Pediatric urgent care clinic survives first year

By Charles Rathmann, of SBT

While parents with howling sick or hurt children often cool their heels in the waiting rooms of hospital emergency rooms on weekends, a clinic on Milwaukee’s west side is quietly serving children in need of after-hours medical care – at much lower costs to patients and insurers.
Kids Urgent Care, a service offered by pediatricians Dr. Noemi Prieto and Dr. Gary Nordyke at Southeastern Pediatrics & Adolescents Clinic, has made it through its first year at the corner of 86th Street and Capitol Drive.
The clinic is open until 6 p.m. on Saturdays and Sundays.
As the number of patient visits increases to the point where the urgent care function begins to break even, Prieto looks forward to extending hours further.
Two years ago, a liquor store stood on the site where Prieto and Nordyke built a 13,000-square-foot clinic with the help of a $1.13 million loan from the Milwaukee Economic Development Corp.
"People ask, ‘Why did you invest a million in that corner? I tell them we are who we are because our patients made us," Prieto said. "The urgent care function came up when we kept hearing and seeing so many patients being taken to the emergency room unnecessarily."
Adding the weekend hours for urgent care was not without risk. At least one other team of respected local physicians had gone the urgent care route and hit the wall after being open a few months beyond Prieto’s current benchmark.
Prieto said she would like to add to the evening and weekend hours, but until the practice sees the requisite volume of urgent care patients during existing hours, she is taking a wait-and-see approach.
Although the clinic serves patients from as far away as River Hills, Menomonee Falls and Germantown, she recognizes that the clinic’s foundation is the northwest side of the city of Milwaukee.
Prieto accepts every type of public and private payer insurance, and she estimates that about half of her caseload consists of government-based insurance. Hospital-owned clinics typically require their physicians to steer clear of government insurance patients receiving Medicare or Medicaid, or the hospitals financially penalize physicians if their public payer caseloads eclipse certain percentages.
"We do take care of anything and anyone that walks in our door," Prieto said. "From our office, I had grown and gotten all my experience. I wanted to give something back."
Giving too much too soon can lead to business failure, so Prieto is counting on a go-slow approach to keep the practice from overextending itself with urgent care. Unlike appointment-based practice, which yields a relatively predictable return per physician hour, urgent care volume can run hot to cold.
"We started out staring at a lot of ceiling tiles," Prieto said. "We are still on our way there. It is nice to tell you we saw 35 patients in a day, vs. three patients in a day like we used to. We would like to see that number go up so we can expand the urgent care function to the weekdays."
However, a smart approach to distribution and an aggressive stance in acquiring other practices could help her enterprise from meeting the fate of the Harambee Medical Center, which closed its doors about four years ago. The Harambee clinic was a venture of physicians Wayman Parker, Eugene Pruitt and John Silkey.
Covenant Health Care System helped with grant writing and renovation of the facility at 2373 Dr. Martin King Jr. Dr.
According to Silkey, Prieto is doing a few things differently than the Harambee trio did.
"I think she is going about it the right way," Silkey said. "She is not duplicating equipment or space in order to provide the urgent care. The other thing is that if you expect to be successful, you need a busy private care practice, because a lot of what you are going to see in your urgent care will be your own patients."
Silkey said his was the only practice located at the urgent care clinic, which limited the volume of patients prone to use the urgent care function.
"My private practice was there," Silkey said. "But we duplicated rooms. I had five exam rooms for my private practice during the day, and then we had an additional four rooms for urgent care, which brought the initial number of rooms to nine. It was a waste of money, because we had to get a much bigger place. Everything we did there we could have been done in half the space, and that would cost less as far as overhead."
The practice also did not generate revenue from the entirety of the 6,000-square-foot building, according to Silkey.
"We had the upstairs and the downstairs we were paying rent on – but never did anything with the downstairs," Silkey said. "It needed renovation before it could be leased out. It never became income-generating. … Noemi, she is using the property well, so it will generate income."
Prieto also is taking a different approach to generating volume for her urgent care clinic.
Seven physicians and 10 physician assistants are associated with her clinics, building relationships that can feed the urgent care center. Prieto has taken an aggressive approach, purchasing or opening three other clinics in the metro area and building relationships and awareness among pediatricians.
"It started with just a practice here on Capitol," Prieto said. "Then, 10 years ago we opened a second location in Franklin. From there, I opened up a third location in South Milwaukee about five years ago. Two years ago, the Teamsters clinic on Bluemound asked us to do pediatrics. Then, 14 months ago, another senior pediatrician call me. He was ready to retire."
Prieto’s clinic bought out the practice of Dr. Anthony Coe, who operated a clinic north of 35th Street and Wisconsin Avenue in Milwaukee.
"The numbers are the power," Prieto said. "That is why I did what I did six or seven years ago when I saw the Aurora and Covenants buying everybody left and right. I only wish more of the pediatricians would feed (the urgent care center), vs. continuing to feed the monsters even more."

