January 2016 issue of In Business Magazine

JAN. 2016

Is Business Embracing Smart Automation and Artificial Intelligence?

Business & Our Legislature Is this Relationship Working?

Big Ego Bows to Humility for

Success

Potential Pitfalls in

Raising Capital Ignore

a Candidate’s

ResumĂŠ

THIS ISSUE Global Chamber Arizona Small Business Association

$4.95 INBUSINESSMAG.COM

WHAT DOES

$100 MILLION

IN CHARITABLE GIVING FEEL LIKE?

ONE SUCCESS STORY AT A TIME. TIME AFTER TIME. IMPROVING THE QUALITY OF LIFE IN OUR COMMUNITIES is just one of the many missions of The Thunderbirds, hosts of the Waste Management Phoenix Open presented by The Ak-Chin Indian Community.

Like Make-A-Wish Arizona. Child Crisis Arizona. Aid to Adoption of Special Kids. And countless others. While the historic milestone of $100 million in charitable giving over 80 years is now a reality, the true impact is expressed one story at a time. The Thunderbirds would like to thank all of our fans and sponsors for your continued support of the Waste Management Phoenix Open. For more Arizona success stories, visit www.thunderbirdscharities.org.

Amelia, Make-A-Wish Arizona Keith Bierman, Thunderbird

February 1–7, 2016 | TPC Scottsdale | wmphoenixopen.com

Carpe diem.

IN A BRAVE NEW WORLD YOU NEED A GREAT BUSINESS BANK TO HELP YOU REACH NEW HEIGHTS.

The opportunity for Arizona companies to go global has never been greater and yet the financing options never more complex.

Partner with a bank that can help you take on the world. From capital investment financing to financing foreign accounts receivable, Alliance Bank is here to help your business really take off.

AllianceBankofArizona.com

480.905.4460

A division of Western Alliance Bank. Member FDIC.

JANUARY 2016

COVER STORY

16

Business & Our Legislature: Is this Relationship Working?

Capitol observers believe the relationship is much improved compared to five years ago, Don Harris found as he explored the issue with lobbyists, businessrelated organizations and legislators themselves.

FEATURE

22

Humility Is the New Key to Success

Edward D. Hess, Ph.D., discusses leadership characteristics needed in the 21st-century “ideas economy,” where success depends on how well we can listen, learn and collaborate with others.

DEPARTMENTS

9

Feedback

Noted business leaders Judy Bernas, Rick DeGraw and Kimber Lanning respond to In Business Magazine’s burning business question of the month.

11 PARTNER SECTIONS GLOBAL

CHAMBER®

Global Chamber® Events www.globalchamber.org/events

Global Chamber® Virtual Event

Wed., Jan. 6 ‘Planning Your 2016 Global Growth’ Virtual event featuring three outstanding speakers.

10 a.m. Arizona, 12 noon Eastern RSVP to events@globalchamber.org Global Chamber® Phoenix

Thurs., Jan. 21 ‘Leadership Series’ Keynote speaker: Women in Global Leadership.

7:30 a.m. to 9 a.m.

RSVP to doug@globalchamber.org

SPOTLIGHT EVENT Global Chamber® Phoenix

Wed., Feb. 17 ‘International State of Metro’ Mayor Stanton and regional leaders share their global business report card.

5:30 p.m. to 7:30 p.m.

RSVP to doug@globalchamber.org Global Chamber® Tucson

Mon., Feb. 29 ‘Grow Globally Fair Tucson’ All the global resources in Tucson, all together, one time per year.

3 p.m. to 5 p.m.

RSVP to doug@globalchamber.org

Inside this section

2 Build Your Global Team Considerations for Successful 4 International Negotiating Trans-Pacific Partnership Offers New Opportunities

5 Global Chamber Committees 6 Member News 7 News from Global Chamber ®

®

Denver, Dallas, Detroit and Delhi

JANUARY — APRIL 2016

2016 Global Growth: Just Do It. Take Action.

GlobalChamber.org

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1

by Rick Murray, Chief Executive Officer, ASBA

Global is the new buzz word in business.

have had marginal success in the U.S. but

is the largest trade association dedicated

For most of us, the idea of going global seems

have potential for high demand overseas.

to serving small business in the state

like a lot of effort and time — both of which

Many small businesses make 100 percent of

representing 10,000+ member businesses

are in short supply. Add to it the risk of doing

and over 1/2 million employees in all 15

business with someone who speaks a different

counties. ASBA members enjoy access

language and uses different currency, and going

to significant group discounts, countless

global doesn’t look like a very good business

opportunities to do business with each

opportunity. But it doesn’t have to be that way.

other, a wide array of insurance products, and active advocacy efforts on public policy issues to protect their businesses.

Discover more at www.asba.com.

The Metro Phoenix Export Alliance (MPEXA) was recently formed to help small businesses identify opportunities in exporting and assist them in making exporting a reality. If you have a website, you are already global. MPEXA

Join ASBA. Be amAZed®

will become a resource for small businesses, helping identify and monetize exporting opportunities. MPEXA will be educating

In This Issue

2

3 4 5 7

How to Improve Your SEO Score and Why You Need to Do It Shopping for Health Insurance Made Easy Tips for Managing Generation Z Employees in the Workplace Networking Should Be Worthwhile, Not Work

companies that have not exported in the past to recognize the opportunities available. The SBA Export Business Planner has a list that helps assess your business’ readiness to export.

1. Determine the Benefits and Trade-Offs of International Market Expansion Start by brainstorming a list of benefits and trade-offs for expanding your market internationally. Your list of benefits and trade-offs should be based on your current assumptions about 1) your company, 2) your company’s products, and 3) market knowledge.

2. Perform a Business/Company Analysis You’ll need to perform an in-depth analysis

Why DIY Estate Planning Is a Bad

of your existing business to determine the

Idea for the People You Love

feasibility of growth.

Central Arizona 4600 E. Washington St., Suite 340 Phoenix, AZ 85034 p. 602.306.4000

3. Conduct an Industry Analysis Once you have examined the status of your own company, the next area for consideration is your overall industry. How is it currently involved in the global marketplace?

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.

4. Identify Products or Services with

their sales in foreign markets.

5. Marketability: Match Your Product/ Service with a Global Trend or Need Once you’ve identified products/services with export potential, the next step is to identify the most profitable foreign markets for those products. This means gathering foreign market research. Ask yourself: • Which countries are best-suited for my product?

• Which foreign markets will be easiest to penetrate?

• How does the quality of my product compare with competing in-market goods?

• Is my price competitive?

• Who could my major customers be?

6. Define Which Markets to Pursue Once your research has revealed the largest, fastest-growing and simplest markets to penetrate for your product or service, the next step is to define which markets to pursue.

It’s best to test one market, and then move

14

on to secondary markets as your expertise develops. SBA data shows that new-to-export businesses often tend to choose too many markets at first. For most small businesses, choosing one to three foreign markets initially is recommended.

Exporting doesn’t have to be daunting and unmanageable. MPEXA is a resource you can use to help create the path of least resistance for exporting and eventually greater profitability.

The initiatives created by MPEXA are making exporting easier and more straightforward for companies, helping them realize our customers are no longer just in our neighborhoods.

From the Top

Rob Donat positions his tracking company, GPS Insight, firmly on the learning curve.

28

Nonprofit

Setting aside a candidate’s resumé and job description may be the best strategy for nonprofits seeking the perfect hire.

Assets

2017 Infiniti Q30 PLUS: Stands for dual monitors makes seeing double a good thing at the office.

30

Power Lunch

Buck &Rider PLUS: Soups are the comfort food of choice for cold weather.

50

Roundtable

Worth talking about, conversation is still a powerful tool in our high-tech world.

ON THE AGENDA

25

Spotlight

Real Estate Trends Day Conference — Urban Land Institute Arizona Legislative Luncheon on the Lawn — Arizona Association for Economic Development

26

Calendar

Business events throughout the Valley

Legal

Export Potential Part of the overall analysis of your current business involves identifying products and services that may have export potential. These have sold successfully domestically or maybe

Metro Phoenix Export Alliance

mpexa.com

For more information on exporting and the services MPEXA can provide, contact Dawn Nagle at 602.386.5608.

1

39

Arizona Small Business Association

JAN. 20 1 6

Healthcare

“Cancer Screening Advances,” “More than Weight Loss,” “PCH’s Trauma Care Expands” and “Healing Buildings”

Looking Beyond to Find Your Customers

About Us

13

24

By the Numbers

Study evaluates attitudes of IT workers toward smart automation and artificial intelligence in business organizations.

Global Chamber

The Arizona Small Business Association

“New Spin on Getting Fit,” “Managers’ Management Tool,” “Hot Spot Connectivity,” “Old-Fashioned Mentoring for a New Generation of Lawyers” and “Legislature Live”

Doug Bruhnke, CEO/Founder at Global Chamber®

“Action may not always bring happiness; but there is no happiness without action.”

It seems it would be great if we had one growing customer for our business located right across the street. Then we could spend all our time right there, crossing the street if there were ever any issues.

We wouldn’t have to worry about Doug’s Grandmother Emma Arriving at Ellis Island, 1932 cross-cultural issues and adding a layer of complexity to our business with global business. But that one growing customer would be high risk: all eggs in one basket. And so to diversify and lower risk, having more customers makes sense … across town, across the state, across the country and, eventually, across the world. It’s inevitable if you want to grow with low risk.

This is why almost no company proactively goes after global business. We tend to go kicking and screaming. Only 1 percent of companies export, and of those, less than half export to more than one country, and the one country is Canada or Mexico more than half the time.

The number of companies exporting to multiple countries outside Mexico and Canada is really small. Worse yet, three out of four exporters wait till a buyer approaches them instead of proactively planning. We REALLY don’t want to do this!

It takes action, and that’s hard. An analogy I use is my grandmother and grandfather: Unhappy with how things were going in Germany in 1932, they proactively decided to export themselves to the U.S. That took thoughtfulness, energy and courage to go to another country and make a new life in the teeth of the worldwide depression. I’m sure happy they were proactive, because status quo would have been to stay and then be on the wrong side during WWII — and would they have survived?

Should you wait or should you go (global)? When asked, 100 percent of the speakers at Global Chamber have said, “I should have gone global sooner.” Exporting companies in the U.S. are 20 percent more profitable on average, and the 1 percent that export account for 15 percent of the national GDP. Will you wait for something to happen, or will you be proactive in 2016 and take a positive step forward in your business growth? We can’t make that decision for you, but we can offer a safe place to come when you’re ready: Global Chamber.

Global Chamber is the only organization in the world with the mission to grow business from anywhere to anywhere while collaborating with every organization. We help companies, investors and business service providers grow and succeed. Consider lowering your risk in 2016 with a plan that includes global growth.

Global Chamber® globalchamber.org

31

Briefs

Books

New releases give fresh insights on business thinking.

29

Guest Editor

Rick McCartney, president and CEO of InMedia Company, introduces the “Business & the Legislature” issue.

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23

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INBUSINESSMAG.COM

Local attorney discusses common mistakes businesses make when raising capital.

JAN

11

Arizona’s 52nd Legislature second regular session begins January 11, 2016, and will adjourn in early April, 2016.

Business owners — or other interested individuals — may register on Request To Speak to voice their views on bills being considered by a House or Senate committee. apps.azleg.gov/RequestToSpeak/UpcomingAgendas

Managing Your Fleet BLINDFOLDED?

Gain Visibility with: GPS INSIGHT TRK#1

78mph William Barker

Fleet Intelligence for Your Business Vehicle & Asset Tracking Solution 877-466-6577

a 866-477-4321 l gpsinsight.com gpsinsight.com

Jan. 2016 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.

GROWING YOUR BUSINESS? We’re here for you.

PARTNER ORGANIZATIONS Rick Murray, CEO Arizona Small Business Association Central Office (602) 306-4000 Southern Arizona (520) 327-0222 www.asba.com

When you’re looking for a commercial real estate loan, choose a local lender with a personalized approach.

• No application fees or prepayment penalties 1 • Purchase or refinance up to $5,000,000 2 • Owner or non-owner-occupied 3

Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 www.aztechcouncil.org

• Competitive fixed rates • Terms of 5, 10 or 15 years • Amortizations of 15 or 20 years

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

Call to speak with a business relationship manager.

602-336-6721 | www.desertschools.org/business Federally Insured by

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

Equal Housing Lender

Mark Hiegel, President & CEO Scottsdale Area Chamber of Commerce (480) 355-2700 www.scottsdalechamber.com

Open to sole proprietorships, partnerships (including LLPs), LLCs, corporations, trusts and non-profit entities that have been in existence for three years. Start-up and business acquisition transactions are ineligible. Property must be located in Arizona. First or second lien position. Subject to credit approval. 1 Approximate 1% origination fee.

2 Minimum loan amount $250,000; maximum 80% loan-to-value. 3 Owner-occupied applies if the business member or affiliate occupies not less than 51% of the usable, net rentable space; non-owner-occupied applies if the tenant occupies 51% or greater of the usable, net rentable space.

THE SMART MONEY STAYS IN ARIZONA.

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

BANK LOCAL FIRST. When your money is deposited in locally owned and operated community banks, it’s quickly recycled back into our local economy. Currently only 4% of Arizona’s total deposits are in Arizona-owned banks. Local banks stand with us through ups and downs, so let’s get that number to 10% right away.

Economic Club of Phoenix econclubphx.org Glendale Chamber of Commerce glendaleazchamber.org Greater Phoenix Chamber of Commerce phoenixchamber.com Greater Phoenix Gay & Lesbian Chamber of Commerce gpglcc.org Mesa Chamber of Commerce mesachamber.org

OPEN A LOCAL ACCOUNT TODAY. Get all the services you demand and help keep Arizona moving forward. Learn more about Arizona’s local community banks: LOCALFIRSTAZ.COM/BANKING.

North Phoenix Chamber of Commerce northphoenixchamber.com Peoria Chamber of Commerce peoriachamber.com Phoenix Metro Chamber of Commerce phoenixmetrochamber.com Surprise Regional Chamber of Commerce surpriseregionalchamber.com WESTMARC westmarc.org

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JAN. 2016

INBUSINESSMAG.COM

CopperPoint Mutual is committed to providing workers compensation insurance expertise along with great customer service. Financially strong and service oriented, CopperPoint delivers Peace of Mind.

Put CopperPoint to work for you. copperpoint.com 602.631.2300 | 800.231.1363

Jan. 2016

VOL. 7, NO. 1

Publisher Rick McCartney

Editor RaeAnne Marsh

Art Director Benjamin Little

Contributing Writers Joyce Grossman

Don Harris Edward D. Hess, Ph.D. Mike Hunter Robert McWhirter Brian Mohr Steven R. Reed Richard Tollefson Brady G. Wilson ADVERTISING

Operations Louise Ferrari

Business Development Roald Bernard

Louise Ferrari Steve Kulick Maria Mabek Sara May Kelly Richards Cami Shore

Nicholas Schultz

Events Amy Corben More: Visit your one-stop resource for everything business at www.inbusinessmag.com. For a full monthly calendar of business-related events, please visit our website.

Inform Us: Send press releases and your editorial ideas to editor@inbusinessmag.com.

THEIR BUSINESS IS YOUR BUSINESS. Free insights from local entrepreneurs. What’s good for business in the Valley is good for all of us. That’s why SRP has partnered with local organizations to bring you timely, relevant information to help you manage your company. The SRP Business Resource Center offers free tools and information to help you take your business to the next level. Hear success stories from local companies like Fairy Tale Brownies, Park&Co, Nello’s Pizza and many more or share your own story. Make it your business to explore this free service today at srpbizresource.com.

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JAN. 2016

25_SRP_InBusiness_JAN

President & CEO Rick McCartney

Editorial Director RaeAnne Marsh

Senior Art Director Benjamin Little

Financial Manager Donna C. Mitchell, CPA

Office Manager Brittany Longfield

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. 1. 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 may 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 may be reproduced or transmitted in any form or by any means without written permission by the publisher.

INBUSINESSMAG.COM

RICK MCCARTNEY, INMEDIA COMPANY

Land of Opportunity

Rick McCartney has been publishing in Phoenix for the past 18 years. President and CEO of InMedia Company, he is responsible for producing many local, regional and national publications and media products, including In Business Magazine, the Vicinity magazines and numerous community publications and digital products.

A member of the Governor’s Workforce Arizona Council, McCartney chairs the marketing committee. Among the boards he serves on are the Children’s Museum of Phoenix, of which he is a former board chair; Local First Arizona; and Businesses United for Scottsdale Schools, of which he is vice president, working to connect business with educators to form strong career pathways and opportunity for K-12 students.

A healthy state economy is the common goal of our state’s leaders in politics and business — so Arizona will continue to be an attractive home for individuals and companies. Both forces earnestly and energetically pursue courses of action they believe will achieve the best results. That they don’t always see eye to eye on specifics is no surprise to anyone who reads the headlines, but that in no way lessens the importance of dialog and shared efforts between the two.

As a business owner, member of several boards — including a few government organizations — I was compelled to ask my staff for the Guest Editorship of this particular issue. I often hear that our legislature cannot get it right or get it together well enough for us to compete economically or on education. Both are areas in which sub-par performance is detrimental to the future of this state, and both the economy and how we support education in this state are where many believe the answers lie. It sickens me to think that our own leaders can be the reason we cannot become excellent.

