Troubled Employees Splitting the Atoms Nearsighted Chickens Why you have to act when they stumble Can Nanotech really bring the region together? Short-term decisions & long-term costs August 2005 Leadership Family Business Finance Technology Law Sales & Marketing Talent Management Culture
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www.sarboxconf.com CONTENTS AUGUST 2005 VOLUME 5 NUMBER 8 FEATURES DEPARTMENTS 10 Editor’s Desk Nearsighted Chickens Employees On the Slide 12 Newswatch An arm for a Legg 20 When workers stumble, you simply can’t sit back and watch. 14 CEO Advisor 10 tips on leading your organization 28 Splitting the Atoms 18 The Growth Guy The most vital resource to Nanotechnology is new. Maryland, DC and business owners Virginia teaming up to woo an industry? 24 CEO Life Private Aviation That’s really new. 27 Bookshelf A study of BS 40 CEO Q&A What inspired you to strike out on SPECIAL SECTIONS your own and launch a company? 44 Sales Quest Sales visibility and sales Continuing Education predictability 48 Get your brain in gear. 46 Interior Matters The ying and yang of leadership 51 Legal Elite 47 Caskey’s Corner Stayin’ alive Top attorneys in Maryland 62 Problem Solver Getting ready to sell the business 64 Parting Wisdom Carly Fiorina’s commencement speech has irony and inspiration
special advertising section Commercial Real Estate 58 A resource of Baltimore’s hot properties
COVER STORY >>> 34 Lt. Governor Michael Steele hopes the 2006 election will reset the state’s power balance. THE COLOR Is Maryland really becoming a PURPLE battleground state?
Cover Photography by Bryan Burris
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www.SuccessBusinessServices.com • [email protected] 2015 Emmorton Road, Suite 204 • Bel Air, MD 21015 MERGER & ACQUISITION ADVISORS loyal people….[Some CEOs have] strains on their business environments that they can’t quite figure out, so they Nearsighted Chickens cut the retiree medical costs. I totally believe there is a better way to get the same result… The airline industry and Healthcare and the fallout from decisions past and future the automotive industry are in this situ- ation because their business models don’t Several years after Truman’s health ixty years ago this month, President work anymore and as a care defeat, General Motors made a SHarry Truman made a difficult, but result they don’t have decision – health insurance for every simple executive decision. He decided enough revenue to worker. Other large corporations soon to use some recently developed technol- support and fund their followed GM’s lead and 1950s corporate ogy – atomic fission bombs – and current retiree pro- paternalism entered its heyday. For some authorized its use as a weapon against grams.” of those firms, like Bethlehem Steel, the Japan. That decision had a stark short- Lawless points to ending wasn’t happy. Today GM is in a term outcome, quickly bringing about the contract negotia- showdown with its union over the very the end of World War II. The U.S. tion process as playing legacy costs it used to brag about invent- probably would have eventually won a part in GM’s ing. GM spends more money on health- anyway, but Truman was tired of sacri- headaches. “Anybody care today than it does on its primary ficing U.S. lives on obscure Pacific that has arrangements raw material (steel). The automaker islands and chose to pile up the casualty negotiated out five or raised eyebrows when it gave the UAW numbers on the Japanese side of the >> EDITOR’S DESK six years, I don’t know until June 30 to craft healthcare conces- ledger, forcing a rapid surrender. It is how they factor in sions before universally imposing them, doubtful that Truman’s decision calcu- what projected expens- but when it became clear the UAW lus extended very far beyond that. I doctors are here at [places like] Hop- es will be,” he says. “If you had tried six would not budge, GM quickly backed called the decision difficult, because I kins, because they left Canada. They years ago to project healthcare costs off the deadline. But GM retirees are have the luxury of hindsight, but given took a good system and made it a bad between 1999 and 2005, you’d have worried – 69 percent, or $3.6 billion of the immediate context of what Truman system because now there’s no money missed it by a factor of three.” GM’s $5.2 billion in health care costs was dealing with, he may have consid- in the system at all.” In other words, how can a near- last year came from retirees alone. As the ered it a relatively easy choice to make, That’s not to say that Lawless thinks sighted chicken decide to cross the if such life and death choices can ever workforce shrinks (GM announced last everything is hunky-dory as is. “There’s road? The primary currency of power be said to be easy. month it would cut 25,000 jobs by this whole baby boom generation that in business (and life) is not money and But ever since, every subsequent 2008), that percentage will grow. everyone’s predicting will be much it’s not job title, it is the decision. Lead- GM’s retirees have good reason to U.S. President has been forced to deal ers are judged by the decisions they be skeptical. Cutting retiree medical healthier than the previous generation,” with the consequences of Truman’s make. Quality companies make quality benefits is a lot easier than cutting med- he notes. “The problem is that there are decision, the aftermath of which funda- decisions. The reason spiraling medical ical benefits for here-and-now workers. four times the people. Let’s assume that mentally shifted world politics. Many costs is important, is because it is causing In June, the company that bought not all of them are going to be healthier of our political struggles today, such as leaders everywhere to make decisions Columbia-based Rouse Co. announced than the other generation. Let’s suppose the delicate matter of North Korea’s with serious long-term consequences. it would cease honoring Rouse’s retiree only half are – well, the other half are a nuclear ambitions, have some relation “There’s no easy or quick solution,” medical plan. problem.” to that simple decision 60 years ago. Lawless told me. “We’ve got ourselves To get a handle on how serious the I asked Lawless if that demographic This is often the nature of decisions – into this mess over many years. The dif- medical cost issue is in 2005, I called trend was making retiree medical costs easy to understand in the short-term, ficulty with business is we can make Bob Lawless, CEO of McCormick & a problem for McCormick. Three years difficult to project consequences in the decisions a lot quicker than the govern- Company in Hunt Valley. Besides ago, he told me that if you took current long-term. ment can come up with solutions. For being a Fortune 500 CEO, Lawless acts trends in 2002 and drew a straight line, Truman made another decision sixty example, Black and Decker moved as chairman of Kennedy Krieger. But McCormick’s healthcare costs would years ago. In November of 1945, he pro- everything to Mexico and China. It there were two other reasons I called exceed payroll in 2010. The insurance posed a comprehensive medical insur- didn’t take long to make that decision - him. First, three years ago he sounded increases have since subsided a bit and ance plan that would be administrated they’re gone. They’re not worried about the alarm about escalating medical costs now he says it happens in about 12 through the social security system. In an U.S. health and benefit costs or retiree and second, because he’s Canadian and years or so. But Lawless’ company is address to Congress, Truman outlined costs for the manufacturing firm. talk of a national health plan is back still nowhere near having to make a call his idea for “National Health Insur- Nolan [Archibald] doesn’t wake up once again, only this time it’s some on pulling the plug on retiree medical. ance,” which would have covered every every day thinking about that at all. CEOs doing the cheerleading. “I would think if we continue to own U.S. citizen from cradle to grave (few Not at all. We still do. We still have “I’ve lived in two other countries and stay the way we are, that would be people had health insurance at the time). four or five thousand people in the that have socialized medicine – Canada one of the toughest decisions I’d have Polls suggested 75 percent of the coun- United States. And I worry about that.” and the U.K.,” Lawless told me, “Ten to make. Things would have to be try supported Truman’s idea, but his The only consensus, it seems, is that years ago I would have said to you that pretty bad at McCormick for us to scheme was defeated for a variety of rea- things need to change. How they need I hoped this country here went to drop retiree medical benefits or even sons, including southern fears of deseg- to change is the argument. “This is socialized medicine also, but Canada’s significantly reduce them. These are the regated hospitals and intense opposition complex as heck,” says Lawless, “but I figured a way to screw it up too. And by the AMA. Many years later LBJ people that worked to create the foun- have a favorite line in business: ‘if you the big thing they did up there starting would succeed in passing a much scaled- dation of the company we have today. never get started, you’ll never finish.’ about 15 years ago was put caps on down version, which came to be called They worked as hard as they possibly I’m sort of applauding the government doctors’ salaries. [Now] all the good Medicare. Truman attended the signing. could work. They were committed and and cheering on the sidelines to say,
10 Baltimore SmartCEO August 2005 www.smartceo.com ‘Let’s go. Let’s get under it. Let’s go.’” The problem, of course, is that the Lawless wants government to go decision of which road to cross will be somewhere – he’s not sure where, just made by nearsighted chickens. as long as it’s not where Canada went. - David Callahan LETTERS TO THE EDITOR 3,&.:(// $1' Dear Editor, In today’s world we seldom recognize and compliment good factual report- ing. Last night I had the opportunity to read the “Moovin’ on up” article written 7+5,9( by Jan Tegler. I remember his thoroughness in conducting the interview. But until we see it in writing, we sometimes wonder if the facts will come out accu- rate and non-biased. In my 20+ years of doing these type of interviews, I have not read a better written, factual and accurate article. Jan did an outstanding job of doing his research, understanding the subject matter and reporting accurately. Did I like all I read? No, but was it accurate, factual and well written? Yes! I wanted to let you know how much I appreciate the article and the job Jan did! Regards, Jon Jameson President & CEO MaggieMoo's International, LLC
To the Editor: I recently came across your Web site of 101 Maryland historical firsts, one of which states that the sport of duckpin bowling originated in Baltimore in 1900 within the bowling alley of noted baseball players John McGraw and Wilbert Robinson. The claim has appeared in major newspapers, duckpin books and now in the new Maryland sports history museum at Camden Yards. In researching my newly released book Cap Anson 3 (McGraw is on the cover), I found duckpin bowling to have been around at least as of 1894, and probably well before that--but probably not in Baltimore. In 1894, a Massachu- setts newspaper, the Lowell Sun, interviewed a veteran bowler who spoke of having played in duckpin tournaments. As far as duckpins and Baltimore, in the last week of 1899, there was notable duckpin activity at the bowling alley of McGraw and Robinson at 519 North Howard Street. The Baltimore Sun said duckpins had just been introduced there, possibly meaning for the first time in Baltimore. It did not cast the introduction as nationally significant. “The funny little pins looked like bunches of plovers [a kind of shorebird] on a marsh,’’ it said. While noting that Robinson was on <285(03/2<((6&$1%/220<($55281'²:,7+ hand, it did not say anything about McGraw: “Capt. Robinson, an old stager .$,6(53(50$1(17()/(;,%/(&+2,&( [presuming referring to his genuine affinity for real-life duck shooting], knew how to put ducks out of the business. He mowed down 101 in 10 boxes, and -ORE OPTIONS BLOSSOM WITH +AISER 0ERMANENTE &LEXIBLE #HOICE was high man.’’ I did find a possible historical first involving McGraw and Robinson in THE DYNAMIC NEW PRODUCT THAT GIVES YOUR GROUP THE EASE AND December 1899. Exactly ten days before their alley began offering duckpins, mEXIBILITY OF THREE HEALTH PLAN OPTIONS ALL IN A SINGLE PLAN .O MORE Ford’s Opera House began showing moving pictures of a boxing match between HAVING TO CHOOSE AMONG (-/S 00/S AND INDEMNITY PLANS TO Tom Sharkey and Jim Jeffries that they had attended two months earlier. From SATISFY YOUR COMPANYS HEALTH CARE NEEDS 9OUR EMPLOYEES CAN more than seven miles of film, 216,000 distinct pictures had been developed, “vividly representing every move in the 25-round battle.’’ BENElT FROM THE UNIQUE PERSONAL CARE OF +AISER 0ERMANENTE The Baltimore News wrote a close analysis of the movements of Robinson PRIMARY CARE AND SPECIALTY PHYSICIANS PRACTICING AT OUR CONVE and McGraw, who were at the ringside. McGraw “does a good deal of fidgeting NIENTLY LOCATED MEDICAL CENTERS /R THEY MAY CHOOSE A PHYSICIAN on his chair, and often turns around quickly to address some one [sic] sitting FROM THE 0RIVATE (EALTHCARE 3YSTEMS 0(#3 NATIONWIDE NETWORK behind. During the rounds his keen eyes follow every movement of the fighters. Generally one of Jeffries’ seconds [handlers] is to be seen sitting on Mac’s knee OF NEARLY DOCTORS /R THEY CAN CHOOSE TO VISIT ANY OTHER until the gong rings.’’ LICENSED PROVIDER "LOOMING OPTIONS "LOSSOMING CHOICES ! mEX It is possible that that could be the oldest-known film that thousands of IBLE BOUQUET OF OPPORTUNITIES TO BE WELL LIVE WELL AND THRIVE 4O people saw and which prominently showed famous baseball players. lND OUT IF +AISER 0ERMANENTE &LEXIBLE #HOICE IS RIGHT FOR YOU CALL Howard W. Rosenberg YOUR BROKER OR CALL OUR -ARYLAND SALES OFlCE AT
+AISER &OUNDATION (EALTH 0LAN OF THE -ID !TLANTIC 3TATES )NC Editor’s Note: Mr. Rosenberg, of Arlington, Va., is the author of Cap Anson 3: Muggsy % *EFFERSON 3TREET 2OCKVILLE -$ John McGraw and the Tricksters: Baseball's Fun Age of Rule Bending. '# &0 6! '# &0 $# '# &0 -$ '# &0 -$3' KPORG
www.smartceo.com August 2005 Baltimore SmartCEO 11 new talent is waltzing ARE YOU MOVING IN THE newswatch in to seven-figure bonuses. Am I talking about football players? RIGHT DIRECTION? Heck no, I’m talking about stockbrokers. At the end of June, Legg Mason executed a very The Successful Retirement Plan Selector rare corporate maneu- A common sense approach to outsourcing your 401(k) Plan. ver – a $3.7 billion asset swap with Citi- group. Legg grabbed By David Callahan Citi’s money managers Observations and lessons and cut loose its own Provides an brokers, who are get- EDUCATION ting big bonuses from interactive from the news headlines Citi to stay on and discussion EXPERIENCE not strike out on their between A NEW 180S own. Those 1,350 or so brokers will now join Citi’s 12,000 employees I very briefly bumped into Brian Le CREATIVE BENEFIT CONCEPTS Gette at the Canton Safeway last Smith Barney troops, making it a little and a financial month and he seemed a little bummed harder to distinguish themselves in advisor Kerry W. Hemphill, LUTCF and distracted. A few days later I such a larger pool, hence the efforts to 301.260.2811 learned why – he was in the process of keep them from striking out on their regarding own. Unhappy Smith brokers could [email protected] stepping down as CEO of 180s, a com- specific pany well known as one of the city’s always give their own signing bonus retirement more innovative local startups. Replac- back and move on themselves, but I guess that depends on whether they concerns. ing Le Gette is Susan Shafton, a DeLoitte alum whose 20 years of actually invested their own money or just spent it. Registered Representative of and securities offered through OneAmerica Securities Inc., Member NASD, SIPC, industry expertise appears to rest 3300 Olney-Sandy Spring Rd, Ste 320, Olney, MD 20832, 301-260-2810, As for the deal itself, the logic is mostly in the retail sector, the very which is not affiliated with Creative Benefit Concepts, LLC inescapable in the shadow of Sarbanes- place where 180s is perceived to be cur- Oxley. Every hybrid firm that sells pro- ALLB rently stumbling. ac prietary funds will soon arrive at the L kg W A r Le Gette says he left voluntarily, but p ou e p n Do same conclusion and do the same lic d odds are good that Le Gette was feeling THE an Ch thing. So why not lead the way and get ts e , ck pressure to leave from venture capital- Ev s it done while options are still plentiful? er on ists that had recently injected the firm y T im By pulling the trigger on the deal, Chip e with cash, an extremely common sce- FORMULA ! Mason has not only eliminated any nario. If Le Gette really did spot the conflicts of interest, he’s doubled his FOR need to remove himself, it’s an extreme- money under management and ly uncommon voluntary choice, but cemented the company’s standing as usually a wise one. As any Wharton one of the elite fund managers in the YOUR graduate would know, good entrepre- world. In terms of brand-building and neurs and good managers have very dif- growth, it may be the best decision the ferent skills sets and few people are company ever made. Legg Mason is good at both. now the fifth largest U.S. money man- The question for 180s is whether it ager overnight. Mason says cutting his SUCCESS really needs a good corporate manager, brokers loose was very “traumatic,” but yet. I’m not sold that it does. It could in terms of sharpening company focus, be that Shafton will come in and create I think it’s a great move even without When quality counts… a retail strategy that gets 180s products the regulatory pressure. By not having moving again. But the performance inside sales channels, Legg Mason will apparel industry is still evolving as a have no way to grow business other concept (Under Armour is getting into than by improving its own (already cleats) and innovation remains at the very good) performance levels. Applicant Skills Testing core. It’s clear that 180s will now focus Investors in Legg Mason funds will be its energies on selling. The question is Temp-to-Perm Project Outsourcing able to judge how much that matters in whether that also means the company about a year’s time. Permanent Placements Payroll Processing will stop inventing. HEADING FOR FALL 410-296-0655 AN ARM FOR A LEGG Here’s a prediction: September will Picture this scenario. A year ago, set a one-month record for bankruptcy www.MaryKraft.com you signed a high five-figure signing filings. The economy? No, it is because bonus to a seven-year contract, but now on October 17, new rules will make it
12 Baltimore SmartCEO August 2005 www.smartceo.com much more difficult (and more expen- sive) to file for Chapter 11. The new rules virtually eliminate the ability to give retention bonuses to keep key employees, allow utility companies to charge huge up-front deposits and management will be unable to block creditors from submitting re-org plans after 18 months. The sector most likely to see a spate of filings? Retail chains. Come out and meet your husband’s true love. Chapter 11 is already common in retail, because of the high number of creditors and, most especially, because of the ability to use the period to tease out troubled locations. Now, thanks to the new law, retailers will have to decide very quickly which locations are clos- ing, a difficult proposition if a company is studying 1,000 individual leases. So if you are on the creditor side of the equation and have some customers that you have doubts about, don’t take September off.
HEADING FOR FALL II Another trend worth watching as we head into late summer is hurri- canes. Remember last year’s “once in a lifetime” season? Suddenly I’m feeling old. This year has already broken the record for the earliest Category 4 storm and the earliest that four named storms have hit the Atlantic. Scientists now say a confluence of factors, including some of the warmest July waters ever seen in Hurricane Alley are leading to what looks to be a ferocious season. There’s no sure predicting these things, but so far, the forecast is grim. If July is any indication, August and September could bring some real monsters. It’s something worth keeping in mind, especially if you have a business con- nected to the Gulf states. Contingency planning is an often overlooked chore, but now seems like a good time revisit the looseleaf binders. Even if your business is only in downtown Baltimore, memories SEPTEMBER 12–18 of Isabel’s flooding ought to be enough to HAYFIELDS COUNTRY CLUB keep low-lying landowners thinking about their “just-in-case” planning. Make a date for golf at its best. Join Tom Watson, Peter Jacobsen, Raymond Floyd REVERSE RUSH HOUR and other legends on the Champions Tour. What is the difference between a city and a county? A city is defined as Kids 16 and under admitted free with an adult. containing the region’s financial or commercial district. But last month, we learned that the number of jobs in Baltimore County surpassed the number in Baltimore City. Meanwhile, the hot topic “downtown" is residential Call 410-234-7225 or visit ceclassic.com real estate. Most of the bayside cranes BENEFITTING MARYLAND CHARITIES for $5 off advance tickets. seem to be building condos. Increas- ingly, it seems, the difference between city and county is decreasing.
