MAY 2017
2017 Business Healthcare Services Guide
Impact Investing Who Benefits?
Co-Working Spaces
Success Stories from the Corner Office
Hot trend in commercial real estate
Perception, Truth and
Constructive Feedback $4.95 INBUSIN ESSMAG.COM
THIS ISSUE Global Chamber Alliance of Arizona Nonprofits
Fleet Intelligence For Your Business
VEHICLE & ASSET TRACKING SOLUTIONS GPS Insight works with Arizona businesses that have fleets of vehicles and other mobile assets to solve your unique business challenges through increased revenue, reduced costs, and reduced risk.
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602.389.3500 alliancebankofarizona.com Alliance Bank of Arizona, a division of Western Alliance Bank. Member FDIC.
MAY 2017
COVER STORY
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Co-Working Spaces: Hot trend in commercial real estate
In Business Magazine explores this trend with input from commercial real estate professionals and the businesspeople providing and using the sites for a view of what is driving this development and the experience it delivers. FEATURES
Healthcare
MAGAZINE
Services
Guide
MAY 2017
IN BUSINESS
2017 Busine ss
COMMERCIAL REAL ESTATE
Impact Investing Who Benefits?
Success Stories from Corner Office
the
Co-Working Spaces
MAY 2017
Perception,
Hot trend commercial in real estate
• INBUSINESSMAG.COM
Truth and Constructive Feedback
THIS ISSUE
Global Chamber Alliance of Arizona Nonprofits
$4.95 INBUSINESSMAG.COM
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Greg Wait discusses the growing interest in investing in sustainable companies, and the benefit to both the community and the company.
DON’T MISS OUT!
Get a year of In Business Magazine Subscribe now at inbusinessmag.com
PARTNER SECTIONS GLOBAL CHAMBER® Global Chamber® Events
SPRING 2017
phoenix.globalchamber.org/events
Global Chamber Phoenix and Tucson
Saturday, May 6 Global Career Round Table
Impact Investing – Making a Difference in the Community
34
Even Successful CEOs Need Peer-to-Peer Feedback
This is the first of Bennett Curry’s three-part series on Arizona Commerce Authority’s CEO Corner Office program, sharing success stories of individual participants.
Global Chamber members who are open to new global career opportunities gather to discuss business, job and other opportunities. 11:00am to 12:15pm RSVP to events@globalchamber.org
The Bridge to New Revenue Opportunities
Spotlight Event Global Chamber Phoenix
by Doug Bruhnke, CEO & Founder, Global Chamber®
Thursday, May 11 Homerun Networking Annual executive networking event in centerfield with the Diamondbacks. Global Chamber® is pleased to collaborate with Phoenix CEO-COO Group and other organizations to make this one of the best high-level networking events of the year. 4:00pm to 9:00pm RSVP to events@globalchamber.org Global Chamber Phoenix
Tuesday, May 16 Welcome Global Companies to the Valley Hosted for members of Global Chamber by member Tiffany & Bosco, Global Chamber welcomes new global companies who have landed in the Valley with a “Welcome Reception.” 5:30pm to 7:00pm RSVP to events@globalchamber.org Global Chamber Tucson
Wednesday, May 24 League of Extraordinaries Designed around extraordinary global business service providers who are providing services to international companies. We exchange information and get to know each other a little better. 6:00pm to 7:00pm RSVP to events@globalchamber.org
We’ve heard it said that unless your business is global, it’ll die within five years. That’s because most opportunity is somewhere else. Ninety-nine of business opportunities are outside metro Phoenix. Even for top GDP countries US and China… 85% and above of business opportunities are outside the U.S. You’re a good business person, so why go after one customer next door when six are down the street? That’s the math we’re looking at here. It’s not so hard to go down the street anymore, or anywhere in the world! Doing business in another metro in your own country or in another metro in another country can be tricky. You need to know more — logistics, legal, banking, marketing, plus partners and customers — and also how to reach them. How can you trust that you’ll find new customers in new markets, and get paid? That’s the fun and intrigue of cross-metro, cross-border and global business. Yes, I said fun. It’s fun when you’ve got a team that understands different cultures, regulations and situations — so that you can prioritize markets, reach them and sell to them. But no one should go global alone.
If you’re a good businessperson, you’re willing to take a little prudent risk to gain more of the market. You know that if you can sell to different markets your risk is actually reduced because your business will benefit from the portfolio effect. As one market slows, another speeds up, and you’re now insulated from the impact of the economy of one metro, region or country. Most SMEs, though, don’t have all the resources needed to go after foreign markets without more than a little risk. Or even to other metros within the country. That’s a big issue. The world has never been so attractive to business, despite the noise you might hear from politicians and populists. Global markets haven’t changed; they keep growing. If you and your country don’t participate, someone else’s will. And so, what does an SME do? Better get going global, quickly. Chances are 99 to 1 that you’re underinvested globally. Reach out to the global tribe — we’ll get you there quickly and effectively. And grow more effectively to metros within the country. Don’t wait; act.
GlobalChamber.org
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UNITING, STRENGTHENING, AND ADVANCING ARIZONA’S NONPROFIT SECTOR. ARIZONANONPROFITS.ORG
Is Your Business on Board?
CONTENTS
p. 2
Board Service: Onboarding Leadership Volunteers for Success
p. 4
The Nonpartisanship of Nonprofits
p. 5
The Nonprofit/For-Profit Connection: Mesa Arts Center and Crescent Crown Distributing
p. 6
At Your Service
p. 7
How Can Businesses Help Nonprofits?
p. 8
Aha Moments about the Economic Power of Nonprofits
Arizona Gives Day 2017 Results Are In
One of our strategic initiatives at the Alliance is to strengthen the connection, collaboration and coalescence of the nonprofit and for-profit sectors. Having previously served the small-business community in my role at the Arizona Small Business Association, I understand the importance of these connections in so many aspects. We have begun to expand our programs and outreach to the business community since I joined the Alliance in 2015, and we have been intrigued at the opportunities that are beginning to take shape. One of the ways we help connect the sectors is through targeted board governance training, specifically aimed at business professionals who have yet to begin board service, or for those of us who were “voluntold” to join a board as part of our job responsibilities. We know that setting both the business professional and the nonprofit up for success starts with making sure everyone understands their roles and responsibilities. We do this through our half- and full-day Business on Board training offered throughout the year. Another way we are strengthening the critical connection of businesses to nonprofits is through Arizona Gives Day. On April 4, we hosted our fifth annual Arizona Gives Day, and we did specific outreach to our business partners. We gave them ways that their company and employees could support local nonprofits through employee giving, day-of promotions in their stores, and through their social media channels. Finally, we are also helping make connections to businesses and consultants who are interested in serving and supporting our nonprofits through our Resources for Good Directory. This professional listing is housed on our website, and it’s the first place we point nonprofits who are in need of specific resources like legal, financial or fundraising help, to name just a few. We understand that each sector has a critical role to play in making Arizona a place we are proud to call “home.” Thank you for partnering with us as we continue to unite, strengthen and advance our Arizona nonprofit sector. Kristen Merrifield, CAE Chief Executive Officer Alliance of Arizona Nonprofits Businesses can support the Alliance of Arizona Nonprofits and its member organizations in a variety of ways, including joining as a business member, becoming a sponsor or making a tax-deductible financial contribution. For more information about how you can support the Alliance or about becoming an Alliance Member, contact Director of Membership Jennifer Blair at 602-682-7593 or via email at JenniferB@ArizonaNonprofits.org.
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Alliance of Arizona Nonprofits
SPECIAL SECTION PRESENTS
2017
Business Healthcare Services Guide Associations & Government Employee Benefits Consultants Dental Insurance Individual & Group Health Insurance Hospitals Urgent Care Workplace Bundled Health Programs Workplace Wellness Workplace Ergonomics
Join us for our event on May 5, 2017 • www.inbusinessmag.com
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2017 Business Healthcare Services Guide
MAY 20 1 7
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DEPARTMENTS
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Guest Editor
Sharon Harper, president and CEO of Plaza Companies, introduces the “Commercial Real Estate” issue.
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SPRING 2017
The Alliance of Arizona Nonprofits is an action-oriented group of partners across Arizona — both nonprofits and those in the community who support them — dedicated to uniting, strengthening and advancing Arizona’s nonprofit sector. The Alliance envisions an Arizona where all nonprofits are valued, empowered and thriving.
CRE
“Zoning – Consequences of Code Violations,” “Downtown Grocery,” “Chandler for Entertainment” and “Retail in PV Area”
16
Technology
“Diet by App,” “Automation to Transform Nursing Allocation” and “Top vs. Bottom Performers: What Role Does Technology Play?”
18
Healthcare
“A Smile for Health,” “A Smile for B Smiles,” “One for All” and “Strengthening Telehealth”
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Books
New releases give fresh insights on business thinking.
Global Chamber Tokyo + 5 Metros
Thursday, June 8 Global Manufacturing Summit Executives in Asia and North America share perspectives on growing and manufacturing across borders, a Global Chamber - ProMexico event. 3:30pm - 6:00pm RSVP to events@globalchamber.org
14
Feedback
Mallory Dyer, Jeremy Veatch and Tighe Wilhelmy respond to In Business Magazine’s burning business question of the month.
11
Briefs
“Bike Service Goes Mobile,” “Hilton Debuts Eco- and PetFriendly Concept,” “Monetizing Spare Time,” “Goods to Go” and “Stocking Up”
12
By the Numbers
A CBRE study examines what is driving corporate occupiers to manage their portfolio with more efficient workplace design.
13
From the Top
Michael Finn’s open-door leadership helps lead Redflex on the road with public safety.
30
Nonprofit
High-net-worth, seasonal community members are key to fundraising.
35
Power Lunch
Hearth ’61 – A View Forward and Back Plus: Where to take highpowered down a notch to “impress” that more casual client.
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Roundtable
This psychological bias of perception over truth explains why some people don’t hear constructive feedback. ON THE AGENDA
31
Spotlight
24th Annual Enterprise Business Awards — ASBA Women in Business Conference — Tempe Chamber of Commerce
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Calendar
Business events throughout the Valley
The largest co-working market in the Americas is Manhattan; its 7.6 million square feet of co-working space represents 2 percent of the total market, with 2.8 million square feet leased in the past three years, according to CBRE Americas Occupier Survey Report 2017. bit.ly/cbre-research-reports
ELIMINATE THE UNCERTAINTY OF RENTING
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May 2017 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
We’re #1!
Kristen Merrifield, CEO Alliance of Arizona Nonprofits (602) 279-2966 www.arizonanonprofits.org
Stearns Bank is ranked number one among the nation’s top-performing community banks by The Independent Community Bankers of America.
Jack Lunsford, President & CEO Arizona Small Business Association Central Office (602) 306-4000 Southern Arizona (520) 327-0222 www.asba.com
Based on Return on Average Assets among community banks with $1 billion or more in assets.
Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 www.aztechcouncil.org
NATION’S TOP-PERFORMING COMMUNITY BANK – ICBA –
Doug Bruhnke, Founder & President Global Chamber® (480) 595-5000 www.globalchamber.org
A Nationwide Preferred SBA Lender 480.314.4200 | stearnsbank.com | follow us
Phaedra Earhart, President NAWBO Phoenix Metro Chapter (480) 289-5768 www.nawbophx.org
| Member FDIC
Anne Gill, 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 ahwatukeechamber.com Arizona Chamber of Commerce & Industry azchamber.com Arizona Hispanic Chamber of Commerce azhcc.com The Black Chamber of Arizona phoenixblackchamber.com Chandler Chamber of Commerce chandlerchamber.com Economic Club of Phoenix econclubphx.org Glendale Chamber of Commerce glendaleazchamber.org Greater Phoenix Chamber of Commerce phoenixchamber.com Greater Phoenix Gay & Lesbian Chamber of Commerce gpglcc.org Mesa Chamber of Commerce mesachamber.org North Phoenix Chamber of Commerce northphoenixchamber.com Peoria Chamber of Commerce peoriachamber.com Phoenix Metro Chamber of Commerce phoenixmetrochamber.com Scottsdale Area Chamber of Commerce scottsdalechamber.com Surprise Regional Chamber of Commerce surpriseregionalchamber.com WESTMARC westmarc.org
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WE PUT SOME OF THE VALLEY’S TOP BUSINESS EXPERTS IN ONE PLACE. Business Resource Center. You need timely, relevant information to help you manage your business. But finding it can be a hassle. That’s why SRP has partnered with local business organizations to bring you professional insights on everything from marketing and human resources to financing and forecasting. All in one place. All from experts in their fields. SRP is happy to provide this free service, because what’s good for business is good for all of us. Learn more at srpbizresource.com.
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WHEN BUSINESS BOOMS, BOOM BACK.
May 2017
VOL. 8, NO. 5
Publisher Rick McCartney
Editor RaeAnne Marsh
Art Director Benjamin Little
Contributing Writers Andrea Aker
Michael Cocanower Bennett Curry Mike Hunter Bruce May Mark Murphy Richard Tollefson Greg Wait ADVERTISING
Operations Louise Ferrari
Business Development Louise Ferrari
Maria Mabek Kelly Richards Cami Shore
Take advantage of special financing offers designed to help your business grow.
Events Amy Corben
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.
At Bank of the West, we listen closely and work with you to craft smart, personalized banking solutions that meet your needs. That’s why we’re proud to offer OwnerOccupied Commercial Real Estate Loans with 20-year fixed-rate term with 20-year amortization. Call a business banker today to start the conversation.
Inform Us: Send press releases and your editorial ideas to editor@inbusinessmag.com.
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And for a limited time we are also offering: 2
• Up to $3,000 in closing cost savings on Owner-Occupied Commercial Real Estate Loans up to $2.5 million or up to $10,000 savings on Owner3 4 Occupied Commercial Real Estate SBA Loans up to $15 million. Closing cost credit is determined by loan amount. 5 6 • Prime +0.5% on a Secured Business Line of Credit with a new Choice or 7 Analyzed Business Checking account. Contact a business banker today: Chris Crafton 623-334-7186
Paul Menchaca 480-372-1628
1. Offers valid for applications received and completed between May 20, 2017 through July 7, 2017. Loans and lines are subject to credit approval and for business purposes only. Conditions, fees and restrictions may apply. Offers available for new Bank of the West loans and lines of credit. Offers require automatic payments from a Bank of the West Business Checking account. Rates and terms are subject to change at any time without prior notice. 2. The closing cost credit will be applied on the settlement statement as credit towards third-party fees such as appraisal, title policy and environmental fees incurred during the loan process. If the actual third party costs incurred are less than the advertised credit amount, no additional credit will be given. The fee credit cannot be combined with other loan offers. A credit up to $1,000 will be applied for loans between $150,000 and $500,000. A credit up to $2,000 will be applied for loans between $500,001 and $1,000,000. A credit up to $3,000 will be applied for loans between $1,000,001 and $2,500,000. 3. SBA loans from Bank of the West are in participation with the US Small Business Administration. Loans are subject to approval in accordance with both Bank of the West and SBA eligibility and lending guidelines. Certain fees, conditions and additional restrictions may apply. 4. A good faith deposit will be required upon accepting Bank of the West approval. If applicant withdraws the loan request after issuance and acceptance of Bank of the West’s Commitment Letter, all third-party costs incurred must be paid by the borrower. A credit up to $3,000 will be applied for SBA loans between $150,001 and $1,000,000. A credit up to $5,000 will be applied for SBA loans between $1,000,001 and $5,000,000. A credit up to $10,000 will be applied for SBA loans between $5,000,001 and $15,000,000. Credit cannot be applied toward SBA packaging or participation fee. 5. Bank of the West Prime + 0.5% rate is for new or existing Bank of the West customers who have or open a new Choice or Analyzed business checking account with Bank of the West. Available for Business Lines of Credit up to $750,000. After 12 months, a minimum rate of 4% applies. Bank of the West Prime is 4.00% as of March 22, 2017, and subject to change. 6. For new accounts, minimum opening deposit of $100 required; the monthly service charge of $20 on Choice Business Checking will be rebated for the first two statement cycles. Ask a banker about ways to waive the monthly service charge thereafter. Additional terms and conditions and fees apply. 7. Account charges based on service usage less earnings credits, based on balances, and may offset fees. See current Analyzed Business Checking Schedule of Fees for details. Minimum opening deposit of $100.
SPECS
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MAY 2017 DATES
BLEED 4.875” w x 9.875” h TRIM 4.875” w x 9.875” h
MECH DATE
03-27-17
CLOSE DATE None
President & CEO Rick McCartney
Editorial Director RaeAnne Marsh
Senior Art Director Benjamin Little
Financial Manager Donna C. Mitchell, CPA
Office Manager Brittany Barnum
Accounting Manager Todd Juhl Corporate Office InMedia Company at Galvanize Phoenix Campus 515 E. Grant St., Suite 150 Phoenix, AZ 85004 T: (480) 588-9505 info@inmediacompany.com www.inmediacompany.com
Vol. 8, No. 5. In Business Magazine is published 12 times per year by InMedia Company. POSTMASTER: Send address changes to InMedia Company, 515 E. Grant Road, Suite 150, Phoenix, AZ 85004. To subscribe to In Business Magazine, please send check or money order for one-year subscription of $24.95 to InMedia Company, 515 E. Grant Road, Suite 150, Phoenix, AZ 85004 or visit inbusinessmag.com. We appreciate your editorial submissions, news and photos for review by our editorial staff. You June 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. © 2017 InMedia Company, LLC. All rights reserved. No part of this magazine June be reproduced or transmitted in any form or by any means without written permission by the publisher.
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INBUSINESSMAG.COM
SHARON HARPER, PLAZA COMPANIES
Commercial Space
Sharon Harper is the chairman, president and CEO of Plaza Companies, a dynamic and multi-faceted real estate investment firm specializing in development, brokerage, construction and management of medical office properties, senior living facilities, and bioscience and biotechnology centers. Harper is chairman of Greater Phoenix Leadership, serves on the executive board for Greater Phoenix Economic Council, is a trustee for the McCain Institute for International Leadership with ASU and a trustee for the Virginia G. Piper Charitable Trust.
Co-working spaces have come into their own in the commercial real estate market. Garage startups and early entrepreneurs are moving from their Starbucks meetups to ever-evolving collaborative work environments and public spaces with amenities that fully serve business; the trend is attracting even established businesses. With each passing day technology and innovation become more important to all businesses, and their influence is driving commercial real estate. We see this with our own projects — most notably SkySong, The ASU Scottsdale Innovation Center — and throughout the Valley. Co-working spaces provide opportunity for collaboration and creativity, which fuel the modern business environment. Exploring the hot commercial real estate activity in co-working spaces, In Business Magazine editor RaeAnne Marsh spoke with industry professionals knowledgeable in the Valley market. And, adding to input from founders and managers of leading co-working facilities, businesses that are established and operate there share their experience of the arrangement. By the Numbers discusses a related topic — how corporate occupiers are managing their real estate portfolio with more efficient workplace design, with metrics that include use of different types of shared workplaces. In today’s business world, use and misuse of technology can be a deciding factor in a company’s success. An article on the Technology page addresses small and medium-sized businesses to focus on more effective strategies. The focus of the finance feature, “Impact Investing – Making a Difference in the Community,” is on the return gained by the investor, the sustainable company invested in, and the community of which it is part. And a resource for business decision makers is the special section Business Healthcare Services Guide. This May issue also starts a three-part series on the Arizona Commerce Authority’s CEO Corner Office program to help already-successful businessmen and businesswomen further advance their company. Each installment will share a different participant’s experience, with a skill or talent gained and how that business put it into play. I am pleased to help bring you this issue of In Business Magazine, with its varied content relevant to businesses here in our Valley of the Sun. Please enjoy the read.
Sincerely,
Sharon Harper President and CEO Plaza Companies
CONNECT WITH US:
On the Move As an “old hat” businessman, I was one of the last in my company to get the co-working space concept. But when I finally did and rolled it out, it was to great acclaim by the staff. The days of the old
truly are allowing us to be a tech company. I have heard it said many times lately that all companies are tech companies now. We want to thank Sharon Harper for her input in this issue
corporate location where everyone shows up and is “in business”
of In Business Magazine. Her experience and knowledge of
and then leaves to be “out of business” are over. We recently moved
commercial real estate and her involvement with some of the
into Galvanize in the Warehouse District in Downtown Phoenix
Valley’s best-known projects, and some upcoming, are why we
and have completely revamped how we do business, and are now
chose to have her lead this issue. The changed model for doing
working with systems that were in place there — eliminating a
business may be changing how companies take and use space, but
percentage of overhead and managed services. It has added an
the knowledge of the market, development and leasing practices
energy to the team and offers added services and benefits that
remains the same.
Healthcare
MAGAZINE
Services
Guide
MAY 2017
IN BUSINESS
2017 Busine ss
COMMERCIAL REAL ESTATE
Impact Investing Who Benefits?
Success Stories from Corner Office
the MAY 2017
Perception,
Co-Working Spaces Hot trend commercial in real estate
• INBUSINESSMAG.COM
Truth and Constructive Feedback
THIS ISSUE
Global Chamber Alliance of Arizona Nonprofits
$4.95 INBUSINESSMAG.COM
DON’T MISS OUT!
