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Roundtable: Who’s Missing from the Diversity Dialogue?

What Difference Does

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SEPTEMBER 2016

COVER STORY

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What Difference Does Leadership Make?

Working with Valley Leadership and with input from Valley notables in varied industry sectors and representing diverse social and business perspectives, In Business Magazine explores leadership across the boundaries of individual business, industry, greater business community and our overall community. FEATURE

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Just a Minute? Make the Most of It

Author and healthcare consultant Jackie Gaines offers 15 quick tips to help stressed-out professionals better manage their time. DEPARTMENTS

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Guest Editor

Neil G. Giuliano, president and CEO of Greater Phoenix Leadership, introduces the “Leadership” issue.

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Feedback

Debbie Esparza, Christy McClendon and Terri WoganCalderón, all Valley Leadership alumni, respond to In Business Magazine’s burning business question of the month.

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Briefs

“Tech Award for ASU,” “Project Management App,” “Slack Is Not for the Slacker,” “Captives Can Help Contain Costs” and “Google Duo Is Option to Video Chat”

PARTNER SECTIONS FALL 2016

ARIZONANONPROFITS.ORG

Shark Tanks and Cat Drawings The Alliance of Arizona Nonprofits is an action-oriented group of partners across Arizona — both nonprofits and those in the community who support them — dedicated to uniting, strengthening and advancing Arizona’s nonprofit sector. The Alliance envisions an Arizona where all nonprofits are valued, empowered and thriving.

CONTENTS p. 2

Why Nonprofit Boards Should Prioritize Generational Diversity

p. 3

On the Board and In The Spotlight

p. 4

Nonprofits and Elections Are Intertwined

p. 5

The Nonprofit/For-Profit Connection: Treasures 4 Teachers and CopperPoint

p. 6

Overtime Overview: New Rules Take Effect this December UNITE! For a Stronger Nonprofit Sector

p. 7

Working with Nonprofits: Tell us about a successful business/

A favorite pastime at our house is watching the popular television show “Shark Tank,” where real-life entrepreneurs have the opportunity to receive investments from billionaire investors, called “The Sharks.” At first our two boys, aged 12 and 13, were bored to tears and begged us to switch back to their adored anime cartoons. However, over time, they started getting into the show and would even shout advice to the entrepreneurs on what deals to take. This, of course, warmed my heart as a long-time supporter of small business and entrepreneurs. Anyone who watches the show knows, though, that the deals that are made are often more about the data than the dazzle. Case in point: On a recent show, I watched Mark Cuban make a deal with a man who made cat drawings for customers, and his pitch included an extremely dorky (but nonetheless catchy) dance and song. $25,000 for a 40-percent share … in a cat drawing business? Why in the world would this investment make sense? It came down to two data points: the profit margin and the ability to scale. On every show you can sense the moment when Mr. Wonderful (Kevin O’Leary) is about to ask the question every entrepreneur dreads, “So what?” You have a great product or service, and you are doing great things for your communities and your customers, but why would a billionaire investor want to invest their money with you? It comes down to the data: the ROI, the profit margin, the ability to scale, the potential demand, and the list goes on. As a nonprofit leader, development director, board member, or volunteer, how would we get the “sharks” of our communities to bite on an investment opportunity in our mission? Do you have the data to make your case on how you are positively impacting your community? We can no longer rely simply on the fact that we are doing “good” and that investing in us is the right thing to do. We must make the strong case for investment in our causes by businesses, funders, individuals and philanthropists. The good news? We have already done some of the work for you. This was one of the critical reasons the Alliance joined forces with several community partners and sponsors to publish the Arizona Nonprofits: Economic Power, Positive Impact report earlier this year. Check out the report (www.aznonprofitimpact.org). Allow the Alliance to help you make your case as we continue to find new ways to constantly position the nonprofit sector as a powerful, trusted and invaluable contributor to our Arizona communities.

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Thank you,

nonprofit relationship you’ve been involved in.

p. 8

Arizona Nonprofits: Economic Power, Positive Impact

Kristen Merrifield, CAE Chief Executive Officer Alliance of Arizona Nonprofits

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Alliance of Arizona Nonprofits

About Us The Mission of the Arizona Small Business Association is to be THE statewide resource for small business. Business owners join ASBA for the convenience and efficiency of our products and services, to engage and advocate for public policy that ignites small business growth, and to foster a positive economic direction for Arizona powered by entrepreneurism. By bringing thousands of small businesses together, ASBA has created greater value for all members and is proof positive that our mission of supporting small businesses through an active and connected community is working. Join ASBA. Be amAZed®

3 4 5 6 7

Stop Being Boring Hearing Loss

By the Numbers

By Elizabeth F. Collura , Attorney with Clark Hill’s Litigation Practice Group

The newest, hottest game, Pokémon Go, was downloaded more than 7.5 million times on iOS and Android phones in less than a week after its release. The free-to-download

Healthcare

“Is Back Health Worth the Cost of a New Chair?” “Bone Health” and “Healthcare Programs Recognized”

14

Pokémon Go Reminds Businesses to Protect Confidentiality, Trade Secret and Privileges

Technology

game is bringing in $1.6 million in daily revenue in Apple’s iOS store alone, based on in-app purchases. This augmented reality game is currently on the fast track to overtake social media

“Tech for Film” and “What Employers Need to Know about the ‘Dark Web’”

apps in terms of amount of active users. In the early days of the game’s release, the game’s original standard terms and conditions gave the developer (Niantic) unfettered access to Google Drive. The access made device owners’ confidential information vulnerable. The original standard terms granted Niantic read and write permissions for documents stored on the user’s Google Drive, as well as access to Gmail and contact lists. The permissions also authorized Niantic to sell the information obtained through the accounts. Niantic has since rewritten the terms and conditions to grant only limited access to users’ Google account information, and Google is working on

In This Issue

12

Study shows integrated customer data ecosystems are key to creating a more valued contextual experience.

UNITING, STRENGTHENING, AND ADVANCING ARIZONA’S NONPROFIT SECTOR.

implementing the limitations. Even if this specific issue is resolved, the potential to broadly reach confidential information through an exciting game offering should remind businesses of the importance of reviewing internal confidentiality protocols and protecting confidential information. Businesses must be vigilant to protect confidential information, especially those businesses allowing employees to “BYO” electronic devices for work purposes or who allow employees to use work-issued devices for personal reasons. Broad permissions, such as those in the

in the workplace Management Development: The Power of Manager as Leader

16

Legal

Local attorney explains the impact of the EPA’s newly expanded authority to regulate chemicals — even on companies not in the chemical business.

25

Books

New releases give fresh insights on business thinking.

26

Nonprofit

Board members who know how to spin an engaging story — or stories — on their nonprofit’s behalf attract emotionally engaged donors.

30

Assets

2017 Camaro ZL1 PLUS: New machines and brands populate the market of what was once a simple can of coffee at the office.

32

Power Lunch

La Bocca Valley-wide PLUS: The Camelback corridor is home to some of the best dining establishments in the Valley.

50

Roundtable

Why is the white male, who holds most CEO and C-level positions, left out of the diversity and inclusion discussion? ON THE AGENDA

27

Spotlight

‘Overtime Rule’ Webinar — McMinn HR SOCENT (Social Entrepreneur) Summit — Local First Arizona and SUSTAINWE

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Southern Arizona 3444 N. Country Club Rd. Suite 118 Tucson, AZ 85716 p. 520.327.0222 © 2016 ASBA. A publication of the Arizona Small Business Association. For more information or to join ASBA, please contact us at www.asba.com. Section designed by the Arizona Small Business Association.

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Calendar

Business events throughout the Valley

Valley Leadership has graduated 37 classes from its Valley Leadership Institute program, and approximately 80 percent of those leaders still reside in Arizona.


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September 2016

Read conference calls in real time.

In Business Magazine is a collaboration of many business organizations and entities throughout the metropolitan Phoenix area and Arizona. Our mission is to inform and energize business in this community by communicating content that will build business and enrich the economic picture for all of us vested in commerce.

PARTNER ORGANIZATIONS Kristen Merrifield, CEO Alliance of Arizona Nonprofits (602) 279-2966 www.arizonanonprofits.org Jack Lunsford, Interim CEO Arizona Small Business Association Central Office (602) 306-4000 Southern Arizona (520) 327-0222 www.asba.com Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 www.aztechcouncil.org

Now, Deaf and hard of hearing participants can be actively involved in multi-party calls. Relay Conference Captioning (RCC) is free to Arizonans, streaming live text to any Internet-connected computer, tablet or mobile device worldwide.

Doug Bruhnke, Founder & President Global Chamber® (480) 595-5000 www.globalchamber.org

LEARN MORE ABOUT RELAY CONFERENCE CAPTIONING AT ARIZONARCC.COM

Phaedra Earhart, President NAWBO Phoenix Metro Chapter (480) 289-5768 www.nawbophx.org

Agency: LAVIDGE • Job: 16-AZRELAY-0031 • Client: AZ Relay • Contact: tfritz@lavidge.com Publication: In Business Magazine • Size: 4.875” x 4.875” • 4color FENNEMORE CRAIG.COM

LAW THAT LEADS

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COVERS MORE GROUND

REAL ESTATE ATTORNEYS AT FENNEMORE CRAIG are a part of one of the largest Real Estate practice groups in the Mountain West, which encompasses all aspects of real estate, from acquisition and finance, through development, leasing and sale. Our attorneys have significant experience in: • Commercial, Retail & Industrial Projects • Commercial Property Leasing • Health Care Real Estate • Production Home Builders • Joint Ventures & Syndications

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Property Tax Real Estate Finance Real Estate & Lease Litigation Workouts & Restructurings Land Use Planning & Zoning Master-Planned Communities

Mary Ann Miller, President & CEO Tempe Chamber of Commerce (480) 967-7891 www.tempechamber.org Our Partner Organizations are vested business organizations focused on building and improving business in the Valley or throughout Arizona. As Partners, each will receive three insert publications each year to showcase all that they are doing for business and businesspeople within our community. We encourage you to join these and other organizations to better your business opportunities. The members of these and other Associate Partner Organizations receive a subscription to In Business Magazine each month. For more information on becoming an Associate Partner, please contact our publisher at info@inbusinessmag.com.

ASSOCIATE PARTNERS Ahwatukee Foothills Chamber of Commerce ahwatukeechamber.com Arizona Chamber of Commerce & Industry azchamber.com Arizona Hispanic Chamber of Commerce azhcc.com The Black Chamber of Arizona phoenixblackchamber.com Chandler Chamber of Commerce chandlerchamber.com Economic Club of Phoenix econclubphx.org Glendale Chamber of Commerce glendaleazchamber.org Greater Phoenix Chamber of Commerce phoenixchamber.com Greater Phoenix Gay & Lesbian Chamber of Commerce gpglcc.org

For more information about Fennemore Craig, visit FennemoreCraig.com or contact Joe Chandler, Real Estate Practice Group Chair, at 602.916.5403 or jchandler@fclaw.com.

Mesa Chamber of Commerce mesachamber.org North Phoenix Chamber of Commerce northphoenixchamber.com Peoria Chamber of Commerce peoriachamber.com Phoenix Metro Chamber of Commerce phoenixmetrochamber.com Scottsdale Area Chamber of Commerce scottsdalechamber.com Surprise Regional Chamber of Commerce surpriseregionalchamber.com WESTMARC westmarc.org

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September 2016

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VOL. 7, NO. 9

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Art Director Benjamin Little

Contributing Writers Mike Ferguson

Jackie Gaines Jan Halpin Mike Hunter Julie Iacobelli Stephen A. Owens Karl Volkman Michael Welp, Ph.D. ADVERTISING

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Accounting Manager Todd Juhl Corporate Offices 4455 E. Camelback Road Building C, Suite 135 Phoenix, AZ 85018 T: (480) 588-9505 F: (480) 584-3751 info@inmediacompany.com www.inmediacompany.com Vol. 7, No. 9. In Business Magazine is published 12 times per year by InMedia Company. POSTMASTER: Send address changes to InMedia Company, 4455 E. Camelback Road, Building C, Suite 135, Phoenix, AZ 85018. To subscribe to In Business Magazine, please send check or money order for one-year subscription of $24.95 to InMedia Company, 4455 E. Camelback Road, Building C, Suite 135, Phoenix, AZ 85018 or visit inbusinessmag.com. We appreciate your editorial submissions, news and photos for review by our editorial staff. You June send to editor@inbusinessmag.com or mail to the address above. All letters sent to In Business Magazine will be treated as unconditionally assigned for publication, copyright purposes and use in any publication, website or brochure. InMedia accepts no responsibility for unsolicited manuscripts, photographs or other artwork. Submissions will not be returned unless accompanied by a self-addressed, stamped envelope. InMedia Company, LLC reserves the right to refuse certain advertising and is not liable for advertisers’ claims and/or errors. The opinions expressed herein are exclusively those of the writers and do not necessarily reflect the position of InMedia. InMedia Company considers its sources reliable and verifies as much data as possible, although reporting inaccuracies can occur; consequently, readers using this information do so at their own risk. Each business opportunity and/or investment inherently contains certain risks, and it is suggested that the prospective investors consult their attorney and/ or financial professional. © 2016 InMedia Company, LLC. All rights reserved. No part of this magazine June be reproduced or transmitted in any form or by any means without written permission by the publisher.

INBUSINESSMAG.COM


NEIL G. GIULIANO, GREATER PHOENIX LEADERSHIP

In the Lead of Leadership

Neil Giuliano is president and CEO of Greater Phoenix Leadership, which, for 40 years, has been the forum for corporate leadership to collaborate with the government, education and philanthropy sectors to create and sustain a safe, healthy and prosperous community. Serving 1994–2004, Giuliano was the youngest person ever elected mayor of Tempe and the first directly elected, openly gay mayor in the Unites States. Between then and now, Giuliano distinguished himself as CEO of San Francisco AIDS Foundation (2010–2015) and as president of the Gay & Lesbian Alliance Against Defamation (2005–2009). Giuliano is the author of The Campaign Within: A Mayor’s Private Journey to Public Leadership and has received numerous awards and honors for his work in public policy and community activism.

Every four years, our nation is embroiled in a debate about — essentially — leadership: Who will lead? How? And to what end? This is leadership at its most visible, and it is generally agreed that leadership at such a level has deep and far-reaching impact. Yet, in its own context, your leadership has a similarly impactful scope. I define a leader as one who influences people to accomplish a purpose. Simple, yes, but think about it: At the core, leadership is about serving others, articulating a desired outcome, and coalescing and aligning the work of other people to make things happen. You do it every day, and as we see at all levels of society, it matters. That’s why we need more and more people to accept leadership roles in the community. Because of the impact on the broader community that businesspeople can bring about — sometimes unwittingly through leadership decisions simply within their own companies — In Business Magazine is holding a magnifying lens to the topic. In Business Magazine editor RaeAnne Marsh reached out to Valley notables in varied industry sectors and representing diverse social and business perspectives to explore the intertwining of impact across the boundaries of individual business, industry, greater business community and our overall community. Marketing’s use of digital technologies and customer engagement channels is the focus of this issue’s By the Numbers, with survey results that point out gaps which affect the customer experience. Benefits to businesses implementing captive insurance strategies is the focus of another article. Business leaders whose responsibilities stretch them in many directions at once may find options they can implement in how they manage their time in the feature “Just a Minute? Make the Most of It.” And the Roundtable article makes a case for including an often purposely excluded participant in diversity discussions. It is my pleasure to help In Business Magazine bring you this September issue, with informative and relevant articles on the many subjects that matter to business and working with Valley Leadership, Arizona’s premier leadership development organization. I hope you will put this information to good use; I hope you will choose to lead. Sincerely,

Neil G. Giuliano President and CEO Greater Phoenix Leadership

Greater Phoenix Leadership, founded in 1975, is a business leadership organization focused on civicimprovement initiatives for the state. Members — who, collectively, represent 105 top companies with more than 250,000 employees — work together to move forward initiatives, public policy and projects to strengthen the future of Arizona in six main areas: education, transportation, crime prevention, community enhancement/vision, military facilities and state finance. In the later 1970s, members of GPL and the Phoenix 40 became the founding force of Valley Leadership when they recognized the need to create a pipeline to engage a younger generation of leaders.

CONNECT WITH US: Story Ideas/PR: editor@ inbusinessmag.com

Lead On The Valley is home to many strong and effective leadership programs

nonprofit causes as well as his current position at Greater Phoenix

and organizations. From leader groups to CEO clubs, the business

Leadership, he embodies success and is the ideal example of the

community here takes leadership and the development of leaders

type of leader the Valley develops.

very seriously. We have seen great effect through Valley Leadership,

Our cover story on leadership in this issue with the help of

Scottsdale Leadership, Greater Phoenix Leadership and more.

Valley Leadership provides further evidence of that correlation

Nurturing and providing an environment for this business resource is a

between success and impact in leadership. A thank you also to

true economic development asset that we are leveraging well.

Christy Moore for partnering with us for this leadership story and a

We thank Neil Giuliano for leading this issue of In Business Magazine. With his many years in government and working with

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

strong partnership with In Business Magazine at large. — Rick McCartney, Publisher

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

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VALLEY LEADERSHIP ALUMNI SOUND OFF

of a nonprofit working with many local business leaders as members of its Q: Asboarda leader of directors, what leadership skills and values do you find most valuable?

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

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

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DEBBIE ESPARZA

CHRISTY McCLENDON

Senior Associate Girl Scouts – Arizona Cactus-Pine Council Sector: Nonprofit

President and CEO New Pathways for Youth Sector: Nonprofit

There are several leadership skills and values that are present in mutually beneficial relationships between leaders, whether they are nonprofit leaders or business leaders. The first one that comes to mind is an ability to “hold the whole picture” in partnership with each other. This creates space for both parties to innovate, learn and celebrate together. This partnership is also what makes the experience fun. Next, organizations can benefit when their leaders have an awareness that accomplishment sometimes comes in the small steps or even detours along the way. Tied to this awareness is the value of embracing the qualitative measures of outcomes in addition to the quantitative measures. Sometimes the real measure of success is in telling the story of how the game was played, not just the ending score. Lastly, while we all have fiscal responsibility for the organization, it is important to affirm that innovation takes time and resources. Leaders see that these investments and decisions are not driven by short-term results, but by consistent investment in the longterm community benefit.

