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BUSINESSM A G A Z I N E
VOLUME XXIV, NUMBER 1 JANUARY 2011Manufacturer & Business Association
/ Page 12
Now you can find the same great coverage you count on for your employees’ health insurance in a fully-insured dental plan from a name you already know and trust. Good dental care is an important part of your overall health. And with BlueEdge Dental from Highmark, you get the convenience of one company and website to handle all your health coverage needs. Smile and enjoy knowing you’re having a greater hand in your company’s health. Find out more at 888.286.8414 or highmarkbcbs.com.
EVERY TEAM NEEDS DENTAL CARE.Get it with BlueEdge Dental
SM
from Highmark.
Coverage subject to the terms of your benefits program.
FEATURES > 3 / SpotlightRodney Betts, president of Betts Industries in Warren, Pennsylvania, talks about how this manufacturer of valves, manlids, safety lamps and lighting systems has been able to achieve continuous operation for 110 years.
12 / Safe Harbor Behavioral HealthSafe Harbor Behavioral Health administrators discuss how this mental health agency has grown significantly since its founding in 1993, with the addition of a new anti-bullying crisis hotline and new crisis residential center in Millcreek Township that will be available this year.
19 / On the Hill Association State Government Relations Representative Anna McCauslin explains the aggressive agenda that business owners should expect from the Republican-controlled legislature during the 2011-2012 legislative session.
22DEPARTMENTS > 5 / Business Buzz16 / HR Connection
20 / Legal Q&A24 / Anniversary Showcase28 / People Buzz
12EDITORIAL > 7 / Health Matters Why coordination of care is essential in navigating today’s complex health- care system.S. RAMALINGAM, MD, MBA
9 / Legal BriefBest practices for nonprofit organizations.THOMAS A. PENDLETON
11 / Financial AdviserThe importance of incorporating an operating reserve policy into your nonprofit’s long-term plans.SHAWN EMERSON, CPA
18 / Blue Ocean StrategyHow looking across alternative industries can help you reconstruct market bound-aries and uncover new markets of untapped demand.ANGIE ANGUS
5TAKE OUR ONLINE POLL!
A federal judge in Virginia recently threw out the individual mandate of President Obama's health-care law that requires Americans to buy coverage — dealing the first legal blow to the new measure on an issue likely to be decided by the Supreme Court. Do you believe that the repeal of Obamacare is imminent?
YesNoUnsure
Respond now on the Business Magazine homepage at www.mbausa.org. Results to be featured in the April 2011 health-care issue.
< 22 / SPECIAL SECTION Longevity. Growth. Success. Our special anniversary section recognizes the more than 400 Association member companies celebrating milestone anniversaries in 2011.
January 2011
Blue Ocean Strategy Center
3
SAFELine
January 2011 > www.mbausa.org > 1
Blue Ocean Strategy Center
SPOTLIGHT > by Karen Torres
VOL. XXIV, NO. 1 JANUARY 2011
© Copyright 2011 by the Manufacturer & Business Association. All rights reserved. Reproduction or use of editorial, pictorial or advertisements created for use in the Business Magazine, in any manner, without written permission from the publisher, is prohibited. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. The maga-zine accepts no responsibility for unsolicited manuscripts or artwork. The Business Magazine and Manufacturer & Business Association do not specifically endorse any of the products or practices described in the magazine. The Business Magazine is published monthly by the Manufacturer & Business Association, 2171 West 38th Street, Erie, Pa. 16508. Phone: 814/833-3200 or 800/815-2660.
Mission StatementThe Manufacturer & Business Association is dedicated to providing information and services to its members that will assist them in the pursuit of their business and community interests. – Board of Governors
Manufacturer & Business Association2171 West 38th Street Erie, Pa. 16508 814/833-3200 or 800/815-2660 www.mbausa.org
Manufacturer Yvonne Atkinson-Mishrell& Business John ClineAssociation Board Dale Deistof Governors Timothy Hunter Dan Ignasiak Mark C. Kulyk John B. Pellegrino Sr., P.E. Dennis Prischak Robert S. Pursell Lorenzo Simonelli Sue Sutto Phil Tredway
Editor in Chief Ralph Pontillo [email protected]
Executive Editor John Krahe [email protected]
Managing Editor & Karen Torres Senior Writer [email protected]
Contributing Angie Angus Writers Jessica Crocker Shawn Emerson, CPA Thomas A. Pendleton S. Ramalingam, MD, MBA
Photography & Ron Stephens Illustration La Mirage Studio 814/835-1041 E.E. Austin & Son, Inc. iStockphoto.com
Advertising Sales Lori Maus Joint 814/833-3200 or 800/815-2660 [email protected]
Design, Production Printing Concepts Inc. & Printing [email protected] Jessica Crocker
ON THE COVER: Safe Harbor Behavioral Health President and CEO Jon Evans and Adult Services Medical Director Matthew Behan, D.O., explain how the mental health agency, headquartered at 1330 West 26th Street in Erie, has evolved in terms of staff, services and facilities to meet the growing needs of the community. See story on Page 12.
Briefly explain the history of Betts Industries and how it evolved to where it is today. You can imagine that with 110 years of history we could write a book. Here is the short version of our very long story… In 1901, and for a number of years following, we forged and machined products, including gas engines for the oil industry in and around Warren County. Early in our history, we also manufactured pot-bellied stoves, street signs and street manhole covers. In the mid- to late 1940s, our primary focus turned to manufacturing valves for the tank truck industry and, not too long after that, we started manufacturing manhole covers for the same industry. Then, in the mid-1950s, we added “Snap Seal” safety lamps to our list of offerings. While our valves, manhole covers and lamps have evolved a great deal over the years, and we became an ISO 9001-certified manufacturer, we still rely on this same line of quality products, and they are our bread and butter.
Please describe the size of your two divisions — Valves and Manholes, and Lamps. Our Valve and Manhole division team located in Warren, Pennsylvania is currently 199 employees strong, and our Lamp division located right outside of Warren in Starbrick, Pennsylvania is 28 employees strong.
Who are your customers and where are they located? Our customers are largely tank truck manufacturers and suppliers. Approximately 75 percent of our current business is domestic and the remaining 25 percent is international with customers in Canada, Mexico, Central America, South America, Australia, Europe, Asia and Africa. It’s interesting to note that our international sales have provided for much of our growth over the past few years.
As one of the oldest Association member manufacturing companies celebrating a milestone anniversary in 2011, how would you describe your company’s secret to business longevity? While there isn’t anyone here at Betts Industries who would claim to be perfect, I can tell you that our decision makers try very hard to do the right thing. We are committed to our relationship with our employees and have various programs in place that reinforce their stakeholdership in our business. We listen to our customers and are responsive to their needs. Along with all of that, we are on guard to not become complacent and we look for opportunities to be innovative in our product development and manufacturing processes. Even though we have been around a very long time, we look at ourselves as being 110 years young, not old.
What is the outlook for Betts Industries in 2011? We experienced record-breaking sales growth for four years in a row, ending with our March 2008 business year. Then, like most everyone else, we were impacted by the global economic crisis. We didn’t like the hand we were dealt at all but realized that the only thing we could do was to play that hand the best we could and endure. With all that said, we are busy again and it feels darn good. As we look to our future, we wish our crystal ball was just a little clearer but all indications suggest that we will remain busy for the foreseeable future.
What opportunities and challenges do you see for your industry in the year ahead? We see opportunities for further development and expansion of our markets, especially in the international arena. By continually improving our products and processes, it enables us to provide products possessing uncompromised quality, design and performance, thereby ensuring that we consistently meet or exceed our customers’ expectations. When it comes to challenges we are currently facing, the first thing that comes to mind is providing our employees with the kind of health-care benefits to which we at Betts Industries have become accustomed. This has been a challenge for some time now and it has gotten a lot tougher recently.
Is there anything you would like to add? We are committed to not forgetting our roots. We remain mindful of and pay tribute to the generations of Betts employees who have served and gone before us. We will not take them for granted. They set an inspiring example as they brought our company through the Great Depression, two world wars, several floods and countless other challenges. They are the ones who have built the solid foundation we stand on today. From this, we also understand that we have a responsibility to maintain that tradition and to build a legacy for our future generation of Betts customers and especially our employees.
For more information, visit www.bettsind.com or call 814/723-1250.
Established in 1901, Warren, Pennsylvania-based Betts Industries designs and manufactures valves, manlids and pressure/vacuum relief valves for highway cargo tanks and various other industrial applications, as well as safety lamps, lighting systems and other accessories for the trucking industry. The Business Magazine recently met with President Rodney Betts to learn more about this northwest Pennsylvania-based business and how it has been able to achieve continuous operation for 110 years.
January 2011 > www.mbausa.org > 3
CHANNELLOCK ATTAINS ISO 9001:2008 CERTIFICATIONMeadville-based Channellock, Inc., a worldwide leader in the manufacture of quality pliers and assorted hand tools since 1886, recently achieved International Organization for Standardization (ISO) certification by maintaining the highest of standards in business processes.
The company meets the ISO 9001:2008 standard, which is considered a benchmark for quality business processes. Among their findings, auditors noted the presence of: strong management support for the system; effective document control; well-documented and maintained records for all activities; disciplined processes; knowledgeable and involved associates; strong emphasis on improvements and preventive actions; and experienced and knowledgeable cell operators.
For more information, visit www.channellock.com.
Business BuzzPHB NAMED SUPPLIER OF THE YEAR FOR 2010Fairview, Pennsylvania-based PHB Inc., a leader and full-service supplier of quality products in the die-casting, CNC machining, molding, and tool and die industries, recently received the 2010 Supplier of the Year Award from Harris RF Communications Division in Rochester, New York.
Based on their strategic partnership, the award recognizes PHB’s achievement of innovative ideas on cost reductions — including early product design, supply chain efforts and the support of quality product with on-time delivery — for the manufactured parts it supplies to Harris, a worldwide supplier of communication radios for military and first responder use.
For more information, visit www.phbcorp.com.
From left: Charanjeet Gill, director, Procurement (Harris); Jason Ruffell, senior buyer (Harris); Dan Langer, vice president/Materials (PHB); John Hilbert, president (PHB); Brian Eaton, Harris Account Manager (PHB); Paul Nealon, commodity manager (Harris); and Edward Maier, vice president/general manager, Engineering and Operations (Harris).
Gorgeous Food. Any Occasion.
- Events - Business Functions - Boxed Lunches
814-452-6113 x232 [email protected]
Gorgeous Food. Any Occasion.
