Connected Winter 2015

VISUAL MEDIA ALLIANCE

WINTER 2015

INTERSECTION OF INTEGRATION AND INNOVATION CREATING EXPERIENCES THROUGH PRINT AND DIGITAL TECHNOLOGY Recap of the imarketingSF Conference on Page 3.

THE CONTENTS

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Feature: Big Data Meets Design

Feature: Value-Added Printing & Finishing for Improved Profitability

Expert Column: Strategic Selling

Expert Column: Government Affairs

Expert Column: Human Resources

Customer Service: Good, Bad and Ugly

Sexual Harassment and Abusive Conduct Requirements for Training

Understanding Who’s Who

imarketingSF Conference Seminar Recap

A look at the current and future marketplace

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Past VMA Events Upcoming VMA Events Member News New Members

BOARD ROSTER: CHAIRMAN

Frank Parks, The Parks Group

1ST VICE CHAIRMAN

John Crammer, Best Label Company

IMMEDIATE PAST CHAIRMAN Jack Emerian, ValPrint

BOARD MEMBERS: Pat Belding Belding Associates

Nicki Riedel Black & White Design

Chris Cullen Moquin Press

Coleen Schoenheide Lahlouh

Ian Flynn Direct Response Imaging

Chris Shadix BelAire Displays

Dava Guthmiller Noise 13

Cindy Sonnenberg K/P Corporation

Trilby Parker Rosetta/Publicis Groupe

Stephen Sprinkel Sprinkel Media Network

VMA EVENTS RECAP MUSEUM NIGHT: EXPLORATORIUM

Exploring Visual Perception, Light, and Color Vivian Altmann lead the private tour examining how art and science work hand-in-hand to foster curiosity and high-level thinking at the Exploratorium on Sept.

18.

STAFF ROSTER: PRESIDENT

Dan Nelson

DIRECTOR MEMBER SERVICES Jim Frey

DIRECTOR MEMBER PROGRAMS Laura Vargas

DIRECTOR EDUCATION Barbara Silverman

DIRECTOR COMMUNICATIONS

May Suen

PROGRAM ADMINISTRATORS

Diane Gong, Gabrielle Disario

MEMBERSHIP SALES Shannon Wolford

FINANCIAL MANAGER

Emily Gotladera

ACCOUNTING SPECIALIST Maria Salita

VICE PRESIDENT INSURANCE SERVICES David Katz

INSURANCE CUSTOMER SERVICE REPS

GIANTS VS. DODGERS BASEBALL GAME + TAILGATE The annual VMA Baseball and Tailgate was a sold-out event, held on Sept. 14 at Clarence Place behind the VMA Offices and at AT&T Ballpark. The tailgate featured delicious food from Adam’s Grub Truck and popcorn to take to the game.

Renee Prescott, Crystal Carlson, Lena Nelson, Sue Benavente, Jessica Clark

DIRECTOR SUPPLEMENTAL BENEFITS Greg Golin

DIRECTOR GOVERNMENT AFFAIRS Gerry Bonetto

HUMAN RESOURCE SPECIALISTS Doug Moore

EDITOR

Noel Jeffrey

ON THE COVER: The Heart Sync outfit, showcased during the Wearable Technology Fashion Show at the imarketingSF Conference, designed by Kristin Neidlinger, founder of Sensoree, is a heart illuminiating fashion that translates empathy to light by listening to heart rates. The Misfit Shine worn by model Bree is an activity tracker that can be worn anywhere and syncs to smartphones.

Best Label brought 70 of their employees to the sold out Giants vs. Dodgers Baseball Game and Tailgate.

Rusty Davis, Canon and the Davis Family

IMARKETINGSF CONFERENCE Success in Marketing + Branding Across All Media The inaugural imarketingSF Conference held at the Contemporary Jewish Museum in San Francisco on Nov. 5 featured two keynotes, a fireside chat, 20 seminar sessions selected from 3 tracks, an evening networking party with exhibitors and a wearable technology fashion show featuring outfits created by Sensoree which provide feedback by displaying lights and sounds from biofeedback monitors. Other wearables included the Misfit Shine, Pebble Smartwatch, and the Netatmo JUNE.

Keynote speaker, Steve Deitz, 900 lbs Creative presented “Experiential Marketing: The Tech Fueled Future”.

Students from Hult International Business School receive an autographed copy of “Hello, My Name is Awesome: How to Create Brand Names That Stick” by keynote Alexandra Watkins.

Spicers Paper and YUPO Synthetic Paper exhibit at the imarketingSF Conference during the evening networking party.