Get a year of In Business Magazine Subscribe now at inbusinessmag.com
—Rick McCartney, Publisher
Let us know what you think of this issue of In Business Magazine. Email our publisher at feedback@inbusinessmag.com.
Story Ideas/PR: editor@ inbusinessmag.com Business Events/ Connections: businessevents@ inbusinessmag.com Marketing/Exposure: advertise@ inbusinessmag.com Visit us online at www.inbusinessmag.com
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VALLEY LEADERS SOUND OFF
are the top two or three things you enjoy about being in a co-working space? Q: What (Include one aspect that was unexpected, if applicable.)
FEEDBACK QUESTION: Let us know what you want to know from the Valley’s top business leaders. editor@inbusinessmag.com
CEO GraphLock, Inc. Sector: Education Technology
Co-Founder Ironwood Venture Sector: Management Consulting
Co-Founder and VP Velawcity Sector: Marketing
We chose Galvanize because of the amazing people! I came on a hard-hat tour before it opened, and I could already feel the sense of community and collaboration here. Since we are new to the Phoenix startup community, we wanted a space where we could really meet people and immerse ourselves in the culture. Everyone at Galvanize is willing to help one another out, and there is a sense that we all want each other to succeed! Plus, the space is incredible and, due to how open it is and the garage doors, you don’t really feel like you are stuck in an office. The amount of networking and people we have met in just the two months we have been here has been an absolute plus! With Galvanize’s educational component, we also have the opportunity to meet and work with the newest talent in the tech space. It also has mentoring hours on different subjects, as well as seminars with speakers on different topics. Galvanize is not a co-working space; Galvanize is a community of like-minded people who are all on a mission to make a difference.
One of the big attractions is that I am, by nature, a learner. Here at The Department, I get a lot of opportunities to ask people what they’re working on. I’m interested because, no matter what their company or their position in it, I can learn from them and that makes me better. I recently had a chance conversation at the copier machine with another member. He was telling me about what he was working on, and we got into a problem his business was trying to solve. I realized that was a solution my wife’s company might use, so I connected them. In the end, my wife’s company was helped simply because I was shooting the breeze with a guy at the copier machine. These types of small connections happen every week, and it’s a way for everyone involved to be better at what they do. I’ve also noticed that the folks at The Department seem to be more interested and involved in what is happening around them — less of working with blinders on, and more about working together to do something bigger.
One thing I enjoy most is the break from corporate status quo. It’s no secret anymore that people are capable of being as productive, if not more, when allowed to operate in a comfortable environment that facilitates social engagement and collaboration. This directly supports the second reason I’m a firm believer in DeskHub — the opportunity to leverage information about other industries for purposes of improving your own products, services, processes or procedures. I’m constantly developing our business model per the information or critical thinking that comes as a result of the everyday conversations at DeskHub. You can get there on your own, but you can get there faster through collaboration. One feature at DeskHub I was reluctant about was the open-area workspaces. My concerns were regarding the noise, impact on productivity and respect for privacy. I was delightfully surprised to experience no problems with any of these initial concerns. Noise was diluted tremendously by the open space, productivity surged by result of working in a “glass box” and the contagious work ethic of others around, and other companies have been respectful of everyone’s environment.
2017 Busine ss
Healthcare
Services
Guide
MAY 2017
MAGAZINE
COMMERCIAL REAL ESTATE
Impact Investing Who Benefits?
Success Stories from Corner Office
the MAY 2017 • INBUSINESSMAG.COM
INBUSINESSMAG.COM
TIGHE WILHELMY
Mallory Dyer grew up on a cattle ranch in Marana, Ariz., and worked at her family’s livestock auction. She has won an NJCAA Women’s Basketball National Championship as both a player and a coach. She found her passion in math education. Before GraphLock, she taught at Central Arizona and won the 2015 National NISOD Award for Teacher Excellence.
IN BUSINESS
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JEREMY VEATCH
GraphLock, Inc. graphlock.com
For all past Feedbacks go online to inbusinessmag.com and see what Valley executives think on various business topics.
MAY 20 1 7
MALLORY DYER
Perception,
Co-Working Spaces Hot trend commercial in real estate
Truth and Constructive Feedback
THIS ISSUE
Global Chamber Alliance of Arizona Nonprofits
$4.95 INBUSINESSMAG.COM
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Ironwood Venture ironwoodventure.com
Jeremy Veatch is the co-founder of Ironwood Venture, a management consulting company specializing in accelerating growth for emerging and middle-market businesses. Ironwood Venture has been a part of The Department since day one. Veatch’s son says his real strength is the Rubik’s cube — his fastest time to solve it is a shade under two minutes.
Velawcity velawcity.net Tighe Wilhelmy has leveraged more than six years of digital advertising experience to develop a powerful understanding of lead generation and conversion tactics for personal injury attorneys, and consults and educates the legal community about the most effective digital strategies available today. He received his bachelor’s degree in business from ASU, and is certified by the Interactive Advertising Bureau in digital sales, operations and data solutions.
Sign up for the monthly In Business Magazine eNewsletter at www.inbusinessmag.com. Look for survey questions and other research on our business community.
BY RAEANNE MARSH
QUICK AND TO THE POINT
Bike Service Goes Mobile
BYTES
The “we’ll come to you” concept now has a bicycle incarnation in Beeline Bikes, a Bay Area startup that has a Phoenix-area franchise operator in The Velo to serve Downtown Phoenix and segments of the East and South Valley. “The typical Beeline Bikes mobile bike shop customer is very different from the typical local bike customers,” says Beeline CEO and founder Pete Buhl. In fact, in the four years it’s been operating in San Francisco, he’s seen a lessthan-2-percent overlap. Busy professionals who work during tuypical office hours enjoy the convenience of a mobile bike service, as do families that have three to five bikes, possibly of different types, Buhl explains. He notes also that, increasingly, the millennial generation uses bikes as a commuting tool, leading to corporate customers who encourage employees to ride bikes to work and offer to subsidize Beeline Bikes’ oncall service as an employee benefit. Beeline also has premier partnerships with e-retailers, and is able to deliver, assemble and even offer a tutorial to serve the cyclist customer. Rather than being seen as competition or disruption to the industry, Beeline is a more convenient additive. Bike shops have the opportunity to co-brand a Beeline Bikes Sprinter Van, equipped with all the tools and parts needed to fix a bicycle right then and there, and serve the customers in a community they normally wouldn’t, including those who have never visited a brickand-mortar bike ship for their cycling needs. Phoenix’s attraction as a market for Beeline Bikes’ expansion includes having a college population as well as weather that encourages a lot of outdoor enthusiasts, Buhl shares. Beeline Bikes beelinebikes.com • The Velo thevelo.com
Monetizing Spare Time Hire.Bid improves the way people find and hire high-end professionals and allows professionals to better leverage and monetize their skills. Its proprietary system incentivizes professionals to perform their best for clients and allows those same professionals — even if employed — to make money by auctioning off their spare time. The platform inverses the traditional model where professionals race to the bottom with low bids (and resulting low service), instead allowing clients to bid for the services of highperforming professionals. hire.bid
Goods to Go Roadie lets people send things (from
Hilton Debuts Eco- and PetFriendly Concept
Hilton’s latest concept in its hospitality portfolio is Home2 Suites, aimed at guests looking to stay five or more nights, and it chose Glendale, across the street from University of Phoenix Stadium, as one of its debut locations. Evidence indicates that was a smart choice, as the hotel has been booked solid since its first week two months ago, according to Jake Rodriguez, general manager. Di rigueur for this type of lodging, the complimentary breakfast at Home2 Suites goes for healthy: make-them-yourself buckwheat waffles, oatmeal with fresh ingredients to mix in, Greek yogurt, artisan sandwiches, infused water — and, to boot, dishes and utensils are not disposables. Sustainability is a theme throughout the operation, from low-flow fixtures to flooring of carpet squares that, Rodriguez explains, makes it easy to replace small sections for wear or stain. Combining the complimentary laundry with a good-sized fitness center enables guests to do their work-out during the wash and dry cycles. The pet-friendly suites offer fully-equipped kitchens (again, no disposable dishes or cutlery) with full-sized dishwasher, and modular furniture that allows guests the flexibility to customize their suite to their individual preferences. Inviting communal spaces include a big front patio that takes in the night sights of the Westgate Entertainment District a few blocks away. Home2 Suites by Hilton Phoenix Glendale-Westgate bit.ly/hilton-home2-suites
by Mike Hunter
furniture to boxes, bicycles and more) with drivers already heading in that direction. It’s a smart solution to save on shipping costs and a green way to use resources already on the road. The service is also becoming popular with local small businesses, as an affordable way to deliver goods to their customers. roadie.com
Stocking Up Stockpile offers companies and unique and rewarding way to incentivize employees. Shares of stock can be gifted in any dollar amount and is the gift that keeps on giving. E-gifts or physical gift cards are available and allow employers to help their team become investors. stockpile.com
The hospitality industry in the Greater Phoenix area encompasses nearly 450 hotels and 62,000 rooms. visitphoenix.com
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BY MIKE HUNTER
METRICS & MEASUREMENTS
Occupancy Efficiency
What’s driving corporate occupiers to manage their portfolio with more efficient workplace design? While talent continues to reign supreme on the list of top concerns for companies today, a new survey of corporate executives underscores the challenges they are facing in today’s economic environment. Of the 176 Americas executives surveyed by CBRE Group, Inc., 52 percent named economic uncertainty as a top-three concern, up from 36 percent in 2016. As a result, 87 percent of corporate occupiers report that they are managing to this uncertainty by disposing of surplus space and/or implementing more efficient workplace designs to prepare their portfolios for the future. Further, only 26 percent of respondents expect to expand their portfolios over the next two years, down from 38 percent in the 2016 survey. Approximately half of the 2017 survey’s respondents indicated the size of their portfolios would remain stable with 2016 levels.
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CBRE Group, Inc. serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide, with a broad range of integrated services that include facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. cbre.com
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While uncertainty is driving many real estate decisions, creating a workplace experience focused on talent remains top of mind for the majority of occupiers surveyed. Sixty-seven percent of respondents cited employee satisfaction as the key measure of the success of their workplace strategy programs. This is a higher percentage cited than occupancy cost per square foot (56 percent), occupancy cost per employee (53 percent) and target cost reduction (42 percent). Further, 55 percent of respondents said talent attraction or retention was among the top three drivers of their organizations’ workplace strategy, and 53 percent said promoting collaboration was the most important driver. Only 40 percent cited operating expense savings as among the top three drivers. Recognizing that both formal and informal communication are more powerful when face to face, occupiers trying to motivate employees to come to the office are turning to a range of amenities and services that support the integration of the workplace into both their personal and professional lives. Sixty-four percent of respondents said amenities are most important to their labor forces, with food offerings being the most prevalent (81 percent) and hospitality services on the cutting edge (32 percent). “Improving the workplace experience is certainly a priority we are hearing about from local Phoenix companies and something we are putting into practice right here at CBRE. Our new Workplace360 office, opening later this year, embraces a new approach to how the workplace should function — from unassigned work stations to a paperless environment to a focus
on collaborative spaces,” says Craig Henig, senior managing director and market leader for CBRE’s Southwest Region. “As this latest CBRE research shows, companies are gaining a better understanding of the role a strategic workplace design like Workplace360 can play in promoting employee choice, enhancing flexibility, increasing productivity and, ultimately, improving retention.” —CBRE Group, Inc. CBRE Group, Inc. cbre.com CBRE Americas Occupier Survey Report 2017 bit.ly/cbre-research-reports
What Cost-Reduction Initiatives Have Had the Most Impact in the Past Year? (Percent of respondents who placed the response in their top three) Disposal of surplus space
65%
Efficient workplace design
50%
Expense reduction
36%
Lease renegotiation
36%
Relocation
26%
Supplier consolidation
13%
Energy management
13%
What Is Most Important to Your Labor Force? Amenities
64%
Flex workspace
47%
Flex working
45%
Public transportation
41%
Indoor environment quality
37%
Connectivity
25%
Sustainability
9%
What Type of Shared Workplace Do You Use Today / by 2020? Workspace
Today
2020
Serviced office
57%
60%
Co-working
48%
65%
Innovation center
30%
46%
15%
33%
Business incubator
Source: CBRE Americas Occupier Survey Report 2017.
“The new breed of technology provides previously unfathomed abilities to efficiently monitor buildings, optimize space utilization and engage employees,” observes Matthew Toner, CBRE’s managing director of Global Workplace Solutions. bit.ly/cbre-research-reports
MINDING THEIR BUSINESS
Michael Finn: Leading Redflex on the Road with Public Safety His open-door leadership encourages further technological innovation with automated photo enforcement by Andrea Aker
The path from tech startup to a market leader is rarely straight. It’s filled with peaks and valleys that create a unique landscape, culture and opportunity in the marketplace. Over the past quarter century, Glendale-based Redflex Traffic Systems has traversed a very diverse terrain. Now, CEO Michael Finn, who has held the post since May 2015, is ushering the company into a new era with a revived culture and more opportunities to improve public safety and fulfill the needs of law enforcement agencies across North America. Best known for operating automated photo enforcement programs, Redflex partners with municipalities to reduce redlight running, speeding and myriad other dangerous driving behaviors. While many know the Redflex name, few know its story, mission and innovations. “The people who work here are truly committed to saving lives,” says Finn. “They hear myths or distortions that a vocal minority spreads, yet they remain steadfast in their mission to make the world a safer place. We have developed technologies and services that enable police officers to perform their jobs more effectively, ultimately ensuring we all make it home safely each night.” Founded in 1987 as American Traffic Systems and acquired by Redflex in 1997, the company has been headquartered in the Valley since day one. It launched North America’s first photo enforcement program in Paradise Valley, which quickly gained the accolades of a police department with limited patrol capabilities and garnered the attention of forward-thinking, resourceful law enforcement agencies nationwide. Redflex was the first to solve a problem that vexed communities of all types and sizes — they experienced dangerous driving behaviors on certain roadways, but had no way of effectively enforcing the law consistently. Without a 24/7 deterrent, risktaking drivers took their chances, too often injuring and killing innocent people in the process. With just a handful of employees in the ‘90s, a vision for safer American roadways took root. Redflex spent the coming years carving a path for the industry, educating the country about safe driving behaviors and continually identifying new solutions for specific needs of police departments. The growing team developed new, advanced ways to help officers enforce the law more affordably and efficiently while freeing up patrols, improving officer safety and enabling better resource allocation. Fast forward three decades: Redflex now employs more than 200 people in Glendale and around the country, and operates 145 photo enforcement programs throughout the United States, with an additional 15 programs in Canada and Mexico.
“Automated photo enforcement is an emotional issue for folks on all sides because lives are at stake,” Finn says. “We recognize that, and I have made it part of my mission to increase transparency and further educate the public about the technology and its benefits.” The company overcame its greatest challenge several years ago following the highly publicized illegal acts of some former employees. The company admitted its mistakes, changed its business practices, reorganized leadership, and moved on powerfully and positively. Says Finn, “Now stronger than ever, we lead the industry in ethical practices, implementing bestin-class anti-bribery and anti-corruption policies, training and procedures. We have since exemplified the highest standards in effective private/public partnerships, and are now focused on driving innovation and customer-focused business practices.” Poised at the helm of this new era, Finn is finding Redflex employees excited once again. “Our history of technological advancements is now framing our future,” he says. “We are identifying new needs and increasing awareness of newer products that protect children, pedestrians and road workers. We even have a crash preemption and avoidance system that has the power to prevent deadly collisions.” Approachable and friendly, Finn has an open-door policy that is attractive to employees who feel more empowered than ever to share ideas, concerns or anything else that’s top of mind. “I believe it’s critical for business leaders to listen more than they talk,” he says. “It’s amazing what you can discover about your people, products and potential when you zip your lips and ask for honest feedback.” Moving forward, Finn wants to extend the company’s foothold beyond red-light and speed cameras. “There are a multitude of ways we can assist municipalities, and, with a workforce that’s engaged more than ever, I believe we’re ripe for innovation and will no doubt find new ways to improve public safety and save more lives in the future.” Redflex Traffic Systems redflex.com
The Insurance Institute for Highway Safety conducted one of the most comprehensive studies assessing the effectiveness of automated red-light photo enforcement. It found a 21-percent reduction in red-light-running fatalities across 79 cities with camera programs operating through 2014. That percentage translates to 1,296 lives saved.
FINN FACTS AT A GLANCE 1. Prior to Redflex, Michael Finn held various leadership roles at a mapping navigation firm called NAVTEQ, which was acquired by Nokia. 2. Finn holds a B.A. in Economics from Cornell University, New York State, and an MBA from the University of Michigan. 3. Under the leadership of Finn, Redflex earned the 2017 Greater Phoenix Chamber of Commerce Impact Award for Innovation. 4. In addition to red-light and speed cameras, Redflex operates programs that protect roadside workers and children as they enter and exit the school bus. 5. Redflex offers a photo enforcement product with unique crash preemption and avoidance system that actually anticipates when a vehicle is about to run a red light and automatically holds the “red” phase for all lanes until the offending vehicle has cleared the intersection.
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PROPERTY, GROWTH AND LOCATION
Zoning – Consequences of Code Violations
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KNOW THE ZONE Typically, land is divided into residential, commercial and industrial districts, or it can also be designated as mixed-use, each with its own parking, setback, height and other design requirements. In addition, the city, in the course of approving a zoning application, may require variances, special use permits or satisfaction of conditions and stipulations. A common violation is an owner developing or using property in a manner not permitted for that zoning district.
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Zoning is the manner in which cities and counties regulate land use. There are, basically, three stages at which the jurisdiction evaluates zoning code compliance: (i) planning, (ii) construction, and (iii) occupancy. At the zoning/planning stage, the jurisdiction ensures the use is permitted and the improvement falls within the general requirements; at the construction stage, the building plans, among other things, are evaluated to ensure that the construction will specifically conform to the planning as approved; if so, a building permit is issued to begin construction. Upon completion and after inspection, an occupancy permit is issued to begin or continue occupying the project or property as improved. If, at any time, the construction is not in compliance, the city or county can issue a “stop work” order. Without zoning/ planning approval, there is no building permit, and, if the construction is not properly completed, there is no occupancy permit to allow the owner to use the property as intended. In addition to imposing on the owner the requirement of securing the necessary approvals and permits before any improvements to the property are possible, the city or county will respond to complaints filed by other residential or commercial property owners, or the city or county property inspectors. For instance, if a business is operating an auto repair shop out of the garage of a home in a residential district, a neighbor could file a complaint against the operation, or, if in
a shopping center, a business could file a complaint against the owner or tenant that the use exceeds parking restrictions. Absent extraordinary circumstances, such as safety or hazardous conditions or previous violations, the city or county will issue a notice and give the owner a number of days to correct the issue, the period time depending on the violation. If the owner refuses or is incapable of correcting the condition, the zoning inspector can bring a civil or criminal action, and seek court orders, damages, penalties and fees. The city or county, where danger is imminent, can also cure the condition itself and impose a lien on the property. If the party complaining is dissatisfied with the city’s response, he or she can bring a separate civil action, most often for abatement of a nuisance. In conclusion, zoning violations can be serious and should not be disregarded. Violators can suffer serious financial consequences and may even lose their property or its use. —Bruce May, attorney at Jennings, Strouss & Salmon, P.L.C. (www.jsslaw.com) and chair of the firm’s Real Estate Department, who has devoted his career to all aspects of the law and practice of real estate and commercial transactions throughout Arizona
GET REAL
Downtown Grocery Last month’s groundbreaking for Block 23 heralded the addition of a crucial and long-awaited amenity for Downtown Phoenix, as Arizona-based Fry’s Food Stores becomes the area’s first grocery store and is promised to be the most technologically advanced grocery store in the state. Slated for completion in 2019, RED Development’s Block 23 will also include approximately 330 apartments by StreetLights Residential; 200,000 square feet of creative office space; restaurant and retail uses; and parking both above and below grade. The project augments the Phoenix-based developer’s existing CityScape. reddevelopment.com
by Mike Hunter
Chandler for Entertainment The large-scale retail, dining and entertainment destination set to take shape in Downtown Chandler broke ground March 29, and the first phase of the sprawling, 77,000-square-foot space is expected to open for business sometime in early 2018. Phoenix-based LGE Design Build has taken on the role of general contractor for the undertaking, teaming up alongside project developer DBM Ventures, project designer Brick + West and project architect Cawley Architects. Anchoring the project is Flix Brewhouse, a new concept for the Valley that combines feature
Retail in PV Area Ready to break ground following unanimous approval by the Scottsdale City Council, The Palmeraie will incorporate a variety of dining destinations led by celebrated local and international chefs and be home to more than 60 exceptional luxury and specialty boutiques. Its initial phase encompasses approximately 160,000 square feet of high-end, mixeduse space located on 18 acres at the corner of Scottsdale Road and Indian Bend. It is neighbor to its sister community, The Ritz-Carlton, Paradise Valley, and is being developed by Scottsdale-based Five Star Development. thepalmeraie.com
films and an award-winning, in-house microbrewery. lgedesignbuild.com
A common zoning violation is the illegal posting of signs. Phoenix City Zoning mandates strict guidelines regarding the posting of signs in right-of-ways, such as streets, curbs, medians, traffic lights, utility poles, and unimproved shoulders of streets up to private property and generally two-and-a-half feet beyond sidewalks. Businesses should be aware of what is considered a right-of-way to avoid violations.
