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NOVEMBER 2017 | $3.50 BUSINESSINCALGARY.COM

Patrick D. Daniel

S.P. (Pat) Shouldice

Gerry Wood

Bill Yuill

2017 Calgary Business Hall of Fame PM41126516

Celebrating the City’s Finest

U R BANOMICS: THE REDEVELOPMENT CHALLENGE

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18 |

CALGARY CHAMBER SECTION

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77

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MARKETING

SPRINGBANK HILL | $2,495,000

17

S P R I N G VA L L E Y V I E W S W

Live in the lap of luxury in this 4579 SF, opulent estate home + developed walkout for a total of 6397 SF of living space with 4+1 bedrooms & 4 car garage, set on a 1/3 acre lot with sweeping views. Lavishly appointed with natural travertine floors, hand-scraped walnut, high-efficiency furnaces & boiler system, A/C, soaring, coffered & 25’ high barrel vaulted ceilings, chic lighting, extensive built-ins, professional-grade appliances including a 48” Wolf gas cooktop, huge pantry & 4 sinks in the kitchen, a stunning master ensuite with cathedral ceiling, central jet-tub, 11’ rounded Roman shower (2 entryways) & two-sided gas fireplace. The master also has a sitting room, huge walk-in & views & the 3 additional bedrooms are all ensuite. The finished walkout wet bar, fabulous wine cellar, gym, flex/media room & in-floor heat. The incredible attention to detail continues outdoors with professional landscaping featuring an outdoor living space with wood burning fireplace, extensive natural sandstone & built-in 48” grill.

UPPER MOUNT ROYAL | $2,350,000

2106

SE VENTH STREET SW

Renovated character home in Calgary’s highly coveted neighbourhood of Mount Royal! Professionally decorated & beautifully updated this elegant home is move-in ready, sits on a 160’ lot & boasts a walkout basement, city views, in-floor heat & new Bosch boiler system, updated electrical, professional-style Wolf, Miele & Sub-Zero appliances, spectacular vaulted & beamed ceilings, built-in speakers, panelled walls, original millwork, designer wallpapers, draperies & chic lighting, granite counters, a huge mudroom, 3+1 bedrooms, 4 updated bathrooms, classic white kitchen and a truly gorgeous backyard! Relax on the front veranda or on the 2-tiered deck in the backyard, wake up to city views, a spa-like ensuite & large walk-in (w/organizers) in your master suite, entertain in the formal living & dining rooms, spend family time in the walkout level media room & enjoy being able to walk to some of the city’s best schools, shops & restaurants. This is inner city living at its best!

ASPEN WOODS | $2,300,000

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A S P E N R I D G E P L AC E S W

Contemporary, timeless & spectacular this Malibu Beach style 2-storey with walkout basement offers the ultimate executive lifestyle with 5663 SF of total living space, 6 bathrooms (3 ensuites), 4 bedrooms, den, home theatre, wet bar, wine room, multiple decks, home gym, 2 therapeutic (hot & cold) plunge pools, huge dining room, vaulted living room, 2 laundry rooms, mudroom & oversized triple garage with built-ins & epoxy flooring. All upper bedrooms have their own ensuite & the master has a private balcony (great views), gas fireplace, his & her walk-ins & spa ensuite with multi-head steam shower & air-jet tub. There are quartz counters thru-out, extensive built-ins, 3 fireplaces, deep-toned hardwood, charcoal stained ebony, sculptural staircases & gourmet kitchen & butler’s pantry with Viking stainless steel appliance package. Sprawling 62 x 140’ lot in a quiet cul-de-sac steps from Rundle College & close to transit (including the West LRT), multiple schools, Westside Rec Centre & Aspen Landing shops & restaurants.

MY EXPERIENcE IS YOUR ADVANtAGE

JUST ASK ME!

WORTH ®

YOUR HOME

FOR ALL IT’S

HILLHURST | $1,595,000

NEST

426 or 428 or 43 0 - ELE VENTH S TREE T NW

Three units to choose from, offering luxury in the heart of Kensington! this incredible, architecturally designed new executive tri-plex features outstanding, high-end fixtures & fittings, spectacular interior design (by Monica Stevens Interior Design) and a location second to none, perfect for those who appreciate walkability/pedestrian friendly living it is set on a quiet, tree-lined street just steps away from trendy shops & restaurants, Riley Pk, c-train & Bow River. Walk/bike to nearby SAIT, Jubilee auditorium for a concert, ballet or opera or to downtown from this inner city retreat with bedrooms (2 master suites) & 4 bathrooms, rooftop deck, city views & developed basement. Showcasing exceptional finishes thru-out if offers: Wolf & Sub-Zero appliances, Empire kitchen & bath millwork, Ann Sacks designer backsplash, Caesarstone counters, sitefinished white oak hardwood, European plumbing fixtures, 10” baseboards, 9 & 10’ ceilings, Legrand electrical outlets, ICF party-walls & foundation, heated garage & basement floor.

LAKE BONAVISTA | $1,395,000

447

L A K E P L AC I D G R E E N S W

Highly coveted location, 2nd lake access in desirable Lake Bonaventure Estates with beautiful english garden & an extensively reno’d 2135 SF bungalow! Quiet cul-de-sac mere steps from exclusive Lake Bonventure for swimming, boating & skating. Boasts an expanded master suite, updated main bathroom, huge walk-in & new kitchen with classic cream cabinetry, center island, granite counters, glasstile bksplash & stainless steel appliances including high-end, super-fast & efficient induction cooktop. Features updated hardwood, lighting, panelled walls, cove mouldings, custom window coverings & two fireplaces. The family room with gas fireplace overlooks the backyard while the living room has a wallmounted fireplace. The dining room is open to the kitchen & living for easy entertaining. There are 2 bedrooms + den on the main. The expanded master has sitting area, huge walk-in & 5-piece ensuite. Downstairs offers 3rd bedrm with cheater ensuite access), 2 guest rooms, second den, full bathroom (with oversized shower), family/games room & wet bar.

COUGAR RIDGE | $1,395,000

79

CO U G A R P L AT E AU C I R C L E S W

Idylic location, on the ridge, backing onto a 150 acre environmental reserve. This gorgeous home offers panoramic views overlooking the river and twinkling city lights from all three levels. In excess of 4300 SF of luxurious living space plus a 3 car tandem garage.The home offers extensive use of natural stone, Rundle exterior, stone wall fireplace, travertine and granite countertops thorough out. Custom millwork, coffered ceilings, cove moldings. Main level offers a den, formal dining room, vaulted living room & chef’s kitchen with a huge hidden walk-in pantry, Viking & Bosch professional series appliances (incl. gas stove). An exquisite custom, curved, open-string stairway leads you to 3 generous size bedrooms and bonus/flex room.

The Master boasts the most sought-after views, luxurious ensuite with in-floor heating, 3-sided fireplace, jetted tub, his/ her sinks, and spa inspired steam-shower. The walkout has a full-service bar, home theatre, gym, 4th bedroom & 3pc bath.

Fully landscaped with a SwimSpa and fire pit.

c

403 870 8811 |

t

403 686 7800 |

www.SAMCOREA.COM

|

SAM@SAMCOREA.COM

MARKETING

WEST SPRINGS | $1,395,000

107

WENT WORTH L ANE SW

Exceptional finishings & exquisite design are yours to enjoy in this elegant estate home offering 4289 SF of total living space & a triple garage (w/ built-in cabinetry)! This Wentworth Estates home is set on a huge lot (76’ frontage, 9181 SF) with sunny, south backyard, just steps to the shops & restaurants of West 85th Street & close to schools. It boasts 3+1 bedrooms, formal dining room, living room, bonus room, main floor den & laundry/mudroom and a gourmet kitchen with large centre island, granite counters, walk-in pantry & stainless steel appliances including a gas cooktop. Features A/C, 2 fireplaces, 10’ high flat painted ceilings, hardwood floors, granite counters & built-in speakers throughout the house. The master suite offers a gorgeous ensuite featuring jetted tub, shower with built-in bench, his & hers sinks & generously scaled walk-in closet. 2 other bedrooms (1 with walk-in closet) share a 5pc bathroom. Superb basement development offers media room, wet bar, 4th bedroom, full bathroom & family/games room.

RICHMOND | $1,275,000

2105

NINETEENTH STREET SW

A stunning renovation, worthy of a spread in Style at Home magazine! The jewel of Knob Hill, this ultra-chic 2-storey is perched on the ridge with city views & a gorgeous, low-maintenance, walled “secret garden” with waterfall, extensive perennial plantings & a big deck, your own private oasis. Inside you’ll find extensive updates including: kitchen (site finished with high-end appliances), bathrooms (incl. steam shower adjacent to gym), dark hardwood & porcelain tile, designer paint & lighting, plumbing & heating systems, custom window coverings, fireplace feature wall & extensive sitefinished built-ins! The plan offers chef’s kitchen with Thermador & Miele appliances, quartz counters & glass backsplash, living room with modern fireplace, formal dining has a dramatic light fixture & city views, 2 bedrooms upstairs including the tree-house inspired master suite with fireplace, sitting room, amazing closet & spa bathroom. Lower level has gym, 3rd bedroom & spa bathroom with steam shower. New shingles this year.

GARRISON WOODS | $1,195,000

109

YPRES GREEN SW

Stylish home in the sought-after Garrison Woods! Presenting a total of 3313 SF of lavish living space features including arched doorways, contemporary natural stone flooring throughout the front entrance, kitchen and living room, beautiful hardwood floors through the dining room, flex room. The main floor showcases a stunning kitchen with upgraded stainless steel appliances (including a Viking fridge, Miele steam oven and microwave, and a wine/beverage cooler) granite counters, custom designed natural stone backsplash, eating bar and breakfast nook. A spacious living room off the kitchen boasts a gas fireplace, mantle with built-in cabinets. The upper level offers a spacious master suite, 5 piece ensuite featuring a soaker tub, shower, his & her sinks, walk-in closet, private laundry with L/G stacked washer/dryer. Completing the upper is a flex room, 2 bedrooms & a 4 piece bath. Fully developed basment featuring spacious rec room, full bath + bedroom & den.

Double detached garage & patio in the fulkly landscaped backyard. Love living in the heart of this inner city community.

MY EXPERIENcE IS YOUR ADVANtAGE

JUST ASK ME!

WORTH ®

YOUR HOME

FOR ALL IT’S

GARRISON GREEN | $925,000

5566

HENWOOD STREET SW

Sunny & bright in convenient Garrison Green! This home offers a total of 5 bedrooms and 3400+ SF, all bathed in natural light thanks to the corner lot location. Relax comfortably in the living room next to the gas fireplace or entertain a crowd in the ample dining room. You’ll find a classic white kitchen with granite counters, glass subway tile & Kitchen Aid stainless appliances. There’s a huge pantry, plenty of drawers & an island for gathering. Brazilian Cherry hardwood is paired with white trim accenting the main level architecture. Upstairs, light pours into the private master suite & ensuite bath. Two additional bedrooms of generous size, a bathroom & the laundry complete the second floor. An elevator makes each level, including the developed basement, completely accessible. Getting around the city is a breeze with easy access to Glenmore & Crowchild Trails. You’ll be moments away from MRU, Currie Barracks, Marda Loop, North Glenmore Park, shopping & restaurants. Empty nesters or families with Mount Royal students will love this home’s layout & location.

CHRISTIE PARK | $775,000

6963

CHRISTIE BRIAR MANOR SW

Wonderful 4+1 bedroom family home on a pie lot in desirable Christie Estates with a full brick front & asphalt shingles that were replaced in 2014. It has hardwood flooring on main & upper levels, island kitchen updated with granite countertops & stainless steel appliances (including Wolf microwave, Bosch dishwasher & Dacor oven), 2 wood burning fireplaces (with log lighters), main floor den, 4 bathrooms, formal living & formal dining rooms and fully developed basement offering a media room, games room, flex space, wet bar, bedroom & full bathroom. The living room has a bay window & vaulted ceiling and shares a 3-sided, granite faced wood-burning fireplace with the vaulted dining room. The family room, bayed breakfast nook & updated kitchen span the back of the house & overlook the yard. A powder room, laundry room & tranquil den with wainscotting & french doors complete the main. Ascend the elegant curved stairway to 4 upper bedrooms, including the master suite which has a sitting area, walk-in closet and enisuite with jetted tub.

BELTLINE | $625,000

#630

72 0 - T H I R T E E N T H AV E N U E S W

Refined living in the exclusive enclave of “The Estate” is yours to enjoy in this expansive 2 bedroom + den suite offering 2066 SF of beautifully appointed living space featuring new hardwood flooring & commercial grade carpeting, updated lighting, flat ceilings, cove mouldings, built-ins cabinetry (in living room & in den), french doors, renovated kitchen with centre island, granite countertops & stainless steel appliances and a large master suite w/ wooden shutters, big walk-in closet (w/ built-in organizers) & updated 5-pc ensuite bathroom with luxurious, heated tile flooring. There’s ample space to entertain: Spacious living room opens to dining area & is flanked on either side by french doors opening to a private den & family room adjoining the kitchen. Ideal for those who appreciate privacy (there are only 3 suites on this flr) & elegant surroundings this grand building offers 24-hour concierge, salt-water pool, huge outdoor entertaining area, newly renovated gym & direct access to Ranchman’s Club.

c

403 870 8811 |

t

403 686 7800 |

www.SAMCOREA.COM

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SAM@SAMCOREA.COM

STORY TITLE // SECTION

Supporting the visions of entrepreneurs one story at a time.

Volume 26 | Number 11

CONTENTS

REGULAR COLUMNS

COVER FEATURE

48

017 Calgary Business 2 Hall of Fame Celebrating the City’s Finest

By Melanie Darbyshire

ON OUR COVER:

13

National Energy Program II by Stealth

By Frank Atkins

14

The Inductees of the 2017 Calgary Business Hall of Fame: Patrick D. Daniel, S.P. (Pat) Shouldice, Gerry Wood and Bill Yuill

Time to End the Government Ponzi Schemes

By Colin Craig

16

Three Reasons Why Opposition to Keystone XL is Just Wrong

By Cody Battershill

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Leading Business The Calgary Report Current developments for Calgary Telus Convention Centre, Tourism Calgary, Calgary Economic Development, and Innovate Calgary

Marketing Matters

By David Parker

50

H O W

D O

Y O U

W A N T

T O

L I V E ?

the Manor Village at

NOV NING E P O

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THIS MONTH’S FEATURES

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CONTENTS 34

Work Ready: 2018 Experience, skills and smarts

By John Hardy

The Business of Family Medicine A collaborative approach to health care

By Erlynn Gococo

COMPANY PROFILES

85

Housing Market Dominoes

By John Hardy

Immigrant Services Calgary

Celebrates 40 Years

42

Calgary’s Construction Trade Dilemma

By Colleen Wallace

55

The Secrets of (Successful) Succession Planning No matter what – it’s personal

By John Hardy

65

or Calgary House-Hunters, it’s F a Buyer’s Bonanza With a record number of new homes in Calgary, selection has never been better

By Sue L. Blanchard

70

Alberta Manufacturing Sector Back on Solid Ground Healthy growth forecast following recession

By Mario Toneguzzi

76 86 10

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NATIONAL ENERGY PROGRAM II BY STEALTH // FRANK ATKINS

National Energy Program II by Stealth

BY FRANK ATKINS

I

n early October, TransCanada announced it was abandoning the Energy East pipeline. The Trudeau administration responded to this in the usual manner, by issuing an astonishingly naive statement. This job was delegated to Natural Resources Minister Jim Carr, who smugly stated this was simply a business decision which had nothing to do with the government. What Mr. Carr failed to realize is that, unlike Liberal policy pronouncements, business decisions do not come out of vacuums. Business decisions are guided by the policy environment the government has created. In this case, the government changed the rules after TransCanada filed its application, yet Energy East was subject to the new regulations. The government essentially forced the business decision upon TransCanada. It is interesting this can be viewed as a new style of “inconvenient truth”: policy decisions based on votes rather than economics force business decisions that are bad for the economy.

Like his father before him, Trudeau the Junior has shown it is more important to protect votes in Central Canada than it is to formulate policies that will help the economy.

This is clearly one more attempt to gain votes from Ontario and Quebec at the expense of a well-functioning economy.

From the moment it was announced, Energy East faced strong opposition in Quebec. A group of Montreal-area mayors that called itself the Communauté métropolitaine de Montréal (MMC), which is headed by Montreal Mayor Denis Coderre, immediately announced strong opposition to the Energy East pipeline. In addition, all of the progressives in Quebec and Ontario droned on incessantly about the nasty environmental effects of pipelines and fossil fuels.

The hypocrisy here is astounding. Does anyone really believe stopping Energy East is actually going to reduce fossil fuel

THE SIGNAL THAT IS BEING SENT TO THE INVESTMENT WORLD IS THAT CANADA IS NOT REALLY A GOOD PLACE TO INVEST, AS THE GOVERNMENT SEEMS TO ONLY SUPPORT INEFFICIENT INDUSTRIES. consumption? The MMC does not want oil from Alberta, but does not mind importing oil to meet its energy needs.

Presumably it is all right to allow foreign countries to reap the benefits of our fossil fuel consumption, but it is bad for Alberta to benefit from this.