www.smartceo.com August 2005 Baltimore SmartCEO 13 >> may occur: to know: CEO ADVISOR • The problems will gnaw at you and • The unique characteristics of their may affect your ability to focus on personalities other issues • How they interact with others 10 tips on • The problems will exacerbate over • What motivates and de-motivates time rather than go away them LEADING YOUR ORGANIZATION • Their working style (how they get Your people look to you for leader- things done) ship. So, take the responsibility and • What type of people they work Many of our readers have e-mailed us and asked us to give them our deal with the tough issues. with best thoughts about leading their organizations more effectively. This is not surprising, since how one leads is so critical to the survival and profitability >> BEWARE OF By knowing these things, you will of any organization. Regardless of whether you are a CEO or some other 2 “ANALYSIS PARALYSIS” have the ability to mold your team in a Organizations move ahead only as a manner that will make the best use of high-level executive, we believe that the 10 tips we discuss in this month’s result of key decisions being made. It’s each person’s unique talents. column will be valuable to you. Here goes… your responsibility as the CEO to move your organization forward. We’re cer- timely manner, rather than avoiding >> tain there are times when you are DEAL OR LIVE – WITH IT them or putting them off for long peri- tempted to postpone making impor- 1 Believe it or not, CEOs can be ods of time. tant decisions until more information is procrastinators too, but this tendency The most prevalent issues that available. Sometimes, this is appropri- can be harmful to the success of a com- CEOs have the tendency to avoid are ate. More often, however, it’s not. It pany. Every CEO or high level execu- the “people problems.” During our would be foolish to think that a CEO tive is tempted to ignore a problem or a many years of serving as Executive can run a business without gathering critical issue at one time or another. But Coaches, we have found that people information. But, seldom will you have dealing with problems in a timely issues cause a great deal of concern for all the information you would like on a manner is one of the most important executives. Nobody likes to confront a complex issue. All CEOs and other things that any CEO must do. It’s problem performer. Furthermore, we high-level executives must be willing to important to differentiate here. We are don’t know any executives who find it DouglasStrouse & make decisions even in the face of risks. not recommending taking action with- easy to dismiss employees. But, dealing We agree with Bruce Hyland and Merle KennethWexley out thinking. We are, however, calling with people problems has to be done in Yost (Reflections For Managers: A Col- for you to take care of problems in a a timely manner or the following lection of Wisdom & Inspiration From The World’s Best Managers) who said, >> RESPECT DIFFERENCES “The leader who makes a mistake, but 4 Years ago, management experts continues to make lots of good deci- thought that there was only “one best sions, rather than ‘deciding not to way” to lead others. Today, we realize decide,’ will be successful.” that there are only certain things that Do you suffer from what we call must be done in a consistent manner. “Analysis Paralysis?” Considering too For example, you need to be consistent much detail may prevent you from in the way you exercise authority, so making timely decisions. From now on, that your employees will trust you and try setting a time limit on your data know that you mean what you say. You gathering. When you’ve reached this also need to always be honest, straight- limit, make your decision. If you find forward, and fair in your dealings with that you are still taking too long to your people. Only by doing this will make decisions, then work with your they respond favorably to your authori- executive team on reducing your data- ty, even when faced with difficult or gathering phase. Seek out their ideas on stressful conditions. using more efficient ways to gather data We also realize today that the and other needed information. workplace is filled with a diversity of people. Employees differ greatly from >> KNOW YOUR TEAM one another in various ways, such as 3 Whether it’s the “chemistry” of age, sex, race, ethnic background, reli- the people working together or some- gion, personality, amount of experience thing else, you’ve got to be aware of and education level. Any executive who what causes your team to click. Every thinks he or she can manage all of these CEO and high level executive functions people in just one way is asking for as a “team leader.” The team includes trouble. What motivates one person all of the managers who report to them. can easily de-motivate another. In their As the leader, you have to know your book, Working Scared: Achieving Suc- team members. We don’t mean just cess In Trying Times, Ken Wexley and personally, we’re talking about knowing Stan Silverman quote Daisy Chin-Lor, each person’s work related strengths and Avon’s director of multicultural plan- weaknesses. More specifically you need ning and design, as follows:
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Hire Sales Pros If I were planting a garden and timing for these rewards (e.g., during waters. But, you have to always be 2. Select a high-level executive to wanted to have a number of staff meetings, in private, weekly, keenly aware of the power and clout of “champion” each strategic objective. flowers, I would never give every monthly, quarterly). your position. 3. Ensure that each champion generates flower the same amount of sun, 4. Generate and implement a list of an action plan for implementing their the same amount of water, and ways in which you plan to provide the >> SUPPORT YOUR VISION strategic objective, and make sure that the same soil. I’d be sure to cul- rewards that will influence each 6 Establishing and communicating they have chosen a person to carry out tivate each individual type of employee’s motivation level. a vision is one of the most important each step of the plan by a certain date. flower differently. Does that tasks of any leader. A vision is an aim mean that the rose or the orchid >> CHOOSE YOUR WORDS for the future. It involves defining what >> MODEL THE WAY is less because I have to do more 5 CAREFULLY you want your organization to achieve 7 You’ve heard it many times before with them? Certainly not. Be careful of what you say, verbally in the future and comparing it with “walk the walk and talk the talk.” as well as non-verbally, at all times where you are now. When you do this, Remember, to be an outstanding CEO Individualize your approach to because you may be “saying” things you have accomplished a lot! But, this or other high level executive requires motivating your employees. The Suc- that you really don’t want to say. For is only the beginning. It is also your leadership in action as well as verbally. cessful Manager’s Handbook (Personnel example, we know of a CEO who hap- responsibility as the CEO to make As the leader of your organization, you Decisions, Inc.), offers an excellent way pened to mention, off the top of his your vision come alive. How should cannot expect to operate at a level that to do this: head, that there is a slight possibility you do this? You must plan what will is above the rules and policies that are 1. List the needs and corresponding that his company might merge with happen and how it will happen. You set for everyone in the company. If you rewards you believe to be most rele- another company in the next year. do this through “strategic planning.” vant to each of your direct reports, Within a short period of time, the word Through strategic planning you, with expect your personnel to do something based on your current knowledge of was out that the company was definite- the help of your executive team, map in a particular way, you have to be sure them. ly going to be acquired by another out what you will all need to do to you are doing it that way as well. You 2. Meet with them individually to company very soon. To make matters bridge the gap between “what is” and can’t perform in a different way from learn, directly from them, what each worse, people began to worry about “your vision.” others. Employees hate hypocrisy and of them perceives his or her needs to whether their jobs would be eliminated. Too often, we have seen leaders who they can see right through it. be (e.g., money, promotions, recogni- Be careful, because chaos can prevail in have a vision, but they do little to make You’ve got to “model the way.” If tion, challenging assignments, career these types of situations. it happen. To make your vision a reali- you expect your employees to be on development, flexible hours). You may feel that it’s okay to have ty, you need to: time for meetings, you need to be on 3. Observe your employees over time casual conversations with your direct 1. Work collaboratively with your time too. If you want your people to to add to or alter your list of rewards, reports or that there is nothing wrong executive team to establish 10-15 work hard, you have to set an example and to determine the optimum with just throwing out ideas to test the strategic objectives each year. of working hard yourself. Price | Modern Lacrosse for Leukemia 2005 Fall Invitational Event Saturday, October 1, 2005 | St. Paul’s School 12 of the nation’s best lacrosse teams come together for one great goal to benefit The Leukemia & Lymphoma Society, Maryland Chapter. • Johns Hopkins • Loyola • Towson • UMBC • TEAM USA • Syracuse • • Georgetown • Air Force Academy • Penn State • Albany • St. John's Villanova •
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16 Baltimore SmartCEO August 2005 www.smartceo.com >> 4. You will be a far more successful OWN UP TO MISTAKES CEO or high-level executive if you 8 We’re all human beings and we all can avoid making enemies. Having to make mistakes, even CEOs and execu- deal with enemies will sap the time tives. So, be honest with yourself and and energy that can be better spent on others and admit when you’ve made a more important matters. Looking for advice mistake. Perhaps, you may think, as many others do, that great leaders are >> FIND BETTER WAYS not supposed to make mistakes. They 10 Are you a CEO or executive think that if they do, this will lower the who has done a great job of growing from someone respect that they will receive from their your organization over the past several employees. This is not true! What is years, but now find that its growth has reality, however, is that mistakes rarely leveled off. If so, you need to find go unnoticed. In other words, it’s diffi- who’s been there? better ways of managing your organiza- cult to sweep your mistakes under the tion. You need to view management as carpet, especially if you are the CEO or a profession, not merely a reward for another high-level executive. The your outstanding past performance or proper course of action, as we see it is: as an inheritance. Developing superior • Admit that you have made a mistake. managerial skills is a lifelong endeavor. • Explain to others what you intend to It must never end with an MBA from a do to correct it. prestigious program, or participation in • Discuss the lesson learned and how an executive seminar series conducted important it is not to make the same in-house or at a university. It’s impor- mistake again. tant that you never stop learning and that you keep up with modern man- >> DISAGREE WITHOUT agement practices. Consider the follow- 9 APPEARING DISAGREEABLE ing suggestions: As you know all too well, the posi- • Read at least two management books a 410-296-0384 tion of CEO or other high-level execu- month. You can begin with Steven www.innercircleofbaltimore.com tive inevitably brings with it the need Covey’s The 7 Habits Of Highly Effective [email protected] to present alternative opinions and to People and Michael Gerber’s E Myth disagree with others. It’s part of your Mastery: The Seven Essential Disciplines job. Surely, you can use your power to For Building A World Class Company. bulldoze your position through but, in • Attend, on a yearly basis, a series of the long run, this doesn’t get genuine executive seminars and/or workshops support from your employees. In fact, at one of the universities in the Balti- you could easily find yourself winning more/Washington area. We should talk: battles but losing “the war.” Your long- • Consider hiring your own profession- term effectiveness depends significantly al Executive Coach. Your coach will on your skill in handling disagreements first assess your executive strengths CEO to CEO without being disagreeable. Here are and developmental opportunities; four important pointers to remember: then, he or she will meet with you ...about your exit strategy to eventually Patrick J. Horan, 1. Focus the disagreement on the key periodically to help you to become a CFP®, ChFC issue, not on the person with whom superior manager. sell your business and retire in the you are disagreeing. You might even say, • Use an approach known as “360º No commissions, “Terry, you know I respect your work in Feedback” to periodically obtain lifestyle you deserve. this area, but I disagree with your pro- candid information from others (e.g., no product bias– posal to…let me tell you why…” your peers, subordinates and/or cus- ...about the right way to invest money to only objective 2. When trying to resolve a disagree- tomers) about the things you do well ment with another person, find out and you need to do better. assure income needs, capital wealth management the needs, concerns, and fears behind preservation and growth. and financial advice. their stated position. One way to do Are you using these 10 valuable this is to simply ask them – “Terry, tips? If you believe you have room for what’s your reason in wanting…at improvement, we hope this month’s Call for a free this time?” When doing this, make it column will guide you in making clear that you do not just want a basic needed changes. Please e-mail us and consultation: restatement of Terry’s position, but let us know how our “10 valuable tips” 410.494.4380 that you are truly interested in Terry’s are working for you. goals and feelings. 800.592.7534 Kenneth N. Wexley has his Ph.D. in Industrial & 3. Actively listen by giving the other Organizational Psychology and is currently President person your full attention without and CEO of Wexley Consulting - HRD, a nationally- thinking about how you are going to known management consulting firm. Douglas A. www.HoranCM.com Strouse is the president of the CEO Club of Baltimore respond and avoid the temptation to and has his Ph.D. with emphasis in Organizational interrupt. Management. ([email protected]).
www.smartceo.com August 2005 Baltimore SmartCEO 17 How Long Can You Afford >> THE GROWTH GUY For Your Computers to be Down? the most vital resource to Keep your computers - and company - up and running efficiently. business owners Call John Howell, Business Development Manager, at 443-872-9215 for a free consultation. From day one, what’s been vital to the success of the founders of Linksys? America’s Remote Help Desk What do they have in common with a practice Michael Dell initiated early Network Consulting and Support | Remote Help Desk | Software Training on and continues today? How have they both avoided the number one phone: 410-727-8330 web: www.remotehelpdesk.com weakness in growing companies, something so simple and inexpensive, yet universally overlooked by most companies? What is the most squandered 2004 Top 25 Largest Systems Network Integrators resource to entrepreneurs?
leader in home and small business wire- less technology, was purchased by Cisco last year for $500 million – not a bad payday for Tsau and his equally tal- ented wife and co-founder Janie. What they have done so consistent- ly from the very beginning is systemati- cally capitalize on the hundreds of hints, clues, ideas and concerns of their customers and employees – something they are fanatical about on a daily basis. And they use this feedback to stay VerneHarnish roughly five weeks ahead of their com- petition. Not months or years, but merely weeks ahead. Victor was Every day customers, competitors, adamant that this was THE source of suppliers and employees are providing their continued domination of a very bits of intelligence useful to business competitive market. Today Linksys owners. Customers are talking with analyzes the input from roughly 15,000 your sales and service associates, com- technical and customer service calls petitors are sharing their plans with they receive each day. your customers, frontline employees are seeing opportunities and experiencing At Wal-Mart, most of problems, and suppliers are blabbing to everyone. The challenge is systematical- headquarters empties ly collecting this virtually free input and using it to power the business on a at the beginning of the daily and weekly basis. week, with leadership The 9/11 Commission Report poignantly reminds us of the tragedy spending their time in that can result from not integrating dis- the field talking with parate pieces of intelligence. Like the proposed intelligence czar, immediately customers, visiting assign someone accountability for gath- ering up the feedback swirling all stores, and scouting the around you – and have this feedback competition. reported weekly. Nothing fancy, just make sure someone is asking your sales Like Linksys, Dell, Intuit (Quick- people, customer service people, and books), Ritz Carlton, Wal-Mart, GE, operations what they are hearing each and a local software firm I worked with week from the market. Make it part of years ago when they were really small everyone’s normal weekly reporting. and now dominate their industry – a I recently hosted Victor Tsau, co- firm call Deltek – share this common founder of the phenomenally successful focus on gathering market input daily Linksys, at an executive program for and weekly and acting on it within growing firms. Launched in 1988, this weeks.
18 Baltimore SmartCEO August 2005 www.smartceo.com When I first met Ken Delaski, the founder of Deltek, the firm had fewer than 100 employees. One of the disci- plines that stuck with me was his insis- tence that every top leader spend a few hours each week working in the tech- nical support center answering cus- tomer calls – Ken, himself, spending up to a half day each week. GE learned from Wal-Mart and implemented what they call their QMI or Quick Market Intelligence process for formally gathering cus- tomer and competitor feedback from sales, support, and operations people on a weekly basis. It’s this data that drives decision-making and strategy within GE. At Wal-Mart, most of headquarters empties at the beginning of the week, with leadership spending their time in the field talking with customers, visit- ing stores, and scouting the competi- tion. Expected back Thursday evening, everyone huddles Friday morning to pour over what has been learned with changes expected to be executed by Saturday at noon. Wal-Mart figures this gives them roughly an eight day lead on their competitors. Again, you don’t have to be months or years ahead of the market, just days and weeks. And at the heart of Dell’s and Intuit’s success is this same fanatical focus on gathering customer feedback and acting on it weekly. Starting with slips of paper Michael Dell had his employees use to log every problem, complaint, concern, issue, idea or sug- gestion and then turn into him on Thursdays so he could “read the tea leaves,” Michael held a meeting every Friday morning to make Dell “one per- cent better each week” using this vital information. What are you doing to listen to your customers, listen to your market and gather intelligence weekly? There’s an item on my suggested weekly meet- ing agenda for “customer and employ- ee feedback” bring this part of the agenda alive. Call one customer a week Protecting You and Your Good Name and listen. Take one employee out to lunch each week and listen. Mystery shop one of your competitors and report what you learned. You need this 800-939-4170 data to drive your everyday decisions – 8050 S.W. Warm Springs Street Suite 130 Tualatin, OR 97062 get it and use it. www.identitysafeguards.com
Verne Harnish is CEO of Gazelles. www.gazelles.com
www.smartceo.com August 2005 Baltimore SmartCEO 19 WHEN WORKERS STUMBLE, THE ONE THING YOU CAN’T DO IS NOTHING. By Ellen Uzelac EMPLOYEES ON THE SLIDE First came the wild mood swings. Then the drop in productivity. And when this once model employee left a tearful message on his voice mail saying she couldn’t make it to work, CEO Jim Wallace knew he had to take action. • “This was a person who, prior to this, had done a great job 100 percent of the time,” notes Wallace (not his real name.) “I don’t have to know the underlying causes but if I see something like this at work, it’s my problem and my business. Ultimately, the responsibility falls on me.” • The day he got the call, Wallace, who heads a small engineering services firm outside of Washington, D.C., demanded that the woman – one of his top managers – meet him for lunch. • Over salads a year ago, Wallace learned that his valued employee was a prescription pill addict. Fortunately, he convinced her to contact a mental health counselor, which resulted in some short-term residential treatment. • “As a business person, you want to help your people,” says Wallace. • “On the other hand, I’m sitting there thinking if I have to hire somebody else and start all over, it will take me a year to get out of this hole.” • The woman is still with the company. • Her job: Human Resources Director.
ACTION IS ESSENTIAL toxic work environment. Ultimately, of business owners. “It can harm My Way or the Highway: The Micro- It’s an issue every CEO is bound to the problem goes well beyond the morale. And the longer it goes on, the management Survival Guide. “Basically face: What do you do when a good employee. It behooves leaders of these greater the potential is. This is nothing it’s saying ‘I’m going to light candles employee goes bad? organizations to address these issues to take lightly.” and pray.’” Left untended, it’s a problem that consistently and quickly before it Yet many CEOs – particularly at Yet it is critical to take corrective can cripple morale, affect performance, becomes a larger business issue.” smaller companies that don’t have the action. compromise customer service and, in Not coincidentally, the CEO’s benefit of a human resources compo- Otherwise, says Chambers, “Your some cases, lead to security breaches. response – or lack of it – also puts out a nent – fail to act swiftly, or at all. silence, denial or avoidance gives As Shelly Wolff, group and health strong message about his or her leader- “The number one strategy in Amer- approval to decreased performance or care national leader for health and pro- ship abilities. ica today for dealing with workplace disruptive behavior. When the boss ductivity for Watson Wyatt, the global “Companies are not democracies, problems is to do nothing. We couch doesn’t react, it sends a message to HR consulting firm, notes: “When per- okay? Other employees know when that strategy under the guise of: ‘I’m everybody that we’re approving this sonnel problems go unaddressed, they something is going on. Absence of going to give it some time and see if it behavior.” become significant business issues. It action on the part of the guy in charge doesn’t work itself out,’” observes work- Deb Tillett, president of BreakAway can create an environment where is noticed also,” according to Paul place expert Harry E. Chambers, Ltd., a computer games company in people don’t feel they are treated fairly – Riecks, co-founder and president of author of The Bad Attitude Survival Hunt Valley, has zero tolerance for and it builds on itself. It can create a Inner Circle of Baltimore, a peer group Guide: Essential Tools for Managers and sexual harassment – as an employee she
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Go to www.kintera.com or call toll free 866-kintera (546-8372) fired for it knows. She also terminated CEO. “I think the CEO takes on that a man on the spot after he began role and you can do it in a way that’s throwing things and swearing in front supportive, not intrusive, and it’s of office staff. entirely up to the employee to accept or But when a gifted programmer reject their offer,” she says. [See sidebar became aggressive and angry with one for intervention strategies.] And, with of his colleagues, she decided to try an the cost of replacing an employee typi- intervention. “I’d been told that the cally set at two to three times the cur- guy had never been a problem and in rent employee’s salary, it can be prudent my conversation with him, the young to intervene in a helpful way. man admitted to having had similar “In today’s world, there are so many issues in his former job. He wasn’t cer- services and resources available,” she tain what he could do about it but he says. “If you have a good employee you was willing to do something because he really want to keep, there are things really liked his job,” says Tillett. that can be done and should be done. On top of that, she adds: “Getting It’s really the right thing to do.” a person into this organization is huge. Tyler Smith, the CEO of a Balti- They are highly skilled and we give more real estate firm, tried hard to save them more skills. It’s an intangible but an employee who had worked in his believe me it’s important. To suggest financial department for five years. The you are going to get rid of someone for woman suffered from both manic- something that isn’t 100 percent just depression and fibermyalgia. cause won’t fly. We’d really rather take “Our whole premise, and hopefully the time to work it out.” our culture, is that we try to look out Ultimately, the man agreed to take for one another and take care of one an anger management class. Since then, another. We’re a family-first organiza- he’s been a model employee. “Two to tion. The value of our organization is three weeks later this loner was going people and we have to take care of out to lunch with people. He went them,” says Smith, not his real name. from not saying hi to anybody to bend- Smith changed the employee’s work ing over backwards to be nice to schedule to better accommodate her. people,” says Tillett. “It’s dicey. It’s a He supported her treatment. And he hard line to walk because you don’t hooked her up with an outfit that want to pry into people’s lives. And I helped her son, who also is clinically AUDIO-VISUAL & SECURITY guess you’re sort of guided by: What’s depressed. the right thing to do?” “We were working through the SALES, INSTALLATION, SERVICE, & RENTAL issues. She was very productive and CONSIDER YOUR OPTIONS good at her job. It was never easy but 3M DIGITAL WALL DISPLAY: There are some common markers anyone could be dealing with depres- to watch for when a good employee sion and if someone is a valuable Interactive Whiteboard with Integrated LCD Projector starts going down what Wolff calls “a employee, we need to do what we can path of problems.” Among them: to help them cope,” says Smith. absenteeism; tardiness; failure to deliver Ultimately, the employee began on promises or deadlines that had been having problems with co-workers by met in the past; performance issues; assuming authority she didn’t have. unscheduled absences; sudden changes Smith terminated her with a generous in behavior. severance package. What can CEOs do when they “We let her go on as good of terms observe shaky behavior? as we possibly could. I would love to be In the event that the firm has a able to tell you she was still here. But human resources director, the first line the last nine months she was here of attack, according to Wolff, should be things just stopped working. In a small outreach from the employee’s direct organization, you can’t have that,” supervisor. “Have a conversation. Ask: Smith adds. “In small firms we learn a ‘What can I do?’” The firm’s health lot of this stuff as we go along. I guess Smart, Simple, and Cost-Effective Solution plan may offer options for counseling I’ve gotten pretty comfortable with it. or treatment. And, she adds, there’s a If you recognize that this is what makes for your Conference and Training Rooms lot of terrific free advice on the Web: your business work on a daily basis, Nelson White Systems, Inc. 410-668-9628 • 800-296-7555 non-profit and government-supported this is a good place to be spending your sites that can help with issues like elder time.” 8725-A Loch Raven Blvd. Baltimore, MD 21286 care, financial planning, drug treatment. [Editor’s note: The CEOs identified Lots of small firms don’t have as Jim Wallace and Tyler Smith asked Fax: 410-668-9629 human resources support and, in that that their real names not be used to pro- www.NelsonWhite.com case, the outreach often falls to the tect confidentiality.]
22 Baltimore SmartCEO August 2005 www.smartceo.com You’ve known us for A SURVIVAL GUIDE FOR CEOs a long time now. What to watch for: Breaks in employee patterns and declines in productivity or quality What to do: May we come in? Address the problem quickly, initially through an informal coach- 1. ing session. “Tell your employee: ‘My instincts tell me something may be going on here’ or ‘I’m seeing a change in pattern’ or ‘I’m seeing a bit of a decline in productivity. Help me with that.’ Address them around performance and quality,” notes workplace expert Harry E. Chambers, author of The Bad Attitude Survival Guide: Essential Tools for Managers. SAVE By getting in early, you’ll also have less to fix and the employee will be MONEY more likely to view you as an ally than as the enemy. WITH ON-SITE Take care not to pry into the employee’s personal life. In addition TRAINING. 2. to privacy laws and other legal shields, it’s just not a good idea. “You Customized to don’t want to be inserting yourself into an employee’s personal situation. your needs, If they come to you for advice, it’s one thing. Offering advice that’s unre- and with flexi- quested is a position a manager never wants to be in. It will drive resent- ble pricing ment and it could have legal implications,” Chambers says. options, it’s a great way to Draw the line between the employee’s problem and your problem. get your staff 3. “It’s important for the CEO to realize that your issue with the employ- up to speed. ee is their performance and their disruptive behavior,” he adds. “If they say, ‘The reason my production is slipping is I have a sick child at home,’ On-site training from MACPA and its affiliate, the that is their issue. You want to understand it and be as helpful as you Business Learning Institute (BLI). You already know and can, but your issue is performance. Stay focused on their performance rely on us for your training needs. Now you can bring that and their behavior.” same quality and breadth of training to your place of business, plus you can customize it to fit your needs. We can also offer If the employee shares the problem, respond empathetically not training to other departments in your company or your clients. 4. sympathetically. As an example, if a worker says: “I’m really upset. We provide training and resources in auditing, tax, manage- My girlfriend broke up with me. I didn’t sleep all night and I need time ment, leadership, IT, internal controls, ethics, fraud, computer off,” Chambers suggest an empathetic reply like: “I understand relation- training, strategic planning and more. ships can be difficult.” Don’t, however, offer a sympathetic response such as, “I understand. When I was your age, the same thing happened to me WHAT YOU DO: WHAT WE DO: and it took me six months to get over it.” In that event, you’ve just given • Identify an area of study • Consult with your training the employee six months off. “You don’t want to have personal identifica- or course selections from director tion or involvement,” he adds. “Don’t approve their negative behavior.” our catalog • Hire instructors/discussion • Decide on a date and time leaders/facilitators After offering empathy, provide options. Brainstorm with the for the class • Design the course, 5.employee about options you can recommend but not mandate: a 12- • Choose a location (your assemble the materials and step program, mental health counseling, anger management training. If own place or an offsite provide the discussion it looks like the situation could end in termination, get legal counsel. Also, location) leader never lower performance standards or expectations. “With a good employ- • Tailor course content to ee who may have a personal problem, it might sound harsh but the real- your company’s unique ity is you are doing them a favor by continuing to expect high perform- needs and experience ance,” according to Chambers. “I’ve had employees who have come to me levels later saying: ‘That was a really difficult time for me. What really saved me Call today for more infor- • Bring the training to you was coming to work every day and doing my job.’” mation, a complete list of — save valuable staff time courses or to request a and travel costs Reinforce performance standards. “Tell your employee: ‘I want to • Keep proper records of price quotation. Contact 6.reinforce what I need from you here at work.’ By reinforcing the stan- CPE hours earned and dards, you give them somewhere to go where they can do something well Chris Doughtery, issue CPE certificate and maintain success in their job,” he adds. “They continue to perform Customized Training and you give them a safe harbor.” Solutions Coordinator, [email protected], or at Structure a future discussion on corrected performance. Don’t 7. revisit the problem but set aside a time for the employee to relay how 800-782-2036. his or her performance has improved.
