April 2019 issue of In Business Magazine

Page 1

APR. 2019

Special Section: 2019 Business Healthcare Services Guide

Workplace Wellness Key to business success?

Enterprise Change: Be Proactive, Not Reactive

5G: New Era for Business Does Influencer Marketing Pay Off? $7.95 INBUSIN ESSPHX.COM

THIS ISSUE Arizona Technology Council


,

Arizona

TWO GREAT BANKS BECOME ONE. When it comes to furthering our state, it’s not just business. It’s personal. Which is why we merged two of Arizona’s most trusted banks—to give you a financial partner who

not only offers local decision-making, but the regional power and strength to keep pace with the growth of our state. Welcome to a new kind of banking experience. www.bokfinancial.com

— Dave Ralston Arizona Market CEO

+ © 2019 BOK Financial. Services provided by BOKF, NA. Member FDIC.

=

Banking | Lending | Investments


Snell Snell & & Wilmer Wilmer is is proud proud to to celebrate celebrate 10 10 years years in in Los Los Cabos, Cabos, Mexico. Mexico.

Thank Thank you you for for trusting trusting Snell Snell & & Wilmer Wilmer with with your your real real estate estate development, development, transactional transactional and and regulatory regulatory needs. needs.

Alvaro Alvaro Fox Fox

Carlos Carlos Freaner Freaner

Carlos Carlos Sugich Sugich

Roberto Roberto Ibarra de Rueda Ibarra de Rueda

Alfredo Alfredo Solórzano Solórzano

Understanding Understanding what makes makes you you unique.® unique.® what www.swlaw.com www.swlaw.com

ALBUQUERQUE | DENVER | LAS VEGAS | LOS ANGELES | LOS CABOS | ORANGE COUNTY ALBUQUERQUE | DENVER | LAS VEGAS | LOS ANGELES | LOS CABOS | ORANGE COUNTY PHOENIX | RENO | SALT LAKE CITY | TUCSON | WASHINGTON, D.C. PHOENIX | RENO | SALT LAKE CITY | TUCSON | WASHINGTON, D.C.


APRIL 2019

COVER STORY

22

Workplace Wellness: Key to business success

In Business Magazine asked some of our local leaders to share what has come – and may be coming – from advances in the healthcare field, as they help employers address healthcare and wellness issues throughout the workplace. Healthcare

Services

MAGAZINE

Guide

APR. 2019

IN BUSINESS

Special Section: 2019 Business

HEALTHCARE

FEATURE

Workplace Wellness

Key to busi ness success?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G:

New Era for Business

INBUSINESSPHX.COM

Influencer Marketing Pay Off? Does

THIS ISSUE

Arizona Technology

$7.95 INBUSINESSPHX.COM

Council

DON’T MISS OUT!

Get a year of In Business Magazine Subscribe now at inbusinessphx.com

PARTNER SECTION Spring 2O19 • aztechcouncil.org

IN THIS ISSUE 2 National Group Honors Schweikert for Tech Efforts 3 Digital Goods Bill Threatens Heavy Taxation 4 Global Impact in the Sights of Optics Valley 5 New Reader Experience Accompanies Magazine 6 Board Adds Two Tech Company Executives

Arizona Technology Report

Arizona Technology Council: The Voice of the Technology Industry

President’s Message

You might say Clyde Tombaugh was literally starstruck when he worked to help put Arizona on the map in the world of astronomy. What? You’ve never heard of him? His was a story filled with persistence and alertness. Although he wanted to pursue astronomy after an uncle loaned him a telescope, a lack of funds kept Tombaugh out of college and forced him Steven G. Zylstra, President and CEO, Arizona to build his own telescopes. Drawings Technology Council of the planets Mars and Jupiter that he made with the help of those homemade telescopes caught the attention of staff at Lowell Observatory. As a result, Tombaugh The Arizona Technology Council is Arizona’s premier trade association for was hired to conduct planet-search photography in Flagstaff, with a focus on finding science and technology companies. “Planet-X” at the edge of the solar system. Did he find anything? We recently marked the 89th anniversary of his discovery that Phoenix Office came to be known as Pluto, at the time considered the ninth planet. Tombaugh did this 2800 N. Central Ave., Suite 1530 just a few weeks after his 24th birthday. (You can bet getting a scholarship to attend Phoenix, AZ 85004 Phone: 602-343-8324 • Fax: 602-343-8330 college wasn’t a problem after that.) info@aztechcouncil.org Regardless of Pluto later being reclassified as a dwarf planet, there is no discounting Tombaugh’s discovery still was a breakthrough of major proportions. In fact, he was Tucson Office recognized recently by members of the Arizona Senate as an example of the tremendous The University of Arizona Science and contributions that the state’s scientific community make. Technology Park 9040 S. Rita Rd., Ste. 1150 (near I-10 & Rita Rd.) In their resolution, the senators cited Arizona’s rich history of scientific discovery Tucson, AZ 85747 and excellence that now is sustained by a new generation. They include scientists Phone: 520-382-3281 • Fax: 520-382-3299 ranging from those who make major contributions that support the health and well-being tucson@aztechcouncil.org of our citizens through biomedical and clinical research to those who explore and protect Arizona’s history through their work in the field of archaeology. MANAGEMENT AND STAFF In addition, innovators involved with water conservation, one of the most Steven G. Zylstra President + CEO pressing issues facing Arizona’s citizens and economy today, were credited Leigh Goldstein COO + Vice President, Programs + Events with thinking of new solutions. Also, the state’s scientists and engineers are Pat Krueger Director, Finance + Administration Lauren Witte Director, Marketing + Communication helping make the state safer through infrastructure research and construction. Deborah Zack Senior Director, Membership Services The legacy established by Tombaugh and other pioneers continues Meredith Orr Director, Membership Services Laura DeGeorge Executive Assistant to President + CEO with nearly 100,000 scientists and engineers working in Arizona as of 2017, Jeff Sales Executive Director, Southern Arizona Regional Office according to the U.S. Bureau of Labor Statistics. The resulting culture of Jamie Neilson Operations Manager, Southern Arizona Regional Office excellence has become a draw credited with more than 4,000 technologyDon Rodriguez Editor Ron Schott Executive Emeritus, Phoenix sector jobs being added here in 2017. Don Ruedy Executive Emeritus, Tucson The resolution cites that all scientific work done in Arizona benefits our Justin Williams Executive Emeritus, Tucson citizens directly and indirectly since the strong relationship between scientists ARIZONA TECHNOLOGY COUNCIL FOUNDATION and the state improves life for everyone. More specifically, while Arizona’s Jeremy Babendure, Ph.D., Executive Director scientific community fuels economic growth through innovation, the results of Kelly Green, Director, Arizona Operations scientific inquiry also promote health and prosperity. Take a look at Arizona’s Bruce Jones, National Systems Manager Kindra Maples, CSO Systems Coordinator thriving economy as proof. Marisa Ostos, Director, Arizona SciTech Festival Jasper Pena, IT Support Kaci Fankhauser, AmeriCorps VISTA Kal Mannis, AZ Rural and International Initiatives Sabrina Foy, Accounting Assistant

ARIZONA TECHNOLOGY REPORT

1

41 Arizona Technology Council

SPECIAL SECTION Business Healthcare Services Guide 2019

Associations & Government Employee Benefits Consultants Dental Insurance Individual & Group Health Insurance Hospitals Urgent Care Workplace Bundled Health Programs Workplace Ergonomics Workplace Wellness

April

19

Join us for our healthcare event on April 19, 2019 • www.inbusinessphx.com

49 2019 Business Healthcare Services Guide

Agents of Organizational Change

We look at the role of program and portfolio management in leading enterprise change. DEPARTMENTS

9

Guest Editor

Kim Shepard, Arizona market president of Cigna, introduces the “Healthcare” issue.

10

WHO WE ARE

aztechcouncil.org

32

Feedback

Scott Elser, Mary Lyn Hammer and Teresa Snyder-Lamberger respond to In Business Magazine’s burning business question of the month.

11

Briefs

INBUSINESSPHX.COM

33

14

Startups

“Startups Find Community at Perimeter83” and “Arboles Home Mortgage: Emphasis on ‘Home’”

CRE

Books

New releases give fresh insights on business thinking.

34

From the Top

Keeping it in the family during this time of multimillion-dollar marijuana buyouts, GreenPharms owner prizes her complete source-to-sale control.

40

Use of influencer marketing is rising, but surveys raise the question of whether or not it’s paying off.

Legal

Attorneys offer tips regarding multilevel marketing, a popular business model for which laws and standards are still evolving.

13

“Maricopa County Scores High for Opportunity Zone Investment Potential,” “Master-Planning Luxury,” “GCU’s West-side Commercial Hub,” “New Multifamily Development Activates Central Corridor,” “Park West Renovation Gains Locally-based Businesses” and “New Office Breaks Ground at Perimeter Center”

4

20

38

By the Numbers

Technology

“Web vs Internet” and “5G Will Mark New Era for Businesses”

“Breaking the Silence in the Workplace with Deaf and Hard-of-Hearing Resources,” “Securely Vetted Volunteers,” “Augment Marketing with AR Campaigns,” “Local Standouts Recognized for Achievements and Philanthropy,” “Central to Tech” and “Small-Business Optimism Scores High Even in Decline”

16

APR. 2019

18

Assets

2019 Grand Cherokee Trackhawk 4X4 Plus: A spa time-out for a good massage may be just the thing for stressed-out decision makers.

Power Lunch

Tomaso’s – for the Love of Italian Plus: The Valley offers a smorgasbord of international tastes.

66

Roundtable

Negotiation experts see a lack in this skill as “the single biggest threat to entrepreneurial success.” ON THE AGENDA

35

Spotlight

Priority: Healthcare — In Business Magazine Annual Conference — Conscious Capitalism

36

Calendar

Business events throughout the Valley

Stress is unavoidable, but a vast majority of Americans feel unduly stressed at work, with 78 percent of respondents to a new CareerCast survey rating their job stress at seven or higher on a ten-point scale. That’s a jump from the 2017 CareerCast stress survey, which found 69 percent of responding readers scored their job stress seven or higher. careercast.com/jobs-rated/most-stressful-jobs-2019


Legal Brain. Business Brawn.

We Are

500+

10

ATTORNEYS/

OFFICES SERVING CLIENTS IN NEARLY EVERY STATE

118 ARIZONA-BASED

11

CORE PRACTICE GROUPS/23 AREAS OF FOCUS

43

#118 AMLAW 200

Best

BIGLAW FIRM

(WITH 300-599 ATTORNEYS)

FOR FEMALE ATTORNEYS BY LAW360

100%

ATTORNEYS RECOGNIZED BY CHAMBERS IN 2018

NAMED A

RATING IN 2018 HUMAN RIGHTS CAMPAIGN’S ANNUAL CORPORATE EQUALITY INDEX

27

ARIZONA ATTORNEYS SELECTED TO THE BEST LAWYERS IN AMERICA®

Let us put our strengths to work for you. For information about our full range of business and litigation experience, please contact Nicole Stanton, Phoenix Office Managing Partner, at nicole.stanton@quarles.com or 602.229.5662.

quarles.com


Apr. 2019 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 Kristen Merrifield, CEO Alliance of Arizona Nonprofits (602) 279-2966 www.arizonanonprofits.org Jess Roman, Interim Chief Executive Officer Arizona Small Business Association Central Office (602) 306-4000 Southern Arizona (520) 327-0222 www.asba.com Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 www.aztechcouncil.org Doug Bruhnke, Founder & President Global ChamberÂŽ (480) 595-5000 www.globalchamber.org Ronit Urman, President NAWBO Phoenix Metro Chapter (480) 289-5768 www.nawbophx.org 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

6

APR. 2019

INBUSINESSPHX.COM



© Enterprise 2018

Apr. 2019

NATIONALLY RANKED.

VOL. 10, NO. 4

Publisher Rick McCartney

Editor RaeAnne Marsh

Art Director Benjamin Little

Contributing Writers Toni Morales Broberg

Samuel Dinnar

LOCALLY FOCUSED.

Erin Durgan Carmen Green Mike Hunter Marvin Ruth Marie Paredes Saloum Andrew Sullivan Lawrence Susskind Shelley Tolman Carolyn Vasos Valerie Zeller ADVERTISING

Enterprise Bank & Trust was recently ranked number 14 out of 161 nationally-ranked banks1. And while we’re proud of that fact, it’s just part of who we are. Whether your focus is on your business, your family or the quality of life in your community, you’ll find us there. We’re committed to supporting dreams, securing financial futures and delivering on community investment.

Events Amy Corben

More: Visit your one-stop resource for everything business at www.inbusinessphx.com. For a full monthly calendar of business-related events, please visit our website. Inform Us: Send press releases and your editorial ideas to editor@inbusinessmag.com.

President & CEO Rick McCartney

Editorial Director RaeAnne Marsh

Senior Art Director Benjamin Little

Financial Manager Tom Beyer

WITH CHIROPRACTIC

FSA/HSA APPROVED

USE YOUR PRE-TAX DOLLARS

NO APPOINTMENTS OPEN EVENINGS & WEEKENDS NO INSURANCE NEEDED

APR. 2019

Business Development Louise Ferrari

FIND YOUR

8

Cami Shore

Member FDIC 1. Bank Director, 3rd Quarter 2017, Volume 27, Number 3

© 2019 The Joint Corp. All Rights Reserved.

Operations Louise Ferrari

Camron McCartney

Learn more at enterprisebank.com/phoenix

Keep your life moving. Join the millions of Americans who have found relief from pain and a pathway to wellness at The Joint. Chiropractic can help relieve back and neck pain, migraines and more.

thejoint.com

Office Manager Allie Schimmel

Accounting Manager Todd Juhl Corporate Office InMedia Company 1 N. 1st Street, Sixth Floor Phoenix, AZ 85004 T: (480) 588-9505 info@inmediacompany.com www.inmediacompany.com Vol. 10, No. 4. In Business Magazine is published 12 times per year by InMedia Company. POSTMASTER: Send address changes to InMedia Company, 1 N. 1st Street, Sixth Floor, 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, 1 N. 1st Street, Sixth Floor, Phoenix, AZ 85004 or visit inbusinessphx.com. We appreciate your editorial submissions, news and photos for review by our editorial staff. You July 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. © 2019 InMedia Company, LLC. All rights reserved. No part of this magazine July be reproduced or transmitted in any form or by any means without written permission by the publisher.

INBUSINESSPHX.COM


KIM SHEPARD, CIGNA

The Healthcare Benefit

From an employer’s perspective, healthcare has long been viewed as an important employee benefit — and its importance as a benefit has increased dramatically over the past decade. But within that context, two elements of healthcare have also increased in importance: preventive wellness programs, and individual engagement in one’s healthcare coverage plan. Healthcare is going through a lot of changes. What doesn’t change is the need for better health in Arizona and around the country. Health plans like Cigna and the healthcare professionals who partner with us are working to transform our system to focus on prevention and the health of both body and mind. It’s important to change the way we think of health benefits as something only needed when sick. Instead, learn about what your plan offers and understand what tools and services are available throughout the year. Start by scheduling a preventive care annual checkup and make it a point to talk with your doctor about how you feel, physically and emotionally. I share more on this topic regarding Cigna specifically in this April issue’s cover story, which also presents information from several of the other healthcare service providers that work with businesses, large and small, throughout the Greater Phoenix area. How to manage change is another ongoing issue for organizations, and Valerie Zeller suggests many of them manage change as an afterthought. In feature article “Agents of Organizational Change,” she discusses leveraging program and portfolio management to lead change, rather than to simply react to it. Do you have any negotiations coming up? In their Roundtable feature, Samuel Dinnar and Lawrence Susskind, authors of Entrepreneurial Negotiation, offer tips to smoothing over potential problems and ensuring a better outcome. Considering multilevel marketing as a business model? Coppersmith Brockelman attorneys Shelley Tolman and Marvin Ruth share legal pitfalls to avoid and note that laws and standards are still evolving for this popular business model. By the Numbers this month goes in-depth on the subject of influencer marketing, Briefs includes an article that addresses the increasing need among employers for American Sign Language interpreters, Startups shines a spotlight on a mortgage company that plows all its profits to a nonprofit organization, and the Technology page offers two interesting articles: one that gives a peek at the significant difference 5G is going to make in mobile technology, and another that explains the difference between the internet and the Web (no, they are not the same thing). This is a short roundup of the typically varied articles you’ll find in this issue of In Business Magazine. This April issue also presents the annually updated Business Healthcare Services Guide, a comprehensive guide for executives, human resources professionals and others who are interested in offering their employees more in the way of benefits, healthcare and wellness programs. It has been my pleasure to work with In Business Magazine on this Healthcare edition, and hope you will find it enjoyable and informative reading.

Kim Shepard is Cigna’s market president for Arizona. She has been in the industry for more than 35 years and specifically with Cigna for just more than 16 of those years. In addition to her time at Cigna, Shepard has served in leadership roles at UnitedHealthcare and Hewitt Associates. She is a board member of the Greater Phoenix Chamber of Commerce and the Arizona Chamber of Commerce, and is also active with Greater Phoenix Leadership and the American Heart Association.

Sincerely,

CONNECT WITH US:

Kim Shepard Arizona Market President, Cigna

Story Ideas/PR: editor@ inbusinessphx.com

Healthy Business Business has made the shift from “How does healthcare affect

We want to thank Kim Shepard for

our company?” to “How can I build business with healthcare?”

leading this “healthcare” issue. Cigna

That means we know, as business owners, that we are past the

is a major partner to business and its

responsibility questions and have moved on to improving the

involvement with In Business Magazine

health of our employees — and in many ways. It is beyond benefits.

has given great insight into the importance

That is what this issue’s cover story is about. Things like diet and

of building business through healthcare. I hope our readers will

exercise, which were once not a company’s concern, are now major

join us for Priority: Healthcare – Building Business through

programs that help to retain top talent, compete in hiring and truly

Healthcare Expo & Event on April 19th at the Tempe Center for

make for a more productive workforce — and healthier bottom line.

the Arts.

Healthcare

Services

MAGAZINE

APR. 2019

IN BUSINESS

Special Section: 2019 Business

HEALTHCARE

Workplace Wellness

Key to busi ness success?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G: New Era for Business

INBUSINESSPHX.COM

THIS ISSUE

Arizona Technology

Council

Influencer Marketing Pay Off? Does

$7.95 INBUSINESSPHX.COM

Guide

DON’T MISS OUT!

Get a year of In Business Magazine Subscribe now at inbusinessphx.com

— Rick McCartney, Publisher

Let us know what you think of this issue of In Business Magazine. Email our publisher at feedback@inbusinessmag.com.

Business Events/ Connections: businessevents@ inbusinessphx.com Marketing/Exposure: advertise@ inbusinessphx.com Visit us online at www.inbusinessphx.com

9

APR. 2019

INBUSINESSPHX.COM


VALLEY LEADERS SOUND OFF

What is the most effective or best-received wellness program you have offered your employees?

Healthcare

Services

MAGAZINE

Guide

APR. 2019

IN BUSINESS

Special Section: 2019 Business

HEALTHCARE

Workplace Wellness

Key to busi ness success?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G:

New Era for Business

INBUSINESSPHX.COM

THIS ISSUE

Arizona Technology

Council

Influencer Marketing Pay Off? Does

$7.95 INBUSINESSPHX.COM

DON’T MISS OUT!

Get a year of In Business Magazine. Subscribe now at inbusinessphx.com

FEEDBACK QUESTION: Let us know what you want to know from the Valley’s top business leaders. editor@inbusinessphx.com

For all past Feedbacks go online to inbusinessphx.com and see what Valley executives think on various business topics.

APR. 2019

10

INBUSINESSPHX.COM

SCOTT ELSER

MARY LYN HAMMER

CEO Digital Current Sector: Marketing and Advertising

President and CEO Champion College Services Inc. Sector: Educational Resources

We use an incentive-based program where employees who opt-in can earn additional PTO for participating in monthly challenges and bonus activities. The monthly challenges are designed to promote wellness with simple, achievable and, most importantly, fun activities. This month, we’re promoting cardiovascular fitness by challenging participants to engage in two walking meetings per week. We’ll promote healthy eating in October by incentivizing participants to contribute healthy recipes to a Digital Current cookbook and participate in a potluck. Another example, in November participants will write down one thing they’re grateful for each day to promote mental wellness. This is a program born from feedback collected primarily through Officevibe, and we continue to get feedback and ideas anonymously through that platform. But what’s most telling of the program’s success is the positive peer pressure. Just last month, we were challenged to take the stairs three times a day. Before a meeting, an employee and I needed to use the restroom. All she said was, “Upstairs?” and, just like that, I was making a healthier decision.

Here at Champion College Services, we have always strived to provide all our employees different vehicles to assist them in all their health challenges. Everyone has different needs and goals, and, with the variety of products and services we provide, there is something for everyone. Last year, we were fortunate to discover Kinessage. We decided to incorporate Kinessage into our overall employee health program and had Kathleen Gramzay in our office for eight live trainings over a few months that taught our employees techniques to tackle multiple issues they faced, which included musculoskeletal, migraines and knee problems. We believe the results speak for themselves. By combining the program with what we were already doing, absenteeism decreased and our team’s ability to focus and serve our clients improved. Addressing our health challenges has not only contributed to the well-being of the individual employee but to our culture as a whole.

Digital Current digitalcurrent.com Scott Elser is the CEO of Digital Current, a fullservice digital marketing agency in Mesa, Ariz. Prior experience includes leading the agency at Harte Hanks and founding Launchpad Advertising, along with leading large client relationships at Grey and McCann-Erickson. Scott is a leader, strategist, marketing consultant, entrepreneur, business coach, speaker and contributing writer for Inc. Magazine and Forbes.