- Events - Business Functions - Boxed Lunches
814-452-6113 x232 [email protected]
4 < www.mbausa.org < January 2011
DEPARTMENTS > Contact: Jessica Crocker
J.H. BENNETT MOVING & STORAGE INC.J.H. BENNETT MOVING & STORAGE INC.A Family Tradition Since 1914
J.H. BENNETT MOVING & STORAGE INC.J.H. BENNETT MOVING & STORAGE INC.A Family Tradition Since 1914J.H. BENNETT MOVING & STORAGE INC.J.H. BENNETT MOVING & STORAGE INC.A Family Tradition Since 1914
814-456-5377 1-800-452-8668 1705 Raspberry Erie, PA 16502www.jhbennett-moving.com
Providing full-service relocation and transportation services...from anywhere in the U.S. ... to anywhere in the U.S.
Celebrating our 95th year in business!
Celebrating Our
97th Year
RALPH S. ALBERTS CO. FINDS NICHE IN NATURAL GAS INDUSTRYThe Ralph S. Alberts Co., Inc. (RS Alberts), a multifaceted custom molder located in Montoursville, is capitalizing on Pennsylvania’s burgeoning natural gas industry by adapting a decades-old process to the market’s current needs.
Best known for manufacturing products for amusement parks, RS Alberts is now manufacturing durable plastic well-pad liners used to contain spills at drilling sites. The well-pad lining, made from polyurea and polyurethane foam, is more durable, flexible and resistant to chemicals than traditional tarp liners. Because they can be reused and take half of the time to put down, the new liners — which contain no hazardous air pollutants or volatile organic compounds — are considered far superior to traditional tarp liners.
RS Alberts, with more than 50 years
of experience with spray foams and spray polyureas, specializes in injection molding, foam molding, hand casting, liquid resin casting, roto casting and thermal plastic rubber casting.
For more information, visit www.rsalberts.com.
PLASTIKOS, MICRO MOLD EXPAND FACILITIESPlastikos, Inc., an Erie-based custom injection molder, recently completed a cooperative facilities expansion with sister company and precision mold manufacturer, Micro Mold, Co. Inc. The expansion will improve efficiencies and increase production capabilities for both companies, which together are global leaders in the plastics industry.
Additionally, Micro Mold, which will accommodate production overflow from Plastikos as orders increase, will house the majority of the research
and development for both companies, including tool, engineering and materials sampling.
For more information, visit www.plastikoserie.com.
QUAKER STEAK & LUBE NABS NATIONAL BUFFALO WING TITLEQuaker Steak & Lube’s Buffalo-style chicken wings recently earned the Fest- ival Favorite award at the 2010 National Buffalo Wing Festival in Buffalo, New York. The 71,000 attendees made The Lube their overwhelming favorite, out-selling the 38 restaurants in attendance.
Quaker Steak & Lube, which served its first wing in 1976, owns or franchises 39 locations throughout the United States and Canada, including the Scott Enterprises franchise at 7851 Peach Street in Erie.
For more information, visit www.quakersteakandlube.com.
January 2011 > www.mbausa.org > 5
We do. If you too stand on principle, you need the principals and team of Schaffner, Knight, Minnaugh & Company, P.C. to work for you.
When you want specialized — and personalized — service, look no further. We go beyond what must be done ... to what can be done. We do our homework on your industry, and we have a passion to be 100% right for you every time. When you are ready for world-class service from a highly-trained professional staff and team of certified public accountants, give us a call.
Schaffner, Knight, Minnaugh & Company, P.C. ... World Class service for World Class clients.
Certified Public Accountants
The McGladrey Alliance is a premier a!liation of independent accounting and consulting "rms. The McGladrey Alliance member "rms maintain their name, autonomy and independence and are responsible for their own client fee arrangements, delivery of services and maintenance of client relationships. The McGladrey Alliance is a business of RSM McGladrey, Inc., a leading professional services "rm providing tax and consulting services. McGladrey is the brand under which RSM McGladrey, Inc. and McGladrey & Pullen, LLP serve clients’ business needs. McGladrey, the McGladrey logo and the McGladrey Alliance signatures are used under license by RSM McGladrey, Inc. and McGladrey & Pullen, LLP.
DO YOU STAND ON PRINCIPLE?
We do. If you too stand on principle, you need the principals and team of Schaffner, Knight, Minnaugh & Company, P.C. to work for you.
When you want specialized — and personalized — service, look no further. We go beyond what must be done ... to what can be done. We do our homework on your industry, and we have a passion to be 100% right for you every time. When you are ready for world-class service from a highly-trained professional staff and team of certified public accountants, give us a call.
Schaffner, Knight, Minnaugh & Company, P.C. ... World Class service for World Class clients.
Certified Public Accountants
The McGladrey Alliance is a premier a!liation of independent accounting and consulting "rms. The McGladrey Alliance member "rms maintain their name, autonomy and independence and are responsible for their own client fee arrangements, delivery of services and maintenance of client relationships. The McGladrey Alliance is a business of RSM McGladrey, Inc., a leading professional services "rm providing tax and consulting services. McGladrey is the brand under which RSM McGladrey, Inc. and McGladrey & Pullen, LLP serve clients’ business needs. McGladrey, the McGladrey logo and the McGladrey Alliance signatures are used under license by RSM McGladrey, Inc. and McGladrey & Pullen, LLP.
DO YOU STAND ON PRINCIPLE?
What most people want from the health-care system seems simple.They want quality care that is timely, appropriate and affordable.
And while the answer to what people want is simple, achieving it is not. The American health-care system can be frustratingly complex. The fact that there is no one “system” of health care is a major reason for much of the complexity.
In order for patients to receive timely, appropriate and affordable quality care, they must be able to navigate the health-care system. When the system is too difficult to navigate, patients may respond by delaying care, they may fail to get any care, or get it in an inappropriate setting such as an emergency room. Such results not only drive up the cost of care, but also reduce its effectiveness.
Coordination of Care EssentialNavigation of health care requires coordination, which is a role that has traditionally been handled by generalists – that is, primary care physicians (PCP). However, today many people get much of their care from specialists. As a result, the patient often receives what could be called fragmented care. There is no coordinating of care with a central party.
Patients need one place to call their “medical home.” It can be a PCP or a specialist, but it needs to be one place where all their information is kept and coordinated. One of the most important roles of a health plan is to coordinate and facilitate a patient’s information with the people who deliver the care.
Importance to EmployersA complex system that is difficult for consumers to navigate compromises both health-care efficiency and clinical consequences. Both results are unacceptable – one in terms of costs, and the other in terms of the health and well being of employees.
Poor navigation compromises both health-care efficiency and clinical consequences. Health-care consumers pay the price for poor coordination of services, and there can also be inappropriate utilization of services.
Easing Navigation There are some alternatives being discussed such as group appointments, which could expand the time a patient is with a doctor and possibly improve the discussion of conditions and treatments.
Group appointments not only save time, but they also provide patients with peer-to-peer interaction in which they can relate to one another. When you have a group of people who share the same condition, they can talk about their experiences in a way that the physician cannot, and they can be more effective than the physician in transmitting some information about their conditions.
An integrated delivery system – which is a network of health-care providers and organizations designed to provide coordinated services to a defined population – is another possible way that navigation of the system can be eased. Integrated delivery systems allow multiple health services to be managed by the same organizing entity and that can improve coordination of care and be easier on the patient.
A health plan can be an important part of this because it has access to all of the claims data of its members, and it has the capacity to share that information with providers. That way a provider gets a clearer picture of a patient’s condition and history, and can make more effective and efficient care decisions.
Can Businesses Help?Businesses have the capacity to work with a health plan to set the agenda for employees who are members. By placing a focus on wellness as well as on illness, they can prevent people from developing chronic conditions. Promoting a healthy environment in the workplace requires time and commitment and, in the long run, will benefit both the employee and the employer.
For more information about navigating the health-care delivery system, visit the UPMC Health Plan Web site at upmchealthplan.com.
Navigating the Health-Care System
Health MattersEDITORIAL > by S. Ramalingam, MD, MBA
S. Ramalingam, MD, MBA, is senior medical director for UPMC Health Plan. UPMC Health Plan is part of the integrated partner companies of the UPMC Insurance Services Division, which includes UPMC WorkPartners, LifeSolutions, UPMC for You (Medical Assistance), EBenefits and Community Care – and offers a full range of insurance programs and products.
January 2011 > www.mbausa.org > 7
We are so grateful to the Members of the Manufacturer and Business Association and Roar on the Shore Commi!ee. Your donations and volunteer service are creating a truly wonderful place. Each year we help over 300 children who have been abused or traumatized by witnessing domestic violence at home.
We teach them how to deal with painful emotions, stay safe, be resilient, and build positive self-images. Plus we do all we can to stop the cycle of violence from repeating itself in their lives.
The Children’s Garden you are helping to create will give these hurting kids a place to play outside — a secure place away from harm — a place to heal, be refreshed, laugh and just have fun again.
The activities, sunshine, and fresh air they will enjoy will take away a lot of the stress and anxiety they feel. This wonderful garden will play an enormous and vital role in helping kids
from abusive households to see that beautiful possibilities can follow a di"cult time — that spring always follows winter. Thank you . With deep appreciation from SafeNet’s Board of Directors, Counselors, Sta#, and Children’s Program Volunteers
8 < www.mbausa.org < January 2011
Nonprofit organizations come in many sizes and shapes, but their common focus is helping others and making our community a better place. This article summarizes the legal and practical steps each nonprofit organization should take so that the organization is prepared to focus more time and energy on fulfilling its mission.
Bylaws and FinancesEach organization should have a functional set of bylaws that should be consistent with the organization’s Articles of Incorporation. These by-laws should describe the mission of the organization; explain the rights of board members; explain how directors and officers are selected; identify which committees exist and how they operate; and include provisions that limit personal liability and provide for indemnification when permitted by law. The bylaws should be reviewed approximately every five years to make sure that the bylaws still meet the needs of the organization.
The organization also should ensure that its funds are spent appropriately and expenditures are recorded accurately. The organization should approve an annual budget, and the directors should review ongoing expenditures periodically to make sure that funds are spent within the budget. A system of checks and balances should be used to record receipt of funds and approve necessary expenditures. An audit also should be conducted annually to obtain an independent review of revenues and expenditures.
