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Water Quality: Two grants are awarded to help clean up Onondaga Lake. Page 2.

Special Report: Technology & Innovation.

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August 16, 2013 • $2.00

CNYBJ.COM

Matco Electric sales soar

 GEARED UP FOR SECOND YEAR

BY NORMAN POLTENSON JOURNAL STAFF

VESTAL — “From 2008 until 2011, [our] sales averaged in the $50 million [a year] range,” says Kenneth (Ken) Elliott, the CEO of Matco Electric Corporation, Inc. “In 2012, we experienced a 50 percent jump.” The company, formerly located in a 17,000square-foot building on N. Jensen Road, moved its headquarters in April to a 26,000square-foot facility at 3913 Gates Road in Vestal to help facilitate its growth. NBT Bank provided the financing to acquire and upgrade the building. Matco also has offices in Ithaca, Elmira, and Albany, and does a lot of work in the Syracuse area. Matco, which currently employs 320, is a full-service electrical contracting company providing electrical

StartFast Demo Day participants meet with mentors to help them with their business growth. See story, and more on Technology & Innovation in our special report. Section B.

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See MATCO, page 6B

CNA returns to downtown Syracuse BY ERIC REINHARDT JOURNAL STAFF

SYRACUSE — The local unit of CNA (NYSE: CNA), a Chicago–based commercial-insurance provider, on Aug. 12 opened its new 26,000-square-foot office space in AXA Tower II at 120 Madison St. in downtown Syracuse. The move brought about 120 positions to downtown Syracuse, says Roy Orr, vice president for the east zone of commercial

clients for CNA. The move “is part of the CNA strategy to move closer to our customers and business partners,” Orr says. “The AXA Towers provide the professional environment that aligns with our strategic vision,” he adds. The firm now occupies the eighth and ninth floors of Tower II. The move marks a return to downtown for the commercial-insurance provider. Orr began with CNA when it previ-

ously operated in the iconic downtown office buildings when they had the name of Mutual of New York (MONY) in the early 1970s. For the past five years, CNA had operated in a similar-size space at 443 Electronics Parkway in Salina, says Orr. First Republic Corp. of America, headquartered in New York City, owns the building in which CNA previously operated, according to a firm spokesperson. See CNA, page 5

NORMAN POLTENSON/CNYBJ

Ken Elliott, left, and Mark Freije, right, the two principals of Matco Electric.

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CNYBJ BRIEFS News of note for and about Central New York businesses

UnitedHealthcare Community Plan to hire more than 60 people in New York UnitedHealthcare (UHC) Community Plan announced it plans to hire more than 60 new employees to support its recent expansion in New York, including additional counties in Central New York. UHC is seeking people with health care, marketing, or care-provider service experience for positions in consumer outreach and care-provider services, the company said in a news release. More information about the open positions is available online at http://careers.unitedhealthgroup.com. “We are excited about the opportunity to offer more New Yorkers access to affordable, quality health care, particularly preventive care, and to increase our staff here in New York,” Pat Celli, president of UnitedHealthcare Community Plan of New York, said in the news release. UnitedHealthcare Community Plan is currently available in 26 New York counties, including Onondaga, Oswego, Cayuga, Madison, Oneida, Herkimer, Jefferson, Tioga, Broome, and Chenango, the company said. UHC announced the expansion into 13 additional counties back in May. UHC’s government-sponsored healthinsurance programs were already available in New York City and on Long Island and in some areas of Central New York, the health insurer said earlier this year. UnitedHealthcare Community Plan offers plans for individuals and families who may qualify for Medicaid, Family Health Plus, Child Health Plus or New York Medicaid Advantage. These plans offer coverage that includes prevention, primary care, hospitalization, prescriptions, and other services, “often with little or no cost,” the company said. UnitedHealthcare has more than 4,000 employees in 18 locations across New York, following “significant” expansion in its Kingston and Tonawanda locations during 2012. The health insurer hired more than 1,000 employees to support growth at these two locations alone, the company said. UnitedHealthcare, a business of Minnetonka, Minn.–based UnitedHealth Group, Inc. (NYSE: UNH), serves nearly 4 million New York residents with a care-provider network of 232 hospitals and nearly 59,000 physicians and other health-care professionals statewide, the company said.

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Correction In the Aug. 9 issue of The Business Journal, the article entitled YMCA’s Healthy Syracuse works on work-site wellness initiative,” contained errors regarding the date of the Syracuse Worksite Wellness Conference. The event was actually held on March 20.

August 16, 2013

EPA awards grants targeting the water quality of Onondaga Lake BY ERIC REINHARDT JOURNAL STAFF

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Two grants have been awarded to aid in improving the water quality in Onondaga Lake and its watershed.

he U.S. Environmental Protection Agency (EPA) has awarded two grants totaling $260,000, aimed at improving the water quality in Onondaga Lake and its watershed. “These two grants … will really advance our work to address pollution in Onondaga Lake,” Judith Enck, administrator for EPA Region 2, said during an Aug. 8 conference call. EPA Region 2 includes New York, New Jersey, Puerto Rico, and the Virgin Islands, Enck said. The federal agency awarded the Lowell, Mass.–based New England Interstate Water Pollution Control Commission (NEIWPCC) ERIC REINHARDT/THE CENTRAL NEW YORK BUSINESS JOURNAL a $200,000 grant to hire an Onondaga Lake watershed coordinator for a two-year period. The EPA also awarded the Onondaga physical, chemical, and biological health of the and other local decisions on the integrity of Environmental Institute of Syracuse a $60,000 Onondaga Lake watershed. Onondaga Lake, the EPA said. grant to train people to develop, build, install, Clinkhammer started in the position during Enck acknowledges the effort to clean up and maintain controls on stormwater using the week of Aug. 5, Enck said. Clinkhammer Onondaga Lake has had “progress,” but the sustainable infrastructure, the agency said. previously served as a project specialist in the body of water “really needs more attention.” Green infrastructure is an approach to Syracuse Center of Excellence (SyracuseCoE) “But we know that more work needs to water management that “protects, restores, Center for Sustainable Community Solutions, be done. And that’s why EPA decided to put or mimics” the natural-water cycle and “en- according to the SyracuseCoE website. some of our limited resources into having an hances” quality of life for communities, the Clinkhammer will also initiate outreach EPA-funded coordinator focused just on this EPA said in a news release. efforts with groups to explain or promote res- work,” Enck said. Aimee Clinkhammer, NEIWPCC’s toration of, and access to, Onondaga Lake and The Onondaga Lake watershed covers 285 Onondaga Lake watershed coordinator, will other natural areas within the watershed. square miles and encompasses two counties, work with community groups, businesses, In addition, Clinkhammer will work with one city, 18 towns, six villages, and the Onondaga local governments, and the Onondaga Nation local governments in assessing the impacts Nation territory, according to the website of the Business 4.875ofxthe6.375 to develop strategiesJournal for the restoration of proposed projects, land-use planning, Onondaga Lake Partnership (OLP). OLP provides “a framework for government agencies to cooperate as they restore and conserve water quality, natural resources, and recreational uses of the lake to the benefit of the public,” the organization said on its website. The Onondaga Environmental Institute will use its EPA grant to sponsor two green-infrastructure training workshops for low-income, unemployed adults at the L&M Training Center at 232 W. Borden Ave. on Syracuse’s south side. Participants will learn how to create and maintain green infrastructure, including rain gardens, bioretention basins, rain barrels, and green roofs. In addition, the program will include training on life skills, job readiness, workplace safety, and exposure to a variety of “green” careers, according to the EPA. This grant is part of the EPA’s National Urban Waters program, which supports communities in their efforts to access, improve, and benefit from their urban waters and the surrounding land, the agency said. Meanwhile, a $1 billion cleanup project on Onondaga Lake continues. Morristown, N.J.–based Honeywell International has been a large part of the cleanup effort due to its 1999 acquisition of Allied Signal, which operated a location near Onondaga Lake. Work has included design and engineering, cleanup of upland industrial sites, the construction of a barrier wall to keep groundwater from entering the lake before it can be treated, dredging the bottom of the lake and removing tons of contaminated sediment, and capping the bottom. The EPA, the New York Department of Environmental Conservation, and the state Department of Health are overseeing the project. 

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August 16, 2013

NFIB: small-business optimism up ‘marginally’ in July OVERVIEW - SMALL BUSINESS OPTIMISM

by eric reinhardt

OPTIMISM INDEX Optimism Index

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Based on Ten Survey Indicators Based on 10 Survey1986=100) Indicators (Seasonally Adjusted (Seasonally Adjusted 1986=100) 110

Index Value (1986=100)

  mall-business optimism “sighed” in   July, with a monthly index that   measures the optimism up 0.6 points for a reading of 94.1, according to the National Federation of Independent Business (NFIB), which released the index Aug. 13. The optimism index rose “marginally,” the NFIB said on its website. The latest report continues the “historically weak” trend of owner confidence, which has led some observers to suggest the NFIB should rename the monthly survey the “Small Business Pessimism Index,” the organization said in a news release. The NFIB, headquartered in Nashville, Tenn., advocates for the nation’s small businesses. The two labor-market indicators remained weak, but both improved and are beginning to push into “normal” territory, according to the NFIB. July was “another slow month for jobs” among NFIB’s 350,000 business owners, with the average increase in employment coming in at a negative 0.11 workers per firm, the third consecutive negative monthly reading. Owners have stopped reducing employment, but they have not resumed hiring, the NFIB notes. In addition, about 20 percent of all owners reported job openings they could not fill in the current period, which is up 1 point,

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and “a good omen” for the unemployment But, overall, the data doesn’t indicate a OPTIMISM rate, the NFIB said. lot INDEX of “promise” for new job growth, the Another 15 percent indicated their use organization said. Based on Ten Survey Indicators of temporary workers, which is (Seasonally up 3 pointsAdjusted Uncertainty 1986=100) about the future remains from June. “endemic” among job creators, with only 9 The NFIB notes the federal health-care percent of respondents believing that now reform law,Jan the Feb PatientMar Protection and Jun is a good their businesses, Apr May Jul time Augto expand Sep Oct Nov Dec Affordable Care Act, provides incentives the NFIB said. 2008 the 91.8 92.9 89.6 91.5 89.3 89.2 88.2 91.1 92.9 87.5 87.8 85.2 to increase use of temporary and partThe small-business community registime2009 workers. increase of 87.8 tered 86.5 the fourth-highest 84.1It also 82.6notes 81.0an 86.8 88.9 88.6 88.8 optimism 89.1 88.3reading 88.0 360,000 part-time jobs in June, along with a since December 2007, when the economy 2010 89.3 88.0 86.8 90.6 92.2 89.0 88.1 88.8 89.0 91.7 93.2 92.6 loss of 240,000 full-time jobs. slipped into official recession, William 2011 94.1plans 94.5rose 91.9 89.9 88.1 90.2 92.0 said 93.8 Job creation two 91.2 points 90.9 to a 90.8 Dunkelberg, NFIB88.9 chief economist, in net 92012 percent planning to increase total emthe news release. 93.9 94.3 92.5 94.5 94.4 91.4 91.2 92.9 92.8 93.1 87.5 88.0 ployment, “the best reading” since August He called it “an attempt to ‘make lem88.9 to 90.8 89.5 92.1 94.4 93.5 2012,2013 according the NFIB. onade’94.1 from the lousy bushel of lemons

the administration has handed” the smallbusiness community. The level is still “well below” the average reading of 100 in the prior 35 years and still half a point below the December 2007 reading, Dunkelberg cautioned. “Unfortunately, nothing is being done to allay the most pressing concerns identified by job creators, [which include] dealing with rising health-insurance costs, regulations, tax complexity, energy costs and general-economic uncertainty. The President wants a deal on ‘corporate taxes,’ but most small businesses are not incorporated. Energy policy is more confused than ever and the volume of new regulations is mounting. Should I even mention the mounting problems with Obamacare? We are in the ‘tankeroo,’ not sinking, but trying to stay afloat,”  Dunkelberg said in the news release.

