Small Mid-Market Company Solutions

Windows 7 Upgrade Advice

10/15/2009 by Jack Burnett

As a Micrrosoft Gold Partner in multiple competencies, TwinEngines follows our partner's technology releases so we can offer advice to our small and mid-market manufacturing businesses.  We think the Microsoft technology platform is the most cost-effective solution for a small and mid-market company.

With the release of Windows 7 to manufacturing this past July, and planning for 2010 in full swing, I found a timely article on ZDNet offering information based upon Gartner Group analysts.

The prevailing attitude is that Windows 7 is not only Vista done right, but Windows done right.  If you have Vista PCs, then consider upgrading those to Windows 7 late next year.  Manufacturing businesses currently using Windows XP should start planning next year for the upgrade to Windows 7.  Target 2013 as the deadline for being off of XP completely.

While Windows 7 does not have the 'killer' functionality that drives immediate upgrades, and it's not a major architectural release either - it does have many good features such as:

• AppLocker
• BitLocker to Go
• BranchCache
• Better User Account Control Settings
• Improved UI
• HomeGroups Support

Microsoft Software Assurance (SA) is an important consideration during any new software release.  For users who don't have SA contracts, Microsoft's limits on downgrades to XP is 18 months from Windows 7's release or until the time Windows 7 Service Pack 1 is released - whichever is earlier.

Gartner's bottom line recommendations are:

TwinEngines started moving to Windows 7 on new PCs and any re-builds, and Windows 7 is meeting all desktop office PC needs.  We started planning for our shop-floor and back-office applications in the Windows 7 OS.  Click here to see the full article.

Southeastern Trade Adjustment Assistance Center (SETAAC)

9/16/2009 by Jack Burnett

SETAAC contributed the following article about their trade adjusment assistance program:

Has your manufacturing business been impacted by import competition?  If so, you are not alone.  Fortunately, many manufacturers have been able to receive federal assistance to improve their competitiveness and profitability.

The Southeastern Trade Adjustment Assistance Center (SETAAC) administers a U.S. government program that can provide up to $75,000 of U.S. government funds on a cost share basis for manufacturing firms that have been impacted by low-cost imports absorbing market share.  This program is available to all U.S. manufacturing businesses that have experienced declines in sales and employment due to import competition. 

The Southeastern Trade Adjustment Assistance Center (SETAAC), based at Georgia Tech's Enterprise Innovation Institute in Atlanta, helps manufacturers develop and implement turn-around strategies to compete better with imports in eight Southeastern states:

• Alabama
• Florida
• Georgia
• Kentucky
• Mississippi
• North Carolina
• South Carolina
• Tennessee

Last year, SETAAC helped more than 30 companies. On average, these companies received $42,000 in matching funds. In the last three years, SETAAC's clients have increased sales by 26 percent and improved productivity by 28 percent.

SETAAC's role is to partner with manufacturers and guide them through the 3-step process of certification, diagnosis and implementation.  There are various projects types eligible for funding.  Some common project examples are:

• ERP and production software installation and integration
• Production system innovation or re-engineering
• Quality compliance certifications/CE/ISO upgrades
• Lean manufacturing, Six Sigma, continuous improvement programs and custom process engineering solutions.
• Strategic planning and target market identification/planning
• Identification and development of new products and new markets/prototyping
• Export feasibility assistance
• Web site design/e-commerce implementation and/or sales literature

The program funds cannot pay for assets, but can pay for projects that improve a company's competitive position.  There is no cost to the firm to get certified.  

To learn more about SETAAC and how to get started, visit the SETAAC website or contact Maria Gorges, Program Director, at (404) 894-6787.

Southeastern Trade Assistance Adjustment Center (SETAAC)
Enterprise Innovation Institute
Georgia Institute of Technology
760 Spring Street, NW, Suite 330
Atlanta, Georgia 30332-0640

Quick Start - Georgia’s brand name for workforce excellence

8/07/2009 by Administrator

Rodger Brown, Director Marketing and Communications, Quick Start. contributed the following article:

The dedicated team at Quick Start, contributed the following about the strategic workforce solutions delivered to Georgia manufacturing businesses by Quick Start:

When cable network CNBC announced its latest ranking of "America's Top States for Business," the business-news leader noted: "Many states point with great pride to the quality and availability of their workers, as well as government-sponsored programs to train them."

