SPRING 2020
Selling like hotcakes Customers crave new local bakery's sweets
• Businesses face cyber threats • Restaurants try new ways to serve • Animal nutrition company grows
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2 | BUSINESS LEADER • April 6, 2020
Restaurants try new service models
8
Companies advised of cyber threat precautions
10
Lalls recall journey that started Vets Plus
14
Baker starts sweet shop in Chippewa Falls
GUEST COLUMNS
17 Justin Vajko . . . . . . . . . . . . . . . . . . . . . . 20 Jeff West . . . . . . . . . . . . . . . . . . . . . . . . . .
BOOK REVIEW
19 BY THE NUMBERS . . . . . . . . . . . . 23 Terri Schlichenmeyer . . . . . . . . . . . . .
Cover photo - Dan Reiland
CONTENTS
4
EDITOR’S NOTE Who would’ve expected the next big threat to the economy would be a tiny germ? Markets get rankled by political unrest, bubbles bursting, supply shortages and financial problems, but it’s been a very long time since illness has played a major role in the U.S. economy. But here we are with businesses closed, many people working from home and others unemployed as precautions put in place to slow the spread of the coronavirus have had a massive, immediate impact. The first call businesses facing hard times should make is to their bank or credit union, according to advice the Eau Claire Area Chamber of Commerce gave during a March 26 virtual town hall attended by more than 300 people. “If you have not reached out to your financial institution, accountant — do it now,” chamber president and CEO David Minor said. He advised businesses to know their options through private lenders — deferring payments, short-term loans, etc. — while details were not yet known for how a $2.2 trillion federal rescue package will be distributed to companies in need of help. Businesses also were told to compile records of revenues and expenses from prior years so they can compare them to their current cash flow. Even for businesses deemed essential under Gov. Tony Evers order on March 24 allowing them to stay open, it’s best to follow the same instructions. There’s no telling if you’ll be affected further down the line in an adverse way by coronavirus precautions. Business could be going fairly normally now, but disruptions to customers’ income streams could end up having a delayed effect on your company. Now is also the time to consider changes to both short-term and long-range plans. In late March, retailer Target stated that despite a 20% sales surge, it would be postponing planned remodelings and new store openings so it could focus resources on keeping shelves stocked. The report from the Star Tribune also noted that while food and cleaning supplies sales had gone through the roof, their sales of clothing — a higher profit margin category for stores — were far below expectations. Tracking all of these trends and comparing them to prior years will be crucial for businesses to craft a short-term strategy to weather the current crisis and then tabulate its financial fallout after it is over. For more detailed advice, consult your trade associations, business groups, government resources and other reputable places to learn how your company can cope with coronavirus. Finally, a note on this issue of Business Leader: Most of these articles were finished before the coronavirus had a significant impact on businesses. At that time, there were still just advisories on washing hands more often. Government "safer at home" orders were still weeks away. Undoubtedly, if we were to redo those interviews today, many of those we spoke to would give at least a mention on how their business has changed due to COVID-19. But as effects of the coronavirus on the economy continue to be revealed, we should remember there are other stories that should still be told.
Spring 2020
EDITOR - Andrew Dowd andrew.dowd@ecpc.com @ADowd_LT • 715-833-9204
GRAPHIC DESIGN & LAYOUT - John Balgaard MAGAZINE ADVERTISING & COORDINATOR
Alicia Rodgers alicia.rodgers@ecpc.com • 715-833-9237
Published four times per year by the Leader-Telegram. Copyright 2020 Leader-Telegram, 701 S. Farwell St., Eau Claire, WI 54701. All rights reserved. 800-236-7077. leadertelegram.com
FEATURE STORY
Changing tastes
Contributed photo Chippewa Valley Technical College’s culinary management program started in 2018 to help address the worker shortage in the restaurant industry.
Chippewa Valley restaurants try new ways to serve customers By Eric Lindquist, Leader-Telegram staff
Editor's note: This story was completed before the World Health Organization declared COVID-19 a pandemic and many U.S. states, including Wisconsin, imposed stay-at-home orders on residents and ordered restaurants and bars to close to customers other than for delivery and takeout services. In the aftermath of the order temporarily halting all dine-in options as a measure to slow the spread of the new coronavirus, several Chippewa Valley restaurants have closed, while many others are trying to find a way to navigate the new restrictions while generating enough revenue to stay afloat and keep staff employed. “It’s a whole new ballgame,” Joanne Palzkill, chairwoman of the Wisconsin Restaurant Association board and owner of Draganetti’s Ristorante and Za 51 Pizzeria in Altoona, said two days after the statewide order. “No one’s going to get rich during this time, but we’re all kind of trying to do what we can.” 4 | BUSINESS LEADER • April 6, 2020
••• With hundreds of restaurants in the Chippewa Valley, operators of those establishments face a challenge in carving out a healthy portion of customers. Not the least of which is simply finding enough workers to cook the food, wait on tables and wash the dishes. But beyond dealing with the tight labor market, regional restaurateurs are sampling new ways to meet the ever-changing whims of diners. Among the latest trends are more delivery options, smaller plates and ghost kitchens that offer food only for carry-out and delivery, said Joanne Palzkill, owner of Draganetti's Ristorante and Za 51 Pizzeria in Altoona and chairwoman of the Wisconsin Restaurant Association board of directors.