Additional indicators

The net percentage of all owners reporting higher nominal sales in the past three months improved a point, rising to a negative 7 percent compared to the prior three months. The net percentage of owners expecting higher real sales volumes rose 2 points, to 7 percent of all owners. These expectations remain “depressed” and are not the kind that will generate a lot of new employment or new orders for inventories, the NFIB said. Reports of positive-earnings trends imSee nfib, page 8

SMALL BUSINESS OUTLOOK Good Time to Expand and Expected General Business Conditions January Quarter 1974 to July Quarter 2013 (Seasonally Adjusted)

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4 • The Central New York Business Journal

August 16, 2013

Family Business Spotlight: Lisa Conway of Pioneer Warehousing & Distribution, LLC

portant. Q: Advice for other future leaders at family businesses? A: Work hard and be who you are. It is tough in a family business. You need to earn the respect from everyone; it is not just handed to you because of who you are. I chose to be here. Q: What is the best thing about being a family business? A: We are a small family business, so there is camaraderie and the opportunity to share in the joy, the ups, the downs, and be able to talk to someone on the fly. I not only have a dad but I have a friend and a great coworker. I really love it. It’s always an open-door policy. I would never be able to share my ideas and implement so much so quickly in corporate America. Q: The worst thing about being a family business? A: For me, I lose myself sometimes. I forget I am talking to my boss; it’s hard to draw lines. In staff meetings, sometimes I forget that I am talking to the boss and not my dad. Right now, we are living with my parents as our house is being built. So we are together all the time, and at the moment, it is a little different than usual. Q: What do you do in your leisure time? A: I coach both boys in soccer. I am training for a triathlon and going to the park with the dogs and the husband and kids. I spend as much time with my family as I can. Q: Do you have a great story about Pioneer? A: After the big blizzard in the early 1990s, our roof caved in. We had a lot of product in our warehouse and it was a Friday night. All of our employees came in and worked together to relocate the product and clean up. It was weeks of working long days and nights. They worked their butts off. They brought crocks and platters of food with them so they could just continue working long hours. The employees made it work. When it was over, our company was stronger than ever. If we didn’t have the support from the employees, the outcome could have been much different. I was not here then, but my dad, and his partner at the time, Ray Dionne, led them through this. Q: What do you see as the future of Pioneer? A: The future for the company I see is in order fulfillment. Most people know that we do general warehousing, but where I see the future is e-commerce. We are a logistics company, from placement of the orders to the delivery. We pull the orders from the Internet, pick them, pack them, ship them, and track them. The client does not have to do anything but take care of its business.

By Donna Herlihy

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  e all may have read blogs, self  help articles, or books that   address the topic, “Can you have it all?” Today, I share with you a questionand-answer session with a businesswoman who can answer that question affirmatively through her actions. Meet Lisa Conway, director of marketing at Pioneer Warehousing & Distribution, LLC in the town of Clay. Conway represents the second generation at the family business — she’s the daughter of Tom Belge, president of Pioneer Warehousing & Distribution. The company, which employs 20 people, offers general and contract warehousing, distribution, fulfillment, and other services. Pioneer occupies 390,000 square feet with customers including Wegmans Foods, Southern Wine and Spirits, Hospira Pharmaceuticals, Sysco Foods, Verizon, Amerada Hess, Intersurgical, Associated Spring, and Walmart.com. Conway makes it all sound easy, even with her full plate of being a wife, mother of three children — Jaydon, 6, Jacob, 4 and Lia, 1 — as well as daughter, sibling, employee, and own person. Q: What was your first job at Pioneer? A: My first job here involved mainly office work, but I do remember one summer at age 14 when one of our customers needed us to help remedy a mistake that it had made when making its product. And I, along with another person, had to spend an entire summer adding an ingredient to their product. Which meant basically, I started right in with whatever needed to be done; I did it. Q: The most memorable thing you learned from your father? A: One thing, oh my, that is a hard question — he has taught me so much. I think I would Conway have to say the value of the dollar. He really instilled that into all of us from a young age. He always made us work hard for what we have. I worked through high school and college and I think that really helped a lot with how we live our lives and value what we have. Q: Most memorable lesson learned

photo courtesy of the new york family business center

Pioneer Warehousing & Distribution, LLC, located in Clay. from your mother? A: To be strong! When I was little, she never let me be too girly. She always wanted me to be independent and be able to stand on my own two feet. On the other hand, she taught us how to be caregivers, by example. She took great care of us. Q: Who was the greatest inspiration and influence on your life? A: I cannot pick one person. I would definitely say my parents. Absolutely my parents, but each in different ways. Q: What is the company’s greatest success? A: One of the things we pride ourselves in is we keep clients for years and years and years. I would say our greatest success is how long we keep our clients. Not only our clients but also our employees — our turnover is very minimal. Q: Your greatest personal success? A: Do you mean besides my family and children — because they would have to be my greatest success? I have so much to be grateful for. I was successful before I came back here to the family business in finance, and I feel I have been successful here professionally. Q: What is the biggest thing you have contributed to Pioneer Warehousing since you have been here? A: We recently implemented a warehouse-

management system. It was a big deal. We used to do everything by hand and Excel spreadsheets. I researched it and implemented it and it has made a world of difference on how we manage our warehouse. Q: How do you support the community? A: We have been part of, and a big supporter of, the local transportation club, which supports local students and scholarships. We do as much as we can. We participate and support where and when we can. We support several local children’s sports teams, employee bowling leagues, and other community events like that. Q: When did you realize you emerged from the shadows? A: When I came back to the business, I was a little timid working with the people who had been here for years. It took a couple years before I was confident enough to realize I had some really good ideas. I feel my dad has really started to trust me with projects, being innovative, and trying to grow the company. The proof of that is that he feels comfortable taking longer vacations. He is not handing me the reins, but he is giving me more responsibility. Q: Words to live by? A: Be honest and follow your heart. Being a trustworthy business partner is most im-

See Pioneer, page 11

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The Central New York Business Journal â&#x20AC;˘ 5

August 16, 2013

Federal government runs a $98 billion deficit in July By Journal Staff

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â&#x20AC;&#x201A; he federal government ran a nearly â&#x20AC;&#x201A; $98 billion budget deficit in July, the â&#x20AC;&#x201A; U.S. Treasury Department reported Aug. 13. Spending totaled $298 billion while tax receipts came in at $200 billion. Julyâ&#x20AC;&#x2122;s deficit follows a $116.5 billion surplus in June. The July deficit is also substantially higher than the nearly $70 billion deficit the

government ran in the year-ago period. But year to date through July 2013, with two months remaining in the fiscal year, the United States has run a $607 billion budget deficit. In the entire 2012 fiscal year, the U.S. posted a nearly $1.1 trillion deficit, including a $974 billion deficit through the first 10 months of the fiscal year. Thatâ&#x20AC;&#x2122;s about 37 percent higher than this yearâ&#x20AC;&#x2122;s gap between government spending and revenue.

Tax receipts so far this fiscal year are up 14 percent to nearly $2.3 trillion while spending is down about 3 percent to almost $2.9 trillion compared to the previous year, according to the Treasury Department data. Taxes on the wealthy increased at the start of 2013 and a 2 percent payroll tax cut on all workers expired at the same time. Meanwhile, the budget sequester has put a lid on spending, at least for now. q

CNA: Firm has signed a five-year lease

AXA Towers, the home of CNA in downtown Syracuse.

Continued from page 1

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The firm worked with a local broker to complete a market survey to determine the buildings that could accommodate its space requirements. CNA also sought a space that satisfied other criteria, such as proximity to agents, accessibility, parking, and other amenities, he added. â&#x20AC;&#x153;There were several buildings that we looked at,â&#x20AC;? Orr says. CNA did not disclose the name of the local broker involved. CNA has signed a five-year lease for its new space with AmTrust Realty Corp., which owns the AXA Towers. CBD Companies serves as the property manager for the AXA Towers. Crews had moved furniture during the preceding weekend, and local employees reported to the new location to begin the new

week on Monday, Aug. 12, Orr says. CNA employees are utilizing the Harrison Parking Garage, across the street, for parking, Orr says. Orr, who is based in the local office, has oversight for all of the firmâ&#x20AC;&#x2122;s claim centers on the East Coast. The Syracuse office, which supports CNAâ&#x20AC;&#x2122;s agents and underwrites commercial policies across the entire upstate New York area, also serves as the claims-processing center for the Northeast, Orr says. CNA Financial Corp. on July 29 announced it earned $194 million, or 72 cents per share, during the second quarter that ended June 30. The figures compare with the $166 million, or 62 cents per share, during the same time period a year ago. q   Contact Reinhardt at ereinhardt@cnybj.com

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6 • The Central New York Business Journal

