trust litigation. We look to the growth of Health Savings Accounts and Health Reimbursement Accounts that empower patients and advance choice in healthcare.”

FIFTEEN: “We support state and federal legislation to cap non-economic damages in medical malpractice lawsuits, thereby relieving conscientious providers of burdens that are not rightly theirs and addressing a serious cause of higher medical bills.”

Does the GOP platform get the policy agenda right for small business? Well, regarding taxes and regulation in general, implementing an agenda based on the 15 principles and policies highlighted here would go a long way in reducing governmental costs and uncertainties, and therefore, work to generate increased entrepreneurship, investment, economic growth and job creation. _______ Raymond J. Keating is chief economist for the Small Business & Entrepreneurship Council.

Keating’s latest book published by SBE Council is titled Unleashing Small Business Through IP: The Role of Intellectual Property in Driving Entrepreneurship, Innovation and Investment and it is available free on SBE Council’s website here.

Member Spotlight: XORBIX Technologies, Inc. Mary Stark, Waddell & Reed

The Little “App” Engine That Could…

Those little hand-held devices that have become our life-blood on a daily basis put great power into a small space. Similarly, the local company leading the way to making complex mobile and web-based applications seemingly simple and easy to use is also a great power in a small package. That is how the founder of Xorbix, Asif Bakar, likes to describe the Delafield based company: small and mighty.

With only 15 employees, Xorbix is competing with much larger companies and successfully solving software and app dilemmas for some of Wisconsin’s most prominent companies. Xorbix can include on its list of delighted customers such names as GE Healthcare, Johnson Controls, Rockwell Automation, HUSCO International, Brady Corp, Miller Coors, Wheaton Franciscan and MSOE. They are the problem-solver of choice for these large players because they personalize the experience for every client, big or small, by taking the time to listen, understand the pain points, and customize the solution.

Prospective clients often fear the time and money that will be spent on a personalized software system, preferring the “devil that they know” rather than making a change. However, since 1998, Asif and his team have reassuringly addressed these concerns and produced an end result that makes the client’s business operationally more efficient, healthier and more profitable.

Asif Bakar

The Xorbix professionals take the time to understand a prospective client’s business in order to address the inefficiencies that create frustration with technology and drain time, money and energy from the business. Katie Ross, Director of Business Development states, “We believe in understanding the entire scope of a project or the full requirements prior to writing one line of code. This is exactly why we have the reputation of staying within budget.”

Xorbix has essentially three areas of truly PERSONALIZED service: 1) Custom Software Development, 2) IT Staffing Services, and 3) Data Integration Solutions. They build Apple, Android and web-based apps, and are even able to “come to the rescue” for businesses that have had such projects started by other developers who were in over their head and could not successfully complete the task for the client.

The Xorbix team not only solves the known problems, they also search, identify and fix areas that function but do not properly integrate, thereby freeing up time and brain space for the client’s greatest asset: their employee, human capital. Many clients “don’t know what they don’t know” and are elated to learn that there is a solution they never dreamed could exist. The Xorbix team creatively positions the client to compete at a higher level within their industry with technology that enhances what the company delivers, where previously the technology had hindered delivery.

Similarly, Asif and his team joined IBAW because of the advantages delivered to Xorbix by staying in tune with the southeastern Wisconsin business community and the legislative initiatives that impact all business in the state. Xorbix relies on IBAW to keep a pulse on the Milwaukee business environment. Furthermore, through active networking with other business professionals, the Xorbix team can learn what types of technology challenges they are facing and help them to see that there are solutions they might otherwise not have known existed. This becomes a true “win-win” situation when Xorbix solves a problem for another local business, big or small. And each “win” keeps the “little app engine” rolling down the tracks, delivering mighty solutions.

For further information contact Katie Ross – 414-544-7500

SALES ROUNDTABLE

Even if you're seasoned in sales, learn what other professionals are doing and some new techniques and skills you might be missing.

This is open to anyone at an IBAW member company who would like to share their real world challenges and most successful strategies for growing business. This Roundtable is meant to serve as a confidential means to learn from your peers in other industries and to help others learn from your experience – good and bad.

Click HERE to register for the next roundtable.

