April 2013 In Business Magazine

APR. 2013

Roundtable: U.S. Businesses Urgently Need Global Leadership Skills

Is It a Win for Our Economy?

Power Lunch By the Numbers Business Calendar $4.95 INBUSINESSMAG.COM

This Issue You Are Here Summer Travel Guide

A Jean-Georges Vongerichten Creation

April 2013

www.inbusinessmag.com In Business Magazine is a collaboration of many business organizations and entities throughout the metropolitan Phoenix area and Arizona. Our mission is to inform and energize business in this community by communicating content that will build business and enrich the economic picture for all of us vested in commerce.

Partner Organizations

Rick Murray, CEO Arizona Small Business Association Central Office (602) 306-4000 Southern Arizona (520) 327-0222 www.asba.com

Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 • www.aztechcouncil.org

Located at The Phoenician 6000 E. Camelback Road, Scottsdale, AZ 85251 (480) 214-8000

Lynda Bishop, President NAWBO Phoenix Metro Chapter (602) 772-4985 • www.nawbophx.org

www.jgsteakhousescottsdale.com Rick Kidder, President & CEO Scottsdale Area Chamber of Commerce (480) 355-2700 • www.scottsdalechamber.com

Mary Ann Miller, President & CEO Tempe Chamber of Commerce (480) 967-7891 • www.tempechamber.org Our Partner Organizations are vested business organizations focused on building and improving business in the Valley or throughout Arizona.

As Partners, each will receive three insert publications each year to showcase all that they are doing for business and businesspeople within our community. We encourage you to join these and other organizations to better your business opportunities. The members of these and other Associate Partner Organizations receive a subscription to In Business Magazine each month. For more information on becoming an Associate Partner, please contact our publisher at info@inbusinessmag.com.

Associate Partners Ahwatukee Foothills Chamber of Commerce www. ahwatukeechamber.com Arizona Chamber of Commerce & Industry www.azchamber.com Arizona Hispanic Chamber of Commerce www.azhcc.com Chandler Chamber of Commerce www.chandlerchamber.com Economic Club of Phoenix www.econclubphx.org Glendale Chamber of Commerce www.glendaleazchamber.org Greater Phoenix Black Chamber of Commerce www.phoenixblackchamber.com Greater Phoenix Gay & Lesbian Chamber of Commerce www.gpglcc.org Mesa Chamber of Commerce www.mesachamber.org North Phoenix Chamber of Commerce www.northphoenixchamber.com North Scottsdale Chamber of Commerce www.northscottsdalechamber.org Peoria Chamber of Commerce www.peoriachamber.com Westmarc www.westmarc.org

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A p r i l 2013

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At Waste Management, giving back is a responsibility we take to heart.

Learn more at www.wmofarizona.com

A community partner.

Waste Management is a valued and trusted community partner. Every year, we give back tens of thousands of dollars to community organizations in need.

Waste Management is proud to support Big Brothers Big Sisters of Central AZ, the Special Olympics, Keep Phoenix Beautiful and Habitat for Humanity.

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Š201 Waste Management, Inc.

APR. 2013

IN BuSINESS MAGAZINE

Contents

Roundtable: U.S. Businesses Urgently Need Global Leadership Skills

April 2013

SPORTS

24

Is It a Win for Our Economy?

APRIL 2013 • inbusinessmag.com

Sports Means Business: Is It a Win for Our Economy?

Power Lunch By the Numbers Business Calendar $4.95 INBUSINESSMAG.COM

This Issue

You Are Here Summer Travel Guide

Sports is valued as entertainment and recreation, but J. Rentilly looks deeper at how sports has provided a sunny side up to the Arizona economy, richly impacting revenue and employment in a variety of markets and fields at a time when both have been sorely needed.

Departments

11 Guest Editor

Features

20 Trucking: Moving Commerce

Don Rodriguez looks at the state of the trucking industry in Arizona and the infrastructure that enables this backbone of commerce to function.

30 Strengthening the Pipeline for

References

Customer references can be a cornerstone of a business’s growth strategy — if they’re not derailed by common mistakes that Bill Lee describes in this wake-up call to business owners.

30

32

32 Check the Vital Signs of

Client Relationships

Andrew Sobel suggests benchmarks for business owners to perform annual checkups to keep client relationships healthy.

38 Stress and Bullying Take a RaeAnne Marsh explores situations, repercussions, and how caring for their human assets will impact companies’ bottom line.

Special Section

Summer Travel Guide

Destination close-ups encounter Northern Arizona, Kauai, London and San Diego.

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A p r i l 2013

14 Briefs

“Microsoft Biz Hub ,” “Knowing Asian Business,” “Healthcare Cost Calculator,” “Multi-family Gains Benefit Chandler,” “FIRE & ICEE,” “Local Banks Merge, Establish Stronger Capital Position,” Packaged Water Company Aims to Help Local Economy” and “’First to File’ Patent System Replaces ‘First to Invent’”

18 By the Numbers

Sports is a numbers game.

Plus: Key economic indicators provide a sense of the health of the local economy.

San Die

go

ern Ar

izona

Hawa

ii

From tra Ph these velers are oenix, vis great destina iting tions Lo ndon

t deal s,

destin

View from the top looks at how Aaron Matos turned a simple jobs board into a comprehensive job search and recruitment tool.

New releases explore new strategies of business marketing.

MeR TraV el

Grea

Noted business and community leaders Debbie Castaldo, Robin Milne and Kimberly Trichel respond to IBM’s burning business question of the month.

31 Books

SUM

North

12 Feedback

22 Trickle Up

Toll on Business

45 You Are Here

Michael K. Kennedy, Arizona Super Bowl Host Committee member and shareholder of Gallagher & Kennedy, P.A., introduces the “Sports” issue.

ations

and m ore in sid

e…

34 Nonprofit

American Cancer Society Southwest Center for HIV/AIDS

42 Assets

The 2014 Maserati Quattroporte GTS Plus: Top mice to improve performance on the computer

43 Power Lunch

The Capital Grille Plus: Lunch break locales to catch up midday on scores and more

66 Roundtable

U.S. businesses urgently need to develop global leadership skills.

Business Education

40 Intellectual Property: Protecting a Core Business Asset

In this second of a three-part legal series, Lewis and Roca attorney Flavia Campbell discusses key intellectual property issues business owners face during the early stages of their enterprises.

On The Agenda

35 Spotlight

Learning Initiatives for Entrepreneurs Program Economic Club of Phoenix

36 Calendar

Business events throughout the Valley On the cover: Chase Field, courtesy of Arizona Diamondbacks

inbusine ssmag.com

PREVENTION MATTERS. MORE THAN OF ADULTS AGES 20-64

90%

Cavities are

100%

nearly

HAVE AT LEAST ONE CAVITY.

The likelihood to seek preventive care INCREASES with dental benefits.

preventable.

31%

81%

w/o insurance

with dental insurance

visit the dentist 2x or more annually

MEET THE VARGAS FAMILY The Vargas family had the following dental services performed in the past year: Father: 2 preventive visits and 1 periodontal service Mother: 2 preventive visits and 1 crown Son: 2 preventive visits and 1 filling Daugther: 2 preventive visits

EvEry SmilE mattErS. GEt DElta DEntal .

Cost of care without Delta Dental insurance:

$2,802 Cost of care with Delta Dental insurance:

$1,488 DEltaDEntal aZ.com

Data used is reflective of average claim charges and discounts for the Delta Dental PPO Network (12/2012). This information is intended for illustration purposes only. Your actual claims and plan premium may differ from the amounts reflected.

April 2013 • Vol. 4, No. 4

passionate about your profitability Publisher Rick McCartney

At Holmes Murphy, we think providing you with innovative answers

Editor RaeAnne Marsh

to the ever-increasing challenge of rising healthcare costs is one

Art Director Benjamin Little

Contributing Writers Kathleen Brush Flavia Campbell Dave O. Dodge Mike Hunter Bill Lee J. Rentilly Don Rodriguez Andrew Sobel Alison Stanton

of the most important things we can do to affect your company.

That’s why we take the time to get to know your company’s challenges and consult with you to provide the highest-quality, lowest-cost solutions — tailored especially for your business.

If you are looking for an advisor who understands the complexities of Employee Benefits and a partner who helps you develop the right financial solutions, call Holmes Murphy — the nation’s 26th-largest* broker.

Photographer-at-large Dan Vermillion

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Jay, Hallmark Global Tech.

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Operations Louise Ferrari

lferrari@inmediacompany.com

Senior L ouise Ferrari Account Executives lferrari@inmediacompany.com

Cami Shore

cshore@inmediacompany.com

Greg Stiles

gstiles@inmediacompany.com More: Visit your one-stop resource for everything business at www.inbusinessmag.com. For a full monthly calendar of business-related events, please visit our website.

Inform Us: Send press releases and your editorial ideas to editor@inbusinessmag.com.

President & CEO Rick McCartney Editorial Director RaeAnne Marsh Senior Art Director Benjamin Little Financial Manager Donna C. Mitchell, CPA

Corporate Offices 6360 E. Thomas Road, Suite 210 Scottsdale, AZ 85251 T: (480) 588-9505 F: (480) 584-3751 info@inmediacompany.com www.inmediacompany.com

Vol. 4, No. 4. In Business Magazine is published 12 times per year by InMedia Company. POSTMASTER: Send address changes to InMedia Company, 6360 E. Thomas Road, Suite 210, Scottsdale, AZ 85251. To subscribe to In Business Magazine, please send check or money order for one-year subscription of $24.95 to InMedia Company, 6360 E. Thomas Road, Suite 210, Scottsdale, AZ 85251 or visit inbusinessmag.com. We appreciate your editorial submissions, news and photos for review by our editorial staff. You may send to editor@inbusinessmag.com or mail to the address above. All letters sent to In Business Magazine will be treated as unconditionally assigned for publication, copyright purposes and use in any publication, website or brochure. InMedia accepts no responsibility for unsolicited manuscripts, photographs or other artwork. Submissions will not be returned unless accompanied by a self-addressed, stamped envelope. InMedia Company, LLC reserves the right to refuse certain advertising and is not liable for advertisers’ claims and/or errors. The opinions expressed herein are exclusively those of the writers and do not necessarily reflect the position of InMedia. InMedia Company considers its sources reliable and verifies as much data as possible, although reporting inaccuracies can occur; consequently, readers using this information do so at their own risk. Each business opportunity and/or investment inherently contains certain risks, and it is suggested that the prospective investors consult their attorney and/or financial professional. © 2013 InMedia Company, LLC. All rights reserved. No part of this magazine may be reproduced or transmitted in any form or by any means without written permission by the publisher.

inbusine ssmag.com

Michael Kennedy, Arizona Super Bowl Host Committee, Shareholder, Gallagher & Kennedy, P.A.

Guest Editor

Sports Scores Big for Business

Michael Kennedy is a founding partner of Gallagher & Kennedy. He served as chairman of the Arizona Super Bowl Host Committee from 2005-2012 and as chairman of the 1994 Phoenix Open.

He has been president of the Arizona Diamondbacks Foundation and chairman of the Thunderbird International Junior golf tournament since their inception.

Kennedy practices in the area of commercial litigation, was an inaugural member of the Maricopa County Bar Hall of Fame, and has been consistently recognized during the past decade by Best Lawyers, Chambers USA, Super Lawyers and Lawdragon as a leading lawyer in America.

Here in Arizona, we have the year-round privilege of being able to root for our home-town team, as Metro Phoenix is host to professional teams for baseball, football, basketball and hockey. Not to mention such major events as Waste Management Phoenix Open, the Super Bowl, MLB All-Star Game and NASCAR. But sports has value far beyond entertainment. As an industry, the business of sports impacts our economy off the field, court or ice, more than on it.

Hopefully, many of you remember and directly benefited from our hosting Super Bowl XLII in 2008 and its $501-million economic impact, as calculated by ASU’s W. P. Carey School of Business. We are planning to exceed that half-billion dollars in 2015 with recently awarded Super Bowl XLIX. And perhaps in March you were on an airplane to Sky Harbor and noticed the number of passengers sporting their favorite MLB team hat, preparing for a few days of Spring Training and Arizona Hospitality — to the tune of a $422-billion economic impact. Not to be overlooked are the economic impact, global exposure and annual $7-million contribution to Arizona charities by the venerable Thunderbirds as host of the Waste Management Phoenix Open. Arizona is truly at the epicenter of professional sports and sporting events!

In his cover story that takes a behind-the-scenes look at some of our biggest sporting events, J. Rentilly delves into the development, the employment and the process of growing the sports businesses here.

Members of the Arizona Tourism and Sports Authority, food and beverage vendors, building contractors and members of the Phoenix Regional Sports Commission are among the many players who help him scout out the value and reach of sports as business.

Even in today’s Knowledge Age, much commerce relies on trucking to transport materials and merchandise, and Don Rodriguez explores the business sector of trucking in Arizona for this issue of In Business Magazine. Bill Lee examines the crucial business practice of using customer referrals as a growth strategy as he discusses “Why Customer Reference Programs Fail.” Providing insight on another function at the core of business, Andrew Sobel offers suggestions to strengthen B2B connections in “Check the Vital Signs of Client Relationships.” And in this installment of the Education Series on legal issues of business, Lewis and Roca attorney Flavia Campbell provides insight into protecting a business’s intellectual property.

This issue debuts a special twice-yearly feature — a travel guide to selected destinations, with articles that give a broad view of the experience to be enjoyed there plus specific suggestions for attractions and activities, dining and accommodations.

There is so much more in this issue of In Business Magazine. I know you’ll get something from it as we who are invested in this community continue to work hard on building our individual companies and thereby strengthening our economy.

Sincerely,

Michael Kennedy Arizona Super Bowl Host Committee Shareholder, Gallagher & Kennedy, P.A.

No Shortage of Things to Do Arizona makes the national news consistently for all kinds of reasons, but even the recurrence of negative press doesn’t seem to stop the desire by visitors (or us locals) from attending the premier sporting events occurring right here in the Valley.

With two Super Bowls in the last seventeen years, new venues that impress teams from elsewhere, top championship games and fans that continue to follow our teams, it is no wonder our economy benefits from the business of sports.

inbusine ssmag.com

Connect with us: A clear “champ” himself, Mike Kennedy led the charge to award us Super Bowl XLIX and is arguably our greatest advocate when it comes to laying out a strong foundation to build a robust sports industry here. We want to thank him for leading this sports issue of In Business Magazine.

Sports has become more than a cottage industry in the Valley and we look forward to more.

—Rick McCartney, Publisher

Story Ideas/PR: editorial@inbusinessmag.com Business Events/Connections: businessevents@inbusinessmag.com Marketing/Exposure: advertise@inbusinessmag.com Or visit us online at www.inbusinessmag.com

A p r i l 2013

11

Feedback

Valley Leaders Sound Off

Executives Answer

Sports as a business has a tremendous impact on the local economy; as entertainment, it affects the cultural scene of our community. Pertaining to another realm in which the major teams contribute to our local quality of life, in what ways does your organization support the community?

Debbie Castaldo Executive Director Arizona Diamondbacks Foundation Sector: Nonprofit

Robin Milne Executive Director Phoenix Suns Charities Sector: Nonprofit

To say the Arizona Diamondbacks have a passion for community giving is an understatement. Established in 1997, the Arizona Diamondbacks Foundation supports three main areas of need: homelessness, indigent healthcare and children’s programs of all types, including education and youth baseball field development. In addition, the Foundation has established charitable programs that address the needs of veterans, educators and everyday heroes. The Diamondbacks and its Foundation have made charitable contributions totaling more than $33 million to nonprofit organizations from across Arizona — making the D-backs one of the most impactful organizations in Arizona and in sports.

Funds are raised through events such as the annual Evening on the Diamond presented by University of Phoenix, 50/50 Raffle supported by Western Refining, D-backs Celebrity Golf Classic presented by Chase, D-backs Race Against Cancer presented by Dignity Health, Diamonds Back Field Building Program in partnership with APS, and the D-backs License Plate Program. The Foundation distributes funds through our grants and Grand Slam Awards, Diamonds Back Fields, education initiatives, Youth Baseball and outreach programs, and strategic partnerships with community partners addressing complex issues facing our community.

Phoenix Suns Charities was launched in 1988 with the vision to give every child in Arizona the opportunity to maximize his or her potential. The Phoenix Suns is the original professional sports franchise in Arizona and was one of the first NBA teams to form a foundation. Since its inception, Suns Charities has donated in excess of $13 million to more than 200 nonprofits.

Currently, Suns Charities grants more than $1 million annually. The charity also awards almost $40,000 annually in college scholarships. This past year, Phoenix Suns Charities created an education-based partnership with Central High School, known as “SunsCentral.” This partnership is the result of a $500,000 grant that Suns Charities donated to Central High. The program focuses on four key factors that directly impact a student’s likelihood of graduating: success in the classroom, attendance at school, mentoring and work-study.

Phoenix Suns Charities will continue to expand its outreach in the community, and is thankful to be a part of an organization that is dedicated to making big plays on and off the court.

Arizona Diamondbacks arizona.diamondbacks.mlb.com

Phoenix Suns Charities nba.com/suns/charities

Debbie Castaldo enters her fifth season with the Arizona Diamondbacks, overseeing the organization’s community giving as VP of corporate and community impact and executive director of the Arizona Diamondbacks Foundation. Castaldo leads the team’s industryleading community efforts that include charitable contributions totaling $33 million. Under Castaldo’s guidance, the organization became the first professional sports team to win the 2010 United Nations NGO Positive Peace Award.

Robin Milne, executive director of Phoenix Suns Charities, works alongside the board of directors to raise and grant more than $1 million annually to nonprofit organizations dedicated to bettering the lives of Arizona children and families. Milne, who resides in Paradise Valley with her husband, Richard, is active with ASU’s Foundation for Women & Philanthropy and Banner Health’s Alzheimer’s Foundation.

Kimberly Trichel Director of Community Relations Phoenix Coyotes Charities Sector: Nonprofit The mission of the Phoenix Coyotes nonprofit, Coyotes Charities, is to enhance the quality of life throughout Arizona communities by supporting nonprofit organizations that promote healthcare, education, cultural arts and sports-related programs for children. Our grant program gives us a chance to financially support the community and opens the door to volunteer opportunities as well. Our players, mascot, cheerleaders, NHL alumni and management staff make several appearances throughout the year at local nonprofit events,

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A p r i l 2013

hospitals, schools and community events. We are very fortunate to have generous corporate partners and individual donors that contribute to our Tickets for Kids program that allows children from a nonprofit to attend a Phoenix Coyotes hockey game. We hold free hockey clinics weekly at Valley schools, nonprofit organizations and home games to give back to the community and educate Arizona about hockey. The majority of our funding comes from events such as a yearly Golf Tournament and Community Carnival. We also have in-game fundraising through our 50/50 Raffle and Ticket Fundraising Grants. We are very proud to be a part of the Valley and are always open to new ways to support Arizona’s thriving community.