Emergency room or urgent care clinic?
Just the check-in process at a hospital emergency room can cost $50, and the whole visit for even a simple malady can run into thousands of dollars. By contrast, an entire urgent care visit can cost as little as $50.
Of course, while walk-in clinics should be an attractive option for those concerned about containing health care costs, some situations require the resources an emergency room provides.
According to Dr. Noemi Prieto, who operates an urgent care clinic for children at 85th St. and Capitol Drive, some pediatric problems cannot be handled at a walk-in clinic.
"Any parent that sees a child that is listless, nonresponsive, any difficulties breathing, persistent vomiting and diarrhea – those must go to an emergency room," Prieto said. "An asthma attack, once the parents have done their basics at home, should go to an emergency room. Ingestions – putting things in their mouth like children always do – have to go to an emergency room. I just had a little boy here who had stuffed a couple of pearls in his ear. We sent him to the emergency room."
Dr. Tom Luetzow, president of American College of Emergency Physicians’ Wisconsin Chapter, said parents can have difficulty deciding whether an emergency room or an urgent care clinic is the best option.
"It is so person-dependent," said Luetzow, who, until recently, served in the emergency room at Waukesha Memorial, but now is practicing at a Lake Mills clinic that offers an urgent care function. "Some people do, some people don’t. And sometimes you don’t know. When does chest pain become heartburn and when is it a heart attack?"

April 18, 2003 Small Business Times, Milwaukee

Cardiologist says neurons in heart can foster better business decisions

By Charles Rathmann, of SBT

The term “licensed technology” generally elicits images of computer software. But a licensed technology employed by a Shorewood cardiologist is designed to help business owners and managers use a different kind of software – the human heart.
Dr. Bruce Wilson is a licensed personal training licensee for HeartMath, a technology developed by the Institute of HeartMath (IHM), Boulder Creek, Calif.
While the thought of wellness technology developed in California encouraging people to explore their feelings may trigger certain biases, IHM’s system of tracking heart rhythms and using biofeedback to manipulate physical and emotional states is backed up by stacks of research.
The base collection of software and hardware retails for about $300. Group training is also provided directly by HeartMath.
Wilson, who initially was interested in using HeartMath tools to help with rehab of cardiac patients, found the tool also was excellent for hospital personnel.
Wilson plans to use HeartMath training for members of his staff at the Heart Hospital of Milwaukee, a 32-bed MedCath Corp. facility under construction in Glendale.
Wilson, who will be chairman of the hospital board, sites dramatic increases in employee retention and customer satisfaction tracked by an Illinois hospital using the training program.
According to Wilson and IHM literature, the Delnor Community Hospital in Geneva, Ill., had measurable business results after sending 40% of its staff to HeartMath seminars, including:
— A 20% reduction in employee turnover among employees attending the seminar;
— Improved customer satisfaction from the 73rd percentile to the 93rd percentile;
— A No. 1 ranking in employee satisfaction based on Sperduto and Associates’ national database of more than 300 health care organizations.
Wilson stumbled across the research supporting the new technology in medical journals in 1997. The fact that the institute was exploring the root causes of the stress that triggered or exacerbated the cardiac problems Wilson was treating intrigued him.
“They were talking about the vocabulary that makes up relationships,” said Wilson, who at the time was chief of cardiology at Columbia Hospital in Milwaukee. “I wound up attending a three-day seminar with 30 people. As soon as I started hearing the science behind it, I knew this was big.”
The science Wilson was so impressed with was IHM research that studied electrical impulses sent from neurons in the heart to the brain. Those impulses, IHM materials claim, are responsible for the brain’s release of stress hormones and have a direct effect on the brain’s higher thinking functions.
Extra beats and variations in heart rhythm that accompany stress, according to the studies, increased release of cortisol – the main human stress hormone – and inhibited release of other beneficial hormones, including dehydroepiandrosterone (DHEA).
IHM used its findings to develop a variety of products for an associated for-profit venture, HeartMath LLC. Those products include a proprietary heart monitor and software tool that allows individuals to monitor their heart rates and get biofeedback information on how successful they are in locking in a healthy, stress-free rhythm.