The explosion of third-party delivery companies such as Eat Street, Bite Squad, Uber Eats and Door Dash represents a visible example of people's evolving tastes. "Obviously, people's dining trends are changing," Palzkill said. "People still go out to eat, but everyone is busy and the new generation is all about looking at an app and getting their food delivered." That trend comes at a cost, however, as delivery services typically charge about 30% of the total bill and restaurants that make the food still have to pay for labor, food costs and overhead, she said. "It's a big challenge, and our industry is looking at how to accommodate that demand," Palzkill said. At a time when consumers can get fried chicken, pizza and a host of other hot meals on demand at gas stations, restaurants have to get creative to figure out ways to meet diners' desire for speed and convenience. "As an industry, we have to adapt," Palzkill said, acknowledging she worries the traditional restaurant experience could be lost in the process.
Contributed photo Joanne Palzkill, owner of Draganetti's Ristorante and Za 51 Pizzeria in Altoona and chairwoman of the Wisconsin Restaurant Association board of directors, says restaurants are finding creative ways to deal with changing consumer tastes.
Letnes and his sons Kent, Kevin and Matt. Palzkill said she expects to see more virtual restaurants as operators seek ways to trim costs in an industry with average profit margins of just 3% to 5%. At the same time, she said, smaller servings are becoming more popular. One Eau Claire restaurant responded to that pattern "People are not eating as heavy as they used to," by jumping on another industry trend seen mostly in Palzkill said. "People like to graze more. Not as many larger cities across the country. folks are going out for a heavy three-course meal." Roble, a Mexican restaurant that was open at 5020 Za 51, which opened in 2018 in River Prairie, is Keystone Crossing from late 2016 to March 2018 attempting to feed the craving before the owners changed the for the convenience of eating concept to Northern Tap House, at home by selling some of its reopened this year as a "virtual products only in grocery stores. restaurant." Here are the top 10 U.S. restaurant Palzkill's latest creation Roble's cuisine is now industry trends in 2020, as identified by recently started selling its pizza available for delivery only and the National Restaurant Association: crust specifically designed can be ordered through the 1. Eco-friendly packaging. for people on the Keto diet Bite Squad and Eat Street apps. (reduce carbohydrate intake, 2. Plant-based proteins. Roble shares chefs and kitchen but increase fatty foods) at 3. Delivery-friendly menu items. space with Northern Tap House, local Woodman's Market and 4. Healthy bowls. which specializes in pizza, Festival Foods stores. Za 51 also 5. Scratch-made. burgers and a variety of beer. started marketing its Keto garlic 6. Creativity with catering. "We heard from guests that bread through Woodman's. they wanted to see Roble back 7. Revamped classic cocktails. Meanwhile, Draganetti's, which operating, so we acted on the 8. Stress relievers. opened in 1981, is planning to virtual restaurant trend in 9. Specialty burger blends. launch off-premises lines of starting it back up," said Gretta frozen lasagna and pizza this 10. Unique beef and pork cuts. Hunt, general manager of year as well. Roble and Northern Tap House. The initial response has "We've had a great reception so been positive, as consumers have been happy to have far." another locally produced dining option available at the Both restaurants, along with the Grizzly's and grocery store, Palzkill said. Milwaukee Burger outlets in Eau Claire, are operated by Lincoln Hospitality Group, which is owned by Curt See page 6
'Virtual restaurant'
What's hot
April 6, 2020 • BUSINESS LEADER | 5
from Page 5
"That's how our family is adapting to changing consumer habits, and it has been really exciting," she said. "Our goal is not to be everything to everybody, but we don't want to be a dinosaur either."
Training workers
"If we had 100 students, I don't think we'd make a dent in what the need is out there," Brown said. On the bright side, he added, that means the first culinary management graduates should be able to pretty much pick where they want to work and how much they want to earn.
Fear of the unknown
Another issue looming large in early 2020 over the Regardless of the style of restaurant, finding enough restaurant industry — and nearly every aspect of workers remains a challenge in the Chippewa Valley life — is the emerging coronavirus. and nationwide. Palzkill said COVID-19 was a hot topic at a recent Draganetti's went from being open six to five days National Restaurant Association conference she a week last year to help solve the staffing squeeze, attended in Washington, but otherwise Palzkill D.C., with some operators said her restaurants panicking that consumers have been successful in may stop going out to filling open positions. eat as the pandemic She has, however, heard expands, but nobody of local restaurants that really knowing how it have been unable to hire will affect dining habits enough workers. or other aspects of life. The shortage of trained "Restaurants are food service workers preparing for this to be was a major impetus a bumpy ride, taking behind Chippewa precautions as much Valley Technical College as possible but most launching a culinary certainly hoping that management program in we can still see diners fall 2018. comfortable going out," "This program was she said, noting that created out of a need to Staff file photo by Steve Kinderman a major drop in sales assist the industry to fill Chef instructor Kevin Brown explains the operation of a rotating deck oven to could be particularly the many, many openings Chippewa Valley Technical College student Judy Ewer of Eau Claire in fall 2018 in a new kitchen at CVTC’s Business Education Center, 620 W. Clairemont Ave. challenging and we have in this area," The school launched its culinary management program in 2018 to help potentially devastating said Kevin Brown, a chef restaurants find more trained workers. for small, independently instructor for CVTC's owned eateries. culinary management The coronavirus already affected Brown and a program. "The community kind of demanded that we number of students in a personal way when CVTC have these people up and ready as soon as we could." canceled the program's first international culinary Brown said he has two or three employers reach out trip, which had been scheduled this spring to Italy, to him nearly every week inquiring about students one of the countries hit hardest in the early stages of potentially available to work. COVID-19. CVTC designed the program in ladders, so students In terms of education, Brown said news updates would receive key aspects of training each semester that could help them in restaurant jobs while they were about the virus support the program's strong emphasis on safety and sanitation. still in school. "We're always protecting the food from us. That's our "One of the great things about our industry is there's job," he said. "We're always washing our hands and a job for everybody — from food manufacturing to aware of our glove usage. I would say we're ahead of chefs and from corporate-owned restaurants to momthe game in that sense." and-pops — depending on what graduates want their career path to be," he said. The two-year program, which admits 24 students Contact: 715-833-9209, eric.lindquist@ecpc.com, each August and January, will have its first graduating @ealscoop on Twitter class this spring. 6 | BUSINESS LEADER • April 6, 2020
CHIPPEWA VALLEY
April 6, 2020 • BUSINESS LEADER | 7
FEATURE STORY
Staff photo by Dan Reiland Rick Hannam of WatchGuard Technologies, left, and Josh Hanson, a consultant from Imagineering IT, speak to Chippewa Valley business owners and IT professionals at the Cyber Security and Technology Conference at WIN Technology. The March 5 conference helped people from small and mediumsized businesses learn how to protect their employees, customers, data and devices from hackers and scammers.