Photography by May Suen, Allie Winkler, and Barbara Silverman

Fireside Chat featuring from left to right: moderator, Aaron Kahlow, Online Marketing Institute; panelists Steve Deitz, 900 lbs of Creative; Emily Chong, Frog; Scott Symonds, AKQA Media; Dava Guthmiller, Noise 13; and David Lewis, Organic, Inc.

2014 ANNUAL VMA GOLF TOURNAMENT

The Annual VMA Golf Tournament was held at the Crystal Springs Golf Course in Burlingame, on Oct. 6. Tournament proceeds benefit student education and scholarship to further knowledge in the graphic arts industry.

Sponsors Bill Ferrara of Ray Morgan Company and Dawn Delomonico of Fujifilm Graphics Systems

Sue Kent, Pacful and Dan Malley, Sun Chemical

Jannet, Bryan, and Greg Moquin of Moquin Press and David Katz of Visual Media Alliance Insurance Services

Golf Committee: Chris Lambert, Neenah Paper; Tia McMahon, Veritiv; Michelle Trumpler, RG Creations (not pictured Travis Gilkey, Best Label) join Dawn Delmonico of FujiFilm

John Crammer, Larry Jones, Travis Gilkey and Scott McKean of Best Label VISUAL MEDIA ALLIANCE

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3

UPCOMING VMA EVENTS

C ALL FOR ENTRIES

Mark Your 2015 Calendars for the Visual Media Alliance Showcase Awards Enter your best print, cross-media, marketing or design piece in the 18th Annual Showcase Awards.

Call for Entries Deadline Awards Show

Places to be. Things to do. People to see.

JAN. 26 MAR. 16 JUN. 04

Visual Media Alliance Events Keep Us Connected

vmashowcase.com

As a VMA Member you are able to attend our events for FREE or at special member rates.

We offer VMA Members and the public numerous events throughout the year including social events (CrabFest, Golf Tournament, Giants vs. Dodgers Tailgate and Game) and our professional events (Constructive Cocktails, Lunch & Learn, Sales Club, Showcase Awards and the imarketingSF Conference). These events are created with our members in mind to further acquire knowledge on special topics and to also connect with others in the industry. If you have any suggestions, please let us know by contacting Laura Vargas at laura@vma.bz or 800-659-3363.

Please visit vma.bz for more information on the latest event offerings.

VMA Education.

The Choice is Yours.

Stay ahead of the game by learning new skills.

We’re here for you. Because of you. Visual Media Alliance is a trade association helping the careers and businesses of our members to be successful. We offer over 100 public classes, delivered to you in-person, online and through customized training solutions.

DESIGN

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OFFICE

PROGRAMMING

View Website For Education Listings (800) 659-3363 • education.vma.bz Workshops • Seminars • Webinars • One-on-One • Customized Training Solutions

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Big Meets Data

Design

BY NOEL JEFFREY

A

mong the experts appearing at imarketingSF Conference in November, there were numerous seminar conversations about multimedia marketing campaigns and how they can be used effectively. For designers and printers who serve marketers, understanding the significance of data and how to use it effectively is crucial to future success. Stephan Sorger, professor at Hult and Vice President of Strategic Marketing for On Demand Advisors, presented “Big Data Marketing, Who’s Doing It Right?” The talk was full of examples that had lessons for people who want to deliver successful campaigns or elements of a campaign to their clients.

Of the six success stories Stephan shared, Amazon.com, Birchbox, eBay, Rent the Runway, Walmart and Data Exhaust, three are household names and three not all that familiar to most people.

Yet, these three not so widely known use data in sophisticated marketing efforts.

Birchbox

For example, Birchbox started out as an online market for grooming and beauty products for women. The founders envisioned a way for customers—women just like themselves—to easily and efficiently try, learn about, and purchase beauty products online. They combined monthly deliveries of personalized samples with original editorial and an exciting ecommerce shop. It was easy, efficient and fun—a monthly delivery of surprise and delight.

They shipped their first Birchboxes in September 2010. Surveys and behavior online told them that men needed a better way to shop too. Birchbox Man launched in April 2012 to bring guys tailored shipments of grooming and lifestyle products. Millions of boxes and product matches later, their mission remains the same: to help customers find products they love. Birchbox is headquartered in New York City, with operations in the United Kingdom, France, Spain, Canada and Belgium.

Marketing is like jazz: done poorly it is annoying background noise; done well it is recognized as art.