www.smartceo.com August 2005 Baltimore SmartCEO 23 ceo life cars > wine > gadgets > dining > books > travel > entertainment > boats > hobbies > sports > home
Airborne With the greatest of ease For some, the fantasy of flight is floating above the clouds behind the con- Jonathan Palevsky is program director for WBJC, the classical music station at Flying fantasies 91.5 FM, hosting Face the Music on Saturdays at 5 p.m. He had a hankering to fly trols of an airplane. For others, fantasies may be a little more logistical: from the time he was seven years old. He began taking lessons in ultra light planes frequent travelers are just as likely to dream of a flight that doesn't feel when he got his first job working at a radio station. Palevsky got his pilots license in much different from being on the ground – with such amenities as great 1990 and has recently expanded his airborne adventures to the flying trapeze. food, comfortable chairs, internet access, personal attention, and yes, get- ting there on time. Composure in Frequent Flyer the Air On Ian McNiece’s last trip to Singapore, the plane had to make an emergency landing outside of Chicago. Passengers were warned that there might be a fire and SO YOU’VE ALWAYS WANTED TO FLY? I think it’s a housing development now. they would have to evacuate. McNiece calmly gathered his keys, his cell phone, his I grew up in Montreal fairly close to And then at Martin State airport. passport: whatever could fit into his pockets, and waited to see what would happen. the airport, right on the landing path, in HAS FLYING TAKEN YOU WHERE YOU WANT (Turns out nothing happened. Everyone deplaned safely.) fact. We could watch jets from all over TO GO? McNiece, professor of the world. It didn’t so much inspire me I have never done anything practical Oncology at Johns Hopkins and to travel as to fly. in an airplane. I don’t use them to get CEO of Johns Hopkins Singa- I was fascinated with the history of from place to place. pore spends a lot of time on aviation and the sheer beauty of air- planes. He spends two weeks of planes. Unfortunately, you can’t learn to SO YOU DON’T MIND FLYING WITH ANOTHER each month in Singapore and fly if you don’t have money. And good PILOT IN CHARGE? his frequent flyer miles are Jewish boys don’t learn to fly and become A lot of pilots hate commercial air- approaching the million mark. airline pilots unless they’re in Israel. So lines because they want to be in control But he loves to fly, and my dream had to wait until I finished dreamed of flying from the time of the plane. I don’t mind turning my school. Once I started in radio and had Ian McNiece (center, with his son, David) and football buddies after a flight. he was a small boy in Melbourne, life over to a highly trained professional. enough money, I did ultra-light flying. Australia. When he was 10, he took his first trip in a plane – with his brother to an There are three things you need to know if you’re going to get on a plane: alterboys conference in Tasmania. “It was a huge expedition, the first time we were WHAT IS THAT? ever away from Mum and Dad. I’ll never forget it.” you have to believe the pilot knows The planes weigh around 250 He got his pilot’s license in 1995 while living in California, and has flown Cess- what he’s doing, you have to give up pounds or less. They’re like motorized nas. Flying a small plane, he says, “is about 20 times more difficult and challenging control. And you have to believe that in gliders, but unlike gliders, they are all than driving a car.” Landing is the most fun: “You’re working in three dimensions. all endeavors of life there is risk. Other- drag. They have a ton of wires all over First, you have to physically line up with the runway, and you aim for as little air- wise you shouldn’t fly. the place and a lawnmower-type-engine. speed as possible when you come to the ground.” In small planes, says McNiece, They go about 25 miles per hour. “you actually turn off the engine and float to the ground.” DOES TRAPEZE FEEL LIKE FLYING? Thirty if they’re really fast. Ultra-lights I don’t like heights. I don’t mind BWI BASED PRIVATE JET are the coolest thing to fly, especially in being at 23,000 feet, but 23 feet – that’s the winter. You’re all bundled up in a hard. The trapeze experience was helmet and snowsuit and gloves, and Partnership Positions Available strange. The first thing they tell you, is you’re outside. There’s no cockpit, it’s to reach for the bar and you are stand- Safe, Secure Corporate Air Travel just a chair with an engine right next to ing there on the edge of the platform your head, and it’s incredibly noisy and • 10 minutes - private, free parking to airborne and you have to commit to leaning out you’re flying into the wind. But even • Direct to your destination into the ether. It all happens fast. The with all that noise, it feels astonishingly • Long-standing management team first time I didn’t know where to look, quiet. There’s a sense of disassociation • Experienced, personal flight crew but the second time I got caught. The with the world. • Limited positions - call for private showing at BWI instructors were very sweet to put up • 1/4 share - $225,000, 1/2 share - $400,000 WHERE DID YOU HAVE THIS EXPERIENCE? with people without coordination. Mike Hinson It was at Aldino Airpark in Harford Office:(410) 296-1526 Baltimore’s Trapeze School New York, located at 300 Key County. I went on to learn on a Cessna Highway, at the north end of Rash Field. For information, Cell: (410) 971-6037 Hinson Corporate Flight Services, Inc. type, single-engine at Baltimore Airpark. (410) 459-6839 or http://baltimore.trapezeschool.com
24 Baltimore SmartCEO August 2005 www.smartceo.com ceo life cars > wine > gadgets > dining > books > travel > entertainment > boats > hobbies > sports > home
Generations in Sips Family business the Air Mike Hinson’s grandfather John started Wine Flights HINSON AVIATION 65 years ago, selling Piper The challenge of a Cubs at Rutherford Field near Reisterstown. wine festival is know- “Aviation was pretty young back then,” says ing how high to fly. At Hinson, CEO of what is now Hinson Corpo- any display, you face rate Flight Services, Inc. Running the family anywhere from half a business “was always in my cards,” says dozen to a dozen Hinson, who learned to fly when he was 16. wines and know that His son Adam – at 22, the older of two – has a pilot’s license, “but doesn’t show there are dozens more much interest in carrying on,” says Hinson. “He wants to be a police officer.” nearby. How do you Though historically the business sold, repaired and chartered planes and operated a manage to taste through these wines, remember them all and eventually sort out flight school that included training army pilots, these days Hinson Corporate Flight Ser- which is the best? Just as pilots spend hours and hours in the air before perfecting vices mainly maintains jets for corporations. The company takes care of seven planes, their technique and going alone, you may want to practice your tasting technique organizing and providing crew for flights, arranging catering for special airborne events. before deeming yourself an expert. One of the company’s busiest clients is a mortgage company, which uses its corpo- Tasting wine is a passion for many. Look around at the festival, and you’ll see rate jet to fly executives around the country for commercial real estate financing, clos- some swirling a glass of superior Eastern ings and the like. Shore Pinot Noir, looking for its most According to Hinson, any corporation that uses a private plane more than 100 favorable expression. Others simply order MARYLAND WINE FESTIVAL hours per year should explore ownership options, such as, “becoming partners in a sample of “red wine” and move on. Saturday, Sept 17, 10 a.m. – 6 p.m. owning an aircraft, joining a fractional program.” If you use more than 300 hours per Sunday, Sept 18, 12 – 6 p.m. year, he says, “you should consider buying your own plane.” THE FLIGHTS For more information, Hinson himself owns a 25-year old twin-engine Cessna. The body is 25 years old, he Wine is akin to other culinary delights call (410) 848-7775 says, but most of the rest is newer. “Planes don’t age like automobiles,” he says. Aircraft – it has order, structure, preferred usage, www.marylandwine.com parts “are on a continuous replacement program. You are constantly rebuilding.” etc. You wouldn’t sample a spicy pad thai If no Hinson is available to take over the family business when he retires, Mike or curry dish prior to an expensive snippet RIVERSIDE WINE FEST AT Hinson’s heart won’t be broken. “My sons have been around the business their whole of white truffle. Likewise, you would not SOTTERLEY lives. They’ve seen how much work it is.” But he hasn’t given up hope. “Some cousins go through and taste all of Maryland’s big Sotterley Plantation, Hollywood have kids. Someone may step up to the plate.” For information, (410) 296-1526 or www.hinsonflight.com Cabernet Francs prior to the delicate Saturday, Oct 1, 12 – 6 p.m. Gewurztraminers or Pinot Gris. Sunday, Oct 2, 12 – 6 p.m. With so many wines you’ll want to set www.sotterley.org Imax gets in the some goals. Will you be sampling all reds, Hero worship middle of a flight or limiting yourself just to Merlots? Are AUTUMN WINE FESTIVAL you interested in trying all of the wines Pemberton Park, Salisbury If taking to the skies is something you are from the three new wineries, or just their Saturday, Oct 22, 11 – 5 p.m. only willing to do vicariously, you can fly with off-dry whites? A taster without parame- Sunday, Oct 23, 12:30 – 5 p.m. Captain John “Otter ” Stratton, an American ters risks becoming a stumbling fool by www.autumnwinefestival.org fighter pilot who flies the F-15 Eagle, one of the the end of the festival. Limitations are key. most potent fighting planes ever built. This Imax documentary, OPERATION RED FLAG, THE FANCY is about the grandson of a World War II pilot Tasting wine is a craft (if not an art). You can simply order a wine, and drink it who was awarded three Distinguished Flying like you would iced tea. Or, you can give it due diligence. If the latter, you should Crosses and 11 medals. Stratton knew he spend time with each wine. Look at its color, evaluate its depth, opacity and clari- wanted to be a pilot by the time he was eight ty. The swirl the wine in your glass to aerate it, ensuring that the aromas make it to years old. This larger-than-life movie will be your nose when you do finally sniff the wine. Then, finally, taste the wine. No shown at the Maryland Science Center through iced-tea gulping here. You should swirl the wine in your mouth just as you did in Labor Day. In this stunning film, seen from the your glass, further releasing the aromas and assuring full taste evaluation. angles available only in Imax format, Stratton Then what? Keep track as you go along to make sure you have recorded which participates in Red Flag, training exercises for wines were the best, and which need no further attention. It’s your taste that the air forces. In these drills, pilots from several allied countries are confronted with counts, so making it around to sample as many wines as possible is the only way some of the most challenging combat situations they will ever encounter. We follow to discover new favorites. the young pilot through the complex and dangerous exercises in the Nevada desert, For information, (800) 237-WINE or www.MarylandWine.com. and with him, begin to question our assumptions about heroism. For information, (410) 685-5225 or www.marylandsciencecenter.org.
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Crossover is neither Ride Fish Nor Fowl Event To Powwow Perchance to Dream The INFINITI FX35 is one of the new breed of How many use the word and lively, will be held in Patterson INFINITI FX35 “crossover” vehicles, machines that combine the utility “powwow” to mean a confab, putting Park this month. THE BALTIMORE of an SUV with the handling and refinement of a sedan. heads together to come up AMERICAN INDIAN AS TESTED PRICE: In fact, Infiniti refers to the FX35 as a “premium SUV with a solution to a problem? CENTER’S 31ST $39,960 with the heart of a sports car.” Or simply use the term to ANNUAL POWWOW The FX35 tested does combine attributes of car and refer to a meeting? Bosses is a three-day “ceremony” DRIVETRAIN: SUV, but it does so neither badly nor particularly well. hoping that meetings will (August 26-28) that will 3.5 liter DOHC V6, Interior space falls short of many SUVs and nearly all full be about thinking big, include magic, dancing and five-speed automatic size sedans. Its all-wheel drive system is not intended for blue sky inspiration and feasting. There will also be off-roading yet on-road it’s no more exceptional than new ideas will probably intertribal Native American cul- CURB WEIGHT: those offered on sedans by Audi, Subaru, and many appreciate the root of tural presentations, dance and 4268 pounds more. the term. Powwow is drumming competitions and The FX35’s standout features are its 280 horsepower Algonquin for “he traditional crafts, art, clothing and V6, taut suspension and styling. The V6 blasts you to 60 mph in a respectable 7.5 dreams.” And an event that may be food. For information, (410) 675-3535 or seconds. But, you can get the same engine with four doors in the Infiniti G35 dreamy but is decidedly quite alive www.baic.org. sedan and Nissan Maxima. Either will out-accelerate the FX35. You could opt for the Idylls Enchanted Forest memories for all V8 FX45 but Plenty who grew up in the Baltimore area you’ll pay another remember with fondness the Enchanted Forest $3500 for its extra in Ellicott City, the oldest theme park on the grunt. East Coast and the second oldest in the The FX35’s United States. THE ENCHANTED FOREST suspension and opened just a month after Disneyland in wide tires yield impressive handling but the tradeoff is a ride that produces more head 1955 on originally 20 acres (later expanded to toss than some pickups. I’m confused as to why you’d want such handling in a vehicle 52 acres, and ultimately reduced to 32 acres in which your derriére rides over two feet off the ground. when Bethany Woods was built). There were a few As a sort of tall sport wagon, the FX35 is good looking with an attractive interi- critical differences from the Disney park. For one, Dis- or. I had to fiddle to find a comfortable seating position and gas mileage was a neyland, we hear, was segregated, while the Enchanted mediocre 19-mpg but that’s not the point. People buy the FX35 as a style state- Forest was not. And the place had no mechanical rides. ment. In my opinion, it’s neither fish nor fowl. “Instead,” said owner Howard E. Harrison, Sr, quoted in the Baltimore News American, “we hope that the children will enjoy the make-believe figures that are before their eyes. I say children, but actually, we think Summer Showers that many grown-ups will enjoy seeing the famous old figures that they knew when they were children.” Meteor watching in Irvine After the forest was closed and the property taken Explore space from below on a warm summer’s eve. And expect a shower. A meteor over by the Mid-Atlantic Realty Trust (later merged shower, that is. In mid-August, each year, Earth gets peppered with dust and debris with Kimco Realty Corp.), many of the beloved known as the Persid meteor shower. The event is visible from a spot in Irvine’s Caves characters were moved to Clark’s Elioak Farm, just a Valley. David Pragoff will lead a hike for the Irvin Nature Center on August 12 few miles from the Forest. The Cinderella Pumpkin (cloud/rain date, Coach and its six mice, Mother Goose and August 13) begin- goslings, Little Boy Blue and assorted mush- ning at 8:30 p.m. rooms, flowers and gingerbread figures have Bring a blanket and a been restored to their former glory and will flashlight and be pre- be part of the fun at the 50th birthday party pared to explore con- of the Enchanted Forest, August 13-14. All are invit- stellations. For informa- ed, and long-time friends are encouraged to bring tion, (410) 484-2413 or copies of family photos to share. For information, (410) 730-4049 or www.clarklandfarm.com. www.explorenature.org.
26 Baltimore SmartCEO August 2005 www.smartceo.com BULLSHIT BOOKSHELF DETECTORS by David Callahan the book. And along the way, she didn’t Some crap about crap use the best examples, she used the first that came to mind. The one exception o you give lip service to priate to the topic. His chief contribu- painfully obvious that Penny is a bitter is her well-selected title, which refer- “getting close to the customer” tion here is a philosophical delineation and disillusioned hard-core Canadian ences the trite phrase often heard in while refusing to pay a live of the difference between lies and bull- leftist, but even she concedes that bull- automated phone attendant hell. I was person to answer the phones? shit. It’s an amusing riff on the various shit is a non-partisan modern plague. especially disappointed with her chap- (Full disclosure: we do) Do shades of deception. Given that, it should have been a little ter on advertising and PR firms. D you sit around in meetings and Penny’s work is far more lively, but harder to discern her leanings. She “Advertising and PR make one thing say “What story are we going to sell?” is fatally marred by a political agenda incessantly skewers Republicans, which and one thing only,” Penny writes, “and as if, the simple truth were not an and annoying shortcuts that suggest a is fine and appropriate for the times, that is shit up.” Alright, I thought, option? Are scheming and concocting hastily written book. Penny, a 30-year- but she also treats Bill Clinton as if he here’s where the rant is going to start critical components of your marketing old teaching fellow at King’s College in has no relevance to the topic of bull- cooking with insight. Instead, Penny process? If so, congratulations – appears to have spent an after- you are part of the modern noon flipping TV channels and bullshit epidemic. Don’t worry, taking notes. She wades right it’s a big club. into the most heavily fertilized Bullshit, it seems, is reach- business sector of all and could- ing a kind of cultural water- n’t grow a decent crop of con- shed. Much like when it clusions. became trendy for movie direc- On Bullshit The examples served up by tors to “turn the camera Seth Godin in his book, All around” and make movies By Harry G. Frankfurt Marketers are Liars, are better about making movies, book Princeton University than Penny’s and his tone is publishers are suddenly scram- Press much easier to take, but while bling to theorize about bullshit. 67 pages Penny came up with no real The entomology of the word conclusions, Godin offers up “bullshit” suggests that popular inconsistent ones. Godin claims use of the term is less than 100 that marketers aren’t really liars, years old, appearing on the All Marketers that consumers lie to them- scene sometime during World Your Call is selves. But then he encourages War I. Oh what a difference a Are Liars Important to Us CEOs to “be authentic” and century can make. It’s not that The Power of Telling The Truth notes that the only way to get bullshit itself is only 100 years Authentic Stories in About Bullshit people to remark about your old, but it is increasingly clear company is to be remarkable in to everybody that the modern a Low-Trust World By Laura Penny the first place and not deceive. information explosion includes Crown Publishers Godin is clearly conflicted far more deception than By Seth Godin Penguin Books 245 pages about bullshit and suffering straightforwardness. Mostly, we through a love/hate relationship shrug and move on. Others (Portfolio) 183 pages with it. He tries to have it both write books as a form of therapy. ways, believing there is a strong None of these three books line between “a fib and a achieves any kind of greatness. BULLSHIT, IT SEEMS, IS REACHING A KIND OF CULTURAL fraud.” I wouldn’t recommend any of So what is the bottom line them outright, unless your WATERSHED. MUCH LIKE WHEN IT BECAME TRENDY FOR MOVIE on the bullshit books? I’d have interest in the topic is strong. DIRECTORS TO “TURN THE CAMERA AROUND” AND MAKE MOVIES to say that all the authors have Frankfurt’s work, On Bullshit, recognized a good topic. is the best written, by far, but ABOUT MAKING MOVIES, BOOK PUBLISHERS ARE SUDDENLY Pseudo-intellectuals might the book is conjured in the SCRAMBLING TO THEORIZE ABOUT BULLSHIT. enjoy Frankfurt’s work. Rabid typical dry and detached style leftists will undoubtedly appre- of an academic text. I literally ciate Penny’s approach. And fell asleep while reading it and the Halifax, looks a little older than her shit. This is like writing a book on the business conformists will find comfort book is only 67 pages long – small age and writes much younger. Too history of baseball with only a passing in what Godin has compiled. But none pages, at that. often she descends into simple name- mention of Babe Ruth. of these books are very memorable Frankfurt, who is a professor of phi- calling for reasons that escaped me. I Penny’s writing is somewhat enjoy- reads. The hard truth is that the great losophy at Princeton, has taken a seri- enjoy good insults as much as anybody, able, but also disappointing. It’s the book about modern bullshit has yet to ous, yet lighthearted approach to the but Penny’s barbs are often too inci- work of someone who simply didn’t be written and maybe never will be. topic, which I very much liked. His dental and don’t support the premise. think hard enough, didn’t focus enough Thusfar, the most effective slayers of brevity and thoughtfully considered She’s wasting my time with, well, and didn’t revise enough. Rather than bullshit have picked their battles far conservation of words is equally appro- extraneous political bullshit. It’s come to a conclusion, she simply ended more selectively.
www.smartceo.com August 2005 Baltimore SmartCEO 27 SPLITTING THE ATOMS Can Maryland, Virginia and DC really play nice in the race to grab new tech jobs?
Like combative brothers, Maryland and Virginia have long been at each other’s throats. Similar natural endowments, combined with a primal urge to outperform the other, has led to decades of bitter rivalry and hurt feelings. Now, for the good of the family, these siblings have kissed and made up. And they’re even paying attention to their wonkish little brother. Or is this a new era in name only? • Announced May 31, the Chesapeake Nanotechnology Initiative (CNI) – a partnership of Maryland, Virginia and Washington, D.C. – is either a breakthrough regional collaboration that will serve as a model of shared economic development, or just another exercise in feel-good. • Clearly, like nanotechnology itself, the initiative has the potential to be something great. Experts say that the formidable combined resources of these three complementary geographies could create a regional powerhouse, sucking in venture capital and spitting out thriving nanotech concerns. Best of all, they say, the synergy would be challenging for other joined states to copy due to the BY BARNABY WICKHAM unique attributes of the region.
LESS THAN CORDIAL ivy; economic development officials for average of four employees in the previ- Sitting on the American Legion The significance of this partnership both states are used to inflicting pain ous 12 months. No, they would rather Bridge between Maryland and Virginia, can only be appreciated through the on each other in the form of stolen jobs gloat that a respected well-paying a corporate traffic observer might look lens of history. When Maryland’s chief and contracts wrested away. employer of 150 just dropped stakes in like a tennis fan, such is the back and technology officer, Christopher Foster, Though job creation has never been town. Such was the case in 1998 when forth. One firm, ISSI Consulting approached Virginia in December a zero sum game, and corporate incen- the American Type Culture Collection, Group Inc., keeps the moving vans in 2004 with the idea of forming a region- tivizing has a mostly poor return on a Rockville biotechnology company of constant idle. The management con- al partnership, that commonwealth’s investment, politicians have never liked 37 years, forsook Maryland for a 529- sulting company started out in Mont- officials could be forgiven for mistaking calling a press conference to announce acre research and development park in gomery County in 1988, moved to the olive branch for a sprig of poison that 2,000 small companies added an Virginia’s Prince William County. Fairfax County a few years later, then
28 Baltimore SmartCEO August 2005 www.smartceo.com returned to Montgomery in 1997. And according to published reports, the company would consider a move back to Virginia for the right deal. Most obscene was Virginia’s attempt to steal Bethesda behemoth Marriott International Inc. in 1999. Or that’s how Maryland saw it. Actual- ly Marriott initiated the courtship, threatening to move its headquarters and 3,600 attendant workers to Fairfax County. Not excited about its chances, Virginia offered a paltry $6 million in incentives. Maryland, struggling to overcome an anti-business reputation, countered with a staggering $31.7 to $44.2 million package over 19 years, depending on company behavior. Vic- torious but embarrassed, Maryland said it was worth it; privately they must have seethed. In recent years, Maryland officials have felt resentment as its neighbor to the south plays by a different set of rules. “They have two separate approaches,” says John Hopkins, asso- ciate director for applied economics at RESI, a research institute of Towson University. “Virginia is growth at any cost. Maryland has been more methodical.” Virginia is also a “right- to-work” state, a designation that dis- courages union membership; Mary- land is seen as more labor-friendly. Despite differences in philosophy, the states have had a chance to take baby steps in recent years in learning how to cooperate. A few years ago, Maryland and Virginia teamed with D.C. in a failed effort to bring the 2012 Summer Olympics to the nation’s capital. In 2004, the two states forged an initiative to create the Mid- Atlantic Regional Spaceport at NASA’s Wallops Island Flight Facility on Vir- ginia’s Eastern Shore. A team of scien- tists from Maryland, Virginia, and NASA will operate two orbital launch pads at the spaceport, with a planned first launch in about a year.
PRECEDENT? A search through the public domain for evidence of other state unions of convenience for the purpose of economic development finds…not much. “I don’t think there’s any prece- dent for it,” crows Foster. “Most states try to go it on their own.” One of the few is a partnership between Oregon and Washington, to bolster their “Silicon Forest” high tech- nology industry cluster. “We are good friends with those in the state to our
www.smartceo.com August 2005 Baltimore SmartCEO 29 north,” claims Robert “Skip” Rung, development projects that don’t solely executive director of the Oregon benefit its citizenry, nor provide a direct Nanoscience and Microtechnologies and traceable link to job creation. “We Institute (ONAMI). don’t have the state of Washington and ONAMI organizes conferences and the state of Oregon putting funds into has a joint referral program with the the same pot,” says Rung. “The Washington Technology Center Oregon state government needs to be (WTC) and a “blossomed” relationship sure its investment is going to pay back with the Pacific Northwest National in terms of economic development.” Laboratory, a large Department of Maryland, Virginia and D.C. have Energy lab in Richland, WA. The key, put a total of $0 toward CNI, although says Rung, has been to develop compli- state government staff resources are mentary rather than competitive com- being exploited. “The Initiative is still petencies. Among other disciplines, establishing a budget we need,” says ONAMI specializes in microfabricated Robert Menzi, a member of the steer- systems for miniaturization of energy, ing committee and chief operating offi- chemical and biological processes; WTC cer of Protiveris Inc. “Who’s going to specializes in microelectronic mechanical fund it? Maryland, D.C. or Virginia? systems (MEMS) technology. That’s the open question.”
Despite the challenges, the promise of nanotech is much more far-reaching than biotechnology; it has the potential to affect not only health, but every other aspect of living as well. Experts say it could become a What is Your Vision? component of every manufactured good.
ONAMI’s relationships are interest- It will be interesting to see the com- Whatever is on your horizon, from ing in that they go beyond the academ- mitment of state and district govern- starting a new business to reducing ic – basic university collaboration ment during the 2006 legislative ses- your tax burden, Berman Goldman across state lines is common today, and sion, which will come on the heels of & Ribakow will help get you there. is often required for federal funding. December 2005 recommendations Give us a call today and start And although the partnerships are not from the CNI steering committee. Will achieving your business and financial goals tomorrow. as ambitious in scope as plans for CNI, there be a perpetual “you first” attitude they have one advantage: a head start. or will one jurisdiction make a bold Following $20 million in capital fund- first move? “From a personal stand- G Audits, reviews and compilations G Personal financial planning ing in 2003, ONAMI expects to point, I’m not sure how some of those G Business/individual tax planning G IRS problem resolution receive $7 million in operating funds in political considerations are going to be G Estate tax planning G Information Technology services 2005. And indigenous commercial overcome,” admits Menzi. G Wealth management G Business valuations interests – Intel runs one of the world’s Economic development officials G Corporate/partnership/individual G HUD audits leading nanoelectronic facilities in confess that this initiative can’t change tax returns G Forecasts and projections Hillsboro, Or. and Hewlett-Packard the fundamental dynamic of state rela- Put our 65 years of experience to work for you. one of the world’s leading tionships. “What this does not do is MEMS/microfluidics facilities in Cor- change the competitive nature of geog- vallis, Or. – means that the region has raphies,” says Peter Jobse, president of certain built-in advantages. Virginia’s Center for Innovative Tech- One roadblock to full-fledged nology, and, with Foster, a co-chairman cooperation between Oregon and overseeing the 15-member CNI steering
CERTIFIED PUBLIC ACCOUNTANTS G BUSINESS CONSULTANTS Washington results from the state’s committee. “What it does do is create 410-418-4400 G www.bgrllp.com managers (legislators) feeling obliged to partnering arrangements to make a their stakeholders (taxpayers). State region appear more attractive. Industry officials are reticent to fund economic segments don’t care about state borders.”