August 16, 2013

Understanding the Health-Insurance Marketplace and How to be Prepared

T

  he primary goal of the Patient   Protection & Affordable Care Act   (ACA), or the national health-reform law, is supposed to be for everyone to have coverage under an affordable health plan. Today, individuals are covered either by their employer’s plan, by federal programs such as Medicare and Medicaid, or through an insurance policy they purchase on their own. Some individuals do not have any of these options available, either because they do not qualify for such coverage, or because they cannot afford the insurance premiums. Others do not have coverage because they believe viewpoint they are healthy and do not need coverage. Starting Jan. 1, 2014, a new coverage option will be introduced through ACA’s establishment of the Health Insurance Marketplace, which is sometimes referred to as a health-insurance exchange. The opening of the marketplace will coincide with the start of ACA’s individual mandate, which requires individuals to carry health-insurance coverage or pay a penalty. The employer-responsibility mandate, which was also slated for 2014, has been delayed until 2015. The marketplace will be available through a website, similar to travel websites today, where individuals are expected

amy zell

to be able to compare the costs and benefits covered by different insurance policies that are available in their area. Individuals also should be able to determine through the application process whether they may qualify for federally subsidized premium tax credits or lower out-of-pocket costs. Individuals can also learn if they qualify for Medicaid or the Children’s Health Insurance Program instead. The marketplace is supposed to also provide assistance to applicants either online, by phone, or in person. Only individuals and small businesses will be able to purchase a marketplace health plan in 2014. Each health plan offered through the marketplace, otherwise known as qualified health plans, or QHPs, will cover a similar set of core benefits, known as “essential” health benefits, with options for additional benefits. The federal government set standard actuarial values for these different plan options, called bronze, silver, gold, and platinum level plans. The plans will be offered by private insurance companies or nonprofit organizations known as consumer operated and oriented plans, or Co-Ops. And, as with all health plans in 2014, a marketplace plan cannot charge more, or deny enrollment, for individuals with pre-existing conditions. ACA authorized the creation of these state-based and administered marketplaces, but the federal government will operate marketplaces for states that do not choose to create their own. In New York state, Governor Andrew Cuomo established the New York Health Benefit Exchange

(NYHBE) in April 2012. The New York State Department of Health operates the NYHBE with assistance from the New York State Department of Financial Services, which approves all insurance policies that will be sold on the NYHBE. Instead of using the website HealthCare.gov, individuals and small employers in New York will use the NYHBE website (healthbenefitexchange.ny.gov) to apply for coverage, compare plans, and enroll. The Department of Health and Department of Financial Services are currently reviewing QHPs for approval. ACA requires that marketplace open enrollments begin on Oct. 1. New York residents who are not eligible for Medicaid, are legally present in the U.S., and are not incarcerated, will be able to purchase health insurance through the NYHBE. Low and moderate-income individuals should qualify for tax credits and cost-sharing benefits to reduce the cost of health insurance purchased through the NYHBE. Small employers with up to 50 employees can also access coverage for their workers in the NYHBE through the Small Business Health Options Program, also known as SHOP. Federal grant dollars will pay for the development of the NYHBE and its first year of operation. By choosing to run its own marketplace, New York state retained decision-making authority on various operational aspects of the NYHBE. That includes what insurance companies will be permitted to sell policies on the NYHBE, what benefits will be offered under such

policies, and which organizations, referred to in ACA as navigators, will work with consumers and small businesses to help them navigate their coverage options. Had the state deferred to the federal health insurance marketplace, every aspect of New York’s marketplace operation would have been under the direction of the federal government. Finally, as we prepare for the opening of the NYHBE, ACA requires employers to provide all employees with a written notice about the upcoming health insurance marketplace. The notice must inform the employee about the existence of the marketplace, including what services it will provide and contact information for assistance; that the employee may be eligible for a QHP premium tax credit; and that the employee may lose the employer’s contribution toward the cost of coverage under the employer’s plan, and its related tax benefits, should the employee purchase a QHP. The U.S. Department of Labor issued guidance in May requiring that employers distribute the notice to all employees by Oct. 1, 2013. The department also provided a model notice that employers may use to satisfy the requirements. The model notice and additional information can be found at http://www.dol.gov/ebsa/healthreform. Amy Zell is staff attorney and plan-benefit analyst for POMCO Group. Contact her at azell@pomcogroup.com or view her blog posts on health-care reform at go.pomcogroup. com/blog


The Central New York Business Journal • 7

August 16, 2013

Is Your Business Ready for Your Retirement? T   he United States is a land of family  owned businesses. These start-up and do-it-yourself enterprises make up between 80 percent and 90 percent of all companies in the United States, according to the Family Firm Institute. And yet, many smart, capable owners lack a comprehensive succession plan that addresses the various issues that will crop up when they leave the business for retirement or other reasons, including sudden illness. According to the Family Business Institute, only 30 percent of family businesses will survive into a second generation of family leadership. That means that as a successful entrepreneur, you need a plan that does more than assume your children will take over the business when you retire. You should consider the possibility viewpoint that one or more of your children may not want to follow in your footsteps, or that one child may be a more capable leader than the other. The last thing you want is for your life’s work to end up in the hands of a child who doesn’t want it or a business partner whom you didn’t want to take over.

richard j. marsh, jr.

A comprehensive approach

As a business owner, you need to develop a solid succession plan that defines the role that your company will play in your

retirement and estate plans. Basic questions to ask are: n Should you sell the business outright for a lump sum? n Should you sell only a portion of the company and draw an income from your remaining interest? n If the company is a partnership, how will that relationship affect succession, retirement, and estate planning? Be sure to bring your financial and legal advisers into the conversation sooner rather than later, so that together you can develop a customized solution for your unique circumstances.

Negotiating out of partnerships

Succession can be a bit trickier when there are partners involved, and those complications can spill over into retirement and estate planning. Often, a clean cash-out may be the simplest way to go. It can be done through a buy/sell agreement covered by life insurance or by bringing in a privateequity group. Grooming a child to take your place upon retirement and become a new partner is certainly feasible, but all parties should be part of the succession planning well in advance of your goodbye party. The key is to have considered and addressed all of the elements that have the opportunity to affect your succession, retirement, and estate plans.

Keeping the business in the family

By far, the most common desire of owners is to keep the business in the family. If you have children who develop an interest in your company, you have the opportunity to turn a business into a legacy. Start by

creating a board of outside advisers who can help you look at your family’s role or potential role in the enterprise. Family dynamics can quickly become personal, so a select group of dispassionate voices can help when you create a succession plan. To create a solid succession plan, customization is vital. The tools you have at your disposal include: n Revocable trusts, n family limited partnerships, n and limited-liability corporations. These options can be used in conjunction with one another, and can offer flexibility and control if you want to keep a toe in the water. This can help ease the transition if a child is still green or if one child is much more capable at leading than another. To help ensure that assets are passed on equitably when one child is likely to be awarded the company’s top spot, consider giving a less-involved child nonvoting stock, but be wary of creating a “brother’s keeper” scenario between siblings. Another option would be setting up a limited-liability company, which can tidy up succession and help avoid abuses by offering a fixed percentage of the business to each child. Or, you can also place a portion of your assets in a trust, managed by an objective trustee who will ensure that a beneficiary isn’t using your legacy to purchase a fleet of Ferraris. Succession plans can be structured any way you like, just so long as you have one in place. Working until you die and expecting your children to sort it out is a surefire way to lose the family business you worked so hard to create. Careful planning will not only help your successors take over your

company but can also help to reduce the estate tax burden on the next generation.

Special-needs children

Although some of your children may be more capable of leading the business than the others, some may not even have that option. Preparing for the long-term care of a special-needs child adds a unique concern to your overall planning efforts. One option may be to establish a trust for the benefit of the special-needs child, funded from your business assets, that can be used for education, medical expenses, and the everyday care that the child, or adult, requires. It’s prudent to have separation of the money managers and the legal guardians, so that the monies are being spent per your specific instructions. You might consider a corporate trustee to handle the trust, as they should have the experience in trust administration, asset management, and tax and legal issues that you need. Corporate trustees are also regulated and monitored by government agencies and will have the financial strength and resources to protect your child’s interests. Regardless of your unique circumstances, planning ahead for your retirement from the family business will help prepare you for that inevitable transition. The process begins with a conversation with your wealth, tax, and legal advisors. Once you put a plan in place, revisit it and update it as needed. As your family and business change, so should your plans for their futures. q Richard J. Marsh, Jr. is group vice president, upstate New York market leader at Wilmington Trust, N.A., and is based in its Syracuse office. Contact Marsh at (315) 424-4075 or email: rmarsh@mtb.com


8 • The Central New York Business Journal

August 16, 2013

NFIB: A net 11 percent have plans to raise

CNYBJ CANVASS

employee wages in the coming months

Here are the results of the latest poll on cnybj.com:

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proved one point in July to a negative 22 percent, restoring them to May’s numbers. The index found 4 percent of owners reduced worker wages and 19 percent said they raised compensation, yielding a seasonally adjusted net 14 percent that reported higher worker wages, which is unchanged. A net 11 percent have plans to raise employee wages in the coming months, which is up five points, according to the NFIB. Credit remains a “non-issue” for small employers, 5 percent of whom say they won’t satisfy all their credit needs in July, which is unchanged from June and May, and the lowest reading since February 2008. The index found

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about 30 percent of owners surveyed met all their credit needs, and 52 percent explicitly said they did not want a loan. Add in the respondents who didn’t answer the question, and the index found a total of 65 percent that are not interested in borrowing, according to the NFIB. The net percentage of owners expecting better business conditions in six months was a net negative 6 percent, two points worse than June’s reading, the NFIB said. The report is based on the responses of 1,615 randomly sampled small businesses in NFIB’s membership, surveyed throughout the month of July.  Contact Reinhardt at ereinhardt@cnybj.com

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August 16, 2013

BUSINESS JOURNAL C E N T R A L

N E W

Y O R K

Volume 27, No. 33 - August 16, 2013 NEWS Editor-in-Chief .......................Adam Rombel arombel@cnybj.com Associate Editor ............Maria J. Carbonaro mcarbonaro@cnybj.com Staff Writers ............................. Eric Reinhardt ereinhardt@cnybj.com ....................................................Norm Poltenson npoltenson@cnybj.com Contributing Writers ...............Traci DeLore Production Manager ......................Erin Zehr ewebb@cnybj.com Research Manager................. Nicole Collins ncollins@cnybj.com SALES Sr. Account Managers ...................................... Bernard B. Bregman bbregman@cnybj.com Mary LaMacchia mlamacchia@cnybj.com Account Manager................... Daniel Buddie dbuddie@cnybj.com Marketing ......................BBB Marketing Inc. CIRCULATION Circulation Management...(315) 579-3927 ADMINISTRATIVE Publisher..........................Norman Poltenson npoltenson@cnybj.com Chief Operating Officer .....Marny Nesher mnesher@cnybj.com Business Manager .................... Kurt Bramer kbramer@cnybj.com

THE CENTRAL NEW YORK BUSINESS JOURNAL (ISSN #1050-3005) is published every week by CNY Business Review, Inc. All contents copyrighted 2013. All rights reserved. No part of this publication may be reproduced without the written consent of the publisher. Cover Price $2 Subscription Rate $89 per year Call (800) 836-3539

HOW TO REACH US MAIL: Send letters to: Editor, The Central New York Business Journal 269 W. Jefferson St. Syracuse, N.Y. 13202-1230 EMAIL: letters@cnybj.com PHONE: (315) 472-3104