Champion College Services, Inc. championcollegeservices.com Mary Lyn Hammer is president and CEO of Champion College Services Inc., a respected advocate for higher education that has been providing default prevention services to student loan borrowers across the United States since 1989. She remains politically active as an expert advisor to education officials, lawmakers and industry liaisons in her drive to maintain student loan integrity and quality education for all students. It is through her vision and passion that Champion continues to lead the way in student loan management and default prevention.

Sign up for the monthly In Business Magazine eNewsletter at www.inbusinessphx.com. Look for survey questions and other research on our business community.

TERESA SNYDERLAMBERGER VP of Marketing & Strategic Solutions Benchmark Sector: Engineering and Manufacturing Benchmark recently constructed our new global corporate headquarters from the ground up in Tempe, and something we felt was important to add to the new building was a fitness center. We reasoned that, by having a fitness center on-site, our employees wouldn’t need to travel to the gym in rush hour traffic or use much of their free time to squeeze in exercise — the fitness center would provide easy access to a workout facility to use whenever it best fit their schedule. Since opening the facility in January, we’ve already seen the positive effects the fitness center has had on our employees. Regular exercise promotes restful sleep and releases endorphins that boost morale, allowing our employees to come to work feeling happy and ready to take on the day. Exercise is also one of the most effective ways to increase overall health, especially given the toll that sitting at a desk all day can have on wellness. The gym has been a popular addition to the Benchmark wellness program and instrumental in promoting a healthy lifestyle. Benchmark bench.com Teresa Snyder-Lamberger is a veteran marketing professional with more than 20 years of experience. She demonstrates a deep understanding of technology, which she brings to her role as the vice president of marketing and strategic solutions at Benchmark, a Tempe-based solutions provider for Original Equipment Manufacturing customers. SnyderLamberger graduated from Northern Arizona University with a degree in public relations and marketing.


QUICK AND TO THE POINT

Photo courtesy of Imagination Park Technologies, Inc.

Breaking the Silence in the Workplace with Deaf and Hardof-Hearing Resources Across the country, the demand for sign language interpreters who are fluent in American Sign Language is expected to rise 46 percent from 2012 to 2022, an increase of 29,300 jobs, according to the Bureau of Labor Statistics. And this number is only expected to increase. In Arizona alone, there are more than 1.1 million deaf and hard-of-hearing individuals. The Arizona Commission for the Deaf and the Hard of Hearing has been serving Arizonans who are deaf, deafblind and hard of hearing since 1977 and is dedicated to ensuring these individuals have the proper resources available to make a difference, especially in the workplace. ACDHH works with businesses across Arizona to raise awareness about deaf culture, accommodations and costs associated for deaf employees and to better understand the laws, including the ADA and Section 504 of the 1973 Rehabilitation Act, especially for those businesses who receive federal funding. Video relay services have increased demand for interpreters because this technology allows people who are deaf and or hard of hearing to communicate through live interpreters via VRS applications. Traditionally, interpretation services were limited to live in-person interaction. Offering video relay services increases the demand. Denying opportunities for employment to qualified applicants based on deafness or any degree of hearing loss is against the law. The Americans with Disabilities Act of 1990, a civil rights law that prohibits discrimination based on disability, is also leading the way for deaf and hard-of-hearing individuals to request equal access and the presence of an ASL interpreter to improve their life experiences. People have more access to reading their rights in the workplace; therefore, more people are requesting services in many different facets of

life, including interpreter services. Employers may have concerns about accommodating deaf people in the work place. “The most common request we get is how to provide an accommodation for a deaf or hard of hearing employee and what the costs are,” says Jantz. The most common barrier in the workplace is communication, yet communication barriers are most often easily overcome. And one consideration businesses can leverage is that the cost of accommodations may be tax deductible through the Disabled Access Credit (form 8826). ACDHH offers workshops and information sessions for employers across the state that include but are not limited to the following topics: hearing loss, Deaf Culture, ADA and Civil Rights information, legal rights, employment issues and concerns, training for 9-1-1 trainers, as well as a Healthcare Curriculum for Medical Professionals and a Public Safety Curriculum for First Responders. “The main objective we aim to get across from the employers’ perspective is to not think about the person’s limitations; think about how they can become an asset to the business,” says Beca Bailey, community engagement liaison at ACDHH. “Think about how you are going to work with them and then ask the person with the disability what they would like to do.” Ultimately, when a business is considering a qualified candidate for a position with their organization who is deaf or hard of hearing, they can contact ACDHH for resources that are available to ensure the new employee is in a deaf friendly environment. —Carmen Green, deputy director of the Arizona Commission for the Deaf and the Hard of Hearing Arizona Commission for the Deaf and the Hard of Hearing acdhh.org

BYTES

Securely Vetted Volunteers As companies look for ways to engage employees, build out their CSR programs and give back to the communities they serve, Verified Volunteers offers a unique solution. Our portable background check allows employees to have a single “fast-pass” to volunteering. Companies can provide a link for employees to get their background check, which can then be securely shared with multiple nonprofits in their communities. As the preferred provider for dozens of iconic nonprofits like Girl Scouts, Meals on Wheels, CASA, Catholic Charities, Pop Warner and YMCA, the Verified Volunteers background check is accepted at nonprofits across the nation. —Katie Zwetzig, Verified Volunteers executive director verifiedvolunteers.com

Augment Marketing with AR Campaigns Imagination Park Technologies Inc., the company bringing augmented reality experiences to consumers and sports fans globally, recently released XenoPlay Version 3.3, with features that allow advertising and marketing professionals to create augmented reality (AR) campaigns within minutes without the need for any programming or technical expertise. Among the many updates in the new version are repeating stories, which allows a campaign to be calendared to repeat on specific dates, along with the ability to update image target and/or asset on a XenoMarker within a story as well as a control that prevents confusing duplicates; a new odds calculator to create sweepstakes; and scorecards accessible on the story’s page so that each story has the ability to accumulate points over time as people complete a story — consumers can compete against each other. “Although many agencies know how to develop great brand campaigns, they usually don’t know if their campaigns are working,” says Alen Paul Silverrstieen, CEO and president of Imagination Park. “Now, Imagination Park’s XenoPlay can provide the agencies with activation details about who has viewed their ads, billboards, and end caps.” —Mike Hunter imaginationpark.com

One extremely important area covered by the ADA is the medical field, where sign language interpreting services are often required. Hospitals, for instance, must provide an appropriate means of communication to any patients, family members or hospital visitors who may be hearing impaired. This is applicable in all hospital areas, from the emergency room to the gift shop.

11

APR. 2019

INBUSINESSPHX.COM


QUICK AND TO THE POINT

LOOKING GOOD

Local Standouts Recognized for Achievements and Philanthropy ACHIEVEMENTS

Global Mobility Solutions Is Tops with Customers Global Mobility Solutions, the industry leader in corporate relocation services and technology, earned the coveted top spot on HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey. The global corporate relocation services company specializes in workforce mobility and relocation technology; its corporate relocation programs include global assignment management, domestic relocation management and a wide range of pre-decision services. The Baker’s Dozen, the largest customer survey of its kind within the relocation management industry, is a trusted measure of talent management performance. gmsmobility.com

Polsinelli Named ‘Firm of the Year’ in AZ and MO Am Law 100 firm Polsinelli earned the prestigious honor “Firm of the Year” in both Arizona and Missouri by Benchmark Litigation’s 2019 U.S. Litigation Awards. Benchmark Litigation is known as the “definitive guide to America’s leading litigation law firms and lawyers,” and is the only publication on the market that focuses exclusively on litigation in the United States. The annual rankings are determined through peer reviews and case examinations. For the past 11 years, Benchmark Litigation has named one law firm in each state “Firm of the Year.” polsinelli.com

PHILANTHROPY

Wells Fargo Supports Arizona Nonprofits Wells Fargo has donated more than $5.4 million to 415 local nonprofits, schools and community organizations in 2018 to help the communities and people of Arizona, and its 16,109 Arizona team members donated $2.8 million, for a total impact of $8.2 million. Beyond philanthropy, Wells Fargo team members in Arizona volunteered more than 115,000 hours in 2018 to support nonprofits and causes important to them. United Way Worldwide recently recognized Wells Fargo for having the No. 1 workplace giving campaign in the U.S. for the tenth consecutive year. wellsfargo.com

Chandler Realtor Aids No-Kill Dog Shelter Phoenix-area Realtor Tom Speaks, of Revelation Real Estate, helped raise funds for no-kill dog shelter Rovers Rest Stop by hosting a client charity event. Rover’s Rest Stop works with small dogs, matchmaking its “kids” to the perfect home based on lifestyle, activity level and personal needs. revelationrealestate.com • roversreststop.com

APR. 2019

12

INBUSINESSPHX.COM

Central to Tech When the revitalization project of Park Central Mall opened for leasing a few weeks ago, digital business consultancy Nerdery saw it as an opportunity to move closer to the city’s new Innovation District and became the first business to sign a lease. “We’re seeing tremendous growth opportunities in Phoenix as the city becomes another tech-centric hub on the West Coast,” says Adrian Slobin, CEO at Nerdery, which had established its presence in Phoenix out of shared office space. “By planting this headquarters in the heart of the city’s tech area, we will be able to attract stronger talent and better serve our growing portfolio of west region clients.” Nerdery focuses on crafting impactful digital experiences and infrastructures to help clients accelerate

digital transformations, innovations, modernizations and operational initiatives. The company’s other offices are in Minneapolis and Chicago. Nerdery’s new office will feature an array of innovative technology, a staple in its offices throughout the country, such as a digital receptionist that will greet associates and clients as they enter. The mall, which is being revitalized to make room for Phoenix’s influx of innovative companies, is within a tech-focused area encompassing the east side of Downtown Phoenix and the historic Warehouse District that was recently designated Phoenix Core. —Mike Hunter Nerdery nerdery.com

Small-Business Optimism Scores High Even in Decline Although declining optimism was the finding among small-business owners in the first quarter 2019 Wells Fargo/Gallup Small Business Index — along with a decrease in the number reporting a revenue increase (a 10-point drop to 45 percent) — the 23-point drop from the previous quarter’s all-time high of 129 still left a score above 100 — for the seventh consecutive quarter. Along with that positive attitude was a positive view on preparedness for a future economic downturn. More than three quarters (77 percent) said they were somewhat prepared or very prepared for such an event, compared with 23 percent who said they were not very prepared or not at all prepared. Also, when asked if 2019 would be a year of economic prosperity or difficulty, 67 percent indicated prosperity and 29 percent indicated difficulty. Proprietors who owned their businesses during the 2008 recession were asked to compare their preparedness now to that point in time. The number of owners saying they were more prepared now was 75 percent; 14 percent said they were less prepared. In addition, when asked what their greatest lesson was in the decade since the 2008 recession, the most frequent response was conservative capital management and frugality (19 percent). Other lessons included monitoring cash flow (12 percent) and good planning (9 percent).

“With the various economic indicators we’ve seen, the decrease in revenues and outside factors like the government shutdown, business owners are predictably more cautious than in 2018,” says Mark Vitner, Wells Fargo senior economist. “With that said, their responses around preparedness and their continued sense that 2019 will be a prosperous year economically indicate a sense of caution as opposed to a prediction of an economic slump.” The survey also found that, for the fourth consecutive quarter, a high of 16 percent of business owners indicated hiring and retaining staff is their top challenge; attracting new business rose to nearly the same level as a top challenge, with 15 percent citing it. Other challenges cited include financial stability/cash flow (9 percent) and taxes (8 percent), both of which continue to be top issues for small business owners. —Mike Hunter Wells Fargo/Gallup Small Business Index bit.ly/2ui3HXp

According to the business services survey “The State of Small Business Hiring and Recruitment in 2019” from Clutch, a B2B business research platform, 51 percent of small businesses plan to hire in 2019, and 23 percent plan to fire or lay off employees. The most popular positions to hire for are sales and marketing (39 percent), customer service (36 percent) and IT (32 percent). clutch.co/hr/recruiting/resources/small-business-hiring-recruitment-2019


METRICS & MEASUREMENTS

Influencer Marketing: More than a Pretty Face Most brands plan to spend more on influencer marketing in 2019, but is it paying off? by Todd Grossman

Evaluating how companies are evolving influencer marketing strategies in 2019, leading social listening and analytics platform Talkwalker conducted a global survey of more than 800 marketing and PR professionals. The 2019 Influencer Marketing report illustrates findings that point to an inevitable maturing of influencer marketing, but finds that many experts suggest that brands will need to significantly improve the authenticity and evaluation of their investments. One key takeaway from the report is a newfound focus on authenticity over appearance and on quality over quantity when it comes to selecting mutually beneficial promotional partnerships between influencers and brands. “You can’t just pick a celebrity you like and hope for the best,” says Brittany McKone, vice president of analytics at Weber Shandwick. “It is important that we use data and analytics to find the right influencers and measure that it is successful, so marketers continue to see real results.” After several recent influencer marketing shams and scams — from the high-profile fraud of the Fyre Festival and the “luxury” campaign from Payless to the “pay but no play” antics of Luka Sabbat — brands and influencers alike are more focused on making sure their ideals and values are in sync more than ever before. For example, Nike’s sales reportedly jumped 31 percent following its ad campaign highlighting the civil rights activism of Colin Kaepernick, proving that the right influencer pairing can measurably resonate with a brand’s target audience. “The top brands are collaborating with influencers [on] the most innovative and exciting ways to grab attention. This will provide an actual competitive advantage,” says Harry Hugo, co-founder of the Goat Agency and board member of the Business of Influencers. However, there’s still a big problem to be solved: finding the best way to measure the impact of an influencer campaign, when aesthetics can often affect more than a brand’s bottom line. One big gap we see is between intent and impact. In our survey, 69 percent of respondents said influencer marketing is among their top priorities for 2019, and 61 percent said they plan to increase their influencer marketing budget this year. But nearly 40 percent also said measuring the ROI of these campaigns is a major challenge. This shows that, while brands are eager to leverage the power of influencers, many of them haven’t yet developed a reliable measurement and management strategy, which makes planning and tracking these types of campaigns more difficult.

What is the top challenge you encounter when working with influencers? Measuring the ROI of my influencer program

38.5%

Identifying impactful influencers

21.9%

Finding creative ways to collaborate with influencers

15.8%

Creating a relationship with influencers

12.3%

Managing my influencers effectively Other

9.2% 2.3%

When choosing influencers, how much importance do you give on a scale of 1 to 5 to: The coherence of their posts with your brand message?

4.3%

The quality and creativity of their content

4.2%

The level of interactions on relevant publications (engagement)?

4.1%

The costs involved

3.7%

The size of their community or readership (reach)?

3.6%

What is the main objective of your influencer program More brand visability

65.8%

More direct leads/ product purchases

16.9%

More creative campaigns More loyality from customer base Other

10.4% 4.2% 2.7%

Source: www.talkwalker.com/case-studies/global-state-influencer-marketing

Nike’s sales reportedly jumped 31 percent following its ad campaign highlighting the civil rights activism of Colin Kaepernick, proving that the right influencer pairing can measurably resonate with a brand’s target audience.

Todd Grossman is CEO of the Americas with Talkwalker, a social listening and analytics company that provides companies with an easy-to-use platform to protect, measure and promote their brands worldwide, across all communication channels. Talkwalker’s state-of-the-art social media analytics platform uses AI-powered technology to monitor and analyze online conversations in real-time across social networks, news websites, blogs and forums in 187 languages. It is also the home of Talkwalker Alerts, a free alerting service used by more than 500,000 communications and marketing professionals worldwide. talkwalker.com

13

APR. 2019

INBUSINESSPHX.COM


ENTREPRENEURS & INNOVATORS

Startups Find Community at Perimeter83

Healthcare

Services

MAGAZINE

Guide

APR. 2019

IN BUSINESS

Special Section: 2019 Business

HEALTHCARE

Workplace We Key tollness succ business ess?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G:

New Era for Business

INBUSINESSPHX.COM

THIS ISSUE

Arizona Technology

Influencer Marketing Pay Off?

Council

Does

$7.95 INBUSINESSPHX.COM

DON’T MISS OUT!

Get a year of In Business Magazine. Subscribe now at inbusinessphx.com

Priority Healthcare BUILDING BUSINESS THROUGH HEALTHCARE

Join Us April 19,2019 at Tempe Center for the Arts for the Priority Healthcare Luncheon, Symposium and free EXPO. inbusinessevents.com

APR. 2019

14

INBUSINESSPHX.COM

What’s a typical day for a startup at Perimeter83? Companies, which may be in-house tenants or affiliate members with offices of their own, may start with a “tech life coaching” meeting in our boardroom on the University of Advancing Technology campus for an individual strategy session. Maybe it’s a tough business decision the client wants to talk through with Executive Director Russ Yelton or Director Carolyn Vasos. We call it Tech Therapy. Years of business experience enlighten clients to what needs to get done for success, from a review of prototypes to research to pitches, decks, sales pricing, operations, finding contacts to move along a prototype or figure out funding options to sourcing things that we connect with regularly, and more. There might even be homework! There is definitely accountability. Startups have the ideas, and P83 helps them execute it. During this process, there’s a cool cross-pollination that always happens between clients. They share ideas, contacts and advice with each another — all part of the ecosystem, making connections that enable them to work smart, not hard. Not just another co-working, P83 is community. Perimeter83 is the community arm of The University of Advancing Technology in Tempe. The fully accredited university, which began in 1983, has now grown into a boutique tech tribe residence for students from around the country and internationally, who reside in our dorms on campus. UAT teaches beyond the conceptual, deep diving into the actual business of hands-on tech learning. Perimeter83

bridges the students and alums to all Arizona technology companies and other related corporations; we offer our students to be interns and alums for hire to the companies who choose. Clients of P83 have the potential of getting coworking, incubation, mentoring, customized corporate training and tech coursework all under one roof, along with the cool tools: 3D printing makers lab, green screen studio, VR/AR, AI, gaming and digital labs. It’s all within our Perimeter — see, that’s the name. —Carolyn Vasos Perimeter83 perimeter83.com

Arboles Home Mortgage: Emphasis on ‘Home’ “Arboles Home Mortgage, LLC is a mortgage lender that offers financing and refinancing on homes throughout Arizona, but we’re more than your usual mortgage lender,” says its principal, Patricia Garcia Duarte, who launched the company as a social enterprise last year. “We know that homeownership creates prosperity for owners and our communities. That’s why we’re committed to responsible lending with a purpose. One hundred percent of our profits go back to Trellis, a local nonprofit that makes homeownership a reality for Arizonans regardless of their income, education or background. Every closed deal helps a local family purchase the home they dream of.” Duarte, who is also president and CEO of Trellis, explains, “Nonprofits have had to find new ways to evolve and diversify financial resources to support themselves. We were inspired by the possibilities and opportunities a social enterprise could bring to Trellis. Through Arboles Home Mortgage, LLC, we’ll be able to sustain Trellis’s work of building stronger, more vibrant communities through homeownership.”

66

She found the biggest challenge was bringing together the right team that believed in the mission. It took time and patience, she says, to assemble what she now calls “the perfect team.” Recognizing that there’s a risk involved in starting any business, she believes Arboles enjoys advantages in having a team that has been serving Valley residents for decades and knows the mortgage industry inside and out. So, applying advice she was once given that “positive change does not happen without calculated risk,” she says this particular calculated risk is “one that we believe will pay off for our communities.” —RaeAnne Marsh Arboles Home Mortgage, LLC facebook.com/arboleshomemortgage

“The single biggest threat to entrepreneurial success is an inability to handle the negotiations that arise in the evolution of a startup,” say Samuel Dinnar and Lawrence Susskind, authors of Entrepreneurial Negotiation. See their Roundtable article on page 66.


Put healthier on your horizon. Every Arizona business deserves nationwide coverage. As Arizona’s market leader in health plans,* we offer proven options, innovative programs and coverage so expansive we’ve got your back from Phoenix, Arizona to Phoenix, Maryland.

Broad coverage. Healthier choice. Explore your health plan options today. Visit uhc.com/azbusiness or call your broker to learn more.