I am encouraged by the possibilities as I feel that, for the first time in many years, we may truly be able to come together in the coming session to pass more pro-business legislation, truly understand that economic development includes companies already vested here in Arizona, and inch closer to prioritizing education in a way that heightens the awareness of this issue and broadens the discussion beyond simply budget. Arizona is a great state and Arizonans are a great people. It is no longer something for us to just talk about — it is time act. Time to lean on our legislators and get actively involved, ourselves, in making change through organizations like the new GPEC, Expect More Arizona and Local First Arizona — among many others — to become successful. Business owners and educators coming together is a recipe for economic development that can truly impact workforce, economic growth and opportunity.

Whether the efforts coming from the business community and those from our state’s legislative bodies augment each other to create stronger results or undermine — or even negate — advancement is the question explored in this issue’s cover story, “Business & Our Legislature: Is this Relationship Working?” Writer Don Harris gathered perspectives from leaders at the state capitol, in chambers of commerce and other business organizations, as well as from others vested in and knowledgeable about business here to answer this critical question.

In this issue’s “Legal” article, attorney R. Steven Reed shares his expertise in securities and finance with an article on mistakes businesses commonly make when raising capital, and how to be alert to potential legal and practical pitfalls. Professor Edward D. Hess’s “Leadership” feature makes the case for humility emerging as a desirable trait for leaders in today’s business environment, in contrast to the “big ego”-style of leadership that has been admired.

And presenting interactive human conversation as an operating system, Brady G. Wilson in the “Roundtable” feature explains what’s behind this function and how it impacts productivity in the workplace.

With these and other timely and relevant articles on a wide range of topics, In Business Magazine works to be not only a valuable tool to help businesses succeed but a partner in the effort to build strong community. I know that by working together as a business community, our influence will make our state the place for businesses to flourish. I hope you enjoy this January issue. I’m pleased to help bring it to you as the publication’s publisher and this month’s Guest Editor.

Sincerely,

Rick McCartney President and Chief Executive Officer • InMedia Company Publisher • In Business Magazine

CONNECT WITH US: Story Ideas/PR: editor@ inbusinessmag.com Business Events/ Connections: businessevents@ inbusinessmag.com Marketing/Exposure: advertise@ inbusinessmag.com Visit us online at www.inbusinessmag.com

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

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JAN. 20 1 6

INBUSINESSMAG.COM

VALLEY LEADERS SOUND OFF

do you feel is the one thing the Arizona State Legislature needs to focus on in Q: What the next year or two that would dramatically improve the economic picture in Arizona?

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.

JAN. 20 1 6

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INBUSINESSMAG.COM

JUDY BERNAS

RICK DEGRAW

KIMBER LANNING

Associate VP for External Relations The University of Arizona Sector: Education

Executive Vice President Chief Administrative Officer CopperPoint Insurance Companies Sector: Insurance

Founder and Executive Director Local First Arizona Sector: Economic Development Nonprofit

There are too many needs and never enough money. But what provides the biggest bang for the legislators’ buck?

An investment in higher education.

Public investment in higher education has shown huge returns throughout American history. The United States became an industrial and economic giant during the past 150 years, much of it fueled by the land-grant and public university system and our emergence as a global leader in science. Those who invested in higher education did not see these merely as expenditures, but as long-term investments in our future.

Today, higher education is evolving to match the rapid changes in our economy.

Nearly two-thirds of all American jobs require a postsecondary degree.

Industry moves to where they can hire qualified applicants with advanced skills.

In Arizona, we are blessed with incredible weather, an amazing sense of optimism and our greatest renewable resource — our intellectual capital. We can help ourselves by skipping the partisan squabbling and investing in higher education. Hold universities accountable, but expand opportunities for students, lead the world in advances, and partner with industry to secure our future.

The University of Arizona arizona.edu Judy Bernas represents The University of Arizona in Maricopa County and is responsible for overseeing and strategically enhancing that presence, with a particular focus on the expansion of the colleges of Medicine, Pharmacy and Public Health. A past chair of the Arizona Sports and Tourism Authority Board, she now serves as an appointed member of numerous business and community boards.

Arizona’s economic future is complex, but one issue on which all businesses can agree is K-12 education. Yes, the governor’s accelerated Trust Lands funding will help, but the K-12 system requires a full-blown, legislative financial commitment to make it part of Arizona’s fabric, thereby increasing business investment and relocation to Arizona.

All Arizona’s business organizations have called for more K-12 funding and all have identified K-12 education as one of Arizona’s weakest links. The best longterm investment Arizona’s legislature could make for our economic future is to fund the K-12 system, requiring A-grade school performance, increasing teacher salaries, consolidating school districts and bringing Arizona’s per pupil funding to at least 20 percent above the national average.

This would signal to investors, corporations and entrepreneurs that Arizona is serious about wanting businesses that need trained and jobready public school graduates. If the house speaker and senate president publicly stated their intention to fund K-12 education at a level 20 percent above the national average, they could improve the national and international perception of Arizona almost immediately.

CopperPoint Insurance Companies copperpoint.com Rick DeGraw oversees several CopperPoint divisions as well as Public and Legislative affairs, Community Development and Corporate Outreach. The former Arizona Senate staff member founded Roots Development, where he provided political and public service consulting.

The one thing our State Legislature needs to focus on to improve the economic picture in Arizona is education.

A strong K-12 school system will guarantee to local businesses that they will be able to find qualified and talented employees from our local labor pool. Out-of-state companies looking to expand will choose Arizona because they will feel confident that their employees’ children will be connected to good schools and neighborhoods that offer a lifetime of opportunities.

To keep young talent in Arizona to support our workforce, we also need to continue to invest in our robust university system that prepares students for meaningful careers here in Arizona.

College students who study business and entrepreneurship in Arizona are more likely to stay in state to start their business if they are able to find the right resources, connections and support through their school and throughout the existing business community.

It is also crucial to adequately support schools in Arizona’s rural communities so we can have thriving local economies across the state, creating supply chains that advance all our residents.

Local First Arizona localfirstaz.com Kimber Lanning is founder and executive director of Local First Arizona, a statewide organization implementing innovative strategies for new models of economic development that create vibrant local economies. Lanning is an entrepreneur, business leader and community development specialist who works to cultivate strong, self-reliant communities and inspire a higher quality of life for people across Arizona.

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

New Spin on Getting Fit For executives who work long hours and never have time to lead a personal life, staying in shape usually takes a back seat. CycleCast brings streaming spin classes to the digital space, with workouts from qualified instructors, including Kevin Mondrick of BFX Studio and Isabel Schaefer, Spinning Master Instructor. The app allows anyone with an iPhone to get fit on their own time wherever there’s a stationary or residential bike and offers exclusive workouts in intervals of 20, 40 and 60 minutes. cyclecast.com

Managers’ Management Tool PeopleSpark is team communication platform that helps improve openness, trust and transparency between managers and teams of any size. It creates a private, weekly feedback loop between managers and each individual on their team. Managers can get ahead of problems before they arise, helping them maintain the unique culture within their team while taking action on issues in hours, not weeks. peoplespark.com

Hot Spot Connectivity Cox Communications recently launched more than 5,000 new Wi-Fi hot spots in Arizona, strategically located in hightraffic areas like businesses, hotels, restaurants and malls throughout Tucson and the Greater Phoenix metro area. This brings the total number nationwide to more than 10,000. Customers simply enter their Cox user ID and password to log in to Cox WiFi. Once authenticated, they will be able to browse the Internet as they would

Old-Fashioned Mentoring for a New Generation of Lawyers

The problem was clear: Law firms were no longer hiring large classes of associates, and clients, always seeking better value for cost, were no longer paying to train baby lawyers. The profession has been changing from under us.

The good old ways of bridging law school and practice were not what they used to be. Many a new grad has hung up a shingle in an ever more complex world without guidance and mentors.

The answer was to create a law firm to bridge the gap between law school and lawyering.

This was the impetus behind the ASU Alumni Law Group, where associates come first. In every other law firm, it’s the other way around.

The firm’s associates — new lawyers who have just passed the bar — commit to stay two to three years. They work on a variety of legal issues and of areas of the law. Think of the young doctors on “Grey’s Anatomy,” but these are lawyers!

On a given day, an associate may run to court on a criminal matter, file a restraining order in a domestic violence case, attend a meeting involving civil litigation, or write a will — all

from home or office. cox.com/hotspots

of this under the direct supervision of senior lawyers who have specialized in their practice areas. The supervising attorneys are crucial.

They not only provide the cases for the work, but are dedicated mentors.

This model also includes a training director supervising the associates’ continuing legal education, in not just practice areas but how to live and succeed in the profession. Associates leave with a bigger tool box for the profession, not to mention contacts and a jump start with professional relationships.

Clients’ needs, of course, must be the primary consideration, and this structure serves them well. They get all the experience of a seasoned lawyer and all the energy —Robert J. McWhirter, of a new one. supervising criminal attorney at the ASU Alumni Law Group, a certified specialist in criminal law, and author of Bills, Quills, and Stills: An Annotated, Illustrated, and Illuminated History of the Bill of Rights.

ASU Alumni Law Group asualumnilawgroup.org

VISUALIZE

Legislature Live The Legislative Broadcasting System is a nonpartisan department of the Arizona State Legislature, making state government more open and accessible to the people of Arizona. As LBS’s production unit, Arizona Capitol Television produces educational programs about state government, history and the legislative process. It also airs special programs, narrated by Marshall Trimble, Arizona’s Official State Historian. “On Victory’s Watch: The Arizona State Capitol” takes viewers on a fun, informative and at times surprising journey through 90 years of state history. azsenate.gov/video_audio.asp

Mentoring is recognized to benefit the mentor as well as the mentee, helping with leadership skills in managing and motivating people. January is National Mentoring Month. en.wikipedia.org/wiki/National_Mentoring_Month

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METRICS & MEASUREMENTS

Smart Automation and Artificial Intelligence a Boon to IT Workers Advanced automative tools free up time for more substantive tasks

by Mike Hunter

• Eighty-eight percent of survey respondents felt automated IT tools allow them to focus on more important tasks.

Cost and reliability emerged as the top concerns in automating IT functions, as 73 percent of IT professionals reported they are likely to consider automating processes, assigning to a machine the aspects of IT they least enjoy. arago Gmbh arago.co

Best Use of Time and Talent IT Professionals Evaluate Tasks

IT Responsibility

Percent reporting this

Percent of

as a primary aspect of

workday

IT responsibility

spent on it

Troubleshooting/ assisting users

92%

35%

Modernizing technology

92%

16%

Doing routine maintenance

91%

16%

84%

14%

75%

12%

10%

7%

Planning/strategizing for future IT Ticket documentation/ reporting Other

Free-Time Preferences If IT pros had more free time in their work day, this is how they would prefer to spend it.

Task

Preferred by

Innovating technology/solutions

72%

Modernizing existing technology

63%

Training/development

55%

Helping end-users

13%

Doing routine maintenance

8%

Other

4%

Benefits of Automation IT pros report they have experienced or would expect to experience these benefits by automating IT processes.

• Seventy-three percent felt collaborating with machines and software makes them more efficient at their job.

Benefit

• Yet fifty-seven percent felt machine learning and artificial intelligence is a positive technological advancement.

Reduced number of errors/compliance reinforcement

54%

Increased job satisfaction

49%

Increased recognition for advanced IT capabilities

33%

Reduced need for outsourcing

27%

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Cited by

More free time to focus on important IT initiatives

88%

Increased efficiency

85%

Faster problem solving

54%

Automation tools and processes are used most commonly for group policies (91 percent) and custom scripts or processes (81 percent), according to a survey from arago GmbH.

Source: arago GmbH

POSITIVE PERCEPTIONS

Smart automation tools and artificial intelligence (AI) that automate daily tasks in an enterprise go hand-in-hand with job satisfaction, according to sentiment expressed by IT workers. The surprising results of a recent survey reported by arago GmbH reveal that IT workers not only welcome smart automation but a clear majority also identify concrete benefits these technologies bring that both complement and increase the efficiencies of their daily workload — rather than pose a threat of commandeering their jobs. Eighty-five percent of IT professionals said they have experienced or would expect smart automation to increase efficiency.

Spiceworks conducted the survey of IT professionals on behalf of arago, which offers intelligent automation solutions for enterprise IT, to examine IT professionals’ attitudes and experiences using smart automation with AI technology. The IT professionals polled expressed their desire to reduce menial tasks that tend to burn up their time and are non-stimulating.

In that regard, 88 percent said they have experienced or would expect automation to free up their time so they can focus on more strategic initiatives. Contrary to popular impression, 93 percent do not believe automated IT tools put their jobs at risk and 91 percent do not believe automated IT tools are the beginning of an AI takeover.

“IT pros know that smart automation technology frees up their time, reduces the need for menial tasks and allows them to concentrate on innovative endeavors that are much more strategic to their employers and their own future. That shows the common narrative stating that IT Pros find smart automation a threat to their jobs, and that they are afraid of a machine takeover, are overblown. The reality is quite the opposite,” says Chris Boos, arago founder and CEO. The two tasks most preferred by IT professionals are innovating technology/solutions (72 percent) and modernizing existing technology (63 percent). Two they would prefer to not spend time with are ticket documentation and reporting (59 percent) and routine maintenance (36 percent). In general, 85 percent reported that intellectually stimulating and learning/development activities are most important to their job satisfaction.

YOUR BENEFIT IN BUSINESS

PCH’s Trauma Care Expands

Phoenix Children’s Hospital broke ground last month on a new Emergency Department and Level 1 Pediatric Trauma Center that will dramatically increase the hospital’s emergency and trauma care capacity to meet the needs of Arizona’s burgeoning pediatric population.

Traumatic injuries are the leading cause of death in Arizona of children between the ages of 1 and 16. Phoenix Children’s existing ED and Trauma Center were designed to treat 22,000 children annually, but more than 83,000 patients came through its doors in the last year alone, making it one of the busiest centers nationwide.

Phoenix Children’s boasts the only American College of Surgeons verified Level 1 Pediatric Trauma Center in Arizona, and it is one of only a few in the nation. “Critically injured children treated at hospitals without a Level 1 Pediatric Trauma Center fare much worse than kids treated here at Phoenix Children’s, who are far more likely to survive and even thrive,” says David Notrica, M.D., Phoenix Children’s trauma medical director. In fact, treatment at an ACS-verified Level 1 trauma center, a designation reserved for centers that provide only the highest level of care, reduces mortality

rates by 25 percent. The mortality rate at Phoenix Children’s ED and Trauma Center is one of the lowest in the country. However, the space is no longer sufficient to meet the demand, especially as Arizona’s pediatric population is expected to grow to 1.5 million by 2030 from 1 million today.

The $40 million ED and Trauma Center, funded through a year-long capital campaign and scheduled to open in late 2017, will have the capacity to accommodate 100,000 patients each year. The campaign kicked off with a $10 million gift from the Kemper and Ethel Marley Foundation, the largest single donation ever received by the —Mike Hunter hospital.

Phoenix Children’s Hospital phoenixchildrens.org

Healing Buildings

Healthcare is going through drastic change around the country, shares Angela Watson, a principal and design leader at Shepley Bulfinch, an architecture, planning and interior design firm for which healthcare has been a big part for nearly 100 of its 140-plus years, and she sees Phoenix as an area particularly strong in opportunity. “Healthcare providers in the Phoenix area look at the delivery of healthcare with fresh eyes,” she says, explaining they are re-evaluating how they’re doing things and what kind of facilities they need.

“Healthcare is a complex building type,” she notes. It involves technical aspects like equipment and treatment modalities that have to be coordinated — and are evolving quickly. A related challenge is helping multiple clinicians who share a facility come to agreement so the architect can design the space for “how they do things.”

A recent project, for instance, was to design an urgent care center which supported that company’s stated mission to not have patients wait. A LEAN exercise helped in streamlining the patient experience, and Shepley Bulfinch delivered a product that gave more space for treatment rooms and less to empty space for waiting rooms.

Architecture can also help make people —

patients and caregivers and their families — feel more at ease. Watson notes the huge difference made by “tiny little things” like daylight. In fact, she shares that daylight — for patients and staff — is a priority for a medical center she is working on for Banner Health in Tucson.

As the field grows and adjusts to the healthcare needs of tomorrow, Watson says, “Phoenix is able to react a little faster.” As an architect, she says, “We constantly have to rethink the kind of work we deliver.” The talent pool she finds in Metro Phoenix is up to the challenge. “The kind of students and graduates you get in Phoenix is able to look at things in a new way,” she says, speaking from her experience with the healthcare design initiative at Arizona State University that involved multidisciplinary teams — which included, for instance, music therapy, industrial design, interior design and public health — finding design solutions.

Recently relocating here from the company’s Boston office in part because of her interest in being involved in such programs, Watson says the Phoenix office has grown in the last few years and “is fertile ground for new thinking.” —RaeAnne Marsh Shepley Bulfinch shepleybulfinch.com

The Cardiothoracic Surgery Team at Phoenix Children’s is one of six programs in North America and the only physician group in the Western U.S. to receive a three-star rating — the top rating — from The Society of Thoracic Surgeons, an organization that works to ensure the best possible outcomes for thoracic surgeries.