Small, medium businesses are tempting targets, IT experts say By Sarah Seifert, Leader-Telegram staff
One of the most dangerous things a small or medium-sized business can do is assume that their data isn’t valuable — and that it doesn’t need to be protected from scammers, hackers or thieves. At least, that’s what several local information technology professionals say. “Small and medium-sized businesses have valuable data,” said Rick Hannam, channel account manager at WatchGuard Technologies’ Minneapolis-area location. “Small companies still have data worth big money. Everybody has personal identifiable information in their system … you’ve got names, social security numbers, dates of birth. If someone gets into your QuickBooks, that’s a lifetime of identity theft.” Phil Swiler, director of membership development at the Eau Claire Area Chamber of Commerce, believes that Chippewa Valley business owners are eager to learn more about protecting their companies’ data from internet threats. “A lot of people have perceptions of cybersecurity and IT, but it’s not their business, so they don’t really educate themselves,” Swiler said. “They just know they need a firewall and that’s going to stop everything. That’s just not the case.” 8 | BUSINESS LEADER • April 6, 2020
What’s at risk
Large businesses aren’t the only ones who face cyber threats. Some cyber criminals even specifically target smaller companies, Hannam said. “(They’re) a weak link,” Hannam said. “The amount of cybersecurity protection a smaller business has will be less, typically.” John Kolar, a Twin Cities-based fraud manager at Wells Fargo, said real estate, higher education, energy groups and small businesses are often hit harder by fraud. In addition to the cost of hiring IT security — or contracting with an outside business to provide those services — small businesses often face more challenges in preventing fraud, he said. “As a small business, when you’re trying to grow revenue and grow your business, you have to pay attention ... if you’re using a (cheaper) version of email, Gmail, Yahoo Mail, you have to make sure that’s secure,” Kolar said. What kind of protection does a business need against cyber threats? The most important part of the equation — and the hardest — is educating employees, Hannam said.
Training staffers to recognize and flag phishing attacks — typically an email sent to someone within the organization that attempts to trick them into handing over a password, account number or social security number — is the most difficult part about securing a business’ network, he said. With a password or other information, scammers can steal money or personal information from business’ online systems. Phishing attacks often aren’t the poorly-worded, oftenmisspelled emails that blatantly ask the recipient to hand over their credit card information anymore. Phishing emails can be modeled to look like they’re coming from within the business, even from an executive or administrator, asking the recipient to wire money or open a file. “You’d think that most people can recognize a phishing email and won’t click on it,” Hannam said. “Even the smartest people can fall for basic attacks.”
What can businesses do?
For one, start implementing a system called multifactor authentication, Hannam said: “It’s easy, and the exponential level of security you get from adopting that is really dramatic.” Passwords can be cracked. But with multi-factor authentication, once an employee enters their username and password, they’ll have to confirm the login a second time by entering a password, PIN number, face scan or fingerprint — through a mobile phone, token or other device. “It’s a very powerful tool and it’s very, very useful,” Hannam said. For businesses with accounting and payroll employees, Kolar recommended using “dual custody,” a strategy requiring two users on different devices to initiate and approve online payments. “It’s a multi-layered approach,” Kolar said. “Put the products and services in place to protect your transactions, but also train your people.” Hannam cautioned against business employees using wireless internet in public places, like coffee shops or hotels, saying scammers can easily crack encrypted passwords if someone is connected to a public hotspot. “When you have people out on the road or working remotely, everyone should realistically be doing it in the same way. It’s your best bet to be protected,” said Josh Hanson, a consultant with Eau Claire IT service firm Imagineering. Since new viruses and malware are constantly being created — hundreds of thousands of new malware threats hit the internet every day, Hannam said — Hanson also recommended businesses keep their firewalls up-to-date. “If you have older equipment that’s no longer getting
updated, you’re getting the base level protection, but anything new coming out you’re not protected against,” Hanson said. Businesses should also consider keeping offline backups of their data in case of disaster, Hannam said. “Nobody can stop everything,” he said. “Having a good backup and recovery strategy allows you the difference between an inconvenient day and a really bad day.” Kolar encouraged business owners to talk to other people in their industries who have experienced fraud. “It’s really hard to share a fraud incident because you don’t want your name in the papers, but that’s the best way to learn,” he said.