*Source: HealthLeaders InterStudy [DRG] data supports ASO membership; FI and FEHBP based on statutory filings and SHCEs. Insurance coverage provided by or through UnitedHealthcare Insurance Company or its affiliates. Administrative services provided by United HealthCare Services, Inc. or their affiliates. Health Plan coverage provided by or through UnitedHealthcare of Arizona, Inc. Facebook.com/UnitedHealthcare

Twitter.com/UHC

YouTube.com/UnitedHealthcare

MT-1180806 8/18 ©2018 United HealthCare Services, Inc. 18-9203


PROPERTY, GROWTH AND LOCATION

BY MIKE HUNTER

Master-Planning Luxury

A list of the U.S. counties with the highest opportunity zone investment potential, recently compiled by Commercial Café by Yardi based on information from the U.S. Department of Treasury, includes six counties in Arizona. Maricopa County scored the highest for OZ investment in the state, with 61.6 points; its ranking is sixth nationwide. It is followed by Pinal County, which landed 31st with 54.9 points. The other Arizona counties are Pima (85th), Yuma (149th), Coconino (165th) and Mohave (243rd). Although a map of the study results shows much of Arizona included as “high potential,” the counties spread over a large geographic area; Arizona’s six-county showing is far below the leaders — Texas (32), California (27) and Florida (22). Points were allocated for the following indicators: employment, GDP, population growth, poverty rates, the educational attainment level of the labor force and the number of eligible opportunity zones within each area. The study also details the fiscal benefits of the program, the selection criteria for OZs and the importance of public sector investment along with private capital in these areas. http://bit.ly/2szi1H

APR. 2019

16

INBUSINESSPHX.COM

class, celebrated local and international chefs. The initial retail phase is expected to open by the end of 2020; residential and hotel, by spring 2020. The Palmeraie is being developed by Scottsdale-based Five Star Development, a family-owned and -operated company known for more than three decades for its industry-leading innovations. Five Star Development’s projects range from award-winning hospitality and luxury retail to high-end, multimillion-dollar residential to and Class-A industrial projects. President and CEO Jerry Ayoub has committed to overseeing every detail of the project from his offices on the property to create The Palmeraie as a global destination. The Palmeraie thepalmeraie.com

GET REAL

New Multifamily Development Activates Central Corridor

Park West Renovation Gains Locally-based Businesses

New Office Breaks Ground at Perimeter Center

Circa Central Avenue is a new multifamily

Commercial Investment Real Estate Equity

Irgens – Phoenix has broken ground on its

project, developed as urban infill just south

is putting $4 million into renovating Park

second building within the Irgens Perimeter

of Phoenix Art Museum and adjacent to the

West, an outdoor lifestyle shopping center

Center project, 17 Three Hundred at

Metro Valley light rail by Hunt Companies,

that features more than 30 national and

Perimeter Center, with completion

Inc., Tilton Development Company and

local retailers, restaurants and a 14-screen

scheduled for October. The two-story

Ryan Companies US, Inc. The six-story

Harkins Theatre nestled in a boutique

office and healthcare building will contain

project includes four levels of residential

shopping environment. Cozy seating

approximately 47,322 square feet of space.

apartments over two levels of parking,

areas, shade structures and a splash pad

as well as five two-story townhomes and

offer a relaxing, family-friendly shopping

finished 2018 with a vacancy rate below 10

two creative office suites. “The project has

experience that is unique in the West Valley.

percent,” says Jason Meszaros, senior vice

an abundance of great amenities, but the

Scottsdale-based specialty real estate

“The Scottsdale Airpark submarket

president and managing regional director of

neighborhood itself is the best feature,”

firm The Corritore Company has brought

Irgens. “New construction in the area remains

says Tyler Wilson, vice president of real

in new tenants Hash Kitchen, The Sicilian

extremely limited and our project is poised

estate with Ryan Companies US, Inc.,

Butcher, The Sicilian Baker Cannoli Bar &

to offer the Class A space for which this area

citing the area’s many cultural and dining/

Market, Jalapeno Inferno and Pita Jungle, all

of Scottsdale is recognized. The medical

hangout attractions.

locally based, with more scheduled to open

industry continues expanding in this area,

circacentralavenue.com

this year. shopparkwest.com

looking to serve the increasing population moving to North Scottsdale.” irgens.com

The new Ritz-Carlton, Paradise Valley Resort will spread over 20 acres and will feature a 400-foot-long swimming pool, the longest resort pool in North America. rcpvluxury.com/ritz-carlton-paradise-valley

Photos courtesy of The Palmeraie (top); Ryan Companies US, Inc., Commercial Investment Real Estate Equity and Irgens (bottom, l to r)

Maricopa County Scores High for Opportunity Zone Investment Potential

Straddling the Scottsdale-Paradise Valley border, The Palmeraie project is an important addition to the local economy. It was previously touted as a new Ritz-Carlton hotel and residential development, announced concurrent with Marriott taking over management of what was previously RitzCarlton at The Esplanade in Phoenix as The Camby. Now, the exclusive Ritz-Carlton residences are joined by another luxury real estate offering: FENDI Private Residences. Far more than residential, though, The Palmeraie is a $2 billion, 122-acre master-planned community. Becoming one of the largest and most significant luxury developments on the West Coast, it will include a retail portion combining approximately 160,000 square feet of high-end, mixed-use space with more than 60 exceptional boutiques, global leaders in fashion and a variety of dining destinations led by best-in-



INNOVATIONS FOR BUSINESS

TECH NOTES

Web vs Internet While the Web is probably the largest service on the internet that most people use, it’s not all of the internet. The two overlap and interconnect; the Web would not exist without the internet, but, similarly, the internet would not have grown into the amazing and powerful tool it is without the Web. • The internet provides the foundation for all kinds of applications, like email, chat and video conferencing — and also the Web. • Email messages are sent and received using the internet, but not the Web. And most messaging systems use the internet, but not the Web. N ote: A Web interface might be used to read or write the email or other message, but the actual sending and receiving takes place using non-Web protocols. • Every video call made over Skype, Facetime, Zoom, WhatsApp uses the internet but not the Web. • Apps on a mobile phone use the internet — and may or may not be using the Web. N ote: Some apps on a mobile phone are written natively for Android or iOS and use protocols that are not for the Web, but, in many other cases, what we see as “apps” are, basically, small, separate Web browsers that then pull up a website inside of the “app” — so it is a website, traveling over the internet, that is then viewed inside an “app” on the mobile phone. • Storing files on Dropbox, Box.com, Microsoft OneDrive, etc., uses the internet. This might also be using the Web if a Web interface is used to upload files, but using the native integration into Windows or Mac OS X is not using the Web. • Many group calendaring tools use non-Web protocols — again, it’s an instance of using the internet but not necessarily the Web. The Web needs the internet to work, but the internet needs the Web to be useful. —Andrew Sullivan, president and CEO of Internet Society (www.internetsociety.org) [Read the full article online at www.inbusinessphx.com.]

APR. 2019

18

INBUSINESSPHX.COM

5G Will Mark New Era for Businesses Not long ago, 4G LTE arrived in Arizona and unleashed the power of our mobile devices with a massive boost in wireless speeds. Businesses seized on this revolution as LTE allowed them to grow and streamline their operations in ways never imagined before. Now it’s the start of a new era. 5G is the next leap in mobile technology. It promises to ultimately transform the way Arizona businesses work, from local startups to national enterprises and everything in between. How? Well, it’s faster, of course. Or to be precise, it’ll have more bandwidth. But just as importantly, it’ll be quicker. By that, I mean it’ll have much lower latency. It’s harder to make a marketing slogan for lower latency than it is for speed. But lower latency helps everything feel more instantaneous. If you’ve ever watched an awkward conversation between a news anchor and reporter with a satellite delay, you’ve witnessed latency. The satellite feed has plenty of bandwidth, but it’s just going to take a while for that bandwidth to bounce into space and back. In our mobile internet experience, latency is the time between pressing play and seeing a video start, or clicking a link and having the webpage load. Decreasing this lag time becomes increasingly vital as people and businesses connect more of their things to the “Internet of Things.” Take future autonomous cars, for example. Using live maps for navigation is crucial to making them work safely. And ultra-low latency is essential to making these maps effective. Future autonomous vehicles will need to communicate with each other to synchronize traffic flow and avoid colliding. This computer-to-computer chatter needs to happen in milliseconds, not seconds. 5G’s low latency will eventually help open the door for new experiences in virtual reality, telemedicine, manufacturing and many other

The World Wide Web celebrated its 30th anniversary last month, on March 12. internetsociety.org

areas. “Smart cities,” likewise, will be able to connect infrastructure like traffic and street lights and rail system sensors in order to increase efficiencies, capacity and public safety. Our wireless network needs new hardware capable of supporting 5G to make all this work. But hardware alone won’t get us to 5G. Consider that AT&T’s mobile network has experienced a 470,000 percent increase in data traffic since 2007 and this will only continue to increase. Managing such a massive amount of data requires new software capable of making the most of our physical network. Businesses will want to consider upgrading their network software to better integrate the power of 5G within their own infrastructure. The key to this is edge computing. It works as a traffic cop to direct application-specific data to where it’s needed most — whether that’s in the cloud or on a customer’s premises. AT&T’s enterprise solution, Multi-access Edge Computing, will use 5G when it’s available to provide improved flow between data and the systems needed to process all that data. Because MEC is a software, it can easily be added to a business’s existing network. AT&T has introduced 5G in a dozen cities and plans to deploy a nationwide mobile 5G network in early 2020. In the parts of 12 cities where the network is live, we are working with businesses to help identify and develop their next-generation solutions. As the 5G network expands, these businesses are in a position to lead the way toward the next mobile revolution. When 5G comes to Arizona, we’ll help businesses create new ways to increase productivity, revenue and customer satisfaction — faster and quicker. —Toni Morales Broberg, president of AT&T Arizona, leads statewide external, government and public affairs efforts focused on infrastructure investment and community engagement (www.att.com)


Your local Phoenix commercial banking team.

Local expertise to help Phoenix businesses prosper. BMO Harris Commercial Bank is in the Phoenix region, with a banking team that has deep local roots and expertise in a range of industries. Combined with our decades working in Arizona, and supported by strong cross-border capabilities, we’re uniquely positioned to help Phoenix companies uncover more possibilities here at home and all the places you do business. Brian Harbin 602-730-7562 brian.harbin@bmo.com bmoharris.com/commercial

Banking products and services subject to bank and credit approval. BMO Harris Commercial Bank is a trade name used by BMO Harris Bank N.A. Member FDIC


LAW MATTERS TO BUSINESS

Multilevel Marketing – Legal Pitfalls to Avoid Healthcare

Services

MAGAZINE

Guide

APR. 2019

IN BUSINESS

Special Section: 2019 Business

HEALTHCARE

Workplace Wellness

Key to busi ness success?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G:

New Era for Business

INBUSINESSPHX.COM

THIS ISSUE

Arizona Technology

Council

Influencer Marketing Pay Off? Does

$7.95 INBUSINESSPHX.COM

Laws and standards are still evolving for this popular business model

by Shelley Tolman and Marvin Ruth

DON’T MISS OUT!

Get a year of In Business Magazine. Subscribe now at inbusinessphx.com

Shelley Tolman and Marvin Ruth (l to r) are partners with Phoenixbased business law firm Coppersmith Brockelman, in the commercial litigation practice. They represent direct selling companies and direct sellers in a variety of litigation and regulatory manners. cblawyers.com

APR. 2019

20

INBUSINESSPHX.COM

For decades, multilevel marketing has permeated not only the business landscape but the American home. From Tupperware to jewelry to dietary supplements, the concept is familiar and widely utilized to grow brands from the mom-andpop level to national powerhouse. Essentially, a multilevel marketing business model is one in which the company sells products directly to the public through a network of entrepreneurial salespeople (rather than retail establishments) — often through one-onone selling, social media platforms and in-home product demonstrations. These salespeople are not employees and do not receive a salary. Instead, compensation is often based on personal sales, as well as the sales of each individual’s sales organization. The nature of these compensation models and the manner in which additional salespeople are added to the salesforce can often be the target of state and federal regulators, as well as dissatisfied salespeople who may assert that certain compensation structures are unfair or deceptive. Specifically, the Federal Trade Commission condemns models in which salespeople pay for product and, as a result, earn the right to be compensated for recruiting other salespeople rather than for selling products to consumers. Businesses entering this space need to be especially attuned to the evolving laws and standards governing the industry, in addition to potential roadblocks that are landing companies in legal hot water. To help ensure profitability and compliance, businesses should do the following: Keep track of all retail sales. One of the FTC’s focuses is on actual consumer demand, and the payment of compensation based on sales to retail customers. However, many direct selling companies are unable to fully quantify the amount of retail consumer demand for their products, particularly when many of those sales take place out in the field through in-person transactions. While a direct seller may be able to track sales placed through the company’s website, it will often have minimal records of sales made directly to consumers out of the product inventory of its salesforce.

According to the Direct Selling Association, 18.6 million people are involved in direct selling in the United States, generating $34.9 billion in estimated retail sales (2017).

Businesses typically use one of two options: require salespeople to provide receipts for every sale or direct all sales to take place over the company website. However, these options may not be realistic, depending on the marketplace. In these cases, there may be opportunities to use technology, such as developing a mobile app for salespeople, which could provide helpful information in the event of an investigation or litigation. Distinguish between customers and salespeople. It is permissible, subject to certain potential limitations, to pay compensation based on a participant’s purchase of product for personal consumption. The FTC, however, will look askance at claims that large wholesale purchases are being made primarily for the purpose of personal consumption. Further, demonstrating to the FTC (or a court) the extent to which purchases were made for purposes of personal consumption is much more difficult when customers are lumped into the same category as salespeople. As a result, it is important for companies to differentiate as much as possible between individuals enrolling with the company in order to solely purchase product at a discount, and those persons enrolling with the company to pursue a business opportunity as an entrepreneur. To create this distinction, companies may enroll individuals who are solely purchasing products at a discount in a preferred customer program. Monitor and confirm the accuracy of marketing and income statements. The FTC has broadly construed misleading income statements to include unsubstantiated income claims, unrealistic lifestyle imaging and inaccurate representations regarding the work necessary to achieve income. Robust disclosures and disclaimers are often not enough in the event of an FTC investigation. Ultimately, multilevel marketing regulations, and the manner in which they are enforced, are complicated and nuanced. We recommend speaking to an attorney before wading into these issues. However, the more accurate data on consumer demand that a direct seller can maintain, the better prepared that company will be in the event of an investigation or litigation.


Ready to save up to 90% on lighting upgrades? APS has a rebate for that. Energy-saving upgrades are a great way to help reduce your operating costs, and thanks to our energy efficiency program, they’ve never been more affordable. Express Solutions rebates cover up to 90% of the cost of lighting and refrigeration upgrades—and many projects pay for themselves in as little as one year.

Find rebates for energy-saving upgrades today at aps.com/BetterBottomLine or call (866) 333-4735. Program funded by APS customers and approved by the Arizona Corporation Commission.


Workplace Wellness Key to business success by RaeAnne Marsh


The landscape of healthcare is in constant flux. This adds an extra element of concern for employers, for whom healthcare benefits are an important part of their operating calculations. Businesses serving those employers’ needs innovate their programs and services as advances in knowledge and technology open new avenues. In Business Magazine asked some of our local leaders to share what has come — and may be coming — from those advances as they help employers address healthcare and wellness issues throughout the workplace. The breadth of information in their response underscores the tremendous activity taking place in the healthcare sector.


Frank Molinaro CEO, Abrazo Community Health Network Arizona Group CEO, Tenet Healthcare abrazohealth.com

WHAT INNOVATIONS AND PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

First and foremost, Abrazo Community Health Network is focused on providing quality care in a safe environment. Our employees, physicians and volunteers collaborate as a community of care with support for continuing education to stay abreast of the latest developments in healthcare. We’re very excited about the innovations and investments we’re bringing to each of our hospitals. At Abrazo Arizona Heart Hospital, new technologies like the TAVR, CardioMEMS and a pacemaker the size of a vitamin pill, as well as breakthroughs like mitral valve replacements, are helping improve patients’ quality of life. The hospital is building additional state-of-the-art hybrid operating rooms, and recently hosted cardiovascular physicians from across the U.S. for a symposium on the latest in cardiovascular care. The Abrazo Central Campus is undergoing a renaissance. It is the first hospital in Arizona to receive a new advanced certification as a Thrombectomy-Capable Stroke Center. Abrazo Central is also expanding its cancer treatment capabilities with the HIPEC procedure for appropriate patients with advanced abdominal and ovarian cancers. We’ve also recently updated our breast center, and the hospital’s ER is newly renovated for better efficiency. Abrazo Scottsdale Campus is becoming a destination for orthopedic and spine procedures, including total joint replacements and sports medicine. Increasing demand from patients and physicians is leading to a renovation of the hospital’s entire fourth floor to add capacity. The hospital continues to offer emergency and additional surgical procedures, including robotics, and its bariatric program recently earned Comprehensive Center accreditation. Along with its popular women’s and infants’ services, Abrazo Arrowhead Campus continues to be known for its surgical robotics capabilities. In July, the Arrowhead Campus will become the base for two new medical residency programs in General Surgery and Internal Medicine. Residents in both programs will train with doctors across the system, adding to our ability to attract and retain future physicians. Abrazo West Campus recently announced a

multimillion-dollar expansion project slated to begin this year. A new 12-bed nursing unit will meet the growing need for inpatient beds in our West Valley communities. As a Level I Trauma Center, the hospital is also expanding its spine surgery program to complement its orthopedics, neurosurgery, cardiovascular, obstetrics and women’s health services. It has received four consecutive “A” grades in hospital safety report cards from The Leapfrog Group, and received the 2018 Quality of Life Enhancement Award for its community leadership. Abrazo Mesa Hospital will open later this spring, expanding Abrazo’s reach into the East Valley. It will include a 12-bed emergency department, an operating room and eight inpatient rooms, along with additional services. The hospital will focus on providing emergency and lower acuity inpatient procedures. Planning is also underway for a similar Abrazo hospital in Surprise.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS. As the baby boomer generation ages, the demand for health services increases exponentially. Hospitals are always looking for quality staff for all positions, with clinically-licensed providers and nurses in high demand. And as our community grows, so does the need for physicians. Our residency programs are helping fill that need with family medicine, internal medical and general surgery physicians. A culture of quality, safety and accountability is key to providing superior services.

Abrazo Community Health Network Abrazo Community Health Network encompasses six acute-care hospitals along with freestanding emergency centers, urgent cares, and primary and specialty practices. With a network of physicians and other skilled caregivers, Abrazo Community Health Network is expanding its depth and breadth of resources to shape the future of healthcare in Arizona and remain at the forefront of cardiology, neurology, orthopedics and other highly specialized care. abrazohealth.com

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

Healthy employees are good for business. New treatments and minimally invasive procedures are helping patients more quickly return to daily activities, but, like the old saying goes, an ounce of prevention is worth a pound of cure. Simple things like getting an annual flu shot, diligence about hand hygiene and getting an annual check-up all contribute to staying healthy. Abrazo also offers numerous education programs for the public to learn about heart health, stroke prevention and more for those who want to be proactive about good health.

“A culture of quality, safety and accountability is key to providing superior services.” —Frank Molinaro, Abrazo Community Health Network

24

APR. 2019

INBUSINESSPHX.COM


Thomas J. Grote CEO Banner/Aetna banneraetna.com

WHAT INNOVATIONS AND/OR PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

In 2019, we will continue to make progress in providing a more simplified healthcare delivery process that makes it easier for members to access the care they need at an affordable cost. We will be launching a new virtual healthcare offering this year, allowing members to get the care they need — such as a consultation with their primary care provider, lab orders and prescriptions — all from the convenience of their mobile phones. Our goal is to find ways to make healthcare more convenient and less expensive, and this virtual care solution will certainly accomplish both of those. We are also collaborating with IBM-Watson Health technology to create a 360-degree view of each member, ultimately providing doctors with the information needed to provide high-quality care without wasting valuable time.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS.

As a local company with an executive team based in Arizona, we are out in the marketplace meeting with brokers, prospects and customers, listening to their pain points and brainstorming ways to overcome them. This helps us remain nimble in designing programs and creating innovative ways to solve real-time problems that we see in the industry. I believe that in order to see a true improvement in the industry, the healthcare model as we know it must change. It must focus on value instead of volume; that is, providing individuals with high-quality, personalized care rather than just the traditional feefor-service model. The migration toward value-based

contracting has begun, where providers are incented and rewarded for quality and outcomes. Another important project we are spearheading this year is improving the preauthorization process. We recognize it as one of the greatest pain points in today’s healthcare delivery model for both members and doctors, and our goal is to help streamline the process for all.

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

What Banner|Aetna offers is a healthcare solution, where members are part of the answer and we are working to better the health of the overall community. We have brought a health insurance carrier and a healthcare delivery system together as a joint venture to look at cost containment, improving the member experience, and committing to continuous innovation. The joint venture between Banner Health and Aetna equips medical professionals with the data and technology needed to provide members with quality, personalized care every step of the way. For example, although our multidisciplinary care team does not provide direct care services, it helps connect members with the care they need. Physicians, nurses, specialists, social workers, pharmacists and dieticians support members with certain ongoing medical needs, and are even available outside of traditional health facilities. Our performance network in Phoenix and Tucson gives members access to thousands of primary care doctors, specialists, hospitals, urgent care centers, Banner health centers, and walk-in clinics — which can generate savings of 7—14 percent compared to Aetna broad network alternatives.

Banner/Aetna Banner/Aetna is a healthcare company focusing on bettering member outcomes at a lower cost, all while improving the overall member experience for employers and consumers in Arizona. The collaboration combines Banner Health’s high quality, local providers and delivery systems with Aetna’s health-plan experience, care management and healthinformation technology. banneraetna.com

Paige Rothermel Chief Growth Officer Blue Cross Blue Shield of Arizona azblue.com

WHAT INNOVATIONS AND/OR PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

At Blue Cross Blue Shield of Arizona, our customers are at the center of everything we do. We understand that Arizonans need access to health and wellness services that will help them live healthier lives. Healthcare is complicated and our goal is to provide simple, affordable healthcare options that provide real value, are easy to access and understand. Welvie and PayForward are two examples of the range of resources available to our customers and our employees. Welvie is an online surgery decision support program that helps people make decisions about, prepare

INBUSINESSPHX.COM

for and recover from surgical procedures. PayForward is a unique rewards platform that gives subscribers up to 15 percent back when shopping, dining and traveling through retailers like Target and Home Depot.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS. As consumers ourselves, Blue Cross Blue Shield of Arizona understands that people want affordable, high-quality, high-value healthcare and should

Blue Cross Blue Shield of Arizona BCBSAZ offers health insurance and related services to nearly 1.5 million customers across the state. BCBSAZ, a not-for-profit company, is an independent licensee of the Blue Cross Blue Shield Association. The company employs more than 1,500 people in its Phoenix, Chandler, Flagstaff and Tucson offices. azblue.com

APR. 2019

25


have control over their healthcare needs and options. The ability to have personal health information consolidated, safe and easy to access across our healthcare providers is a critical concern. Measuring quality and value of health services with transparency to our customers is a priority. We have engaged eviCore, a leading healthcare innovation company, as part of our strategy to improve access and utilization of health services for our members. eviCore’s advanced data and analytics platform supports an evidence-based approach to quality healthcare — and that means connecting our customers to the services they need and protecting the quality and value they deserve.