I am certain the Trudeau administration will never attempt to explain why they can formulate polices that harm the western economies, while at the same time, they pour billions of dollars into Bombardier, which is a very poorlyrun company. The signal that is being sent to the investment world is that Canada is not really a good place to invest, as the government seems to only support inefficient industries.

We are slow to learn the truth of the adage – like father, like son. Albertans still remember the devastating economic effects of the original national energy program (NEP), brought in by Trudeau the Senior. When Trudeau the Junior first got elected, I warned of the possibility of NEP II. What we are seeing here is not one package of legislation similar to the original NEP, but rather a whole series of decisions on energy policy that, when taken together, essentially are NEP II. Sort of like NEP II by stealth.

Frank Atkins is a senior fellow at the Frontier Centre for Public Policy.

BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

13

TIME TO END THE GOVERNMENT PONZI SCHEMES // COLIN CRAIG

Time to End the Government Ponzi Schemes

BY COLIN CRAIG

I

f you flip open the 2016 annual report for a massive government employee pension plan in Alberta, you’ll find a subtle note that should set off alarm bells for taxpayers and politicians.

Among the potential “risks” outlined by the Local Authorities Pension Plan (LAPP) is a “lack of growth in the public sector.”

That’s an odd admission isn’t it? In the private sector, an investment scheme that depends on a constant growth of new members, in order to make payments promised to existing members, is called a Ponzi scheme. It’s also illegal – just ask Bernie Madoff.

But in government, such schemes are not only legal, they’re very common across Canada.

Each year, various government bodies in Alberta, and their employees, put in billions of dollars into the “defined benefit” Local Authorities Pension Plan. Once an employee retires, he or she is then guaranteed monthly payouts for the rest of his or her life.

The problem of course is that the LAPP has stumbled … and stumbled. The pension plan’s 2014 annual report explains how the “dot-com” bubble caused financial heartache for the pension plan at the end of the 1990s … and then it was the “financial crisis of 2008” that took its toll. These problems contributed to a significant “unfunded liability” for the plan – a financial hole that has to be addressed.

While the rest of us have to watch our RRSPs endure financial bubbles and crises, governments addressed the LAPP’s problems by bailing it out with billions of dollars.

In 2007, Alberta taxpayers had to pay close to $476

million for the LAPP alone. But by 2016, the annual bill for taxpayers had skyrocketed to approximately $1.3 billion; a 179 per cent increase in just 10 years.

Again, we’re not talking about a one-time $1.3-billion expenditure. That figure is the annual cost for Alberta taxpayers for this one pension alone. If you divide that figure by the number of current employees enrolled in the pension plan, it works out to about $8,240 per employee each year.

Governments also raised employee contribution rates. So if you were a new a clerk at the City of Calgary or City of Edmonton back in 2008, your biweekly contributions went up – not only to pay for your own future benefits, but to pay for pension plan members who have already retired. Again, it’s essentially a legal Ponzi scheme.

Defenders of the plan will have all kinds of excuses for leaving the plan alone.

But maintaining the status quo is not only costly, it’s also quite risky. What happens if we see another escalation of costs over the next decade? Are taxpayers supposed to just keep smiling and contribute even more money? That’s hardly fair.

Scrapping the LAPP and other similar golden government employee pension plans will not be easy, but Saskatchewan has shown it can be done. In the 1970s, their provincial government began putting new employees in a far less costly pension plan; known as a defined contribution plan. Thus, over time, many of their pension problems have slowly been addressed.

So the question is – do Alberta politicians have the steel resolve necessary to stand up for taxpayers and tackle this golden entitlement problem? Why not ask your local elected official where they stand on the matter?

Colin Craig is the interim Alberta director for the Canadian Taxpayers Federation.

14

NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

THREE REASONS WHY OPPOSITION TO KEYSTONE XL IS JUST WRONG // CODY BATTERSHILL

Three Reasons Why Opposition to Keystone XL is Just Wrong

BY CODY BATTERSHILL

H

ow do we push back on all the misinformation about Keystone XL – whether disinformation from U.S. foundations, naive Hollywood celebrities or even misinformed local activists? One way is to plan a few simple, key messages for your own personal use in conversation. Here are three important points to consider, in no particular order:

The science There’s strong science behind Canadian oil and pipeline safety. The Royal Society of Canada some years ago released a 414-page report, Environmental and Health Impacts of Canada’s Oil Sands Industry, in which scientists, academics, operators, government officials and environmentalists knocked down the worst of the anti-oilsands hype.

And during the Obama administration, the president’s own State Department, in a 2,000-page report, annihilated the argument for blocking Keystone XL, and discredited the claim it would have any significant impact on climate change.

According to the Democratic-leaning Washington Post of the day, anti-Keystone activists should just hang up their misguided #NoKXL campaign.

“The activists ought to pick more important fights. Until they do, the president should ignore their pressure.”

Indigenous support Yes, there are First Nations who are unsupportive of the energy industry, including oil extraction and transmission.

However, strong First Nations support also exists.

In Canada, more than 25 per cent of all First Nations produce oil and gas now, or want to in the future. As for

IF THE ISSUE IS TRULY ENVIRONMENTAL PROTECTION, WORKER RIGHTS AND ENERGY SECURITY, ISN’T CANADA THE BEST INTERNATIONAL CHOICE BY FAR? the oilsands, more than 300 indigenous-owned companies are active there, and have carried out more than $10 billion in business over the last 15 years. For many indigenous communities, that spells real progress.

Social and environmental justice When the anti-Keystone XL campaign machine cranks up again, you’ll hear opponents say you should work to stop Keystone XL at the source – “in Canada, where the oil industry is ruining the Earth.” The truth is far from it. If the issue is truly environmental protection, worker rights and energy security, isn’t Canada the best international choice by far?

We’re the third largest oil reserve country in the world, and within that list we dominate in virtually every progressive category. We’re ranked at the top for freedom, democracy, equality, social progress, freedom of belief, freedom of the Internet, freedom of the press, top places to live, human development, best places to raise a family, transparency and environmental performance.

Energy from Canada? Absolutely!

Cody Battershill is a Calgary realtor and founder/spokesperson for CanadaAction. ca, a volunteer organization that supports Canadian energy development and the environmental, social and economic benefits that come with it.

16

NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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HOUSING MARKET DOMINOES // URBANOMICS

HOUSING MARKET DOMINOES

BY JOHN HARDY

D

espite key factors like land availability, location, consumer trending, affordability, marketing strategy and other aspects that impact housing starts, the Calgary housing market, like all Canadian housing markets, is at the mercy of a usually unpredictable and uncontrollable factor: mortgages.

When it comes to the housing market, the mortgage climate is a double whammy.

Calgary-area homebuilders and developers deal with (and plan around) the chicken-or-the-egg reality that Canadian mortgage rates – and mortgage rules – significantly impact consumer confidence and the economy, and the economy and consumer confidence significantly influence housing starts.

In addition to percentage rates on mortgages, which (until July) have been attractively stable and low, mortgage terms and other details are a consumer and housing-start factor.

“Since the Bank of Canada’s first overnight rate increase in July, we have seen modest but steady increases in mortgage rates,” tracks Craig Hampson, head of retail markets at ATB Financial. “For the first time in over two years, rates for a five-year, fixed-closed mortgage spiked above three per cent.

While the average price of a house in Calgary in July showed some decent year-over-year advances, the outlook for prices in Calgary, and Alberta as a whole, predict stability rather than any material gains.”

Analysts and housing-industry leaders are cautious, not only about the direct impact of mortgage rates but also the effect of residential mortgage rule changes, especially on younger,

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

first-time homebuyers trying to achieve Calgary-area home ownership.

The federal government and the Office of the Superintendent of Financial Institutions (OSFI), Canada’s top banking regulator, have been taking steps since last year to cool the housing market and rein in risks taken on by lenders as house prices have soared. Most recent mortgage lending efforts have focused on the insured segment of the market largely backed by government insurance.

Aside from the upward trending of mortgage rates, the two rule changes causing housing-industry concerns are: • OSFI requiring stress tests to qualify for all high-ratio or conventional uninsured mortgages, using an interest rate two percentage points higher than that negotiated rate for the actual mortgage.

• Federally-regulated mortgage lenders, such as banks, being required to consider and adjust for the local market conditions when they use loan-to-value (LTV) measurements as risk control.

“Whenever rule changes are introduced or interest rates increase, we expect to see a bit of a slow in the market due to consumer uncertainty with change,” explains Amanda Roy, executive director of the Calgary-based Alberta Mortgage Brokers Association. “It takes time for the market and consumers to adjust and/or correct, depending on the environment.

“But the driving factor at this point isn’t so much rate increases as it is rule changes. Although we expect the

HOUSING MARKET DOMINOES // URBANOMICS

“IT’S IMPOSSIBLE TO PROJECT WHAT 2018 HOLDS FOR THE CALGARY HOUSING MARKET, BUT WE WOULDN’T BE SURPRISED TO SEE ANOTHER RATE INCREASE IN THE NEW YEAR. RATES REMAINED VERY LOW FOR A SUBSTANTIAL PERIOD AND THE CANADIAN ECONOMY IS EXPECTED TO HIT ITS PEAK IN 2018, SO THE ENVIRONMENT COULD BE RIGHT.” ~ AMANDA ROY

market in Alberta to continue to feel some of the effects of the changes, it will likely remain stable and consistent as our local and provincial economy slowly recovers.”

Hampson agrees the rule changes will noticeably affect the Calgary housing market. “The majority of first-time homebuyers have a down payment of less than 20 per cent, and the rules impacting them have already been changed.

The impact of newly proposed mortgage underwriting changes are to buyers who have more than a 20 per cent down payment.

“We agree with industry experts who predict that the new ‘stress test’ rule from OSFI could decrease the buying power of impacted consumers, making it more difficult to enter the market.”

“The rule changes will continue to push more potential buyers out of the market and into rentals, and further decrease consumer purchasing power by approximately 2025 per cent, depending on circumstances.”

Much like accurate weather trending and forecasting, the housing market is fraught with variables.

“It’s impossible to project what 2018 holds for the Calgary housing market, but we wouldn’t be surprised to see another rate increase in the new year,” says Roy. “Rates remained very low for a substantial period and the Canadian economy is expected to hit its peak in 2018, so the environment could be right.”

In most Canadian markets – and particularly in Calgary which is still dealing with other economy broadsides – the housing industry has cautious concerns.

ATB’s Craig Hampson echoes the cautious housing-market optimism. “If mortgage rates continue to rise, we may see a cooling effect on the market,” he says. “Regardless, we expect that stability and good decision-making by consumers will continue.

“We expect that the rule changes which could be introduced this fall will have a negative impact on homebuyers,” Roy suggests. “Once introduced, they will make qualifying for mortgages harder and leave even more Canadians not qualifying for home ownership.

“It’s not only today’s interest rate that homeowners should be thinking about, but what the rate may be at the next mortgage term renewal. For those on the cusp of affordability, it’s important to have thoughtful conversations about the future.”

ABOVE: AMANDA ROY, EXECUTIVE DIRECTOR OF THE ALBERTA MORTGAGE BROKERS ASSOCIATION. BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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Haskayne School of Business Awards Management Alumni Excellence Award to Shahauna Siddiqui

On September 7, 2017, the Haskayne School of Business announced that Shahauna Siddiqui, MBA’01, is this year’s recipient of the Management Alumni Excellence (MAX) Award – the business school’s top alumni award. In its 17th year, the award was presented as part of the University of Calgary Alumni Association’s annual Arch Awards, which recognize alumni who have improved their profession or community through commitment, leadership and driving positive change close to home and around the globe. The awards were presented at a gala ceremony on September 22, kicking off the university’s annual Alumni Weekend celebration.

“The Arch Awards are especially meaningful because they are presented by alumni to alumni, and the annual event is an opportunity for the entire University of Calgary community to celebrate our graduates and their accomplishments,” says Michael Sclafani, associate vice president of alumni engagement. “As leaders in their community and their profession, these incredible individuals embody many of the University of Calgary’s values and aspirations and serve as tremendous role models to our current and future students.”

As this year’s MAX Award winner, Siddiqui was humbled. “I was a little shocked and surprised,” she says of winning the award. “It wasn’t something I expected, in fact I had no idea I was nominated. It’s a little overwhelming. It’s a big award and there are big alumni who have won it in the past, so you never put yourself in the same category.”

Siddiqui co-founded BluEra – an executive search firm – in 2008, with a different approach to searching. For example, they used videos in place of paper documents to pitch clients’ brands, and they involved everybody within BluEra – which didn’t use job titles – in building the company’s strategy and vision. The firm was a success and eventually acquired by DHR International (a global executive search firm) in 2016.

Ironically, Siddiqui completed an enterprise MBA at the faculty of management (as the school was then called)

with no intention of actually becoming an entrepreneur. “I thought I was going to do investment banking,” she recalls.

“It wasn’t until Dr. Bob [Schulz] conveniently pointed out that I should be in HR instead of finance. He was totally right.” After graduation she worked at the business school, trying to improve the school’s record in finding job placements for MBA students.

Despite leaving the university to go into recruiting, she has remained an active volunteer at Haskayne. She is on the Management Advisory Council and is very involved with the Distinguished Business Leader Award. “It’s for the students,” she says of why she gives back. “They do amazing things and are amazing people who come through the university. They come out into the world and contribute hugely. It’s great to see other people succeed. They’re so bright and capable and energetic and positive.”

Other distinguished University of Calgary alumni honoured at the 2017 Arch Awards include Olympic gold medallist Hayley Wickenheiser, BKin’13, MSc’16, who received the Distinguished Alumna Award, and Andrew Mosker, MA’12, the head of the National Music Centre, who received an Alumni Achievement Award.

ABOVE: SHAHAUNA SIDDIQUI, MBA’01 AND RECIPIENT OF THE 2017 MANAGEMENT ALUMNI EXCELLENCE (MAX) AWARD. PHOTO SOURCE: JAZHART STUDIOS INC.

BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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2017 CEO Rescue in the Rockies for STARS Fundraiser More than $365,000 raised with the help of Alberta business leaders Four Alberta CEOs were put to the ‘mountain’ test on September 29, 2017, in an effort to raise funds for Shock Trauma Air Rescue Service (STARS). A huge success, the sixth edition of the CEO Rescue in the Rockies saw participants raise more than $365,000. Since 2011, the event has garnered more than $4 million for STARS and is the single largest fundraising event the organization holds.

“It’s a lot to ask any senior leader to take a full day out of the workweek,” says Andrea Robertson, president and CEO of STARS. “So we really appreciate their time and effort.

And often their whole team becomes involved in helping us support STARS.” The participants began the day at the Calgary Peace Bridge helipad where they were picked up by helicopter. They were then flown to a remote mountain location in Kananaskis Country and dropped off. Their mission for the day: face a series of obstacles – including readiness, survival and STARS medical challenges – and use their cellphones to collect donations from colleagues, friends, family and fellow philanthropists. Their goal was $100,000 each.

Once accomplished, they were “rescued” by a STARS air ambulance helicopter.

Mack McNeill, president and CEO at Stream-Flo Industries Ltd. and Master Flo Valve Inc., was thrilled to participate.

“The STARS organization put us through the wringer up on the mountain to make sure we understood what they go through on a daily basis,” he says. “It was a great learning experience.” McNeill raised over $150,000, a large chunk of which was obtained by the Stream-Flo group via telephone calls and functions, prior to McNeill’s time on the mountain.

“I couldn’t be more proud of my Stream-Flo family,” he says.

The other CEOs were Tim Harvie, president and CEO at Southbow Farming, Quinn Holtby, founder, president and CEO at Katch Kan, and Reid Johnson, president at Core Network Solutions Inc. “Today’s mission to beat our fundraising goal was met with enthusiasm and determination by our participating CEOs,”

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

says Robertson. “STARS relies on the support of allies like Mark, Tim, Quinn and Reid and their organizations to ensure that each person who needs emergency medical care receives it quickly. Thank you for joining our fight to save lives.”

STARS relies on community, partners and friends for approximately 80 per cent of its funding. With three bases in Alberta (in Calgary, Edmonton and Grande Prairie) and bases in Saskatchewan and Manitoba, it serves four provinces with a fleet of 11 helicopters.

“What STARS represents is bringing an intensive-care unit to you if you need it,” Robertson explains, noting the ability of STARS helicopters to land in remote and awkward places.

“The other thing we do is bring expert care. We’re lead by a group of very experienced critical-care physicians, and those people are either on that aircraft with us or on the telephone providing our care.”

Nominations are now open for CEOs for next year’s challenge.

ABOVE: TIM HARVIE (PRESIDENT AND CEO AT SOUTHBOW FARMING), REID JOHNSON (PRESIDENT AT CORE NETWORK SOLUTIONS INC.), MARK MCNEILL (PRESIDENT AND CEO AT STREAM-FLO INDUSTRIES LTD. AND MASTER FLO VALVE INC.) AND QUINN HOLTBY (FOUNDER, PRESIDENT AND CEO AT KATCH KAN) AT A REMOTE MOUNTAIN LOCATION IN KANANASKIS COUNTRY FOR THE 2017 CEO RESCUE IN THE ROCKIES FOR STARS.

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Under-the-Radar High Achievers Celebrating the accomplishments of those over 70 is gutsy and daring, especially in Calgary, where (according to 2016 stats) the median age is 36.4 and millennials (22-40 year olds) attract the most attention.