—EMILY CHONG, FROG Rent The Runway

RTR is totally data driven. They rent designer dresses, retailing at $2,300 for $70. What’s driving the prices? They find women who look like their customers to model the clothes. 200% of visitors are more likely to rent when dresses are worn by “real women” (vs. model). They up sell accessories and 25% of their customers add accessories to the dress orders. An astounding 40% of their traffic is from mobile phones.

Some 60% of their rentals have a one-day turnaround (stains, etc.).

Note the impact of social media here, since everything is curated for history. You can’t wear the same dress again.

RTR takes advantage of this. They’ve done a lot of analytics, not just on the website, but in the company.

Data Exhaust

Data Exhaust rents combines to farmers. Since a combine is the most expensive equipment a farmer will own but it just sits around most of the year, many farmers lease it. As the harvest moves across America so does the machinery. There are data everywhere. Data collection about fuel consumed, soil moisture, equipment and the harvest. They use data samples to predict harvest metrics. They are always on the lookout to monitize these data. Farmers may use the data but the real customer for this data are companies like Goldman Sachs commodity brokers, wheat futures and so on.

In summary, Stephan says marketers should look around and understand what’s important. Like RTR, use data for everything.

Companies that already have tradition marketing can use data for contests, to optimize their websites to get people to go to the website.

Do events. Sponsor something. Use event marketing to measure and track. Engage with customers in a data monitoring way. Most important of all, use the data to understand the customer.

VISUAL MEDIA ALLIANCE

| CONNECTED | WINTER 2015

5

MEMBER NEWS

CHANGES, ACTIVITIES

Blast From the Past

The Graphic Communication Institute (GrCI) at Cal Poly and printing industry leader Frank Romano have partnered to publish Romano’s latest book, “History of the Phototypesetting Era.”

New Online Print Marketplace Keen Systems, San Mateo, has launched PrintMo, a new marketplace to help companies get real-time pricing and place orders with curated local printing companies for just about anything that can be printed. Keen is already well known in the industry for its ecommerce SaaS. PrintMo.co is currently using several dozen print service providers fulfilling orders in the San Francisco Bay Area. Keen plans to expand the service to other major markets soon. Prices and delivery times are very competitive and PrintMo. co takes a small commission on the orders it helps drive to print shops. (www.printmo.co)

The publication traces one of the most important eras in printing history, including the technological transition and the impact of phototypesetting that linked hot metal typesetting and letterpress printing with the computer age. Proceeds from the book’s sales will go to support graphic communication education at Cal Poly. Each book is signed by Frank Romano and is available on the GrCI website (www.grci.calpoly.edu) and Amazon.

Rebranding for the Future Parks Printing, headquartered in Modesto with an office in Stockton, is now The Parks Group.

The company has not only rebranded but added services far beyond traditional printing.

DDW Designed Limited Edition Chunky Soup Cans In honor of Veteran’s Day in 2014, Campbell’s Chunky soup recognized our country’s military personnel and their families by introducing a limited-edition Chunky soup can designed

by Deutsch Design Works, San Francisco.

The custom label features an American flag, camouflage print and the NFL-trademarked Salute to Service Military Appreciation ribbon.

Known for its iconic NFL Mama’s Boy campaign, Campbell Soup Company is participating in the league’s Salute to Service program for the first time with this special commemorative can. (www.dw.com) 6

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In-house The Parks Group now provides online ordering and asset management, campaign performance analytics, web, mobile and email marketing solutions combined with traditional print and mail. With their new building addition they have expanded kitting, warehousing and distribution capabilities as well. (www.theparksg.com)

On A Roll Turner Duckworth, San Francisco and London, has jumped two spots this year to claim #3 on the annual Design Week Creative Survey of all design companies and all disciplines—their highest placing yet! (http://creativesurvey.designweek. co.uk) The company is also introducing Turner Duckworth Whitespace. A little clear space is always good for idea creation, so in November they opened a new location just up the street from their SF location for their designers and clients to meet and collaborate. Visit at 855 Montgomery! (www.turnerduckworth.com)

Profitable Transformations Dome Printing Company, Sacramento, was featured in the October 2014 issue of Printing Impressions magazine. Smiling on the cover are Tim Poole, president, and brother Bob Poole, chief sales officer. The story details how that company has transformed itself and is reaping a bounty of new business. Along with a new team sales approach, the company has expanded into grand format printing, ecommerce and fulfillment. A redesigned website provides an introduction to the breadth of the company’s offerings as well as useful tools and communication paths for customers. (www.domeprinting.com)

Keeping it Colorful The Color Management Group, Morgan Hill, has been especially active providing speakers and seminar leaders throughout the fall and winter.