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

Delivering an exceptional customer experience is one of our strategic priorities. We know that in order to be competitive in today’s marketplace, businesses

need to offer a robust set of health and wellness options to employees at a great value. Blue Cross Blue Shield of Arizona is committed to providing a range of options to our business customers. We focus on quality, value, affordability and simplicity as we work with our business clients to customize a health and wellness program that is curated to meet their unique employee needs. Every business client is a collaborative partner as together we shape the program and tools they need to grow healthier companies. One example of how we are helping business in this changing environment is our telehealth service. Through BlueCare Anywhere, BCBSAZ members can see a board-certified doctor, counselor or physiatrist on their phone or mobile device for a virtual visit any day, at any time. This means businesses are giving their employees easy access to the care they need, which can lead to increased engagement and work productivity.

Kim Shepard Arizona Market President Cigna cigna.com

WHAT INNOVATIONS AND PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

It’s important for employers to build and maintain a healthy, productive workforce. As a global health service company, Cigna focuses on total health — physical and mental — and partners with employers to consult with them and design the right programs and benefits that their employees need. Looking at some recent innovations, Cigna has added digital tools to empower customers to make healthy changes. For example, Cigna expanded its suite of behavioral health offerings in collaboration with mental health and well-being technology companies Happify Health and Prevail Health. Utilizing each company’s evidence-based digital platforms, we have helped customers better cope with stress, anxiety and depression. When Cigna acquired Brighter, we added one of healthcare’s most innovative technology companies that has successfully worked alongside health service and dental organizations to engage patients and providers to deliver higher-value healthcare. With this capability, we’ve accelerated the development of Cigna’s mobile and desktop digital platforms, and connected customers and providers with the tools they need to increase quality of care and maximize cost-savings.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS. Changing how people think of healthcare is an important first step toward making the healthcare system more sustainable and more affordable for everyone. With an increased emphasis on prevention and health outcomes,

26

APR. 2019

Cigna is working to change the system from one that focuses on “sick” care and treatment after a person has already become ill, to one that focuses on health and preventing sickness in the first place. By changing this perspective and providing customers with the tools they need to lead healthier lives, both physically and emotionally, we can improve health and thereby manage costs. Helping employers have a healthier workforce can also have sustainable financial benefits for both employers and individuals. And we don’t have to look nationwide to know where to start. We can make a difference right here in Arizona. For instance, according to Kaiser Family Foundation, nearly 65 percent of Arizona’s population is considered overweight or obese based on their body mass index (BMI). Obesity can lead to chronic conditions such as diabetes, heart disease and cancer. Helping customers understand and improve physical health is just one step; there’s an emotional component, too. For some, staying on top of their physical health can be especially difficult because of life stress or behavioral health issues that are occurring at the same time. Emotional and physical health both impact an employee’s outlook on life and their performance at work. In fact, the American Psychological Association reported in its 2016 Work and Well-Being Survey that one in three Americans report feeling chronically stressed on the job, driving 75 percent of doctor visits.

Cigna Cigna, a global health service company, delivers choice, predictability, affordability and quality care through integrated capabilities and connected, personalized solutions that advance whole person health. Within Arizona, Cigna Medical Group is one of the Valley’s largest multi-specialty group practices with 20 healthcare centers located throughout metropolitan Phoenix. Most healthcare centers are equipped with several medical services under one roof, so patients can see their doctor, fill prescriptions and get lab work done. cigna.com

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

The goal of workplace wellness is productivity and controlling total medical costs. At Cigna, we know there’s no one-size-fits-all approach to healthcare. We take a consultative approach to partnering with

INBUSINESSPHX.COM


employers to design a customized health plan that meets the unique needs of each employee population. Now together, Cigna and Express Scripts are accelerating the pace of change to the healthcare system, partnering with our clients to reconnect the fragments into a more complete picture of health — and health costs. For example, when we consider productivity, an employer with a younger, female population may focus more on healthy pregnancy, healthy babies programs with access to one-on-one health coaching, while a trucking company with employees who sit for extended

periods of time may need nutrition and exercise programs geared to drivers’ lifestyles. Taking total medical cost trends into account, our consultative approach has proven to deliver innovative, integrated capabilities that maximize value for clients and customers. For instance, because Cigna focuses on datamining and evidenced-based medicine, our predictive modeling helps employees get ahead of their illness and avoid an extended time away from work recovering, which drives medical cost savings and strengthens workplace productivity.

Allan Allford President and CEO Delta Dental of Arizona deltadentalaz.com

WHAT INNOVATIONS AND PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

It’s been an exciting 18 months at Delta Dental of Arizona. Last year, we introduced new dental plans for individuals and families that emphasize the importance of establishing good oral health habits at an early age by waiving premiums for children less than three years old. We’re not aware of another dental insurer with such a strong commitment to promoting optimal health that they are willing to provide free dental coverage to the youngest members. This year, we’re testing removing the dental annual maximum for covered benefits to see what implications that has on member oral health, benefits utilization and claims. But perhaps most exciting is our partnership with Lydian Dental to create Arizona Mobile Dental Services LLC (AMDS) and offer our clients with at least 500 employees on-site dental services. That innovation was a direct response to the discovery that nearly 40 percent of our members fail to see the dentist annually for preventive care because it’s just not convenient to their work schedules and demands.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS. Dental benefits is a highly competitive business in Arizona, with more than 15 carriers in the market. While most, if not all, our competitors lease and stack their networks, Delta Dental owns its network and contracts directly with the dentists. The competitive marketplace and the propensity for competing insurers to rent

INBUSINESSPHX.COM

their networks at lower rates has created tremendous downward pressure on dentist reimbursement. We are challenged to respond to these marketplace changes while continuing to foster good relationships with our participating dentists and provide our clients with the comprehensive benefits coverage and superior customer service that we’re known for.

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

As all business leaders know, the competition for top talent is fierce. One way businesses can better compete to attract the best and most qualified employees is to offer a robust benefits package — and dental insurance is consistently among the benefits top talent requests. When choosing between employers, 88 percent of job seekers say they would give better health, dental and vision insurance options some or heavy consideration, even if the pay is lower. For the last two years, we’ve been hyper-focused on helping small businesses compete against much larger companies for talent — companies that typically already offer dental insurance as part of their comprehensive benefits package. By removing many of the barriers small and micro-businesses have, we are helping to level the playing field. We’re also focused on helping all our clients. With healthcare costs rising each year, we decided to bend the cost curve by offering a rate pass to clients renewing their pooled group dental plans in 2019. By providing affordable dental benefits to all Arizona businesses regardless of size, we are helping them reduce lost work hours, recruit talent, retain talent and, potentially, keep their healthcare costs down.

Delta Dental of Arizona Delta Dental of Arizona is the leading dental benefits provider in Arizona, serving more than 1.2 million enrollees and more than 3,500 contracted dentists across the state. Passionate about oral health and its importance to generations of families, Delta Dental of Arizona has worked for more than 45 years to improve oral health by emphasizing preventive care and making dental coverage accessible to a wide variety of employers, groups and individuals. deltadentalaz.com

APR. 2019

27


Bob Meyer President and CEO Phoenix Children’s phoenixchildrens.org

WHAT INNOVATIONS AND/OR PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

Our focus is providing high-quality, highly specialized pediatric healthcare to children and families across Arizona. The goal is to simplify access for our patient families, to ensure they receive services no matter which part of town they live in. To that end, many of our specialists and other in-demand physicians rotate around our facilities across the metro. We aim to improve efficiency in our patients’ experience, and ensure children receive the care they need. A recent example of this is behavioral health. There is a huge demand for pediatric behavioral health in Arizona, yet there’s a shortfall of providers. Recognizing this gap, Phoenix Children’s developed what we deemed a “bridge program” to quickly connect patients in need of mental health services to licensed clinical social workers or psychiatric specialists who circulate though our medical offices around the Valley. Not only does this improve access to services for patients, it also decreases the number of patient admissions in our main hospital downtown. Another focus is delivering sought-after services to a growing community of young families in the East Valley. Phoenix Children’s and longtime partner Dignity Health are in the process of building a Women’s and Children’s Pavilion designed to bring together the state’s top obstetric and fetal experts, all under one roof. The stateof-the-art facility will be located on the Dignity Health Mercy Gilbert Medical Center campus, expected to open in 2020.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS. A challenge that comes with distributing services and opening new programs is a shortage of physicians. We have either recently opened or are in the process of opening new sites of service for patients receiving care in a wide variety of specialty areas, from sports medicine and ophthalmology to oncology, and even neuro-based rehabilitation. At the rate our community is growing, the

demand for comprehensive services will continue to grow, and, right along with it, the need for more specialists here in Arizona. To address the physician shortage, Phoenix Children’s continues to develop our specialty training programs and our academic partnerships to educate the next generation of pediatric experts and create a pipeline of talent to our organization. We currently offer 21 fellowship programs with six new fellowships on the way. Our aim is to train and retain exceptional pediatric talent here in Phoenix Children’s system.

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

Phoenix Children’s works with partners in the health industry to improve the patient experience across all aspects of the care continuum. As an example, Phoenix Children’s Care Network works with our contracted health insurers to build customized care-coordination programs for their insured members, many of whom work for large national employers. For instance, PCCN partnered with UnitedHealthcare to build an innovative new program that serves a population of patients with complex health needs. UnitedHealthcare recognized that members whose children face complex illnesses have historically experienced significant difficulties navigating a complicated healthcare landscape. The last thing a parent with an ill child should be concerned about is where to turn for help. So, UHC collaborated with PCCN to develop a solution for this population. Now, UHC members have access to PCCN’s robust care coordination services, which pair parents of medically complex children with Care Navigators. Our Care Navigators make sure these families have easy access to the appointments, services, equipment and devices they need — all covered within their healthcare plans. The initial results are very promising: extreme improvement in customer satisfaction and vastly better care coordination for children with chronic or complex conditions. This solution also delivers timely, proactive care, which may, over time, reduce the number of emergency visits and hospital admissions for these adolescent patients. It is a “win” for everyone.

Phoenix Children’s Phoenix Children’s is a statewide, interconnected pediatric health system with urgent care centers and specialty offices across Arizona, a wide network of community physicians and specialists, and partnerships with major health and academic institutions throughout the state, providing inpatient, outpatient, trauma and emergency care, and specialty care across more than 75 pediatric subspecialties. Phoenix Children’s is a destination for clinical research and education with a mission to train the next generation of pediatric experts. It is also home to the nation’s first-ever pediatric clinically integrated network, accredited by URAC. phoenixchildrens.org

At the rate our community is growing, the demand for comprehensive services will continue to grow, and, right along with it, the need for more specialists here in Arizona. —Bob Meyer, Phoenix Children’s

28

APR. 2019

INBUSINESSPHX.COM


David F. Berg President and Co-founder Redirect Health redirecthealth.com

WHAT INNOVATIONS AND PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

We’ve always been highly focused on helping small businesses provide affordable and meaningful access to healthcare, so we could turn this into their recruiting and retention advantage over larger competitors. Today, many of these companies and people are completely shut out of traditional insurance by high costs. Starting last quarter, we created a similar solution that enables people to get this service without going through their employer. For now, we’re doing this only in Phoenix — from Surprise to Mesa. We call it iEverydayCARE™. It’s the same cost as if their employer offered it, and we haven’t had to raise this price in four years. It’s working very well. These families can feel confident they can get primary care, labs and chiropractic without copays, deductibles, coinsurance, and irritating and worrisome out-of-pocket limits. And we can make many other services, like prescriptions and X-rays, very affordable. There is 24/7 English and Spanish access to a team of experts and doctors who always have the medical records they need in front of them. This means people can expect to get the care they need, in the most efficient way, with the aim of not needing to miss work because of an unnecessary doctor’s appointment. Navigation through the specialist, hospital, insurance and drug systems so that time and money is protected is a big part of what our members appreciate. We can make it much easier than they experience today with the traditional insurance model. We can even promise them same-day and next-day appointments and front-of-the-line privileges at the doctor’s office, so they don’t wait. An employer who is about to lose a valued employee to a competitor who provides health insurance can now recommend that the employee get iEverydayCARE instead of leaving. This would be a temporary solution until the employer can install Redirect Health in their company for all employees. Artificial Intelligence is impacting almost every aspect of healthcare. Just one upcoming example: Member service calls are all currently recorded at Redirect Health. Soon they will also be evaluated by AI. If a member needs extra help, AI can start the first steps toward resolving the issue, and also get a manager or doctor involved quickly. Overall, AI will make fast and reliable predictions and will promote even less friction, less cost and improved timelines for better healthcare treatments for Redirect members. I can see us very soon being able to make predictions that solve members’ challenges before they even know they’re about to be frustrated and waste time or spend unnecessary money. I’m really excited about this and much of my free time goes into learning about AI and other new technologies.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS.

INBUSINESSPHX.COM

When more than half of Arizona families earn less than $57,000 a year, and the out-of-pocket costs of traditional insurance is $20,000-$30,000 after taxes, it’s pretty obvious the arithmetic won’t work. This isn’t news anymore. What is very new is how our local hospitals are dealing with their bills for people who can’t afford insurance. It used to be that our local hospitals would work with families and give those without insurance the same prices they gave insurance companies or Medicare. It only seemed fair. Now, however, we see a tendency to charge uninsured people rates that are triple or even 10 times what they would be paid by insurance or Medicare. Most of our hospitals have merged and/or been acquired to become part of large national hospital corporations or nonprofits. Some hospitals in Arizona are, actually, legal business partners with huge insurance corporations. The kindness and “community feel” of our hospitals may still exist when we’re working directly with the doctors and nurses, but it is long gone when the dozens of bills arrive from corporate headquarters. Unless, of course, you know how to navigate the complexity. Failing to negotiate pricing, not watching that only necessary services are performed and billed, and not making sure the bills are correct can lead to collection notices and even bankruptcy. This is truer now than ever for something as routine as having a baby or an emergency like a burst appendix or a broken arm. Everybody needs help protecting their wallet today more than ever.

Redirect Health Redirect Health is a low-cost, small-business healthcare solution designed for better employee recruiting, retention and work injury cost reduction. It is exclusively for small businesses and families who feel shut out of the traditional health insurance models by complexity and high prices. redirecthealth.com

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

Businesses offer health plans for a reason: to attract and retain the people they need; to be competitive. As an exclusive new service for our clients, we’re committed to doing the initial recruiting for them so they can leverage their Redirect Health investment. The staff at Redirect Health continues helping businesses find low-cost, common-sense healthcare solutions. This hasn’t changed. But employees with meaningful access to healthcare work more productively when they have less stress and worry. High payroll deductions for unaffordable insurance are demotivating for many. For a business using Redirect Health, there are no deductibles, copays, coinsurance and out-of-pocket limits for the routine care. There is a huge competitive advantage of attracting better employees and keeping these employees longer. This strategy is particularly effective for those who make hourly wages of $20 or less. Costs from waste and unnecessary paperwork that frustrate and scare so many is reduced or eliminated. Healthcare becomes easy and truly affordable for even the lowest-wage earners in any company. Attraction of many job candidates and loyalty advantages that dramatically lower employee turnover costs are the result. Workers comp costs are held at minimum levels, too. It’s important to us that all our clients are confident they will see a return on their health plan investment.

APR. 2019

29


David A. Dexter President and CEO, Sonora Quest Laboratories, LLC President and CEO for Laboratory Sciences of Arizona, LLC sonoraquest.com

WHAT INNOVATIONS AND/OR PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

Sonora Quest is committed to providing innovative solutions to assist in improving health outcomes, including employers and employee wellness. One key to employee wellness is awareness. By providing employees with recommended screenings to help identify potential disease or health risks as early as possible, employees can take a proactive approach to manage their health more effectively. Other key factors are convenience and affordability to ensure patients get the diagnostic testing needed to monitor their health. With 75 Patient Service Centers located throughout Arizona, including 14 in Safeway stores, Sonora Quest has worked to improve access to convenient locations for lab services and offer easy-touse online appointment scheduling. Beginning in spring of 2019, patients in Maricopa County will have the opportunity to schedule a phlebotomist to come to them at their home or place of business for laboratory collection services at a reasonable cost. This convenience removes barriers from completing laboratory testing recommended by their doctor. For those who choose to take control of their own health, patients can order their own lab tests without insurance or doctor’s order through our My Lab ReQuest™ menu, which offers affordably priced wellness screens and tests to monitor chronic conditions or disease. This service is a great way to support local businesses who have wellness programs or goals in place to enable their employees to be proactive in managing their health, with results available in three to five days through our SonoraQuest.com secure patient results portal. With the increase of high-deductible health plans, some employees may be skipping recommended screenings or critical monitoring of existing chronic conditions such as diabetes. Sonora Quest has programs

to provide flexible payment options, including discounted pay-at-time-of-service rates and a collaboration with CarePayment® for a zero percent financing option with extended payment terms to make healthcare more affordable and accessible.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS.

The healthcare system is moving from volume and fee-for-service to value and bundled payment; this is transformational and disruptive. This transition is causing a fundamental shift from acute care to preventive care and wellness, to prevent chronic disease — where laboratory results and data analytics can fully support population health to dramatically improve patient outcomes and generate interventional savings. The challenges and opportunities this market transformation offers are numerous, and Sonora Quest is forging ahead with innovative solutions to address the tremendous opportunities to improve quality, healthcare outcomes and cost of care.

Sonora Quest Laboratories Sonora Quest is the market share leader in clinical laboratory testing in Arizona with 3,200 employees serving more than 23,000 patients every day statewide. We perform more than 60 million diagnostic tests per year and serve the entire continuum of healthcare. We offer a local comprehensive test menu that encompasses routine, molecular, prescription drug monitoring, cytogenetic, pathology and direct-toconsumer testing services. sonoraquest.com

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESS?

Another solution available to improve employee engagement and workplace wellness is to schedule an employer-sponsored on-site health fair where Sonora Quest employees will perform phlebotomy at the business’s location. Whether self-ordered through our My Lab ReQuest program, or requested under the oversight of a physician, employees/patients can access their test results online within days and have more meaningful and focused discussions with their healthcare provider — focusing on how to improve their results and overall health.

Wendy Arnone Regional CEO, Employer & Individual UnitedHealthcare uhc.com

WHAT INNOVATIONS AND PRODUCTS HAVE YOU LAUNCHED RECENTLY OR ARE PREPARING?

Technology is continuing to change how all Arizonans navigate the healthcare system, with new advances putting information at our fingertips and creating a more seamless and interactive healthcare experience. This results in improved health outcomes and reduced healthcare costs. Wearable sensors, for example, can help people track daily steps, monitor heart rates and analyze

30

APR. 2019

sleep patterns. Employers and health plans are now including fitness trackers as part of corporate wellness programs to help empower consumers to take charge of their health and, at the same time, reduce healthcare costs. UnitedHealthcare Motion® is a digital wellness initiative that enables people to earn more than $1,000 per year by meeting certain daily walking goals. When goals are reached, the earnings are deposited into the members’ health savings account or health reimbursement account

INBUSINESSPHX.COM


to help cover out-of-pocket medical expenses. Another critical aspect of technology is data analytics. Big data is a buzz word, but the applications are meaningful only if employers can make sense of the information. To help with that, employers are gaining access to online resources to help enable them to more easily analyze and make sense of health-related data. Health Plan Manager is an interactive tool introduced in 2018 that enables employers to analyze and understand health data, providing an analytics-driven roadmap to help improve health outcomes, mitigate expenses and empower employees to take charge of their health. It’s available to employers with self-funded health plans and as few as 100 enrolled employees.

No one wants to be surprised by a high out-of-pocket cost when they pick up a prescription. Our PreCheck MyScript technology enables doctors and patients to view precise medication costs in real time and obtain prior authorization before leaving the exam room. This may help to encourage the selection of lower-cost drug alternatives, such as generics, or by changing the pharmacy selected to fill the prescription. Nearly 115,000 prescribing physicians have already used PreCheck MyScript through various electronic medical record platforms. By the end of 2019, the app is expected to reach 80 percent of UnitedHealthcare network physicians who prescribe electronically.

TO PROVIDE A SENSE OF WHAT IS HAPPENING IN THE INDUSTRY, PLEASE SHARE THE CHALLENGES YOU ARE ADDRESSING TO ENABLE SUPERIOR HEALTHCARE SERVICES FOR YOUR CLIENTS.

IN WHAT WAY(S) ARE YOU FOCUSED ON HELPING BUSINESSES?

UnitedHealthcare UnitedHealthcare of Arizona is dedicated to helping people live healthier lives and making the health system work better for everyone by simplifying

UnitedHealthcare’s mission is to help people live healthier lives and help the health system work better for everyone. To improve population health and patient experience, deliver the best possible health outcomes and reduce medical costs, we have fundamentally transformed our entire network, product and clinical strategy to help achieve those objectives. For example, UnitedHealthcare offers consumer health insurance plans with multiple choices, leads the industry in transparency tools, and provides financial incentives for both providers and members. Value Based Care, for example, focuses on the quality of care our members receive from their providers and provides incentives to those providers when we can measure better health, better care and lower costs. We have also learned that one size doesn’t fit all, so we have created a spectrum of programs that meet providers where they are in terms of readiness for value-based contracts. In time, we believe more and more care providers will shift from fee-for-service to value-based models that reward quality healthcare. We also recognize the need for people to have access to quality and cost information about local medical services. By providing access to this type of information, people can feel more confident when evaluating treatment options and make better health and financial decisions for themselves and their families. For too long, people have had limited access to information about the quality of their healthcare choices and the costs associated with visiting a doctor or hospital. This lack of transparency is costing the U.S. healthcare system billions of dollars, while leaving people in the dark. UnitedHealthcare provides members with online and mobile transparency resources that provide quality of care and cost information. These resources provide information for more than 800 common medical services based on actual contracted rates with healthcare providers and facilities, offering people personalized estimates that are accurate the vast majority of the time and reflect the member’s actual health benefits plan, including any applicable deductibles or co-pays. By using our transparency resources, UnitedHealthcare members pay an average of 36 percent less than nonusers. In addition, people who use the online or mobile resources are more likely to select healthcare providers rated highly on quality and cost efficiency.