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INNOVATIONS FOR BUSINESS by Mike Hunter
Advances in technology and healthcare often overlap.
Diet by App
What separates top and bottom performers in the SMB space?
Order Healthy’s app enables people ordering take-out or delivery to easily compare how healthy their food choices are. Recently launched for the Phoenix area, the app gives the user access to more than 10,000 restaurants, marking each menu item with a trafficlight rating system — green being the healthiest, yellow being moderate and red being unhealthiest. According to new research from the Perelman School of Medicine at the University of Pennsylvania, when researchers added color-coded or numeric calorie labels to online food ordering systems, the total calories ordered was reduced by about 10 percent compared to menus featuring no calorie information at all. orderhealthy.com
Automation to Transform Nursing Allocation According to an article published in Health Affairs, the U.S. healthcare industry is facing a shortage of about 260,000 nurses by 2025. Given the rise in aging population, healthcare companies are now directing their efforts to automation. Emerging technologies stand to revolutionize traditional healthcare business models, with a focus to improve delivery of services to patients. These technologies are also redefining business models within the sector, with an aim to reduce investment of resources in mundane tasks. Intelenet Global Services, a leading Business Process Service provider, has launched Radius™, an innovative tool designed to transform the nursing allocation process in the U.S. home healthcare market. Radius, an Uber-like scheduling tool that is now being used in the healthcare sector, represents a new era of tech-powered healthcare, where definitive solutions are required to focus on specific areas within the health value chain to eliminate the corresponding challenges, such as the easing of the nursing allocation process. intelenetglobal.com
itSynergy itsynergy.com/research
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The U.S. healthcare industry is undergoing a seismic shift, vying to move from volume-centric to value-based care, and is grappling with a considerable shortage of nurses to cater to a high-demand market, according to Intelenet Global Services.
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technologies they invest in. They use these features to increase efficiencies and drive the business, creating a better ROI on their investment. For example, a bottom performer may invest in the same product or technology as a top performer, but 80 or 90 percent of the technology feature set will be utilized by the top performer, while a bottom performer may only use 10 or 20 percent. Top performers make it their business to know everything about the tool, product or software they are using to capitalize on their investment in every way. For top performers, the ultimate goal is to get the most out of what they own or invest in to have greater rewards. Bottom-performing organizations consistently have untapped potential in their existing technological environment that needs to be “turned on” or enabled. No additional investment is required to take advantage of existing features; the team is just uninformed in the areas of what their investment could do, and the potential impact of learning about that investment and how it could help drive business results. Savvy business owners and executives interested in growth should make technology strategy a top priority. —Michael Cocanower, founder and president of Phoenixbased itSynergy (www.itsynergy.com), created Ten Technology Strategies That Separate Top and Bottom Performers in the SMB Space as a free resource for businesspeople.
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Our IT firm was curious about the role technology strategies play in separating exceptionally successful firms from those that are stagnant in growth. We reviewed the business practices for dozens of local small and mid-sized businesses ranging from 20 to 500 employees, and we took an in-depth look at everything from mitigating risk and developing IT standards to budgeting, auditing, and maximizing ROI on technology investments. We also examined back-up versus disaster recovery, measuring SLAs (service level agreements), educating employees and the need to implement real-time monitoring of all technology — not just computers. Our research revealed that, too often, small and medium-sized businesses either lack the understanding of critical strategies they should be implementing or they neglect to invest time and resources to improving their business. One of the distinct differences between top and bottom performers is their maintenance of a defined and written standard of technology in the organization. Top-performing organizations have a relentless adherence to standards. Even in bottom-performing organizations that attempt to establish a standard, the strategy fails because they never revisit those standards once they have achieved compliance. Bottom performers often choose technology based on current trends or the lowest price. In contrast, top performers begin by adopting detailed standards for their technology, and make decisions based on compliance with those standards. Not surprisingly, we found that top performers took the time to devise an information technology strategic plan to define the specific objectives to drive the business forward using technology. This comprehensive plan helps in decision-making, prioritizing technology and implementation. Top-performing SMBs strategize as a whole at least once a year. Just like a budget must be created, the vision and objectives of the strategic plan for technology must be reevaluated and refreshed every year. Top performers also have specific strategies as they relate to the annual plan. Having a plan and successfully executing it will ensure that the organization stays focused on the bigger picture. Top performers are adept at utilizing every known and discoverable feature of the
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YOUR BENEFIT IN BUSINESS
WELL WELL WELL
by Mike Hunter
While oral health is increasingly understood to impact overall health, evidence is mounting that smiling, alone, has health benefits.
A Smile for Health Smiling may impact a person’s longevity. A 2010 study by Wayne State University measured the span of smiles on Major League Baseball players from their 1952 trading cards, and found those who didn’t smile in their pictures lived an average of 72.9 years, versus 79.9 years for the players who did smile. Also, there are a number of therapeutic effects that smiling has on a person’s brain and demeanor, according to Dr. Jamie Reynolds, an orthodontist, national and international lecturer and author of World Class Smiles Made in Detroit, who notes smiling reduces stress hormone levels, taking on similar conditions to cortisol, adrenaline and dopamine, while increasing mood-enhancing endorphins. British researchers have found that one smile can provide the same level of brain stimulation as 2,000 chocolate bars, while lowering blood pressure at the same time. “A beautiful smile is a combination of factors that communicate a sense of well-being to those who see it,” says Dr. Reynolds. On the other hand, “I’ve had some patients who are self-conscious about their smile, and it has seriously affected them. It made them feel timid, hesitant or even like they were poor or not intelligent because their teeth were crooked.” askdrreynolds.com
A Smile for B Smiles With IASIS Healthcare’s exclusive multi-year partnership with the Phoenix Suns and the Phoenix Mercury, the teams’ official dentist will be expanding his practice to a second location. John Badolato, D.D.S., known as “Dr. B,” opened the first satellite office of his Studio B Smiles practice in the IASIS Multi Specialty Clinic, allowing Dr. B to broaden its reach to potential patients in the Downtown Phoenix area while simultaneously expanding upon its partnership with local major league sports teams. Dr. B is also the official cosmetic dentist for the ABC reality program “Extreme Makeover Weight Loss Edition,” and his state-of-the-art facility includes equipment to help patients put their best face forward. He has developed a signature “B+ Glo Pro Whitening” system that maximizes whitening results with the least amount of teeth sensitivity, using stateof-the-art equipment. He offers veneers that are individually hand-crafted. And his signature Modular Periodontal Therapy provides optimal hygiene for the patient’s gums with a combination of medicaments and cleaning methods customized for each patient’s unique oral health needs. studiobsmiles.com
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One for All Over his 13 years treating patients at his Lipogenex Anti-Aging Center, Emmanouil Karampahtsis, N.D., had found many people have a similar core problem that, in many cases, required the patient to remember and juggle dosage schedules for numerous products. “That inspired me to come up with a simple solution that will help most people and provide an easy solution to the many capsules and pills that most people have to take,” Dr. Karampahtsis says. Through his research and study of natural and orthomolecular medicine, as well as botanical medicine, he created ProlifeStream as a synergistic blend of vitamins, minerals and amino acids combined with several selected patented ingredients aimed to boost organ function and improve overall health. He notes that being aware of what we eat and drink and our environment that surrounds us is critical to our health. The body can easily absorb chemical toxins through the foods we eat, lotions and perfumes we apply, cleaning products we use and many other sources. This can result in a number of different outcomes, including mitochondrial dysfunction
(which can lead to several ailments), weight gain, low energy levels, acne, high cholesterol and other serious chronic diseases. Dr. Karampahtsis’s additional consideration was to simplify accessibility, creating a product available directly to the general public without the need for a visit to a doctor. While he explores other avenues of distribution, he is making ProlifeStream available at his clinic in North Scottsdale. “People in Arizona are more exposed and educated on natural products than other states,” Dr. Karampahtsis says, enumerating another advantage in starting locally to promote his product. —RaeAnne Marsh ProlifeStream prolifestream.com
Strengthening Telehealth Healthcare IT company Topaz Information Solutions has partnered with Scottsdale-based iTel Companies Inc., a telehealth company, to offer a seamless integration of telehealth services to its clients. Phoenix-based Topaz is a national provider of healthcare technology solutions, including electronic health records, practice management tools, population health and data analytics, and managed IT services. “Topaz recognized a major need for a simple Web-based telehealth portal for clients to utilize based on market research and interfacing with clients and prospects at trade shows and conferences,” says Javier Favela, president and CEO of Topaz, noting the healthcare industry is shifting to serving patients wherever they are, particularly in rural communities and in the behavioral health industry. “The solution that Dr. Greenman, a practicing child psychiatrist, developed at iTel is the best on the market and offers a more complete and robust solution that complements the EHR and practice management software we offer.” The two companies have been testing the integration for 18 months. Topaz custom-built a bidirectional API interface to integrate iTel’s telehealth solution with Topaz’s NextGen
products. Says Favela, “We pulled a project team together that included a project manager, solution architect and developer to tackle the traditional interface development, and we are pursuing pilot testing with end users now.” Telehealth also provides medical and behavioral health professionals with a new option for attracting and retaining clients — virtual appointments. iTel’s cloud-based technology allows patients to securely log in and check in to a virtual waiting room through the iTel portal. Both the medical professional and patient see each other through iTel’s video conferencing software, with the additional ability for physicians to screen share lab results, patient education and other materials. iTel’s mobile video apps are available for iOS® and Android™. iTel’s platform is HIPAAcompliant and runs on iTel’s Secure Cloud, which is HITRUST-certified. —Mike Hunter iTel Companies Inc. itelcompanies.com Topaz Information Solutions topazis.com
Non-verbal communication doesn’t always translate well between cultures. In the United States, for example, a thumbs-up signals all is well; that gesture in Australia has a vulgar meaning. In every culture and every country across the world, however, a smile means the same thing, essentially making it a universal language. askdrreynolds.com
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Co-Working Spaces:
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Commercial Real Estate An inside look at what is driving this development and the experience it delivers by RaeAnne Marsh
Co-working space
has been around for a long time. Ryan Bartos, executive vice president of JLL, which specializes in commercial real estate services and investment management, notes that Regus, now the world’s largest provider of flexible work spaces, has been around since 1989. “The big change that we’re seeing from the late 1990s to now,” Bartos says, “is a shift to a more open, collaborative form of co-working, with amenities like cutting-edge, open floorplan build-outs and very creative benefits like free beer!” Observes Craig Coppola, principal with commercial real estate brokerage Lee & Associates, “Two major changes have driven this trend. First, technology is now so easy and so prevalent that working from anywhere is now possible. Second, the arrival of the millennial cohort. These young adults are technology natives and are so comfortable with living, working and going wherever they want. With these trends, people started working everywhere. However, Starbucks is not office space, and there is a desire to have a community of like-minded mobile workers.” And there is a difference between dedicated co-working spaces and what developers often
refer to “creative work space,” notes Daniel Kite, founder and CEO of Workuity, explaining the latter may be just common areas. “For us, ‘creative space’ is really community space, fostering connection and bringing people together in the environment.” Available work space in a co-working facility ranges from an open seat to a reserved desk to a small suite, all in a secured room. “The collaborative nature of co-working is what gets me and our team at The Department most excited,” shares Kyle Frazey, managing director. “In additional to business benefits, we see real friendships that develop as people work in close proximity to each other. I can think of the many conversations, laughs, coffees, lunches, after-work drinks at the Irish pub downstairs that I’ve had in the last 18 months with members of The Department.” Noting that a lot of those interactions would never have happened if those individuals hadn’t intentionally chosen to office in a shared environment, he says, “Our goal is to bring together a robust group of leaders, investors and entrepreneurs to see the long-term impact those people and organizations can have in our city over the next several decades.” Solopreneurs who don’t have the infrastructure and comaraderie of a team can find it in a co-working environment with many likeminded professionals going after the same goals,
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Frazey explains. “At The Department, our goal is to encourage an entrepreneurial ecosystem in the heart of Downtown Phoenix. When highcapacity leaders and entrepreneurs are working together in the same place, good things happen — ideas come to life, businesses start, problems are solved, et cetera.” Jay Chernikoff, founder and CEO of DeskHub, points to the ability to provide many types of meeting space, from small conference rooms to large open spaces for networking or training events, as another nice feature of co-working spaces. “This allows companies to impress potential clients with a myriad of meetings options and also for expanded networking and collaboration with others in the space and in the community.” The Department, for instance, hosts networking events for members and also invites those who are interested in seeing the space. And Workuity, in addition to events and parties for its members, schedules Lunch & Learn events Wednesday afternoons in a theater space that seats about 20 people. “A member company can provide lunch and do a presentation,” he says. Non-members may also rent a conference room or meeting space. Galvanize hosts dozens of events each month, from small tech meet-ups to large events like Phoenix Startup Week, when “we hosted 1,000 people across our campus,” relates Diana Vowels, general manager of Galvanize Phoenix. Some events are members-only, which include mentoring and workshops; some are open to the public. “Our primary objective with events is to support our member companies, students and the tech community. “We focus on tech events or topics that are aligned with growing the Phoenix tech scene or development of the downtown area, particularly the Warehouse District, where we’re located.” In fact, Galvanize is as much about education as it is about co-working. “Everything we do is intended to bring education and co-working together,” Vowels says. “One of our members, David Talenfeld of Botanisol Holdings, was preparing to meet with potential investors and wanted pitch practice. We scheduled a practice session and invited other members to give David feedback and help him prepare. Three other member companies attended and provided him feedback to help perfect his pitch before seeking funding.” And for the community: “We held a Lunch ’N’ Learn session, with Margaret Mitchell, a technology executive, who presented a session on loyalty, data and gamification. The session was open to all Galvanize members and AZ Tech Council members.”
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The Department
Cost Savings
On the financial side, co-working space provides flexible terms with minimal cost exposure. Many are month-to-month, averting the pressure of a long-term lease. Kite points out that Workuity, in fact, does not even offer a longterm lease. (It does, however, offer members the security of a price guarantee.) Bartos notes co-working also offers new companies the chance to connect with other new companies, often allowing for fresh new ideas and strategies. “If — or when — the startup outgrows its co-working space, it usually has access to other trusted service providers.” There is benefit for more establish firms as well, in both the same manner as startups and as a landing spot to test new markets before they commit to a more longterm, established location, he points out. Businesses that are relocating or opening satellite offices may turn to co-working spaces rather than having to open and manage an office, Kite observes, noting Pinterest is now putting sales teams in different co-working spaces. Co-working is not just for the one- or twoperson business. Chernikoff points out it is often an economical choice for teams since the base needs of a small team often require many of the same items. And at Galvanize’s Phoenix campus, where Vowels says most companies are comprised of fewer than 10 people, “We can accommodate teams as small as two and as large as 40.” Co-working provides businesses the flexibility of short-term (month-to-month in most cases) office leases with the benefit of cutting-edge and client-facing space, says Frazey. “In essence,
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they get the best of both worlds: state-of-theart office space that meets their team needs and, at the same time, affordable costs with low commitment.” Kite points to another positive aspect of flexibility: “They can get bigger or smaller [space] on demand.” This accommodation is possible, he explains, because there is movement of tenants. In a normal office environment, tenants pay not only for their lease, but for so many additional costs: CAM charges, cleaning, Internet, printer leases, furniture, supplies, drinks, et cetera. “At The Department, members are paying for 1 known monthly cost that includes Internet, printers, coffee/soda/water, daily cleaning as well as being able to work in the coolest office space in Phoenix,” says Frazey. “There are also no guarantees on leases, no credit checks, no cost to buy furniture, and any individual or small business can start tomorrow. The only thing a tenant is giving up is their own dedicated space, but I would argue that the collaborative nature of the shared environment is actually a benefit to their business as well!” In a traditional office, the conference rooms, lounge areas and breakout spaces get used infrequently. Co-working takes those unused spaces and makes them shared amenities. Instead of one company using a conference room 10 percent of the time, Frazey explains, a co-working space allows 10 companies to each use the conference room 10 percent of the time, maximizing usage and still delivering a great amenity to the tenants.
Workuity opened just two months ago, but members of longer-standing operations voice strong support for the cost advantage (and address other advantages in their Feedback responses on page 10) as they share their experience: “We save about $500 per month in services plus about $3,000 in startup costs (purchasing fixed costs),” shares Jeremy Veatch, co-founder of Ironwood Venture and a member at The Department. “And that doesn’t include the free Cartel Coffee Lab coffee bar!” Says Tighe Wilhelmy, co-founder and VP of Velawcity, “DeskHub saves our company about $2,000 per month. This number includes the savings from rent, electricity, Internet, snacks, parking, happy hours, et cetera.” He adds, “Startups don’t have the luxury of working in Class A office space in Old Town Scottsdale for under $1,000 per month with a traditional lease. Not to mention, term flexibility is priceless. Most startups believe they will survive, but should plan conservatively with respect to expenses. It’s imperative for a company to mitigate its risk during early stages, and the liability of a traditional lease is one of those primary risks.” Mallory Dyer, CEO of GraphLock, relates, “If we were going to move into our own office space, we would be spending thousands of dollars each month on rent, electricity, Internet, phone, office supplies, et cetera. At Galvanize, we pay a monthly fee where all of this is already bundled in. So we probably have over a 75-percent savings!”
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Galvanize Phoenix – Warehouse District
The Atmosphere of Space Also important is the aesthetic environment. “For professionals with an eye for design, especially those in the tech startup world, the aesthetics of their office space becomes really important,” Frazey says, observing that people want to work in an office that’s inspiring. “We spend the majority of our lives at work and yet so many people spend that time working in dark, dreary offices.” Although he admits he has no data (“as yet,” he says) to back up his impression, he expresses his belief that an inspiring office space increases productivity and overall job satisfaction. Feedback around the office supports him. “A lot of our members have chosen The Department, in part, because of the design. They have said it feels inspiring, energizing and fuels their creative juices.” It’s even helping their recruiting. “One company was recruiting seasonal college interns, and they had several applicants say they would work for free if they could work out of such a cool office space.” As a business enterprise itself, the shared office has to be able to increase density without anyone feeling cramped. “One of the major design challenges is creating private spaces, while still keeping the open feel,” Frazey relates. “A lot of users want to have a private office or a private desk, but at the same time love the open concept and the energy it creates.”
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At The Department, the space was designed so that the best window views are shared amenities next to lounge spaces instead of being locked down in private offices. Workuity uses a lot of glass for the partitions, keeping the upper part clear to maximize the natural light so that the space is open and airy but still provides privacy to the members. Are there disadvantages? Well … “The disadvantage I hear about the most is productivity,” Frazey says, relating that there are many studies about increased or decreased productivity from a shared or open environment. He’s experienced it both ways. “I have had days when I am more productive and energized working in the open space and other days when I am very distracted and unproductive. However, once you get into the flow of working in an open space, it gets a lot easier to stay on task. It becomes very energizing and fun.” An important etiquette note: “Headphones on is the universal co-working sign of ‘do not disturb!’” This is a point in Coppola’s assessment of the co-working popularity. Referring to real estate’s cyclical nature, he reflects, “Let’s see what happens through a whole cycle. The idea of companies going virtual is really cool. Certainly there are some savings in rent but the
real question is, does this make our team more capable and productive?” But there are other elements that factor into the attraction of co-working spaces. As Frazey explains, one of the main advantages for solopreneurs is the ability to meet clients in a professional space. “They are tired of doing every meeting at a coffee shop. The co-working space allows small teams and individuals to have a professional option for their client meetings.” The physical address matters as well. “At The Department, our address is 1 N. 1st Street. Allowing tenants to share this address can be a huge advantage. A small business with ‘1 N. 1st in Downtown Phoenix’ as its address holds a lot more authority than a P.O. box or shopping center address in the suburbs,” says Frazey. Speaking of the trend generally, Bartos observes that co-working spaces thrive when they are close to public transit and offer walkability in highly amenitized areas, as these factors track closely with the demographic of employees who tend to work in co-working spaces. But there are trends within the trend, and Kite emphasizes the importance of the Biltmore Center’s 24th-and-Camelback address his flagship location for the professional clientele of the niche Workuity aims to serve.
