February 2010
New name, new reach
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The business world has changed a lot in nearly 20 years. The same can be said for the Lake County Business Journal, which debuted in May 1991. Entering its 20th year in publication, the newspaper is spreading its wings.
The Tri-County Business Journal debuts with this issue. While the now-former Lake County Business Journal has included coverage and circulation to communities bordering the county, that reach is expanding to a portion of eastern Cuyahoga County and northern Geauga County.
“The Lake County Business Journal has served businesses in the county well for two decades,” said Publisher Todd Nighswonger, owner of locally owned parent company TNT Publications. “Now we want to take our focus on news and information important to small businesses and report on a wider geographic area.”
Nighswonger noted that while there are other business publications in Northeast Ohio, none concentrate on small-business coverage, nor focus on a specific geographic area like the tri-county corridor. The Tri-County Business Journal will report on small businesses in the eastern Cuyahoga suburbs of Euclid, Richmond Heights, Highland Heights, Mayfield Village, Mayfield Heights, South Euclid, Lyndhurst, Beachwood, Woodmere, Pepper Pike and Highland Hills. The newspaper will continue covering Chesterland and Chardon in Geauga County.
“Having lived in the expanded coverage area since 1996, I know that many people consider eastern Cuyahoga, Lake and northern Geauga as contiguous,” Nighswonger said. “Just as business has become international, many businesses don’t limit themselves to one county.” Readers and businesses in Lake County can rest assured that they will continue to be a primary focal point of coverage. The business journal’s roots in the county will not change.
While virtually no print media in Northeast Ohio are expanding – most, in fact, are reducing circulation, pages and staffing – TNT Publications decided that there was an unmet need for business news and information beyond Lake County.
“The main reason we are expanding is because we believe there are small businesses in eastern Cuyahoga and northern Geauga that seek to have their story told,” Nighswonger said. “We are here to tell those stories and look forward to learning about the many great companies in the tri-county area.”
Chesterland-based TNT Publications also produces Cleveland Family, Akron Family and Lake/Geauga Family magazines, Ohio Sports & Fitness magazine, City to Country Guide and several Web sites, e-newsletters and events.
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Manufacturers come together
Alliance for working together addresses common challenges
by Peter Strozniak
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Manufacturers need highly skilled workers like Cher Firestos to run high-tech equipment such as a programmable coordinate measuring machine in use at Astro Manufacturing & Design in Eastlake. Photo by Todd Nighswonger. |
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Businesses have had to withstand two recessions over the last eight years. When hard economic times hit, manufacturing companies usually are the first to feel the pain.
In the early months of 2002 when the first recession followed 9/11, Rich Peterson got a call from Roger Sustar, president of Fredon Corp. in Mentor, a precision machining manufacturer.
“All of us were struggling,” remembers Peterson, vice president of business development for Astro Manufacturing and Design in Eastlake, a contract manufacturer. “The economy just went flat in the manufacturing industry. Roger talked about his idea to form a new group that could help local manufacturers.”
Low-key, high-benefit
AWT is a different business group. It has no lofty mission statement, no regularly scheduled meetings and no membership dues. “I think that’s one of the beauties of the AWT,” Peterson says.
That modest and friendly informality of the AWT has attracted the attention of manufacturers from across Northeast Ohio. Today, AWT boasts nearly 50 members who get together for lunch meetings from time to time at the Radisson Hotel in Eastlake. AWT members buy their own lunches and hope to leave with a little more know-how or ideas that may help their business.
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OPINION
To have and to hold, in good times and bad
by Peter Strozniak
To make it through this painstakingly slow economic recovery, you’d figure business owners would be stepping up their customer service and satisfaction efforts to hold on to clients.
A recent report released by the Ohio attorney general, however, reveals a shocking trend of record-breaking consumer complaints against businesses. Richard Cordray reports that consumer complaints in 2009 reached a historic high at 30,259, which was a whopping 20 percent higher than the number of complaints filed in 2008. The top consumer complaint categories:
1. Motorized vehicles, including buying a car, auto repair services and receiving titles from dealers. 2. Collections, credit reporting, credit repair and financial services. 3. Household goods and property improvement. 4. Internet and phone. 5. Shopping, food and beverages. 6. Mortgage lenders and foreclosure rescue companies. 7. Computers and electronic products. 8. Professional services. 9. Health and beauty. 10. Utilities.