For example, group members participated in six different sessions at the PIA Color Conference in December as well as sessions at SGIA in October. (www.colormanagement.com)

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Printing & Finishing for Improved Profitab

For your copy of “Value-Added Printing & Finishing for Improved Profitabili (703) 264-7200. You may also log in to the NPES web site, go to PRIMIR Rese copy of the full report or oth

Value-Added Printing & Finishing for

Improved Profitability

THE OVERALL MARKET for value-added print remains stable, with

ABOUT THIS STU

indications of growth in some sectors. Both print buyers and brand managers Faced with a declining m consider all forms of value-added enhancements to be cost-effective. As a result, seeking new ways to diff they also report small increases in their use of value-added print and finishing offerings and increase pr over the past five years, while optimistically projecting modest growth of some study analyzes the curre enhancements throughout the next four years. marketplace for value-ad Optimistic as ever, print service providers (PSPs) and trade service providers (TSPs) goal is to provide a profi project good sales growth over the coming four years, based on small increases technologies and measu over the past four years. More important, PSPs and TSPs report sales of value-added value in the print supply enhancements have made a positive contribution to their profitability.

The final report looks which buyers have already predicted a decline in future purchases. study from PRIMIR conducted by industry guru Hal Considering only the categories companies reported withinas this added enhancements de This of is printing particularly worrisome for printers these services require a Hinderliter and featured at Graph Expo last October analyzes the PRIMIR Task Force. Bo study, 2012 print shipments in the U.S. amounted to $51.6 billion, representing 73% significant amount of investment to succeed. Partnering with other the current and future marketplace for value-added services and quantitative data we of the total U.S. printing industry. North American sales (U.S. and Canada) totaled printers/binderies may be the answer to the problem. in the print supply chain. PRIMIR, the Print Industries Market from print service provid $63.6 billion in 2012. Within that universe, value-added enhancements are widely The study concludes that the overall market for value-added Information and Research Organization, is the research unit of NPES service providers (TSPs), b available within specific market segments. For example, UV-curable inks are print remains stable, with indications of growth in some sectors.

Both A total of 57 The Association for Suppliers of Printing, Publishing and Converting print buyers. offered by 75% of the packaging printers in the study. print buyers and brand managers consider all forms of value-added Technologies. completed a survey, whic enhancements to be cost-effective. As a result, they also report small questions re The final report looks at 23 value-added enhancements that randomized Cost-effectiveness and increases profitability value-added in their use of value-added print and finishing over the past enhanceme entice customers and help boost printers’ bottom lines. According to One key factor affecting the future growth of any value-added enhancement is Combined with in-de five years, while optimistically projecting modest growth of some Hinderliter, “Adding value to print is often touted as a way to improve the extent to which customers judge it to be cost-effective. Topping the list of with vendors enhancements throughout the next four years. Hinderliterinterviews says, “Print the profitability of print service providers, but until now there has value-added services in the eyes of print buyers and brand owners is scented inks andmanagers, brand owners, the s company owners and managers, design agency owners and never been definitive research on the topic.”and coatings, a process with low barriers to entry and a broad supplier base. In yielded an analysis of cu brandas owners… and anyone who curious the true Now there is. Data were gathered from print service providers fact, the top seven entries (seevendors, chart) named most cost-effective, hadislow entryaboutfuture markets for the 2 value of value-added services will fi nd this PRIMIR research valuable.”

(PSPs), trade service providers (TSPs), brand owners, print barriers (aside from a UV-equipped press). enhan buyers and vendors through in-depth telephone interviews.on A the Profitability, study a Scented Inks total of 577 respondents also completed a survey, whichdrives asked PSPs a other hand, growth Computer-controlled Spot Gluing range of randomized questions regarding the use of value-added and TSPs to add new and de UV- and EB-Curable Inks Specialty Stocks enhancements. The study also highlights growth opportunities services.

Both groupsand are related Special Effect Coatings and su defines the related equipment and supplies overwhelmingly needed to enablepositive printers UV-curable Gloss & Dull Coatings pRinT buyER to ena regarding were the impact to offer these value-added enhancements. Customers asked of to Spectral Databases And bRAnd Tactile & Dimensional Finishes to offe value-added services on OwnER evaluate cost effectiveness. (See chart) Metallic Process Color System added ATTiTudEs their bottom line, revealing In-line Stitching On cOsTBroad that these offerings Embossing Shifts in Preferred Technologies EffEcTiVEnEss Fluorescent & Iridescent Inks enhan enhanced profitability Perhaps surprisingly, scented inks and coatings top the list in the in Die Cutting high-e all but 7% of cases.