“Quackwatch” doctor is skeptical of HeartMath
By Charles Rathmann,of SBT

A physician who maintains a Web site on “quack” medicine takes a dim view of the science behind HeartMath and the Institute for HeartMath.
Dr. Steven Barrett of www.quackwatch.com said that when he first found out about the claims made by developers of HeartMath technology, he “decided it was not appropriate.”
Barrett posted HeartMath and the Institute for HeartMath (IHM) on his Index of Questionable Treatments and Index of Questionable Institutions.
“I didn’t understand what they were talking about – the meaning of the words,” Barrett said, adding that while heart rate may be manipulated with the help of a the type of biofeedback machine HeartMath LLC sold, maintaining a steady heart rate without the machine was difficult.
“Hooked up to a biofeedback machine, there are certain mental maneuvers that can have an effect on pulse,” Barrett said. “But there are so many other things that influence heart rate. Where is the evidence that anything you do in terms of attempting to regulate the heartbeat can cause it to stay regulated or that there is any clinical value? A study on something like this would probably have to span a number of years.”
Science of the Heart, a booklet circulated by the HeartMath Research Center, outlines the results of studies involving Heartmath technology. Barrett took a dim view of the journals the studies were published in.
“If they go out of their way to publish crappy and inconclusive studies, you may assume the good studies don’t exist,” he said.
However, more important than the credibility of the journals, Barrett said, was whether or not research focused on worthwhile data.
“There is a lot of literature on relaxation, but there is not a lot of evidence that they influence health,” Barrett said. “Everyone has ways of relaxing. Most people don’t need therapy to know what helps them relax.”
Dr. Bruce Wilson, the local cardiologist who has bought a training license from IHM, said research conducted to date consists of short-term pilot studies. However, Wilson said seminars and tools sold by HeartMath have more to do with management and performance enhancement than medical therapy.
Wilson refers corporate groups interested in HeartMath training to IHM, focusing most of his own efforts on training the staffs of medical institutions.
“I think the whole hospital program is aimed at stress reduction for the staff and retention,” Wilson said. “The turnover rate in the nursing profession is very high. And as you know, we are having a real nursing shortage by now. I am not selling this to hospitals as another therapy for people with rheumatoid arthritis. … When people hear about it, they are getting it from a guy whose business it is to understand this physiology. My credential is what allows people to accept the technology.”

April 18, 2003 Small Business Times, Milwaukee

Wisconsin business leaders foresee sluggish growth

By Harry Dennis III, for SBT

As this article is being written, war in Iraq has begun. Hopefully, by the time you read it, our incursion will have been successfully concluded, or in that phase where its principle objective of eliminating Saddam Hussein’s regime as a threat to the free countries of the world has been accomplished.
TEC International has developed a well-respected index, The TEC Index, that is administered in survey form to more than 5,500 chief executives in the United States, 520 of whom are located in Wisconsin. This is done each quarter.
The results of the first quarter are in. This month I would like to detail how Wisconsin CEOs view our world compared with their colleagues nationwide.
The results are interesting, to say the least. I make this observation in the face of a commonly held belief that “we, in the Midwest, are different.” Also, I’m only reporting certain answer category highlights, so the percentages in response to each question will not total 100%.
In terms of the current economic health of the US, Wisconsin CEOs are no different than their nationwide contemporaries; 60% see the growth as stagnant, and 34% see it as slow and steady.
For the full 2003 year, again, there are no differences. Seventy-six percent see the numbers coming in between 1 and 3 percent. In terms of specific business plans for the remainder of the year, again, there are no differences. Fifty-two percent expect to further cut operating expenses, and 52% are modifying their business strategy. Only 17%, in both cases, do not believe that the economy will affect their business plans.
The picture regarding personnel staffing is more convoluted. Thirty percent of the entire survey sample expects to increase staffing by 1 to 5 percent over the next 12 months. However, half as many Wisconsin CEOs compared with CEOs nationwide expect to increase staffing by more than 5%. Thirty percent of both groups see no change in staffing over the next 12 months.
Decisions regarding capital expenditures are similar for chief executives in Wisconsin and nationwide. Thirty percent expect increases in the 1 to 10 percent range. Seventeen percent see decreases of similar amounts, and another 35% see no change from last year.
Projected sales revenues show some differences between the Wisconsin and nationwide sample. Forty-four percent of the Wisconsin group expects sales to increase by less than 10%, while 33% of the nationwide group expects this. Likewise, 22% of the Wisconsin group see increases in the 10 to 20 percent range, while 27% of the nationwide group expect 10 to 20 percent growth. Ten percent of both groups report no expected change in revenues.
Roughly 86% of both samples identify these two strategies as most critical to long-term success: repositioning the company to accelerate growth, and recruiting and hiring top talent.
There is no disagreement between either group in supporting President Bush’s efforts to cut taxes: 62% agree, 20% oppose and 14% are undecided.
Regarding economic stimulus actions, there are some similarities and differences. About 60% of CEOs nationwide and in Wisconsin want to see income tax reductions for all earning brackets.
Interestingly, 32% of Wisconsin CEOs voted for tax reductions weighted more to middle and lower income brackets, while only 13% of CEOs nationwide did so.
Likewise, and far more striking, only 8% of Wisconsin CEOs support payroll tax reductions compared with 33% of the nationwide CEO sample. About a quarter of both groups want to see estate and dividend taxes reduced.
Regarding the war in Iraq, 16% of both groups expect it to have a mild positive impact. However, 63% of the nationwide CEOs expect a mild negative impact, compared with 48% of Wisconsin CEOs. Not surprisingly, over two-thirds of both groups supported the war effort before it became reality! On a similar note, both CEO groups rank Iraq and North Korea as presenting the most danger toward the US.
Roughly 60% of both groups support an increase in government powers of surveillance. But in terms of preparing for a potential terrorist attack, three quarters of both groups see nothing other than “business as usual.”
The final question of the TEC Index Survey asked respondents to indicate which industry will rebound fastest in 2003. There was a close match between Wisconsin and nationwide CEOs: biotechnology was ranked first; information technology second; and retail, manufacturing and professional services third.
Let’s face it, surveys are surveys and just that. They give us a clue of the future, but only that.
I continue to be impressed by the fact, as witnessed by a recent international conference of TEC colleagues that I attended representing more than 7,000 TEC members from 15 countries, that we in Wisconsin are highly respected for our continuing ability to successfully compete in spite of adverse circumstances.
China notwithstanding! Until next month, good fortune to all our Wisconsin enterprise!