Phoenix Coyotes phoenixcoyotes.com

This is Kimberly Trichel’s sixth season with the Phoenix Coyotes. She has been in her current role as director of Community Relations since July 2012, overseeing Coyotes Charities and the Community Relations Department. In her previous role as manager of Hockey Administration, she assisted General Manager Don Maloney with all hockey operations-related items. Before joining the Coyotes organization, Trichel worked several years for the Central Hockey League.

inbusine ssmag.com

Briefs

Quick and to the Point

Bytes Microsoft Biz Hub Microsoft’s Business Hub is dedicated to helping small business thrive through business products, support and resources. Microsoft is supporting the Braddock’s Procurement Opportunities Guide online as an e-Guide.

A key tool in helping small businesses secure government contracts, it provides information on how to compete with large corporations. procurement_guide

Knowing Asian Business Asiagate, a leader in Asian corporate credit information, offers members a one-stop shop for Asian business intelligence with a dozen national credit information agencies across Asia to provide a searchable database of nearly 13 million business records, from China to Vietnam, for those doing global business in that region. Membership fees apply. www.asiagategroup.com

Healthcare Cost Calculator The new healthcare reform law allows small businesses to purchase healthcare coverage at group rates from the new Health Insurance Exchanges and provides significant tax credits to help small businesses pay for this coverage. Businesses can use the link below to find out how they will be affected by the Patient Protection and Affordable Care Act. housedocs.house.gov/energycommerce/ smallbusiness/smallbusiness.html

Go online for more!

Multi-Family Gains Benefit Chandler

The new development that broke ground in March at Alma School and Pecos roads represents a planning change by the City of Chandler’s economic development department.

Because the city was already considering whether to change the zoning on some properties — and what to change to — as a result of the recently completed “4-Corner Retail Study,” Chandler was open to developer Michael Pollack’s application to rezone the Alma School/Pecos property from commercial to multi-family.

“I originally bought this piece of land seven years ago with the intention of building a retail center, and then, as time went on, too many shopping centers went up around it and I believed we really didn’t need any more shopping centers built along the Alma School Road corridor. So I felt the highest and best use for this Alma School property should be multi-family,” says Pollack.

Jeff Kurtz, planning administrator for Chandler, says, “It provides housing opportunity that does not already exist.” Pollack, who is involved in a similar rezoning project for another property at the same intersection, sold the property to Tucson-based Aerie Land Development, L.L.C., whose plan Pollack describes as “a creative, one-story, low-density, multi-family housing plan.” Comparing the housing to casitas, Kurtz notes that, even though they are market-rate rentals, “they are all individual buildings, with no one above, below or next to” each unit.

Kurtz observes the property is undersized for traditional shopping centers and that there was overcommercialization along Alma School Road. The new project not only “takes away from the overcommercialization,” he says, “it supports existing commercial in the area” by bringing greater population density.

—RaeAnne Marsh City of Chandler chandleraz.gov Michael A. Pollack Real Estate Investments pollackinvestments.com

Visualize This

Seeing Is Believing FIRE & ICEE

Colliers International, a leading

commercial real estate firm in the Valley, offers a series of videos on our local market.

The “Colliers Market Insight” videos are relevant commentaries on the latest market trends and insights by Bob Mulhern, managing director for Greater Phoenix. To

Visit our “Briefs” link online.

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A p r i l 2013

sign up for these weekly videos and market information, visit www.colliers.com.

inbusine ssmag.com

Image courtesy of Aerie Land Development, L.L.C.

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Briefs

Quick and to the Point

‘First to File’ Patent System Replaces ‘First to Invent’

The change in United States patent laws that went into effect on March 16 of this year is intended to better align the U.S. with all other industrialized countries, in that all countries now utilize a “first to file” standard as opposed to “first to invent” when determining who has priority to an invention. Previously, if a company could show it was, in fact, the first to invent the item, that carried more weight than the date on the patent application. The new system, however, turns this around, putting a greater push on companies to both expedite their internal R&D processes and monitor their competitors’ activity.

Gavin J. Milczarek-Desai, Ph.D., co-managing partner of Quarles & Brady’s Tucson office and a registered patent attorney, suggests businesses address this change by expediting internal processes for disclosing and reviewing inventions and for making decisions about which inventions have merit for filing a patent application.

Another strategy Dr. Milczarek-Desai describes is defensive early publication “if a company is not interested in a patent; maybe the item will last only a few years, too short to go through the time and expense of the patent process.” Patents are awarded to a device, product, composition of matter, method, or article of manufacture if it is new and not obvious, he explains, and by getting the item into the public domain, a company circumvents a competitor presenting it as something new.

He also notes the importance of monitoring competitors’ published patent applications and patents. “There will be an ability to challenge, and the earlier you do it, the cheaper and more effective [that challenge] will be.”

—RaeAnne Marsh Quarles & Brady, LLP quarles.com United States Patent and Trademark Office uspto.gov

Packaged Water Company Aims to Help Local Economy

The idea was ahead of its time when Liesl Harder Kielp, founder and president of AguaSAC, L.L.C., began talking with colleagues three years ago about packaging water in a pouch. “The film structures available were not conducive to water — they would taint the flavor,” explains Kielp, who is also founder of EnVision Flexible Packaging, referring to the material used for making the containers.

Modifications over the last few years have overcome that hurdle, and Kielp’s package design overcame another. While most packages of this type have a gusset on the bottom, Kielp’s have side gussets. “It makes the pouch more like drinking from a bottle or a juice box,” she says, noting it has more structure and stability, and the consumer can handle it without squeezing the contents out.

After putting a year into development, Kielp launched the product the first of February with Sedona Bottling Company’s natural artesian water. Kielp felt it was a good fit for two reasons. It is naturally fresh and healthful water packaged in pouches that are completely recyclable and free of the Bisphenol A, a controversial chemical compound. And, she says, “both AguaSAC and Sedona are Local First companies, and I’m on a mission to push local businesses … [it] helps our economy.”

To affix the labels on the pouches, Kielp provides employment for disabled individuals in the community. AguaSAC works with the Arizona Foundation for the Handicapped, which hires workers through its own organization, and with Southwest Autism Research & Resource Center, which trains the individuals and then mainstreams them away from SAARC to become direct employees of AguaSAC. Kielp also created a packaging line that enables AguaSAC to achieve the same speeds as bottling lines. “Filling speeds [for pouches] can be very slow, and that’s the reason pouches have not taken off in the U.S. as they have in Europe,” she explains. This innovation enables AguaSAC to handle large orders as well as ones as small as 100. Offering customized labeling that puts any business’s information and logo on the front of the pouch, AguaSAC markets to businesses that give water to their visitors, retailers such as Starbucks and Bashas’ that sell it to their customers, and even youth organizations such as Little League that can use them for fundraising..

—RaeAnne Marsh AguaSAC, L.L.C. aguasac.com

The merger of First Scottsdale Bank and Commerce Bank of Arizona, Inc.’s parent company, CBOA Financial, Inc., will establish the new entity as the second-largest commercial bank franchise headquartered in Arizona when the transaction closes, which is expected to happen in the second half of this year. The new Commerce Bank — the name under which the merged entity will operate — will have more than $300 million in assets and “will have more ability to raise capital,” says Rich Vogel, chairman and CEO of First Scottsdale Bank. “Our combined organizations

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A p r i l 2013

are in a very strong capital position and we will be aggressively lending to credit-worthy customers in both Phoenix and Tucson.”

Consolidation is a trend in the banking industry nationwide, says Paul Hickman, president of the Arizona Bankers Association, “and Arizona is no exception.” He notes that compliance and technology costs have made community banking a more difficult endeavor, and says that, because of economies of scale, “banks can deal with increased compliance costs better when they’re a larger institution.”

Vogel, who has been a banker for 30 years,

says he’s seen many swings in the market.

“Nothing stays down forever,” he says. “We already see some recovery in the economy.”

Noting they are now in the two largest markets in Arizona and that they are “very bullish on both markets in the long run,” Vogel adds, “”We are a stronger bank with the combination of these two banks; we are stronger than if we operated alone.”

— RaeAnne Marsh First Scottsdale Bank fnbscottsdale.com Commerce Bank of Arizona commercebankaz.com

inbusine ssmag.com

Photo courtesy of AguaSAC, L.L.C.

Local Banks Merge, Establish Stronger Capital Position

By the numbers

by Mike Hunter

Metrics & Measurements

Sports Figures Are Prime Here

Key Indicators

Major events bring millions of dollars to the Valley Sports is an attraction, no doubt about it.

Blockbuster events attract impressive numbers; more importantly, they generate impressive numbers in a far-reaching impact that this issue’s cover story explores. The Valley is host to a great number of these marquee events for a variety of sports, both professional and amateur.

Golf aficionados and the socially connected alike flock from near and far to the calm, hushed greens of PGA Tour highlight, the Waste Management Phoenix Open. The annual event impacts the local economy to the tune of millions; the total in 2012 was $222 million.

Another major event, the Super Bowl, draws thousands of visitors to the testosterone-laden gridiron contest and pumped more than $500 million into our economy when it was here in 2008. Equally high-octane is NASCAR, bringing more than $400 million annually with two Sprint Cup weekends at Phoenix International Raceway.

And recently, when budget cuts that the City of Phoenix was wrestling with caused it to consider shutting down the Reach 11 sports complex in North Phoenix, area merchants mounted a campaign to keep the facility open. The facility’s 11 soccer fields, the merchants argued successfully, regularly host tournaments for youth leagues, and the visitors they bring fill the local hotels and restaurants.

But beyond the direct spending by visitors (which, it is worth noting, is a transfusion of out-of-town money into the local economy) is a ripple effect as the purchases impact vendors in the supply chain, add business and employment opportunities, and put money in the wallets of the supporting labor force.

The 2012 Phoenix Open’s economic impact beyond the out-of-town money from visitors included staging costs that went to local businesses for tents, equipment, signage, parking and security, and more. The total for this was close to $50 million.

In similar fashion, our home professional sports teams spend for goods and services as a regular part of our economy — and the Valley is home to many professional sports teams. In addition to the big four (Arizona Cardinals, Arizona Diamondbacks, Phoenix Coyotes and Phoenix Suns), our full slate includes the Arizona Rattlers, whose win last year of the Arena Bowl Championship marked the third championship for our National Conference team, and the Phoenix Mercury, our team in the Women’s National Basketball Association, which brought home WNBA championships in 2009 and 2007.

—RaeAnne Marsh

Key indicators for our state economy are provided in each issue to identify those key numbers that give readers a sense of the health of our local economy.

Economic Indicators (Arizona) Unemployment (Jan. 2013)

Attendance Percentage Out-of-towners

78,603

Fiesta Bowl (2011) 67,232

0.00

2,472.9

0.01

No. of Housing Permits (Feb. 2013)

1,635

-25.14

Consumer Confidence (Q3 2012) (Arizona)

71.3

32.04

Average Hourly Earnings (Dec. 2012)

$22.68

-0.03

Eller Business Research

Retail Sales (Arizona) Retail Sales (in thousands)

Dec. 2012

Jan. 2013

Total Sales

$8,163,059

$6,675,577

5.17%

5.69%

Retail

$5,521,149

$4,101,740

Food

$1,032,383

$1,036,809

Restaurants & Bars

$927,344

$880,576

Gasoline

$682,183

$656,453

Contracting

$818,659

$752,786

Change Y0Y

Elliott D. Pollack & Company edpco.com

Eller Business Research

FMR Associates, Inc. fmrassociates.com

Real Estate

W. P. Carey School of Business wpcarey.asu.edu

Commercial: Office*

Insight Bowl (2011)

Phoenix Open (2012)

55,453

518,262

Spring Training (2012)

25.7%

Net Absorption (in SF)

92,786

1,256,546

Rental Rates (Class A)

$23.45

$23.27

Commercial: Indust.*

1,712,042

60%

29.8%

58%

Net Absorption (in SF)

$349.10

$291.40

$313.20

$300.21

$300

Rental Rates (General Industrial)

Direct Spending by Out-of-town Visitors

$100.6 m

$28.2 m

47.0 m

$89.7 m

$230.4 m

Total Impact

$188.0 m

$47.6 m

$84.6 m

$222.0 m

$422.3 m

Cactus League Employment Impact Cactus Leagues Operations

Wages

Residential: Total Median Sale Price

MLB Operations

Stadium Events 870

$21.1 m

$26.7 m

$32.5 m

A p r i l 2013

1,776,184

$0.51†

$0.46†

Feb. 2013

7,293

7,074

$130,000

$173,226

542

779

New Median Sale Price

$224,396

$266,940

Resale Sales Volume

715

11.2%

2,853,602

New Build Sales Volume

Resale Median Sale Price

527

Q4 2012

12.3%

Feb. 2012

Total Sales Volume

2012

Elliott D. Pollack & Company

18

Q4 2011

Vacancy Rate

Bowl and Phoenix Open: ASU’s W. P. Carey School of Business Spring Training: FMR Associates

Q4 2012

27.9%

42%

Employment

Q4 2011

Vacancy Rate

78%

Average Spending per Visitor per Day

YOY % Change

8.0

Job Growth (in thousands) (Dec. 2012)

Marquee Event Financial Impact BCS Bowl (2011)

Number

6,751

6,295

$122,500

$162,000

* Cassidy Turley Arizona †

Industrial rents are expressed as triple net.

Latest data at time of press

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A p r i l 2013

19

SE C TOR

Industry at Its Best

Trucking: Moving Commerce Public infrastructure as well as business costs impact operations for companies in this core sector

Once a semi gets up to speed on the open road, few things can stop its momentum unless it’s a car trying to edge past. Even then, it’s almost a sure bet who will keep moving if the maneuver is too close. “It’s not the smartest thing to cut off an 80,000-pound trailer,” says Tony Bradley, the new president and CEO at Arizona Trucking Association. And, despite the roadblocks a recession and plunging consumer activity have posed for the nation’s trucking industry over the past five years, Bradley knows the ongoing need for shipping and now a recovering economy will keep the big rigs on the road. “Without trucking, we’re not able to function,” he says.

Over the horizon, better days are returning for trucking. The Winter Trucking Report released recently by Utah-based TAB Bank showed signs of a slowly but steadily improving industry based on such factors as fuel costs and invoices. While TAB Bank provides alternative funding services to a variety of industries, like manufacturing, staffing and technology, the company’s first industry was transportation, and it

20

A p r i l 2013

produces a quarterly report on the trucking industry — an industry whose performance is recognized as a precursor to the economic situation of the country. By the end of January, diesel prices were at their lowest point since August as the nationwide average hit $3.911, calculated to the industry standard of three decimal places. Measuring its core group of trucking clients, the bank found sales volume at the highest point of 2012 in October, then decreasing the rest of the year as the post-holiday shipping season progressed.

For the past 17 years, Collin Stewart, president and owner of Phoenix-based Stewart Transport, has ridden the cycles of the economy. The saving grace for his company — which has a small niche business of shipping kit cars — is that his core business is carrying refrigerated food. “People gotta eat,” he says of the steady demand for meat, produce, dairy and other products. In fact, he actually sees business increase during the holidays because of the big rush to fill client orders. Typically, business trails off in the first quarter of the inbusine ssmag.com

Photo courtesy of McCarthy Building Companies

by Don Rodriguez

Photos courtesy of Avnet, Inc. (top); McCarthy Building Companies (bottom)

new year as companies deplete their stocks and start fresh, he says.

But something different happened in the first quarter of 2012: No downward slide happened. People continued shopping beyond the holidays as the economy started heating up. “This time around, it’s steady for the first quarter but not as strong as last year,” says the immediate past chairman of the Arizona Trucking Association.

In the last five years, there has been a shakeout in the industry as some companies have closed their operations, Stewart says. The reasons vary. Some had problems meeting the federal and state regulations as they tightened, while the increasing cost of fuel made it tough for others to compete, he says.

A big reason some firms stopped operating has been the increasing prices of equipment that needs be replaced. For example, Stewart says, the price of a tractor is 15 percent more than it was five years ago. Sometimes federal mandates mean equipment that otherwise still works needs to be updated or replaced, he notes, pointing out that for inbusine ssmag.com

trailers with refrigeration, pollution controls must be installed to meet standards set by the Environmental Protection Agency.

While other sectors of the economy can increase prices because costs or even demand are up, that can’t easily be done in trucking when customers can just shop around for a better rate from companies pricing low to stay alive. “Rates charged to customers have not rebounded as we’d like to see,” Stewart says. That means finding ways to cut operating costs and increase fuel economy, he says. Some companies have resorted to cutting staff. Stewart, however, has increased staff to its current 70 employees. “With our increased staff, that helps us become efficient,” he says. Efficiency in his industry incorporates the need for enough people working on a rig that no issues of time and safety would be at stake; if it isn’t back on the road fast, potential revenue starts decreasing on that truck plus competitors get the business. Also, engines, tools and other equipment could cause some serious damage on the mechanics if the team is short.

Looking at ways to meet the bottom line is a skill not limited to Stewart’s team. Bradley says the more than 300 companies that comprise the association’s membership are headed by “pretty sophisticated businessmen.” While some industries count the dollars, trucking firms need to measure shipping costs in tenths of a cent multiplied by the mileage that fleets must travel. “Add millions of miles to it and that adds up,” he says.

Another expense that comes up is the cost of accidents. For example, “when freeways shut down [after an accident], it impacts the [trucking] traffic in the Valley,” Bradley says. While driver — truck or passenger vehicle — error often is a cause, roads worn out by years if not decades of use can contribute to risky safety conditions. “You’d be hard-pressed to find any trucking company to say roads are up to par,” Stewart says.

Sometime roads just fall apart, as was the case when Highway 89 in northern Arizona recently split, causing some of the road to shift down and resulting in the highway’s closure. “The infrastructure is always a concern,” Bradley says. With an extensive background in public policy, he notes the highway user fees that pay for road construction haven’t been adjusted for inflation since the 1990s. Those fees are paid through the fuel taxes that every state driver pays at the pump. “Now that folks pay $3 to $4 a gallon, when is it good to talk about how we fund the roads?” asks Bradley.