“It’s not daring at all!” roars Jim Gray, the legendary 84-year-old business leader, energy industry icon and Calgary philanthropist.

“Seniors are substantially increasing their economic and social impacts in all sectors of our various societies.

“It’s just that Calgary seniors, like those elsewhere, operate quietly, under the radar.”

Statistics Canada recently highlighted, for the first time in census history, there are more Canadians over 65 than under 15. Some research is focusing on “superagers,” older adults with exceptional mental acuity.

Stereotypes about over-70s is changing at warp speed, thanks to the 70-plus high achievers like Mick Jagger, Robert De Niro, Steven Spielberg, Dolly Parton, Sylvester Stallone, Cher, Elton John, Arnold Schwarzenegger and others.

There are legions of 70-plus high achievers, particularly in the Calgary area, who rarely get exposure or recognition. The dynamics, the potential and the accomplishment of Calgary superagers inspired and fermented Jim Gray’s great idea: the Top 7 Over 70 Awards.

The awards celebrate the accomplishments of Calgary seniors and, each year, recognizes seven Calgarians who are achieving excellence in one or more fields, focusing on enterprises started after age 70.

In addition to individual awards, Top 7 Over 70 will also create new inter-generational mentorship programs (in conjunction with Calgary Economic Development) to stimulate the economy.

The program is also raising money for the Calgary Seniors’ Resource Society, which helps thousands of local seniors with various programs that focus on everything from budgeting and shopping to transportation, pet care and companionship.

Never shy to say what he’s thinking, Gray explains, “Many of us have retained a measure of good health, both physical and neurological, as well as energy. We are living longer.

Traditional retirement – golf and sunning on the beach – is boring to a lot of us. Besides, a substantial portion of us are entrepreneurs, with resources to invest.

“Now, more than ever, it’s important to recognize and reward the new, successful endeavours of people in this age group.

Their ability to contribute to Calgary in every aspect, and to help stimulate the economy, represents significant untapped potential,” he says with enthusiasm.

The Top 7 Over 70 winners were celebrated at an earlyOctober gala at Calgary’s Hyatt Regency hotel. And the positive feedback continues.

“I’m thrilled to see this new program recognize the significant contributions our senior population make to our community,” Calgary Mayor Naheed Nenshi says. “In fact, as our citizens get older, they often give even more to the community in whatever way they can.”

Jim Gray agrees with the cliché that by the time high achievers reach their 70s, recognition and exposure are not really important perks of life.

He also adds that it’s not what the Top 7 Over 70 Awards are about.

“We hope to communicate the increasingly important role Calgary seniors are playing in all aspects of society – economic, social, public policy and philanthropy. And we want to inspire more Calgary seniors to become engaged and get involved.”

ABOVE: FROM LEFT TO RIGHT, THE AWARD RECIPIENTS ARE: AMIN GHALI, AL MUIRHEAD, GERRY MILLER, DON SEAMAN, VERA GOODMAN, ALAN FERGUSSON, RICHARD GUY AND MARJORIE ZINGLE. RICHARD GUY, AT 101 YEARS OF AGE, RECEIVED A CITATION OF UNIQUE MERIT FROM THE TOP 7 OVER 70 ORGANIZERS. THE OTHERS IN THE PHOTO RECEIVED A TOP 7 OVER 70 AWARD. BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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Ron Poon Joins the Arlington Team After 39 years in the profession, Ron Poon – one of Calgary’s best-known and respected architects – has retired from the company where he has been an integral part of the leadership team and has taken on a new development role with fast-growing Arlington Street Investments.

A founding partner with his friend Bruce McKenzie of Poon McKenzie Architects, they sold the company in 2007 to become part of the huge Norr Architects Engineers Planners, and Poon has served in the position of executive vice president-Canada.

Arlington president and CEO Frank Lonardelli, who has worked with Poon for years, welcomed him to his role as managing director of the new division, Arlington Street Developments, to direct and manage all development projects from land use to stabilization.

Working with Poon in the new development team is Ralph Bennetsen, vice president of development and acquisitions, who has been with Arlington Street since its inception five years ago. Arlington also brought on Daniel McLean, vice president construction, who joined the firm after more than

A FOUNDING PARTNER WITH HIS FRIEND BRUCE MCKENZIE OF POON MCKENZIE ARCHITECTS, THEY SOLD THE COMPANY IN 2007 TO BECOME PART OF THE HUGE NORR ARCHITECTS ENGINEERS PLANNERS, AND POON HAS SERVED IN THE POSITION OF EXECUTIVE VICE PRESIDENT-CANADA.

30 years in the industry including senior positions with Triple Five on Edmonton’s West Edmonton Mall and as vice president of Chandos Construction.

Lonardelli has also made the decision to relocate his corporate office from downtown to the top floor of his building at the northeast corner of 17th Avenue and 5th Street SW – above the National on 17th pub – to accommodate the company’s expansion.

This will bring his team onto the avenue where he has strategically acquired several high-profile development sites; an area he plans to help become Calgary’s future high street.

Currently Arlington Street owns 32 buildings on seven separate sites along 17th Avenue, where they will provide the basis to tailor unique shopping, entertainment and living experiences throughout this popular cultural destination.

ABOVE: RON POON

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

City of Calgary Food and Yard Waste Bylaw Enforced – November 1, 2017 Organic waste streams such as food waste, paper toweling miscellaneous organic wastes are introduced to the TVR™ technology which converts raw waste to a high calorific bio-fuel. Bio-fuel produced is virtually odorless and is significantly reduced in weight and volume.

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WORK READY: 2018 // HUMAN RESOURCES

WORK READY:

2018 E X P E R I E N C E ,

S K I LLS

A N D

S M A R T S

BY JOHN HARDY

W

ith the new workplace normal, although the Calgary-area downturn is certainly a factor with many displaced workers searching and submitting resumés, not only are traditionally sacred skills and experience no longer a job guarantee, they are not even a competitive edge.

That revelation may be brutal, harsh and discouraging but, in the contemporary workplace, it’s also reality.

Some industry insiders are not surprised and suggest that it may just be another indicator about how very drastically today’s workplace has been (and continues to be) redefined and restructured.

According to provincial stats, at its peak, Calgary’s unemployment rate topped 10 per cent, with more than 90,000 people looking for work in late 2016. That is uncomfortably high, but the unemployment rate alone doesn’t tell the full story of a job market. The comparative upside is that more Calgarians tend to be in the workforce, nearly 75 per cent at last count, and even when the

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

unemployment rate got high, 66 per cent of residents still had a job, higher than in any other major city.

Of course technology is a multifaceted and enormous work/life changer. There continue to be significant shifts in lifestyles trends like work/life balance, qualifications and employer wants versus employee needs and perks such as working by remote, flextime and being 24-7 plugged-in.

According to a recent Wall Street Journal report, the nine-tofive job is pretty much disappearing. The way people work and their relationship to their jobs has changed dramatically over the last few decades. The report illustrates how work has become more time consuming, less stable but also more flexible.

In 1973, only about six per cent of employees complained about working excessive hours. In 2016, 26 per cent of workers said they often worked more than 48 hours a week.

When it comes to the vital job factors of skills and experience, the impact of particularly Calgary’s downturn

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WORK READY: 2018 // HUMAN RESOURCES

“THE EXPERIENCED PROFESSIONALS ARE MORE INTERESTED IN LEVERAGING THEIR TRANSFERABLE SKILLS TO OBTAIN NEW EMPLOYMENT RATHER THAN GO BACK TO A CLASSROOM FOR ONE TO FOUR YEARS.” ~ NICOLE DODD

situation and shifting trends in the contemporary job market are causing new workplace dynamics.

“It’s unfortunate but many Alberta workers have been impacted by the downturn. The special situation of skilled workers who were laid off is that they were often let go in their highest earning years,” says Nicole Dodd, coordinator of Career Connection, the popular government-funded program based at Bow Valley College. “The experienced professionals are more interested in leveraging their transferable skills to obtain new employment rather than go back to a classroom for one to four years.

“Employers want the new hires to be work-ready,” she adds.

“Even entry-level roles have high expectations. Companies are now willing to train a new hire for a week, not three to six months. Those days are long gone.

“The frustrating contradiction and barrier for many young people doing job searches is lack of experience. There’s no doubt about it: experience usually means opportunity.”

chief executive officer of CPHR Alberta (formerly HRIA), the 6,000-member professional association dedicated to strengthening Alberta’s human resources profession and upholding the highest standards of practice.

“There will need to be some training for unemployed skilled workers from the energy sector to fully align with the needs of these sectors. As well, there needs to be realignment on compensation among industries, as non-energy sector wages have historically been lower.

“Particularly since the downturn, skilled workers encountered layoffs, or reduced wages, hours and benefits alongside thousands of other employees across Alberta. We noticed that many skilled workers left the province for roles elsewhere, or took other lowerpaying positions outside their preferred area of expertise,” he says.

Ironically, skills can be a job-search positive or a stealth jobsearch negative.

Most HR professionals agree that skills are more important than ever in the contemporary workplace. Although there is also caution about effectively presenting job skills during today’s job searches.

“Sometimes companies struggle to find skilled employees because the mechanisms for recruitment only allow those who are familiar with technology like Applicant Tracking Systems (ATS) to make it to the next step in the process,” Dodd points out. “The popular software ranks resumés based on the keywords used that match with the job posting.

“Jobs that are coming into the economy today reflect growth across many industries,” explains Peter Dugandzic,

For example, if a qualified skilled worker with 20 years of experience is applying to a company, and they are unaware

ABOVE: NICOLE DODD, COORDINATOR OF CAREER CONNECTION AT BOW VALLEY COLLEGE.

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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WORK READY: 2018 // HUMAN RESOURCES

“THE SKILLED TRADES WHICH ARE, AND WILL BE, IN DEMAND ARE THE SPECIALIZED JOBS WHICH WERE THE MOST IMPACTED. WHILE THERE IS A DEMAND TODAY, IT IS AT A LEVEL WHICH IS SIGNIFICANTLY REDUCED FROM PRIOR LEVELS.” ~ PETER DUGANDZIC

that a computer – not an HR person – will be scanning their resumé for keywords from the job posting, they will likely submit a high-quality resumé that could be a good fit but it doesn’t necessarily contain all the words the company is using to describe the skills and job responsibilities.

“The likely result is that the person will not make it to the next step in the recruitment process, even though they are experienced and capable of doing the work,” continues Dodd. “It would be beneficial if companies could be clearer in communicating their expectations to job applicants, increasing the chances for qualified people to reach the interview phase.

“I do a lot of seminars and emphasize that, too often, employers and jobseekers aren’t even in the same zone.

Employers should let jobseekers know the system, and it’s the responsibility of jobseekers to keep up with the trends.

“The job-search days of blitzing postings with hundreds of resumés doesn’t cut it. It’s quality over quantity. Even despite ATS and other resumé screening systems, it’s much more effective to send out four targeted resumés than a generic 100.”

She mentions many employers are now looking for efficiencies in the workplace. Where there used to be five engineers on a project, it could now be one engineer and software.

Career counsellors and other HR professionals caution about the uniqueness of Calgary-area job searchers and the updated requirements of being job-ready with in-demand skills and qualifications.

“Currently there are still job opportunities for skilled workers who haven’t sought retraining,” Dodd says. “There are many people who are disenfranchised by the oil and gas sector who are looking to train for other industries that have less volatility. As a result, health-care programs and IT programs are areas that attract the most interest in terms of training or retraining.

“The employment landscape, especially in Calgary, is getting more diversified. It is changing at a fast pace. More artificial intelligence (AI) is entering into the workplace and workers will have to adapt or retrain in order to stay employed.

“The fact of modern work life is that, careers such as cashiers, receptionists, accounting clerks, delivery drivers and proofreaders are all at risk of having their position replaced by technology. AI can be programmed to perform the same tasks as those careers, and with fewer errors.”

Dugandzic agrees. “The skilled trades which are, and will be, in demand are the specialized jobs which were the most impacted. While there is a demand today, it is at a level which is significantly reduced from prior levels.

“Employers will not be able to train new employees at a rate sufficient to fill future skilled trade requirements, so recruitment campaigns will need to target those areas of Canada where there is an excess of skilled trade workers, combined with foreign worker recruitment.”

ABOVE: PETER DUGANDZIC, CHIEF EXECUTIVE OFFICER OF CPHR ALBERTA (FORMERLY HRIA).

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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THE BUSINESS OF FAMILY MEDICINE // HEALTH CARE

THE BUSINESS OF FAMILY MEDICINE A COLLABORATIVE APPROACH TO HEALTH CARE

BY ERLYNN GOCOCO

W

hat if Calgarians had the option of being treated at a medical clinic that focused on a collaborative team strategy with patients while achieving the best health-care outcomes, without increasing overall costs to the public system? Would people be interested?

Many are, in fact, interested and have made the choice to entrust their health-care needs to one of the handful of collaborative health clinics in the city. Jane Smyth* and her family joined Provital Health & Wellness in Marda Loop, a clinic whose website states they are dedicated to total health and wellness and are unique in that they are able to offer the time and attentive collaborative care that clients want and need.

“I initially thought about a collaborative health doctor when our family doctor retired four years ago,” says Smyth. At the time, she had two young kids and was pregnant with

her third child. She found it difficult finding a family doctor that was close to home and that had a good rapport with all members of her family. “I ended up researching all the different options in Calgary and chose Provital for a few reasons: it was close to my house, my three kids are ‘free’ until the age of 18, massages are included in the cost, and I really liked the doctors.”

Being a mother with young kids can be time consuming and chaotic, so having immediate 24-7 access to a doctor (whether in person or via the telephone) has been priceless.

“Same-day visits, telephone calls while on vacation and phoned-in prescriptions have been a life and time saver for us,” exclaims Smyth.

In addition to annual physical checkups that include blood work, EKG, weight/height, etc., Smyth says she and her ABOVE: MAIN RECEPTION AREA AT ADVANCED PRIMARY CARE LOCATED IN BRIDGELAND. PHOTO SOURCE: JARDINE DAYRIT

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*NAME HAS BEEN CHANGED TO PROTECT THE PATIENT’S PRIVACY

NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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THE BUSINESS OF FAMILY MEDICINE // HEALTH CARE

“LIKE EVERY OTHER FAMILY PRACTICE CLINIC, [WE] USE A MIX OF PUBLICLYFUNDED SERVICES ALONG WITH UNINSURED SERVICES WHICH ARE NOT COVERED BY THE PROVINCIAL HEALTH-CARE PLAN. TYPICALLY, MOST (NOT ALL) IN-PERSON PHYSICIAN VISITS ARE COVERED BY ALBERTA HEALTH CARE.” ~ ADVANCED PRIMARY CARE

family meet with Provital’s doctors to review all aspects of their health and set a plan for the following year. The clinic also offers massage therapists, a nutritionist and trainer.

Surgeons as a block fee. It is important to understand that all physicians are allowed to charge for uninsured services and can bundle these services into a block fee.”

Advanced Primary Care (APC), located in Bridgeland, opened their doors to Calgarians in January 2016 with a vision to be a catalyst for transformation of primary health-care delivery in Alberta. “We are courageously defying the way things have always been done.”

APC further clarifies the block fee should not be considered or confused with a “membership fee.” Doctors there explain the block fee not only provides unlimited use of certain uninsured services, but ultimately allows them to work with a team to deliver what they believe is optimal care.

The medical team at APC explains, “Like every other family practice clinic, [we] use a mix of publicly-funded services along with uninsured services which are not covered by the provincial health-care plan. Typically, most (not all) in-person physician visits are covered by Alberta Health Care. Physicians and team members also provide care and services that are paid separately by the patient. The cost of those ‘uninsured services’ is bundled into what is referred to by the College of Physicians and

Following their “five pillars of care” model, APC believes they are able to address the shortfalls in patient care that have been expressed to them. Some of these shortfalls, according to APC’s medical team, include: access to care, continuity of care, comprehensive care, shared decision-making between doctor and patient, and innovative services.

“Each physician at APC has a team, referred to as a TACTeam ABOVE: ADVANCED PRIMARY CARE PARTNERS AND MANAGEMENT TEAM. FROM LEFT TO RIGHT, TOP TO BOTTOM: DR. THOMAS SZABO, CAITLIN THE, DR. BRIAN HUANG, DR. MAI TRAN AND DR. MARY SZABO. PHOTO SOURCE: JARDINE DAYRIT

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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// HEALTH CARE

(total advanced care team), which includes a medical office assistant, registered nurse, licensed practical nurse, clinical pharmacist and lab technician. Together, the TACTeam not only supports the physician, allowing them more time with their patient, but also the patient, allowing them more access to care.

The care model essentially optimizes the uninsured services.”

With regards to accountability to the patient, APC’s business is owned, operated, trained and supervised entirely by its physician owners. “The owners fundamentally ensure that the medical ethics of the practice come first. In addition, because the owners of Advanced Primary Care are physicians, we are also regulated by the College of Physicians and Surgeons of Alberta (CPSA) which have specific standards of conduct.”

But don’t just take the doctors’ word for it – what do APC’s patients have to say about the care, quality and cost versus the benefit?

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Marsh also feels the focus at the clinic is not so much on treating sickness, but promoting and ensuring health. “For me, it is this holistic approach, and the fact that the doctors are not overtaxed. I think everybody wants the best possible care for their health and the health of their family, and after a number of years with a collaborative health clinic, I am convinced that this is the best way to do all that I am able for the health of my family.”