Looking at the Chippewa Valley
Hannam, Hanson and Kolar — along with several other western Wisconsin and Minnesota security professionals — spoke to Chippewa Valley business owners and IT professionals at the Chamber’s first-ever Cyber Security and Technology Conference on March 5 in Eau Claire. “What I’m really happy about is the eclectic melting pot. We had people driving one to two hours away to come,” he said. Swiler hopes to grow the conference into a large regional gathering that attracts business owners and security professionals from the Twin Cities and Madison areas — and REALTY GROUP he’s encouraged by the 4410 Golf TTerrace response in the Chippewa Suite 125 Eau Claire, WI 54701 Valley. First female in the The next conference is ® Association REALTORS slated for 2022, Swiler of Northwestern WI said. to be inducted into the “This is whether RPAC Hall of Fame (2020) you're a small business REALTORS® Political that owns a garage, Action Committee or if you’re doing Osseo, WI Visa and Mastercard transactions, or if you’re handling any money at a counter, hiring part-time MLS# 1539520 $569,900 employees … I think Mary F. Rufledt there’s a craving for Broker/Owner (that) knowledge in this Licensed in WI & MN GRI, CRS, ABR, RRS, SRES, REALTOR region,” he added. Office: (715) 830-1001 ®
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April 6, 2020 • BUSINESS LEADER | 9
COMMUNITY PROFILE
Meet the Lalls
Staff photo by Dan Reiland Raj and Swati Lall recall their journey as a young couple who relocated to the U.S. for education and then ended up starting a thriving business in Menomonie.
Couple's journey leads them to start growing Menomonie business By Ryan Patterson, Leader-Telegram staff MENOMONIE
Swati and Raj grew up in Gujarat, India, a state in the western part of the county. They married in 1982 and a few years later moved to the U.S. so Raj could attend a graduate program at the University of Minnesota. The couple did not know what to expect when moving to a new continent but adjusted by keeping an open mind. 10 | BUSINESS LEADER • April 6, 2020
“We just went with the flow,” Swati Lall said. “When you are young, you don’t think about it.” Raj Lall earned a master’s degree in pharmacognosy, the study of the physical, chemical and biological properties of natural drugs. He worked in the human health sector for a few years before shifting his focus to making
products for the health and nutrition of animals. With the encouragement of two veterinarian friends, Raj Lall started Vets Plus in 1990 and was its only employee for the first few years. He drove around to Midwestern farms offering his products. In those early years, he struggled but never questioned if he made the right choice. “It picked up pretty well from the get-go,” Raj Lall said. “The normal challenges of business were there, but it never occurred to me that I made the wrong decision.”
Contributed photo Vets Plus is headquartered in Menomonie where its corporate offices, main manufacturing building and a goods warehouse are located. The company also has additional manufacturing operations in Knapp.
Vets Plus makes and distributes health and nutrition products for livestock and pets. The vast majority of the company’s employees live and work in Menomonie, where it is headquartered. “The community is almost like a family,” Raj Lall said. “You develop relationships, and people here care for each other.” Raj Lall has long believed in the importance of community. The founder and CEO of Vets Plus, Inc., he and Swati Lall have lived in Menomonie, where they raised two sons, for the past three decades.
Growing bigger
Vets Plus has more than 150 employees working in several locations around the state. A $2.5 million project in October 2019 expanded one of its Menomonie locations and renovated another site to focus on pharmaceutical manufacturing under the name Noble Pharma, a branch of Vets Plus. In December 2018, Vets Plus bought Merrick’s Animal Health, which produces nutritional items for livestock. “It has continued to surprise me how big the market is and how much opportunity is out there,” Raj Lall said. Unlike many companies in the animal
nutrition industry, Vets Plus has most products under one roof. It manufactures and provides tablets, capsules, liquids, powders and gels for animals. The company’s early customers were small farms, and now it mainly deals with large pharmaceutical companies, retailers like Tractor Supply and distributors that sell to veterinarians or feed stores. Lall said the most rewarding aspect involves developing products that help animals, along with creating stable jobs for local individuals and families. He attributed a large part of the business’ success to its quality employees. “It was just a matter of hiring the right people and giving them the autonomy to do their job,” Raj Lall said. About 90% of employees work in Menomonie, and the company aims to hire local workers as often as possible. To help morale, Vets Plus has potlucks, a summer picnic and a holiday Christmas party for employees. Lall expanded his horizons a few years ago by purchasing Tanglewood Golf Course. He likes to golf but did not have similar business experience before and said the acquisition presented a learning curve. Most of his days are occupied by running Vets Plus, a role he enjoys and plans to continue for many years. “I’m still having fun,” he said. See page 12
April 6, 2020 • BUSINESS LEADER | 11
from Page 11
Importance of education The Lalls value education, which is why they became involved at UW-Stout in a variety of capacities.
“We believe a strong foundation for community and society is having good education,” Raj Lall said. “It’s not everything, but it does go a long way.” Bob Meyer met the Lalls shortly after he became UW-Stout's chancellor in August 2014. He found the couple to be humble, sociable and generous. Indeed, both Raj and Swati Lall laugh easily and are quick to smile. With UW-Stout facing budget challenges in 2015, Meyer felt concerned about employee morale. Thinking of potential solutions over a beer, Meyer mentioned to Raj Lall that a social hour could help build camaraderie among faculty and staff.
help sponsor it. The first iteration went well, and the university usually hosts a few social events per year for employees. Meyer called it a “great morale-building activity” that wouldn’t exist without Lall’s support. Lall said it was not a difficult choice to support it. “That was an easy decision for us to invest in, because we want to make sure the university does well and because it’s a big pillar of the community,” Raj Lall said. Shortly after their introductions, Vets Plus and UW-Stout began working on different partnerships. The most notable of those projects involved the Lalls donating money to update and maintain a lab in the Jarvis Hall Science
Lall replied that he liked the idea and would
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12 | BUSINESS LEADER • April 6, 2020
Staff photo by Dan Reiland In addition to running an animal health and nutrition company, the Lalls also have donated to UW-Stout to sponsor a laboratory and bought Tanglewood Golf Course.