30 Baltimore SmartCEO August 2005 www.smartceo.com “We have to get companies to think many resources that California shares of this region – that’s the main goal,” with Oregon or Nevada.” The strongest Announcing says Foster. “Virginia will win some asset? The National Institute of Stan- The CEO Club of Baltimore’s and Maryland will win some. And I dards and Technology’s new $235 mil- September 27 Meeting... know if a company locates in northern lion state-of-the-art nanometrology lab. Virginia, 45 percent of people [employ- The Gaithersburg lab is developing ees] will live in Maryland, and vice measurements, standards, and data cru- “Conspiracy of Fools” versa.” cial to private industry’s development of products for the nanotech market. The True Story of the Collapse of INDIVIDUAL STRENGTH Combined with leading defense Still, after so many years of going it contractors that crowd around the Pen- A Fortune 50 Company, ENRON alone in every other industry sector, tagon, and world-class research institu- one has to question the rationale for tions like Johns Hopkins University, Join us for lunch and meet Kurt Eichenwald, author and New York shifting tack and joining forces in nan- University of Maryland, University of Times investigative reporter as he discusses his book and how the ENRON otechnology. Industry experts and eco- Virginia, and Virginia Tech, the region scandal directly impacts the role of the CEO in Corporate America. nomic development officials say there has a lot going for it. In fact, Foster says are two reasons: the opportunity pro- Maryland’s rankings would be even MAKE YOUR RESERVATIONS NOW! SEATING IS LIMITED AND WILL FILL QUICKLY! vided by an embarrassment of shared better if state officials hadn’t been so Tuesday, September 27, 2005, 11:00am – 2:00pm federal resources and the disadvantages uncharacteristically shy about promot- of being a small, undercapitalized ing state capabilities. “We were doing a player in an explosive new field. lot of stuff in stealth mode,” he says. Harbor Court Hotel, 550 Light Street, Inner Harbor, Baltimore One of the key ingredients of this “For example, the [Jeong H.] Kim To reserve your seat for this meeting, partnership is it’s a merger of near building [at the University of Mary- please call Doug Strouse at 410-339-5787 equals (with D.C. thrown in for good land, College Park] – it’s been in the THE COST OF THE MEETING IS $98 PER PERSON. measure). An initiative in biotechnolo- works for two years but we didn’t toot gy or information technology wouldn’t our horn because it wasn’t completely CEO Club of Baltimore Sponsors be attractive to the dominant state due done yet.” The Kim building’s Center to its perception of the other state as a for Integrated Nano Science and Engi- Corporate Printing Global Data Source, LLC SmartCEO Magazine moocher of hard-won capabilities. neering will be dedicated to nanotech Solutions, Inc. The Mather Companies Maryland’s Foster is direct: “I think we research. have a lock on biotech – we don’t nec- Still, Virginia and especially Mary- Evergreen Capital, LLC Harbor Court Hotel Wexley Consulting ~ HRD essarily need to do a regional initiative land have had trouble converting in that.” world-class research and a uber-quali- Nanotechnology-focused Small fied workforce into thriving private Times magazine and Lux Research, a concerns. Lux gives a particularly harsh leading nanotech research and advisory assessment: despite its solid ranking, firm, both rank Maryland and Virginia the firm labels Maryland a “nano-lag- in their top 15 of nanotechnology gard” (Virginia earned a “nano-leader” leader states (neither ranks D.C.). Eval- moniker). Lux Senior Analyst David uating a state’s strengths in research, Lackner characterizes Maryland as industry, venture capital, innovation, weak in its entrepreneurial activity, workforce, and costs, Small Times’ ability to access venture funding, and 2005 ranking placed Maryland 8th and its skill in retaining startups. “Maryland Virginia 15th, an improvement from lacks an ecology of thriving entrepre- 11th and 18th the year before neurial infrastructure,” he says. (although Maryland’s roller coaster ride had them at 6th two years ago). Lux, JOINED STRENGTH using 16 criteria, ranks Virginia (4th) The CNI won’t change any of these ahead of Maryland (tied for 7th with weaknesses overnight, although shared Unique office solutions, Connecticut). best practices can’t hurt. What the CNI Most of Maryland and Virginia’s can do is provide for more collabora- Unparalleled quality, advanced ranking comes from the tion – and less redundancy – and an Outstanding customer satisfaction. benevolence of the federal government, increased stature that can help the which has long recognized the need to region rival the nanotechnology You need office solutions fund advances in nanotech in the initial hotbeds of California and Massachu- and we’ve got them. absence of nanotech-derived commer- setts (#1 and #2 in both Small Times’ cial products. Of the $4.6 billion spent and Lux’s rankings). Mark Downs has the largest display of office furniture in Maryland – New, Used, and Gently Abused – everything for your office, or your office at home, and all at a Mark Downs’ price! by governments worldwide on nan- “If you aggregate Virginia, Mary- otechnology, the U.S. accounts for $1.6 land and D.C., we’re still less than 14 billion (Japan’s next with $1 billion). million people,” says Foster. “We’re 11001 York Road “The federal government is the better off banding together.” Even if no Cockeysville number one resource,” says Foster. “We synergy results, a larger area with a 410-771-6800 have major federal labs in Maryland, common identity and a joined market- www.markdowns.com D.C. and Virginia. There aren’t very ing budget can’t help but be a bigger
www.smartceo.com August 2005 Baltimore SmartCEO 31 magnet for homeless nanotech compa- workers will be needed to support nanotech GOVERNMENT GUARANTEED FINANCING nies and lonely venture money. industries worldwide within 15 years. (Competitive rates and up to 30 years amortization) The greater hope, though, is to NEA’s Viswanathan says that he’s attain a future powerhouse that is far finally seeing what he once considered greater than the sum of its current dis- “science projects” turn into something jointed parts. This requires collabora- with “a lot of commercial possibility.” tion, which, fortunately, nanotech Still a small portion of the Baltimore uniquely lends itself. “To me, nan- company’s $6 billion in capital under otechnology is the very definition of management, nanotechnology invest- collaboration,” says Ravi Viswanathan, ments are becoming more common. a partner at venture capital giant New Viswanathan says NEA is interested Enterprise Associates (NEA). “It’s a col- primarily in two nanotech applications: laboration of biology, chemistry, energy technology and semiconductors. BVFR & Associates, LLC has been the placement agent of over $300MM in physics and engineering. It’s a very dif- Energy because of the “huge energy small business loans throughout the US. We primarily work with lenders, ficult science and technology problem.” supply-demand imbalance” and semi- municipalities, non-profit and for-profit businesses to secure government A typical nanotech company has conductors because of the “issues of guaranteed financing ranging from $1MM to $25 MM, utilizing the SBA almost as many career disciplines as scaling with Moore’s Law,” or the pre- 7(A) and 504 programs and the USDA Rural Development loan program. your local college has majors. Take Pro- diction that the processing power of We also facilitate conventional (non-government guaranteed) financing. tiveris of Rockville, MD and its 15 computer chips will double every 18 employees. The CTO has a Ph.D. in months. “As you start putting more USDA loans available • Real Estate Financing • Acquisition physics. The R&D chief has a Ph.D. in transistors in a chip, [manufacturing in communities with • Working Capital • Growth mechanical and chemical engineering. considerations] become more of an less than 50,000 people • Machinery and Equipment Financing • Debt Restructuring Rounding out the other professionals: a issue,” he says. chemist, biologist, biophysicist, electri- Although it is not NEA-funded, BANKERS, CEOs, CPAs, CONTRACTORS & CONSULTANTS cal engineer, optical engineer and soft- Viswanathan says he is impressed by Call BVFR & Associates at 410-234-3650 to learn more about their unique ware engineer. “I’m an English major,” the “breakthrough work” of Hunt services for all types of debt transactions. laughs COO Menzi. “When I give talks Valley, MD-based Reactive NanoTech- I say we have one of everyone. It’s an nologies Inc. (RNT). RNT has devel- extraordinary interdisciplinary team.” oped an atomic-scale reactive foil, con- The goal of CNI is to expand the sisting of nano-layers of nickel and alu- interdisciplinary teamwork many-fold minum. When triggered, the nickel – right over state borders. The more and aluminum intermix, producing a channels you have to bring people localized heat. This controlled heat has together over a wider geography, the a number of potential applications but thinking goes, the more outcomes you is especially useful for avoiding thermal e x p a n d create. More outcomes means there’s a damage in microelectronics joining, your horizons better chance of scoring home runs. since the soldered components can More home runs means more games remain at or near room temperature. won. Since the best players want to play The makeup of RNT’s manage- for the best teams, improved talent means ment may speak louder regarding nan- even more outcomes, and home runs, otech’s potential than all the hype and games won. Call it the snowball promulgated by economic develop- effect, made out of tiny nano-crystals. ment types. The four-year-old compa- Providing the Business Community with: ny’s leadership gave up prestigious posi- NEXT BIG THING? tions and took substantial pay cuts to • Network Design/ Installation/ Maintenance Like biotechnology 30 years ago, join the small company (34 employees) • Computer Technology Sales nanotechnology is being touted as the with a highly uncertain future. RNT’s • Computer Technology Repairs/Service “Next Big Thing.” Maryland and Vir- CEO left a position with RF Micro • All Major Manufacturer Authorizations ginia officials are desperate to get an Devices of Greensboro, NC, where, as early admittance to the big dance, to general manager, he increased its largest Current Promotional Offering: replace recent job losses in telecommu- division’s revenue from $10 million to TOSHIBA Tecra A4-S211 $1,299 nications and manufacturing. $700 million. RNT’s VP of finance Like the early days of biotechnolo- vacated the CFO position at Under Pentium M 730 1.6 GHz - RAM 512 MB - HD gy, there is more hype than revenue in Armour, which saw a revenue increase 60 GB - CD-RW / DVD – Graphics Controller: NVidia GeForce 6600 Go - 64 MB - Mdm - the field. (Let’s not even talk about from $5 million to $250 million LAN EN, Fast EN, Gigabit EN, 802.11b, profits – the relatively geriatric biotech during his tenure. RNT’s VP of busi- 802.11g - Centrino – Win XP Pro - 15.4" TFT industry lost $5.3 billion globally last ness development gave up a global WXGA (1280 x 800)- Weight 6.2 lbs year). But that could change quickly. marketing and business development The National Science Foundation in position with Parker Hannifin. Arlington, VA estimates the world CEO Joseph Grzyb explains the market potential for nano-products will madness. “[In more mature companies] 410-579-4508 or 800-875-0037 be $1 trillion over the next 10 to 15 the ability to grow becomes less and less. www.dsr-inc.com years. In terms of job creation, a pro- It’s not where we want to be. It’s a white 6679P Santa Barbara Road • Elkridge, MD 21075 jected two million mostly well-paid knuckle ride but that’s the thrill of it.”
32 Baltimore SmartCEO August 2005 www.smartceo.com THE TECHNOLOGY nanotechnology, the CNI steering Until now, industrial production committee has so far targeted only one: has been based on a single model: “nano-bio.” Nano-bio is a natural fit extract material from the ground and for Maryland due to its decades-long modify it to achieve a desired product. leadership in biotechnology, fueled by The process is inherently wasteful, its proximity to the National Institutes requiring a significant expenditure of of Health and Food and Drug Admin- energy and generating unsaleable istration. (However, with Virginia’s byproduct. expertise in information technology, Nanotechnology is a paradigm expect other concentrations to follow.) shift. Instead of modifying material, Along with Montgomery County’s nanotechnologists manipulate individ- other nanotechnology leaders CytIm- ual atoms and molecules at a level of 1- mune Sciences, Inc. and Creatv 100 nanometers, building structures Microtech Inc., Menzi’s Protiveris is the from the ground up. Violá – little latest evolution of the biotech revolu- energy spent and no byproduct waste. tion. Protiveris has an ambitious goal: Of course, this is all easier said than develop nano-tools that will accelerate done. Much of the challenge of achiev- the discovery and development of new ing full-scale nanotechnology imple- blockbuster drugs. Although there have mentation in goods production lies in been numerous advances in genomic the technology itself. A nanometer is research tools, proteomic research has incredibly small – a billionth of a lagged, even though protein targets are meter. To get a sense of how tiny it is, the primary site of drug action. Pro- examine one of your body hairs. It tiveris has concentrated in this area takes approximately 80,000 nanome- with some success – in February it ters end to end to equal the thickness launched a beta unit into the academic of one of those hairs. market, with two sales so far. Still, Despite the challenges, the promise Menzi won’t venture a guess for a of nanotech is much more far-reaching breakeven date for the Rockville com- than biotechnology; it has the potential pany. “That’s a tough one,” he says. to affect not only health, but every Like nanotechnology applications, other aspect of living as well. Experts the experience of nanotechnology com- say it could become a component of panies couldn’t be more different. Take every manufactured good. NanoSonic, Inc. Profitable from its PROTECT YOUR BUSINESS AND YOUR EMPLOYEES “Think about the transistor – it founding in 1998, the Blacksburg, VA WITH BROOKS FINANCIAL GROUP’S WELL-ROUNDED changed the world, didn’t it?” says company has developed an electrostatic Foster. “What is the next big thing? self-assembly process that combines APPROACH TO CORPORATE BENEFITS Make things that won’t wear out. Treat nano-materials into large freestanding genetic defects. The military spends billions objects that have unique properties. Per- of dollars on treating rust. What if you haps the most interesting is something could do away with rust? And we will.” they’ve unimaginatively named Metal Rubber. It deforms like a rubber band APPLICATIONS yet stays electrically conductive, with a So far, commercially available nano- host of potential applications, including products are of the more modest sort: as artificial muscles in robotic systems. improved car bumpers, protective and The hardest part about working on glare-reducing coatings for eyeglasses, the nanoscale? Combining enough and lightweight tennis racquets. Tex- nano-materials together to create some- tiles have seen some of the most bene- thing human-sized, says NanoSonic fit. Stain-blockers attached to the gar- President Richard Claus, a Baltimore ment at the nano-level will block wine native. “We’re all macro-sized. To be spills, while also doing something able to transform the nano into the Scotchgard never could: remain macro is the challenge,” he says. adhered to the fabric despite hundreds Claus says his 56-person company, LD17852-04/05 of washings. which has benefited from a continuing Specializing in Corporate Benefits and Individual Wealth Management Services The real promise for nanotech lies partnership with Virginia Tech, is Michael Brooks is an Investment Advisor Representative with and Securities offered through InterSecurities, Inc., 10 to 20 years down the road when taking a wait and see approach to the Member NASD, SIPC products built on the atomic scale may Chesapeake Nanotechnology Initiative. BROOKS FINANCIAL GROUP, INC. yield lightening fast computers with “I think it depends on what potential A Member of Founders Financial, LLC oceans of storage, super-accurate cooperation might be,” he says. “If this 108 West Timonium Road, Suite 300 • Timonium, Maryland 21093 microscopic sensors, vastly improved coalition could affect grass roots inter- (410) 308-9800 • www.brooksfinancial.com solar cells, and implants to repair dam- actions, then that’s welcome. If it’s top Michael O. Brooks, CLU Paul J. Brooks aged retinas. down, we’d have to see if that would be Chartered Financial Consultant Vice President Despite the wide application of useful.” CEO President
www.smartceo.com August 2005 Baltimore SmartCEO 33 PURPLEBY JAN TEGLER PHOTOGRAPHY BY BRYAN BURRIS the color
34 Baltimore SmartCEO August 2005 www.smartceo.com Lt. Governor Michael S. Steele and changing the power balance of politics in Maryland
www.smartceo.com August 2005 Baltimore SmartCEO 35 I’m a realist. I’m in a blue state. I’m a Republican. If you’re a Democratic business owner or anyone else, I don’t claim to know where you’ll throw your support but it shouldn’t be a forgone conclusion. We should be “working to create a healthy tension in Maryland. The goal is to make this state purple. hen it became clear in mid February of this year that to do, he’s going to be successful.” Maryland’s longest serving senator, Democrat Paul S. Sar- Indeed, it seems that many prominent Republicans have urged Steele to enter banes, would not seek reelection when his fifth term expires in the fray including GOP strategist, Karl Rove. Senator Elizabeth Dole (NC), Chair- January 2007, a rare opportunity presented itself for Republicans woman of the National Republican Senatorial Committee has described Steele as, “a both locally and nationally. In a state where Democratic voters out- man of impeccable character and integrity,” adding that, “he would make an excep- number Republican voters by a margin of 2-to-1 and where Democratic control is a tional United States senator.” ” tradition stretching back more than 40 years, an open senate seat at a time when the Given the national support which seems to be coalescing behind Steele, it is governor’s mansion is occupied by a Republican provides the chance for GOP gains likely he will receive significant RNC backing. That means money, organizational that could significantly alter the political landscape of Maryland. help and volunteers out among the populace to advance his campaign. Such a change could also influence the course of business in the state. Long per- Locally, the possibilities of a successful Steele candidacy have Maryland Republi- ceived as being more “business friendly,” strengthened Republican representation cans thinking big. Maryland GOP Chairman, John M. Kane, will coordinate a con- might create new opportunities for business and open avenues long closed off by servative assault on a range of state-level positions to be contested in the 2006 elec- regulation and Democratic priorities. tions. Ehrlich and Steele would be at the top of the ticket but they are just the tip of It’s an opportunity Republicans are keen not to miss, especially when married to the iceberg. Republicans have set a goal of gaining 14 seats in the state House of the prospects of retaining the governorship and picking up seats in the state legisla- Delegates and seven in the state Senate. If achieved, it would bring a greater balance ture. In June, Lt. Governor Michael S. Steele announced the formation of an in the legislature and allow a reelected Governor Ehrlich to more easily circumvent “exploratory committee” to investigate the possibility of a run for the U.S. Senate. Democratic roadblocks to his agenda. Gaining a total of 21 seats statewide will be a To understand the potential impact of a successful run for the Senate by Lt. Gover- real challenge, however. Democrat leaders are literally and figuratively, steeling them- nor Steele it’s necessary to widen the frame a bit and put his likely candidacy in per- selves for a fight, stating that they look forward to showing that Republicans, partic- spective both locally and nationally. ularly Lt. Governor Steele, are out of touch with Marylanders. Still 14 months away, the battle for the seat Senator Sarbanes is vacating is Zoom out already shaping up to be a heated one. Likely Democratic contenders include Rep. In November 2002, Robert L. Ehrlich ended a 36-year GOP drought in Mary- Benjamin L. Cardin, former NAACP director, Kweisi Mfume and Rep. Chris Van land, becoming the state’s first Republican governor since Spiro Agnew was elected Hollen of Montgomery County. Others, including wealthy Montgomery County in 1966. By his side was a running mate few Marylanders had heard much about businessman, Joshua Rales, are considering bids as well. The Democratic primary prior to the duo’s campaign against a pairing headed by a candidate with a name could be a bruising affair, even for the winner, but Maryland Democratic Party revered in Democratic circles, Kathleen Kennedy Townsend. Michael S. Steele Chairman, Terry Lierman, quoted in the Washington Post recently boasted that who- became the first black Lt. Governor in state history, one of a number of firsts in his ever stands for the party against Steele will perform well. political career. Republicans insist early surveys show that Steele can run toe to toe with any of His assumption of the post drew national attention. There are thousands of the Democratic challengers. Whatever the numbers, Michael Steele clearly repre- elected black Democrats. Steele is one of only approximately 60 black Republicans holding political office nationwide and arguably occupies the most visible, highest sents the GOP’s best chance in years of gaining a Senate seat in Maryland. Success ranking position. In August of 2004, GOP leaders chose Steele to be one of the high could begin a sea-change in Maryland politics and business. profile speakers at the Republican Convention. Traditionally, Lt. Governors draw zero attention at the event but Steele was a natural, picked even over the man whose Zoom In successful candidacy put him in office. Following the convention he campaigned Appearing so frequently in the spotlight these days, it would seem that Michael energetically for President Bush’s reelection in places outside Maryland, including Steele is an experienced old hand at politics. In fact, the lieutenant governorship is the battleground state of Ohio where his presence may have made a difference and the first public office the 46-year-old Prince George’s County native has ever held. earned him further recognition by Republicans. Born at Andrews AFB in 1958, Steele’s modest family background includes no tra- President Bush himself appointed Steele (a devout Catholic) to be part of a dition of public service. three-man American delegation representing the President and the nation at the Adopted by Maebell Turner, Steele was raised along with a sister in northwest installation of Pope Benedict XVI. Washington, D.C.. His widowed mother, a lifelong Democrat, earned minimum Nationally, Republicans see potential in Lt. Governor Steele to attract more con- wage, working in a laundromat yet managed to send her children to parochial servative African Americans to the GOP. Moreover, a successful run by Steele in blue- school. She inculcated her son with the values of hard work and personal responsi- Maryland, would represent a major victory for the party and would bolster Republi- bility by refusing public assistance. Steele says, “As she put it, she didn’t want the can efforts to gain a filibuster-proof majority in the Senate. Ken Mehlman, Chairman government raising her kids.” of the Republican National Committee, recently named Steele to the party’s new and It was those values that the Lt. Governor took with him to school, winning a visible African American Advisory Committee and heartily endorses him. scholarship to Johns Hopkins University. Upon graduation with a degree in interna- “The lieutenant governor is an incredibly strong candidate. Whatever he decides tional relations, Steele spent three years as a seminarian in preparation for the priest-
36 Baltimore SmartCEO August 2005 www.smartceo.com hood, entering the Augustinian Friars Seminary at Villanova University. While there, bring a kind of leadership to Maryland that it hasn’t seen before. It’s something that he taught world history and economics for a year at Malvern Prep School. Ultimate- hopefully is a little fresh, a little different, something that embraces the entrepre- ly, he decided to leave the Seminary and entered law school at Georgetown Univer- neurial spirit that I’ve personally tapped into and that I know exists in this state.” sity, earning a law degree in 1991. Soon after, he landed a job as a Corporate Securi- Since his term in office began two and half years ago, Lt. Governor Steele has ties associate with well known international law firm, Cleary, Gottlieg, Steen & pursued several initiatives. Business reform and economic development have been at Hamilton. Steele remained with the firm from 1991 to 1997, also working in the the top of his list. partnership’s Tokyo and London offices on product liability litigation and client rep- A visible effort has been his leadership in reforming the state’s troubled Minority resentation in IPOs. Business Enterprise (MBE) Program. The Lt. Governor chaired a six-month Gover- In 1998, he left the firm as political and civil service activities began to garner his nor’s Commission on Minority Business Reform, working with state agencies, local attention. After a stint at the Mills Corporation (an Arlington, VA-based interna- governments and business leaders to craft legislation that dedicates 10 percent of the tional property development firm), he became an entrepreneur, founding the Steele State’s procurement dollars to small businesses and requires contractors to name Group, a business and legal consulting firm. Crediting the values given him by his their MBE subcontractors as part of the contract bidding process. Thirty recom- mother, he turned away from the Democratic Party early in life, joining the Repub- mendations made by Steele’s commission are being implemented including the lican Party in the 1980s. Through the 1990s his involvement with the party grew. reform of audits, accountability, enforcement and contract bundling, which locks He was named Maryland State Man of the Year by the Republican Party in 1995 out smaller businesses by joining many jobs into one contract. The effort has been and worked on several political campaigns, also serving as a delegate to the 1996 and applauded by business owners and legislators. 2000 Republican National Conventions. Successively, he became the first ever Economic and International Trade Development is another initiative the Lt. African American Republican Party Chairman for Prince George’s County and in Governor has tackled publicly. In June 2004, Steele led the largest economic devel- 2000, the first ever African American chairman of the Maryland Republican Party. opment, health and educational trade mission to South Africa and Ghana in the It was in this capacity that he spearheaded the Maryland Republican Party’s suc- State’s history. In 2003, he took trade delegations to Barbados and France, seeking cessful court challenge to a state-enacted redistricting plan. This and other public business, agricultural, educational and other international opportunities for Maryland. relations initiatives helped redefine the Maryland Republican Party’s public profile “The business community, from the beginning, has known that our administra- and brought him to the attention of state GOP leaders, ultimately leading him to a tion has been pro-business. We came out of the box saying straight up, ‘You elect us nomination for Lt. Governor by Robert Ehrlich. and Maryland will be open for business.’ I’ve been fortunate that the Governor charged me with economic development, both domestically and internationally.” Redcoats! Attention to the business community of Maryland is a theme the Lt. Governor “Four years ago, if you or my chief of staff or my wife would have said, ‘you’re intends to carry forward into a potential Senate campaign. But the role of govern- going to be Lt. Governor of Maryland. That’s historic!’ I would have looked at you ment in business only goes so far he emphasizes. like you were crazy! But here we are and we’ve tried to make the most of the chance “If government is going to play a partnership role with business it has to recog- the people of Maryland have given us. This [Senate race] is an opportunity that I nize the fluidity of business and be flexible enough to adjust. We want to be active was asked to look at and when I looked I saw some real potential, the potential to but active to the extent that federal and state governments do not get in the way of