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Ross Marsh, an APC patient since they opened their doors in 2016, says, “What being a member of a clinic does for our family is give me peace of mind that we are getting care that is expert, unrushed and holistic. Frankly, it’s the kind of care that many of us grew up with years ago. APC’s practitioners operate on a continuum of health, not in silos, because they recognize and practice based on the understanding that health (or illness) is most often a result of interrelated factors, not isolated ones.”

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Ric Palombi and Angela Torre echo Marsh’s comments and say that in addition to having access to medical services such as family medicine, a pharmacy, a blood lab, urgent care, virtual diagnosis and a secure patient portal, they feel APC’s doctors are top quality, experienced and thorough. “We never feel rushed through any appointment and the doctors are always focused. We are able to get same-day appointments, no wait time, which keeps us on schedule, and the clinic offers comprehensive annual exams.”

APC offers seamless accurate care managed by one integrated team, including non-traditional professionals such as acupuncturists and massage therapists. Their practice includes patients of all ages, from newborns to seniors. They evaluate patients annually using validated screening methods that are appropriate for their age and life stage for preventive medicine, growth and development. “As family physicians, we truly enjoy seeing many generations together including children, parents and grandparents.”

When it comes to cost versus benefit, Palombi and Torre are confident the benefits far outweigh the costs.

They feel at ease knowing APC’s medical team is always available when someone in their family gets sick. “Because appointments are very flexible and on time, we never miss more work than we have to.”

Smyth agrees entirely and says, “The services are not cheap, but for our family, well worth it.” Provital has made a huge difference for her family, not only in terms of their health, but also for their peace of mind. “If I had to make the choice again, I would.”

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CALGARY’S CONSTRUCTION // TRADES

Calgar CONSTRUCTION TRADE

BY COLLEEN WALLACE

T

he skilled trade shortage situation that has been brewing for several years throughout Canada and in Alberta is now a specific, close-to-home concern for Calgary’s rebounding residential homebuilding and commercial construction industry.

Although the shortage reasons are complex and varied, the skilled trade vacuum is impacting (particularly Calgary) housing starts with a lack of vital and basic trades like carpenters, framers, electricians, plumbers, drywallers and roofers.

While the Calgary downturn did have an effect, the skilled trade shortage is by no means unique to Alberta or Calgary. It’s an unfortunate perfect storm of education and workplace trends, the stereotyped and generational perception about blue-collar work, and the potent draw of technology and other careers.

And there’s the predicted factor of aging; the generational shift as experienced baby boomers in the trades are retiring and increasingly hard to replace.

Some caution the focus on popular technology careers downplays the vital value of skilled trades.

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“Construction is a wonderful industry that provides exceptional career opportunities to youth, women and Canada’s indigenous communities,” says

NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

y’s DILEMMA Bill Ferreira, executive director, BuildForce Canada, the national industry-led organization committed to working directly with the construction industry to provide information and resources to assist with the management of its workforce requirements.

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“Overcoming perceptions and stereotypes is certainly not unique to the construction sector, but it is a challenge the industry faces. Clearly, there is significant competition from other industries with similar skill requirements, and in the future, the competition will increase.

“Over the coming decade, recruiting challenges may arise within Canada’s residential construction

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CALGARY’S CONSTRUCTION // TRADES

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workforce as an estimated 120,000 workers – or 21 per cent of the current workforce – is expected to exit the industry through retirements,” he warns.

“Recruiting and retaining qualified workers has been and remains a high priority for the industry.”

According to Skills Canada, the Canadian non-profit organization dedicated to the promotion of skilled trades, an estimated one million skilled trade workers will be needed by 2020.

The Alberta Apprenticeship and Industry Training Board (AITB) warns that, last year, about 13,000 new apprentices registered to learn a trade, which is down sharply from the 17,200 who joined the program in 2015, and the lowest number in more than 10 years.

“Construction trades with an older workforce may experience tighter labour markets over the coming decade,” Ferreira adds. “Particularly trades like homebuilding and renovation managers, plumbers, construction managers, construction estimators and bricklayers.”

Some builders suggest the skilled trade gap may be a consequence of recent boom times, especially in the Calgary area. “Shortages experienced by the homebuilding industry are entirely due to a buoyant and rebounding housing market which has simply compounded trade absences caused by weaker markets in 2015 and 2016,” says Brett Friesen, general manager of community development with Calgary’s Hopewell Residential, and a BILD Calgary Region member.

“These shortages have affected trades across the spectrum, and may not be confined to any one trade group or age bracket. We maintain strong industry

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ABOVE: BILL FERREIRA, EXECUTIVE DIRECTOR, BUILDFORCE CANADA.

CALGARY’S CONSTRUCTION TRADE DILEMMA // TRADES

“CONSTRUCTION TRADES WITH AN OLDER WORKFORCE MAY EXPERIENCE TIGHTER LABOUR MARKETS OVER THE COMING DECADE. PARTICULARLY TRADES LIKE HOMEBUILDING AND RENOVATION MANAGERS, PLUMBERS, CONSTRUCTION MANAGERS, CONSTRUCTION ESTIMATORS AND BRICKLAYERS.” ~ BILL FERREIRA

relationships with technical and trade-focused postsecondary institutions like SAIT, where enrolment in trade programs has remained relatively consistent.”

There is broad industry consensus that one key to dealing with the residential and commercial skilled trade vacuum is not looking back about what happened and why, but looking forward to what to do about it.

time for employers to employ apprentices and give them opportunities to work as much as they can.

According to Scott MacPherson, dean of the SAIT School of Construction, “One of our core values in the School of Construction is ‘elevating perceptions’ – enhancing the

As builders and developers strategize, plan and deal with the situation, the focus is on vital and timely-skilled trade training.

In Canada’s contemporary workforce, the average age of a tradesperson is 40 to 50, which is much higher than in the 1980s, when the average age of trades was 36. Builders, the industry, the ministry and trade schools are concerned that, despite the various trade shortage warnings, there is not enough emphasis on promoting skilled-trades training.

The AITB points out that it takes three to four years to develop effectively-trained and jobready skilled tradespeople and it’s important not to be shortsighted about the skilled labour force that is, and will be, needed.

The AITB urges that now is the

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CALGARY’S CONSTRUCTION TRADE DILEMMA // TRADES

“WE KNOW THERE IS A CHALLENGE WITH GETTING SKILLED TRADES, AND WE ARE WORKING TOGETHER TO PROMOTE CAREERS IN CONSTRUCTION AND BUILDING A CAREER IN THE TRADES.” ~ CHRIS BARDELL

value of careers in construction through our learners and graduates. The construction industry is evolving with the introduction of new technologies, a focus on becoming more efficient, a dedication to safety, and a dedication to providing a more inclusive workforce.

“With the changes in the industry, the role of a tradesperson has also evolved. Our graduates are required to be more technically trained, to adhere to safety practices and we’re seeing a more diverse group of students in our trades. There is a higher level of engagement in the classroom when they’re challenged with the opportunity to build something.”

“We know there is a challenge with getting skilled trades, and we are working together to promote careers in construction and building a career in the trades,” explains Chris Bardell, chair of the Calgary Construction Association (CCA). “We have a very good relationship with SAIT to bring new students into the apprenticeship program and CCA’s Education Fund partners with SAIT to provide scholarships to help promote student interest about getting into trades.”

He points out a practical and real stereotyping problem. “A major challenge is perception, often by parents, that trades are a lesser career path for their kids. The CCA is currently

looking at targeting parents about their kids considering a career in construction. The reality is that parents push their kids in the professional career direction to become doctors, lawyers and engineers.”

“It’s often overlooked that trades are an entry point into an industry,” says Bill Black, VP of business development with CCA. “The growth path over a 40-year career can literally take you from the broom to the boardroom, from working as a labourer to being the CEO of the company.”

“As the construction industry continues to age,” Ferreira points out, “industry stakeholders will need to find alternative sources of labour to fill the gap of retiring workers, better promote career opportunities to underrepresented groups and find ways to engage millennials into a meaningful career in construction.”

“SAIT has been a leader in applied learning for a hundred years; we’ve seen the ebbs and flows,” MacPherson emphasizes. “We strongly value the relationships with our industry stakeholders and they continue to step up in numerous ways, such as providing student awards, offering field trips to construction sites, offering internships, coming on campus for lunch-and-learns, networking events and more.

ABOVE: CHRIS BARDELL, CHAIR OF THE CALGARY CONSTRUCTION ASSOCIATION.

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

CALGARY’S CONSTRUCTION TRADE DILEMMA // TRADES

“The more involved the industry is with our programs the more value students see in their education.”

millennials is important and overcoming the outdated views many have about the construction sector is critical.”

Ferreira urges, “The industry must adapt to changing preferences of the youth population, making the industry more attractive to them. Focusing on training and mentorship programs as a tool for skills transfer is important.

“Recent trade shortages have created some delays but our industry has been able to work around them with scheduling adjustments. Whether the market strength of 2017 will carry over to 2018, we are optimistic that increased buyer confidence will continue,” Friesen says with positivity.

“Adopting measures to ensure that the construction workplace is respectful, safe and flexible to the needs of

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2017 CALGARY BUSINESS HALL OF FAME // COVER

2017 Calgary Business Hall of Fame Celebrating the City’s Finest

BY MELANIE DARBYSHIRE

W

hen it comes to business greats, southern Alberta is home to a formidable club. By whatever name they’re called – pioneer, entrepreneur, visionary, leader – the achievements of these acclaimed business titans have formed, and continue to form, the province and its people.

Whether it be in energy, communications, automotive sales or any other of Alberta’s strong industries, there are few sectors in the province that haven’t been touched by these individuals.

In honour of these achievements, for the 14th consecutive year, Junior Achievement of Southern Alberta (JASA) Calgary Business Hall of Fame (CBHF) inducted four more of these exceptional individuals into its ranks. The 2017 laureates are: Patrick D. Daniel, S.P. Shouldice (posthumous), Gerry Wood and Bill Yuill. The induction ceremony took place at a gala dinner on October 26, 2017.

“We live in a province that has so many business successes,” says Melissa From, president and CEO of JASA. “Alberta is an environment that encourages, supports and celebrates innovation, entrepreneurship and business. And it’s important for us to acknowledge and celebrate those successes of the past and the successes that are happening among us, even when times are tough.”

This year’s laureates hail from a range of businesses and have unique and fascinating stories. They were chosen by a third-party selection committee of well-respected individuals from the community, including Jim Davidson, Arlene Dickinson, N. Murray Edwards and J.R. Shaw, to name a few.

“The criteria revolves around excellence, entrepreneurship, inspiring leadership, local influence, being somebody who’s a real community builder, serving the community and giving back – philanthropically and of their time and talent –

being a role model, and having an enduring influence or legacy in their economic and community contributions,” says From.

“It sounds like quite a list of criteria, but what’s amazing is how, year over year, a great number of people meet that criteria. It’s never an easy discussion around that table,” she adds.

The CBHF is an important part of the work JASA does. Launched in 1960, the organization is dedicated to educating young people about business. Last year, the organization welcomed just under 30,000 students in southern Alberta from Grades 4 and up into the program. “We provide kids with the opportunity to actually start and run their own business with the support of mentors from the community,” explains From. “It sets these kids up to go on and be really successful business people and entrepreneurs in the future.”

Next year will see a restructuring of the CBHF – and a new name. Beginning in 2018, the CBHF and Edmonton Business Hall of Fame will collectively be known as the Alberta Business Hall of Fame. “We need these honours to reflect geography and the truth of what they really are,” says From, noting the fact that several laureates, including this year’s Bill Yuill, are not from Calgary. “So we will have one entity that’s honouring and celebrating business across the province.” She adds that each city will host its own separate gala event and will honour individuals selected from each half of the province.

The CBHF exhibit, which lists and celebrates the laureates – and can be found in Bankers Hall East Tower lobby downtown – will be updated to reflect the new names. Past inductees of the CBHF will be grandfathered into the new hall of fame.

ABOVE: MELISSA FROM, JASA PRESIDENT AND CEO. PHOTO SOURCE: JASA

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

2017 CALGARY BUSINESS HALL OF FAME // COVER

PATRICK D. DANIEL A veteran of Alberta’s energy industry, Patrick Daniel has never been afraid of hard work. From his early days as a young engineer to his eventual retirement as CEO of Enbridge Inc. – a position he held for almost 12 years – in 2012, Daniel approached business throughout his 40-plus year career with an enthusiasm for the work and a dedication to his team that put him in a class of his own.

“All I ever wanted to be was a really good engineer,” Daniel reminisces. “But along the way I was so interested in the profession and the work that whenever they needed somebody to do something I’d say ‘I’ll do that,’ and I just kept taking on more and more responsibility because I enjoyed it so much.”

A native Albertan (he grew up in Entwistle and Red Deer), Daniel obtained his chemical engineering degree from the University of Alberta and a master of chemical engineering from the University of British Columbia. He was hired by Hudson’s Bay Oil and Gas as a process engineer in 1972, but with a background in computer programming, was soon transferred to the emerging computer field to manage HBOG’s information systems.

When Dome Petroleum acquired HBOG, Daniel moved to Home Oil. “Dick Haskayne had been president at HBOG and I was able to convince him that he should hire me at Home Oil.” Home’s merger with Interprovincial Pipeline saw Daniel continue to rise in the ranks. He ultimately became COO of the newly-named Enbridge in 1998, and CEO in 2001.

Under his watch, Enbridge experienced almost unprecedented growth and development. It grew from an approximately $5-billion company to a $40-billion one, making it Canada’s largest transporter of crude oil. As CEO, Daniel oversaw the start-up of Enbridge’s technology and consulting business unit, its international division, its expansion into the natural gas business and its entry into wind, solar and geothermal energy.

For Daniel, it was the corollaries of growth which most excited him. “We dramatically increased the size of the company which, to me, provides employment and opportunities for thousands of people. It increases the tax base of the country, contributes hugely to the economy and to the employees and the communities in which we operated.”

He faced many challenges, too. “We’ve gone from a world in which pipelines were such huge drivers of the economy and brought energy security to so many people to an environment where society seems to think that pipelines are bad,” he laments. “The fact that society is so wrong on that is really frustrating and challenging.”

Since retiring, Daniel has kept busy. He is chair of Cenovus Energy Inc. and a director at Canadian Imperial Bank of Commerce and Capital Power. He also chairs the North American review board of Air Liquide.

He also created the Daniel Family Foundation, which supports the University of Calgary psychosocial oncology department, the Perimeter Institute, Outward Bound Canada, Servants Anonymous, students at UBC and McGill University and Light Up the World – an organization that installs solar power systems in remote parts of the world. Daniel has volunteered with the charity a number of times.

BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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2017 CALGARY BUSINESS HALL OF FAME // COVER

S.P. (PAT) SHOULDICE To those who knew S.P. (Pat) Shouldice, he was a personable, generous and determined business leader. Highly respected and deeply loved by his colleagues, employees, friends and family, Shouldice left an indelible imprint on Calgary.

A third-generation Calgarian, he was a proud member of the well-known Shouldice family. His grandfather, James Shouldice, came to Calgary in 1901, and built the foundation for the family’s legacy of success and philanthropy that has spanned 116 years. Shouldice’s contributions to this legacy are many.

After graduating from Central High School in 1952, his original ambition was to be an architect. But when a friend who had been accepted into petroleum engineering at the University of Oklahoma couldn’t accept the position, Shouldice seized the opportunity. “Dad drove down there and asked to fill his friend’s position,” explains daughter Terri Shouldice. “He was in the right place at the right time and they said OK.” It was in Oklahoma where he met and married his wife, Jane. Soon after graduating, the young couple moved back to Calgary where Shouldice began work as a petroleum engineer at Stanolind Oil & Gas. In 1962, at the request of some investors, he started NOWSCO (Nitrogen Oil Well Service Company). “He would have been 27 years old at the time, with three little kids,” Terri says. “He invested $37 of his own money and got shares in the company – of course those were worth nothing when it started. I don’t think he realized what he was signing up for.”

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after NOWSCO was acquired, Shouldice retired. He had been CEO for 33 years.

Retirement, however, was not quiet: he served on the boards of many oil and gas companies, including Collicutt Hanover, Mullen Transportation, NQL Energy Services, United Industrial Services and Gardner Exploration.

He also gave back to the community and was a passionate supporter of STARS Air Ambulance, Fort Calgary, the Alberta Children’s Hospital and the cardiology division at Foothills Medical Centre. An avid fan of both the Flames and Stampeders, Shouldice was also a member of Earl Grey Golf Club, Camelback Golf Club (in Arizona) and the Calgary Petroleum Club.

Under Shouldice’s stewardship, the company became one of Canada’s leading service companies and in 1972, went public.

“Dad was really nervous because he had always known every employee’s name,” explains Terri. “He was adamant that if he knew everybody and made sure they were all good people and felt respected and appreciated, that they would work hard.”

He passed away in 2010, leaving a lasting impression on many.

This summer, at a NOWSCO reunion of approximately 350 past employees, he was fondly remembered. “I took mom down and we got a whole evening of stories about the things dad did and why people loved him,” Terri recalls. “People kept saying he wasn’t your typical boss and NOWSCO wasn’t your typical company to work for. It was a second family.”