Wing. The Rajiv and Swati Lall Microbiology Laboratory was established in 2015 and provides space for students pursuing degrees in topics like chemistry and microbiology. An informal partnership exists between the lab and Vets Plus. The company often hires UWStout alumni, and students can work on research in the lab bearing the Lalls’ names. Vets Plus also started a conference at UW-Stout that brings researchers from across the world to Menomonie. The inaugural International Conference on Animal Health Nutraceuticals happened last July and it is scheduled to repeat annually. Meyer called it a “great symbiotic relationship” between the university and company. Meyer never met James Huff Stout, a businessman who founded the university in 1891 and died in 1910. However, through interactions with people like the Lalls, Meyer understands Stout’s spirit. “I’m really kind of meeting him through these other people that are in his image (and) helping
Contributed photo Vets Plus produces animal health and nutrition products.
this university move forward,” Meyer said. After more than three decades in the area, the Lalls’ long-term plan involves staying in Menomonie, a community of which they have become an integral part. “This is home,” Swati Lall said. Contact: 715-830-5838, ryan.patterson@ecpc.com
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COMMUNITY PROFILE
Selling like
hotcakes
Staff photos by Dan Reiland Nicholas Wiener, 39, opened Josef's Confectionery in December in downtown Chippewa Falls. His specialty is cheesecake cupcakes, selling a dozen varieties each day out of his repertoire of 300 different flavors.
Busy chef 's small cheesecakes are highlight of new sweet shop By Chris Vetter, Leader-Telegram staff CHIPPEWA FALLS
Despite making hundreds of small cheesecakes every day, it is fairly common for Josef’s Confectionery to be completely sold out between 2 and 4 p.m. But sometimes the shop that opens at 10 a.m. runs out earlier than that. On an early March day, the bakery’s owner, Nicholas Wiener, called at 11:30 a.m. on the day of the interview to warn that he was already
14 | BUSINESS LEADER • April 6, 2020
out of his baked goods, so there wouldn’t be any left to photograph. “Sometimes, we make it to 6 (p.m.) with just a few left,” he said. Wiener, 39, opened the sweet shop in December at 29 W. Spring St. in downtown Chippewa Falls. The shop's specialty is cheesecakes that are best described as cupcakes, each four inches across and four
inches tall, weighing 12 ounces. “I usually make 12 or more flavors every day. There are hundreds, if not thousands, every day,” Wiener said. “When I open the door, we have a line going out the door.” Wiener, a 1998 Chippewa Falls High School graduate, bakes the cheesecakes between 9 p.m. and 2 a.m. at Connell’s Club 12 in Fall Creek, gets a short nap, then returns to the restaurant between 5 and 6 a.m. to decorate all of them. He then transports them to the shop in Chippewa Falls for his hungry customers who are waiting for the doors to open at 10 a.m. With daily sellouts, Wiener is frequently asked why he just doesn’t make more. While he has a big smile, his eyes are weary from a lack of a good night sleep. “I don’t have the time or equipment,” he replies. “I literally sleep three or four hours a day. I can’t do more. And if I tried to do a million a day, they wouldn’t have the quality.” He made a double batch for Valentine’s Day and still had an early sellout. Teri Ouimette, Chippewa Falls Main Street executive director, said she is stunned at how the little bakery has become such an instant hit. “It’s pretty phenomenal,” Ouimette said. “He’s a fantastic chef. We had his cheesecake cupcakes at our annual meeting. He’s a great guy and a great family man. We’re excited to have him down here. I don’t know if he thought it would take off this great.” Ouimette said a business like Josef’s Confectionery is good for all those around it. “Spring Street has some great little shops, and it helps everyone,” she said.
Honoring dad
Wiener started in the restaurant business when he was 12, working at Timber Terrace. After graduating from high school, he attended the Culinary Institute of America in Hyde Park, N.Y. That allowed him to work at restaurants across the country, with stints in Florida, California, New York and Milwaukee. However, Wiener decided to move back to his hometown in 2012 when his father had a stroke. “It was time to come back home,” he said.
Josef's Confectionery takes its name from Wiener's father, who also was a chef.
So, Wiener cooks at Connell’s Club 12, and three years ago, began thinking about doing more with his culinary skills. His wife suggested a bakery. “It was her dream growing up to have her own pastry shop,” he said. The name of the business was obvious to him – he named the shop after his father, Josef. He said his dad instilled in him the value of working hard and making the best possible food to satisfy customers. Because Chippewa Falls was his hometown, he decided that is where he wanted to open his business. So, he began looking for a location, and loved what he saw in the tiny building on Spring Street. After a bit of remodeling, he was ready to open. While the cheesecakes are the big hit, Wiener also has fresh breads and macaroons for sale.
See page 16
April 6, 2020 • BUSINESS LEADER | 15
from Page 15
Mixing things up
Wiener is always surprising his customers by having a constant mix of his cheesecakes, rarely making the same flavors from day to day. “I usually have 12 different flavors every day, but I’ve done 300 different,” he said. “It’s whatever I feel like making that day.” His chocolate peanut butter is a top seller, and lemon isn’t far behind. He usually also has a plain cheesecake, but he tries some unusual recipes. He likes a “Thai tea” mix, and he’s done weird ones like taco, chicken and waffle, and jalapeno raspberry. Each morning, he posts his daily menu on his Facebook page. He updates it constantly when a flavor sells out. On this morning in early March, his menu for the day included strawberry lemonade, apple pie, turtle, vanilla with cherries, and Honey Weiss with Free Estimates lemon. www.sparklewash.com/eauclaire Fully Insured ngardow@sparklewash.com While Wiener knew Store Fronts he had a good product, Sidewalks he didn’t expect the Dumpster Areas public’s reaction to his Awnings Graffiti treats. He heard one Complete Exteriors couple coming from Vehicle Fleets Chicago stopped by because they wanted to Free Estimates 715-832-4270 www.sparklewash.com/eauclaire give his cupcakes a try. Fully Insured ngardow@sparklewash.com “I am humbled and stunned,” he said. 16 | BUSINESS LEADER • April 6, 2020
Beyond the mini cheesecakes, Josef's also makes fresh breads and macaroons. On March 4, his selection also included these cookie dough truffles.