WELL WELL WELL

BY MIKE HUNTER

Cancer Screening Advances Scottsdale-based Beacon Biomedical, Inc., a privately held company focused on developing patient-friendly cancer screening, received an investment from Phoenix-based Hyalescent Ventures, which focuses its investments on healthcare and medical technology. Beacon has secured the exclusive worldwide rights from the NIH for the detection and quantification of a signaling protein called Cripto-1 (also known as teratocarcinoma-derived growth factor-1) that advances the detection of colorectal cancer. “Hyalescent invested in Beacon because we believe in their technology and, more importantly, we invested because we believe in their management team,” says Dirk Beth, managing director and founder of Hyalescent Ventures. hyalescent.com

More than Weight Loss Weight Watchers’ new Beyond the Scale program shifts from a focus on weight loss alone to overall wellness — including emotional and physical health. This augments the best practices information Weight Watchers provides employers through its Weight Watchers Health Solutions program that helps companies make their workplaces healthier and employees more engaged. Part of Beyond the Scale’s holistic approach is a recommendation that employers recognize the importance of giving employees some “me” time (a mental and physical break during a work day). This has been shown to benefit employees’ health as well as the business. bitly.com/ww-marketing-utool

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LAW MATTERS TO BUSINESS

Considerations with Funding a Company Avoid these common mistakes businesses make when raising capital

by R. Steven Reed

Determining the best capital structure for a business is one of the many difficult decisions owners and founders must make. Capital structures vary widely, and what may work best for one company may be completely wrong for another — depending on the industry area, resources available and management team. Different capital structures include bootstrapping (completely financed by the founders), debt financing (either through traditional bank financing or other investors), equity financing or a combination of the above. For many businesses, the first two structures may be impractical, either because of the risk preferences of the founders or due to unavailability of funds from founders or lenders.

Many companies, consequently, pursue equity financing as a means of raising needed capital. There are, however, many legal and practical pitfalls that business owners should be aware of prior to jumping into the process of raising capital through the sale of equity interests. Below is a brief description of a few of these legal and practical pitfalls; however, due to the sophisticated legal issues involved, companies should seek competent counsel when structuring an equity (or debt) financing.

ALIGNING EXPECTATIONS

R. Steven Reed is an associate with Jennings, Strouss & Salmon’s Corporate, Securities and Finance group. He focuses on advising businesses and investors in a broad range of transactions and relationships, including mergers and acquisitions, securities offerings, real estate and general corporate matters. jsslaw.com

JAN. 20 1 6

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When disputes arise between business owners and investors, it is often attributable, in part, to misalignment of expectations. For example, a founder may expect that all profits from the business in the first several years, if any, will go toward reinvestment, such as opening a second location or developing a new product; investors may be expecting profits to be distributed. Prudent founders take time to learn who their potential investors are to ensure that the expectations of the potential investors and the company’s management team are aligned. Companies should also take time to make sure their potential investors truly understand the business and some of the challenges that the business may face or encounter. Failing to align expectations between management and investors often causes additional cost and strain on a company.

OPTIONS AND CAPITAL CALLS The contractual provisions governing the relationship between the company and the investors are important.

For example, during the slow season or when expanding, additional money infusions may be necessary. Provisions can be put into place that require the equity owners to put additional capital into the business. It is important that all parties understand the obligation under such a provision and what the consequence will be if a party fails to contribute capital. Another important contractual provision is a “right of first refusal.” Before an investor sells his equity investment to a third party, the company may want to require the investor to first offer the interest to the company. This provision can enable the company to limit who its equity holders are.

SECURITIES LAWS Too often, founders don’t realize that, no matter how small an investment, a company is selling a security when it sells equity (or debt) in exchange for capital (either money or other property). Whenever a company sells a security, it must comply with applicable federal and state securities laws. Generally speaking, all securities being sold by a company must be registered with the Securities and Exchange Commission and applicable state securities regulatory agencies, unless an applicable exemption applies. For many reasons, including the cost of registered securities offerings, small businesses typically try to rely on an exemption from registration.

One of the most common exemptions is found in Rule 506(b) of Regulation D, which allows a company to raise an unlimited amount of money from individuals with whom the company has a pre-existing, substantive relationship and who meet a certain wealth threshold.

Recent legislative actions have created additional opportunities for small businesses seeking to raise capital.

For example, the SEC and many states, including Arizona, have promulgated or adopted crowdfunding laws, by which companies can raise small amounts of money from many investors, regardless of the wealth status of the investors, subject to certain restrictions and limitations.

Numerous opportunities exist for small businesses desiring to raise capital; however, it is imperative that any small business seek the advice of competent advisors before undertaking any such effort.

Back in the 1920s, companies often sold stocks and bonds on the basis of glittering promises of fantastic profits and without disclosing any meaningful information to investors. Following the stock market crash of 1929, the U.S. Congress enacted the federal securities laws and created the Securities and Exchange Commission to administer them. sec.gov

Business & Our Legislature: Is this Relationship Working?

New laws, friendly regulations indicate lawmakers are listening

by Don Harris

“I see more members of the business community banging their fist on the podium at legislative hearings.

They’re more engaged.” —Jim Rounds, president of Rounds Consulting Group

R

eceptive Republican majorities and an aggressive, persuasive private sector are making sure that business needs are being heard loud and clear at the state capitol — perhaps louder and clearer than at any other time in recent years.

Evidence of a successful relationship, lobbyists and business-related organizations say, is legislation that fosters economic development, including a hefty corporate income tax reduction, passage of a $3.5-billion funding mechanism for public schools, and the easing of regulations. They say the Legislature has been very receptive to the concerns and ideas raised by the business community, and deserves credit for ensuring that businesses have the ability to plan and invest with some measure of predictability.

Capitol observers believe the relationship is much improved compared to five years ago. It’s strong and beneficial to the Arizona economy, its businesses and its residents. Going through a tough recession together tends to do that.

Business: Engaged and Vocal

Business community messages are getting to legislators through a variety of ways, such as group meetings, one-on-ones, speaking at the legislative hearings, op-eds and viewpoint articles, as well as other written communications, including emails and letters to the editor.

But even with a free-flowing line of communication, the message doesn’t always get through on the first try. For example, Senate Bill 1062, which would have allowed business owners to refuse service based on religion, was passed by the Legislature in 2014. Then, in reaction to overwhelming pressure from the private sector, Governor Jan Brewer vetoed the measure.

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“The business community really made its voice loud and clear that SB 1062 was not in the best interest of Arizona’s business community,” Mike Huckins, vice president of public affairs for the Greater Phoenix Chamber of Commerce, recalls.

Arizona House Speaker David Gowan agrees that legislators are listening to what business is saying. “When you look at our record of success last session, I’d say the business community is doing a great job of communicating its needs to lawmakers,” Gowan says. “Businesses should interact with their legislators so we can help get out of their way by introducing legislation that will help them thrive.”

Gowan points to business-friendly legislation such as the crowdfunding bill that allows people to finance a project or venture by raising money from several sources, helping entrepreneurs to start their own businesses; the measure that removed regulatory roadblocks, enabling ride-sharing firms like Uber and Lyft to operate in Arizona; and the Small Business Bill of Rights that makes it easier for a business to file a complaint against a state agency that the business felt was unfair in conducting an audit, inspection or other regulatory enforcement. All three were signed into law during the past two years.

“The House of Representatives is the people’s house — and we are open to hearing from all of our constituents,” Gowan says. “We receive hundreds of emails and calls from people asking to be heard, and we try to engage with as many of them as we can. All of our committee hearings are open to the public as well — so the opportunity to testify in front of committees that may have an effect on the citizens of this state is available. I encourage all business owners to speak with their state lawmakers about what regulations are hampering them, so that we can look at fixing those issues.”

Kirk Adams, a former speaker of the house and current chief of staff for Governor Doug Ducey, puts his own spin on the question of how business is getting its message to the governor’s office. “The governor is taking his message to the business community,” Adams relates. “He does this by reaching out and listening to state business leaders, CEOs, influencers and decision makers. By listening to these leaders, the governor is able to focus his efforts on the best policies to help grow Arizona businesses and attract new ones.”

In fact, Adams says, businesses have been very effective in getting their message to the governor’s office. “States compete, and governors compete for new jobs and capital investment,” Adams says. “Arizona is competing at a high level, as evidenced by the many big wins over the past year. But we can always do better and must continually improve our competitive position.

Whether it’s taxes, regulations, workforce development or access to

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markets, Arizona must constantly be monitoring the competition and make the right moves to keep Arizona in the game.”

Clearly, reaching out and paying attention to business needs is working on the Ninth Floor.

Jim Rounds, president of Rounds Consulting Group, credits renewed energy by business interests for recent successes at the Legislature. “I see more members of the business community banging their fist on the podium at legislative hearings,” Rounds says. “They’re more engaged. Four or five years ago, that wasn’t the case. They’re getting fired up about issues. I’m not saying they’re always right. They might push policy that isn’t so good, but at least they’re down there and they’re engaged.”

Legislature: Listening

Glenn Hamer, president and CEO of the Arizona Chamber of Commerce and Industry, says lawmakers are listening to business needs and demonstrating their interest in many ways. He cites regulations, taxes and education as core issues.

“Red tape can be expensive for businesses of all sizes, but it’s particularly disruptive to small businesses, costing companies with fewer than 19 employees over $10,000 per employee, according to a Small Business Administration study,” Hamer says. “Governor Ducey deserves credit for instituting a regulatory moratorium as one of his first acts upon taking office. The Legislature has been equally conscientious. Legislative leadership has recognized the harm high taxes can inflict on entrepreneurs who file as personal income taxpayers.”

Hamer praises the Legislature and Governor Ducey for holding firm on the corporate income tax reduction that will phase down the rate to 4.9 percent from 6.5 percent by 2017, resisting calls from some corners to pause or cancel the cuts altogether. They have made it clear that the plan to increase the state’s competiveness will stay in place, Hamer says.

What’s more, Hamer believes the Legislature deserves a lot of credit for convening a special session in November, sending to voters the question of whether to increase distributions from the state land trust to K-12 schools to the tune of $3.5 billion over 10 years. Proposition 123 will appear on the ballot in a special election in May.

Huckins of the Greater Phoenix Chamber of Commerce expresses strong support for Prop. 123 and says his organization is focusing on some workforce issues. Sending an early message to lawmakers in both parties, Huckins says, “We’re also very supportive of getting joint technical education district (JTED) and career and technical education (CTE) funding restored. In addition, we’d also like to see increased funding allocated to Arizona’s public universities and community college system, as they play equally important roles in developing a strong workforce in the state.”

Mentioning last year’s successes, Huckins notes that, of the 44 bills the chamber supported, 30 became law. “That’s how we gauge how effectively we’re ensuring that our elected officials at the local, state and federal level hear the voice of businesses on important issues.”

Rounds, likewise, suggests that lawmakers should pay greater attention to appeals for additional education funding because of the link to business interests. Rhetorically asking, “Where do we stand with workforce quality and the ability to grow from within?” he says, “I couldn’t answer that question. We need to invest a little extra money or redirect from one area to another. That’s a little more complicated, but it can be done. We need to be doing a better job of researching public policy decisions and not base decisions on political dogma.”

Small businesses and associations that represent them, including the National Federation of Independent Business, are finding a friendly reception at the Legislature. Farrell Quinlan, NFIB/Arizona state director,

“I encourage all business owners to speak with their state lawmakers about what regulations are hampering them, so that we can look at fixing those issues.” —Speaker of the Arizona House of Representatives David Gowan

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says lawmakers are providing “entrepreneurs the freedom to flourish or fail based on the merits of their ideas and work ethic, not on their membership to a preferred industry sector favored by state government planners.”

“One example of this trend,” Quinlan observes, “is the recently enacted law that made Arizona the first state in the nation to fundamentally change how its government interacts with small businesses. It is now Arizona’s default regulatory policy to offer an opportunity to correct an inadvertent violation of a regulation that doesn’t present a clear danger to health and safety. This commonsense change in enforcement posture means our state government is more concerned with a small business effectively complying with rules rather than punishing them for every minor or technical infraction.”

the corner. This can hamper the messaging, but I think businesses have, generally, been effective at communicating the need for big-ticket items like reducing government red tape, keeping taxes competitive and growing a strong workforce.”

She believes the Legislature and governor are focused on reducing regulatory burdens and keeping the tax structure as competitive as possible. “Basically, it’s the belief that a smaller, less intrusive government will leave space for businessmen and women to succeed,” Briggs says.

Minding the Message and Messaging

As a long-time lobbyist, Quinlan says, “It’s been my experience that Arizona’s small-business owners are truly appreciated by our elected officials from both political parties, who, in their own ways, make an honest effort to listen to our concerns and help our small-business job creators grow and thrive.”

Despite its successes, however, Quinlan says business is getting its message to the Legislature “schizophrenically and intermittently.”

Observing, “Sadly, some elected officials have been duped into embracing every cronyist scheme that puts government in the position of directing economic activity toward this season’s fashionable industry sector,” Quinlan says, “The message small businesses consistently want our lawmakers to hear is: Unless we are breaking the law, leave us alone and stop trying to pick winners and losers.”

Wendy Briggs, director at Veridus LLC and a lobbyist, knows her way around Capitol corridors. Her advice to individual business owners is straightforward. “Get to know your legislators,” she says. “They work for you and can carry forward your concerns at the state capitol. Besides, there is nothing so sacred at the state capitol as a small business. You have cachet; use it.”

But Briggs notes that businesses of different sizes have different issues and messages. “The business community isn’t monolithic,” she notes. “Big corporations often have different priorities than a mom-and-pop shop on

“The message small businesses consistently want our lawmakers to hear is: Unless we are breaking the law, leave us alone and stop trying to pick winners and losers.” —Farrell Quinlan, NFIB/Arizona state director

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“Red tape can be expensive for businesses of all sizes, but it’s particularly disruptive to small businesses …” —Glenn Hamer, president and CEO of the Arizona Chamber of Commerce and Industry

Partisanship as a Factor

Then there is the issue of whether the deep partisan splits hinder and perhaps derail some business efforts at the Legislature.

Neil Giuliano, new president and CEO of Greater Phoenix Leadership, says partisanship at the legislature is part of the political system. “That doesn’t mean business leaders will accept the status quo because of disagreements between Republicans and Democrats,” he says. “Many times, stringent partisan positions can be overcome when business leaders engage in the political process. Part of our role is to articulate the real-life negative outcomes if we don’t come together for the common good.”

Says Huckins, “Hyper-partisanship hinders everyone’s effort in some form or another at the legislature. Some of the best policies are developed when you have coalition-building efforts where people reach across the party line to enact good public policy. But when legislators vote strictly along party lines, that partisanship can certainly hinder the debate at times and prevent good public policy from being implemented.”

To get around partisanship, Rounds says the state needs to work with cities, counties and local governments on controversial issues. The more people at the table, the better, he says. “One-third of the legislators really understand economic issues, one-third base their opinion on the party’s handbook when they first ran, and one-third has no clue whatsoever,” Rounds says. “I’d like to see first group grow in size.”

Looking ahead — and behind — Quinlan suggests that business interests must continue to lobby vigorously because government is almost always the last to change, instead “tenaciously holding onto outmoded ways, oftentimes for decades after the rest of our society has moved on.”

He cites examples: “Our exhausted and rickety unemployment insurance system is essentially unchanged from its New Deal-era inception. Another is the near-religious devotion to the 19th-century solution of choo-choo trains for our 21st-century transportation challenges. In the age of Uber and Lyft, our public sector relentlessly and remorselessly pursues every multi-billion-dollar scheme to lay rail from where we don’t live to where we don’t work.”

Even so, Quinlan urges the business community to “maintain an open dialogue with every political leader regardless of party so long as the politician favors our free market system and deals with our concerns in good faith.”

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On the flip side, while welcoming bipartisan support, Quinlan says business “must also combat and defeat those politicians, regardless of party, who refuse to support a free-market system.”

But the view that government often moves too slowly might be in for a change. It is considered a positive sign that the Legislature has followed Governor Ducey’s lead in “building an administration that moves at the speed of business,” Huckins says.

Gowan, who oversees activity at the House and is in a powerful position to push legislation, has his own view of government. “Sometimes we hear government officials and politicians talking about how they work to create jobs. I never liked that because government does not create jobs. As Republicans, we believe the best way to help our small-business owners grow is to get out of their way. In recent years, that’s what we have been doing. In fact, in the Arizona Small Business Friendliness Survey, our state moved from a C+ grade in 2013 to a B in 2014. So, while we are moving in the right direction, there is still more work to do.”

Arizona Governor’s Office azgovernor.gov Arizona State Legislature azleg.gov Greater Phoenix Chamber of Commerce phoenixchamber.com Greater Phoenix Leadership gplinc.org National Federation of Independent Business nfib.com Rounds Consulting Group roundsconsulting.com Veridus LLC veridus.com

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A PATH TO FOLLOW

Humility Is the New Key to Success

In the 21st-century ‘ideas economy,’ success depends on how well we can listen, learn and collaborate with others – and a big ego can be a leader’s downfall

by Edward D. Hess, Ph.D. Not so long ago, our culture really (really) admired people with big egos. We called them rugged individualists, fearless leaders, MVPs, visionaries and go-getters. We respected these confident and successful folks for (seemingly) having all the answers.

