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OMAHA’S BUSINESS-TO-BUSINESS MAGAZINE • SPRING 2012 • VOLUME 12 • NUMBER 1 Now check out B2B Omaha Magazine online. Using flipbook technology to give you a whole new magazine reading experience.
inside
on the web: www.b2boma.com
FE AT URES special section: Best of B2B 2012 Results. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Omaha Business Hall of Famers 2012. . . . . . . . . . . . . . . . . . . . . . . . . . 40 Miller Electric Wiring Omaha for a Century. . . . . . . . . . . . . . . . . . . . 44 cover feature: Going to Batt for the Nebraska Furniture Mart. . . . . . . . . . . . . . . . . 46 special section: Commercial Real Estate Guide . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 Interior Renovations Revitalize. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 Securing Your Building. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 Omaha Market 2011 Year End. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 Agricultural Land Values . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 HVAC Technicians. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58
omAHA!: The Green Spot. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Social Media: Blogging for Business. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Arts & Entertainment: SkyVu Entertainment. . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Know-It-All: Looking Through the Prism of Democracy. . . . . . 14 In the Office: Art with Heart. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60
column
office furniture Consider Pre-Owned Furniture . . . . . . . . . . . . . . . . . . . . 11
cover feature
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business ethics How to Tackle Employment Discrimination in Our City . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
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omAHA! S to ry By Liz S t r at m a n • Photos by mino r whi t es t u d ios .com t h e g r e e n spot ow n e r s j e ss i c a k a m i s h ( l e f t ) a n d j e n n i f e r h a i n e s w i t h t h e i r p e t pu g s .
The Green Spot Local doggie cafe offers prime shopping, socializing site for pet lovers. 8
B2B Omaha Magazine • Spring 2012
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your pet as well as socialize with other pet-owners and their pets? The Green Spot, a unique, new pet specialty store, may be just the place you’re looking for. “Currently, there is no real place that you can bring your pet and just hang out [yearround],” says Jennifer Haines, co-owner of The Green Spot. “You can take them to the dog park in the summer, or to one of the big-box [pet] retailers, but it’s really just for a quick in-and-out shopping trip that can often become more of a hassle than it is fun for you and your pet.” Looking to fill this void, Haines and coowner Jessica Kamish opened The Green Spot at the Shoppes of Aksarben in January. “Not only do we have really good natural, organic, eco-friendly products, but we also have a coffee lounge,” Kamish explains. “So people can come in and get coffee, chill, use our Wi-Fi, and hang out with their dogs.” The Green Spot owners met through the Pug Partners of Nebraska, a non-profit organization dedicated to rescuing and finding homes for pugs. Kamish helped start the organization in 2008, and Haines began volunteering in late 2009. The women connected through their passion for pets, which stemmed from their childhoods. Growing up in Bellevue, Haines was never allowed to own pets. “I say that I’m a pretty good example of what happens when you have a parent who never lets you have a pet because then [as an adult] I went crazy,” says Haines, who has two pugs, Gup and Sherlock. Kamish, originally from Glenwood, Iowa, says she wanted to become an animal massage therapist when she was younger. After attending massage school, she realized too much legality exists for animal massages to take place. Kamish also owns two pugs, Rocky and Lily and an English bulldog named Tank. As founders and supporters of local rescues, Haines and Kamish believe in responsible pet ownership. “We do not sell puppies, give breeder recommendations, or anything like that,” Haines says. “We are firm believers in ‘adopt, don’t shop!’” >>
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B2B Omaha Magazine • Spring 2012 9
social media
omAHA!
S to ry by joa n Lu k a s
Blogging for Business
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logs are now mainstream and can help showcase your busi-
ness. Technorati.com lists more than 1.2 million blogs. A “blog” is an abbreviated version of “weblog,” which is a website that maintains ongoing information. A blog features commentary, podcasts, and links to other websites, as well as articles and videos on the internet. Blogs range from being personal to commenting on news, like The Huffington Post, a top-ranked blog. Will a blog help your business? Yes. Should you blog? It depends. Should you try to get your products mentioned in influential blogs? Absolutely—but you have to become familiar with the blog and read it first, so that you understand what appeals to the blogger. Start with comments first and then later you can pitch to the blogger your product or service if it is a good fit with that blog. A blog as part of your website keeps your website content fresh. Frequently updated information on this blog strengthens search engine optimization (SEO) for your business—your website link rises to the top of the search engine rankings when people search on the internet for your type of business. A leading blog on SEO marketing: Search Engine Land (searchengineland.com). Blogging offers much opportunity to communicate your expertise and start two-way conversations. You can share tips and information on how people can be helped by your product or service. To get started, visit WordPress.org, Tumblr.com, or Posterous.com. Social Media Examiner (socialmediaexaminer.com) shares tips for writing great blog posts and features the blogging trends for 2012. Christina Kudym, e-Commerce manager at AccuCut, manufacturer and distributor of hand-operated machines that create letters and shapes for the craft, stationery, education, and quilting markets, discussed the power of social media outreach and blogging at a recent Public Relations Society of America conference. “Social media for B2B is underutilized and can be successful in not only generating revenue but creating a stage for brand and product advocates to speak about and with brands and organizations,” said Kudym. “This building of mini-communities and word-of-mouth marketing is priceless and not just for the B2C [business-to-consumer] crowd as many believe.” Kudym recommends listening to the weekly Blog Chat on Twitter, #BlogChat, by Mack Collier, who explains how to grow and monetize a blog. Also visit mackcollier.com to get inspired on how to use a blog to create value for your customers and grow your business. J oa n Lu k a s owns Lu k a s Pa r t ne r s , a P R a n d Fu n d Deve lopmen t fi r m b a se d in O m a h a .
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<< The Green Spot sells only natural pet foods and treats, and eco-friendly toys and care products. Since there aren’t any real regulations on what companies can label ‘natural’ or ‘healthy’ regarding pet products, Haines says it was up to her and Kamish to research and do a full analysis of the ingredients in each product. “We want people to trust us when it comes to the nutrition of their dogs,” Haines says. For now, The Green Spot is staffed solely by the two owners with the support of their significant others. They hope to grow large enough to hire staff in the coming months. “It would be amazing to give someone the opportunity to enjoy their job just as much as we do,” Haines explains. Looking to the future, the owners say they would love to open additional locations to fulfill customer demand. “Business growth really means that we are educating more and more people about proper nutrition for their animals, responsible pet ownership, and how you and your pet can help the environment,” Haines explains. The Green Spot is located at 1110 S. 71st St. Bay K at the Shoppes at Aksarben and is open from 10am to 8pm Monday through Saturday and 11am to 5pm on Sunday. www.OmahaPublications.com
office furniture S to ry by A l l m a k es offi ce e q u ipmen t
On a tight budget?
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Consider pre-owned office furniture. uring a tough economy, saving cash is on the mind of most businesses. If your company
has a shoestring budget for office furniture, now may be the time to consider pre-owned. Not only can pre-owned office furniture look good, it can also enhance your company’s brand. A well-planned office creates a good initial impression on your guests and draws in potential candidates; it also improves the productivity and attitudes of your current employees. Even on a tight budget, you can search for high-quality, pre-owned pieces, which were built to outlast your business plan. If new office furniture isn’t in your company’s budget, here are three advantages of purchasing pre-owned: • Save Some Green – The most well-known benefit of purchasing pre-owned office furniture is saving money. You’ll save anywhere from 60 to 80 percent with pre-owned furniture. Office furniture does not just consist of desks and chairs; it also includes office partitions, workstations, file cabinets, and conference, training, and break room furniture. Almost anything you can buy new, you can also buy pre-owned. • Help Out The Environment – When a pre-owned wooden desk is sent to the landfill, it takes years to breakdown. When you buy pre-owned office furniture, you are reducing the environmental impact. If your business supports environmental initiatives, buying pre-owned office furniture might also create a positive image. • Quick Turn-Around – You may save time when buying pre-owned office furniture. Most preowned furniture outlets can have a delivery truck at your business in 48 hours. Ordering new or custom furniture can take anywhere from 4-6 weeks. Pencil out your budget, keep an open mind, and get that office you’ve always wanted within your financial plan. Stop by All Makes Office Equipment Co. at 25th & Farnam to see how you can outfit your space with both high-quality, pre-owned, and new office furniture. The All Makes team is trained to help you make design and furniture purchases that fit your office atmosphere, your work style, and your budget.
www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 11
arts entertainment
S to ry by l eo a da m big a • Photos by mino r whi t es t u d ios .com
S k y V u e n t e r ta i n m e n t ’ s co - f ou n d e r b e n vu .
SkyVu Entertainment Pushes ‘Battle Bears’ Brand to Sky’s-the-Limit Vision of Mobile Games, TV, Film, Toys, Etc.