The IBAW Legislative Team

Mike Kuhn Jeff Hoffman

Charles Fry

The IBAW Legislative Team keeps our members up to date and informed on business issues coming out of Madison and Washington D.C..

G r e g Ly o n s

Ann Barry Hanneman

Labor Data: Wisconsin on the Move Up in Rankings A recent story by the Waukesha Freeman business reporter Chris Bucher points out that Wisconsin is on the move to 2nd in the Midwest for employment growth.

Wisconsin Department of Workforce Development Secretary Ray Allen released preliminary data by the United States Bureau of Labor Statistics on Monday, which showed steady growth within the private sector across the state throughout the past year.

In the last 12 months, the private sector added 49,900 jobs in the state, which ranks fifth in the nation. The growth within the job market also ranks Wisconsin second in the Midwest.

IBAW was highlighted in the story as a source (see article at right).

To read the full story, follow this link to the Waukesha Freeman article.

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Learn the benefits of membership at IBAW.com

IBAW is on an upward trend of growth and we are actively recruiting businesses just like yours to join!

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2016 Membership Committee

Craig Coursin Stier Construction

Scott Seroka Seroka Branding

Charles Fry Robert W. Baird

Mary Stark Waddell & Reed

Dan Hansen Waukesha State Bank

Legislative Fix Moving Ahead for Wisconsin’s New Manufacturing & Agricultural Credit Jim Brandenburg, CPA, MST - Sikich LLP

In IBAW meetings and publications in recent years we have introduced you to Wisconsin’s new tax incentive - the Wisconsin Manufacturing and Agriculture Credit (referred to as the “MAC”). The MAC came about in 2011 to provide an incentive for Wisconsin manufacturers and agricultural companies to remain and grow here, and also perhaps to have out-of-state companies move here. It was scheduled to begin in 2013, and when fully phased-in by 2016 it would essentially exempt any Wisconsin manufacturing and agricultural income from Wisconsin income tax. The MAC was championed by Representative Dale Kooyenga and Senator Glenn Grothman in the legislature.

Magazine Content Needed Consider Submitting an Article!

The MAC, however, had some problems for individual taxpayers when it was drafted and this glitch was recently identified. Here is the issue in a nutshell: the MAC would reduce a taxpayer’s Wisconsin individual income tax, but then would trigger a Wisconsin minimum tax for nearly the same amount. Thus, there may be little, if any, net savings for the MAC in 2013 (a “MAC Attack?”). The legislature is trying to remedy this situation now so that taxpayers can realize the proper tax savings with the MAC on their 2013 Wisconsin individual tax returns.

The IBAW magazine is in need of content, we rely on our members and sponsors to supply us informative articles. The digital magazine is sent out to over 650 contacts statewide and the magazine is parked on the web where, on average, it gets over 1100 views.

Legislative Update: It seems that all key legislative leaders are now on board to correct this issue. It was approved by the legislature’s Joint Finance Committee last week. The Senate and Assembly will be in session in March and voting on final passage for several bills, one of which is this tax bill with the MAC correction. It looks like the legislative timetable will have the bill passed near the middle of the March, before going to the Governor.

Thus, a best guess now is that the bill would be enacted into law somewhere in the latter half of March, 2014.

MAC Attack Options: For any of our individual taxpayers taking advantage of the MAC, this may present some filings logistics. Here are the possibilities:

1. Best case scenario - in some cases the taxpayer’s share of the MAC for 2013 will be used and not result in a Wisconsin Minimum Tax. A taxpayer in this situation could go ahead and claim the MAC and file their 2013 Wisconsin individual return. There would be no need to wait for the legislation to pass.

Consider writing an article on a timely business related topic to your particular field of business. This is an outstanding opportunity for you and your company to gain exposure and increase your brand awareness to a statewide audience. There is no cost to submitting an article.

2. Next, a taxpayer has generated a MAC for 2013, but it will trigger a Wisconsin Minimum Tax. The taxpayer in this case could wait until the law is changed (and then wait a little for the WDR to update its computer processing systems) and then file their Wisconsin tax return and claim the MAC, and not incur the Wisconsin Minimum Tax. This could present a tight timeline for the April 15 deadline, and you may need to file for an extension.