Foil Stamping u.s. & cAnAdA eyes of print buyers and brand owners. However spectral databases, proces Hi-fi Color In general, printers are (2013) metallic process color systems and computer-controlled spot gluing techni Rigid Plastics unwilling to offer any new are among the fastest growing value-added enhancements. The inks an Benefits Benefits Benefits Benefits Benefits services that cannot be far somewhat far less somewhat equal positive outlook of printers and trade shops is due, in part, to the innova greater greater than cost less to cost performed in-house. This and br than cost than cost than cost advent of new technologies such as PantoneLIVE, which integrates

A

Sun Chemical’s Smart Colour database with X-Rite/Pantone’s color communication system. This technology has won acceptance by brands such as Proctor & Gamble and Heinz, indicating a potential for explosive growth. Similarly newer metallic process color systems are still in their ramp-up stage, having been introduced in 2010.

These two enhancements are joined by an under-appreciated enhancement—the use of computer-controlled gluing to eliminate the need for tab closures or envelopes in many direct-mail applications.

These three top contenders are likely to achieve substantial growth so long as printers succeed in educating print buyers/brand owners about these new options including cost savings, return on investment, and how they can best be used. On the other hand, rigid plastics, hi-fi color/expanded gamut and foil stamping are areas in 8

VISUAL MEDIA ALLIANCE

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How to Get It The full 240-page study “Value-Added Printing & Finishing for Improved Profitability” is now available for purchase to firms outside of the PRIMIR membership for $1,990. The 48-page Executive Summary is available for $498. Printing Industries of America’s member print firms and trade shops may purchase either the full study report, or the Executive Summary, at a 50% discount, $995 and $249 respectively, through the Association’s online store at: www.printing.org.

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K. Wilson & Company is a team of experts with a depth of experience unparalleled in the industry. Whether it is choosing the right equipment, making components of different manufacturers work together harmoniously, or keeping your equipment fresh and up to date with proper parts & service, K. Wilson & Company is here to help you in every way.

For over 60 years K. Wilson & Company has been the leader in innovative print and finishing systems, not only because of their in-depth knowledge in the vast array of equipment today but also their commitment to integrity in all of the relationships they have built over time. Their experience and knoweldge in the areas of product lines, service, and parts will save both time and money resulting in their customers being confident that everything will be done right the first time.

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STRATEGIC SELLING STORY | LESLIE GROENE

Customer Service: Good, Bad and Ugly

Protect your reputation with outstanding customer service

LESLIE GROENE Leslie Groene is one of the coaching superstars in the world of corporate sales as well as a business development trainer, executive consultant and author.

Her background is in the paper and printing industries as a sales rep and sales manager. She helps her clients focus on revenue generation and profit growth. She authored the business strategy book “Picture Yourself & the Life You Want” and is a nationallyrenowned motivational speaker.

To purchase her book or contact her please go to www.GroeneConsulting.com.

Here is the link to her e-newsletter, http://www. groeneconsulting.com/ Newsletter/2014.12/

And even when your business does define good customer service it doesn’t mean you’re always going to keep your reputation intact. One of the most notorious breakdowns of customer service occurred in February, 2007, to passengers aboard the Jet Blue flight who were stuck on the JFK tarmac for nearly 11 hours before Jet Blue finally decided to cancel flights due to weather. Horror stories still circulated two years later of conditions aboard that flight. And in one fell swoop, the gold standard of airlines got a great big black eye from which they’ve had a difficult time recovering.

Creating a business that will define good customer service takes constant vigilance and commitment.

Take American Express, for instance. Year after year, Amex consistently tops the “10 Best” companies for customer service. Amex customers even overlook the fact that they have high rates because they provide great customer service…usually with a real person on the other end of the phone. On the other end of the spectrum stands AOL. In the number one spot on MSN Money’s 2008 “Hall of Shame,” a remarkable 47 percent of people who had an opinion of AOL’s customer service rated it “poor.” That’s a hard number to argue with.

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No matter what, you and your employees must always be courteous, polite and friendly to your customers and clients. When anyone in your business is rude or discourteous, it reflects on your entire company. Then your customer tells all their friends about the rude behavior and you lose a lot of potential business.

Develop a customer retention program It’s tough to find new customers and clients. So once you do, give them consistent TLC. Maybe it’s giving them a few minutes of your time gratis, or a gift certificate to a restaurant for making a referral….Or a free product or service after a certain number of purchases. Even something as simple as a thank you note does wonders for customer retention. Put some thought into how you can reward your customers for loyalty.