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D eskHub
The Market View Observes Coppola, “Startups really love coworking spaces. Short term leases, small spaces that can grow, and a community are all desired in new companies.” More stable companies, too, love this type of space when they are growing into new markets or they simply want to have a place for a mobile worker to land. “Traditional offices are under attack from the co-working spaces for the above reasons and because the economy is almost at full employment,” he says, and, noting that companies are in a war for talented associates, explains, “If those associates want cool space and flexible hours, then the company is forced to make those changes. This would include the groups that want a creative environment, and you might just put some of these people into co-working space.” Offering a landlord’s perspective, Coppola enumerates issues that face buildings which lease to co-working groups. “The biggest is the credit of the tenant, as most of these are local and not heavily funded,” he says. “Second, the potential parking use, as each individual may overload the parking.” Additional considerations include access to amenities, transportation, and housing. “Finally, one consideration most would not think about is hours of service. The HVAC, security and access might need to be 24/7 or
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at least late into the night and weekends. This puts additional demands on the building and operating expenses.” Bartos, conceding that some landlords are cautious about co-working groups, suggests that an owner who understands what these users are trying to achieve might see a longer-term benefit. “When companies scale out of these types of facilities — as they tend to do — the existing landlord often can get first crack at retaining these groups as a tenant, with a longterm solution of his own.” Taking that view from a different perspective, Frazey reflects that co-working allows landlords to serve an underserved market in the office leasing world — micro businesses. “Historically, there hasn’t been much upside for landlords to cater to those small businesses — they have no credit, they have limited resources and they can’t commit to long-term leases.” He sees the co-working environment providing a great option to both landlord and tenant. “It allows for great, affordable options for the micro-business, while bringing a totally different market opportunity, energy and tenant mix to the landlord.” The co-working industry has evolved from its beginnings of thousands of independents simply offering open desks. Says Kite, “The better
operators recognized a huge demand in the corporate world for five- to seven-person teams.” He predicts facilities will continue to get bigger as they consolidate from small players and out of the coffee shop. And there must be a service aspect to the operation. “I run it like a hospitality business,” says Kite, who brings his background in that industry to the management of Workuity. “Co-working is the fastest-growing segment [of commercial real estate] outside of pure tech,” Kite observes, and relates an upcoming change he expects to further bolster it: In 2019, all companies will be required to carry long-term leases on their books as debt, but not shortterm. Noting the average occupancy rate across the industry for facilities more than a year old is about 90 percent, he affirms, “There’s great retention, and always a waiting list for one type or another.” The Department departmentphx.com DeskHub deskhub.com/phoenix Galvanize Phoenix – Warehouse District galvanize.com/ campuses/phoenix-warehouse-district JLL Phoenix jll.com/phoenix/en-us Lee & Associates Arizona lee-associates.com/arizona Workuity workuity.com
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ADVERTISING PROFILE
Commercial Real Estate Leader: JLL JLL (formerly Jones Lang LaSalle) is a leading professional services firm that specializes in real estate management. A Fortune 500 company, JLL helps real estate owners, occupiers and investors achieve their business ambitions. At year-end 2016, JLL has nearly 300 corporate offices, operations in more than 80 countries and a global workforce of more than 77,000. The Phoenix office of JLL was established in 2008 when JLL purchased the Staubach Company, a leading national tenant representation company. Former Dallas Cowboys quarterback and Super Bowl MVP Roger Staubach formed the Phoenix office of the Staubach Company in 2000. By 2008, that team had grown to 18 licensed brokers. Today, JLL Phoenix is one of the area’s top commercial real estate services providers, employing more than 46 licensed brokers and 560 of the Valley’s most recognized industry experts. Together, this team has realized a full-service vision for its Phoenix operations that includes tenant representation, landlord representation, capital markets investment and debt services, consulting, project management and property and facility management. JLL’s integrated services are specialized for a variety of assets, including office, industrial, multifamily, retail and data centers. The expertise of JLL’s collaborative brokers spans a variety of industries that include e-commerce, financial services, food and beverage, healthcare, law, manufacturing and distribution,
retail, and technology. JLL professionals also have specialized experience in public institutions ranging from government entities to universities to nonprofits. JLL’s innovative solutions are built on insight, market research and collaborative knowledge to help clients understand and navigate the intricacies of the constantly changing real estate world. Our local research team collaborates with more than 150 research professionals across the United States. Under the direction of office leaders Dennis Desmond and Pat Williams, the JLL Phoenix office completed 34 million square feet in lease and sale transactions (valued at $1.5 billion) and directed $105 million in project management in 2016. The team currently manages a 25.2-million-square-foot portfolio. JLL earns recognition from clients, professional organizations and communities for its service, performance, culture and values. Recent recognitions include being named a World’s Most Admired Company by Fortune Magazine, an Ethisphere World’s Most Ethical Company, a CR (Corporate Responsibility) Magazine’s 100 Best Corporate Citizens, an Arizona’s Most Admired Company, and multiple honors as a Phoenix Business Journal Best Places to Work and a NAIOP Brokerage Firm of the Year. For more information and market research, visit jll.com/phoenix or follow us on Twitter at @JLLPhoenix.
PROFILE Company Name: JLL Main Office Address: 3131 E. Camelback Road, Suite 400, Phoenix, AZ 85016 Phone: (602) 282-6300 Website: www.jll.com/phoenix Number of Offices in Metro Phoenix: 1 Number of Commercial Agents: 46 City Nationally Headquartered: Chicago Senior Managing Directors: Dennis Desmond and Pat Williams No. of Years with Firm: Desmond: 9; Williams: 17 Year Est. Locally: 2000 Specialties: Tenant Representation, Landlord Representation, Capital Markets, Project Management, Property and Facility Management
FINANCIAL: Property Sold in 2015 Value: $689 million Property Leased in 2015 Value: $768 million Commercial Transactions Closed in 2015: 555
ADVERTISING PROFILE
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FUNDAMENTALS OF FUNDING
Impact Investing – Making a Difference in the Community Investing in sustainable companies does not sacrifice returns by Greg Wait
MAGAZINE
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Greg Wait is the president and founder of Prophecy Impact Investments. He has more than 30 years of experience working with individual and institutional investors to develop appropriate investment strategies for their unique situations. He is also president and founding member of Falcon’s Rock Investment Council, an independent, fee-only investment planning and consulting service. Prophecy Impact Investments is an exclusive online investment model that offers well-diversified, sustainable investment portfolios. These portfolios generate the double bottom-line of excellent risk-adjusted returns and positive social and environmental impact around the world. prophecyimpact.com
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More jobs. Affordable housing. Sustainability. These are among the many areas in which impact investing has been put to use, not only in Arizona but also around the country and world. There has been a growing demand for this type of investment, as more people are looking for ways to not only earn a return on investment, but also to put their money toward making the world a better place. Impact investing has fulfilled this desire, as it allows people to make investments into companies and funds with the intent to create social and environmental impact. According to the 2016 annual survey conducted by Global Impact Investing Network, respondents reported they were managing $77.4 billion in impact investing assets. This number is expected to grow over the next several years. From an economic development perspective, a rising tide raises all boats. While impact investing has allowed investors to get involved in positive changes and movements, it has also impacted the business population. As shown in the examples below, funds have been used to spur economic growth, improve communities and increase jobs, benefiting both small and large businesses. What seems clear is, investing in sustainable companies does not sacrifice returns. In fact, in some cases, investment returns are improved with equal or less risk. According to a 20-year study by Harvard Business School, companies that have adopted positive environmental, social or corporate governance policies have shown better or improved financial performance than those that did not. The take-away for any business is, there is mounting evidence that doing the right thing can potentially serve to make a business more profitable. This holds both for companies doing good and for investing in companies doing good.
INVESTMENTS THAT ARE MAKING A DIFFERENCE
Impact investing is about proactively searching out opportunities to make a positive impact on society or the environment. However, it isn’t just about big projects. Sometimes, it is about ensuring a family has a roof over their heads or the disabled have the care they need. It is even about helping spur the local economy by creating new jobs. Today, people are able to invest in funds or organizations that benefit their home communities or put money into beneficial developments across the globe. Impact investments aim for real solutions while helping investors earn financial returns as well. Impact investing has changed the notion that social and environmental issues can be addressed only by philanthropy and that investments should focus solely on financial returns. People can now align their investments with their values. The following is a small glimpse into how these investments are making a difference.
The term “impact investing” was coined at The Rockefeller Foundation’s Bellagio Center in 2007. rockefellerfoundation.org
AFFORDABLE HOUSING
Impact investing has aided in the creation of affordable housing and has kept communities physically and fiscally healthy. Previously blighted neighborhoods are being revitalized in order to foster new opportunities and growth, and rural areas are getting the attention they need to thrive. In addition, impact investing has provided housing for senior citizens and disabled populations, where those individuals can get their physical, psychological and social needs met. The impact can be seen in Arizona. CPLC (Chicanos Por La Causa, Inc.) Elderly Services and Programs is located in the Casa de Primavera Senior Center, which is part of the Casa de Primavera Senior Housing Community in Phoenix. The organization’s mission is to provide for the social and nutritional needs of the elderly, which incorporates everything from daily activities to meals to case management services. Casa de Primavera is comprised of 162 units in a low-income census tract designed for the elderly and mobility-impaired. These seniors are living below the Area Median Income by 30 percent or more. Casa de Primavera offers them spacious and well-landscaped grounds, an outdoor walk area, meditation garden and senior center. Impact investing has helped this organization. On the other side of the country, Horizon Development Properties, part of the Charlotte Housing Authority in Charlotte, North Carolina, received a loan through impact investing that aided in affordable housing and neighborhood revitalization. The organization finished the Lofts at Seigle Point, which was the final part of the Seigle Point HOPE VI redevelopment of what used to be Piedmont Courts. Serving residents below 80 percent of the Area Median Income, the 190 units made a difference to those in the community. The Lofts is situated near Charlotte’s business district and greatly benefits those who participate in the Charlotte Housing Authority’s Moving Forward Program.
EMPLOYMENT GROWTH
In terms of employment growth, impact investing has been helping in multiple ways. For instance, small businesses have
BETTERING YOUR BUSINESS been provided with loans that, in turn, have led to more jobs. From a macro perspective, impact investing has gone a long way in job training and generating employment opportunities in low- and moderateincome communities. It has also focused on distressed or underserved communities that needed help pushing toward empowerment, and has provided opportunities and other resources to assist people in moving forward in their lives. Just west of Arizona, an organization within San Diego has benefited from impact investing. VetPowered Industries, formally known as WFW, was founded in 2009 by owner and president Hernán Luis Prado. His mission was threefold: As a veteran himself, he wanted to ensure that a stronger future was possible for veterans and their families, help veterans transition into the civilian workforce after serving, and meet the United States’ demand for skilled manufacturers. The business is both Certified Minority-Owned, as well as Service-Disabled Veteran-Owned (SDVSB). The products that VetPowered Industries make and service go to support Workshops for Warriors, a 501(c)(3) nonprofit organization dedicated to helping veterans, wounded warriors and other service members move into advanced manufacturing careers by providing training, certification opportunities and job placements. Twin Cities Magic & Costume in St. Paul, Minnesota, is yet another example of how impact investments are making a difference in local communities. This small business has been around for 30 years and is one of the major providers of costumes and accessories in the Upper Midwest, but its products have been used globally. In 2010, it had an annual revenue of $530,000 and employed 10 workers from a moderate-income census tract. Because of impact investing, Twin Cities Magic & Costume received a loan authorized under the Small Business Administration’s 7(a) program, which is designed for small businesses that otherwise could not obtain financing from the private sector under suitable terms and conditions.
SUSTAINABLE FOOD & HEALTHY MEALS
Impact investment funds have helped companies dedicated to providing healthy meals, including Revolution Foods. This organization strives to create lifelong healthy eating habits by making kid-inspired food accessible to all. It provides affordable healthy meals to students and families — in fact, it has now provided more than 200 million meals across the country. Revolution Foods owners knew they needed help to grow the social impact and were able to obtain a credit line from an impact investment fund that enabled them to further their mission. There’s an increasing demand for food companies to be cautious about what they produce and how it’s done. Impact investing has resulted in changes in how food is produced, which has led to renewable energy developments, less waste, a phasing out of antibiotics in meat, and more interest in plant-based proteins.
OPPORTUNITIES CONTINUE TO EXPAND
As impact investing continues to grow in popularity, advocates are traveling and seeing new places to expand their outreach on not just a local scale but a global one, too. Affected areas are getting the attention they deserve, and policies are being tailored to benefit them. Impact investing funds are being put to great use to encourage sustainable agriculture; energy efficiency; community development; conservation; and affordable basic services, such as housing, education and healthcare. A brighter future is on the horizon for individuals and businesses, as investors continue to impact the world for the good.
Leadership Material Viewing them as “touchy feely,” intangible and invisible, most leaders separate their personal lives from their professional lives. Diana Jones, an executive coach for 30-years, argues that this is unwise. In fact, the “soft side” of leadership — empathy, compassion and authentic communication derived from personal experience — is both powerful and essential to enhancing executive presence, influencing others and achieving results. Through compelling stories and examples taken directly from Jones’s coaching sessions with experienced leaders, readers will learn how to make enduring behavioral changes that will produce better business results and create alignment among disparate groups using empathy and leadership language. Leadership Material: How Personal Experience Shapes Executive Presence Author: Diana Jones
Pages: 240
Publisher: Nicholas Brealey
On shelves and online
$26.95
Common-Sense Income Strategies The subtitle may well be Common-Sense, Purpose-Based Investing for Your Retirement with Steps and Strategies to Help You. This book begins with the idea that when we reach the age of 50, we need to change from a portfolio filled with stocks and growth investment strategies to step-by-step strategies to build out our retirement income. Eastham’s book is based on the golden rules of reality-based investing, complete with helpful tips to help readers reach their retirement goals. Common-Sense Income Strategies: Simple Step-by-Step Ways to Maximize Your Retirement Author: Michael Eastham, CPA Publisher: Advisor’s Academy Press
Pages: 165 On shelves and online
$21.95
Managing at the Leading Edge This book highlights lessons from the navigation and piloting practices used in high-performing sailing. In the contemporary “white water” business environment, as at sea, achieving goals requires choosing a destination amidst uncertainty, adjusting to continually shifting conditions, converting the push and pull of environmental forces into momentum and using different skills at different times to negotiate hazards and achieve success. Easy-to-grasp and recall, this book proposes a framework of leadership with a dual focus on navigating and piloting. This framework is supported by new evidence-based insights about personal and organizational high performance. This research featured surveys of more than 1,000 senior and mid-level leaders, the results of more than 100 interviews, and the author’s extensive consultation experience with a host of leaders and organizations. Managing at the Leading Edge: Navigating and Piloting Business Strategy at Critical Moments Author: Tom Rose Publisher: McGraw-Hill Education
For its 2016 annual survey, the Global Impact Investing Network found that respondents —158 of the world’s leading impact investing orgaizations — reported they were managing $77.4 billion in impact investing assets. thegiin.org
Pages: 256 On shelves and online
$28. 00
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INVESTING IN COMMUNITY
Cultivating Mobile Philanthropists JUNE
UP NEXT MONTH: Operational Efficiencies in the Nonprofit
DISPELLING SEASONAL RESIDENT MYTHS Assuming that philanthropically minded people aren’t interested in being philanthropic even if they are in a place for only a few months is incorrect. Also false: Part-time, high net-worth residents are unapproachable, intimidating and untouchable. “Our donors approached us because they were interested in generating goodwill and being seen not as ‘intruders’ in the community, but as caring, invested members,” says Kerry Blume, past CEO of United Way Northern Arizona, who cultivated part-time resident donors in Flagstaff’s first gated golf community. “Don’t chase wealth,” says Ron Schiller, founding partner of the Aspen Leadership Group. “Prioritize those who have capacity, demonstrated philanthropy, and those who want to plug in with others in their community.”
Richard Tollefson is founder and president of The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists. phoenixphilanthropy.com
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High-net-worth, seasonal community members are key to fundraising by Richard Tollefson
Don Budinger, chairman and founding director of The Rodel Foundation of Arizona, supports Arizona’s public K-12 schools through a variety of programs. His philanthropic endeavors extend nationally to the communities where his business, Rodel Inc. — now part of Dow — grew its manufacturing facilities and, more broadly, to national public education issues. Budinger is among a new class of leading philanthropists who are more geographically expansive in their giving due, in part, to their business growth nationally and globally. This group generally owns more than one home in multiple geographic regions, often in resort or gated communities where they live part-time. The very things that drew them to their temporary communities — arts, the environment, exemplary healthcare — are causes they frequently support. According to Sandy Chamberlain, former director of development at Phoenix Art Museum, many high-networth seasonal residents want to give to their part-time communities; he has found that, usually, they simply haven’t been approached. Budinger is no exception. A seasonal resident of California, he devised a mutually beneficial partnership with the Coronado community through the purchase and restoration of a historic commercial building he gifted to the Coronado Historical Association. “I wanted to give back. The building is an historic jewel. The Museum of History and Art gets a home, and I benefit by having an office there,” says Budinger. Failing to approach these part-time residents is costly, says Chamberlain. His group, in the late ’90s, successfully cultivated new part-time residents in North Scottsdale, Carefree and Silver Leaf.
THE PERSONAL ART OF BREAKING IN
“Giving in part-time communities almost always begins with new residents wanting to meet others with similar interests,” says Ron Schiller, founding partner of the Aspen Leadership Group. “Nonprofits are well positioned to make those connections and introductions.” Begin with executives sitting on nonprofit boards, key stakeholders and existing donors who have relationships with high-net-worth donors in those communities. Then engage a champion from that community to introduce the nonprofit to other members. Chamberlain recommends informal get-toknow-the-nonprofit gatherings or cocktail hours hosted in a community member’s home. “This group feels comfortable in an intimate setting versus a public space, it is much more personal, and they respond better.” Capacity, interest and access, Chamberlain says, are always key considerations. “Financial capacity is easy to identify through prospect research. The prospect’s interest in your organization’s mission can be determined through friends, golfing companions and colleagues — those personal relationships.” But access is paramount. “Without it, it doesn’t
matter how deep prospects’ pockets are or how much they love and align with your cause.” To gain access, nonprofits might consider those with the biggest personal investment in recreational or resort communities: the builders. “The homebuilders are, themselves, philanthropic,” says Deborah Whitehurst, Phoenix Philanthropy senior consultant. “They like the idea of their communities being philanthropic and may help create a connection.” Keep in mind that nonprofit entry can be met with resistance — especially by a resort community’s general manager or recreation coordinator who may be hesitant to open the floodgates to every nonprofit wishing for access to its wealthy residents. “Approach her. Let her know a number of nonprofits in the community would like to introduce themselves,” suggests Whitehurst. “Propose a Philanthropy Day. That footin-the-door approach is one way to crack the code.” An additional challenge within the second-home community is accessing those with demonstrated financial capacity but no philanthropic history. “This group can be taught the joys of giving,” says Schiller. Start slowly; instead of asking celebrities or athletes for a large gift, ask if they’ll be honored at or speak at an event. That celebrity engagement may draw other high-capacity donors and can often initiate a philanthropic relationship with a wealthy individual new to giving.
THE REQUEST FOR PRIVACY
The truth is that some high-net-worth donors retreat to their second-home resort, golf or recreational community to get away from active volunteer and philanthropic participation. When they are unresponsive to invitations, simply thank them and move on. The final lesson: “If a nonprofit is not keeping its eyes focused on every opportunity for new funding streams — including seasonal residents — it is narrowing its opportunity for donations,” says Julie Murray, principal and CEO of Moonridge Group. Don’t be intimidated. Get out there and make those personal connections.
Practice professionalism when meeting with prospects. Elaine Walsh Carney, principal of Pathfinder Philanthropy Advisors in Jackson, Wyoming, recommends: 1) a pitch deck of seven or eight slides making the nonprofit’s case; 2) a three-minute video telling the nonprofit’s story; and 3) a one-page “placemat” outlining the strategic plan.