INBUSINESSPHX.COM

At UnitedHealthcare, we serve people from their earliest years through their working lives and into retirement. What unites us is our mission to help people live healthier lives and to help make the health system work better for everyone. This means we are dedicated to supporting better health and creating a better experience, all while making healthcare more affordable. We are well placed to make a distinctive contribution to solving one of the most important challenges of our time: how best to deliver and manage healthcare. Among the actions we have taken to achieve that for our business partners, their employees and all our members is transforming how we work as an organization, to enable our employees to take the time to understand our members’ needs and become a true partner in their care. Success for us means responding to each individual, every time, with compassion. Also, believing access to the right provider in the right place and at the right time is a priority for our members, we are transforming the way we work with care providers, collaborating to establish new ground rules based on improving patient care. By sharing our data and insights, we are helping physicians to deliver better clinical outcomes and make their practice more successful. We see the many steps in each patient’s journey in a way no other organization can — from the clinic to the pharmacy, for a hospital appointment or a home visit, for emergency surgery or a regular check-up — so we can bring together the pieces of the healthcare puzzle for people to make the system work better for them. And, because we know that good health is about more than clinical treatments, we take a “whole person” approach to care, connecting up the different services to create a personalized circle of support around an individual. Other actions involve working within the communities where our members live and work, because we recognize that healthcare is experienced and delivered locally. The reality is, the healthcare system as we know it today is unsustainable. It is essential to make quality care more affordable for everyone involved, building a more connected and aligned system. At UnitedHealthcare, we believe we have a distinctive role to play in the transformation that is underway to shape a more sustainable health system for the future.

the healthcare experience, meeting consumer health and wellness needs, and sustaining trusted relationships with care providers. UnitedHealthcare offers the full spectrum of health benefit programs for individuals, employers, and Medicare and Medicaid beneficiaries, and contracts directly with more than 30,000 physicians and care professionals, and 90 hospitals and other care facilities statewide. uhc.com

APR. 2019

31


SMART SUCCESS

Agents of Organizational Change The role of program and portfolio management in leading enterprise change by Valerie Zeller

Valerie Zeller is a growth strategist with more than 20 years of experience launching innovative solutions in the U.S. and Europe. As the chief marketing officer of Sciforma, she oversees and drives a highly agile global B2B marketing team to optimize marketing initiatives. sciforma.com

APR. 2019

32

INBUSINESSPHX.COM

There has always been a co-dependent relationship between program and portfolio management (PPM) and organizational change management (OCM). After all, projects are the agent of change, and change is required for enterprises to survive and thrive. Businesses need projects and programs to implement a strategic initiative, deliver a new service or bring a new product to market. However, this relationship is typically viewed from the perspective of how projects bring about organizational change, which can lead to managing change as an afterthought. Rather than focusing on how projects bring about change, let’s focus on how change brings about projects. This encompasses the role PPM plays in ideating and driving change, especially strategic change. From this perspective, change is not an afterthought or the byproduct of projects that need to be controlled and minimized; change, like digital transformation, is the forethought and central goal, whose impact needs to be leveraged and maximized. Leveraging PPM to lead change, rather than to simply react to it, starts with the presumption that any significant change should be treated as a project and managed by the program/ project management offices (PMOs). It is imperative that project organization leaders and PMOs embrace the perspective that PPM can be leveraged to lead change for two reasons: demand and investments. Demand: The demand for strategic change is accelerating as risk tolerance for change and willingness to change increases. At the same time, there is evidence to suggest that enterprise stakeholders are expecting PMOs to play a bigger role in leading OCM. According to Gartner research “Five Best Practices PMOs Can Use to Effectively Support Organizational Change” (www.gartner.com/ doc/3801869/best-practices-pmos-use-effectively), “In a recent Gartner survey, only 4.3 percent of respondents said that organizational change management was completely supported by a program and portfolio management (PPM) process in their organization.”

Investments: Investing in OCM leadership provides an opportunity for PMOs to promote and expand their value contribution to the business.

LEADING TACTICAL AND STRATEGIC CHANGE

PPM has the potential to lead the way for both types of change — tactical, which include a change in a claims processing workflow to add a legal approval step before management sign-off; and strategic, which are re-engineered mission-critical processes like online purchasing and fulfillment. PPM’s role in driving bottom-up tactical change: PPM systems support capabilities for collecting, scoring and ranking ideas. These include idea portals used to crowdsource ideas for change from the grassroots level. Idea management functionality typically includes features for promoting and weeding out ideas, as well as workflows to route the best ideas to relevant parties. Once ideas have been screened, they can become formal proposals. PPM systems support robust proposal management functionality to score and weigh proposals based on various selection criteria, such as strategy alignment. Strategy alignment answers the question, “With what strategies does this project proposal align?” The answer to this question should clearly demonstrate a direct line of sight with key organizational objectives and priorities. Without such clarity, most proposals for change can be safely ignored. PPM’s role in executing top-down strategic change: Because alignment is reactionary to strategy, it does nothing to proactively drive long-term competitive advantage. To do this requires a process for strategy execution. Strategy execution answers the question, “What projects do we need to stand up to implement this strategic change initiative?” This top-down, outside-in approach to driving project ideation and project activity — where strategy or change initiatives come first and projects follow — is critical to making strategic changes like business transformation a reality. Positioning organizations for the future with change analytics: Change analytics represent a future in which PMOs

The digital age has dramatically reduced the life expectancy of corporate strategic plans. Enabling the PMO and the entire organization’s people, processes and technologies to run at maximum speed is synonymous with supporting the company’s digitalization journey.


BETTERING YOUR BUSINESS preside over a data-centric operation rather than a primarily process-centric one. In this vision, PPM is the system of record and institutional knowledge base for information about available resources, future capacity, program issues and risks, and project and program interdependencies and outcomes. Essentially, change analytics leverage data that is the result of a formal process and approach to institutional learning for strategy formulation. Strategy formulation based on change analytics can be thought of as a prescriptive decision-support function that answers the question, “What changes should be pursued given what is known and can be predicted about our ability to execute?” In more simple terms, it’s about driving change based on what has and hasn’t worked, what could be predicted to work, and what is likely not to ever work.

LEVERAGING CHANGE ANALYTICS INFORMATION

PMOs that leverage PPM change analytics to drive strategy formulation have the potential to gain a seat at the business strategy development table, attain trusted advisor status, and influence long-term corporate strategy and competitiveness. Ways change analytic information can be leveraged in the strategy formulation process include: People information: PMOs are already the gatekeepers of resource information that include skills, affinities and interests, and they typically own capacity forecasting within the project organizations as well. By collaborating with human resources, PMOs are positioned to create an enterprise-wide talent optimization system that prepares the workforce culturally and skill-wise to drive, adapt to, and thrive on change. This is attainable especially if they leverage PPM scenario planning and resource modeling capabilities. Project and program information: This includes information that correlates project success metrics, like on-time and within budget, with factors like project type, project size and scope, and project leader and project team attributes, potentially with the support of AI and machine learning technology. This data can be used to develop a risk score for project selection, and to proactively remedy anticipated implementation points of failure and roadblocks. The information may also be used to structure change initiative roll-outs for success, such as scoping initial deployment phases to achieve quick wins. Process information: This includes determining which methodology or combination of methodologies (e.g., agile, waterfall, Lean, Six Sigma, Stage Gate™, etc.) work best in a particular situation, and what can be done to continuously improve the process to achieve optimal business and change management outcomes. This means analyzing project delivery processes and outcomes to understand what went right and wrong and what needs to be improved. It should be noted that the PMO system of record for institutional learning is not only relevant for changes associated with change initiatives and their component programs and projects, but it also supports what otherwise could be a traumatic event or existential threat to the business, such as changes in leadership or departures of key personnel. The change analytic system also serves as the corporate workforce memory for institutional knowledge that can be lost if not captured or digitized before significant planned and unplanned workforce transitions occur. By thinking about how best to lead change and maximize its value, rather than focusing on minimizing its impact, PMO and PPM leaders can effectively impact future growth opportunity. In a future where success — if not outright survival — depends on continually adapting and innovating, they may not have a choice.

Leading Loyalty In business, if people merely like you, you’re in trouble. They need to love you! In Leading Loyalty, readers will learn how building loyalty and modeling great customer service behavior to develop frontline teams is the key to building raving fans. Winning customers’ their hearts will not only result in them purchasing more — that’s the company they’ll talk up to everyone they know. But what turns casual customers into passionate promoters? What makes people stick for the long haul? Now Leading Loyalty reveals the principles and practices of these everyday service heroes — the customer-facing employees who cultivate bonds and lift revenues through the roof. Full of eye-opening examples and practical tools, Leading Loyalty teaches how to infuse empathy, responsibility and generosity into every interaction. Leading Loyalty: Cracking the Code to Customer Devotion Sandy Rogers, Leena Rinne and Shawn Moon Publisher: AMACOM

240 pages

On shelves: 4/16/2019

Rehumanize Your Business Every day, most working professionals entrust their most important messages to a form of communication that doesn’t build trust, provide differentiation or communicate clearly enough. It’s easy to point to the sheer volume of emails, text messages, voicemails and even social messaging as the problem that reduces our reply rates and diminishes our effectiveness. But the faceless nature of that communication is also to blame. Rehumanize Your Business explains how to dramatically improve relationships and results with customers, prospects, employees and recruits by adding personal videos to emails, text messages and social messages. It explains the what, why and how behind this new movement toward simple, authentic videos — and when to replace some of plain, typed-out communication with webcam and smartphone recordings. Rehumanize Your Business: How Personal Videos Accelerate Sales and Improve Customer Experience Ethan Beute and Stephen Pacinelli Publisher: Wiley

200 pages On shelves: 4/16/2019

$25

Sales Badassery This book turns the old way of doing things on its head to shift all the power to you. The common myth of sales strategy says prospects should be approached from a position of deference — they hold the superior position, forcing the salesman to supplicate, beg, make undue concessions and be at their beck and call during and after the sale. This indispensable work shows that levelling the playing field is not enough; the salesman needs to slant it in his direction. The innovative Sales Badassery philosophy enables one to turn oneself into an unstoppable sales powerhouse, taking no prisoners along the way. Best-selling author Frank Rumbauskas has distilled years of successful sales experience into an effective sales philosophy. This invaluable book provides the tools and guidance for transforming ordinary salespeople into top-level businesspersons. Sales Badassery: Kick Ass. Take Names. Crush the Competition. Frank J. Rumbauskas Jr. Publisher: Wiley

With the constant flow of real-time data, it is vital to frequently readjust the course of the business. To stay aligned with impermanent strategy, the strategic PMO must enable, embrace and seize the opportunity to spearhead organizational change.

240 pages On shelves: 4/16/2019

$25

33

APR. 2019

INBUSINESSPHX.COM


MINDING THEIR BUSINESS

Staying Local during Multimillion-Dollar Marijuana Buyouts GreenPharms owner prizes the complete source-to-sale control by Marie Paredes Saloum

Marie Paredes Saloum, owner of GreenPharms Dispensaries, has been a pillar in Arizona’s cannabis community since medical legalization was passed in 2010, eventually opening her first GreenPharms location in 2013. Saloum’s decision to join the cannabis industry was born out of a personal decision to take her husband’s care in a more holistic and natural direction after a severe car accident left him badly injured. Since then, GreenPharms has carved out a top-quality, family-first reputation, collectively dubbing the dispensary’s employees the Pharmily.

APR. 2019

34

INBUSINESSPHX.COM

I like to think that we’re in an era when the small business rules the roost. Being a small business in 2019 not only allows for versatility, mobility and scalability, but it also allows business owners to be in total control of their creative direction, expansion plans and advertising initiatives. What’s most important to me, though, is that maintaining a small size gives me that direct line between my clients and my organization. That said, my business is in a fairly new, emerging industry — medical cannabis — so a direct connection to my patients is crucial. But within the broader modern-day consumerism landscape, we’re seeing major shifts toward convenience, trustworthiness and localism. Just look at the way we shop now: We want one-stop convenience, ease of access and, for most of us, a friendly face to buy from. We read reviews; take recommendations; research the exact products we want; and make quick, informed decisions about what to buy and when. In considering the general public’s shopping habits and all the operating benefits of owning a small, scalable business, I have actively and intentionally kept GreenPharms Dispensaries a small, familyowned business since we opened in 2013. Not a single outside dollar invested, and that’s the way I like it. Even amid the massive, multimillion-dollar buyouts that large investment firms have facilitated in the state of Arizona in the last several months, I have always maintained that GreenPharms would be a family operation. In the last 12 months, a considerable percentage of my top competitors have succumbed to the lucrative appeals of large corporate buyouts. One of the largest cannabis companies trading on the New York Stock Exchange has aggressively expanded its presence in the state, buying up some of the most recognizable brands in Arizona’s marijuana market in recent months. These brands are still in business, operating now with much more capital than they might have had before, but, in truth, I don’t feel much added pressure. Simply put, the consumer wants an authentic, local connection to what they’re purchasing, and no amount of money in the world can manufacture that. Moreover, in the medical cannabis industry, our customers are actually our patients, and I believe I have an obligation to service my patients with the highest caliber of care possible — a goal I don’t think I could truly accomplish if forced to play by someone else’s rulebook. For GreenPharms, locality is key. We are a self-contained supply and logistics train, overseeing every step between branding, production, quality assurance, packaging, shipping and, ultimately, sale. We own the land that we produce our products on, which allows us to employ eco-conscious, sustainable growing practices. We create and test new products all year long in our own facilities to stay on the

industry’s leading edge. We partner with other local vendors to provide our patients with the highest quality products in Arizona. In my eyes, these are all the perks of owning my own business. Not having to do anything by someone else’s preferred method means I can confidently put my name on anything GreenPharms and guarantee the quality and care that went into procuring that product. In other words, it’s my way or the highway. One small business hurdle that’s specific to the medical cannabis industry is the idea of focusing on organic growth and brand recognition while also avoiding the stigmas associated with marijuana, that, at this point, are quite frankly pretty stupid. The whole Matthew McConaughey character from Dazed and Confused — that’s not GreenPharms, and it never will be. Getting there has been a bit of a challenge, but at least I have the ability to fight back against the status quo and maybe even change a few minds along the way. Operating within the tenets of someone else’s business plan wouldn’t allow me to do that in the same way. Like many small-business owners, my bottom line isn’t just about the Benjamins. I find that so many of my local businessowning peers want much more than that. We’re focused on educating our consumers, providing the best products and services for our communities, and building loyal relationships. These things aren’t impossible to accomplish across state lines or from under the banners of large corporate powerhouses, but they’re easier to do when you’re the one calling the shots — that’s why GreenPharms is committed to remaining local during the multimillion-dollar marijuana buyouts. GreenPharms Dispensaries greenpharms.com

Arizona’s cannabis industry has become highly corporatized in recent months as large, publicly traded cannabis companies have bought many local companies in Arizona’s marijuana market.


BY MIKE HUNTER

In Business Magazine

Priority: Healthcare Fri., April 19 | 10:30a - 2:30p In Business Magazine’s annual healthcare symposium 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. This is a perennially hot topic, as advances in knowledge and technology open new avenues. In three in-depth panel presentations, with the top healthcare and business leaders in the Valley, the symposium will answer questions related to the healthcare changes and services for business and help attendees gain insight from top leaders on what to expect and learn how to save money — helping business owners understand how to use healthcare as a tool to build business. Panel topics are “How to Build the Bottom Line with Healthcare,” “Healthcare Can Make for a More Productive Workforce” and “Rethinking Wellness Strategies in the Workplace.” The presentations will take place in an exciting new venue and format, as we converge on the lakeside location of Tempe Center for the Arts to enjoy gourmet boxed lunches. An EXPO will take place both preceding and following the luncheon — a high-level and engaged forum at which healthcare companies will be showcasing the products and services they offer to businesses. —RaeAnne Marsh $45 Tempe Center for the Arts 700 W. Rio Salado Pkwy., Tempe inbusinessphx.com

APRIL 2019

SAVE THE DATE

Conscious Capitalism, Inc.

2019 Conscious Capitalism Annual Conference Tues. – Thurs., April 23 – 25 8:00a – 1:00p The 2019 Conscious Capitalism Annual Conference is where business leaders go to dive deeper into their personal story, explore their why, and join together with hundreds of Conscious Capitalists from around the world to learn from each other’s experiences, best practices and win-win-win solutions to uncover the how of Conscious Capitalism. Over the course of three days, community members will experience an event curated especially for Conscious Capitalists seeking to deepen their business practices and take their leadership to the next level. Attendees can expect an experiential event designed to meet each person wherever that individual is on his or her journey as a business leader. In a setting that celebrates both a cultural heritage and natural beauty at a world-class resort on Gila River Indian Community land, an international assemblage of more than 800 will have the opportunity to make personal connection as they share ideas and experiences. A diverse and extensive slate of Conscious Capitalism leaders is scheduled to speak at this three-day conference. To name just a few: Corey Blake, founder and CEO of Round Table Companies and publisher of Conscious Capitalism Press; Michelle Cirocco, chief social responsibility officer of Televerde; Daniel Friedland, CEO of SuperSmartHealth; John Mackey, co-founder and CEO of Whole Foods Market; Greg Malkin, founder of Young Entrepreneur Institute; Kristin Richmond, co-founder and CEO of Revolution Foods; Raj Sisodia, professor of global business at Babson College; Robert Stone, lieutenant governor of the Gila River Indian Community; Sunny Vanderbeck, co-founder and managing partner of Satori Capital; and Brian Wellinghoff, founding partner and currently director of strategy at the Barry-Wehmiller Leadership Institute. —Mike Hunter $995 with special code CCAZ19 Sheraton Wild Horse Pass

APRIL 2019 S M T W T F S

5594 W. Wild Horse Pass Blvd., Chandler

Upcoming and notable 26th Annual Enterprise Business Awards Luncheon Thurs., May 2

May

2

Event presented by the U.S. Small Business Administration celebrates Arizona’s best small businesses making a difference. asba.com 61st Annual Black & White Ball and Business Awards Sat., May 4

May

4

This formal gala is the longestrunning event of its kind in the Valley. azhcc.com Economic Development Summit – West Valley Infrastructure Wed., May 15

May

15

Panels on water resources, transportation, and changing technologies. westmarc.org Deal of the Year Award reception at the Arizona Biltmore Tues., May 21

May

Annual award by the Arizona chapter of the Association for Corporate Growth. acg.org/arizona

21

consciouscapitalism.org

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 APRIL 2019 NOTABLE DATES 17 18 19 20 21 22 23 Mon., April 15 – Tax Day 24 25 26 27 28 29 30 Fri., April 19 – Good Friday 31

Fri., April 19 – Passover begins (sundown)

Sun., April 21 – Easter Mon., April 22 – Earth Day

35

APR. 2019

INBUSINESSPHX.COM


APRIL 2019 Thurs., April 4

11:30a – 1:30p

Executive of the Year Luncheon Economic Club of Phoenix Honoree and speaker is Doug Parker, CEO of American Airlines. $85

JW Marriott Desert Ridge Resort & Spa

5350 E. Marriott Dr., Phoenix

wpcarey.asu.edu/economic-club Fri., April 5

Tues., April 2

6:00p – 7:00p

Doing Business with the City of Phoenix Local First Arizona Interested in expanding your client base and revenue stream to include the City of Phoenix? Don’t miss your opportunity to work and learn from Phoenix representatives on everything from what the city purchases to becoming a vendor for preferred products and services. Free Burton Barr Central Library 1221 N. Central Ave., Phoenix localfirstaz.com 2

3 Tues., April 2

4 Tues., April 9

11:00a – 1:00p

Professional Women’s Alliance featuring Pam Giannonatti Greater Phoenix Chamber of Commerce Pam Giannonatti, Kroger corporate affairs manager for the Fry’s division, shares what she has learned from her personal career advancement, and what skills others can use on their own journey.

Achieve Greater Success by Living Authentically

Tempe Chamber of Commerce

Enterprise Bank & Trust

The Tempe Chamber is the only chamber in the United States with a Sustainability Pledge program dedicated to engage and educate businesses on sustainability practices. This event will include national and local experts who will offer business solutions and programs to help an organization save money and resources through sustainable practices. The event includes a small exposition and a plated breakfast.

The right way for any person to lead is the style that is authentic to him or her. Instructor Cindy Gordon will help attendees gain a new perspective on leadership that can be used to empower every employee within their organization, develop tools to increase employee engagement, and arm themselves with resources to help them communicate with more conviction and confidence

Members: $30; general public: $40

Free

Hilton Garden Inn Phoenix-Tempe ASU Research Park

Arizona Small Business Association

7290 S. Price Rd., Tempe

11811 N. Tatum Blvd., Phoenix

tempechamber.org

asba.com

5

9

8:30a – 1:15p

‘The War for Talent’ Workforce Symposium Arizona Association for Economic Development Retaining a workforce is more cost-effective than recruiting a new one. This thought-provoking, lively presentation will examine high-quality training for labor, with keynote speaker Fred Ingersoll, apprenticeship training manager with Construction at KATERRA. Members: $75; non-members: $100; after April 4: $125

Phoenix Country Club

aaed.com

Phoenix Country Club

2907 N. 7th St., Phoenix Tues., April 9

phoenixchamber.com Wed., April 3

Leading and Communicating with Style

Glendale Chamber of Commerce and Thryv

Enterprise Bank & Trust

Lunch & Learn, held the first Tuesday of the month through the end of 2019, will offer attendees practical tools to help them grow their business. This session will cover Search Engine Optimization, Websites, and Search Engine Marketing (PPC).