They were all too happy to stand their ground and argue their point, and we saw this as a sign of strength and leadership.

Now, everything has changed. Larger-than-life egos are fast becoming liabilities. Indeed, in what may first appear to be a paradox, ego’s mortal enemy — humility — is one of the traits most likely to guarantee success in the 21st century workplace.

In the tech tsunami of the next few decades, robots and smart machines are projected to take over more than half of U.S. jobs. The jobs that will still be “safe” involve higher-order cognitive and emotional skills that technology can’t replicate, like critical thinking, innovation, creativity and emotionally engaging with other humans. All of those skills have one thing in common: They are enabled by humility.

Skeptical? Ask yourself this: Have you ever met someone with a big ego who was really good at being open-minded? Really good at reflectively listening? At putting himself in another’s shoes? At playing well with others? At saying, “I don’t know,” “Your idea is better than mine,” or, “You’re right”? Didn’t think so.

Edward D. Hess is a professor of business administration and Batten Executive-in-Residence at the University of Virginia’s Darden School of Business. Learn or Die: Using Science to Build a Leading-Edge Learning Organization, released last year through Columbia Business School Publishing is the 11th book he has authored. edhltd.com

Seven Suggestions to Help You Hone Your Humility First, know you’ll have to work against your brain’s natural

it looks like. Since this isn’t an area in which you can trust your

inclinations. Quieting our egos actually goes against our very

own judgment, have the courage to get people who know you well

nature! Cognitively, we humans are wired to selectively process

at work and in your personal life to fill out a 360-degree review

only information that is confirmatory — and selectively filter

about you — one that focuses on your emotional intelligence and

out information that contradicts what we “know” to be “right.”

your behaviors concerning open-mindedness, listening, empathy,

In addition, we’re lazy, self-serving and emotionally defensive

humility, et cetera.

After receiving the data, evaluate it with a trusted other. Thank

thinkers who are driven to protect our egos.

However, the science is quite clear that high-level and innovative

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everyone who had the courage to give you honest feedback.

thinking is a team sport. In order to learn, adapt and succeed, we

Reflect on the picture you received and decide what you want to do

have to be willing to look closely at our mistakes and failures, to

with that data.

Change your mental model of what “smart” looks like.

really listen to people who disagree with us, and to allow the best thinking and best ideas to rise to the top — which requires humility!

Seek objective feedback about your ego. You can’t

In the past, “smartness” has been determined by the size of one’s body of knowledge. Not knowing the “right” answer was — and

troubleshoot your ego if you don’t have an accurate picture of what

JAN. 20 1 6

Clearly, those who want to be an effective leader (or even a successful employee) in our brave new workplace are going to have to rein in their ego and become more team-oriented. And make no mistake — it won’t be easy. We’re talking about selfwork that’s never finished. For one thing, ego-based thinking is our brain’s default position — we naturally seek to reinforce what we already think we know. Also, we have to overcome a lifetime of cultural and behavioral big-ego conditioning. But if we’re to stay competitive in the Smart Machine Age, it has to happen!

The journey to becoming a more humble person will not be short. It will take persistent hard work. But with humility comes more meaningful relationships, better opportunities and, of course, an increased chance of staying relevant and competitive in the Smart Machine Age. In that age, individualism and internal competition will be out, and teamwork will be in. Self-promotion will be out, and selfreflection will be in. Knowing it all will be out, and being good at not knowing will be in.

In short, humility will be needed to maximize one’s effectiveness at thinking, listening, relating and collaborating.

I offer a few suggestions below.

You will need others to help you outthink a smart machine!

often still is — a big blow to the ego. But today, we already have

Many people who have big egos don’t realize it — they simply think of themselves as competitive, driven, self-assured, or something equally positive, notes Professor Hess. …

BETTERING YOUR BUSINESS

The End of Average

instant access to all the knowledge we want, thanks to “companions” like

Todd Rose, a rising star in the new field of the science

Google and Siri. The “new smart” means knowing what you don’t know and

of the individual, shows that no one is average. Not you.

knowing how to learn it, being able to ask the right questions, and being able

Not your kids. Not your employees. This isn’t hollow

to examine the answers critically. Engage in collaboration, seek out feedback

sloganeering — it’s a mathematical fact with enormous

and ask for help daily. That will push you toward developing the humility and

practical consequences. But while we know people learn

empathy you’ll need to “win” in the new game.

and develop in distinctive ways, these unique patterns

Learn to put yourself in others’ shoes. Research says one way to

of behaviors are lost in our schools and businesses,

become less self-absorbed and more open to the experiences of others is to

which have been designed around the mythical “average

actively work on being more empathetic and compassionate. Thinking of how others helped you and saying “thank you” on a daily basis is a positive way to begin the process. Reflecting on the people who add joy to your life helps, too.

I have found active listening to be important. When I focus all of my attention on what someone else is saying instead of on formulating my own response, my understanding of the situation grows — and, often, so does the amount of empathy I feel.

person.” This average-size-fits-all model ignores our differences and fails at recognizing talent. It’s time to change it.

Title: The End of Average: How We Succeed in a World That Values Sameness Author: Todd Rose

$27.99

Publisher: HarperOne

Available: 1/19/2016

Pages: 256

Remember, you don’t have to fully agree with someone’s opinion or actions

The Art of Leading Collectively

to still treat them with compassion. Disagreeing with humility still leaves the lines of communication open and allows teamwork to happen in the future.

Quiet your mind to stay in the moment. Attention-focused meditation is a time-honored method of calming one’s inner self-intensity. Fully

Readers learn how to tackle system change for sustainable

engaging with your current experience — as opposed to ruminating on the

development, reimagine leadership as a collaborative

past or worrying about the future — enables you to maintain a balanced,

endeavor, retrain leaders to work collectively, and

healthy perspective. Staying in and responding to the present moment

manage diverse groups through a change process that

is also a powerful safeguard against ego-driven misunderstandings and

has sustainability as a guiding focus. Drawing upon two

misinterpretations.

decades of pioneering, internationally recognized work

Stop letting fear drive your decisions. Being okay with being wrong is a necessary and important part of developing humility. Fear of failure, fear of looking bad, fear of embarrassment, fear of a loss of status, fear of not being liked and fear of losing one’s job all inhibit the kind of learning, innovation and collaboration that’s essential for your long-term job security. To proceed more fearlessly into the future, you need to understand that learning is not an efficient 99-percent defect-free process — so mistakes have to be valued as learning opportunities.

The faster and better you are at turning mistakes into learning opportunities, the less likely it is that you will be replaced by some machine.

Having an ego that’s not afraid to acknowledge mistakes, confront weaknesses

orchestrating multi-stakeholder initiatives, Kuenkel presents her chief tool, the Collective Leadership Compass, and shows others how to use it with large groups of diverse stakeholders to solve complex, urgent problems — particularly those that enmesh business activities, governance, human needs, and environmental impacts. The book offers many examples of collective leadership efforts involving corporate, public, and nonprofit sectors around the world.

Title: The Art of Leading Collectively: Co-Creating a Sustainable, Socially Just Future Author: Petra Kuenkel

$29.95

Publisher: Chelsea Green Publishing

Available: 1/20/2016

Pages: 304

and test assumptions is a reliable strategy for long-term success.

Grade yourself daily. There’s a reason why to-do lists are so popular: They

The Happiness Track

work! Create a checklist of reminders about the need to be humble, openminded, empathetic, a good listener or any other ego-mitigating quality you wish

A leading expert on health psychology, well-being and

to work on. Make the list as detailed as possible. Review it before every meeting

resilience argues that happiness is the key to fast-tracking

and grade yourself at the end of each meeting. For example, if you want to work

our professional and personal success. Everyone wants to

on being a better listener, your list might include the following tasks:

be happy and successful. And yet the pursuit of both has

• Do not interrupt others.

never been more elusive. As work and personal demands

• Suspend judgment.

rise, we try to keep up by juggling everything better,

• Do not think about your response while the other person is still talking.

moving faster and doing more. While we might succeed

• Do not automatically advocate your views in your first response.

in the short term, it comes at a cost to our well-being,

• Ask questions to make sure you understand the other person.

• Ask if you can paraphrase what the other person said to make sure you heard him correctly.

• Really try to understand the reasons the other person believes what he believes.

To start, pick two behaviors you want to change. Seek the help of trusted others in creating your checklist and ask for their help in holding you accountable. Give them permission to call you out when they see you acting in opposition to your desired new behaviors.

… Beware the “trues” in the self-assessment he offers, with such questions as: • I rarely say, “I don’t know” — especially in public.

• I interrupt people when they are talking in order to give them the answer.

relationships and, paradoxically, our productivity. In this book, the science director of the Center for Compassion and Altruism Research and Education at Stanford University explains that our inability to achieve sustainable fulfillment is tied to common but outdated notions about success.

Title: The Happiness Track: How to Apply the Science of Happiness to Accelerate Your Success Author: Emma Seppälä, Ph.D. Publisher: HarperOne

$27.99 Available: 1/26/2016

Pages: 224

23 20JAN.1 6 INBUSINESSMAG.COM

MINDING THEIR BUSINESS

TRACKING THE INDUSTRY GPS Insight founder and CEO Rob Donat is positioning his company to serve long-haulers, who have two years to comply with the recently enacted amendment to the Federal Motor Carrier Safety Regulations by the Federal Motor Carrier Safety Administration requiring GPS on the vehicles.

The company will be coming to market with a new monitoring solution it has developed with three other companies, “so if a driver is pulled over for any reason, he can prove he’s within the law in terms of how long he’s been driving, how long he’s rested, and how long he’s been on duty,” Donat explains. One company provided expertise in DOT driver laws, another the hardware, and “we’re working with Magellan, which does navigation, so we can give drivers turn-by-turn directions” that can, for instance, let a driver know if his truck will fit under a particular bridge.

GPS Insight typically offers the DOT-compliant monitoring solution for a mixed fleet that is primarily local, he says, pointing out his company can save more money for a local delivery fleet than long-haulers, as the former is more dispatch-oriented.

JAN. 20 1 6

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INBUSINESSMAG.COM

Rob Donat: Enhancing Fleet ROI GPS Insight founder keeps his company on the never-ending learning curve

by RaeAnne Marsh “Any vehicle that has a phone number on it is potentially valuable to a company like ours,” says Rob Donat, founder and CEO of fleet tracking company GPS Insight, which provides sophisticated tracking solutions that help companies with fleets add value to their operation — more efficient dispatch and routing being one of many advantages.

When he moved to Scottsdale from Chicago in 2004, he took a new direction with his experience in using technology in the financial industry, applying it to consult for a trucking company looking for a program to track its trucks. “I discovered there were not many products adaptable to the company’s requirements in payroll and billing needs,” he recalls.

The project opened his eyes to a market that seemed to promise great potential, as he noted the number of service and delivery trucks on the road. But the impetus to create his own product to offer his customers was the realization that what he was doing as a consultant was selling someone else’s product and then putting in a lot of work to augment it for a client’s specific needs.

Now, the company owns every piece of the value chain, except the hardware, in proprietary systems it developed to communicate with the GPS tracking systems in the field and process about 30 million pieces of vehicle data per day — and make that data available to the customer in real time as well as on GPS Insight’s scheduled reporting day. Customers see immediate, significant ROI that averages 400 percent, and some hit 1000 percent, according to Donat.

One aspect Donat enjoys, and he feels helps him attract and retain talent, is “the constant learning process that makes it interesting to go to work.” Serving the needs of customers requires, first, understanding that customer’s business. And, he says, “they have interesting businesses.”

Part of the learning comes from working with the customers and really listening to them. Also valuable are trade shows.

“Anybody who has vehicles has an industry — and has an industry association we like to get in front of, to get to know

more, understand their requirements and needs, and how we can help,” he shares.

His is a market that continues to evolve, he says, and he believes the tracking industry currently has only about 40-percent penetration. And he has seen what he calls “a race to the bottom” as the quality of global positioning system products has gotten better and less expensive. “I saw customers jump to these low-cost products,” he relates, “but realized they gave up a lot of ROI.” Making no concession on quality (“I’m happy that our product is the quality it is,” Donat says), GPS Insight did launch a less capable signal-type version to combat the price depression. Comparing it to training wheels, Donat explains it allows customers to get started with a product, and there is the potential to upgrade them when they find they want additional capabilities.

Donat started the company with two employees who had been consultants for him on other projects, and grew his workforce by referrals. He has found a rich pool of talent in the Valley — new graduates from ASU and U of A, and others who, he says, “move from other cities for the laid-back lifestyle.” And he has learned to “hire for the people,” he says, explaining, “We made the mistake in the past of letting people stay on who were good but not a culture fit. That did more damage than good.”

The company has been a winner two years in a row of the Phoenix Business Journal’s Best Places to Work, and Donat believes part of that comes from hosting several company outings to sporting and cultural events. “It’s a nice, bonding atmosphere — off-site and non-work — where people can get to know each other,” he says. But at the core, the reason people enjoy working for GPS, he says, is “every day is going to be something non-routine and non-mundane” because every customer is different. “They’re helping customers with a fun product that’s fun to build and fun to sell.”

GPS Insight gpsinsight.com

A “big reset” is looming for the tracking industry, says GPS Insight CEO Rob Donat, relating that AT&T has announced it will be turning off by the end of this year an older cellular network that has been used by a lot of GPS tracking devices.

JANUARY 2016

Urban Land Institute Arizona

2016 Real Estate Trends Day Conference Wed., Jan. 20 | 7:15a – 6:00p Program for the 11th Paul Saffo annual Trends Day conference presented by ULI Arizona, a nonprofit research and education organization that works to facilitate an open exchange of ideas and information on land use and real estate development issues, is built around the theme “The Next 10 Years.”

Examining the varied aspects of Arizona’s future, the day will include discussions on the region’s newest economic development initiative, the public-private undertaking Velocity; millennials; and the light rail. Among those leading discussions will be Arizona Governor Doug Ducey and Arizona State University President Michael Crow.

Grant Woods, attorney at Grant Woods Law and former Arizona attorney general, and Robert Robb, columnist with The Arizona Republic, will provide insight into costs versus benefits of the light rail by taking the pro and con sides, respectively, in what promises to be a lively debate on the topic.

Paul Saffo, a highly respected forecaster of large-scale, long-term change, will be the keynote speaker. Currently based in California’s Silicon Valley, where he teaches at Stanford University, Saffo works with governmental and corporate clients worldwide.

Panels will explore the economy, water and healthcare development while quick hit perspectives will share the latest on creative offices, state land and retail.

Discussion and panel sessions will end at 4 p.m., to be followed immediately by a networking reception until —Mike Hunter 6 p.m.

Members, private sector: $350; members, public sector: $250; members, under 35: $225; non-members: add $100; all registration after Jan. 8: add $25 JW Marriott Phoenix Desert Ridge Resort 5350 E. Marriott Dr., Phoenix

Arizona Association for Economic Development

Legislative Luncheon on the Lawn Thurs., Jan. 21 | 11:30a – 1:30p An event for anyone interested in bettering the economy of Arizona, the Arizona Association for Economic Development’s annual Legislative Luncheon provides opportunity for economic developers and like-minded individuals to engage in dialogue with elected officials, discussing policies that will help to keep Arizona competitive for retaining and attracting quality projects. The luncheon, catered by Postino, will be held under tents on the Senate Lawn at the State Capitol.

The luncheon runs from 11:30 a.m. to 1:30 p.m., with a program about mid-way to recognize two legislators who have been Champions for Economic Development in the past year. The winners will be announced at the luncheon.

AAED’s policy priorities for the 2016 legislative session include expanding education funding to ensure a qualified workforce, reauthorization of the Arizona Commerce Authority and the Arizona Competes Fund, retaining existing economic development programs, enchaining the access to capital, and funding infrastructure. A full description of these priorities may be found on AAED’s website under the tab “About AAED /Legislative Policy.”

AAED, founded in 1974, has a mission to serve as Arizona’s unified voice advocating for responsible economic development through an effective program of professional education, public policy and collaboration. The organization supports programs and policies that encourage businesses to expand and locate in Arizona. AAED will be encouraging the 2016 Legislature to support legislation that enhances Arizona’s competitive position in attracting and retaining —Joyce Grossman high-wage jobs.

SAVE THE DATE

Upcoming and notable Hearts of Gold Gala Feb.

6

Sat., Feb. 6

Faux Casinostyle gaming.

Proceeds from this Chandler Chamber of Commerce event help fund Save the Family operations. chandlerchamber.com Chinese Auction Benefit Dinner Feb.

Thurs., Feb. 18

18

Third annual fundraiser by and for the Gilbert Chamber of Commerce. gilbertaz.com Awards Gala Feb.