PoliciesEach organization should have a conflict of interest policy. Identifying and avoiding conflicts of interest may be required by governmental entities, which may provide a significant source of funding. Furthermore, charitable donors may expect that conflicts of interest will be avoided in order to ensure that the organization’s funds are spent fairly and wisely. The conflict of interest policy should require board members, employees and volunteers with decision-making authority to disclose any financial interests they have in any business entity that conducts business with the organization.
A nonprofit organization also should have written personnel policies that govern all employees and volunteers of the organization. The personnel policies should cover working conditions, employee benefits, evaluation, supervision, hiring and firing, grievance procedures, and confidentiality of employee, client and organization information. Nonprofit organizations have many of the same legal obligations as for-profit businesses with respect to employees, so preparing and following appropriate policies will help avoid liability. Given the nature of today's electronic world, policies should include provisions regarding computer and smartphone use during working hours.
FundraisingThe organization should make sure that its fundraising activities are in compliance with Pennsylvania law. The organization should register with the Pennsylvania Attorney General's Office, if required, and all materials used in fundraising should be accurate and truthful. Furthermore, the organization should make sure that all charitable donations are used for charitable purposes. It is a violation of law to divert charitable donations for private purposes.
RecordkeepingThe organization should prepare policies for appropriate information management and destruction. Because a substantial amount of information is in electronic form, these policies must go beyond paper records and include e-mails, pictures, audio and video recordings, and financial data. Preparing these policies requires organizing the information in the organization’s possession, understanding how long the information should be kept and where it will be kept; outlining document destruction practices (including e-mail); and implementing a “litigation hold” of document destruction when necessary.
Each of these policies and practices should be prepared in a way that is appropriate to the size and function of the organization. An organization with hundreds of employees and a budget of several million dollars needs different policies and practices than an organization with
five employees and a budget of several hundred thousand dollars. Guidance on these issues can be obtained through training sessions offered by local and statewide organizations or Internet sites maintained by these organizations.
Worth NotingBecause there is no “cookie-cutter” approach for the policies and practices outlined above, the organization should obtain competent advice from a lawyer or other qualified professional. An individual who serves as a director may be able to provide advice on certain topics. Other times, the expertise will be found outside of the organization. Complying with the necessary legal requirements will help ensure a stable framework in which your organization can grow.
For more information about nonprofit best practices, please contact Thomas A. Pendleton at MacDonald, Illig, Jones & Britton LLP at 814/870-7756 or [email protected]
Legal BriefBest Practices for Nonprofit Organizations
EDITORIAL > by Thomas A. Pendleton
Thomas A. Pendleton is a partner with MacDonald, Illig, Jones & Britton LLP and has been representing businesses, nonprofit corporations and individuals in a wide variety of legal matters for more than 15 years. He is a graduate of the Vanderbilt University School of Law.
Document Checklist for Nonprofits
January 2011 > www.mbausa.org > 9
McConnellsburg
Allentown
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CRI o!ers Center for Independent Living & Home and Community Based Services
CRI o!ers Home and Community Based Services
Williamsport
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Shawn Emerson, CPA, is a partner at McGill, Power, Bell & Associates, LLP, a regional certified public accounting firm with offices in Erie and Meadville. He has more than 20 years of accounting experience in both the public and private sectors. His specializations include Nonprofit and Government Auditing, Business/For-Profit Auditing and Management Consulting. Emerson is a member of the firm’s Nonprofit and Government Services Group and the PICPA’s NFP Technical Issues Subcommittee. He also is a member of the Association of Certified Fraud Examiners and serves on the Executive Advisory Committee of Central Tech.
Each nonprofit organization at one time or another has wished it had saved for a rainy day. Saving for a rainy day sounds logical, but most organizations don’t plan for or anticipate the need. Many organizations neglect to put aside funds that will help them preserve their capacity to deliver on their missions in the event of unforeseen financial shortages. A natural disaster that increases operating expenses, a budget impasse from a governmental organization, or an unexpected decrease in gifts from individual donors can put an organization without adequate operating reserves at risk.
Some nonprofits have negative reserves and are already at risk. To assess this locally, I performed a brief analysis of 25 nonprofits in the Erie region by accessing their 2009 Internal Revenue Service Form 990s from GuideStar.org. The annual expenses ranged from $3.4 million to $299 million for services that included health care, education and human services. Nine of the 25 had operating reserve ratios (defined below) over 25 percent, and the other 16 actually had negative reserve ratios. This is by no means an exhaustive analysis; however, it does demonstrate the reality of this issue.
What is an Operating Reserve?An operating reserve is the portion of “unrestricted net assets” that nonprofit boards maintain or designate for use in emergencies to sustain financial operations for unanticipated events. Accumulated unrestricted net assets increase or decrease from annual surpluses or deficits. Financial stability is attained by budgeting for, and actually achieving, yearly surpluses, which help meet operating reserve objectives. Unrestricted net assets should be further defined as “available,” or that portion of net assets not attached to fixed assets, net of related debt.
For organizations interested in creating an operating reserve, it is recommended that nonprofit boards establish a minimum operating reserve ratio policy. A minimum operating reserve ratio can be calculated in terms of a percentage (operating reserves divided by the annual expense budget) or number of months (operating reserves divided by the average monthly expense budget).
Industry experts conclude that a board should establish, at a minimum, an operating reserve ratio of 25 percent or three months of the annual expense budget. The minimum is just that, a minimum. How much beyond the minimum can vary from organization to organization and is dependent on several other factors.
Establish a Reserve PolicyWhatever is decided, it is prudent that nonprofits establish an operating reserve policy regardless of the size of their annual budget. Establishing a policy is something that each nonprofit should do by evaluating what is adequate for them. This should be given serious consideration and not approached half-heartedly using a boiler-plate policy found on the Internet. It has to work for you! One final comment would be that operating reserves should be accumulated in advance of other Board-designated funds.
The key steps for any nonprofit creating a policy are to: 1) establish a minimum level for an operating reserve ratio; 2) define how the operating reserve will be calculated (use the above or something more specific to your organization); 3) define how reserves will be invested; 4) define frequency of measuring (monthly report to executive director and quarterly to the board); and, 5) identify how the operating reserve will be replenished if used.
One key element in the success of building an operating reserve is to overcome the stigma that nonprofits are not permitted to make a profit. Staff and boards of nonprofits, as well as contributors, need to understand and agree that it’s OK to have anticipated annual surpluses to help build an operating reserve, but more importantly, it will help an organization achieve sustainability.
There is no “one size fits all” solution but there is a solution that will work for each organization if those who believe in the nonprofit take the time to define what will work best for them. That’s why it’s so critical for nonprofits to incorporate an operating reserve policy into their long-term plans.
For more information and questions regarding operating reserves, contact Shawn Emerson at McGill, Power, Bell & Associates, LLP at [email protected] or 814/453-6594.
EDITORIAL > by Shawn Emerson, CPA
Operating Reserves Essential for Long-Term Sustainability
Financial Adviser
January 2011 > www.mbausa.org > 11
Safe Harbor Behavioral Health (SHBH), a human service agency specializing in mental health, has grown significantly since its founding in 1993, when it began with a small budget and three staff in Erie. With the support of the County Department of Human Resources (Erie County MHMR) and a very generous community, the nonprofit organization, headquartered at 1330 West 26th Street, today offers a wide array of mental health services to more than 4,000 residents — children and adults — in the region.
“We are focused on providing ambulatory outpatient and crisis care that is responsive to consumer needs and delivered in a timely manner. There are a number of quality providers in the community, and we work with many of them daily, to ensure good coordination of services,” explains President and CEO Jon Evans, who has more than 30 years of experience in the mental health field. “The earlier we can provide care, the better the outcomes.”
This year, the agency is founding SAFELine, the first 24/7, 365-days-a-year crisis hotline for area students. The line will provide a forum for students who are experiencing bullying, or any other difficulty, to talk with a crisis clinician anytime, day or night. In addition, Safe Harbor is opening a new Crisis Residential Center on West 12th Street near the Regional Cancer Center in Millcreek Township, and expects the $1.1-million renovation to be near completion in early 2011.
It’s an exciting time for Safe Harbor, according to agency administrators and Board members who say these two projects are a reflection of the growing need for mental health services across the country.
According to the National Institute of Mental Health, an estimated 26.2 percent of Americans ages 18 and older — about one in four adults — suffer from a diagnosable mental disorder. Anxiety disorders impact approx-imately 40 million adults, and major depression affects 14.8 million adults (6.7 percent of the
adult population). In fact, the greatest number of prescriptions written in the United States are for mental health-related issues.
“When you think about the individuals who need these services, it’s an astonishing figure.” notes Board President Tim Trott, Vice President of Investments and Advisory and Brokerage Services for UBS Financial. “It’s important to have an organization like Safe Harbor here in this community. If you or someone you know is suffering from depression, anxiety, bipolar, or any crisis situation, you don’t have to try to deal with them by yourself.”
“My wife and I were very good friends with a successful couple, both of whom worked in large corporations. They had children that could have been models, and were at the top of their classes; the perfect situation from the outside looking in. Then, things started to change. She, the wife, seemed to be disconnecting from us and our other friends, and her relationships began to suffer. Eventually, she took her own life. That’s really why I joined Safe Harbor. A business person needs to understand that their family, friends and business associates can seek help from someone like Safe Harbor and get help to cope with life.”
— Robert E. Glowacki, Assessment Evaluation Inc. Safe Harbor Board Member for three years
SAFELine
Safe Harbor’s new $1.1-million crisis residential center on West 12th Street in Millcreek Township is designed to be an eight-bed, short-term facility that will provide residents in Erie County with the respite and resources they need to recover from a crisis situation.
Safe Harbor’s SAFELine, is a new hotline to be launched in March for area youth can call to report bullying problems 24 hours a day. 12 < www.mbausa.org < January 2011
Mission-Based AgencySafe Harbor was started in response to a special project initiated by the Erie County Mental Health administrative offices and State of Pennsylvania Office of Mental Health to bring home individuals who were long-term residents of Warren State Hospital. In this capacity, the agency’s mission was to develop an intensive and focused outpatient clinic to be available to those individuals, and also to develop a fully functional, 24-hour crisis intervention program for all residents of Erie County.
“We started with three staff — me, our nurse manager and a secretary — a desk, two chairs and a phone,” states Evans. “It was exciting that we got to take an organization from its very founding and build it the way we wanted to.”
Over the past 18 years, Safe Harbor has evolved into a mission-based mental health services business — which in 2011 has an operating budget of $8 million and more than 200 employees. The shift to a more business-centric mental health agency is a credit to Safe Harbor’s administration and Board of Directors, comprised of local business leaders. Together, they have taken a proactive approach to making sure that the agency’s funding is spent wisely.