According to Robert Samour, Arizona Department of Transportation’s senior deputy state engineer for operations, at least 80 percent of the highway system was rated as good or excellent condition during the agency’s most recent annual evaluation. Part of this was due to investing more than $125 million annually for pavement preservation. Yet, “various factors have created a ‘perfect storm’ of funding challenges,” he says. Arizona may find itself concentrating on preserving existing infrastructure as it joins other states to urge Congress and other policymakers to work on identifying more reliable and sustainable funding sources, Samour says.

Through it all, the industry is very much alive. An example is the membership level of the state association, which Bradley says is strong.

“While always a good membership size, the goal is growth,” he says. With the need for trucking never ending, Bradley should get his wish.

Arizona Department of Transportation azdot.gov Arizona Trucking Association arizonatrucking.com Stewart Transport stewarttransport.com TAB Bank tabbank.com

A p r i l 2013

21

Trickle Up

A View from the Top

Aaron Matos: Morphing a Job Board to Recruiting.com His success lies in helping other companies hire the best people

As founder and chief executive officer of Jobing.com and, now, Recruiting.com, Aaron Matos is devoted to helping companies hire the best people in the most timely and cost-efficient ways possible. “I went into human resources early in my career, and found out that most people didn’t really enjoy what they were doing at work,” Matos says.

Along the way, he found a passion for recruiting.

Through his position as a corporate director of human resources for a publishing and media company based in Arizona, Matos saw first-hand the importance of recruiting local job candidates as quickly as possible. He launched a local job board network called Jobing.com in 1999 as a division of his employer’s organization. “In 1999, the Internet was booming globally, and I thought it would be a good way to connect people with jobs.”

In 2001, Jobing.com, L.L.C. was formed. The company, which was one of the first online local job boards, has always had a special focus on recruiting and top-notch customer service. Over the years, Matos has been a pioneer in innovative ways to link employers with employees, including using videos to help with the recruiting process. The company has helped to produce more than 20,000 employer videos alone.

As Jobing.com grew in popularity, Matos realized the Internet was growing right along with it. The constantly growing and changing Internet was challenging at times for Matos, who quickly learned that in order to succeed, he had to adapt to these changes. “The Internet evolved incredibly rapidly, and changes in technology are so fast,” he says. “Things that worked for us in 2000 didn’t work for long.”

On the Job and Beyond ■■ Aaron Matos earned his undergraduate degree at Arizona ■■ ■■ ■■ ■■ ■■

22

State University and his MBA from the Kellogg School of Management at Northwestern University.

Matos is a board member of the Dean’s Council of 100, a national group of top executives who advise Arizona State University’s W. P. Carey School of Business.

He has served on the executive committee for the Greater Phoenix Economic Council and has held a position on the board of governors for the International Association of Employment Websites.

In 2008, Matos was named Business Leader of the Year by the Arizona Business Leadership Association.

Matos’s first job was working as a bike mechanic.

He enjoys cycling and triathlons and is a three-time Ironman finisher. He says he appreciates the dedication that is required of these pursuits.

A p r i l 2013

Staying on top of the latest advancements and incorporating them into his business has been key to staying technologically current and successful overall. “It is really important to stay flexible and adapt, and never rest on your laurels. There have been lots of innovations in technology along the way.”

Another challenge that Matos faced was the downturn in the economy. Jobing.com did quite well through the recession of 2001, he says, but the second, more recent recession was very hard for the company. Helping to recruit candidates for jobs was difficult, he explains, when a lot of the jobs just weren’t there anymore. “We get paid when employers hire people, so it was definitely a challenge dealing with the bad economy. It was hard for all of the companies in the industry as unemployment rates rose to 10–12 percent.”

As the economy continued to struggle, Matos realized a lot of companies were trying to save money on their websites. This observation helped inspire him to offer cloud-based “candidate relationship management” software to help with recruiting and website development. Matos launched the new technological services in 2010, and in 2012 rebranded Jobing.com to Recruiting.com. In addition to providing next generation technology that will help companies recruit and hire great employees, the company still features the local, regional and niche job boards.

Matos says his style of leadership has allowed for the adaptability that has been necessary for his company to grow and thrive over the years. “I want people in our organization because they want to build something. I’m never afraid to ask people to work hard, and to roll up their sleeves.”

Recruiting.com recruiting.com

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Photo courtesy of Recruiting.com

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23

Photo courtesy of Arizona Diamondbacks

Is It a Win for Our Economy?

Valued as entertainment and recreation, sports is also a big-league economic driver and jobs creator

by J. Rentilly

NHL/Phoenix Coyotes

Paul Connors / Associated Press

Phoenix Coyotes

Courtesy of Westgate City Center

Larry Fitzgerald, Arizona Cardinals Wide Receiver

Courtesy of Glendale Chamber of Commerce

Westgate City Center

Courtesy of Glendale Chamber of Commerce

Inside the Jobing.com Arena, the Phoenix Coyotes prepare for a White Out game

University of Phoenix, home of the Arizona Cardinals

26

A p r i l 2013

W

hen the Arizona Diamondbacks played its first game in Phoenix 15 years ago, it entered an already crowded National League West Division where many locals carried with them baseball traditions linked to other franchises, according to Derrick Hall, president and CEO. “In some markets, all they have to do to sell tickets is put out a pocket schedule and open up the gates,” says Hall. “In Arizona, we’ve had to earn every single fan, and it’s been really fulfilling to see the number of D-backs jerseys increase exponentially in the stands in recent years.” The team, which last won the World Series in 2001, is now a part of what is arguably a very sports-focused community.

On the heels of a particularly harsh economic cycle, sports — at the professional, collegiate, high school, amateur and youth levels — has provided a sunny side up to the Arizona economy, richly impacting revenue and employment in a variety of markets and fields at a time when both have been sorely needed.

“The Arizona economy is supported in a lot of ways by tourism, and sports really brings people into the state,” says Judy Bernas, member of the board of directors of the Arizona Sports and Tourism Authority.

“Sports is a leisure activity, but it’s also an enormous economic driver for us, both by way of revenue and employment.”

Extended Impact of Revenue and Jobs So the economic impact of sports is not limited strictly to the $500 million the Super Bowl is estimated to have brought to Phoenix in 2008, or the $65 million the NBA All-Star Game inspired, or the hundreds of millions the Waste Management Phoenix Open pumps into the economy annually ($222 million from the 2012 Phoenix Open) but extends also to employment in such obvious arenas as players, coaches and management, and also wider ranging such as accountants, marketers, personal trainers, ticket takers, promotions, construction, parking, uniforms and stadium furniture, hoteliers, wait staff, transportation, food services (like that provided by local companies Shamrock Foods and Stern Produce) and more. In fact, Jonathan Robins, owner of Tempe’s Jonathan Robins Bakery, makes a pretty penny providing football-shaped cheesecakes and other “fine bakery items” to a number of professional and college sporting events in Arizona, enjoying a taste of the $1.5-$2 billion the state’s sports business annually generates. “The large events are great,” says Robins, who also serves a number of regional hospitals and hotels.

“It’s possible that everyone in Arizona knows someone who works in the sports industry, however tangentially, even if that person never picks up a ball,” says Bernas. “It’s enormous, the number of people in the state who work in the industry.”

“No matter what’s going on with the economy, the appetite for sports doesn’t change,” says Brian Smith, Ph.D., dean of Grand Canyon University’s recently launched Colangelo School of Sports Business.

“It’s almost recession-proof, and this has been hugely meaningful for Arizona, where the economy has been really up and down. If you take away the sports industry in Arizona, you’re looking at major losses — revenue, employment, morale. Sports is integral to the overall health of the state’s economy and landscape.”

With such facts and figures in mind, many in the state have mobilized to capitalize on the state’s pitch-perfect weather and tourist appeal by building new, state-of-the-art facilities and actively

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Courtesy of Arizona Diamondbacks

We Built It and They Came

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Goran Dragic, point guard for the Phoenix Suns

Ian Kennedy, pitcher for the Arizona Diamondbacks

NBA/Phoenix Suns

When Proposition 302 passed in 2000, it allowed public money to be employed toward the construction and renovation of nearly a dozen key stadiums in the state. Though many were skeptical of taxing Joe Q Public to expand the state’s sports market, the move has proven more than savvy. Much of the money, overseen by AZSTA, has been used to revitalize the region’s Cactus League and sports training facilities, which now house 15 of Major League Baseball’s 30 teams, and is used virtually year-round. “At AZSTA, we take very seriously our stewardship of public money,” says Bernas. “Are we getting a good return on the investment? Are we making a difference? The return is always higher than the tax dollars by four to seven times.

So, yes, I think this is going well.”

As example, Bernas cites the rousing success of Cactus League baseball. Perhaps the most lucrative perennial in Arizona, Cactus League is “arguably one of the most important tourism events in Arizona,” according to the Phoenix Regional Sports Commission.

Although a recently reported analysis by The Arizona Republic showed that municipalities lose significant sums to maintain the facilities within their borders, the net effect to the community and the state’s economy is positive. The Cactus League and its partners — AZSTA, Arizona Commerce Authority and the Arizona Office of Tourism — last December released the results of a two-year-long study that showed the overall economic impact during and after the spring training season. The result: $632 million, including $422 million during the regular spring training season. The latter figure is a significant jump from a figure of $112 million five years ago, the previous time such a study was conducted. Additionally, attendance at spring training games increased 40 percent since 2007 to 1.7 million in 2012. Out-of-state visitors account for 56 percent of the fans attending games. According to the report, families visiting Arizona for spring training games stayed an average of 5.3 nights, a boon to local restaurants and hotels.

More than simply hotel stays and ticket sales, though, Cactus League is significantly impacting employment and new builds in the

Christian Petersen

Chase Field, home of the Arizona Diamondbacks

Barry Gossage/NBAE

recruiting regional, national and international sporting events to complement the four major professional sports franchises (MLB, NBA, NFL and NHL) that already call Arizona home base. “We play everything in Arizona,” says Dr. Smith. “And that’s only increased in the last decade or so.”

The renaissance of sports in Arizona occurred when the Phoenix Suns landed in 1968, but the addition of other pro sports franchises in the last 40 years, as well as a burgeoning youth market, has seen a market on an almost continuous upward trend. This has been key to the state’s tourist economy. “I remember when tumbleweeds would blow down the street at 5:30, Downtown, because anybody who worked there had gone home and no one else ever went there,” says Ray Artigue, a Phoenix native, owner and president of Artigue Agency, a full-service marketing and communications firm specializing in the sports industry. “But you bring the Suns downtown, bring the Diamondbacks downtown, and the dominos start to fall. You get a fully developed downtown, restaurants, retail, residential, tall office buildings. Can the Suns and Diamondbacks take complete responsibility for that? Of course not. But they were seeds planted 20 years ago, and the ripple effect has been really significant to the economy.”

US Airways Center, home of the Phoenix Suns

state. Sports construction has been a ray of sunshine in an otherwise grim Arizona market, says Bob Hart, executive VP and Western Division manager of Hunt Construction Group, the nation’s largest sports builder. “Though there are only a few pro sports facilities left to build ground-up in the region, we’ve seen a lot of renovation and refurbishment on stadiums built 10, 20, 30 years ago, and that’s been keeping us busy,” says Hart. “There’s also been a lot going on with college facilities and spring training stadiums.”

In the last three years, Hart has overseen several spring training facilities, including set-ups at Glendale, Goodyear and Talking Stick.

A p r i l 2013

27

Sports Means Business The $100-million stadium Hunt Construction is building for the Chicago Cubs is well underway, set to open in 2015, employing about 2,000 craft workers, Hunt says, and utilizing “all local Arizona businesses, and about 22 percent of that from Mesa firms.” In addition to the stadiums themselves, Hart and company — which has built for 137 teams nationwide — is enjoying a lot of “collateral development” builds of beautification, retail or commercial use adjacent to the stadiums. “In Mesa, we’re improving a public park, adjacent to where the Cubs will play,” says Hart. “It’ll probably be the nicest park in Arizona.”

Courtesy of Waste Management Phoenix Open

Courtesy of PIR

Waste Management Phoenix Open

Courtesy of City of Phoenix

Phoenix International Raceway

Power of Youth AZSTA is also deeply invested in developing youth sports programs and tournaments, which draw tens of thousands of tourist competitors and families from around the world each year. “Arizona is becoming a hub for youth sports,” says Bernas. “Time and again, people from all over the country tell us we have the best facilities they’ve ever seen, and people love coming to Arizona.”

PRSC launched in 1988 with a mission “to enrich the community through sports.” According to Katie Brown, executive director, this means “bringing in sporting events to the Valley that bring tourism, economic development through spending in our community, and also offering youth in the area the opportunity to participate in great sporting events.” Since 2009, PRSC has brought in nearly $134 million in direct visitor spending, with 186,265 visitors to events it has produced or stewarded. (Estimated at $177 per day, though some estimate visitor spending at closer to $300 per day).

PRSC is, Brown says, especially devoted to serving high schoollevel competitions in the state, as well as sporting events “not as well-served by other markets and organizations,” on a statewide, national and international level. For events like the U.S. Youth Soccer 2012 Far West Regionals, which welcomed 4,600 players, coaches, families and tournament officials last June, an impact of $10 million of spending on hotels, restaurants and local businesses was estimated, while the National Hockey Festival was projected to generate an estimated $21 million for Phoenix businesses in 2010 and 2011. A high school volleyball tournament last summer brought more than 6,000 female youth athletes from 519 national teams, bringing $22.9 million to the area.

“People don’t realize how much money comes from the grass-roots sports — high school sports, youth sports, the lower profile sports,” says Brown. “But people come to these events from all over the country. They need to stay in hotels. They need to eat at restaurants.

They often visit museums and other tourist attractions. There’s a lot of direct spending there, even if it’s not an all-star game or the Super Bowl. A four-day youth soccer tournament can make a huge economic impact on our community.”

Influx of Outside Dollars For the record, when the Super Bowl rolls back into town in 2015, economic impact is expected to approach $600 million, with 85 percent of the 73,000 football fans expected from out of town, spending at least $2,000 per person. This generates that most-desired type of currency: “outside dollars,” money spent by out-of-towners.

Out-of-town dollars are especially meaningful to hoteliers like Mike Ehmann, general manager of Sheraton Phoenix Downtown, a 1,000-room luxury hotel. “Sports certainly has an impact on us,” says Ehmann. “For the biggest events, like the Super Bowl or the all-star games, we’re sold out for days, but we also get a lot of guests staying for tournament games and youth sports.”

Jobs and Good Works

U.S. Youth Soccer Tournament at the Reach 11 sports complex

28

A p r i l 2013

Ehmann says Spring Training is also an enormous boost for the venue, with sports in general giving the Sheraton “nice peaks in business.” To accommodate the extra guest load, Ehmann will supplement his 300 full-time and 359 part-time employees with additional, temporary hires, stimulating the economy and aiming to

inbusine ssmag.com

Courtesy of Salt River Fields at Talking Stick Courtesy of AP Photo/Charlie Riedel

Salt River Fields at Talking Stick, Cactus League home of the Arizona Diamondbacks and Colorado Rockies

New York Giants’ wide receiver David Tyree pins the ball to his helmet as he catches a 32-yard pass late in the fourth quarter of Super Bowl XLII against the New England Patriots

Courtesy of Scottsdale Area Chamber of Commerce

exceed guest expectations. “It makes a positive difference not only to us, but to the entire community, to have these events. It’s been essential, absolutely, especially in the recent economy.”

When hotels are full, local restaurants and businesses tend to enjoy an uptick in business as well. “From my vantage point, these sports franchises deserve indirect credit for creating other jobs,” says Artigue. “Nobody puts a brand new restaurant in unless it’s wellplaced. Well, cater-corner to U.S. Airways Center, you’ve got 45 Suns games feeding your establishment every year. That’s waiters, cooks, bus boys and all the rest. That’s good money.”

Educators like Grand Canyon University’s Dr. Smith and, formerly, Artigue, who previously served as executive director of the MBA Sports Business Program at Arizona State University, believe the job market in the sports industry only continues to expand, as the collars for many jobs go white. “We need number crunchers more than ever in the sports industry, people who understand the big economic picture,” says Artigue. “These are jobs that didn’t exist as such in the industry a few years ago. But, as sports worldwide becomes a more corporate beast, we need people who can do that. Sports is, after all, a $240-billion industry nationwide, larger than all the domestic auto makers combined. Somebody’s got to crunch those numbers.”

The economic impact of professional sports isn’t measured only by ticket counts and hot dog wrappers, but by the philanthropic endeavors of the organizations. The Arizona Diamondbacks, for example, have given more than $30 million to the Phoenix community in the last decade, supporting a wide range of special projects, from suiting up underprivileged Little League teams to refurbishing fields and supporting indigent health care. “We are a community asset and we’ve cultivated a lot of good will in the community,” says Diamondbacks president Hall. “The philosophy is: We need to give back to the community as much as we can. You can’t control your wins and losses on the field, so you look to find other ways to win, even when you’re losing.”

The Diamondbacks organization employs 250 full-time workers and another 2,000 part-time workers, 50 weeks a year, and in 2010 was named The Most Positive Team in Sports by United Nations, a credit to Hall’s belief that a positive, employee-first culture is best business.

Last year, the Diamondbacks gave nearly $4-million charitable contributions to the community, Hall says.

A less tangible, but richly significant economic impact comes from the media exposure offered by national broadcasts of sporting events from Arizona, says Artigue. “Most of our pro sports events are broadcast back to the cities we’re playing, and there are almost always postcard shots of Arizona during these broadcasts, which situate the state as a desirable tourist destination.” Artigue notes that the media exposure value of the 2008 Super Bowl game was estimated at $60 million. “That’s a lot of postcards inviting people to come to Arizona. Sometimes it’s for a game. Sometimes it’s for a vacation. Sometimes it’s a businessman who decides to move his corporate headquarters to the state. You can’t underestimate the economic impact of the media exposure for a state like ours.”

Beyond the baseball, golf, soccer, tennis, football and myriad other sports played in the area, and the rich and varied economic and employment impact they offer the area, Artigue says it’s important, too, to note how such a blooming sports market affects quality of life for Arizona residents. “You can’t measure that by dollars and cents,

Scottsdale Stadium, Cactus League home of the San Francisco Giants

but sports is invaluable to the quality of life in Phoenix,” says Artigue.

“Ask anyone who lives here what sports means to them and their quality of life. That’s worth appreciating, too.”