Shouldice led the company through major growth, including international expansion, in the 1980s and 1990s. NOWSCO eventually employed 2,200 people worldwide. “It was his baby for sure,” Terri says. “It was TLC all the way.” In 1996,

To his first family (which includes four children and 11 grandchildren), he was everything. “Dad was a very proud family man,” Terri says. “He did so much for us and gave us so many opportunities. He was a very generous man.”

NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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2017 CALGARY BUSINESS HALL OF FAME // COVER

GERRY WOOD It’s hard to believe that Gerry Wood, founder and President of Wood Automotive Group - which owns and operates six dealerships, a Collision Centre facility and other business enterprises in Calgary - first arrived in this city, some 48 years ago, broke. En route to Vancouver during a trip to visit his brother in New Guinea, the young Wood found himself penniless and in need of a job when he arrived.

“I hadn’t budgeted very well,” Wood reminisces, “and decided to get a job to keep body and soul together.”

After working construction for a time he was hired at Maclin Ford to sell cars. A natural fit, given his roots: Wood grew up in rural Scotland and worked at his father’s specialized car dealership, the only one in the country that converted cars to hand controls for disabled people. “From a young age I was involved in dealership activities,” he say. “It was very rewarding because you’d give somebody, who perhaps had no legs or ability to drive, a new lease on life.”

He also worked in his father’s manufacturers’ agency business, selling products to electrical jobbers: “I was allowed to call on these companies and introduce new products to them, and maintain a sales relationship with them - which was great training for the future.”

Wood learned many lessons from his father, which have informed his business success: “He taught me to take really good care of our customers and make sure that the experience would be seamless for them.” He also learned to be innovative and creative. “Part of my dad’s advice to me was ‘dare to be different’.

And that really has bode well for me over the years, because I’ve been able to take on some challenges that I wouldn’t normally have done had it not been for the encouragement and example that my dad and mum set for me.”

Wood spent 10 years at Maclin Ford, in sales and then as a manager. In 1979, he jumped into ownership and acquired a General Motors dealership in Vulcan. He returned to Calgary in 1983 and acquired Southridge Lincoln Mercury (now Woodridge Ford Lincoln), and then Village Honda in 1987. “We went from 15 employees to 100 overnight,” Wood reflects. “That’s a huge jump. We learned in a hurry.”

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

Part of this growth involved pioneering automobile leasing in the 1980s. “We were one of the first dealerships in Canada that really embraced leasing,” Wood explains, noting the mentorship he received from some U.S. dealers. “We were able to fine tune the model in Canada and become one of Canada’s largest Ford dealerships very soon.”

Today, Wood Automotive Group employs over 600 people. It is one of Canada’s top Ford dealerships and one of Alberta’s largest retailers of automobiles.

Heavily involved in the community, Wood also gives much time, money and energy to various charities. For 30 years (last year was the final year), he and wife Elaine held the Woodridge Charity Golf Tournament, which raised just under $4 million for Down Syndrome research, education and the PREP Center, a school and resource centre for individuals with Down Syndrome and their families. He is also a big supporter of the Salvation Army, having been on its advisory board for 16 years.

Wood is also involved with the Calgary Handibus, Inclusion Alberta, the Robbie Burns Club of Calgary and has furthered his commitment to supporting children’s charity as a major sponsor of the Shaw Charity Classic Golf Tournament and the creation of the Wood Automotive Group Kid Hero of the Month Award in support of KidSport and Comrie’s Sports Equipment Bank.

2017 CALGARY BUSINESS HALL OF FAME // COVER

BILL YUILL Mention the name Bill Yuill to anyone in Medicine Hat, and you’re bound to receive a positive reaction. The thirdgeneration Hatter and CEO of the Monarch Corporation has, through his business, sports and philanthropic efforts, played an immeasurable role in the development of the city.

“I don’t think I had any direct motivation to become a businessman or leader when I was a kid,” Yuill recalls. “But growing up you live in a certain situation, so it was a natural progression when I had the opportunity to get involved in the family business.” That family business, begun by his grandfather, Harry Clinton Yuill, included Alberta Clay Products, which he started in 1909. Harry’s son, Harlan ‘Hop’ Yuill, expanded it to include a radio station, cable television, a broadcasting business and three movie theatres.

With the youngest Yuill at the helm, Monarch expanded to 38 cable systems in Saskatchewan, Alberta and B.C., while the broadcasting arm grew to 16 stations. Never afraid of hard work, Yuill did all the various chores that were needed in the businesses. This work ethic, a penchant for kindness and a dedication to being true to his word, are what guided him along the way.

A sports enthusiast himself, the broadcasting business soon involved sports broadcasting and then programming. An opportunity to become involved at the ownership level arose in 1977, and Yuill and a group of friends acquired a franchise in the Pioneer League of professional baseball, making Medicine Hat home of the Oakland A’s farm team (in 1978 they became the Toronto Blue Jays’ farm team).

The venture would result in a highlight from Yuill’s career: in 1994, the two-time World Series champion Toronto Blue Jays played an exhibition game in Medicine Hat. “We had 10,000 people at the ballpark,” Yuill recalls. “Nine of those players had started their careers in Medicine Hat.” Yuill’s company, Consolidated Sports Holdings Ltd., went on to own and operate seven minor league baseball teams in Canada and the U.S. – the first group to put together

an independent minor league farm system in organized baseball. “We’ve taken that style and moved it over to junior hockey, where we currently operate teams at four different levels of junior hockey in North America,” he says.

A dedicated supporter of the community, he chairs the Yuill Family Foundation, which supports numerous charities and non-profits. One notable contribution: a $2-million donation to help create the Margery Yuill Cancer Centre at the Medicine Hat Regional Hospital, in honour of Yuill’s mother, who was a nurse. The foundation also supports Medalta (the industrial heritage museum dedicated to Medicine Hat’s clay industry), Medicine Hat’s Family YMCA, Edmonton’s Mazankowski Heart Institute, and St. Andrew’s College in Aurora, Ontario.

In addition to his business and community work, Yuill is a director of Shaw Communications Inc. and the chairman of their human resources and compensation committee, a director of the Western Investment Company of Canada Ltd., a trustee of the St. Andrew’s College Foundation and a governor of the Western Hockey League.

When it comes down to it, Yuill is still guided by his family’s legacy. “I have two pictures on my boardroom wall: one of my grandad and one of my dad. I call them ‘the boys.’ And I think ‘the boys’ are still watching. And that’s why I do what I do.”

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// SUCCESSION PLANNING

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THE SECRETS OF (SUCCESSFUL) SUCCESSION PLANNING NO MATTER WHAT – IT’S PERSONAL

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ublicly, accountants, lawyers, management consultants and other experienced succession planning professionals talk about balance sheets, maximizing values, financial projections, payout models, timing, transition planning, tax efficiencies, managing risk and exit strategies.

Privately, and behind closed doors, accountants, lawyers, management consultants and other experienced succession planning professionals delicately but pointedly emphasize the emotions, fragile egos, feelings, the optics of handing over the business (a.k.a. what people think) and other inescapable and common family dynamics, the realities of letting go, and a fact of life that, unfortunately, some business owners and their families never master – communication.

troyvalue.com | 403.479.6097 BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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THE SECRETS OF (SUCCESSFUL) SUCCESSION PLANNING // SUCCESSION PLANNING

Although the business science of succession and transitioning is detailed and complex, there is professional consensus that it all begins with an owner’s often challenging but private soul-searching to determine the right time.

“Three key factors must be considered when deciding that it’s time,” says Lynne Fisher, senior manager of ExitSMARTTM at Calgary’s MNP. “There are personal considerations, like the owner thinking about their current level of energy and passion and looking ahead.

“Some transitions take up to 10 years. The owner must be realistic. Is there enough gas in the tank to continue to run the business now and then transition it? Ideally, the business should transition before the owner’s passion and energy wane and all parties are at their best. Sometimes the owner may have objectives about transitioning or selling to family, management or a third party.

“Sometimes those plans don’t work out,” she cautions. “So it’s important to allow sufficient time to work through options and, if necessary, move to a Plan B.” For Philip Davidson, instructor of strategy and global management at the Haskayne School of Business, the transition involves a somewhat hazy overlap between private and business aspects.

“Do you still love what you are doing? And I mean really love it, not just because you’re the boss and you have been doing it for such a long time,” says Davidson. There is no rule that says you have to retire. In fact, retirement seems to kill some people.

ABOVE: LYNNE FISHER, SENIOR MANAGER OF EXITSMARTTM AT MNP.

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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THE SECRETS OF (SUCCESSFUL) SUCCESSION PLANNING // SUCCESSION PLANNING

“And do other people still love working with you? Do they, really? Look at yourself as critically as a new hire. You may still love what you are doing, but people may be increasingly frustrated working with you because you insist on doing things the way you have always done and they may feel that there are newer and better methods to make the business thrive.”

As with the lessons learned from so many important decisions owners have made over the years, it ultimately comes down to business.

“There are key business considerations,” Fisher points out. “For an owner to transition or sell successfully, and get best value, the business needs to be running well. Ideally there should be at least three-plus years of steady growth and a management team that is fully capable of running the business without the owner.

“Whether it’s a sale to a third party or an internal transition to family or management, the business needs to be healthy and profitable enough to cover the financing to pay the founder and work through the transition.”

She emphasizes that transitions, like normal business, are laced with some hard-core business dos and don’ts. “Considering tax efficiency is a vital part of the planning, but so is considering all exit strategies. Founders often make assumptions about the level of interest of family members or the ability of management to attract financing that may turn out to be inaccurate.”

Most professional planners underscore that despite the celebrations, good wishes and nice speeches, effective (and successful) succession transitioning is not an event. It is a detailed process – and a process that relies heavily on communication and timing.

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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THE SECRETS OF (SUCCESSFUL) SUCCESSION PLANNING // SUCCESSION PLANNING

It’s not a “next week” item on a to-do list. It could take a few years – some consultants caution that it could take up to 10 years – to put the strategizing and pieces together.

Experience demonstrates succession planning that doesn’t respect the critical aspect of timing not only creates obstacles to effective transitioning but often results in leaving value on the table.

“Determining the timing of the transition is based on personal objectives, business value, personal, financial and lifestyle objectives, and the readiness of the business to be managed by managers,” Fisher adds. “And it’s prudent to include managing risk in the form of clear emergency plans for the business should death or disability of the owner occur before succession.”

Communication – honest, open and blunt (not strategic) communication – before, during and after the process is crucial. After years of hard work, effective succession planning doesn’t allow for details to be just locked in the owner’s head.

“Once timelines are set,” Davidsons says, “it’s critical to respect them and pay attention to them. It doesn’t mean being overly rigid but it also doesn’t mean taking every event as an excuse to delay the process.”

Davidson adds the defined timeline should be communicated with potential successors, just in case the schedule does not align with their expectations or plans.

Fisher echoes the importance of communication and the sometimes fragile stage of broaching the succession conversation with family. “It should be inclusive, involving all family members, and start by just asking questions:

ABOVE: PHILIP DAVIDSON, INSTRUCTOR OF STRATEGY AND GLOBAL MANAGEMENT AT THE HASKAYNE SCHOOL OF BUSINESS.

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

D S I E S TAT E P L A N N I N G O F F E R S S O LU T I O N S TO N E W TA X P R O P O S A L S

BY R E N N AY C R A ATS

A

lberta business owners are beginning to emerge from an economically challenging few years, but just as they do, there is more uncertainty on the horizon. The federal government is proposing new tax reforms that will greatly impact private corporations.

Don Smith CLU, FEA

Corporate business income is currently taxed at a lower rate than personal income, which leaves owners more capital to either reinvest in their businesses or to invest into passive investments like stocks, bonds and mutual funds. The proposed tax reforms will change that.

“If these proposals go through, the effective tax rate on investment income held inside a corporation will increase to over 70 per cent,” says Don Smith, principal of DSI Estate Planning Inc. The highly-contested tax reform proposals have business owners questioning their options to mitigate these changes. One solution is tax-exempt insurance owned by a private corporation.

The proposed changes could see the capital gains tax rate on estates jump from 24 per cent to over 40 per cent, forcing the family to come up with a large sum of money by either selling assets or borrowing from banks. For those wanting to preserve and pass along the business to the next generation, life insurance can play a key role in reducing the burden of estate taxes.

“Life insurance is an immediate source of liquidity that can be withdrawn from the family business as a tax-free capital dividend so the estate has the money to pay the taxes,” Smith says.

The Department of Finance in Ottawa consulted with the industry, Smith included, to establish the parameters of these investments and enacted new rules on January 1, 2017. Business owners can use life insurance as an investment alternative to accumulate money within the policy without tax.

“We wanted to maintain the ability of shareholders in private corporations to withdraw life insurance proceeds out of the company tax-free,” says Smith. “There are also ways to withdraw

those investments from the corporation during the shareholder’s lifetime on a tax-effective basis.”

Business owners can use these plans as a king-sized tax-free savings account, enjoying an impressive six to eight per cent taxsheltered return on their retained earnings.

Don Smith is closely monitoring developments to ensure his clients are well looked after. He also recently completed a 400hour professional program, graduating with a Family Enterprise Advisor designation to bring another level of service to his clients.

801 13th Ave. SW Calgary, AB T2R 0L1 P: 403.228.4260 • don@dsiestate.com • www.dsiestate.com

THE SECRETS OF (SUCCESSFUL) SUCCESSION PLANNING // SUCCESSION PLANNING

‘I have been thinking about succession in the business for a while now, and not sure what I want to do. What are your thoughts on the subject?’

“It is important to be clear that business is business, and family is family.

Communicate basic principles and explain that fair doesn’t necessarily mean equal. Consider structured family meetings, maybe with the help of an outside facilitator, with ground rules and guided by agendas,” she recommends.

“Odds are that the owner’s children are more ready than the owner is willing to give them credit for,” Davidson says from experience. “But there is a common problem of owners convincing themselves that their son or daughter has to be their successor, when, in fact, they could simply be participating in the company to make the owner happy.”

He explains that transitioning to family can be awkward. “The grown children of founders could fall into various categories. They could be legitimately driven to show their parents that they can go even further, while others ride the comfy ride made possible by their parents’ success.

Some are very capable of performing required tasks but not willing to make the same sacrifices that the founder did to get the business to where it is.”

Canadian business stats still show that more than a third of secondgeneration businesses don’t make it. The causes are many.

“It’s a big mistake to think of succession as just transitioning shares.

Successful succession is about transitioning ownership and leadership in a manner that works for the business, the owners and everyone involved,” Fisher notes with enthusiasm.

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Employee Engagement is Crucial

T

he words may have changed but the business relevance is the same, if not more important than ever.

Traditionally it was referred to as “company spirit” to motivate, inspire and create a feeling of teamwork. In the contemporary workplace, particularly with the recent speed bumps in many Calgary businesses, morale and employee engagement has never been more crucial.

“Whether in tough economic conditions, looking at remote workforces or any other business environment, employee engagement doesn’t change – yesterday, today or into the future,” says Vince Danielsen, an EO Calgary member who is president and CEO of INLIV and WELLO – innovative Calgary organizations that deliver premium corporate, executive, personal and family health services.

“To attract, develop and retain team members, employee engagement must be top-of-mind with every interaction. If we want to remain relevant and competitive, our organization has to be true to our values and hire people who believe in those values. How we treat our people will be a direct reflection on how our people treat our customers.”

The positive sentiments are echoed by Jodena Rogers, vice president of corporate services at Emerald Management & Realty and an EO Calgary member. “Engagement and retention is key for employers, especially during a downturn. It can be tempting to set aside strategic priorities and focus on business survival, but it is more important than ever to communicate with team members about the current climate and the challenges impacting the workplace.

“An integral part of employee engagement in a tough market is to have honest, respectful conversations and empower employees to focus on opportunity. It creates job satisfaction, engages them to be part of the solution and provides a sense of inclusion.”

For dynamic Bill Scott, co-founder of ReSourceYYC (the collaborative coworking office space for entrepreneurial Calgary professionals) and an EO Calgary member, “Employees have been through a lot in the last few years and engagement may be suffering, wondering if jobs are still at risk. Stressful environments wreak havoc on morale and productivity.

“But now is the time to build loyalty and increase employee engagement by asking employees to participate in strategy sessions, being part of more frequent team meetings and activities, and scheduling one-on-one meetings with senior management.”

Most business leaders agree: sometimes employee engagement is easier said than done.

“Hire people who fit your core values and test them in the interview process. It’s much easier to engage employees when starting with the same foundation,” Danielsen suggests.

“Each interaction with an employee is an experience, and that experience directly correlates with their engagement.”

“Be honest and transparent,” Scott cautions. “If times are tough, don’t sugar-coat it and don’t try to hide the obvious. Employees can feel when management is hiding something. Confront the facts head-on, and avoid injecting emotion into the situation.

Ask employees to participate in brainstorming and problemsolving sessions. Have a plan! Even if it’s short term, employees need to feel that the company has direction and the next steps.”

Rogers emphasizes communication efforts with frequent checkins, a genuine open-door policy, team meetings and treating employees like partners. “Especially during difficult economic times, it’s more important than ever.

“Sharing the company vision and plan gives purpose and will go a long way to retaining employees when the good times return,” Scott adds with positivity.