“A significant amount of tax dollars come into our organization, and we take the stewardship of those dollars seriously. The Board and administrative team recognize their fiduciary responsibility and provide thoughtful oversight,” notes Evans. “To that end, we have developed productivity contracts with our clinical staff, which has been very good for the organization.”
According to psychiatrist Matthew L. Behan, D.O., who became the Adult Services Medical Director for the agency in July 2008, major factors in making care more efficient are the utilization of outpatient services and early treatment.
In fact, Safe Harbor operates much in the same way as a medical clinic; conducting screenings, checking vital signs, and working with a client’s primary care physician to make sure they are receiving not only therapy and medication, but also a continuum of care.
“In other words,” notes Dr. Behan, “we recognize that people can’t really feel well mentally if they are not taking care of their physical health, so we want to participate in the idea of whole body health as much as possible.”
Safe Harbor’s multidisciplinary staff works collaboratively with all hospitals, social service agencies, police jurisdictions, and school districts in Erie County, with satellite clinics in over 35 school buildings. The agency also embraces the concept of Recovery from mental illness and employs Certified Peer Specialists, people who are willing to share their own stories of overcoming mental illness, to inspire others.
“Clients are looking for reassurance that you can have a mental illness and still be a good mother, for example. They want to know what you do for help,” says Certified Peer Specialist Miki Hammond, who has been involved in the mental health care field for more than 40 years — as the child of a parent with serious mental illness, as a patient, as a parent and then as an advocate. “They want to know things that make them not feel so isolated with their illness.”
“At Safe Harbor, we talk about what it takes for a family to come to the point where they need to call and see a psychiatrist. It’s a very difficult decision for people who are not familiar with
our field,” notes Evans, “So our job is to be absolutely responsive when they call.”
New Residential Services CenterFor those dealing with a crisis, an agency such as Safe Harbor Behavioral Health can truly be a lifesaver. Safe Harbor’s Crisis Services provides free intervention, 24 hours a day, seven days a week, to anyone experiencing a crisis within Erie County. A crisis is defined by the person experiencing it and can be anything from thoughts of suicide, mental illness or bereavement, to a financial situation or job loss, homelessness, or even family issues.
“When a person reaches a crisis point and their normal mechanisms for coping aren’t working, or they are feeling overwhelmed, they can access Crisis Services,” explains Director Dr. Mandy Fauble, “We have a 24-hour, 365-days-a-year response. People can be seen here or we will drive anywhere in Erie County to see them. They will meet with a crisis counselor who will talk with them in a supportive way, and help them determine what makes sense to try to resolve the crisis.”
All crisis services are free to those who need them. According to the agency, the >
“It was about 15 years ago when I went there for help at 3 o’ clock in the morning on a hot, summer night. I probably drove around the building three times before I dared to get out of my car. I was in the parking lot and just walking around in the front of the building when one of the Crisis counselors stuck their head out and asked if I wanted to come in… All those years later, I have never forgotten what they did for me and I got to repay the favor when I went to work for them.”
— Miki Hammond, Former Certified Peer Specialist for Safe Harbor
“Safe Harbor is making a significant impact on the community through collaboration with the hospitals, with other social service agencies, with law enforcement, with the school districts, and by really never saying, ‘No’ to anyone – always having open arms…. I’ve seen first-hand the significant positive effects that all the various programs at Safe Harbor have had on individuals, on children, especially on families. Frankly, they have really saved a lot of lives.”
— William Hilbert Jr., Reddog Industries, Inc. and Anson Mold and ManufacturingSafe Harbor Board Member for four years
Safe Harbor Behavioral Health’s Board of Directors rep-resents a diverse group of industries. Front row, from left: Carmen Ferranto (retired), Warren State Hospital; and Board Chairman Tim Trott, UBS Financial. Second row, from left: President/CEO Jon Evans, Safe Harbor Behavioral Health; John Jensen (retired), Hamot Medical Center; Bill Flaherty (retired), Schaffner, Knight, Minnaugh & Co.; and Mary Yakish, Westminster Family Practice. Back row, from left: Marne Roche, Family Advocate; Robert E. Glowacki, Assess-ment Evaluation, Inc.; Joseph Schember, PNC Bank; and William Hilbert Jr., Reddog Industries, Inc. and Anson Mold and Manufacturing. Not pictured: Cindy Hendrickson, GE Transportation, Mary Ann Gold, Consumer Advocate; David Kruszewski, Pinecrest Family Practice; Mark Raimy, Welders Supply Company; and Susan Simon, Family Advocate/Saint Vincent Health System Cardiac Rehab RN.
January 2011 > www.mbausa.org > 13
26 professionals on the Crisis Services team manage an estimated 2,500 phone calls per month, and see about 300 individuals for face-to-face crisis evaluations, including emergency behavioral health evaluations provided for Hamot Medical Center.
The program has been so successful that it has been recognized as a model program in the development and implementation of Crisis Services to individuals and families. The crisis program works in constant collaboration with local agencies, and is often utilized in training and consultation for those wishing to strengthen their own crisis intervention capabilities.
Now, Safe Harbor is expanding its services to include an eight-bed, short-term crisis residential facility near the Regional Cancer Center off West 12th Street in Millcreek Township. The facility, expected to open this spring, fills a significant void in the community.
Adds Dr. Fauble, “We look forward to providing a quality environment for people that gives them the respite and tools they need to recover from their crisis situation.”
Anti-Bullying Hotline – SafeLineFor many children in America, bullying is a behavioral health issue that has reached crisis proportions. According to The Journal of the American Medical Association, one-third of U.S. students experience bullying, either as a target or perpetrator, and because of it, nearly 160,000 fearful children miss one or more school days each month.
Experts say in the age of Facebook, MySpace and texting, cyber-bullying is more prevalent than physical bullying on the playground. That is why Safe Harbor has spent so much time and effort to establish an anti-bullying hotline, known as SAFELine, which will provide children an outlet to report instances of such abuse. The hotline is expected to go live this March.
“We recognize the significant, long-term detrimental effects of bullying, especially on the victims, but also on the perpetrators,” notes Evans. “We are developing a 24-hour
phone line that will be answered by a trained counselor, so kids, or people who are concerned about certain kids, can call if they are aware of somebody that is being bullied.”
Evans cites recent high profile suicides, such as those on the Rutgers campus and in a Boston high school, that have occurred in conjunction with cyber-bullying. These situations present the rare, but tragic, examples of how far peer problems can go when victims feel there is no place to turn and no sanctuary from the crises they are dealing with.
“Other kids know this is happening, often months before adults become aware. We want this hotline to be a safe, third-party service that kids can call and express a concern about a peer or call themselves and say, ‘I need help. I don’t know how to get out of this situation,’” notes Evans. “Our job is to partner with the parents and the schools to provide them with a safe haven.”
Assistance for EmployersSafe Harbor already has been a vital resource for local employers. For the past 10 years, the agency’s subsidiary Northwest Beacon Group, has provided the largest employee assistance program (EAP) in the region, contracting with more than 115 corporations and covers more than 40,000 individuals. The EAP, staffed by more than six clinicians, provides employees with counseling for personal problems that might adversely impact their work performance, health and well-being.
“Research shows that employers who have employee assistance programs for their employees and families, save anywhere from $5 to $11 for every dollar they invest, by reducing absenteeism, increasing pro-ductivity and seeing a significant drop in workers’ compensation,” notes Evans. “Early intervention for your employees will actually help you save money, because you have an employee at work who’s focused and there to do their job.”
From the business perspective, adds Trott, such a resource is invaluable. “No matter how small of a business you are, there are going to be individuals who are dealing with something — strife, financial pressures, etc. — and it’s going to have an impact on your operation. From a human perspective, it helps demonstrate compassion for your employees and what they are going through. Either way you look at it, it’s a plus to be able to have a service like this, where your employees can go on a confidential basis and get help with whatever they may be dealing with at the time.”
It’s always good to know a place like Safe Harbor Behavioral Health is here to help. For more information about Safe Harbor Behavioral Health and its services or to make a donation, visit www.safeharborbh.org or call 814/459-9300. In the event of a crisis, call 814/456-2014.
“The Employee Assistance Program provides my team with a vital resource for themselves and their families in a professional and confidential manner. It is a crucial health and risk manage-ment tool that Northwest Beacon can provide that employers cannot directly provide themselves. As a father of young children, bullying is a problem with a modern twist today we have all heard about. SAFELine, a confidential outlet to help that Safe Harbor is placing in schools, is a very important program to manage the dangers to our children that families often need help with…”
— Mark H. Raimy, Welders Supply Company Safe Harbor Board Member for three years
Safe Harbor Behavioral Health’s outpatient services are available to both children and adults. At left, children participate in group therapy in the agency’s Disney Room, named for the legendary Walt Disney, who himself coped with mental illness and went on to lead a successful life as an animator, entrepre-neur, director and producer. At right, Safe Harbor’s clinical staff provides nursing assessments and monitoring as part of an individual’s medical and behavioral health needs.
14 < www.mbausa.org < January 2011
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January 2011 > www.mbausa.org > 15
Patty Smith is the director of Employee Benefit Services at the Manufacturer & Business Association.
Insurance Postings from Patty
HR ConnectionMOST EMPLOYERS LIKELY TO KEEP COVERAGEMost employers intend to continue offering health benefits to their workers rather than encouraging them to buy coverage via state health insurance exchanges when they start operating in 2014, according to researchers.The “Health Care Reform Survey 2010,” by New York-based Willis Human Capital Practice and Diamond Management & Technology Consultants Inc., found that 55 percent of employers plan to maintain their health plans in 2014 even if the state exchanges, established in response to the Patient Protection and Affordable Care Act, offer competitively priced coverage.
In fact, just 12 percent of the employers responding to the survey said they would be very or somewhat likely to pay the $2,000 penalty per employee and direct workers to the state exchanges, while 62 percent said they would be very or somewhat likely to invest in the requisite employer-sponsored group health plan to avoid any penalties.
WORKPLACE STRESS LINKED TO OBESITY, RESEARCHERS SAYA new study by the University of Rochester Medical Center in Rochester, New York,
claims that stress and low levels of physical activity are very common among the American work force. The dangerous combo is linked to being overweight or obese.Unfortunately, researchers also found that a diet rich in fruits and vegetables did little to offset the effect of chronic job stress on weight gain among the employees, who
were mostly sedentary. Instead, exercise seemed to be the key to managing stress and keeping a healthy weight.Researchers collected baseline data from the nearly 2,800 employees, using body mass index (BMI) as the measurement for weight status. They found that 72 percent to 75 percent of the employees were overweight or obese.