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ith Battle Bears reaching 14 million downloads and counting, maker
SkyVu Entertainment is a player in the mobile games world. Launched in 2009, the wacky arcade-style shooting gallery game has gained critical acclaim from game reviewers and fans alike for its “brilliant action, pumping music and witty cut-scenes.” (Oneclickmac.com) “We created an entertainment distribution platform through not something like Facebook or Twitter but something like a brand. We like to see ourselves as the Pixar of mobile games. A mini-Disney,” says Ben Vu, co-founder of SkyVu with his brother Hoa. The transmedia company, which launched here rather than Asia thanks to Nebraska Angels’ support, has designs on making a feature-length Battle Bears film and is negotiating a television series and toy line. SkyVu began as an animation shop before entering the games field. A graduate of Disney-founded Cal Arts, Ben worked on the stop-motion feature Coraline and has made a study of the Walt Disney Company. He notes parallels between the Brothers Vu and Midwesterners Walt and Roy Disney. “I see a lot of how myself and my brother are in how Walt and Roy Disney played off of each other,” says Ben. “Roy was the money guy and Walt more the creative visionary, and a lot of times the creative visionary wanted all the resources he needed to fulfill that vision while the other one watched out for the road ahead.” Ben’s the creative mastermind. Hoa, who heads up the Singapore office, is the tight-fisted numbers wonk. This yin-yang finds them often butting heads. Their conflicting personalities are 12
B2B Omaha Magazine • Spring 2012
the models for two Bears characters, Oliver (Ben) and Riggs (Hoa). “They’re always at odds, but somehow every episode of every game they find a way to work together to accomplish the mission,” says Vu. “This is how Ben and Hoa work.” The only children of Vietmanese refugee parents, the Vus grew up in Norfolk, Neb. and graduated from Creighton Prep. Both were fascinated with movies, games and drawing. Their skill sets meshed with the new digital age. “We’re an entertainment company and we use technology to entertain, but boy do we love technology,” says Ben, “because it allows us to compete at a high level, reaching millions of people within a short amount of time at a fraction of what it used to cost. With the advent of the iPhone followed by the iPad and the growth of Android, we could not be in a better place right now.” www.OmahaPublications.com
He says their signature game “combines cute with a bit of violence in a compelling story about a family of robotic bears trying to save the world but learning from each other in the process.” It’s put SkyVu in elite company with EA, THQ, Sony, Nintendo, even Microsoft. “They all want a piece of the mobile pie.” He says big companies have more resources, but SkyVu has its own advantages. “Because of our careful attention to character and story, first and foremost, we build engaging games. Something we’ve learned in a short amount of time and that we’re good at is providing a snack bite size quality experience coupled with a very appealing character and story. The magic is those two things coming together. “We’re one of the unique studios in the world that has an animation and a games studio all under the same roof driven by the same creative force.” Fans keep coming back for more at the App Store. “We don’t talk about users or players, we deal in building loyal fans and taking care of them.” Bigger audiences await. “The [film] studios and networks are now looking at mobile games as a rich source of content,” says Vu, who feels SkyVu is well-poised to seize the day. “As the mobile game experience becomes more rich, as these phones get faster, as tablets start to invade the living room more, the production quality rises and SkyVu needs to scale itself up appropriately to be ahead of the curve.” Getting there requires more capital, perhaps a partner, and he says SkyVu is attracting serious www.ReadOnlineNow.com
offers. The team’s multi-skilled animators and coders allow flexibility. “We’re in mobile right now, but there’s no doubt in my mind you’ll be experiencing our brands in the living room, possibly in the airplane and the car, certainly in theaters.” He keeps a shoebox full of story-character concepts in his office, which doubles as the war room. Whiteboards display a calligraphy of brainstorms. “There’s no shortage of ideas.” SkyVu’s 14-person team is all local, and Vu’s confident Nebraska will continue filling its needs. In January, he strategically relocated SkyVu to Aksarben Village to be near the Scott Technology Center, Peter Kiewit Institute and UNO College of Business. He says SkyVu offers a rare Midwest opportunity for “talented young people to create stuff seen and experienced by millions of people.” He’s committed to staying put. “The team we built here got us to where we are, so why would we abandon that? We can be competitive with any region in the country, with any country, as long as we maintain our innovation and creation.” “It’s really daring what we’re trying to do here, but we’re actually doing good, we’re making traction. If the TV series becomes a reality, things are going to go crazy. We’re just breaking even now and profitability is our number one priority because we have to grow.” He anticipates adding 60-plus employees in two years to accommodate new ventures. The next big thing may only be a shoebox away. Read more of Leo Adam Biga’s work at leoadambiga.wordpress.com B2B Omaha Magazine • Spring 2012 13
know-it-all Gu es t con t r ib u to r k i r k b r umbau gh
b r umb au g h i s a r e t i r e d l i e ut e n a n t co l o n e l i n t h e u . s . a r m y r e s e r v e . p h oto ta k e n i n kuwa i t, 2 0 0 5 .
OH, East is East and West is West, and never the twain shall meet, Till Earth and Sky stand presently at God’s great Judgment Seat; -Rudyard Kipling
Looking Through the Prism of Democracy
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n any day, a casual observer on a flight out of the Middle East
can witness a telling sight—Muslim women boarding aircraft wearing full-length burqas, many times with face veils, returning from the lavatory in Western dress sporting Prada purses and make-up. This graphically illustrates the paradox of the Middle East and shows the hypocrisy that makes it a cauldron of ethnic and religious hatred. Having spent six years after 9/11 assigned to the Staff Judge Advocate’s Office Third U.S. Army and being deployed twice to the region, I have a perspective born of experience. If the Officer Corps of most Middle Eastern Countries would speak with candor—which they will do only when assured of anonymity—they would state that the danger to the region is the erosion, sometimes subtle, usually violent of secular government and its replacement by theocratic regimes.
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www.OmahaPublications.com
This may seem like an obvious comment, but it flies in the face of American policy, which views governments in the Middle East through the prism of “democracy.” Thus, we overthrew Saddam Hussein, supported the “Arab Spring,” encouraged deposition of the friendly government of Egypt—and the not so friendly but benign Gadhafi, defanged when Ronald Reagan attacked him in 1988—and currently seek to remove Assad of Syria all with no clear idea of what comes next. The common thread of these regimes is that they are, or were, non-theocratic governments. Their fall creates a vacuum, which is tailormade for exploitation by radical Islamists. The fire of radical Islam has spread to Pakistan and is spreading through the Middle East to both the east and west coasts of Africa. The origins of the Middle East fiasco can be traced to the manner in which, after World War I, the political borders of the region from Turkey to the Sinai Peninsula were drawn. “State” borders did not exist prior to 1921 and were drawn largely by Britain, irrespective of identities of the indigenous populations who were largely tribal, nomadic, and diverse. Be that as it may, the “Strongman” governments that emerged after World War II aligned to the United States or the former Soviet Union provided an air of stability. Seeming hell-bent to reverse history and retroactively lose the Cold War, the Obama Administration’s decision to back the “Arab Spring” is short-sighted and dangerous to American interests for the reason that it assumes that democratic movements without an educated population will somehow produce James Madison or Thomas Jefferson. The history of the 20th Century showed that unbridled “democracy” unmoored from a tradition of self-government, or even political stability, is more likely to produce a Stalin or Hitler. The candid officers would also tell you that with the rise of radical Islam secular governments have been forced to become more repressive and will have to become even more so. The challenge for the United States is to decide whether it will chase the illusive dream of “democracy” radicalized by Mullahs dedicated to destroy the West and Israel, or whether we will to some degree “hold our nose” and accept authoritarian secular governments in the region. www.ReadOnlineNow.com
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Businesses Are Buying Smarter
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Winners List! Now in its sixth year, the list is organized into categories, so if you’re looking for a specific product or service, you can easily find the best! These businesses have the coveted vote of confidence from B2B Omaha Magazine readers. The results were tabulated from ballots sent in from the Winter 2012 issue of B2B Omaha Magazine. Ballots had to be original, not photocopies, and more than half the ballot had to be filled out.
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If you see some of the businesses you patronize on the winners list, be sure to congratulate them. They will greatly appreciate it! “This year, we received more votes than ever. The businesses who won in this year’s Best of B2B Omaha® contest should feel very proud of their accomplishment,” said Todd Lemke, publisher of B2B Omaha Magazine.
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B2B Omaha Magazine • Spring 2012 17
Thanks for VoTing us #1 for The 6Th Time!