Arizona Diamondbacks dbacks.com Arizona Sports & Tourism Authority az-sta.com Artigue Agency artigueagency.com Colangelo School of Sports Business gcu.edu Hunt Construction Group huntconstructiongroup.com Jonathan Robins Bakery jrbakery.com Phoenix Regional Sports Commission phoenixsports.org Sheraton Phoenix Downtown sheratonphoenixdowntown.com

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29

Marketing

Packaged to Impress

Strengthening the Pipeline for References Customer references can be a cornerstone of a business’s growth strategy — if they’re not derailed by these common mistakes

by Bill Lee Harnessing the power of references and referrals seems like an obvious win. What could make more sense for a business than to leverage the enthusiasm of happy customers to convince buyers that they need its products and services? And in an increasingly social and networked world — not to mention an economy where every dollar of revenue is critical — this type of third party validation is more important than ever. So why do we have so much trouble mastering the art of customer advocacy?

It’s not effective to just half-heartedly paste a few new tactics on top of current operations and expect advocates to start singing a business’s praises. Nor can it rely on a few enthusiastic supporters with vibrant personalities to carry its message. The program has to be well staffed so it becomes a seamless and well-integrated part of the entire growth engine. And it needs to command sufficient resources to kick it off strongly and to keep it going over time.

There are certain predictable mistakes companies make that can derail customer reference programs before they ever get off the ground.

Creating the right infrastructure and approaching the efforts with the right mindset will increase the likelihood of success substantially.

“Cheaping out” on resources. Reference programs are often organized as an afterthought, assigned as one of several programs to a junior-level employee who has too much to do, and managed with a spreadsheet. Someone may hand him a list of prospective references who may or may not be happy customers, or strategically significant, or even profitable. Before long, reference requests to the new program go wanting, as sales and marketing return to their old habits of trolling for

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references themselves, leading to underutilization of potential powerful references at one extreme, or burnout at the other. Reference programs deserve adequate resources to realize their potential.

Failure to install the right systems and processes. This includes an adequate reference management system (RMS) that automates as much of the data needs of the program as possible. And these needs can be considerable: Which references are there, and from which industries or segments? What requests have they fulfilled? What other advocacy activities do they engage in? What reference content have they provided? Where can the business get hold of it?

The key questions to ask are: Are the right processes and policies in place? What policies have been established for references and testimonials in the sales and marketing efforts? At what points in the sales process should references be used? How will customer videos, stories, and other customer content be used in social media efforts? What rules have been established for customer content in marketing communications?

Not integrating references into the growth strategy. It’s easy to spot a reference program that’s disconnected from the company’s growth strategy: Reference managers look puzzled when asked about the corporate strategy for growth. They recruit or keep customer references that may or may not be from markets that senior management is targeting. Everything they do and say shows they’re out of the loop.

Managers of reference programs that are well integrated into strategy can report, for a new product launch, how many customer references will be needed. And they can tell from which industries or customer segments these references should come. They’ll know what types of inbusine ssmag.com

Books reference activities they’ll need to engage in. They’ll know how many references are candidates to be early adapters of the new product line.

Failure to measure (or even understand) the business value of references. It’s a red flag when reference managers tout the number of new references they recruited — without regard to their actual value in generating business. They’re measuring inputs that have little bearing on business results, not outputs. More sophisticated programs continually measure their business value and adjust accordingly.

Reference programs can dramatically improve sales productivity by freeing salespeople from the time-intensive task of hunting down references themselves. They can increase media awareness by providing content for reporters or analysts that makes it more likely it will be published. They can ensure the success of new product launches by providing critical early adopters, references and referrals.

Lack of executive support. Too often, customer reference programs are rolled out with limited resources and staffed by junior people working off a spreadsheet — a recipe for failure. A successful reference program needs significant resources and a strong rollout that involves the entire company. It must cross boundaries, working cooperatively with other divisions in the business such as sales, marketing, social media, PR, product development and the like.

Without strong, hands-on executive support from a powerful leader who is passionate about advocacy, none of this will happen.

Lack of imagination. Many reference programs suffer from inertia, churning out old-school PDF case studies that are way too long and that don’t get read. With advances in technology and social media — along with the current boom in personal and professional communities — those who adopt customer reference programs must think much more broadly about the forms advocacy can take. These may include references, referrals, testimonials, serving on advisory boards, and participating in a business’s customer communities.

Not giving customers a good reason to reference them. Many companies resort to gifts, prizes, awards, cash discounts and even low-grade bribes to get customers to refer them. Not good. Smart companies think through why their customers would advocate for them — and come up with better and more ethical reasons than those. First, provide a terrific product or service. That’s the price of admission. Then get creative in providing appropriate reciprocal value to the potential advocate.

If she likes the limelight, a business can offer to do a joint case study or marketing piece. If she wants to affiliate with her peers, it can invite her to user groups or customer events. If she’d like a higher profile in her industry, it can arrange for speaking events where she can tout her accomplishments — with the help of that business’s product or service. A business that knows its customer well enough to know what is valuable to her can find a way to give it to her — and she’ll give that business an enthusiastic, and genuine, referral.

The Hidden Wealth of Customers: Realizing the Untapped Value of Your Most Important Asset customerreferenceforum.com

Bill Lee, author of recent release The Hidden Wealth of Customers: Realizing the Untapped Value of Your Most Important Asset, among several others, is CEO of educational organization Customer Reference Forum (www.customerreferenceforum. com), which, in response to demand on the subject, created monthly teleconference series The Master Class Series on Customer Reference Programs. Lee has spent nearly a decade building vibrant communities of customer engagement professionals, and his annual conferences, including the Summit on Customer Engagement, have attracted many of the world’s leading global firms.

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Sales & Marketing

Grow the Core: How to Focus on Your Core Business for Brand Success Growing core business is key for sustainable, profitable growth, yet advice on how to do it is thin on the ground. Grow the Core is a practical guide to focusing core business for brand success, illustrated with inside stories on brands that include Apple, James Bond, Heinz, Nespresso and McDonald’s. A program of six “Workouts” helps to harness the whole marketing mix to grow core business; it includes product, design, communication, distribution and packaging. The author grasps what is fundamentally important in marketing and turns his sights on the vitally important topic of growing the core.

David Taylor 29.95 John Wiley & Sons, Inc. On shelves and online

Smart Calling: Eliminate the Fear, Failure, and Rejection from Cold Calling This is a sales book that makes sense for those struggling with the fear of making cold calls.

Smart Calling is the benchmark as the highest professional standard for effective cold calling.

Take the initiative to read and implement the author’s rational principles; readers are likely to sell much more and develop a prospect base of potential customers who will call when they are ready to purchase or graciously take future calls.

Art Sobczak $22.95, Second Edition John Wiley & Sons, Inc. April 2013

Professional Services Marketing: How the Best Firms Build Premier Brands, Thriving Lead Generation Engines, and Cultures of Business Development Success This book is a fully field-tested and researchbased approach to marketing and client development for professional services firms.

The book, now in its second edition, covers five key areas that are critical for firms that want to grow and become more profitable: creating a marketing and growth strategy, establishing a brand and reputation, implementing a marketing communications program, executing lead generation strategies, and developing business by winning new clients. Also, readers will learn about real-world case studies that illustrate major points, as well as quotes and stories from well-respected professionals in the industry.

Mike Schultz and John E. Doerr $29.95, Second Edition John Wiley & Sons, Inc. June 2013

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Focus

Our Subject In-Depth

Check the Vital Signs of Client Relationships

Perform annual checkups to keep client relationships healthy

by Andrew Sobel Annual checkups play as vital a role in a businessperson’s professional health as physicals do for individuals — especially with regard to client and customer relationships, which are the lifeblood of every business. Most clients vote with their feet. They don’t tell a business they are unhappy — they simply start to give their business to its competitors. Client relationship checkups can help gauge the health of these relationships, prescribe changes when necessary and identify ways to further grow them.

Infusing client health checkups with the right questions, what I call “Power Questions,” lights fires under people, challenges their assumptions, helps them see problems in productive new ways and inspires them to bare their souls (which, of course, strengthens the bonds in the relationship). All business interactions are human interactions, and part

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of being human is acknowledging that one doesn’t know everything about everything — certainly not about another person’s needs.

Questions help one understand these things more deeply; they’re an essential tool when assessing the health of client relationships.

When client relationship checkups aren’t performed regularly, the relationships can take unexpected turns, as happened between a Fortune 100 client of mine, which I’ll call Company Y, and his client, IBM. IBM’s then-CEO Sam Palmisano decided to visit Company Y’s CEO. A week ahead of the visit, Company Y’s relationship manager for IBM called his counterpart to discuss the upcoming CEO summit between their companies, and apparently did not get a return phone call during that week. The story goes that when Palmisano met with Company Y’s CEO, he opened by saying, “My people tell me we have

an ‘A’ relationship with your organization.”

Company Y’s CEO responded, “Well, my team tells me your relationship with us is a ‘C.’” Fortunately, this was a wakeup call for the IBM team to dramatically improve the relationship with Company Y. Within a year, the relationship was indeed an “A,” and today Company Y views IBM as a key trusted partner in operating its business.

IBM is a great company that has been quite innovative in the way it builds long-term client relationships. But as this story illustrates, even well-managed firms can dramatically misread the health of a key client relationship!

The successful firms I work with maintain some type of process to determine the health and strength of important client relationships.

They seek feedback at multiple levels. They access the client’s views using a variety of channels — through the relationship inbusine ssmag.com

manager, during senior executive visits, using independent surveys and in client forums (virtual and in-person).

Here are some questions you should ask yourself when you are considering the health of your client relationships: Do you have access? While some leaders are notoriously busy and it does take time to get on their schedule, the fact is, if you don’t have access, you may not be considered relevant!

Also, if you think you have a good relationship but the client says, “There’s nothing going on.

It doesn’t make sense to meet,” that’s still a bad sign. It means they don’t really value your ongoing insight and perspective.

Do you and your client trust each other to do things without extensive documentation, checks and controls? Trust is the essential foundation of every long-term relationship.

It’s the feeling that the other person will come inbusine ssmag.com

through for you. It’s the belief he or she will meet your expectations. It’s the confidence he or she will demonstrate integrity, deliver competently and focus on your agenda. When trust is present, you don’t need to constantly check up on the other person. You don’t need to put in place endless controls and systems to monitor results. If your client is constantly micromanaging you, then he or she may not trust you, and you need to find out why.

Does your client openly share information with you? In a healthy, trusting relationship, there is transparency. Does your client give you access to his or her plans and proposals?

Does he or she freely share information with you, within the constraints of confidentiality?

When you’re a vendor, you get very limited access to information — it’s on a “need to know”; when you’re a trusted advisor, your client treats you as part of the inner circle.

Does your client confide in you and bounce ideas and decisions off you? Does your client ever call you up to run a new idea or potential proposal by you and get your opinion? Or does the client make important decisions and then call you afterward? It’s not reasonable to expect a client to discuss everything with you, but if there’s an issue in your domain, and the relationship is a strong one, the client will most likely draw you in before reaching any final conclusions.

Are you the first person the client calls when in need something in your area of expertise? This is an essential litmus test of a healthy relationship — loyalty. If the client views you as interchangeable with other suppliers, then you’re a vendor, and you’ll be subjected to constant price pressure as the client continually shops around.

Are you treated with respect — like an important advisor? This is hard to quantify, but you usually will know in your gut if this is the case. I had a client who I felt didn’t value me. He asked me to help teach his senior partners how to be better trusted advisors to their clients but, ironically, he didn’t want a trusted advisor himself — he wanted an armslength “expert” who would be at his beck and call. I finished the project and moved on.

Is working with this client a satisfying, rewarding experience for you and your team?

Some clients just drain you. They are overly demanding, they check up on your every move and they basically drive you crazy. Sometimes, you’re also stuck with a client who is too low in the organization to really appreciate the impact

you have. This is not a healthy relationship! Life is too short — if you can’t fix a situation like this quickly, you should get out and double-down on more promising clients.

Is the relationship economically rewarding for you? You could have a great personal relationship with a client but for a variety of reasons be losing money on the work!

Sometimes, weak profitability is your fault — you have underestimated the scope of the work or underpriced it. But sometimes it’s a sign of a client who knows the cost of everything and the value of nothing.

Are you having an impact and helping to improve your client’s business? In the best relationships, you have a clear and positive impact on the client’s organization. You help the client improve his or her business. If, for whatever reason, this is not happening, it’s a warning sign: Are you working on peripheral issues that are not really important to the client? Are you stuck too far down in the organization? Is the client ignoring your recommendations? Is your good advice simply falling on deaf ears?

Is your client referring you to friends, colleagues and other organizations that could use your expertise? Active word-ofmouth referrals are, arguably, the ultimate sign of a good relationship. Are you getting referrals? Would your client give them to you if asked? How enthusiastically would your client recommend you? A testimonial is one thing — it’s passive — but an active referral is a sign of a very different level of satisfaction and delight with your services!

Each year, go through this checklist and rate each of your relationships. Are you weak, average or strong on each of these ten points?

Better yet, rate yourself and then ask these same questions to your client. Then compare the answers. Through quality communication and thoughtful Power Questions, you can strengthen your client relationships and add value to them at the same time.

Power Questions: Build Relationships, Win New Business, and Influence Others andrewsobel.com

Andrew Sobel, co-author with Jerold Panas of Power Questions: Build Relationships, Win New Business, and Influence Others, is an executive educator, coach and top-level management consultant who has worked with leading corporations such as Citigroup and professional service firms such as Ernst & Young. In addition to numerous books, he has authored articles that have been featured in a variety of publications such as The New York Times, Business Week and Harvard Business Review.

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NonProfit

by RaeAnne Marsh

Actions to build Community

American Cancer Society: Grassroots Effort Making a Difference

The American Cancer Society will once again welcome guests to enjoy an evening of Arizona’s glorious spring weather as it hosts Picnic Under the Stars at the Phoenix Country Club on May 4. The outdoor picnic vibe will be French, though, with the French theme carried through food, music and a backdrop of Paris’s night sky setting off the stage for the event’s presentations.

“It’s nice to have it outside. It’s a more relaxed gala,” says Maraka Mason, distinguished events director here in Phoenix. The move to an outdoor venue was made in 2011, Mason explains, to celebrate the 50th anniversary of Phoenix’s first American Cancer Society gala hosted

by Mrs. Robert Goldwater in her backyard. Dinner and silent and live auctions will fill the first part of the evening, then the rest of the night will be given over to dancing to the live sounds of the celebrated local band Groove Merchants.

The Phoenix office of the American Cancer Society is one of hundreds of local offices through which the national organization — which celebrates its 100th anniversary in May — reaches and serves local communities. It hopes to raise $400,000–$500,000, the majority of which will be used for services locally as well as for research.

American Cancer Society cancer.org

Snapshot

■■ The American Cancer

■■ ■■ ■■

Society aims to help individuals every step of the way from their initial cancer diagnosis.

It operates a 24-hour information hotline and a national website to answer questions and assist people looking for services in their local area.

In 2013, there will be an estimated 34,000 newly diagnosed cancer patients in Arizona. “So we want people to learn how to live a healthy lifestyle, and ways of prevention,” says Mason.

ACS has contributed to a 20-percent decline in cancer death rates in the United States since the 1990s, and has played a role in nearly every cancer research breakthrough in recent history.

Hundreds of volunteers throughout Arizona assist in programs that include providing rides to treatment and emotional support from someone who has been through it him- or herself.

Snapshot

■■ Southwest Center for HIV/AIDS serves about 6,000 people through its programs for men, women, transgender and youth.

■■ The organization reaches more than 30,000 people thanks to ■■ ■■

volunteer-staffed outreach to at-risk populations at such locations as homeless shelters, domestic violence shelters and bars.

Local bars have invited the organization to come and set up a spot to do testing. They have also helped raise money by selling ribbons people can dedicate to affected individuals, and then posting them in their establishment.

The organization also works with clinical trials research, and has helped with 32 of the 34 medications now available. “Those drugs are instrumental to people living longer,” says Davis. “We’ve really helped globally.”

The 18th annual Night for Life Gala, which will be held May 11 at the Montelucia Resort & Spa in Scottsdale, is the Southwest Center for HIV/AIDS’s biggest fundraiser of the year. The organization’s other two signature events carry a similar theme — Tour for Life, for which owners of many of the Valley’s most prestigious homes open their homes, and Dining Out for Life, a designated time during which local restaurants donate a percentage of their sales. “We always try to promote life and have individuals live longer,” says Mesha Davis, chief development officer.

“Just because you become positive with HIV doesn’t mean your life has to end.” She notes HIV can strike anyone, regardless of race, gender or age.

The evening will start with cocktails and a silent auction, then move to the ballroom for the formal dinner. The program will recognize community members for their work and contribution to the organization’s mission, with awards in such categories as Outstanding Philanthropist and Community Champion (the latter of which could be an individual, a group, or another nonprofit the Center has partnered with). A live auction will be the evening’s finale. “The whole intent is to raise money,” Davis shares candidly. “We try to provide a holistic approach of services needed for someone to be healthy who’s living with HIV or AIDS.” Southwest Center for HIV/AIDS swhiv.org

In business to do good for the community, nonprofits enrich the lives of those who contribute as well as those who receive. In Business Magazine showcases two nonprofits in each issue, focusing on their business organization and spotlighting an upcoming fundraising event.

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Photos courtesy of American Cancer Society (top), Southwest Center for HIV/AIDS (bottom)

Southwest Center for HIV/AIDS: Holistic Approach Promotes Life

www.inbusinessmag.com

April 2013

O n t h e Ag e n D a

A listing of Greater Phoenix business organizations and their events. Visit www.inbusinessmag.com for an expanded monthly calendar of educational, networking and special business events.

Economic Club of Phoenix

Chandler Chamber of Commerce

Economic Club of Phoenix and Dean’s Council of 100 Executive of the Year 2013 Luncheon

Learning Initiatives for Entrepreneurs, Academy Workshops

Photo courtesy of Center for Entrepreneurial Innovation

Thurs., April 25 — 11:30a – 1:30p Long recognized as the place to meet national and international leaders in business, the Economic Club of Phoenix’s monthly luncheons have included CEOs from Southwest Airlines to the Ford Motor Company who have taken the stage to share with local executives their wealth of experience. This month’s luncheon, which will be held at the Fairmont Scottsdale Princess Resort in Scottsdale, will honor Major General Josue (Joe) Robles Jr., USA (Ret.), president and CEO of United Services Automobile Association (USAA).

USAA is one of the leading financial services companies in the country, with more than 9 million members and assets of $182 billion that it owns or manages.