Yes, many states do. But only one state can point to its ranking as No. 1 on CNBC's list for the quality of its workforce and workforce training. That's Georgia. And that's not the first time Georgia has been recognized for workforce development. For nearly a decade, Expansion Management magazine conducted an annual survey of site selection professionals to rank states in workforce training. These are the professionals who advise companies on the best locations to make investments, start a new manufacturing business and create jobs. Georgia scored the top spot numerous times, ranking No. 1 overall for all the years of the survey.

What accounts for that success? Such an achievement is always a team effort. State agencies, our technical colleges, the university system, individual communities, and our corporate partners in economic development collaborate to tell Georgia's story. What seals the deal with regard to workforce is the quality and effectiveness of the strategic workforce solutions delivered by Quick Start, a part of the Technical College System of Georgia.

For 42 years - since 1967 - Quick Start has been providing workforce training for small and mid-market companies creating and keeping jobs in Georgia. Quick Start's services are provided free of charge to new companies as an economic development incentive to locate in Georgia, and to existing companies to support them as they expand or implement new technologies to stay competitive.

Customized training - training the right people with the right skills to precisely meet each company's needs - is Quick Start's core business. But that's not as simple as it sounds. Today, those fundamental, practical skills incorporate higher-level challenges -- critical thinking, collaborative team skills, and dedication to continuous improvement. Companies are continually upgrading processes, developing new products, and implementing new technology, and these advances demand a new way of thinking about workforce training. Today's environment calls for strategic workforce solutions.

"Strategic workforce solutions" is not just a catchphrase. To deliver a strategic workforce solution, Quick Start must understand a company's culture, its products, markets, goals and manufacturing business challenges, as well as the specific requirements for different jobs. This strategic understanding then informs the relationship between Quick Start and the client company, adding value every step of the way -- from assessing and selecting candidates, to training new employees, and building efficient, productive teams. It's this deep and broad value proposition that earns Quick Start and Georgia the international recognition and top rankings that continue to grab headlines.

That's also how Quick Start has evolved as the top brand name for workforce solutions. Usually, people don't think of state agencies in the same way they think of commercial products or services that compete for brand awareness and brand recognition in the marketplace. Quick Start, however, is different. To effectively partner with manufacturers, Quick Start has to operate like a business itself. "Quick Start" is a registered trademark, and the state of Georgia has 42 years of stellar performance invested in the brand proposition represented by the name. It's a priceless asset that helped Georgia businesses create or save 17,601 jobs last year alone.

As all businesspeople know, this is how brands work. Our range of experience - from manufacturing to biotech, warehouse and distribution, and business operations - and our range of clients - from locally owned and operated businesses around the state to international corporations - all contribute to the meaning and value of the brand name Quick Start.

Quick Start is Georgia's unique brand advantage that means world-class performance, rapid and efficient training, effective and strategic partnership, and bottom-line return on investment.

Best of all, for companies creating or retaining jobs in Georgia, Quick Start's strategic workforce solutions come free of charge.

No wonder Georgia wins.

Companies Are Collaborating to Cut Costs

6/25/2009 by Jacqueline Harris

Andy Williams, Partner, M33 Integrated Solutions, contributed the following about blog:

Companies Are Collaborating to Cut Costs

The doom and gloom mentality stemming from our country's financial crisis has set in. By now, you have probably been presented with countless old and new strategies for weathering the economic storm.  As is usually the case, some of these strategies work for some of the companies out there, but none of the strategies work for all of them.  Still, that doesn't mean they're not all worth investigating if it means you might find the strategy that works for you.

One of the trends that we've seen emerging in this economy is network collaboration.  And why not?  With the ubiquity of information management systems and the ability for multiple parties to communicate in real time, collaboration is an idea whose time has come.  It's not the right fit for every company, but it's becoming a major driver for cost reductions in the companies that are making it work.

Logistics veterans might describe collaboration as an over-hyped solution that rarely gets results in the real world.  Effective collaboration means creating a network of trading partners that enables shippers to operate more efficiently and at a lower cost as a group.  In the past, collaboration was prohibitive to business because the labor required in coordinating activities canceled out the cost savings.  But with the widespread adoption of web-based logistics planning tools, as well as the growing reliance on Third Party Logistics (3PL) partnerships, shippers have the capabilities necessary to integrate distribution channels and transportation providers to minimize collective distribution costs and execute 'best-practice' solutions.