Arizona Small Business Association

11811 N. Tatum Blvd., Phoenix

asba.com

INBUSINESSPHX.COM

For more events, visit “Business Events” at www.inbusinessphx.com

Free; registration required as space is limited Glendale Chamber of Commerce in the BNC National Bank Conference Room

Free

36

11:30a – 1:00p

‘SEM vs. SEO: What is what and how does it benefit my business …?’

8:00a – 11:30a

The ability to effectively relate, communicate, influence and motivate others is a critical skill in creating successful business relationships. Instructor Tracy Bullock will help attendees learn how to modify their behavior based on other people’s work styles, create best practices to achieve desired outcomes they expect from meetings, and develop a toolkit to improve the effectiveness of meetings they attend.

APR. 2019

8:00a – 11:30a

Emerging Issues Forum: Sustainability Summit

Members: $35; non-members: $45; members may attend free without lunch 2901 N. 7th St., Phoenix

Tues., April 9

7:30a – 11:00a

5800 W. Glenn Dr., Glendale glendaleazchamber.org

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


Thurs., April 18

5:00p – 9:30p

Annual Leadership Awards Dinner 2019 Mesa Chamber of Commerce

9:00a – 11:00a

‘The Strategic Role of the Simple Job Description’

8:00a – 11:30a

Strategically Planning for Success Enterprise Bank & Trust

Admission cost not available by press time

Building one’s dream business shouldn’t make one lose one’s mind. With instructor Clifford Jones, attendees at this session will learn how to develop a plan that helps their team prioritize, achieve performance results and generate success for their business.

The Falls Event Center

Free

4635 E. Baseline Rd., Gilbert

Arizona Small Business Association

mesachamber.org

11811 N. Tatum Blvd., Phoenix

Event honors business excellence and leadership.

Wed., April 17

Tues., April 30

asba.com

Arizona Commerce Authority As organizations position themselves for growth, it is not uncommon to focus on product and process, and then just assume that the people component will take care of itself. Here’s a reality check. As organizations move forward, often their people are trapped in survival mode clinging to the “status quo,” resulting in a negative “organizational drag” that limits the company’s growth potential.

Wed., April 24

$49

Members: free; future members: $10

Arizona Commerce Authority

Peoria Chamber of Commerce

100 N. 7th Ave., Phoenix

8385 W. Mariners Way, Peoria

azcommerce.com

peoriachamber.com

16

17

Noon – 1:00p

Hot Topics & Lunch: SEM vs SEO Peoria Chamber of Commerce This will be an information-packed session on the difference between SEO and SEM and how to determine what’s best for your business, including a discussion of best practices and some dos and don’ts that will save you time and money. Lunch is included.

18 Thurs., April 18

23

24

30

8:00a – 9:30a

Economic Development Insider Series Greater Phoenix Chamber of Commerce Jim Rounds, president of Rounds Consulting Group, local economist and policy expert, will share updates on the economic impact of legislative issues affecting business this year, and how strategic growth focused on high wage jobs will pave the way for our economic future. Members: $25; non-members: $95 Fennemore Craig

2394 E. Camelback Rd., Phoenix

phoenixchamber.com Tues., April 16

7:00a – 9:00a

Tues., April 23

8:00a – 11:30a

Tues. – Wed., April 30 – May 1

9:00a – 5:00p

Arizona Food and Farm Forum

ACG Arizona breakfast at the Arizona Biltmore

The Brand Called ‘You’

Association for Corporate Growth – Arizona

Enterprise Bank & Trust

The program will be an in-depth panel discussion on M&A and private equity, presented by True North Companies. True North’s James Colyer will be moderator, with panelists John Farr of Columbia West Capital, Stefan Okhuysen of CVF Capital, Chris Sheffert of Inoca Capital and Kevin Fechtmeyer of Cave Creek Capital.

Building a personal brand is more than just delivering goals with excellence. With instructor Tracy Bullock, attendees at this session will learn the components of turning “high performance” into “high visibility.”

The two-day conference is for producers, food entrepreneurs, and local food advocates, programmed to change the way our desert state feeds itself. The event features networking sessions, nationally-acclaimed keynote speakers, instructional workshops, and the opportunity to grow the local food community.

Members: $59; non-members: $79; after April 12: add $10

Free

1-day admission: $59; 2-day admission: $99

Arizona Biltmore Resort & Spa

Arizona Small Business Association

The Farm at Agritopia

2400 E. Missouri Ave., Phoenix

11811 N. Tatum Blvd., Phoenix

3000 E. Ray Rd., Gilbert

acg.org/arizona

asba.com

localfirstaz.com

Healthcare

Services

MAGAZINE

APR. 2019

IN BUSINESS

Special Section: 2019 Business

HEALTHCARE

Workplace Wellness

Key to busi ness success?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G: New Era for Business

INBUSINESSPHX.COM

THIS ISSUE

Arizona Technology

Council

Influencer Marketing Pay Off? Does

$7.95 INBUSINESSPHX.COM

Guide

DON’T MISS OUT!

Get a year of In Business Magazine Subscribe now at inbusinessphx.com

Local First Arizona

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

37

APR. 2019

INBUSINESSPHX.COM


WE VALUE WHAT WE OWN

2019 Grand Cherokee Trackhawk 4X4

2019 GRAND CHEROKEE TRACKHAWK 4X4 MSRP: $88,395 City: 11 mpg Hwy: 17 mpg Trans: 8-speed automatic 0–60: 3.5 sec

Jeep has gone ultra-luxury with this rugged, highperformance, four-wheel drive. The supercharged 6.2-liter V8 engine has up to 707 horsepower and 645 pound-feet of torque and is an extreme example of unrelenting muscle. This engine can go 0 to 60 in a mere 3.5 seconds and can tow up to 7,200 pounds. Not bad for Jeep, one may think. Actually, not bad for any vehicle of any size. All Grand Cherokee engines are mated to the TorqueFlite® eight-speed automatic transmission. In addition to enhancing fuel economy, the robust and durable eight-speed transmission delivers quick acceleration and precise, smooth shifting, enhancing ride quality to luxury-car levels — which, given its track-ready SRT®-tuned Bilstein® competition suspension, gives drivers improved control and varying performance levels. Internal technologies come to life within reach of the dashboard. The Uconnect 4C NAV includes an 8.4-inch touchscreen for displaying music info and climate controls, an AM/FM radio, available SiriusX with one year of service and integrated Voice Command, which includes hands-free calling,

voice commands for radio functions, Bluetooth® Streaming Audio, easy prompts and voice commands for navigation. It may not have the look of some high-performance competitors, but the ultimate Grand Cherokee is insanely fast and seats a family in comfort. While it’s the most expensive Jeep ever, it’s also one of the most powerful SUVs on the planet and one of the quickest. When we crunch the numbers and compare the stats, this absurd Jeep delivers the best value versus all high-end, high-speed SUV alternatives. —Mike Hunter Jeep jeep.com

Take a Spa Time-Out Sitting at a desk. Clutching a phone. Inundated with information. Weighted by decisions. Stress and tension often go together, and there’s little that beats a good massage to regain a clear outlook. Local spas have earned high marks for these and other rejuvenative treatments. —RaeAnne Marsh Services

MAGAZINE

Guide

HEALTHCARE

Workplace Wellness

Key to busi ness success?

Enterprise Change:

APRIL 2019

Be Proactive, Not Reactive

5G:

New Era for Business

INBUSINESSPHX.COM

THIS ISSUE

Arizona Technology

Council

Influencer Marketing Pay Off? Does

$7.95 INBUSINESSPHX.COM

DON’T MISS OUT!

Get a year of In Business Magazine. Subscribe now at inbusinessphx.com

APR. 2019

38

INBUSINESSPHX.COM

Aji Spa

LeMonds Aveda Salon – Spa

“Aji” is the Pima word for

Aveda Spa at The Wigwam resort is 26,000

“sanctuary,” and, with the

square feet of Southwestern-inspired

Sheraton Grand at Wild Horse

amenities that include a private, co-ed lap

Pass sitting within the Gila

pool surrounded by courtyard, 15 treatment

River Indian Community, it’s no

rooms, sauna and steam room, and three

surprise its Aji Spa offers unique

couples suites that have their own Jacuzzi

treatments from an authentic

and a private balcony or patio with outdoor

Native American spa menu.

shower. Ayurvedic treatments incorporate

5594 W. Wild Horse Pass Blvd.,

natural ingredients from the earth and sea.

Phoenix

300 E. Wigwam Blvd., Litchfield Park

(602) 225-0100

(866) 976-6894

bit.ly/wild-horse-pass

wigwamarizona.com/spa

Well & Being Spa

Well & Being Spa Well & Being Spa at the Fairmont Scottsdale Princess was recently awarded four stars from the prestigious Forbes Travel Guide — for the 10th year in a row. Among the amenities at this 44,000-square-foot facility are 27 treatment rooms, a waterfall grotto, a rooftop pool and state-of-the-art gym with expert instruction. Well & Being shares its exceptional four-star rating with only nine other spas in the entire State of Arizona. 7575 E. Princess Dr., Scottsdale • (480) 585-4848 scottsdaleprincess.com/spa-well#well-being

It’s a Jeep Thing: While it’s not necessarily difficult to comprehend, this phrase is almost a verbal handshake amongst Jeep enthusiasts; another rite of passage akin to the infamous Jeep Wave. The “courtesy” of this acknowledgement has risen to such heights that Madison Avenue has encouraged the phrase and continues to market it. The Trackhawk 4x4 may just be the pinnacle of its meaning.

Photos courtesy of Jeep (top, left), Well & Being Spa (bottom)

Healthcare

APR. 2019

IN BUSINESS

Special Section: 2019 Business


Turn your office or any room into a guest room – then turn it back in seconds

Get Organized. Get Extra Space. Have a Guest Bed PLUS: Save $300 on any Wallbed priced $2,700 or more!

YOUR WALLBED EXPERTS

Chandler/Ahwatukee: SW corner of 48th St. and Ray Rd. 4729 E. Ray Rd. • Phoenix • 480-535-8848 Scottsdale: SW corner of Frank Lloyd Wright and the 101 15705 N. Hayden Rd. • Scottsdale • 480-378-0093

iLoveWallbeds.com


MEALS THAT MATTER

BY RAEANNE MARSH

Tomaso’s – for the Love of Italian CHICKEN PARMIGIANA Parmesan-crusted breast of chicken baked with tomato sauce and mozzarella, served with vegetables of the day. $18

ESCARGOT Garlic butter and brandy reduction; served with grilled bruschetta. $14

Tomaso’s on Camelback’s longevity in a prominent Phoenix corridor is well-deserved. Chef restaurateur Tomaso Maggiore imbues the experience — from entering the warm timelessness of the upscale establishment to the final forkful of dessert — with an obvious love for what he creates. This is not a place for a hurried lunch; rather, it is a perfect choice to savor conversation and repast with a favored client or colleague. The menu continually evolves as Tomaso brings new ideas back with him from his regular visits to his native Sicily. Another import that results from those visits is Monte Olimpa wines – a winery where, as a partner, he makes sure to be onsite for the wine blendings. Good wine is a necessity with a good meal, he fervently believes, and offers a selection of wines by the glass for the mid-day occasions, when a full bottle might not be appropriate. A great starter to enjoy with the fresh, crusty but light bread brought to every table is an antipasto plate highlighted by Tomaso’s house-cured olives (locally sourced), mellow and supremely flavorful. A couple of newer items on the menu are a seafood risotto, with baby octopus, calamari and lightly crusted scampi; and Spaghetti Cacio e Pepe, fresh pasta prepared simply with Pecorino Romano cheese and ground black pepper. While traditional favorite Veal Marsala resides on the dinner menu, a chicken dish with this rich mushroomMarsala demi-glaze is available for lunch.

And, of course, dessert (a culinary treat that, with the recent opening of The Sicilian Baker, now holds its own among The Maggiore Group’s restaurants). Among the choices: a classic tiramisu; cannoli, its creamy filling bursting out of its light, flaky cylinder; and cassata al forno, warmed ever so slightly to enhance the creaminess of the ricotta filling dotted with chocolate chips. To enable patrons to sample several dishes, the wait staff is happy to split an order into shareable portions. Tomaso’s 3225 E. Camelback Rd., Phoenix (602) 956-0836 tomasos.com

A Broad Spectrum of Flavors Abroad Fried pastry cylinder with sweet, creamy filling.

APR. 2019

40

INBUSINESSPHX.COM

The Valley is blessed with a plethora of great restaurants, including an international smorgasbord of choices. Here are a few of the standouts around the Valley that offer a change of pace, place and palate. Marigold Maison

Caribbean Queen

Haus Murphy

Not strictly Caribbean, the menu

Multiply awarded and earning an

Marigold Maison

also draws on European and

appearance on “Diners, Drive-In and

Sandwiched between fast food eateries, this small

American influences, with a

Dives,” the restaurant serves traditional

restaurant serves authentic Indian food worth taking

significant portion being jerk dishes

Bavarian food in ample portions and even

time over. It serves lunch 11:30 to 2:30, then reopens

and vegan dishes. Opens at 11:00.

features a beer garden. Not open till noon.

at 5:00 for dinner.

219 E. Baseline Rd., Tempe

5739 W. Glendale Ave., Glendale

4720 E. Cactus Rd., Paradise Valley

(480) 361-7445

(623) 939-2480

(602) 795-0020

thecqaz.com

hausmurphys.com

marigoldmaison.com

An illuminating quote from Chef Tomaso Maggiore, who has welcomed guests to the Old World atmosphere of Tomaso’s since 1977: “Great food is symbolic of love when the word alone is inadequate.”

Photos courtesy of Tomaso’s (top and far left) and Marigold Maison (bottom)

CANNOLI


Spring 2O19 • aztechcouncil.org

IN THIS ISSUE 2 National Group Honors Schweikert for Tech Efforts 3 Digital Goods Bill Threatens Heavy Taxation 4 Global Impact in the Sights of Committee 5 New Reader Experience Accompanies Magazine 6 2 Board Additions Bring Innovation Experience

Arizona Technology Report

Arizona Technology Council: The Voice of the Technology Industry

President’s Message

You might say Clyde Tombaugh was literally starstruck when he worked to help put Arizona on the map in the world of astronomy. What? You’ve never heard of him? His was a story filled with persistence and alertness. Although he wanted to pursue astronomy after an uncle loaned him a telescope, a lack of funds kept Tombaugh out of college and forced him Steven G. Zylstra, President and CEO, Arizona to build his own telescopes. Drawings Technology Council of the planets Mars and Jupiter that he made with the help of those homemade telescopes caught the attention of staff at Lowell Observatory. As a result, Tombaugh The Arizona Technology Council is Arizona’s premier trade association for was hired to conduct planet-search photography in Flagstaff, with a focus on finding science and technology companies. “Planet-X” at the edge of the solar system. Did he find anything? We recently marked the 89th anniversary of his discovery that Phoenix Office came to be known as Pluto, at the time considered the ninth planet. Tombaugh did this 2800 N. Central Ave., Suite 1530 just a few weeks after his 24th birthday. (You can bet getting a scholarship to attend Phoenix, AZ 85004 Phone: 602-343-8324 • Fax: 602-343-8330 college wasn’t a problem after that.) info@aztechcouncil.org Regardless of Pluto later being reclassified as a dwarf planet, there is no discounting Tombaugh’s discovery still was a breakthrough of major proportions. In fact, he was Tucson Office recognized recently by members of the Arizona Senate as an example of the tremendous 1215 E. Pennsylvania St. contributions that the state’s scientific community make. Tucson, AZ 85714 Phone: 520-388-5760 In their resolution, the senators cited Arizona’s rich history of scientific discovery and tucson@aztechcouncil.org excellence that now is sustained by a new generation. They include scientists ranging from those who make major contributions that support the health and well-being of our citizens through biomedical and clinical research to those who explore and MANAGEMENT AND STAFF protect Arizona’s history through their work in the field of archaeology. Steven G. Zylstra President + CEO In addition, innovators involved with water conservation, one of the most Leigh Goldstein COO + Vice President, Programs + Events Pat Krueger Director, Finance + Administration pressing issues facing Arizona’s citizens and economy today, were credited Jill Brownley Director, Marketing + Communication with thinking of new solutions. Also, the state’s scientists and engineers are Deborah Zack Senior Director, Membership Services helping make the state safer through infrastructure research and construction. Meredith Orr Director, Membership Services Laura DeGeorge Executive Assistant to President + CEO The legacy established by Tombaugh and other pioneers continues Angelica Espinoza Bookkeeper with nearly 100,000 scientists and engineers working in Arizona as of 2017, Jeff Sales Executive Director, Southern Arizona Regional Office Jamie Neilson Operations Manager, Southern Arizona Regional Office according to the U.S. Bureau of Labor Statistics. The resulting culture of Don Rodriguez Editor excellence has become a draw credited with more than 4,000 technologyRon Schott Executive Emeritus, Phoenix sector jobs being added here in 2017. Don Ruedy Executive Emeritus, Tucson Justin Williams Executive Emeritus, Tucson The resolution cites that all scientific work done in Arizona benefits our citizens directly and indirectly since the strong relationship between scientists ARIZONA TECHNOLOGY COUNCIL FOUNDATION and the state improves life for everyone. More specifically, while Arizona’s Steven G. Zylstra, President + CEO Jeremy Babendure, Ph.D., Executive Director scientific community fuels economic growth through innovation, the results of Kelly Greene, COO + Director of Student Success scientific inquiry also promote health and prosperity. Take a look at Arizona’s Rhonda Hemming, Director of Manufacturing Outreach thriving economy as proof. Pat Krueger, Director, Finance + Administration

WHO WE ARE

Kindra Maples, Director of Mentor Outreach Jasper Pena, Digital Systems Manager Kaci Fankhauser, STEM Ecosystem Coordinator Angelica Espinoza, Bookkeeper Kassandra Camarillo, AmeriCorps VISTA Tanya Rincon, AmeriCorps VISTA Don Ruedy, Executive Emeritus, Tucson

aztechcouncil.org

ARIZONA TECHNOLOGY REPORT

1


National Group Honors Schweikert for Tech Efforts Rep. David Schweikert (R-AZ) is winner of a CompTIA Tech Champion Award given to leaders focused on driving innovation, job growth and advancements for the information technology industry. The Tech Champion Awards are given annually to a member of the House of Representatives, as well as a member of the Senate and an industry executive who has exemplified leadership in the technology sector. Sen. Gary Peters (D-MI) and Stephen T. Cobb, technology thought leader and senior security researcher at ESET, were this year’s other winners named at a dinner held Feb. 5 as part of the 2019 CompTIA DC Fly-In. Schweikert co-chairs the Congressional Blockchain Caucus, leading efforts to educate lawmakers on how blockchain can be implemented. He also has introduced bipartisan legislation to modernize tax laws for cryptocurrencies and to establish a 10-year plan that can accelerate the development of quantum information science and technology applications. The Arizona congressman also has supported legislation promoting research for science, technology, engineering and math programs, and streamlining federal investments at the National Science Foundation and the National Institute of Standards and Technology. He also participates in the annual Congressional App Challenge that encourages students across the nation to create their own apps and pursue careers in technology. CompTIA, or the Computing Technology Industry Association, is the leading voice and advocate for the $1.5 trillion U.S. information technology ecosystem, and the more than 35 million industry and

Rep. David Schweiker

tech professionals who design, implement, manage and safeguard the technology that powers the world’s economy. CompTIA’s Public Sector and Advocacy arm champions industry innovation, a skilled workforce and solutions that drive business. It advocates on behalf of a diverse technology sector through public affairs efforts at the federal, state, local and international levels and through exclusive public sector councils.

Grant Is Sign of SciTech Institute’s Stepping Into Its Own Spotlight It’s one thing to take the lead on building Arizona’s STEM ecosystem, but it’s a plus when that recognition goes beyond the state’s borders. The SciTech Institute, a collaborative initiative of the Arizona Technology Council and the Arizona Commerce Authority, has been awarded part of a $1 million Southwest Airlines Charitable Grant, which focuses on building a stronger workforce for tomorrow. Of more than 300 applicants, the foundation was one of only 24 organizations across the United States to receive grants for their efforts in promoting leadership; science, technology, engineering and math (STEM); and workforce development. The Institute will utilize the $50,000 grant to support STEM programs and education that provide students with opportunities to make sense of the world holistically, as well as support and promote initiatives that attract, grow and retain world-class technology talent in Arizona. “We are truly honored and humbled to be awarded such a generous grant from the Southwest Airlines Foundation,” says Executive Director

2

ARIZONA TECHNOLOGY REPORT

Jeremy Babendure. “Our goal is to inspire and engage students with STEM activities so they can see themselves in a STEM career.” The award comes at a time when the Institute is working to increase its individual brand recognition despite its already being known for spearheading some of the strongest STEM initiatives in the state. They include the Arizona SciTech Festival, the Chief Science Officers Program, Arizona Middle School and High School Science Bowls, the Counting Bee and Science for All. Part of the branding is changing its established gecko logo to incorporate the same colors of the Council mark, Babendure says, “so it has the same kind of feel of the Council but really has an updated name and brand.” The colorful tribute to its ancestry still leaves room for the Institute’s developing its own identity as it moves forward. “It really is coming into our own of what we can accomplish and who we will be,” Babendure says. “We now embrace our next phase of development.”