The Central New York Business Journal • 9

OPINION

Reflections from the 95th PGA Championship at Oak Hill I

was fortunate to see the world’s best golfers in action while attending the 2013 PGA Championship at Oak Hill Country Club in Pittsford Aug. 8-11. The major tournament was estimated to have produced a nearly $80 million economic impact on the greater Rochester region, according to the economic-development group, Greater Rochester Enterprise (GRE). The sportingevent production, construction, service, and real-estate industries were among the biggest beneficiaries. As I walked the grounds of Oak Hill during the tournament — including the course, the practice areas, the media center, and the concession — I was struck ROMBEL ON areas by what a monstrously BUSINESS large logistical undertaking putting on an event like this is. Daily crowds of more than 30,000 spectators mobbed Oak Hill on the weekend, and surely, a good number of them made the drive in from Central New York. Add in thousands of tournament volunteers and workers and hundreds of media members, and what you have is the population of a mid-sized city occupying only about 350 acres. As I watched the play on the eighth hole, I could hear the constant noise of shuttle bus after shuttle bus coming and going down the country club’s main road. You could also see the effect of the crowds when Friday morning rainfall turned many of the trampled-down spectator pathways on the edges of the fairways into a muddy goo. However, the tournament grounds crew was ready with wood chips to make the walk less slippery. Another indication of what a massive effort it is to stage a tournament like this is the advance work required. Ryan Cannon, championship director, and John Handley, sales and marketing director, and others from the PGA moved to Rochester two years in advance to work on getting ready for this event. And those folks will now move to the New York City metro area to begin preparing for the 2016 PGA Championship held at Baltusrol Golf Club in Springfield, N.J. The PGA Championship, which boasts a field of 156 golfers from around the world, is the fourth and final major championship in the professional golf season. It is nicknamed “Glory’s Last Shot.” And this year’s event produced glory with the winner Jason Dufner setting scoring records and wowing crowds with his super-accurate approach shots on his way to victory. I was lucky to see Dufner up close in the second round as he shot a record-best 63 for a championship round in Oak Hill history. But I also greatly enjoyed some of the unsung moments that played out on the

ADAM ROMBEL

PHOTOS BY ADAM ROMBEL/THE CENTRAL NEW YORK BUSINESS JOURNAL

course with barely any people watching. For example, I was able to see some of the final players left on the course late Friday afternoon fight to make the cut. And there were maybe 20 people watching (see top photo). Rather than crowd roars, you heard polite clapping or a sole voice saying, “good

birdie.” It was still very much appreciated by the players. What a great event.  Adam Rombel is editor-in-chief of The Central New York Business Journal. Contact him at arombel@cnybj.com


10 • The Central New York Business Journal

August 16, 2013

august 21 n Business Journal 500 event at 7:30 a.m. at the Genesee Grande. The guest moderator will be Robert Simpson, President of CenterState CEO. The registration cost is $25. For details and registration information, contact Joyl Clance at (315) 579-3917 or email: jclance@bizeventz.com

august 22 n CenterState CEO Business After Hours and Showcase at Servpro from 5:30 to 7 p.m. at Servpro of N & E Onondaga & of Oswego County, 6800 Northern Blvd., East Syracuse. The cost is $10 for CenterState members and $20 for non-members. Contact Lisa Metot for additional information at (315) 470-1870 or lmetot@centerstateceo.com n Greater Binghamton After Hours Networking Event from 5 to 7 p.m. at Remlik’s Grille & Oyster Bar, 31 Lewis St., Binghamton. Visit www.binghamtonchamber.com for prices and reservation information, or call Chrsitine Stezzi at (607) 772-8860 or email: cstezzi@binghamtonchamber.com n Greater Oneida Chamber of Commerce Business After Hours event from 5:30 to 7 p.m. at the Utica School of Commerce Canastota Campus, 3197 Seneca Turnpike, Canastota. The cost for Greater Oneida Chamber members is $5; it’s $10 for nonmembers. For more information, or to obtain tickets, email: office@oneidachamberny.org, call (315) 363-4300, or visit www.oneidachamberny.org

SEPTEMBER 3 & 10, 17 & 24 n Event Planning Certificate Program from 6:30 to 9:30 p.m. at SUNY Oswego Metro Center, 2 Clinton Square, Syracuse. This is a two-part course. Participants may take one or both courses. Those who successfully complete both courses will earn a certificate of completion and 1.0 CEUs. The instructor will be Bill Motto, of Motto LaGuardia Events. For more information, call (315) 399-4100 or visit oswego.edu/eventplanning

september 4 n Cayuga County Chamber of Commerce Creme Della Cremes Brown Bag Lunch, Writing Case Studies from noon to 1:30 p.m. at 2 State St., Auburn. To RSVP, call (315) 252-7291 or email: admin@cayugacountychamber.com

september 6 n 7 Habits of 7 Highly Successful People seminar from 7:30 to 10 a.m. CenterState CEO members will listen to seven speakers share seven habits they feel have helped them become successful. In about 90 minutes, attendees will receive 49 candid, time-tested lessons and personal habits that the presenters have used throughout their careers. Contact Lisa Metot with any questions at (315) 470-1870 or email: lmetot@centerstateceo.com n CNY ASTD Breakfast Club from 7:30 to 9 a.m. at The Gem Diner, 832 Spencer St., Syracuse. This is an informal group for discussions on areas of expertise in learning and development roles. The topic this week is: “Managing Learning Programs.” For details, call (315) 546-2783 or email: info@cnyastd.org

SEPTEMBER 10 n Health Care Benefits in 2014 and Beyond: A Strategy That Will Get You Through presentation at 7:30 a.m. at the DoubleTree by Hilton Hotel Syracuse, located near Carrier Circle. This is a breakfast program

Business alendar C

OF EVENTS

presented by the CNY Chapter of Society for Human Resource Management regarding the many changes brought about by health-care reform. Event speakers include Neil Strodel, vice president, Benefit Consulting Group, and Geoff Gerbasi, underwriting analyst, Gallagher Benefits Services Group, Inc. Registration is $45 for members, $55 for non-members, $20 for students and members in transition. Contact admin@cnyshrm.org or visit www. cnyshrm.org to register for this event.

SEPTEMBER 10, 11, 17, 18, 24, 25, OCTOBER 1, 2, 8, 9, 15, 16, 22, 23, 29, 30 n Fall Training Session for Small Business at 106 Chemung St., Waverly. This training session is presented by Worker Ownership Resource Center, which is an entrepreneurial assistance program serving nine counties of the Southern and Finger Lakes Region. The program is designed to help participants, especially women and minorities, succeed in starting their own business. For additional information concerning this program, call (607) 249-6193.

10 a.m. at CenterState CEO, 572 S. Salina St., Syracuse. Bring your business cards for this opportunity to network with other CenterState CEO members in a small-group setting. In addition to informal networking, attendees will have the opportunity to share their one to two minute “pitch” with other participants. For details and registration information, visit www.CenterStateCEO.com n Growing Global Sales from 7:30 a.m. to noon at the Sheraton Hotel, Syracuse. For details or information regarding sponsorship opportunities, contact Joyl Clance at (315) 579-3017 or email: jclance@bizeventz n What in the World is a LMS? discussion from 7:30 to 11:30 a.m. at New Horizons of Syracuse, 6711 Towpath Road, Suite 100, DeWitt. This CNY ASTD session will discuss learning management systems (LMS), how they can benefit an organization, and how they work. The cost is $40 for ASTD members and $60 for nonmembers. To register, visit www.cnyastd.org, call (315) 546-2783, or email: info@cnyastd.org

SEPTEMBER 10 – DECEMBER 12

October 10

n Broome Community College Continuing Education Entrepreneurial Assistance Program Tuesday and Thursday evenings from 6 to 8:30 p.m. This is a 12-week, 60-hour program for anyone interested in learning how to create a bank-ready business plan and start a successful business. Participants will be using NxLevel’s “Micro-Entrepreneurs” 2nd Edition. For more information, call Darlene Kanuk at (607) 778-5071.

n Tioga County Chamber of Commerce Annual Business Show from 9:30 a.m. to 4 p.m. at Owego Treadway Inn & Conference Center. Call the chamber at (607) 687-2020 for more information about the event, including attending the show and sponsorship opportunities.

SEPTEMBER 12 n SBC Network Luncheon from 11:45 a.m. to 1:15 p.m. in the Greater Binghamton area, Endwell Greens, 3675 Sally Piper Road, Endwell. For details, contact Chrsitine Stezzi at (607) 772-8860 or email: cstezzi@binghamtonchamber.com

SEPTEMBER 19 n Inspiring Success — The Women TIES Retreat from 8 a.m. to 5 p.m. at the Lodge at Welch Allyn, Skaneateles. There will also be a post-event reception at Mirbeau Inn & Spa from 5:30 to 6:30 p.m. For event information, visit www.womenties.com n Cayuga County Chamber of Commerce Business At Noon from 11:30 a.m. to 130 p.m. at Case Mansion. To RSVP, call (315) 252-7291 or email: admin@cayugacountychamber.com n The Greater Oneida Chamber of Commerce Annual Job & College Fair from 10 a.m. to 6 p.m. at Kallet Civic Center. This event is free to the public. For details regarding booth rentals or advertising, contact the chamber at (315) 363-4300, email: office@ oneidachamberny.org, or visit www.oneidachamberny.org