“Ohio consumers have had enough, and we’re seeing them speak out in numbers we haven’t seen in the past,” Cordray says. What’s more, just think of how many more Ohioans posted bad comments on thousands of Web sites about products and services that didn’t meet their expectations.
Ohio consumers — your customers and prospects — are angry. That anger is being fueled by a struggling economy. Even though the national economy is recovering, it doesn’t feel that way. New jobs are not being created, property values are depressed, and money and credit are tight. Your customers have enough to worry about, much less the patience or the tolerance to deal with businesses that fail to meet their expectations.
For more than 20 years, I’ve covered the business world for national, regional and local business publications and Web sites. I’ve had the privilege of meeting and learning from successful small and mid-size business owners, entrepreneurs, corporate CEOs and business consultants from all industries. I think all of them would agree that holding on to your customers is mission critical, because during lean times, you have fewer resources to go after new clients.
Perhaps it’s time for your business to do a customer satisfaction check up. Don’t send them a survey. That’s impersonal and may aggravate them. Don’t send them another e-mail newsletter about how wonderful your company is. They already get too many e-mails and, believe me, you don’t want to make them angrier.
What can small-business owner do to keep their valued customers? It’s time to get out of the office, the plant or the shop and meet face to face with your customers. Have a genuine, candid and open conversation with them. Listen carefully to what they tell you. Then take the initiative not just to meet their expectations, but to exceed them.
By taking these steps, you improve your chances that your customers will continue to do business with you during challenging times. Perhaps they’ll do even more business with you when the good times return. Don’t worry, they will.
Peter Strozniak is a contributing editor for Lake County Business Journal. He can be reached at Peter55@xemaps.com.
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“When I started my business in 1969, it was easier to survive and do everything myself. But as we entered the new millennium, I think many of us saw that in manufacturing it was becoming more difficult to survive in today’s business environment,” Sustar says. “We like to exchange ideas and how-to information about common issues and problems. Our members are first-class people who want to help one another, and that’s what we try to do.”
For example, AWT colleague Dave Verbic of Mentor’s Accurate Metal Sawing Service, which produces precision-cut metal products, showed members how they could save big bucks by installing energy-efficient lights at their plants. “Dave is the guru of energy efficiency. At Fredon, we installed 124 new light fixtures. Obviously, it cost money, but we will see huge savings over time,” Sustar says. “Plus, we got a 25 percent tax credit because Dave Verbic shared his knowledge about energy efficiency and how it could benefit our businesses.”
AWT members keep in touch via e-mail. Members are welcome to suggest topics to discuss. Once a consensus is reached on which topic to address, a meeting is scheduled.
“After the group was formed, we’d get eight to 10 people at our meetings,” says Peterson of Astro Manufacturing. “Now, we get 20 to 25 and sometimes more.”
Common concerns
AWT has focused on common issues such as health care, business insurance, product liability, new industry standards, production, accounting and finance, legal matters and human resources.
The group also works with political, industry and academic leaders. AWT members, for instance, are collaborating with Lakeland Community College leaders to address current and projected labor shortages in the manufacturing industry.
Northeast Ohio manufacturers will need 60,000 new employees over the next 10 years to replace retiring baby boomers, according to Cleveland-based Manufacturing Advocacy and Growth Network. MAGNET provides consulting, services and resources to greater Cleveland’s manufacturing companies.
The manufacturing industry, however, has changed dramatically since the baby boomers entered the job market 40 years ago. Because of continuing advances in manufacturing technology and production, U.S. companies increasingly need highly skilled and highly trained employees.
To meet those workforce needs, AWT has been working with Lakeland Community College for about a year to develop an associate of applied science degree with a concentration in manufacturing.
“I entered this project to facilitate and assist the needs and wishes of the AWT,” says Patricia Hoyt, dean of workforce development and continuing education at Lakeland Community College in Kirtland. “The AWT marketing and curriculum committees are fully engaged and are the decision makers in this process.”
New degree offered
Student enrollment for this new degree program is expected to begin in the summer or fall.
The curriculum requires students to complete 63 credits in technical mathematics, applied physics, engineering mechanics, general education courses, as well as core manufacturing subjects such as computer-aided design (CAD), manufacturing processes, jig and fixture design, and quality techniques. Students also will be required to complete an AWT co-op work experience and select an option or focus in production, maintenance, installation and repair, or CAD.