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B2B Omaha Magazine • Spring 2012
www.davidradler.com 402-342-6230 www.OmahaPublications.com
Carpet & Rug Cleaning Sparkling Klean Service, Inc. 402-399-9233 www.sparklingklean.com
Omaha Carpet Cleaning
Door Company Omaha Door & Window Norm’s Door Service
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Commercial Construction Green Environments Disaster Recovery Industrial Medical Education
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2606 S. 156th Circle • Omaha, NE 68130 • (402) 399-9233 www.sparklingklean.com
Engineering Firm HDR DLR Group
Fence Company S & W Fence, Inc. 402-333-5722 www.sw-fence.com
Omarail
Fire Prevention Company Continental Fire Sprinkler Company Barone Security Services
Voted Best Caterer in Omaha! “I want to thank the Omaha Business Community for selecting my company, Brandeis Catering, as the best caterer in the Metro Area for six years in a row. We appreciate your support and will continue to work to make you proud.” Joe Thallas Owner/General Manager
(402) 334-5446 • www.brandeiscatering.com www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 19
Best of B2B
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Deffenbaugh Industries
Thank You Omaha
General Contractor Kiewit Corporation Hawkins Construction Company
FOR VOTING MILLER ELECTRIC BEST IN OMAHA FOR 2012
Glass/Window Install Builders Supply Co., Inc. Millard Lumber
Heating/AC Service Standard Heating and Air
Thank You From All of us at Malibu!
Conditioning, Inc.
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Landscape/Lawn Contractor Executive Lawn & Landscaping LLC Forest Green Lawn Care
402.556.0595 http://www.forestgreenlawncare.com/
301 North 78th St. • One Block N of Dodge 402.391.4628
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www.OmahaPublications.com
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Office Furniture Installers, Inc. Ford Storage
Office Furniture
We’re Your Hometown Roaster! We roast our coffee fresh everyday, please call for a sample 402-333-9099. www.laruecoffee.com
Thank you for voting us Best of B2B for 5 years!
All Makes Office Equipment Co. 402-341-2413 www.allmakes.com
Midwest Painting & Services
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402-250-0425 www.omahapestcontrolinc.com
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Frankel Zacharia takes pride in providing financial statement, tax and consulting services to the people and businesses of Nebraska. As a matter of fact, we don’t think of ourselves as accountants, but rather as business partners dedicated to our clients’ financial success.
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On behalf of our partner group, thank you for voting us #1!
ABC Termite & Pest Control, Inc.
Picture Framing Malibu Gallery
402-391-4628 www.malibugalleries.com
Backlund Plumbing
Offering the highest level of professional management services for apartment communities in the greater Omaha area.
Tritz Plumbing Inc.
Relax... it’s a Byron Reed Property!
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402-342-8100 • info@byronreedcompany.com • www.byronreedcompany.com www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 21
Best of B2B
Property Management
RECYCLING FOR FREE!
The Lund Company
CALL US TO FIND OUT HOW!
www.lundco.com 402-393-8811
Byron Reed Company
402.342.8100 www.byronreedcompany.com
Real Estate – Commercial CBRE
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Roofing Company Ciaccio Roofing
Please call us today at 402-731-3333 to learn more about commercial recycling *Recycling costs are offset by a reduction in your trash bill. Ask your sales person for details.
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402-293-8707 www.ciaccioroofing.com
www.DeffenbaughInc.com 402-731-3333
Scott Enterprises, Inc. 402-571-2364 www.scottent.com
67 Years of Business in Omaha!
Security Equipment/Systems SEi
402.333.3233 www.sei-security.com
ADT Security Services
Security Guard Service Omaha Security
Sign Company
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Best Buy Signs
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402-342-1111 Ext. 122 www.renze.com
4315 South 50th Street • 402.733.5500 22
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www.OmahaPublications.com
Snow Removal Service Clear Creek Landscapes
402-677-7652 www.clearcreeklandscapes.com
Swanson Lawn and Landscaping
Towing Co Neff Towing 402-733-5500
Voted #1 For 9 Years in a Row
Big Red Tow, Inc. PO Box 24148, Omaha NE 68124
Vending Machines Dependable Vending
tel.800.608.3645 fax.800.929.8117 www.onesoucrebackground.com
Your People. Our Priority.® Apple Vending Inc.
Window Cleaning All Clear Windows & Services Squeegee Squad
Business Services Advertising Specialties Bergman Incentives
402-661-7900 www.bergmanincentives.com
Ideal Images
402.596.1002 www.ideal-images.com
www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 23
Best of B2B
Auto Repair Service
THANKS FOR VOTING BETTER BUSINESS EQUIPMENT
THE BEST COPIER AND SUPPLY COMPANY IN OMAHA FOR THE SEVENTH CONSECUTIVE YEAR
Walker Tire & Auto Service Southwest Tire
Background & Drug Screening Service One Source
402.933.9999 www.onesourcebackground.com
Drug Test Services
Business Forms & Systems Performance Group, Inc 402-896-9400 www.formsguys.com
Donis Corp.
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Cellular Service Verizon Wireless Sprint
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B2B Omaha Magazine • Spring 2012
www.OmahaPublications.com
Commercial Photographer David Radler Studio 402-342-6230 www.davidradler.com
M.J.B. Photography
Computer Service Our Tech Solutions Schrock Innovations
Copier & Supplies Company
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Corporate Jet Service NetJets Jet Linx Aviation
Delivery Service Midlands Messenger Service, Inc. Capital Express
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Des Moines | oMaha | Kansas City | LeawooD
www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 25
9684 N 109 th Ave. • Omaha, NE 68142 Tel: 402-571-2364 Fax: 402-571-2129 www.ScottEnt.com
Thank You Omaha for Voting us Best of B2B! Services we offer include:
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An authorized Duro-Last Contractor.
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www.OmahaPublications.com
Internet Provider Cox Business CenturyLink
Mailing List InfoUSA
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Mailing Service
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CAS Inc.
402-963-2005 www.cas-online.com
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Voted Top 100 Restaurants in America by Open Table 13665 California Street Omaha, Nebraska 402-445-4380
Office Supplies Pay-Less Office Products OfficeMax
Printer Omaha Print
402-374-4400 www.omahaprint.com
Regal Print
Private party rooms from 6 to 40 people available. www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 27
feature
Uniform Supply Alamar Uniforms Don’sPioneer Uniform
Water – Bottled Ideal Pure Water Deep Rock Water Co.
Website Developer Rebel Interactive Web Boy Design
Financial Services Bank First National Bank of Omaha Security National Bank
Credit Card Merchant Processing TSYS Merchant Solutions
1.800.354.3988 www.tsysmerchantsolutions.com
Best Card
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Payroll Service
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B2B Omaha Magazine • Spring 2012
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Payroll Maxx
www.OmahaPublications.com
Putting you first has Put us in the toP 20. We may have been named one of the best banks in America by Forbes, but we haven’t forgotten how we got there – by dedicating ourselves to our customers and their businesses. Whether your business started on a napkin or in a boardroom, the First National Bank commitment extends to every department and every financial solution we offer, no matter what your business goals are. So when you’re ready for one of the best banking experiences in America, stop into one of our convenient branches or visit us online at firstnational.com/business. 36 area locations | 402.346.3626 | Member FDIC First National Bank is a Preferred SBA Lender.
CheCkINg | SAvINgS | LOANS MOrtgAge | CreDIt CArDS | Small BuSineSS WeALth MANAgeMeNt | COrPOrAte BANkINg
Best of B2B
Food Services Banquet Facility Scoular Ballroom
402.449.1424 www.scoularballroom.com
Thank You for Voting Us Best of B2B 2012!
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Georgetowne Club
Audio visual services offered include: • System design/engineering • Sales • Consulting • Installation • Maintenance and Service • Custom Furnishings and Displays • Equipment Rental and Operation
Caterer Brandeis Catering Hap Abraham Catering
Contact our Highly Trained and Certified Staff at 3712 S. 132nd Street Omaha, NE 68144
Coffee Provider LaRue Coffee
402-298-5011 www.conceptsav.com
Ideal Pure Water
Restaurant – Business Breakfast Bailey’s Breakfast & Lunch
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Great water makes great coffee, we are the experts. We have over 60 varieties of Green Mountain Coffees, Starbucks Coffees, and Seattle’s Best Coffees to choose from.
Free Trial, give us a try! Toll Free: (800) 967-2600 • Phone: (402) 392-2600 www.idealpurewater.com
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WheatFields Eatery & Bakery
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Restaurant – Business Dinner Mahogany Prime Steakhouse 402-445-4380 www.mahoganyprime.com
801 Chophouse
402-341-1222 www.801chophouse.com
Restaurant – Business Lunch M’s Pub Spezia
www.OmahaPublications.com
TSYS Merchant Solutions processes an average of
3 million
transactions a day.