Most companies have adopted lean practices over the last decade, but there's a natural barrier that keeps independent companies from reaching the next level of savings.  Let's put this concept in more understandable terms:  I can negotiate a very low rate for a cab ride for myself, but it won't be cheaper than splitting the fare with someone else. 

Most companies do not currently have the resources to search and create these collaborative networks independently.  In today's down economy, options to smart-source this network creation initiative to a third party partner are increasing.  It is critical to investigate any future partner's ability to create and host network collaboration communities.

When like companies in like markets collaborate to form a collective distribution network, either independently or through a third party, they will inevitably benefit from reduced costs and faster time-to-value.  The companies that comprise such a network, share in best-practice solutions, while solidifying reliable relationships with providers that typically wouldn't present a partnership fit independently.  Carriers newly introduced to these networks find immediate synergies with the other companies, often increasing their availability in critical lanes for their original client.  Additionally, with over 80% of the trucks on the road carrying less than full trailer loads, collaboration allows cost sharing for shippers, increased carrier revenue, reduced capacity demand in the market, and often faster transit times.

In this economy, everyone is trying to do more with less.  There's no question that most companies will come out of this recession leaner than they were when it began, but the competitive advantage will go to those companies that used this time to implement new partnerships and processes that will increase efficiency when the economy turns around.   Forward thinking management at proactive companies will create that advantage through collaboration.

Strategic Crisis Leadership

6/17/2009 by Jacqueline Harris

Bruce T. Blythe, CEO, Crisis Management International, Inc. contributed the following about Strategic Crisis Leadership:

You are a leader of a small, mid-market company or a large enterprise: What would you do in the three situations briefly outlined below?

Crisis Leadership Moment #1  Imagine that it finally hit! The avian flu has just been confirmed to be contagious. One of your traveling employees has just been diagnosed with this dreaded disease after returning home. Your workforce is fearful that they might have been exposed and most are not personally prepared at home for an outbreak.  But, you need them to carry out the company's business continuity plan. Employees in mass want to take time off. What do you do?

Crisis Leadership Moment #2  You learn that one of your facilities has been emitting low-level toxic substances for an undetermined amount of time. It is the company's fault due to a prior decision to delay replacement of a faulty system in one of your facilities. But, it is quickly remedied.  Possibly, employees, visitors and others have been exposed to a small degree. Most likely, the exposure was minimal with no harm.  Unfortunately, a similar situation occurred at the same facility last year. You reported it to the authorities and the media, in learning about it, exaggerated the story, blaming the company for putting people at risk.  If knowledge of the present toxic emission were unveiled publicly it would likely cause serious reputation and legal damage to your organization, now that it has happened again. But it would be worse if discovered later that you tried to cover it up. Possibly, your position within the company is on the line, as well. Only you and a couple of trusted subordinates know about the emission now. Do you proactively go public and risk the feared personal, reputation and legal damage or try to resolve the situation quietly with (hopefully) no public harm done?  Two bombs hit your facilities simultaneously in different locations with a note from an activist group taking credit. Do you close all your facilities throughout the enterprise as a safety precaution? If so, for how long?  If not, what are alternative responses?

Crisis Leadership Moment #3 Two bombs hit your facilities simultaneously in different locations with a note from an activist group taking credit. Do you close all your facilities throughout the enterprise as a safety precaution? If so, for how long?  If not, what are alternative responses?

Time's up. Tell me. What are you going to do?

Experience and empirical research all seem to agree that it is best to prepare. Crisis planning, training, tabletop exercises and simulations-they all play an important part in helping you as facilities managers prepare for an unexpected crisis. But, then it hits for real and all bets are off.  With no prior notice, you must make on-the-spot crisis leadership decisions and implement rapid-fire responses.  Your people are stressed-out and deadlines are time compressed. Information is inadequate and the high-consequences of your responses could determine if people will be harmed, careers ruined and your company seriously damaged.  Quick! What's the first thing you'd do if someone slammed his car through the front plate glass doors of one of your facilities?  What if it happened during work hours and people were killed? Have you made some decisions? Great, now unmake them.  Because you just found out that he was a disgruntled employee. That changes things.  What do you do now? Have you decided?  Good. Now undecide. Because you just watched a local TV anchor report that your company knew the employee was an alcoholic and he had been making threats.  Most crisis preparedness addresses tactical and logistical issues, e.g., notifications, evacuations, emergency response, etc.