Harry S. Dennis III is the president of TEC (The Executive Committee) in Wisconsin and Michigan. TEC is a professional development group for CEOs, presidents and business owners. He can be reached at 262-821-3340.

April 18, 2003 Small Business Times, Milwaukee

Recalibrating the standard
Four years later, a look at the Vendor and the Business Resource

By Jerry Stapleton, for SBT

It’s been more than four years since I wrote my first column for these pages. In my inaugural piece, entitled "Death of the salesman," I spoke with passion about the need for a fundamental transformation of the salesperson away from traditional selling, which I called Vendor/Problem-Solver selling.
The basis for my argument was simple: traditional selling had become obsolete and was no longer bringing value to customers or to the salesperson’s own company. "A salesperson, in order to contribute value, has to be viewed much differently by customers" I said. "He or she has to be viewed as a Business Resource." I then went on to define the difference between the Vendor/Problem-Solver and the Business Resource.
The theme of "Selling as a Business Resource" has been – and remains – the foundation of every column I write, my recent book and my consulting work. This hasn’t changed.
What has changed – or, more accurately, evolved – as a result of my firm’s ongoing work in the trenches with salespeople, is some (not all) of how I define the difference between "Vendor/Problem-Solver" selling and "Business Resource" selling. I’d like to re-calibrate, so that we retain a reliable standard for what we mean by "Business Resource."
And, like I did four years ago, I ask the questions: How do your salespeople sell? And, in turn, how do their customers perceive their value?
First, we must accept the premise the customers perceive the value of salespeople based on how they sell, not what they sell. Subconsciously, customers place salespeople somewhere on the pyramid shown in Figure 1.
For salespeople to create value for their customers – and their own companies – they must act in a way that causes customers to place them in the Business Resource part of the pyramid.
Whether a salesperson is likely to be viewed as a Vendor or a Business Resource can be determined by looking at nine dimensions of the salesperson. Some of those dimensions are proficiency-based, others are mindset-based. Either way, they are what define the salesperson. Figure 2 summarizes the dimensions. I briefly expand on them below.
1. Mode – Operating in "seek mode" is almost synonymous with being a Business Resource, while the "tell mode" of operation is what defines the Vendor/Problem-Solver. Traditional salespeople believe that their job is, in its simplest form, to educate and inform customers. As a result, they "seek" only long enough to find an opportunity to tell. But "tell" is their basic mode of operation.
2. Control – Can we control a customer’s purchasing process or buying cycle? Technically, no. Can we influence it? Absolutely yes!
The Business Resource attempts to influence the customer’s process by steering the customer to next steps. That can come down to something as simple as what the salesperson says at the end of a customer interaction. Where the Vendor might say, "What would you like from me?" (Where the answer, incidentally, is all too often the familiar, "Why don’t you send me a proposal!"), the Business Resource is more inclined to say something like: "Based on what we’ve talked about, may I suggest how we might proceed from here?" That’s steering, compared to the Vendor’s preference for reacting.
3. Self-perception – "The customer is always right" is an outdated Vendor mindset. (It’s still a valid service mindset.) It’s a result of the salesperson seeing himself as an advocate for the customer.
Such customer advocacy usually translates into the salesperson taking on the role of free technical resource for the customer or pushing the home office for better pricing.
The Business Resource sees herself as an advocate for both companies, seeking truly mutually valuable relationships with customers. Vendors feel like they’ll win customers’ favor by extending resources to them without asking for much of anything-even information-in return.
4. Focus – "Selling is about finding and meeting needs," says the Vendor. The Business Resource, on the other hand, understands that customer needs come from the customer’s business issues.
Where the Vendor is guided by the principle, "The more I focus on the customer’s needs the better I can serve that customer," the Business Resource is guided by the principle, "The more I focus on the customer’s business the more value I can bring that customer."
5. Awareness – "Find the decision-maker!" It’s a phrase that everyone in selling seems to live by. Not so the Business Resource. Why? Because the Business Resource has a high level of "organizational awareness." As a result, he or she knows that, because of political realities that exist in every company, "decision-maker" is a meaningless term.
The Business Resource deciphers each account’s political structure, making determinations about which contacts have, for example, a high title but low influence, or which ones have a low title but high influence.
6. Credibility – In order to be successful a salesperson must establish credibility with customers. The Vendor/Problem-Solver looks to his own technical competence as his source of credibility. The Business Resource seeks to establish "executive credibility," which requires not only technical competence, but a broad base of business competencies as well.
7. Decisions – The Vendor works on gut feel and instinct when assessing a sales situation and making decisions about it: "This one’s in the bag, I can feel it!" The Business Resource – mostly because she sells with a process – relies on objective criteria for her decision-making. She never stops asking herself three fundamental questions: 1. Should we pursue this opportunity? 2. Can we win it? Will it be good business?
8. Value orientation – How a salesperson perceives the value of his or her own offering has everything to do with how the customer will perceive its value.
Customers perceive the value of the Vendor’s offering as "price plus value-added goodies" because that’s how it’s communicated to them by the salesperson – "total cost of offering."
When customers assess the value of a Business Resource’s offering they perceive, instead, the aggregate value of doing business with the salesperson’s company – "total value of relationship" – because that’s how it’s communicated to them.
9. Accountability – When the Vendor loses a sale he or she says, "We lost because … (fill in the blank with "price," "our company’s poor reputation," etc.]".
The Business Resource takes full responsibility for winning and losing. If, for example, the Business Resource "loses on price," she immediately concludes that either she failed to communicate value in a compelling enough way or she failed to recognize earlier in the sales cycle that the customer would never buy on anything but simple purchase price, so she should cut her losses. In short, the Business Resource always says, "I was outsold!"