Developing strong, useful leadership skills in our staff and in our youth is something I take to heart. These skills come into play on a daily basis whether you’re CEO of a nonprofit or an at-risk youth enrolled in one of our programs, tackling life’s challenges and innovating solutions that work for your life and can adapt to changes along the way. Leadership is as much about being proactive as it is about stepping back, listening and observing and taking the time to make the best decision in a given situation, and pursuing the most important outcomes. And it’s critical that every leader craft a vision for the short- and long-term success of their organization. Some key skills for effective leadership include integrity; intentionality and focus on outcomes; investing in people; sharing empathy; and providing space for safe, productive interaction. And most important for a leader, you must follow through on your commitments to those who rely on you and look up to you. As a leader, you’re always making an impression on someone, whether you realize it or not.

Girl Scouts-Arizona Cactus-Pine Council girlscoutsaz.org

Christy McClendon serves as president and CEO of New Pathways for Youth, a local Phoenix organization transforming young, at-risk lives through mentoring and life skill development. McClendon has a strong reputation leading organizations and developing accredited, collaborative programs. She is an experienced fundraiser, demonstrating keen business sense for diversifying funding sources leading annual as well as capital campaigns.

Debbie Esparza has enjoyed success in many fields, including banking, consulting, entrepreneurship, academia and nonprofit executive leadership. She blends all of this expertise in her career as a professional Girl Scout. Arriving at Arizona Cactus-Pine Council by way of Girl Scouts in Long Beach and San Diego, she helps to hold the vision of serving more girls and serving girls more.

New Pathways for Youth npfy.org

TERRI WOGANCALDERÓN Executive Director and Partner Social Venture Partners Arizona Sector: Nonprofit At Social Venture Partners Arizona, our partners are business and community leaders who serve our organization as a melting pot of idea generators and drivers of social change. Given that our board members and volunteers make up 80 percent of our workforce, we thrive on those leaders who take action. We love innovation and new ideas, but it rocks when a board member says, “Here is an idea and here is what I will do to make it happen.” I still remember fondly a board chair who called and asked, “What can I take off your plate today?” The three leadership actions I’m most appreciative of include being accessible and responding to emails, engaging their networks on our behalf, and continuing to learn about our organization and our community. And, because we’re all in this together, those actions allow us to drive critical change in our vibrant community. I am so grateful for our partners’ time, energy, skills, connections and resources they give as volunteers. Social Venture Partners Arizona svpaz.org Passionate about improving the nonprofit sector and public education in Arizona, Terri Wogan-Calderón has served as executive director for Social Venture Partners Arizona for more than 10 years. SVPAZ is an organization comprised of more than 100 business and community leaders as partners who invest their money, time and talent in schools and nonprofit organizations to strengthen those organizations’ capacity and sustainability.

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


QUICK AND TO THE POINT

BYTES

by Mike Hunter

Tech Award for ASU The New Media Innovation and Entrepreneurship Lab at Arizona State University’s Walter Cronkite School of Journalism and Mass Communication recently won the National Association of Broadcasters Education Foundation’s Excellence in Innovative Technology Award, which honors students who are driving innovation in the media industry. The lab offers Cronkite students the opportunity to design and create cutting-edge media, such as mobile apps, news games and interactive websites. The NABEF recognized Cronkite students for their Cronkite News VR and Cronkite Border VR apps, which utilize virtual

Captives Can Help Contain Costs Business risk is on the rise — from the danger of a cyber-attack to the potential failure of a crucial supplier halfway around the globe. In response, companies are increasingly creating their own insurance companies to mitigate those risks. A “captive insurer” is a company that provides coverage solely to the firm or group of firms that sets it up. Captives have long been popular with big business. About 90 percent of Fortune 1000 companies use them. But they are proving attractive to small and mid-sized businesses, too. All told, there are more than 3,000 captive insurers in the United States. Consider a company paying $250,000 per year in premiums to protect against property damage. If annual claims average $175,000, the company is effectively losing $75,000 each year. Now suppose that company pays the same premium for comparable coverage to a captive. Instead of $75,000 ending up on someone else’s bottom line, the captive retains that money and can, for instance, save it to pay out future claims.

Companies with captives can also save money by analyzing their claims data to identify strategies for reducing future expenses. Take workers’ compensation. Looking at a firm’s history of job-related injuries may help managers figure out how to make the workplace safer — and reduce the costs associated with such injuries. Captives are also adept at filling coverage gaps. Conventional business interruption insurance, for instance, covers lost income due to poor weather or power outages. A business interruption policy issued by a captive can cover additional contingencies — say, a manufacturer’s top supplier going off-line. Captives can also protect against less traditional risks, like flood damage, that conventional insurers won’t cover at all — or only with an expensive rider. For many companies, doing insurance themselves can be a real money-saver. —Mike Ferguson, president and CEO of the Self-Insurance Institute of America, Inc. (www.siia.org).

reality and 360-degree video documentary storytelling to give people a sense of life on the border. Students will receive the award during the NAB Show NY Conference in November in New York. cronkite.asu.edu

Project Management App Trello is a new app that can help manage any given project. Whether it’s managing a team, writing an epic screenplay or just making a grocery list, Trello helps the user get things done and stay organized. Trello provides the user a perspective over all of his or her projects, at work and at home. trello.com

Slack Is Not for the Slacker Slack is designed to make team communication easy. The collaboration tool in this app allows users to interface and communicate on projects, share files, drop files in the cloud and more. By setting up integration directly within Slack, rather than switching between other apps, all data is searchable in one central archive. slack.com

VISUALIZE

Google Duo Is Option to Video Chat Get close with the new app through high-quality video calling on iOS and Android. With simple one-tap calling, Google Duo makes it easy to check in from anywhere on cell or Wi-Fi. Preview incoming calls before answering with Knock-Knock, which reads the user’s

According to the National Association of Insurance Commissioners, the concept of captive insurance has been around for centuries although the term dates back only to the 1950s, when it was coined by Ohio propertyengineer-turned-insurance-broker Frederic M. Reiss. naic.org/cipr_newsletter_archive/vol2_captive.htm

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Photo courtesy of

contacts and gives an alert as to who is calling. duo.google.com


BY MIKE HUNTER

METRICS & MEASUREMENTS

Operational Data Gaps Compromise Customer Experience

Integrated customer data ecosystems are key to creating a more valued contextual experience

SURVEY INSIGHTS • Data, while limited in scope, is also in limited use: Thinking of the totality of data that is being collected across the organization, 24 percent of respondents estimate that only 25 to 50 percent of their data is being leveraged in real time for actionable customer insights. • Personalization in context is at a standstill: Only 4 percent are powering every interaction in every channel with rich, real-time, personalized experiences. Some 23 percent say that they are not only failing to deliver, but they are also a long way from success.

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While digital marketing technologies and engagement channels multiply, many marketers remain concerned that they are still not delivering what customers want most: a seamless, frictionless and individualized buying and problemsolving experience. According to new research from the Chief Marketing Officer Council and SAP Hybris, more than a third of marketers (39 percent) believe their technology investments have met expectations in some select areas, such as measurement and customer interaction. But they appear to be falling short when it comes to connecting content, commerce, conversation and campaigns with back-end operational realities, supply chain logistics and organizational capabilities that will ultimately impact customer experience. Entitled “Context, Commerce and Customer: Best Practices to Exceed Expectations,” the study highlights an extremely limited effort to align and integrate marketing and commerce technologies, but data sourcing and unification is limited to frontline or field marketing groups only. Just over half of respondents (55 percent) are working on systems to extend marketing’s view of the customer to include insights from all impact and interaction points in the customer journey. Regrettably, 17 percent are not convinced this fully integrated, live data ecosystem view via dashboards is possible in their organizations. “With the advancement of marketing technologies and tools in recent years, marketers have benefitted from greater transparency into the measurement of traditional marketing practices,” states Liz Miller, senior vice president of marketing for the CMO Council. “The new challenge will be to extend the processes and platforms that power the customer experience beyond the comfortable walls of marketing. This will be the point at which customer experience stops being a marketing campaign and becomes a focus of a business and a true competitive advantage.” Key to this experience evolution will be a shift in organizational thinking around data and the intelligence it delivers. According to executive respondents, the majority of data being collected and utilized by marketing and commerce teams is typically extracted from marketing or sales channels. Among the top sources of data and intelligence are contactlevel data (81 percent), campaign data (69 percent), CRM system data (68 percent), billing/payment data (50 percent) and sales data (49 percent). What seems to be needed is more effective sharing and use of data and intelligence. But marketers admit that some data critical to understanding the customer’s entire journey and engagement with a brand is trapped in organizational silos and harder to aggregate and reach. Among those areas of customer intelligence that need to be better harnessed and also represent those sources least accessed today are real-time (machine learning) predictive analytics (8 percent), commerce

data (11 percent), psychographic data (12 percent), HR insights (13 percent) and predictive (batch-based) analytics (16 percent). Jamie Anderson, senior vice president and chief marketing officer at SAP, Hybris points out that, for marketers to change their pools of information from a marketing to a customer focus “demands that the entire organization — from HR to operations and the supply chain — be connected and aligned around a live view of the customer as an individual … a view that takes the past, present and future state of that individual into context in real-time.” Top Attributes of the Customer Experience Attribute and percentage of respondents who identify it as important Fast response times to issues, needs or complaints

75%

Consistency of experience across channels

56%

Knowledgeable staff ready to assist whenever/wherever the customer needs

52%

A person to speak with, regardless of time or location

36%

Relevant communications, promotions, recommendations and products

36%

Top Points of Impact by Marketing & Commerce Technology Solutions Attribute and percentage of respondents who identify it as important Increased measurability and trackability of programs and campaigns

42%

Increased engagements across the customer journey

41%

Automated processes and campaigns for fast deployment

25%

Connected the engagement dots

25%

Accelerated the rate of engagement at lowered cost

25%

Top Constraints to Total Data Utilization Attribute and percentage of respondents who identify it as important Data is trapped in organizational silos

21%

The problem isn’t data — it’s getting the organization on board

20%

Too much data to manage effectively

20%

Data is messy

12%

Adopting an organization-wide data and analytics strategy

9%

Top Impacts of Listening Initiatives Attribute and percentage of respondents who identify it as important Guided decisions around content, channels and engagements

44%

Deepened relationships by creating new conversations with customers

42%

Improved results and return on marketing campaigns

32%

Helped the entire organization better understand the customer

30%

Created new products, services or solutions to meet customer needs

28%

The study is based on insights from a survey of 170 global marketing leaders, fielded in the first half of 2016. Of the respondents, 47 percent hold a title of Chief Marketing Officer, Head of Marketing or Senior Vice President of Marketing or Commerce, with 27 percent overseeing complex global marketing teams of more than 100 people. Some 39 percent of respondents hail from large enterprises with more than $1 billion in revenue, with 42 percent hailing from business-to-business organizations, 21 percent from business-to-consumer companies and 37 percent from hybrid organizations (businessto-business-to-consumer model). cmocouncil.org/r/context-commerce-customer-report

The CMO Council study “Context, Commerce and Customer: Best Practices to Exceed Expectations” reports that “it is the largest enterprises who are farthest away from reaching contextual marketing engagements as 68 percent of large enterprise executives say they are not yet delivering, with 31 percent admitting they are a long way away from success.” cmocouncil.org/r/context-commerce-customer-report


YOUR BENEFIT IN BUSINESS

Is Back Health Worth the Cost of a New Chair?

Business leaders in all industries are coming to appreciate something that employees have long recognized: that their environment matters. It’s increasingly apparent that the health and well-being of staff has a substantial impact on the bottom line and that investments in the shortrun can pay dividends in the long-run. In 2014, on-the-job injury and illness resulted in 1.15 million people missing work. Among those individuals, the average number of days missed per person was nine. That’s nearly two weeks of missed productivity. What’s more, a large portion of these problems stemmed from preventable musculoskeletal issues, including lifting, and the trend isn’t confined to construction or other physically demanding jobs — many came from the retail sector and other office jobs. Understanding biomechanics (a study of mechanical movement of a human body), ergonomics (the efficiency of a workplace), and the importance of maintaining a healthy spine can be complicated. But the impact of a healthy work environment isn’t complicated. The spine’s natural curve is designed to provide both stability and flexibility. When standing, the head should align with the pelvis, but in today’s screen-centric society, most people have developed a lean-forward habit that puts unnecessary strain on the back and neck. For example, if a computer screen sits below the natural line of sight, the head will tilt forward, creating stress in the neck muscles as they work to keep the head from falling forward. For office workers who are spending upward of 40 hours per week at the computer, this can create myriad problems. More importantly, sitting is not a natural position for our spine. Staying seated for long periods can lead to hip, lower back and neck problems that distract workers from their tasks and too often result in serious issues that require regular physical therapy or even more serious medical interventions. In an ideal situation, a chair with proper back support, an adjustable desk, appropriate risers for computer equipment, and phone headsets would allow team members to shift regularly between sitting and standing, while maintaining a healthy neck posture and knee and elbow joints at a 90-degree angle. Lifting is also a major cause of workplace injury. Offices should be equipped with carts and other wheeled apparatus so that employees aren’t carrying weight for long distances. And loads should be divided into appropriate sizes to minimize risk associated with heavier burdens. Many industries are already well aware of proper lifting techniques since it’s a part of the daily routine. Unfortunately, workers in many other areas go untrained and unaided, which puts them at greater risk for injury. Whether it’s new protocols for lifting, supportive desk chairs or wrist guards, an increased focus on workplace safety — particularly to the ergonomics of individuals’ environments — can boost output by maintaining employee well-being, and will also bolster their affinity to the company. Not bad for the price of a new desk chair. —Igor Yusupov, M.D., founder of Arizona Brain and Spine Center (www.azbsc.com), a neurosurgery practice specializing in minimally invasive techniques.

WELL WELL WELL

by Mike Hunter

Bone Health The CORE Institute, part of the Excellence Headquarters® network, recently launched its first Bone Health Program in Arizona at its North Phoenix clinic. This program will focus on prevention, diagnosis and treatment of metabolic bone diseases, particularly osteoporosis, with emphasis on patient care, research and teaching. The CORE Institute’s Bone Health Program includes specialized nurse practitioners or physician assistants, physicians, physical therapists and researchers working together to offer the resources needed for comprehensive care. The program engages the Physical Therapy Department for exercise, strengthening, and home/environmental safety to increase strength and balance to prevent future falls and fractures. They collaborate with other physician specialists, radiologists, and nutritionists while keeping the primary care physician informed of the bone health plan of care. The program follows national standards of practice identified by the American Orthopaedic Association’s Own the Bone, National Osteoporosis Foundation, and the National Quality Forum. thecoreinstitute.com

Healthcare Programs Recognized Cigna selected City of Scottsdale, SmartPractice and Tucson Airport Authority as winners of the third annual Cigna Well-Being Award for demonstrating a strong commitment to improving the health and wellness of its employees through workplace wellness programs. Says Edward Kim, president and general manager for Cigna in Arizona, “Workplace wellness is becoming an industry-wide priority and many employers have experienced a reduction in healthcare costs as a result of health and wellness initiatives.” City of Scottsdale’s Live Life Well Program is a comprehensive program that is based on five pillars, which include health promotion, physical activity, safety, finance and well community. Phoenix-based medical supply company SmartPractice has offered a wellness program for employees for more than 25 years and has an onsite wellness clinic, pharmacy and gym for employees. “All of our efforts put forth in our wellness program drive our success in recruitment and retention, productivity levels, absenteeism, goal achievement and employee development,” says Michelle Shaw, director of Human Resources for SmartPractice. “We strive for a total wellness concept throughout the entire employment cycle, and have long-tenured employees who are proof of success.” cigna.com

According to the Centers for Disease Control and Prevention, U.S. employers lose more than $225 billion each year in productivity due to employee health problems.

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INNOVATIONS FOR BUSINESS

TECH NOTES

by RaeAnne Marsh

Tech for Film

Sneaky Big Studios Opened last month in North Scottsdale and encompassing more than 15,000 square feet, Sneaky Big Studios is one of the largest, most technologically advanced production facilities in the Southwest. “We can cut records, make movies, shoot television shows, make commercials and even produce live events from anywhere in the country,” says Bob Parsons of the enterprise that is part of his YAM Worldwide family of businesses. The facility’s 4,000-square-foot main stage boasts a 40x73foot cyclorama wall, top-of-the-line virtual reality systems and 4K capabilities. Also housed in the facility is a 500-square-foot stage and recording studio. Additional features include a production control room optimized with state-of-the-art audio and video equipment, five editing suites and a color correction suite fully stocked with the most advanced equipment and software on the market. sneakybig.com

What Employers Need to Know about the ‘Dark Web’ Have you heard of the “Dark Web”? While you might not consider yourself a “techie” person, it is crucial to keep abreast of what employees might be doing on their work computers. And this includes accessing the Dark Web. It might sound like a mythical creation from a sci-fi movie, but it is actually an easily accessible portion of the Internet that is untraceable and often used for criminal purposes. Since it is untraceable, it can be used by employees to access the Internet without their employer’s knowledge. The Dark Web was created with funding from the U.S. government itself. Simply put, the Dark Web is a way a user can “surf the Web” without revealing his physical location. With regular Internet searches, the user’s IP address is visible and he is limited to the pages he can find on Google or other search engines. But that is a very tiny percentage of what is actually on the Internet (about 0.3 percent, according to recent estimates). There is a wealth of other websites that exist, and they can be accessed only from the Dark Web. Sadly, many of these websites can be used for purposes such as selling drugs or posting illicit videos like child pornography or other gruesome videos. In fact, it was recently announced that Dark Web drug sales have tripled in the past three years. Employers have recently become concerned about employees using the Dark Web to surf the Web on company time, especially as many of these websites are criminal. While it is not illegal to go on the Dark Web, many of the things to be found there are illegal. And it is not so easy to prevent a person going on the Dark Web. All he has to do is download Tor and he can easily “go dark.” Even if businesses block Tor on the company PCs, a person can simply use a USB that is pre-loaded with Tor.