But she’ll only remember this one — the sale of her first cappuccino as a new business owner. From the ordinary to the extraordinary to the moments they’ll remember for the rest of their lives, we realize it’s the little things that can make a big difference to the business owners of Omaha. We are honored to be named Omaha’s best of B2B for Credit Card Merchant Processing. After all, behind each and every transaction is a person — and payments have the power to change lives. For more than 55 years as part of a deep history in Omaha, we’ve offered business owners payment products and services to meet their needs. Give us the chance to improve your business’ credit card acceptance. At TSYS, we believe payments should revolve around people, not the other way around. SM
empowering
people
lasting relationships
Get to know us. 800.354.3988 www.tsysmerchantsolutions.com
© 2012 Total System Services, Inc.® All rights reserved worldwide. TSYS® is a federally registered service mark of Total System Services, Inc.
being
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Well-organized events planned here daily. Whether your event is large or small, at the DoubleTree® by Hilton Omaha Downtown, we have the services, facilities and experience to make it a huge success. Your meeting participants will appreciate our comfortable, well-equipped meeting rooms; you’ll enjoy the support of our experienced and attentive team members who are dedicated to making your event flawless. And if you’d like to take all the work out of planning your next event, our well-trained Catering Team can handle all the details for you. When you have an event at the DoubleTree® by Hilton Omaha Downtown, you and your participants can enjoy our comfortable surroundings, caring staff and a warm cookie at check-in.
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Hilton HHonors® membership, earning of Points & Miles®, and redemption of points are subject to HHonors Terms and Conditions. ©2010 Hilton Worldwide
www.OmahaPublications.com
Professional Services Accounting Office
402.778.6313 scottcenter.com
Frankel Zacharia, C.P.A. 402.496.9100 www.fzacpa.com
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Flexible space for 10-500 Exceptional catering services Friendly, professional staff Free on site parking
Thank You Omaha!
SilverStone Group Garvey & Associates Inc.
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Employee Benefit Company
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Your Details... Our Specialty
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Bland & Associates, C.P.A.
6450 Pine Street | Omaha, NE 68106
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Best Florist
“Taylor Made” for ALL your floral needs since 1950”
402-733-2322 12330 K Plaza, Ste. 113
www.taylorsflowers24hours.com www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 33
Best of B2B
Employment Agency C & A Industries, Inc. Noll Human Resources
Financial Planning Firm Feltz WealthPLAN
Nabity Business Advisors
Insurance Agency The Harry A. Koch Co. 402.861.7000 www.hakco.com
402.399.4500 Headquarters: 72nd & Mercy www.tandt.com
Chastain Otis Insurance
Look for us on Facebook and Twitter.
& Financial Services
Thank you Omaha! Best of B2B Winner 2 years in a row!
Law Firm Baird Holm
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Public Relations Firm Zaiss & Co.
7613 Main St.
Vic Gutman & Associates, Inc.
Ralston, NE 68127 402-331-2630 Fax 402-331-2641 1-800-228-2161 www.donisinc.com
Social Media Consultant Red Branch Media
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B2B Omaha Magazine • Spring 2012
Albers Communications Group, LLC
www.OmahaPublications.com
Feltz WealthPLAN
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ContaCt us today for a free, no obligation Consultation!
101 s 108th avenue, 2nd floor • omaha, ne 68154 • www.feltzWP.com • 402.691.0200 Securities offered through LPL Financial. Member FINRA/SIPC
May I have the ENVEL
E please?
OmahaPrint.com
SIX YEARS RUNNING.
www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 35
Eeny, Meeny, Miny,
Travel & Event Planning Airline Southwest Airlines American Airlines
Studio B Ltd.
Business Conference Venue Scott Conference Center 402.778.6313 www.scottcenter.com
Finding new customers shouldn’t be a guessing game
www.lundco.com . 402.393.8811
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Thanks for Voting us Your #1 Locksmith!
WIN
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Our new address is: 450 Regency Parkway, Suite 220 Omaha, NE 68114
O mah
Lied Conference Center
Proud to be Omaha’s Commercial Real Estate Experts for over 30 years!
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Thank you for voting us #1 in Property Management!
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planitOmaha
402-333-3062 www.planitomaha.com
My mother told me to pick the very best one and CAS is it!
Events, Inc.
Florist www.cas-online.com
Taylor’s Flower
866.461.4693
Shop & Greenhouse, Inc.
Mailing Lists Email Marketing Data Cleansing Letter Shop
402-733-2322 www.taylorsflowers24hours.com
Piccolo’s Florist To see what else we are up to, check us out at:
We Know Mo
www.carljarlgroup.com www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 37
Thanks for Voting S&W Fence the Best in 2012! aha Maga z Om
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15803 Pacific St. • Omaha, NE • 402-333-5722
402-998-3400 www.omaha.hilton.com
DoubleTree
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Pink Kadillac Michael Walker
Rental Service Store Omaha Rental Service, Inc. AAA Rents & Event Services
Travel Agency Travel & Transport 402-399-4500 www.tandt.com
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www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 39
feature omaha business hall of famers 2012 S to ry by J u dy H o r a n • Photo by mino r whi t es t u d ios .com
Ree and Jun Kaneko
Not Your Typical Entrepreneurs
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rtists are not known for their business expertise. So why are artists Jun and Ree Kaneko being inducted into the Omaha Business Hall of Fame?
www.OmahaPublications.com
A | E | C www.hdrinc.com
Robert Duncan says it makes sense. “Jun is as good a businessman as I know. And Ree makes it happen,” said Duncan, who has been an art collector for 35 years. He said artists who are business savvy are rare. “You look at his calendar, and it’s like a project manager’s.” As chairman emeritus of Duncan Aviation, Duncan recognizes a good businessman when he sees him. He also is chairman of the board of KANEKO: Open Space for Your Mind, a nonprofit launched by Jun and Ree Kaneko in 2000 to introduce Omaha to creativity in arts, science, philosophy, and business. Over the years, Jun has bought old warehouses and turned them into studio space. After years in the Old Market, he is beginning a new urban renewal project. His studios are slowly moving into four buildings being renovated near 20th and Leavenworth streets. At 12½ feet tall, Jun’s new kiln will be one of the largest in America. The Kanekos’ ongoing mission of renovating aged buildings is good for Omaha, said Duncan. “That elevates the real estate values around them.” “They’ve changed the physical landscape of Omaha by creating and building…studios to attract artists to come and live and work in Omaha, elevating the cultural aspects. I’m convinced they’ve made a major difference.” Ree founded two arts organizations before meeting Jun Kaneko, who joined her in helping turn the Old Market into an artist’s and tourist’s delight. They were co-founders of Omaha’s Bemis Center for Contemporary Arts, a successful artists’ residency program. The Old Market renaissance turned empty streets into a neighborhood to live in, work in, and visit. “People began moving to the Old Market,” said Ree. “You’d see baby carriages, people walking dogs, all kinds of activities that weren’t there years before.”
Omaha Business Hall of Fame
I
n his book The Coming Jobs War,
Gallup CEO Jim Clifton emphasizes the importance of entrepreneurs in American business. “The country should focus first and disproportionately on world-class entrepreneurship because that’s what creates jobs,” wrote Clifton, who addressed the Greater Omaha>> www.ReadOnlineNow.com
Building Community
Omaha | 402.399.1000
Community is Number One. HDR is proud to be Omaha’s partner in building a great city.
Welcoming Berkshire Shareholders & CWS fans! Come in and watch the games in style and comfort. Rent out Havana for your next special occasion. Full or partial rentals available as well as the Bodega (free wifi). Featuring live music, exceptional cigars, and an extensive selection of fine wine, ports, domestic and imported beer, single malt scotch, single barrel bourbon and rum. 402-614-3800
havana@cigarcia.com
B2B Omaha Magazine • Spring 2012 41
feature omaha business hall of famers 2012 <<Chamber at its annual meeting in February. The Greater Omaha Chamber will honor eight successful, job-creating entrepreneurs on Tuesday, April 24, at the Holland Center. Omaha Business Hall of Fame patron tickets are $250 and sustaining tickets are $200. The evening begins at 6 p.m. with an hors d’oeuvres dinner, followed by the program at 7:30 p.m. Reservations should be made by Tuesday, April 17, online at www. OmahaChamber.org/HOF. Proceeds from the Omaha Business Hall of Fame support a permanent exhibit at The Durham Museum and provide funding for the Chamber’s Young Professionals Summit.
Linda Hoeppner Lovgren
P h oto : m e r v i n r e e s e p h oto g r a p h e r s
First female chairman for the Greater Omaha Chamber board of directors, Lovgren has been a leader in the city’s economic development for more than 20 years. The president of Lovgren Marketing Group helped develop the signature O! campaign, the Buy the Big O campaign and oversaw passage of the bond issue for Omaha’s convention center/ arena. Her firm aids business clients in strategic planning, marketing and government affairs.
D.J. Witherspoon (1912-2000)
Son of Texas migrant workers, “Tex” Witherspoon opened in 1938 Omaha-based Gibson Products, the nation’s second largest discount store chain. In 1962, he co-founded Pamida Inc. in Omaha. His smart strategy of targeting rural towns resulted in one of the of the nation’s largest discount chains. He sold the company in 1981 to employees. In January, Shopko and Pamida announced they would merge and continue serving rural areas.