“It’s unbelievable how the community has gotten behind us and supported us. I never would have imagined.” Contact: chris.vetter@ecpc.com
Josef's Confectionery
Location: 29 W. Spring St., Chippewa Falls
Hours: 10 a.m.-6 p.m. Mondays-Saturdays. Closed Sundays. Web: facebook.com/josefsweets and josefsweets.com
An imperfect environment
Scrap satisfaction surveys, but embrace accountability for a happier, fulfilled workforce
CEO SPEAK Jeff West is the owner of Bear Down (www.beardowninc.com), an executive leadership coaching company based in Eau Claire. He was formerly a founder and CEO of Silicon Logic Engineering. He's also chairman of Business Partners peer groups and the Applied Leadership Program in northwestern Wisconsin. West can be reached at: 715-559-2195 or jeffatbeardown@gmail.com.
“Success is the sum of small efforts, repeated day in and day out.” ROBERT COLLIER, AUTHOR By Jeff West
In my previous article, Systems Thinking, I discussed how it’s often not the people in your organization that are the problem but rather the systems they are working in. So it seems to make sense to discuss what some of the attributes of a good system or culture are. Often when organizations begin to think about what a great company culture would be the first thing that comes to mind is to create an employee survey. Find out what unhappy employees need so we can provide them with the optimal circumstances in which to work. However, when we take time to look at this at a deeper level we begin to see the error in that way of thinking. As I see it there are two primary problems with the traditional employee survey. 1. T he idea of “optimal circumstances” is a red herring. There’s really no such thing. Have you ever been part of an employee survey? Was it mostly a laundry list of complaints? If you provided everything on the survey did performance improve? Or, did it become the starting point to an unending list of “what we need to bless you with our performance”? 2. A poorly done survey ingrains an attitude that, “We can’t do our best work in substandard conditions.” I’ve seen companies buy ping-pong tables, foosball tables, fully stocked refrigerators, etc., all in the name of creating a great work environment. While there’s nothing wrong with any of those things, the problem is we’ve put the cart before the horse. None of these things create a great company culture. When you create a great company culture first, these things become perks for a staff that is rocking the performance meter. ••• So what’s the real key to a great culture? Personal accountability. Research shows over and over again that happiness and fulfillment at a job are not correlated with a perfect environment. They are correlated to the amount of accountability each member of your team accepts. Have you ever had a job where you were given a lot of responsibility but little or no authority? It’s the reason why so many people feel stress, frustration and ultimately burn out at their job. What if we worked to develop our employees so they
could have a real impact on what happens around them? Instead of trying to create the perfect environment, we teach them how to succeed knowing they’ll always be working in an imperfect one. ••• Our greatest fulfillment as human beings often comes from winning against the odds. If you’ve ever played a sport you may know this feeling. Did you ever beat a team everyone knew, even yourself, that was better than you? How did you feel after it was over? Is it one of the main highlights you always remember when you look back on your playing days? Do you remember the games where you beat an inferior opponent the same way? It’s the same when you build your organization’s team. The old saying, “We succeeded in spite of not because of” comes to mind. Give your employees the responsibility AND authority to do their job. When they are taught to take personal responsibility for their outcomes, they take great satisfaction knowing they’re winning despite all the hurdles thrown in front of them. They’re winning despite a rough economy, despite a tough competitor, despite a lack of resources, despite onerous regulations and so on. ••• Think of someone that works for you who, once given a job, you never worry about again. You know they’ll get it done no matter what. The French have a name for such people – bricoleurs. These people have the mental makeup that nothing will stop them from being successful. What if you hired and trained everyone in your business to be that way? Do you see the difference it could make to have a company full of people who have the authority to do their job to the best of their ability versus one that’s continually trying to figure out how to make their employees happy? To have employees who know and expect an imperfect environment versus those who use it as an excuse why something couldn’t be done? Who’s responsible for setting this up? Why, you are! Can you think of a better use of your time? Create an environment where personal accountability is the norm and you’ll find the impossible will happen on a regular basis. April 6, 2020 • BUSINESS LEADER | 17
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Provide for Your Pets in Your Estate Plan If you have a pet, you probably view them as a member of your family rather than as your property. One of the big concerns most people have when thinking about their estate plan is what will happen to their family members after they are gone, but sometimes people forget about their pets.The law treats pets as property, however, there are creative planning opportunities that can be done to ensure your pets find a good home when you are no longer here to care for them. Option 1: Your pets are distributed according to the tangible personal property provisions of your estate planning documents. If you do not provide for your pets specifically in your estate planning documents, your pets will be distributed according to the tangible personal property provisions of your documents. Most estate planning documents leave tangible personal property to a surviving spouse, if there is one. Otherwise, a typical provision may leave your tangible personal property to your children, in equal shares, or other relatives or friends. If you want to specifically leave your pets to someone,Wisconsin law allows you to leave a memorandum for disposition of tangible personal property, by which you can specifically designate certain items of tangible personal property to be given to certain people upon your death. This is a list that you can update at any time, and only needs to be signed by you. Therefore, you can change the list without having to fully execute a change to your will or trust. You can include your pets on this list to choose who you want to own your pets after your death. Option 2: You make an outright gift of your pets, with a sum of money, to an individual specified in your estate