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FOR CALGARY HOUSE-HUNTERS, IT’S A BUYER’S BONANZA // REAL ESTATE

FOR CALGARY

House-Hunters,

IT’S A BUYER’S BONANZA

BY SUE L. BLANCHARD

WITH A RECORD NUMBER OF NEW HOMES IN CALGARY, SELECTION HAS NEVER BEEN BETTER

T

he word spreading along the crescents and cul-de-sacs of Calgary’s new communities is that the housing market is turning a corner. Builders are applying for permits again. House-hunters are visiting the show-home parades in urban and outlying areas. Overall, there’s an aura of optimism among residential homebuilders.

Economic indicators also show the housing market is reclaiming lost ground with 7,480 new houses started since January this year.

of Calgary offers different incentives in dozens of new communities. Many homes are in the planning leg, while thousands are in the construction phase or on sale.

Southwest Calgary features 27 new communities and starter homes selling for $300,000 to first-time buyers. Estate homes start at $750,000, and buyers can find a mix of housing styles in locations like Belmont, West Grove Point, Shawnee Park and Currie Barracks.

“That’s a 31 per cent increase in total housing starts, with encouraging gains in both the single-detached and multifamily segments of the market,” notes Richard Cho, principal analyst in Calgary for Canada Mortgage and Housing Corporation. Most of the activity is in multi-family rather than single-family housing. “Over 60 per cent of housing starts this year have been multi-family units.”

The southeast side of the city includes the Bow River and Fish Creek Provincial Park, and offers similar prices and 12 new communities with names like Cranston, Auburn Bay, Mahogany and Legacy with its $1-million-plus homes.

Thanks to BILD’s annual competition for builders, the WestCreek community of Legacy won a Sales and Marketing (SAM) Award for the Calgary region. At buildout, Legacy will feature 7,000 high-end homes with prices at $1-million-plus.

From lakeside landscapes and mountain views to countryside living with wide open spaces, each quadrant

The largest community going in the southeast quadrant is Wolf Willow, a WestCreek development. Located on 202

ABOVE: THE PARADE OF ESTATE PROPERTIES IN THE RIDGE, LEGACY, WITH MORRISON, ALBI AND CALBRIDGE HOMES. PHOTO SOURCE: WESTCREEK DEVELOPMENTS.

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LIVING THE SCARBORO LIFESTYLE

by Mario Toneguzzi

T

“The town houses are between 1,500 square feet and 1,600 square feet,” explains Smith, “and will have great views of downtown from the balconies.”

The traditional exterior was designed with classic sophistication to blend perfectly with the established community and its historic charm.

Construction is expected to begin in the first half of next year with completion in 12 to 16 months from groundbreaking.

“As inner-city developers we feel it is of the utmost importance to blend in with established neighbourhoods, to never detract from an area and at all costs honour the existing environment,” explains Jason Smith, owner of Bow Developments. “Our exterior design incorporates with the historic nature of the area and the existing architecture.”

“Scarboro is quite an amazing place to live, in and of itself. The Scarboro Community Association is very active and committed to Scarboro being a great residential neighbourhood. There is a community supper club, a book club, fabulous neighbourhood events and to top it all off, a tennis club. It’s a very unique and special community and we are so delighted to be a part of it,” states Smith.

he first multi-family development is underway in the prestigious inner-city neighbourhood of Scarboro.

Scarboro 17 is located on the corner of Scarboro Avenue and 17th Avenue SW. Scarboro is a centuryold district with masterfully-built classic homes.

“Scarboro was the first district in Calgary where the streets were designed in the garden city movement style, based on street design in England in the early 1900s, as opposed to the grid pattern we see in present-day communities.

The natural flow through the community makes you feel as though you are walking through a European town,” states Smith. “Scarboro Avenue was once the main avenue where the affluent Calgarians in the early 1900s built their homes.

A tight-knit community developed over the years and still exists there today.”

Scarboro 17 is a 52-unit, four-storey multi-family building that will have one-, two- and threebedroom single-level living condominiums as well as spacious three-storey town house options available for purchase. The condominiums range in size from 600-square-foot, one-bedroom units up to 1,600-square-foot, three-bedroom penthouse options with a fabulous mix in between.

The Scarboro 17 location is a five-minute drive to the downtown core and a quick walk to all the shops and restaurants on 17th Avenue.

“Although you are at the centre of Calgary’s energy, you will also enjoy the comfort of a tranquil environment,” explains Smith.

“One other major attraction to this project site, aside from the community itself, are the views. A good portion of the single-level condominiums and the town houses on the Scarboro Avenue side will have city views, which is rare in Calgary these days for new construction projects.

“There may never be another multi-family building in Scarboro after this one. Therefore, it is a fabulous opportunity for the existing residents in Scarboro in singlefamily homes who want to downsize but don’t want to leave the area. In addition, it is a great opportunity for those who would love to live in the area but can’t afford a single-family home or do not need all the space. We are offering a truly unique opportunity to live in Scarboro at a price point that will not break the bank.”

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FOR CALGARY HOUSE-HUNTERS, IT’S A BUYER’S BONANZA // REAL ESTATE

hectares between 194 and 210 Avenue SE, bulldozers are breaking the ground for construction, slated to start in 2018.

Once built, the 3,500 homes will surround city parks and a public and separate school on a reclaimed brownfield that winds along the river and is near a seven-acre dog park.

“This area is ideal for buyers entering their first home or making a step up in the community to a semi-estate,” notes Kalida Goldade, WestCreek’s marketing manager.

The northwest quadrant of Calgary stretches west to the Rockies and offers mountain views and a rolling landscape.

One of the city’s largest parks, Nose Hill, brings nature to urban communities where homes are selling in new areas like Nolan Hill, Evanston, EvanstonRidge and Carrington.

The northeast quarter is geographically flatter than other areas of Calgary with homes on sale in new communities

such as Savanna and Redstone. Entry-level homes start at $300,000 with move-ups selling at $475,000.

Directly north of Calgary is Livingston, a Brookfield Residential community seated on 519 hectares, making it one-third the size of Okotoks. The recent discovery of fossils has garnered media attention for the area. Builders include Morrison Homes, Cedarglen Homes, Jayman Built, Brookfield Residential, Homes by Avi, Avi Urban and Brookfield.

Of sales in communities housed by Brookfield Residential, Ian Nash, vice-president of Calgary homes, says, “We’ve had great absorptions across the board from apartment projects in Regatta at Auburn Bay to our estates in Riverstone. Sales were strong in the spring. The summer lagged until people got back to their routines, and now show-home traffic is picking up again.”

ABOVE: A POND CENTRED IN LEGACY, THE SOUTHEAST CALGARY COMMUNITY THAT WON BILD’S 2016 SAM (SALES AND MARKETING) AWARD. PHOTO SOURCE: WESTCREEK DEVELOPMENTS.

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FOR CALGARY HOUSE-HUNTERS, IT’S A BUYER’S BONANZA // REAL ESTATE

INCREASING MORTGAGE RATES ARE KNOWN TO AFFECT THE HOUSING MARKET, AND QUALIFYING FOR A MORTGAGE BECAME MORE EXPENSIVE ON SEPTEMBER 6, 2017 WHEN THE BANK OF CANADA INCREASED INTEREST RATES 25 BASIS POINTS.

Builders have also started 2,699 apartment units, which include condos and rentals, for a 14 per cent increase in numbers since January 2017.

The City of Calgary also sees housing starts climbing but not as high as in 2014. “We’re seeing strong numbers in single and multi-family home statistics,” notes Kevin Griffiths, director of buildings services. “But I’d like to see housing starts back at the high historical levels we saw in 2014.”

In 2014, construction began on 17,131 new homes followed by a downtrend. The number of housing starts dropped 24 per cent in 2015 and another 29 per cent in 2016. That’s when oil prices dipped to US$17.88 a barrel and newspaper headlines noted that Alberta’s unemployment numbers were higher than the national rate for the first time in 27 years.

housing demand, and many newly completed homes were left unsold. We are expecting the surplus will decline in 2018 as the economy improves and builders focus on selling the inventory on the market instead of starting new projects.”

Increasing mortgage rates are known to affect the housing market, and qualifying for a mortgage became more expensive on September 6, 2017 when the Bank of Canada increased interest rates 25 basis points. “CMHC is forecasting the five-year mortgage rate to increase and range between 4.4 to 5.2 per cent in 2017,” explains Cho. “This will impact the cost of financing but sales in Calgary are still forecast to increase. Job creation, population growth and improvements in consumer confidence will help support the demand for housing.”

That’s also when the quantity of unsold homes on the market began to burgeon. For 2017, CMHC notes that new home inventories in Calgary reached a record high in the spring. While inventories have come down since then, they still remain elevated. This has the Calgary Real Estate Board’s chief economist worried. “I look at new homes only to see how they affect the overall supply on the housing market, and their figures are increasing,” explains Anne-Marie Lurie.

“Inventories for both new and resale homes are higher and this can cause housing prices to drop.”

The CEO of Buss Marketing also sees improvement and opportunities for growth in Calgary housing through investment. “Foreign investors will shift to Calgary to find some of the best investment opportunities in the country,” explains Calvin Buss. He attributes this to the foreign buyers’ tax the B.C. and Ontario governments have imposed on buyers outside Canada. Foreign investors buying residential homes in greater Vancouver pay an extra 15 per cent in property taxes. Even though the B.C. government is now saying it will review the tax, the Ontario government decided to launch a foreign home buyers’ tax in April 2017.

But CMHC is forecasting inventory will shrink in 2018.

“Inventory began growing in 2014 and 2015,” explains Cho. “We had a record number of homes under construction heading into the recession. The economy weakened along with

Whether Calgary housing sales surge through investment or better market conditions, most experts agree the market is making a comeback from the city’s roughshod recession.

BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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ALBERTA MANUFACTURING SECTOR BACK ON SOLID GROUND // MANUFACTURING

ALBERTA MANUFACTURING SECTOR BACK ON SOLID GROUND HEALTHY GROWTH FORECAST FOLLOWING RECESSION

BY MARIO TONEGUZZI

A

vicious economy gave the local manufacturing sector a pounding over the past two years but the industry is back on firmer ground and poised to grow in the near future.

A collapse in oil prices led to a recession in 2015 and 2016, which resulted in thousands of jobs being chopped.

“Manufacturing, we can say with certainty, was hit hard.

Between 2014 and 2016, comparing sales, [there was a] 21.4 per cent drop over those two years in manufacturing sales in the province,” says Rob Roach, director of insight with ATB Financial.

“We know employment-wise in 2016 Calgary was down from its peak in manufacturing. In 2014, we had about 49,200

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

people in the sector. As of last year that was down to 40,900.

The per-cent change there is pretty significant.”

But the bad news is now in the rear-view mirror as the economy slowly rebounds and recovers and that is good news for the manufacturing industry – across the province and throughout the Calgary census metropolitan area.

“It is a growing sector. From 2016 to the forecast for this year, the GDP for the manufacturing sector is expected to grow by 5.8 per cent,” says Jeanette Sutherland, manager of workforce and productivity with Calgary Economic Development. “That works out to going from about $5.9 billion to about $6.25 billion. It’s also forecasted to grow by 9.6 per cent until 2021 – second fastest behind finance. And employment growth is expected to be 4.7 per cent.”

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ALBERTA MANUFACTURING SECTOR BACK ON SOLID GROUND // MANUFACTURING

In Calgary, the industry has a number of sub-sectors, including: • Food manufacturing • Wood products manufacturing • Printing and related support activities • Chemical manufacturing • Primary metal manufacturing • Fabricated metal products manufacturing • Machinery manufacturing • Computer and electronic products manufacturing • Furniture and related products manufacturing

Naturally, those closely tied to the oil and gas industry felt the pain of the economic downturn but not all segments were hit as hard. And some actually did well while surviving the two years of recession.

Scott Jenkins, president of Calgary-based DIRTT, says the energy sector did indeed slow down the company’s growth in 2015 but the manufacturer of highly-customized interiors managed to increase revenue every year. The company’s business model had something to do with that.

“We’ve built DIRTT on a strategy of diversification, geographically and in the end-user markets so we’re not reliant on any one industry or location,” says Jenkins. “More than 80 per cent of our business is actually in the United States, and along with our Calgary operations we have manufacturing facilities in Savannah and Phoenix.

“We’ve also continued our growth into international markets, with particular success in the Middle East’s

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health-care industry. External to North America and the Middle East, we’ve expanded into London, Dubai, Singapore, India, Saudi Arabia and continue business development elsewhere globally.”

Embracing technology has helped DIRTT grab market share as it continues to make inroads in industries outside of oil and gas, especially health care and education.

“We’ll also continue to invest in technology, product development and international expansion into high-growth, high-potential areas. It’s making our positioning in the industry that much stronger,” explains Jenkins.

“The energy industry in Alberta was one of our first supporters and they remain a strong supporter, which goes both ways. It’s nice to see things turning around again. Looking forward, the opportunity is immense for all industries, not just manufacturing. There’s opportunity anywhere there’s interior construction.”

The key to the manufacturing sector’s resiliency is diversity and customer base. Producing a product outside the oil and gas industry can somewhat shield a company from the ups and downs that have historically characterized the energy sector. It also helps to diversify and expand a customer base to a much broader audience.

Calgary-based SMART Technologies, which manufactures interactive displays and whiteboards, is a perfect example of that. Although the company manufactures its SMART Boards primarily in China and Korea, software is developed in many locations including Calgary, where it has its headquarters and it’s listed as one of the city’s biggest manufacturers.

Robert Pettigrew, director of product management for SMART, says the company’s products are geared to the education and the business sectors.

ALBERTA MANUFACTURING SECTOR BACK ON SOLID GROUND // MANUFACTURING

PRIOR TO 2014, ALBERTA’S MANUFACTURING SECTOR WAS ONE OF THE FASTEST-GROWING MANUFACTURING SECTORS IN THE “We’ve done really well but we’re a global company. Our market is a global market. We really focus on Canada, the USA, Western Europe, primarily. We have the luxury of being buffered from the ups and downs of the Calgary economy.

We’ve done well and are doing well,” says Pettigrew of the company that was acquired last year by Foxconn Technology Group of Taiwan.

COUNTRY AS THE VALUE OF SALES

“The market we’re in is growing very strongly. In particular in the education space, it’s growing 25-30 per cent year-overyear. We’re growing. But we’re facing growing competition.”

Analysis by ATB Financial indicates manufacturing activity in Alberta is on an upward trend. Annual sales for 2017 are on pace to reach about $70 billion. Much better than the past couple of years but well short of the almost $80 billion recorded in 2014.

Prior to 2014, Alberta’s manufacturing sector was one of the fastest-growing manufacturing sectors in the country as the value of sales more than quadrupled between 1992 and 2014, according to the provincial government.

However, sales in this sector declined in 2015 and 2016 as a result of slumping oil and gas investment which impacts a number of manufacturing industries, especially metals and machinery.

“Because of the recession, real output (GDP) of Alberta’s manufacturing sector decreased seven per cent between 2011 and 2016,” says the government in its Highlights of the Alberta Economy 2017 report. “The largest manufacturing sub-sectors on a GDP basis are processed foods and beverages, chemicals, fabricated metals, industrial machinery, refined petroleum products and wood products.

About one-fifth of manufacturing output consists of value-added industrial products such as fabricated metals, machinery and electronics.”

Manufacturing sales hit $62.6 billion in 2016. According to the Alberta government, manufacturing comprised 6.7 per cent of the province’s total GDP of $309.1 billion that year.

Here is how that breaks down by different segments in the sector: food and beverage, 14.6 per cent; chemical products, 13.2 per cent; refined petroleum, 12.7 per cent; forest products, 5.6 per cent; fabricated and primary metals, 5.4 per cent; and machinery, 3.6 per cent.

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MORE THAN QUADRUPLED BETWEEN 1992 AND 2014, ACCORDING TO THE PROVINCIAL GOVERNMENT.

Alberta’s agri-food industries were a leading growth sector throughout last year’s recession and continue to diversify and strengthen the economy in 2017, says ATB. Optimism remains in agri-food, food processing and especially beverage manufacturing. With the stabilization in energy prices and a still-lower Canadian dollar, Alberta’s manufacturing should continue to perform well for the remainder of the year.

Food products was one of only three sub-sectors that posted positive growth during the recession with annual sales increasing by 7.1 per cent between 2014 and 2016, according to ATB. Todd Hirsch, chief economist with ATB Financial, says food and beverage processing is growing because of the traditional beef slaughterhouses and beef packaging already in the market but the growth in the past decade has also been in the smaller niche processors – organic lentils, honey and small craft breweries.

“All of those things combined, there’s tens of thousands of them across the province and because there is so much preference these days for local food products people will pay a premium for them. As a result you can be a very, very small niche meat processor but be doing well right now,” says Hirsch.

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STORY TITLE // SECTION

Prestige Railings and Stairs Ltd. Prestige Railings and Stairs continues its “rise and run” to the top of the stair and railing industry in Alberta as we once again have received the Consumer Choice Award for Business Excellence in both Calgary and Edmonton. For well over a decade, Prestige has been privileged to receive these awards – a constant reflection of our dedication to quality and a sincere effort to exceed customer expectations – every step of the way.

achieve the goals and visions of each individual customer.

Whether it be a starter home with a feature railing or a commercial property with 10 stories of interior railing that needs retrofitting, Prestige is the only call you need to make.