Unfortunately, there is very little preparedness for managers who must make high-quality, defining decisions in the midst of chaos. Yet, leaders at all levels of an organization in crisis must make best-judgment crisis response decisions in ambiguous, high-consequence situations.  Purposeful crisis leadership preparedness is a vital missing ingredient in most corporations. Commonly, the belief is that managers like you, "are intelligent, experienced leaders and they are paid to make tough decisions during crises." This attitude is analogous to a professional sports team that believes they have such highly talented athletes there is no need to develop a playbook and use any plays during the game.

No learned crisis leadership skill will overcome the lack of character, ethics or integrity.

What do you need to be? Caring.  Demonstration of caring is more important that all other leadership traits combined, according to research by the Center for Risk Communications. If you come across as uncaring, people will become outraged. Caring during crisis response is not a feeling. Caring is a set of corporate and personal behaviors that elicit the perception in impacted stakeholders that you and your company truly care.  What do you need to know? As a leader, you must have a vision for crisis resolution. Without a clear and compelling vision for response and recovery, you will not be able to adequately lead your people during times of crisis.  And do? The single most important action is two-way communication. Simply put, you will never be any better at responding to crises than your communication.  That involves how well you listen to obtain the facts and how well you speak openly to impacted stakeholders.  This is one prescription that we impart in leaders who take the time to purposefully prepare for their responsibilities as Strategic Crisis Leaders. It can work for you, too. 

Tough times? Use them wisely!

6/15/2009 by Chris Zimmerman

Recently, I have spoken to many companies who have taken the approach to hunker down and wait for the storm to pass:  taking the path of expense cutting, halting any capital or discretionary spending, and reducing sales and marketing initiatives.  Although for some, this is the prudent move, for many an opportunity has presented itself.  We all know, and history has shown us, that the economy will rebound and in most cases, manufacturing businesses will be there after the storm. 

So in these down times, what can we do and what can we gain?  A few potential ideas:

• Examine all process and procedures for:
  • Redundant or double data entry
  • Highly manual processes (high potential for errors)
  • Examine the use of spreadsheets in production (limited visibility)
  • Data availability to the appropriate parties (executive, back-office, customers, vendors)
• Utilize technology to solve the above issues
  • In most cases using the systems already owned
• Potential manufacturing business gains:
  • Increased market share when business increases
  • Increased profitability through a more scalable business with no expense increase
  • Improved operational efficiency for a clearer view of data for better decision making
  • Broader view of all data across the entire business
  • Improved process can allow for reallocation of over staffing and head count

It is not always for the faint of heart to make bold moves in difficult times, but more often than not, they will be rewarded for their foresight with a more dominant business.

The link below is to a blog post from the President of SGIA, he agrees that the time is right for business and process improvement.

Last to Move - First to Lose

Small Companies Do Social Media, too

6/10/2009 by Jack Burnett

I read that more than 260,000 small businesses in the US and Canada employ social networking tactics, according to a study by Sage Software and AMI-Partners.  The TwinEngines' customer base of small and mid-market companies participating in the manufacturing value chain, has in the past, always pointed out to me that only the larger companies can afford to experiment with social media.  What I am finding is that actually companies of all sizes benefit from using social media tactics.

What the study found was that small companies are using LinkedIn the most, followed by Facebook, and then job sites and niche community sites.  The top reasons they are using social media are for customer service, networking and educational purposes.  Responding to customer questions, promoting product launches, advertising the benefits of products are being accomplished with social media strategies.

We talked recently at a local Atlanta technology association (TAG) gathering how companies need to consider 2 often overlooked factors when deciding to employ social media.  One is differences in generation.  Younger people will more likely participate and benefit from social media interaction. 

The other is a person's temperament - whether introverted or extroverted. If you want to share and spread knowlege among co-workers, then experience shows that social media allows introverts a way to participate comfortably. The company benefits, because otherwise the knowledge stays locked up in the employee.

Considering education and knowledge transfer within a small, mid-market company: if all your employees are extroverted, aging baby-boomers, then perhaps social media may not make a difference. Considering marketing, advertising, customer service: same thing if all your customers, suppliers and vendors are in the same demographic.

When marketing on social media platforms, Ad Age offered these tips:

• Track sales made on social media.
• Don't use Twitter as Facebook (and vice versa).
• Create a conversation with friends and followers.
• Sell last-minute inventory.
• Alert followers to changes.