19

Fri., Feb. 19

This is the 18th annual awards gala, presented by the Black Chamber of Arizona, recognizing the chamber’s business partners that have made an impact in the community’s economic development. blackchamberaz.com

arizona.uli.org $50; registration deadline is Fri., Jan. 15

JANUARY 2016

S M T W T F S

State Capitol – Senate Lawn aaed.com

1 2

3 4 5 6 7 8 9 10 11 12 13 14 15 16 JANUARY 2016 NOTABLE DATES 17 18 19 20 21 22 23 Jan. 1 – New Year’s Day 24 25 26 27 28 29 30 Jan. 18 – Martin Luther King Jr. Day 31

25 20JAN.1 6 INBUSINESSMAG.COM

JANUARY 2016 Tues., Jan. 12

3:00p – 4:30p

ASBA Speed Networking Arizona Small Business Association Make vital business connections in increments of up to 90 seconds. Get tips from Pro Sales Coach Mike Leeds and learn the craft of fast relevant effective networking.

Members: free; non-members: $20 ASBA’s Business Education Center 4600 E. Washington St., Phoenix asba.com Wed., Jan. 6

10:30a – 1:30p

Tues., Jan. 12

Tues., Jan. 19

11:30a – 1:00p

7:30a – 9:00a

2016 Legislative Forecast Luncheon

Grow Your Business

Roundtable with Gilbert Town Hall

Arizona Chamber of Commerce and Industry

Mesa Chamber of Commerce

Gilbert Chamber of Commerce

The Arizona Chamber of Commerce will unveil its 2016 business agenda. The luncheon will host a legislative leadership panel featuring Speaker David Gowan, Senate President Andy Biggs, House Minority Leader Eric Meyer and Senate Minority Leader Katie Hobbs.

Attendees will learn from industry leaders new and practical tips to employ in the success of their businesses. Lunch is included and networking adds an additional dimension to this educational event.

Good Government Roundtable with Gilbert Town Hall, presented by SRP. Breakfast provided by Paradise Bakery & Café.

Members: $15; non-members: $25

Saint Xavier University

MVPita Mediterranean Grill

92 W. Vaughn Ave., Gilbert

1066 N. Power Rd., Mesa

gilbertaz.com

Members: $75; non-members: $90 The Sheraton Grand Phoenix 340 N. 3rd St., Phoenix

mesachamber.org

azchamber.com 6

Members: $20; non-members: $35

8

12 Tues., Jan. 12

13

19

7:00a – 9:00a

Breakfast Association for Corporate Growth – Arizona Breakfast speaker is Rick Smith, CEO of Taser International.

Members: $69; non-members: $79 Arizona Biltmore

2400 E. Missouri Ave., Phoenix

acg.org

Wed., Jan. 6

Wed., Jan. 13

5:30p – 7:30p

11:00a – 1:30p

Video Workshop

Shakers & Stirrers Networking Mixer

Fri., Jan. 8

Networking For Professionals

Meet the Elected Officials

Happy Hour food and Cash Bar. Great raffle prizes that include a 50/50 raffle for a local charity.

Chandler Chamber of Commerce

eWomen Network

9:00a – 1:00p

Members: $10; non-members: $20

Meet many of the Arizona state legislators; members of the Chandler, Kyrene, Tempe and Mesa governing boards; the Corporation Commission; and more.

Video is the most important tool for content marketing, yet many of us don’t use, know how to get started or how to use it effectively. Jeany Park will lay out a tight system of strategies to fold video into your marketing today and to create a never-ending stream of clients. Learn how to use video to explode your ROI, unblock your barriers to using video, and expand your reach and make a bigger impact.

Majerle’s Sports Grill at Desert Ridge

Members: $20; non-members: $35

Members: $38; non-members: $48

21001 N. Tatum Blvd., Phoenix

Hilton Phoenix/Chandler

Raven Golf Club

networkingforprofessionals.com

chandlerchamber.com

JAN. 20 1 6

26

INBUSINESSMAG.COM

2929 W. Frye Rd., Chandler

3636 E. Baseline Rd., Phoenix

ewnphoenix.com

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

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

Fri., Jan. 15

7:30a – 9:00a

Thurs., Jan. 21

4:30p – 6:00p

International State of the Metro

Discover Arizona 2016

Global Chamber

Organization for Women in International Trade – Phoenix

Mayors from around the Metro discuss international progress, and opportunities.

Experience the taste of authentic Belgian culture in this “Discovering Arizona” program and meet the owner, Frederiek Verbeke, and his wife, Christine. This event will also introduce OWIT Phoenix’s 2016 new acting board member team.

Members: free; non-members: $25

Members: $10; non-members: $20

The Office Pile

Chocolade Van Brugge

2501 N. 7th St., Phoenix

4225 N. Marshall Way, Scottsdale

globalchamber.org

owitphoenix.org Wed., Jan. 20

Thurs., Jan. 28

8:30a – 2:30p

7th Annual Golf Tournament

Coffee Time

Arizona Technology Council

Mesa Chamber of Commerce

This scramble-format tournament brings industry leaders and technologists together for a day of networking and sportsmanship. This is a great opportunity to play one of Arizona’s best courses at half the price of prime golf season. Each registration includes a sleeve of golf balls and lunch.

This is an informal networking opportunity for local business professionals and fellow chamber members.

Members: $150; non-members: $175

Jarrod’s Coffee & Tea Gallery

Troon North Golf Club

154 W. Main St., Mesa

Free

10320 E. Dynamite Blvd., Scottsdale

aztechcouncil.org

15

mesachamber.org

20 Wed., Jan. 20

5:30p – 7:00p

8:00a – 9:00a

21 Fri., Jan. 22

28

29

8:00a – 9:30a

After 5 Evening Mixer

Women in Business Speaker Series

Ahwatukee Foothills Chamber of Commerce

Tempe Chamber of Commerce

This evening of business-to-business networking is a great opportunity to see how members can work together to build relationships and inspire business connections. Bring a door prize to promote your business.

Members: $5; non-members: $15

“Mean Girls: How to Work with Them and How to Not Be One,” with speaker Deborah Gardner. Session topics will cover building the right team, how to have critical conversations without the waterworks, negotiating so that everyone walks away feeling like a champ, and bringing up the next generation of leaders.

New Paths to Healthcare, LLC

Members: $20; non-members: $30

13838 S. 46th Pl., Phoenix

Western International University

ahwatukeechamber.com

tempechamber.org Wed., Jan. 20

22

1601 W. Fountainhead Pkwy., Tempe

11:00a – 1:00p

2016 Businessman & Businesswoman of the Year Luncheon Gilbert Chamber of Commerce The Gilbert Chamber of Commerce celebrates business leaders and their contributions to the local business community over the past year.

Fri., Jan. 29

11:30a – 1:00

Meet Your Neighbors Lunch Scottsdale Area Chamber of Commerce This is an opportunity for chamber members and non-members to network over lunch. $10

Members: $35; non-members: $50

The Old Town Tortilla Factory

Doubletree by Hilton Phoenix-Gilbert – SanTan Elegante Conference & Reception Center

6910 E. Main St. Scottsdale

1800 S. SanTan Village Pkwy., Gilbert

scottsdalechamber.com

gilbertaz.com

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

27 20JAN.1 6 INBUSINESSMAG.COM

INVESTING IN COMMUNITY

FEB.

UP NEXT MONTH The Culture of Engagement and Philanthropy

WHAT MAKES AN EXCEPTIONAL LEADER? Through its own experience and research, Y Scouts identified the essential behavioral qualities that define top-notch leaders.

Nonprofits should seek individuals who: • Drive results. Whatever the functional area, the candidate displays a history of “delivering the goods.”

• Develop others. As a leader, the candidate realizes it’s not all about “me” and works to help others reach their full potential.

• Learn relentlessly. The candidate has an unbounded sense of curiosity and leans into learning of all sorts — about craft, industry, or even world events.

Brian Mohr is co-founder and managing partner of Scottsdale-based Y Scouts, an executive search firm that often partners with The Phoenix Philanthropy Group on recruitment, talent management and leadership development matters for their nonprofit clients. yscouts.com Richard Tollefson is founder and president of The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists. phoenixphilanthropy.com

JAN. 20 1 6

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INBUSINESSMAG.COM

The Value of Values-Based Hiring

Setting aside a candidate’s resumé and job description may be the best strategy for nonprofits seeking the perfect hire

by Brian Mohr and Richard Tollefson It happens all the time: A candidate with impeccable credentials steps up to a nonprofit leadership position only to step down within a year or so. But why? And why so often?

A number of reasons could be at play — expectations aren’t being met (by employee or employer), co-workers’ work styles clash, the workload is not as expected — but mostly it boils down to not the right fit.

Part of the issue is hiring that is focused almost exclusively on a candidate’s skills, with little attention paid to the organization, itself — its purpose, values, culture and leadership — and how the candidate’s belief system aligns in those areas.

But within executive search firms that focus on values alignment, this is precisely the starting point: a deep assessment of the nonprofit. What is the organization about?

What does it stand for? What types of people thrive there?

What behaviors are rewarded and recognized?

Only when an organization’s culture is fully understood — after meetings and surveys with a wide range of stakeholders — can the search team seek synergies in candidate responses.

While this approach is more time consuming, Clesson Hill, president of Child Crisis Arizona’s board, says it’s time well spent. “It is a choice. Spend time up front or on the back end cleaning up messes.” Child Crisis Arizona engaged Scottsdale-based executive search firm Y Scouts to identify a leader familiar with mergers, who also was passionate about improving the lives of local children and families.

“A volunteer board running this process wouldn’t have had the time to complete such a thorough background on candidates,” says Hill. “We would have just compared the job description to the resumé and made our decision. And as a result, we would have had about 20 percent of the information we needed.”

Resumés and job descriptions are part of the process of

identifying talent, but during the interview they should not be the focus. Instead, ask personal, open-ended questions: Who are you and what do you stand for? If you were to make a career change, what would your motivation be? Is something missing in your career? Are you drawn to a cause? What is most important in your life? What topics occupy your mind? What news articles do you read? In what activities do you participate outside of work?

These non-skills-based questions reveal a candidate’s values, how she operates, and how she might fit with the nonprofit’s culture. Skills shouldn’t be minimized, of course, but if the person is not a good fit for the organization, no amount of skill will compensate for a misalignment of shared values.

“You can put anyone in a seat,” says Ash Hachmeister, Child Crisis Arizona board member. “But there is absolutely nothing more important than getting the right person in the seat. It simply takes time.”

Search Tactics Not every organization can afford a search partner; they can, however, apply similar tactics.

Create a search committee. Include board members, leadership and non-leadership employees, the individuals sourcing talent (internal HR or a recruiting firm), and especially

• Who: What areas of expertise are absolutely necessary for this position? Is a master’s degree essential (what outcome will it support)? Omit unnecessary qualifications. What type of person best fits the nonprofit’s values and organizational culture?

• Where: Look beyond job board postings. Brainstorm. Which

stakeholders, whose lives are directly touched by the candidate

organizations might currently employ your ideal candidate?

who fills the position.

Does he work within sub-sectors of the nonprofit world? Is he a

Survey the committee. Before a formal meeting, ask: “Hiring the right person will lead to what/where?” “At the end of two years, I would be thrilled if the new leader accomplished [fill in the blank].”

Conduct a strategy session. Begin with the compiled survey results, and be ready to discuss: • Why: Why does this role exist? Are the expectations and success outcomes realistic, specific, measurable, achievable and timely?

member of various professional associations? Actively approach these individuals.

• How: Develop recruiting tactics. Does anyone on the committee have access to potential candidates through professional organizations or personal relationships? Who is most skilled at using social media, such as LinkedIn, to cull through professional connections? Who will research niche job boards for potential leads?

Seventy-five percent of chief development officers and 62 percent of CEOs cite unrealistic expectations as the main reason for leaving their jobs, according to Campbell & Co. study “CDO Confidential: What CDOs Want You to Know about Retention.” bitly.com/cdo-confidential

BY MIKE HUNTER

WE VALUE WHAT WE OWN

2017 Infiniti Q30

The new Infiniti Q30 is slated for delivery later this year, but is making an impression for its technology, design and focus on a new generation of driver for Infiniti. It is based on an all-new turbocharged 2.0-liter engine with 208 horsepower boasting an impressive 258 lb-ft of torque. All of the power is channeled through a 7-speed, dual clutch transmission that pre-selects the gear for a quick response shift.

The bold and aggressive design with its smart curves and intelligent technologies are certain to attract a younger crowd. To enhance the driving experience, Infiniti added multiple features like the Around View Monitor, blind spot warning and forward collision warning with emergency braking. The interior is luxurious, with selected premium materials in a cabin that is very modern in its appeal and styled to what looks like a work of art. Lines are also curved, making an interestingly shaped dash to conveniently house all of the gauges and gadgets to make driving, navigating, changing audio and communicating easy tasks. Bluetooth, USB ports and all of the latest wireless technologies connect gadgets for voice calls and connection to Wi-Fi. The exterior begins with a contoured mesh grill that transitions into head lamps and curves around to make the impressive lines along which the fenders and a double crease on the hood visually demonstrate the muscle behind this vehicle. The low roofline gives the vehicle a powerful crouch that sets this Infiniti apart from others and evolves the newgeneration beast called the Q30.

Infiniti infiniti.com

2017 INFINITI Q30 City: 24 mpg Hwy: 32 mpg Transmission: 7-speed Automatic 0-60: 6.4 sec

Seeing Double

MSRP: $32,000 (Est.)

Spending hours in front of a computer monitor is how we do business these days. The adage “two is better than one” is certainly true in this case. Dual monitors means more can be open on one’s desktop, enabling greater productivity with email and projects. Here are our picks for

Photos courtesy of Infiniti (top), 3M, Fellows (bottom, l to r)

stands to hold multiple monitors:

3M Dual Monitor Arm Mount, 5x19-inch, Silver

3M Easy-Adjust Dual Monitor Arm; 4.5x11.5-inch, Black/Gray

Fellowes Desk-Mount Dual Monitor Arm, Supports 24 Pounds, Black

Save valuable desk

Highly adjustable arm(s)

This stand features

space and easily

moves up, down,

two monitor arms

move the monitor,

forward and back

that adjust easily in

multiple monitors

with just a touch.

every way. Easy-to-

or a combination of monitor and laptop to

This product provides 22 inches of height

mount clamp attaches to desktops 1–3 inches

a comfortable height for viewing, reducing

adjustability and 25½-inch extension

thick or through grommet holes at least 3¼

eye, back and neck strain. Highly adjustable

from base. Clamp-mount hardware fits

inches in diameter. It elevates LCD monitors

arm moves smoothly up and down through

desk up to 25/8 inches thick and grommet

from 3½–16½ inches above the desk with a

103/5-inch height adjustment range with

mount hardware fits desks up to 3 inches

reach of 2½–27 inches.

just a touch. bitly.com/3m-dual-monitors

thick. bitly.com/3m-dual-monitors

bitly.com/fellows-dual-monitor

The logo design for Infiniti — two central lines leading off into an infinite point on the horizon — symbolizes the luxury performance brand’s desire to be always looking forward — to new horizons, to infinity.

29 20JAN.1 6 INBUSINESSMAG.COM

MEALS THAT MATTER

True American red snapper, avocado, cherry tomato, citrus, cucumber, red onion $16

LOBSTER ROLL “NIK NIKS” Fresh never-frozen lobster on housemade Parker rolls $18

Buck &Rider: Aussie Beach House-Inspired

This newest eatery from the people at LGO, who brought us Le Grand Orange and Chelsea’s Kitchen, was built from the ground up with Phoenicians in mind, inspired by a beach house in a coastal town in Australia. A unique concept that brings the sea to the dining table, this fun-vibe space is at once open and cozy, fresh and simple in a comfortably causal atmosphere. There’s nothing casual about the service, though – it’s impeccable.

The wave of fresh seafood includes a raw bar and sushi, among other culinary delights — all the freshest ingredients and combinations of tastes that will please the most discerning coastal culinary enthusiast. Try the Seafood Bar for the freshest of oysters, Gulf shrimp, Alaskan king crab and stone crab claws, with your choice of cocktail sauce, mignonette, cognac mustard sauce, Thai dipping sauce or horseradish.

Classics that one can expect include the New England Clam Chowder, which is a creamy and well-seasoned rendition. The Fresh Blue Crab Cakes are made with Pommery mustard sauce, chipotle spice, baby kale, pepitas, radishes and sunflower

Cafe Zupas

Soup It Up Cool weather calls for warm eats. The Valley is known for its refreshingly light and cool temptations in the summer, but when the temperature dips to jacket

JAN. 20 1 6

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INBUSINESSMAG.COM

sprouts. Another great classic is the Grilled New York Strip Steak Sandwich, made with mesquite-grilled local prime steak, arugula, fresh horseradish and smoked tomato.

Other unique dishes will quickly become local favorites and classics in their own right. The Spicy #1 Tuna Tostadas are made with rustic escabeche, avocado and jalapeños. The B &R Sushi Salad is light yet flavorful, made with baby kale and miso vinaigrette with choice of rolled sushi. Also headed for prime time is the Seaweed Superfood Salad, a three-seaweed blend tossed with cucumbers, avocado and macadamia nuts in a light sesame dressing. It is light and very good for the soul.

This sea-inspired new hot spot is a great get-away for lunch, and worth a return visit later for drinks at the elaborate and fun bar.