BY MIKE HUNTER
MAY 2017
Arizona Small Business Association and U.S. Small Business Administration
24th Annual Enterprise Business Awards Luncheon Thurs., May 18 | 11:00a – 1:00p The Enterprise Business Awards Luncheon celebrates small businesses along with the companies and institutions working every day to ensure their success. This event was created to identify and recognize our region’s most iconic entrepreneurs, 504 lenders, and leaders in the Arizona small-business community. The EBAL awards provide local and national firms with the opportunity to reach a target audience face to face. With more than 90,000 small businesses located in Arizona, small-business owners are the people who are driving the state’s economy. The SBA Enterprise Business Awards Luncheon provides the opportunity to recognize and inspire entrepreneurs making a difference — the go-getters, the doers, the forward-thinkers, the creators, and the smallbusiness champions. During the luncheon, the winner will be announced of the Small Business Boost Contest jointly sponsored by Cox Business and Arizona Small Business Association. The single grand prize package, with an approximate retail value of $17,135, will include advertising on 3TV provided by Cox Business and an ASBA marketing package. Members: $95; non-members: $125 Arizona Biltmore – Grand Ballroom 2400 E. Missouri Ave., Phoenix asba.com
Tempe Chamber of Commerce
Women in Business Conference Wed., May 24 | 8:00a – 1:30p Tempe Chamber of Commerce’s Women in Business Conference will bring together hundreds of business leaders for a trade show and luncheon at the Doubletree by Hilton Convention Center in Tempe. Built around the theme “Lead, Learn, Grow,” the annual event will feature speakers who will deliver inspirational messages that touch on these elements and motivate each member of the audience to strive for fulfillment, happiness and success, and will culminate in the presentation of the prestigious Business Woman of the Year Award. Dr. Aneesah Nadir will moderate the “Lead” panel discussion as she speaks with local innovators and trailblazers in their field. Members of the panel are Lauren Kuby, councilmember for the City of Tempe; LaCoya Shelton-Johnson, vice chancellor of human resources for the Maricopa County Community College District; and Ji Mi Choi, associate vice president in the Office of Knowledge Enterprise Development at Arizona State University. Liz Warren, a fourth-generation Arizonan and director of the South Mountain Community College Storytelling Institute in Phoenix, will be this year’s emcee. During the conference, the presentation of the Business Woman of the Year will be awarded, given to a Tempe Chamber member who has excelled in her professional obligations as well as in her service to the chamber and the community. The three finalists are Margo Brown of Wavy Productivity, Tracy Bullock of Sandler Training and Dawn Hocking of TCH. Members: $65; non-members: $99 Doubletree by Hilton 2100 S. Priest Dr., Tempe
MAY 2017
tempechamber.org
S M T W T F S
SAVE THE DATE
Upcoming and notable Sandler Training Workshops – Sell More Easily June
Tues., June 6
6
Workshop will cover the Sandler seven-step sales process that includes how to get more prospects and close more deals. aztechcouncil.org Annual Luncheon June
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Fri., June 16
The Tempe Chamber of Commerce presents its 2016 Business Excellence Awards and introduces its new board of directors. tempechamber.org
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MAY 2017 NOTABLE DATES Fri., May 5 — Cinco De Mayo Sun., May 14 — Mother’s Day
Sat., May 20 — Armed Forces Day Mon., May 29 — Memorial Day
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MAY 2017 Fri., May 5
11:00a – 1:30p
Annual Healthcare Symposium and EXPO In Business Magazine In Business Magazine’s healthcare symposium “Priority: Healthcare – Strategies to Making It Work!” brings together experts and leaders of local healthcare companies to address the thorny issues business owners and decision makers face in determining healthcare benefits for their employees. The goal is to help business owners understand how to use healthcare as a tool to build business. Panel discussion with top healthcare and business leaders will dive into issues that businesses are most focused on. $65, includes lunch Omni Scottsdale Resort & Spa at Montelucia 4949 E. Lincoln Dr., Scottsdale inbusinessmag.com
Tues., May 2
Sat., May 6
7:30a – 8:30a
10:00a – 2:00p
Mesa Morning Mixer
World Bazaar & Phoenix Community Market
Mesa Chamber of Commerce
Local First Arizona, Fuerza Local, International Rescue Committee – Phoenix
First Tuesday of each month, this event allows Chamber members to showcase their business, inviting attendees to a first-hand view of their facilities and products or services.
Celebrate the vibrant culture of Phoenix with vendors from around the world providing specialty cuisines, crafts and entertainment.
Members: $5; non-members: $15; cash only
Free
Costco Gilbert
19th Ave. & Camelback Park-and-Ride
1415 N. Arizona Ave., Gilbert
1815 W. Camelback Rd., Phoenix
mesachamber.org
localfirstaz.com 2
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5 Fri., May 5
6 7:00a – 3:30p
LEADERSHIP LIVE 2017: Powered by Purpose Gilbert Chamber of Commerce
Sat., May 6
Cybersecurity Summit
Purpose is what defines us, drives us, and empowers us. Every detail of Leadercast 2017 is purposefully crafted to inspire and engage attendees in surprising and meaningful ways. The conference will allow attendees to discover the steps they can take to uncover their purpose, to reconnect to their organization’s “why,” to attract and engage the right people for their efforts and to thrive as a team.
Arizona Technology Council and ACTRA
$79
Arizona Hispanic Chamber of Commerce
Learn about the threats, vulnerabilities and consequences related to data security and privacy matters. This educational summit provides actionable solutions, as numerous AZTC and ACTRA member organizations showcase their available resources, products and services geared toward helping protect intellectual property and customer data. There will be panel discussions, keynote speakers, sponsor expo and other exceptional presentations.
The Falls Event Center
The theme for the gala, “FRIDA & DIEGO: Art, Love, Life,” a tribute to the legendary artists Frida Kahlo and Diego Rivera, is part of a community partnership with the Heard Museum and its Frida and Diego Exhibit running April 9 to August 20. Phoenix is the only North American stop on a world tour. This formal gala is the longest running event of its kind in the Valley. The Black & White Ball honors the achievements of Arizona entrepreneurs, business leaders and individuals who have positively contributed to the state’s social progress and economic prosperity.
Thurs., May 4
8:00a – 5:30p
4635 E. Baseline Rd., Gilbert gilbertaz.com
Members: $50; non-members: $75
Arizona Grand Resort & Spa
6333 N. Scottsdale Rd., Scottsdale
8000 Arizona Grand Pkwy., Phoenix
aztechcouncil.org
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59th Annual Black and White Ball and Business Awards
Members: $300; non-members: $400
Hilton Scottsdale Resort & Villas
MAY 20 1 7
6:00p – 12:30a
azhhc.com
For more events, visit “Business Events” at www.inbusinessmag.com
Please confirm, as dates and times are subject to change.
Fri., May 12
1:00p – 6:30p
S.E.E.4VETS 4th Annual Golf Tournament Arizona Small Business Association The event raises funds for student veterans enrolled in Maricopa County Community Colleges. $200 TPC Scottsdale
17020 N. Hayden Rd., Scottsdale
Thurs., May 11
Wed., May 10
11:30a – 1:00p
May Luncheon Peoria Chamber of Commerce Guest Speaker: Secretary of State of Arizona, Michele Reagan. Secretary Reagan will discuss her 2017 legislative agenda, her efforts to modernize our business services division, and will be reflecting on the 2016 election cycle. Members: $20; non-members: $30 Arizona Broadway Theatre 7701 W. Paradise Ln., Peoria peoriachamber.com
11:30a – 1:00p
Networking Southwest Veterans Chamber of Commerce – Scottsdale Chapter
WESTMARC
Members are encouraged to bring a friend, patriot or vet who needs to network, and be ready for the 30-second commercials.
Join the dialog from data professionals from Maricopa Association of Governments and ASU to learn more about the rich talent that currently exists in the West Valley. Keynote speaker is Maricopa County Community College District Chancellor Dr. Maria HarperMarinick, who will share her plans for developing the pipeline for future targeted industries in the West Valley.
Free; lunch: $14, includes meal, drink and tip Cantina Laredo
7361 E. Frank Lloyd Wright Blvd., Scottsdale
southwestveteranschamber.com Tues., May 23
5:30p – 7:30p
Taste of Mesa
Members: $70; non-members: $90
Mesa Chamber of Commerce
Wigwam Arizona – Sachem Hall
Third Tuesday of each month, a monthly evening networking event. Heavy appetizers will be served, and everyone gets two drink tickets. There will also be a 50/50 raffle.
300 Wigwam Blvd., Litchfield Park
Members: $15; non-members: $25
westmarc.org
Desert Wind Harley Davidson 11 11:30a – 1:00p
Networking Southwest Veterans Chamber of Commerce – North Glendale Chapter Second Tuesday of each month. Members are encouraged to bring a friend, patriot or vet who needs to network and to be ready for the 30-second commercials.
Thurs., May 11
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922 S. Country Club Dr., Mesa
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12th Annual Procurement Fair & Business Expo
Glendale Civic Center
20585 N. 59th Ave., Glendale
5750 W. Glenn Dr., Glendale
southwestveteranschamber.com
glendaleazchamber.org
Noon – 1:00p
Chandler Chamber of Commerce The seminar presented by Berkshire Business Sales & Acquisitions will focus on how to sell your business.
“Mastering the Purchasing Maze.” This is the largest freeto-attend Procurement Fair & Business Expo in Arizona.
Dillion’s Restaurant
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Ask an Expert
Glendale Chamber of Commerce, Luke Air Force Base Procurement Technical Assistance Center, Glendale Community College, City of Glendale
Members: $175; non-members: $350
mesachamber.org
Tues., May 30
8:00a – 1:00p
Free; lunch is not included
Tues., May 9
Tues., May 16
10:00a – 1:00p
WESTMARC Economic Development Summit
9 Tues., May 9
asba.com
Members: free; non-members: $10 Chandler Chamber Office 25 S. Arizona Pl., Chandler chandlerchamber.com
Wed., May 24
11:30a – 1:15p
11:30a – 1:15p
Adaptive Redevelopment: Can we get ahead of the golf ball?
Arizona’s Governor’s Office Update
Arizona Association for Economic Development
Arizona Association for Economic Development
Grady Gammage Jr., J.D., attorney with Gammage & Burnham and Morrison Institute for Public Policy. With a declining interest in traditional golf, communities are beginning to see decommissioning of courses and increases in redevelopment. Learn how your community can get ahead of the planning process and understand zoning implications in order to implement strategies and standards that reflect sense of place, organize the public and minimize red tape.
Speaker is Juan Ciscomani, director of the Southern Arizona & Sonora Office of the Arizona Governor. He will address what the Governor and his team are doing to foster economic development in the state and what the economic vision, strategies and even tactics are for attracting new jobs and capital investment to Arizona.
Members: $40; non-members: $55
Members: $40; non-members: $55
2901 N. 7th St., Phoenix
aaed.com
Arizona Inn
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COMMERCIAL REAL ESTATE
Impact Investing Who Benefits?
Success Stories from Corner Office
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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. Full calendar online. events@inbusinessmag.com
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OUR SUBJECT IN-DEPTH
Even Successful CEOs Need Peer-to-Peer Feedback Success Builds Success through the ACA’s Corner Office by Bennett Curry
The Arizona Commerce Authority’s CEO Corner Office, a four-month program to develop and engage CEOs of rapidly growing companies, features facilitated topical case studies derived from top business schools, technical assistance and peer-to-peer advice and feedback training.
Bennett Curry, vice president of business development at the Arizona Commerce Authority, has built businesses, including many familiar consumer brands. His passion to lead and motivate led him into the college classroom, where he taught marketing. His goal is to nurture entrepreneurs.
MAY 20 1 7
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Patrick Stafford’s Phoenix-based business has a front-row seat to the global economy. His tower cranes are shipped all over the world — anywhere there’s a building boom and a need for a 300-foot crane to help change the skyline. His equipment has been on construction sites in Dubai, Ireland, Guam, Brazil, Uganda and Peru —to name just a few countries. Locally, Stafford Tower Crane has helped build the sprawling State Farm regional headquarters along Tempe Town Lake, Arizona State University’s new Sandra Day O’Connor School of Law and downtown Phoenix’s CityScape. But even successful businessmen and businesswomen like Stafford need a network of peers to help them better meet the challenges of leading a growing company, building a management team, making strategic decisions and taking their business to the next level in a highly competitive environment. That’s where the Arizona Commerce Authority’s CEO Corner Office comes into play. Stafford, and 10 others, were members of the inaugural cohort last year. This four-month program was created to develop and engage CEOs of Arizona’s rapidly growing companies. The CEO Corner Office is a learning and training experience. Each session begins with a facilitated business case discussion on topics such as scaling, financial literacy, culture, decision making, leadership and evolving as a CEO. The topic of the day then becomes the focal point in training the CEOs on how to ask and receive peer-to-peer feedback. In the round-robin, a CEO states an issue within the company related to the topic. Peers ask clarifying questions to which the CEO may respond only with answers. Peers then provide advice. All cohort members must hold and maintain as confidential all information shared by the others. Stafford joined the program in part to discuss his exciting expansion plans, which include the recent creation of a manufacturing arm, Phoenix Tower Cranes, one of the only U.S.-based tower-crane manufacturers in the industry. At the time, he was also evaluating a business growth opportunity, and asked his cohort peers for their take. The group provided valuable insights which he incorporated into his decision.
CEO Corner Office: A Three-Part Series Over three months, we share the stories of three small businesses and their participation in a CEO development program created by the Arizona Commerce Authority. ven Successful CEOs Need Peer-to-Peer Feedback E (May 2017) The Case Study Format – Valuable Lessons for CEOs (June 2017) Real Life Scenarios – Real World Advice to CEOs (July 2017)
Describing the program as a “real live-world experience” that is difficult to replicate elsewhere, Stafford cited the value in learning from other successful CEOs about how they have overcome challenges, or, in many cases, learned from their mistakes. One such area for him was financial literacy, from learning about others’ experiences in securing or attracting financing to gaining insight about how some entrepreneurs have executed buyouts or even experienced being acquired by investors. But perhaps the best tools he walked away with, Stafford shared, involved the non-financial strategies: leadership and ideas for creating a defined company culture. “It was a valuable experience to borrow strategies from other CEOs who have more experience in creating a culture that fits their mission” — such as, as companies grow it’s important that they hire for fit within the culture. There was value in learning from other people’s mistakes, as well — such as, hiring the wrong person can be costly. “The fact that we were meeting and talking and sharing our experiences — I thought it was tremendous. It’s a more interactive, live experience than other business programs.” Stafford and others liked the sessions so much that they asked the ACA to create a post-graduate CEO Corner Office, enabling the group to stay together for learning and networking. The post-graduate program will kick off this year. Stafford, who is from Wexford, Ireland, came to the United States in 1988, working for the former aerospace firm McDonnell Douglas. He got into the crane business in 2004. He believes that, with programs like the CEO Corner Office and others, Arizona has a lot of ingredients to help him grow his operations, especially on the manufacturing side of the business. (In fact, Stafford’s company has also been assisted by the ACA’s RevAZ manufacturing extension partnership program.) Besides manufacturing cranes, Stafford’s business includes a fleet of 50 rental cranes, seven mobile cranes, a consulting division and a nationally certified crane-operator school. All this is done from a three-acre industrial site near Phoenix Sky Harbor International Airport. CEO Corner Office azcommerce.com/small-business/professional-development
ACA Is Also for Manufacturing: The ACA’s RevAZ team, with the assistance of NIST MEP’s national manufacturing network, brings together their decades of experience to offer customized operational and business solutions, concrete advice and training, and hands-on assistance. azcommerce.com
BY RAEANNE MARSH
MEALS THAT MATTER
GEORGE’S BANK SCALLOPS
The Valley’s celebrated Chef Charles Wiley has brought his creative touch to Hearth ’61 at the newly reopened Mountain Shadows resort. The Paradise Valley property first welcomed guests in the mid-1950s, and retains its boutique nature. Guests entering from the valet station to the lobby make a quick left to reach the restaurant just past the bar. But it’s worth a short detour right to first take in the art gallery — all original art chosen for exhibition due to having some connection to Arizona, rotating artists every 60 days. Chef Wiley’s influence can be appreciated even before perusing the menu: He designed the wide-open exhibition kitchen, open for view and aromas behind a stretch of three long, open windows that lays extra emphasis on “wide” and gives new meaning to “open” but with a special ventilation system that keeps all smoke in the kitchen. The namesake
hearth stands prominently at one end, and dishes roasted in it go straight from oven to table in the same vessel, retaining the signature char and smokiness of the preparation. Local, organic and seasonal are key to the menu. The current spring menu includes chilled jumbo shrimp served in a spicy cucumber gazpacho that would be a great choice on its own (if only it were offered that way). Take it light with the H ’61 Vegetable Chop Salad, a mix of Napa cabbage, spinach, farro, roasted butternut squash, red grapes and Crow’s Dairy feta with parsley and lemon hazelnut vinaigrette. The Prime Rib French Dip is one of the more robust choices. With a raised pool as centerpiece in a comfortably modern décor, the dining room is bookended by mountain views, including the iconic Camelback Mountain that rises on the south of the property.
$32
NIMAN RANCH AGED TOMAHAWK RIB-EYE FOR TWO Rosemary truffle butter, 40oz bone-in $115
A 50% Power Lunch Take high-powered down a notch to “impress” that more casual client.
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Glendale
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5thandwine.com
(623) 847-8890
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Healthcare
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Paying tribute to the town where the Mountain Shadows resort is located, the ’61 of the name Hearth ’61refers to the year Paradise Valley was officially incorporated as a town.
35 20MAY1 7 INBUSINESSMAG.COM
Photos courtesy of Mountain Shadows (top and far right), FEZ on Central (bottom)
Hearth ’61 – A View Forward and Back
Sauce romesco, charred spring onion, buttered mushrooms, meyer lemon barley
MAY 2017
In Business Magazine is pleased to offer the MarketPlace for our readers. This section is for
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Activate Human Capital Over the last half century, college textbooks on management have taught the importance of valuing the human assets of a business, and they have also focused on how to effectively and appropriately manage those assets. And yet, we look around and rarely see it practiced. In Activate Human Capital, author Richard N. Morrison outlines the eight People-Focused Principles of Management, and he explains them in terms of the values that motivate people to want to do the work given to them. And even more, he shows how these values will actually get employees to initiate their work because they will see how it contributes to the overall purpose of the business. Each principle-such as giving people a purpose, communicating widely, accommodating change, creating a culture of worth and hope, and rewarding performance, to name a few-is linked to a component of human fulfillment, and then through research, personal experience, and shared stories, Morrison discusses how to activate each principle and demonstrates what it should look like in the workplace. Eight simple principles can help enhance all business relationships and improve efficiency, productivity, and profitability-if only managers are willing to change. People-focused management has been done, is being done, and will be done increasingly more often as more business leaders comprehend the potential in this empowering form of leadership. When employees feel valued, respected, encouraged, and fulfilled, they will work harder and be more invested in their work-and in
Richard Morrison Founder and Author Activate Human Capital
the success of the business.
To learn more visit www.ActivateHumanCapital.com/book 36
MAY 2017
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GLOBAL CHAMBER
®
Global Chamber® Events
SPRING 2017
phoenix.globalchamber.org/events
Global Chamber Phoenix and Tucson
Saturday, May 6 Global Career Round Table Global Chamber members who are open to new global career opportunities gather to discuss business, job and other opportunities. 11:00am to 12:15pm RSVP to events@globalchamber.org Global Chamber Tokyo + 5 Metros
Thursday, June 8 Global Manufacturing Summit Executives in Asia and North America share perspectives on growing and manufacturing across borders, a Global Chamber - ProMexico event. 3:30pm - 6:00pm RSVP to events@globalchamber.org
Spotlight Event Global Chamber Phoenix
Thursday, May 11 Homerun Networking Annual executive networking event in centerfield with the Diamondbacks. Global Chamber® is pleased to collaborate with Phoenix CEO-COO Group and other organizations to make this one of the best high-level networking events of the year. 4:00pm to 9:00pm RSVP to events@globalchamber.org Global Chamber Phoenix
Tuesday, May 16 Welcome Global Companies to the Valley Hosted for members of Global Chamber by member Tiffany & Bosco, Global Chamber welcomes new global companies who have landed in the Valley with a “Welcome Reception.” 5:30pm to 7:00pm RSVP to events@globalchamber.org Global Chamber Tucson
Wednesday, May 24 League of Extraordinaries Designed around extraordinary global business service providers who are providing services to international companies. We exchange information and get to know each other a little better. 6:00pm to 7:00pm RSVP to events@globalchamber.org
The Bridge to New Revenue Opportunities by Doug Bruhnke, CEO & Founder, Global Chamber®
We’ve heard it said that unless your business is global, it’ll die within five years. That’s because most opportunity is somewhere else. Ninety-nine of business opportunities are outside metro Phoenix. Even for top GDP countries US and China… 85% and above of business opportunities are outside the U.S. You’re a good business person, so why go after one customer next door when six are down the street? That’s the math we’re looking at here. It’s not so hard to go down the street anymore, or anywhere in the world! Doing business in another metro in your own country or in another metro in another country can be tricky. You need to know more — logistics, legal, banking, marketing, plus partners and customers — and also how to reach them. How can you trust that you’ll find new customers in new markets, and get paid? That’s the fun and intrigue of cross-metro, cross-border and global business. Yes, I said fun. It’s fun when you’ve got a team that understands different cultures, regulations and situations — so that you can prioritize markets, reach them and sell to them. But no one should go global alone.
If you’re a good businessperson, you’re willing to take a little prudent risk to gain more of the market. You know that if you can sell to different markets your risk is actually reduced because your business will benefit from the portfolio effect. As one market slows, another speeds up, and you’re now insulated from the impact of the economy of one metro, region or country. Most SMEs, though, don’t have all the resources needed to go after foreign markets without more than a little risk. Or even to other metros within the country. That’s a big issue. The world has never been so attractive to business, despite the noise you might hear from politicians and populists. Global markets haven’t changed; they keep growing. If you and your country don’t participate, someone else’s will. And so, what does an SME do? Better get going global, quickly. Chances are 99 to 1 that you’re underinvested globally. Reach out to the global tribe — we’ll get you there quickly and effectively. And grow more effectively to metros within the country. Don’t wait; act.