SEPTEMBER 24 n Speed Networking event from 7:30 to

ONGOING EVENTS n Every Tuesday, Cayuga Club Toastmasters from 6 to 7 p.m. at Cornell University, Ithaca, Rhodes Hall, 6th Floor, Conference Room #655. Free and easy parking is available nearby at Peterson Lot. For more information, contact Julia Reich, (315) 364-7190 or email: juliareichdesign@gmail. com n Every Tuesday, Syracuse Business Connections from 3:30 to 5 p.m. at Hummel’s Office Plus, 6731 Old Collamer Road, DeWitt. The group meets to network and exchange referrals. For more information, email: Deb Angarano at dangarano@ tsys.com n Every Wednesday, Small Business Development Center at OCC from 4 to 6 p.m., Introduction to Business Startup at H-1 Hall. Please call 498-6070 or visit www.onondagasbdc.org n Every Wednesday, Syracuse Business Networking from 6 to 7 p.m. at Barbieri’s Restaurant (upstairs level) located on Main Street in the village of North Syracuse. For more information, call Kim Bachstein at (315) 414-8223 or email: info@ SyracuseBusinessNetworking.com n First Wednesday of each month, Business Innovation Days meetings from 9 a.m. to 5 p.m. at The Tech Garden, 235 Harrison St., Syracuse. Entrepreneurs and small businesses can meet one-on-one

with a counselor from the SBDC for advice and customized assistance opportunities. Scheduled by appointment, call (315) 4740910 or email: info@thecleantechcenter.com n First and Third Wednesday of each month, Preferred Toastmasters from noon to 1 p.m. at Golden Artist Colors, 188 Bell Road, New Berlin. Contact Jonie Bassett at (607) 847-6154, x1217. n Fourth Wednesday of each month, Preferred Toastmasters from 5:30 to 6:30 p.m. at Chenango County Council of the Arts, 27 W. Main St., Norwich. Contact Jonie Bassett at (607) 847-6154, x1217. n Every Thursday, Empire Statesmen Toastmasters meet at 6:30 p.m. at Ruby Tuesday on Erie Boulevard in DeWitt. For more information, visit http://1427.toastmastersclubs.org or email: contact-1427@ toastmastersclubs.org n Every Thursday, Free Business Counseling with SCORE from 10 to 11:30 a.m. at the Tioga County Chamber of Commerce, 80 North Ave., Owego. Contact the Tioga County Chamber of Commerce to make an appointment at (607) 687-2020. n Every Thursday, Liverpool Linguists from 7 to 8 p.m. First Thursday of every month at Liverpool Public Library and the remaining Thursdays at Liverpool First Methodist Church, 604 Oswego Road, Liverpool. For details, visit http://Liverpool. toastmastersclubs.org or call (315) 884-2668 or 457-2581. n Every second and fourth Thursday of the month, The North Star Toastmasters from noon to 1 p.m. at C&S Companies, 499 Col. Eileen Collins Blvd., near Hancock Airport. For more information, contact Sandy Jurkiewicz at sjurkiewicz@centerstateceo.com or call (315) 470-1802. n Every Friday, 40 Above: Workers in Transition from 9 to 11 a.m. at the library in North Syracuse (NOPL) at 100 Trolleybarn Lane, North Syracuse. Helping workers/ job seekers aged 40 and above in search of work. Contact John A. Cruty at (315) 5693964, or at crutij@yahoo.com n Every Friday, Tip Club of Syracuse, at the Sheraton Syracuse University Hotel, 801 University Ave., Syracuse, 8 to 9 a.m. Call Bernie Bregman at (315) 472-3104, ext. 103 or email: bbregman@cnybj.com n First Friday of each month, Toolkit Day with SCORE by appointment at The Tech Garden. Counselors provide free, confidential, individual business mentoring to prospective or current business owners. For more information or to schedule an appointment, contact Lynn Hughes at (315) 579-2862 or email Lynn@TheTechGarden. com n Every second and fourth Friday of each month, The SUN Group (Sustainable Upstate Network) meets from 7:30 to 9 a.m. at Tony’s Family Restaurant, 3004 Burnet Ave., Syracuse. For more information, contact Andy Picco at (315) 657-0135 or email: andrewpicco@gmail.com n CNY Connects is a networking organization offering 12 groups from which to choose. If you are interested in learning more, contact Amy Kaschel of AK Consulting at akconsult@twcny.rr.com or call (315) 8826127 or visit www.cnyconnectsonline.com To have your meetings or events in the Business Calendar, email them to movers@ cnybj.com 


The Central New York Business Journal • 11

August 16, 2013

PEOPLE ON THE MOVE: new hires & promotions education & training Kristi Eck, education program director at Say Yes to Education in Syracuse, will join the administration of SUNY Oswego at the start of the fall semester Aug. 26 as interim chief of staff for President Eck Deborah F. Stanley. She has worked with the five-year-old Say Yes to Education in Syracuse for the past four years successively as program coordinator and site director at Frazer School, assistant to the director of operations and higher education program specialist, and now education program director. Eck previously worked at SUNY Cortland as a study abroad adviser. She holds a master’s degree in higher and postsecondary education administration from Columbia University’s Teachers College and a bachelor’s degree in English from Colby College. She is a member of Syracuse Mayor Stephanie Miner’s Commission on Women and Leadership Greater Syracuse Class of 2013 and has been a mentor with the Syracuse City School District and Le Moyne College. Eck succeeds Dr. Kenneth Clough, previous chief of staff in the President’s Office at SUNY Oswego.

engineering Delta Engineers, Architects, & Land Surveyors, P.C. has promoted Christopher E. Jacobs to senior laser technician in the Survey & Mapping Group. He has been with Delta since 2006 Jacobs and recently completed a four-day training seminar in high definition laser scanning in Las Vegas. Jacobs’ skills in this discipline have developed at an accelerated pace during the past two years. Jacobs also has extensive experience in the use of Total Station equipment, GPS, and AutoCAD.

health care Syracuse Orthopedic Specialists recently hired Naven Duggal, M.D., to join its Foot & Ankle team. Duggal is an American board-certified, fellowship-trained orthopedic surgeon specializing in the diagnosis

and treatment of foot and ankle problems. He has a particular interest in treating all types of adult and adolescent foot and ankle injuries as well as the correction of deformities involving the foot, Duggal ankle, and knee. Prior to joining Syracuse Orthopedic Specialists, Duggal was the chief of the Orthopaedic Foot and Ankle Service at Beth Israel Deaconess Medical Center in Boston. His research in biomechanics was performed at the Center for Advanced Orthopaedic Studies, Harvard Medical School. Duggal is on the editorial board for the journal Techniques in Foot and Ankle Surgery and the journal Orthopedics.

insurance James F. Blasting recently joined Bailey, Haskell & LaLonde (BHL) as a commercial lines account executive. He is a professional geologist with more than 30 years experience as a business owner, manBlasting ager, entrepreneur, and environmental consultant with a bachelor’s degree in geology and a master’s degree in earth science. Much of his experience has been focused on environmental risk management.

marketing & PR

Cook

Moroski

Pinckney Hugo Group has hired Bryant Cook as a junior interactive designer and Tamra Moroski as an account manager. Cook previously worked as an associate graphic designer in Central New York. He has a bachelor’s degree in graphic design from the State University of New York at Oswego. Prior to moving to the area and joining Pinckney Hugo Group, Moroski worked at marketing agencies in Cleveland, Ohio. She has a bachelor’s degree in mar-

keting from Kent State University.

nonprofits The Alzheimer’s Association, Central New York Chapter has announced two recent changes to its staff. Stephanie Bliss was named constituent relations coordinator. She joined the chapter Bliss as its donor relations specialist in May 2012. She previously worked at Rapid Response Monitoring in Syracuse. Bliss was also a marketing communications intern for the Chapter prior to her 2010 graduation from the State University of New York at Oswego. John DeSantis joined the Chapter in April 2013 as its constituent services specialist. He is the founder of Believe In Syracuse, a grassroots organization that promotes the city. DeSantis was formerly DeSantis the Upstate New York Regional Field Director for Obama for America and has served in volunteer roles with the Alzheimer’s Association, Hiscock Legal Aid Society, and Say Yes To Education – Syracuse. He is a 2008 graduate of Syracuse University.

testing laboratories Atlantic Testing Laboratories (ATL) has hired Robert A. Kramer, CPA, as controller for ATL. Prior to joining ATL, he was CFO and corporate controller for Aquatic Development Group, Kramer Inc. of Cohoes and also served as a senior manager and senior accountant at KPMG, Albany. Kramer earned his electrical engineering degree at Clarkson University and his accounting degree at SUNY Plattsburgh. Bundle Thomas R. Bundle recently earned his jurisprudence degree from Syracuse University and successfully completed the New York State Bar Exam. He has been promoted

to corporate risk manager. Bundle has more than 16 years experience at ATL. Steven N. Moore recently earned his professional engineer license in the State of New York. He has been promoted to seMoore nior engineer with the company. Moore has more than eight years experience at ATL and will focus his efforts on construction materials engineering and related services at ATL. Brian C. teRiele recently earned his professionteRiele al engineer license in the State of New York. He has nine years experience with ATL and will continue to provide geotechnical engineering and subsurface investigation services at ATL. Zachary W. Remington recently completed the requirements for being a certified safety professional (CSP). He has been promoted to corporate health and safety manager. He has more than seven years experience at ATL and will oversee ATL’s corporate health and safety programs.

CORRECTION The wrong photo ran in the Aug. 9 issue of the People on the Move section of The Business Journal. Below is the announcement with the correct photo.

financial services Tompkins Financial Advisors announced that Bill Murphy has joined the firm as assistant vice president, wealth advisor in the Ithaca office. Murphy began his career in 1989 as a personal banker Murphy with First Federal in the Binghamton area. He held earlier positions as a financial consultant, branch manager, and mortgage officer. From 2004 until 2013, Murphy was the program manager of a large credit union’s wealth management team. As a CFP practitioner, he is certified by the Certified Financial Planner Board of Standards, Inc. and also holds the FINRA 6, 63, 7, and 24 registrations, as well as the New York State Life Insurance license. Murphy received his MBA from Wilkes University. q

PIONEER: Conway: “My succession planning with my father is probably on the five-year plan” Continued from page 4

Q: How is the company handling succession planning? A: My succession planning with my father is probably on the five-year plan. I have been here for about five years and have learned a lot and we still have some to go. The one thing that I feel was very important is that I went away from the family business and did my own thing first. I earned my business degree, worked in real estate, and at Wells Fargo for several years before I came into

the business full time. I would definitely want the same thing for my children. I would love it if they wanted to work with me in the future but I will encourage them to go out and work with others first. Q: How do you benefit from the New York Family Business Center? A: I have met so many great people. We all have so much more in common than you would ever think. Surrounding yourself with like-minded people is very important. I have a jam-packed schedule, but making time for peer-group discussions is a great part of the

day. After each session, I come back and talk to my father about what I might have learned from my peers. Maybe not every time, but usually I am able to implement something that someone might have mentioned or suggested during these sessions. Q: Do you have any comments about the statistic indicating that a large percentage of women will be taking over their family business in the next decade? A: I have a lot to say about that. Women have so much to offer that is different than men. We have different characteristics, dif-

ferent strengths, and different time frames. We take action. There is so much that has not been tapped into yet that we have to offer. I look forward to watching my daughter grow and see what she will be able to do. Donna Herlihy is the executive director of New York Family Business Center (www. nyfbc.com), a Syracuse–based not-for-profit that gives family owned business owners and managers opportunities to interact and learn from each other and from family business professionals.