Buck &Rider 4225 E. Camelback Rd., Phoenix (602) 346-0110 buckandrider.com

AJ’s Fine Foods

Café Zupas (pictured)

Wildflower Bread Company

Those who live and work

Counter-serve local

Known for its baked goods

around an AJ’s know that

eatery offers a

and sandwiches constructed

it offers everything from

multitude of hearty

between slices of homemade

pizza and sushi to salads

soups, innovative salads

bread, this Valley-wide eatery

and great soups, to go or

and diverse sandwiches.

also offers up some standards

to eat in at their cafes.

The soups range from

and seasonal soups. Made fresh

Homemade daily, the

clam chowder and

daily at each location, with the

soups can be by the cup or

mushroom to vegetable

freshest ingredients, these make

family-sized. And there’s a

quinoa and tortilla.

the perfect accompaniment for

great selection of breads

Multiple Valley locations

dipping-in with some fresh-

and coat weather, we have some great

to pair with as well.

spots for the heartier and deliciously

Multiple Valley locations

Multiple Valley locations

warm soups. Here are our picks.

ajsfinefoods.com

wildflowerbread.com

cafezupas.com

baked breads.

Seaweed: In the west, seaweed is largely regarded as a health food and, while there has been an upsurge of interest in seaweed as food in the last 20 years, it is unlikely that seaweed consumption in the U.S. will ever be more than a fraction of the Japanese.

Photos courtesy of Buck &Rider (top), Café Zupas (bottom)

SNAPPER CEVICHE

BY MIKE HUNTER

GLOBAL Global Chamber® Events www.globalchamber.org/events

Global Chamber® Virtual Event

Wed., Jan. 6 ‘Planning Your 2016 Global Growth’ Virtual event featuring three outstanding speakers.

10 a.m. Arizona, 12 noon Eastern RSVP to events@globalchamber.org Global Chamber® Phoenix

Thurs., Jan. 21 ‘Leadership Series’ Keynote speaker: Women in Global Leadership.

7:30 a.m. to 9 a.m.

RSVP to doug@globalchamber.org

SPOTLIGHT EVENT Global Chamber® Phoenix

Wed., Feb. 17 ‘International State of Metro’ Mayor Stanton and regional leaders share their global business report card.

5:30 p.m. to 7:30 p.m.

RSVP to doug@globalchamber.org Global Chamber® Tucson

Mon., Feb. 29 ‘Grow Globally Fair Tucson’ All the global resources in Tucson, all together, one time per year.

3 p.m. to 5 p.m.

RSVP to doug@globalchamber.org

Inside this section

2 Build Your Global Team for Successful 4 Considerations International Negotiating Trans-Pacific Partnership Offers New Opportunities

5 Global Chamber Committees 6 Member News 7 News from Global Chamber ®

®

Denver, Dallas, Detroit and Delhi

® CHAMBER JANUARY — APRIL 2016

2016 Global Growth: Just Do It. Take Action.

Doug Bruhnke, CEO/Founder at Global Chamber®

“Action may not always bring happiness; but there is no happiness without action.”

It seems it would be great if we had one growing customer for our business located right across the street. Then we could spend all our time right there, crossing the street if there were ever any issues.

We wouldn’t have to worry about Doug’s Grandmother Emma Arriving at Ellis Island, 1932 cross-cultural issues and adding a layer of complexity to our business with global business. But that one growing customer would be high risk: all eggs in one basket. And so to diversify and lower risk, having more customers makes sense … across town, across the state, across the country and, eventually, across the world. It’s inevitable if you want to grow with low risk.

This is why almost no company proactively goes after global business. We tend to go kicking and screaming. Only 1 percent of companies export, and of those, less than half export to more than one country, and the one country is Canada or Mexico more than half the time.

The number of companies exporting to multiple countries outside Mexico and Canada is really small. Worse yet, three out of four exporters wait till a buyer approaches them instead of proactively planning. We REALLY don’t want to do this!

It takes action, and that’s hard. An analogy I use is my grandmother and grandfather: Unhappy with how things were going in Germany in 1932, they proactively decided to export themselves to the U.S. That took thoughtfulness, energy and courage to go to another country and make a new life in the teeth of the worldwide depression. I’m sure happy they were proactive, because status quo would have been to stay and then be on the wrong side during WWII — and would they have survived?

Should you wait or should you go (global)? When asked, 100 percent of the speakers at Global Chamber have said, “I should have gone global sooner.” Exporting companies in the U.S. are 20 percent more profitable on average, and the 1 percent that export account for 15 percent of the national GDP. Will you wait for something to happen, or will you be proactive in 2016 and take a positive step forward in your business growth? We can’t make that decision for you, but we can offer a safe place to come when you’re ready: Global Chamber.

Global Chamber is the only organization in the world with the mission to grow business from anywhere to anywhere while collaborating with every organization. We help companies, investors and business service providers grow and succeed. Consider lowering your risk in 2016 with a plan that includes global growth.

Global Chamber® globalchamber.org

GlobalChamber.org

1

Build Your Global Team Doug Bruhnke, CEO/Founder at Global Chamber®

Chances are, if you’re going global or thinking about it, you won’t have all the resources you need on staff and won’t know all the right resources outside the firm that can help you reach optimum success. Small and medium-sized companies need help; you can’t hire all the people you need. We know it’s a challenge and we work hard to help members connect with the people they need to know to grow. Nearly all companies struggle as they go global because they don’t know the best resources, or don’t pull the trigger to include them in their journey. Don’t hesitate! Here are some resource categories and specific companies to lower risk and increase your probability of success. It takes a village to grow globally.

Legal: There are several types of international legal services that you’ll need, including international contract law, international business law, foreign corrupt practices act support, and immigration. Reach out for international legal support from Polsinelli, Squire Patton Boggs, Galbut and Galbut, and Apfel & Associates.

Banking: As in law, there are a variety of financing and banking services that are

2

Global Chamber®

or Tiempo Development for development essential in your global journey. Most banks are not aware of what you’ll need with foreign resources, and contact MSS Technology for IT consulting to reach the next level. For exchange or credit insurance on overseas data protection, Phoenix NAP is a global shipments, but these do: Alliance Bank of datacenter that understands business across Arizona, Bank of America, BBVA Compass borders. and BMO Harris Bank.

Credit Insurance: The U.S. Export-Import International Accounting: All accountants Bank is back, helping U.S. exporters reduce are not equal. You’ll need someone who the risk of not getting paid. There was an understands the specifics of what is required ill-conceived attempt by some in Congress country by country. Contact CPA Global Tax to to indirectly harm the 1.5 percent of U.S. gain insights for specific countries. exporters who rely on ExIm Bank to grow Global HR: You need special people and globally. Contact ExIm directly or through a they’ll need to be managed appropriately as bank to learn more. you expand. Contact Vendome Partners and Business Insurance: It’s important to SSA International Search to find and hire the have business insurance that protects your right people in different countries, including company whether you’re in international board members. Safeguard World International markets or not. General Southwest will help you pay and manage them.

Insurance Agency is an excellent resource for International Marketing and Sales: manufacturers, tech companies and others Growth Nation helps companies grow looking for a partner to understand and globally and locally with marketing and protect their business, here and there.

Technology: You need the right information systems to grow globally.

Contact Solution Stream —Dr. Hyacinthe Ndri, Honorary Consul Sierre Leone, Dallas

“I am convinced that it (Global Chamber®) is the beginning of something BIG! I am certainly on board.”

sales support designed to be “just right” for companies looking to lower risk and increase success. Also reach out to Elite Advantage for additional support, especially for the Hispanic market.

Business Consulting: Ramirez Advisors supports companies expanding into Mexico, and there are additional Global Chamber members who can help in other countries — including Consulting Professors, Giles & Company, Africa Business Portal and Business Enterprise Mapping. Get the specific help you need.

Manufacturing Consulting: Improve your processes and reduce risk with better manufacturing systems such as those developed by Delta Technology.

Communications: Stateside International Talk by T-Mobile offers unlimited mobile-to-landline calling to 70+ countries and unlimited mobile-to-mobile calling to 30+ countries. Connecting globally has never been easier.

Executive Global Education: Thunderbird Online is a world-class education platform for executives looking to expand their reach globally. It provides online courses and executive certificates to busy professionals seeking to continue learning.

Logistics: International logistics can get complicated, so having an experienced logistics partner like UPS or APL Logistics will help your products get there. Compete Consulting is a good resource for product companies looking to reduce shipping costs.

Cross-Metros: Global Chamber is structured by metro area, and our focus is on creating cross-metro business. We partner with other organizations, including Sister Cities, to create more people-to-people connections through commercial, educational, cultural and artistic exchange programs, along with events that inspire global, longterm, international partnerships and business opportunities.

Cross-Borders: Regional Consular Corps can provide business connections to markets of interest. An example is Alisa Jost (Switzerland) of Arizona Consular Corps, a forum for accredited consuls, building relationships with governments and community, and fostering business, educational and cultural endeavors.

Foreign Partners: U.S. Commercial is a trade promotion arm of the U.S. Department of Commerce’s International Trade Administration. U.S. Commercial Service professionals offer specific business services, including the “Gold Key” program, which helps find trusted partners in countries around the world.

Global Chamber® globalchamber.org

“Global Chamber® will help expand exports and imports.”

—Mayor Jonathan Rothschild, City of Tucson

GlobalChamber.org

3

Considerations for Successful International Negotiating Raymond Hopkins, Member of Global Chamber®

The business world is becoming increasingly global. Although globalization opens many opportunities, it also creates many complex challenges for traveling the world as a buyer or a seller seeking business agreements and ventures in the global arena. If you’re interested in taking advantage of these new global opportunities, you’ll need a working knowledge in finance and currency, global strategy, and foreign legal and accounting practices, along with sharp cross-cultural negotiating skills. Don’t make the mistake of approaching foreign markets the same way you would your domestic market. What works at home will not work elsewhere.

Negotiation is the process in which two or more entities come together to discuss common and conflicting interests to reach a settlement of mutual benefit. In international business negotiations, the process differs from culture to culture in language, behavior, negotiation styles, approaches to problem solving, hidden assumptions, gestures and facial expression, and the role of ceremony and formality.

The parties to a negotiation want to do business or they would not be talking in the first place. Success in international business results from the ability to bring two people together, but all too often, the obstacle is our perception of people from other countries.

Frequently, one party negotiates with impossible expectations of the other party.

Glen Fisher (*) addresses five considerations for analyzing crossinternational negotiations: 1) the players and the situation, 2) styles of decision-making, 3) national character, 4) cross-cultural noise, and 5) interpreters and translators. Each consideration presents questions that should be answered before entering international negotiations.

1) The Players and the Situation — There is a cultural dimension in the way negotiators view the negotiation process that raises several issues. Form, hospitality and protocol play important roles as they interact. The negotiator and/or his team should discover the expectations of his counterpart and work to create a negotiating environment that leads to cooperation and solving problems. If possible, negotiators should also research biographical data and analyze his/her counterpart’s organization or institutional role, especially the level of his authority to reach agreement. In the case of negotiating teams, it is useful to discover how corporate culture affects negotiation dynamics.

2) Styles of Decision-Making — The organizational culture of a foreign corporation may require adhering to formal rules and

Trans-Pacific Partnership Offers New Opportunities Doug Bruhnke

The new Trans-Pacific Partnership (TPP) agreement reduces tariffs and trade barriers for the 12 participating countries, facilitating more trade. There are 18,000 tariffs and other barriers that will be eliminated for American products, immediately making U.S. exporters more competitive. The 12 countries are: Canada • United States • Mexico • Australia New Zealand • Japan • Malaysia • Vietnam Singapore • Brunei • Chile • Peru

4

Global Chamber®

These countries account for 800 million people, 37 percent of global GDP and 45 percent of total U.S. goods exports. Trade with these countries supports 4.2 million jobs in the U.S., and TPP is expected to increase those jobs.

Reducing barriers creates change, and change is hard. But it is our belief that with fewer barriers, trade increases, and those companies and countries with strong

products and services will ultimately benefit. And so that is why we believe the TPP is a strong step forward with international trade that helps everyone.

Learn more at globalchamber.org/blog.

regulations guiding its decision-making process. To influence a foreign corporation’s decision-making process, analyze its corporate culture and structure arguments to fit within established guidelines you discover, if possible. By discovering how foreign counterparts look at facts and analyze data, negotiators can substantiate positions with facts, leading to a successful outcome.

3) National Character — Foreign negotiators concerned with international image may be preoccupied with their national heritage, identity, language and organizational role. Cultural attitudes, such as ethnocentrism — the universal tendency for people to favor their own group over others — may influence the tone of their negotiating positions.

4) Cross-Cultural Noise — Noise consists of the environmental distractions that have nothing to do with the content of the foreign negotiator’s message. Factors such as gestures, personal proximity and office surroundings (e.g., room temperature) may unintentionally or intentionally interfere with communication.

The danger of misinterpretation of messages requires awareness of various contextual factors.

5) Interpreters and Translators — Fisher, in his book International Negotiations: A Cross-Cultural Perspective, points to limitations in translating certain ideas, concepts, meanings and nuances. Subjective meaning may not come across through words alone. Gestures, tone of voice, cadence, and language that lends itself to more than one meaning are all meant to send a message that can be excluded in any translation.

Sometimes, a negotiator will try to communicate a concept or idea that does not exist in the counterpart’s culture. For example, the Anglo concept of “fair play” has no equal in any other language. How then can an American or English national expect “fair play” from a foreign counterpart?

Interpreters and translators may have difficulty transmitting the logic of their key arguments, especially when it comes to abstract concepts such as planning and international strategy.

The parties may conclude they reached an agreement when they actually have entirely different intentions and understandings!

Fishers’ five-part framework provides you with a launch pad for practical application. Consider its elements in preparing for your next global business negotiation.

Fisher, G. International Negotiations: A Cross-Cultural Perspective Chicago: Intercultural Press.

Raymond Hopkins raymondhopkins.net

Global Chamber® Committees Dakota Drake, Operations Manager at Global Chamber®

Would you like to discuss an issue unique to your industry with someone who’s been there and done that? How about a conversation with someone in Hong Kong about issues in global education, or share suggestions for great restaurants with someone in Dakar? Need legal advice from someone on the ground in Dubai?

Global Chamber® wants to give you and your company a way to have a discussion with a group of like-minded global business professionals about what matters to you. That’s why Virtual Groups — our online committees — have been created with people like you in mind.

Global Chamber committees are a key way that members can reach out to the world when they have or seek specific cross-border business questions and opportunities. Committees pool the knowledge and experience of Global Chamber members while expanding each participant’s own network. Members act as a peer-to-peer advisory, meeting virtually through discussion boards tailored to specific topics.

Each week, every committee is updated with a new discussion topic.

Sometimes, conversation gets going around an interesting new article or recent event. Any Global Chamber member is invited to join and comment. Committees connect people and companies across the world by sharing discussions, links and videos online; over conference calls; with webinar tools like Skype or Google Hangouts; or even in person.

There are three types of committees: Metro, Regional and Industry. Metro groups are for people with an interest primarily in specific cities. These groups can meet either online or in person.

Regional groups are for those who want to interact with others about an entire country or region — like Spain or all of Central America.

Industry interest groups are for specific topics, like education, food and culture, sustainability, mining, exports and more. We know your interests are varied — so join as many as you like.

Positive interactions with members active in global business can be the cure to doubts that arise from stepping into new markets or ventures. These interactions are personal and trusted to be most effective. So how do you combine both efficiency and taking the time to develop a personal connection with a peer or mentor?

A quick online search will bring you closer to an answer about your business, but how can you know if it’s an answer that will fit your specific needs in a new market on the other side of the globe?

Virtual Groups bring members together in one place, accessible any time, discussing the topics that matter to your business.

“Expansion to 525 metros is an audacious dream, and that dream is becoming more real every day, helping companies grow globally.”

Global Chamber® globalchamber.org

—Doug Bruhnke, CEO/Founder, Global Chamber

GlobalChamber.org

5

Member News Online Global Business Education

Jaime Daddona Named ‘40 Under 40’

Thunderbird Online

Jaime Daddona of Squire Patton Boggs has been named by Phoenix Business Journal for its 2015 40 Under 40. Each year, a new class of 40 talented honorees is carefully selected, from nearly 400 applicants, by a panel of judges that includes the news team, sponsors, community partners and program alumni.

Jaime Daddona’s practice focuses on corporate matters, with an emphasis on mergers and acquisitions, restructuring, commercial transactions, securities offerings and compliance, and corporate governance. squirepb.com

Thunderbird School of Global Management provides online global education to access anywhere in the world. Improve your leadership, understand global markets and learn from world-renowned faculty via the Web or on campus.

Open enrollment: www.thunderbird.edu/execed Online programs: www.thunderbird.edu/open Professional certification: www.thunderbird.edu Custom programs: www.thunderbird.edu/custom

Squire Patton Boggs

Best Law Firms 2016

Eric Dahl Joins Growth Nation

Galbut & Galbut

Growth Nation

Galbut and Galbut has been selected as one of the “Best Law Firms” in 2016 by U.S. News & World Report. The firm received rankings in the following practice areas: • Corporate Compliance Law • Litigation – Banking and Finance • Commercial Litigation • Corporate Governance Law • Corporate Law • Litigation – Antitrust • Litigation – Intellectual Property • Litigation – Real Estate • Litigation – Securities • Security/Capital Markets Law

Eric Dahl has joined Growth Nation as a growth consultant, offering companies the opportunity to expand their success regionally and globally. He has expertise in financial services, exporting, governance, government, theme park development, business management and international business.