These are the nine dimensions of the Business Resource salesperson. Where do your salespeople – or you – weigh in on these dimensions? The answer will tell if you’re ready to participate in this new era of selling or will be left on the sidelines.

Jerry Stapleton is president of Stapleton Resources LLC, a Waukesha-based sales force effectiveness practice. He can be reached at 262-524-8099 or on the Web at www.stapletonresources.com.

April 18, 2003 Small Business Times, Milwaukee

Roundy’s corporate headquarters will return to Milwaukee

Downtown Milwaukee retail and residential development is expected to get a boost from corporate relocation of Roundy’s Inc. to east Wisconsin Avenue from Pewaukee.
The corporation announced April 14 that between 500 and 550 corporate employees would be housed in a facility being developed by Irgens Development Partners at 875 E. Wisconsin Ave. The corporation will lease 120,000 square feet of the 206,748-square-foot building, which is 90% leased.
The Roundy’s employees will be relocated from the Pewaukee headquarters and from Roundy’s facilities on Burleigh Street in Wauwatosa and on Holt Avenue on Milwaukee’s south side. The corporation’s distribution operations will remain at the Burleigh Street facility, which is adjacent to Highway 45.
While the new downtown office will provide more efficient operations for Roundy’s, corporate CEO Robert Mariano said quality-of-life issues were also at play in the decision to locate downtown. "The city of Milwaukee is absolutely the right place for our home office," said Robert Mariano, Roundy’s CEO. "There is so much here for our employees," he said at a downtown press conference announcing the move. "Many people just don’t know all the great things this city has to offer."
The employees will move into the new office structure is stages this fall. There will be no remaining corporate presence in Pewaukee, Mariano said.
Milwaukee Mayor John Norquist, noting that Roundy’s got its start in downtown Milwaukee, called it a "great day for the city." He said the presence of the Roundy’s employees "will fuel more development," including retail and residential development.
"Employees of Roundy’s will enjoy the good life of downtown Milwaukee," said Norquist, noting the many restaurants, shops and cultural amenities nearby. The 875 building is adjacent to O’Donnell Park and a stone’s throw from the Milwaukee Art Musuem, with its Calatrava-designed addition.
People who call on the corporate office from around the world will also enjoy those amenities, Mariano added.
When asked about Roundy’s retail presence in downtown Milwaukee, Mariano told those attending the press conference that another announcement related to its presence in downtown Milwaukee isn’t far off.
CG Schmidt is building the eight-story office tower for Irgens Development and will lease 4,000 square feet of space in it. Also signed as a major tenant is Artisan Partners, which will lease more than 54,000 square feet of office space in the building.
Mariano said Roundy’s considered several locations before settling on the downtown Milwaukee site. He called the cost to lease the facility "a wash" compared to what the company is paying for its current spaces.
He said employees expressed some concern about getting downtown and about parking. The company may address the traffic situation by adopting work shifts.
The Roundy’s home office, on Roundy Drive, was built in 1985 and now houses more than 200 employees. It moved to that location after being based on Burleigh Street in Wauwatosa, where it moved to in 1954 from Milwaukee. The company was established in 1872 at the corner of Water and Clybourn streets downtown, then moved to 241 N. Broadway 13 years later.
The corporation now has $4 billion in annual sales and supplies more than 800 supermarkets in 14 states from eight distribution centers. In addition, Roundy’s operates more than 80 Pick ‘n Save and Copps Food Centers. The company is owned by investment funds controlled by Willis Stein & Partners, Chicago, and employs more than 14,000 people.