GlobalChamber.org
1
Expanding in Europe? Why You Should Consider Toulouse, France, as a Base by Phil Disant, Global Advisor, Global Chamber® - Toulouse, France
When considering growing in new markets in Europe, France will always be one of your options because it is the third economy in the continent in terms of GDP, and the sixth in the world. While Paris, Marseille and Lyon are, definitely, good places to start, there is one city in the country that is outgrowing all of them: Toulouse. Toulouse and its metropolitan area are famous world-wide for its culinary delight and the high quality of life. But there is more. The region is considered today to be the fastest-growing area in the country, and it comes with a dynamic and advanced industry. The city is considered the European capitol for the aeronautics and space industry, being a major player in innovation for the European Union. Companies and organizations like Airbus, EADS Astrium, Thales Alenia Space and the Centre National d’Etudes Spaciales all have a strong presence in Toulouse and have set the standard for other industries
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Global Chamber®
coming into this market. This is the case of agroindustry, IT & communications, health and biotechnology. In addition to the major multinational corporations, a significant number of startups, small and medium companies and labs are growing along with them, by a deep collaboration amongst themselves. Also, the public sector is investing a considerable amount of money in a state-of-the-art technology to facilitate a transportation infrastructure and to integrate the public transportation system. Important residential real estate programs are also underway to manage the increase in population. Following are some additional facts that make Toulouse a place to be in Europe for business: • Toulouse is only 425 miles from Paris and 250 miles from Barcelona, making these markets easily accessible. • The population of Toulouse is 1.2
million, with an average increase of 20,000 people a year. • The working population is more than 500,000 people, providing Toulouse with a strong workforce. • There are 95,000 companies with presence in the region, with 30,000 added in only the last 10 years. • Toulouse has 43 million square feet of commercial facilities and 65 million square feet of factories and warehouses. • Toulouse offers an international airport with direct flights to 46 European cities and more than 40 daily connections to Paris. • This city is the home of the third-largest university in the country. Global Chamber has a local representative in Toulouse and is making key introductions that help grow cross-border and into this market. Contact us today at info@ globalchamber.org for more information.
Eco-Friendly Opportunities in Bangladesh – Development of ‘Green’ Bricks by Raihan Hadi, Global Advisor, Global Chamber® - Chittagong, Bangladesh
Bangladesh is steadily moving toward eco-friendly solutions. One example of this movement is the brick manufacturing industry and its commitment to fully implement an alternative brick manufacturing processes for builders. Though it’s been almost two decades since eco-friendly concrete hollow blocks were introduced in the country, the construction companies are just now realizing and recognizing the benefits of using ecofriendly bricks for their projects. In fact, companies have already taken loans from Asian Development Bank (ADB) and started producing “Auto” bricks made from ceramic. This form of production reduces carbon emissions by 30 percent. One of the factors driving this effort is the Government of Bangladesh now targeting to: 1) reduce carbon emission pollution generated
from brick fields and other sources, and 2) reduce the use of topsoil in the production of bricks. To achieve results, brick companies must: 1. Significantly reduce carbon emission 2. Use zero topsoil 3. Avoid using any sort of material that harms the environment A reduction of carbon emissions cannot happen overnight. According to the Environment Ministry, a total of 6,637 traditional and modern brickfields are currently operating in Bangladesh. Slightly above 10 percent, or 735, of these fields follow new regulations, according to a report by the Bangladesh Centre for Advance Studies (BCAS). In 2013, the Brick Manufacturing and Brick Kilns Establishment (Control) Act was passed to improve control over brick manufacturing and
the setting up of brick kilns in consideration of the environment and biodiversity. The Act permits a two-year transition to transform traditional brick kilns, followed by relocation if required by the regulations. With the help of the government, foreign investors, consultants and researchers, the process of converting to a more eco-friendly solution is becoming easier. Yet it still requires kiln owners and those working for them to be trained as well as educated. The effort and commitment toward manufacturing, using and integrating ecofriendly products and solutions in Bangladesh make this market a great opportunity for global businesses who produce green products or have a green solution. And Bangladesh is very interested in identifying solutions that either meet or will help the country be eco-friendly!
GlobalChamber.org
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Now Could Be the Time to Invest and Do Business in Russia by Alexandra “Sasha” Shitova, Global Advisor, Global Chamber® - Rostov-on-Don, Russia
The history of economic relations between the U.S. and Russia has been marked by rivalry, boycotts and trade sanctions brought by political instability. Over the last century, the U.S. applied economic sanctions to what was then the USSR as a mechanism to put limits for a possible war. Currently, sanctions are in place on the energy sector. These actions and sanctions restrict U.S. companies from expanding their business in Russia. Despite this unstable relationship, the Russian market remains attractive for U.S. companies. In fact, there are U.S.-based companies who have achieved success in Russia and are doing well. One example is Coca-Cola. In 2015, Coca-Cola celebrated the 35th anniversary of its presence in Russia. The story of Coca-Cola’s presence and growth in this country is so incredible that sooner or later it
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is destined to become a marketable story for this mega brand — if it hasn’t already. In the 1980s, Coca-Cola refused to entirely boycott the ’80 Olympic Games hosted in Moscow by bringing their brand “Fanta” in as a sponsor. In the 1990s, the company established Russia’s first outdoor advertising, and just one year after the construction of the first Russian factory, Coca-Cola became the official supplier of the Kremlin. Now, the Coca-Cola empire in Russia has a significant presence and is a sizable taxpayer, contributing to the regional and federal budgets. Coca-Cola has more than 11,000 employees all over Russia, supporting thousands of families in the country. The company supports a large number of projects that are important for the development of Russia, including the 1980 Olympic Games, the 2014 Paralympics in Sochi and the longest World Olympic Torch Relay.
Soon, with the support of Coca-Cola, Russia will host the 2018 World Cup. CocaCola also helps in the polar bears rescue programs and is involved in projects aimed at supporting the ecological balance in the Russian Arctic and the purity of the Lake Baikal. In Russia, the Coca-Cola Hellenic (European anchor bottler) has 17 plants. The Coca-Cola HBC plant in the Rostov region is the largest of all the Coca-Cola system plants in Eastern Europe. Its production capacity is 450 million liters of beverages a year of their 66 different kinds of products. The Russian domestic market is attractive for investment, and this is just one example demonstrating the fact that American companies doing business in Russia can be successful despite sanctions and instability. To learn more, contact us at info@globalchamber.org.
Growing In and Across the Caribbean: New Opportunities by Dr. Ty Richardson, Executive Director, Global Chamber® Caribbean
Global Chamber® continues to grow across the globe by adding chapters and growing our business team, supporting our members as they grow from their main metro to other metros and across borders. We are on track to reach and fully cover 525 metros, in every country — currently with a presence in 132 metros, and connections around the globe. Global Chamber recently announced metro additions to its Caribbean-area locations, on our way to building to 24 regional metros. Trinidad and Tobago (Global Chamber regional headquarters since 2015) is now joined by Guyana, Suriname, Antigua, Cuba, Barbados and Belize. Global Chamber Caribbean region covers metros in Florida and Latin America, representing emerging markets readier than ever to do business with the world. The Caribbean represents the next frontier for capital investment, a growing source of talent and an opportunity for companies in other parts of the world to access resources, raw materials and services to grow their business in today’s global marketplace. Global Chamber represents not just an opportunity to connect the world with the
Caribbean, but to connect Caribbean countries with each other, helping increase regional trade, which has been a challenge for earlystage producers across the Caribbean. “We’re pleased to see both the interest and expansion across the region,” says Doug Bruhnke, CEO and founder of Global Chamber, “Now the Caribbean will be better tied in to our global network, which bodes well for importing, exporting, foreign direct investment, tourism and trade. Overall, we’re helping member companies and communities grow in their metro, across metros, across borders and around the world, providing warm connections in 525 metros that lead to more business opportunities.” To learn more about our connections and where we are, contact us at info@globalchamber.org.
GlobalChamber.org
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Global Chamber®
Global Chamber Phoenix and Tucson Chairman/CEO Sponsors BMO Harris Bank Polsinelli Squire Patton Boggs Thunderbird School of Global Management Vision Alignment President Sponsors Alliance Bank of Arizona Bank of America InWhatLanguage
Grow Your Business in the Philippines – a Member Success Story by Cesar Trabanco, Business Services Manager, Global Chamber®
What do you do when one of your largest customers needs your help — right now — but is outside your home country? Do you have the connections you need to resolve their challenge? Think about it for a second. Is it realistic for you to be everywhere — to be able, for instance, to make one call that will make your task a little easier and less risky? Global Chamber® helped Delta Technology do exactly that. Lyle Rusanowski, CEO of Delta Technology and member of Global Chamber, received a call from one of his largest customers who needed his help. His distributor based in Manila was short-staffed and having trouble keeping up with the installation and maintenance calls of his Delta customers. He needed to hire local people who could be trained and quickly put to work. Lyle reached out to Global Chamber and was immediately connected with Global Chamber Manila Executive Director Colin Christie, who worked directly with Lyle to
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Global Chamber®
help him and his Manila distributor. Colin identified candidates, secured meetings and even attended meetings to help with translation and to work through some of the legalities involved with direct hires in Manila. He assisted with the language and cultural differences and contributed several options for approaching hiring that would enable Delta to expedite the process. Colin’s experience in outsourcing backoffice services and his connections in the region were instrumental in helping Lyle find reliable resources, understand local hiring practices and feel comfortable in moving the process forward. “Colin helped make my trip to Manila successful and productive. I left the visit with a much better understanding of the challenges involved with local hires and opportunities that it provided. And most importantly, I left with good options and a path forward.”
Tiffany & Bosco Wells Fargo Bank Special Global Advisors Charles Bruce, Johnny Rockets, The Original Hamburger Hank Marshall, UK Honorary Consul in Arizona Melissa Sanderson, Freeport McMoRan Kiyoko Toyama, Japanese Friendship Garden Michael Patterson, Polsinelli Don Henninger, DH Advisors, Global Chamber Lee Benson, Able Aerospace Services Committees All Metros, Industries and Regions Contacts CEO/Founder: Doug Bruhnke, doug@globalchamber.org Global Marketing: Kim Bridges, kim.bridges@globalchamber.org Business Services: Cesar Trabanco, cesar@globalchamber.org
Partnership with Office Depot Brings Global Chamber Members More Buying Power by Kim Bridges, Director of Marketing & Communications, Global Chamber®
Global Chamber® announced a partnership with Office Depot that enables members to receive significant discounts on supplies purchased from Office Depot and OfficeMax stores or on-line. “Global Chamber is always looking for new and helpful ways to add value for its members,” says Doug Bruhnke, Global Chamber founder and CEO. “This partnership helps our members increase their buying power to be more efficient and productive.” Partnering with Office Depot, Global Chamber becomes the first and only “global”
chamber to participate with more than 1,300 traditional chambers in the National Chamber Program. It was developed to increase the buying power of its participants, offering members of its partnering chambers discounts and special offers available only through the program. The National Chamber Program leverages more than $100 million in annual spend to drive the deepest possible discounts, free next-day delivery on orders of more than $50, custom core pricing on items most used by its buyers, and a store purchase card to receive in-store discounts.
“Delivery is a tangible, economic and strategic value to 100 percent of our membership base,” says National Account Manager for Office Depot Jeff Gagliardo. “Welcome, Global Chamber members. This allows more of your resources to go to global growth.”
Providing a Connection in Latin America and Africa – a Member Success Story by Cesar Trabanco, Business Services Manager, Global Chamber®
Founded in 2016 by partners Sonny Betancourt and Trevor Jones, Lynx Global Intelligence (Lynx) is a consulting and advisory firm in Denver, Colorado. Lynx helps partners ensure organizational continuity in a rapidly changing world and fosters partnerships that mitigate risk and increase opportunities abroad. The organization joined Global Chamber® through the Denver chapter in 2016. Lynx, a new Global Chamber member, needed help in two very specific areas: 1. Promoting a Cuba Trade Delegation. Given new conditions in the Cuban market, Lynx is helping companies and organizations explore business opportunities in the island nation. This effort became the catalyst for creating a “Why Cuba” Trade Delegation, designed for businesses interested in doing business in or with Cuba. Lynx needed assistance in reaching beyond Colorado to promote and make connections with people who would be interested in participating in this delegation. 2. Find a reliable producer of MD2 pineapple seeds in Central America in order to source for a partner in East Africa. Through our global connections within and outside the “global tribe,” Global Chamber helped Lynx: 1. Connect with pineapple genetics providers in Central America who developed the MD2 seeds; 2. Make a connection at the Port of New Orleans who helped identify opportunities in Cuba for Lynx’s exporter clients;
3. Hosted a multi-metro, virtual and land-based “Why Cuba” Trade Delegation event, bringing in people from Denver, Phoenix, Chicago and Miami to discuss Cuba business opportunities and share details about the delegation trip; and 4. Be featured in a podcast to promote opportunities in Cuba and the trade delegation. Lynx Global Intelligence received trusted connections and exposure from multiple Global Chamber metros that allowed it to source the correct pineapple seed to its partner and increase the visibility of its company and the delegation trip. “Thanks to Global Chamber, Lynx was able to connect to a broad audience for our Cuba activities, in addition to finding sources for raw agricultural material to be shipped to East Africa for a client,” says Trevor Jones, co-founder of Lynx Global Intelligence.
GlobalChamber.org
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Export-Import Bank Names Global Chamber® in New Alliance Program by Doug Bruhnke, CEO & Founder, Global Chamber®
Global Chamber® is pleased to be part of the new Association Alliance Program created by the Export-Import Bank of the United States (EXIM Bank) and just announced to help exporters grow. The program offers key EXIM Bank stakeholders a menu of training and education opportunities that allows their members to participate in EXIM Bank events, roundtable discussions, webinars and training sessions. Members of Global Chamber may now more freely access EXIM Bank regional directors and benefit from special networking opportunities. “Through the Association Alliance Program, EXIM Bank will continue to educate and grow our network of key industry stakeholders,” says Charles J. Hall, acting chairman and president of Export-Import Bank of the United States. Global Chamber has already been collaborating with EXIM Bank; this official program will give members more access to these important programs that help them grow. EXIM Bank is an independent federal agency that supports U.S. jobs by filling gaps in private export financing at no cost to American
taxpayers. The bank provides a variety of financing mechanisms, including working capital guarantees and export credit insurance, to promote the sale of U.S. goods and services abroad. Almost 90 percent of its transactions directly serve American small businesses. In fiscal year 2016, EXIM approved $5 billion in total authorizations to support an estimated $8 billion in U.S. export sales, and, since 2009, EXIM has supported more than 1.4 million American jobs and sent $3.8 billion of surplus to the U.S. Treasury for deficit reduction.
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SPRING 2017
UNITING, STRENGTHENING, AND ADVANCING ARIZONA’S NONPROFIT SECTOR. ARIZONANONPROFITS.ORG
Is Your Business on Board? The Alliance of Arizona Nonprofits is an action-oriented group of partners across Arizona — both nonprofits and those in the community who support them — dedicated to uniting, strengthening and advancing Arizona’s nonprofit sector. The Alliance envisions an Arizona where all nonprofits are valued, empowered and thriving.
CONTENTS
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Board Service: Onboarding Leadership Volunteers for Success
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The Nonpartisanship of Nonprofits
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The Nonprofit/For-Profit Connection: Mesa Arts Center and Crescent Crown Distributing
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At Your Service Arizona Gives Day 2017 Results Are In
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How Can Businesses Help Nonprofits?
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Aha Moments about the Economic Power of Nonprofits
One of our strategic initiatives at the Alliance is to strengthen the connection, collaboration and coalescence of the nonprofit and for-profit sectors. Having previously served the small-business community in my role at the Arizona Small Business Association, I understand the importance of these connections in so many aspects. We have begun to expand our programs and outreach to the business community since I joined the Alliance in 2015, and we have been intrigued at the opportunities that are beginning to take shape. One of the ways we help connect the sectors is through targeted board governance training, specifically aimed at business professionals who have yet to begin board service, or for those of us who were “voluntold” to join a board as part of our job responsibilities. We know that setting both the business professional and the nonprofit up for success starts with making sure everyone understands their roles and responsibilities. We do this through our half- and full-day Business on Board training offered throughout the year. Another way we are strengthening the critical connection of businesses to nonprofits is through Arizona Gives Day. On April 4, we hosted our fifth annual Arizona Gives Day, and we did specific outreach to our business partners. We gave them ways that their company and employees could support local nonprofits through employee giving, day-of promotions in their stores, and through their social media channels. Finally, we are also helping make connections to businesses and consultants who are interested in serving and supporting our nonprofits through our Resources for Good Directory. This professional listing is housed on our website, and it’s the first place we point nonprofits who are in need of specific resources like legal, financial or fundraising help, to name just a few. We understand that each sector has a critical role to play in making Arizona a place we are proud to call “home.” Thank you for partnering with us as we continue to unite, strengthen and advance our Arizona nonprofit sector. Kristen Merrifield, CAE Chief Executive Officer Alliance of Arizona Nonprofits Businesses can support the Alliance of Arizona Nonprofits and its member organizations in a variety of ways, including joining as a business member, becoming a sponsor or making a tax-deductible financial contribution. For more information about how you can support the Alliance or about becoming an Alliance Member, contact Director of Membership Jennifer Blair at 602-682-7593 or via email at JenniferB@ArizonaNonprofits.org.
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Onboarding Leadership Volunteers for Success by Deb Dale, CFRE, Smith & Dale Philanthropic Counsel I am a nonprofit fundraising consultant, and I am also a board member. If you are, too, then you, like me, probably want to succeed and be a “good board member.” But what exactly does that mean? In our professional practice, we often hear leadership bemoan, “Our board isn’t doing anything.” To which we respond, “Well, what have you asked them to do?” The response is often the glazed look of those who are jaded from carrying the bulk of the burden. What to do? Create parameters in which your leadership volunteers can succeed! IN YOUR RECRUITING Be very specific and selective about who you invite onto your board. Recruiting for diversity in skill sets optimizes
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the effectiveness of your board. Do you have an attorney, an accountant, a marketing professional and a professional fundraiser? Each position is key. Diversity in age, social networks and geographic representation can be critical to expanding the reach of your mission. When you bring on a new board member, and he or she is trained to be a good advocate, you are also gaining access to this person’s 500+ friends and family. BEFORE THEY JOIN Be very transparent about the state of your organization, where you are in the nonprofit lifecycle, and exactly what you need and expect from board members. Have a checklist of specific governance expectations and specific, executable
WWW.ARIZONANONPROFITS.ORG fundraising tasks, where you need the board’s leadership and support. (“Go fundraise!” is not a helpful directive.) WHEN THEY JOIN How are you “onboarding” new board members? Is there a mini-retreat prior to their first meeting to give them organizational history, a deep-dive into the financials, a 101 on the organization’s programs, etc.? Do they have a mentor they can call upon to help them understand things in more detail? It’s important to help people acclimate quickly and efficiently. WHILE THEY ARE SERVING Financials. Yes, I said it. We are legally liable when we serve on nonprofit boards, and most transgressions are not due to malfeasance, but inattention. And most often, it’s the financials. Ensuring your board members aren’t just waiting for the Treasurer and CFO to nod emphatically at the end of their report, but are understanding the report details, is important. Is your board encouraged to ask questions, seek clarification and participate fully in meetings? We’ve worked with groups who require new board members to serve on the Finance Committee — and only the Finance Committee — for their first year. Others spend five or 10 minutes of each board meeting doing a thorough explanation of one aspect of the organization’s finances or financial practices.
Or have a one-hour, in-depth meeting at the auditor’s office prior to the beginning of each fiscal year, mandatory for new members and a great refresh for returners. All are effective. Also, volunteering should be win-win. Are you providing opportunities for your board to network and get to know each other outside of the boardroom? Are you thanking them often and publicly for their service? Engaged, effective board service is a critical component to organizational success. Setting up clear parameters will eliminate gray areas, which can leave both board and staff feeling frustrated. Openness, transparency and respect make everyone feel like they can succeed. Deb Dale, CFRE, is a founding partner of Smith & Dale Philanthropic Counsel, a consulting firm providing services to increase revenue for nonprofits, and promote impactful giving for foundations and businesses. Dale has provided board facilitation, strategic planning, educational trainings and performance audits for countless organizations. Through major gifts, capital campaigns and other fundraising, she has helped nonprofits raise more than $35million in funds.
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ALLIANCE OF ARIZONA NONPROFITS
The Nonpartisanship of Nonprofits by David Martinez III, Advocacy & Outreach Specialist, St. Mary’s Food Bank Alliance It has been 50 years since John van Hengel encountered a woman with her children in line at a soup kitchen in Phoenix. Heartbroken by the sight, he struck up a conversation with her and learned she had resorted to “dumpsterdiving” behind grocery stores to put food on her table. It was that conversation that spurred an idea, and St. Mary’s Food Bank and the concept of modern-day food banking was born in 1967. Grocery stores with edible but not salable food could deposit their excess, and those in need could withdraw it, just as we do money at a bank. Food continues to unite us 50 years later, and Mr. van Hengel’s legacy to end hunger in Arizona, and indeed throughout the world, endures. The “father of food banking” saw a need in the community, brought people together, and worked toward a common result. Though with the initial support of St. Mary’s Basilica in downtown Phoenix, John maintained the Food Bank as nondenominational. The same can be said politically with the common ground, no matter the politics, that we can and must end hunger. Ending hunger is a nonpartisan issue. As Mark Friedman states, “These kinds of statements are not Republican versus Democrat. They represent a kind of common ground where people can come together and say, ‘Yes, those are the conditions we want here in our community, city, county, council, state or nation.’” Nonpartisanship is a cornerstone principle that has strengthened the public’s trust of the charitable community. Currently, proposals repealing and revising existing laws ensuring nonprofit nonpartisanship have been introduced in Congress and supported by government leaders. They would have the effect of politicizing and thereby erasing the public’s high trust in charities like St. Mary’s Food Bank. We do not want that to happen. Organizations like St. Mary’s Food Bank and the thousands of other charitable
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ALLIANCE OF ARIZONA NONPROFITS BOARD OF TRUSTEES BOARD CHAIR: Kelly McCullough VICE CHAIR: Sonia Perillo Audubon Arizona with the National Audubon Society SECRETARY: Ellis Carter Carter Law Group, P.C.
organizations in Arizona are dedicated to the public good, and should remain above the political fray with tax-exempt status and the ability to receive tax-deductible contributions. Charities and houses of worships throughout Arizona, and indeed the country, are held in high regard in communities, and are effective in their missions. St. Mary’s Food Bank can stretch every single donated dollar into seven meals for clients; a pivotal use of resources when more than one in three children in Arizona will go to bed hungry tonight. As we work to feed the line, and to feed it nutritiously, we also work with a parallel goal to shorten the line. St. Mary’s Food Bank’s Community Kitchen program offers life-skills and job training to Arizonans experiencing barriers to employment. Upon successful completion of the 16-week program, students are guided to high-quality career opportunities in the food industry. Ninety percent of Community Kitchen graduates enter the workforce, providing them and their families a second chance and a refocused path out of poverty. This vital work is only possible if the 501(c) (3) community remains above partisan politics so we all can come together to identify and solve community problems. David Martinez III is the Advocacy & Outreach Specialist for St. Mary’s Food Bank Alliance and also serves as the Policy Council Vice Chair for the Alliance of Arizona Nonprofits.