For well over 25 years, Prestige has been pleased to set the highest standards in the industry and will continue to raise the bar and focus on improving the product and the process. While the customer doesn’t realize it in most cases, Prestige is the only stair and railing company to be a member of the Architectural Woodwork Manufacturers Association of Canada.

Prestige continues to build the highest quality stairs in the industry and we pride ourselves on helping our customers realize their dreams in creating a focal point in their homes with unique designs and extraordinary craftsmanship.

This speaks to the Prestige commitment to constant evaluation and improvement in an industry where we already set the bar for quality. The Company’s vision of being the most respected, reliable and sought after provider of all things stairs and railings to the residential and commercial construction industry, is the focus of everything we do.

While the awards are a nice pat on the back and a huge morale booster, we know the work to improve never stops.

Prestige offers an extensive variety of quality products, all the way from glass stair treads and stainless steel components to spindles featuring Swarovski crystals; from LED accent lighting to interior and exterior spiral stairs.

Prestige continuously works with architects and designers, builders, contractors, and building and home owners to

Consistency, Quality, Craftsmanship Photo by Jean Perron Photography

Come in and talk to us about your project!

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Our showroom is open from Monday - Friday 8am - 4:30pm | www.prestigerailings.com “We’re passionate about bringing spaces to life. Together with you.”

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2777 Hopewell Place NE Calgary (403) 250-1020 • Toll Free: 1-800-382-8502

403.280.2803

NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

Leading Business NOVEMBER 2017

IN THIS ISSUE...

• Policy Bites - The Layered Cost of Government Policies • Small Business Week Review • Member Spotlight

CEO Peer Mentoring Find your tribe and improve your leadership skills Join one of the Calgary Chamber’s CEO Peer Mentoring groups and find the right people to bounce ideas off of, and help you navigate the challenges of running a growing business.

CalgaryChamber.com

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2017 Board of

Directors

Policy Bites The Layered Cost of Government Policies

Executive Chair: David Allen, Founder & President, Situated Co. Vice Chair: Phil Roberts, President, Vintri Technologies Inc Past Chair: Denis Painchaud, Founder, Baneret Consulting Inc. Treasurer: Wellington Holbrook, Chief Transformation Officer, ATB Financial CEO: Adam Legge, President and CEO, Calgary Chamber

Directors Linda Shea, Senior Vice-President, AltaLink Bill Brunton, Vice President, Habitat for Humanity, Southern Alberta Mike Williams, Executive Vice-President, Encana James Boettcher, Chief Idea Officer, Fiasco Gelato Brent Cooper, Partner, McLeod Law LLP Desirée Bombenon, President & CEO, SureCall Contact Centres Ltd Mandeep Singh, Audit Partner, Deloitte Jason Hatcher, Managing Principal, Navigator Greg Garcia, President and CEO, Calgary Elite Roofing Brian Bietz, President, Beitz Resources Management Adam Legge – President and CEO Michael Andriescu – Director of Finance and Administration Kim Koss – Vice President, Business Development and Sponsorship Scott Crockatt – Director of Marketing and Communications Rebecca Wood – Director of Member Services Zoe Addington – Director of Policy, Research and Government Relations Leading Business magazine is a co-publication of the Calgary Chamber and Business in Calgary Calgary Chamber 600, 237 8th Avenue S.E. Calgary, Alberta T2G 5C3 Phone: (403) 750-0400 Fax: (403) 266-3413 calgarychamber.com

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mall and medium-sized businesses are the backbone of many communities across the country. They are our neighbours, innovators, service providers and job creators. They account for 96 per cent of businesses in Canada and employ nearly 70 per cent of our national workforce.

After consulting with a number of small and medium-sized businesses in Calgary, one thing has become all too clear: government policies are making it harder for businesses to succeed.

Minimum wage hikes, increasing property tax burdens and a carbon levy have all been put in place at a time when unemployment remains high and spending low. Each policy on its own may not cause a healthy business to close its doors. Together, however, these policies are causing serious harm – higher prices for Calgary’s households, unemployment for Calgary’s workers and thousands of dollars of additional costs for Calgary’s businesses. We call this the cumulative cost impact.

Through surveys and direct consultations, we gathered data from small and medium-sized Calgary businesses to calculate the costs that minimum wage hikes, increasing property taxes and the carbon levy will place on businesses in 2017 and 2018. The rest of this article will provide an overview, highlighting some of the key findings of the Chamber’s “Cumulative Cost Assessment.” You can find the full assessment at calgarychamber.com.

Cumulative cost increase for a typical business Industry 2017 2018 Food & Beverage $35,939.29 $80,234.13 Hospitality $17,640.70 $60,710.34

Minimum Wage Hikes At the Chamber, we believe alleviating poverty and ensuring that all Albertans are paid a fair wage for a day’s work are important public policy concerns. Unfortunately, the minimum wage is leading to large costs for small and medium-sized businesses, while making it harder for many lower-income and lower-skilled Albertans to find jobs.

So, who earns the minimum wage?

• Only two per cent of Alberta workers earned the minimum wage (January-July 2017).

• Sixty-one per cent of minimum wage workers in Alberta are under 25. Seventy per cent are under 30.

• Fifty-seven per cent of all Canadian minimum wage earners in 2014 were living with family.

During consultations with members, we heard that 44 per cent of business respondents employed minimum wage staff. Many of those businesses will be seeing large cost increases because of the minimum wage hikes in 2017 and 2018.

Cost increase for a typical business Industry 2017 Food & Beverage $69,300.00 Hospitality $21,120.00

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2018 $157,500.00 $48,000.00

Along with the costs associated with paying a higher minimum wage, many businesses will also have to increase the wages of higher-paid staff. In fact, many of the business respondents said they have or will increase wages to higher-paid staff because of the minimum wage hikes. This will represent a significant cost for many businesses.

Unfortunately, the minimum wage isn’t just hurting business owners, it’s hurting many lower-income employees that the policy is intended to benefit. From what we’ve heard, as business costs escalate, employment opportunities for lower-skilled workers have, and will continue, to decrease. Fifty-five per cent of the businesses consulted with minimum wage staff have already reported layoffs because of the wage increases, with 36 per cent of businesses consulted reporting that they will likely need to lay off staff when a $15 minimum wage kicks in. Furthermore, businesses that would have previously hired a lower-skilled worker for a minimum wage position will now search for candidates with more experience to offset the higher minimum wage. So, while certain businesses may not reduce employment, they will be looking to hire from new demographics.

City Spending and Property Taxes One of the best ways to encourage a thriving business community is for the municipal government to keep its tax burden low. To do this, spending must be kept in check. When city spending increases, property tax hikes are soon to follow.

Since 2008, the City of Calgary’s spending has increased by 64 per cent. During that same period, Calgary’s total property tax bill has increased by 58 per cent.

Spending increases, along with an increase in downtown office vacancies, has led to larger property tax bills for many Calgary businesses. Approximately 6,000 businesses in Calgary’s suburbs will see their property tax bills increase in 2017. In fact, in 2017, business property tax increases will likely cost a typical business in the retail industry an extra $300. In 2018, without any municipal assistance, business property taxes will likely cost a Calgary retail business an additional $2,800.

The business community is urging our new city council to seek program efficiencies, and address areas where overspending is occurring. Some areas where Calgary can improve include: • Governance and corporate management – If Calgary’s governance and corporate management costs (as a percentage of the operating budget) were the same as Toronto, the city would save $118 million.

• Human resource administration – Calgary’s human resource costs were $1,599 per employee. If Calgary brought these costs down to $1,000 per employee, which is still above other major cities in Canada, Calgary would save $9.8 million.

To ensure necessary services can continue to be provided, while guarding against inefficient program delivery and rising property tax bills, the City of Calgary should cap maximum spending increases at the rate of inflation plus population growth. Had the city increased spending only to cover inflation plus population growth since 2008, then the city would have spent roughly $744 million less in 2016. Total savings since 2008 would have been $4.6 billion – roughly the same total cost of the proposed Green Line LRT. During tough times, businesses must be smart with their money. We urge all levels of government to do the same.

The Cost of Canada’s and Alberta’s Climate Leadership Putting a “price on carbon” has long been supported by economists as the most cost-effective way to encourage businesses and households to reduce emissions. Nevertheless, Alberta’s carbon levy does not come without its costs, and these costs are anything but timely.

Cost increase for a typical business Industry 2017 Transport & Delivery $570,810.88 Hospitality $32,362.11

2018 $856,749.61 $48,559.17

The carbon levy is resulting in large costs for many businesses.

In fact, 73 per cent of businesses consulted reported their costs will increase due to the carbon levy. And while costs have increased, many small and medium-sized businesses do not believe Albertans can support higher prices. Calgary businesses believe they will be left footing the bill – only 21 per cent of respondents who have been impacted by the carbon levy plan on passing higher costs onto their customers.

Given the past few years of economic hardships, layoffs and reduced consumer spending, Calgary businesses are questioning whether now is the right time for Alberta to have a carbon levy.

In Closing Minimum wage hikes, increasing business property taxes and the carbon levy are all making it harder for Calgary businesses to succeed. But, so are many other government policies. Internal trade barriers, red tape, changes to workplace legislation, higher personal and corporate income taxes, and the tax changes proposed by Finance Canada are making it difficult for businesses to do what they do best – grow and create jobs.

Policy-makers – our business community has little left to give. Now, more than ever, we must look for ways to reduce the burdens placed on businesses. Not increase them. We are calling on all governments within Canada to fully consult businesses and calculate costs when considering policies that may directly affect business activity.

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Small Business Week Review

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mall Business Week Calgary 2017 – powered by ATB Business with official partner BDC, as part of BDC’s national Small Business Week – was the biggest celebration of small business in the country. The Chamber thanks their many sponsors and partners for their generous support in making this week such a huge success.

This October marked the 35th year of the annual Small Business Calgary Awards. These awards shine a spotlight on and celebrate our city’s greatest small businesses. With 41 businesses over nine diverse award categories, from indigenous entrepreneurship to innovation, the awards represent a wide cross-section of Calgary’s strongest businesses.

Congratulations to all finalists and winners of the 2017 Small Business Calgary Awards.

The 2017 Small Business Calgary Award winners by category: ATB Small Business of the Year Award Presented by ATB Business ROSSO Coffee Roasters

Customer Service Award Presented by Air Canada Pure Motion Dance Company

BDC Emerging Growth Award Presented by BDC Rumble Boxing Studio

People’s Choice Award Presented by News Talk 770 Tool Shed Brewing Company Inc.

Breakout Business Award Presented by McLeod Law LLP Eight Ounce Coffee

Community Impact Award Presented by Crowe MacKay Market Collective

Innovation Award Presented by Servus Credit Union AnyQuip

Environmental Stewardship Award Presented by CPA Alberta Spragg’s Meat Shop

Indigenous Entrepreneurship Award Traffic Ticket Solutions

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AMVIC Licensed

Chamber Member Spotlights The Calgary Chamber is proud to represent many Calgary businesses large and small; this month we are highlighting some of our industry leading members. their core business in the oil, gas and chemical industries, Bantrel also provides EPC services to clients in the power, infrastructure, and mining and metal industries across Canada.

ATB Financial

ATB Financial is one of Alberta’s largest homegrown financial institutions, with a commitment to listen to Albertans in order to make banking work for people.

Established in 1938, ATB currently serves over 730,000 customers through its network of 173 branches, 143 agencies, a Customer Care Centre, two Entrepreneur Centres, a crowdfunding and crowd-lending platform, and a business accelerator. ATB has been named the third best place to work in Canada by Glassdoor, and one of Canada’s top 100 employers for young people by Mediacorp.

For more information, visit ATB.com/Business

For more information, vist bantrel.com.

Canadian Pacific Railway

Canadian Pacific is a transcontinental railway in Canada and the United States with direct links to eight major ports, including Vancouver and Montreal, providing North American customers a competitive rail service with access to key markets in every corner of the globe. CP is growing with its customers, offering a suite of freight transportation services, logistics solutions and supply chain expertise.

For more information, visit cpr.ca.

Bantrel Co.

From offices in Calgary, Edmonton and Toronto, Bantrel executes on a wide variety of resource-related projects in Canada. They have delivered end-to-end solutions for some of Canada’s most challenging and complex projects – safely, on time and to the highest degree of quality. In addition to

Thanks The Chamber thanks the following long-standing member companies celebrating anniversaries this month for their years of support to the Calgary Chamber, and their commitment to the growth and development of Calgary.

Member name

Dow combines the power of science and technology to passionately innovate what is essential to human progress.

Dow is driving innovations that extract value from material, polymer, chemical and biological science to help address many of the world’s most challenging problems, such as the need for fresh food, safer and more sustainable transportation, clean water, energy efficiency, more durable infrastructure, and increasing agricultural productivity.

Dow’s integrated, market-driven portfolio delivers a broad range of technology-based products and solutions in high-growth sectors such as packaging, infrastructure, transportation, consumer care, electronics and agriculture.

For more information, visit dow.com.

Years as a member

Brewster Inc. Western Refrigeration & Beverage Equipment Jay’s Transportation Group Coastal Resources Limited The Licensing Company Walden Financial Corporation Charter Coating Service GEC Architecture Anthem Properties Daniel Computing Systems Inc. Ducktoes Computer Services Moss Project Management Pioneer Petrotech Services Sorrenti’s Catering Superior Propane

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Dow Chemical Canada

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PwC Management Services

In Canada, PwC has more than 6,500 partners and staff in locations from St. John’s, Newfoundland to Victoria, British Columbia. With more than 100 years of excellence in Canada, they provide industry-focused assurance, advisory and tax services for public, private and government clients in four areas: corporate accountability; risk management; structuring and mergers and acquisitions; and performance and process improvement. As part of a larger network of over 180,000 people in 158 countries, PwC works to provide clients with the best of their collective thinking, experience and solutions to build public trust and enhance value for their clients and stakeholders.

For more information, visit pwc.com.

RBC Royal Bank

RBC is one of North America’s leading diversified financial services companies, and provides personal and commercial banking, wealth management, insurance, investor services, and capital markets products and services on a global basis. They have over 80,000 full- and part-time employees who serve more than 16 million personal, business, public sector and institutional clients through offices in Canada, the U.S. and 35 other countries.

For more information, visit rbc.com.

brokers, HUB Calgary specializes in long-haul trucking, oilfield and professional liability. HUB Calgary insurance brokers also provide insurance solutions for personal assets such as home, auto and recreational property.

For more information, visit hubinternational.com.

Congratulations to Western Refrigeration for reaching 45 years as a Calgary Chamber member.

Western Refrigeration

HUB International

HUB International is one of the largest insurance brokers in the world. With a team of 15 experienced

Since 1946, Western Refrigeration has been one of Canada’s leading food store and beverage equipment distributors.

Serving clients in the restaurant, supermarket and convenience store business, Western Refrigeration carries some of the world’s top brands for everything from open-faced coolers to novelty freezers, walk-in coolers and beverage dispensers.

For more information, visit wr.ca.

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algary firefighter ad

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Financial Donations can be made out to The Canadian Legacy Project and mailed to

Suite #900 - 2424-4th Street S.W. Calgary, Alberta. T2S 2T4 or online at www.canadianlegacyproject.org

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Krystyna Biel, CEO and Nicole Jelley, Board Chair.

Photo by Riverwood Photography.

IMMIGRANT SERVICES CALGARY 40 Years of Community Impact

by Rennay Craats

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stablished in 1977, the Calgary Immigrant Aid Society set out with one employee, a volunteer and seven board members to provide newcomer services in Calgary. As the city grew and changed, so did the organization. Today, it is called Immigrant Services Calgary and is fuelled by the dedication of 150 staff and over 1,300 volunteers.

“We are very proud of our 40-year history. We have grown into one of the longest-serving and most comprehensive settlement agencies, helping newcomers succeed in many areas,” says Krystyna Biel, CEO of Immigrant Services Calgary.

Thanks to the generous funding support from all levels of government and other partners, Immigrant Services Calgary (ISC) has innovative programs in place to assist newcomers with everything from family support to employment resources. ISC’s aim is to help immigrants integrate into their communities by offering services in all areas of their life, both personal and professional.

ISC’s Mosaic Family Resource Centre supports families, young children and youth throughout the integration process. This can include mentorship and academic support for youth; addressing maternal and newborn health for pregnant women and new moms; developing literacy initiatives; preschool programs with parental engagement; and developing social networks. Mosaic also offers counselling services for individuals, couples and families and is built on relationships that continue after clients have completed their program.

“The Mosaic Family Resource Centre is based on a holistic model where programs for one family member include support elements for the rest of the family,” says Mosaic director Wendy Auger.

ISC recognizes the importance of building networks and a sense of community to prevent isolation. It strives to provide easy access to resources and services to ensure newcomers don’t fall through the cracks. ISC’s Settlement and Language Bank Centre (SLBC) facilitates successful settlement and integration – with most services delivered in newcomers’ first language, with interpretation and translation services where needed. SLBC also offers citizenship classes to prepare newcomers for the citizenship test and encourage active civic participation.

“We act as a bridge between newcomers and various resources so they won’t get left behind because of language, cultural or social barriers,” says Ho-Man Chan, Settlement and Language Bank director.