Effective January 1, 2011, the Manufacturer & Business Association is excited to announce that there will be HealthAmerica products available to all members domiciled in the following Pennsylvania counties: Bradford, Centre, Clinton, Lycoming, Montour, Northumberland, Snyder, Sullivan, Tioga and Union. These products, like our HealthAmerica products in northwest Pennsylvania, will have preferred pricing and be available to all appointed brokers. For more information, please contact your HealthAmerica account executive or account manager. The new 2011 HealthAmerica Bulletin is available under the Insurance button on www.mbausa.org and discusses both NWPA and Central PA options.
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16 < www.mbausa.org < January 2011
DEPARTMENTS > Contact: Stacey Bruce
In this issue of the Business Magazine, we celebrate employers that are passing significant milestone anniversaries. I would bet if you were to survey these firms many of them would attribute their employees for their success. Indeed, research shows that firms that do well in the long run tend to have solid HR practices. A recent study conducted by the Ross School of Business at the University of Michigan revealed that 20 percent of an organization’s business results are tied to that company’s HR department.In order to provide value to an employer, the skilled HR professionals must be adept in six major competency areas, according to the study. The vital competency areas are:
1. Credible activist. HR professionals must be both credible and active. They need to be trusted, respected, listened to, and, above all, have a point of view and take a position.
2. Culture and change steward. HR professionals recognize, articulate
and help shape a company’s culture. 3. Talent manager/organization
designer. HR professionals master theory, research and practice in both talent management and organization design. Good talent without a supporting organization will not be sustained, and a good organization will not fully deliver without good talent.
4. Strategy architect. HR profession-als need to have a vision for how the organization can win in the future and play an active part in the establishment of the overall strategy to deliver this vision.
5. Operational executor. HR professionals execute the operational aspects of managing people and organizations and ensure that employees’ basic needs — including pay, relocation, hiring and training — are efficiently delivered through technology, shared services and/or outsourcing.
6. Business ally. HR professionals
contribute to the success of the business by knowing the social context or setting in which their companies operate. They know how the business makes money, who their customers are and why they buy the company’s products or services.
For information about the HR services available through the Association’s HR Division, please contact me at 814/833-3200, 800/815-2660 or [email protected].
Solid HR Practices Key to Business Longevity
Stacey Bruce is a PHR-certified HR generalist and Human Resource supervisor at the Manufacturer & Business Association.
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January 2011 > www.mbausa.org > 17
EDITORIAL > by Angie Angus
Angie Angus is the manager of BOS Programs and Support Services.
This article is the seventh in a series featuring excerpts from the international best-selling book, Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant, by authors W. Chan Kim and Renée Mauborgne.
Most companies compete within industry created boundaries that encourage and foster the red ocean approach of head-to-head competition. A key principle of Blue Ocean Strategy is to break out of these industry boundaries — and away from competitors — in order to create new markets. Authors Kim and Mauborgne found there are six paths that companies can systematically look across in order to break down these market boundaries. They are: alternative industries, strategic groups, buyer groups, complementary products and services, functional-emotional orientation of an industry, and time.
Alternatives vs. SubstitutesPath 1 encourages us to look across alternative industries, not simply finding substitutes. A substitute offers the same functionality or core utility but in a different form. For example, a substitute for using your existing personal accountant would be going to H&R Block, using TurboTax, or doing it yourself with a pencil and paper.
However, alternatives have a different form and function but offer the same general purpose. An easy way to understand this concept is to compare going out to dinner and going out to a movie. They are different in form and function with dinner offering a social environment to eat food, while the movie offers visual entertainment. They both offer a similar purpose, which is to have an enjoyable night out. So a movie is an alternative to going to dinner, not a substitute.
In making purchase decisions, buyers consider both the substitutes and alternatives in spending their time and money. According to Blue Ocean Strategy, “For some reason, we often abandon this intuitive thinking when we become sellers. Rarely do sellers think consciously about how their customers make trade-offs across alternative industries. A shift in price, a change in model, even a new ad campaign can elicit a tremendous response from rivals within an industry, but the same actions in an alternative industry usually go unnoticed. Trade journals, trade shows, and consumer rating reports reinforce the vertical walls between one industry and another. Often, however, the space between alternative industries provides opportunities for value innovation.”
Successful Models
NetJets, for one, looked across alternative industries to create a company that has grown into a multibillion-dollar business. The service has a fleet of jets that offers companies fractional jet ownership for private air travel. Sixteen companies each become a part owner of one jet allowing each company 50 hours of flight time directly to their destination, with no connections and no layovers. If your jet is not available, another will be supplied so there is a guarantee that when you need the jet, it will be available. It saves companies money in lost productivity by eliminating the hours spent in airports standing in security lines and waiting for connections. It also eliminates connections completely, providing travel directly to the final destination. Companies now have the convenience of a private jet at the price of a commercial airline.
Some other well-known companies that looked across alternative industries to achieve value innovation and experience great success are Southwest Airlines, The Home Depot and Quicken software. Southwest Airlines looked at car travel as the alternative to flying and offered low-cost, short flights to attract those people who would normally drive. The Home Depot gave people inexpensive access to the supplies and classes they need to achieve their own home improvement, instead of hiring an expensive contractor or purchasing items at a more expensive hardware store. Quicken offered effective and timesaving software to replace doing personal finances manually.
All these companies looked across alternative industries to reconstruct market boundaries to create blue oceans in new markets of untapped demand.
Next month: Path 2 – Looking Across Strategic Groups Within Industries
If you are interested in learning more about how your company can explore blue oceans of opportunity, please visit mbausa.blueoceanstrategy.com or contact me at [email protected].
Looking at Alternative Industries for New Markets
18 < www.mbausa.org < January 2011
OntheHill DEPARTMENTS > Contact: Sheila Sterrett
Anna McCauslin is the state government relations representative for the Manufacturer & Business Association in Harrisburg. Contact her at 717/525-7213 or [email protected].
on non-economic damages; establish an innocent seller provision; and implement a loser-pays system. Each of these will solve the unpredictable and unfair business environment in Pennsylvania that undermines a business’s ability to compete in a growing and global marketplace.3. Reign in Government Spending and Institute State Government ReformTo do this, start by enacting a Taxpayer’s Bill of Rights that caps general-fund spending increases at the rate of inflation, so that we will be able to begin rebuilding the state’s economy and ensure that its residents are not taxed out of their jobs and homes. Then, move on to performance-based budgeting and allocate tax-dollars to programs that are performing effectively and efficiently, and away from those that are failing. Also, reduce the size of the legislature and staff. At a cost of more than $300 million annually, Pennsylvania has one of the most expensive state legislatures in the United States, and the second largest, with 253 legislators. There also are nearly 3,000 staff members. Even a 20-percent reduction in the size of the legislature — both members and staff — would provide substantial savings.4. Reform Pennsylvania’s Draconian Tax StructureStart by enacting ideals that will not cost the state money, such as the continued phase-out of the Capital Stock and Franchise Tax, which was postponed during the FY 2009-2010 budget, and eliminating the cap on net operating loss carryforwards (NOLs). Currently, Pennsylvania is one of only two states in the nation that imposes a cap on NOL carryforwards. As a result, startup companies, which often record significant losses in the first few years of operation, face even greater obstacles within the Commonwealth. Also, implement a single sales factor apportionment and prevent mandatory unitary combined reporting.5. Enact Common Sense Health-Care ReformLegislators must prevent a statewide uniform health insurance system and support Corbett’s lawsuit against the federal government that would deem Obamacare unconstitutional. Also, increase competition within the insurance market to improve upon the state’s current quality of care by developing newer and less expensive treatment options, as well as care delivery systems. Eliminate biases in health-care laws to create an environment that pushes citizens toward employer- or government-provided insurance programs and hinders the market for individually purchased insurance programs.
During the holiday break between legislative sessions, business owners across the state had one important item on their wish-lists: for the new Republican majority to erase the damaging policies promoted by the last governor and House of Representatives and make Pennsylvania more competitive. When the legislature comes to Harrisburg to begin the 2011-2012 legislative session, the newly elected Republican Governor Tom Corbett will work with the new GOP majority in the House and long-held Republican Senate leadership to achieve his No. 1 goal — passing an on-time, fiscally responsible budget. What Were They Thinking?That’s the question many voters asked candidates during the 2010 election cycle. Who in their right mind would want to be in charge of the Commonwealth when we are facing a budget gap between $4 billion and $6 billion? When the $28-billion budget for fiscal year 2010-2011 was passed, everyone involved understood that it would be a miracle for the state to take in that amount of money. However, then-Governor Ed Rendell demanded that pro-grams be funded, not cut, and the legislature acquiesced. No more. Corbett has stated that he will not increase taxes, which means the only other option is to cut. That leaves every responsible legislator asking, “What are the primary core functions of state government?” Here is one: Establishing a competitive business environment, which will entice more employers to locate to Pennsylvania to pay reasonable tax rates and enable them to create jobs. Five Ways to Accomplish This Goal:1. Reform Labor RelationsStart by enacting right-to-work legislation and become the 23rd state that seeks to protect an individual’s freedom of choice in the workplace. To achieve this, prohibit unions from negotiating contracts that would require an employee to join or financially support a union as a condition of employment. Also, protect the worker’s right to a secret ballot and eliminate prevailing wage laws.2. Bring Pennsylvania’s Liability System Up to ParLawsuit abuse has a disastrous effect on the cost of doing business and the ability to create jobs. The General Assembly can remedy this without costing the state a dime: establishment of the Fair Share Act; place caps
Aggressive Agenda Should Be a Part of the New Republican Control
January 2011 > www.mbausa.org > 19
IF I HAVE AN INDIVIDUAL WHO WANTS TO VOLUNTEER AT MY COMPANY TO RECEIVE QUALITY AND VALUABLE EXPERIENCE, WHY CAN’T I LET THEM?The Fair Labor Standards Act (FLSA) establishes how the Department of Labor (DOL) and employers must treat those who provide services. The DOL’s goal is to protect individuals from abuse and to protect jobs as well. The FLSA states that if an individual provides a service for which an employee would normally be employed to perform, the activity is employment and the employer must pay the individual. There are exceptions for bona fide internship or training programs. The requirements for the exclusion are discussed in the next question.