Well known for exceptional service, it has been serving military families since 1922 with a comprehensive range of insurance and financial services. Robles’s many recognitions include awards for service and honor during his military service and, more recently, being named “No.1 Veteran in Business” by The Christian Science Monitor in 2009 and “Innovator of the Year” by American Banker.

Luncheon fee for Economic Club of Phoenix members varies with their type of membership; for nonmembers, the cost is $75. Advance registration is required.

—RaeAnne Marsh

Tuesdays, 4:00p – 6:00p Bringing the high-quality workshops and seminars to the East Valley, the Chandler Chamber of Commerce is one of only 22 locations in the country that provides the HewlettPackard Learning Initiative for Entrepreneurs (HP LIFE) program. HP LIFE focuses on business skills and IT training geared to start-up companies and small businesses, and in Arizona is presented through the Arizona Small Business Development Centers.

“The Chandler Chamber and the Maricopa Small Business Development Center have a longlasting partnership. With a classroom located right in our building, we offer classes … to business owners and start-up companies every Tuesday,” says Paige Gruner, the chamber’s marketing and communications manager. “And the great thing is, they are free!”

One component is the Startup Lab, which Gruner explains is “an open lab to work on your start-up company and get any advice you may need.” This is offered on Tuesdays from 2 p.m. to 4 p.m., and is followed by the SBDC Academy Workshop, which goes another two hours, from 4 p.m. to 6 p.m. The workshops present a different topic every week, ranging from marketing plan strategy to sales.

Academy Workshops for April are the following: April 2: “Social Media Part Two” — an advanced course on how to apply social media to generate revenue in small business, including using social media as part of sales campaigns and specialty social media platforms like Pinterest and YouTube.

April 9: Email Marketing — giving attendees an understanding of the series of steps they need to take in order to build a professional email marketing campaign, possibly one of the most powerful free marketing tools available to small business.

April 16: Effective Websites — providing business owners an honest look at what they need to understand about their website and how best to make it work for them. The demonstration portion of the class will cover how to manage Word Press.

April 23: Blogging — focusing on the different types and means of communication, and introducing the concept and characteristics of Web 2.0 and, specifically, blogs and the advantages they might bring to a small business as a low-cost means of multi-directional communication.

April 30: Search Engine Optimization — created in partnership with Google and based on what small-business owners need to know to take control of their website SEO, content will provide an understanding of the steps a business owner needs to take to create and maintain a search engine-optimized business website.

Classes are held in the chamber’s conference room. Attendees can register online through the chamber’s website.

—RaeAnne Marsh Chandler Chamber of Commerce chandlerchamber.com

Notable Dates This Month

Economic Club of Phoenix econclubphx.org

Mon., April 15 Tax Day Mon., April 22

Earth Day

Agenda events are submitted by the organizations and are subject to change. Please check with the organization to ensure accuracy. See more events online at www.inbusinessmag.com.

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O n t h e Ag e n d a AHWATUKEE FOOTHILLS CHAMBER OF COMMERCE Women in Business Luncheon Tues., April 16 10:30a – 1:00p

An interactive personal development session where you will become your own “Chief Energy Officer” and learn to consciously direct your energy to create the life and work you LOVE, led by energy expert, professional speaker, former senior legal counsel and former green energy company CEO Vicki Sandler (www.vickisandler.com), award-winning author of Find Your Scream, Live Your Dream: Discover Your Inner Leader.

Members: $15; Non-Members: $25 Foothills Golf Club 2201 E. Clubhouse Dr., Phoenix ahwatukeechamber.com

ARIZONA CHAMBER OF COMMERCE & INDUSTRY Update from Capital Hill Luncheon Tues., April 2 11:00a – 1:30p

With U.S. Senator Jeff Flake.

Members: $60; non-members; $75 Hyatt Regency Phoenix 122 N. 2nd St., Phoenix azchamber.com

ARIZONA HISPANIC CHAMBER OF COMMERCE 55th Annual Black & White Ball and Business Awards Sat., April 27 6:30p — midnight

Carnival theme Members: $300; non-members: $350 Sheraton Downtown Phoenix 340 N. 3rd St., Phoenix azhcc.com

ARIZONA SMALL BUSINESS ASSOCIATION Shred-a-Thon

Thurs., April 4 1:30p – 5:30p

In celebration of Earth Month, Recycle 1 is providing a shred truck outside the ASBA office. Bring any confidential paper documents you would like securely destroyed.

Free Washington Corporate Center 4600 E. Washington St., Phoenix asba.com

Creating Your Effective Networking Commercial Tues., April 9 1:45p – 3:00p

Get tips to develop an effective 30-second networking commercial in this hands-on workshop.

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April 2013

Members: Free; non-members: $10 ASBA’s Business Education Center 4600 E. Washington St., Phoenix asba.com/events

Getting Break Through Results Using Emotional Intelligence Thurs., April 11 8:30am – noon

Discover what Emotional Intelligence is and what understanding it can do for you.

Members: $15; non-members: $35 ASBA’s Business Education Center 4600 E. Washington St., Phoenix asba.com/events

ARIZONA TECHNOLOGY COUNCIL Council Connect: 0-70 in 3.5…

Wed., April 17 11:30a – 1:00p

“0-70 in 3.5… How Social Media and Mobile Have Accelerated the B2B Sales Pipeline,” presented by IDS Technology Marketing, on the impact that new media have on the increasingly complex B2B sales and marketing pipeline.

Members, $35; non-members: $55.

Lunch is provided.

Seasons 52 2502 E. Camelback Rd., Phoenix aztechcouncil.org

Arizona Health and Medical Technology Expo: Privacy and Security Technologies Wed., April 24 12:30p – 6:30p

Arizona Health-e Connection co-hosts an expo with keynote speaker, and health and technology topics by top experts.

Members, $35; student members: $15; non-members: $55. Includes reception.

Scottsdale Hilton Resort & Villas 6333 N. Scottsdale Rd., Scottsdale aztechcouncil.org

CENTRAL PHOENIX WOMEN Luncheon

Tues., April 16 11:30a – 1:00p

Speaker: Lea Haben, CEO of SmartFem. $75 The Ritz-Carlton, Phoenix 2401 E. Camelback Rd., Phoenix centralphoenixwomen.org

CHANDLER CHAMBER OF COMMERCE Small Business Development Center Academy: “Social Media Part Two” Tues., April 2 4:00p – 6:00p

Free; register online Chandler Chamber of Commerce, Conference Room 25 S. Arizona Pl., Chandler chandlerchamber.com (See article on page 35.)

Small Business Development Center Academy: Email Marketing Tues., April 9 4:00p – 6:00p

Free; register online Chandler Chamber of Commerce, Conference Room 25 S. Arizona Pl., Chandler chandlerchamber.com (See article on page 35.)

Small Business Development Center Academy: Effective Websites Tues., April 16 4:00p – 6:00p

Free; register online Chandler Chamber of Commerce, Conference Room 25 S. Arizona Pl., Chandler chandlerchamber.com (See article on page 35.)

Small Business Development Center Academy: Blogging Tues., April 23 4:00p – 6:00p

Free; register online Chandler Chamber of Commerce, Conference Room 25 S. Arizona Pl., Chandler chandlerchamber.com (See article on page 35.)

Small Business Development Center Academy: Search Engine Optimization Tues., April 30 4:00p – 6:00p

Free; register online Chandler Chamber of Commerce, Conference Room 25 S. Arizona Pl., Chandler chandlerchamber.com (See article on page 35.)

ECONOMIC CLUB OF PHOENIX Leading Innovation Success Fri., April 19 8:00a – noon

This workshop explores two important steps on the path to innovation success within an organization: idea generation and idea assessment. Explore the core factors related to innovation success, including tools that enhance idea generation, a conceptual framework and analytical skills that diagnose opportunities and barriers, and implementation techniques within an organizational setting. $550; ASU alumni: $495; Registration Deadline: April 17 ASU SkySong 1475 N. Scottsdale Rd., Scottsdale wpcarey.asu.edu/economic-club (See article on page 35.)

Economic Club of Phoenix and Dean’s Council of 100 Executive of the Year 2013 Luncheon Thurs., April 25 11:30a – 1:30p

The Economic Club of Phoenix presents the Dean’s Council of 100 Executive of the Year Luncheon honoring Major General Josue (Joe) Robles Jr., USA (Ret.), president and CEO of United Services Automobile Association. Networking session available from 11:15-11:45 a.m. with final registration at 11:45 a.m. $75; advance registration required Fairmont Scottsdale Princess Resort 7575 E. Princess Dr., Scottsdale econclubphx.org

GREATER PHOENIX CHAMBER OF COMMERCE Professional Women’s Alliance Presents Small Business Owner Panel Tues., April 9 11:00a – 1:00p

Panelists Georganne Bryant (Frances and Smeeks), Danielle Feroleto (owner, Small Giants) and Bogi Lateiner (master mechanic/educator, 180 Degrees Automotive), three of the Valley’s top women entrepreneurs, will share their stories of the challenges of building a successful business.

Free to attend panel. Lunch is $15 for Chamber members; $25 for non-members National Bank of Arizona - Arizona Biltmore Circle, Conference Center 6001 N. 24th St., Phoenix Amanda Ellis, (602) 495-2194

Leadership: Take Charge with General Colin Powell Tues., April 23 11:00a – 1:30p

The O’Connor House and the Greater Phoenix Chamber of Commerce are pleased to host one of America’s most honored and respected leaders, General Colin Powell (Ret.): Soldier. Diplomat.

Inspiration. Patriot. Register today to experience a rare visit to the Valley by one of the key figures in recent American history. $75 Phoenix Convention Center, North Ballroom 100 N. 3rd. St., Phoenix phoenixchamber.com

MESA CHAMBER OF COMMERCE 101st Annual Leadership Awards — Honoring Business Excellence and Leadership Friday, April 26 5:00p – 8:30p

The Mesa Chamber of Commerce presents its Small, Midsize and Large Business of the Year Awards, Tourism Awards, Volunteer of the Year, Professor of the Year, Teacher of the Year, Student of the Year, SCF Safety Award, Other Special Recognitions. $50 Hilton Phoenix East/Mesa 1011 W. Holmes Ave., Mesa mesachamber.org

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Please confirm, as dates & times are subject to change.

NATIONAL ASSOCIATION OF WOMEN BUSINESS OWNERS Luncheon

Wed, April 10 11:00a – 1:00p

“Entity Crisis”: Terry Roman discusses how to choose your business entity and the legal ramifications and choices.

She will delve into the pros and cons of different types of entities and help you decide what entity will be the best for you at this stage of your business.

Members: $38; non-members: $48; after April 5, add $15 Phoenix Country Club 2901 N. 7th St., Phoenix nawbophx.org

NAWBO University Wed., April 10 9:30a – 110a

“Shift Procrastination to Productive Action: 16 Ways to Empower Business Leaders,” presented by Karen Gridley.

Members: Free; non-members: $30 Phoenix Country Club 2901 N. 7th St., Phoenix nawbophx.org

NORTH PHOENIX CHAMBER OF COMMERCE Elephant Bar Fundraiser for Future Stars Global Foundation!

Tues., April 2 11:00a – 10:00p

Please help the North Phoenix Chamber of Commerce raise funds for Future Stars Global Foundation by dining at Elephant Bar – Phoenix on Tuesday, April 2! Share the flyer or the download link (http:// bit.ly/12bMFbC) with your friends and colleagues!!

Elephant Bar – Phoenix, 7000 E. Mayo Blvd., Phoenix (602) 482-3344

Business Resource and Networking Luncheon Tues., April 9 11:30a – 1:00p

Hear from speakers in a number of different fields speak on a variety of subjects. Luncheon sponsors: C & R Tire and Automotive, and Paradise Valley Community College. R.S.V.P. online at http://bit.ly/WT8lHF. Discounted Prepay Online. Members: $15 ($25 after April 5); guests: $20 ($25 after April 5) Moon Valley Country Club 151 W. Moon Valley Dr., Phoenix (602) 482-3344

27th Annual North Phoenix Chamber Golf Classic Fri., April 26 Start: 7:00a

Join us for the 27th Annual Golf Classic at Moon Valley Country Club! This year’s benefiting charity is March of Dimes,

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Arizona Chapter. More details can be found at http://northphoenixchamber. com/golf-tournament.htm.

Single: $165; twosome: $300; foursome: $550 Moon Valley Country Club 151 W. Moon Valley Dr., Phoenix (602) 482-3344

PEORIA CHAMBER OF COMMERCE How to do Business for the City of Peoria and Peoria Sales Tax & Licensing Wed., April 17 4:00p – 6:00p

Do you think your company is too small to bid a job for the City of Peoria? You are not! Come and learn from Dan Zenko, materials management manager, about what the rules are and how you can participate in the bidding process with the City of Peoria. Also, Nancy Salcido, from our Sales Tax Division, will talk about Peoria business licensing and city taxation.

Free City of Peoria, Point of View Room 9875 N. 85th Ave., Peoria Debbie Pearson, (623) 773-5210

SCOTTSDALE AREA CHAMBER OF COMMERCE Scottsdale Chamber Announces Breakfast with a Side of …

Analytical Marketing. Taking the Emotion Out of Marketing Wed., April 10 7:30a – 9:00a

Small to medium-sized businesses are targeted for this event, especially those who don’t use analytics or don’t know how to use the data to generate revenue.

Presenters are Susan Raisanen, general manager of By the Numbers; Valerie Marbach, owner of eSpark Marketing WSI; and Ted Ritter, principal at LIM 360.

Members: $20 ($25 at the door); guests: $30 ($35 at the door) Doubletree by Hilton Paradise Valley 5401 N. Scottsdale Rd., Scottsdale scottsdalechamber.com

SURPRISE REGIONAL CHAMBER OF COMMERCE Business Education Seminar Fri., April 26 8:30a – 10:00a

Continuing our partnership with Greater Phoenix SCORE, this session is entitled Essential Elements of Business Planning – The Strategic View. The presenter is Dick Jensen of Strategic Outlooks (www.strategicoutlooks.com).

Includes continental breakfast, prizes and networking.

Free; advance registration required Communiversity @ Surprise 15950 N. Civic Center Plaza, Surprise Mary Orta, (623) 583-0692

TEMPE CHAMBER OF COMMERCE Networking @ Noon Thurs., April 11 11:30a – 1:00p

Learn the art of relationship building, enjoy a fantastic lunch and have fun promoting your services at this “speed dating for business” event.

Members: $25 (day of: $30); nonmembers: $35 WageWorks 1050 W. Washington St., Phoenix Sachiyo Spires, (480) 967-7891

Hot Topics and Lunch Thurs., April 18 11:30a – 1:00p

Tempe Mayor Mark Mitchell shares his perspective on the social and economic climate of Tempe at this special luncheon. Hot Topics and Lunch is sponsored by SRP. Members: $25 (day of: $30); nonmembers: $35 Location TBD Sachiyo Spires, (480) 967-7891

WEST VALLEY WOMEN Hats Luncheon Tues., April 2 11:30a – 1:00p

$35 Arizona Broadway Theatre 7701 W. Paradise Ln., Peoria westvalleywomen.org

WOMEN OF SCOTTSDALE Annual Hats Luncheon Fri., April 19 11:30a – 1:00p

$35 The Westin Kierland Resort and Spa 6902 E. Greenway Pkwy., Scottsdale womenofscottsdale.org

OTHER BUSINESS EVENTS Arizona Aerospace: Continued Flight or Grounded?

Mon., April 1 7:30a – 9:00a

AZIGG presents an expert panel on status and growth opportunities, and is honored to feature Glenn Williamson (KinetX Aerospace), Birgitte Santaella (AZ Commerce Authority) and Stephane Frijia (GPEC) discussing challenges and opportunities. $20 SkySong 1475 N. Scottsdale Rd., Scottsdale growthnation.com/azigg/upcoming-events

The New Healthcare — a Business Owner’s Summit Wed., April 10 11:30a – 1:30p

Get informed on the new healthcare regulations: how they affect your bottom line, state and federal regulations, new policies and programs, and legal and financial implications. $65 Arizona Biltmore Resort 2400 E. Missouri Ave., Phoenix inbusinessmag.com

Business Professionals Breakfast Mixer Thurs., April 11 8:30a – 11:30a

Each month, a featured guest speaker presents on a business subject.

Free Microsoft Store at Scottsdale Fashion Square 7014 E. Camelback Rd., Scottsdale microsoftstore.com/Scottsdale

Understanding the Basics of Social Security Thurs., Feb. 21 11:30a – 1:00p

Claiming your Social Security is a complex decision and doing it wrong can cost you and your family thousands of dollars. If you are 55 to 59 years old, it is important that you have accurate information before you make this vital decision. $20; all proceeds go to support the Bridge 2 Hope Ministry, a program for homeless mothers and their children First Financial Equity Corp.

7373 N. Scottsdale Rd., Scottsdale Jim Wilkerson, (480) 778-2005

The Technical Edge: Networking for Real Estate Professionals Mon., April 29 4:00p – 7:30p

Each month a featured guest speaker covers technical subjects including using Microsoft Products to enhance the everyday tasks of Real Estate professionals.

Free Microsoft Store at Scottsdale Fashion Square 7014 E. Camelback Rd., Scottsdale microsoftstore.com/Scottsdale

Women in Business Breakfast Social Tues., April 30 8:00a – 11:00a

Free Microsoft Store at Scottsdale Fashion Square 7014 E. Camelback Rd., Scottsdale microsoftstore.com/Scottsdale

If your event is directed to helping build business in Metro Phoenix, please send us information to include it in the In Business Magazine events calendar.

Email the information to: events@inbusinessmag.com.

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HR

People Are Key

Stress and Bullying Take a Toll on Business Caring for their human assets will impact companies’ bottom line

by RaeAnne Marsh

Stress hurts. Individuals may experience stomach problems, muscle tension or headaches, or loss of interest in their work, among a host of other expressions. And it spills over into the workplace in a number of different ways, all of which hurt a company’s bottom line — to the tune of $200–$300 billion in the United States every year in net effect of expenses that include absenteeism, lower productivity, staff turnover, workers compensation and medical insurance, according to Health Advocate, Inc., the nation’s leading healthcare advocacy and assistance company.

April is Stress Awareness Month, and the U.S. Department of Health & Human Services devotes a website page on its Federal Occupational Health calendar to the topic (www.foh.hhs.gov/calendar/calendar.html).

An individual’s work suffers from the lack of interest, and the vibes and attitude spread and affect morale among the broader work force, leading to greater work turnover. The individual’s health suffers from the dampening effect of stress on the body’s immune system, leading to

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more disability, sick days off and demand for healthcare services — and the health issues have long-term ramifications, including diabetes and heart conditions.