12 â&#x20AC;˘ The Central New York Business Journal

August 16, 2013

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Technology SPECIAL REPORT

& INNOVATION

StartFast gears up for second annual Demo Day event By Traci DeLore contributing writer

SYRACUSE — StartFast Venture Accelerator’s second Demo Day, set for Thursday, Aug. 22, at the Landmark Theatre in Syracuse, promises to be bigger and better than last year’s inaugural event. The gathering, which features technology companies pitching themselves to investors after spending the summer participating in StartFast, sold out the Everson Museum auditorium last year. This year, the event, which keeps the same format, moves to the Landmark in order to accommodate more people. All the more room to facilitate the growing excitement that Demo Day generates, says Chuck Stormon, a managing director at StartFast. Demo Day is the culmination of StartFast, a 100-day mentorship-driven startup accelerator that provides an opportunity for up to 10 startup companies to spend the summer in Syracuse working on their businesses. On Demo Day, each team has seven minutes to pitch its business to the collective pool of investors in attendance. The day begins with a networking breakfast, features an investors-only lunch where teams can talk more in depth with potential investors, and wraps up with an after-party at Al’s Wine & Whiskey Lounge on Clinton Street. Along with the five StartFast teams — Glyphr of Syracuse (ww.glyphr.cc); WedWu of Fort Lauderdale, Fla. (www.wedwu.com); Falcon of Los Angeles (www.thefalconapp. com); Symcircle of San Francisco (www. symcircle.com); and Calester of Hamilton, Ontario (calester.com) — this year’s Demo Day also features five additional companies that have participated in other upstate New York accelerator programs including StartUp Labs in Syracuse, HTR Launchpad in Rochester, Z80 Labs in Buffalo, and the 2013 Syracuse Student Sandbox. “We’re really celebrating entrepreneurship across the region and presenting 10 great investment opportunities,” Stormon says. Glyphr has already seen benefits from just being involved in StartFast, says Michael Quigley, Glyphr’s COO and presi-

“Graduates are our best ambassadors,” Stormon says.

photo courtesy of startfast

Participants of the StartFast Venture Accelerator program listen during a group discussion during last year’s program. The second Demo Day, set for Thursday, Aug. 22, at the Landmark Theatre in Syracuse, promises to be bigger and better than last year’s inaugural event, organizers say. dent. “Leveraging StartFast’s world-class network of technology thought leaders, Glyphr has been able to increase awareness of its brand, grow its user base, and refine its product offering in a short period of time,” he says. Glyphr offers a 3D visualization plugin for tablet magazines and ecommerce websites to increase engagement levels and sales rates. “They are revolutionizing how 3D models are created,” Stormon says of Glyphr, for whom he and Nasir Ali, also managing director at StartFast, have high hopes on Demo Day. Demo Day spotlights another of the teams, Falcon, by using its mobile app, designed to drive customers to vendors and sponsors, within the Demo Day app available in the iTunes store for use on

Demo Day. Last year, eight companies participated in StartFast and Demo Day, with three of those companies now “seeing quite a bit of success,” Stormon says. He declined to name the businesses, but says when they are ready to share their stories, he hopes it helps generate more interest in StartFast and the Syracuse region. “Graduates are our best ambassadors,” he says. StartFast, a private, investor-backed program modeled on the TechStars program started in Boulder, Colo., is a program of Upstate Venture Connect, located at 235 Harrison St. in Syracuse, a nonprofit group that encourages the development of small, innovative companies in upstate New York. Along with offering access to mentors,

StartFast also provides participating companies with seed money — $6,000 cash per founder, up to $18,000 per company — co-working space, free and discounted services from places like Amazon Web Services, and post-program support. In return, StartFast receives 6 percent of the company’s equity in the form of common stock. StartFast (startfast.net) investors include members of the Seed Capital Fund of CNY, Cayuga Venture Fund, and angel investors across the region. StartFast is a member of the Global Accelerator Network, a global consortium of mentordriven, independently owned and operated startup accelerator programs. q Contact The Business Journal at news@cnybj.com


2B • The Central New York Business Journal

TECHNOLOGY & INNOVATION

August 16, 2013

SRC transfers bioforensics group to SU JOURNAL STAFF

The relationship

FNSSI launched in November 2011, and is physically located inside SU’s Lyman Hall. It began as an activity within the chemistry department, Langford says. Some faculty members in the College of Arts and Sciences had been conducting basic research that was of interest to both SU and SRC, which prompted further discussions between the organizations, says James Spencer, executive director of FNSSI. “There’s really a strong synergy,” In says Spencer. Health Spencer also serves as the college’s Care associate dean for science, mathematics, and

research, as well as chemistry professor. As the bioforensics units at SU and at SRC began to grow and expand, “it made sense that at some point … [it] might be valuable to combine them,” Spencer adds. SRC eventually opened a dialogue with SU about the possibility of transferring the bioforensics group into FNSSI. “It was just a logical connection,” Spencer says. The timing of the transition also comes at a time with a growing need for methodologies involving bioterrorism threats, chemical detection and analysis, and sample source and origin, according to Spencer. “We have strong capabilities in chemical detection and analysis and we have developing capabilities in the biological forensics, but to have now, an expert group in bioforensics that can bring their DNA capabilities to the institute … really makes for a strong program,” Langford says. FNSSI stands to gain “state-of-the-art” DNA capabilities, along with expertise in complex worldwide-biological systems, including powerful research tools that determine the geospatial origins of biological samples, Spencer contends. The samples include heroin, cocaine, and other plant-based materials, he adds. The three transferred employees include David Knaebel, a biological ecologist and a former professor at Clarkson University with expertise in plant and microbial DNA and genomics, according to Spencer. “He’s coming back to academia from SRC,” he adds.

LLEN E C

E C

SYRACUSE — Syracuse University (SU) late last month announced the signing of an agreement with SRC, Inc. that transfers the assets and employees of its bioforensics group to the school. The Forensic and National Security Sciences Institute (FNSSI) in SU’s College of Arts and Sciences signed the agreement with SRC, a nonprofit research company headquartered in Cicero. As part of the agreement, three SRC scientists become SU employees and continue their research as part of FNSSI. FNSSI is the nation’s first program to focus on scholarship in forensic and national-security sciences, according to the university. It works to advance the scientific base and capabilities of forensic science and to train both forensic scientists and those in allied professions, SU said. Syracuse University has had a “longstanding collaboration with SRC,” so the nonprofit was aware of what SU was aiming to accomplish in developing the FNSSI, says George Langford, dean of the College of Arts and Sciences. SRC had also been examining areas in which it wanted to grow during its own process of “strategic planning,” Langford says. “So, it was a perfect match in terms of their interest in having the bioforensics group develop in a different direction and our interest in having them come and join us,” Langford says.

The agreement will build on the work that SRC’s bioforensics group has already started, according to Langford. In acquiring its core competencies, which includes bioinformatics and the analysis of environmental signatures, the bioforensics group “enhances and underscores” FNSSI’s commitment to forensic-science training and research, according to Langford. The agreement “significantly” contributes to the research capacity within FNSSI, while benefiting the nation’s forensic and intelligence communities, he adds. “This transition is a great example of how our research and development partnerships can make a larger impact on keeping America safe and strong,” SRC President Paul Tremont said in the July 24 news release announcing the transfer, adding that FNSSI will help the group’s technology grow and prosper.

EX

BY ERIC REINHARDT

Langford

Spencer

“So, it was a perfect match in terms of their interest in having the bioforensics group develop in a different direction and our interest in having them come and join us,” Langford says. The other two employees are research scientists Molly Cadle-Davison and Michael Marciano, he adds. The agreement calls for FNSSI to acquire nearly $1 million in biochemical-research equipment, in addition to specialized research materials, inventions, and scientific expertise, according to SU. SRC and its for-profit manufacturing subsidiary, SRCTec, together employ more than 1,000 people at 15 locations in Colorado, Maine, Maryland, New York, Ohio, Texas, and Virginia.  Contact Reinhardt at ereinhardt@cnybj.com

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The Central New York Business Journal • 3B

TECHNOLOGY & INNOVATION

August 16, 2013

Growth fuels employment at ICS Solutions Group BY TRACI DELORE

The staff of ICS Solutions Group outside their company headquarters in Endicott.

CONTRIBUTING WRITER

ENDICOTT — Growth is the name of the game in 2013 at IT service and support provider ICS Solutions Group, which has seen its revenue jump just over the past few months and now needs to add employees to keep up with the demand. ICS President Kevin Blake attributes the growth to several factors, the first of which is the still-struggling economy. “When the economy goes down, people outsource,” he says. He declined to share specific revenue numbers for ICS but says a good portion of the growth stems from companies spending their IT dollars more wisely. For some, that might mean doing away with an internal IT department and completely outsourcing it. For others, it means contracting with a company for special projects or other needs that its own IT department cannot handle. ICS has also generated growth from an array of new offerings, including a helpdesk service it now offers to business clients and local governments, says Travis Hayes, chief technology officer. Over the years, ICS has invested a lot of time and money into perfecting its own help-desk system, he says. It just made sense to start offering that system to clients in need. So far, a number of local governments,

PHOTO COURTESY OF ICS SOLUTIONS GROUP

including Tioga County, are using ICS’s help-desk system with great success, he notes. It gives clients an internal help-desk ticketing system so end users can submit a ticket when they have an IT issue, and also provides an array of metrics that help clients see where they spending their IT time and how to make improvements, Hayes says.

ICS has averaged annual sales growth of 25 percent from year to year, a trend Blake expects to continue and the main reason ICS needs to hire new employees as soon as it can find qualified candidates. “We’re walking away from deals right now because we can’t meet demand,” he says. As a result, ICS currently needs to hire

between three and five new employees — both level 1 help-desk employees and level 3 engineers — adding to its current staff of 53 to meet current and future demand. “We’re looking for a mix of people,” Hayes says. Potential candidates need to be tech savvy, but also need to be “warm and fuzzy” and able to interact with customers in a personable way, he says. That friendly approach is another key to ICS’s success, Blake says. Other services ICS offers include disaster prevention, data recovery, off-site backup, network services, and cloud services. Blake and Travis, who purchased ICS in 2005, expect additional growth at the company to come from a mix of expanded services with existing clients, adding new clients, and even from acquiring other companies. That strategy served the company well in 2010 when it acquired Microtech Computer Center, expanding ICS’s reach into the Syracuse market. Headquartered at 111 Grant St. in Endicott, ICS (www.icsnewyork.com) also has an office at 2518 Erie Blvd. E. in Syracuse and serves clients in Binghamton, Elmira, Oneonta, Syracuse, Ithaca, Rochester, northern New York, and northeastern Pennsylvania.  Contact The Business Journal at news@cnybj.com

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4B • The Central New York Business Journal

TECHNOLOGY & INNOVATION

August 16, 2013

ITA: New York exports set new AT&T invests nearly record during first half of 2013 $225M in NY wireless, BY JOURNAL STAFF

N

ew York merchandise exports totaled a “record” $45.7 billion during the first half of 2013, a seven percent increase compared to the nearly $43 billion exported during the same time period in 2012. That’s according to data that the International Trade Administration (ITA) released on Aug. 8. The ITA is part of the U.S. Department of Commerce. The new export data indicate states nationwide have more businesses marketing their products abroad and creating “thousands” of new jobs in their local communities, Francisco Sánchez, undersecretary of commerce for international trade, said in a news release. “This data confirms that our efforts to help American businesses compete globally are having an impact right here in New York,” Sanchez said. “The U.S. is selling more goods and services to the rest of the world than ever before. The International Trade Administration will continue to do everything we can to assist New York businesses as they increase their exports and create jobs.”