SO WHAT SHOULD EMPLOYERS AND MANAGERS DO?

Entertainment Partners The new technology office opened last month in Tempe by Entertainment Partners, the leading global end-to-end provider of payroll and production management services for all aspects of the entertainment industry, represents a turning point for the company as it pursues a technology-driven mission to modernize back office production in television and film. Greater Phoenix’s rapidly growing technology sector and large, skilled workforce were major draws for EP, as were the region’s high quality of life and close proximity to major West Coast markets. Says Mark Goldstein, president and CEO of the Burbank, California-based company, “When we found ourselves in need of a location to house a new team, we wondered where we could find top technology talent, favorable operating costs, and an affordable lifestyle and vibrant culture. The Greater Phoenix area proved to have all of this and more, so we are very excited to bring Hollywood to Tempe.” ep.com

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First, companies must have a simple “acceptable use” policy with stated consequences, along with yearly re-doctrinization of the policy and follow-through for violators. Secondly, Internet firewalls can be configured to help curb downloads and functioning of Tor on the Internet. This is a simple way to keep anyone from sneaking onto the Dark Web. Finally, workstations can be locked down so that nothing can be installed, including from a USB device (a common way for people to covertly access the Dark Web). However, while it is true that running or copying files from a USB port can be disabled, most professional positions need that capability — so taking this step might result in employees being unable to perform necessary tasks. So a good acceptable-use policy is the best step, along with using a lock-down at the firewall for Tor activity. Employers worried that an employee might be accessing the Dark Web can capture this information with an Internet gateway device that records all connections and ports used. From the workstation side, there is typically little for the average tech person to find. Catching a person ‘”red-handed” would be best, but with a more sophisticated Internet gateway the company can record all Internet usage by workstation, Internet endpoint, and port. (And simply making employees aware of this will help prevent any inappropriate Internet use, as they will know their steps are being traced.) It’s important to reiterate policy on a regular basis — educate the staff and enforce consequences when rules are broken. Something new always comes up, but acceptable-use policies, a strong IT team, and a watchful eye can deter many of those interested in peeking into the Dark Web. —Karl Volkman, CTO of SRV Network, Inc. (www.srvnetwork.com), which has been delivering innovative technology solutions to clients in a number of industry verticals since 1996.

Like much of the Internet, Tor was developed as part of government intelligence work. The letters are an acronym for the name of the original software project — “The Onion Router.”


LAW MATTERS TO BUSINESS

Congress Gives EPA More Authority to Regulate Chemicals New requirements will affect even companies not in the chemical business by Steve Owens

Steve Owens is a Principal with Squire Patton Boggs (US) LLP, based in the firm’s Phoenix and Washington, D.C., offices, and focuses his practice on environmental, safety and health issues. Owens previously served as EPA Assistant Administrator in charge of the agency’s Office of Chemical Safety & Pollution Prevention, which oversees EPA’s TSCA program. squirepattonboggs.com

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In June, President Obama signed into law the Frank R. Lautenberg Chemical Safety for the 21st Century Act, landmark legislation modernizing the decades-old Toxic Substances Control Act (TSCA), the little-known but very important federal law that regulates chemicals in the United States. Approved by large bipartisan majorities in Congress, the Lautenberg Act addresses some of the major shortcomings of TSCA that had been identified by EPA, consumers, environmentalists, states and the chemical industry itself over the 40 years since TSCA’s passage in 1976. When TSCA was enacted, it “grandfathered” in, without any evaluation, more than 62,000 chemicals that were in commerce in this country at that time. Since then, few of those chemicals have been evaluated for their potential health and environmental impacts, despite improvements in science and technology. Moreover, TSCA did not even require EPA to make safety determinations about chemicals, and it put the burden on EPA to demonstrate that a chemical is unsafe before the agency could take action on it. The law also made it so difficult for EPA to require chemicals to be tested that EPA has been able to require health and environmental testing on fewer than 300 of the nearly 85,000 chemicals on the TSCA Inventory (EPA’s national list of chemicals in commerce). Further, the old TSCA made it virtually impossible for EPA to take action on a chemical, even if it presented an unreasonable risk to health or the environment. As a result, EPA has been able to significantly limit or ban only five chemicals in 40 years. EPA has not even attempted to do so in more than 25 years, since a federal court overturned EPA’s rule banning most uses of asbestos in 1991. The Lautenberg Act has changed all that. Among many things, the new law requires EPA to determine whether chemicals are safe (that is, whether they present an “unreasonable risk of injury to health or the environment under the conditions of use”). It gives EPA authority to issue orders requiring testing of chemicals, instead of having to go through a difficult and time-consuming rulemaking process. And it makes it easier for EPA to restrict — or ban — chemicals by eliminating the language in TSCA that was the basis for the 1991 court decision overturning EPA’s asbestos rule. Given EPA’s significant new authority, even companies not in the chemical business need to understand the law’s potential impact on them and pay close attention to EPA’s actions to interpret and implement the new law. EPA already has begun work on several major rulemakings that must be completed within the next year, as well a number of policies, procedures and guidance documents that must be completed in two years. EPA also will soon begin to prioritize chemicals for review, collect data on chemicals and initiate risk evaluations on them.

While, ultimately, the law will mean fewer chemicals in the marketplace that present health or environmental risks, it also will present challenges for any company that manufactures, imports, processes, distributes and/or uses chemicals — or products that contain chemicals. Because the Lautenberg Act defines a chemical’s “conditions of use” very broadly, EPA will be considering the full range of pathways through which humans and the environment could be exposed to and affected by a chemical. This likely will result in greater restrictions on the uses of some chemicals (in order to reduce exposures), as well as outright prohibitions on others. Companies will need to adjust their business practices — and the products they make or use — to comply with these new requirements, and in some cases find alternatives to the chemicals and products they now manufacture, import, process, use or distribute. Additionally, because EPA now has greater ability to require testing on chemicals, more companies will have to provide more data on their chemicals. And, because the new law limits confidential business information (CBI) claims, more information about chemicals and their potential effects will become publicly available. Finally, companies will have to notify EPA by December 2017 of the chemicals they have manufactured, imported or processed during the last 10 years. If EPA does not receive this notice about a chemical, it will be deemed “inactive,” and no company will be able to continue making or importing the chemical — or using it in products they make — without further notifying EPA. Consequently, companies need to start thinking now about the chemicals they make or import or use in their products, to be sure they are not caught flat-footed when the December 2017 deadline arrives.

Under the recently passed Frank R. Lautenberg Chemical Safety for the 21st Century Act, companies will have to notify the Environmental Protection Agency by December 2017 of all chemicals they have manufactured, imported or processed in the United States during the last 10 years.


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What Difference Does

Leadership


Make?

Engaged Valley leaders impact across the boundaries of business and community by RaeAnne Marsh

“What difference does leadership make” may sound like a rhetorical question, but there’s value in understanding how our community continues to advance and improve opportunities for residents and businesses. To go beyond simply wanting something to making it happen requires purposeful decision making and a broad view of the impact. Working with Valley Leadership, which our Guest Editor Neil Giuliano describes as Arizona’s premier leadership development organization, In Business Magazine explores the dynamics of leadership that is shaping our community by speaking with a few alumni of the Valley Leadership Institute program.


“The biggest thing I learned about leadership from my Valley Leadership program was that there isn’t one monolithic leadership style that has to be utilized in order to be successful,” shares Nicole Stanton, office managing partner of Quarles & Brady LLP. “The leaders we met came from a myriad of backgrounds and had very divergent styles. They shared one thing in common, though — they were servant leaders, be it in business, government or the community in general.” They all came in with different viewpoints, too, which is what Tom Egan, president and CEO of Foundation for Senior Living, recalls as something he found most surprising. “When you’re taking a large group of people and mixing in people from the business sector and nonprofit and then government — we’ve all had a variety of experience that got us to where we are, and the way those leaders think about their business is all different. None are better or worse than the others, but when you put us together and you start thinking about, collectively, the lessons we can learn from each other — I found it was really surprising.” Viewpoints aren’t, of course, the only points of difference. “The work that our Valley Leadership class did with emergenetics (personality profiling) made me a better leader in that it helped me better understand that not everyone brings the same strengths to a team, but that all of those strengths are valuable to completing a project,” says Stanton, noting that her firm does a great deal of work in teams. “Moreover, even if you don’t naturally demonstrate a particular strength, it doesn’t mean that you can’t adapt to compensate for that.” Hans Klose, owner of Endeavor Holdings LLC, relates, “What was a bit of a surprise to me in terms of what I took from my Valley Leadership program, and what I learned from experience following the program, was how much of leadership has to come from the heart.” In fact, he observes,

“Programs can teach us about matters to be dealt with, and they can give us advice on how proceed with those dealings, but unless there is a sincere personal desire and vision, the best any program can do is to teach a person how to command.” What attracted him to Valley Leadership was its commitment to expose individuals to issues facing the metropolitan Phoenix area. “I’m an enrolled member of the Salt River Pima-Maricopa Indian Community, and I grew up on the Gila River and Salt River reservations. However, I appreciated the modern position of the Native American communities within the larger Phoenix community, and I was eager to learn more about subjects with which I was not intimately familiar.” Learning about the community becomes a starting point because, as John DeWulf, shareholder with Coppersmith Brockelman, observes, “Leadership comes in all forms — and sometimes it is most effective when it comes in response to an urgent need.”

Impacting Community

Relating that she went into the Valley Leadership Institute program at a time when she was very focused on being an accomplished and valued leader within the organization where she was employed, National Bank of Arizona vice chairman Deborah Bateman says, “Valley Leadership opened my heart and my mind with the opportunities to lead within our community .... and allowed me to understand that leadership was not something I turned on when I went to work, it was who I was. And, because I possessed the ability to lead, I could bring value to not just my business, but my industry and my community.” With heightened awareness of the value giving back to the community, learning more about the issues, helping others to have access to information

VALLEY LEADERSHIP GRADS LEAD TO CHANGE THE COMMUNITY

Impact Is a Two-Way Street Deborah Bateman

By becoming a leader in our community, I actually created value for my organization, and over

Vice Chairman

the years my organization appreciated my engagement in the community so much that they

Director of Premier

sponsored me in all my community activities. My visibility and commitment to the community

Wealth Management National Bank of Arizona nbarizona.com Valley Leadership Institute class 16

then also attracted individuals to me, who then wanted to also be part of the products and services that my organization offered. Each fed the other. As this year’s chairman of the Phoenix Suns Charities, which grants in excess of $1 million each year to not-for-profits throughout Arizona, I have found that my impact as a leader in our community coupled with my professional leadership position and my knowledge of our community and its issues and opportunities provide a solid foundation to lead and create value.

Building on a Shared Vision

Outside of my day job, I am also actively involved in STEM literacy, especially with pre-college students and their parents. Since my VLI experience concluded, I have spoken with Valley Teen

Tyrone Benson, Ph.D.

Leadership participants and thousands of underserved high school students from Tolleson to

Quality and Reliability

Mesa about STEM and how STEM will impact their lives and livelihood.

Research and Development Engineer

Additionally, I have helped found initiatives like Start with STEM, the Dreamality Conference, and Real Engagement through Active Philanthropy (REAP) to support career readiness in other

Intel Corporation

ways. Start with STEM was founded by a small team of Intel employees to persuade parents and

intel.com

students to take another look at STEM as a career option and as a way to change the world. The

Valley Leadership

Dreamality Conference is a career exposition and planning conference for high school students

Institute class 32

in my hometown of Alexander City, Ala. REAP is a male giving circle that is part of the Black Philanthropy Initiative at the Arizona Community Foundation, with career readiness one of its main focus areas. Each of these initiatives started with a shared vision and has grown because others have bought into and been inspired by what we can accomplish together.

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SEPT. 2016

INBUSINESSMAG.COM


and opportunities, and the value of connections, Bateman has served on more than 30 not-for-profit boards, and chaired countless fundraising luncheons, galas, and other events since completing the Valley Leadership program. “My community involvement is a way of life for me now,” she says, crediting VL with having “empowered me to fully live my life and leverage my professional standing to support and help our community.” Indeed, actions at the individual and community level can intersect. And Stanton explains that they should. “The best business leaders do not operate in isolation from their community at large. As a business leader, it is critical to invest time in the community, to give back, and to create a connectedness for your organization. Not only is this the right thing to do as a leader, but the benefits to your organization will return to you ten-fold.” But it takes more than a willingness to go beyond one’s own business or even industry. Citing her profession as example, Stanton says, “As lawyers, we often get comfortable circulating within the legal community and don’t spend enough time in the non-legal world. The Valley Leadership experience provides such an excellent opportunity to learn about the needs in the community — particularly with nonprofits — that the legal industry may be able to help with. “Most recently, on behalf of Quarles & Brady, I signed the UNITY Pledge from One Community in support of fully inclusive non-discrimination policies

in the workplace, housing and public accommodations for all Arizonans, including gay and transgender people. When I signed the pledge, Quarles & Brady became the first large law firm in Arizona to do so because it was the right thing to do — a charge we and I wanted to lead. Not only was signing on to the pledge the right thing to do, it is consistent with the position of many of our clients who had already signed the pledge, demonstrating our shared commitment to diversity in the Valley.” And Tyler Butler, CEO of 11Eleven Consulting LLC, describes with pride the project her group brought to fruition as part of their VL training, ensuring that youth who would otherwise lack access to arts programming have the opportunity to learn and grow through a mobile program. “Art4All lives on today and continues to help countless kids through introductions to the arts,” she says, noting, “The most impactful component of how VL impacts the overall community can be seen through the “pay it forward” projects that groups create in order to improve our community.“

Understanding Issues: Awareness and Connectedness

Part of Valley Leadership’s legacy is due to the type of participant it attracts: individuals who are interested in learning about their community and how they could step up and serve. But another element is purposely

VALLEY LEADERSHIP GRADS LEAD TO CHANGE THE COMMUNITY

For the Collective Good

The knowledge I gained through VL allowed me to navigate the Valley on another level, enabling me to launch my own consulting firm. Through my affiliation with VL, I was able to

Tyler Butler

connect with other corporate responsibility professionals. We have shared best practices,

CEO

contacts, innovative program ideas and created a community of allies. Working together, we

11Eleven Consulting LLC

have all experienced greater success at each of our businesses because of the open sharing and

11elevenconsulting.com

opportunity to learn from one another. Through VL, I deepened my knowledge regarding ways

Valley Leadership

to approach corporate citizenship, such as employing the power of engaging stakeholders from

Institute class 35

all parts of the business - from the CEO and C suite to the sales teams and facilities managers in order to craft a well-rounded outreach program that represents the totality of the org. I have utilized my leadership training to aid countless nonprofits and to expand corporate philanthropy efforts for several socially conscientious companies. I helped launch a new program through AWEE called SheLEADS, a program that helps professionals — selected through a competitive application — to develop business plans and professional skills, and expand their networks. By developing strong leaders locally, we are facilitating economic growth and supporting entrepreneurs as well.

Collaboration Moves the Needle John DeWulf

On the community level, I have helped groups that have supported the arts, urban renewal and

Shareholder

at-risk youth. I have also served in leadership roles, including now with Social Venture Partners

Coppersmith Brockelman

Arizona, where I oversee the Education Affinity Committee. I continue to reach out to members

cblawyers.com

of Class X and utilize what I learned at Valley Leadership.

Valley Leadership Institute class 10

For the last few years, I have headed up SVPAZ’s efforts to help public education in Phoenix. In that role, I have used collaboration and networking skills that Valley Leadership helped develop to involve other organizations and individuals, including Valley Leadership members, to help. During the program, you learn how collaboration can move a city, organization or charitable effort forward. As a business litigator with Coppersmith Brockelman, I see my main job as helping others solve problems. I continue to use connections I made and knowledge I gained at Valley Leadership to creatively do that. For instance, diversity is an important component of each program. Operating in a diverse team enables you to better see issues from different viewpoints. That’s a critical skill set in the legal world.

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added to the mix. Noting that those individuals come from a cross-section of professions, including business, government and nonprofit, Christy Moore, Valley Leadership President and CEO, explains, “We select our class to ensure each of the professional sectors is well-represented in our flagship program — Valley Leadership Institute.” Moore explains that VL’s founders built the organization to ensure the Valley would have a strong pipeline of leaders by offering multigenerational leadership programs for youth, high-potential and proven leaders. Key to that, since Day 1, is to make sure the proven leaders in the Institute program understand the complex issues Arizona is faced with. True understanding requires a broad perspective, and DeWulf shares, “Valley Leadership familiarized me with the Valley’s important government, for-profit and nonprofit organizations. I met and communicated with their leadership, and learned what their goals were and how they executed on those goals. I also refined my ability to productively work with others, as the team approach to supporting community causes expanded my comfort zone in many respects — yet in an effective and creative way. This informed my approach as to how to effectuate change in the community and provided me a network of contacts to help.” To that last point, Tyrone Benson, Ph.D., quality and reliability research and development engineer with Intel Corporation, states, “The networking was priceless.” During the class, he met other people who shared his interest in education and STEM, and he says, “We have continued to work together on education issues. I have called on them to speak to students about what they do, and I have returned the favor by attending STEMcentric events and efforts they are driving. I have also continued to work with class members in the public and nonprofit sectors as well by providing financial and non-financial assistance.”