Digital Goods Bill Threatens Heavy Taxation for Arizona

Paying your fair share of taxes. Members of the Arizona Technology Council recognize that is part of doing business. Consider Senate Bill 1460 in the Arizona Legislature. The measure was designed to create parameters for determining the taxable status of digital goods and services at state and local levels. The Council and its members fully support the original intent of the bill because it would help ensure that digital goods and services are not unnecessarily taxed or overtaxed. As of press time for this edition, however, there was an amendment that had the potential of making Arizona one of the most aggressive states in the country on taxation of digital goods. According to the Arizona Department of Revenue (DOR), computer software and digital goods are generally taxed under the retail and personal property rental classifications. The amendment proposed by the League of Arizona Cities and Towns, however, would codify that everything but a few exceptions is taxable. The group offers the presumption that all software is tangible personal property, a concept that none of the industry experts across the United States supports. The cause of great concern is the basis for taxing subscription digital products. While the rental of personal property classification was created for tangible property leased or rented to someone who retains exclusivity of the product before returning it to the owner, this method cannot be used when it comes to digital products such as cloud services. DOR has made multiple unsuccessful attempts previously at doing so. The League’s recommendation would bring a massive tax increase to companies in the state. Additionally, the Council believes codifying under such an assumption would only continue the ongoing legal challenges in this area. Arizona over the last decade has been very successful at attracting

aztechcouncil.org

and growing the technology industry as it becomes a hub for this sector. This legislation could greatly jeopardize that progress while simultaneously working to undo the pro-business reputation that Arizona has built. The Council believes the language of SB1460 as passed out of the Senate Finance committee last year was a middle ground. The measure has been narrowed in scope by the proponents of the underlying bill while the League is only offering language exempting items that it did not believe were taxable last year. The group’s new claim that considerable revenue is lost by exempting hosting and authenticating services after previously agreeing they shouldn’t be taxable seems disingenuous. The only real change in position from last year is a carveout specifying for-profit colleges and universities. Carving out these narrow exemptions does not promote an environment of innovation and growth. It threatens to stifle and divide the technology community by creating an environment where companies will need to seek exemptions by the Legislature instead of working to get things right the first time. The Legislature has been the one to set tax policy while DOR has gone well beyond that policy with the belief it has the ability to tax everything. Accepting the League’s amendment would stipulate DOR has been right all along and the Legislature intended for all digital transactions to be taxable, which the Council believes it did not. The underlying bill is not a proposal for tax cuts. It is to set tax policy that supports the business environment, which we believe the Legislature has been promoting all along. The Council supports this underlying measure and wants the Senate to vote on it without the League amendment. In fact, the Legislature should get the opportunity to decide on this important matter instead of just letting the courts and DOR be the ones that decide Arizona tax policy.

ARIZONA TECHNOLOGY REPORT

3


Global Impact in the Sights of Committee With a focus on success, Optics Valley members have been working to capture the world’s attention for an industry that serves fields ranging from aerospace to telecommunications. A new workforce development program now gives this Arizona Technology Council committee the chance to influence others who are considering joining this cutting-edge profession. Formerly known as the Arizona Optics Industry Association (AOIA) before becoming part of the Council in 2016, the group’s title actually can be traced to an October 1992 Business Week cover story about pockets of U.S. technology flourishing beyond Silicon Valley, explains Co-Chair John Dennis, “and that’s where they nicknamed Tucson Optics Valley.” But the goal isn’t to limit membership to the Old Pueblo. “Now we’re taking our call to be a statewide organization very seriously and we actually welcome the opportunity to open up more of a footprint,” says Co-Chair Jack Schumann. While both Dennis and Schumann were very active in AOIA, they recognized what a relationship with the Council offered. “Being part of the Council gives us a platform and an infrastructure to move forward with,” says Dennis. That included spreading their message through programs such as Lunch and Learns and after5 Tech Mixers. That has helped Optics Valley membership climb to 75,

with several now in Phoenix and even Lowell Observatory in Flagstaff. It’s other activities, however, that are making that footprint global. Dennis says members have helped boost Arizona’s presence in the optics pavilion at Photonics West, an annual conference in San Francisco that draws the worldwide optics industry. Optics Valley has conducted its own industry conference called Arizona Photonics Days, where the activities of technology and in Arizona are highlighted. “We invite worldwide companies to come and visit with us,” he says. Schumann is especially proud that Optics Valley is one of the co-investors/co-creators of the Global Photonics Alliance, a co-op of about 30 photonics clusters from around the world. This offers the chance for business-to-business networking on the international stage. In fact, Dennis says, some alliance members were among the more than 100 registrants who made the trip to Tucson for Arizona Photonics Days. In turn, Optics Valley takes its show on the road. Schumann was making plans to go to Israel for a Global Photonics Alliance event. Around the corner are conferences in Munich and San Diego. “Supporting those for our members is important,” Dennis says. What is getting the two group leaders more excited is a new effort to prepare more people for careers in optics. Strategy1 Services, a Council member whose president and co-

founder is Dennis, has been awarded a Small Business Association (SBA) contract. “Our goal is to position Optics Valley as the leading organization for galvanizing optics innovation and talent, and to provide a central network for established optics leaders,” he says. In addition to the Council, key program partners include Pima Community College, which had an optics technician program in the past; The University of Arizona; Tech Launch Arizona; and Tech Parks Arizona. “We now have been able to assist Pima Community College in getting new wind under their wings and they are ready to start a new program,” Schumann says. Additional support for technology creation and invention will come from the university’s College of Optical Sciences, BIO5 Institute and Steward Observatory. Schumann says the search is on for parttime faculty and could even start this summer depending on the hiring outcome. “Workforce availability is a worldwide problem in our industry, so we are taking it very seriously,” he says of the effort to get ready for launch.

Increased Costs Bring Council Membership Dues Hike Just as the roster of programs and services provided by the Arizona Technology Council has grown, so have the related costs. That’s why its board of directors has voted to institute an approximately 10 percent increase in annual membership dues. Existing members will see their increase when it’s time for renewal, while the increase for new members became effective April 1. Renewing members can maintain their current membership rate during 2019, however, if paid 90 days before their anniversary date. The previous revision of the dues structure was in 2015. Since then, the expense of maintaining the staff jumped 20 percent while their benefit costs increased 9.5 percent. Add to that climbing operation costs such as rent by 31 percent, payroll taxes by 30 percent and credit card processing by 10 percent. With offices in Phoenix and Tucson serving more than 800 members, the Council is the only organization serving the technology sector statewide. The most popular member benefits include:

4

ARIZONA TECHNOLOGY REPORT

• Free attendance to more than 50 networking and educational events each year • Member pricing on signature events and conferences • Discounts on products and services through the Preferred Partners Program • Marketing exposure through social media, the Council’s website and other advertising opportunities • Support of the Council’s public policy efforts and local STEM initiatives The amount of dues depends on the size and type of organization. For example, the annual dues in 2019 for an organization with up to three employees is $380 for industry (provides and develops technology products and services), $550 for associate (provides key support services to technology organizations) and $400 for accredited government, nonprofit or not-for-profit.

1211586

7.37


New Reader Experience Accompanies Magazine Update Think of your favorite magazine. If it still exists after all this time, odds are it has been through some changes but is still a part of you. That captures what has happened with TechConnect magazine. Since its launch in 2005 by the Arizona Technology Council, the publication has gone through redesigns and evolved from print only to an online digital format. After 56 issues, members of Arizona’s science and technology community can still call it their own. But there are new changes for the publication. A behind-the-scenes conversion of sorts has occurred that makes TechConnect a regular part of the Council’s website. Users will notice a new, clean look that resembles a blog. An added feature is that visitors to the site will have the ability to print and share individual pages. TechConnect can now be found at www.aztechcouncil.org/techconnect. “TechConnect has moved through digital phases, along with some growing pains, in an effort to continue to provide readers a unique experience,” says Jill Brownley, the Council’s director of marketing and communications. “Its progress continues with a dedicated page on our website featuring technology trends in a convenient and consumable way that’s now easy to read, as well as easy to share via social media.”

The latest update came about after the Council was approached by the leaders of Coplex, a startup accelerator in Phoenix that had taken on the publishing duties of the digital publication TechAZ. While they recognized what the Council and partner Arizona Commerce Authority had accomplished with TechConnect over the years, the Council was intrigued by the look and following of TechAZ. That led to an agreement for the technology community to continue being served with the newer platform. A feature started by Coplex and that the Council will explore is offering college journalism students the opportunity to cover Arizona technology under the guidance of Editor Don Rodriguez, who began his duties with the Council and TechConnect in 2006. Rodriguez is a veteran editor who has worked for other magazines and daily newspapers in several states.

6_13013

75x4.875

Put your business on the road to sweet success

4C

Apply for a Wells Fargo Equipment Express® loan today Growing your business is how you’ll achieve the dreams you have for yourself and your family. Wells Fargo is here to help. Our Equipment Express loan is a flexible way to purchase the new or used vehicles or equipment you need to move your business forward. Stop by or call and speak to your banker today. Finance cars, trucks, trailers, commercial vehicles, or other business equipment

© 2014 Wells Fargo Bank, N.A. All rights reserved. Member FDIC. (1211586_13013)

aztechcouncil.org

ARIZONA TECHNOLOGY REPORT

5


Two Board Additions Bring Experience in Innovation The Arizona Technology Council has appointed Kerri Zunkowski, vice president of People Operations at Infusionsoft, and Ken McMahon, senior vice president of Client Operations at Vonage, to its board of directors. The two technology executives were elected unanimously at the quarterly board meeting in January to serve three-year terms. “Kerri and Ken bring expertise, talent and energy to the table and we’re fortunate to have them join our board,” says Steven G. Zylstra, president and CEO of the Arizona Technology

Kerri Zunkowski

Council. “Their mix of startup and corporate technology experience will prove critical to supporting the continued growth in many areas of innovation here in the Valley.” Zunkowski, who serves on Infusionsoft’s executive team, has more than 20 years of experience, ranging from financial controller to vice president of operations. She is helping to accelerate Infusionsoft’s transformation through leadership development to build a world-class culture of engagement, agility and innovation. Her current areas of responsibility include organizational strategy, recruitment, total rewards (compensation, benefits, financial wellness and well-being), internal communication and employee engagement. Zunkowski is the executive sponsor for Infusionsoft’s Diversity and Inclusion Committee. McMahon has experience leading various aspects of the end-to-end customer experience, including service delivery, customer care, national operations and sales. He is responsible for all aspects of Vonage’s customer experience, including account management and customer care worldwide. He also leads international operations

Ken McMahon

and expansion for the company’s unified communications business. McMahon joined Vonage from CenturyLink, where he held a number of senior leadership roles with P&L responsibilities and led large organizations encompassing sales, field operations and capital investment. The Council’s board of directors serve an advisory and fiduciary role by representing the interests of the state’s technology industries in strategic planning and ongoing operations. The board currently includes 37 members representing a diverse set of Arizona-based organizations.

Meet 3 Newest Members of Council Staff Jill Brownley Director, Marketing + Communications Brownley’s experience includes public relations, marketing communications, social media, copywriting and technical writing, public affairs, internal communications, advertising and graphic design. Most recently, she was a public relations consultant serving bioscience clients. Previously, she was director of marketing and communications at the Greater Phoenix Chamber, where she led a creative team to execute highly effective strategies for special events, public affairs and economic development. Brownley earlier was marketing analyst for the Arizona Department of

6

ARIZONA TECHNOLOGY REPORT

Administration’s strategic enterprise technology group, where she developed marketing strategies and tactics to build brand awareness and socialize information security policies.

Pat Krueger Director, Finance + Administration Krueger most recently was accounting director for the Southwest Division of The Salvation Army. She was responsible for compiling multistate consolidated financial statements, managing monthly financial statements, and preparing annual operating and capital budgets. Krueger was charged with oversight of daily general

ledger accounting operations, accounts payable and cash management, and provided division directors, officers and department staff regular reports to assist in their fiscal management efforts.

Angelica Espinoza Bookkeeper Espinoza’s role serves both the Arizona Technology Council and SciTech Institute, supporting the finance and administration departments. With experience in marketing and administration areas, she had created a limited liability company to provide bookkeeping services for various small businesses.


Staff Profile: Deborah Zack For hundreds of members of the Arizona Technology Council, Deborah Zack is the Council. As senior director of membership services, Deborah Zack has been the one constant in the lives of many members. Whether it’s offering basic information about joining the group or responding to inquiries about how a company can become more involved in the Council, Zack is the go-to person. “I like connecting to the members and solving their problems,” she says. That translates into a lot of connections since she joined the Council staff in January 2007. While acknowledging the Council has churn like any group, she estimates she’s been the contact for about 100 members that join each year. With ties to so many, it’s no surprise that Zack considers “member appreciation” the most important part of her job. For example, when members reach the three-month mark before their renewal, she contacts them to check how they are doing, ask what she can do for them and offer to meet in person for a detailed update. “I’ve seen over the last couple of years that people want to do face-to-face meeting,” she says. Zack estimates she contacts 30 to 40 members monthly in this process. “I probably have 10 or 12 of them now wanting to meet with me, when before it used to be three or four,” she says. “And the good thing is, I can solve problems and basically guarantee a better retention by doing this.” Previous roles for Zack included serving as public access manager at the Frank Lloyd Wright Foundation, where she helped increase its brand in the community through marketing initiatives and seminars. She also was a principal and designer of a line of children’s clothes, as well as a buyer for Goldwater’s department stores.

aztechcouncil.org

Planner Becomes Critical Partner for Council Events Chuck Smith still remembers his first experience with the Arizona Technology Council. He was invited to attend its annual Governor’s Celebration of Innovation in November 2016 and was shocked to see people considered competitors actually getting along throughout the event. “We were just blown away by the camaraderie,” he says. “If we wanted to get into the pulse of the local community, I couldn’t see any better way than AZTC. It was just perfect.” It wasn’t the sort of normal introductory expected by Smith, vice president of sales and marketing for Enliven Production Group, a media communications and event design company. Although based in Phoenix, all the company’s clients at the time were outside Arizona and many were global. He was charged with bridging relationships with the local community and evaluating all its association memberships. It was a turning point as Enliven’s membership grew into a working partnership with the Council. The company has helped produce signature Council events that include the Governor’s Celebration, the Southern AZ Tech + Business Expo in Tucson and the CEO Leadership Retreat in Prescott. “We’re very grateful the Council has given us the opportunity to support them,” Smith says. To help become established with the technology community, Smith says it made more sense to showcase Enliven’s capabilities rather than using conventional marketing methods. For example, it combined a ribboncutting ceremony for a new office and warehouse facility in mid-2017 with one of the Council’s after5 Tech Mixers. Council President and CEO Steven G. Zylstra even helped cut the ribbon before everyone moved inside to let host Enliven give an overview of its offerings. Enliven provides event production services that encompass the needs of designing and producing corporate meetings and conferences. That includes graphic designs such as master and presenters’ slides, graphics for videos and digital signage, and “ultimately anything to do with branding,” Smith says. Scenic elements for general sessions also are some of the services that have been experienced by Council event attendees. “It seems to have worked out

because, when people walked into one of those three events, everything they were seeing — as far as what the room was, the graphics up on the screen, all the scenic — that was all us 100 percent,” he says. But there is so much more to the variety of production services that Enliven can offer, including mobile apps customized for events. This stems from events that often find crews on both coasts. That means they are constantly in Southern to Northern California and anywhere from lower Florida all the way up into New England. Supporting Enliven’s 10 department heads are 30 to 40 independent contractors throughout the country with seasoning stemming from working for the company for 20 years and, in some cases, 30 years. So, why is the company based in Phoenix besides the fact that it’s the long-time home for many of the employees? “It’s a convenient location to ship and truck everything out and support all these customers, and they seem to be just fine with it,” Smith says. Back in Arizona, Smith says he has been impressed with the evolution of Enliven’s relationship with the Council. “Besides having all the right elements that we needed, we do believe in the Council — the direction and momentum, the professionalism, the support given to all members, it’s second to none. “I believe AZTC is a great role model for what other associations should be, not just for benefitting the members but great for improving the local economy and strengthening the local community,” he says. “We feel the Council’s entire team along with Steve Zylstra’s leadership is an amazing, precision machine, and we’re just proud to be a member of such a great organization.”

ARIZONA TECHNOLOGY REPORT

7


2019

May 15

7:30AM - 12:30PM Learn about the threats, vulnerabilities and consequences related to data security and privacy matters from expert keynotes, panel discussions and expo sponsors.

Venue8600

8600 East Anderson Drive | Scottsdale, AZ 85255 Gain insight into solutions, resources, products and services to help protect intellectual property and customer data.

Members: $50 | Non-Members: $75 Learn more and register:

www.aztechcouncil.org/event/cyber-summit


Business Healthcare Services Guide 2019

Associations & Government Dental Insurance Employee Benefits Consultants Individual & Group Health Insurance Hospitals Urgent Care Workplace Bundled Health Programs Workplace Ergonomics Workplace Wellness

April

19

Join us for our healthcare event on April 19, 2019 • www.inbusinessphx.com


Special Section

50

APR. 2019

INBUSINESSPHX.COM


2019 BUSINESS HEALTHCARE SERVICES GUIDE althcare BusinesssGHueide 2019 Service

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 2019 Business Healthcare Services Guide. Presented on the following pages are listings of companies in the healthcare

t s & Governmen Association ts Consultants Employee Benefi ance Dental Insur h Insurance Group Healt Individual &

industry, organized by category.

Hospitals Urgent Care ams led Health Progr Workplace Bund omics Workplace Ergon ess Workplace Welln

phx.com

April

19

Join us for

are event on our healthc

usiness 9 • www.inb April 19, 201

Allergic to Work? Americans miss 24.5 million workdays each year due to “occupational asthma” and lose energy and focus due to sneezing, coughing and watery eyes. And these numbers are getting worse as the number of people with allergies is increasing and global warming, according to the Asthma and Allergy Foundation, is fueling longer allergy seasons. With the EPA saying the lingering cold weather threatens to make this late-blooming allergy season the worst ever, the pollen tsunami rolling through offices here is threatening workplace productivity more than ever before. “Are you allergic to work?” is suddenly a legitimate question! To help employers keep their workplaces healthy this allergy season, local office cleaning experts from Stratus Building Solutions created the Office Allergy Checklist. “Workplace allergies fall under workers’ compensation laws, so, with the Office Allergy Checklist, we’re helping local employers clean up the pollen petri dish that’s invading offices and making people sick,” says Afshin Cangarlu, CEO of Stratus Building Solutions, the nation’s leading green commercial cleaning franchise, whose company can also visit businesses onsite to demonstrate with props how to combat invading allergens and clean up neglected areas. “There are simple steps employers and employees can take to make the office healthier this allergy season.”

OFFICE ALLERGY CHECKLIST

Stop Sprayin’ and Prayin’. Ditch the reliance on fragrances, disinfectant sprays, chemical cleaners, etc. to mask smells and clean spills. Alkaline and acid cleaners contain dangerous

chemicals and people are allergic to various scents. Use green, plant-based disinfectant wipes and consider a “scent-free” policy to combat these issues. And if an employee wears a strong perfume or cologne, it might be time to privately ask him or her to stop. Strong scents can aggravate allergies and make colleagues sick. Reward Early Birds and Promote Clean Eating. Pollen gets worse later in the day, so encourage employees to arrive early. Spicy/ bold foods trigger more histamines — sending people into allergy fits. It would be wise to know about employees’ food allergies that may require the office to have a separate refrigerator or microwave to avoid inadvertent food contact. For businesses that bring in lunch, consider catering with allergy-fighting foods, such as fish, walnuts, peppers and strawberries. Vent Away. Effective filtration is critical during allergy season. Conduct an indoor air quality test to make sure air is recirculated so the system is not sucking in outdoor allergens. Also, minimize workplace humidity (to less than 50 percent) and frequently clean poorly ventilated areas to protect against mold. Plan Projects. Don’t compound the pollen problem with other projects/items that spark

allergic reactions. Save office improvement projects requiring painting for the holidays when many aren’t working, because all types of paint can cause allergy issues. Many folks have latex allergies, so eliminate all latex from the office, especially rubber latex products such as rubber bands, balloons, medical supplies and plastic bottles. And if possible, during allergy season, ask the lawn crews to come as early as possible (when pollen isn’t as bad) or late when everyone’s gone home. Celebrate a “Dust Your Desk Day.” Allergy danger zones lurk on desks and behind computers, so throw an office cleaning party to eliminate the desk clutter that’s collecting dust and allergens. Check up on cleaning crews to make certain they’re tackling the office’s dustiest places that rarely get cleaned (keyboards, mice/pads, monitors, computer cords/plugs, window blinds, upholstered furniture, and cubical partitions). Make offices safer, healthier places to work while helping employees cut down on their sneezing and coughing this allergy season. —Graham Chapman Stratus Building Solutions stratusbuildingsolutions.com


BUSINESS HEALTHCARE SERVICES GUIDE 2019 Associations & Government Many associations and government healthcare services give specific information on policies, open enrollment dates and services provided that may help employers understand the many options. Below is a list of local organizations.