April 18, 2003, Small Business Times, Milwaukee, by David Niles, SBT Editor

Questions to ask regarding elder care

According to Jenny and Steve Rayl, co-owners of the Home Instead franchise in the greater Milwaukee area, the in-home care-providing field has grown along with the senior population.
“Not all non-medical services have the same standards, or provide extensive training to their employees. So while we encourage you to get a third party involved in caring for your loved older adult – for another set of eyes and ears that provide personal attention and ease your caregiving burden – it’s wise to ask questions before you sign an agreement,” Jenny says.
The Rayls suggest you ask potential providers:

— How do you check backgrounds of your employees?
— Are your employees bonded and/or insured?
— Do you provide employees with workers’ compensation coverage?
— Do you withhold social security and all taxes, or am I responsible for that?
— How do you train employees?
— What are your rates and minimum hours of service? How often do you bill for your services?
— Do rates change for evening, weekend or holiday services? Can you provide 24-hour care, seven days a week?
— Do I need to sign a contract?
— Can I adjust the schedule once it’s started?
— Do I get to help choose the caregiver, or at least meet the person in advance?
— Does the same caregiver come each time, and can we change caregivers?
— What happens if the caregiver is sick?
— Does your office have a supervisor on call at all times?
— What type of records do you maintain in the home to keep us informed?
— If I have a complaint or problem, whom do I talk with?
— Are you a local or national company?

A common belief of today’s business leaders is that they have little or no control over their insurance premiums. The fact is there are sound risk management strategies that you can utilize to lower your costs immediately as well as for the long-term.
To accomplish that, you have to appreciate that it is more than just the premium you pay that affects your bottom line.
Your total cost of risk is comprised of much more than your annual premium. It includes deductibles and indirect losses such as downtime, damaged equipment/product, overtime, etc.
In my last Small Business Times article, we looked at the concept of total cost of risk and how you can affect it through a strong safety program.
Once you have established an effective safety program and you are witnessing fewer and/or less severe claims, you are ready to begin taking control of your insurance program.
In today’s hard insurance market, it is becoming more and more difficult to create an insurance program that fits your budget. There are three important steps in creating the ideal insurance program:
1. Gain an understanding of your critical risk factors.
2. Determine your level of risk tolerance.
3. Tailor your insurance program to fit your needs.

1. Identify your critical risk factors. What are your critical risk factors? Depending on your type of business, your critical risk factors are the things you do in your business that are most concerning to underwriters.
Those are areas that may expose you to catastrophic losses or simply contribute to a frequency of losses. Today, underwriters are scrutinizing your risks more carefully. There may be exposures in your business that do not contribute heavily to your revenue or profit, but create a great concern to underwriters.
Once you identify your critical risk factors, you can start to create a plan to minimize their impact, utilizing three different approaches: a) avoid risk, b) transfer risk and c) minimize risk with safety.
For instance, you may be a contractor that spends 1% of your time on scaffolding, and for that reason an underwriter may elect to pass on quoting your business. If you can avoid such risk factors, you may be able to open up opportunities that will greatly reduce your insurance premium.
Another option is to create a strategic alliance with another company that you may be able to outsource that portion of your business and effectively transfer the risk to others.
Your safety program should address and measure these factors in order to control and prevent future claims. Be aware of all your risk factors and measure them so you can determine areas of improvement.
2. Determine your risk tolerance. Once you have an understanding of your critical risk factors, you can begin to measure your risk tolerance.
In a hard market, it becomes imperative for you to begin retaining a greater portion of your risk.
You can increase your deductibles or self-insure parts of your business. We utilize a four-level risk hierarchy approach that gives companies a perspective on the types of insurance programs available to them and the opportunity to reduce their premiums by increasing their portion of the risk.
The four levels of the risk hierarchy represent different insurance programs that increase in risk at each level: guaranteed cost, insured retention, captive program, and self-insurance.
Level 1: Guaranteed cost: A guaranteed-cost program is one in which risk is transferred to an insurance company for a specified premium, or "guaranteed cost." The majority of companies fall into this first level.
Start-up companies and small to mid-size businesses may not have the financial capacity to assume much risk. Transferring risk with a small deductible is a sound approach at this level. As your company grows in financial strength and your ability to tolerate risk increases, deductibles can be increased to reduce insurance premiums.
Level 2: Insured retention (large deductible): At this level, you have established a proven safety-and-loss control program and are financially secure enough to support a loss-sensitive plan.
With an insured retention plan, actual losses impact the total cost of risk more than the insurance premium. As your comfort level grows, you can increase your retention level. With the increase in risk comes the potential for higher returns.
Level 3: Captive program: A captive is an insurance company established for the purpose of reinsuring the risks of its owners.
While it is true that most companies simply ignore this option by raising their retention level higher and higher until they become qualified to self-insure (Level 4), captives do have some advantages. These may include, among others, providing insurance coverage not otherwise available, allowing for recapture of investment income, and gaining greater control of claims handling.
Level 4: Self-insurance: Self-insurance is the highest level in the risk hierarchy. Companies operating at this level assume 100% of their risk up to a certain threshold (e.g., $1 million).
Excess loss insurance is purchased to protect against a catastrophic loss above the threshold. Loss control and claim handling services are purchased independently. Few companies are able to assume this degree of risk.
While you might find these levels self-explanatory, the distinctions between the levels are not widely understood or appreciated. We find that there may be a greater reliance on insurance market savings than sound risk management principles in a soft market. By clearly understanding the difference between the levels, you will be able to plan more effectively and increase your risk tolerance level.