He adds, “What I have realized is that having a broad and deep network helps me to connect people to resources when they need it. It is through these connections that work — big and small — gets done.” But coming together on a shared goal does not necessarily happen naturally. Nor even easily. Says Egan, “If you just surround yourself with people who think just like you, you never see the other ideas. When you start mixing in age diversity, gender, culture, et cetera, you look at the world through a different lens. By putting us together, it makes the team stronger, decisions stronger. “Initially, you may think you would never be friends with that type of individual, because you never crossed paths with them,” Egan continues. “But by putting people into a long-term program where you really get to know people on a deep level, you can certainly see the world through different people’s eyes. What we do got stripped away; there was opportunity to have dialogue to find common ground.” As DeWulf puts it, “We are all connected — in ways that are not always apparent at first.” In this respect, the diversity of the leadership class also has an impact, which Paul Johnson describes of his experience as “huge!” Johnson, CEO of Redirect Health and former mayor of Phoenix, says, “I had the opportunity to network with incredibly smart and talented people across a huge span of industries. More importantly, I learned how to build relationships, how to make an impact on any group (even in my 20s), and how to nurture and direct my desire to make a lasting and tangible difference in my community.” The youngest member to participate in the group to-date, he says, “It provided an invaluable understanding of issues facing the Valley, which intensified my desire to help determine the direction of our community. I ran for City Council a year later.”

VALLEY LEADERSHIP GRADS LEAD TO CHANGE THE COMMUNITY

You Can’t Do It Alone

I learned how Phoenix works — things you have your eyes opened to that you don’t know exist, amazing things that people in our community are doing. Water is a case in point. People might

Tom Egan

take the attitude of “Oh, we live in a desert” and assume we have no leadership to contribute

President and CEO

in water issues. But I learned we are really good at managing our water — better than a lot of

Foundation for

cities that get a lot more rainfall than we do.

Senior Living

Phoenix is a really big small town. By meeting people from other industries — in nonprofit

fsl.org

and business and government community — the town gets a lot smaller. It’s amazing to me how

Valley Leadership

many people I’ve met because of the new friends and colleagues I developed through Valley

Institute class 35

Leadership. When you’re an adult (post-college), when do you have the opportunity to meet 40 or 50 new, driven leaders in a community, other than by participating in a program like this? It makes me a better leader, run a better organization, and be a better community steward.

Impacting an Industry

The best entrepreneurs identify a problem and build a solution to fix it. Understanding the issues of the community led me to focus on one of the biggest problems facing business owners

Paul Johnson

today: healthcare. My work with Valley Leadership helped me to understand that, given the

CEO

nature of the problem, we must disrupt the entire industry or we cannot address the real needs

Redirect Health

of employers and employees who need affordable, effective healthcare.

redirecthealth.com Valley Leadership Institute class 6

There is a real problem in the healthcare industry, and it has having a devastating effect on business owners. Today, healthcare makes up 17.5 percent of our nation’s gross domestic product, and some economists forecast it will reach 23 percent within a decade. Under no circumstances is this sustainable. Right now — for a very short window of time — we can use the free market and the innovation it cultivates to disrupt the healthcare industry. Now is the time to reduce costs dramatically and increase services — to disrupt hospitals, insurance companies and big pharma through the same type of innovation that has allowed companies like Uber to disrupt transportation.

INBUSINESSMAG.COM

SEPT. 2016

22


Understanding Leadership

Recalling a lot of personality testing, Egan says one stands out to him still to this day. “For one exercise, they put us in a group of people who think just like us. And it’s really easy to get to an answer and come to consensus. And then they put us in a mixed-up group. It’s harder to get things done but the end product is more thought-out and thorough.” The lesson he took to heart: “Someone who may be very visionary but not good at the detail needs the detail person to help that vision come to life — or it’s just a nice idea that never gets off the ground.” “We learned a lot of leadership imperatives,” Benson says, “but one of my biggest ‘ah-ha’ moments came when discussing how to motivate teams to accomplish big objectives. One of our course books was Credibility: How Leaders Gain and Lose It, Why People Demand It by Kouzes and Posner, and one of the most impactful take-aways from that book is ‘threat, power, position, and money do not earn commitment; they earn compliance. And compliance produces adequacy, not greatness. Only high credibility earns intense commitment.’ This idea of why leaders need and how we get commitment really impressed upon me the importance of maintaining credibility and creating a shared vision with my team. This idea transformed the way I look at engaging teams. “Another leadership imperative we learned during VLI was the importance of being authentic and bringing our whole selves to the task.

This opened the door for me to figure out a way to use the new leadership skill with other skills, like Design Thinking, that I have learned as an engineer. Design Thinking is a human-centered approach to problem solving that seeks to delight the customer.” Design Thinking is now, in fact, being incorporated into the VLI program through a new strategic partnership with ASU, according to Moore. “This year, ASU will be facilitating design theory thinking for three of the nine program dates: infrastructure, education, healthcare. What that means for the class members is, we are turning to them to come up with creative solutions for Arizona’s most complex issues.” This is part of another new approach VL is implementing: continuing the Institute as a program for proven leaders, and launching Valley Leadership Advance as a program for high-potential leaders. “We are creating separate classroom experiences for high-potential leaders and proven leaders so we can better hone the curriculum for those audiences,” Moore explains. Continuing the mission of VL’s founders to be a pipeline for leadership and to make sure our top talent stays here, Moore says, “We really believe that we’re part of the ‘brain gain’ solution and that we’re able to keep top talent here because they truly understand their community and how it works, and become civically engaged and more invested in making Arizona their home.” Valley Leadership valleyleadership.org

VALLEY LEADERSHIP GRADS LEAD TO CHANGE THE COMMUNITY

Vision and Perspective

One of the departments under my oversight was the Salt River Pima-Maricopa Indian Community’s Economic Development Department. My family, and specifically my mother, helped

Hans Klose

pioneer many of the concepts of commercial leasing that are now somewhat common on Native

Owner

American lands. I had that knowledge, but given the location of the Salt River Community in the

Endeavor Holdings LLC

Phoenix area and the booming real estate situation of the 1990s and 2000s, I was faced with a

cikpan.com

nearly overwhelming situation of developers proposing every type of concept for a wide variety

Valley Leadership

of land sizes and locations. My acquired perspective and connections from Valley Leadership

Institute class 22

helped me discern groups and proposals that may be more realistic and capable. Naturally, I also had to take the needs and desires of the Indian landowners and the greater tribal community into serious consideration. I had some natural instincts, but I have to say that some concepts I learned from Valley Leadership, like servant leadership, really resonated with me and aided me in my internal deliberations. Ultimately, during my tenure as community development director, more than 500 acres of land were placed under long-term lease. I have continued to play a role in addressing the changing economics and concepts related to Native American lands in Salt River, throughout Arizona, and even nationally in my participation on the Indian Land Tenure Foundation Board of Directors.

More Leadership … More Leaders Nicole Stanton

There’s no doubt that I have relied on my experience in Valley Leadership in my role as

Office Managing Partner

managing partner at Quarles & Brady. On a personal level, drawing upon my experience in Valley

Quarles & Brady LLP

Leadership has made me more aware of my blind spots as a leader and to surround myself with a

quarles.com

support network, mentors and advisors who can help me minimize those blind spots.

Valley Leadership Institute class 29

The experience further solidified my belief that every person should be involved in their community in some way. Leading Quarles’ Phoenix office, it has been a goal of mine to make sure that our lawyers are each involved in the community in some way — big or small. It makes us better lawyers; it makes us a stronger firm. Part of leadership is being able to mentor more leaders, not followers. Certainly, a Valley Leadership graduate could not leave their year-long program without having a reinforced commitment to cultivating leadership wherever it can be found and in whatever form it can be found.

INBUSINESSMAG.COM

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SMART SUCCESS

Just a Minute? Make the Most of It Jackie Gaines, M.S., R.N., author of Wait a Hot Minute! How to Manage Your Life with the Minutes You Have, is a senior executive with Studer Group, which works with healthcare organizations in the United States, Canada, Australia and beyond to help them achieve and sustain exceptional improvement in clinical outcomes and financial results. Gaines has more than 38 years of sustained leadership and accomplishments with major health systems and organizations, and has dedicated most of her career to the advancement of quality healthcare programs throughout the United States, particularly those focused on the care of the poor and underserved. Gaines lectures all over the country and has received numerous awards along the way. Other books she has written are Believing You Can Fly; The Yellow Suit: A Guide for Women in Leadership; and Destination Infinity: Reflections and Career Lessons from a Road Warrior. studergroup.com

SEPT. 2 0 16

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Fifteen quick tips to help stressed-out professionals better manage their time by Jackie Gaines

Ask any working professional what they could use more of, and you’ll probably keep getting the same answer: time. In the frantic pace of the digital age, time is something everyone seems to be short on now. (It’s almost laughable that we once thought technology would help create more leisure time!) But if people could figure out how to make the most of their waking moments, they could be far more productive and happy regardless of their time constraints. Success at work and in life often comes down to one thing: developing better time management skills. Our minutes have become hot since time is so scarce these days, and we toss them away without a second thought. The truth is, we are always going to have obligations, deadlines and responsibilities, but if you learn how to handle your hot minutes, you can work with the clock instead of against it. The following are tips to help you make the most of your time (no matter how little you have!) and achieve a healthier and happier work-life balance. Prioritize sleep so you can function when you’re awake. If you do nothing else, prioritize your sleep needs. You will be more productive and feel more ambitious when you get the rest your body requires. I suggest scheduling sleep like any other daily activity on your to-do list. Pencil in a stopping point in your day and stick to it without fail. Then wind down with a book or another relaxing bedtime ritual to help you drift off to sleep. Establish what the “workday” means to you and the people you work with. As an employer, it may be your practice to call or email employees after hours; conversely, you may be at the receiving end from other stakeholders. Whether to be offduty on nights and weekends should be the individual’s choice — although at the leadership level not always feasible — and parties should respectfully address “workday” limits upfront so everyone is clear on the boundaries.

Don’t stay on your email all day. Constantly checking your inbox is distracting and slows you down. Designate a few times in your workday to check email so you remain in control of your schedule and aren’t being reactive to new messages as they appear. Choose human connection over technology. Though technology has improved our lives, it comes with its own set of problems. Emails and texts are convenient, but they create room for confusion and miscommunication. Whenever possible, talk in person in order to get your message across clearly. Learn to say no and mean it. It’s OK to turn down invitations, cancel plans or disconnect from the outside world every now and then. Saying no is a skill that will benefit you throughout life, so allow yourself to politely start bowing out of unnecessary commitments right now. Set achievable goals each day. Even the most thoughtfully constructed to-do list will be useless if it is too ambitious. What’s the point of writing down unachievable tasks? We’re not superheroes and shouldn’t try to be. Make your daily goals small enough that you can actually get them done. Remember that you can always do more if you have the time. Give multitasking the axe. Multitasking is ineffective and counterproductive. People work best when they give focused attention to the task at hand. So aim to work on only one project at a time and give yourself permission to forget about other priorities until you are done. Listen up! Active listening consists of being present and engaged when communicating with another person, but it’s not as easy as it sounds. It’s very common to forget to listen after you speak your thoughts in a conversation, and you often lose important information as a result. When you are talking with a co-worker, manager, employee or anyone else, be sure

Debunking the popularly asserted benefits of multi-tasking, research consistently shows it to be time-wasting and counter-productive. apa.org/research/action/multitask.aspx cnn.com/2015/04/09/health/your-brain-multitasking


BETTERING YOUR BUSINESS you turn off that pesky inner monologue and focus when it is the other person’s turn to speak. Don’t be a sheep. While maintaining the status quo is often a good thing (especially at work), there may come a time when it is advisable to stop following the herd and innovate in the name of productivity. This is true at every level of the workforce, whether employer or employee: If you can envision a way to work smarter and better, you may just create new best practices for your place of work that will save time and increase quality. Stop shuffling papers. Most of us waste a lot of time shuffling papers from one pile to another. Chances are, your desk is full of paper you don’t know what to do with. Stop this maddening cycle by touching each sheet of paper just once and figure out the appropriate action. Either put it in a to-do pile so you can deal with it immediately, a file (for documents you must keep), or the trash. This keeps the papers moving and keeps you sane! Step away from the Internet. Surfing the Web is a huge time waster for most people. An innocent little break often turns into an hour (or more) of wasted time that you can’t get back — especially when you should be working or headed to bed to get some rest. I advise shutting off access to the Internet at a certain time each day to avoid getting lost in cyberspace. I also recommend breaks from recreational Internet use — about a month — to focus on other aspects of your life that may need attention. If the withdrawal too great, at least start with a week and work your way up to a month. The point is to reconnect on a human to human level with all our senses in play and not just our fingers and our minds. Non-verbal connections are powerful. Have some fun along the way. It’s important to remember that stressed-out people aren’t all that productive. You have to relax and schedule “recharge time” into your life to avoid burnout — especially if you have an intense work environment. Be sure to build in time for fun on the weekends and on some evenings, but try to make work fun, too. If appropriate at your office, find ways to infuse a little lighthearted play into your workday. Practice breathing and mindfulness. Imagine how productive you could be if you could focus, calm all anxious thoughts, and truly be present. You can find out by practicing mindfulness. Breathing is a tool for achieving a relaxed, clear state of mind. There are multiple methods for achieving this state, including tai chi, meditation, yoga or simple breathing exercises. Find one that resonates for you and practice it daily. Stop owning other people’s stuff. How often do you hear yourself saying, “Never mind, I’ll do it myself”? Probably more often than you’d like, and this habit takes up your precious minutes in no time. The solution is to hold others accountable for their responsibilities. This includes your colleagues and employees, and, yes, your children and your spouse. Let “never mind …” be the exception instead of the rule. Let go and delegate. Learn to know when to let someone else handle a task. It can be hard to relinquish control, but it is also necessary to delegate, especially if you’re in a leadership position. Remember that delegating is not admitting you can’t handle your responsibilities — not at all. Rather, it’s about maximizing the potential of your entire workforce. Remember that you have two choices when trying to manage your time. You can either let your priorities and obligations run your life, or you can take charge of your minutes and let them work for you to achieve your goals in a timely manner. While you won’t ever succeed long-term by racing the clock, you can drop your bad habits, improve ineffective practices and kick stress to the curb so that your whole life improves.

Commonsense Leadership From rallying the team to hitting it out of the park, every leader needs to understand the mental game. It’s what separates winners from survivors, and champions from second place — it’s what gives one’s team the edge, and the strength to forge ahead through adversity. This book shows how to boost performance with tips and advice gathered over 45 years of working with major corporations and world-class athletes. Whether one’s team battles on the field or in the boardroom, the mental component is a critical factor in determining outcomes — and, left neglected, can become the No. 1 driving force behind failure. Title: Commonsense Leadership: No-Nonsense Rules for Improving Your Mental Game and Increasing Your Team’s Performance Author: Jack H. Llewellyn Publisher: Wiley

Pages: 240 Available: 10/3/16

$28

High-Growth Levers Mark Faust’s strategies show how even businesses in the most dire of times still have a set of responsibilities, a path and processes they can follow that will optimize their chance of turnaround and long-term success. Leading corporate strategist Faust proves that a business can see positive growth with the application of action plans like assessing pressures and trends and defining the culture of its company. Whether one is a millennial manager, seasoned business owner or fledgling entrepreneur, this is a must-read guide that is sure to boost economic performance. Title: High-Growth Levers: How the Turnaround Mindset Propels Your Company Author: Mark Faust and Rob Vickery Publisher: Pelican Publishing Company, Inc.

Pages: 224 Available: 9/29/16

$22.95

Lead Like a Guide Discover the leadership strengths of world-class mountain guides and see how developing and applying these principles can help one reach for the highest summits in work — and in life. Maxwell teaches key leadership lessons gained from a decade spent traveling with world-class mountain guides and more than 200 top business school participants. He shares insights drawn from challenging experiences that will be inspiring and meaningful to readers. The book includes contributions from participants who tell, in their own words, how they applied lessons learned in organizations from American Express to Microsoft to a Silicon Valley startup. It provides action steps for readers drawn from current research in the fields of management and positive psychology. Title: Lead Like a Guide: How World-Class Mountain Guides Inspire Us to Be Better Leaders Author: Christopher I. Maxwell, Ph.D. Publisher: Praeger

The City of Scottsdale, whose Live Life Well program helped it earn Cigna’s Well-Being Award, reports that its recent 10-week weight loss challenge had 500 participants who lost more than 6,000 pounds, with 350 people losing more than five percent of their body weight.

Pages: 154 Available: 9/30/16

$37

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INVESTING IN COMMUNITY

Nov

UP NEXT MONTH Identifying the Best Donor Prospects

FUNDRAISING COMMUNIQUÉS: NAME DOESN’T MATTER “Case for support,” “investment prospectus,” “positioning paper,” “concept paper” … The nonprofit world has its share of communiqué nomenclature — which can be confusing. It doesn’t have to be, says Haan. “Call these vehicles what you want, but they’re all about making your case: Why care about us?” Whether five pages, 10, or 25, these communication pieces provide focus and should motivate, excite and inform multiple constituents: potential donors, management teams, volunteers and those being served. “Keep them high-level and make an emotional connection,” says Haan. “Sure, you need to answer questions about a fundraising campaign’s process, flow, timing and budget; but in your storytelling, that’s step two or three.”