HOW DO I DETERMINE IF MY INTERNSHIP OR TRAINING PROGRAM MEETS FLSA STANDARDS?The following six criteria must be evaluated when making the determination:
1. The internship, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment;
2. The internship experience is for the benefit of the intern;3. The intern does not displace regular employees, but works
under close supervision of existing staff;4. The employer that provides the training derives no
immediate advantage from the activities of the intern; and on occasion its operations may actually be impeded;
5. The intern is not necessarily entitled to a job at the conclusion of the internship; and
6. The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship.
Keep in mind that all of the factors listed above must be met in order for an employment relationship not to exist under FLSA.
Legal Q&A
Electronic Communication Services, Inc. Erie, PA 814-455-4181 800-837-5790 [email protected] www.ecsinc.us.com
A huge “Thank You” to all our customer’s in northwest PA. We appreci-ate your support for the last 22 years and look forward to serving you in the future. We hope 2011 brings you and your employees health, happi-ness, and prosperity. From all of us at E.C.S.
Telephone Systems Digital / VOIP Wired / Wireless Data Networks Wired / Wireless Unified Communications Cabling Telephone / Data Est. 1989
Solutions you need with the service you want.
With 16 years experience, Ken Polk has helped businesses succeed across Erie, PA and Jamestown, NY.
Ken Polk, District Manager814-460-4570 | [email protected] ADP logo, ADP, and The business behind business are registered trademarks of ADP, Inc. ©2010 ADP, Inc.
20 < www.mbausa.org < January 2011
An issue that often comes up, and has been addressed by the Wage & Hour Division of the Department of Labor (DOL), is whether employees can “volunteer” to perform work for their employer without compensation. In almost every instance, the answer is no.While the law does recognize that individuals may choose to volunteer their time for civic or charitable organizations, the Wage & Hour Division, as well as the Supreme Court, has expressed concern over permitting an employee to perform work without pay. This concern extends to both nonprofit and for-profit employers. Specifically, the Wage & Hour Division is concerned that an employee might be required to “volunteer” additional time without pay, which would violate the purpose of the Fair Labor Standards Act.
For example, a nonprofit organization can accept volunteer services without compensating for the time. However, if an individual who is already an employee of the organization chooses to volunteer, the organization has to evaluate the situation. Once an employer-employee relationship exists, individuals cannot volunteer additional unpaid time for their employer unless certain conditions are met. Specifically, the DOL has indicated that a volunteer’s activities should be:
usual job duties. The DOL also will consider the number of hours, whether the volunteer work displaces regular employees, and whether the services are typically associated with volunteer work.
If all of these criteria are met, an individual who is already an employee of an organization may be able to perform unpaid volunteer services for that same employer. For more information about these Wage & Hour considerations, please contact me at 814/833-3200, 800/815-2660 or [email protected].
DEPARTMENTS > Contact: Tammy Lamary
Wage & Hour Considerations for Employees Who Want to ‘Volunteer’
Tammy Lamary is Labor & Employment Counsel for the Manufacturer & Business Association’s Legal Services Division.
1109 East 38th Street 1005 Greengarden Road
2436 Buffalo Road 518 State Street 5500 Zuck Road1220 West 32nd Street 1825 Downs Drive
(Located in new Walmart Supercenter - Peach & I-90)
Contact us today! 814-825-2436Your savings federally insured to at least $250,000
and backed by the full faith and credit of the United States Government
National Credit Union Administration, a U.S. Government Agency
NCUA
The Erie Federal Credit Union is committed
to providing quality financial products and the best member
service. And for the second year in a row, this dedication to
service has been recognized by the Credit Union National
Association with the 2010 Excellence in Lending Award.
Helping our members to achieve their dreams of
owning a home, buying a car, or running a business
is what we do every day. We’re proud to be a part of
the Erie community and happy to be making a positive
difference in the lives of our members.
The Erie Federal Credit Union is ready to answer your
questions and provide you with the resources you need
for financial success. To learn more, call or visit us at
www.eriefcu.org
January 2011 > www.mbausa.org > 21
LONGEVITY.GROWTH.SUCCESS.
& Associates, Hagan Business Machines, John D. Clark Trucking, Inc., L. G. Hetager Drilling Inc., Lang Motors, Marshall Stamping Company, McMullen Travel Inc., Monago’s Floor & Wall Coverings, Inc., Monahan & Monahan CPA’s, P.C., O’Neill Co!ee Company, Perry Mill Supply Company, Products Finishing Inc., PSB Industries Inc. (General Air Div.), Sharkey Piccirillo, Keen & Hanzely LLP, Simonian Sunoco, Suburban Animal Clinic, Susquehanna Fire Equipment Co., The Al Xander Co. Inc., Thomas E. Cressley, Jr., D.M.D. 50 YEARS... Al Hunter Quality Meats, American Tool & Machine Company, August Industrial Supply, Inc., B.P. Rhodes & Son Inc., Bert Klapec Inc., Blueberry Hill Golf Development Inc., Boyer’s Rental City, Inc., Burke’s Home Center, Butler Orthopedic Associates, Corry Rubber Corporation, Daniel J. Roberts, DMD, Eastway Lanes, Elderkin, Martin, Kelly & Messina, Erie County Farms, Fairview Manufacturing Corporation, Gabriel Brothers Inc., Hardco Realty Company Inc., Henney Family Services Inc., Klasen Oil Company, Livingston’s Packing Company, Malin, Bergquist & Company, LLP, Palmer Industrial Coatings Inc., PMF Industries Inc., Rolling Meadow Lanes, S. W. Neilly Corporation, Schwab Hotel Corporation, Scully Enterprises Inc., Sirco Industrial Supply, Inc., Springs Body Shop Supplies, Stairways Behavioral Health, Theodore J. McCaskey, D.D.S., PC, Tonnard Manufacturing Corporation, Warren Dental Arts Inc.
40 YEARS...Advanced Integrative Medicine Center, Arnone & Son’s Food Importers, Arro Forge Inc., Baker’s Transporation Service, Inc., Beute & Bliley Inc., Blair Masonry Inc., Cady’s Card & Gift Shop, Campbell Bus Company Inc., Charles Construction Company, Clarion Electric Supply Co., Control Chief Corporation, Crawford
160 YEARS... Kim Kraft 150 YEARS... Shelly Memorial Studio
140 YEARS... Erie Maennerchor Club, Herrmann’s Water, Inc., Sarah A. Reed Retirement Center
130 YEARS...Farmers Mutual Fire Insurance Company, National Fuel Gas Distribution Corp.
120 YEARS...Bradford Club, Kane Manufacturing Corporation 110 YEARS...Betts Industries Inc., Oliver T. Korb & Sons Inc., Van Matre Family Funeral Home
100 YEARS...Berman Bedding Inc., Erie City Mission, George Winston Co. Inc., Greenville Savings Bank, Mercer County State Bank, Sundahl & Company, Inc. 90 YEARS...A. J. Kautz & Son, Brelsford Motors & Equip. Co, Community Nursing Services of North East, Fleming Steel Company, Furmano Foods Inc., Gri"n Motors Company, Rapid Transit Company, Inc., Steckman’s Memorial Studio, Inc. 80 YEARS...American Tinning and Galvanizing Co., C. R. Traut Agency, United Air Temp, VFW Post 2006 Home Assc., Inc. 75 YEARS...Abby Signs Inc., Agr International Inc., Allegheny Casualty Company, Auto Parts Service of New Bethlehem Inc, Charles P. Leach Agency, Inc., Erie Federal Credit Union, Erie GE Federal Credit Union, Franek Consumer Discount Company, Hubbard Bert Karle Weber, Inc., Northwestern Rural Electric Co-Op, Olympic Athletic Club, Seneca Hills Bible Conference, Willard Burial Service, Inc. 70 YEARS...Brass Alignment Inc. , Citadel Broadcasting Company, Coach USA Erie, Commercial Appliance Contracts Inc., Erie-Crawford Cooperative, Frontier Pharmacy Inc., Lewisburg Builders Supply Co., Lord & Mercer Garage, Morris Coupling Company, W. L. Roenigk Inc. 60 YEARS... Canto Tool Corporation, Dillaman Auto Body, Erie Sport Store Inc., Erie Veterans A!airs Medical Center, Finish Thompson Inc., Gatesman Auto Body, George A. Baldwin
Our nearly 400 member companies celebrating milestone anniversaries in 2011 are truly at the head of the class, driv-ing progress and innovation in our region. We wish them continued success in their operations now and in the future.
22 < www.mbausa.org < January 2011 22 < www.mbausa.org < January 2011
Anniversary information is based on member records as of October 2010. We regret any errors or omissions. Please contact the Manufacturer & Business Association with updated information for inclusion in future publications.