Don’t make mistakes Mistakes degrade a company’s integrity. Whether it’s a simple invoicing mistake, or a service failure, it’s better to just not make them if at all possible. That’s one of the reasons so many companies put so much emphasis on TQM (Total Quality Management) and TQC (Total Quality Control). If you don’t have a quality control plan in place, you might want to give that some thought. If you do make a mistake or a problem arises, admit it immediately, resolve the issue and make restitution.

Keep your promises Remember when a person’s word was his bond? For whatever reasons, that just doesn’t seem as big a deal as it did 30 or 40 years ago. But it should be. Customers expect you to do what you say you’re going to do.

Emphasize value, not price Unless you’re Walmart, chances are good you’re not going to be able to consistently compete on price. But you can compete on value. Value is as much about quality of products for a fair price, innovative solutions that deliver a ROI, as it is about customer service before, during and after a sale.

Be responsive Defining Good Customer Service So what separates the excellent from the not-sogreat when it comes time to define good customer service? Well, here are some things you can do to develop extreme customer loyalty based on great customer service.

Get to know your customer Building a relationship with our customer is an important part of customer service. Ask them what they need from you and from your business, and then deliver it. Do a customer survey and find out their hot buttons. Let them know you value their opinions and value them as a person.

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Courtesy is key

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Respond to requests in a timely manner. Clients need to know that you value them and their business. If you keep them waiting or forget about something you were supposed to do for them, you won’t keep your clients for very long.

Follow up with your customers Contact your customers after the job is finished and ask them what their experience was like, and if they were satisfied. If they were happy with everything, great…ask for a referral. If not, try to make things right. When you build a business that will define good customer service, you are laying the foundation of a company that will also define success.

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GOVERNMENT

AFFAIRS STORY | BY GERRY BONETTO

You can download from the site at: http://www. calchamber.com/hr-california/Pages/top-10-lawsuitrisks.aspx?tsource=WSO

Paid Family Leave

Watchdog AB 2053 and Abusive Conduct With the passage of AB 2053, employers subject to California’s mandatory AB 1825 sexual harassment training for supervisors will now have to include an abusive conduct component.

AB 1825 requires employers with at least 50 employees anywhere to provide two hours of classroom or other effective interactive training regarding sexual harassment prevention to supervisory employees every two years (the first training deadline was December 31, 2005). And new supervisors must be trained within six months of being promoted or hired into a supervisory position and, thereafter, every two years.

AB 2053 amends AB 1825; the amendment, which became effective January 1, will now include prevention of abusive conduct.

Abusive conduct may include repeated infliction of verbal abuse, such as the use of derogatory remarks, insults and epithets, verbal or physical conduct that a reasonable person would find threatening, intimidating, or humiliating, or the gratuitous sabotage or undermining of a person’s work performance.

Employers have to track compliance with AB 1825 by keeping training records indicating the date and type of training provided and the supervisor-trainee’s name, as well as the name of the instructor. These records must be maintained for at least two years.

GERRY BONETTO Gerry Bonetto is the government affairs director for Visual Media Alliance. If you have questions about any of these items, call 800-6593363 or 415-243-8126.

You may also email him at Gerry@VMA.bz

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VISUAL MEDIA ALLIANCE

Common Lawsuits of Employers Recently, the California Chamber of Commerce published a free white paper on the common mistakes that lead to employee lawsuits. Readers will probably recognize most of these rules; however, the list is a good reminder to help you avoid these common pitfalls.

• Exempt and non-exempt employee classification • Meal Breaks • Independent contractor status • Harassment and discrimination • Hours of work • Termination • Leaves of absence • Final paycheck • Deduction from wages • Vacation policy | CONNECTED | WINTER 2015

Under current law, employees may seek wage replacement benefits under the family temporary disability program (also referred to as paid family leave or PFL) for taking time off to care for certain seriously ill family members.

Effective July 1, 2015, SB 770 expands PFL benefits for employees to include benefits for time taken off to care for a seriously ill grandparent, grandchild, sibling or parent-in-law. PFL does not create the right to a leave of absence, but provides California workers with some financial compensation/wage replacement during a qualifying absence.

Because of SB 770, the Employment Development Department revised the Paid Family Leave pamphlet to add the new “family member” definitions. These pamphlets must be given to new hires and to employees who take a leave of absence for a covered reason.

Meeting Package Recycling Goals CalRecycle recently released a background paper entitled: “Increasing Collection and Recovery of Packaging in California.” This paper presents potential policy approaches to increase the collection of packaging (all packaging) in California’s disposal stream. This document is intended to assist in meeting the goals of AB 341 that established a 75 percent recycling goal by 2020. The paper also presents a proposed definition and scope to help frame the discussion on policy approaches.