Jan Halpin and Julie Iacobelli are principals with The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists. phoenixphilanthropy.com

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Storytelling as a Tool

Board members who know how to spin an engaging story — or stories — on their nonprofit’s behalf attract emotionally engaged donors by Jan Halpin and Julie Iacobelli

Good storytelling isn’t reserved simply for books and movies and campfires. “For board members uncomfortable with fundraising, stories are one of the easiest ways to share the power of the work the nonprofit does,” says Phoenix-based Andrea Beaulieu, who offers speaking, story performance, and presentation skills coaching and training. “Story sharing is less intimidating than an aggressive pitch for both the board member and the potential donor.” Moreover, stories have the power to ignite empathy, often leading to greater philanthropy. And, while not everyone’s brain is geared toward story, everyone can become a storyteller, says Beaulieu. First, an understanding of story and its components is necessary. Hollywood has long relied on the narrative pattern of The Hero’s Journey for its storytelling. In the case of nonprofits, the hero (the person, cause or animal served by the nonprofit) experiences a change that launches him into a journey. The hero then encounters further obstacles … until the mentor (the nonprofit) arrives to assist the hero as he moves through his biggest obstacle yet. Resolution occurs when the hero, now transformed with the help of the nonprofit, moves on or continues to grow. Within nonprofits, this story arc is effectively used with reallife examples of “heroes” positively impacted by the nonprofit. These success stories can be used in formal documents, including cases for support and positioning papers, as well as during one-on-one donor visits, in community presentations, online and through social media. “A lot of nonprofits forget the importance of the end user’s story, but it is the emotional connector, not ‘We’ve been around 78 years, serve 33,000 people and raised $34 million,” says Russ Haan, creative director for Phoenix-based After Hours Creative. Another story — the personal story — is a key tool for board members. “Talk about why you care, personally,” says Beaulieu of visits with donors. “Go out and watch and observe what your nonprofit does so that you have your own personal experience of how it fulfills the organization’s mission. Craft your own story.” Also, ask if all board members can share their personal “why” — Why do I care about this organization? Beaulieu offers additional storytelling tips for nonprofit boards: • Apply “The Hero’s Journey” to storytelling. “Once upon a time” isn’t always the best place to start a narrative. Some backstory — showing life is normal for the hero and introducing the activating event that changes his life (not a whole life story) — helps garner attention and empathy. • Ensure the story reflects the nonprofit’s mission and connects to the donor’s shared values and needs. “All stories should answer this simple question for donors: Why should I care?” agrees Haan.

• Tailor messages, based on audience and type of delivery. Presenting a speech? Understand, first, “Who’s in my room? How do they think? What do they need?” Business executives in that room, for instance, might appreciate statistics upfront and stories that then put those numbers into emotional context. Donors might want story first. Writing a case for support? Consider combined emotional and statistical appeals. Also, understand which stories are appropriate for your audience: success, personal, or even stories of the organization’s origin and founders? Know your audience and adapt accordingly. • Develop and study the nonprofit’s bank of stories. Encourage staff and board members to sit down together to brainstorm, “What are our key message statements? What stories have we experienced personally — or heard of throughout the organization — that support them?” Begin to build that story bank and simultaneously study existing annual report and blog stories that illustrate community impact. Use these stories. • Share donor stories during asks. Introduce the story of a like-minded, successful donor when sitting down with a prospect. Talk about how she works with the organization, the impact she was able to make with her gift, her personal reasons for giving. The truth is that stories sell. They sell products and services, and they sell donors on the importance of a cause. “It’s imperative nonprofit leadership invest in storytelling as a part of its fundraising process,” says Beaulieu. “There is such a richness to the experience when board members and staff share stories of why they care. It ultimately results in better fundraising, but it also brings so much bonding and, often, a renewal of their commitment.”

Recommended Reading: Seeing Through a Donor’s Eyes: How to Make a Persuasive Case for Everything from Your Annual Drive to Your Planned Giving Program to Your Capital Campaign, by Tom Ahern “Tell the Story, as if Your Life Depends on It,” by Susan Carey Dempsey, onPhilanthropy.com


BY MIKE HUNTER

SEPTEMBER 2016

McMinn HR

Local First Arizona and SUSTAINWE

Tues., Sept. 13 | 9:00a – 10:30a

Tues., Sept. 20 | 8:00a – 3:30p

The U.S. Labor Department recently announced overtime final regulations that will go into effect on December 1 this year. Breaking new ground and potentially impacting all for-profit and nonprofit organizations, these regulations mean that most employees earning less than $47,500 per year will be entitled to overtime compensation, regardless of whether they are currently classified as executive, administrative or professional (white-collar) workers. The final rule applies to employers in all sectors, but, in an effort to address longstanding confusion about how the Fair Labor Standards Act and the overtime regulations apply to nonprofit employers and employees, the DOL also published a special overview and guidance for nonprofit organizations. Ginny McMinn, owner of McMinn HR and a thirdgeneration entrepreneur, is presenting a free online webinar to businesses. Among the topics she will cover are what the basic requirements are of the new regulations, how they apply to organizations and their employees, and penalties for noncompliance. The webinar will also offer concrete suggestions for addressing the new regulations and steps to implement changes effectively. McMinn founded McMinn HR 28 years ago to assist organizations with compliance, employeerelated systems and problem resolution. She holds a master’s degree in Industrial Relations/Human Resources from Loyola University in Chicago, a Lifetime Certification as a Senior Professional in Human Resources (SPHR), a Certificate in Employee Relations Law and a Certificate in Mediation.   

Corporate social responsibility is the future of business in Arizona. From printing companies that are employee owned to restaurants that are striving toward zero waste, to bookstores that advocate for issues they believe in and law firms that have local purchasing commitment, there are countless ways that local businesses are solving problems in our state and are setting good examples for other business owners. The SOCENT (Social Entrepreneur) Summit will be a day to hear directly from Arizona entrepreneurs about how and why they decided to create change. The program is geared to business owners and staff and nonprofit leaders as well as entrepreneurs, investors, economic development professionals, and city employees and elected officials, with panel discussions on operations and employee engagement, supply chain impact, advocacy, environmental sustainability and marketing. “Local First Arizona sees the positive impact that Arizona businesses have been making in the state and we are excited to be able to highlight some of them at this event,” says Helene Tack, program development director of Local First Arizona. Opening keynote speaker Vincent Stanley will share the story of Arizona-based clothing company Patagonia, whose dedication to being a responsible company has led to its international success. Stanley, the company’s director of Patagonia Philosophy and coauthor of The Responsible Company, helped develop the Footprint Chronicles, the company’s interactive website that outlines the social and environmental impact of its products. Closing keynote speaker Adam Goodman, president and CEO of Goodmans Interior Structures, will share how Goodmans operates with attention to its community. Goodman has led the company to adapt to changing markets and anticipate opportunities for growth while also developing many innovative programs to give back to the community — a few of which are Office Chair Hockey, Goodmans Eye for the Good Guy and AIM to Make a Difference. As more consumers seek out companies whose impact is transparent and aligned with their values, businesses that incorporate social responsibility into their operations can increase credibility and trust in their brand, create an engaged workforce and attract employees, generate press, attract investors and funders, and stand out as role models in the community.

‘Overtime Rule’ Webinar

Free Online mcminnhr.com

SOCENT Summit

SAVE THE DATE

Upcoming and notable 2016 East Valley Business Expo Oct.

5

Wed., Oct. 5

As the largest annual event of its kind in the East Valley, the expo provides a dynamic setting for both business-to-business and business-to-consumer outreach. mesachamber.org Women of Color Luncheon Oct.

Sat., Oct. 15

15

This is a workshop for new and established women business owners, presented by the Black Chamber of Arizona. blackchamberaz.com 29th Annual ATHENA Awards Oct.

26

Wed., Oct. 26

The Greater Phoenix Chamber of Commerce honors women who make a difference in our community through excellence in business and leadership, exemplary community service and mentorship of other women. phoenixchamber.com

$60

SEPTEMBER 2016

Vintage 45

S M T W T F S

localfirstaz.com

45 W. Buchanan St., Phoenix

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

SEPTEMBER 2016 NOTABLE DATES

Mon., Sept. 5 – Labor Day Thurs., Sept. 22 – Autumnal Equinox

2 0 16 27 SEPT. INBUSINESSMAG.COM


SEPTEMBER 2016 Wed., Sept. 14 – Thurs., Sept. 15

8:30a – 4:30p

Arizona Boots2Business: Reboot Phoenix U.S. Small Business Administration Reboot is an entrepreneurial education program that provides assistance to veterans exploring self-employment opportunities by leading them through the key steps for evaluating business concepts and the foundational knowledge required for developing a business plan. Participants are also introduced to SBA resources available to help access start-up capital and additional technical assistance. All honorably discharged veterans and their spouses are eligible for the program and can register for the free two-day workshop. Free U.S. Small Business Administration Arizona District Office 2828 N. Central Ave., Phoenix

Tues., Sept. 20

boots2business.org/reboot Mon., Sept. 5

11:30a – 1:00p

Friday, Sept. 9

5:30p – 7:30p

Taste of Mesa Mesa Chamber of Commerce

7:00a – 9:00a

Taste of Mesa is monthly networking programs sponsored by and hosted at area chamber member establishments. It is an opportunity for members to get together, meet each other, exchange business cards and network.

The Lost Art of Networking

First Friday Networking Breakfast

Arizona Small Business Association

Glendale Chamber of Commerce

Networking works — if you know how to work it. At this event, attendees will network, learn, and present their business to the other attendees. Paid members: free; all others: $5

Each month, this event will showcase a featured speaker and provide an opportunity for all members in attendance to introduce their company and/or products and services. Event always closes with a great raffle.

The Social Box Neighborhood Eatery

Members: $12.50; future members: $30

Hilton Phoenix/Mesa

1371 N. Alma School Rd., Chandler

Cuff Restaurant

1011 W. Holmes Ave., Mesa

asba.com

glendaleazchamber.org

3

8

Thurs., Sept. 8

9

5819 W. Glendale Ave., Glendale

mesachamber.org

10

14 Thurs., Sept. 15

8:00a – 10:30a

Members: $15; non-members: $25

15

20

9:00a – 11:30a

Responding to Workplace Violent Situations

Growing Better Together, Phoenix

Glendale Chamber of Commerce

Alliance of Arizona Nonprofits

In an effort to protect businesses in the community, the Glendale Chamber has partnered with the Glendale Police Department to bring the first “Responding to Workplace Violent Situations.” This seminar is crucial in assisting to spread the word of importance while educating to manage dangerous situations in the workplace and to work to establish a safer Glendale community.

“The World Has Changed. Has Your Hiring System Changed With It?” For more than a century, organizations defined the “right” employee as the one who had the skills to successfully perform the duties listed in the job description. In this highly engaging, interactive, and lively session, attendees will be exposed to a new way to approach the hiring process with an emphasis on redefining the “right” employee for their organization. The session will explore predominant hiring practices and the positive impact of adopting a stakeholder-centric hiring process. Participants will learn to recognize the importance of defining who they are as an organization and what they truly need when it comes to hiring new teammates.

Free Glendale Chamber of Commerce

5800 W. Glenn Drive, Glendale

Members: $35; non-members: $55 BBB of Arizona

glendalechamberaz.org Sat., Sept. 10

Thurs., Sept. 15

5:30p – 9:30p

36th Annual Environmental Excellence Awards Arizona Forward Association

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INBUSINESSMAG.COM

arizonanonprofits.org

11:30a – 1:00p

Hot Topics & Lunch Tempe Chamber of Commerce

Members: $245; non-members: $265

Businesswomen of the year roundtable, with the chamber’s most recent Business Woman of the Year Award recipient Denise Hart joining prior recipients Jodi Polanski and Margaret Hunnicutt at this inspiring luncheon. These amazing women will have a conversation about what it takes to succeed in life and business as they share inspirational stories about their lives and experiences.

Arizona Grand Resort

Members: $30; non-members: $35

8000 S. Arizona Grand Pkwy., Phoenix

Graduate Hotel

arizonaforward.org

tempechamber.org

See environmental history unfold at Arizona Forward’s 36th Annual Environmental Excellence Awards program, held in partnership with SRP for more than a decade.

SEPT. 2 0 16

1010 E. Missouri Ave., Phoenix

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

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

225 E. Apache Blvd., Tempe


Wed., Sept. 21

Fri., Sept. 30

11:30a – 1:30p

Integrating Video Marketing into Your Marketing Strategy

WESTMARC

Arizona Technology Council and Turnaround Management Association

WESTMARC’s Oktoberfest Golf Classic provides an opportunity to golf with government and business leaders from the West Valley. This event is fun for both golfers and non-golfers, and includes a raffle and tournament prizes at the lunch reception immediately following the tournament.

At the September Council Connect signature luncheon, entrepreneurs, marketers and innovative professionals will come together for an in-depth session on integrating video marketing into their marketing strategy. MediaTHP is team of international filmmakers who believe in providing the best service and production value possible to deliver dynamic media that promotes clients’ products and services while reinforcing their business goals.

$200 Golf Club of Estrella ​11800 S. Golf Club Dr., Goodyear

Members: $35; non-members: $55 The Gladly

westmarc.org

2201 E. Camelback Rd., Phoenix Fri., Sept. 30

aztechcouncil.org Wed., Sept. 21

4:00p – 8:30p

2016 AZBio Awards Arizona Bioindustry Association The AZBio Awards Ceremony celebrates Arizona’s leading educators, innovators and companies. Members: $200; non-members: $300 Phoenix Convention Center

100 N. 3rd St., Phoenix

azbio.org

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7:00a – 5:00p

2016 Annual Golf Classic

1st Annual Bobcats Hockey Golf Tournament North Phoenix Chamber of Commerce This event supports the Valley of the Sun Hockey Association II, Inc., a 501(c) (3) charitable nonprofit organization with a mission to promote the sport of ice hockey to youth ages 5–18 in Phoenix and the surrounding communities, as well as to provide financial assistance to hockey teams playing under the club name Arizona Bobcats. $150 McCormick Ranch Golf Club

7505 E. McCormick Ranch Pkwy., Scottsdale

azbobcatsgolf.com

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Thurs., Sept. 22

8:00a – 1:00p

27 3:00p – 6:00p

Veterans at Work Valley Voices, Greater Phoenix Chamber of Commerce This is an important community conversation about supporting veterans in the workplace. The Valley is home to a multitude of military veterans. Veterans have unique skill sets and disciplined training that can translate to a stronger workforce.

29 Tues., Sept. 27

30

7:30a – 10:30a

DATOS: The State of Arizona’s Hispanic Market Arizona Hispanic Chamber of Commerce This event includes the release of the single most comprehensive report on the economic impact of Arizona’s 2.1 million Hispanics. Each attendee receives a USB drive with all AZHCC publications, a half-a-million dollar value!

$30

Members: $100; non-members: $200

Sheraton Grand Phoenix – Encanto Ballroom

Arizona Biltmore

340 N. 3rd St., Phoenix

2400 E. Missouri Ave., Phoenix

phoenixchamber.com

azhcc.com Tues., Sept. 27

Noon – 1:00p

Thurs., Sept. 29

9:00a – 5:00p

‘Ask an Expert’ – All About LinkedIn

2016 Annual Conference

Chandler Chamber of Commerce

Alliance of Arizona Nonprofits

Angelia Hill, of Client CapturePro, will speak on how to best utilize LinkedIn to grow business.

This event is a full day of professional development and networking opportunities to nonprofit professionals from across Arizona. Attendees will enjoy presentations by keynote speakers, breakout sessions, sponsor booths and lunch.

Members: free; non-members: $10 Chandler Chamber of Commerce 25 S. Arizona Pl., Chandler chandlerchamber.com

Members: $65; non-members: $95 Embassy Suites by Hilton Scottsdale 5001 N. Scottsdale Rd., Scottsdale, AZ 85250 arizonanonprofits.org

If your event is directed to helping build business in Metro Phoenix, please send us information to include it in the In Business Magazine events calendar. Full calendar online. Events@inbusinessmag.com

2 0 16 29 SEPT. INBUSINESSMAG.COM


WE VALUE WHAT WE OWN

BY MIKE HUNTER

2017 Camaro ZL1

0-60: 3.9 sec (est.) City: 14 Hwy: 19 Transmission: 10-speed auto / 6-speed manual MSRP: $61,700

Even the front Chevrolet badge has been hollowed out for maximum airflow. From the massive front grille openings to wider front fenders that accommodate the wider wheels and tires, ZL1 is designed to maintain the highest level of performance from the first lap to the last. Virtually every design decision was made with performance and aerodynamics in mind. Built on a lighter and stiffer platform than previous generations and equipped with a suite of performance technologies that includes Magnetic Ride Suspension, Performance Traction Management and electronic Limited Slip Differential, ZL1 gives a one-of-a-kind driving experience. Chevrolet chevrolet.com

Power Boosters Coffee is a standard drink in the morning or even all day in many offices. The surge of gourmet coffee over the last 10 years has brought new machines and brands to what was once a simple can of coffee at the office. Here are our picks for the best:

Press Coffee Roasters

Starbucks – French Roast

Village Coffee Roastery

This seed-to-cup concept is all about

Readily available at Starbucks stores,

As one of the oldest coffee roasteries in

quality beans and creating the perfect cup

grocery stores and even the Staples

Arizona, Village Coffee Roastery offers many

of coffee. The beans are from some of the

catalogue, this deep, dark roast is robust

varieties of coffee for the coffee lover in the

best coffee regions in South America and

with a rich flavor and brilliant aroma that

office. The chemical process by which it roasts

Ethiopia. From blends to rich espresso, there

make this an office favorite.

its beans allows for maximum flavor. The

is a coffee bean for everyone at the office.

starbucks.com

Roastery calls it an art, and for those of us

3 Valley locations

who buy its coffee, we know it to be true.

presscoffee.com

8120 N. Hayden Rd., Scottsdale villagecoffee.com

SEPT. 2 0 16

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INBUSINESSMAG.COM

Chevrolet Camaro History: The Camaro legend was born Sept. 29, 1966, when GM introduced its answer to Ford’s popular Mustang. The Camaro (and sister model Pontiac Firebird) were designed to bring the sportscar driving experience to the average driver.