3. Insurance program adjustments. The final step in the process is integrating all the knowledge and resources you’ve gained and utilizing it to create the ideal program. You are now in a position to review all the components of your program.
Ensure that limits and coverages are appropriate. In a soft market, underwriters were more willing to throw in additional coverages and limits; however, today those enhancements can be costly. Select the most appropriate plan based on your risk tolerance level. Compare the cost to retain risk versus insuring your risk.
Perhaps the most difficult decision you will face will be determining your liability limits. The umbrella and excess insurance markets have taken on some of the most significant price increases. Factors you need to consider are: What do my customers require? What is my company’s net worth? What makes me feel comfortable?
This is a personal decision with no precise formula. Making changes or reducing your coverages should only be done after a careful examination with your trusted advisors. This will allow you to effectively create and manage an insurance program that works for you.

Mike Natalizio is CEO and president of HNI Risk Services, a full-service insurance agency located in New Berlin, www.hni.com.

April 4, 2003 Small Business Times, Milwaukee

Commentary, By David Niles, SBT Editor

Those who want to see redevelopment in Milwaukee to help restore the city’s economic viability and national stature must be shaking their heads at recent development-related announcements.
One was called a "major victory." The other was termed an effort to help the less fortunate.
Neither will help the city but, rather, would provide additional incentives for people and businesses to move out to the suburbs and stay there.
The "major victory" was the recommendation of a Southeastern Wisconsin Regional Planning Commission study committee that no new lanes be added to I-94 within the city or to I-43 in the city and Glendale.
The other stifling recommendation is that development in the Park Freeway corridor be required to incorporate low-income housing and that any development provide "living wage" pay scales and health insurance.
They may be noble recommendations, but they are ill advised and would only serve to further impoverish the city.
Let’s talk about the freeway first. No community can thrive without a good transportation system; these days that means a good Interstate expressway system. While this paper supported the shortening of the Park Freeway in downtown Milwaukee, we at the same time support expansion of the main expressways that feed the community – I-94 and I-43.
Opponents of widening the expressways within the city argue that an expanded capacity would require that too many homes and business buildings be razed, would encourage more sprawl and would lead to greater air pollution.
The loss of homes and business properties is an incredibly real issue to those who occupy those properties, and a real issue to the city which garners tax income from the land. But any development involves a cost; we believe the cost in this case is worth the gain that an expanded freeway system would return to the city.
On the issue of sprawl, there is no doubt that suburban development accelerated with the development of the Interstate system in Milwaukee many years ago. Opponents of expansion say more lanes would just make it easier for people to leave the city. In other words, they believe artificial barriers should remain to prevent people from living and working where they want to. By not expanding the freeway, their logic goes, it’s more difficult to leave the city — never mind what people want to do.
Tragically, failure to widen the freeway in the city will not only make it difficult to head west and north, it will also make it more difficult for those who live outside the city to drive in for work, entertainment or any other reason.
The "New Berlin Wall" separating the city from the suburbs would only be reinforced.
On the air pollution issue, yes, more driving leads to more pollution. But there are ways to stem that – greater use of carpooling and intercommunity buses, among other conservation methods.
Ironically, Milwaukee was settled by both Native American peoples and by Europeans because of the great transportation afforded by its rivers and Lake Michigan. One has to wonder how the city might have developed had the anti-development forces defeated development of the St. Lawrence Seaway, the dredging of Milwaukee’s rivers and harbor, and the very creation of the harbor.
But what of greater mass transit now? Sure, work on rubber-tired systems. But leave rail out of the picture – it’s simply not realistic at this time in Milwaukee.
So now let’s look at the Park Freeway land. A group known as Good Jobs and Livable Neighborhoods wants development on the land to be burdened with costly regulations, including a requirement that at least 75% of jobs created by the developments provide a "living wage" and health insurance. Residential development should also include affordable housing.
Let’s say you’re considering the development of a new facility for your business. Would you welcome the additional regulatory and financial burdens? Or would you say "Forget it" and develop elsewhere? Probably elsewhere. And that elsewhere could well be the suburbs, leaving the Park Freeway land idle, generating little property tax income for the city and no jobs for anyone.
Then there would be an even greater need for affordable housing, and an even greater need for tax dollars to fund such housing.
On the other hand, how about just letting market forces determine what’s best for Milwaukee? We’d have a stronger, more prosperous community for everyone.