We encourage members doing packaging design and/ or production to at least skim this 29 page document at http://tinyurl.com/omtrjkp.

Exemption for Manufacturing Equipment A new law allows certain manufacturers to obtain a partial exemption of sales and use tax on certain manufacturing equipment purchases made on or after July 1, 2014. To be eligible under this law, you must meet all three of these conditions: • Be engaged in certain types of business, also known as a “qualified person” • Purchase “qualified property” • Primarily use that qualified property in qualifying manufacturing The partial exemption reduces the tax rate to 3.3125 percent (from 7.50 percent) plus applicable district taxes. This exemption applies to the state general fund portion of the sales and use tax rate, but does not apply to any local, city, county, or district taxes.

The purchaser must obtain a timely exemption certificate from the seller.

HUMAN RESOURCES STORY | BY DOUG MOORE

Understanding Who’s Who Administrative Exemption

DOUGLAS MOORE Douglas Moore is the human relations specialist for Visual Media Alliance.

Responsible for counseling on human resources matters, Doug designs and conducts training on sexual harassment, discrimination, retaliation prevention, and wage and hour compliance.

He also teaches supervisory and management skills for the industry. Reach Doug at Doug@VMA.bz or 800659-3363.

The Administrative exemption from overtime pay is determined by the duties and responsibilities the employee performs. There are several criteria that must be met before a position can be exempt. Among the list of criteria required by the Department of Labor Standards Enforcement regarding the Administrative exemption are the following: The exemption is limited to persons performing office or non-manual work of substantial importance to the “management or operation of the business of their employer or the employer’s customers.” The administrative operations of the business include the work performed by so-called white-collar employees engaged in “servicing” a business as, for example, “advising the management, planning, negotiating, representing the company, purchasing, promoting sales, and business research and control.”

Recent appellate decisions make it clear that the administrative exemption applies only to those employees whose primary duty (51% or more of their time) is administering the business affairs of the enterprise rather than producing the goods and services the company sells. The Ninth Circuit Court of Appeals, as well, has restricted the application of the administrative exemption to those employees who were involved in servicing the business, i.e., who had responsibility as to how the business should be run, rather than those employees who provided information which was used by customers in the course of its daily business activities.

Executive Exemption The Executive Exemption has a list of job criteria the person must meet to be exempt from overtime. There are several criteria that must be met before a position

can be exempt. Among the list of criteria required by the Department of Labor Standards Enforcement regarding the Executive Exemption are the following.

The person must manage a “customarily recognized department or subdivision.” The phrase is intended to distinguish between “a mere collection of employees assigned from time to time to a specific job or series of jobs” and “a unit with permanent status and function.”

In other words, in order to meet the criteria of the Executive Exemption, the employee must be more than merely a supervisor of two or more employees.

They must be in charge of the unit, not simply participate in the management of the unit. They must supervise two or more employees or the equivalent in the department or unit which they are managing.

The “equivalent” of two employees, as the federal regulations provide, may be one fulltime and two halftime employees. Experience has shown that the fewer the employees which the executive exempt employee supervises, the more it is likely that they are actually a working foreman performing non-exempt work more than 50% of their time. They have to perform managerial duties 51% or more of their time to be exempt. Managerial duties include interviewing, selecting and training employees; setting, adjusting or recommending rates and work hours; directing work; keeping production records of subordinates for use in supervision; evaluating employees’ efficiency and productivity; handling employee complaints; disciplining employees; planning work; determining work; distributing work; deciding on types of merchandise, materials, supplies, machinery or tools, controlling flow and distribution of merchandise, materials and supplies; and providing for the safety of employees and property.

Exempt Position Deductions Absences of one full day or more of an exempt employee for personal reasons causes much confusion among members. Here are the highlights of the circumstance most misunderstood by companies.

If otherwise exempt salaried employees absent themselves for a full day or more on personal business, such absence may be deducted on a pro rata basis from their weekly salary. If an exempt employee performs any work during the work day, no deduction may be made from the salary of the employee as a result of what would otherwise be a “partial day absence.”

Deductions may be made for absences in increments of full working days occasioned by sickness or disability (including industrial accidents) if the deduction is made in accordance with a “bona fide plan, policy or practice” of providing full compensation for loss of salary occasioned by both sickness and disability and the employee has exhausted his leave under the policy.

If a sick leave plan provides for a “vested right to wages,” as is the case with vacation and PTO plans, the plan is not a “bona fide plan.”