Photos courtesy of Chevrolet (top), Press Coffee Roasters, Starbucks, Village Coffee Roastery (bottom, l to r)

2017 CAMARO ZL1

This known beast is back with vengeance. The Camaro ZL1 is perhaps the most impressive mainstream vehicle on the market and is equipped to impress. We mean impress. With its 650 horsepower and an LT4 6.2-liter V8 engine with intake exhaust, it is no wonder everyone on the road is jealous of this edition. This is the most powerful Camaro ever produced. But it doesn’t stop there. There are so many improvements that this 2017 edition is just, simply, something to watch for. This is the sixth-generation edition and is reinvented to include a driverfocused cockpit, performance-enhanced supercharged engine, and Recaro refinement in its racing design. The standard Recaro performance seats with suede inserts place the driver in his or her most perfect position to take on the power of this vehicle. The fully automatic convertible top can be lowered with the press of a button or on the car’s remote to open up the road for any given trip. A carbon-fiber composite hood air extractor pulls heat from the engine compartment and helps reduce lift. The front fascia provides even more airflow and features large outboard cooling ducts to push air to the brakes.


BY MIKE HUNTER

MEALS THAT MATTER

La Bocca Valley-wide HARVEST CHOP Tubetti pasta, romaine lettuce, bacon, blue cheese crumbles, green onion, grape tomatoes and dijon mustard vinaigrette $8

Known in its Tempe location for incredible Mediterranean and Italian food, La Bocca Urban Kitchen + Wine Bar added locations in Chandler and on High Street in North Phoenix in recent months. This eatery is famous for its made-fromscratch pizzas and all-fresh and high-quality ingredients that take the flavors of these regions to an authentically delicious level. The perfect spot for lunch. Offerings include light-weight starts like Warm Queen Creek Olives, antipasti plates, multiple hummus varieties and cheese plates. The Bruschetta Planks are killer and a reason to return each day of the week. There are many to choose from. The Smoked Prosciutto with fig and truffle oil is a great start. But trying the Spanish served with manchego cheese, olives and roasted peppers will make a trip to one of the three Valley locations worth it. Salads are robust and include the Grilled Peach Summer Salad with arugula, burrata cheese, candied walnuts and white onion tossed in a sherry vinaigrette.

For something heartier, try a sandwich or one of the famed pizzas. The Pesto Caprese sandwich is a delight, with housemade fresh mozzarella, basil and tomato, and smeared with the house-made pesto. The Bocca Trio pizza is a popular one and is covered in crushed San Marzano tomatoes, pepperoni, finocchiona salami and Schreiner’s “Sicilian” sausage atop mozzarella and fontina cheeses, Queen Creek olives and fresh herbs. Many more pizzas to choose from include the traditional Margherita and the Truffled Mushroom — to name a few. The atmosphere is open and inviting, with a modern-meetsOld-World charm. Booths, artifacts and exposed brick provide for an environment that only adds to the regional flavors of this hot spot. 5415 E. High St., Phoenix • (480) 840-1799 699 S. Mill Ave., Tempe • (480) 967-5244 1 E. Boston St., Chandler • (480) 584-5853 laboccapizzeria.com

Dining on the Corridor A drive down the Camelback corridor passes some of the best dining establishments in the Valley. Here are a few that we suggest returning to in the evening for a drink and dinner. Go and enjoy …

Crushed San Marzano tomatoes, pepperoni, finocchiona salami, Schreiner’s “Sicilian” sausage, mozzarella & fontina, Queen Creek olives and fresh herbs $14

The Gladly

The Henry

St. Francis

This subtle yet grandiose restaurant and

A Sam Fox original and considered his

Once a unique concept among the

bar has quickly become a Valley standard

flagship dining concept, this morning, noon

restaurants in Phoenix, this authentically

for great food and drink. The bar is central

and night establishment has become the

Downtown-Central restaurant is still a

to the entire place, and the mixologist

top hot spot in town. From specialty drinks,

strong contender with incredibly tasty food

will impress with nearly any concoction

a frequently changed menu and people-

and equally as inventive drinks. Small and

the patron can come up with. The menu

watching that is central to its attraction,

quaint, this Valley gem is keeping new and

changes frequently and is top notch.

The Henry is not to be missed. It’s best to

old foodies satisfied. Known for the roast

2201 E. Camelback Rd., Phoenix

get a reservation — this place is crowded.

chicken and focus on natural ingredients,

(602) 759-8132

4455 E. Camelback Rd., Phoenix

this farm-fresh concept is a winner.

thegladly.com

(602) 429-8020

111 E. Camelback Rd., Phoenix

foxrc.com/restaurants/the-henry

(602) 200-8111 stfrancisaz.com

SEPT. 2 0 16

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INBUSINESSMAG.COM

Pizza & Flatbreads: Modern pizza evolved from similar flatbread dishes in Naples, Italy, in the 18th or early 19th century. Prior to that time, flatbread was often topped with ingredients such as garlic, salt, lard, cheese and basil.

Photos courtesy of Hannah Leeke (top), The Gladly, Fox Restaurant Concepts, St. Francis (bottom, l to r)

BOCCA TRIO


FALL 2016

UNITING, STRENGTHENING, AND ADVANCING ARIZONA’S NONPROFIT SECTOR. ARIZONANONPROFITS.ORG

Shark Tanks and Cat Drawings The Alliance of Arizona Nonprofits is an action-oriented group of partners across Arizona — both nonprofits and those in the community who support them — dedicated to uniting, strengthening and advancing Arizona’s nonprofit sector. The Alliance envisions an Arizona where all nonprofits are valued, empowered and thriving.

CONTENTS p. 2

Why Nonprofit Boards Should Prioritize Generational Diversity

p. 3  On the Board and In The Spotlight

p. 4 Nonprofits and Elections Are Intertwined

p. 5

The Nonprofit/For-Profit Connection: Treasures 4 Teachers and CopperPoint

p. 6 Overtime Overview: New Rules Take Effect this December

 UNITE! For a Stronger Nonprofit Sector

p. 7 Working with Nonprofits: Tell us about a successful business/

A favorite pastime at our house is watching the popular television show “Shark Tank,” where real-life entrepreneurs have the opportunity to receive investments from billionaire investors, called “The Sharks.” At first our two boys, aged 12 and 13, were bored to tears and begged us to switch back to their adored anime cartoons. However, over time, they started getting into the show and would even shout advice to the entrepreneurs on what deals to take. This, of course, warmed my heart as a long-time supporter of small business and entrepreneurs. Anyone who watches the show knows, though, that the deals that are made are often more about the data than the dazzle. Case in point: On a recent show, I watched Mark Cuban make a deal with a man who made cat drawings for customers, and his pitch included an extremely dorky (but nonetheless catchy) dance and song. $25,000 for a 40-percent share … in a cat drawing business? Why in the world would this investment make sense? It came down to two data points: the profit margin and the ability to scale. On every show you can sense the moment when Mr. Wonderful (Kevin O’Leary) is about to ask the question every entrepreneur dreads, “So what?” You have a great product or service, and you are doing great things for your communities and your customers, but why would a billionaire investor want to invest their money with you? It comes down to the data: the ROI, the profit margin, the ability to scale, the potential demand, and the list goes on. As a nonprofit leader, development director, board member, or volunteer, how would we get the “sharks” of our communities to bite on an investment opportunity in our mission? Do you have the data to make your case on how you are positively impacting your community? We can no longer rely simply on the fact that we are doing “good” and that investing in us is the right thing to do. We must make the strong case for investment in our causes by businesses, funders, individuals and philanthropists. The good news? We have already done some of the work for you. This was one of the critical reasons the Alliance joined forces with several community partners and sponsors to publish the Arizona Nonprofits: Economic Power, Positive Impact report earlier this year. Check out the report (www.aznonprofitimpact.org). Allow the Alliance to help you make your case as we continue to find new ways to constantly position the nonprofit sector as a powerful, trusted and invaluable contributor to our Arizona communities. Thank you,

nonprofit relationship you’ve been involved in.

p. 8 Arizona Nonprofits: Economic Power, Positive Impact

Kristen Merrifield, CAE Chief Executive Officer Alliance of Arizona Nonprofits

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ALLIANCE OF ARIZONA NONPROFITS

Why Nonprofit Boards Should Prioritize Generational Diversity by The Manifesto Project – Arizona Today’s emerging workforce is the largest and most diverse in American history. According to The Millennial Impact Project (themillennialimpact.com), it numbers nearly 80 million strong, and will account for 50 percent of the workforce by 2020, less than four years from now. Despite their position as an emerging economic and social force, young professionals are not proportionally represented on organizational boards. The 2014 Boards Practices Report (bit.ly/deloitte-2014-board-practices), found that more than half of surveyed organizations reported that their youngest director was older than 50 years of age, and only 15 percent reported appointing younger board members. While the director-level is generally thought of as the exclusive domain of established professionals, excluding younger directors is a missed opportunity. Boards with generational diversity can benefit greatly from the unique perspective that young professionals are able to provide, including strategies for better engaging the new workforce and younger generations; new trends and best practices in public relations, communications, and social media; and how to promote the mission and goals of an organization using platforms and mechanisms that traverse generational gaps. In addition, young professionals, with their innate understanding of grassroots communications and fundraising, are able to develop comprehensive strategies to bring each facet of an organization together to build greater community buy-in and awareness. Young professionals also understand the changing workforce and its shift in loyalty toward mission over brand and benefits over salary. It becomes more and more important that organizations and municipalities understand the social environment and connectivity necessary to retain top-notch talent, and young professional board members allow for that kind of shift in thinking. If these “softer” reasons aren’t enough

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ALLIANCE OF ARIZONA NONPROFITS BOARD OF TRUSTEES BOARD CHAIR: Kelly McCullough VICE CHAIR:  Sonia Perillo Audubon Arizona with the National Audubon Society SECRETARY:  Ellis Carter Carter Law Group, P.C. TREASURER:  Ron Stearns CliftonLarsonAllen

to convince nonprofit boards to include young professionals, the financial argument should cement their place at every table. While today’s young professionals are not yet able to give in significant amounts, their willingness to volunteer at a high level allows an organization to engage and steward the next generation of major gift prospects. Furthermore, not only is their future giving potential high, they are connected to, and willing to connect the organization to, other young volunteers and young donors. The challenge for an organization is understanding how young professionals give and how this differs from previous generations. A focus and priority on solutions have led to a decrease in large reliable annual contributions to one organization and an increase in smaller monthly donations to a several organizations. A failure to understand these trends will leave an organization in the financial lurch in years to come. Boards, literally, cannot afford to exclude this demographic. In Arizona, our state must maintain its economic and social competitiveness, and so it is essential that we begin to cultivate the leaders of today on more than just the staff level. We must build organizations that are aware of the changing needs of the economy, the emerging workforce and the political sector. This awareness can be built only by actually having young professionals in the boardroom, learning with older professionals and actively creating the future we want.

Shaylinn Aleman Arizona College Access Network (AzCAN) Rhonda Bannard Inspired Connections Madeleine Coil United Way of Yuma County, Nonprofit Leadership Council Chair Pam Gaber Gabriel’s Angels Karl Gentles Back to School Clothing Drive Len Gutman American Heart Association/ American Stroke Association Kristen Merrifield, CAE Alliance of Arizona Nonprofits Amy Schwabenlender Valley of the Sun United Way Glenn Wike Arizona Community Foundation 


WWW.ARIZONANONPROFITS.ORG

On The Board and In The Spotlight: Profile on Nonprofit Board Chair Kelly McCullough

Name: Kelly McCullough Company: Arizona PBS (until July 31, 2016) Job Title: General Manager Board: Alliance of Arizona Nonprofits Board Title: Board Chair

What drew you to this organization? I came to the Alliance via my board work for the Arts & Business Council — having transitioned one of its programs, Business On Board, to the Alliance, I was invited to serve on the board. It’s one of our programs that I think has tremendous potential for growth. What would you say is one of the biggest challenges for a businessperson serving on a nonprofit board? Keeping up. There are, typically, a lot of things going on at a nonprofit and a lot of internal and external changes that may affect the operations, fundraising, etc.

What do you wish you had known before joining the board? One of the things we teach in our Business On Board program is to perform your due diligence prior to joining any nonprofit board, and so I did. I don’t recall any surprises. What do you feel your greatest accomplishment has been during your time on the board? Hiring Kristen Merrifield as our CEO, and participating in the Piper Foundation’s ATLAS program, which will greatly help us expand our capacity to serve our members

How did you overcome that challenge? I try to keep up, including diligently reading the materials prior to a meeting and any provided in between. This makes for a more effective board meeting and more engaged board members.

What would you say to someone considering joining a nonprofit board? Make sure you have passion for the work they do. Make sure you do your due diligence on the state of the nonprofit — know what you’re getting into. Make sure the other board members are a good fit with you (and vice versa).

What about the biggest opportunity? The Alliance is a “meta nonprofit,” meaning it is a nonprofit that serves other nonprofits. As such, we’re constantly looking for ways to innovate new services to our members, new value propositions, and, of course, new revenue streams.

Anything else you’d like to share? Most every nonprofit is looking for new board members — especially thoughtful, engaged and helpful members. Use your skill sets, find a nonprofit that you can have passion for, and serve.

Students engaged in clubs and sports are more likely to graduate. Imagine the possibilities if every student was given the tools they need to succeed.

An online & tax-deductable gift registry for public high school clubs and teams

*Actual student who used and graduated.

Fulfill a request today at:

SupportMyClub.org 3


ALLIANCE OF ARIZONA NONPROFITS

Nonprofits and Elections Are Intertwined by Patrick McWhortor, President of Lead for Change In the middle of this noisy election season, I ask the question: What is the connection between elections and nonprofits? The answer, in short: They are intertwined. This may surprise many of you, so let me explain. First, I will explain what I don’t mean. You may have heard a lot about “dark money.” This is spending to influence elections that is not channeled directly through candidate campaign war chests, but instead is “hidden” by filtering through organizations with generic sounding names, thus keeping voters in the “dark” about the original source. Usually, the media describe these organizations as nonprofits, because most often they are 501(c)(4) “social welfare” nonprofits that are permitted some spending in elections. But the media confuse people when they simply call them “nonprofits” without clarifying which type. They may lead some people to believe that all or most nonprofits are freely spending money on elections, which is not the case. That is what I don’t mean when I say elections are intertwined with nonprofits. To clarify, the largest group of nonprofits are charitable 501(c)(3) organizations. These are the groups most people think about when someone refers to nonprofits: homeless shelters, cancer support groups, arts organizations, conservation advocates, youth organizations, animal welfare groups, etc. These charitable nonprofits are expressly prohibited from endorsing or “Therefore, when opposing candidates for office, which the media describe includes giving money to campaigns, at the risk of losing their tax exemption dark money as from the IRS. (Note: They are allowed flowing through to get involved in ballot initiatives, as long as they report accurately to ‘nonprofits,’ be the IRS.) Therefore, when the media clear that they describe dark money as flowing are not referring through “nonprofits,” be clear that they are not referring to charitable to charitable nonprofits, the same ones you support nonprofits, the with your charitable contributions. So why, then, do I suggest that same ones you nonprofits are intertwined with support with elections? The answer begins with nonprofit your charitable finances. On average, nearly one out contributions.” of every three dollars supporting nonprofits comes in the form of grants and contracts awarded by federal, state and local governments. For some nonprofits, such as many offering social services, organizations may receive as much as 60 to 70 percent of their funds from government. Yes, when you make a donation to the homeless shelter, you are providing much-needed support. But

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the reality is that the majority of that nonprofit’s support may be coming from government contracts. Therefore, nonprofits have a huge financial stake in decisions made by elected officials, which affect and determine the level of funding available to them. During the Great Recession, cuts to funding in social services had huge ramifications for hundreds of nonprofits in Arizona, and some have not yet recovered from those decisions. Furthermore, even nonprofits not receiving government dollars were affected, because social service nonprofits were now competing against them for the same corporate, foundation and individual donations, thus shrinking the pie for everyone. Funding is one area of nonprofit concern, but it is not the only one. For example, organizations dedicated to stemming the growth of landfills have a huge stake in city policies regarding trash collections and recycling. Organizations operating group homes in neighborhoods need supportive city council members to secure zoning permissions. The list goes on. In short, nonprofits need strong allies in the public sector in order to effectively deliver on their missions. And the nonprofit which does not pay attention to who is being elected runs the risk that public policy could undermine its ability to deliver its mission. Therefore, the upcoming election has huge implications for the relationships between nonprofits and their public-sector allies during 2017 and beyond. And that is why I suggest that the elections and nonprofits are seriously intertwined. I urge all nonprofit leaders, employees, board members and volunteers to take a serious look at the positions of candidates as they relate to your nonprofit mission. Choose wisely, and vote for someone who will be a strong nonprofit ally in 2017. Patrick McWhortor is president of Lead for Change, a former president of the Alliance of Arizona Nonprofits and a member of the Arizona Nonprofit Policy Council.


WWW.ARIZONANONPROFITS.ORG

The Nonprofit/For-Profit Connection: Treasures 4 Teachers and CopperPoint by Jill Maruca, Community Engagement Coordinator, CopperPoint Insurance Companies On the first day of school the small girl walked to her teacher, one of her tiny shoes in hand. She held it out to the teacher, who gave a puzzled look. “I need to borrow a pencil, please,” the girl said. Former teacher Barbara Blalock learned that the last school the little girl attended had so few resources students had to trade something for supplies, until the supplies were returned. Seeing the great need for classroom resources, Blalock is now executive director of Treasures 4 Teachers, a nonprofit whose mission is to provide low-cost and free classroom supplies for teachers. Blalock started Treasures 4 Teachers, T4T, to save teachers money and give them the tools to help students learn. Many of the supplies are donations from retired teachers and from businesses — like CopperPoint Insurance Companies. As community engagement coordinator for CopperPoint, I got my company involved with T4T several years ago after hearing how they reuse items many companies toss — used binders, desk trays, file folders — and just how valuable those items are for teachers.