After all, language should never be a barrier to integrating into another country, and ISC works hard to ensure clients have easy access to language resources. ISC’s Immigrant Language and Vocational Assessment-Referral Centre (ILVARC) is the first point of contact for many immigrants and refugees. There, teams of assessors and counsellors provide same-day language testing and referrals to English classes and other resources.

“It’s a one-stop comprehensive language assessment and referral service,” says Shiraz Amiry, director of ILVARC. “We are the only centre in Calgary to determine the eligibility of clients for the federally-sponsored language program.”

After assessment, ISC connects clients to language training opportunities to advance their educational and vocational goals and their employability skills. While some immigrants don’t

Immigrant Services Calgary || 40 || 1 85

speak the language well enough to be immediately considered for work, a large number of newcomers have professional training and already possess the language proficiencies required to work in their field.

ISC is proud to work with clients to help pair them with local companies looking for staff, even before they arrive in Canada. In partnership with In-TAC of Ottawa and Immigrant Services Society of BC, ISC delivers pre-arrival services online to newcomers across Canada as well as immigrants preparing to come from overseas. The organization presents a series of pre-arrival virtual programs that include online workshops, job fairs and hiring sessions that allow immigrants to hit the ground running when they arrive. In September, ISC hosted a Virtual Career Expo that attracted nearly 3,000 participants and featured 1,300 job opportunities from 52 employers across the country.

“The purpose is to spread awareness, give hope to newcomers and help them overcome the inclusion, diversity and employment barriers that an immigrant or refugee can face after landing,” says Ghazi Hallab, business development officer for ISC’s pre-arrival program.

The expo successfully connected immigrants and immigrants-to-be with companies in desperate need of their skill set and knowledge base. This valuable initiative allows employers to see how deep the foreign talent pool is and gives them access to these professionals, and it allows immigrants a look at the economic situation in the area and get an idea of whether they have to apply for accreditation or alter their career path to be successful.

Photos by Riverwood Photography.

Proudly supporting Immigrant Services Calgary!

Warmest wishes on your 40th Anniversary.

403-235-3602 • www.piersons.ca

Immigrant Services Calgary = Community Impact

Congrats on 40 Years! www.overview.ca Immigrant Services Calgary || 40 || 2

Business, Accounting and Management Construction and Trades Culinary, Hospitality and Travel Energy, Oil and Gas Engineering Technologies English Language Foundations Health and Medical Information Technology Manufacturing Media and Communications Transportation

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The Voices of Calgary Campaign introduced an online and social media platform on which immigrant professionals could share their stories. Through social media and the www.voicesofcalgary.com website, ISC posts videos that highlight the struggles and successes of internationally-trained professionals and tags others to spread the word. They also spotlight employers who are active in hiring from the foreign-trained talent pool.

“The idea is we want to encourage an inclusive and equal opportunity workplace for immigrants as well as have support and recognition of foreign credentials here in Calgary,” says Noel Tsang, project coordinator of Voices of Calgary.

ISC also hosted a symposium in October to discuss the competitive advantage immigrant professionals bring to Calgary’s workforce, inviting a dialogue between employers, community members, accreditation boards and immigrants.

And that role is vital. Immigrants are a great source of talent in many professional areas, especially in the technology field, and their skills are needed to meet the changing needs of Canadian businesses.

“At the end of the day, it’s about talent, specific skills and competencies to meet the needs of Calgary’s employers, regardless of provenance,” says Nicole Jelley, board chair of ISC. One only has to look around the community to appreciate the success of so many of these people. For the past 22 years, ISC has honoured local newcomers with the Immigrants of Distinction Awards. These awards recognize and celebrate the contributions immigrants make in the community in such areas as entrepreneurship and innovation, community service, arts and culture, organizational diversity, and youth scholarships. The gala event awards 12 remarkable individuals annually, but ISC takes continued pride in celebrating many more throughout the year.

“Inspire Support Connect” is the theme of the gala on March 9, 2018. ISC invites the community to celebrate Calgary’s global talent.

Newcomers are making an enormous impact on communities as well as the business world across the country, and Immigrant Services Calgary will build on its 40-year legacy to ensure newcomers have the resources needed to continue to do so for decades to come.

Congratulations on your 40th anniversary!

We are proud to be your partners in business.

Jeff Abernot, Senior Financial Advisor 403-974-5335 • jabernot@atb.com

#1200, 910 7th Avenue SW Phone: 403-265-1120 • Fax: 403-266-2486 immigrantservicescalgary.ca

Congratulations Immigrant Services Calgary.

Thank you for 40 years of excellence.

Your efforts make a difference in the lives of refugee and immigrant families — and our communities are stronger for it.

We share your commitment to helping immigrants and their families succeed, and wish you the very best in the years to come. bowvalleycollege.ca

Immigrant Services Calgary || 40 || 4

PHOTO EXHIBIT CELEBRATES 150 YEARS OF CANADA-U.S. RELATIONS A unique photo exhibit by the U.S. Consulate in Calgary is helping launch a new era for the Calgary TELUS Convention Centre (CTCC) as it moves to making its facility more of a destination and community gathering space.

The photo exhibit is celebrating 150 years of U.S.-Canada relations.

“This two-part photo exhibit was commissioned by the United States Embassy to celebrate Canada’s sesquicentennial,” says Tom Palaia, U.S. Consul General in Calgary for Alberta, Saskatchewan and the Northwest Territories. “It is travelling across the country to each of our Consulates and Embassies and I’m thrilled to bring the exhibit here to Calgary, partnering with the CTCC. With more than 50 photos, the exhibit celebrates 150 years of U.S.- Canada relations by highlighting points of cooperation and friendship, shared values, and culture, through intriguing stories and visuals involving our two countries.

The exhibition is free and great for all ages.”

The photo exhibit will be open from October 26 to November 22 on the main floor of CTCC’s south building.

“The photo exhibit highlights 150 years of U.S.- Canada bilateral relations through two themes; Northern Stars and Eyes on the Arctic. The Northern Stars exhibit is composed of visuals and textual documentation featuring a wide range of historical moments,” says Palaia. “This includes state visits, partnerships in our space programs, military cooperation, and the Iran hostage crisis, just to name a few.

“The Eyes on the Arctic exhibit explores our shared Arctic heritage and U.S.-Canada cooperation in the Arctic. This includes the Americans and Canadians who live in the northernmost reaches of our planet, their culture, history, and significance to the region. It also highlights stories of scientific cooperation, research, and wildlife management in the Arctic.”

Heather Lundy, Executive Director, Rejuvenation at the CTCC, says the goal is to re-invent the building and the photo exhibit is the launch of that initiative.

“One of our strategic goals moving forward is to create a community hub or a destination area - a place where both

our delegates coming to the city and local Calgarians can come and see what we have, experience what we have in the building. That can be anywhere through art, through exhibits, through food, through technology, etc.,” says Lundy.

“So we’re really not just that closed formal building anymore.

We’ll be alive. We’ll be a year-round area where everybody can come and network and see what’s going on. We invite all Calgarians to the CTCC from October 26-November 22 to check out the photo exhibit.”

Palaia says the photo exhibit is an important initiative not only to celebrate Canada’s 150th, but to show how proud they are of the strong relationship between the two countries. It’s a chance to showcase some of the most fascinating components of the U.S- Canada partnership that people might not be aware of.

“No two countries share deeper or broader relations than Canada and the United States and I see evidence of this everyday here in Calgary,” he says.

“Calgary is a vibrant city with citizens who care deeply about their community and their country so there are many opportunities for collaboration and engagement on topics that are of importance to both of our nations. A large part of our role in the community is to be connectors between the U.S. and Canada so we are pleased to celebrate this special anniversary with Canada, our closest friend, partner and ally.”

calgary-convention.com BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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PivotTECH Reveals Calgary’s Human Resource “Gold Mine”

BY STEPHEN EWART

F

or a city synonymous with oil and gas, Calgary’s most valuable resource is a “gold mine.”

As the city’s economy expands beyond its traditional centre of excellence in energy into numerous other sectors, our highly-educated, globally-connected and entrepreneurial workforce will be Calgary’s gold mine and our source of wealth.

The glittering assessment of the city’s STEM-oriented workforce was offered by Namir Anani, president and CEO of the Information and Communications Technology Council (ICTC), at PivotTECH – a recent one-day conference for tech talent in Calgary.

The event, which took place at the Calgary TELUS Convention Centre, attracted close to 1,000 ICT professionals, new graduates, technology companies, postsecondary institutions and workforce support organizations.

Its goal was to inform the city’s talent pool about the emerging opportunities in the shift to the digital economy.

“Apart from the obvious – the lifestyle that is available – you’ve got excellent fiscal financial policies. You have the highest cluster of engineers in all of the country,” Anani says.

“That is very, very important because that’s a gold mine for companies hungry for talent.”

Anani’s assessment is important. Ottawa-based ICTC Canada is dedicated to strengthening our digital advantage in the global economy and released a report earlier this year that forecasted Canada will need to fill 216,000 technologyrelated positions by 2021.

“Engineering is an important talent base for them but you’ve also got great connectivity from the communications industry and broadband. You’ve got great transportation for the city and great airlines and

connectivity to Asia,” he says. “The combinations of all of those create for an incredible combination of catalysts that can attract some of the businesses and leverage the talent dividend that you have in Calgary.”

Speakers at PivotTECH – organized by Calgary Economic Development, Rainforest Alberta and Alberta Labour – made the point tech isn’t simply one sector. It is applied throughout the economy and in what were once considered non-technology industries – such as agriculture and energy.

“Calgary is positioned really well as far as experienced, educated, talented people,” says James Lochrie, a Calgarian who is the founder of Wave Accounting and Exhibition Capital and one of the principals behind Rainforest Alberta.

Being home to the highest levels of engineering and geoscience talent per capita in the country is why Calgary is Canada’s most innovative municipality at a time when the application of knowledge and technology play an increasingly critical role in the digital economy.

“Not only will the technology companies grow and benefit here but as the revival happens in the oil and gas industry, don’t forget the energy sector has a lot of technology involvement as well and specifically with the government agenda with climate change,” says Anani. “It’s all the impetus to innovate using technology.”

The big opportunities for growth in Calgary will come from our ability to innovate in areas as diverse as all forms of energy and energy efficiency as well as agribusiness, financial services, transportation and logistics, all forms of creative industries, biomedical and aerospace.

And it is all a product of a human resource gold mine.

Stephen Ewart is manager of communications and content for Calgary Economic Development.

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

Record-Setting Summer for Tourism in Calgary HOTEL STAYS IN THE CITY UP MORE THAN NINE PER CENT OVER AUGUST 2016

BY CASSANDRA MCAULEY

T

ravel to Calgary this summer set records for the number of hotel rooms sold in July and August, up 5.9 and 9.1 per cent, respectively, over the same months last year. The year-over-year increase has resulted in an additional 47,220 hotel rooms sold (19,711 in July and 27,509 in August 2017).

“These numbers affirm that travellers are choosing Calgary as a destination for their leisure experiences,” says Cindy Ady, CEO of Tourism Calgary. “With hundreds of festivals and special events, distinct districts, awardwinning attractions and the ability to day-trip to so many remarkable locations, including Banff National Park, Calgary is a very appealing destination.”

These record numbers are made possible in part by the amount of new hotels opening throughout the city. While

hotel rooms sold are up five per cent year-to-date, hotel room supply is up 5.8 per cent over 2016, bringing the number of annual hotel rooms available in Calgary to 5.3 million.

To better support those visiting the area, Tourism Calgary mobilized a team of visitor information specialists throughout the city to offer itinerary planning and experience suggestions to visitors and Calgarians. The team counselled a record 13,000 people and made over 48,000 industry referrals between May and August. In September, Tourism Calgary received an AMMY Award from the Government of Alberta in recognition of visitor service excellence.

In 2016, over seven million travellers visited Calgary, contributing $1.6 billion in spending to the local economy.

To learn more about Tourism Calgary, please see visitcalgary.com.

PHOTO SOURCE: TOURISM CALGARY

BUSINESSINCALGARY.COM // BUSINESS IN CALGARY // NOVEMBER 2017

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The Inc.

MORE SPACE FOR EVEN BIGGER IDEAS

BY ANDREA MENDIZABAL

A

newly-expanded space in Calgary’s northwest is helping entrepreneurs go from inspiration to market.

The Inc., located in the Alastair Ross Technology Centre, is a community helping entrepreneurs develop their brightest ideas into viable businesses by providing startups with space to work and grow through mentorship, support and programming.

“The Inc. provides us with an environment that encourages creative thinking, networking and collaboration with the advisers and other entrepreneurs working within this unique space,” says Erica Hughes, president and founder of CareFind.

supports and encourages the growth of ideas by including access to experienced advisers and programming to help move businesses forward.

Hughes and a team of peers joined The Inc. as part of the 2017 Summer Incubator Program with the University of Calgary’s Hunter Centre for Entrepreneurship and Innovation.

“We have extended our membership with Innovate Calgary’s The Inc. where we’ll continue to receive mentorship and guidance to initiate CareFind’s pilot project with parents and daycares,” says Hughes.

CareFind is a service that connects preoccupied parents with unpredictable schedules to real-time vacancy spots in nearby childcare facilities for full-, part-time and immediate requests.

CareFind is now working with the University of Calgary’s iProgramming for Creative Minds where they will collaborate with a team of computer science students to build a beta version of CareFind’s app.

By having all licensed and regulated facilities housed under the same network, highlighting availabilities, CareFind aims to alleviate the stress and time parents normally take when looking for emergency or permanent childcare.

With more space for more startups, The Inc. provides a critical mass of innovative thinkers and valuable connections within a larger community of mentors and other entrepreneurs.

“Access to The Inc. advisers allowed for weekly meetings and teachings that supported the growth of CareFind through their mentorship and guidance,” says Hughes.

“The program instructors advised us how to actively test the market through strategic customer interviews, and we discovered new challenges and pain points that our potential customers faced.”

Powered by Innovate Calgary, The Inc. not only provides open desks and private office space to work, but also

Membership is on a pay-as-you-go model, complete with 24-7 access, meeting rooms, mail and reception services, wireless Internet, a business centre, one-on-one mentorship and a selection of Innovate Calgary programs such as Startup Primer, Discover and Validate.

To learn more about CareFind, visit carefind.ca or connect with them on Twitter @CareFindYYC. To learn more about The Inc. and how it can help move your startup forward, visit innovatecalgary.com/the-inc.

ABOVE: ERICA HUGHES (RIGHT) AND KATHY BUI (LEFT), MEMBERS OF THE INC., ARE DEVELOPING CAREFIND, A SERVICE THAT CONNECTS PARENTS TO REALTIME CHILDCARE VACANCIES. PHOTO SOURCE: CAREFIND

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NOVEMBER 2017 // BUSINESS IN CALGARY // BUSINESSINCALGARY.COM

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MARKETING MATTERS // DAVID PARKER

Marketing Matters

BY DAVID PARKER

A

t last month’s annual Thanksgiving party, Freshwater Creative was able to show off its new digs in the historic Burns Building, decorated to reflect the personality of the creative team – right down to the Astroturf flooring.

They also heard that partner Barry Chugg will be taking it a little easier come year-end and Jennifer Devine will take over as managing partner while Neil Devine continues as partner/ creative director.

Chugg says Freshwater has enjoyed a remarkably successful year, keeping its staff of 15 busy serving a growing list of clients primarily in the fields of video and digital communications.

Long-standing clients include Brookfield Residential, Jugo Juice, Good Earth, AMA and the Calgary Foundation while Creative is happy to have added more recently Pembina Pipeline, the University of Calgary and the Calgary Chamber (including designing and producing a new Chamber website).

Mosaic Communications has been engaged to work with a progressive cannabis company. President Melodie Creegan says Brighton is an innovative and experienced team led by Kiley Greddie whose life was dramatically altered when a car accident left him a quadriplegic.

After years of pain, his doctor finally prescribed medical marijuana and he found relief.

Brighton was founded to help others discover the benefits of medical marijuana and today it has a 66-acre property and production facility outside the town of Camrose.

And Creegan is pleased to report that Kelly Sembinelli, who left Mosaic for a short time to seek greener pastures, is back on the team, now serving as vice president of projects and operations.

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Jeff Bradshaw at V Strategies has expanded his operations with the addition of V Learning.

It is specializing in blended visual learning, a new approach that uses a mix of visual storytelling tools to connect on an emotional level with an audience. Bradshaw says, “Trainees are bombarded with thousands of images a day and it’s made their attention span shorter than that of a goldfish.”

Different to a typical e-learning company, V Learning, led by Eric Atkinson, develops customized visual training solutions to hold attention and help retain information.

Ximena Gonzalez came to Calgary armed with a degree in architecture from Mexico and went on to earn her master of architecture at the University of Calgary. But she doesn’t want to practice the profession but rather help established architects, interior designers and landscape architects to promote their own firms.

Converge Communications has been launched by Gonzalez to raise the profile of local companies.

Venture has been working with Lisa Lisson, president of FedEx Canada and a powerful and inspirational advocate of women’s advancement, to launch her new book, Resilience: Navigating Life, Loss, and the Road to Success.

Parker’s Pick One of Canada’s foremost PR experts David Eisenstadt of TCGPR for his U of C Alumni Achievement Award.

Manufacturing drives Alberta’s economy.

Helping you succeed drives us.

ATB has a dedicated manufacturing team that’s ready to help you take your business wherever you want it to go.

www.atb.com/manufacturing

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