planning documents. Another option is to have a provision in your will or trust that specifically gifts your pets to someone that you trust to care for the animals. The provision may also provide that any care supplies for the pets are included in the gift. A sum of money is often gifted with the pets to cover care expenses. The drawback to providing your pets as an outright gift is that there are no measures in place to make sure that the recipient continues to care for the pets and uses the money you gift with the pets for the pets’ care.The gift recipient could spend the money quickly and not save enough money for the ongoing costs of caring for the pets. If you want a more formal arrangement, Wisconsin law allows you to create a pet trust. Option 3: Create a pet trust for the care of your pets. Section 701.0408 of the Wisconsin Statutes allows a trust to be created with an animal, or animals, as the beneficiary.This type of trust would be created on your death and funded with a certain amount of money that you choose to be used for the care of your pets.You can specify a certain dollar amount, or a certain percentage of your assets, that you want to be distributed to the pet trust. There are two roles you need to consider naming in your document creating the pet trust: 1) a “caretaker” and 2) a “trustee”. The caretaker is the person that will take ownership and responsibility for the care of your pets. When choosing a caretaker,you should consider whether the caretaker shares your views on care for your pets, especially euthanasia. The trustee is the person that will be responsible for distributing money to the caretaker for pet care expenses. Naming a different person as trustee than as caretaker adds an extra layer of protection, ensuring that there is someone else responsible for watching over the caretaker to ensure your pets are being kept in a good home and the money in the pet trust is being used for your pets’ expenses. The pet trust may last for the lifetime of your pets. Upon the death of the last of your pets to die, you may specify how you want any assets remaining in the pet trust distributed. For example, you may leave the remaining assets to a family member, friend, the caretaker, or a charity. If you truly view your pets as members of your family, you should consider asking your estate planning attorney about your options to provide for your pets when you are no longer here to care for them. 18 | BUSINESS LEADER • April 6, 2020
Attorney Kayla Murphy Ruder Ware
Clicking jobs away Author explores automation’s impact on workforce
BOOK REVIEW
Title: “A World Without Work: Technology, Automation and How We Should Respond” Author: Daniel Susskind Pages: 320 Publisher: Metropolitan Books (c. 2020)
By Terri Schlichenmeyer The Bookworm
Click. And with that quiet little sound, an email is sent, a door is unlocked, an alarm is engaged, a recipe is downloaded or a machine is launched. Whether you listen for it or you’re so used to it that you don’t hear it anymore, the fact is that we need that click to happen. In the new book “A World Without Work” by Daniel Susskind, you’ll see if that click doesn’t need us. Every time there’s new technology, there’s an accompanying outcry of doom to go with it. It happened when automobiles took over for horses. It happened when e-books were invented. We must presume that it’ll happen with the next big thing. “Yet those fears,” writes Susskind, “time and again, have turned out to be misplaced.” For most of human history, work-for-pay didn’t exist; our ancient ancestors merely hunted what they needed. Economics and the desire for possessions are relatively recent ideas “propelled by sustained technological progress …” which ultimately impacts “not only the amount of work, but also the nature of that work.” We aren’t, in other words, replaced by machines but our work is “complemented” by them. Framed like this, and remembering that we should look at a job’s various tasks rather than the overall job itself, we can see a clearer picture of technology’s place in that job’s future. What we’re seeing now, however, is a “’polarization’ or ‘hollowing out,’” says Susskind, in which labor markets are “two-tiered.” There are plenty of jobs on the high end of the wage scale and lots on the low end, but there aren’t many “middling-pay” jobs. More education may help maintain a level of employment, but that will depend on several factors.
Ultimately, he says, there won’t be enough jobs available for everyone who wants one, which may lead to a total reassessment of what constitutes “a job.” The government will need to get involved, it might mean a modified universal basic income, and while it may not affect you, it will certainly affect your children. For this reason, says Susskind, we must take the issue of a world without work “very seriously.” At first blush, this book may feel more terrifying than a dystopian sci-fi novel: Author Susskind seems to share his information with calm, just-the-facts neutrality, and it’s bleak. Close the back cover of “A World Without Work,” though, and let it settle ... In a way, as Susskind proves, “work” as we see it has been in flux for all modern employees for generations; it’s only recently that many have viewed that constant change with something approaching dread. This, and the subsequent essential points that follow here, are explained simply and accessibly for readers with time but without MBAs. Mercifully, for those who mourn the ghost of employment future and who want to reverse time, Susskind leaves hope for you, in the form of surprisingly not-so-new ideas. While this book is not exactly a beach read, it’s filled with things all employees should know. If you worry about your future The Bookworm is Terri Schlichenmeyer. Terri has been reading since she was 3 workday, “A years old and never goes anywhere without World Without a book. She lives on a hill in Wisconsin with two dogs and 15,000 books. Work” should really click. April 6, 2020 • BUSINESS LEADER | 19
GUEST COLUMN
Get your Vs aligned Four key ingredients help attract customers
Justin Vajko owns Dialog Design Co., an Eau Claire-based marketing, branding and website firm. Contact him via email at justin@dialogwith.us or visit the firm's website at www.dialogwith.us.
By Justin Vajko Dialog Design Co.
You can build a good reputation by doing great work or by creating great products. But how do you grow your reputation beyond wordof-mouth? I mean, referrals aren’t exactly a predictable way to generate leads when you need them. That means that if you don’t have a predictable system to grow your company’s reputation and attract more leads, you’re going to stay at the same size forever. So if you want to scale your reputation, you need a brand. Here are four critical marketing principles you absolutely must get right if you want to be able to get sales now and in the long term using your brand.