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www.smartceo.com August 2005 Baltimore SmartCEO 37 business. This is the Wal-mart decision scenario (In April, Democratic Maryland the state level and you’re in pursuit of an appropriately sized federal deal, that body lawmakers drafted a bill requiring Wal-mart to spend at least eight percent of its pay- of business that you’ve done at the state level, $10 million here, $5 million there, roll on employee health benefits). The legislature is going to tell us that Wal-mart should enable you to be considered at the federal level as a prime contactor player. needs to pay its employees’ healthcare and they need to pay this amount for that Those are the types of conversations I’m starting to have with members in the SBA healthcare and require that a specific percentage of their employees have healthcare? and Department of Commerce. We want to see how we can create a greater synergy Since when are we in a position to decide better than a business owner how that between businesses which are doing business at both the state and federal levels. We owner should deal with their employees? We don’t know their requirements or bot- don’t want to lose sight of the fact that these guys often get pinched between federal tomlines. We can create incentives to encourage businesses to adopt certain policies, and state regulatory and contracting requirements. We should try to create a greater given circumstances. But when you go beyond that, whether at the federal or state dialogue between the federal and state governments when it comes to large and level, that’s when businesses tend to contract and people lose jobs. If they’re trying to small business owners.” comply with onerous regulations, it becomes a matter of self preservation. There has Minority business is another priority for Steele. He won’t be drawn on whether got to be a healthier understanding by government of how businesses operate. I’ve his potential opposition has more support in this community but says that his fair tried to bring that to our team and I think that’s why we’ve been successful as we and direct dealings with minority businesses should stand him in good stead. have in helping Maryland businesses generate more opportunities.” “In the minority area I want to change the equation from ‘business as usual’ to Steele also believes his own experience as an entrepreneur strengthens his under- business as unusual. I don’t believe in status quo. I know that there are those out standing of the needs of business. there who’ve grown comfortable with business as usual and they have their friends “I took the risk all business owners take. I walked away from a very successful who take care of them. That’s fine. I don’t want to upset your apple cart. You’ve got law practice after seven years at Cleary, Gottlieg, Steen & Hamilton. I went and your deals and buddies who help you out, great. All I’m trying to do is bring a few worked at the Mills Corporation for about two years as their finance counsel and more players to the table. Competitively speaking, does that disadvantage you? No, wasn’t satisfied. I wanted to go out and take the plunge. I started my own little firm that’s not the goal. The goal is to create a healthy, competitive system. I tell business and struggled mightily for three years before I was plucked for this job. So I have an owners of all kinds and particularly minority business owners, ‘Don’t come to me and understanding of what it’s like to make a payroll, what it’s like to deal with regula- think you’re going to get a deal simply because you’re a minority business owner.’” tion and requirements that can be problematic for a business owner.” “You’ve got to come to the table prepared with a business plan, a marketing strat- Steele’s business endeavors have come under fire from Democrats who contend egy, you’ve got to understand what a budget looks like. You have to understand what that his business experience, like his political experience doesn’t measure up. In a cash flow looks like and have a good credit history. We’re talking about risk here. press release titled “Michael Steele For U.S. Senate?” on its Web site, the Maryland Even if you’re asking for only $25,000, that’s the people’s money. We want to edu- Democratic Party cites a July 2002 article in the Washington Post which reported, cate people how to be good business owners and entrepreneurs as well. It’s nice to “Professionally, Michael S. Steele has been somewhat less successful. After seven provide small and minority business owners with opportunities but if they’re not years as a corporate lawyer, he is now the proprietor of a legal consulting firm that capable of doing a deal then you’re potentially hurting them, any business partner has never made any money.” who works with them and your own credibility. We’re not simply focused on getting Successful or not, Steele maintains that business owners recognize the impact the business owners more contracts. We’ve got make sure that any person or business Ehrlich administration has had in creating opportunities for small businesses and coming to the table for a contract can actually do the work.” limiting the tax burden on businesses large and small. To that end, Lt. Governor Steele has created the Mentor/Protégé program which “My hope is that whether you are a Legg Mason or Johnny’s Chicken Shack, you encourages large corporations to mentor small businesses within their industry. can appreciate the efforts of our administration and in particular my personal desire, “That makes sense to me. The company you mentor might one day become a having been a small businessman, to create pathways for success. There’s a reason competitor of yours but that keeps your company honest. The goal is to have the why we wanted to reform our minority business enterprise effort. There’s a reason protégé try to outdo the mentor. That keeps the Verizons, if you will, on their toes why we wanted to look at how we regulate all businesses in the state of Maryland when an unknown little IT shop shows up and wants to start running with the big with a special eye toward small businesses. We want to lessen the burdens they have dogs. That’s a healthy thing and the success we’ve had so far with this program has to bear. We don’t want to take away safeguards which keep the community safe but been fairly good.” we want to enhance opportunities for growth. If you look at what we’ve done and Promoting closer interaction between the historically separate Washington and what we continue to do I would hope that business people would see who their Baltimore communities is another goal Steele would like to pursue in the event of a friend is and who isn’t. successful run. “It wasn’t our administration that proposed over a billion dollars in new taxes. It “That’s been a secret dream of mine. It’s immensely important. I’ve never sub- wasn’t our administration that proposed greater regulatory burdens. In fact, we defeat- scribed to the two-world view of Maryland. What I see is one Maryland where there ed those efforts. I tell business people flat out that if we weren’t here your life would be are incredible synergistic opportunities for Baltimore and the Washington suburbs, very different right now. Your bottomline would be very different than it is today.” for Montgomery and Prince George’s counties, our southern regions – Calvert, While the Lt. Governor has not officially confirmed his bid for the Senate and Charles and St. Mary’s counties – and Anne Arundel and Howard County. These hasn’t yet identified the key business battles he wishes to address, he certainly sounds communities should be brought together to work strategically. If we’re able to land a like a candidate when he speaks of joining opportunities for Maryland businesses at big company in Montgomery County in the I-270 corridor or we’re able to get an the state level with opportunities at the federal level. IT firm to locate in PG County, that benefits the entire state. That benefits Balti- “I’ve already started working with my friend Hector Barreto (the Administrator more, particularly if that firm is doing some work that touches on what happens at of the federal government’s Small Business Administration) over at SBA on some Johns Hopkins [University], or what happens up at Aberdeen [Proving Ground] or new ideas that we share in enhancing small business opportunities. He’s looking at in Baltimore County. It’s all connected. We can’t divide the state up into quarters or these as potential models nationally. We have 200,000 small businesses in the state sections and say, ‘well this business only works here’ or ‘you can only locate there,’ of Maryland that employ close to 51 percent of our working population. They are because when you do that, Virginia or Delaware or Pennsylvania get the deal. I’m comprised in large part of ethnically diverse and female-led minority businesses. not about giving away money.” There is a great deal of synergy and wealth that starts in the small business commu- nity. That’s where the entrepreneurial spirit lives.” Purple Potential “I think we need to look at how to streamline processes that require participation Over the course of the last several months, words such as - “possible,” “likely,” by business. For example, if you want to be certified as an SBA minority business, “impending” and “potential” – keeping popping up with regard to Michael Steele can we streamline that process so you don’t have to duplicate that effort at the state and the Republican party in Maryland. It all gets a little tiresome, particularly when level? Can we help you make the difficult transition from subcontractor to prime? referring to the “prospect” of a run for the Senate by the Lt. Governor. But, even I’m working on that right now. If you’re able to develop a good book of business at though just about everyone expects Steele to formally announce his candidacy, as of
38 Baltimore SmartCEO August 2005 www.smartceo.com We can create incentives to encourage businesses to adopt certain this writing, those adjectives still apply. policies, given circumstances. The practice of forming “exploratory committees” has become de rigueur in recent years for individuals seeking public office and it is almost always a prelude to an official announcement. Nevertheless, the practice allows candidates to do a pre- But when you go beyond that, whether liminary beating of the bushes to assess their chances. As importantly, it can give “indications of how much it will cost to run a competitive campaign. Listening to Lt. Governor Steele, it sounds as if his mind is made up. at the federal or state level, “I’ve judged so far that this opportunity is worth an exploratory committee. It’s an opportunity to get some face to face feedback from people. As I travel around doing my job as Lt. Governor, people have volunteered their impressions of this race and their thoughts on it. It’s been very encouraging.” that’s when businesses tend to The man Michael Steele works for has been supportive as well. Robert Ehrlich has given no public indication that he is uncomfortable with his Lt. Governor bolt- ing for the U.S. Senate. In fact, some Republican strategists suggest it might present contract and people lose jobs. another positive opportunity. A Steele run for the senate might allow Ehrlich to widen the Republican base in Maryland by choosing a running mate not seen as a right wing Republican, a woman perhaps. Additionally, the name recognition con- ferred by an Ehrlich-Steele combination atop the Republican ballot could trickle down to Republicans running for lower offices. There are flies in the ointment however, and not just from the Maryland Demo- cratic Party. Even before the Ehrlich administration took office in January 2003, it ” had two very vocal public critics, the area’s two major print media organs, The Bal- timore Sun and Washington Post. In the ensuing years the relationship between the administration and the two papers has, to put it mildly, not improved. Given the influence of these entities locally and nationally and the antagonism which has existed, how does the Lt. Governor view them as he prepares for what looks to be a tight race? “That is what it is. The Baltimore Sun doesn’t vote, people do. The people who run the Sun vote and that’s fine but as an entity, it’s a newspaper, nothing more. The [Washington] Post is the same thing. I don’t have hostility to the press at all. Some would say they are a necessary evil, I would just say they are necessary. Some are in the business of conveying, others are in the business of displaying. It depends on what your situation is. I believe in direct communication.” “I’m not going to sit back and wait for a newspaper reporter or magazine reporter to come and sit down for me to tell people what I think or believe about the opportunities for our state. I’m going to go directly to the community. That’s what I’ve been doing since the day I swore the oath of office. I’ve gone directly into the communities of Maryland and to businesses. Whether it’s a small ‘mom and pop shop’ or a large corporation doesn’t matter. Today for instance, I helped christen the opening of a new car wash here in Annapolis. Next week I could be at Under Armour. I don’t believe in waiting for people to come to me. I’ll go to where the people are and tell them what our administration’s trying to do.” Steele also gives the impression that he will not stop working in support of Gov- ernor Ehrlich, even while he runs his own campaign. Quoted in a June 16 Washing- ton Post article, he says, “The Governor’s my homeboy. I’m always going to take care of my homeboy.” According to the Lt. Governor, the historic and national impact of a successful candidacy is not something he thinks much about. He ascribes to the down-to- earth-view that “history has a way of making you a footnote.” Still, he clearly recognizes the potential of the open seat. It’s a golden opportuni- ty to turn Maryland purple. “I hope to win the election if we decide to push forward and run. If we did it would be huge. It would be a paradigm shift. Republicans are more than for real in Maryland. We’re in a position to present options, to give Maryland citizens the kinds of choices they have not had for more than a generation.” CEO
www.smartceo.com August 2005 Baltimore SmartCEO 39 at the mercy of poor managers. For me in the field of design it's everywhere. CEO Q&A it was either take a risk or get in the Lots of form without function, is noth- “velvet coffin.” Sink or swim, I wanted ing but decoration. Decoration may to be in charge of my own fate on my look swell, but it doesn’t do anything own terms. productive – doesn’t communicate, What inspired you to John Davis doesn’t educate, doesn’t work. That’s part High Gear Training Systems of the fuel that keeps me motivated. >> Second, I think that there are two strike out on your own I was inspired to start my own busi- roads in life, the easy one and the hard ness because I wanted to pursue my one. And as you get older – if you’re passion for seeing people find their paying attention – you figure out that and launch a company? voice and develop the courage to go for only one of the two is really worth Q their dreams. Coaching brings out the taking. You learn that nothing good best in my clients and me and I can’t comes without risk, and if you don’t go, think of a more exciting profession! you’ll never know. The more miles you The desire to provide an alternative severe muscle spasms and twisting of Seeing the light bulb go off and hearing put under the wheels, so to speak, the to commoditized design and marketing my upper torso due to the disorder. the ah-ha’s is the greatest reward! I spent more you experience. The more you services. Realizing that working full time 17 years in commercial real estate and experience, the more you learn. And Michael Karfakis would be out of the question I still getting a quarter more per square foot that learning can then be applied to President/CEO needed to remain gainfully employed as didn’t excite me the way that this does. nearly every area of your life. So for me, Vitamin Inc. I was my sole provider. I wanted to work Mary Ann Masur if I’m not learning, I’m wasting the from my home and start out part time. President opportunity I’ve been given to be alive My former business partner liqui- Just coming out of the mental Synergy Consultants, LLC on this planet. dated the bank account; stole the health/addictions field I was inspired to I’ve always believed that there are inventory, max’d my credit cards and continue to help others, now focusing When the whole company is doing two kinds of people: those who do it fled the state. My choices were limited. on individuals with physical disabilities the waltz and you hear The Stones play- and those who talk about it. Everybody Jay Steinmetz who were working toward finding pur- ing in your head, its time to find a new talks, but practically nobody walks. CEO pose and meaning in their lives since dance floor where you call the tunes. There are people who give all they’ve Barcoding Inc. becoming disabled. I launched a com- James Astrachan got to make things happen, and there pany called Portraits in Determination Astrachan, Gunst, Goldman & Thomas are people who watch them do it from I saw a void in the marketplace and and work as a personal coach and the comfort of the couch, and interest- thought I could make a difference. mentor. Additionally, I published a I was 40 years old and a 25 percent ingly enough, a lot of those folks Fran Lessans, RN, BSN book on compassion and created, owner in a communications company become “critics.” I have always known President hosted and produced a television show when I was informed there would not that at some point I’d have to decide Passport Health all with the intention of inspiring be any family allowed to work for or which I wanted to be. others to do great things with their lives become a part of the organization. Even Joe Natoli For me, having been on the ‘cus- despite any and all obstacles. though my oldest of four was in the CEO/Design Evangelist tomer side’ of the IT industry for so As my heart continues to grow, my 10th grade, I felt I would like them to Natoli Design Group many years as an IT Director and CIO, own disability has taught me compas- have the opportunity to work in the I realized that our “IT Value” approach sion, patience and love, all guiding me business if they chose to. I made the I was on the losing side of an ugly to business and technology consulting toward my own destiny wanting so decision to start my own business after internal power struggle that had a sig- really was a unique opportunity to serve much to share my knowledge and a two year agreed upon time lapse. I am nificant negative impact on me relative the mid-market in a way they weren't wisdom with others in need. still best of friends with the owners of to my opinion of “large” companies. I being served at the time. We took a Linda M. Furiate the former business and all four of my decided I wanted to try to make it on fledgling concept (IT Value) and President/Founder children are active in my business (now, my own. turned it into a set of consulting Portraits in Determination mostly theirs) with three of the four Chris Haug methodologies. As we ventured out, having worked in the business over 25 L.C. Haug and Associates more than a few people told me our Simple - I had it too easy and was years. They now have controlling inter- concept wouldn’t fly, but now, almost bored in a prior career, so I gave three est and are actually running the busi- Once upon a time, I was working two years later, it’s rewarding to know months (not weeks) notice and left to ness. Quite successfully I might add. for a great company that I expected to that we have succeeded and that we are start this business 15 years ago. Life is Glenn Cassell stay with for a long time. Business was making a difference for our clients. just too short to be bored - I live for Chairman rolling along smoothly until the owner Dave Hartman challenge, to learn, and to be scared Communications Electronics shoved abysmally written non-competi- President once in a while, and being an entrepre- tion agreements under everyone’s noses. Hartman Business Technologies neur certainly provides all three of these First, I wasn’t content with being a When I refused to sign, my relationship things in spades. spectator anymore. If you have that with the owner went quickly downhill. In June 2004 I re-developed symp- Paul M. Silber, Ph.D. relentless itching, burning drive – that A few months later, on the day I got toms from a movement disorder that I President/CEO thing you have to do as if your life back from my grandmother’s funeral, was diagnosed with nearly nine years In Vitro Technologies, Inc. depended on it – then you can’t sit back the owner called me into his office and earlier. I was working as the Director of and watch, even if you want to. I start- said that, “It just isn’t working out” and Marketing and Administrator for an I figured I could work just as hard ed to feel like I was living next to life, dismissed me. What else could I do? I out-patient substance abuse company and make at least as much money on but not in it. I also have a real problem went home, made a lot of phone calls, when I found myself suddenly unem- my own just as easily as I could work- with the standard of mediocrity that and started my company. It was ployed and “disabled” as a result of ing for others. Plus, I was tired of being most people accept as ‘excellence’ – and instantly profitable and has enjoyed
40 Baltimore SmartCEO August 2005 www.smartceo.com continued success for over eight years. I felt a need to create my own Dave Provine opportunities instead of expecting CEO others to create them for me. Premier Mac Technologies Eileen M. Levitt, SPHR President I really feel that a person is destined The HR Team, Inc. to be an entrepreneur. At any early age, I conceived and managed “businesses” My inspiration for launching my that allowed me to be my own boss. As own company was driven by my desire an adult, the drive to have my own to control my own destiny. At the time company has been driven by my desire of our launch, my wife and I had just to balance work with family. There are had our third and fourth children and important milestones as a father and my long term employment prospects with my current employer were some- husband that could not be experienced what cloudy. Our industry was in a tail if I had to “punch the clock.” That bal- spin and the company where I was ance provides me with a healthy out- working started to retrench its position, look on my business. thus creating uncertainty in key man- James Naylor Jr. agement positions. Rather than wait it Axiom out, I took the plunge and went solo. I’m happy to reflect eight years later my I started Horan Capital Manage- wife and I made the right move! ment after working at American Mike Keough Express Financial Advisors, Inc. for President fourteen years. As a certified financial Integrated Waste Analysts, Inc. planner, I specialized in and enjoyed helping people through transition into So many things… Among them retirement by making sure they had was an intuition that there was an enough retirement assets and that their unrealized demand of our services, and money was managed properly. When I that ad agencies were in a death spiral started my own firm – I was able to because of the Internet (which turned work with investors on a “fee only out to be true, thank God, for all of basis” eliminating the conflicts of inter- us). Also, prior to going into marketing est that are evident in working with a and then starting Macdondald-Staring traditional brokerage firms and or and Smith Content, I was a writing financial services companies that were teacher. I didn’t like what I saw when I driven by commissions. In the last 10 looked at a chart that showed exactly years Horan Capital Management has how much money I’d be making, and grown into a highly successful firm that how much I’d have for retirement, at a manages over $210 million for over certain age. I feel better with those 300 families while providing timely, things under my direct control. John Starling cutting edge financial planning advice. Patrick J. Horan CEO Smith Content, Inc. President/CEO Horan Capital Management At the root of the decision to start a new venture has to be the belief that What inspired me to strike out on something’s missing, or has been over- my own were several variables. After looked in a given market. Couple that working for other people for so long, with the belief by many start-ups that and having over 23 years experience in they possess a unique combination of communications and the like, and skills or understand a problem in the business associates and colleagues (male marketplace in such a way as to be able and female as well as a diverse network to improve the system through the of people) saying how much they application of their resources. thought I should because of my talents, L2M Architects was started, like professionalism and integrity, I took many firms, to provide excellence in the leap of faith; starting first with one design, process, and execution. At the aspect of my company, and expanding core was a belief that more focus on with each passing year into the business construct-ability early in the discus- I am today. sions, would serve to mitigate the all Stephanie L. Dunn-Hunt too frequent adversarial relationship President/CEO between contractors and architects that Dunn & Associates Public Relations can compromise the owner’s realization
www.smartceo.com August 2005 Baltimore SmartCEO 41 of maximum return. In other words, steady guidance at the helm right up CR DYNAMICS & ASSOCIATES, INC. early in the design process, we think until the day they died. I should be so about the project in terms of how it lucky. will get built, and prepare the drawings David Cyphers from that perspective. Invariably, the President Sophisticated CRM owner is more likely going to get a The Cyphers Agency, Inc. and Contact Center stronger project. This message has res- onated with many owners, and L2M, After 31 years of either leading, Services for Growing now 10 years old, enjoys consistent managing or commanding people in and Established growth and recognition. both the military and civilian sector, I I would guess that this response is wanted to share my experiences with Enterprises likely to parallel others, and it is impor- business owners to help them grow tant to note that the ultimate decision their own organizations. My entrepre- whether to start a company is more neurial spirit is allowing me to meet involved than any one single factor. business owners and executives who Experienced Commercial & Government Solutions: Though I believe it is the spark I desire not to reinvent the wheel so that describe, in conjunction with the can concentrate on managing their • Inbound/Outbound CRM • IVR Applications (Interactive Voice energy of the individuals involved, it is business. No matter how you slice it, Services Response) the fuel of timing and the goodwill of organizations are made up of people • Help Desk, Order Taking, • Database Clean Up Customer Service others that energizes the process. and my passion is about a manger and • Outreach Project Management Scot D. Loiselle, AIA • Customer Retention or leader draw out the best from their • CTI (Computer Telephony Principal employees (their team). • Market Research Surveys Integration) Platform L2M Architects Eric Miller • Opinion Surveys President I started teaching sailing at the eSmart Assessments, LLC Annapolis Sailing School when I was 7 E. Redwood Street Tel: 410-347-5600 16. Over the next 12 years, I managed I was in a dead end job in a dead Ste. 600 Fax: 410-347-5603 the sailing school marina, became mar- end company in a dead end industry. Baltimore, MD 21202 www.crdynamics.com keting director for the school’s locations My father and forefathers had been nationwide and became an integral part self-employed business owners so it was of managing the Annapolis Power and in my blood. I felt like something was Sailboat Shows. Jerry and Kathy Wood missing in my life – it turned out to be had already created and nurtured each the need to take control, to shape my of these innovative enterprises for sever- own destiny, and to build a company. Management for Trade al decades when I was first hired. We Haven’t looked back. even ran our own printing presses as Larry L. Shafer & Professional Associations part of the marketing department I ran President We sweat the details so you can focus on your issues. back then! They were consummate SSi Consulting entrepreneurs who would take on any The Management Alliance, Inc. offers a full range of association challenge and never contemplate any In answer to your question: the management services. We take care of the day-to-day activities so you can outcome besides success. Working prospect of unemployment! I was the focus on issues important to you. Our services include: closely with this symbiotic manage- branch manager for a company that Membership Management ment team was the direct inspiration was purchased and dissolved without Recruitment and retention is our specialty. for starting my ad agency in 1989. any prior notice. The branch was run- Attending Jerry Wood’s funeral in ning well and profitably. Without any Meetings Services range from site selection 2003 and Kathy Wood’s service just last ethical issues regarding the customer to on-site support. week reminded me of the impact they data base, I partnered with my wife and Communications had on my life and on the boating we pulled it off. On August 1st this year, Publishing, public relations, industry as a whole. They invented the we celebrate our 15th year in business. marketing and Internet support. in-water boat show concept, manufac- Steve Wallace Financial Management tured sailboats, and helped expand the Presentation Media Responsible management, sport of sailing more effectively than reporting and e-commerce. any group before or since. They were Pure, unadulterated madness! Administration & Executive Support demanding but fair bosses. They Veronica Eyenga We provide a headquarters office worked hard and they played hard. President and staffing including an experienced They were wildly successful and gave VBP OutSourcing, Inc executive director. Claudia J. Clemons & Ronald Sohn back to the community in significant ways. From a business perspective, my About three years ago (at the age of Contact us if you’re ready to move your organization forward. greatest memory is the gleam in their 43 with 4 young children), I was diag- eyes, the energy and excitement about nosed with prostate cancer. I under- www.managementalliance.com every new idea, promotion or solution went radical surgery, survived the Contact Ronald H. Sohn, President to a problem. Even on a bad day they cancer and resolved myself to deter- clearly loved everything about their mine my true destiny as an attorney. 410-931-4019 ext. 109 • [email protected] businesses and they both provided After experiencing that life-changing
42 Baltimore SmartCEO August 2005 www.smartceo.com event, I knew then that I was destined businesses succeed. to start my own law practice focused Edmund S Coale, III, CPA less on high rate billing and more on Coale, Pripstein & Associates, P.A. helping clients realize their personal dreams of wealth and freedom. This From our standpoint, starting a became my vision. From the vision, I company is the single greatest business built a business plan and executed on challenge/opportunity there is. We can’t that plan in June 2004. I just celebrat- imagine getting more fulfillment from ed the first year anniversary of Zell any other business opportunity. We Law. We are up to six employees and believe in pushing ourselves to do the have moved into permanent space in best creative work and public relations Reston, Virginia. While the challenges possible for our clients and their com- of starting a new business are daunting, panies and products. By maintaining I have never been more exhilarated or these high quality standards for all of motivated to achieve my vision. our marketing products and by partici- Wayne M. Zell, Esq., P.C. pating in the local awards shows, we’re President helping to push the ad community as Zell Law well. Baltimore is a great community and starting a business here offers a From my first day in undergraduate tremendous number of positive benefits. studies at the University of Maryland Barbara Brotman Kaylor and Bill Harper College Park, my focus and goal was in Rooftop Communications, LLC becoming a partner in a CPA firm. I could not imagine any other reason to I was frustrated with the industry enter into the profession. After working and its lack of accountability. The inef- in public accounting for a number of ficiencies of employee benefits adminis- years with progressive levels of responsi- tration were system wide and there was bility and complexity, I felt I was ready. (is) no incentive to improve. I knew I wanted to make a difference and a what the problems were and what had contribution to the business communi- NOT worked in the past. I was com- ty. I saw a need and was compelled to pelled to create a solution which fill it. allowed others to “Benefit From Our I hung out my shingle in July of Experience.” 1980 in Columbia. In looking back, I Matthew T. Oros was considerably younger then and CEO somewhat “starry eyed.” The old saying Benelogic The Inaugural of “If I only knew then what I know now” comes to mind. But it was I truly enjoy a malleable and ever CELEBRATE MARYLAND! undoubtedly the dumbest thing I did changing corporate environment. I am GOLF CLASSIC and the best thing I have ever done at most in my “zone” when I am able to the same time. I am glad I did it and think outside the box and am not con- Featuring would do it again, maybe a little differ- strained by corporate boundaries. This ently, without hesitation. was not happening in my previous Baltimore vs. Washington Now I help other entrepreneurs as place of employment. For me it was a they launch their dreams. My experi- natural progression to start a company. Regional Corporate Challenge ence and expertise affords them the I have enjoyed much more success as a benefit of someone who has helped part of a team that I helped to build Sunday & Monday – June 26-27, 2005 others build successful businesses. It and grow. could not be better than this; my busi- Jon Bailey Rocky Gap Lodge & Golf Resort ness is the business of helping other Wood Street Two Person Better Ball, Gross and Net “The beginning of a new tradition. Be a part of it.” Want to be a part of our CEO Q&A monthly surveys? Information: 410-483-6934 or [email protected] Send your e-mail address to [email protected] and you’ll automatically receive our surveys and event information. Or you can answer the monthly Benefits: The Ed Block Courage Award Foundation and question at our Web site: www.smartceo.com. Teen Challenge—501(c)3 non-profit organizations.