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., Phoenix (602) 265-5331 azhca.org

Arizona Health Care Cost Containment System (AHCCCS) 801 E. Jefferson St., Phoenix (602) 417-4000 azahcccsa.gov

Arizona Hospital and Healthcare Association 2800 N. Central Ave., Suite 1450, Phoenix (602) 445-4300 azhha.org

Arizona Medical Association

Employee Benefits Consultants

Breslau Insurance & Benefits Paul Breslau

Using a consultant to work though options and the many plans can alleviate much of the confusion surrounding healthcare these days. We have included a list of brokers and firms that are reputable and have a tremendous amount of experience working with business to provide plans and ensure compliance.

Connect Benefits

Arizona Benefit Consultants, LLC

8362 E. Via de Risa, Scottsdale (602) 692-6832 breslauinsurance.com 1818 E. Southern Ave., Mesa (480) 985-2555 connect-benefits.com

FBC Services, Inc.

6245 N. 24th Pkwy., Suite 201, Phoenix (602) 956-5515 www.arizonabenefitconsultants.com

14201 N. 87th St., Scottsdale (602) 277-8477 fbcserv.com

Benefits By Design

Focus Benefits Group

4500 S. Lakeshore Dr., Suite 300, Tempe (480) 831-7700 benefitsbydesignaz.com

4120 N. 20th St., Suite B, Phoenix (602) 381-9900 focusbenefits.com

Benefits Commerce Group

Health Insurance Express, Inc. Superstition Marketplace

14300 N. Northsight Blvd., Scottsdale (480) 515-5010 benefitscommerce.com

Blue Water Benefits Consulting 7848 E. Davenport Dr., Scottsdale (480) 313-0910 employeebenefitcompliance.com

1155 S. Power Rd., Bldg. 101, Mesa (480) 654-1200 healthinsurance-express.com

Horizon Benefits Group 6245 N. 24th Pkwy., Suite 216, Phoenix (602) 957-3755 horizonbenefits.com

Âť

810 W. Bethany Home Rd., Phoenix (602) 246-8901 azmed.org

Arizona Pharmacy Association 1845 E. Southern Ave., Tempe (480) 838-3385 azpharmacy.org

Maricopa County Medical Society 326 E. Coronado Rd., Phoenix (602) 252-2015 mcmsonline.com

52

APR. 2019

INBUSINESSPHX.COM


INBUSINESSPHX.COM

APR. 2019

53


BUSINESS HEALTHCARE SERVICES GUIDE 2019 Dental Insurance Getting the right coverage means truly investigating the best plans and supplemental plans. Here is a list of area companies offering dental insurance that have a great reputation and plan options for individuals and groups.

American Dental Plan 1645 E. Bethany Home Rd., Phoenix (602) 265-6677 arizdental.com

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

Matsock & Associates 2400 E. Arizona Biltmore Circle, Phoenix (602) 955-0200 matsock.com

Individual & Group Health Insurance Knowing what plan is right for your employees and understanding who is managing that plan can make all the difference for your company. We have included below a list of reputable and experienced insurance companies, many of which you will be familiar with, that can guide your organization to the perfect group or individual plans.

Amenda Insurance Associates Ltd. 5046 E. Redfield Rd., Scottsdale (480) 284-6400 douglasamenda.com

American Family Insurance Multiple agents Valley-wide (877) 777-4804 amfam.com

Banner Aetna (800) 381-6789 banneraetna.com

Blue Cross Blue Shield of Arizona 2444 W. Las Palmaritas Dr., Phoenix (602) 864-4899 azblue.com

Bowman & Associates 16042 N. 32nd St., Bldg. A, Phoenix (602) 482-3300 bowmaninsurance.com

Breslau Insurance & Benefits Paul Breslau 8362 E. Via de Risa, Scottsdale (602) 692-6832

breslauinsurance.com Cigna Multiple locations Valley-wide cigna.com

urance Group Kara Anspach 7077 E. Marilyn Rd., Suite 125, Scottsdale (480) 998-8070 farmersagent.com/kanspach

Glass Financial Group 4455 E. Camelback Rd., Suite 260D, Phoenix (602) 952-1202 glassfinancialgroup.com

HealthNet 1230 W. Washington St., Suite 401, Tempe (602) 286-9194 healthnet.com

Humana Health Insurance of Phoenix 20860 N. Tatum Blvd., Suite 400, Phoenix (480) 515-6400 humana.com

Reseco Insurance Advisors 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 (800) 985-2356 uhc.com

54

APR. 2019

INBUSINESSPHX.COM


2019 BUSINESS HEALTHCARE SERVICES GUIDE Hospitals Many of the healthcare providers listed below are part of specific networks or have created their own network to lower costs for businesses and individuals with the intent to provide all needed services for the patient.

Abrazo Arizona Heart Hospital 1930 E. Thomas Rd., Phoenix (602) 532-1000 abrazohealth.com

Abrazo Arrowhead Campus 18701 N. 67th Ave., Glendale (623) 561-1000 arrowheadhospital.org

Abrazo Central Campus 2000 W. Bethany Home Rd., Phoenix (602) 249-0212 phoenixbaptisthospital.com

INBUSINESSPHX.COM

Abrazo Maryvale Campus

Banner Desert Medical Center

5102 W. Campbell Ave., Phoenix (623) 848-5000 maryvalehospital.com

1400 S. Dobson Rd., Mesa (480) 412-3000 bannerhealth.com/desert

Abrazo Scottsdale Campus

Banner Estrella Medical Center

3929 E. Bell Rd., Phoenix (602) 923-5000 paradisevalleyhospital.com

9201 W. Thomas Rd., Phoenix (623) 327-4000 bannerhealth.com

Banner Baywood Medical Center

Banner Gateway Medical Center

6644 E. Baywood Ave., Mesa (480) 321-2000 bannerhealth.com/baywood

1900 N. Higley Rd., Gilbert (480) 543-2000 bannerhealth.com

Banner Boswell Medical Center

Banner Heart Hospital

10401 W. Thunderbird Blvd., Sun City (623) 832-4000 bannerhealth.com/boswell

6750 E. Baywood Ave., Mesa (480) 854-5000 bannerhealth.com

Banner Del E. Webb Medical Center

Banner Ironwood Medical Center

14502 W. Meeker Blvd., Sun City West (623) 524-4000 bannerhealth.com

37000 N. Gantzel Rd., San Tan Valley (480) 394-4000 bannerhealth.com/ironwood

APR. 2019

Âť

55


BUSINESS HEALTHCARE SERVICES GUIDE 2019 Banner MD Anderson Cancer Center

Cardon Children’s Medical Center

Gilbert Hospital

2946 E. Banner Gateway Dr., Gilbert (480) 256-6444 bannerhealth.com

1400 S. Dobson Rd., Mesa (480) 412-5437 bannerhealth.com

5656 S. Power Rd., Gilbert (480) 984-2000 gilberter.com

Banner Thunderbird Medical Center

Dignity Health Chandler Regional Medical Center

Honor Health Deer Valley Hospital

5555 W. Thunderbird Rd., Glendale (602) 865-5555 bannerhealth.com

1955 W. Frye Rd., Chandler (480) 728-3000 chandlerregional.org

Banner University Medical Center Campus

Dignity Health Mercy Gilbert Medical Center

1111 E. McDowell Rd., Phoenix (602) 839-2000 bannerhealth.com

Cancer Treatment Centers of America at Western Regional Medical Center 14200 Celebrate Life Way, Goodyear (623) 207-3000 cancercenter.com

3555 S. Val Vista Dr., Gilbert (480) 728-8000 mercygilbert.org

Dignity Health St. Joseph’s Hospital & Medical Center 350 W. Thomas Rd., Phoenix (602) 406-3000 stjosephs-phx.org

19829 N. 27th Ave., Phoenix (623) 879-6100 jcl.com

Honor Health John C. Lincoln Medical Center 250 E. Dunlap Avenue, Phoenix (602) 943-2381 jcl.com

Honor Health Osborn Medical Center 7400 E. Osborn Rd., Scottsdale (480) 882-4000 shc.org

“Healthy Employees Are Productive Employees” Reduce your Company’s overall Healthcare Cost… • Wellness & Preventative Care On-Site and Near-Site • Dramatically reduce healthcare claims Our Nurse Practitioners & Staff

• Your company’s healthcare advocate

On-Site/Near-Site Healthcare at Work • 602-424-2101 • www.hcsonsite.com

56

APR. 2019

INBUSINESSPHX.COM


2019 BUSINESS HEALTHCARE SERVICES GUIDE Honor Health Shea Medical Center – Shea Medical Center 9003 E. Shea Blvd., Scottsdale (480) 323-3000 shc.org

Maricopa Medical Center 2601 E. Roosevelt St., Phoenix (602) 344-5011 mihs.org

Mayo Clinic Hospital 5777 E. Mayo Blvd., Phoenix (480) 515-6296 mayoclinic.org

Mountain Vista Medical Center 1301 S. Crismon Rd., Mesa (480) 358-6100 mvmedicalcenter.com

Phoenix Children’s 1919 E. Thomas Rd., Phoenix (602) 933-1000 phoenixchildrens.org

St. Luke’s Medical Center 1800 E. Van Buren St., Phoenix (602) 251-8100 stlukesmedcenter.com

Urgent Care

Phoenix Children’s Urgent Care 4 Valley locations (480) 922-5437 phoenixchildrens.com/urgent-care

Urgent Care Extra Multiple Valley locations urgentcareextra.com

Workplace Bundled Health Programs In focusing on creating the perfect plan for your company, local providers offer direct benefits that your organization may rely on to ensure a strong healthcare program and policies for your employees.

Arrowhead Health Centers Multiple locations (623) 334-4000 arrowheadhealth.com

Workplace Ergonomics Wellness includes how our bodies function in our work spaces, and is therefore greatly impacted by the physical elements of that space. These businesses provide solutions, from chairs to desks to lighting — and beyond.

Ergoguys Products

Walk-in, face-to-face, brick-and-mortar urgent care facilities remain an important element in the healthcare system, even as virtual options expand.

5622 W. Orchid Ln., Chandler (602) 354-4190 ergoguys.com

FastMed Urgent Care

ESI Ergonomic Solutions

Multiple Valley locations (480) 545-2787 fastmed.com

4030 E. Quenton Dr., Suite 101, Mesa (480) 517-1871 esiergo.com

NextCare Urgent Care

Goodmans Interior Structures

Multiple Valley locations (888) 958-2128 nextcare.com

One Health Alliance Urgent Care 7 Valley locations (855) 887-4368 onehealthurgentcare.com

1400 E. Indian School Rd., Phoenix (602) 263-1110 goodmansinc.com

Workplace Wellness There are many companies working to orchestrate alternative healthcare plans and consulting to customize healthcare benefits programs and policies for companies. These organizations below offer consulting, program development and direct care programs for businesses of all sizes.

Absolute Health 8360 E. Raintree Dr., Suite 135, Scottsdale (480) 991-9945 absolutehealthaz.com

Healthcare Solutions Centers 4831 N. 11th St., Phoenix (602) 424-2101 hcsonsite.com

LifeCore Group P.O. Box 10264, Glendale (602) 235-2800 myhealthdividends.com


Thanks, boss.

Dental is the third most requested benefit. OPEN Small businesses need to stay competitive. Let us help. Delta Dental® has flexible, affordable dental plans for 2 to 24 employees. A leader in dental care, we have the largest network of dentists and we make doing business with us easy – with 99.9% of claims paid within 10 business days. Here’s how dental helps you stay competitive: Attract the best talent Retain your best workers Healthy employees are more productive Your employees are asking for dental, and we can help you offer it. Learn more and request a quote at deltadentalazsmallbiz.com.

Arizona Dental Insurance Service, Inc. dba Delta Dental of Arizona DDAZ-0300-0917

58

APR. 2019

INBUSINESSPHX.COM


Allford, Allan, 27

Green, Carmen, 11

Moon, Shawn, 33

Snyder-Lamberger, Teresa, 10

Arnone, Wendy, 30

Grossman, Todd, 13

Pacinelli, Stephen, 33

Sullivan, Andrew, 18

Ayoub, Jerry, 16

Grote, Thomas J., 25

Rinne, Leena, 33

Susskind, Lawrence, 60

Berg, David F., 29

Hammer, Mary Lyn, 10

Rogers, Sandy, 33

Tolman, Shelley, 20

Beute, Ethan, 33

Hugo, Harry, 13

Rothermel, Paige, 25

Vasos, Carolyn, 14

Broberg, Toni Morales, 18

Krueger, Patg, 46

Rumbauskas, Frank J., 33

Vitner, Mark, 12

Brownley, Jill, 46

Mackey, John, 35

Ruth, Marvin, 20

Wilson, Tyler, 16

Dennis, John, 44

Maggiore, Tomaso, 40

Saloum, Marie Paredes, 34

Yelton, Russ, 14

Dexter, David A., 30

McKone, Brittany, 13

Schumann, Jack, 44

Zack, Deborah, 47

Dinnar, Samuel, 60

McMahon, Ken, 46

Schweikert, David, Rep., 42

Zeller, Valerie, 32

Duarte, Patricia Garcia, 14

Meszaros, Jason, 16

Shepard, Kim, 9, 26

Zunkowski, Kerri, 46

Elser, Scott, 10

Meyer, Bob, 28

Slobin, Adrian, 12

Zwetzig, katie, 11

Espinoza, Angelica, 46

Molaro, Frank, 24

Smith, Chuck, 47

Zylstra, Steven G., 41

Abrazo Community Health Network, 24

Coppersmith Brockelman, 20

Joint Chiropractic, The, 8

Sheraton Grand at Wild Horse Pass, 37

Aji Spa, 37

Corritore Company, The, 16

Local First Arizona, 36, 37

Snell & Wilmer, 3

APS, 21

Delta Dental of Arizona, 27, 58

Marigold Maison, 40

Arboles Home Mortgage, 14

Digital Current, 10

Marriott, 16

Sonora Quest Laboratories, LLC, 30, 55

Arizona Association for Economic Development, 36

Economic Club of Arizona, 36

Mesa Chamber of Commerce, 37

Enliven Production Group, 47

Nerdery, 12

Enterprise Bank & Trust, 8, 36

Optics Valley, 44

Fairmont Scottsdale Princess, 37

Palmeraie, The, 16

FENDI Private Residences, 16

Peoria Chamber of Commerce, 37

First Bank, 6

Perimeter83, 14

Five Star Development, 16

Phoenix Children’s, 28

Gallup, 12

Polsinelli, 12

AT&T, 18

Glendale Chamber of Commerce, 36

Quarles & Brady, 5

Aveda Spa, 37

Global Mobility Solutions, 12

Redirect Health, 29

Banner/Aetna, 25

Goat Agency, 13

Revelation Real Estate, 12

Benchmark, 10

Greater Phoenix Chamber of Commerce, 36, 37

Ritz-Carlton, 16

Arizona Commerce Authority, 37 Arizona Commission for the Deaf and Hard of Hearing, 11 Arizona Diamondbacks, 7 Arizona Technology Council, 41 Association for Corporate Growth – Arizona, 37

Blue Cross Blue Shield of Arizona, 25, 53

GreenPharms, 34

Ryan Companies US, Inc., 16

BMO Harris Bank, 19

Haus Murphy, 40

BOK Financial, 2

Healthcare Solutions Centers, LLC, 56

Caribbean Queen, Champion College Services Inc., 10 Cigna, 9, 26, 50 Circa Central Avenue, 16 Commercial Café, 16 Commercial Investment Real Estate Equity, 16

Rover’s Rest Stop, 12

Sciforma, 32 SciTech Institute, 42

Talkwalker, 13 Tempe Chamber of Commerce, 36 Thryv, 36 Tilton Development Company, 16 Tomaso’s, 40 Trellis, 14 UnitedHealthcare, 15, 30 Verified Volunteers, 11 Vonage, 46 Wallbeds ‘n’ More, 39 Weber Shandwick, 13 Well & Being Spa, 37 Wells Fargo, 12, 45 Whole Foods Market, 35 Wigwam, The, 37 Yardi, 16

Hunt Companies, Inc., 16 Imagination Park Technologies, 11

CHECK US OUT

Infusionsoft, 46 Internet Society, 18 Irgens, 16

/InBusinessPHX

Jeep, 37

Conscious Capitalism, 35

Jive, 6

Coplex, 45

JLL, 17

In each issue of In Business Magazine, we list both companies and indivuduals for quick reference. See the stories for links to more.

@InBusinessPHX www.inbusinessphx.com

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

2019 59 APR. INBUSINESSPHX.COM


A CANDID FORUM

BY

Negotiation: How to Defuse Tension and Mistrust Create a better outcome for everyone by Samuel Dinnar and Lawrence Susskind Healthcare

MAGAZINE

Services

Guide

APR. 2019

IN BUSINESS

Special Sectio n: 2019 Busine ss

HEALTHCARE

Workplace Wellness

Key to bus iness success?

Enterprise Change:

APRIL 2019

Be Proactiv Not Reactivee,

• INBUSINESSPHX .COM

THIS ISSUE

Arizona Technology

Council

5G: New Era for Busine ss Does Influen cer Marketing Pay Off? $7.95 INBUSINESSPH

X.COM

DON’T MISS OUT!

Get a year of In Business Magazine Subscribe now at inbusinessphx.com

Samuel Dinnar and Lawrence Susskind are the authors of Entrepreneurial Negotiation. entrepreneurial negotiation.com Samuel Dinnar is an instructor at the Program on Negotiation at Harvard Law School in Cambridge, Massachusetts. As founder and president of Meedance (www.meedance.com), he provides global consulting services and serves as a mediator specializing in business conflicts that involve founders, executives, investors and board members. Lawrence Susskind is a professor of urban and environmental planning at the Massachusetts Institute of Technology, co-founder of the Program on Negotiation at Harvard Law School, and the founder of the Consensus Building Institute in Cambridge, Massachusetts.

APR. 2019

60

INBUSINESSPHX.COM

Most entrepreneurs enter a negotiation thinking they will be successful and are surprised when they fail to reach an agreement. We have found that, in order to negotiate productively, entrepreneurs or their agents need to learn how to defuse tension and mistrust right from the beginning. Implementing the following actions can be highly effective:

DEFUSE TENSION BEFORE IT ESCALATES

At the beginning of every negotiation, there is a natural tension in the air. The higher the stakes, the higher the tension level. One way to defuse it is to open by conveying sincerity and warmth with a handshake, eye contact and a smile, as appropriate. Other ways of reducing tension in the first few minutes are sharing airtime while projecting genuine interest, showing respect and asking for agreement on some small initial ground rule (e.g., use of first or last names, seating arrangements, etc.). As a negotiation proceeds to more difficult topics, good negotiators maintain a relaxed tone (with the appropriate level of seriousness) while respecting their counterpart’s autonomy and status.

USE THE POWER OF HUMOR, STORIES AND METAPHORS

Several additional tools that are often used to reduce stress are storytelling, metaphors and humor. The appropriate use of humor, especially, can serve as a release valve for negative emotions such as anxiety, suspicion and anger, and can create room for people to put things in perspective. Humor can also serve as a way of acknowledging the absurdity of the moment, where parties have inadvertently locked themselves into extreme positions. Humor does need to be used carefully. If the people involved don’t understand an attempt at humor, they may be left wondering if the joke is on them. If they feel as if they are the target (or that they are being taken lightly), it will most likely make the situation worse. Finding the right balance between humor and serious intent can make it easier to deal with escalating competitive behavior. Stories have the power to convey an important idea, stimulate a strong emotional response, and allow a release of political or interpersonal tension. They help to shift everyone’s focus from the tension in the room to the tension in the story. At the conclusion, when the story’s tension is finally released, both the listeners and the storyteller experience a stressreducing feeling. Our brains react to stories the same way they react to true events. Using metaphors is also effective. For example, in negotiating the breakup of a business, framing the situation as a pile of cash to be divided creates a “divide the pie” metaphor. This is likely to induce a win-lose mindset. Using a story

Good negotiators maintain a relaxed tone while respecting their counterpart’s autonomy and status.

about a “cash cow” might shift the focus to a living creature that cannot be divided but, if taken care of, will produce dividends over time. This second framing metaphor would more likely induce a collaborative discussion of how to share responsibilities and allocate future profits.

APOLOGIZE QUICKLY AND SINCERELY

If one party realizes he has done something that has hurt the other side, he should issue an apology immediately. It is rarely to anyone’s advantage to provoke feelings of fear, anger or resentment. A sincere apology can often restore a better working context. Apology is a social ritual that shows respect and empathy to the offended person. While a mistake cannot be undone, an apology can help the other side move on. This is the opposite of what happens when a person is emotionally triggered. Experiments show that receiving an apology reduces heart rate, breathing rate, sweat levels, facial tension and blood pressure. Apologizing quickly and sincerely shows that party takes responsibility for his actions. For the offending party, it can also prevent a buildup of remorse or shame caused by the fact that he hurt someone or simply as a result of having made an error. It is not easy — and quite humbling — to apologize, but when done correctly it projects the inner strength of someone who is confident and aware of the feelings of others. Even when the apology is made immediately, it’s important to not rush things. Better to be present and attentive; to accept the silence as OK, and not move on prematurely. It may be necessary to repeat the apology, since it may not have been fully heard or absorbed the first time. The speaker should focus on his counterpart’s reactions, and wait for that person to indicate it is OK to continue. Some mistakes are minor, and it will be easier for the other side to recover from these, even without an apology. Some will require both sides to cool off before continuing. After apologizing and demonstrating a sincere intent to remedy the situation, the offending party may want to revisit the item that was on the agenda when he made the mistake initially. It’s fine to ask for a “do-over.” This is the ultimate “detect and respond” response: an on-the-spot apology that is accepted, coupled with permission to return to the negotiation. Negotiations are fraught with tensions. Learning to reduce tension and negative emotions creates a better outcome for everyone.




Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.