P h oto : cou r t e s y o f om a h a c h a mb e r
P h oto : t e ss f o g a r t y p h oto g r a p h y
Michael G. Fahey
Mike Fahey started a land title business in 1978 that grew to be one of the nation’s largest. He sold his company in 1990, remaining as president until retiring. Fahey served as Omaha’s mayor from 2001 to 2009 during a time of vigorous downtown development and the opening of the city‘s new ballpark and convention center/arena. Fahey volunteers with nonprofits such as Omaha Community Foundation and Building Bright Futures.
P h oto : cou r t e s y o f M B J
Robert Gregg “Bob” Hoig
Bob Hoig was a journalist for 20 years at newspapers such as the New York Daily News, Miami News and Omaha World-Herald. In 1975, he spotted a need in Omaha for a publication devoted to business news and launched the weekly Midlands Business Journal to “tell the growth stories of area businesses in a fair and interesting way.” In 1996, the publisherentrepreneur started the Lincoln Business Journal.
Paul Hogan and Lori Hogan
The entrepreneurs began Home Instead Senior Care in the living room of Paul’s mother, inspired by his grandmother who thrived under personal care. Today, the company has 1,000 franchise offices in 16 countries around the world with 65,000 caregivers tending to 1 million seniors. Lead donors for UNMC’s Home Instead Center for Successful Aging, the Hogans are community givers and international participants in their field.
P h oto : cou r t e s y o f m i n o r w h i t e stud i os . com
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B2B Omaha Magazine • Spring 2012
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B2B Omaha Magazine • Spring 2012 43
feature S to ry by t r aci osu na
Miller Electric
Wiring Omaha for a Century
O
ne hundred years ago,
Omahan Henry Miller ventured to start a small business. This year, that business, Miller Electric, is celebrating its 100th year of success. Over the past century, Miller Electric has evolved from a modest family-run business to what has become an Omaha institution. “It’s difficult to look at the skyline of Omaha and find a building that [Miller Electric] hasn’t worked on,” says Betsy Garbacz-Rawson, Marketing and Communications Strategist of OBI: Creative Marketing Collective. Family-owned until 1985, when Miller’s sons, Harold and Cliff Miller, decided to sell the business, Miller Electric is now an employee-owned company with over 300 employees, where the average career span of an electrician is an impressive 16 years. “We have one electrician who’s been with the 44
B2B Omaha Magazine • Spring 2012
company for 36 years,” says President Ray Bruegman. Both Bruegman and Miller Electric’s Safety Director Scott Love attribute the success of the business and the dedication of its employees to the company’s customer-first philosophy and their proactive approach. By incorporating such advanced technology as Building Information Modeling (BIM), a computer-aided design and drafting application, the project managers and team members are able to “see” the projected electrical system layout and avoid potential problems in the future. “We jumped in early and started doing spatial coordination…about 10 or 11 years ago,” says Bruegman. “It was a way to avoid conflict on the job… [and]…it sets us apart on new construction projects.” “It all boils down to service and how you treat [the client].” Bruegman explains that once they take on a new client, the project managers learn all that they can about their customer’s business. “You want to understand the business…how it operates,” he says. “If they ask you for assistance…you want to be sure it’s the right recommendation for what they’re doing.” “A lot of [businesses] say they put the customer first,” says Love. “[But] that is instilled in every [person] who comes on board to Miller Electric.” Love describes how each employee undergoes formal ethics training, as well as a customer service and management training. www.OmahaPublications.com
“The IBEW does a very good job of training in the technical aspects of the trade,” says Bruegman. In keeping with their customer-first culture, Miller Electric has opted to provide additional guidance when it comes to building customer relationships by starting their own eight-week program. In addition, each employee attends outside management training one day a month for 12 months. It’s that dedication to both the technical and personal sides of business that has made Miller Electric the go-to place for many of Omaha’s largest and most well-known businesses. Companies such as the Omaha World-Herald, Mutual of Omaha, CSG, First Data Resources, Ameritrade, and PayPal—just to name a few—have sought the expertise of Miller Electric for their electrical needs. Medical facilities, such as UNMC, Mercy Hospital, and Bergan Mercy, have also depended on them to help create and maintain their electrical systems. “As a service contractor, your best way to get a new customer is to get a job and get in the door,” says Bruegman. “If you…do a job and do it well every day, you stay. If you don’t, you’re replaceable.” When the company began in 1912, the primary focus of the business was
Provided by Omaha Performing Arts Left: Miller Electric’s downtown shop in the 1940s; Woodmen Tower (completed 1969), one of the company’s largest projects on the Omaha city skyline. Right: Omaha’s Holland Performing Arts Center, a major commercial project of recent years; Miller Electric’s current president, Ray Bruegman.
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residential. “When I started here in ’85, I was still chasing houses,” says Bruegman. Though they say that no job is too small today, Miller Electric’s focus is on the bigger jobs: commercial office structures, substation work, line work, streetlights and hospitals top the list. In 1987, the company added low voltage work, such as voice, data network, fiber optics, security systems and nurse call centers. “Short and simple,” clarifies Love, “if it has a wire to be pulled and connected to something, such as a power board for data use, phone, security…whatever…we do it.” Much of Miller Electric’s growth can be attributed to their response to customer requests. “Anytime a customer wants a new service, we don’t shy away from them,” says Bruegman. Services such as the voice, security and data-networking systems developed from clients’ specific needs. “[New services] just spread throughout the customer base. We let our customers know, we’re doing this and we can do it for you.” “We’ve always said we’ve grown with our customers,” says Love. “The growth in Omaha has been very good…very consistent, and we’ve grown right along with it.” Bruegman admits that the company is much further along than he ever imagined it would be. “When I started here 26 years ago, there were 30 electricians, and we had people scattered out to a few select accounts. Back then, a million dollars was a lot of money [for an account].” Today, he says the company deals in the 30 to 40 million dollar ranges. The company has completed or maintained projects in 36 states and in Canada. “I never thought we’d get here. It’s grown by lightyears…it’s amazing.” As for future goals, Bruegman says that they are considering expanding both geographically as well as professionally, possibly acquiring another company or branching out to a neighboring state. “Our avenue would be to acquire someone that is close to our culture, who understands that you put the client first and move forward, no matter what the cost,” he says. The company’s dedication to service mirrors their employees’ dedication to Miller Electric. “Whether it’s a project manager or an electrician out in the field…they’ll point to a building and say [to their family], ‘I wired that.’ It’s a big deal to them,” says Bruegman. Love agrees. “There’s a lot of pride.” B2B Omaha Magazine • Spring 2012 45
cover feature
46
B2B Omaha Magazine • Spring 2012
Going to Batt for the Nebraska Furniture Mart
www.OmahaPublications.com
S to ry by C a r o l Cr isse y N ig r el l i • Photos by mino r whi t es t u d ios .com B att i n h i s NF M o f f i c e . N e wspa p e r c l i pp i n g s , o l d p h otos a n d ot h e r M a r t m e mo r a b i l i a s e r v e a s co n sta n t r e m i n d e r s o f t h e sto r e ’ s l o n g e v i t y a n d g r owt h ov e r t h e y e a r s .
Executive VP Bob Batt continues his grandmother’s legacy
H
is earliest memory of
the store is jumping on the beds. At age 8, he sold toys. By 14, he took home regular paychecks from Nebraska Furniture Mart, the home furnishings behemoth founded by his grandmother, Rose Blumkin, known as Mrs. B. In a career spanning 50 years since his freshman year at Central High School, Bob Batt has performed nearly every job at the Mart. “I’ve sold, I’ve delivered, I’ve worked in the warehouse,” he said. “When people ask me where I got my education I say, ‘Mrs. B. University.’ That’s where I learned—on the job.” Now, in his capacity as executive vice president, Batt helps nurture and grow one of the greatest success stories in American retail history, using his grandmother’s simple yet oh-so-effective mantra as a guide: “Sell cheap, tell the truth, don’t cheat nobody!” >>
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B2B Omaha Magazine • Spring 2012 47
cover feature << That business philosophy propelled a 4-foot-10 inch poor Jewish immigrant and the little venture she started in the basement of her husband’s pawnshop in 1937 to legendary status—and not just in Omaha, where the flagship store brings in hundreds of millions of dollars a year selling furniture, flooring, appliances, and electronics. Nebraska Furniture Mart has stores in Des Moines, Kansas City, Kan., and just finished plans to build the world’s largest single-use retail store in suburban Dallas. The company’s forward progress keeps Batt visible: he’s also chief spokesperson for the Mart. “They call me Mr. Soundbite,” Batt said with a grin. “I speak in short sentences.” Being the face and voice of the company suits him well. Very much at ease with the public and in front of a camera, Batt’s personal knowledge of the Mart’s history and its vision for the future bring instant credibility to his position. The other executives at the top of operations are his uncle, Louis Blumkin, and his two cousins, Ron and Irv Blumkin. “We have 3,000 employees and only four officers, so we’re pretty flat management,” said Batt. Sitting in his modest office on the second floor of the main showroom on S. 72nd St., Batt needs only to look up to get a reality check. Hanging on the wall among framed family pictures and memorabilia are yellowing, full-page newspaper ads declaring liquidation sales of local competitors. Batt’s intent is not to gloat. “It reminds you that you could be in their place if you don’t watch it. I look at that every day.” Nothing was going to ever force Rose Blumkin out of business: not merchants who sought to ruin her because she priced her furniture at no more than 10 percent over cost; not a depressed economy during the Korean War that necessitated she sell every bit of inventory to pay off a loan—the last time she would ever sign for money; not a 1961 fire that burned half the old store at 2205 Farnam St; not an F-4 tornado in 1975 that leveled the brand new store on 72nd St. in just 30 seconds. Batt has pictures of each event on his walls, including the promissory notes Rose paid off in 1951. “She was driven to make money since she was six years old in Russia,” explained Batt. “She invented feminism, starting her own business and kicking butt with men who wanted to run her out.” Rose’s early version of feminism didn’t 48
B2B Omaha Magazine • Spring 2012
B ob B att o n t h e NF M s h ow r oom , 19 6 4 . C omm e n t i n g o n p h oto , B att jok e d , “ T h i s i s h ow I sp e n t m y summ e r vac at i o n f o r t h e l a st 4 9 y e a r s .”