TREASURER: Ron Stearns CliftonLarsonAllen Shaylinn Aleman Arizona College Access Network (AzCAN) Rhonda Bannard Inspired Connections Pam Gaber Gabriel’s Angels Karl Gentles Back to School Clothing Drive Lee Greenfield Make-A-Wish Arizona Len Gutman American Heart Association/ American Stroke Association Donnette Hermes Courtney’s Place Kristen Merrifield, CAE Alliance of Arizona Nonprofits Amy Schwabenlender Valley of the Sun United Way Glenn Wike Arizona Community Foundation
WWW.ARIZONANONPROFITS.ORG
The Nonprofit/For-Profit Connection Crescent Crown and Mesa Arts Center creating arts opportunities that have impact by Neil Baier, Vice President of Finance, Crescent Crown Distributing Crescent Crown Distributing and Mesa Arts Center (MAC) may seem like unlikely partners at first, but when you think about it, events and entertainment almost always include an option of enjoying beer, and the making of beer is an art form in itself. From year to year, our partnership changes, but always with an eye toward mutual benefit for Crescent Crown, MAC and the surrounding community. MAC gives us the opportunity to blend our work with an organization making an impact through the arts and helps us to connect with new customers. Our support of MAC is linked to community festivals, concerts and incredible engagement programs, which expose thousands of Arizona residents to our products and bring arts experiences to people of all ages.
Our ownership takes great pride in being involved in the communities in which we do operations. For example, last year’s Street Pianos Mesa Project connected 24 local community groups and individual artists with donated pianos, to transform the instruments into playable works of art. The pianos were installed for nearly six weeks in and around the City of Mesa, and thousands of people got to play, some of them touching a piano or making music for the first time. Also, our corporate membership at the MAC provides us with discounted tickets and presale opportunities for our employees, which makes for a happier (and more productive) workforce. Interaction with the arts is not only good for our business, it’s good for our people, too!
For us, this relationship is a win-win, making participation in the arts possible for many who would not otherwise have the opportunity, and deepening our business’s connection to the community in a unique and impactful way. Neil Baier has been the vice president of finance for Crescent Crown Distributing, (ccdaz.com) one of the five largest beer distributors in the country with operations in Arizona and Louisiana, since 2008. Baier is also the board chair of the Mesa Arts Center Foundation.
connecting
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CareerConnectors is a 501 (c)(3) non-profit organization
CareerConnectors.org 480.442.5806 5
ALLIANCE OF ARIZONA NONPROFITS
At Your Service by Robin Hanson, Program Manager – AmeriCorps VISTA, Alliance of Arizona Nonprofits America’s greatness comes from the extraordinary acts of ordinary citizens. The Corporation for National and Community Service (CNCS) makes America great by empowering citizens to solve local problems, expanding economic opportunity, encouraging personal responsibility and strengthening civil society. Based on principles of local control, competition and public-private partnership, CNCS is a cost-effective investment in America’s future. Through Senior Corps, AmeriCorps VISTA and the Social Innovation Fund, CNCS engages three million Americans in results-driven service each year at 50,000 locations across the country, from small towns and rural areas to inner cities. The annual impact of AmeriCorps VISTA (from CNCS, based on 2016 figures): • 8,000+ members serving • 3,000+ located across the US • 900,000 volunteers leveraged • $178 million raised from other sources • 220,000 members since 1965 The Alliance AmeriCorps VISTA program partners with local community agencies throughout the state of Arizona to develop and support unique community-based projects. Alliance AmeriCorps VISTA members work within a variety of nonprofits and government agencies in rural and metro locations in Arizona. Members serving in the Alliance AmeriCorps VISTA program are focused on increasing community access and awareness of various services provided to support them and their families. The annual impact of our Alliance AmeriCorps VISTA team (June 2015- June 2016): • 16 members serving • 15 locations across the state of Arizona • 667 volunteers leveraged • $86,647 cash and in-kind donation raised from other sources The Alliance AmeriCorps VISTA members provide the human capital required to close the gap between declining or plateauing revenues combined with growing demand for services. From June 2015 to June 2016, the volunteers recruited by the Alliance AmeriCorps VISTA members served more than 3,350 hours, for an in-kind valuation of $78,949.56 (based on the 2015 Independent Sector rate for the value of a volunteer hour, $23.56 per hour). Alliance AmeriCorps VISTA members serve for a year, with a living stipend equal to $5.67 per hour — barely more than half of the new $10.00-per-hour minimum wage — despite having a college degree. And keep in mind — a volunteer performing a professional task such as accounting is worth more in the market place than that same volunteer doing gardening. The Alliance AmeriCorps VISTA members provide marketing, fund development, social media, community outreach, developing volunteer programs and webinars for legal help, as well as making sure rural educators have access to resources, and students are aware of post-secondary opportunities. These are all capacitybuilding tasks organizations cannot afford to do and cannot afford not to do. While VISTA is the acronym for “Volunteers in Service to America,” they aren’t really volunteers. They are invaluable members of nonprofit, education and government agencies, working to bring others out of poverty — all the while living below the poverty level.
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Arizona Gives Day 2017 Results Are In by Jennifer Purcell, Director of Community Engagement, Alliance of Arizona Nonprofits Arizona Gives Day is a grassroots, statewide day of giving that invited Arizonans to donate to their favorite causes during a 24-hour period on April 4, 2017. This year’s Gives Day raised over $2.5 million for nonprofits across our state. And the total is still being tallied to include matching grants and other offline donations. Hosted by The Alliance of Arizona Nonprofits and Arizona Grantmakers Forum and presented by FirstBank, Arizona Gives Day has raised nearly $10 million for Arizona nonprofits since its founding in 2013. Arizonans from across our state donated on April 4, helping a variety of nonprofits of every size win additional prize money. Participating nonprofits included large and small organizations focused on animal welfare, the arts, child welfare, human rights and more. During the 24-hour day of giving, nonprofits encouraged their supporters to donate on azgives.org to help them win prize money based on fundraising success. During 12 “Power Hours,” nonprofits jockeyed for the largest number of total donors giving at or above various dollar amounts. And random drawings were held for nonprofits each time the Arizona Gives Day total amount raised reached a milestone. Thanks to enthusiastic participation among nonprofits and donors across our state, Arizona Gives Day was a resounding success not only in the amount raised, but by providing much-needed funding and introducing new donors to nonprofits statewide.
WWW.ARIZONANONPROFITS.ORG
Working With Nonprofits: How can businesses help nonprofits? ALAN LANGSTON, 24TH STREET CONFERENCE CENTER A family member has been the COO of a local nonprofit for 20 years, so I have a very personal understanding of the financial challenges many nonprofits face. The 24th St. Conference Center helps nonprofits needing space for training, classes or board meetings through reduced rates, as well as the ability to bring their own food, beverage and equipment to our facility. The significant savings on meeting expense goes toward the more valuable needs of their organization. LAURA SPIEGEL, MSW, LS NONPROFIT CONSULTING SERVICES The most effective investment a business can make in a nonprofit and its mission is in the organization’s infrastructure, those physical and organizational structures that ensure a nonprofit’s services are efficient and effective. If you buy them the best data management system and technical support, invest in the development of their leaders, and pay for the systems that help them anticipate and manage risk, you will give them the means to sustain their operations and services, and your investment. REINE YAZBECK YOUNG, WELLS FARGO BANK SPECIALTY MARKETS We want to help our communities succeed over the long term, and one way we do that is by working side by side with community stakeholders to create local solutions for local needs. Our nonprofit business model is solely focused on serving our local nonprofits, where we promote community development, financial education, a broad range of financial products and services, affordable housing, environmental stewardship and more through charitable giving, community leadership and the efforts of our passionate team member volunteers.
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ALLIANCE OF ARIZONA NONPROFITS
Aha Moments about the Economic Power of Nonprofits by Laurel Kimball, President, The Greenleaf Group Those moments when you suddenly see something familiar in a new light — those aha moments — have been plentiful across the state since the “Arizona Nonprofits: Economic Power, Positive Impact” report was released just over a year ago, in March 2016. In more than 18 presentations and 38 articles about the Seidman Institute’s research, nonprofit, government, business and community leaders have learned that the nonprofit sector is directly and indirectly responsible for: • 7.9 percent of Arizona’s Gross State Product • 12.1 percent of its paid jobs • 11 percent of its wages • 9.5 percent of its taxes Often, leaders have been surprised to learn that nonprofits are a major player in the Arizona economy. In fact, they contribute as much to the economy as retail and generate as much revenue as construction. An attendee’s comment at an early presentation captures the new thinking that the findings generate: “My whole paradigm has shifted [as a result of the data]. I realize now that instead of going in the back door, with my hat in hand and begging for donations, I can walk proudly in the front door and talk about investments in my organization and the community.” After a presentation to the Yuma Chamber of Commerce Good Morning Yuma Breakfast, the chamber was so impressed by the sector’s economic impact that it formed a Nonprofit Committee. The study was coordinated by The Phoenix Philanthropy Group and conducted by the L. William Seidman Research Institute in partnership with the Alliance of Arizona Nonprofits and the ASU Lodestar Center for Philanthropy
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Alliance of Arizona Nonprofits Staff Kristen Merrifield, CAE Chief Executive Officer KristenM@arizonanonprofits.org (602) 279-2966 x14 Jennifer Blair Director of Membership JenniferB@arizonanonprofits.org (602) 279-2966 x20
and Nonprofit Innovation. The Arizona Community Foundation was a key funder and leader in the project, with additional funding from The Phoenix Philanthropy Group, The Industrial Development Authority of Maricopa County and Arizona Public Service. Overwhelmingly, upon learning these impressive statistics, leaders have asked that additional research be done. The Alliance of Arizona Nonprofits, under the leadership of Kristen Merrifield, has now assumed responsibility as the permanent facilitator of research on the economic impact of Arizona’s nonprofit sector. Under Alliance coordination, a second phase of research is now being conducted by the ASU Seidman Institute. Arizona Community Foundation is again providing support along with Tucson Electric Power; Valley of the Sun United Way; Carolyn Sechler, CPA; and a private donor. The additional research component will estimate the Social Return on Investment generated by Arizona charitable contributions and activities. Its findings, to be presented at the Alliance’s fall 2017 conference, will provide the community with additional tools for measuring nonprofit effectiveness and indicate the direct economic welfare benefits provided by nonprofits.
Robin Hanson Program Manager AmeriCorps VISTA RobinH@arizonanonprofits.org (602) 279-2966 x19 Carl Jimenez Communications Manager CarlJ@arizonanonprofits.org (602) 279-2966 x16 Jacki Presnal Office Manager & Executive Coordinator JackiP@arizonanonprofits.org (602) 279-2966 x10 Jennifer Purcell Director of Community Engagement JenniferP@arizonanonprofits.org (602) 279-2966 x17 Kathleen Thomas Program Coordinator KathleenT@arizonanonprofits.org (602) 279-2966 x 22
Alliance of Arizona Nonprofits 360 E. Coronado Road, Suite 120 Phoenix, AZ 85004 Phone: (602) 279-2966 www.ArizonaNonprofits.org
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2017
Business Healthcare Services Guide Associations & Government Employee Benefits Consultants Dental Insurance Individual & Group Health Insurance Hospitals Urgent Care Workplace Bundled Health Programs Workplace Wellness Workplace Ergonomics
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BUSINESS HEALTHCARE SERVICES GUIDE 2017
Medicaid and Why It Matters
It’s beginning to feel a lot like 2013. That was the year the Arizona Hospital and Healthcare Association (AzHHA) and a coalition of health, business, faith and other interests joined forces with then-Gov. Jan Brewer for the successful extension of our state’s Medicaid umbrella. At the time, hundreds of thousands of Arizona’s working poor were uninsured — in many cases, seeking care in hospital emergency rooms as their last and only option. Arizona hospitals teetered under the weight of providing more than $930 million worth of uncompensated care that year alone. More than three years later, the verdict is in: Restoring Medicaid in Arizona has been an unqualified success. More of our neighbors have access to quality health services. Uncompensated care in our hospitals is down 60 percent. And our economy has benefited from an influx of hundreds of millions of dollars from the federal treasury — resulting in a multi-billion-dollar jolt in economic impact. Unfortunately, our progress is in doubt once more. Federal healthcare reforms — namely, the American Health Care Act — would cut $880 billion from Medicaid between now and 2026. Also, beginning in 2020, the proposal would eliminate federal matching dollars that help states pay for Medicaid coverage of individuals earning 100 to 138 percent of the federal poverty level. That almost certainly would mean an enrollment freeze. Arizona has been through this before. During the depths of the Great Recession, our state froze Medicaid enrollment of childless adults. Approximately 160,000 people fell off the Medicaid rolls over the course of about 18 months between mid-2011 and the end of 2013. This led to the aforementioned spike in ER visits and uncompensated care, not to mention untold personal tragedy as individuals and families lost coverage. We all have a stake in seeing this not repeated. Remember: When patients have no coverage, the costs of their care end up being borne by all of us in the form of higher premiums. The Affordable Care Act is not perfect. Reforms are needed. But Congress and the President should heed history and Arizona’s lessons before hastily enacting changes that destabilize Medicaid. This is a critical time for healthcare in our country. Accurate information is essential. We thank In Business Magazine for this Healthcare Services Guide, a vital reader service for business owners and executives.
Greg Vigdor has served as the president and CEO of the Arizona Hospital and Healthcare Association since 2013. Over more than 35 years in healthcare, he has been nationally recognized for advancing health through policy leadership. Evidence of his work in Arizona includes the passage of Medicaid Restoration and being laser-focused on quality care improvement efforts and activities supporting AzHHA’s vision of making Arizona the Healthiest State in the Nation.
Sincerely,
Greg Vigdor President and CEO Arizona Hospital and Healthcare Association
PRESENTS
2017
Business Healthcare Services Guide Associations & Government Employee Benefits Consultants Dental Insurance Individual & Group Health Insurance Hospitals Urgent Care Workplace Bundled Health Programs Workplace Wellness Workplace Ergonomics
About this Guide With healthcare front and foremost on the mind of many business owners and executives, and recognizing that healthcare and wellness programs involve the whole community working together, the editorial staff of In Business Magazine has compiled the 2017 Business Healthcare Services Guide. Presented on the following pages are listings of companies in the healthcare industry, organized by category.
Join us for our event on May 5, 2017 • www.inbusinessmag.com
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2017 BUSINESS HEALTHCARE SERVICES GUIDE Associations & Government Arizona Dental Association 3193 N. Drinkwater Blvd., Scottsdale (480) 344-5777 azda.org
Arizona Foundation for Medical Care 2700 N Central Ave. Suite 810, Phoenix (602) 252-4042 azfmc.com
Arizona Health Care Association 1440 E. Missouri Ave., Suite C-102, Phoenix (602) 265-5331 azhca.org
Arizona Health Care Cost Containment System (AHCCCS) 801 E. Jefferson St., Phoenix (602) 417-7000 azahcccs.gov
Arizona Hospital and Healthcare Association 2800 N. Central Ave., Suite 1450, Phoenix (602) 445-4300 azhha.org
Arizona Medical Association 810 W. Bethany Home Rd., Phoenix (602) 246-8901 azmed.org
Arizona Pharmacy Association 1845 E. Southern Ave., Tempe (480) 838-3385 azpharmacy.org
Employee Benefits Consultants (many offer insurance) Arizona Benefit Consultants, LLC 6245 N. 24th Pkwy., Suite 201, Phoenix (602) 956-5515 abcllc.org
Benefits By Design 4500 S. Lakeshore Dr., Suite 300, Tempe (480) 831-7700 benefitsbydesignaz.com
Blue Water Benefits Consulting 7848 E. Davenport Dr., Scottsdale (480) 313-0910 employeebenefitcompliance.com
Breslau Insurance & Benefits Paul Breslau 8362 E. Via de Risa, Scottsdale (602) 692-6832 breslauinsurance.com
Connect Benefits 1818 E. Southern Ave., Mesa (480) 985-2555 connect-benefits.com
Employee Benefits Exchange Corp. 2730 S. Val Vista Dr., Suite 132, Gilbert (480) 839-6100 ebxaz.com
FBC Services, Inc. 14201 N. 87th St., Suite 141, Scottsdale (602) 277-8477 fbcserv.com
Focus Benefits Group 4120 N. 20th St., Phoenix (602) 381-9900 focusbenefits.com
Health Insurance Express, Inc. Superstition Marketplace 1155 S. Power Rd., Suite B101, Mesa (480) 654-1200 healthinsurance-express.com
Horizon Benefits Group 6245 N. 24th Pkwy., Suite 216, Phoenix (602) 957-3755 horizonbenefits.com
Dental Insurance American Dental Plan 1645 E. Bethany Home Rd., Phoenix (602) 265-6677 arizdental.com
Benefits By Design 4500 S. Lakeshore Dr., Suite 300, Tempe (480) 831-7700 benefitsbydesignaz.com
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Maricopa County Medical Society 326 E. Coronado Rd., Phoenix (602) 252-2015 mcmsonline.com
Mercy Maricopa Integrated Care 4350 E. Cotton Center Blvd., Bldg. D, Phoenix (602) 586-1841 mercycaricopa.org
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2017 BUSINESS HEALTHCARE SERVICES GUIDE Breslau Insurance & Benefits Paul Breslau 8362 E. Via de Risa, Scottsdale (602) 692-6832 breslauinsurance.com
Delta Dental of Arizona 5656 W. Talavi Blvd., Glendale (602) 938-3131 deltadentalaz.com
JDH Insurance Brokerage Services Heather Wunderle 20403 N. Lake Pleasant Rd., Suite 117-234, Peoria (623) 594-0926
Matsock & Associates 2400 E. Arizona Biltmore Circle, Suite 1100, Phoenix (602) 955-0200 matsock.com
Powers-Leavitt Insurance 14301 N. 87th St., Suite 308, Scottsdale (480) 348-1100 powers-leavitt.com
Dental Insurance (con’t.)