New York’s merchandise export sales in the first half of 2013 outpaced the 2012 figures in many destinations, including a 774 percent rise in sales to South Africa; a 51 percent increase to the United Arab Emirates; a 45 percent increase to Switzerland; a 37 percent increase to China; and a 17 percent rise in exports to Hong Kong, the ITA said. “Key” merchandise export categories, according to the ITA, include miscellaneous manufactures, primarymetal manufactures, used or second-hand merchandise, transportation equipment, and computer and electronic products. “This latest export data shows that New York companies are thriving in the international market,” Rosanna Masucci, director of the U.S. Export Assistance Center in Buffalo. “Exports continue to support and strengthen our state’s economy and create new jobs for workers in our communities.” The ITA’s U.S. Commercial Service, its tradepromotion arm, connects U.S. companies with international buyers. The U.S. Commercial Service has more than 100 offices in the U.S. and in American embassies and consulates in more than 70 counties, according to the ITA. 

wireline network in first half of 2013 BY JOURNAL STAFF

A

T&T announced it has invested nearly $225 million in its wireless and wired networks in New York in the first half of 2013. The investments included deployment of new macro-cell sites, small cells, and distributed-antenna systems across the state as a part of AT&T’s Project Velocity IP, a three-year investment plan announced in 2012 to expand and enhance its IP (Internet protocol) broadband networks. The company also expanded and enhanced its 4G LTE (long-term evolution) network, which provides “ultra-fast,” mobile-Internet speeds, and deployed new Wi-Fi hot spots, AT&T said in a news release. Network upgrades completed so far this year in New York include 4G LTE launches and expansions in Auburn, Binghamton, Cortland, Ithaca, Seneca Falls, Syracuse, and Watertown. The 2013 year-to-date network investment builds on the more than $1.4 billion that AT&T has invested in its New York wireless and wired networks from 2010 through 2012, the company added. 

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TECHNOLOGY & INNOVATION

The Central New York Business Journal • 5B

Kishmish continues growth trend BY TRACI DELORE CONTRIBUTING WRITER

SYRACUSE — With a newly created leadership position to head up the sales and marketing department, network and IT services provider Kishmish, Inc. is on track to generate double-digit growth this year. Founded in 1999, Syracuse–based Kishmish (www.kishmish.com) has produced steady growth yearly since its inception, averaging sales increases between 28 percent and 30 percent annually, says President Matthew Holt. But now the company is ready to take things to the next level with the goal of reaching sales of $2 million this year. To facilitate and service that sales growth, Holt expects to increase employment as well. He currently has 18 employees, which are a mix of full-time staffers and independent contractors. While he didn’t disclose the ratio of full timers to contractors, Holt says he expects to transition one to three of his contractors to full-time status by the end of the year to keep up with the company’s growing workload. Kishmish, headquartered in a 3,500square-foot office at 217 Montgomery St., provides network services and IT services, including assisting a company’s IT department or acting as a client’s IT department. “Our goal is to be a partner to all our clients and be able to service them in all levels of

PHOTO COURTESY OF KISHMISH

From left to right: Chris Romanyk, Michael Varre, and Tom Carello of Kishmish. The Syracuse–based firm is on track to generate double-digit growth again this year. technology,” Holt says. “I think we’re pretty special in that we can deliver infrastructure from soup to nuts” and pair that with support right on down to the end-user level. The firm can provide its services on premises or in the cloud and also include web and webapplication services. So far, Kishmish has had a winning combination of services and client support that has generated strong sales and the steady yearover-year growth, Holt says. If Kishmish hits its $2 million revenue goal this year, that will equal growth of about 28 percent. Much of that has come from expanding services with existing clients, he notes. Kishmish has also seen growth from client referrals, and Holt credits the company’s mission of providing great service while breaking away from some of the IT stereotypes. “IT is not a very well-respected part

of an organization,” Holt says. Often people view IT employees as rushed and not taking the time to explain things such as how to perform a certain task. “We like to help redefine what the IT guy looks like,” Holt says, noting the firm does so by providing exceptional service. Mark Hollingshead, president of sales and marketing, says that has helped build a solid reputation for Kishmish and helped make his new job a little easier. Hollingshead joined the company about two months ago in the newly created position and is tasked with bringing sales to the next level, Holt says. Hollingshead, who previously served as vice president of small business banking at Bank of America, says a big part of his job is educating companies about how to leverage technology to improve efficiency and increase sales. Most businesses, he says,

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approach technology reactively instead of taking a proactive approach. Kishmish can conduct a technology evaluation to help businesses develop not only a plan to update their technology, but also a budget. “Most people look at technology as an expense, not an investment,” Hollingshead says. He’s out to change their minds. “You have to be serious about technology because it’s not going away.” Currently, Kishmish does not do much in the way of “cold calling” potential clients. Instead, Hollingshead says the firm prefers to leverage existing clients who recommend their services to others. Kishmish serves clients across New York and in 15 other states around the country. “We can do excellent work from anywhere,” Holt notes. The goal is to provide services in all 50 states eventually, however, there is a lot of growth opportunity right here in Central New York that Kishmish hopes to capture first, Hollingshead says. That opportunity could even include acquisitions if the right company came along. Ideally, Hollingshead says he sees Kishmish acquiring a number of small independent contractors whose business has started to grow too large for them to manage on their own. Those types of acquisitions would bring new clients to Kishmish while bringing new support and services to the former contractors and their clients. Kishmish provides web services ranging from website design to interactive marketing; network services including network design, carrier services, and cloud services; and a full range of support. Some of the company’s clients include The Redford Center in Sundance, Utah; the U.S. Green Building Council Connecticut Chapter; and The RitzCarlton Residences in Vail, Colo.  Contact The Business Journal at news@cnybj.com

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6B • The Central New York Business Journal

technology & innovation

August 16, 2013

MATCO: The company’s growth is steered by an executive team with Elliott as CEO and Freije as president Continued from page 1

and technology services, including highvoltage, fire-alarm, power, lighting, specialty low-voltage, and construction-management. The firm maintains a fleet of 90 vehicles to service its customers. “Jim (James F.) Matthews started the company 48 years ago,” says Mark Freije, Matco’s president and a 50/50 stockholder with Elliott. (Elliott and Freije are currently buying all outstanding shares held by former Matco president Ronald Barber.) “[Matthews] was a real entrepreneur, who also ventured into auto dealerships, electronics manufacturing, entertainment, insurance, and real estate. Jim was an enthusiastic hockey fan (and former player), who brought the first professional hockey team — The Broome Dusters — to Binghamton.” (Matthews died in 2011 at age 77.) Matthews sold Matco Electric in 1999 to Celebrity Partners, of which American Capital Strategies, Ltd. (ACS), a publicly traded, private-equity firm, and global asset manager based in Bethesda, Md., was a minority owner. “At that time, much of the U.S. construction industry experienced ‘roll-ups’ [in which] large manufacturing firms acquired smaller firms, such as Matco, and rolled them into one [entity],” says Elliott. “We were rolled up with Port City Electric (another firm Matthews had owned in Mooresville, N.C.) and Consolidated Electric (Norwood, Mass.) into an entity called StarCom Holdings. ACS bought out the other partners in 2003 and renamed the group Constar International. By 2007, the other two companies in the group were [underperforming], and American Capital closed them. “In November 2007, ACS notified us that they may either shut down Matco or seek bankruptcy protection. Mark, I, and Ron (former president Ronald Barber) then asked Constar International (owned by ACS) to sell the company’s assets to local management. M&T Bank provided the financing, and we closed the deal on Dec. 26, 2007.” Matco is currently a sub-chapter S corporation, and the two principals also own a real-estate company — Gates Road Holdings, LLC — in which they share own-

ership equally. Elliott and Freije invested in Matco just before the “Great Recession” paralyzed the economy. “Despite the scary economic times, we have a solid list of long-time customers,” says Elliott. “In health care, we do work for United Health Services, Lourdes Hospital, Bassett Healthcare, [SUNY] Upstate Medical [University], and Guthrie. In [higher] education, our customers include Cornell University, Ithaca College, Syracuse University, and the SUNY universities, plus a number of [primary and secondary] schools in the region. We also serve manufacturers such as Lockheed Martin, IBM, Universal Instruments, Raymond Corp., and BAE Systems. Matco did much of the electrical work on the Destiny project, and we service a number of retailers such as Dick’s [Clothing and Sporting Goods]; Best Buy; Sam’s Club; and Bed, Bath & Beyond. “We focus most of our attention on the Southern Tier, northern Pennsylvania, Central New York, and the North Country,” says Freije. “Still, Matco follows its customers across the U.S., doing electrical work in [states such as] California, Georgia, Florida, New Jersey, and New England. Our work is 95 percent commercial with a small portion assigned to residential. About 60 percent of our work is government [based] and the [remainder] comes from the private sector.” While enjoying the rapid sales growth of the company, Elliott and Freije are cautious in their projections for 2013. “Last year [generated] an unusual amount of growth,” says Elliott. “It was a strong year in part because of the late flooding in 2011. Mark and I thought [our growth] was an anomaly, so we lowered our projections. Sales [however] for the first six months of this year are well ahead of our projections.” Part of Matco’s growth is coming from new services offered by the company. “The company offers TEGG Services, which we introduced seven or eight years ago,” says Freije, “and we have had good success with it. (TEGG is not an acronym; it’s a brand name.) TEGG is a preventive-maintenance program designed to protect commercial and industrial facilities from electrical failures, [electrical] fires, business interruption, and property damage. The results are

guaranteed if a TEGG contractor certifies that an electrical component is in good working order: The component will be replaced free of charge.” Matco is part of an international network of independently owned, local contractors selected by TEGG to implement the program. “TEGG utilizes high-tech [procedures] to keep equipment from blowing up,” continues Freije, “which includes infrared thermography, ultrasonic testing, voltage and ampere diagnostics, power-factor testing, power-quality analysis, and surgeprotection analysis. These programs pay for themselves by preventing unplanned power outages and electrical fires. OSHA is pushing the program to mitigate accidents and deaths. We charge the customers an annual fee for the service, monitor their systems, and share our reports with the customers. The company is projecting continuing growth in this area.” “Matco is also growing because of the expanding use of 3-D modeling, which we call BIM (building-integration modeling),” adds Elliott. “Traditional building design used to rely on two-dimensional drawings. BIM software lets us create a virtual-information model that starts with the design team, involves the contractor and sub-contractors, and then the owner/ operator. Vital information isn’t lost; it’s retained through the operational life of the building and even its demolition … Today, our customers are demanding BIM. For example, we used BIM on Destiny, which was a paperless project.” Elliott says that Matco’s sales are also rising because of the demand for LED lighting, the interest in solar services, and the meteoric growth of the gas-distribution industry demanding new compression stations and office facilities. The company’s growth is steered by an executive team with Elliott as CEO and Freije as president. Other members include Kathy Towery, treasurer; Greg Smyder, senior project manager; Becky Johnson, human-resources manager; Devin Ashman,