Eric was chief executive officer of World Trade Centers Association.

He has more than 30 years’ experience in developing, advising and operating international companies.

The rankings were just released under “U.S. News Best Law Firms” based on a rigorous evaluation process. That process included the collection of client and lawyer evaluations and peer review from leading attorneys.

Welcome to Kim Bridges, new marketing manager, supporting the growth of chapters around the world. Our team of interns continues to expand as well, and includes three new interns who are in a special global program at Scottsdale Community College. Welcome Arsene from Ivory Coast, Jason from India and Ajmal from Pakistan.

Global Chamber® is Growing Locally, Too Global Chamber® and Global Chamber® Phoenix

Global Chamber® Members on MPEXA Board Metro Phoenix Export Alliance “MPEXA” has launched in Metro Phoenix to help guide exporters in the region to the right resources, including Global Chamber! Several dozen members of Global Chamber Phoenix are on the working and advisory boards, including professionals at Polsinelli, Alliance Bank of Arizona, UPS, CPA Global Tax, Liberty Trade Empire, Coaching Professors, BBVA Compass and Bank of America. Additional board members from Global Chamber are Don Henninger and Doug Bruhnke. Watch for more information in 2016.

6

Global Chamber®

News from Global Chamber® Global Chamber

®

Global Chamber Phoenix and Tucson Chairman/CEO Sponsors Polsinelli Thunderbird Online Squire Patton Boggs Growth Nation InWhatLanguage.com President Sponsors Galbut & Galbut BMO Harris Bank Bank of America DIRTT Alliance Bank of Arizona Special Global Advisors Keith Galbut, Galbut & Galbut PC Charles Bruce, Johnny Rockets, The Original Hamburger Hank Marshall, UK Honorary Consul in Arizona Melissa Sanderson, Freeport McMoRan Kiyoko Toyama Michael Patterson, Polsinelli Don Henninger, DH Advisors, Global Chamber

Chapters on Every Continent

Virtual Groups rielle Cottrell, Marketing A Manager at Global Chamber®

im Bridges, Marketing Manager at K Global Chamber®

With chapters on every continent, Global Chamber® offers members the ability to be connected to someone you know, like and trust in every region of the world.

Do business in one metro? Join a local chamber. Do business across metros? Join the growing number!

Growing to 500 Metros hiena Amigo, Community Developer at S Global Chamber®

We’ve mapped out a global growth plan for Global Chamber® to 525 metropolitan areas around the world.

The metros were chosen based on size and connectivity to other cities — and, in particular, we considered the worldwide Sister Cities International network. Join us to connect to opportunities in other metros.

“We’re pleased to support the growing global network to and from Japan.”

—Nobuo Yoneyama, Executive Director, Global Chamber® Tokyo

Global Chamber® offers the world’s first virtual connecting tool by a chamber of commerce that is dedicated to helping companies grow across all borders. Lower risk and accelerate global growth success. It’s simple and global, making you unstoppable! Contact us for more information.

Export CirclesSM on Henninger, Board Advisor D at Global Chamber®

Export Circles combines the known benefits of peer-to-peer advisory with a focus on exporting and international business. You can be surrounded by the export resources you need, available for your every move, and have a board of global business advisors to discuss challenges and opportunities real-time. Contact us.

Lee Benson, Able Engineering Committees All Metros, Industries and Regions Contacts CEO/Founder: Doug Bruhnke, doug@globalchamber.org Global Marketing: Kim Bridges, kim.bridges@globalchamber.org Media Contact: Arielle Cottrell, arielle@globalchamber.org Membership: Dakota Drake, dakota@globalchamber.org

Denver, Dallas, Detroit and Delhi Dakota Drake

Global Chamber® is ahead of schedule in our global rollout, in 40 metros by year-end 2015 versus our goal of 30. We have big plans these next few years to get to 525 metro areas, and allow member companies to better connect across every border, every day and in every segment.

Here are pictures from our executive directors around the world:

Nobuo Yoneyama with Ambassador Fujisaki and a delegation that came to the U.S. in 2015.

Luis Nunez with Mayor Acosta and other leaders launching in Sonora, Mexico.

Korina Smith presenting at her launch event, at Squire Patton Boggs in downtown Dallas.

GlobalChamber.org

7

The latest business news on inbusinessmag.com and on twitter @inbusinessmag

Follow us to build your small business

/inbusinessmag

@inbusinessmag

Looking Beyond to Find Your Customers

About Us

by Rick Murray, Chief Executive Officer, ASBA

The Arizona Small Business Association

Global is the new buzz word in business.

have had marginal success in the U.S. but

is the largest trade association dedicated

For most of us, the idea of going global seems

have potential for high demand overseas.

to serving small business in the state

like a lot of effort and time — both of which

Many small businesses make 100 percent of

representing 10,000+ member businesses

are in short supply. Add to it the risk of doing

their sales in foreign markets.

and over 1/2 million employees in all 15

business with someone who speaks a different

counties. ASBA members enjoy access

language and uses different currency, and going

to significant group discounts, countless

global doesn’t look like a very good business

opportunities to do business with each

opportunity. But it doesn’t have to be that way.

other, a wide array of insurance products,

The Metro Phoenix Export Alliance (MPEXA)

and active advocacy efforts on public

was recently formed to help small businesses

policy issues to protect their businesses.

identify opportunities in exporting and assist

Discover more at www.asba.com.

them in making exporting a reality. If you have a website, you are already global. MPEXA

Join ASBA. Be amAZed®

will become a resource for small businesses, helping identify and monetize exporting opportunities. MPEXA will be educating

In This Issue

2

3 4 5 7

How to Improve Your SEO Score and Why You Need to Do It Shopping for Health Insurance Made Easy Tips for Managing Generation Z Employees in the Workplace

companies that have not exported in the past to recognize the opportunities available. The SBA Export Business Planner has a list that helps assess your business’ readiness to export.

1. Determine the Benefits and Trade-Offs of International Market Expansion Start by brainstorming a list of benefits and trade-offs for expanding your market internationally. Your list of benefits and trade-offs should be based on your current assumptions about 1) your company, 2) your

Networking Should Be Worthwhile,

company’s products, and 3) market knowledge.

Not Work

2. Perform a Business/Company Analysis You’ll need to perform an in-depth analysis

Why DIY Estate Planning Is a Bad

of your existing business to determine the

Idea for the People You Love

feasibility of growth.

Central Arizona 4600 E. Washington St., Suite 340

3. Conduct an Industry Analysis Once you have examined the status of your

Phoenix, AZ 85034

own company, the next area for consideration

p. 602.306.4000

is your overall industry. How is it currently involved in the global marketplace?

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.

4. Identify Products or Services with

5. Marketability: Match Your Product/ Service with a Global Trend or Need Once you’ve identified products/services with export potential, the next step is to identify the most profitable foreign markets for those products. This means gathering foreign market research. Ask yourself: • Which countries are best-suited for my product?

• Which foreign markets will be easiest to penetrate?

• How does the quality of my product compare with competing in-market goods?

• Is my price competitive?

• Who could my major customers be?

6. Define Which Markets to Pursue Once your research has revealed the largest, fastest-growing and simplest markets to penetrate for your product or service, the next step is to define which markets to pursue.

It’s best to test one market, and then move on to secondary markets as your expertise develops. SBA data shows that new-to-export businesses often tend to choose too many markets at first. For most small businesses, choosing one to three foreign markets initially is recommended.

Exporting doesn’t have to be daunting and unmanageable. MPEXA is a resource you can use to help create the path of least resistance for exporting and eventually greater profitability.

The initiatives created by MPEXA are making exporting easier and more straightforward for companies, helping them realize our customers are no longer just in our neighborhoods.

Export Potential Part of the overall analysis of your current business involves identifying products and services that may have export potential. These have sold successfully domestically or maybe

Metro Phoenix Export Alliance

mpexa.com

For more information on exporting and the services MPEXA can provide, contact Dawn Nagle at 602.386.5608.

1

BOARD OF DIRECTORS

How to Improve Your SEO Score and Why You Need to Do It

by Cort Walberg, Chief Executive Officer, Power To Be Found

philosophy of the strategy, the technique website. It is achieved mostly by receiving high-ranking results in popular search

Mike Leeds | At Large Pro Sales Coaching, LLC

engines on the Internet; websites that rank higher, obviously, have more authenticity

Kim Marie Branch-Pettid LeTip International

and are reliable for posting organic results.

Here are the main factors that can affect

Brent Cannon National Bank of Arizona

your SEO score: 1. Domain Authority is the calculated

Chris Compton Blue Cross Blue Shield of Arizona

metric denoting how well a certain domain name ranks in website search

Rick Danford BMO Harris Bank

results, and is commonly measured on a hundred-point scale. Why Does It Matter? The Domain Authority Metric is

your pages. The best social media sites are

one of the most accurate ways of determining

Facebook, Twitter, LinkedIn and Google+. your website gets through its users. Why Does It

authentic and organic.

Matter? It matters because you can find out what to change about your website if interaction is slow.

7. Organic Visitors are the number of people

on and submits a request. Why Does It Matter?

who are referred to your website through unpaid

Everyone has experienced the impatience that

SEO. Why Does It Matter? Organic visits matter

comes with a slow-loading website. With the

because they represent people who are legitimately

Internet being as quick as it is today, visitors have

searching for the content on your website.

no tolerance for slow pages.

3. Backlinks are links that take people from

8. Bounce Rate refers to the ratio of visitors who have navigated away from the site after

your website to another. There are many ways to

seeing only one page. Why Does It Matter? A

analyze and dissect them, but the number of quality

high bounce rate is bad news. This means that

backlinks used is most important. Why Does It

people leave your website rather than reading the

Matter? If your website has a wide range of quality

content on it.

backlinks, it tells search engines that your site is valuable and useful, and deserves a high ranking.

4. Indexed Pages are a count of your website’s entire content. Why Does It Matter? Indexed pages matter because, at the end of the day, they can strengthen the internal link profile of your website with more interlinked pages.

5. Social Media Interaction is one of the best strategies when it comes to online marketing, and using social media lets other people boost the popularity of the website and interact with you, too. Why Does It Matter? With social media on your side, you can get an idea of how popular your website is, and customers or fans can promote

2

6. Site Sessions refers to the interaction that

whether your information needs to be more 2. Site Speed is the first impression that is

Jamie Low | Secretary Low & Johnson Business Insurance

Jason Trujillo | Board Development Principal Financial Group

and the method used to increase traffic to a

made to the viewer. It begins when the user clicks

Ben Himmelstein | Past Chair The Frutkin Law Firm

David Bones | Treasurer Kenrich Group

Search engine optimization (SEO) is a

the success of a website. This will determine

Nick Petra | Chair Strategic Duck

In today’s digital world, information is the currency of online marketing. SEO encompasses a world of information, with everything from graphs to a combination of metrics, which you can easily use to boost your website’s visibility. We can help take your business to the next level. With more than 12 years of experience, Power To Be Found has helped a number of businesses grow their online presence by rethinking their digital strategy and adopting a content-first approach to marketing.

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Kristi Gauthier Clark Hill Brannon Hampton Arizona Public Service Patrick Harter Provision Team, Inc. Allan Himmelstein Sales Coach AZ Jerry Houston HPISolutions Patty Hughes Strategic Marketing Services Patrick Lopez MPG Automotive Jack Lunsford The Lunsford Group, LLC Ryan McMullen RSI Enterprises, Inc. Rich Murphy Horizon Management Consulting John Ragan Arizona Chamber of Commerce & Industry Jess Roman Johnson Bank Jonathan Rosenberg Levrose Commerical Real Estate Kerry Stratford The Caliber Group Andrew Westle Gurstel & Chargo

Shopping for Health Insurance Made Easy

by Carol Mangen, Director of Member Benefits, ASBA

ASBA has partnered with Connected Health to create

platform for all health insurance needs. And while the current open

Connect2CoverageAZ.com, bringing individuals the only Arizona

enrollment period ends January 31, 2016, individuals will still be able to

off-exchange marketplace to shop for health insurance. The online

enroll with Qualifying Events throughout the year. The site is the one-

platform created a simple solution for individuals to be able to shop

stop shop allowing individuals easy access to benefits all in one place.

all available health insurance carriers based on personal options and financial goals.

More information on asba.com/healthplans.

Buyers of individual health insurance have been left with fewer choices this year with the mergers and closings of several carriers.

Furthermore, the insurance companies have moved to more HMO options and very few PPO choices, particularly in the platinum and gold metal level offerings that were available last year.

Rick Murray, ASBA CEO, comments, “Shopping for health insurance can be quite tedious for individuals who are not sure where to begin.

Connect2CoverageAZ.com allows them to shop all carriers and compare plans and premiums side by side, with the added benefit of being able to review their typical healthcare usage and get recommendations on the plans that would best fit their lifestyle. Small-business employers can also use the site as a means to direct their employees to a comprehensive shopping site, hence bringing them a valuable tool.”

Recently, new resources have been added — such as dental, vision and HSA enrollment — making Connect2CoverageAZ the go-to

Top Tips for Small-Business Owners Implementing a High-Deductible Health Plan with an HSA

by Heather Harte, Western Region VP Healthcare Services, UMB Bank

their HSA contributions, as opposed to

premium option. We say this because, for

business owners have similar challenges

waiting for tax returns, while also enjoying

those employees who carefully budget, a

in understanding Health Savings Account

the convenience of payroll deductions to

low premium is a known expense that helps

(HSA) funding, plan design and contribution

contribute to their accounts. Simultaneously,

overcome some of the concerns associated

strategies. As HSA use continues to grow,

employers save on payroll taxes and expenses

with the higher deductible.

there are no shortage of questions that will

due to paying them on a lower gross income.

Over the years, we have seen that many

need to be answered. We’ve outlined four tips for effectively designing a high-deductible health plan (HDHP) with an HSA.

Note: This requires the HSA to be structured within a Section 125 Cafeteria Plan 2. Make contributions to employee

4. Pay accountholder fees for employees.

Our final recommendation is to pay accountholder fees for employees. This may seem like a small thing considering the average

accounts. An employer’s contribution is the

monthly fee for an accountholder is only a

higher enrollment — resulting in higher

single most effective way to get employees to

few dollars, but paying these fees makes a

savings for the business owner. This is done

save. The amount should be significant enough

significant difference in employees’ perception

all while improving employee health and well-

to grab attention and interest. We recommend

of the value of the plan.

being by helping employees become smarter,

contributing earlier in the year to help alleviate

more deeply engaged healthcare consumers.

a common barrier, which is the fear of an

A well-designed plan is one that drives

We recommend considering the following tips to maximize the benefits of offering an HDHP with an HSA: 1. Allow pre-tax employee contributions.

Employees get the current tax savings on

unexpected healthcare expense with no funds available to cover it.

3. Price the plan attractively. In general, we recommend that the HDHP be priced very competitively — if not the lowest monthly

Keep these items in mind as you look at implementing or improving your HSA offering.

Educating and supporting employees is key to driving enrollment and realizing the financial benefit of implementing an HDHP with an HSA. More information at asba.com/UMB.

3

Tips for Managing Generation Z Employees in the Workplace

by Margaret Jacoby SPHR, MJ Management Solutions, Inc.

While employers have been working hard to understand and appreciate their Generation Y workers for years, now they have an entirely new generation to engage with: Generation Z employees.

Generation Z, much like the Millennials, aren’t always easy to figure out. And if you aren’t doing what you can to tap into and leverage their unique contributions, you may find it difficult to retain these highly valuable employees.

Generation Z workers are essentially the future of your company.

While they likely don’t hold important positions in your business yet, you can groom them so they are ready to take on those roles in the future. They can teach smaller businesses how to create an impression on customers and have the impact of a much larger company. They also adopt new technology faster than before and set the pace for what everyone wants but doesn’t know how to voice.

Who Are Generation Z Workers?

Generation Z employees were born between 1995 and 2012. Right now, they comprise about 7 percent of the workforce, but by 2019

it is estimated that 30 million will be employed. This generation has grown up with uncertainty and often has more radical differences from the other generations.

Generation Z employees are highly energetic and enthusiastic, but many lack the social skills you would expect from employees — including those who entered the workforce at a young age.

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4

What Generation Z Workers Expect from Management Generation Z workers typically connect via smartphones and other portable devices.

They like information at their fingertips at all times, and don’t handle it well when they have to wait to receive an answer. They are used

Networking Should Be Worthwhile, Not Work

by Julie Armstrong, Community Engagement & Events Manager, ASBA

Many people tell me, “You make it look

be on your right upper chest for clear visual

to constant streams of data, which means

so easy.” My response back is, “networking”

during handshake and other exchanges.

they expect management to provide them with

is not always easy; however, it should be

Have a place to store collected business

instant access to the information they need.

worthwhile. I have found over the 20-plus

cards, keeping your hands free to meet and

years I have been interacting in the business

greet people. Have your business cards

maintenance, they’re good employees as long

to business social scene that very little has

handy, and bring plenty with you.

as their unique needs are met.

changed, given the prevalent changes in

Tips for Managing Generation Z Employees

technology and the social media surge. The

communication and the message you

formula to successful networking is to focus

might send with wandering eyes and

on the outcomes you wish to accomplish.

looking around the room while trying to

While Generation Z workers are high-

To bring this generation of workers up and help them grow within your company, you must: 1. Create high-intensity relationships.