Individual & Group Health Insurance Aetna 4645 E. Cotton Center Blvd., Phoenix (800) 225-3375 aetna.com
Amenda Insurance Associates Ltd 5046 E. Redfield Dr., Scottsdale (480) 284-6400 douglasamenda.com
American Family Insurance (no individual) Multiple Agents Valley-wide (800) 692-6326 amfam.com
Benefits By Design 4500 S. Lakeshore Dr., Suite 300, Tempe (480) 831-7700 benefitsbydesignaz.com
Blue Cross Blue Shield of Arizona 2444 W. Las Palmaritas Dr., Phoenix (602) 864-4899 azblue.com
Bowman & Associates Insurance 16042 N. 32nd St., Phoenix (602) 482-3300 bowmaninsurance.com
Breslau Insurance & Benefits Paul Breslau 8362 E. Via de Risa, Scottsdale (602) 692-6832 breslauinsurance.com
Cigna 11001 N. Black Canyon Hwy., Phoenix (888) 705-2933 cigna.com
Farmers Insurance Group Kara Anspach 15849 N. 71st St., Suite 255, Scottsdale (480) 998-8070 farmersagent.com/kanspach
Glass Financial Group 4455 E Camelback Rd., Suite D260, Phoenix (602) 952-1202 glassfinancialgroup.com
HealthNet of Arizona 1230 W. Washington St., Suite 401, Tempe (602) 286-9194 healthnet.com
JDH Insurance Brokerage Services Heather Wunderle 20403 N. Lake Pleasant Rd., Suite 117-234, Peoria (623) 594-0926
Powers-Leavitt Insurance Agency Charlene Powers 14301 N. 87th St., Suite 209, Scottsdale (480) 348-1100 powers-leavitt.com
Reseco Insurance Advisors (no individual) Todd Newton 7901 N. 16th St., Suite 100, Phoenix (602) 753-4250 resecoadvisors.com
State Farm Arizona Multiple Agents Valley-wide (877) 331-8261 statefarm.com
UnitedHealthcare 1 E. Washington St., Suite 1700, Phoenix (888) 724-4018 uhc.com
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2017 BUSINESS HEALTHCARE SERVICES GUIDE Hospitals Arizona Heart Hospital 1930 E. Thomas Rd., Phoenix (602) 532-1000 abrazohealth.com
Arrowhead Hospital 18701 N. 67th Ave., Glendale (623) 561-1000 arrowheadhospital.com
Banner Baywood Medical Center 6644 E. Baywood Ave., Mesa (480) 321-2000 bannerhealth.com/baywood
Banner Boswell Medical Center 10401 W. Thunderbird Blvd., Sun City (623) 832-4000 bannerhealth.com/boswell
Banner Del E. Webb Medical Center 14502 W. Meeker Blvd., Sun City West (623) 524-4000 bannerhealth.com
Banner Estrella Medical Center 9201 W. Thomas Rd., Phoenix (623) 327-4000 bannerhealth.com
Banner Gateway Medical Center 1900 N. Higley Rd., Gilbert (480) 543-2000 bannerhealth.com
Banner Good Samaritan Medical Center 1111 E. McDowell Rd., Phoenix (602) 839-2000 bannerhealth.com
Banner Heart Hospital 6750 E. Baywood Ave., Mesa (480) 854-5000 bannerhealth.com
Banner Ironwood Medical Center 37000 N. Gantzel Rd., San Tan Valley (480) 394-4000 bannerhealth.com/ironwood
Banner MD Anderson Cancer Center 2946 E. Banner Gateway Dr., Gilbert (480) 256-6444 bannerhealth.com
Banner Thunderbird Medical Center 5555 W. Thunderbird Rd., Glendale (602) 865-5555 bannerhealth.com
Cancer Treatment Centers of America at Western Regional Medical Center
Honor Health – Thompson Peak Hospital 7400 E. Thompson Peak Pkwy., Scottsdale (480) 324-7000 shc.org
Maricopa Medical Center 2601 E. Roosevelt St., Phoenix (602) 344-5011 mihs.org
14200 Celebrate Life Way, Goodyear (623) 207-3000 cancercenter.com
Maryvale Hospital 5102 W. Campbell Ave., Phoenix (623) 848-5000 abrazohealth.com
Cardon Children’s Medical Center
Mayo Clinic Hospital
1400 S. Dobson Rd., Mesa (480) 412-5437 bannerhealth.com
5777 E. Mayo Blvd., Phoenix (480) 515-6296 mayoclinic.org
Chandler Regional Medical Center
Mercy Gilbert Medical Center
1955 W. Frye Rd., Chandler (480) 728-3000 dignityhealth.org/chandlerregional
3555 S. Val Vista Dr., Gilbert (480) 728-8000 mercygilbert.org
Gilbert Hospital
Mountain Vista Medical Center
5656 S. Power Rd., Gilbert (480) 984-2000 gilberter.com
1301 S. Crismon Rd., Mesa (480) 358-6100 mvmedicalcenter.com
Honor Health – Deer Valley Hospital
Paradise Valley Hospital
19829 N. 27th Ave., Phoenix (623) 879-6100 jcl.com
3929 E. Bell Rd., Phoenix (602) 923-5000 paradisevalleyhospital.com
Honor Health – North Mountain Hospital
Phoenix Baptist Hospital
250 E. Dunlap Avenue, Phoenix (602) 870-6060 jcl.com
Honor Health – Shea Medical Center 9003 E. Shea Blvd., Scottsdale (480) 323-3000 shc.org
Honor Health – Osborn Medical Center 7400 E. Osborn Rd., Scottsdale (480) 882-4000 shc.org
2000 W. Bethany Home Rd., Phoenix (602) 249-0212 phoenixbaptisthospital.com
Phoenix Children’s Hospital 1919 E. Thomas Rd., Phoenix (602) 933-1000 phoenixchildrens.org
St. Joseph’s Hospital & Medical Center 350 W. Thomas Rd., Phoenix (602) 406-3000 stjosephs-phx.org
St. Luke’s Medical Center 1800 E. Van Buren St., Phoenix (602) 251-8100 stlukesmedcenter.com
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2017 BUSINESS HEALTHCARE SERVICES GUIDE Urgent Care
Workplace Wellness
Other Healthcare-Related
Alliance Urgent Care
Absolute Health
702 W. Camelback Rd., Suite 20, Phoenix (602) 845-5950 allianceurgentcare.com
8360 E. Raintree Dr., Suite 135, Scottsdale (480) 991-9945 absolutehealthaz.com
Meditation Current Meditation
Banner Urgent Care
Healthcare Solutions Centers
3247 E. Bell Rd., Phoenix (602) 255-7655 bannerhealth.com
4831 N. 11th St., Phoenix (602) 424-2101 hcsonsite.com
FastMed Urgent Care
LifeCore Group
Multiple Valley Locations (480) 545-2787 fastmed.com
11022 N 28th Dr., Suite 280, Phoenix (602) 235-2800 myhealthdividends.com
NextCare Urgent Care
Orchard Medical Consulting
Multiple Valley Locations (888) 958-2128 nextcare.com
Robin Orchard 3033 N. Central Ave., Phoenix (602) 942-4700 orchardmed.com
One Health Alliance Urgent Care 6 Valley Locations (855) 887-4368 onehealthurgentcare.com
Phoenix Children’s Hospital Urgent Care 4 Valley Locations (480) 922-5437 phoenixchildrens.com/urgent-care
Urgent Care Extra Multiple Valley Locations urgentcareextra.com
Redirect Health 13430 N. Scottsdale Rd., Scottsdale (888) 995-4945 redirecthealth.com
Workplace Ergonomics
4325 E. Indian School Rd., Suite 130, Phoenix (602) 522-2000 becurrent.com
Physical Therapy Fischer Institute of Physical Therapy 5750 S. 32nd St., Phoenix (602)-437-5055 fischerinstitute.com
T.O.P.S. Physical Therapy 5353 N. 16th St., Suite 120, Phoenix (602) 826-0037 topsphysicaltherapy.com
Telemedicine Akos 1-844-900-2567 akosmd.com
HealthiestYou (480 779-4360 healthiestyou.com
Ergoguys Products
Vision DeltaVision
5622 W. Orchid Ln., Chandler (602) 354-4190 ergoguys.com
5656 W. Talavi Blvd., Glendale (602) 938-3131 DeltaDentalAZ.com/Vision
ESI Ergonomic Solutions
Yoga Sumits Yoga
Workplace Bundled Health Programs
4030 E. Quenton Dr., Suite 101, Mesa (480) 517-1871 esiergo.com
Arrowhead Health Centers
Goodmans Interior Structures
Multiple locations (623) 334-4000 arrowheadhealth.com
1400 E. Indian School Rd., Phoenix (602) 263-1110 goodmansinc.com
350 E. Bell Rd., Phoenix (602) 688-6511 sumitsnorthphoenix.com
Surgical Specialty Hospital 6501 N. 19th Ave., Phoenix (602) 795-6020 sshaz.com
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Badolato, John, D.D.S., 18
Dyer, Mallory, 10, 20
Martinez, David III, 48
Tollefson, Richard, 30
Baier, Neil, 49
Eastham, Michael, 29
May, Bruce, 14
Trabanco, Cesar, 41, 43
Bartos, Ryan, 20
Favela, Javier, 18
Merrifield, Kristen, 45
Veatch, Jeremy, 10, 20
Bridges, Kim, 43
Finn, Michael, 13
Murphy, Mark, 66
Vigdor, Greg, 55
Bruhnke, Doug, 37
Frazey, Kyle, 20
Murray, Julie, 30
Vowels, Diana, 20
Budinger, Don, 30
Hadi, Raihan, 39
Nadir, Aneesah, Dr., 31
Wait, Greg, 28
Buhl, Pete, 11
Hanson, Robin, 50
Reynolds, Jamie, 18
Warren, Liz, 31
Chamberlain, Sandy, 30
Harper, Sharon, 9
Richardson, Ty, Dr., 41
Whitehurst, Deborah, 30
Chernikoff, Jay, 20
Henig, Craig, 12
Rodriguez, Jake, 11
Wiley, Charles, 35
Cocanower, Michael, 16
Jones, Diana, 29
Rose, Tom, 29
Wilhelmy, Tighe, 10, 20
Coppola, Craig, 20
Karampahtsis, Emmanouil, N.D., 18
Safford, Peter, 34
Williams, Pat, 26
Dale, Deb, 46
Kimball, Laurel, 52
Schiller, Ron, 30
Yazbeck Young, Reine, 51
Desmond, Dennis, 26
Kite, Dan, 20
Shitova, Alexandra, 40
Disant, Phil, 38
Langston, Alan, 51
Spiegel, Laura, 51
1100 KFNX, 51
FSW Funding, 36
Order Healthy, 16
24th Street Conference Center, 51
Fuerza Local, 32
Palmeraie, The, 14
5th and Wine, 35
Galvanize Phoenix, 20
Peoria Chamber of Commerce, 33
Activate Human Capital, 36
Gilbert Chamber of Commerce, 32
Phoenix Art Museum, 30
ACTRA, 32
Glendale Chamber of Commerce, 33
Phoenix Philanthropy Group, The, 30
Alliance Bank of Arizona, 3
Glendale Community College, 33
Plaza Companies, 9
Alliance of Arizona Nonprofits, 45
Glendale, City of, 33
Polsinelli, 39
AmeriCorps VISTA, 50
Global Chamber, 37
ProlifeStream, 18
Arizona Association for Economic Development, 33
GPS Insight, 2
Prophecy Impact Investments, 28
Arizona Commerce Authority, 34
GraphLock, 10, 20
Read Better Be Better, 49
Greeenleaf Group, The, 52
RED Development, 14
Hearth ’61, 35
Redflex Traffic Systems, 13
Hilton, 11
Redirect Health, 63
Hire.Bid, 11
Roadie, 11
Home2 Suites, 11
Rodel Foundation of Arizona, The, 30
IASIS Healthcare, 18
Smith & Dale Philanthropic Counsel, 46
Infusionsoft, 36
Snell & Wilmer, 68
Wells Fargo Bank, 51
Intelenet Global Services, 16
Southwest Veterans Chamber of Commerce – North Glendale Chapter, 33
Workuity, 20
Arizona Diamondbacks, 67 Arizona Hispanic Chamber of Commerce, 32 Arizona Hospital and Healthcare Association, 55, 64 Arizona Small Business Association, 31, 33 Arizona Technology Council, 32 Aspen Leadership Group, 30 Bank of Arizona, 15 Bank of the West, 8 Beeline Bikes, 11 Big Brothers Big Sisters of Central Arizona, 19 Blue Cross Blue Shield of Arizona, 57 Career Connectors, 49 CBRE, 12 Chandler Chamber of Commerce, 33 Cox Business, 31 Crescent Crown Distributing, 49 CUFF New American Eatery, 35 Delta Dental of Arizona, 59 Delta Vision, 61 Department, The, 20 Desert Schools Federal Credit Union, 19 DeskHub, 20 Export-Import Bank of the United States, 44 EyeMed, 61 FEZ on Central, 35 Five Star Development, 14
International Rescue Committee – Phoenix, 32
Southwest Veterans Chamber of Commerce – Scottsdale Chapter, 33 SRP, 7 St. Mary’s Food Bank Alliance, 48 Stafford Tower Crane, 34 Stearns Bank, 6 Stockpile, 11 Studio B Smiles, 18 Support My Club, 47 Tempe Chamber of Commerce, 31 Topaz Information Solutions, 18 U.S. Small Business Administration, 31 UnitedHealthcare, 54 Vela, The, 11 Velawcity, 10, 20 Wallbeds “n” More, 17 WESTMARC, 33
Ironwood Venture, 10, 20 iTel Companies, Inc., 18 itSynergy, 16
CHECK US OUT
Jennings, Strouss & Salmon, 14 Jive, 6 JLL, 20, 26, 27 Leadership IQ, 66 Lee & Associates Arizona, 20 LGE Design Build, 14 Local First Arizona, 32 LS Nonprofit Consulting Services, 51 Luke Air Force Base Procurement Technical Assistance Center, 33 Maricopa Community Colleges, 41 Mesa Chamber of Commerce, 32, 33 Moonridge Group, 30 Mountain Shadows, 35 National Bank of Arizona, 5
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65 20MAY1 7 INBUSINESSMAG.COM
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Truth May Be Muddled in Perception
This psychological bias explains why some people don’t hear your constructive feedback by Mark Murphy
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Mark Murphy is the founder of Leadership IQ and a New York Times bestselling author. His forthcoming book is Truth at Work: The Science of Delivering Tough Messages (McGraw-Hill; $24; May 26, 2017). His previous books include Hiring for Attitude and Hundred Percenters: Challenge Your Employees to Give It Their All and They’ll Give You Even More. leadershipiq.com
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Imagine you’ve got an employee who’s recently been doing a lousy job. You sit him down and give him some constructive feedback about his subpar work. But instead of accepting your feedback, he looks at you genuinely bewildered and says, “I think I’ve been doing a great job. I don’t have any idea what you’re talking about!” If you’ve ever had that challenge, you’ve witnessed a psychological bias called “selective perception.” In 1951, Dartmouth and Princeton played an important, and incredibly violent, football game. Princeton was undefeated and its Heisman-winning star, Dick Kazmaier, was playing his last game. But from the moment the game started, penalty flags were thrown constantly. In the second quarter, Kazmaier left the game with a broken nose. In the third quarter, a Dartmouth player was taken off the field with a broken leg. Princeton won, but heated discussion about “who was dirtier” continued at both schools for weeks. That’s when psychologists Albert Hastorf at Dartmouth and Hadley Cantril at Princeton got together to study a phenomenon that would become known as “selective perception.” They showed the video of the game to students at each school and had them mark any rules infractions and their severity (mild or flagrant). Even though all students saw the same exact game film, Princeton students saw the Dartmouth team make twice as many infractions. And when they rated the severity of those penalties, they saw two “flagrant” to one “mild” on the Dartmouth team, and about one “flagrant” to three “mild” on the Princeton team. As you can guess, the Dartmouth students saw a very different game. To them, each team made about the same number of infractions. And the severity was about one to one when they judged their own team, and about one “flagrant” to two “mild” when they assessed Princeton’s penalties. Even though both student bodies watched the same game film, in their minds they saw very different games. Princeton’s “truth” about the game was different from Dartmouth’s “truth.” And that’s the essence of selective perception.
I recently conducted a similar study using a hotel chain’s secret shopper video. We gathered its 50 managers and supervisors to watch videos of customers checking into one of its hotels. Following each one, the managers were asked to rate the employee’s performance from “poor” to “great” service. On the first video, managers watched a late-night check-in. A bleary-eyed customer walked up to the front desk and said, “I’ve got a reservation under Joe Smith.” The hotel employee smiled and said, “Absolutely sir, let me find that. While I’m doing that, how was your trip in? Did you beat the rain? Don’t you just love this time of year?” The tired-looking guest grumbled something that sounded like “Uh.” It went on like this for a few minutes, the clerk’s sunny chitchat followed by the guest’s grunt, until finally the transaction was completed and the guest was handed the room key. When the managers rated this video, there was no consensus. When I asked the managers who rated it “great” service to tell me why, I heard feedback like, “No matter how grouchy the customer was, our employee never let her affect turn negative; she stayed positive and cheerful the entire time.” And when I asked the managers rating it “poor” to tell me why, I heard comments like, “I would have gouged my eyes out if I had to listen to that sappy drivel at 11 p.m. when I’m exhausted.” What’s clear is that, even though these were all managers at the same hotel with ostensibly the same business goals, selective perception caused them to view this simple customer check-in in wildly divergent ways. And imagine how widespread selective perception is throughout the rest of the organization. So, before you give someone constructive feedback, it’s a useful exercise to make sure you’ve got a common framework for seeing the world. Try asking your employees, “How do you define great performance?” or “In your mind, what does subpar work look like?” By discovering their perceptions, you’ll know which areas need some teaching and consensus-building before you can deliver constructive feedback.
From interpersonal relationships to the public arena of politics, selective perception shapes our view of “truth” and, therefore, our world. That the term “selective perception marketing” exists recognizes the challenge businesses face because customers actively block or modify messages that conflict with their values and attitudes.
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24
PIT
31
4:05
2
SF
3
4
1:10 9
CLE LA
17
SF
11
LA
18
SD
25
1:35
1:10 23
5
SF
12
SD
19
SD
26
6:40 10
1:10
16
SF
30 COL 1:10
SF
13
SD
20
SD
27
SF
7
6:40
8
7
LA
8
PIT
15
LA
6:10
1:10
22
LA
21
SD
22
SD
28
COL
29
COL
28
MIL
29
6:40
6:40
1:40
5:10
CWS
23
PIT
30
6:40
LA
5:10
NYM
16
11:10
TUE
COL
3
4
CIN
10
11
ATL
17
18
1:10
WED
THU
FRI
LA
5
6:10
LA
6
7:10
LA
SUN
SAT
CIN
8
14
7
7:10
MON
COL
CWS
25
5
PIT
12
COL
6
PIT
13
SD
20
MIL
27
5:40
6:40
26
5:10
6:40
7:10
10:35
23 WAS1:10 24 ATL 6:40 25 30 STL11:15 31
19
ATL
26
4:10
ATL
ATL
CIN
20
CIN
21
WAS
22
WAS
20
ATL
27
STL
28
STL
29
STL
27
6:40
4:10 12:40
9:35 4:15
4:10
6:40
5:15
7
8
CHC
HOU
15
MIN
21
NYM
22
SF
28
6:40
11:10
CHC
2
4
SD
11
MIL
18
LA
9
1:10
6
MIL
12
13
PHI
19
PHI
26
7
DET
20
COL
27
STL
FRI
MIA
2
SD
9
21
COL
22
28
STL
29
3
MIL
10
PHI
17 24
5:40
23
PHI
STL
30
COL
12:10
6:40
PHI
1:05
6:40
12:40
MIL
7:10
4:05
COL
MIA
10:10
6:40
16
4:10
6:40
SAT
MIA
4:10
12:40
DET
5:40
12:40
8 15
4:10
PHI
SD
6:40 14
10:35
1:10
SD
6:40
1:10
CHC
THU 3 10
HOU
16
HOU
17
NYM
23
NYM
24
LA
30
LA
31
6:40
6:40
4
LA
11
HOU
18
NYM
25
9:10
LA
12:40
5
PHI
7:10
6:40
CHC
12
MIN
19
MON
TUE
WED
THU
SF
FRI
SF
26
2
SD
9
15
SF
16
SF
MIA
23
MIA
KC
30
5:40
CHC
3
MIN
10
SF
17
COL
4
12:10
LA
5
5:10
SD
11
SF
18
1:10
4:10
5:10
SAT
COL
1
5:10
5:10
6:40
SUN
6:05
6:40
11:10
4:10
SF
SAT
7:15
6:40
5:10
6:40
CHC
FRI
11:20
LA
4:10
29
5
1:10
7:10
5:10
MIA
10:10
25
5:05
12:40
4:10
THU
SEPT/OCT
6:40 14
1:10
5:10
4:15
SF
1:05 13
4:35
CIN
6
WED
4:10
PIT
PIT
WED
5:05
CIN
TUE
1
5:10
7:10
MIL
MON
COL
5:10
6:40 19
SUN
9:35
TUE 1
15
13
12
1:10 16
NYM
18
12:40
4:05
7:10
9
11
WAS
10:05
SAT
AUGUST
MON
1 2
DET
FRI
12:40
6:40
1:05
4
6:40
6:40
6:40
WAS 4:05
6:40
21
6:40
9
12:10 14
JULY SUN
COL
SD
6:10
6:40
CLE
5:10
15
7:10
7:10
6:40
CLE
6:40
14
7:15
7:10
6:40
6
6:40
7:15
7:10
LA 1:10 24
SF
THU
1:05
COL SD
19
SF
26
COL SD
20
7
8
SF
27
COL SD
21
COL
22
SF
28
29
12:40
12:40
6:05
6:40
5:15
SD
5:10
7:15
6:10
COL
5:10
6:40 14
6:40
7:10 6:40
LA
7:10 13
6:40
7:10 6:40
6
7:10 12
6:40
24 MIA1:10 25 1 KC12:15
LA
5:10
KC
4:15
Because no two clients are ever the same. TM
Understanding what makes you unique.® www.swlaw.com CARLOS A. SUGICH | 011.52.624.104.0315 | 602.382.6335 | CSUGICH@SWLAW.COM SNELL & WILMER DE MEXICO, S. DE R.L. DE C.V. | LAS TIENDAS DE PALMILLA OFICINA B-223 | KM. 7.5 CARRETERA TRANSPENINSULAR SAN JOSE DEL CABO, B.C.S., MEXICO C.P. 23406 ONE ARIZONA CENTER | 400 EAST VAN BUREN STREET | SUITE 1900 | PHOENIX, AZ 85004-2202 DENVER | LAS VEGAS | LOS ANGELES | LOS CABOS | ORANGE COUNTY | PHOENIX | RENO | SALT LAKE CITY | TUCSON