Central School District, Dunlap Trucking Inc., Eriez Construction Inc., Filmtronics, Inc., Findlan Dental, Fisher Mining Company, Flexospan Steel Buildings Inc., Fuellgraf Electric Company, Gas & Oil Management Associates Inc., Harrington Industrial Laundry, Heights Prescription Pharmacy Inc., II-VI Incorporated, Imhof Supply Inc., J B Distributor Inc., JAB Enterprises, Inc., Jack’s Auto Parts Inc., Jim’s Generator Service Inc., John Allen Excavating Inc., Kerr’s Tire Korner, Kittanning Veterinary Hospital, Lake City Industries Inc., Linmas Drugs Inc., Loc, Inc., Love Heating & Cooling, Lukjan Supply & Manufacturing Inc., Materials Handling Enterprises Inc., Matric Limited, Meadville Plate Glass Co., Inc., Mechanical Contractors Assoc. of NW PA, NexTier Armored Services, O’Jacks Inc., Patti’s Pizza, Penn United Technologies Inc., Perseus House Inc., Plastek Industries Inc., Playworld Systems Inc., Pymatuning Boat Sales, Inc., Salem Tube Inc., Stephen H. Hutzelman, Esq., Valu Home Centers, Inc., Waste Management of Northwest PA. West-Ten Podiatry Center Inc. 30 YEARS... 9-90 Variety Inc., Achille Family Dental Inc., Advanced Business Systems, Al’s Melons, B & B Trucking Inc., B-Dry System of Erie Inc., Back Porch, Ltd., Beechwood Golf Course, Bielobocky Dairy Farm, Bradford Motel Association, Inc., Butler Physical Therapy Associates Inc, Carini Restaurant Inc., Clinical Therapeutics, Inc, Compass Corporation, Congregate Management Services, Inc., Contine Corporation, Conway & O’Malley Inc., Craig Newell Welding, Inc., David W. McGuire, D.M.D., Inc., Dr. Richard A. Steves DMD, PC, Drayer Electrical Service LLC, Dwyer Plumbing, Inc., Eagle Precision Tooling Inc., Electrical & Mechanical Systems Inc., Family Planning Services of Mercer Cnty., FireDEX of Butler Inc., Floorshow Inc., Gore’s Friendly Service & Auto Sales, Graziani Construction
LLC, State Pipe Services, Inc., Sterilizer Refurbishing Service, Sue Sutto Realtors, Inc., Susquehanna River Valley Visitors Bureau, T & U Maintenance Inc., TD Cafes, Ltd., Technicon, The McDonald Group, L.L.P., Thomas C. Fox, DMD, Thomas J. Brosenitsch, Jr., Tops Markets LLC, Venango Diagnostic Imaging, Vernon Township Water Authority, W. Kevin Mahoney, D.M.D., Wayne Gravel Products, Wennin Pallet, White Deer Steakhouse Inc., Winner International Inc., Wintergreen Animal Hospital
20 YEARS... Albion Animal Center Inc., Avalon Hotel & Conference Center, Barrett’s Auto Body Inc., Bonnett & Murphy Dental Associates, P.C., Bradford Pipe & Supply Inc., Briad LP, Brookside Gardens, Cascade Ohio, Corporate Glass Inc., Cusick Tool Inc., Deer#eld Behavioral Health Inc., DKL Inc., East Penn Carrier & Wrecker Sales Inc., Ed Daugherty Auto Body, Eden, Inc., Electralloy, Ellwood Specialty Steel, Eric T. Mong, D.D.S., Fitness Unlimited, Frank C. Pregler, D.O., Franklin Pediatric Associates, P.C., George J. Vukmer Jr., M.D., Glasshopper Studio, Har-Lo Farms Inc., Heckathorn Personal Care Home, Heeter Enterprises Inc., Hito’s Restaurant, Hodrick Real Estate Inc., IDA Vending, Industrial Steel & Pipe Supply Company, Interim Health Care, J. H. Bennett Records Mgmt., Keep Heating & Cooling, Krise Transportation Inc., Lakeshore Service, Inc., Lea Ann S. Plessinger CPA, LLC, Lou Negley’s Bottled Water Inc., MAJR Products Corporation, Meadville Area Water Authority, National Fuel Resources Inc., New York Lunch, Inc., Nick’s Place Inc., Northwest Eye Associates, P.C., Northwest Penna Court Reporters Inc., OB/GYN Associates of Erie, Osteopathic Cardiology Associates LLC, Pepicelli, Youngs and Youngs PC, Phoenix Metals of PA, Inc., Pie-In-The-Sky Cafe, Inc., Pinebloom Corporation, Power Conversion Technologies Inc., Powerwise Ink Pumps, Reilly’s Hair Salon, Reitz Agency, RMS Systems Inc., Rocky Ridge Trading Company Inc., Rosanne M. Palermo, DMD, Sammartino & Stout, Schreck’s Custom Woodwork, Sharpsville Container, Smith Collision, Inc., Smith, Best & Stoneking P.C., Sunshine Cleaning & Janitorial Serv Inc., The Closet Shoppe, Thomas Glass, Topics Inc., TriPro Technologies Inc., Trumco Inc., U. S. Bulk Transport Inc., Valley Can Inc., William G. Bowley Insurance Agency Inc., Wire Weld Inc., Yeagle Excavating Inc.
Inc., Gregg M. Garcia, D.M.D., P.C., Haemer Tool & Die Inc., Harmony Castings, LLC, Highlander Energy Products Inc., Howard S. Manasse, M.D. P.C., Indian Head Tool & Cutter Grinding Inc., James Automotive, Jewell Electric Inc., Jim & Sue’s Lake City Pizza Inc., K2S P.C., Kajon Materials Inc., Kamal Khalaf, M.D., Kylander Oil, Inc., L. P. Bruno Jewelers, Lee Snyder Financial, Lillis McKibben Bongiovanni & Company, Mid Erie Family Practice, LLC, Nelson’s Hardware Inc., Northwest Restoration Inc., Passages Inc., Pine Avenue Dairy Queen, Praful U. Bhatt M.D., Rademacher Industrial System Inc., Robert L. Rabell Surveying & Engineering, Skal Dental Studio, Sue’s Notary Service, The Classic Look, The Wilkins Co. Inc., Thomas Freeman, Architect P.C., Tim Booher Construction, Time Machine, Inc., Wagner Heating & Air Conditioning, Weaver Auto Parts, Whole Foods Cooperative, William W. Weeter Concrete, Winters’ Plumbing & Heating Supplies Inc. 25 YEARS...AAA Vending Services, Alden Physical Therapy, P.C., AMTEK Inc., Andy’s Truck Service Inc., Aristocrat Spring Water Inc., Arthritis Associates, Barbara J. Culver Bus Garage, Barber Trucking Inc., Bashlin Industries Inc, Bayview Nephrology Inc., Bill’s Atlantic Service, Bowser Corporation, Bowser Milk Inc., Brad Steiner Electric Inc., Brent E. Walker, M.D., P.C., C & D Gas Company, C.F.J. Enterprises, C.H. & G.M. Francis Inc., Carter Orthopedics, Ltd., Central Erie County Paramedic Assn., Champion Bolt Corp. Inc., Classi-Co Foods, Clinical Pathology Institute/ACL, Clover Hill Farms, Conrad O"ce Products, Country Manor Management Services, Covelli Real Estate Company, Cox & Kanyuck LLC, Curtis Industries Inc., Debi’s Dairy Queen, Deist Industries Inc., Dickinson & Associates Inc. , Doleski-Wolford Orthodontics, Dr. Stephen T. Radack III, Erie DriveTrain Inc., Erie General Tire Inc., Faulkner’s Country Market, Fisher Installation, Flexcut Tool Company, Inc., Fox’s Pizza, G - S Hydraulics, Inc., Glass Erectors Inc., Gordon Brothers Water Inc., Great Lakes Home Healthcare Services, Greener Pastures Veterinary Svs. Inc., Hand, Microsurgery and Reconstructive, Historic Square Agency, Ho!ner Excavating, J.B. Mill & Fabricating Inc., Je! Jageman DMD, Jonathan K. Cole, D.M.D. , JTM Foods Inc., Kramer Automotive Specialties, Krell Inc., Lake Erie Molded Plastics, Lake Shore Industrial Services, Lakeshore Community Services, Inc., Lauger’s Good Lawn LLC, Meadville DQ, Inc., Mele Plumbing & Heating Co. Inc., Micro Plating Inc., Mike’s Auto Body, MSG Inc., Muscle Products Corp., NAC Carbon Products Inc., North East Agway FM & HM, NorthCoast Brokerage Agency, Inc., Northeastern Executive Group Inc., Northwestern Physical Therapy Svcs. Inc., O’Donnell’s Distributor, Inc., P.S.S. Company, Phillips Vineyards Inc., QRS Music Technologies Inc., Quality Gardens, Ronald M. Vrablik, M.D. OB/GYN, Showcase Mobile Homes Inc., Sta!ord Enterprises
January 2011 > www.mbausa.org > 23January 2011 > www.mbausa.org > 23
...since 1971 www.controlchief.com 814.362.6811
REFLECTING
40Excellence
for years
7 Erie locations, online and mobile banking & our 75th Anniversary!
Erie Federal Credit Union 1959 East 36th Street
Erie, PA 16510 814-825-2436
www.eriefcu.org
MERCER COUNTY STATE BANK 3279 South Main Street Sandy Lake, PA 16145 Phone: 800-376-7015 Web site: www.mcsbank.com A century of dedicated service to our local communities.
Proudly part of the Erie Business Community and still growing.
8105 Hawthorne Drive
Erie, PA 16509 800/524-9077 toll free
814/864-7855 local 814/866-7312 fax www.flexcut.com
Founded 1931
Providing, Quality, Affordable and Timely Metal Finishing
Services to Over 440 Customers in 2010
552 West 12th Street Erie, PA 16501-1585
814/456-7053 www.galvanizeit.com
552 West 12th Street Erie, PA 16501 Phone: 814-456-7053 Fax: 814-459-3297 www.galvanizeit.com
Our customers make the products.
We FINISH them.American Tinning & Galvanizing Company (ATG) specializes in the corrosion control of metal, steel and aluminum by providing “fi nishing” services. ATG was founded in Erie, Pennsylvania in 1931 by Fred Carlson and is a third generation, family-owned business, currently managed by Jacqueline “Robin” Scheppner. Starting as a tinning business with one employee, ATG has expanded its metal fi nishing capabilities to more than 15 different specialized processes. ATG has validated its quality systems by earning the prestigious NADCAP aerospace accreditation for six consecutive years, and has the honor of being one of the select chemical suppliers to earn the “with merit” distinction for our chemical processing and quality systems. The company also has received accreditation from many successful businesses such as Bell Helicopter, Lord Manufacturing and Sierra Nevada Corporation.
ATG doesn’t stop at providing quality metal fi nishing to more than 400 customers throughout Pennsylvania and the U.S.—we also strive to create long-term benefi cial relationships by continually seeking new product lines and capabilities to accommodate our customers’ needs. We want to be your “one stop shop” for fi nishing your products. ATG employs more than 60 employees and occupies 72,000 square feet of production, fabrication and warehouse space on the same corner it did more than 79 years ago.
Carlson Erie Corporation was founded as a plating equipment supplier by the Carlson Family in 1955, and merged with ATG in 2004. The company specializes in custom fabricated plating fi xtures, racks, and metal and plastic tanks.
Menu of Metal Finishing ProcessesArchitectural Bronze Anodizing Chromic Acid (MIL-A-8625 type I) Sulfuric Acid Anodizing (MIL-A-8625 type II) Chromate Conversion Coatings (MIL-C-5541) Cadmium Plating (QQP-416) Zinc Plating (ASTM-B633) Hot Dip GalvanizingPickling & Oil Services (GE Spec. P4D-EP9 & EP8)Electroless Nickel Plating Nickel Plating (QQ-N-290) Copper Plating Zinc Phosphate Black Oxide Finishing
Recreate LOGO
Our customers include:
Northwestern Rural Electric Cooperative is owned by those it serves.