An example of a great way for an eBusiness to offer promotions, is a Twitter promotion for that day, only.  Direct people to your eCommerce website with the promotion on Twitter and track the results of the coupon promotion.

Georgia QuickStart for Manufacturing Businesses

6/01/2009 by Kevin Seefried

Many manufacturers are not aware of the resources available through Georgia Quickstart.  This group is a true jewel for Georgia and a key asset when attracting new manufacturing business to the state like the recent Kia plant located in LaGrange.  Georgia QuickStart doesn't just focus on new business, they also work to help keep and grow existing manufacturing business through training and retraining programs.  These training  programs are a great way to educate workforces on new solutions, business systems and processes at small and mid-market companies.

I was glad to read in the Georgia QuickStart Winter 2009 Newsletter, that the Camilla, Georgia Ethanol plant had its first grind as it starts operation.  I had the opportunity to drive by and see this facility last year as I headed down to our annual beach trip and was very impressed. 

Also, be sure to check out the last page of the newsletter to see how this group is making an impact in the state of Georgia and in your area.

Microsoft Robotics Studio Has Potential

5/25/2009 by Kevin Seefried

Microsoft Robotics Studio for Manufacturers.

Each year I attend the Microsoft Worldwide Partner conference.  Two years ago as Steve Ballmer delivered his keynote address he presented a slide to show all the new products Microsoft had released that year.  In the bottom corner I caught a glimpse of an obscure reference to Microsoft Robotics Studio.  Being in manufacturing for small and mid-market companies, this peaked my interest and I started to follow the product.  The next year as part of a new product demonstration on the main stage Robotics Studio got its 15 minutes of fame in front of all the partners in attendance.  The demo was actually disappointing, but the fact it got time reinforced my belief Robotics Studio might be an up and comer for the real-time enterprise.  At that same conference the product had a booth and I had the opportunity to talk to one of the product managers.  That conversation in addition to all my research made me realize that this was not a niche product targeted to robotics hobbyists.  I realized it has real potential based on some of the observations made below.

The Digital House
There has been a lot of discussion about the digital house.  I have seen refrigerators with internet access and game consoles delivering on demand movies but what is going to be the brains for the digital house.  The gaming industry manufacturers are adding features to achieve that goal and the audio visual companies are making their play but does either groups have the right technology base to provide the standardized brains to pull it all together.  I would argue that the right technology foundation would derive its roots from robotics and the associated asynchronous technology.  This is not a trivial market and Microsoft has a technology and the pull to deliver.

Manufacturing
Next, I look at the software currently running and connecting devices on the shop floor for companies who participate in the manufacturing value chain.  This realm is dominated by PLCs and software/tools provided by equipment manufacturers.  The programming languages and standards are fragments and archaic.  Some companies like Siemens can provide an end-to-end solution but these solutions are not practical for the small, mid-market manufacturers.  The disconnect on the shop floor makes it very difficult for companies pursuing concepts like the Real-Time Enterprise or trying to bridge the gaps between the front office and the shop floor.  If Microsoft can provide the R&D required to deliver a product for the shop floor that commoditizes the software for device manufacturers and easily connects equipment, there are huge productivity gains available.

Zero Labor
Manufacturers and other industries participating in the manufacturing value chain have realized the benefits of offshore labor to reduce costs.  To compete against this labor model the keys for US based manufacturing's viability is innovation, speed to market, and short lead-times.  But as energy prices rise, the pressure on firms to reduce their carbon footprint increases, and a stable, low cost labor force is more difficult to find will manufacturing return to the US through Zero Labor investments.  When you look at history we can use agriculture as an example.  Large numbers of people used to harvest but we now have farming equipment to do the work.  We used to dig holes by hand but now there are backhoes. 

As manufacturing becomes a fully mature industry can we remove labor as a major cost driver and return production to local sources.  The keys to this movement will be investment in automated machinery, the implementation of robotics, and the increased use of information technology.  I see a drastic change coming and Robotic is one of the keys.  We have to move to lower labor and transportation costs but we are not going to be able to lose the flexibility we have gained by shopping the world market for specific capabilities.  Robotics allows us to create flexible work centers that can adjust quickly to changes in market demand.  It is my belief that manufacturing equipment, robotics, and information technology will merge as we drive towards Zero Labor capabilities. Microsoft Robotics Studio has the potential to enable this trend.