Reportedly, US Endoscopy, a medical device manufacturer in Mentor, will offer a $5,000 scholarship for a student who enrolls in the associate’s degree program in manufacturing.
“As a growing manufacturing employer in Lake County, we strongly believe in what this program stands for and what it could do for the local manufacturing community and, in turn, what it could do for successful graduates in the years to come,” says Tony Siracusa, US Endoscopy’s chief operating officer.
Sustar believes a college degree program in manufacturing may convince moms and dads, as well as students, that manufacturing can provide stable jobs with good wages and benefits.
Advanced manufacturing careers pay about $54,000 annually, which is 20 percent more than wages provided in other industries, MAGNET reports.
AWT also plans to launch an aggressive marketing campaign to build awareness about the degree program and to debunk negative stereotypes of the manufacturing industry to encourage students to consider manufacturing as a career opportunity.
For more information about AWT, contact Roger Sustar at Roger.Sustar@Fredon.com or 440
-951-5200 or Rich Peterson at rpeterson@astromfg.com or 440-946-8171.
Peter Strozniak is a contributing editor for Tri-County Business Journal. He can be reached at Peter55@xemaps.com.
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The feeding frenzy in today's economy
How local restaurants use creative means to put a fork in slow business and keep cookin'
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OPINION
Bring back business lunches
by Kay Bryson
Restaurateurs are forced to spend precious time, money and energy marketing to survive.
A majority of Americans are dissatisfied with their jobs. They are overworked and underpaid but, most surprisingly, bored.
Technology was supposed to make us more efficient, productive and enhance networking opportunities. Instead, professionals claim they’re too busy for face-to-face meetings, communicating instead by e-mail, texting, tweeting or on social networking sites. While pondering these three issues, an “aha” moment came to me while I was in the shower (they always do). The best ideas are always the simplest, so I’m surprised this one hasn’t yet caught fire.
We need to bring back the business lunch, solving all three problems while reviving a ritual that has served the business community well. Lately, I’ve had the opportunity to speak to young professionals who confirm they are bored and dissatisfied at work. One started a new job in the creative field, but had to beg her supervisor for job training, proactively asking for 15 minutes a week for input. She was told by the overworked boss, “That will never happen.”
Lunch breaks were discouraged for another in a high-stress, customer-service job. She was asked to take her legally allowed, one-hour break in 15- or 30-minute intervals. Most of her co-workers eschew lunch altogether, silently sending the message she is less of a team player. Long, stressful days with a lack of nutritious food eventually will take its toll.
While we conduct business on FaceBook, MySpace, Twitter and BlackBerrys, we miss out on face-to-face encounters essential toward building relationships and moving up the corporate ladder.
All the while, the business lunch became all but obsolete. We’ve forgotten that business luncheons provide invaluable bonding experiences, while developing long-term relationships.
Today, we’re unable to tear ourselves away from technology long enough to come up for air. We communicate in 140-character or less tweet speech and consider meeting for an hour with one or two colleagues as wasted time when a mass Twitter profile or Facebook post can reach hundreds of people in minutes.
Technology has made this possible, but a revival of the business lunch would help the economy grow, relieve worker’s suffering and release our total dependency on electronic gadgets. We can even give it a modernized 2010 twist for today’s climate, solving a myriad of problems in the process.
First, we can save restaurants struggling to survive. Mom-and-pop establishments can rise from near extinction to nourish our bodies and souls with healthy, hot food. People with common interests and goals can break bread together and conduct business in a civilized, relaxed atmosphere during the work day.
Second, we can humanize the workplace once again. Productivity may be higher than ever, but it’s only a matter of time before the house of cards falls as exhausted and disillusioned workers succumb to stress, apathy, illness and frustration. Ultimately, productivity will suffer from the frenzied pace of human beings.
Lastly, a return to business luncheons will dispel the perceived myth that everyone must be connected electronically to be relevant. It should be mandatory that phones are turned off during lunch.
We can look our co-workers and clients in the eye. We can talk with them, laugh with them and even cry with them. New ideas and concepts will spring from a creative spirit of cooperation, instead of the lone wolves we’ve become. We’ll become healthier and more productive. We’ll innovate and enjoy ourselves more. It could be the dawn of a saner era of communication, 2010 style.