CORRECTION: James S. Peacock of PCA Group and Edmund Coale III of Coale, Pripstein & Associates are two time SmartCPA winners, a notable honor which was missing from page 70 of the July issue. Also on page 70, the correct firm name of SmartC- PA winners Simpson H. Gardyn, David Landman, and Gina Snee is Gorfine, Schiller & Gardyn, PA.
www.smartceo.com August 2005 Baltimore SmartCEO 43 >> SALES QUEST disaster. sales visibility and sales predictability CREATING A CLEAR PATH TO ACHIEVING YOUR TEAM’S SALES RESULTS
Last month, I talked about the importance of everyone on your team hav- ing a common language and one version of the truth within your sales process. This month, we’ll be talking about sales visibility, which leads to sales predictability. Sales visibility occurs when you have clarity as to why you are getting the results you are currently getting. Sales predictability enables you to get more of the results you want. In order to get results, you need clarity, so let’s begin by taking a look at how to figure out what is really going on with your sales teams, by examining the results you have.
HOW DO YOU GET SALES VISIBILITY? recovery. 1. You need clear and accurate data. Depending on your world, this may mean tracking how many contacts each of your sales people makes, how many presentations each gives, how many actual sales each makes, and how much revenue each generates. 2. Once you have all of this data gath- ered, you need a safe place for your Because every successful business has one. team to store the information. Popu- lar options include a spreadsheet, JasonPappas Outlook, or a CRM. 3. Finally, it is time to analyze your Before disaster strikes, make certain your Plan B conversion rates in each stage of the • 15 turned into Proposal prospects sales process, so you not only under- • And you obtained 10 new clients is in place and ready for execution. stand how you got to where you are today, but also are able to discern OK. So the information we now where to focus in order to drive future have is historical data, from which we Contact us today at [email protected] for sales through the roof. can compute our conversion ratios your FREE Consultation – See how your Disaster from one stage to the next (from Raw to When you and your team have SMART, from SMART to Proposal, etc). Recovery Strategy compares to industry best prac- mastered these three steps, you can say tices for the thriving legal practice. that your organization has sales visibili- HOW DO YOU GET SALES ty. Before you get too excited, however, PREDICTABILITY? Offer expires August 31st. realize that while having visibility is Let’s continue the example. Perhaps critical in knowing how you got to the your goal is to get thirty new clients. present, it does not drive new, future Based on the information you learned business. To enroll new business at the from the initial sales visibility example, • Systems Integration rate your company deserves, you must you and your team have two choices: • Storage Solutions understand and master sales pre- Choice #1: Get three times as dictability. In other words, you need to many prospects at the beginning of • Security Services know how to forecast, accurately, what your funnel, which, based on your it takes to get the results you want. For team’s conversion ratios, would lead to example, let’s say that during the sales three times as many new clients at the visibility exercise you started with 50 end of your funnel. Toll free 866.860.1006 prospect leads. Here is what happened Or to those 50 prospects: Choice #2: Through ongoing www.planbtech.net • 30 turned into Raw prospects training and refinement (shifting your • 20 turned into SMART prospects mindset, delivering value to prospects,
44 Baltimore SmartCEO August 2005 www.smartceo.com engaging and enrolling them in dif- ferent ways to achieve different out- comes), you could improve your con- version rates during each stage of the sales process, thereby improving efficiency.
When each player within your sales team under- stands the importance of accurately recording and reporting sales data, your business will be poised to thrive.
COULD YOU DO A BLEND OF BOTH? SURE! That’s sales predictability. Using the appropriate data to make strategic decisions that will help you achieve tar- geted goals. But there is a method to the mad- ness, an order that you must follow. It would be almost impossible to predict specific sales activity accurately without first having clarity about the present situation. When each player within your sales team understands the impor- tance of accurately recording and reporting sales data, your business will be poised to thrive. Even then, you’ll need to be con- ARE YOU MATERIAL?... stantly revisiting the foundations of your sales success. Check mindset: 2005 what do you (and your team) believe to be true? Be sure that your team is delivering value, not process, to maxi- If your company meets these four basic criteria, head to mize your ratios. Set S.M.A.R.T. (Spe- www.smartceo.com to put your company in the running for the 2005 Future 50 list. cific, Measurable, Attainable, Realistic and Timeline-driven) outcomes and 1. Located in the Baltimore/Metropolitan area; keep people out of the Grape Zone (a 2. Less than ten years old (started after 1995); state of indecision about whether or not to make the purchase). 3. Independent, private ownership (not a subsidiary, franchise, division or spin-off); Follow the processes that you put 4. Fast growth of sales and employment (averaged over the past three years). in place and collect all the critical data you need to evaluate what is happen- DON’T DELAY! NOMINATE YOUR COMPANY TODAY. ing today. Make adjustments when necessary. If you are not satisfied with If you have any questions, contact Eileen Cox at [email protected] or call her at 410.342.9510 x209. your current sales results, and need to get better, remember that if you want Here’s what you’ll receive if your company’s performance puts you on the 2005 Future 50 list: to change something, you have got to change something. If you want sales • A profile in Baltimore SmartCEO’s special Future 50 section • Use of Future 50 logo for your marketing efforts predictability, start first with sales visi- • The spotlight at the December Awards Cocktail Reception • A wall plaque to share success with employees and customers every day bility. Remember, you need to know where you are before you know where Visit www.smartceo.com today to nominate your you’re going. company for Baltimore SmartCEO’s Future 50! Jason Pappas is the CEO and co-founder of EntreQuest, a Baltimore-based sales development firm focused on Nomination deadline: September 9, 2005 Required Reading for Growing Companies driving profitability and productivity of companies.
www.smartceo.com August 2005 Baltimore SmartCEO 45 >> of their lives. Where this had been a point INTERIOR MATTERS of criticism in the past, now the ability to value and build trust and relationships is the ying and yang seen as critical to a business’s ability to grow and expand. of leadership Instead of looking to make one set of qualities “bad” and another set of qualities “good,” astute executives and Pick up any magazine or newspaper and you will likely find some article on professionals will recognize the need to “Leadership” and “Management” styles. You will also notice a movement be holistic in their approach to leader- from technique and results to intuition and relationships. It is not so much ship and management. Emotion and intellect, analysis and intuition, collab- what you do but who you are that makes up leadership potential. And per- AliciaRodriguez oration and command, are not mutual- haps, it is also, how far you are willing to expand your “learning contain- ly exclusive and each have their place in the business environment. Ask yourself, er,” to include all aspects of self: mind, body, soul and heart. ies suggest that the style demonstrated what is that place? Where can one or by men and women in leadership posi- the other be most appropriately used? Things are changing. Witness the an inclusive perspective that goes beyond tions is different, with women having And above all, do not invalidate one set explosion of books expounding what the polarity that dictates for me to win better social skills. This could be attrib- of values based on abstract and anti- has been called “soft” leadership skills. you must lose. It is not so much that uted to women’s socialization and based quated business leadership models or (I personally don’t consider them soft women are not competitive but more on culturally prescribed gender role imposed cultural constraints. but pretty difficult, as there is an ele- that women may view results from a dif- expectations. Women in leadership Peter Koestenbaum, philosopher, ment of vulnerability associated with ferent perspective, from a place of inter- positions need not apologize for the management consultant and author of these.) We have books on “Principle dependence or as a collective win or col- “emotional” component of leadership, Freedom and Accountability At Work, Centered Leadership,” on “Emotional lective success. In this context, collabora- but instead consider the EQ (emotional describes the leader’s role as “demon- Intelligence” and “The Power of Posi- tion would be the model used to pro- quotient) as a component for leveraging strating courage” and “enlarge(ing) the tive Relationships.” The premise is duce this kind of result. With a business performance in themselves and others. capacity for responsible freedom.” The based on behaviors and attitudes that environment requiring more work with true leader is one who is willing to until recently were criticized and invali- fewer resources, the collaborative model RELATIONSHIP develop people to the point that they dated, particularly when related to is poised to increase productivity and Now, it has the meaning for busi- eventually surpass him or her in knowl- women in business. Let’s take a look at sales while maintaining morale and ness in terms of marketing, branding edge and ability. Leadership becomes three concepts outlined in these types of commitment. and leadership and is no longer the less about one’s individual ego and books and how they relate to a new, Daniel Goleman, who coined the exclusive domain of dating, marriage more about affecting our world as a some would say more feminine style, of term emotional intelligence, defines and friendships. Ken Blanchard, in his collective. Future leaders can no longer leadership. We will look at collaboration, “EI” as a combination of self-manage- book Whale Done: The Power of Posi- view strategy and execution as abstract emotional intelligence and relationship. ment skills and the ability to relate to tive Relationships, encourages managers concepts, but must realize that both others. Included in his definition are and executives to catch people doing elements are ultimately about human COLLABORATION self-awareness, self-regulation, motiva- something right (as opposed to doing beings, and all that comes with being The word collaborate is derived from tion, empathy and social skills, which something wrong), reinforcing good human. Having an awareness of one’s the Latin “laboro” meaning to work and he has updated in his book, Primal habits, and using praise and redirection own humanity and that of others will the prefix, “col,” meaning together. To Leadership, to self-awareness, self-man- as motivators and for mentoring. This create a balance between what may collaborate is to work together. Recent agement, social skills and relationship builds trust and strengthens relation- have been considered “feminine” and research has shown that women are par- management. In his studies, Mr. Gole- ships, something that would be para- “masculine” qualities that results in ticularly adept at working in collabora- man determined that emotional intelli- mount in times of extreme stress and effective and inspirational leadership, tion with the emphasis being on a gence proved to be twice as important change. Women have been brought up regardless of gender. desired result achieved collectively. The to leadership as cognitive skills, (such as valuing connection with others, and Alicia M. Rodriguez, M.A., P.C.C. is a certified execu- perspective shifts from winning as an long-term vision), and technical skills, generally have an intuitive understanding tive and leadership coach and wisdom partner. individual to benefit to the whole. It is (such as business planning). Some stud- of the value of relationship in all aspects www.sophia-associates.com
46 Baltimore SmartCEO August 2005 www.smartceo.com >> sons for the limits of supportive entities was that I was dismissed by the Chair- CASKEY’S CORNER and be prepared to act accordingly. My man on my return from a meeting with charge from the Chairman of the the Po Folks president where we had stayin’ alive British food conglomerate in my first agreed on the final architecture of a deal. CEO position was to grow the U.S. What are the lessons here? One is restaurant chain in Dallas by acquisi- that my heroic view of the situation As CEOs, we know we’ll have to deal with opposition – from competitors, tion. I responded and in two years blinded me to the inherent limits of my from the government, from various groups with vested interests other than acquired the thirty-five Texas fast food support from the Chairman. I did not our own. What we don’t always anticipate, or at least deal well with, is restaurants of Del Taco from W. R. understand that I was in some ways Grace, and the fifty Black-Eyed Pea merely a vehicle for the Chairman to opposition from within our organizations. After all, we’re the chosen lead- restaurants from the chain’s founders. engage in his fantasy of running a more ers – we have the vision, we have the leadership expertise, and we have Our acquisitions were applauded by the lively business. He supported my pro- Chairman, and my associates and I gram, but only in a very limited way, the company’s and its employees’ best interest at heart. Why would anyone were featured in an appearance before and I was threatening to far exceed mount an effort to resist, undermine or openly oppose? Fleet Street analysts in London. those limits. While there were other These successes stoked my vision. I factors in my dismissal, I participated We’re no strangers to strife within conducted preliminary discussions with in my own undoing by failing to appre- an organization – sales versus produc- three Mexican fast food chains ciate how much resistance my activity tion, marketing versus sales, finance throughout the southern tier of the would generate within the organization. versus human resources or marketing, U.S. and believed that creation of a Had I gone to London and had a public relations versus legal. We know “Sunbelt Taco” chain to challenge Taco sit-down with the Chairman, I might that there is tension inherent in the Bell was within reach. Simultaneously, I have appreciated these things more relationships between various function- met with the President of the Po Folks fully. At least part of my reluctance to al groups within our organizations. We chain to discuss acquisition of half of do so was based upon the subliminal probably participated in these function- their restaurants for conversion to realization that I would have to aban- al wars on our way to the top. But now Black-Eyed Peas, which would result in we, who are charged with inspiring, don, at least for the time being, my ambi- the creation of the first nationwide tious projects. I would then have had to motivating and leading our organiza- home style cooking chain. tions, must face opposition from make the painful decision whether I WayneCaskey The reaction of some of my British could remain in such a situation. within? If it’s not unthinkable, it’s at the colleagues was “My, that’s ambitious.” very least most unwelcome. I focused on part of the Bee-Gee’s My reaction was, “You bet it is, and we “Stayin’ Alive” lyrics, “Got the wings of My introduction to this phenome- tion, which will increase his company’s better act soon before these windows of non came as an innocent bystander. I size by approximately fifty percent. The heaven on my shoes./ I’m a dancin’ opportunity close.” man and I just can’t lose” and ignored was attending our Fortune 500’s annual acquisition puts his company in new I failed to appreciate the cumulative board meeting where it had just been product lines and significantly affects what immediately follows. “You know strength of the following: that the it’s all right. It’s OK./ I’ll live to see announced that my competitor in the production, distribution and technology. Chairman was significantly bothered by presidency succession contest was being While there is great excitement another day.” what seemed to me relatively minor As Heifetz and Linsky state: elevated to executive vice president. In about the acquisition, the executive issues in the Black-Eyed Pea acquisi- my discouraged and despondent state, a Asking people to leave behind team is not all of one mind concerned tion; that the British culture strongly board member approached me who something they have lived with about it. Several actively resist the supported the bureaucratic procedure demanded to hear my side of the story. for years or for generations prac- change by repeatedly raising problems for the formal due diligence around I felt I was receiving sympathy, and tically invites them to get rid of as blocks rather than seeking solutions. both the Del Taco and Black-Eyed Pea responded accordingly. It gradually you. Sometimes leaders are My client knows that there is a resist- acquisitions; that the Black-eyed Pea became apparent, however, that I was taken out simply because they ance to change deeply embedded in acquisition went forward, not on my merely a pawn in a much larger game- do not appreciate the sacrifice organizational life. His knowing, patient assurance but on the assurance of a – the attempted overthrow of our CEO they are asking from others. To handling of this resistance is assuring his acquisition specialist from the London in a board coup. Unhappy as I was, I them, the change does not seem team they can accommodate the finance department; and that shortly reported the board member’s approach like much of a sacrifice, so they changes required by the acquisition. following my acquisitions, I was asked to the CEO. It turned out that the have difficulty imagining that it As Heifetz and Linsky demonstrate to report to the conglomerate’s CFO, board member was being retired as seems that way to others. in Leadership on the Line (2002), and a conglomerate financial analyst Chairman and CEO of his own com- Adaptive change stimulates was installed in our Dallas offices. pany, was looking for another CEO Take the time to understand your resistance because it challenges I also failed to recognize that the position, and considered our CEO fair internal allies and what will limit their people’s habits, beliefs and significance of the fact that the board game in his ego-driven quest. alliance with you. Seek to identify values…It asks them to…experi- members of the London conglomerate, Knowing his board member’s situa- sources of betrayal and resistance inher- ence uncertainty and…chal- whose basic business was dairy and tion and character, my CEO immedi- ent in the situation. Determine how lenges their sense of competence. food processing and distribution, ately sensed the board member’s incen- much it is worth to you to continue to referred to the subsidiary I headed as tive for attempting to manipulate my press the issue and what you can live It’s no wonder that my client is the Chairman’s “American Adventure.” disappointment into an example of with short of complete realization of experiencing some resistance. But like Against this aggregation of circum- poor decision-making by my CEO. He your vision. the CEO of my Fortune 500, he’s at stances, I believed that my vision and was able to deflect the effort easily. Stayin’ alive is often more impor- home with this landscape. He sees it timing were right and would sell them- Opposition from within is often less tant than complete victory. dramatic, taking the form of resistance coming with the territory. selves if I could architect sufficiently rather than outright betrayal. A client Another experience of mine illus- definitive deals to present to the Chair- Wayne Caskey, three-time CEO, is now an executive of mine is currently making an acquisi- trates how critical it is to know the rea- man. The deeply symbolic conclusion life coach. His Web site is www.waynecaskey.com.
www.smartceo.com August 2005 Baltimore SmartCEO 47 The Loyola MBA: A Business Model for CEOs BY ANNA MINKOWSKI
ll business owners relate and react to the following key words: A mission, product, service, customer, marketing, competition, leadership. In your business, whether you manufacture truck breaks or run a nonprofit, the same variables affect your success. How do business owners and managers learn to convert these key words into unyielding suc- cess? Many fall into their leadership positions and are forced to learn through experience. Others take more active control by advancing their business savvy with an MBA. In our region, colleges offering MBAs include Johns Hopkins, University of Maryland, Towson University, University of Baltimore and Loyola University. But as all business leaders know, professional growth and success do not result from a great product alone. Understanding and utilizing the rest of the above key words are essential in attracting and retaining clients and partners. Therefore, when selecting your own MBA “product,” consider whether the program operates under its own mindful, efficient and successful business model. The MBA program at the Sellinger School of Business and Management at Loyola College is one such program.
History program, The Sellinger School created the MBA Fellows program in the early In 1943, the University of Chicago 80s, which would be uniquely tailored opened and filled enrollment for the to fit the needs of a younger group of first Executive MBA program in the executive students with a “readily iden- GET YOUR BRAIN nation. There was an increasing tifiable potential for leadership.” By demand among high-level leaders for a 1987, the business school was accredit- setting in which they could discuss and ed by the Association to Advance Col- learn about the then “new frontier of legiate Schools of Business Internation- organizational leadership.” What took al (AACSB International) and in the shape was the Executive MBA pro- last two years, U.S. News & World IN GEAR gram, which has since been adopted by Report has ranked the Sellinger School many institutions around the nation. in the top 40 providers of part-time 30 years later, Loyola College MBA programs. answered the community’s summons A model for success? Yes, if you arms must represent the core. Consis- each additional department, school and for advanced business education with consider finding a void, supplying a tency between ranks and departments administration runs under the Jesuit the launching of their Executive MBA demand and studying parallel strategies will enhance an already powerful busi- tradition, committed “to the ideals of program. The first class in 1973 had 38 to be some of the initial variables of ness mission. However, this internal liberal education and the development students, making this degree Mary- good business. communication strategy is not to be of the whole person. Accordingly, the land’s first and oldest Executive MBA. confused with external communica- College will inspire students to learn, Taking a hint from the initial and Mission tions and branding. Loyola College was lead and serve in a diverse and chang- rapid success of the Executive MBA No matter the size of a company, all founded in 1852 by nine Jesuits, and ing world.” The Latin phrase “cura per-
48 Baltimore SmartCEO August 2005 www.smartceo.com sonalis” encapsulates this ideal, mean- ing consumers. Since advanced educa- ing concern for the whole person. tion has a self-selected client base, The training is rigorous, the expec- Loyola need not create the MBA prod- WANTED tations are high, and the mission is the uct, but instead, they have developed a pursuit of well-rounded learning for number of customized delivery meth- Women in the development of excellent leader- ods so to attract the highest market ship. The MBA program is no differ- share of that client base. Leadership Roles ent, and the same well-rounded cultiva- The Executive MBA is a relatively tion of leadership is manifest in the structured program; you’re either in or Are you a president, CEO or classrooms and in the administrative you’re out. There is one September start voice. date per year, students pay the full fee managing partner of Peter Lorenzi, Ph. D., Professor of ($48,500) rather than pay by credit, an organization? Management, came to Loyola College and it is completed in 21 months of in 1995 as Dean and has taught in the one-day-a-week classes on alternating TeamLogic, LLC is conducting Evening MBA program for the last four Fridays and Saturdays, with no summer years. When asked about applying classes. The program enrolls 35 execu- a series of focus groups Jesuit tradition to an MBA program, he tives with eight to ten years of manage- for women in leadership. responds “Jesuits are inclined towards ment experience, and students have an higher education. It is in our mission average age of 40. All sessions are and core values. These elements include The MBA Fellows program is simi- 8:00am – 12:00pm a wholistic yet rigorous approach to lar to the Executive MBA in its “all study and life, with an emphasis on business” approach to completion, but August 30, 2005 taking on responsibilities of leadership the Fellows program attracts students and on delivering. The phrase I liked to with less work-week flexibility. These TeamLogicTeamLogicTeamLogic September 15, 2005 use as dean, speaking around the world students are busy, fast-rising leaders and TeamLogicTM about Sellinger, was our commitment therefore, classes are only held on Sat- October 4, 2005 to ‘value-added, values-added educa- urdays for a longer two and half aca- Contact Benedette Cooper tion,’ meaning that being wanting to demic years. You can attend one or be profitable and being ethical are The Evening MBA program is the (410) 337•2626 all of the sessions. important elements to combine, not to most flexible, offering candidates four or email [email protected] compromise.” start dates per year, the option to pay Customer per credit ($545), and a maximum of seven years to complete the degree. According to Ann Attanasio, direc- This delivery method attracts recent tor of Graduate Business Programs, college graduates with an existing aca- students that choose Loyola’s MBA demic foundation in business classes. 90 program share the desire for leadership. percent of the students are part-timers A faster, “Many of our students are looking to and take one or two courses per session. make career changes or developments. Additionally, Loyola holds classes at Increased compensation and work- “three high-tech facilities for maximum more f lexible place advancement are certainly ele- coverage.” Sellinger Hall is on Loyola’s ments, but all of Loyola’s students join main campus, on the corner of N. our program because they seek to Charles Street and Cold Spring Lane, become more effective leaders. This is which is accessible via I-83, 695, and MBA for busy really a leadership degree.” any of Baltimore city’s northbound Consumer profile? Limited time concourses. The Timonium campus is but available resources, varied profes- further north and offers ample on-site executives. sional experience but shared ultimate parking for students commuting from goal, ranging geographic locations and Baltimore, York, Harrisburg, Lancaster commuting methods, and perhaps and other locations in Southern Penn- We fit your life. most importantly, the desire to earn the sylvania. The newest facility is in MBA degree. Earn your MBA in the fastest, most flexible way possible at Strayer University. Columbia just 20 minutes from the Designed for busy professionals, the Strayer executive MBA program lets you choose Baltimore and D.C. beltways. This the courses that fit your schedule and your learning style. Attend classes on campus or Product and facility boasts a lakeside setting and is via the Internet or through a combination of both. Our accelerated format enables you to Availability earn your degree years before you could at other universities. Concentrations are offered the gateway to the suburbs of D.C. and in: Acquisition, HR, Management, Marketing, and Supply Chain Management. With a The Sellinger School of Business Northern Virginia. 110-year tradition of educational excellence, Strayer University is one of the largest and Management offers three programs accredited adult-focused universities in America, and a leading provider of online Quality education. Fall classes start the week of September 26. To get started on your degree for MBA students, the Executive MBA, without delay, call today. the MBA Fellows program and the A product is not wildly successful Evening MBA. These three structures based on its availability alone. Attansio offer the exact same content and explains that the administration is Millersville • Owings Mills • White Marsh degree. But as any successful business “intimately involved in the success of 1-866-324-5917 owner knows, customization and easy the graduate program” and on her www.strayer.edu • AOL Keyword: Strayer access are key to attracting and retain- dashboard for quality assessment, she
www.smartceo.com August 2005 Baltimore SmartCEO 49 has enrollment numbers, market share, respect the knowledge the students Leadership ership is grown, nurtured and competition, customer feedback, and bring to the classroom, acknowledge enhanced and when choosing an MBA At the close of my time with Ann post-graduate assessments and surveys. the heavy obligations they face outside program “one size does not fit all.” She Attanasio and Manette Gates, director These are all good meters for measuring the classroom, use the full range of then continued to illuminate some of of the Executive MBA program, I asked the key skills good leaders must have. changes or tracking trends, but as they physical space and technology (e.g., each of them their definitions of leader- say it’s in the genes, so let’s look at the video segments from DVD, flash media “The ability to work on a team and ship. It had been very clear throughout doing team building is very important. curriculum. files off the Web) we have committed our discussion that leadership in both You cannot always choose your team- There are 20 credits of Foundation to their education, and try hard to business and the community was a pri- mates. Good communication skills, Courses, which can be waived based on make each class interactive, engaging, ority to the core Loyola MBA. Clearly, respect for others and being able to prior academic experience. Classes pleasant, yet also challenging to critical both of these directors believe leader- make rich decisions are all important include Global Economic Analysis, thinking.” ship is learned. Gates explains that lead- elements in making a good leader.” "My Loyola Executive MBA experience provid- ROI MBA ed me with the tools and learnings necessary to for the By Dave Callahan navigate the complex challenges and opportu- Perhaps the nicest thing about either. Clearly it is important to nities in running a business unit and a compa- Loyola’s program is that it can be carefully consider what you truly ny. In addition, it also gave me a solid support worked into an executive’s schedule, believe your windfall from the reducing the need to leave a job. degree will be and what the time base of peers, and professors who still play a One last thing to remember is that a horizon is. An MBA is an expensive key thing MBA programs will teach vital role in my personal and career develop- long-term investment that dimin- you is how to measure ROI (return on ishes in value quickly with student ment. An advanced degree is about broaden- investment). Unfortunately, the ROI age. of an MBA is difficult to calculate, but before you sign up, consider the ing one’s perspective and learning how to think Loyola’s program cuts down on following formula: opportunity costs and might work smarter. I am fortunate to have found a pro- Expected windfall x time horizon out this way: - (cost of MBA + added gram that has engaged, challenged and devel- $25,000 x 25 years = $625,000 expenses + opportunity cost) oped me into a better manager as well as con- = MBA ROI Cost of MBA = $48,000 Added Expenses =$20,000 tinues to provide a variety of resources to help Opportunity Cost of So, if you are 40 years old and make 45 workdays lost = $13,000 me plan for success in the future." $75,000 per year and expect an MBA = – Kären Olson, President and CEO, Adhesives Research, Inc. will generate an additional $25,000 Total ROI of MBA per year in salary for you, your ROI $544,000 from a full-time program could work out as follows: Financial Reporting and Analysis, Mar- Schools, of course, will argue about keting Management and Statistical The Economy how students should value the Applications in Business. There are an A business owner would be a fool $25,000 x 25 years = $625,000 expected windfall from the degree, additional 21 credits of MBA Core not to stay abreast of the local, region- cost of MBA = $100,000 but only you can truly take a guess Courses, including Ethics and Social al, national and international econo- + added expenses =$20,000 Responsibility, Operations and Project my. “Economics definitely play a roll at that. If you don’t think a full-time Management, and Business Strategy. in the success of our program. Small Opportunity cost of degree from an Ivy will get you much Two unique innovations to Loyola’s to mid-sized business are the trend in 2 years lost salary = $125,000 farther than a local Loyola MBA, the MBA are the individually tailored con- our region, so more people work for Total ROI of the MBA = centrations and the day-long develop- themselves. When things are good, we ROI tells you what to do. Whatever mental workshops. Students can con- have more applicants to our Executive $380,000 you decide, the formula above is centrate their studies in Accounting, MBA program,” Attanasio says. Per- useful to get you thinking about the Finance, General Business, Internation- haps a more interesting question is right things when considering an al Business, Management, Management whether or not MBA administrators Estimating by the above formula, Information Systems or Marketing. and faculty members could predict over the course of 25 years, you will MBA program. Like any other busi- Lorenzi speaks of his own classroom future economic trends based on the make an additional $380,000 after ness decision, the decision to pur- and his methods of infusing quality characteristics of their applicants and a $275,000 investment. Not exactly sue an MBA should be carefully con- into the content. “In my classroom, I students. the greatest return, but not bad sidered.