Visibility
For more people to know about you, you simply need to advertise. If people don’t know about you, they won’t be able to do business with you, regardless of how much better you are than the competition. Unfortunately most businesses advertise too little. Many folks dip their toe into the pond of marketing one time, don’t experience any results, and throw in the towel claiming it doesn’t work. So the first thing any one business needs to succeed in growing their business is to actually get out there and get visibility in the marketplace. Want to advertise more efficiently? No problem. You can do this by creating a target audience persona. This exercise helps you put yourself in your customer’s shoes and identify what “watering holes” they’re hanging out at online or in person. What social media channels do they prefer? Where do they get their information about buying your product? What events do they attend? Answer these questions and you’re on your way to putting your advertising in places where more customers can actually find you.
20 | BUSINESS LEADER • April 6, 2020
Values
Most small businesses don’t think about what their values are because the owner literally touches every part of the business and lives out the values in the business every day. But when a company starts growing and you start adding on team members, identifying your values becomes critical. Over time, good team culture stems from knowing your values and hiring on them. Good culture contributes to your reputation. If you have a happy, productive team, it’s going to help you serve your customer better and they’ll note the difference. So ask yourself: What values does our company stand for? What do we want to be known for? What are we the best at? Write down the answers. This is the start of your brand and informs the next two Vs.
Visuals
Once you know what you stand for as a company and who your target audience is, you can create a visual look that communicates your values to potential customers who are looking for those things in a company. Your logo, advertising and website should all reflect the answers to the values question while considering the desires of your target audience. Every time I’ve seen clients skip the values portion of their marketing, they end up with a boring, forgettable logo and brand identity. But when I’ve seen clients stake a claim in what they’re going to be the best at or what they want to be known for, I’ve seen it bring alignment to their visuals that makes them stand out in all of the best ways and attract the right customers. In short, they look the part they want to be known for. Send the right signals to potential buyers by making sure you have your visuals right. Work with a professional graphic designer or firm who will know how to translate your values into visuals.
Verbals
Have you ever seen a commercial or tagline that makes you roll your eyes at how completely out of touch it sounds? It’s amazing how much written and spoken marketing communication is just plain bad or unclear. Writing a tagline and creating your elevator pitch are where many business owners and even marketers try to get too clever and create a message that simply confuses people instead of helping them want to do business with you. One way to create a better elevator pitch and marketing message is to start by identifying the problem your customers deal with. Then position your company as the solution and end the statement by painting a picture of what life looks like after your customer buys your product or experiences your service. For example, an HVAC cleaning company could say “Your sneezing and cold-like symptoms could be
the result of dirty air in your home (problem). Our company offers free air duct inspection and affordable cleaning (solution) so you and your family can breathe easy and feel comfortable in your home (end result).” Problem, solution, what life looks like afterwards – all there in two sentences. One more thing on verbals: I often see clients use jargon because it’s an easier way to talk about concepts that are more advanced. Using jargon is fine for employee to employee talk but not for customer communications. Jargon will confuse your customers, not help them choose you. If you use clear and compelling language with your marketing, this alone could revolutionize your advertising. But align your values, visuals, verbals and visibility and you’ll create an unstoppable reputation for your company. That’s how you build a scalable reputation.
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April 6, 2020 • BUSINESS LEADER | 21
Legacy gacy StoneS Ston CHIPPEWA VALLEY
coming Soon 2020
Order online at
Receive an american Flag and a commemorative pin at the dedication ceremony as a special thank you for ordering a Legacy Stone.
www.ecveteransfoundation.com
Custom-engraved stones are a $500, taxdeductible donation to the Eau Claire County Veterans Tribute Foundation. The proceeds go directly to the construction of the Veterans Tribute Park and the mission to educate the public about the cost of freedom. Legacy Stones are solid gray granite, 12”x 12” square x 2”thick. Please make checks payable to Eau Claire County Veterans Tribute Foundation and mail to PO Box 1422 Eau Claire, WI 54702
You can also choose from these five branch emblems at no extra cost. Please X out one line of choice above for emblem. ArmY
NAVY
mArINES
AIr FOrCE
COAST GuArD
mErChANT mArINES
Enclosed is my tax-deductible donation of $500 for a 12” x 12” square x 2” Legacy Stone inscribed with the following letters. (No punctuation may be used.) maximum 5 lines with 16 characters per line.
SuppoRt
Name_____________________________________________________________________Phone_________________________Date____________ Address______________________________________________________City___________________________State____________Zip___________
Our HistOry. Our COmmunity. Our Veterans.
22 | BUSINESS LEADER • April 6, 2020
BY THE NUMBERS
BUSINESS LOANS AND SERVICES
$2.2 trillion
Value of rescue package created by Congress and approved by President Donald Trump on March 27 in response to damage done to the U.S. economy by the coronavirus.
5,163
Wisconsin employees who received layoff notices by the end of March 27, according to filings that companies submitted during just the first three months of this year to the Wisconsin Department of Workforce Development. In the prior two years — all 12 months — there were 8,587 and 8,426 workers, respectively, who lost jobs at companies that reported mass layoffs to the state.
Federally insured by NCUA
SBA Loans
WESTconsin Credit Union is proud to be a chosen SBA Express delegated lender by the U.S. Small Business Administration (SBA). SBA 504 Loans
$2.2 billion
Goods and services subject to sales tax that were sold during 2019 in Eau Claire County. That’s a 0.7% increase — about $15 million more sold in the county — over 2018’s total.
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New non-farm jobs created in Wisconsin during February, according to state data. That compares to 17,800 in February 2019.
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$171.5 million
Value of construction projects that got building permits during 2019 in the city of Eau Claire. This represents the fifth-highest annual value in the city’s history and included a notable rise in residential construction.
15 CONVENIENT LOCATIONS
(800) 924-0022 | westconsincu.org April 6, 2020 • BUSINESS LEADER | 23
100 YEARS.
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