Are You PCI Compliant?

5/21/2009 by Jack Burnett

I am helping a marine supplies company expand their customer base and increase consumer sales with a new eCommerce website. Consumer sales means credit card payment processing. Credit cards mean PCI compliance.

Some people think that PCI compliance is the big credit card companies attempt to push the responsibility down to the merchants, so they don't have to spend money now to upgrade their infrastructure from the 1980's. While there may be some truth in that, a merchant is responsible for protecting its customers' credit card information when they purchase their products. If they want to offer VISA, MasterCard and American Express credit card payments, then they have to follow the rules.

Wikipedia says the Payment Card Industry Data Security Standard is a worldwide information security standard created to help organizations that process card payments prevent credit card fraud. The standard applies to all organizations which hold, process, or pass cardholder information.

PCI compliance means that merchants and eCommerce solutions must follow the standards or be liable for credit card fraud. There are 6 core principles and 12 requirements to follow. The major business areas to consider for a merchant are:

• Merchant's facility, order processing and internal financial/ERP systems
• eCommerce website
• Credit card processing gateway
• Processor
• Merchant Bank

I recommend Authorize.net and PayPay Payflow Pro credit card processing gateways in our eCommerce websites, because they are rock-solid PCI compliant. A merchant chooses their Merchant bank and processor company, and best practices dictate due dilligence to ensure PCI compliance. This happened to be a concern for the marine supplies company, because they chose to use Heartland as the processor. Heartland was removed from the PCI-compliant list in March because of data breaches (see eCommerce Times article here), so it was important to ensure they were back on the PCI-compliant list; they were reinstated earlier this month.

TwinEngines eCommerce solutions do not store full credit card information in the website database. Very limited, partial information is stored only for customer service. The shopping cart transaction is secure with SSL, and does not display full credit card numbers anywhere after the card information is taken. The administrative engine used in eCommerce websites, connects directly to the credit card processing gateway to authorize payments at check out and to capture the charge at shipment.

Some merchants use the eCommerce website administration tool to process phone orders, ensuring PCI compliance. The eCommerce website holds the credit card gateway transaction numbers to allow the merchant to work with the transactions securely in the credit card gateway's virtual terminal. This is necessary for activities such as voiding an authorization or crediting a card when needed.

If you are selling online, the first place to start is the PCI DSS questionaire found at the PCI Security Standards Council. You'll also find the 6 core principles and 12 requirements established by PCI SSC.  After you do your homework, make sure your eCommerce website will be in compliance when selecting a partner to help you implement commerce on the web.

eBusiness - TV Shows and Your Product Catalog

5/20/2009 by Jack Burnett

We were discussing TV shows and viewing habits over coffee recently. Topics like, how there is never enough time to sit down and watch the regularly scheduled show. How some people record the show and watch it later. How popular shows are on the network companies' Internet websites now.

I had missed the season finale of a favorite show this week, but I watched the show the next night on the network's web site. I get asked often by small and mid-market companies, 'What is eBusiness?, and over our morning coffee I explained how this was eBusiness for the network TV company. They offered me an easy way to view the show online with very, very little commercials - so much so that the hour show lasted around 42 minutes.

The network's web site is up 24/7 so I could watch the show anytime I wanted. I was on their website where they controlled the viewing experience and the content - advertising in this case. I didn't skip commercials by using a competing product like recording technology to watch the show. When I view shows I sometimes even meander around the site to see what else the network offers.

Sounds like eBusiness to me. When I work with small and mid-market companies  to increase sales leads and revenues with an eCommerce website, those are all the types of benefits we discuss. As an eBusiness service, your product catalog or service offerings are available to the general public 24/7. You decide what actions consumers can take and what information, in what format, is viewed. Customers can shop or purchase products when it is convenient to them from practically whereever they want.

At TwinEngines, we have found that small and mid-market companies can attain a larger customer base and increase sales with an online product catalog and an eCommerce website. The internet is another sales channel that does not require staff to answer shopping questions or conduct the sales transaction.  By adding email marketing and continually improving the website with search engine and social media optimization, small and mid-market companies can increase the velocity of growth on the web.

Technology has come a long way allowing companies to expand their reach and serve customers all day, every day. The trick to success is planning and the strategy of taking the technology and integrating the web eCommerce solution so that information flows through your organization supporting the value-adding activities in your business value chain.