A healthy diet is one antidote to stress, notes Suneil Jain, N.M.D., a naturopathic physician whose patients at his Scottsdale-based Rejuvena Health & Aesthetics include many high-profile celebrities and athletes, and he addresses not just what to eat but how to eat. Nutrition advice is increasingly a focus of many healthcare benefits plans.

For people to have more energy and be more productive — not to mention a happier attitude — Dr. Jain also emphasizes relaxation techniques. “The gym is OK, but 10- to 15-minute breaks during the workday is better,” he says. Another option is mobile yoga at the workplace. What’s important, he says, is to “make it fun, and do it on a regular basis.”

Workplace stress is also the result of a phenomenon that is gaining increased attention: bullying. According to the national Workplace inbusine ssmag.com

Bullying Institute, 35 percent of workers in the United States report being bullied at work. A handful of laws have been introduced around the country, but as yet none have been passed.

Workplace bullying runs a gamut of forms. Sexual harassment has gotten most of the headlines, but other bullying may be tactics that undermine an employee’s status at work or minimize an employee’s contributions to the company’s productivity, or spreading rumors about an employee.

“The technological world has opened a whole other way for bullies to bully,” says psychologist Sanford Silverman, Ph.D., who works with a range of issues in his Scottsdale-based practices Center for Attention Deficit Disorders and Center for Peak Performance. While some forms of bullying have long existed, technology, he points out, allows a bully the cloak of anonymity. Bullying could be as extreme as actually trying to have the employee fail — and it could come from a co-worker or a supervisor, sometimes with a purposeful goal of getting rid of that inbusine ssmag.com

employee. Or it could be as unintentional as not being respectful of another employee’s space, which the common cubicle-type office configuration facilitates. Dr. Silverman relates working with one client on sound issues, for example.

Bullying in the workplace could also lead to lawsuits, points out Suzanne Kleinman, a career coach who has consulted to corporations as well as individuals, and founder of Potential to Soar. The author of recently released Employee Rights and Employer Wrongs acknowledges there is added stress on employees deriving from companies shrinking their work forces in the diminished economy, often resulting in a heavier work load on the employees who remain, but she says, “Most people are willing to chip in.” What makes the difference is how employees are treated.

Kleinman relates a personal experience of seeing middle management bring up the issue of overwork and getting a “wink-wink” response from upper management of “Where are they going to go?” “But high-performers will always find a job, often at the competition,” says Kleinman — which is exactly what happened in this instance. “Within six months, the workers left at the company were the ones who don’t work hard and have the attitude, ‘You can’t get rid of me; I’m the only one who knows how to do this.’”

Promoting from within a company often rewards length of employment rather than looking at management skills. Issues can arise from the newly promoted individual still being buddies with everyone — or, worse, with only a few — in the department, or reacting to the new position by going on a power trip. Managers need training in how to manage people, and if issues are not nipped in the bud and employees have no place to take their complaints, employees may sound off outside the office on social media sites. Although there may be legal implications to such actions, the person sounding off may be able to use aliases and thus remain undetected at work. Whether it’s an employee suffering bullying by others or causing friction by demonstrating an attitude of entitlement, the team “will break down if the manager doesn’t know how to step in and quiet that eruption,” says Kleinman.

Managers may need training on how to manage people, Kleinman notes, sharing the situation of one client who had confided in his supervisor about the bullying he was experiencing. “The supervisor not only laughed at him but sent people to harass him.” Mediation resulted in a six-figure settlement against the company.

To lessen the incidence of bullying in the workplace, Dr. Silverman says management needs to be aware of how the work force is organized, and how messages are coming down to employees. He suggests businesses have meetings and encourage employees to be open about how things are going, and those in management to become aware of their own ways of relating to people. “You can shape good behavior by simply paying attention,” he says. “That augments [the other person’s] feelings of self-worth and self-esteem.” And he notes the need is at all levels. “If managers had training into how they communicate, and [in how to deal with] the needs and pressure they’re under, they could relate better to the employees.”

Center for Attention Deficit Disorders centerforadd-az.com Center for Peak Performance peakperformanceaz.com Potential to Soar potentialtosoar.com Rejuvena Health & Aesthetics werejuvenate.com U.S. Department of Health & Human Services, Federal Occupational Health foh.hhs.gov

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Education

Education series on legal matters

Intellectual Property: Protecting a Core Business Asset It starts with basic business identity

by Flavia Campbell It is never too early to start thinking about intellectual property protection. Keeping a conscious eye on these assets is a critical part of a business’s success. Business owners are likely to face the following key issues during the early stages of their enterprises.

Trade Name vs. Trademark Many business owners mistakenly believe that a company name is synonymous with a trademark. A trade name is the legal name of a business entity, which appears on the articles of incorporation or bylaws filed with a secretary of state’s office (e.g., The Coca-Cola Company.) A trademark, however, is a word or design or a combination thereof that serves as a source identifier of a particular product or service (e.g., Coke®).

Companies do not own trademark rights in a name simply because they registered it as part of their business name.

Trademark Clearance Great care should be taken when selecting a trademark. The U.S. Patent and Trademark Office website allows viewers to search for existing trademarks. A clear search, however, doesn’t necessarily mean that the desired name is available. As trademark rights are acquired through use of the mark, companies should consider conducting a comprehensive trademark search in order to uncover not only marks filed with the USPTO but any uses of the mark.

A trademark attorney can help interpret the search report and provide an opinion on the availability and infringement risks associated with the adoption of the mark. While a business owner may feel the cost of a comprehensive search does not fit the budget, it may be a worthwhile investment. Neglecting this step could result in a legal dispute that could mandate pulling products from shelves, rebranding and becoming embroiled in a lawsuit facing damages.

Trademark Registration If a company wishes to prevent competitors from using its trademark, it should seek a federal registration for it. Trademark applications can be filed online with the USPTO, and applicants do not need an attorney to do so, although legal advice may help a business avoid several pitfalls. A federal registration generally gives its owner exclusive rights to use the trademark throughout the country with the goods and services covered in the registration. By not seeking trademark protection, a company

Legal

the Education Series

q March: Strategic Business Structuring Can Save Assets q April: Intellectual Property: Protecting a Core Business Asset q May: Contract Pitfalls to Avoid To reference published segments, please access the archived “How-to” articles on the In Business Magazine website, www.inbusinessmag.com..

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runs the risk of someone else adopting its brand, which could diminish the mark’s value and the company’s ability to use it.

Internet Presence Nowadays, it is imperative to have a strong Internet presence to promote one’s business.

After securing the domain name of choice, companies should consider acquiring domain names with alternative extensions (.com, .net, .biz, .us, etc.) as a defensive measure to prevent others from doing so. Depending on the company’s budget, it is also advisable to register hyphenated versions of the domain name, common typos or even “(insert business name)sucks.com.”

It is not uncommon for companies to incorporate text and images found on the Internet onto their own websites. Just because something is available on the Web, however, doesn’t mean it can be freely used. Companies should make sure the content displayed on their websites does not infringe upon third parties’ rights and should seek authorization to use any materials that they don’t create in-house.

Another common misstep concerns ownership of the copyright in the website itself. If a company hires a Web designer to create its website, it should ensure that the service agreement establishes that the company owns all copyrights in it. Under federal copyright law, if the agreement fails to include a provision identifying the company as the copyright owner, the author of the work (in this case the Web designer) retains ownership.

Also, most companies don’t realize that if they collect information from viewers of their website (e.g., via cookies, asking for personal data or credit card information) they must display a privacy policy. An attorney can help draft policies that comply with current laws.

Conclusion It makes little sense for a company to invest time and resources developing its intellectual property and then fail to protect it. With many other forms of IP to keep in mind (patents, trade secrets, non-disclosure and confidentiality agreements, to name a few), it’s worth considering a preliminary consultation with an attorney. This can help businesses identify which items merit consideration, saving them money and avoiding problems along the way.

Lewis and Roca, L.L.P. lrlaw.com

Flavia Campbell is a partner with Lewis and Roca’s Intellectual Property practice.

Focusing in the areas of trademarks and copyright, she helps clients across the world protect their valuable IP assets.

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THE

ASSETS

by Mike Hunter

We Value What We Own

The 2014 Maserati Quattroporte GTS While Maserati is known for style and having created some of the all-time best sports cars and luxury sedans, the new Maserati Quattroporte GTS may be its masterpiece. All new design and with new materials to make it nearly 200 pounds lighter and eight inches longer, this sixth-generation model is what enthusiasts have been waiting for.

The new Quattroporte features a new Maserati-designed and Ferrari-built 3.8-liter twin turbo V8 engine that produces 523 horsepower, nets a top speed of greater than 190 mph and achieves 0-60 in 4.7 seconds.

This is the fastest sedan on the road. The new eight-speed, ZF automatic gearbox makes for fluid shifting. This software-enhanced transmission is more efficient and designed to optimize fuel economy. Performance is enhanced with the new chassis (reported to be the Chrysler 300 chassis) and a significant weight reduction by the use of aluminum throughout, including an all-aluminum suspension. The Quattroporte is incredibly dexterous and nimble. The engine has a powerful roar and boasts a stance that is eye-catching.

The interior is luxurious, although tamed a bit from previous versions. Adorned with technology and innovations that impress, the 8.4-inch display is a touch-controlled command center for entertainment, navigation and information systems. A full four inches has been added to the rear seating area, allowing for the tallest of passengers to feel like they are lounging in this relaxed cabin. Maserati offers many features and even some elite options that can customize the vehicle for individual taste and styling.

The wood trim, true leather and chrome appointments are described as too “corporate” for this Italian carmaker, and some feel its partnership with Chrysler is demonstrating “mass market” business practices that may be hampering design. But new technology, enhanced power and fuel efficiencies are moving Maserati in the Maserati Quattroporte right direction and giving this elite brand something to boast about once again.

City MPG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Hwy MPG. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 0-60 MPH. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.7 sec Transmission. . . . . . . . . . . . . . . . 8-speed Automatic MSRP. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $135,000

Maserati Quattroporte maseratiquattroporte.com

Don’t Just Squeak By Technology is a fact of life in business today. Mouse performance can make a big difference in a user’s skills on the computer. Here are some of the top mice.

Hippus HandShoe Mouse

The HandShoe Mouse (with Light Click) from Hippus is the latest iteration of the molded ergonomic mouse, with the same support and buttons that click with minimal effort. Left- and right-hand versions.

Wired: $119; wireless: $139 handshoemouse.com

HP X4000b Bluetooth Mouse Be more productive on the go with this sleek, stylish mouse whose comfortable design is always ready. Price and flawless performance will make this a perfect match for the whole office. $39.99 shopping.hp.com

Logitech M705 Mouse

Logitech Unifying receiver is the tiny, wireless receiver that stays in the notebook and lets the user add devices as needed.

Plug it. Forget it. Add to it. Learn more about the Logitech Unifying receiver. $49.99 logitech.com/m705

Although it’s more expensive than most other Windows 8-ready mice, the attractively designed and wideranging gesture control functionality and unique ability to run off of one or two batteries succeed in justifying its price tag. $69.99 logitech.com/t620

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Photos courtesy of Maserati (left), Hippus, HP, Logitech (right, top to bottom)

Logitech Touch Mouse T620

by Mike Hunter

Meals that matter

Power Lunch

A Sporting Good Time The Valley is a sports fan’s paradise, so why not put the “fan” sense to action during the lunch break. Here are some of the top choices to catch up midday on scores and more.

Arcadia Tavern

Serving food that may excite patrons more than their favorite team, this hot spot is always hopping with local business types during the lunch hour. An extensive menu that will please everyone in the group and TV screens that can be seen from every seat in the house mean guests will be in sports-fan heaven.

4801 E. Indian School Rd., Phoenix (602) 840-3950 • arcadiatavern.com

Majerle’s Sports Grill

Dan Majerle’s sports grill opened in downtown Phoenix more than 20 years ago and now has four locations Valley-wide (Downtown, Scottsdale, Chandler and Goodyear) welcoming guests to partake in great food, friendly service and get the latest on all the local and national teams. The staff is well-versed in what’s happening locally, too, so tap them for the latest about our teams.

Four Valley locations majerles.com

TGI Friday’s Front Row Sports Grill

Located smack dab in the heart of Chase Field, game or not, this sports grill offers it all. TV screens play all the sports channels and guests can enjoy the famed TGIF menu. Attend one of this season’s six noontime Diamondbacks games or just catch up on a favorite sport.

Photos courtesy of The Capital Grille (left); Arcadia Tavern (right)

401 E. Jefferson St., Phoenix (602) 462-3506 • frontrowphoenix.com

A Capital Idea: Dine at The Capital Grille

For corporate executives, socialites or businesspeople serious about cutting an important deal, The Capital Grille delights as it is where complete privacy or a table front and center to impress are the order of the day for local power-brokers.

Originally founded in Providence, Rhode Island, in 1990, this classic high-end steakhouse has now become a business traveler’s staple because of the exceptional service, attention to guests’ needs and quality dry-aged beef — and the fact that there are locations in nearly every major city. It has been consistently rated at the top by critics and holds dear a philosophy of bringing only the best ingredients to the table. It is owned by Darden, a group of restaurants worldwide that includes Olive Garden and Red Lobster, but guests should not be put off as The Capital Grille brand has remained true to its roots. Each location is staffed with top-notch waiters, many of whom are locals who know the clientele.

Both the Biltmore location and the Scottsdale location have become hubs where generous philanthropic leaders have created memorable local events.

Food is first and foremost at The Capital Grille. Hand-cut steaks, hand-crafted mozzarella made every two hours and the highest-quality ingredients — including Fleur de Sel, the finest sea salt available — are just part of what makes the menu items burst with flavor. Steaks that are dry-aged to perfection and cooked by people who know how to broil a steak at the highest of temperatures means high expectations become the norm among the regulars. Seasonal and indigenous ingredients add to the menu, allowing for special dishes that entice guests to experience new creations.

Architecture is as much a part of the experience as the food. Style is sophisticated, with dark, wood-paneled walls adorned by local Western art that depicts the Old West and the iconic artistic flair of our region.

The service is attentive and polite, allowing parties to get down to business and be out and onto the next deal, or sit and relax as important business decisions get made.

The Capital Grille 2502 E. Camelback Rd., Phoenix (602) 952-8900 16489 N. Scottsdale Rd., Scottsdale (480) 348-1700 thecapitalgrille.com

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SUMMeR

TraVel

From Phoenix, travelers are visiting these great destinations

San Diego Northern Arizona

Hawaii

London

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Great deals, destinations and more inside‌ inbusine ssmag.com

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Meet in the boardroom.

Connect on the fairway.

Omni understands Meet. Golf. Connect. Repeat. Do it all and more at the award-winning Omni Tucson National Resort.

520-297-2271 • omnihotels.com/thinktucson

Š2012 Omni Hotels & Resorts

Getting Away for Summer

F

or more than six years, the local You Are Here publications have informed locals and visitors alike on all that is going on in the Valley.

Now, with In Business Magazine, You Are Here goes international. This insertion is one of many that will inform In Business Magazine readers (one of the best local demographics of travelers) on many of the great getaways, deals and travel destinations from our hometown.

In this summer edition, we showcase four well-known destinations that travelers have enjoyed going to this time of the year. Dave O. Dodge, our trusty travel writer, highlights the best places to go to, stay at and eat at, and the best ways to get to Northern Arizona, San Diego, Hawaii’s Island of Kauai, and London. Fun and exciting adventures tell the story of what to expect and some of the hidden treasures that these destinations are known for.

Northern Arizona is a familiar destination for many in the Valley, but Dave points readers east to the Rim Country where he introduces the towns of Pinetop and Strawberry, where antiquing, dining and enjoying the countryside is what visitors can discover.

San Diego is the close and refreshing stomping ground of so many from the Valley.

While there is much to do, Dave invites readers to the beaches and reminds us of the great food, culture and recreation that this seaside destination has to offer.

Hawaii is a paradise and Kauai is known to be the most exotic and lush of the main inhabited islands. Dave all but offers the fresh sea breezes themselves as he directs readers through the many leisurely activities and amenities that this island has to offer visitors.

And finally, London. This ancient city is now home to the world’s finest chefs, the most notable European attractions and the big-city culture that has led popular culture, music, fashion and more for centuries. Dave takes readers through London as only a seasoned traveler could.

Have a great summer and look for our winter 2013 You Are Here edition in September.

R SUMMe el

TraV

x, From Phoeni g visitin travelers aretinations se great des

the San Diego Northern

Arizona

London

Hawaii

Enjoy this issue of You Are Here: Worldwide Travel Guide as we present summer 2013. For the summer and winter seasons, In Business Magazine readers can expect the You Are Here insertions dedicated to upcoming travel in March and September, respectively, each year. Bon Voyage!

Let us know some of your favorite travel destinations or to advertise in our travel guide: editor@inbusinessmag.com advertise@inbusinessmag.com www.inbusinessmag.com

re inside‌ s and mo

ation ls, destin Great dea

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The Road Less Traveled to Northern Arizona Time to plan your escape from the summer heat

by Dave O. Dodge

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Photo courtesy of Dave O. Dodge

Old horse barn in Pine

Sunset from the summit of White Mountains, Arizona

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Photo courtesy of Anthia Cumming (left), Dave O. Dodge (right)

B

efore too long, the Valley temperatures will be soaring into the triple digits and everyone who has spent a summer in Phoenix will be thinking about their escape route out of the Valley. Like a mass exodus out of the desert, residents look north to find a more forgiving climate with cooler temperatures. The Valley of the Sun sits at just about 1,100 feet in elevation, which makes for a long and very hot summer, but within a couple of hours’ drive, you can be high on a mountaintop above 6,500 feet with 30-degree cooler temperatures.

The obvious choice to most is Flagstaff. Less than three hours away, it’s one of the more popular spots for weekend travel, but consider the road less traveled: the Beeline Highway. Heading east out of the city, you will find a beautiful scenic drive that climbs and descends through the Mazatzal Mountains, making its way to the Mogollon Rim (pronounced MUH-gee-own). Referred to as the backbone of Arizona, “Rim Country,” as it is nicknamed, incorporates small towns and villages all with their own unique vibe and offerings to visitors.