CopperPoint’s support for education fit well with T4T. Employees volunteer, sorting donations and packing gift bags. Employees save reusable paper supplies, staplers, ink cartridges and even desk chairs, knowing that all will be available for new use by teachers. CopperPoint has donated backpacks filled with school supplies to an entire elementary school for 13 years. Our employees donate all the supplies, and our executives contribute so that each teacher receives a membership for T4T. The first year, we gave them store gift cards, but once we learned about T4T, that membership gives them resources all year. My belief in T4T’s mission led me to join its board last year. I sort of invited myself. I wanted to be more involved, especially in getting the word out to teachers since it is such an amazing benefit to them. CopperPoint Insurance Companies copperpoint.com Treasures 4 Teachers treasures4teachers.org

connecting

REAL people with

www.readbetterbebetter.org facebook.com / readbetterbebetter

REAL

careers

twitter.com / readbetteraz

via

HIRING

companies

@readbetteraz

and

QUALITY

resources For more information about the program, or to find out how you can help, please contact Sophie Etchart, Founder & CEO of Read Better Be Better at sophiee@readbetterbebetter.org or (623) 229-7880.

CareerConnectors is a 501 (c)(3) non-profit organization

CareerConnectors.org 480.442.5806 5


ALLIANCE OF ARIZONA NONPROFITS

Overtime Overview: New Rules Take Effect this December by Ginny McMinn, Founder and Owner, McMinn HR After more than a decade without change, the U.S. Department of Labor has introduced new regulations governing exemptions from overtime pay. The regulations apply to the enforcement of the Fair Labor Standards Act. The changes are effective December 1, 2016, for most covered organizations. Employees in exempt jobs are not eligible for overtime pay. Non-exempt positions require the payment of overtime at 1.5 times the regular pay rate for hours worked beyond 40 in a work week. Three factors determine whether a job is exempt: 1. Is the employee paid on a salaried basis? Salaried individuals regularly receive the same amount of pay without computation of the actual hours worked. This is not changed by the new regulations. 2. Is the employee paid enough? Currently, this pay standard is $455 per week. Beginning December 1, 2016, the standard will be $913 per week ($47,476 per year) for exemption as Executive,

Administrative or Professional jobs. Highly Compensated Individuals must earn $134,004 per year to meet the new regulation standard, with at least $913 of this amount payable weekly. This is the biggest change in the new regulations. Those in Outside Sales (another exempt job category), teachers and practicing doctors and lawyers are not required to meet a minimum salary requirement for exempt status. This is also unchanged. 3. Do the job responsibilities meet the Duties Test for an established exemption? Regulations spell out the duties required in order for a position to be considered exempt as Executive, Administrative, Professional or Highly Compensated Individual jobs. The Duties Tests are also unchanged. Two additional changes: Organizations may now include nondiscretionary bonus payouts, incentives and commissions toward up to 10 percent of the new required salary level. And the required salary level will be reviewed every three years for

UNITE! For a Stronger Nonprofit Sector by Jennifer Purcell, Director of Community Engagement, Alliance of Arizona Nonprofits This September, nonprofit professionals from across Arizona will unite in Scottsdale for the Alliance of Arizona Nonprofits’ annual conference and member meeting. This year’s theme, Unite for a Stronger Nonprofit Sector, reflects the Alliance’s mission statement “To Unite, Strengthen and Advance Arizona’s Nonprofit Sector.” With more than 800 members statewide, the Alliance is gearing up for this signature event of educational sessions and networking. Last year’s meeting in Tucson sold out, so capacity has been increased to accommodate growing interest in the conference. Hundreds of nonprofit professionals and board leaders will gather to learn about current topics affecting the sector and take away knowledge to

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benefit their staff, volunteers, clients and community. Tim Delany, president and CEO of the National Council of Nonprofits, will present the lunchtime keynote. A veteran of government relations in Arizona, Delaney helped start the Alliance more than a decade ago. The day will also feature sessions covering topics from the shifting landscape of corporate giving, to legal changes on the nonprofit horizon, to ways nonprofits can better recruit and retain talent. As the day draws to a close, attendees will unite one final time for a networking mixer with conference presenters and exhibitors. To learn more about attending, exhibiting or sponsoring, visit arizonanonprofits.org/uniteconference.

potential change, instead of waiting for DOL consideration. Covered employers should act in order to be ready for the December 1, 2016, effective date. Failure to comply with the new regulations can result in penalties and fines, including payment of back overtime pay, punitive damages (double the amount of back pay) and multi-year back pay accumulation. Additional information is available through the Alliance of Arizona Nonprofits, www.dol.gov/whd (search for “Overtime Final Rule”), your employment attorney or HR consultant. This article is not intended as legal advice. While most organizations are covered under the regulation, either because of revenue numbers of $500,000+ annually or employees whose duties involve interstate commerce, we do recommend that organizations check with their legal advisors and/or review the regulations on the Department of Labor’s official website at www.dol.gov/whd.

Alliance of Arizona Nonprofits 2016 Annual Conference & Member Meeting September 29, 2016, 9am - 5pm Embassy Suites by Hilton Scottsdale Plenary and Keynote Speakers: Kristen Merrifield, Chief Executive Officer Alliance of Arizona Nonprofits Tim Delaney, President & CEO National Council of Nonprofits Elisa de la Vara, Chief Community Officer Arizona Community Foundation Breakout Sessions: DOL Overtime Regulations: Implementing Your Plan The Shifting Landscape of Corporate Giving Connecting the Sectors: Nonprofit, Business and Government Financial and Legal Changes on the Horizon Why Every Nonprofit Should Be Advocating Arizona Gives Day: How’d They Do It? Organizational Culture and Volunteerism: Effects on Nonprofit Sustainability Recruiting, Attracting & Retaining Talent


WWW.ARIZONANONPROFITS.ORG

Working with Nonprofits: Tell us about a successful business/ nonprofit relationship you’ve been involved in. Catherine M. Valenzuela, President – East Valley, Arizona Business Bank Arizona Business Bank recently assembled most of the agencies that serve Maricopa County’s children in foster care for a roundtable discussion on how we can work together to spread the word about the recent tax law changes regarding charitable donations to these organizations. It was gratifying to sit in our conference room in an open forum, with a concerted effort to help each nonprofit improve the care and support for these children by working together on an ABBhosted event to spread the word about Arizona Foster Care Charitable Tax Credits. Erik Verryden, Founder, NPS Gives Our partnership with local nonprofit Helping Hands For Freedom has allowed Executive Director Darin Fishburn and his team to help 15 families who suffered the loss of a loved one in the military last year with grants totaling $15,000. Our mission is to double or even triple that amount in 2016!

Stephanie Waldrop, President, EBI Arizona Nonprofits often have to work harder to attract the best employees to further their cause, and employee benefits is a key factor. Through our partnership with the Alliance of Arizona Nonprofits, we offer a nonprofit healthcare pool to provide lower premiums and increased stability for nonprofits with 10-300 employees. Providing consultative employee benefit guidance to nonprofits is very rewarding, as money saved on their health and welfare insurance cost translates to more resources and funds for their respective causes.

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7


ALLIANCE OF ARIZONA NONPROFITS

Arizona Nonprofits: Economic Power, Positive Impact Arizona Nonprofits are responsible for 325,000 jobs. by Carl Jimenez, Communications Manager, Alliance of Arizona Nonprofits A recent statewide study examined the economic impact of Arizona’s nonprofit sector, the results of which were published in a report titled “Arizona Nonprofits: Economic Power, Positive Impact”. In the May 2016 issue of In Business Magazine, we reported on the direct financial impact of more than $22 billion the nonprofit sector has on the state economy. So how many people are actually employed in and because of the nonprofit sector? It turns out that when you exclude state and local government jobs, nonprofits are Arizona’s 5th largest employer, responsible for 325,000 jobs. They directly employ 167,000 paid staff and are also responsible for an additional 158,000 indirect/induced jobs through their presence and operations in Arizona. Those jobs represent 7.7% of total direct non-government employment in Arizona. This research confirms that the nonprofit sector makes a valuable contribution to Arizona wages. Arizona’s nonprofit sector as a whole paid $7.7 billion in direct wages in 2014, representing 6.1% of Arizona’s total wages and salaries. When the direct, indirect, and induced labor

Kristen Merrifield, CAE Chief Executive Officer KristenM@arizonanonprofits.org (602) 279-2966 x14

income impacts are added, nonprofits are responsible for an estimated 11% of Arizona’s total wages and salaries. And those nonprofit wages are increasing too, as the sector continues to grow. Arizona nonprofit employment grew by 12% during the 2009-2014 fiveyear time horizon, and total nonprofit wages in Arizona grew by 12.7% during the same period. The largest five-year nonprofit employment growth rates are in the educational, environment and animal welfare, and other health sectors. The research was conducted by ASU’s Seidman Research Institute in partnership with the Alliance of Arizona Nonprofits, ASU Lodestar Center for Philanthropy & Nonprofit Innovation and The Phoenix Philanthropy Group. Funding was provided by the Arizona Community Foundation, APS and the Industrial Development Authority of Maricopa County. To download a free copy of the report, visit www.aznonprofitimpact.org.

Comparison of Nonprofit Employment to Select Arizona Non-Government Sectors, 2014 Numbers of jobs, rounded to thousands. 1. Retail Trade 312,000 2. Accommodation & Food Services 248,000 3. Healthcare & Social Assistance* 237,000 4. Administrative & Waste Management Services 224,000 5. Nonprofits** 167,000 6. Manufacturing 156,000 7. Finance & Insurance 135,000 8. Construction 125,000 9. Wholesale Trade 93,000 * Excludes Nonprofits ** Includes Healthcare and Education Nonprofits

8

Alliance of Arizona Nonprofits Staff

10. Transportation, Warehousing, & Utilities 84,000 11. Education* 49,000 12. Real Estate, Rental & Leasing 48,000 13. Management of Companies & Enterprises 30,000 14. Agriculture, Forestry, Fishing, & Hunting 25,000 15. Mining, Quarrying, Oil & Gas Extraction 13,000 Source: QCEW, 2014 annual average employment for private industries

Jennifer Blair Director of Membership JenniferB@arizonanonprofits.org (602) 279-2966 x20 Robin Hanson Program Manager AmeriCorps*VISTA RobinH@arizonanonprofits.org (602) 279-2966 x19 Carl Jimenez Communications Manager CarlJ@arizonanonprofits.org (602) 279-2966 x16 Jacki Presnal Office Manager & Executive Coordinator JackiP@arizonanonprofits.org (602) 279-2966 x10 Jennifer Purcell Director of Community Engagement JenniferP@arizonanonprofits.org (602) 279-2966 x17 Jonathan Yates AmeriCorps*VISTA Team Lead JonathanY@arizonanonprofits.org (602) 279-2966 x18

Alliance of Arizona Nonprofits 360 E. Coronado Road, Suite 120 Phoenix, AZ 85004 Phone: (602) 279-2966 www.ArizonaNonprofits.org


About Us The Mission of the Arizona Small Business Association is to be THE statewide resource for small business. Business owners join ASBA for the convenience and efficiency of our products and services, to engage and advocate for public policy that ignites small business growth, and to foster a positive economic direction for Arizona powered by entrepreneurism. By bringing thousands of small businesses together, ASBA has created greater value for all members and is proof positive that our mission of supporting small businesses through an active and connected community is working. Join ASBA. Be amAZed

®

Pokémon Go Reminds Businesses to Protect Confidentiality, Trade Secret and Privileges by Elizabeth F. Collura, Attorney with Clark Hill’s Litigation Practice Group

The newest, hottest game, Pokémon Go, was downloaded more than 7.5 million times on iOS and Android phones in less than a week after its release. The free-to-download game is bringing in $1.6 million in daily revenue in Apple’s iOS store alone, based on in-app purchases. This augmented reality game is currently on the fast track to overtake social media apps in terms of amount of active users. In the early days of the game’s release, the game’s original standard terms and conditions gave the developer (Niantic) unfettered access to Google Drive. The access made device owners’ confidential information vulnerable. The original standard terms granted Niantic read and write permissions for documents stored on the user’s Google Drive, as well as access to Gmail and contact lists. The permissions also authorized Niantic to sell the information obtained through the accounts. Niantic has since rewritten the terms and conditions to grant only limited access to users’ Google account information, and Google is working on

In This Issue

3 4 5 6 7

Stop Being Boring Hearing Loss

implementing the limitations. Even if this specific issue is resolved, the potential to broadly reach confidential information through an exciting game offering should remind businesses of the importance of reviewing internal confidentiality protocols and protecting confidential information. Businesses must be vigilant to protect confidential information, especially those businesses allowing employees to “BYO” electronic devices for work purposes or who allow employees to use work-issued devices for personal reasons. Broad permissions, such as those in the

in the workplace Management Development: The Power of Manager as Leader Dental Coverage for the SelfEmployed Business Books to Keep on Top of Your Game

Central Arizona 4600 E. Washington St., Suite 340 Phoenix, AZ 85034 p. 602.306.4000 Southern Arizona 3444 N. Country Club Rd. Suite 118 Tucson, AZ 85716 p. 520.327.0222 © 2016 ASBA. A publication of the Arizona Small Business Association. For more information or to join ASBA, please contact us at www.asba.com. Section designed by the Arizona Small Business Association.

1


original standard terms for the Pokémon Go game, raise questions for: • Businesses that use Google Drive to store or any Google account to access their confidential, proprietary or trade secret information. • Businesses that use Gmail or Google Drive to communicate with their attorneys, and attorneys using Gmail or Google Drive or any other Google account for client-related reasons. Permitting a third party program/game to have broad access to an account may create the argument that any applicable privilege under the attorney-client privilege or work product protection has been waived. • Businesses in the healthcare field using Google Apps as their HIPAA compliant records platform. It remains unclear how the broad-access terms would interact with the protections of Google Apps accounts, and whether such permissions “open a door” to a HIPAA violation.

• Limiting employee use of business-related Google

• Any other business that handles information made confidential

accounts to business purposes only. One easy approach for

or protected by law, that stores confidential information in a Google

the Pokémon Go game is for players to create a dedicated Google

account or uses any Google account for business purposes.

account solely for playing the game. • At a minimum, players should revoke Niantic’s access to all

To protect against potential compromise of confidentiality, business best practices include:

Google accounts through the game. This is accomplished by, first, launching the Google security page within the player’s Google

• Having a comprehensive policy in place for employees’ use

account, then selecting Pokémon Go and clicking “Remove” to

of technology, designed to minimize the risk of compromising

revoke full access.

confidentiality.

Clark Hill clarkhill.com

Master Your Social Position!

Social Media that gets noticed, backed by the credibility of In Business Magazine… Marketing Automation | Social Media | Digital Products www.inbusinessmag.com 480.588.9505

2


BOARD OF DIRECTORS Nick Petra | Chair Strategic Duck

Jason Trujillo | Vice Chair Principal Financial Group

Ben Himmelstein | Past Chair The Frutkin Law Firm

Jamie Low | Secretary Low & Johnson Business Insurance

David Bones | Treasurer Kenrich Group

Mike Leeds | Board Development Pro Sales Coaching, LLC

Stop Being Boring by Gelie Akhenblit, NetworkingPhoenix.com

Yes, I’m talking to you!

How did he or she end up in the same room at

I’m talking to the person who walks around

the same time as you? What are this person’s

the networking event asking everyone their

interests, passions and hobbies and what is his

name what they do for a living.

or her “why?”

The answer to both of those questions is: “Who cares?”

So the question I would encourage you to

When you ask me those questions, it’s really Andrew Westle | At Large Trapp Technology

Rick Danford BMO Harris Bank

Brannon Hampton Arizona Public Service

just a generically boring ice-breaker — all

Allan Himmelstein Sales Coach AZ

Patrick Lopez MPG Automotive

so that you can tell me what you do for a living

they do. After all, they have been trained to only

and hope I’ll buy from you. As soon as I’ve told

talk shop at a networking event.

you my name, you’ve already forgotten it, and when I tell you what I do for a living, you’re just sizing up my answer to see if I would be a good I thought so.

Jess Roman The Society of St. Vincent de Paul

Kerry Stratford The Caliber Group

Help them get out of that boring box! After listening to what they do, politely say, “That’s great ... but I asked what your story is. Where are you from? How did you end up at this event? What are you interested in?”

And that, my friends, is why networking gets a bad rap. In the scenario I described above, there is

This interaction right here is what true networking is about. You’re making friends. You’re getting to know strangers on a personal

not much room for a true connection point.

level. You’re actually making a connection that

It doesn’t mean it won’t happen, but you’re

can turn into a mutually beneficial relationship.

limiting the opportunity from the get-go. able to establish a personal connection with a complete stranger. 

People love talking about themselves, and this is a great ice-breaker to let them do just that. You become more interesting to people when you seem interested in them. Show that you

I know — it’s much easier said than done. John Ragan Arizona Chamber of Commerce & Industry

Most of the time, people will look at you with a bit of a confusion and proceed to tell you what

True networking happens when you’re Ryan McMullen RSI Enterprises, Inc.

lead with is, “What’s your story?”

you’re trying to do is get a conversation going

fit for whatever you’re peddling. Sound familiar? Patrick Harter Provision Team, Inc.

These are the things that truly matter.

But there is a bit of a formula to it. First and foremost, stop being boring. Stop

are genuinely interested in who they are as a person as opposed to just what they do for a living. That conversation will happen naturally

asking what people do for a living and focus on

after the initial connection, so there is no reason

what really matters:

to lead with it. I’ll leave you with this famous quote that I’m

Their story. Who is this stranger standing in front of you?

sure you’ve heard, but can always hear again as a refresher:

“I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” —Maya Angelou

3


Hearing Loss in the Workplace by Tod Dennis, CopperPoint Insurance Companies

Noise-related hearing loss is a major occupational health concern. Thousands of workers, annually, suffer from hearing loss because of workplace noise. Even when it is short-term, noise can cause a temporary change in hearing. Noise is measured in decibels (dBA). A small increase in decibels results in a huge change in the noise and the potential damage to a person’s hearing. The Occupational Health and Safety Administration (OSHA) sets legal limits of 90 dBAs on workplace noise exposure. These limits are based on a worker’s time-weighted average during an eight-hour day. The National Institute for Occupational Safety and Health (NIOSH) recommends that Contact U.S. workers’ exposures to be controlled

• Individuals have to shout to be heard by a co-worker an arm’s

below 85 dBAs for eight hours to minimize occupational noise-induced

length away.

hearing loss, which limits a person’s ability to hear high-frequency

• Employees experience temporary hearing loss when leaving

sounds and understand speech, and seriously impairs a person’s

work.

ability to communicate. A place of business may have a noise problem if: • Employees hear ringing or humming in their ears when they leave work.