extend to her three daughters, including Batt’s mother, Frances. None of the girls became executives with the company. Only Rose’s son, Louis, assumed a title. “She wouldn’t allow it,” said Batt. “She wanted [her daughters’] marriages to stay intact. In those days only the men worked—except for her. And in our way of thinking, the head of the company needs to be the chief merchandiser or salesman, not an accountant. In her eyes, Uncle Louie was the best.” Since Louis came on board after World War II, marketing and sales have been at the forefront of the company—one of many factors that made Nebraska Furniture Mart so attractive to investor Warren Buffett. In 1983, the same year Batt’s only child Sara came into the world, Buffett bought out his grandmother. The two titans sealed the $60 million deal with a simple handshake. So trusting was Buffett of Rose’s ethics and business acumen that he didn’t even check the store’s books beforehand. “It was an emotional time for me,” admitted Batt, but uncertainty quickly evaporated. Buffett treated the Mart like any other Berkshire Hathaway subsidiary: he left it alone. “We have 100 percent autonomy to run the company as we see fit,” said Batt. “Now, if we have plans to expand to a new city or something, we have a business consultant named Warren Buffett who gives it the once-over. That’s a great combination.” After nearly a lifetime of being introduced as “Rose Blumkin’s grandson,” Bob Batt has forged his own path. A 1976 graduate of UNO with a degree in business law, Batt received the Alumni Association’s highest honor in 2010 for his professional and civic achievements. He and his wife Janice have raised hundreds of thousands of dollars for the Juvenile Diabetes Research Foundation. And as chair of the Nebraska Liquor Control Board, he’s passionate about changing the mindset towards drinking. “We’ve passed more liquor legislation in the last three years than in the past 40,” Batt stated with pride. He calls kids dying in drinking-related accidents “a national tragedy.” Unlike his grandmother, Batt has no plans to work at the Mart until he’s just shy of his 104th birthday. He sees his future at a non-profit—or with the liquor commission. “I’ve done well. But as you get older, you want do things that have nothing to do with the store—things that use your skill sets and make a social difference.” www.OmahaPublications.com
renovatingyour work space
securingyour building hvacbalancing act agbiz boom
photo byChip thompson
COMMERCIAL Real Estate Story by Kara Schweiss • Photo by minorwhitestudios.com Bryan Zimmer with The Architectural Offices, at left, with H. Dan Smith, partner in Smith Gardner Slusky Law, in their renovated modern, open workspace.
interiorrenovations revitalize workspace & employees
B
efore a major renovation late last year, the headquarters of The Lund Company
not only failed to reflect the best in modern real estate, but its dark and dated look was fundamentally at odds with the mission of the full-service real estate firm and everything it had to offer, President Jason Fisher says. “Our space was tired and uninspiring and lacked natural daylight,” Fisher says of the building at 450 Regency Parkway, which dates back to the 1960s. “It didn’t tell a good story to our clients about real estate and how the good use of it could impact your business results.” The Architectural Offices’ Bryan Zimmer makes similar observations about the pre-remodel state of the quarters of Smith Gardner Slusky Law, also remodeled in late 2011. “It looked like it was out of the ‘80s, with darker wood and a lower level of lighting,” says Zimmer, who served as a principal architect for the renovation of the firm’s 10,000 square feet of offices located in a 1950s-era building at 8712 West Dodge Road. “The challenge was taking the existing law office and bringing it forward to the 21st century.” The post-renovation results for the 15,000-square-foot Lund Company project are nothing less than dramatic, according to Fisher. “It’s expansive and visually open and transparent and bright,” he says. “Our mission in the redevelopment of the building was to create an environment that was unique, that was collaborative between all tenants, that offered amenities for meeting spaces and would be just kind of an inspiration to all the tenants.” H. Dan Smith, Smith Gardner Slusky Law managing partner, says not only has the physical environment of his law offices undergone a stunning transformation, but the brighter, more 50
B2B Omaha Magazine • Spring 2012
open and serene post-remodel atmosphere has actually fostered a happier workforce. “Good architecture makes people feel good,” Smith says. “It changes your mood. You’re more productive, nicer to your fellow workers.” Smith says employee satisfaction with the renovation is partly due to the fact that it delivered all five elements employees specifically requested: a quieter environment, improved use of space, more natural light, enhanced ergonomics and better aesthetics. “Most of the defining elements came from staff,” Smith says. “As an employee, you want to be involved in decisions made that involve your surroundings. You deserve that.” The Lund Company remodel was also employee-centric, Fisher says. “We made a real, cognizant effort to make the physical environment support what people are doing,” he says. The www.OmahaPublications.com
redesign also ushered in a more egalitarian spirit, with everyone from president to entry-level staff issued the same square footage of personal office space efficiently designed for its most common use: phoneand computer-based tasks and two-person meetings. Opposite of most companies, Fisher says, the leadership team, who comparatively spend the least amount of time in the building, were placed in interior space so more stationary office users could have the best access to natural light. The tradeoff for smaller personal offices was more common space and multi-use areas, from a larger breakroom to more meeting spaces, Fisher says, and some of those areas can even serve as alternative workspace for employees who simply want a temporary change of environment. Zimmer says for the Smith Gardner Slusky Law project, oppressive walls and dark tinted glass gave way to more open spaces and transparent glass, allowing light from perimeter offices to reach all employee workspaces.
“What I wanted to do was bring in light, but still be consistent with the need for privacy and confidentiality for what goes on in a lawyer’s office,” Smith explains. Both projects involved eco-friendly design elements like energy-efficient lighting and recyclable materials, but the very nature of remodeling is eco-friendly considering that its impetus is to repurpose existing resources. Zimmer says that renovating and redesigning commercial space for better function is also a cost-efficient alternative to new construction that may be unfeasible in the current economy. “In general, remodeling is always less expensive than new construction in commercial properties,” Zimmer says. He also points out that renovating is a good investment for property owners as well, as “landlords are definitely interested in keeping good tenants in a building, so it’s a good market to remodel.” Remodeling is also a sound corporate investment from a productivity standpoint, Fisher says, because a well-designed physical
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environment facilitates the flow of communication and can even improve engagement by fostering positive professional interaction. “The real success story and the real reward companies can get, if they do it right, is the speed at which communication happens,” Fisher says. “I know we (now) have a much more collaborative culture.” The payoff from renovating commercial space extends beyond operational factors, Smith says. A business’s physical environment also influences potential clients because it projects an image to the public of credibility and success, so a business owner should consider a remodel to be an investment in ensuring it remains competitive in the marketplace. “Successful people want to work with successful people,” Smith says. “Successful businesses have a brand,” Zimmer agrees. “The environment is part of the brand.”