22534 St. Hwy. 86
P.O. Box 207
Cambridge Springs, PA 16403
1-800-472-7910
www.northwesternrec.coop
2011
Com
pany
Anniversaries
80 Years
75 Years
140 Years
75 Years
50 Years
24 < www.mbausa.org < January 2011
The McDonald Group, L.L.P.
FirmPROFILE
THE McDONALD GROUP, L.L.P. ATTORNEYS AT LAW
~ Celebrating 25 Years ~
The McDonald Group, L.L.P.456 West Sixth StreetErie, PA 16507
Phone: 814/456-5318
Web site:www.tmgattys.com
Founded:1986
The McDonald Group, L.L.P., located in the downtown historic district of Erie, has served Northwestern Pennsylvania and surrounding communities since
by James D. McDonald, Jr., who brought with him more than 20 years experience as an Erie practitioner. The practice has grown to its present complement of seven attorneys as Gary Eiben, Thomas J. Buseck, Joseph P. Conti, Daniel J. Pastore, John J. Estok, and Bethany Anne Blood
Areas of ExpertiseProviding legal services of highest quality, and delivering those services in a manner that promotes client understanding and participation, are the hallmarks of The McDonald
Group representation. Our practiceencompasses various areas of law, concentrating in general and complex civil litigation, healthcare including corporate planning and structure, business and commercial transactions, professional, municipal and personal representation, criminal law, family law, real estate, taxation, and estate planning and administration.
Personal Service
service our staff provides. Clients have the security of knowing that their needs will be addressed
McDonald Group has established a legacy of trust since 1986. Duringthis 25th Anniversary Year, we pledge to continue that legacy.
Seated, from left: Gary Eiben, James D. McDonald Jr. and Thomas J. BuseckStanding, from left: Bethany Anne Blood, Joseph P. Conti, Daniel J. Pastore and John J. Estok
January 2011 > www.mbausa.org > 25
For over 25 years, Lillis, McKibben, Bongiovanni & Co. has
been specializing in group employee bene!t plans for
employers big and small in Northwestern Pennsylvania,
Western New York, and Northeastern Ohio. As one of the
largest providers in the area, our experienced Plan
Managers will partner with you to create a bene!t plan
strategically aligned with your company’s goals
For over 25 years, Lillis, McKibben, Bongiovanni & Co. has
been specializing in group employee bene!t plans for
employers big and small in Northwestern Pennsylvania,
Western New York, and Northeastern Ohio. As one of the
largest providers in the area, our experienced Plan
Managers will partner with you to create a bene!t plan
strategically aligned with your company’s goals
Please contact us today to see why Lillis, McKibben, Bongiovanni & Co.
should be a part of your Group Bene!ts team.
Conveyors · Cranes · Hoists
Ridg-U-Rak · Lift Tables
(814) 454-6396
mhe-usa.com
804 Shenley Drive · Erie, PA 16505
Proud Sponsor of Erie’s Buy Local Campaign
Providing Solutions For 40 Years.
Happy Anniversary!
26 < www.mbausa.org < January 2011
Grisé Audio Visual
CompanyPROFILEGrisé Audio Visual2402 Cherry StreetErie, PA 16502
Phone:814/452-4465
Web site:www.griseav.com
Founded: 1947
Shortly after the end of World War II, a new educational tool became very popular. It was the 16mm sound projector, which was used by the U.S. Armed Forces for training and educa-tion purposes. Several local schools got together and purchased a pro-jector to be used in the classrooms. Holy Rosary School purchased one of those projectors. Francis V. Grisé
for the school to rent. He was amazed
not available for rent in Erie. You had -
phia, Pittsburgh and Chicago. He was
in Erie. On April 1, 1947 he opened up
Third Generation, Family Owned BusinessGrisé Audio Visual (AV) has been a family owned and operated business since the beginning. Francis worked with his son James, and his daughter, Doris, and her husband, Dan DiLuzio, Today, the third generation of the family is represented by James’ children, Don Grisé and Denise Hesch.
Leader in the AV IndustryDon’s entrance into the family business in the late 1970s coincided with the major technological changes in the AV industry. Don successfully transitioned
the latest in Audio Visual technology. Thanks to Don’s leadership, Grisé AV is recognized as the leader in all aspects of audio/visual production, specializing in live event production, system integration and duplication services. Don has coordinated produc-tions all across the United States and other parts of North America, including Cancun, Mexico and British Colum-bia. His work also has taken him to international locations such as the Bahamas and Italy. The list of artists, presenters and politicians that Grisé AV has provided technical support and services for is long and reads like a “who’s who” of celebrities. Don treats
every event, regardless of its size and stature, as if it were his own. Locally, Grisé AV provides extensive AV sup-
-zations, churches, entertainment and arts groups as well businesses.
Extensive ServicesIn addition to event production, Grisé AV offers design and installation servic-es. They specialize in audio and visual systems for all types of meeting spaces from small classrooms to elaborate board rooms. Grisé AV understands that no two customers are the same and they tailor their designs to suit their customers individual requirements. From basic AV installations to complex systems integration, Grisé will work with the end user to develop and create audio visual solutions that work.
In house, Grisé AV offers many transfer and duplication services. They can transfer VHS or any camcorder tapes to DVD, record albums or audio cassettes to CD. They can duplicate those masters and cre-ate custom labels that are printed on the disc. Grisé AV can transfer slides or pictures to CD or DVD. Old 8mm,
DVD to preserve family memories.
New Era, New HeadquartersAfter many years of expanding, Grisé AV has outgrown its present location at 8th and Holland. They have purchased the former location of the Erie Sight Center at 24th and Cherry Streets. Beginning Monday, January 3, 2011, Grisé AV will start the New Year in their new location.
Denise Hesch, James and Don Grisé
Grisé AV specializes in audio and visual
systems for all types of meeting spaces,
such as the Manufacturer & Business
Association Board of Governors Room
shown here.
Grisé Audio Visual is a leader in live
event production, coordinating events
across the United States.
January 2011 > www.mbausa.org > 27
SAINT VINCENT INTRODUCES NEW TEAM MEMBERS OF HEART AND VASCULAR CENTERSaint Vincent Health Center in Erie recently announced its expanded team of physicians that together will form the new Saint Vincent Heart and Vascular Center. The Center will bring new specialty heart services to patients in Erie and the surrounding communities.
Cardiologist Matthew Becker, MD, has joined the Saint Vincent Department of Cardiology and is now affiliated with Consultants in Cardiovascular Diseases, Inc. He specializes in coronary intervention and acute coronary syndromes, peripheral vascular disease diagnosis and treatment (lower extremity stents, angioplasty), carotid stenting, structural heart disease (ASD, PFO closure), and IVC filter placement.
Electrophysiologist Jaydutt Patel, MD, specializes in supraventricular arrhythmias, ventricular arrhythmias, pacemaker and defibrillator implantations/extractions, atrial fibrillation ablations, evaluations for bradyarrhythmias, ventricular tachycardia procedures, and lead removals.
Cardiovascular surgeon Rony Atoui, MD CM, MSc, FRCSC, has joined the team at Saint Vincent Cardiovascular Surgery. He specializes in coronary artery bypass surgery, aortic aneurysm and aortic root surgery, minimally invasive valve surgery, percutaneous aortic valve replacement, mitral valve repair, tricuspid valve repair and maze procedures.
Vascular surgeon Ryan Messiner, DO, also has joined the team at Saint Vincent Cardiovascular Surgery. He special-izes in endovascular aortic aneurysm repair for the abdominal and thoracic aorta, peripheral arterial disease — open and endovascular procedures and care for venous diseases through radio frequency ablations.
DELANEY ADMITTED TO AMERICAN COLLEGE OF TRIAL LAWYERSThe law firm of MacDonald, Illig, Jones & Britton LLP in Erie has announced that W. Patrick Delaney, a senior partner in the firm and chair of its litigation practice group, has become a Fellow of the American College of Trial Lawyers, one of the premier legal associations in America.
People Buzz
25 Years. Great clinicians, great staff, great care, great service.
28 < www.mbausa.org < January 2011
Delaney, whose practice is concentrated in the area of commercial litigation, is an experienced trial lawyer who has spent his entire career litigating disputes in state and federal courts. Delaney is the third attorney currently practicing at MacDonald Illig to be recognized by the American College of Trial Lawyers. He joins T. Warren Jones and Roger H. Taft in receiving this highly regarded distinction.
Fellowship in the College is extended by invitation only, and only after careful investigation, to those experienced trial lawyers who have mastered the art of advocacy and whose professional careers have been marked by the highest standards of ethical conduct, professionalism, civility and collegiality.
AMERICAN TURNED PRODUCTS PROMOTES HOFFMAN TO VPAndrew D. (Drew) Hoffman has been promoted to vice president
of Client Relations at American Turned Products (ATP). In his new role, Hoffman is responsible for marketing, customer service, materials, production planning, shipping and receiving.
Hoffman has been employed at ATP for more than 15 years in a number of positions. He has a degree in finance from Gannon University and a master’s in business administration from the Pennsylvania State University.
With facilities in Erie and Fairview, Pennsylvania, ATP specializes in producing high-volume precision machining components used in a vast array of industries, including automotive and off-highway equipment, fluid-power systems, major appliances, oil and gas construction equipment, and medical applications.
PROCESS AND DATA AUTOMATION HIRES NEW CONTROLS, PROJECT ENGINEERProcess and Data Automation, an industrial controls and industrial controls-related data integration firm headquartered in Erie, recently announced the addition of Dennis Sandberg in the position of Controls and Project Engineer.
Sandberg brings more than 23 years of experience in the electrical, electrical maintenance, and engineering fields and has worked in the lumber products, glass, and systems integration industries. His specialties include PLC and HMI programming, systems installation, and commissioning, documentation packages and total project management.
EDITORIAL > Contact: Karen Torres
75 Years of ServiceNow, that’s a reason to cheer!At the Erie General Electric Federal Credit Union,we’re working hard to make sure each and everyexperience with us is one you’ll rave about.
Call, Click or Come in to let us make a fan out of you!
814.456.6231 www.egefcu.org
January 2011 > www.mbausa.org > 29
PRSRT STD US POSTAGE
PAID ERIE, PA
PERMIT #199
upmchealthplan.com.
asy to use, conomical and
Environmentallyfriendly.
This managed care plan may not cover all your health care expenses. Read your contract carefully to determine which health care services are covered. If you have questions, call Member Services at 1-888-876-2756.
Shouldn’t the people who insure your health understand it?