senior project manager; and Marty Lewis, senior project manager. Elliott is originally a native of Massena, who attended Clarkson College of Technology (now Clarkson University). He graduated in 1983 with a degree in engineering management. Elliott joined Matco after college “even though the company offered me 40 percent less than my other offers,” he says. “Jim [Matthews] was a heck of a salesman. He convinced me there would be opportunities at Matco not offered at the competing companies. I worked in sales, estimating, project management, and even drove a truck, before becoming the general manager in 1993 and CEO in 2010.” Elliott’s 30-year tenure with Matco is matched by Freije with 31 years. “After a year at Delhi [University], I started working at the company as an electrician’s apprentice,” says Freije … “My dad was an electrician … I joined IBEW 325 (International Brotherhood of Electrical Workers) and worked my way up to journeyman, foreman, supervisor, project manager, and became president [of Matco] in 2010.” Matco’s success has also been helped by a number of regional firms. “We have worked closely with Kevin O’Hara at M&T Bank (Binghamton office) for our financing,” says Elliott. “Matco has also relied on Piaker & Lyons for its accounting. Our legal work is handled by John Dowd (John G. Dowd, Attorney), who acts as our general counsel and by Hinman Howard & Kattell, LLP, both located in Binghamton. Mang handles our insurance needs, and we depend on The Partners [Insurance & Financial Services Agency] to manage our employee benefits and consult on human resources.” Elliott and Freije are optimistic about Matco’s future. “We have a well-trained staff with little turnover,” says Elliott. “Despite the fact that we have a number of competitors, our record of customer retention is excellent. We’re in a problem-solving business, and we need to listen to our customers and stay up with the technology. Today, every foreman has a laptop on the job, because everything is done electronically. Our focus is always on material- and labor-saving devices and procedures that improve our productivity; we make small improvements regularly.” q Contact Poltenson at npoltenson@cnybj.com

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The Central New York Business Journal • 7B

August 16, 2013

EMPLOYEE-PLACEMENT & STAFFING FIRMS

THE LIST

Ranked by No. of CNY Employees

Engineering Firms

September 13

Risk-Management Providers

September 20

Largest Private-Sector Employers

September 27

Business Law Firms

3.

Stafkings Personnel Systems 66 Hawley St. Binghamton, NY 13902 (607) 772-8080/stafkings.com

4.

Contemporary Personnel Staffing & Professionals Incorporated 904 7th North St. Liverpool, NY 13088 (315) 457-2500/cpsprofessionals.com Manpower Inc. 4104 Old Vestal Road Vestal, NY 13850 (607) 729-4604/manpowerjobs.com

5. 6.

First Choice Staffing 7525 Morgan Road Liverpool, NY 13090 (315) 453-5533/firstchoicegroup.com

7.

Adecco Employment Services 225 Greenfield Parkway Liverpool, NY 13088 (315) 461-1270/adeccousa.com

8.

Employment Solutions 111 N. Main St. Elmira, NY 13901 (607) 732-7350/employmentsolutions-ny.com

.

NOTES Staffing Fields Served: AC = accounting; CL = clerical; DE = data entry; EN = engineering; IN = industrial; MD = medical; MG = management; SC = secretarial; SM = sales/marketing; TC = technical; TM = telemarketing; WP = word processing

ABOUT THE LIST Information was provided by representatives of listed organizations and their websites. Other groups may have been eligible but did not respond to our requests for information. While The Business Journal strives to print accurate information, it is not possible to independently verify all data submitted. We reserve the right to edit entries or delete categories for space considerations.

What constitutes the CNY Region? Central New York includes Broome, Cayuga, Chemung, Chenango, Cortland, Herkimer, Jefferson, Lewis, Madison, Oneida, Onondaga, Oswego, Seneca, St. Lawrence, Tioga, and Tompkins counties..

10.

C.R. Fletcher Associates, Inc. 126 N. Salina St., Suite 107 Syracuse, NY 13202 (315) 471-1000/crfletcher.com

11.

JAS Recruitment 100 Metropolitan Park Drive Liverpool, NY 13088 (315) 299-7168/jasrecruitment.com

12.

ISSI Technology Professionals 5010 Campuswood Drive East Syracuse, NY 13057 (315) 449-1838/issitechpros.com

.

Want to be on the list?

CNY Outsourcing 15 E. Genesee St., Suite 270 Baldwinsville, NY 13027 (315) 428-8888/cnyoutsourcing.com

14.

Adecco Employment Services 100 Lomond Court Utica, NY 13502 (315) 724-1620/adeccousa.com

15.

Robert Half International 500 Plum St., Suite 120 Syracuse, NY 13204 (315) 478-0288/accountemps.com

.

Kelly Services 116 Business Park Drive, Suite 103 Utica, NY 13502 (315) 733-4160/kellyservices.com

.

Innovation Professional Placement, Inc. 530 Columbia Drive Johnson City, NY 13790 (607) 352-2515/innovationpp.net

18.

Need a copy of a list? Electronic versions of all our lists, with additional fields of information and survey contacts, are available for purchase at our website, cnybj.com/ListsResearch.aspx

Modis, Inc 507 Plum St., Suite 102 Syracuse, NY 13204 (315) 422-2480/modis.com

.

Comforce 5795 Widewaters Parkway Syracuse, NY 13214 (315) 449-1188/comforce.com Pro-Tel People Staffing Solutions 1 Virginia Lane Norwich, NY 13815 (607) 337-7425/protelpeople.com

20.

Columbia Place Associates, LLC 401 Columbia St., Suite 8 Utica, NY 13502 (315) 272-2999/columbiaplaceassociates.com

21.

Kelly Services Inc. 3701 Vestal Parkway East, Suite 6B Vestal, NY 13850 (607) 729-1253/kellyservices.com

If your company would like to be considered for next year’s list, or another list, please email ncollins@cnybj.com

Executive

September 6

The Fortus Group 181 Genesee St., Suite 600 Utica, NY 13501 (888) 387-3625/fortusgroup.com

Permanent

Security & Alarm Companies

2.

42 — 6,422 — 945 40 — 3 — 6 36 — 466 — 1,385 30 — 221 — 1,362 25 — 75 — 500 16 — 102 — 2,432 15 — 780 — 1,200 13 — 77 — 13 — 43 — 150 11 — 150 — 200 10 — 50 — 9 — 122 — 9 — 140 — 8 — 780 — 1,000 7 — 0 — 7 — 100 — 250 7 — 20 — 220 5 — 124 — 5 — 15 — 250 4 — 45 — 3 — 4 — -

Recruiting

August 30

NYS ACCES-VR 333 E. Washington St. Syracuse, NY 13202 (315) 428-4179/acces.nysed.gov/vr/syracuse

Temps

Don’t be left off the Lists!

1.

Types of Placement Services

Leasing

Rank

Name Address Phone/Website

No. of CNY: Employees — Employer Clients — Employees Placed In 2012

Contracting

Research by Nicole Collins ncollins@cnybj.com (315) 579-3911 Twitter: @cnybjresearch

-

-

-

Y

Y

-

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Dorothy Marinaccio, Regional Workforce Development & Business Relations Coordinator Barry Tatters, Local Workforce Development & Business Relations Reprentative

-

Y

-

Y

Y

Y

Y

MD

Michael Maurizio, CEO, Founder Jeremy Enck, VP of Sales

1993

Y

Y

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Daniel J. King, President Carter C. King, VP Robin Eccleston, General Manager

1962

Y

-

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Laurie Liechty, President & Founder Joy Rinaldi, VP of Operations Deb Lerro, EVP - Finance

1989

Y

-

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Trina Rosolanko, Branch Manager

1948

Y

-

Y

Y

Y

Y

AC, CL, DE, IN, MG, SC, SM, TC, TM, WP

Michele Washburn, President Lynn Ann Loomis, VP Operations Robert Kuzdzal, VP Sales/Marketing

1976

Y

-

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Karen Walser, Regional VP Karen Standford, Regional Operations Manager Laurlyn Bush, Branch Manager

1950

Y

Y

Y

Y

Y

-

AC, CL, DE, IN, MG, SC, SM, TC, TM, WP

Daniel Mori, President

2005

Y

Y

Y

Y

Y

Y

EN, MG, TC

Raymond Szczech, Regional VP Timothy Willman, Sales Director Renee Carolin, Sr. Business Development Manager

1969

Y

-

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Carol Ryan Fletcher, CEO Thomas Fletcher, COO

1989

Y

Y

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Joe Szlosek, Partner Stuart Groom, Partner

-

Y

-

Y

Y

Y

Y

EN, MD, MG, TC

Allison P. Smith, President & CEO Sally L. Chapman, Director Marketing & Strategy Tina Lee, Director of Recruiting

1990

Y

-

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Lori L. Carr, CEO Michael E. Carr, President

2004

Y

-

Y

Y

Y

-

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Karen Walser, Regional VP Holly Hoag, Branch Manager

1950

Y

-

Y

Y

Y

Y

AC, CL, DE, SC, TM, WP

Lori Brieaddy, Accountemps Division Director Deena Lewandowski, OfficeTeam Division Director

1948

Y

-

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Susan Schrader, District Manager Dawn Upright, Sr. Staffing Supervisor

1955

Y

Y

Y

Y

Y

Y

AC, CL, DE, EN, IN, MG, SC, SM, TC, TM, WP

Mary Reno, CEO

1997

Y

Y

Y

Y

Y

Y

AC, CL, DE, EN, MD, MG, SC, SM, TC, TM, WP

Linda J. Steele, Business Development Manager

1961

Y

Y

Y

Y

Y

Y

AC, CL, DE, EN, IN, MG, SC, SM, TC, TM, WP

Michelle Dratsch, Operations Manager

1984

Y

Y

Y

Y

Y

-

AC, CL, DE, EN, IN, MG, SC, SM, TC, TM, WP

Garry J. Smith, Marketing Manager

2003

Y

Y

Y

Y

Y

Y

AC, CL, DE, EN, IN, MD, MG, SC, SM, TC, TM, WP

Staffing Fields Served1

Top Executives

Year Estab.

1946


8B â&#x20AC;˘ The Central New York Business Journal

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