50 Baltimore SmartCEO August 2005 www.smartceo.com SPECIAL SECTION
MARYLAND’S LEGAL ELITE
n early March, we contacted thousands Francis B. Burch, Jr. Paul A. Dorf of lawyers in the state of Maryland. We DLA PIPER RUDNICK GRAY CARY ADELBERG, RUDOW, DORF & HENDLER, LLC asked attorneys to assess their peers I Practice areas: Securities, corporate and business tort Practice areas: Family law, litigation, arbitration and and colleagues and then nominate those litigation. mediation in civil and domestic cases. whom they believe to be among the top attorneys in Maryland. • Each lawyer was Patrick K. Cameron John C. Dougherty given a score based on the number of OBER/KALER DLA PIPER RUDNICK GRAY CARY nominations received. Votes received from Practice areas: Creditors’ rights, workouts and bank- Practice areas: Intellectual property litigation and ruptcy, commercial finance. lawyers in other firms were weighted business litigation. heavier than votes received from lawyers in the same firm. Nominations were veri- William C. Carlson fied and discussed and 40 attorneys SHAPIRO, SHER, GUINOT & SANDLER Arthur F. Fergenson emerged as the first class of Maryland’s Practice areas: Corporate and securities law and municipal and real estate law. DLA PIPER RUDNICK GRAY CARY Legal Elite. • Take a minute and meet Practice areas: Intellectual property, technology dis- this collection of varied and impressive Lawrence D. Coppel putes, securities law and corporate control, insurance legal talent in our area. insolvency, appellate advocacy and the representation GORDAN, FEINBLATT, ROTHMAN, of investors in distressed assets. HOFFBERGER & HOLLANDER, LLC David Applefeld Practice areas: Bankruptcy and restructuring. Kristin H.R. ADELBERG, RUDOW, DORF & HENDLER, LLC Practice areas: Civil, commercial and criminal litiga- Claude De Vastey Franceschi tion, construction law, insurance law and products OFFICE OF THE STATES ATTORNEY – DLA PIPER RUDNICK GRAY CARY liability law. HOWARD COUNTY Practice areas: Corporate and municipal finance. Practice area: Prosecution. Michael Baader Neil Dilloff Michael G. Gallerizzo VENABLE, LLC DLA PIPER RUDNICK GRAY CARY GEBHARDT & SMITH, LLP Practice areas: Corporate planning, business advisory Practice areas: Insurance, professional malpractice, Practice areas: Creditors’ rights, bankruptcy, loan services, mergers and acquisitions. and construction litigation. workouts and commercial foreclosure.
www.smartceo.com August 2005 Baltimore SmartCEO 51 SPECIAL SECTION
Andrew J. Graham Patricia M. Lambert Charles P. Scheeler KRAMON & GRAHAM, P.A. HODES ULMAN PESSIN & KATZ, P.A. DLA PIPER RUDNICK GRAY CARY Practice areas: Business litigation, professional lia- Practice areas: Insurance - regulatory, coverage and Practice areas: Commercial litigation and white collar bility matters, employment matters, white collar crim- defense, business litigation, oil and gas and environ- criminal defense practice. inal litigation, trade secrets litigation, antitrust liti- mental litigation. gation, securities litigation, general civil litigation and mediation. Andrea Leahy-Fucheck Joel I. Sher WHITEFORD, TAYLOR & PRESTON SHAPIRO, SHER, GUINOT & SANDLER Lawrence S. Greenwald Practice areas: Campaign finance and election law, Practice areas: Bankruptcy litigation, corporate reor- ganization and creditors’ rights. GORDON, FEINBLATT, ROTHMAN, nonprofit organizations, business litigation, environ- mental litigation, zoning and land use. HOFFBERGER & HOLLANDER, LLC Practice areas: Complex and general commercial Robert A. Spar Jerald B. Lurie litigation. SAUL EWING ADELBERG, RUDOW, DORF & HENDLER, LLC Practice areas: Business transactional matters. Practice areas: Business, real estate, employment, Sandra R. Gutman intellectual property, health/care and tax law. BALTIMORE CITY DEPARTMENT OF LAW Walter Stone Practice area: Land use. Robert J. Mathias ADELBERG, RUDOW, DORF & HENDLER, LLC DLA PIPER RUDNICK GRAY CARY Practice areas: Acquisition, sale, development and Michael Hendler Practice areas: Business litigation, intellectual prop- management of commercial real estate. ADELBERG, RUDOW, DORF & HENDLER, LLC erty litigation, and white collar criminal advice to cor- porate clients. Practice areas: Family law and litigation. Paul A. Tiburzi DLA PIPER RUDNICK GRAY CARY Stuart D. Kaplow James D. Mathias DLA PIPER RUDNICK GRAY CARY Practice areas: Public law and administrative litiga- tion matters. STUART D. KAPLOW, P.A. Practice areas: General corporate, securities and busi- Practice area: Real estate. ness litigation practice. Richard C. Tilghman, Jr. Laura L. Katz Anthony L. Meagher DLA PIPER RUDNICK GRAY CARY SAUL EWING DLA PIPER RUDNICK GRAY CARY Practice areas: Corporate and securities law. Practice area: Healthcare. Practice areas: Arbitration and litigation of con- struction claims and the negotiation of construction contracts. Richard L. Wasserman C. Kevin Kobbe VENABLE, LLC DLA PIPER RUDNICK GRAY CARY Charles J. Morton Practice areas: Bankruptcy, creditors’ rights, secured Practice areas: Commercial litigation and bankruptcy transactions, workouts, reorganizations and restruc- practice. VENABLE, LLC Practice areas: Corporate law, financing (including turings. mezzanine), mergers and acquisitions, technology F. Kirk Kolodner transfers, licensing and contract development and review. Earl S. Wellschlager ADELBERG, RUDOW, DORF & HENDLER, LLC DLA PIPER RUDNICK GRAY CARY Practice areas: Family law, business and commercial Practice areas: Business law. litigation, personal injury, real estate litigation, estate Eileen D. O’Brien and trust litigation and general civil litigation. SAUL EWING Practice areas: Estate planning and trust administration. Adam S. Zarren Richard Kremen NEUBERGER, QUINN, GIELEN, RUBIN & DLA PIPER RUDNICK GRAY CARY Eric G. Orlinsky GIBBER, P.A. Practice areas: Bankruptcy, commercial lending and SAUL EWING Practice areas: Corporate law and business complex commercial litigation. Practice areas: General business and securities law. transactions.
52 Baltimore SmartCEO August 2005 www.smartceo.com SPECIAL SECTION
from Pratt Street to Fleet Street
The Marbury Building 6225 Smith Avenue 111 South Calvert Street Suite 1950 Baltimore, MD 21209-3600 Baltimore, MD 21202-6174
DLA Piper Rudnick Gray Cary US LLP DLA Piper Rudnick Gray Cary UK LLP Serving clients globally. dlapiper.com SPECIAL SECTION
MARYLAND’S LEGAL ELITE BY-PASSING
Congratulations to THE JURY THROUGH ADAM S. ZARREN on his recognition as one of Baltimore SmartCEO’s Legal Elite. MEDIATION Neuberger, Quinn, Gielen, Rubin & Gibber, P.A. General business practice with areas of concentration in corporate transactions, tax, litigation, bankruptcy, real estate, estates and trusts, OR ARBITRATION franchise and distribution, antitrust and intellectual property.
1 South Street, 27th Floor | Baltimore | (410) 332-8550 | www.nqgrg.com By Todd J. Horn
hile trial by jury is entrenched their views carry a greater measure of Win our society as a fair and authority. A skilled and experienced impartial mechanism to resolve dis- mediator has the ability to apply subtle putes, it is, in practice, expensive, time- and overt pressure on both sides to consuming and unpredictable. To reach a deal. Because the best mediators avoid the assorted problems involved in view the achievement of a deal as their resolving disputes through jury trials, “client,” you can expect them to work litigants increasingly consider more hard to bridge differences and forge a efficient and predictable alternatives. consensus. Mediators generally charge Chief among these alternatives are an hourly fee for their activities, and mediation and arbitration. the cost typically is split by the parties. It is almost always in the best inter- It is essential to investigate the est of parties to a dispute to explore background of a mediator before you early resolution through settlement agree to use him or her. Mediators, like before the expenditure of attorneys’ all professionals, develop reputations fees, staff time, and emotions solidify based on their experiences and relation- positions that may be difficult to ships. If you are looking to mediate the change later. While settlement discus- claim of an employee you have termi- sions typically involve the parties or nated, for example, you might want to their counsel engaging in a series of pass on a mediator who practiced offers and counter-offers to reach a employment law exclusively on behalf mutually acceptable agreement, media- of plaintiffs. tion injects a neutral third party into In most cases, before a formal the process. mediation session, the parties submit The primary benefit of mediation is confidential statements to the mediator that the dispute is analyzed by someone that describe their theory of the case, who does not have a financial or emo- what they are seeking in a settlement, tional interest in the outcome of the as well as information – both good and case. Former judges and seasoned bad – that they do not want the media- lawyers in the relevant field are particu- tor to disclose to the other side. Do not larly well-suited to this role because skimp on this submission. Although
54 Baltimore SmartCEO August 2005 www.smartceo.com SPECIAL SECTION Attorney Mother LEADER cancer survivor MENTOR advisor Teacher volunteer ADVOCATEAuthor Maryland’s Top 100 Women
Hodes, Ulman, Pessin & Katz, P.A. congratulates Patricia McHugh Lambert, one of Maryland’s Legal Elite
H O D E S , U L M A N , P E S S I N & K A T Z , P . A . Big firm talent, small firm appeal
[email protected] 410-339-6759 www.hupk.com ATTORNEYS AT LAW
Thanks Sam.
Webb/Mason wishes to congratulate Sam Wellshlager, Esq. on this great honor. You're indeed one of the best. From nearly the beginning, Sam Wellschlager has been there as an advisor, mentor and friend. As a member of our Board of Directors, Sam is one of our strongest supporters.
Today, Webb/Mason ranks as one of the Top 10 printed materials management companies in the nation with more than $65 million in annual sales. We would not have achieved this position with- out the guidance of our friend Sam.
Congratulations Sam, from your friends at Webb/Mason.
Webb Mason National Headquarters 10830 Gilroy Road Hunt Valley, MD 21031 410 785 1111 www.webbmason.com
www.smartceo.com August 2005 Baltimore SmartCEO 55 SPECIAL SECTION
Shapiro Sher Guinot & Sandler Gordon, Feinblatt, Rothman, Hoffberger & Practice Areas: Corporate and Securities, Hollander, LLC Technology Transactions, and IP Management. Practice Areas: Bankruptcy and Restructuring. (410) 385-4205 [email protected] (410) 576-4264 [email protected] WILLIAM E. CARLSON LAWRENCE D. COPPEL, ESQ. A partner at Shapiro Sher Guinot & Sandler, William E. Carlson Gordon, Feinblatt is one of Maryland’s premier full- concentrates in corporate and securities law, technology trans- service law firms, with approximately 70 attorneys actions, and IP management. He is deeply experienced in assisting biotechnology com- and 25 paralegals. As Chairman of the Bankruptcy and Restructuring panies, inventors, and universities with technology transfer, financing, research col- laboration, executive compensation, trade secret regimens, and non-disclosure agree- Group, Mr. Coppel is recognized as one of Maryland's leading bankrupt- ments. He has represented large and small companies in mergers, acquisitions, dispo- cy practitioners, with experience in all aspects of bankruptcy representa- sitions, spin-offs, venture capital agreements, and other forms of financing. tion on behalf of lenders, debtors, trustees and other parties for over Throughout his career, Mr. Carlson has helped numerous companies in a variety of twenty-five years, both locally and on a nationwide basis. Mr. Coppel is industries grow into successful ventures. a fellow of the American College of Bankruptcy; and founded and was the Mr. Carlson serves on the President’s Roundtable of the Greater Baltimore Committee first president of the Bankruptcy Bar Association for the District of (GBC) and the Downtown Partnership Board of Directors. He is also a director of Maryland. Mr. Coppel has been recognized in his practice area by “The Greenspring Fund, Incorporated, a mutual fund, and several other companies. Best Lawyers in America.”
Gordon, Feinblatt, Rothman, Hoffberger & Shapiro Sher Guinot & Sandler Hollander, LLC Practice Areas: Bankruptcy and Creditors’ Rights. Practice Area: Litigation. (410) 385-4277 [email protected] (410) 576-4264 [email protected] LAWRENCE S. GREENWALD, ESQ. JOEL I. SHER Gordon, Feinblatt is one of Maryland’s premier full- Joel I. Sher, a partner at Shapiro Sher Guinot & Sandler, service law firms, with approximately 70 attorneys provides innovative advocacy in all aspects of bankruptcy and 25 paralegals. Mr. Greenwald is the senior lawyer in the litigation law and creditors’ rights. He advises debtors, creditors, and creditors’ commit- tees in Chapter 11 bankruptcy cases and counsels clients in complex out of group. A graduate of Harvard Law School, he has represented clients in court workouts. He is also an experienced commercial litigator and has repre- a broad spectrum of complex cases at trial and on appeal, and many of sented companies in federal and state courts throughout the United States. Mr. his cases have involved issues of first impression. He has represented Sher is experienced in a multitude of industries, including health care, retail, clients in significant constitutional litigation, and has argued before the financial services, telecommunications, construction, real estate, development, Supreme Court of the United States. He also has served as an arbitrator manufacturing, and distribution. Throughout his career, he has been involved and mediator. Mr. Greenwald is a Fellow of the American College of Trial in numerous complex and litigious bankruptcies in which he has repeatedly Lawyers. Also, he has been listed in “The Best Lawyers in America”, and achieved remarkable results for his clients. He serves as a panel trustee for the Lawyers Weekly USA has selected him as one of ten “Lawyers of the Year.” U.S. Bankruptcy Court for the District of Maryland.
ARE YOU MATERIAL?...
2005 Don’t delay! Visit www.smartceo.com today to nominate your company for Baltimore SmartCEO’s Future 50!
Nomination deadline: September 9, 2005 Required Reading for Growing Companies
56 Baltimore SmartCEO August 2005 www.smartceo.com SPECIAL SECTION mediators are independent, you want identify and select the neutral arbitra- to give them as much information as tor, the scope and limits of pre-hearing possible so they can persuasively advo- discovery to prepare for the arbitration cate your position in discussions with (depositions, exchange of documents, the other side. etc.), the location of the arbitration hear- The manner in which the mediator ing, and the conduct of the hearing. Congratulations to conducts the sessions varies widely, but Parties also should designate an most have an initial plenary session arbitration service – such as the Ameri- where each side presents its position, can Arbitration Association – to super- Richard Wasserman, followed by individual meetings with vise the proceeding, identify an arbitra- the mediator. Depending on the com- tor and help administer the agreement. plexity of the issues, the resources of In addition to paying a fee for the arbi- Michael Baader and the parties, and the distances in posi- tration service, the parties compensate tions, these sessions can take a few the arbitrator for preparation time, Chuck Morton Because the best mediators view the www.venable.com achievement of a deal as their on being selected one of “client,” you can expect them to work Maryland's Legal Elite. hard to bridge differences and forge a consensus. hours or several weeks to reach a settle- time spent at the hearing, and time ment. Resolving a potential lawsuit writing the decision and award. The with a handshake is not enough, even parties should agree in advance who when accomplished though supervised pays the expenses of the arbitration or Two Hopkins Plaza, Suite 1800 mediation. Instead, the parties should how the costs are shared between them. Baltimore, MD 21201 memorialize all the terms and condi- The agreement also should set forth 410-244-7400 tions in a signed settlement agreement. the scope of the arbitrator’s authority to While mediation is a species of set- award relief and identify the law the The Venable LLP logo is a U.S. Registered Service Mark of Venable LLP. tlement, arbitration is a species of liti- arbitrator must apply. However, an gation. Unlike civil litigation in which arbitration agreement should not limit a judge or jury decides the case, the substantive rights and remedies that parties to an arbitration proceeding otherwise are available to litigants or agree to hire a neutral person to rule on else the agreement may be subject to From cyberspace to outer space their dispute. Compared to judicial liti- challenge in court. The agreement also to the depths of the oceans, our gation, arbitration has a variety of ben- should reflect the parties’ understand- clients put technology to work. efits. While court litigation can take ing that arbitration is the exclusive years, resolution of disputes through arbi- means for resolving the dispute and Whiteford, Taylor & Preston’s tration typically occurs more expeditious- that the decision of the arbitrator shall Technology and Intellectual ly, sometimes in a matter of months. be final and binding, with the excep- Property attorneys blend vision In addition, while a trial by jury tion that judicial review may be and passion with knowledge raises the specter of having your dispute obtained in very limited circumstances. and experience to help our decided by jurors who may be influ- Mediation and arbitration can be clients succeed. enced by their subjective perceptions constructive means to obtain a more rather than by the merits of the case, dependable, expeditious and less costly • Entity formation and start-up arbitration involves the use of an expe- way to resolve disputes. Because both • IP identification and protection rienced and knowledgeable arbitrator mediation and arbitration are volun- • Product commercialization who understands the relevant industry, tary arrangements, it is worth spend- governing law and nature of the dispute. ing some time setting the ground rules • Strategic alliances and Arbitration, as a creature of con- at the outset so the benefits of these partnering tract, can be flexibly designed to fit the alternatives are not eclipsed by periph- • Financing strategies needs of the parties. You cannot, how- eral disagreements about process or ever, compel someone to forego judicial procedure. resolution of a conflict in favor of arbi- tration unless there is an agreement to Todd J. Horn is a partner of Venable LLP in Baltimore, do so. To minimize disputes on collat- Maryland where he represents major private compa- nies in all types of employment-related litigation. eral issues, the arbitration agreement Along with Stanley Mazaroff, Todd Horn is co-author should set forth the manner and time- of the book Maryland Employment Law (LEXIS www.wtplaw.com frames in which a party can request Publishing), which has been cited as authority on arbitration, the types of disputes that multiple occasions by the Maryland State and are covered or excluded by the agree- Federal courts, and is regarded as the principal pub- Baltimore • Columbia • Towson lication in its field. He can be reached at Washington • Alexandria ment, the method in which the parties [email protected] or by phone at (410) 244-7709.
www.smartceo.com August 2005 Baltimore SmartCEO 57 COMMERCIALCOMMERCIALRequired Reading for Growing Companies REALREAL ESTATEESTATE RESOURCERESOURCE
REAL ESTATE DECISIONS: Beyond Bricks & Mortar Whether your company occupies 4,500 square feet in a downtown office building or operates out of an 800,000 square foot suburban manufacturing or distribution facility, the factors your company must consider when looking for real estate go far beyond the structure itself.
LOGISTICS tions? What is the education of your A logistical study will help your employee base / labor force? Under- company identify several things – some standing the answers to the above ques- of which include: Where are your cus- tions is critical in the site selection tomers? Where do your employees process. live? What type of transportation is used by employees? Do you need LABOR John C. Childs, Jr. and Paul J. Danko, The Staubach Company access to high speed telecommunica- One of the most important site Class A Office Space located in the heart of Baltimore’s Legal & Financial Center...
Are you thinking of selling your business? 201 N. Charles Street WIRE, Women Investors of Real Estate, DC Metro Chapter, invite you to their next event: Corporate concierge • Custom space planning Join “The Exit Plan Man,” GREGORY CARUSO of “SuccessfulExits.com” as he shares the 3-step process on Advanced telecommunications and data capabililties selling your business, with a focus on real estate. Contact September 7, 2005 • 6:00-8:00 pm Cross Creek Golf Club (Beltsville, MD, www.crosscreekgolfclub.net ) David Johnson Cost: $25 for non-members / $15 members | Includes food and beverages 410.837.4432 To register, visit www.wirep.com, call 410-242-WIRE, or email Dawn Sheehan, President of WIRE, [email protected] Stratford Realty Management Company
58 Baltimore SmartCEO August 2005 www.smartceo.com COMMERCIAL REAL ESTATE location factors is labor – the ability to ing garage for the building have ade- attract and retain employees. Strategic quate parking for your employees and considerations should be given to locat- visitors? Would it be more economical- ing the site near the pool of employee ly feasible to build a new facility or ren- skill sets required. Whether it is a well ovate an existing space? This leads into educated workforce, skilled laborers for the next idea, cost analysis. manufacturing or entry level techni- cians for data processing, you’ll want to COST ANALYSIS evaluate the amenities of the communi- Build-to-suit vs. leasing – which is ty that will attract those employees. best? The answer is an individual one, Those include everything from schools based on several things. Timing is the and churches to cultural centers and biggest issue – do you need space right private country clubs. Locating in an away or do you have time to wait? area with a readily available, trained Existing leases also need to be exam- workforce has all the obvious benefits ined to determine whether moving or to your profitability and can be staying put would be a better option. achieved with the proper planning. Are there existing facilities that can accommodate your needs? Some com- SITE SELECTION panies find it very difficult to locate a Once the logistical study is com- facility that they can easily occupy. pleted and your target areas are estab- Biotech companies, for example, have lished, you can further narrow your such unique requirements – clean search by comparing your specific rooms, laboratories, special HVAC sys- requirements against the available tems, etc. that it is very rare that they options. If you are looking to build a can occupy an existing facility. Defense new warehouse facility on a land site – contractors as well have difficulty find- can the parcel support the necessary ing space due to the high level of secu- size of the truck courts and trailer stor- rity needed, such as SCIF rooms. age requirements for your proposed When deciding to build your own building? The majority of your work- building or space, you need to deter- force commutes by car – does the park- mine a long-term exit strategy at the
Commercial Drain Cleaning
Industrial Design
HVAC Installation
Electrical Service
Plumbing Preventive Maintenance Agreements
24 Hour Emergency Service
1965 Greenspring Drive Timonium, Maryland 21093 (410) 252-7100 • Fax (410) 252-8856
www.smartceo.com August 2005 Baltimore SmartCEO 59 COMMERCIAL REAL ESTATE
beginning. Building flexibility into the careful analysis. At this point in the Real Analysis, LLC site will allow for re-marketing the process, your real estate advisor will rec- facility or to allow for more convenient ommend a construction expert so you Real Estate Financial Modeling & Analysis subleasing. can conduct your due diligence. Lastly, Providing owners, investors, whether you build new or renovate the lenders, brokers, and property MUNICIPAL INCENTIVES Commercial retail and office buildings managers with the tools Another major factor in your orga- old, keep in mind you’ll want an effi- necessary to establish and nization’s elimination process when cient, flexible facility that will attract Malls and strip shopping centers project financial goals for income-producing properties. evaluating locations is municipal incen- buyers down the road –in the event Mixed-use centers Cash flow projections tives. The various jurisdictions – State your needs change (which you can Apartments Development pro formas and Local are always interested in both count on) over time. Budgets creating new jobs and improving the Your facility and employees are the www.real-analysis.com Lease abstracts quality of the workforce - which in largest ongoing expenses of your organ- turn fuels the economy and improves ization. While it is important to pro- Sandra L. Peacock, Principal 410.840.0172 the quality of life. Business and tax incentives, low interest loans, utility vide the right work environment in an discounts, employee training grants, accessible location for your employees, real estate tax abatement programs, a diligent approach to the process and tenant improvement allowances and guidance from experienced advisors infrastructure upgrades are just a few will be important for delivering a cost examples that will weigh into your eval- effective and functional facility. Required Reading for Growing Companies uation factors when examining possible locations. To advertise in SMARTCEO’s John C. Childs, Jr. and Paul J. Danko are currently co- Commercial Real-Estate ranked #1 on the Baltimore Business Journal’s “Top CONSTRUCTION/DESIGN ANALYSIS Commercial Real Estate Agents in the Baltimore Resource Section If a property opportunity seems too please call Area” and Vice Presidents in the Baltimore office of good to be true – it usually is. The The Staubach Company. In addition, Childs and great “deal” you get on an old, outdat- Danko are leaders of Staubach’s Industrial Services Monique Spagnola ed facility can be quickly offset by the Practice Group in the Northeast Region. They can be 410-342-9510 x 218 increased renovation and upgrade costs. reached at (410) 539-8568 or [email protected] But that can only be determined with and [email protected].