4

To learn some ways to reduce noise hazards, go to our website, Copperpoint.com, and order “Hearing Safety” (LC-1016). CopperPoint Insurance Companies copperpoint.com


Management Development: The Power of Manager as Leader by Diane Janovsky, HPISolutions

Using social power can help us better understand and compare the roles of manager and leader. Managers can develop and leverage personal leadership skills to increase their effectiveness in getting results through people. Although the definition of “leadership” can easily be found in the dictionary, understanding what it truly means to be a leader is a complex topic and the subject of massive ongoing research and discussion. (That shouldn’t be too surprising given the fact that it is so closely linked with understanding the behavior of human beings!) Alternatively, the definition of “management” is more straightforward. Most management textbooks clearly delineate the responsibilities of a manager as planning, organizing, staffing, motivating and controlling.  In the workplace, leadership and management are closely related, and yet still different. A leader does not necessarily have to have a manager’s title, but a manager should certainly strive to be a leader in order to be most successful.

Managers derive their influence largely from Organizational sources

Both roles involve influencing others to produce results; however, the

of power. They are given “authority” by managers above them in

difference lies in how they exert that influence. One way to frame that

the hierarchy, and they use some combination of reward, coercive,

difference is by understanding the source of their power.

legitimate and informational power over the people in their assigned

In the late 1950s, social psychologists John French and Bertram Raven identified six bases of power, which fall into two categories, Organizational and Personal. The four Organizational definitions of power are:

department or project to achieve objectives. On the other hand, leaders affect the behavior of others through Personal sources of power, irrespective of where they fall on an organization chart. People typically respond to the power of an expert

• Reward – the ability to provide rewards or positive reinforcement

such as a surgeon, a chief engineer or a master tradesman. Others are

• Coercive – the ability to mete out punishment or negative

drawn in by the intangible, personal magnetism of referent power that

consequences

creates trust, respect and loyalty.

• Legitimate – a function of the person’s formal position in an organization • Informational – having information that another does not have

Although not everyone is “charismatic,” a person can still attract likeminded people by overtly and intentionally demonstrating their values. The key is to understand, develop and balance the power that comes from all six bases. Managers who focus on cultivating their

The two Personal definitions of power are:

personal leadership skills will be rewarded with achieving breakthrough

• Expert – having in-depth knowledge, skills and expertise

and sustainable results through people. Although it seems that some

• Referent – the ability to attract others and make them want to

people are just “born leaders,” it is possible to develop the necessary

follow

skills through study, practice and coaching. hpisolutions.com

5


Dental Coverage for the Self-Employed by Sara Fossum, Social Media Coordinator, Delta Dental of Arizona

This is an age of entrepreneurial innovation. Professionals are passing on corporate life and becoming their own bosses. Today, freelancers, the selfemployed and contract workers account for 30 percent of the national workforce, and that number is expected to increase to 40 percent by 2020. Working outside the box means accounting for all the details, including dental benefits. When freelancing or owning a business, one should reviewing these steps when considering coverage:

Evaluate needs Family experience, dynamic changes, and having a health condition that may require more dental attention — factor in every scenario to choose the best coverage for a comfortable lifestyle. Remember: Even if someone has never

had a cavity, dental coverage is always a good idea.

Consider all costs When a person is self-employed, dental coverage affects the bottom line. Researching benefit providers’ costs is crucial: • How much does it cost per month? • Is there a deductible? • What’s the waiting period? Remember: In the long run, paying out-ofpocket could end up costing more than having coverage in the first place.

Research alternatives When working an alternative style, plan

to help save up for dental or health care. They work like a savings account for dental and health expenses. Government Assistance — Business

to match. Here are some alternative options

owners should consider circumstances,

for coverage:

as they may qualify for certain low-cost

Savings Accounts — Medical Savings Accounts, Health Savings Accounts and Flexible Spending Accounts are good options

programs. Have questions? For more information, visit deltaldentalaz.com

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6


Business Books to Keep on Top of Your Game by Kirsten Flint, Community Business Development Manager, Barnes & Noble

Picking up the right business book could help businesspeople stay

thousands of business books published each year, how can a person

ahead of the curve. It could advance their career, make them a better

know which one to pick up? Try one of these Barnes & Noble Top Picks

manager and keep them on top of new business trends. But with

in Business books.

The ONE Thing: The Surprisingly

The Five Dysfunctions of a Team

Simple Truth Behind Extraordinary

by Patrick M. Lencioni

Results

In The Five Dysfunctions of a Team,

by Gary Keller

Patrick Lencioni turns his keen intellect

Now, anyone can have both; less and more. In The ONE Thing, readers will learn to:

and storytelling power to the fascinating, complex world of teams. Lencioni reveals the five dysfunctions

• cut through the clutter, achieve better results in less time;

that go to the very heart of why teams — even the best ones — often struggle. He

• build momentum toward a goal;

outlines a powerful model and actionable

• dial down the stress;

steps that can be used to overcome

• overcome that overwhelmed feeling;

these common hurdles and build a cohesive, effective team. Just

• revive their energy;

as with his other books, Lencioni has written a compelling fable

• stay on track; and

with a powerful yet deceptively simple message for all those who

• master what matters to them.

strive to be exceptional team leaders.

The 48 Laws of Power by Robert Greene Amoral, cunning, ruthless and instructive, The 48 Laws of Power is the definitive manual for anyone interested in gaining, observing or defending against ultimate control. Three thousand years of the history of power have been distilled into 48 essential laws by drawing from the philosophies of Machiavelli, Sun Tzu and Carl Von Clausewitz and also from the lives of figures ranging from Henry Kissinger to P.T. Barnum. Some laws teach the need for prudence, others teach the value of confidence, and many recommend absolute self-preservation. Every law, though, has one thing in common: an interest in total domination. In a bold and arresting two-color package, The 48 Laws of Power is ideal whether the reader’s aim is conquest, self-defense or simply to understand the rules of the game. The Third Wave

Who Moved My Cheese?

by Steve Case

by Spencer Johnson

Steve Case — a pioneer who made the

With Who Moved My Cheese? Dr.

Internet part of everyday life — was on

Spencer Johnson realizes the need for

the leading edge of a revolution in 1985

finding the language and tools to deal

when he co-founded AOL. In The Third

with change — an issue that makes all

Wave, he uses his insights garnered from

of us nervous and uncomfortable. Since

nearly four decades of working as an

change happens either to the individual

innovator, investor, and businessman to

or by the individual, Spencer Johnson

argue the importance of entrepreneurship

shows us that what matters most is the

and to chart a path for future innovators.

attitude we have about change.

The Third Wave explains the ways in

Who Moved My Cheese? takes the fear and anxiety out of

which newly emerging technology companies will have to rethink

managing the future and shows people a simple way to successfully

their relationships with customers, with competitors and with

deal with the changing times, providing them with a method for

governments; and offers advice for how entrepreneurs can make

moving ahead with their work and lives safely and effectively.

winning business decisions and strategies.

asba.com/barnesandnoble

7


ASBA STAFF LIST & TITLES

A look back at the wonderful attendees supporting the Arizona business community.

Jack Lunsford Interim Chief Executive Officer Debbie Hann, VP,

PHOTO RECAP

Finance + Administration

More events at asba.com/events

Robin Duncan Director, Membership Joe Erceg Director, Southern Arizona Carol Mangen Director, Member Benefits Nicci Latino Member Services Manager Gabe Salcido Marketing Manager Nicole Shumate Communications Coordinator Jeanne Quinn Lowing Member Services Coordinator

ASBA LOCATIONS: Central Arizona Office 4600 E. Washington Street, Suite 340 Phoenix, AZ 85034 p. 602.306.4000

Southern Arizona Office 3444 N. Country Club Rd. Suite 118 Tucson, AZ 85716 p. 520.327.0222

8


Akhenblit, Gelie, 43

Ferguson, Mike, 11

Klose, Hans, 18

Parsons, Bob, 14

Anderson, Jamie, 12

Flint, Kirsten, 47

Llewellyn, Jack H., 25

Shaw, Michelle, 13

Bateman, Deborah, 18

Fossum, Sara, 46

Maruca, Jill, 37

Stanley, Vincent, 27

Beaulieu, Andrea, 26

Gaines, Jackie, 24

Maxwell, Christopher I., Ph.D., 25

Stanton, Nicole, 18

Benson, Tyrone, Ph.D. , 18

Giuliano, Neil G., 9

McClendon, Christy, 10

Valenzuela, Catherine M., 39

Butler, Tyler, 18

Goldstein, Mark, 14

McCullough, Kelly, 35

Verrydon, Erik, 39

Collura, Elizabeth F., 41

Goodman, Adam, 27

McMinn, Ginny, 27, 38

Vickery, Rob, 25

Dennis, Tod, 44

Halpin, Jan, 26

McWhortor, Patrick, 36

Volkman, Karl, 14

DeWulf, John, 18

Iacobelli, Julie, 26

Merrifield, Kristen, 33

Waldrop, Stephanie, 39

Egan, Tom, 18

Janovsky, Diane, 45

Miller, Liz, 12

Welp, Michael, Ph.D., 50

Esparza, Debbie, 10

Johnson, Paul, 18

Moore, Christy, 18

Wogan-Calderรณn, Terri, 10

Faust, Mark, 25

Kim, Edward, 13

Owens, Steve, 16

Yusupov, Igor, 13

1100 KFNX, 39

Entertainment Partners, 14

Polsinelli, 44

Studer Group, 24

11Eleven Consulting LLC, 18

Fennemore Craig, 6

Press Coffee Roasters, 30

Support My Club, 35

Alliance Bank of Arizona, 3

Foundation for Senior Living, 18

Quarles & Brady LLP, 18

SUSTAINWE, 27

Alliance of Arizona Nonprofits, 28, 29, 33

Girl Scouts -

Redirect Health, 17, 18

Tempe Chamber of Commerce, 28

SAP Hybris, 12

Treasures 4 Teachers, 37

Self-Insurance

Trello, 11

Arizona Bioindustry Association, 29

Arizona Cactus-Pine Council, 10

Arizona Brain and Spine Center, 13

Gladly, The, 32

Arizona Business Bank, 39

Glendale Chamber of Commerce, 28

Arizona Diamondbacks, 31

Goodmans Interior Structures, 27

Slack, 11

U.S. Small Business Administration, 28

Arizona Forward Association, 28

Google, 11

Sneaky Big Studios, 14

Valley Leadership, 18

Arizona Hispanic

GPS Insight, 2

Snell & Wilmer, 52

Village Coffee Roastery, 30

Greater Phoenix Chamber of Commerce, 29

Social Venture Partners Arizona, 10

Walter Cronkite School of Journalism and

Arizona PBS, 35

Greater Phoenix Leadership, 9

Squire Patton Boggs (US) LLP, 16

Arizona Relay Service, 6

Henry, The, 32

SRV Network, Inc., 14

Wells Fargo, 46

Arizona Restaurant Week, 5

HPISolutions, 45

St. Francis, 32

WESTMARC, 29

Arizona Small Business Association, 28

Intel Corporation, 18

Starbucks, 30

White Men as Full Diversity Partners, 50

Arizona Technology Council, 29

La Bocca Urban Kitchen + Wine Bar, 32

Banner Health Network, 51

Lead for Change, 36

Barnes & Noble, 47

Local First Arizona, 27

Chandler Chamber of Commerce, 29

Manifesto Project - Arizona, The, 34

Chevrolet, 30

McMinn HR, 27, 38

Chief Marketing Officer Council, 12

MereStone, 15

Cigna, 13

Mesa Chamber of Commerce, 28

Clark Hill, 41

Morgan Stanley, 7

CopperPoint Insurance Companies, 37, 44

National Bank of Arizona, 18

Coppersmith Brockelman, 18

NetworkingPhoenix.com, 43

CORE Institute, 13

New Pathways for Youth, 10

Delta Dental of Arizona, 46

North Phoenix Chamber of Commerce, 29

Desert Schools Federal Credit Union, 7

NPS Gives, 39

EBI Arizona, 39

Patagonia, 27

Endeavor Holdings LLC, 18

Phoenix Philanthropy Group, The, 26

Chamber of Commerce, 29

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

Institute of America, Inc., 11

Turnaround Management Association, 29

Mass Communication, 11

CHECK US OUT

/inbusinessmagphx

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

@inbusinessmag

2 0 16 49SEPT. INBUSINESSMAG.COM


A CANDID FORUM

BY

Workplace Discrimination Dialogue Needs a Full Table Business’s stake in workplace discrimination includes an annual $64 billion in lost revenue — or is it more like trillions? by Michael Welp, Ph.D.

Michael Welp, Ph.D., is co-founder of White Men as Full Diversity Partners (WMFDP) and author of the book Four Days to Change. In 1990, he journeyed to postApartheid South Africa, where he took a proactive role with nonprofit Outward Bound while leading team-building projects within more than a dozen South African corporations. For more than two decades, he has worked extensively with Fortune 500 company leadership to build a culture where diversity flourishes and inclusion is the order of the day. Dr. Welp has designed and taught graduate courses for universities, partnered with advocacy groups, and co-authored three field guides on diversity and leadership. wmfdp.com

SEPT. 2 0 16

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As is evident from any look at recent headlines, there is undoubtedly an immense amount of work to be done to eradicate bias and discrimination in America. Since this country starts and stops on economics, change in the workplace is fundamental if a national paradigm shift is to be achieved. One report by the Center for American Progress cites the fiscal damage of workplace discrimination at $64 billion annually. But as it turns out, that number could be considerably higher — perhaps in the trillions of dollars. I co-founded White Men as Full Diversity Partners (WMFDP) 20 years ago as an answer to a question most people never thought of asking: Why is the white male, who holds most CEO and C-level positions, left out of the diversity and inclusion discussion? From there, I, along with my co-founder Bill Proudman, developed a rather unorthodox approach to diversity, consulting by engaging white male leadership directly and, at the same time, including everyone in the discussion. Historically, our job as white men has been to keep our heads down in regard to diversity and defer all questions to others. If we wanted to make change, we were expected to wait for others — be they women, people of color or members of the LGBT community — to instruct us on what to do. Meanwhile, we walked on eggshells, afraid of being admonished for saying the wrong thing or not doing the right thing. This summarizes what motivated our mission in founding WMFDP. In essence, we took the blinders off and laid the groundwork for transformation in a personal and fiscal sense. And while “corporate America” may seem like an immense faceless and emotionless entity, it does respond primarily to one thing: the bottom line. And it can be broken down like this: Recruitment: Systemic bias — often unconscious — is a costly stumbling block. Ninety-six percent of all Fortune 50 companies have sexual orientation nondiscrimination policies in place, according to the Huffington Post, but getting them understood and instinctively followed is imperative for these policies to work. Retention: Two million workers leave their jobs each year because of unfair treatment due to race, gender, religion or sexual orientation. Replacing them costs corporations an additional $5,000 to $10,000 per worker and $75,000 to $200,000 per executive. These individuals must seek new jobs or face going on unemployment in order to provide for their families, which then costs the government and, in turn, the taxpayers. Job Performance: Nothing demotivates a worker quite like unfairness and injustice, which can play out as lowered productivity, damaged morale, absenteeism, illness and depression. The cost of workforce absenteeism is in the billions according to Investopedia.com. One report cites the

A 2013 study by the W.K. Kellogg Foundation found that earnings gains from rectifying racial inequality in America would add up to $1.9 trillion each year.

annual cost of workforce illness alone — from sick days to workers’ compensation — at $576 billion. Litigation: Workplace discrimination exposes businesses to potentially costly lawsuits. In 2010, the top 10 private plaintiff employment discrimination lawsuits cost firms more than $346 million. At the federal fiscal level, the economics of discrimination — in all its forms — expands exponentially. A study, released by the W.K. Kellogg Foundation in October 2013, took a comprehensive look at racial inequality in America and how it affects our economy. The study addressed healthcare inequities, unjustified incarceration disparities, lesser employment and education opportunities, the income tax gap and other facets of the economy. It found that earnings gains would translate into $180 million in additional corporate profits, $290 billion in additional federal tax revenues, and a potential reduction in the federal deficit of $350 billion — or 2.3 percent of the GDP — adding up to $1.9 trillion each year.

RAISING CONSCIOUSNESS

There is, undoubtedly, bias and discrimination, but a large percentage of it, I believe, is unconscious. What WFMDP does, through a process of experiential learning, is engage leaders across every strata of corporate America through a proprietary and unorthodox approach to transformation. A vital aspect of our approach is our Eight Critical Leadership Skills. Through these skills, leaders are able to forge new partnerships and build new pathways to success and prosperity. The skills are courage, integrating head and heart, listening, balancing key paradoxes, leveraging ambiguity and turbulence, managing difficult conversations, seeing and thinking systematically, and being an agent of change. These skills are fundamental, a common trait possessed by people of strength, conviction to moral right, and a keen sense of discipline and accomplishment. We have worked with a diverse client list that includes Alaska Airlines, Dell, Eastman Chemical, Rockwell Automation and many others, and can confidently say that individual people, in fact, build a corporation. We have worked with many executives in careers that you might not consider as valuing empathy, such as finance and high tech, who have had a transformative shift in their ability to lead and partner across difference. Engaged leaders across every strata of corporate America are adapting a new consciousness. From the micro look at an HR office to a corporate boardroom, or the macro view of a vast corporate landscape to a national economy, it is evident that more work is necessary for the nation’s healing and prosperity.


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September 2016 Issue of In Business Magazine  
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