They react better to highly defined, small work groups that have a strong peer leader. There must be an easy-toidentify chain of command when it comes to management. They respond best to managers who teach while leading.

2. Invest in training. Generation Z workers may need more training, especially in the area of interpersonal and communication skills. If they’re entering customer service positions, create a training program that focuses on behavior — showing them the right skills and communication techniques to fulfill the role of their job.

3. Provide a lot of awards. This generation has grown up used to rewards for even the smallest accomplishment.

To encourage performance and growth,

Be prepared. Here are some tips:

Be aware of your non-verbal

communicate. Chewing gum, tobacco and

1. Bring your smile; it will increase your

smoking are distractions in any networking

face value.

environment. Be respectful of others. Breath

2. Know your business; know your

mints are a suggested sidekick.

brand. Focus on the benefits of your

Use technology only as a means to

product/service rather than the features.

exchange ideas or show people your

3. Speak with conviction and

website or other business-related content.

confidence.

No texting, talking on your phone, or

4. Listen, Listen, Listen – genuinely

communicating with non-attendees during

engage in conversation.

the event. If you need to make a call or text,

5. Ask questions relevant to

step outside.

conversation.

6. Make eye contact with the person you are speaking with (don’t be looking around the room to see who else is there).

7. Bring your end game. Know what is it that you want to accomplish from attending the networking opportunity.

Many times, I will circle back to an individual before leaving to gather further information or ask a few more questions, if necessary. After the event, take notes for appropriate follow-up. Make a quick assessment of your brief meeting with the person; ascertain the benefits of furthering a conversation or another meeting with

offer periodical rewards and continue

In addition to these tips, here are things

them. What can they learn from you? What

redesigning the rewards to meet the

you should always practice when preparing

can you learn from them? This will be good

changing expectations.

for networking:

information when following up via email to

4. Offer dream positions. Generation Z

Remain positive. The attendance and

set an appointment. Do not rely solely on

workers thrive on opportunity. If you want

audience size are a consideration; smaller

social media to relationship-build with your

to keep them interested and motivated at

numbers can render greater outcomes.

new contacts. Send an email to make initial

your company, show them their dream

Choose networking events you know will

contact, then pick up the phone and set an

position is within your business and help

be advantageous for the audience (clients)

appointment with them.

them work toward getting there.

you are seeking. Research the event; check

Happy Networking!

Generation Z workers are complex, challenging and entrepreneurial. By understanding what makes them tick and customizing your management of them, you can keep your workers for the long term.

history, sponsors/partners and search for feedback from past events the organization

More information at asba.com/events.

has hosted.

Dress for success. Ensure you present yourself in a professional, well-dressed manner. Your name badge should always

More information on mjms.net.

5

ASBA Members Benefit Through Walmart Foundation Community Grant

by Ashley Vizzerra, Communication Coordinator, ASBA

Walmart Foundation and Sam’s Club proudly

in providing education to business owners

programming has always been an important

support the needs of its communities by

the better it is for not only us, but our small

focus for ASBA. Now, through the generous

providing grants to local organizations.

businesses, and the community,” Harkins

Small Business mentoring and educational

support of the Walmart Foundation, ASBA is

Rick Murray, ASBA CEO; Carol Mangen,

expressed at the event.

“Part of our job as the statewide resource

able to offer more programs to help small-

ASBA director of member benefits; and Julie

business owners grow and prosper. ASBA is a

Armstrong, ASBA community engagement

for small businesses is to help our small-

proud recipient of a $22,000-grant through the

and events manager received the $22,000

business owners succeed by providing

Community Grant Program, provided by The

check from Todd Harkins, market membership

them with opportunities to save money,

Walmart Foundation awarded by Sam’s Club

sales manager of Sam’s Club. Participating

which translates to bigger profits,” states

to fund education and mentoring outreach for

in the event were several employees at the

Murray. “We are honored to be a part of the

the small-business community across Arizona.

Sam’s Club Chandler location.

Community Grant Program and value the

Although a global organization, The Walmart

“Our members are business owners, and

Foundation and Sam’s Club strongly believe

we want to help make them profitable and

in giving back locally — creating an impact

save money whether they are coming in and

in the neighborhoods we all live and work in.

purchasing items for their office or for their

Through the Community Grant Program, The

family. The more we can do to support ASBA

support Walmart and Sam’s Club provide for the small-business community.”

More information at asba.com.

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6

Why DIY Estate Planning is a Bad Idea for the People You Love

By Amie Mendoza, The Law Offices of Amie Mendoza, PLLC

How-tos are everywhere these days! Stepby-step guides to home improvement projects are just a YouTube search away. My son will even search YouTube for a tutorial on how to win the level of Lego Star Wars that he’s stuck on, and voila! Success.

Estate planning, however, is one of those things that you should never attempt yourself or via DIY kits. This week’s article explains why planning for your family is leaps and bounds different from putting in hardwood floors.

Why DIY Estate Planning Is a Bad Idea for the People You Love America is a nation of do-it-yourselfers, but building a deck and creating a legally valid estate plan are two entirely different things — and a less-than-perfect deck won’t devastate your family’s financial future or the relationships among the people you care about most.

The prevalence of online legal services has led many people to believe that they can create legal documents cheaply and those documents will be just as effective as if they had visited an estate planning attorney.

This is why that is wrong: No legal advice. These sites are little more than document mills that churn out the same

family attorney, though, Erica and her brother

things, and those little things aren’t going to

now have a healthy trust fund set up for them

be dealt with well by form documents.

for life with the proceeds of a successful wrongful death case.

Leaving it to your family to know what to

Save now, pay later. You may think you are saving money by using an online service to create your will or trust, but it is impossible

do after you’re gone is a big mistake for the

to make a fair comparison since the services

people you love.

provided are entirely different.

One size doesn’t fit all. Your family is

An estate planning attorney creates an

generic forms over and over. They are not

different from everyone else’s family. Just like

entire plan tailored to your individual needs

attorneys and cannot advise or warn you if

every state has different inheritance laws,

in legal documents that will stand up in court,

you make a mistake. Plus, who will be there

every family has a different situation. An online

and advises you on ways to cut taxes and

for your family when something happens

form will not help you protect a special needs

save for retirement and long-term care. No

to you, if you’ve used an online document

child or relative, or protect a child’s inheritance

online service does that.

drafting service?

from creditors or a nasty divorce. An online

Think your family doesn’t need an advisor to support them when you are gone?

Think again.

In addition, your trusted advisor is going

form cannot tell you how to protect assets from

to be there for your family when you cannot

taxes or help you achieve your goals.

be. The people you love will need someone

And an online form cannot keep your

to turn to after you are gone. Do you want

family out of conflict during a time of grief.

them to be stuck with figuring out who that

in a motorcycle accident. Dad didn’t leave

Even if you don’t have a lot of assets you are

should be during their time of grief? Or do you

much behind, but he did leave an estate plan

leaving behind, whatever you do have will

want to leave behind the gift of having taken

prepared by a trusted family attorney. Had

be subject to distribution between the people

care of things well during your lifetime and a

the family attorney not been there for Erica

you care most about. Some of the biggest

trusted advisor to hold their hand when you

and her brother, they would have taken what

disagreements we’ve seen after death aren’t

no longer can?

dad did leave and drowned their sorrows in

about loads of money but about the little

Consider this: Erica’s father was killed

a European backpacking trip. Thanks to this

More information at mylawaz.com.

7

ASBA STAFF LIST & TITLES

ASBA Photo Recap

Rick Murray Chief Executive Officer Debbie Hann, VP Finance + Administration Rhette Baughman Director, Business Development and Strategy Robin Duncan Director, Membership

The ASBA’s Open House Fall Festival celebrates the small business community and provides tons of networking opportunities for everyone who attends. For more information on events like these visit asba.com

Joe Erceg Director, Southern Arizona Carol Mangen Director, Member Benefits Julie Armstrong Community Engagement & Events Manager Laura Bassett Member Services Manager Gabe Salcido Marketing Manager Bonnie Bulfer Business Development, Central Arizona Ashley Vizzerra Communications Coordinator Nicole Shumate Administrative Coordinator

Thank you!

Special thanks to the Walmart Foundation for granting ASBA a check in support of small business programs.

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

JANUARY 2016

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INBUSINESSMAG.COM

Dahl, Eric, 36

Hill, Clesson, 28

Reed, R. Steven, 14

Adams, Kirk, 16

DeGraw, Rick, 10

Hopkins, Raymond, 34

Robb, Robert, 25

Amigo, Shiena, 37

Donat, Rob, 24

Huckins, Mike, 16

Rose, Todd, 23

Armstrong, Julie, 43

Drake, Dakota, 35, 37

Kuenkel, Petra, 23

Rounds, Jim, 16

Bernas, Judy, 10

Ducey, Doug, Gov., 25

Lanning, Kimber, 10

Saffo, Paul, 25

Beth, Dirk, 13

Giuliano, Neil, 16

Mangen, Carol, 41

Seppälä, Emma, Ph.D., 23

Boos, Chris, 12

Gowan, David, Rep., 16

McCartney, Rick, 9

Tollefson, Richard, 28

Bridges, Kim, 36, 37

Grossman, Joyce, 25

McWhirter, Robert, 11

Vizzerra, Ashley, 44

Briggs, Wendy, 16

Hachmeister, Ash, 28

Mendoza, Amie, 45

Walbert, Cort, 40

Bruhnke, Doug, 31

Hamer, Glenn, 16

Mohr, Brian, 28

Watson, Angela, 13

Cottrell, Arielle, 37

Harte, Heather, 41, 42

Murray, Rick, 39

Wilson, Brady G., 50

Crow, Michael, 25

Henninger, Don, 37

Notrica, David, M.D., 13

Woods, Grant, 25

Daddona, Jaime, 36

Hess, Edward D., Ph.D., 22

Quinlan, Farrell, 16

Desert Schools Federal Credit Union, 6

PeopleSpark, 11

Thunderbirds, The, 2

1100 KFNX, 7

eWomen Network, 26

Phoenix Children’s Hospital, 13

U.S. Securities and

3M, 29

Fellowes, 29

Phoenix Philanthropy Group, The, 28

Ahwatukee Foothills

FSW Funding, 47

Polsinelli, 33

Galbut and Galbut, 36

Power To Be Found, 40

AJ’s Fine Foods, 30

Gilbert Chamber of Commerce, 26, 27

Rounds Consulting Group, 16

Alliance Bank of Arizona, 3

Global Chamber, 27, 31

Scottsdale Area Chamber of Commerce, 27

arago GmbH, 12

GPS Insight, 5, 24

Shepley Bulfinch, 13

Arizona Association for

Grant Woods Law, 25

Spiceworks, 12

Greater Phoenix Chamber of Commerce, 16

SRP, 8

Greater Phoenix Leadership, 16

Squire Patton Boggs, 36

Growth Nation, 36

Tempe Chamber of Commerce, 27

Hyalescent Ventures, 13

ThinkSmallBiz, 48

Infiniti, 29

Thunderbird Online, 36

Chamber of Commerce, 27

Economic Development, 25 Arizona Capitol Television, 11 Arizona Chamber of Commerce and Industry, 16, 26 Arizona Small Business Association, 26, 39 Arizona State Legislature, 16 Arizona State University, 25 Arizona Technology Council, 27

UMB Bank, 41, 42

Corporate Growth – Arizona, 26

Maricopa Community Colleges, 38

Beacon Biomedical, Inc., 13

Maricopa Corporate College, 51

Buck &Rider, 30

Maricopa Workforce Connections, 15

Café Zupas, 30

Mesa Chamber of Commerce, 26, 27

Chandler Chamber of Commerce, 26

Metro Phoenix Export Alliance, 36

Child Crisis Arizona, 28

National Federation of

Darden School of Business, 22

Veridus LLC, 16

Wells Fargo, 44 Wildflower Bread Company, 30 Y Scouts, 28

CHECK US OUT

Legislative Broadcasting System, 11

Banner Health Network, 52

CycleCast, 11

Urban Land Institute Arizona, 25

Weight Watchers, 13

Juice Inc., 50

Local First Arizona, 6, 10

Cox Communications, 11

University of Virginia, 22

Infusionsoft, 48

ASU Alumni Law Group, 11

CopperPoint, 7, 10

University of Arizona, The, 10

Vermillion Photo, 47

Law Offices of Amie Mendoza, The, 45

Association for

Exchange Commission, 14

Independent Business, 16 Networking For Professionals, 26 NewSpring Pharmacy, 48 Organization for Women in

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@inbusinessmag

International Trade – Phoenix, 27

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

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

49 20JAN.1 6 INBUSINESSMAG.COM

A CANDID FORUM

BY SUSAN FORD COLLINS

Conversation: Still a Powerful Tool in Our High-Tech World Truly, it is an operating system to talk about

by Brady G. Wilson You may not realize it, but your organization is home to an incredibly powerful operating system (O/S).

Think outside the realm of technology. What has the potential to engage and energize your employees, bring teams closer together, and create a high-performing workforce?

It’s conversation.

Conversation is the common denominator behind “apps” like customer service, feedback, coaching, strategy and innovation. Conversation — that is, quality, meaningful conversation between leaders and employees — powers up all the things that make a business successful.

Not sure you agree that conversation is your organization’s mightiest O/S? Consider what would happen without conversation: All those apps would crash — and your business would fail.

TALKING HEADS Let’s go a bit more “micro” and look at the human brain.

Conversation is, essentially, our brain’s O/S. This is because every single message transmitted from one neuron to another enables us to see, hear, move ... and think. If all those 100 billion neurons were to stop talking to one another, our body’s ability to process information would cease to function.

Meanwhile, science shows us that our own brains are significantly strengthened and enhanced by social conversations “between brains.” This is our native wiring and, consequently, the perfect O/S we need to connect, understand and harmonize with others.

So, as neuronal conversations are the way the brain gets things done, employee conversations are the way that organizations get things done.

With this in mind, then, why do organizations not integrate conversation into their own employee engagement initiatives?

Brady Wilson is co-founder of Juice Inc., a corporate training company that services organizations from Toronto to Los Angeles.

This article is based on principles from Brady’s latest book, Beyond Engagement: A BrainBased Approach That Blends the Engagement Managers Want with the Energy Employees Need. bradywilson.com

JAN. 20 1 6

50

INBUSINESSMAG.COM

IGNORING CONVERSATION = MISSED OPPORTUNITIES Using engagement surveys as an example, consider how organizations often deal with results: Rather than pause to consider the “why” behind results, leaders will rush to create strategies — one-size-fits-all, broad-brush strategies built on nothing but numbers.

But employees do not respond well to global solutions.

They want to know that they have been listened to. Leaders who draft plans without taking time to consider context or “backstory” practically guarantee employee non-compliance to any engagement initiative.

Organizations that ignore the importance of conversation are missing out on a range of opportunities to create a higher-performing workforce. Here’s why: Science shows that meaningful, face-to-face conversations that demonstrate

value, respect and care boost the brain’s processing power — forming a feel-good energy cocktail of connection, calm, concentration, creativity and curiosity. Essentially, conversation can deepen the leader-employee relationship, energize employees and power those apps that make a business so successful.

NO TIME TO TALK? Don’t feel you have time to talk to your employees?

Consider this: Concerns that are unaddressed tend to fester and simmer. And then they turn into “crucial,” “fierce” or “difficult” conversations — consuming multiples of energy, time and mind-space from everyone in the organization.

Leaders save themselves a lot of headaches when they move beyond engagement as we know it today, and honor how the brain works.

And not only that. The other truth is, conversations don’t have to take up a lot of time.

Short, simple “energy check” conversations are a proven and effective way to unlock insight and possibility in employees’ minds. It can be as simple as asking employees what is energizing them at the moment, and what is depleting their energy. Done systematically, this technique can catch issues before they become calamity-based, saving time in the process.

EASY TO INSTALL Conversation already exists in an organization. It’s simply up to leaders to embrace it as the key operating system that drives the business — and shift their mindset to include conversation in all engagement endeavors. This generates energy, fueling a great customer experience as well as business results.

Research shows employees give businesses 400 percent more effort if triggered by emotional engagement than if engaged on only a rational level. —Brady G. Wilson, citing research of Corporate Leadership Council’s 2004 “Driving Performance and Retention Through Employee Engagement.” bitly.com/dpaptee

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THAT OCCURS WHEN YOU’RE TOO OVERWHELMED

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Fortunately, we can help you and your company overcome conditions like this. We are Banner Health Network and we are far more than just hospitals. Banner Health Network is a 4,000-physician strong, integrated network across Arizona giving you specialty facilities, clinics, and an entire spectrum of services. We offer the highly-coordinated care employees want and the high efficiency you need to keep costs down. Choose care designed to fit the health of each and every employee in your company.

BannerHealthNetwork.com | 602.747.6305