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COMMERCIAL Real Estate Information provided by Jason Cloudt, SEi
securingyour tips building from a pro B2B Omaha Magazine talked to Jason Cloudt, Director of Sales for Security Equipment Inc., about how to select a security company. Cloudt said the most important thing to look at is the service provided by the alarm monitoring company. Cloudt said, “While the equipment itself is very important, how the monitoring center responds to alarms, troubles, false alarms, etc. is what provides peace of mind. Many alarm installing companies do not have their own monitoring center and subcontract a national monitoring center to monitor the alarms they install.” Cloudt also recommended choosing a security company with in-house monitoring service. He said, “Local dispatchers are obviously more familiar with weather conditions, which municipality should respond to alarms in each area of town, etc. Above all, these considerations are verifying that the monitoring center is UL listed to monitor alarms. The UL listing ensures each customer that the monitoring facility has all the equipment and staff to function 24 hours a day, 365 days a year with no hiccups or downtime. The UL certification means the monitoring center follows the requirements for staffing, redundancy of hardware and software, power, and fire ratings, among other stipulations. Choosing a company with uniformed employees and marked vehicles also provides assurance you are being protected by a professional organization.” 52
B2B Omaha Magazine • Spring 2012
He went on to say that businesses considering modernizing their security system or installing a security system for the first time should be sure the new equipment will communicate the alarm signals via high-speed internet as one of the communication paths. Cloudt said, “It is obvious by now that plain old telephone lines (POTS) are going away. Today, many phone lines are Voice over IP (VOIP) and are not as reliable for data communications from alarm panels.” In addition, today’s video systems are advanced portals into the activity at any business. Cloudt said, “Owners and managers can view live video and receive crisp, clear images of activity occurring around the interior or exterior of their business before ,during or after hours from anywhere in the world. Video services allow viewing from smart devices, laptops etc. This service is becoming a must in franchises and multilocation businesses, and has incredible value for all business.” www.OmahaPublications.com
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Former Palagi Law Office 6802 S. 13th Street Omaha, Nebraska
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B2B Omaha Magazine • Spring 2012 53
o
MARKET COMMERCIAL OMAHA Real Estate 2nd Quarter 2010
market.meter
Story and statistics provided by The Lund Company
Vacancy The vacancy picture remains largely the same across the office segments. Class C space, which makes up roughly 21% of the total market, has been hovering around 27% vacant for the past several years. Class A vacancy continues to drop as tenants are Class A able to upgrade their space without significantly increasing their Class B rents; as described in the opening summary. Current Class A Class C vacancy is right at 6%; down from 8.7% at the end of 2010. Vacancy. The vacancy picture remains largely the same Class B vacancy has been impacted recently by the addition of across thepreviously office segments. Class C space, a few, owner-occupied, nowwhich 100% makes vacantup properties roughly 21% of the total market, has been hovering to our overall inventory. At the conclusion of around 2011, Class B 27%vacancy vacant sits for the past several Class A vacancy conat 15.9% acrossyears. all submarkets. tinues to drop as tenants are able to upgrade their space without significantly increasing their rents; as described in The total market the opening summary. Current Class A vacancy is right at Market Availability availability rate is 15.4% 6%; down from 8.7% atTotal the end of 2010. Class B vacancy has Class A 5,757,787 SF been impacted recently by the addition of a few, previously Class B 10,098,572 SF owner-occupied, now 100% vacant properties to our overall Class C 4,018,449 SF inventory. At the conclusion of 2011, Class B vacancy sits at Total 19,874,808 SF 15.9% across all submarkets.
omaha market2011year
T
end Report
he office segment of the com-
mercial real estate market in Omaha is currently undergoing a transitional phase. Companies who have been in the market for office space over the past two to three years have realized that discounted rent and/or the ability to relocate into higher quality properties is now feasible. In order to retain and attract tenants, landlords are now required to lower rents and renovate properties to the extent at which they are able. This pressure on property owners has been the leading force behind this current state of transition, and the effect ripples through all building classes. Tenants in Class C properties are now able to climb the property ladder and obtain favorable lease rates in a Class B property. Owners of Class C properties are forced to renovate or redevelop to avoid obsolescence. The Lund Company President refers to this market evolution as “Real Estate Darwinism.” The current environment has resulted in a great deal of activity. High deal volume has been the story in the office brokerage world. The Omaha real estate community as a whole benefits tremendously from a robust and diverse local economy and a very active and knowledgable Chamber of Commerce. In 2011, a rising proportion of the activity in the market was due to true job growth. As described above, the big story of the past couple of years is the building class migration. Stated statistically, the overall office market has a vacancy rate of 15.4% with an overall absorption of positive 62,661 square feet. Class A property has a vacancy rate of 6.0% and 420,900 square feet were absorbed in 2011. This real estate trend will continue in Omaha, eventually resulting in a tipping point. The pendulum will then swing back in favor of property owners and landlords. 54
B2B Omaha Magazine • Spring 2012
Total Market Availability Class A 5,757,787 SF Class B 10,098,572 SF Absorption Class C 4,018,449 SF The overall absorption for 2011 was 62,661 positive square Total 19,874,808 SF
feet. Class A properties significantly outpaced the other classes. In 2011, over 420,000 square feet of Class A office space was absorbed, but this positive move was offset by two very large, previously owner-occupied properties being added to the Class B inventory as vacant. There was a negative Absorption. Thefeet overall absorption forabsorbed. 2011 was 62,661 329,820 square of Class B space Class C space 62,661 SF of positive absorption reflects 2011 year-to-date activity. positive square feet. Class A properties significantly outpaced remained relatively flat. the other classes. In 2011, over 420,000 square feet of Class A office space was absorbed, but this positive move was offset by two very large, previously owner-occupied properties being added to the Class B inventory as vacant. There was a negative 329,820 square feet of Class B space absorbed. Class C space remained relatively flat.SF in 2011. Rental Rates As a result of the positive trending in both vacancy and Class A absorption, average rental rates are creeping closer to $18.00 per square foot on a full service basis compared to $17.58 a year ago.
Rental Rates. As a result of the positive trending in both vacancy and Class A absorption, average rental rates are creeping closer to $18.00 per square foot on a full service basis compared to $17.58 a year ago.
Class A Class B Class C
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B2B Omaha Magazine • Spring 2012 55
COMMERCIAL Real Estate Story by Kara Schweiss • Photo by minorwhitestudios.com Jim Hain, VP and Ag Specialist with The Lund Company
A
agricultural land values, crop prices help Ag sector soar midst all the collective anxiety about recession and the down economy, one
sector is actually enjoying an unprecedented boom—agricultural land values have soared in recent years and most industries associated with farming are prospering at record levels. Ultimately, it all comes down to simple supply and demand, says Grover Johnson, a real estate broker associate for Farmers National Company in Iowa. “The domestic economy wants our ethanol, and the developing world is revving up its appetite for all commodities,” Johnson says. “That seems to be fueling the demand for land because as the value of commodities goes up, it drives up the value of land.” Jim Hain, Vice President and Agricultural Specialist with The Lund Company, agrees. “The world supply of corn, soybeans and wheat has been down for the last three years. And, domestically we’ve had two disappointing years of production so there’s a tight supply of commodities,” he says. “The last two years we’ve had pretty decent yields mostly in Nebraska and Iowa, so regionally it’s very positive for the land values.” With residential and commercial construction down, most agricultural property being sold is going to investors—many of them farmers—rather than developers, Johnson says. 56
B2B Omaha Magazine • Spring 2012
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For All Your Building Restoration Needs • Caulking • Coatings • Tuck Pointing “[Farmers] are the ones with the money. Investors are participating up to a point but it’s the farmers who end up buying,” Johnson says. “I’ve never seen farmers participating so much in my 30 years as a broker.” “The farmers and land owners are flush with cash so they spend it on items they know, and one of those is farmland,” Hain says. “Ag divisions [of real estate companies] are doing well because for most all farms and ranches that are listed, there are multiple buyers waiting for properties to come on the market.” Even industries not directly involved with the transfer of real estate are cashing in on the boom, Johnson says, especially manufacturers and dealers of farm equipment, machinery and agricultural goods, and providers of services related to farming. Not every agricultural-oriented business is benefiting, however. “In the Ag sector, [farmers] aren’t borrowing money because they have the money to buy what they need to buy,” Hain says. “Consequently, the Ag banks are struggling to find good loans that they want to write and they can’t find enough of them. So, profits for the Ag banks are down.” Johnson says landowners are currently in a good position to sell. “This certainly is not a bad time to get out because of the risk that’s in the marketplace,” he says. “We’re one drought cycle away from really having reduced income out here in the country. If it does come, I don’t see where the pressure is going to come to drive up land further.” Hain agrees that the upward growth in land values can’t last forever. “Everything at record highs...it’s the highest they’ve ever been in history,” he says. “All markets are cyclical and at some point this trend will end and there will be a correction.” Despite the profit potential, however, landowners are still not rushing to sell, even long-time farmers who might otherwise be ready to retire, Hain says. “Most of them are making more money than they have in their lifetime, so it’s profitable for them to stay in in just another year,” he says. www.ReadOnlineNow.com