60 Baltimore SmartCEO August 2005 www.smartceo.com COMMERCIAL REAL ESTATE COM-
Buyer/lessee Broker & Description of Property: (Include type, square footage Broker Broker Company Seller/Landlord Buyer/Tenant Company and location) 21,000 sf. B. F. Hearn III, Mackenzie Mackenzie Commercial Real Ecological Restoration and 141 Church Lane, B. F. Hearn III Mr. & Mrs. Walter L. Brewer Commercial Real Estate Estate Services, LLC Management, Inc. Cockeysville, MD Services, LLC Industrial 7,271 sf. Thomas L. Fidler, Jr., North Plaza I, LLC; Mackenzie Commercial Real Maryland Department of 8966 Waltham Woods Road, John R. Schultz, North Plaza II, LLC; n/a Estate Services, LLC Transportation, MVA Parkville, MD John F. Harrington North Plaza III, LLC Retail 4,000 sf. Coldwell Banker Gregory Friedman, Coldwell 2406 Pepper Mill Drive, Gregory Friedman Providence Cove, LLC National Deck and Patio Commercial NRT Banker Commercial NRT Glen Burnie, MD Industrial 11,000 sf. Robert L. Millhauser, 1401 Severn Street, Trammell Crow Company Gaslight Square, LLC Rocket Science Incorporated n/a Robert D. Oare Baltimore, MD Office Montpelier II, LLC Kennedy 132,719 sf. Matthew L. Wilson, Johns Hopkins University 7701-7707 Montpelier Road, Trammell Crow Company Associates Real Estate n/a Karen Marchetti Applied Physics Lab Laurel, MD Counsel Industrial/Flex 7,023 sf. David Dombrowski, Michael David Dombrowski, Coldwell Banker Chesapeake Plastic 5185-5195 Raynor Avenue, Raynor Associates LP Bender, Coldwell Banker Michael Bender Commercial NRT Recycling, LLC Baltimore, MD Commercial NRT Industrial 3,000 sf. Coldwell Banker 5805 Stevens Forest Rd, Tony Casalena M&T Bank Layhill Associates, LLC ReMax Commercial Commercial NRT Columbia, MD Retail
Commercial Real Estate Property Listings 40 York Road, Towson, MD BALTIMORE SMARTCEO’S Seven Square Office Park Five story office building 9114 Philadelphia Road office space for lease 2004 FUTURE 50 Baltimore, MD 21237 1,606 - 11,788 sq. ft. The Highlands “TriAlliance is the medical/office space for sale/lease Corporate Office Park critical third point 909 Ridgebrook Road that connects two The Highlands Sparks, MD 21152 913 Ridgebrook Road 45,000 sq ft other parties for Sparks, MD 21152 office space for sale/lease mutual success. up to 30,000 sq. ft As we celebrate our office condos for sale MDG Corporate Centre II Columbia, MD 21045 fifth anniversary, Waverly Park, 2506 Wallington Way 3,488 sq. ft. we continue with Ellicott City, MD 21163 last office condo for sale an entrepreneurial 13,550 sq. ft for lease Seven Square Office Park spirit and an MDG Lakefront North 9106 Philadelphia Road emphasis 5550 Sterrett Place Baltimore, MD 21237 on quick Columbia, MD 21044 5,620 sq. ft action Third Floor 2,735 sq. ft investment condo for sale for our office space for lease Seven Square Office Park clients.” Patuxent Centre 9110 Philadelphia Road 10910 Little Patuxent Pkwy. Baltimore, MD 21237 Christopher Columbia, MD 21044 1,606 sq. ft Smith, SIOR Second Floor 2,335 sq. ft medical office for lease medical office for lease
COMMERCIAL REAL ESTATE SERVICES 410-339-7160 • www.trialliance.com • 40 York Road, Suite 500 • Towson, MD 21204
www.smartceo.com August 2005 Baltimore SmartCEO 61 >> THE problem solver Association for Corporate Growth
Founded in 1954, the Association for Corporate Growth (ACG) is the premier global association for professionals involved in corporate growth, corporate getting ready to development, and mergers and acquisitions for mid to large companies. Leaders in corporations, private equity, finance, and professional service firms focused on sell the business building value in their organizations belong to ACG – which offers a forum for quality programs, education and networking. Today ACG stands at more than 9,000 members representing Fortune 500, Fortune 1000, FTSE 100, and QUESTION: mid-market companies in 46 chapters in North America, Europe and soon Asia. I enjoy running my retail business. It does pretty well and keeps on grow- We welcome new members and prospective members to learn ing. But, I don’t want to do this forever. What do other owners do when they what ACG Maryland is all about – networking and quality programs. For more information, please visit are preparing to sell their companies? www.acg.org/baltimore or contact Judy Garcia at [email protected] or (410) 335-5791. RESPONSE: DO EVERYTHING YOU CAN TO For most people who own a closely OPTIMIZE VALUE held business, the business is their major That means run the business to be Need a Business Telephone System? asset and its value represents a large por- as successful as possible growth in prof- Call JAC Communications, Inc. tion of their estate. So, optimizing the its, excellent staff, strong customer list, 410-288-5517 value of the business when it is to be quality customer service and tight oper- FREE SITE SURVEY sold is critical to the on-going financial ations. Build something that will suc- health of the seller. Here are some point- ceed without you, if you intend to walk Norstar Specials Norstar ers from Inner Circle member who have away. Or build something that will suc- ‘Refurbished’ ‘New’ gone through this process. ceed with you in a different or lesser 4-Phone; 6-Lines 4-Phone; 6-Lines; Expandable role if you decide to stick around in • 6x16 Key Service Unit • 6-Month Warranty • 4x16 CICS 4.2 w/Auto Attendant • 1-Year Warranty some capacity. The goal here is to have • 4-M7310 Speakerphones • Installation to • 4-T7316 Speakerphones • Installation to prewired location prewired location things running so well, that you *$1,349* *$1,949* become indifferent as to whether it gets plus tax plus tax sold or not. Some of the most success- While supplies last… “Free” with any installation… 1 Belkin Surge Protection with Mini Battery Back-up ‘Limited Quantities’ ful transactions occur when this “indif- *If cabling is needed, there will be an additional charge incurred ference” can drive up the sale price. Business Telephone Systems • Voice • Data • Cabling • Sales • Service • Installation NEVER, EVER NEGOTIATE FOR YOURSELF You want real, professional help CORPORATE negotiating the sale. Find people who Paul have experience in representing sellers. Riecks They will work for your interest with- MEETING FACILITY out the emotions tied to all you have done to build the company interfering WHAT’S YOUR REAL SITUATION? with the process. The process will be Decide whether you really want to frustrating enough without an emo- sell or if you are just going though a tional cloud hanging over it. A day of business and fun. . . bad patch and are burned out. There are numerous books and resources IF YOU USE A BUSINESS your corporate destination devoted to helping you diagnose BROKER… burnout and how to resolve it. If selling Find one who specializes in your • AV-equipped is really what you want to do, then… industry. Determine how many trans- • Ample Free Parking actions they have successfully complet- HAVE A PLAN FOR WHAT COMES ed overall, and in your industry. Get • Meeting Rooms for 50-250 AFTER THE BUSINESS references and call them. Ask the refer- Sometimes, people get so excited ences what the original asking price was about the potential for realizing a large on their transaction and what the final Beautiful countryside setting with financial gain that they think only of selling price was. Have your attorney team building sports opportunities. that and not what they will do with (who has also had experience in han- their time and money after the sale. Do dling business sales) review all propos- you want to walk away from it com- als, non-disclosure statements and pletely? Do you want to start or buy contracts. another business? What is your family In fact, assemble a “selling team:” 410-252-2046 situation? Get help developing a profes- your broker, your attorney, your client Indoor and outdoor catering facility sional financial plan for after the sale. and another business owner who has Just minutes from I83 N in Cockeysville Be clear about what you want to do gone through the process. Meet with www.padoniaparkclub.com with your life for at least 6-12 months them periodically to review the after you sell. progress of the transaction and your
62 Baltimore SmartCEO August 2005 www.smartceo.com own view of where you and the trans- action are headed.
HAVE A BUYBACK OR DEFAULT CLAUSE Growth Problem #2 These items are especially impor- tant if you are not receiving all the money at the close of the sale. If the buyers are paying you from future profits, you need to protect yourself The tradeoff between in case they fail or find out they don’t want the business. Establish a right of first refusal to buy back the business at a set price or get it back automati- increasing growth rates and cally if they default on their end of the contract. increasing profit margins IT’S NOT REALLY SOLD UNTIL THE CHECK CLEARS Sometimes when we agonize over a Margin compression. It’s a reality in business today. If you want growth, you have to sacrifice profit margins, cut decision and take a long time to imple- ment it, we get impatient for the your prices, and add services – all while costs are going up. results. You have to resist the tempta- IT DOESN’T HAVE TO BE THAT WAY! Clients today are overwhelmed by the complexity offered by you and your tion to think or act like the deal is competition. Their time is already limited by the demands of their lives that they just shut it all out. It’s called done before the check clears. Any kind commoditization, and it is the number #1 threat to increasing profits today. of wavering from keeping the business on course can damage the value and could even violate some of the condi- tions of sale.
SOME OTHER THOUGHTS Consider the impact of the sale on the employees. What provisions do you want made for their continued employment? How critical to the on- going success of the business after the sale-most likely, very critical, especially if you are being paid in part from future earnings of the company. In fact, one option you may have for sale is to sell it to the employees. You can Bypass commoditization After all, they have problems to solve. And when a REAL even do a partial sale with strategies solution presents itself, who has time to negotiate? like ESOPs. You can bypass commoditization – and your competition! One advantage of selling it to the How do you do it? By Building the Bridge – one of the ™ employees is that you don’t have to most powerful tools in The INTELLIGENT GROWTH Faster growth, increased margins maintain tight secrecy as the transac- Process. Building the Bridge enables you to more What does this mean for your business? Faster growth, tion progresses. And, since the buyers effectively communicate with your clients. It makes your increased profit margins, and shorter sales cycle times. have such a stake in the success of the sale process value creative. It helps your clients and If you want to stop choosing between increasing growth business, they can be “on board” with prospective clients understand and appropriately value your rates and increasing profit margins, call or e-mail us the strategies you are implementing to offering. When they understand that, they stop negotiating. today and get both! increase the value and success of the company. Whatever option you choose, put yourself in a position to FIND OUT MORE reap the benefits of all you have worked for and all the good your busi- ness has done under your leadership. Visit www.ImagineLLC.com To solve your growth problems
Paul Reicks is president of Inner Circle of Or call (410) 544-7878 Or e-mail [email protected] Baltimore, which forms and facilitates peer groups of business owners/CEOs. His Web site is www.innercircleofbaltimore.com
www.smartceo.com August 2005 Baltimore SmartCEO 63 soul is don’t be someone you’re not, ried.” Instead, they said, “We’re worried don’t be less than you are, don’t give up that you’ll never amount to anything.” what you believe, because whatever the It took me a while to prove them consequences that may seem scary or wrong. My first job was working for a bad – whatever the consequences of brokerage firm. I had a title. It was not staying true to yourself are – they are “VP.” It was “receptionist.” I answered Advice for Job Seekers much better than the consequences of phones, I typed, I filed. I did that for a selling your soul. year. And then, I went and lived in Fiorina gets ironically inspirational You have been tested mightily in Italy, teaching English to Italian busi- your life to get to this moment. And all nessmen and their families. I discovered On May 7, Former Hewlett-Packard CEO Carly Fiorina addressed the gradu- of you know much better than I do: that I liked business. I liked the prag- from the moment you leave this matism of it; the pace of it. Even ates and guests at North Carolina Agricultural & Technical State University, campus, you will be tested. You will be though it hadn’t been my goal, I sharing something in common with much of the audience – she was looking tested because you won’t fit some became a businessperson. people’s pre-conceived notions or for work. Following is the text of her speech. I like big challenges, and the career stereotypes of what you’re supposed to path I chose for myself at the beginning My fellow job seekers: I am hon- something that I’ve believed very be, of who you’re supposed to be. was in one of the most male-dominated ored to be among the first to congratu- deeply; something that takes me back People will have stereotypes of what professions in America. I went to work late you on completing your years at to the earliest memories I have in life. you can or can’t do, of what you will or for AT&T. It didn’t take me long to real- North Carolina A&T. But all of you One day at church, my mother gave won’t do, of what you should or ize that there were many people there should know: as Mother's Day gifts go, me a small coaster with a saying on it. shouldn’t do. But they only have power who didn’t have my best interests at heart. this one is going to be tough to beat in During my entire childhood, I kept over you if you let them have power I began my career as a first level the years ahead. this saying in front of me on a small over you. They can only have control if sales person within AT&T’s long lines The purpose of a commencement desk in my room. In fact, I can still you let them have control, if you give department. Now, “long lines” is what speaker is to dispense wisdom. But the show you that coaster today. It says: up what’s inside. we used to call the long distance busi- older I get, the more I realize that the “What you are is God’s gift to you. I speak from experience. I’ve been ness, but I used to refer to the manage- most important wisdom I’ve learned in What you make of yourself is your gift there. I’ve been there, in admittedly ment team at AT&T as the “42 longs” life has come from my mother and my to God.” vastly different ways – and in many – which was their suit size, and all those father. Before we go any further, let’s Those words have had a huge ways, in the fears in my heart, exactly suits – and faces – looked the same. hear it one more time for your mothers impact on me to this day. What this the same places. The truth is I’ve strug- I’ll never forget the first time my and mother figures, fathers and father school and I believe in very deeply is gled to have that sense of control since boss at the time introduced me to a figures, family, and friends in the audi- that when we think about our lives, we the day I left college. client. With a straight face, he said “this ence today. shouldn’t be limited by other people’s I was afraid the day I graduated is Carly Fiorina, our token bimbo.” I When I first received the invitation stereotypes or bigotry. Instead, we from college. I was afraid of what laughed, I did my best to dazzle the to speak here, I was the CEO of an $80 should be motivated by our own sense people would think. Afraid I couldn’t client, and then I went to the boss billion Fortune 11 company with of possibility. We should be motivated measure up. I was afraid of making the when the meeting was over and said, 145,000 employees in 178 countries by our own sense of accomplishment. wrong choices. I was afraid of disap- “You will never do that to me again.” around the world. I held that job for We should be motivated by what we pointing the people who had worked In those early days, I was put in a nearly six years. It was also a company believe we can become. Jesse Jackson so hard to send me to college. program at the time called the Manage- that hired its fair share of graduates has taught us; Ronald McNair taught I had graduated with a degree in ment Development Program. It was from North Carolina A&T. You could us; the Greensboro Four taught us; that medieval history and philosophy. If you sort of an accelerated up-or-out pro- always tell who they were. For some the people who focus on possibilities had a job that required knowledge of gram, and I was thrown into the reason, they were the ones that had achieve much more in life than people Copernicus or 12th Century European middle of a group of all male sales stickers on their desks that read, “Beat who focus on limitations. monks, I was your person. But that job managers who had been there quite a the Eagles.” The question for all of you today is: market wasn’t very strong. long time, and they thought it was But as you may have heard, I don’t how will you define what you make of So, I was planning to go to law their job to show me a thing or two. A have that job anymore. After the news of yourself? school, not because it was a lifelong client was coming to town and we had my departure broke, I called the school, To me, what you make of yourself dream – because I thought it was decided that we were getting together and asked: do you still want me to come is actually two questions. There’s the expected of me. Because I realized that for lunch to introduce me to this cus- and be your commencement speaker? “you” that people see on the outside. I could never be the artist my mother tomer who was important to one of my Chancellor Renick put my fears to And that’s how most people will judge was, so I would try to be the lawyer my accounts. rest. He said, “Carly, if anything, you you, because it’s all they can see – what father was. So, I went off to law school. Now the day before this meeting probably have more in common with you become in life, whether you were For the first three months, I barely was to occur, one of my male col- these students now than you did made President of this, or CEO of that, slept. I had a blinding headache every leagues came to me and said, “You before.” And he’s right. After all, I’ve the visible you. day. And I can tell you exactly which know, Carly, I’m really sorry. I know been working on my resume. I’ve been But then, there’s the invisible you, shower tile I was looking at in my we’ve had this planned for a long time, lining up my references. I bought a the “you” on the inside. That’s the parent’s bathroom on a trip home but this customer has a favorite restau- new interview suit. If there are any person that only you and God can see. when it hit me like a lightning bolt. rant here in Washington, D.C., and recruiters here, I’ll be free around 11. For 25 years, when people have asked This is my life. I can do what I want. I they really want to go to that restau- I want to thank you for having me me for career advice, what I always tell have control. I walked downstairs and rant, and we need to do what the cus- anyway. This is the first public appear- them is don’t give up what you have said, “I quit.” tomer wants, and so I don’t think you’ll ance I’ve made since I left HP. I wanted inside. Never sell your soul – because I will give my parents credit in be able to join us.” very much to be here because this no one can ever pay you back. some ways. That was 1976. They could “Why is that?” I asked. Well, the school has always been set apart by What I mean by not selling your have said, “Oh well, you can get mar- restaurant was called the Board Room.
64 Baltimore SmartCEO August 2005 www.smartceo.com Now, the Board Room back then was a big headlines locally. It made me feel a has prepared you well. After all, North not by how others are going to define restaurant on Vermont Avenue in lot like the “token bimbo” all over again. Carolina A&T graduates more African you – and then stick to it. Find your Washington, D.C., and it was a strip I know all of you have your own Americans with engineering degrees own internal compass. I use the term club. In fact, it was famous because the stories. When you challenge other than any other school in the United compass, because what does a compass young women who worked there people’s ideas of who or how you States. It graduates more African Amer- do? When the winds are howling, and would wear these completely see- should be, they may try to diminish ican technology professionals than any the storm raging, and the sky is so through baby doll negligees, and they and disgrace you. It can happen in other school. It graduates more African cloudy you have nothing to navigate by, would dance on top of the tables while small ways in hidden places, or in big American women who go into careers a compass tells you where true North the patrons ate lunch. ways on a world stage. You can spend a in science, math, and technology than is. And I think when you are in a lonely The customer wanted to go there, lifetime resenting the tests, angry about any other school. Your motto is right: situation, you have to rely on that com- and so my male colleagues were going the slights and the injustices. Or, you North Carolina A&T is truly a national pass. Who am I? What do I believe? Do there. So I thought about it for about can rise above it. People’s ideas and fears resource and a local treasure. And Aggie I believe I am doing the right thing for two hours. I remember sitting in the can make them small – but they cannot Pride is not just a slogan – it’s a hard- the right reason in the best way that I ladies room thinking, “Oh God, what am make you small. People’s prejudices can earned fact! can? Sometimes, that’s all you have. I going to do?” And finally I came back diminish them – but they cannot Never sell your education short. And always, it will be enough. and said, “You know, I hope it won’t diminish you. Small-minded people can And the fact that this school believed in Most people will judge you by what make you too uncomfortable, but I think think they determine your worth. But you means you should never sell your- they see on the outside. Only you and I’m going to come to lunch anyway.” only you can determine your worth. self short. What I have learned in 25 God will know what’s on the inside. Now, I have to tell you I was scared At every step along the way, your years of managing people is that every- But at the end of your life, if people ask to death. So the morning arrived when soul will be tested. Every test you pass one possesses more potential than they you what your greatest accomplishment I had to go to the Board Room and will make you stronger. realize. Living life defined by your own was, my guess is, it will be something meet my client, and I chose my outfit But let’s not be naïve. Sometimes, sense of possibility, not by others notions that happened inside you, that no one carefully. I dressed in my most conser- there are consequences to not selling of limitations, is the path to success. else ever saw, something that had noth- vative suit. I carried a briefcase like a your soul. Sometimes, there are conse- shield of honor. I got in a cab. When I quences to staying true to what you Starting today, you are one of the ing to do with outside success, and told the taxi driver where I wanted to believe. And sometimes, those conse- most promising things America has to everything to do with how you decide go he whipped around in his seat and quences are very difficult. But as long as offer: you are an Aggie with a degree. to live in the world. said, “You’re kidding right?” I think he you understand the consequences and My hope is that you live life defined What you are today is God’s gift to thought I was a new act. accept the consequences, you are not only by your own sense of possibility, your you. What you make of yourself is your In any event, I arrived, I got out, I stronger as a result, you’re more at peace. own sense of worth, your own sense of gift to God. He is waiting for that gift right took a deep breath, I straightened my Many people have asked me how I your soul. Define yourself for yourself, now. Make it something extraordinary. CEO bow tie, and went in the door - and feel now that I’ve lost my job. The you have to picture this - I go into the truth is, I’m proud of the life I’ve lived door, there’s a long bar down one side, so far, and though I’ve made my share there’s a stage right in front of me, and of mistakes, I have no regrets. The my colleagues are sitting way on the worst thing I could have imagined hap- other side of the room. And there’s a pened. I lost my job in the most public SMART live act going on the stage. The only way possible, and the press had a field way I could get to them was to walk day with it all over the world. And along that stage. I did. I looked like a guess what? I’m still here. I am at peace complete idiot. I sat down, we had lunch. and my soul is intact. I could have TRAINING Now, there are two ends to that given it away and the story would be story. One is that my male colleagues different. But I heard the word of never did that to me again. But the Scripture in my head: “What benefit other end to the story, which I still find will it be to you if you gain the whole inspiring, is that all throughout lunch world, but lose your soul?” TOOLS they kept trying to get those young When people have stereotypes of women to dance in their negligees on what you can’t do, show them what you Sales and Marketing | Finance top of our table – and every one of can do. When they have stereotypes of those young women came over, looked what you won’t do, show them what the situation over and said, “Not until you will do. Every time you pass these Each month, Washington SmartCEO brings you useful the lady leaves.” tests, you learn more about yourself. information to educate, motivate and inspire you. Why It even followed me to HP. As you Every time you resist someone else’s not share this knowledge with your most important team may know, the legend of HP is that it smaller notion of who you really are, players? Article reprints are a great training tool and can began in a garage. When I took over, you test your courage and your we launched a get-back-to-basics cam- endurance. Each time you endure, and help you lead targeted discussions and meetings. Share these paign we called “the rules of the stay true to yourself, you become with your key management and all business colleagues. garage.” A fellow CEO at a competitor stronger and better. saw that and decided to do a skit about I do not know any of you personal- Call today for rates: 410-342-9510, x209 me. In front of the entire financial ana- ly. But as a businessperson and a former lyst and media community, he had an CEO, I know that people who have actress come out with blond hair and learned to overcome much can achieve Coaching | Management | Recruiting long red nails and flashy clothes, and more than people who’ve never been had a garage fall on her head. It made tested. And I do know that this school
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