3. Similar case as #2, but this taxpayer could file their Wisconsin individual return with the MAC, but also incur and pay a Wisconsin Minimum Tax for 2013. Then, once the corrective law is enacted go back and file an amended 2013 Wisconsin tax return to obtain the proper tax benefit of the MAC. You would not need extend, but you would need to amend.

We’ll keep you posted as this legislation moves forward.

If you have any questions, please contact Jim Brandenburg or Brian Kelley at Sikich, LLP in Brookfield (262)754-9400.

Contact Steve Kohlmann for details.

Articles submitted by our members & sponsors.

Welcome New IBAW Members!

Meeting Recaps 2014 Wisconsin Manufacturing Knowledge Summit

Power Test

On June 20, 2014 the IBAW partnered with the Tool, Die & Machining Association of Wisconsin (TDMAW) to offer Wisconsin manufacturers and their suppliers a unique look at trends within the industry and to also report on some of the challenges the industry faces in the next 5 years.

Power Test, Inc. is an industry leader in the design, manufacture and implementation of dynamometers and control systems.

Special thanks to the event sponsor, First Business Bank for their efforts in helping organize this event.

For more than 37 years, Power Test has provided specialized test equipment to manufacturers, rebuilding facilities and distributors globally. Our products can be found in use at these facilities in nearly 100 countries on six continents.

Chris Halaska

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Our headquarters and manufacturing operations are located in Sussex, WI with sales representatives worldwide. Our unparalleled customer service is well known throughout the industry.

Power Test employs a dedicated staff of talented machinists, fabricators, electronic technicians, assemblers, designers, engineers, software developers, and administrative and customer service personnel.

Our exceptional product life and excellent customer service is well known throughout the industry and has made us one of the industryleading dynamometer manufacturers. Our dedication to the customer and to the advances in powertrain component testing keep us there.

Power Test N60 W22700 Silver Spring Drive Sussex, WI 53089 Phone: 262-252-4301

4 Advanced Waste Services Advanced Waste Services is an environmental services company that provides wastewater recycling and other waste and risk elimination services to manufacturers in all industries. Each day, AWS helps hundreds of businesses, both large and small, meet their community and environmental obligations. Annually, we collect, treat and recycle more than 50 million gallons of contaminated wastewater into clean, reusable water and other valuable resources like fuel, steam and electricity.

AWS is constantly helping our clients manage, reinvent and improve their sustainability successes. For example, we recently partnered with Forest County Advanced Waste Services Potawatomi Community to help Wisconsin food and beverage manufacturers convert 1126 South 76th Street food waste into clean, green renewable energy.

Suite N408B

West Allis, WI 53214 Founded in 1993, AWS employs 55 people in the Milwaukee area and a total of 150

people companywide in 5 states.

414-847-7100

Photo Key 1: A full house in the main ballroom of the Wisconsin Club as IBAW & TDMAW members prepare to hear about the state of manufacturing and the challenges the industry faces in the workforce.

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2: David Vetta of First Business Bank delivers opening remarks and highlights the importance of a strong relationship between banking and manufacturing working together for success.

3: New IBAW President, John Weber of Hypneumat addresses the change in IBAW Bylaws and calls for voting in new board officers.

4: Kent Lorenz of Acieta gives the main presentation on “Manufacturing Matters” pointing out the trends on manufacturing now and what to expect in the future.

5: Outgoing IBAW President, Steve Van Lieshout receives his award for his efforts as 2013 - 2014.

6 Photos courtesy of Tim Townsend.

6: IBAW Executive Director, Steve Kohlmann (Left) presents David Drumel with an award for his service on the IBAW board.

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THERE’S ROOM AT THE TABLE

As an advocate for small business, the IBAW offers intimate meetings on relevant topics such as Leadership, HR, Sales, and Political Issues.

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Join us. “...the sales round table was very informative, Judson will be renewing our membership in the IBAW. Thank you and I look forward to more roundtables!”

Dominic Misasi, Judson and Associates s.c.

“ I almost always come away from an IBAW meeting with useable material that helps me with my business. Many times, a speaker will give me something that applies to ITU AbsorbTech. Other times, it is a conversation over breakfast that gives me value.”

Jim Leef, President & CEO, ITU AbsorbTech

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Rich Meeusen, CEO, Badger Meter.

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