Kay Bryson is a Painesville-based freelance writer who has written for several other publications.
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by Kay Bryson
Business may not be booming for restaurants in this “new economy,” but local restaurateurs are creatively satisfying loyal and new customers with innovative menu choices and incentives to keep their doors open.
Area establishments have had to dig deep to entice business their way to combat several reasons for potentially fewer customers. Examples include employees staying in their offices more for lunch because of longer work hours, less-frequent business travelers needing to be entertained, reduced travel and entertainment budgets and higher gasoline prices. Of late, throw in Northeast Ohio’s frightful winter weather.
Measuring the pulse
Two similar local companies in the multi-county food delivery business contract with more than 100 restaurants to offer online ordering and delivery. As a result, the two delivery businesses see trends in the overall success of area restaurants that has helped their success, as well.
Dave Umina, co-founder of www.delivermefood.com, reports $2 million in sales last year, a 25 percent increase over 2008. Lunch sales constituted $1.2 million, with doctors’ offices as his best customers.
Restaurateurs tell Umina that using his services is like found money, sometimes enough to cover monthly mortgage payments. Umina has purchased four smart cars, which advertise the business while making deliveries. Facebook advertising and up to 4,000 hits per day on its Web site keep sales rolling in.
Similarly, George Seoud, owner of Food Fetchers (www.feedu.net), credits his “gorilla marketing” tactics, free delivery and Web site-offered coupons and rewards with his success.
Not resting on past success
Besides discount dining options, Molinari’s in Mentor recently added a Wolfgang Puck-style, wood-stone pizza oven capable of making 40 gourmet pies an hour at a price range of $13 to $20. These pizzas can easily be shared by lunch companions, according to owner Randal Johnson. He believes this menu addition will offset last year’s 10 percent volume decline and fills an area culinary void. The economy has helped Johnson to focus more on restaurant operations and to become a better business operator as a result. Molinari’s now has 18 signature pizzas, including one with wild shrimp, brie, sweet onions, roasted garlic and tomatoes, and mascarpone cheese. Mary Gromelski, co-owner of Gavi’s in Willoughby, says the upscale restaurant had a successful 2009, even with a dramatic drop in business expense accounts as a rule. She credits increased business to the addition of a summer patio and bar, lunch-time catering deliveries and in-house corporate lunches.
To increase its corporate clientele, Gavi’s added vans for on-site lunch deliveries to customers like Lubrizol and Lincoln Electric. Over its 15 years in business, Gavi’s only has used extensive marketing for the last three years, Gromelski says. One example is a mass e-mail marketing effort to offer coupons and advertise specials such as Tuesday half-price wine for lunch and dinner.
Hellriegel’s Inn in Painesville has seen a decline in lunch-time business, but has made up the difference by catering to retirees and seniors who, after eating affordable lunches of quiches, soups and daily specials, stay to play bridge and other card games at the tables. These social gatherings are encouraged by restaurant partner Silvio Trifiletti, who says his establishment is more conducive to relaxation. In addition, Hellriegel’s has been helped by customers using more coupon books and longstanding civic and professional groups such as the Kiwanis and Lake County Bar Association that still hold monthly meetings at the restaurant. Weddings, anniversaries and baptism celebrations are also popular.
Necessary changes
Mark Glasper, director of communications for the Ohio Restaurant Association says that overall, restaurants are feeling the pinch as costs have risen dramatically while customers have declined for the most part. As a result, most have introduced ingredient reductions, price specials and smaller portion/smaller prices solutions, as well as used inexpensive social mediums such as Twitter in their marketing plans.
While the economy is improving, Ohio still is slow to rebound, so Glasper encourages people to treat themselves to a night out. “As jobs go, so goes restaurants,” he says. “But specials are to be had at all price points.”
Kay Bryson is a Painesville-based freelance writer who has written for the Plain Dealer, the News-Herald and many other publications.
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We hope you enjoy our monthly feature article (above). Lake County Business Journal is a monthly newspaper filled with news, feature articles and announcements for the Lake County business community. Stay informed about the people, companies and new ideas that make Lake County the place to be. Subscribe to the print edition to read the complete issue. |
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