The Mogollon Rim stretches almost 200 miles along the Colorado Plateau all the way to the New Mexico border. This escarpment can be seen for miles as you approach the town of Payson less than 100 miles from the Valley. This cool, mountain community is home to the oldest continuous rodeo in the United Sates, and would be a perfect base for a summer getaway. The entire area is surrounded by the Tonto National Forest, which encompasses almost 3 million acres, making it the largest in Arizona. The dramatic geology and the colorful history made it home to Western writer Zane Grey, who built a hunting cabin on the rim in the 1920s. With hundreds of trails to choose from, the best way to see this land is on foot. One of the more popular trails is called the Peach Orchard Trail, which starts in Payson near the Rodeo Grounds and makes a very do-able loop for the avid hiker.

Just up the road a piece on the outskirts of Pine, Ariz., is without-doubt the most popular attraction: Tonto Natural Bridge State Park. This natural travertine arch is believed to be the largest in the world. It was first discovered in 1877 when a Scottish pioneer was in search of a hiding spot from marauding Apache Indians. Today, this state recreation area attracts picnickers and walkers that come to cool off under the Ponderosa Pines and dip their feet into Pine Creek, which flows through the rock tunnel. Like most of the state parks in Arizona, Tonto Natural Bridge State Park has had

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Tymeless Antiques and Treasures

DO With so many choices of attractions in the Rim Country, save time and plan your visit ahead of time.

Zane Grey Cabin Zane Grey was a prolific writer who helped popularize the Old West. His original cabin, located near Payson, burned in 1990, and this historically accurate replica was built in Payson’s Green Valley Park. www.rimcountrymuseums.com Strawberry Schoolhouse This is the oldest standing schoolhouse in Arizona. www.strawberryschool.org Tonto Natural Bridge In a gem of a state park, the bridge is believed to be the largest natural travertine bridge in the world. www.azstateparks.com/parks/tona DINE From Payson to Strawberry, you will not go hungry, with options from small mom-and-pop cafés to the chain fast-food eateries. Some are gems and some you will pass by not even noticing.

Meal time is also an exploration.

Fargo’s Steakhouse This is the one choice for lunch or dinner in Payson.

Fargo’s is family-owned and run, offering great service, choice cuts of meat and a complete wine selection.

After a day of hiking or horseback riding, bring your appetite; there are a lot of selections for every budget. www.fargossteakhouse.com The Randall House This is where to come for an authentic country meal. www.therandallhouse.com That Brewery Take a tour, have a meal and relax with one of the many microbrews on tap. www.thatbrewery.com

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SHOP Shopping can be as much fun as hiking the Arizona Trail. All the shops in Pine are easily hike-able and can offer a variety of treasures, but use the car in-between shops for transporting all your finds.

Tymeless Antiques and Treasures This is a multi-dealer emporium located in the heart of Pine that has everything to start your own Antiques Roadshow, from estate jewelry to quilts. This is one of the many establishments to browse while in Pine; pick up an antique trail map of the area here. www.tymelessantiques.com Down the Street Art Gallery Located in one of the oldest houses on Main Street in Payson, this little gallery has a big appeal to locals and tourists alike.

Celebrating the works of local artists, without the price tag of other northern AZ locals. www.downthestreetartgallery.com Not on the World Wide Web, if you can believe it?! Some antiques stores and local merchants in Pine and Strawberry have not made it into the 22nd century; without naming them, the fun will be in the hunt.

STAY The Rim Country is not without motor inns, motels and bed & breakfasts, and they tend to fill up fast during the heat of the summer. Plan on a required minimum stay of two nights on busy weekends.

Majestic Mountain Inn Voted the best hotel in Payson for the past seven years, this quaint mountain retreat in the cool pines offers 50 spacious rooms, many with a spa; a swimming pool; and daily continental breakfast.

Inquire about the private meeting rooms and romantic packages offered. www.majesticmountaininn.com Cabins on Strawberry Hill This is your one place to stay in Strawberry.

Its cute, A-framed cabins are selfcontained and well maintained, the owners are great, and you will feel at home. www.azcabins.com Airbnb This new and very popular website offers many choices of lodging (worldwide) that are privately owned, from large homes to private rooms to unique mountain cabins — easy to book and at great prices. www.airbnb.com

Mogollon Rim country around Pine, Arizona

Majestic Mountain Inn in Pine

Tonto National Forest

Photos courtesy of Dave O. Dodge

GO Check out one of the many websites for current listing on events, lodging and forest information.

Tonto National Forest Find information on the official U.S. Forest Service website, with maps, conditions and fees. www.fs.usda.gov/tonto Rim Country The Rim Country Chamber of Commerce offers maps, business listings and up-to-the-minute weather conditions. www.rimcountrychamber.com

financial challenges; check for opening times and current weather conditions before making the trek.

The charming hamlet of Pine is often overlooked and confused with the more developed Pinetop, which is much larger and farther from Phoenix. Pine boasts barely 2,000 full-time residents, but will grow significantly during the summer months with Valley residents escaping the heat. A weekend here in a mountain cabin gets you as close to an authentic pioneer experience as you can get. Combine it with browsing in the many shops, where you will be doing your very own Antiques Roadshow as you search for that undiscovered treasure.

Along with antique shops, there are a few small eateries that will tempt your palate. The food here is simple and honest, like the residents. That Brewery, formerly known as the Rim Side Café, is fast becoming known for some of the finest-tasting micro-brewed craft beer in the state. Combine its beer with a homemade bratwurst, and you will be thinking you are in the Bavarian Alps. If a homemade lunch in one of the oldest homes in town is more your style, The Randall House offers fresh-baked items, its own salad dressings and the best cup of coffee in town.

Strawberry, a village even smaller and higher in elevation, is located halfway up the steep climb from Pine to the top of the Rim. Named for the abundance of wild berries found growing there at one time, this sleepy little town has the oldest standing schoolhouse in the state, where visits can be arranged by appointment. The place to stay is the Cabins on Strawberry Hill, tiny A-frames that are comfortable with all the amenities of any large home. A weekend stay here doesn’t have to be just during summer; it is open year-round and offers destination packages for events from weddings to corporate retreats.

Whatever reasons you may have for heading north this summer, by taking the road less traveled you will discover places under the pines that are not only cooler but quaint.

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California’s Oldest City Is More than Beaches and Surfers Visit San Diego for a well-rounded vacation of history, culture and great weather

by Dave O. Dodge

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Fireworks over Coronado Bridge

Balboa Park Lily Pond

Sunset Cliffs, Pacific shoreline

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Photos courtesy of Joanne DiBona, SanDiego.org (top), Hornblower Cruises and Events (left), Joanne DiBona (bottom)

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alifornia is not just a place but a lifestyle, a cultural phenomenon that every American wants to visit at least once in his or her life thanks to iconic images of surfers, beach-blanket parties and golden-hued youth.

The coastline was first spotted by Europeans almost 200 years before they actually set up shop there. Prior to the arrival of gold-seeking explorers, this entire area was inhabited by an indigenous people called the San Dieguito; then in 1769 the first mission, along with a presidio, was established, thereby creating the first beach-front community in California.

Luckily for us Arizonians, San Diego and the smell of the ocean spray is less than six hours away by car; a world away from the desert heat and dry river beds. The entire area around the bay is frequently voted the best weather in the entire country. A mild Mediterranean climate with 72-degree days in the middle of the summer combined with miles of pristine coastline — what’s not to like? Visitors have been coming to this Southern California city for many years; some staying, never leaving, after discovering the many faces of San Diego.

As the second-largest city in the state, it has a diverse lifestyle and offers everyone the opportunity to discover its other side; steeped in history, it offers much to see and do away from the water. Right smack in the center of town is Balboa Park, a 1,400-acre site that was set aside back in 1868 for everyone to enjoy. The calling card to this urban cultural park is along the El Prado, where the Spanish Colonial Revival architecture dates back to the Panama-California Exposition (1915-1917) that celebrated the completion of the Panama Canal. These buildings now house special events and some of the finest works of art. Take in a play at the re-creation of Shakespeare’s Globe Theatre and don’t miss the Museum of Man dedicated to the marvels of our species.

Next stop is Downtown, with its own sense of an urban revival; this once-aging section of town called the Gaslamp Quarter is again attracting locals and visitors. Its humble beginnings lie in the 1860s, when a fellow named Horton made a small investment and created a sustainable and viable city. Take time to walk the streets, where Victorian-era buildings stand in contrast to the glass towers that surround them. Considered off the beaten path from the beach circuit, this can be a foodie’s paradise. There are now almost

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STAY Choose a family-style resort with the beach at your feet or an urban escape in the heart of Downtown; you can’t go wrong if you do your research.

The Keating Located right in the middle of the action, this boutique hotel offers amenities with flair. www. thekeating.com Hotel del Coronado Considered the “Crown of the Bay,” this iconic Victorian landmark is replete with history. Its website gives some of those stories along with special deals, dining options and romance packages. www. hoteldel.com DO Family attractions and beautiful beaches are the billboards for this beautiful city, but look past the obvious for a visit to San Diego that is both fun and educational.

Balboa Park A recreation of The Old Globe theatre, museums and more make the entire area almost overwhelming, with so much to see and experience. www.balboapark.org San Diego Zoo A must-see for everyone, this world-renown zoo offers a more naturalistic sense of environments for its animals and exhibits. www.sandiegozoo.org Sea World Opened in 1968, this is the mother ship to all the others in the country. Love it or hate it, but face it, everyone ends up here. Plan to spend an entire day. www.seaworldparks.com/ seaworld-sandiego

GO For your summer escape from the heat, San Diego is less than a day’s drive away, with miles of beaches and hundreds of attractions that make it a perfect vacation. Moderately priced and very accessible. Check out these sites.

San Diego Tourism Authority This is the official site for all things San Diego — hotels, attractions, neighborhoods and events. www.sandiego.org BEACHES With so many miles of coastline, you cannot miss the beaches, each with its own sense of being. From sunbathing to surfing to just walking, there are countless possibilities.

Imperial Beach On the south side of Coronado Island, IB is a laid-back beach community that offers a moderate take on a vacation. Beachside taverns, cafés and family-run restaurants are abundant. www.imperialbeachca.gov Ocean Beach North of the downtown area, OB has a Hippie feel with young families, old-time surfers and aging Baby Boomers. It offers an unpretentious vantage point from which to watch the sunset. www.oceanbeach.com Mission Beach With only about two miles of beach, MB is complete with a boardwalk, pastel-painted homes, condos and small hotels. It’s a favorite for people-watching and surfing. www.sandiego.org/what-to-do/ beaches/mission-beach.aspx

DINE With so many choices to eat, some more upscale than others, there is something for every budget.

Gaslamp Quarter A Victorian area that invites strolling and offers a global palate of restaurants. www.gaslamp.org Hash House a Go Go Serving all three meals daily, the restaurant bills its dishes as “twisted farm food.” Come early and bring an appetite. The wait here is usually not too bad. www.hashhouseagogo.com Monsoon This Indian-inspired eatery in the heart of the Gaslamp Quarter is easy to find and moderately priced. (Just when you thought you’d escaped the Monsoon season!) www.monsoonrestaurant.com Donovan’s Prime Seafood A close cousin to the steakhouse in Phoenix, this restaurant offers seafood as fresh as you can get. Combine that with the service and atmosphere and you can’t go wrong. www.donovansprimeseafood.com

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Downtown Gaslamp Sign

Coronado Beach Sunset

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Photos courtesy of San Diego Zoo (left top), Joanne DiBona, SanDiego.org (right top and bottom)

Entrance to the San Diego Zoo

200 restaurants here; it is considered the premier destination for entertainment in San Diego.

Sleeping Downtown can be as fun as the beach, less the breeze. Take the Keating Hotel, right in the middle of the Gaslamp Quarter, which looks like a throwback to another time. This red brick Victorian building was built in 1890, but step inside for an ultra-modern luxury boutique experience — each room has been totally refurbished with an Italian fashion sense, including an espresso machine in each stanza (Italian for “guestroom”) to keep the vibe alive.

Venture off the mainland over the impressive curved bridge and you will be on Coronado Island, considered to be the real reason for visiting San Diego. The iconic Hotel Del Coronado — or The Del as is it is known by locals — was built in 1888, and Thomas Edison himself flipped the switch to electrify it on opening day.

At the time, it was the largest building outside of New York City to have power.

Everyone should spend at least one night in this Victorian masterpiece. The Del has been attracting celebrities, diplomats and royalty since opening its doors. If you can’t stay here, at least take the historical tour the hotel offers daily.

The island of Coronado offers another entire sense of life — laid back, refined and a little more upscale than Downtown. The shopping along Orange Avenue is relaxing and quaint, with small boutiques and cafés that provide a perfect alternative to the more boisterous attractions and family-style fun. There are also almost 15 miles of bike paths along the beach that can take you all the way to Imperial Beach.

San Diego this summer can’t be overlooked, for within a short distance you and your family can be transported to another world, one of inspiration. After all, it wasn’t so long ago that children’s author L. Frank Baum, from his cottage at The Del, inspired generations with tales of a wizard in a magical land.

KOALAFORNIA, HERE WE COME

THE NEW AUSTRALIAN OUTBACK. OPENING MAY 2013 inBusiness_SDZoo_2013.indd 1

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Come for the Beach, Stay for the Scenery The most beautiful of the Hawaiian Islands is also the most peaceful

by Dave O. Dodge

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Riding through a palm grove

Makua Beach

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Photos courtesy of Hawaii Tourism Authority / Tor Johnson

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awaii is one of the most exotic and intriguing places to visit in the world and the best thing about it: You don’t need a passport to get there.

Where else in the United States can American citizens go to see lush vegetation, dramatic mountain scenery and beautiful ocean beaches as well as experience a multi-ethnic culture that is a melting pot of many races? Some might say California; but hands down for climate and culture, Hawaii has to be top of mind. The islands once were made up of independent chiefdoms, and for a time unified as the Kingdom of Hawaii, then became a territory before entering statehood in 1959. President Eisenhower knew what he was doing when he signed the proclamation that created a balanced field of stars on our flag — it also made the islands a popular destination for American vacationers.

Hawaii is made up of six major islands and is considered to be the most isolated of the populated places on Earth, being thousands of miles from a mainland. It also has the distinction of being the last significant land discovery by western explorers in the 18th century (we all saw Swiss Family Robinson and have been fantasizing about living in a tree house ever since). All the islands are equally popular and all for different reasons. Choose one for all the right reasons and make it the holiday of a lifetime.

Kauai is one of the smaller islands — or the 4th largest, depending on how you look at it. But it has a big reputation to live up to, as it is known for the soaring cliffs on the Na’Pali Coast and for Waimea Canyon, which is considered to be Hawaii’s Grand Canyon; this emerald-green oasis is nicknamed the Garden Isle. The attitude here is simple: “Hang loose.”

So kick back and take time to smell the hibiscus.

From Phoenix, it is possible to take direct non-stop flights into Lihue Airport on the southern side of the island; you can also get there from Honolulu, a short 25-minute flight.

Once you are there, a rental car is needed to really see and experience the island. The entire island’s major points can be done by car, and is doable in a day. Unfortunately, trying to make a loop of it is next to impossible, unless a helicopter is involved. On the North Shore, you will find towering cliffs along a 17-mile stretch, the mountains climbing to 3,000 feet. This is where the helicopter comes in to see the Na’Pali coastline.

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GO Kauai has its own personality and charm, but before you arrive do some research and plan your touring to match your expectations. Think The Descendants, not Ocean’s Eleven.

Weather should never be an issue, as it is pleasant year-round, but the higher you go into the mountains the more you increase your chances of daily showers.

Hawaii The Hawaii Tourism Authority’s website gives a general overview and specific island sights, events and current weather. www.gohawaii.com Flights to Hawaii United Airlines and US Airways offer direct, non-stop flights that take about seven hours from Phoenix. www.united.com, usair.com DO Nature-lovers, history buffs and hopeless romantics are all attracted to the shores of Kauai.

Kauai Sea Tours This is the way to see the majestic Na’Pali Coast if helicopters are not your thing. Sail around the rugged mountains in a catamaran and encounter dolphins and whales up close. Sunset dinner cruises, secluded beaches and a tour of the ancient Hawaiian are also offered on these excursions. www.kauaiseatours.com Waimea Plantation Waimea Town, where this resort is located, is on your way back from the Canyon. It calls you to spend some time walking in the rich island history. Captain James Cook first dropped anchor 1788 at what is now this historic seaport. www.waimeaplantation.com/waimea-town.php A Heavenly Hawaiian Wedding This is the spot to check if you are planning to say, “I do.” A one-stop help in planning your paradise wedding, it can help you choose the location, the flowers and even the food. www. aheavenlyhawaiianwedding.com Hawaii State Parks The Department of Land and Natural Resources offers information on all the parks on the island, including Waimea Canyon, which you can reach via a self-drive up to the north side. This breathtaking beauty is 14 miles long and rivals our own Grand Canyon. Start out early before the clouds roll in and it will promise to be a perfect day. www.hawaiistateparks.org

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DINE You won’t go hungry on the island.

Choices run the gamut from fast food to fine dining, and when all else fails the local market is perfect for any picnic you can dream up. After all, it’s paradise, so relax and watch the waves.

Lappert’s Hawaii Lappert’s is self-proclaimed as the ambassador to Hawaii. This ice cream shop has been scooping out handmade delights in Hanapepe since 1983. Don’t drive past without trying Heavenly Hana. www. lappertshawaii.com The Bull Shed This restaurant, a cozy, ocean-front favorite for families since 1973, is perfect for fresh fish and quality beef, and you won’t break the bank. It’s on the Coconut Coast along the Kuhio Highway in Kappa. www. bullshedrestaurant.com Island Taco This taco stand is an island favorite and has many vacationers returning more than once during their stay. Try the homemade tortillas, which are delightful with anything you put in them, especially the shrimp. Remember laid back; think flip flops and sunsets. www.islandtaco.com

Long view of Na’Pali Coast

STAY Accommodations on the island can be booked online; the price varies as do the amenities. It’s all about what you are looking for, which is another very good reason to take your time and do your homework.

Kukui’ula This resort is the ultimate location for exclusive relaxation. Built by DMB Associates, the Silverleaf people, it is second to none on Kauai. It features its own village, private clubhouse and quaint luxury cottages that are available for nightly rentals — or, if you really love them, they can be purchased. www. kukuiula.com Aston Aloha Beach Hotel This is a beachfront property located on the east coast, and is family-friendly and priced accordingly. Choose from suites or cottages with an ocean view as well as a menu plan. www. astonalohabeachhotel.com

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Photos courtesy of Hawaii Tourism Authority / Tor Johnson

Makua Beach

With temperatures that fall between 69 and 84 degrees Fahrenheit every day of the year, it’s no wonder the ocean is an average of 75 degrees — perfect for any activity in the water. The South Shore of Kauai is as sunny as it gets and boasts one of America’s best beaches — Poipu Beach. The waters here are so inviting that, along with the locals, many forms of wildlife come here to play; humpback whales, monk seals and a variety of colorful fish make this the most popular stretch of beach on the island. Picnicking, snorkeling and even some surfing can be done here on Poipu Beach when the summer swells are consistent from the south; it’s a perfect spot before heading back to any of the many accommodations on the island.