Carbon Emissions

5/14/2009 by Administrator

Eric Taub, CFA, Founder/Managing Partner at Verus Carbon Neutral Partnership LLC. contributed the following about carbon emissions:

Carbon Emissions - Don't Miss the Train

Whether you believe in human-induced (anthropomorphic) Climate Change or not, there is a very real chance that your business will be affected by the regulations surrounding Cap and trade. It will create a layer of costs for companies that are not prepared. Subsequently, your company's carbon footprint will become an important tool. Don't be surprised when your stakeholders expect to see it on your next annual financial statement.

Currently, there are seven Cap-and-trade bills pending, some of which have bi-partisan support (one is co-sponsored by Senator Specter who recently became a Democrat). The most recent of which is the Waxman Markey bill. President Obama has made it very clear that he supports Cap and trade. Finally, the EPA has recently moved to regulate CO2 as part of the Clean Air Act (a George H. Bush legacy). The EPA set a level 25,000 metric tons of CO2 as a starting point; affecting over 13,000 manufacturing facilities in the US.

You could say the Climate Change train is coming down the tracks at a good clip and you have three choices: lead, follow or get out of the way (don't get run over). Don't worry it's not all doom and gloom for your business. The choice to climb aboard basically means that you choose to create assets and these assets can serve many different purposes:

• hedge against energy costs
• investment in intellectual property, patents, etc.
• competitive advantage

The best way to hedge against high energy cost is to use less of it. With some coaching, most manufacturing companies can trim their energy use by at least thirty percent. If you accomplish that, congratulations, not only have missed getting hit by the train, you're on board with a first-class ticket. This means you were able to switch to an energy-saving culture. There are detours to watch out for; like the big sign that says electricity is only at about 14 cents a kilowatt hour. You can avoid that detour by remembering how some of the airlines prospered by having the vision to hedge jet fuel when it was cheap.

Now if your manufacturing business is particularly energy savvy, you may develop energy-saving products or technologies that are marketable or attractive to investors. So, instead of being a mere passenger on the train, you get to supply it with energy. If your company is big enough to get directly effected by Cap and trade, the use of these assets could help you create valuable CO2 offsets as well.

If you want to steer the train you have to join the list of over 100 business members on Chicago Climate Exchange. Members include companies like Dell, IBM, Ford Motor Company, and American Electric Power (and a number of lesser-known smaller businesses as well), all of which have made legally-binding commitment to cut their CO2 emissions.

To get a base line of where your CO2 is coming from you must measure your carbon footprint. Without a metric that tells you where you are it's difficult to determine if you're on the right track of building assets or the wrong track of creating liabilities.

2009 Economic Outlook for the Small/Mid-Market

5/13/2009 by Jack Burnett

Mark Vitner, Wachovia's Managing Director of their Economics Dept. spoke recently at an event sponsored by Business Builders in Atlanta.  Mark had a great analogy for our economic situation.  He said, 

"We were going around a tight curve and out of control in the 3rd quarter of 2008.  During the 4th quarter of 2008 we hit the railing and flew off the cliff. 
During the current quarter we will hit the trees, and in the 2nd quarter this year we will hit the bottom of the ravine. 
Then we will need to call AAA, get a tow truck, and get pulled back up the mountain."

This analogy paints the picture that it is going to be worse before it gets better in 2009, and the recovery is going to reach into 2010.  As we talk with our customers and learn more about their customers, we see shifts in ways companies are operating.  Our observations can provide valuable insight for the small and mid-market community we serve.

Here are some of those observations:

• Manufacturers associated with traditional, offline marketing and communication services have been hurt.  Billboard printers, newspapers, envelope manufacturers, etc. are suffering, for example.  Companies are adding B2B and B2C eCommerce, e-mail campaigns, and web analytics.  Web-based marketing gives you more for your dollar, and produces measurable results as opposed to the sometimes unclear results from other marketing efforts. 
• We notice that there are not many companies beginning or starting a large, extended ERP/MRP project.  Most companies have made those investments over the last few years.  Now people are looking how they can leverage that investment by adding on custom solutions to the core systems that increase competiveness.

Continual improvement programs following a strategic plan are more important than ever.  Smaller projects with tangible short term results are in.  We think it's time to concentrate on the shop floor - improving your work processes and visibility of information across the manufacturing value chain.