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COMMERCIAL Real Estate Story by Traci Osuna • Photo by minorwhitestudios.com Brian Feyerherm, senior property manager with The Lund Company
hvacTechnicians
facing a daily balancing act come springtime
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S
pring in Nebraska…To say
the season can bring a mixed bag of weather is an understatement. Longtime Nebraskans have come to expect anything from snowy blizzards to driving rainstorms to tornados to comfortable, sunny days come March, April and May. Figuring out how to dress and what shoes (or boots) to wear and what to anticipate for driving conditions can be a real challenge. Ask area commercial property managers what challenges springtime brings and they’ll likely share a whole different set of concerns or opinions on what the daily fluctuating temperatures can mean to their buildings and their tenants. And it’s not just the stormy weather that poses a challenge. While the tenants of the office buildings typically see warmer spring afternoons as a welcome break from the cold and sure sign of better things to come, HVAC technicians and property managers are faced with a behind-the-scenes balancing act of keeping their tenants comfortable and their energy costs down. The HVAC (Heating, Ventilation, and Air Conditioning) system not only helps to maintain a comfortable environment within the building, but a healthy one as well. HVAC systems for commercial spaces range from water source heat pumps for smaller structures, to rooftop package units for medium-sized buildings and, for larger properties, an external central plant. Each system forces air over water pipes, transporting either hot or cold water, which adjusts the temperature of the air. That conditioned air is then ventilated throughout the building. According to Brian Feyerherm, Senior Property Manager and Director of Commercial Service for the Lund Company, “Air volume, temperature and humidity are factors that contribute to the perceived temperature in the space. We at The Lund Company monitor all three in an attempt to provide the best possible comfort.” He explains that HVAC systems also promote the circulation of fresh air throughout the building. “If [the systems] are not properly controlled, CO2 levels can increase, which could cause headaches, confusion and lethargy [in occupants].” To protect tenants from rising CO2 levels, rooms that tend to hold more people, such as conference rooms, www.OmahaPublications.com
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are often equipped with special sensors. “In the event that the CO2 exceeds a predetermined [level], the digital Building Automation System (BAS) will shift to 100 percent open to exchange the air in the room and very quickly lower the CO2 to acceptable levels.” While HVAC systems are advanced and run fairly smoothly, spring’s fluctuating temperatures can play havoc with the process. “It is a very fine line that is tread due to having to heat and cool the building at the same time,” says Feyerherm. “This is further amplified in the spring and fall due to the fact that we can go from 20 degrees overnight to 50 degrees during the day.” He says that, depending on the HVAC system in use, “it may not react fast enough to properly heat or cool the building.” The technicians then need to address the issues that arise to ensure the comfort and safety of their tenants. Thanks to advancing technology in the HVAC industry over the last decade, the digital / electronic BAS provides continuous monitoring of a variety of factors: air flow, CO2 levels, temperatures, etc. and can adjust automatically. In the event of a boiler problem, the BAS can send out electronic notifications to maintenance personnel based on a predetermined call list. Notifications will continue to escalate up the list until the issue is addressed and resolved. “Each building is different and therefore a different approach must be taken when installing a BAS into any building,” says Feyerherm. “Through the assistance of mechanical engineers and company controls, we’ve been successful at [effectively maintaining our HVAC system].” In order to avoid mishaps this spring season and maintain a comfortable work environment, Feyerherm advises property managers to have a good preventative maintenance program in place. Included in that program are simple steps such as making sure air filters are clean. “Frequent sound and visual checks on equipment, above and beyond preventative maintenance programs, are a good way to ensure there isn’t anything about to go wrong. Any water or oil leaks should be addressed immediately, making proper electrical repairs to equipment, and ensuring that you or someone on your staff is familiar with how the equipment works.”
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in the office S to ry by Davi d W I l l ia ms • Photo by mino r whi t es t u d ios .com
a r t i st yo l a n da a d r a’ s f us e d - g l a ss scu l ptu r e g r e e ts v i s i to r s i n t h e l obby.
Art with Heart The Heart Consultants’ Collection is Warm and Welcoming
A
“
lot of us suffer from white coat hypertension,” Pat Fahey said of the condition typified by a
quickening heartbeat triggered whenever a lab-coated doctor enters an examination room. “So we wanted to make sure that our offices were as warm and friendly as they could be.” Fahey is the executive director of Heart Consultants, a physician-owned group practice that offers a full range of cardiovascular and preventative services, and we were wandering amid over 40 works of art in their Westroads Office Park location.
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pat fa h e y, e x e cut i v e d i r e cto r o f h e a r t co n su lta n ts
Adhering to the idea that what hangs on walls can reflect the spirit of work that goes one within them, Heart Consultants chose to bring in veteran art consultant Holly Hackwith for the project. “My main job is to listen to clients,” said Hackwith, who founded Corporate Art Co. in 1985. “More importantly, I learn about my client’s clients so that we can present an image in a visual continuity that is both professional and welcoming.” Perhaps the centerpiece of Heart Consultants’ collection is Yolanda Adra’s fused-glass sculpture greeting visitors in the lobby. An interpretation of an aerial view of the plains—think here of the patchwork quilt of farmland as seen from an airplane—vibrant yellows and greens are peppered with small, ruby red hearts. On an opposing wall is sculptor David Belitz’s organic composition of steel and copper in geometric shapes painted in swirling eddies of multihued tints. Passageways and examination rooms feature photography by Nebraska artists. “The photography is meant to be just powerful enough to evoke a response but not so over the top that it distracts the viewer,” Fahey said. “Every photograph tells a story, and I imagine a lot of our patients spend their treadmill time placing themselves in those narratives” in such familiar images as Carhenge, Chimney Rock and the faded ghosts of wagon wheel ruts along the Oregon Trail. “The art selection process was a collaborative effort that included significant input from all levels of the staff,” he added. “We’ve already moved one piece from the reception area and replaced it with another area based on feedback from our reception desk people. After all, they have to look at it 40 hours a week, so it’s important that we make a great environment for them, too. The relationship with Holly was critical because we put our trust in her, the trust of our image. We get nothing but positive comments from both patients and employees alike.” And that’s music to the ears for Hackwith. “Employees taking ownership of the art,” she mused. “That’s when I know I’ve succeeded.” www.ReadOnlineNow.com
B2B Omaha Magazine • Spring 2012 61
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B2B Omaha Magazine • Spring 2012
veryone’s talking about it. Some employers are preparing
for it. The local newspapers are filled with discussions about it. One of the most important issues in Omaha today is the coming jobs war and how we, as a business community, attract a healthy, productive employee base. This economic question takes us smack dab into our city’s biggest, recent ethical controversy— how do we address the workplace discrimination, which as a matter of fact exists, against gays, lesbians, bisexuals, and transgendered populations (GLBTs)? This issue about employment ethics focuses on two moral values that are at the crux of our city’s dilemma, namely, freedom and fairness. One the one hand, our capitalist system is founded on the ideal of individual freedom. We don’t want anyone interfering with our liberty to run our businesses as we see fit. If that means we hire GLBTs, that’s fine. If that means not hiring GLBTs on moral, religious or any other grounds, then that’s fine, too. Our fervent desire is to be free to make our own decisions about who we hire and with whom we surround ourselves. On the other hand, our democratic system is based on the ideal of fairness, and some forms of discrimination are fair while others are not. For example, we believe that it is acceptable to refrain from hiring someone as an accountant if they can’t add 289 and 453. Being able to do addition and subtraction is a bona fide occupational qualification in this case. But we think it is Un-American to discriminate just because someone is a member of a certain group. That’s because we believe in procedural justice, that is, in a system that gives everyone, regardless of race, gender, religion, sexual orientation, and even height, looks, accent, or shoe size, the same basic opportunities to do their best—and then success is achievable through merit. From the perspective of fairness then, discrimination against GLBTs, just because they are GLBTs, is irrelevant, unjust and unfair.
Of course, clarity about our city’s ethical dilemma is useful. But it doesn’t solve the problem. As with any ethical dilemma, we have three choices. We can prefer one horn of the dilemma, say, freedom. We can prefer the other horn, essentially, fairness. Or we can go between the horns and find a beautiful third option. Our city’s integrity requires that we embrace our beliefs in freedom and fairness and find a strategy that honors both—we cannot merely pick one and lose the other. I purposefully use the word “integrity” here. It is one of the five core values that our business community has identified that we want to live by today and leave as a legacy for future Omaha leaders. But exactly how do we “walk our talk” about both freedom and fairness? Our current leaders can focus on some of our city’s other core values to determine direction and find a compromise solution: Collaborative, constructive, open conversation is imperative if we are to be accountable to each other and our city. Extreme moral courage must be shown as a business community. A solution that ensures economic vitality and strong job creation is preferable to one that does not. So, go to it, Omaha leaders. We challenge you to remember the values that we hold dear and find a solution that honors all, not just some, of them.
B eve r ly K r ac he r , P h . D. E x e c u t ive Di r e c to r , B usiness E t hi c s Alliance c h a i r of B usiness E t hi c s & S o c ie t y Co l l ege of B usiness , C r eigh ton Unive r si t y
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B2B Omaha Magazine • Spring 2012 63
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