There are many choices in this area to lay your head down. From luxury cabanas to budget hotels, no resort can be taller than a coconut tree; a perfect rule for a paradise setting. Here, discover a world-class luxury property that has combined the Old and New worlds, covering even the slightest of details. The plantation-style

Photos courtesy of Hawaii Tourism Authority / Tor Johnson

cottages of Kukui’ula is this island’s most exclusive setting for you to kick off your shoes and pull up the drawbridge. Nearby, The Club offers members and guests amenities like gourmet dining that celebrates the island cuisine or a simple fire pit to relax by and watch the setting sun.

This island garden is also very appealing to Hollywood, boasting location credits on more than 70 feature movies filmed here. You might not remember the original version of South Pacific, but who could forget The Descendants starring George Clooney, as his character struggled with doing the right thing on Kauai?

Visit any of the islands on Hawaii and you will find your own version of paradise. And men, be mindful not to pack your jacket and tie — there is no need for them here. Kauai is a destination best visited when peace and tranquility is your objective. Come for the scenery and stay for the clarity; it’s very contagious.

Views of the Kalalau Valley from Kalalau Lookout

Wailua Falls

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City Break along the Thames After the crowds of last summer, there’s no better time than now to visit London

by Dave O. Dodge

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London skyline seen from the River Thames

Big Ben and houses of Parliament

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Photos courtesy of Sergey Borisov (left), Krisztian Miklosy (right)

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ast summer, the world watched in awe as England celebrated the Royal Jubilee of Queen Elizabeth II, as she gave her signature wave from a barge floating down the Thames. It was an auspicious occasion for the United Kingdom and each of its individual countries. But even this was surpassed when, a few weeks later, the Queen appeared to be sky diving with none other than James Bond, into the Olympic Stadium for the opening ceremonies of the Summer Olympic Games held in London. Unique to the Brits, their sense of humor is as well-known as is the capital city of London.

With the countless events held in London in 2012, the city has never looked better and felt more alive. London is in play once again; the time to visit is now. Daily flights from Phoenix Sky Harbor will have you strolling along the banks of the Thames in less than 12 hours, barring any delays. Summer is one of the best times to visit, when the days are warmer and the chance of rain reduced. With so much to see here, doing your homework ahead of time will make your visit more meaningful and efficient.

London is a global city that has its foundation with the Romans, steeped in medieval history and grown to epic proportions. The capital city of England has had centuries to mold and shape itself into the most diverse urban area in the world. With a population of more than 8 million people who speak upwards of 300 languages, it presents a daunting task to see it all. On the plus side, however, the common tongue is English.

Life in the center of London starts along the River Thames and fans out into distinct neighborhoods and enclaves of culture, each with its own vibe that has to be experienced on foot. Use the underground, or “the Tube,� as the best way to get around the city; with a good sense of direction and the map provided, anyone can use this mass transit system to see the ’hoods and their sights.

The West End is located in the neighborhood of Charring Cross and is home to the vibrant theater scene that the city is known for as well as high-end shopping along Regent Street and over-the-top hotels. No time in London is complete without exploring on foot the narrow streets, discovering quaint pubs and dusty bookshops and seeing a new play that just opened. There are 40 theaters in this area, each offering the best in live performances

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GO Daily non-stop flights from Sky Harbor to Heathrow with train service into London. No taxi needed.

British Airways Check the airline’s site for schedules, fares and daily updates for this non-stop daily service. www.britishairways.com DO With endless things to see and do while in London, choose wisely because your time will be fleeting.

A perfect blend of history, fashion and art is a well-rounded visit to this fabulous city.

London & Partners The official promotional organization for London, this company offers a site that is easy to navigate and has a lot of information. www.visitlondon.com London Theatre Guide On its online version, find reviews, tickets and schedules of live performances in the West End. www.londontheatre.co.uk Britain’s Finest This is an easy site to navigate for all the art museums and galleries located in the city, with listings of permanent collections, special events and fees. www.britainsfinest.co.uk/museums SHOP There are countless shopping possibilities, so plan your time as well as your budget because you will not have enough of either during your stay here.

Harrods This department store is a must-see. Just mention the name and everyone points in one direction. Check out the front windows for the latest fashion icons in the most dramatic of displays. Pick up a signature shopping bag. www.harrods.com Time Out London Time Out offers an online guide to the shopping mecca, with events and even sales. www.timeout.com/london/shopping Topshop Topshop, started back in the ’60s, is on fire with many stores in London and beyond. www.topshop.com

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DINE Don’t believe the rumors; the food in England is not all bad. In fact, many chefs are coming on the scene and fine eateries are popping up everywhere. But if you come all this way, you must eat in a pub and sample as many fish & chips as you can.

The Bunch of Grapes In Knightsbridge, this is a great neighborhood pub that serves both locals and tourists in an authentic setting. Come for the fish, but stay for the ale and a good conversation. gkpubs.co.uk/pubs-in-london/bunchof-grapes-pub/ Balans You can’t get any closer to the heart of the West End than Old Compton Street, where you’ll find this restaurant’s Soho location. It’s open to 5 a.m., so, after a show, a disco or a pub crawl, come here to where the fun people hang. www.balans.co.uk/site/ View London, Ltd. This website lets you surf by neighborhood to find a place to eat. Use it to let someone else do the discovering work. www.viewlondon.co.uk

Marching the Queen’s Guards during Changing of the Guards ceremony at Buckingham Palace in London, UK

Photos courtesy of Mike Peel (left), Frank Azon (bottom) Fernando Carniel Machado (right)

The London Eye

from new dramatic works to old stand-by musicals like The Phantom of the Opera, which currently is celebrating its 27th year. Ticket agents are everywhere in Leicester Square. Go the day of the performance to score a discounted seat, but have an open mind on what is available; you may just discover the next big hit.

Shopping along Bond Street is another rite of passage; for the gents, the haberdashery is alive and well, and for the ladies, boutiques from Chanel to Burberry all hang a shingle out on the exclusive street. After a day of helping the economy, pop into one of the old grandes dames of hotels for a spot of tea or a glass of sherry. The Ritz London and The Mayfair are iconic and world-class hotels located close by, but hang tight for the opening of the Shangri-La Hotel at The Shard, an elevated property opening this summer that will redefine luxury with an Asian flair that this brand is world-known for.

Whatever your fancy, London offers a neighborhood to match it. The iconic Harrods upscale department store is located in Knightsbridge and fills a million

Buckingham Palace and visitors at spring time

STAY There are so many places to stay in London that choosing one is very difficult. Determine your base during your stay, a price range and what amenities you need; narrow your search to make it easier.

The Rembrandt A Sarova hotel in Knightsbridge, it is conveniently located near the South Kensington station and comes with a full traditional breakfast buffet, Wi-Fi and a quaint bar. Best of all, for this posh neighborhood it is priced just right. www.sarova-rembrandthotel.com Shangri-La Hotel Located between the 34th and 52nd floors of The Shard, a new glass tower near London Bridge, this soon-to-open luxury hotel will set the bar very high for London. Be ready for views from every suite and an experience second to none. www.shangri-la.com/London Hotels.com L.P. Not kidding, this is the easiest site, with photos, reviews, maps and deals. So easy. www.hotels.com

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square feet of shopping in 330 departments. Don’t be surprised at the number of Ferraris parked out front — after all, it’s Brompton Road, an extremely wealthy residential area. London is not all shopping; for a real history lesson in luxury, a rare visit inside Buckingham Palace just around the corner from Harrods will have your head spinning looking for a crown to wear.

It’s a tour de force when visiting London; on every corner is an architectural gem, a familiar landmark or just a spot of green where you can sit and people watch. London is known for its open spaces and green parks. The more famous Hyde Park is easily walk-able from the center of the city, and the small but very fashionable St. James Park is the best place to recharge your batteries for another day of sightseeing and shopping. Check out London this summer and, while you are there, take a moment to feed the birds.

Photos courtesy of S. Greg Panosian (right) Fernando Carniel Machado (left)

The Queen’s Theatre corner in the West End

St. Paul’s cathedral and the Millenium bridge crossing the Thames

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Index Index by Name

Ehmann, Mike, 24

Lee, Bill, 30

Schultz, Mike, 31

Artigue, Ray, 24

Gruner, Paige, 35

Mason, Maraka, 34

Silverman, Sanford, Ph.D., 38

Bernas, Judy, 24

Hall, Derrick, 24

Mulhern, Bob, 14

Smith, Brian, Ph.D., 24

Bradley, Tony, 20

Hart, Bob, 24

Matos, Aaron, 22

Sobczak, Art, 31

Brown, Katie, 24

Hickman, Paul, 16

Milczarek-Desai, Gavin. J., Ph.D., 16

Sobel, Andrew, 32

Brush, Kathleen, Ph.D., 66

Jain, Suneil, N.M.D., 38

Milne, Robin, 12

Stewart, Collin, 20

Campbell, Flavia, 40

Kennedy, Michael, 11

Pollack, Michael, 14

Taylor, David, 31

Castaldo, Debbie, 12

Kielp, Liesl Harder, 16

Robins, Jonathan, 24

Trichel, Kimberly, 12

Davis, Mesha, 34

Kleinman, Suzanne, 38

Robles, Josue Jr., Major General, 35

Vogel, Rich, 16

Doerr, John E., 31

Kurtz, Jeff, 14

Samour, Robert, 20

Index by Company

Commerce Bank of Arizona, Inc., 16

Major League Baseball, 24

Shamrock Foods, 24

Aerie Land Development, L.L.C., 14

Commerce Bank, 16

Maricopa County Attorney’s Office, 6

Shangri-La Hotel, 62

AguaSAC, 16

Core Institute, The, 15

Sheraton Phoenix Downtown, 24

Ahwatukee Foothills Chamber of Commerce, 36

Cox Business, 67

Maricopa Small Business Development Center, 35 Mastro’s Restaurants, 19

Airbnb, 50

Southwest Center for HIV/AIDS, 34

Customer Reference Forum, 30

Alliance Bank of Arizona, 2 American Cancer Society, 34 Arcadia Tavern, 43 Arizona Chamber of Commerce & Industry, 36 Arizona Commerce Authority, 24 Arizona Department of Transportation, 20 Arizona Diamondbacks Foundation, 12 Arizona Diamondbacks, 12, 24, 41 Arizona Hispanic Chamber of Commerce, 36 Arizona Lodging & Tourism Association, 55 Arizona Office of Tourism, 24 Arizona Small Business Association, 36 Arizona Small Business Development Centers, 35 Arizona Sports and Tourism Authority, 24 Arizona Super Bowl Host Committee, 11 Arizona Technology Council, 36 Arizona Trucking Association, 20 Artigue Agency, 24 Asiagate, 14 Aston Aloha Beach Hotel, 58 AT&T, 44 Balans, 62 Bibby Financial Services, 10 Blue Cross Blue Shield of Arizona, 5 Britain’s Finest, 62 British Airways, 62 Bull Shed, The, 58 Bunch of Grapes, The, 62 Cabins on Strawberry Hill, 50 Cactus League, 24 Capital Grille, The, 43 CBOA Financial, Inc., 16 Center for Attention Deficit Disorders, 38 Center for Peak Performance, 38 Central Phoenix Women, 36 Chandler Chamber of Commerce, 35, 36 Chandler, City of, 14 Chicago Cubs, 24 Colangelo School of Sports Business, 24 Colliers International, 14

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Coyotes Charities, 12 Delta Dental, 9 Desert Fleet-Serv, 19 DMB Associates, 58 Donovan’s Prime Seafood, 54 Down the Street Art Gallery, 50 Driver Provider, The, 23 Economic Club of Phoenix, 35, 36 Environmental Protection Agency, 20 EnVision Flexible Packaging, 16 Fargo’s Steakhouse, 50 First Scottsdale Bank, 16 Gallagher & Kennedy, P.A., 11 Grand Canyon University, 24 Greater Phoenix Chamber of Commerce, 36 Harrods, 62 Hash House a Go Go, 54 Hawaiian Airlines, 58 Hawaiian Tourism Authority, 58 Health Advocate, Inc., 38 Heavenly Hawaiian Wedding, A, 58 Hippus, 42 Holmes Murphy, 10 Hotel del Coronado, 54 Hotels.com, L.P., 62 Hunt Construction Group, 24 IBM, 32 Island Taco, 58 J & G Steakhouse, 6 Jobing.com, L.L.C., 22 Kauai Sea Tours, 58

Mesa Chamber of Commerce, 36 Metropolitan Tucson Convention & Visitors Bureau, 51 Michael A. Pollack Real Estate Investments, 14 Microsoft, 14

Sonora Quest Laboratories, 17 SRP, 4 Stern Produce, 24 Stewart Transport, 20 Stoney-Wilson Business Consulting, 23 Strawberry Schoolhouse, 50

Monsoon, 54 National Association of Women Business Owners, 36 National Bank of Arizona, 68 North Phoenix Chamber of Commerce, 36 Omni Hotels & Resorts Tucson, 46 Orchard Medical Consulting, 13 Peoria Chamber of Commerce, 36 Phoenix Coyotes, 12 Phoenix Regional Sports Commission, 24 Phoenix Suns Charities, 12 Phoenix Suns, 12 Potential to Soar, 38 Quarles & Brady, L.L.P., 16 Randall House, The, 50 Recruiting.com, 22

TAB Bank, 20 Tempe Chamber of Commerce, 36 TGI Friday’s, 43 That Brewery, 50 Time Out London, 62 Tonto Natural Bridge, 50 Topshop, 62 Tymeless Antiques and Treasures, 50 U.S. Department of Health & Human Services, 38 U.S. Youth Soccer, 24 United Airlines, 58 United Nations, 24 United Services Automobile Association, 35

Rejuvenah Health & Aesthetics, 38

United States Patent and Trademark Office, 16

Rembrandt, The, 62

US Airways, 58

Rim Country Chamber of Commerce, 50

View London, Ltd., 62

Robins Bakery, 24

Waimea Plantation, 58

San Diego Tourism Authority, 54

West Valley Women, 36

San Diego Zoo, 54, 55

Women of Scottsdale, 36

SCF Arizona, 3

Workplace Bullying Institute, 38

Scottsdale Area Chamber of Commerce, 36

Zane Grey Cabin, 50

Sea World, 54 Sedona Bottling Company, 16

Bold listings are advertisers supporting this issue of In Business Magazine.

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It's THE Hub to Building Business A p r i l 2013

65

Roundtable

A Candid Forum

Navigate around the Quicksand in the Global Marketplace U.S. businesses urgently need to develop global leadership skills

by Kathleen Brush, Ph.D. Globalization has been the buzzword of the decade, yet many U.S. business managers are still unaware of the skill sets they urgently need to compete in a global market. There are 32 developed countries with 1 billion potential customers and 162 developing nations with 6 billion people, many heading into the middle class for the first time, with all the attendant needs and desires, which means the most attractive business opportunities in this century will be outside the United States. Identifying the best bets and tapping into them, however, requires new and augmented skills.

The IMF has forecast $27.3 trillion in economic growth between 2011 and 2016. Eighty-seven percent will occur outside the United States, most of it in developing countries. The forecasted growth for developing China, India, Africa and Latin America is two to four times that of the United States and the European Union. In 2013 and moving forward, U.S. business leaders will not come out on top without developing new skills to navigate the global opportunities. Managers need to increase their understanding of how other countries operate.

Create strategies with a global context. Being able to evaluate opportunities and threats around the world has to be a fundamental skill and one that is exercised regularly. This is because political, economic and social issues are different and they change. How different are they? How about new regulations that appear without notice; judicial systems that do not administer justice; economic systems that can’t support the needs of operations, workers or goods; and social cultural systems that condone corruption. Managers will have to go beyond assessing populations and demographics and into an analysis of workforce skills, labor regulations, availability of credit and health care, and the quality of the transportation infrastructure.

Manage and motivate employees from different backgrounds. There is a good chance that Employee A from Country A won’t be motivated by the same things as Employee B from Country B. In part, this can be cultural; for example, pitting employee against employee may inspire the competitive spirit in Americans, but contests for individual supremacy can be culturally offensive for many others. Or the differences may be regulatory, such as between the United States, where it’s relatively simple to terminate an underperforming employee, and the many countries where it will cost a fortune and even require external approvals.

Build relationships rather than filing lawsuits. Businesses need to lose the crutch of legal systems to ensure contractual commitments are met. Cross-border litigation is always expensive and time-consuming.

Worse, justice does not always prevail. Exchange the art of suing with the art of building relationships because that’s how most of the world outside the United States makes sure commitments are met.

Know when affordability trumps innovation. American managers have always preferred to focus on products with superior innovation versus lowest price, because the former fetch a premium. That will no

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A p r i l 2013

longer be a slam dunk. In many countries, successful products will deliver country-specific basic functions that are priced for the market.

These consumers don’t care about innovation; they care about basic, affordable functionality.

Read financial statements. What if financial data is unreliable due to cultural inclinations, political machinations or manual reporting systems?

Gone are the days of blindly valuing what comes in black and white.

Embrace new bottom lines. Maximizing shareholder value has been an American mantra. In other countries, businesses are expected to have multiple bottom lines that take into consideration shareholders, employees, the environment and the community.

Managers in the 21st century will need to become super-motivators who drive productivity and innovation, create competitive products, and generate more sales and increased profits. These will support higher wages, increased hiring and investments in clean technologies — in addition to shareholder value.

Keep a strong moral compass. Operating within unfamiliar, unpredictable places can make it challenging to distinguish the gold mines from the land mines. Some cultures will see bribery, the concealment of data and quality shortcuts as business as usual. Today’s leaders know that a strong moral compass is the only reliable navigator of behaviors and decisions.

The Power of One: You’re the Boss kathleenbrush.com

Kathleen Brush, author of The Power of One: You’re the Boss, has more than two decades of experience as a senior executive with global business responsibilities.

With a Ph.D. in management and international studies, she has been teaching, writing and consulting on international business and leadership for companies of all sizes, including those that are public, private, foreign and domestic.

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