VISUAL MEDIA ALLIANCE

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NEW MEMBERS AccuData Integrated Marketing, Inc.

AccuData Integrated Marketing, Fort Myers, FL, is one of the most established marketing data companies in the United States.

Our strategic data partnerships, powerful technologies and unparalleled service drive success with businesses who rely on AccuData to meet their data-driven marketing needs.

Jeanette Rumsey-Debiram 239-425-4324 Jeanette.rumsey@accudata.com www.accudata.com

Marcia Herrmann Design

Since 1987, Marcia Hermann Design, Modesto, has earned the trust of hundreds of Northern California businesses. We provide innovative branding, marketing, graphic design, website and communications solutions. We pride ourselves on the personal connections and long-term relationships we create with clients.

Marcia Hermann 209-521-0388 mh@her2man2.com www.her2man2.com

Seven Design

EFI

Headquartered in Foster City, EFI helps businesses and enterprises work more productively and cost-effectively with an integrated product portfolio consisting of industrial inkjet printers and inks, powerful digital front ends, precise color management tools, eCommerce, web-to-print and productivity software for business automation, and mobile and cloud printing products.

Tom Jacobs 503-577-9737 tom.jacobs@efi.com http://w3.efi.com/

Seven Design exists to create the most thoughtful, innovative and engaging experiences. We are a solid team that puts design thinking at the core of all aspects of our work. The result is branding, content, design and technology that is clear, compelling and above all inspires connections. When we engage with a client we listen to understand, we offer solutions that we believe in, we collaborate and ultimately, we deliver. Operating out of Sausalito, Seven Design invites clients to share the view and get some work done to move their brands forward.

Lee Hutchinson 415-331-7101 lee@sevendesign.com www.sevendesign.com

HDSF

HDSF is a boutique, San Francisco-based agency. We specialize in Brand Activation the development of dynamic brands that forge an emotional connection, influence decisions and inspire action. Our integrated expertise includes Brand Strategy, Identity, Digital Media, Advertising, Print, Packaging and Environmental Design.

Sue Hunter (415) 685-2800 sue@hdsf.com http://www.hdsf.com 14

VISUAL MEDIA ALLIANCE

| CONNECTED | WINTER 2015

Sharman Studios

Do you want to creatively increase your sales and visibility? Sharman Studios, Martinez, has experts in providing both print and online visual solutions that will speak to your

target audience. We help small- to midsizedbusinesses reach their goals by designing memorable marketing communications and brand identity.

Susan Sharman 925-0686 susan@sharmanstudios.com www.sharmanstudios.com

StoryTree

StoryTree, Mountain View, lets you tell your story with the ones that matter most in your life. From documenting your life through photos to printing the special ones into a photo book—StoryTree will be there for you.

The easiest photo book you ever made with SimplePrints available on the App Store and on Android Visit.

Matthew Sullivan 650-646-2970 matt@storytree.me www.getsimpleprints.com

Theory Associates

We don’t just love gadgets and electronics - we CRAVE them. Our goal is to make the world crave the products and services our innovative partners create. Theory Associates, San Francisco, is a branding agency that specializes in creating, rejuvenating, and maintaining brands sold in the technology market. Our passion is rooted in the little devices and innovations that bring our lives big satisfaction, and our goal is to help you introduce your innovative products to a broader audience.

Jamie Capozzi 415-904-0995 Jamie@theoryassociates.com www.theoryassociates.com

Timodesigns

Timodesigns, Oakland, provides print, branding, web design, packaging and photography services. We are a group of experienced designers and developers. We really just love what we do.

Stephanie Perez 415-350-0666 timmy@timodesigns.com www.timodesigns.com

industry. The company has served the industry for nearly 40 years. We serve dealers and end-users with equal enthusiasm and interest, working hard to bring you the right products at the right price.

John Lindholm 707-745-9199 Sales@WearEverMfg.com www.WearEverMfg.com

Management in multiple disciplines including Out of Home, Print Media and In-store Marketing. WGPP provides a real benefit for clients who want the reliability of someone who understands their unique systems and production values without having to make the financial commitment and hire someone full time.

Lauren Elliot 415-586-4475 Lauren@wgpp.com www.wgpp.com

Membership Pays!

Wear Ever Manufacturing

Wear Ever Manufacturing, Benecia, manufactures new and refurbished folder rollers and parts for the bindery/printing

Wicked Good Print Production

WGPP, San Francisco, partners with agencies & corporations to bring them Production

Check Out the Discounts and Business Services

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VISUAL MEDIA ALLIANCE

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