April 4, 2003 Small Business Times, Milwaukee

Retailers along South 76th Street are bracing for slow sales as traffic will be narrowed to one lane in each direction when the congested road is reconstructed this summer.
The $5.5 million reconstruction of 76th Street, also known as Highway U, will be paid for jointly by Milwaukee County, the Village of Greendale and the City of Greenfield.
The project will extend from Grange Avenue on the south to 1,000 feet north of Coldspring Road, and along Layton Avenue to the bridge over Forest Home Avenue.
Traffic will be reduced to one lane going each way during the reconstruction and, according to county and municipal officials, the contract with the construction company that submits the winning bid will require project completion before the holiday shopping season kicks off at Thanksgiving.
The reconstructed street will be easier to navigate — and after a second phase of construction in 2004, it also will be more attractive, transportation officials say.
According to Fred Abadi, director of the county’s Transportation Division, traffic navigation will be improved with upgrades in the pavement and signage, but subtle improvements will also be made to the design of 76th Street.
"People will see some improvement in traffic operations because we are extending many of the left-turn lanes," Abadi said.
A second phase of construction will beautify the median strip, according to Abadi.
"In the second phase, we will do the landscaping, decorative street lighting and stamped concrete," Abadi said, describing stamped concrete as concrete colored and stamped to resemble brick.
The brick-like surface will be applied to the two feet just inside the median.
"It looks nice – and when you come in winter and store snow over that, it does not damage the landscaping," Abadi said. "You wind up saving that first two or three feet of grass."
In the meantime, maintaining a decent flow of shoppers amid the dust and orange barrels will be a challenge this summer, according to affected business people.
"We are working on finalizing some plans," said Bud Schneider, manager of Southridge Mall. "I met with our marketing director. We are going to get together with our department stores by mid-April and decide on some strategies."
The owner of one business located in the eye of the hurricane — Cat Morrow of Robert F. Haack Diamonds — plans to take advantage of the construction dust to make some improvements of her building at the corner of Layton Avenue and 76th Street.
Morrow plans to acquire 4,400 square feet of property from a Midas Muffler location next to her location. The property will be paved for additional parking.
"We will do some remodeling inside, and we are going to be upgrading our property on the outside at the same time," Morrow said. "There will be new signage, a new retaining wall, new lighting and landscaping."
While Morrow said some sales during the construction process could still be successful, she fears overall sales volumes will decline during the project. Morrow indicated her business is less dependent on the holiday shopping season than some others in the 76th Street corridor are.
"We are the type of jeweler that does a big bridal business," Morrow said. "We are pretty steady all year round. In May, we have a customer appreciation day, and in August, an annual birthday sale. I expect to hold these events as we normally would."
However, Morrow still has concerns.
"I think we are getting people in from our advertising, word of mouth," Morrow said. "People will still drive to find what they want, but if word gets around that the area is congested, that might be a deterrent."
Once the dust settles, Morrow said, the changes will be positive for businesses in the corridor.
"What they are trying to do to revitalize the area – the street renovation, plus what the city is going to do with the lighting and the median strips – will in the long term be excellent for business. Hopefully it will attract an anchor tenant to the Southridge Mall, which we desperately need."
Milwaukee County Executive Scott Walker shares Morrow’s optimism about conditions in the 76th Street corridor following construction.
"It is as much an economic development issue as a transportation issue," Walker said. "We want to send a message that new things are happening. It is not just for the mall — it is for all the properties all the way north to Greenfield."
The cost of the first phase of the project, which includes reconstruction of 2.16 miles of roadway, will be $3.1 million, according to Abadi. Of that, Milwaukee County will foot the bill for $2.8 million, the City of Greenfield will cover $185,000 and the Village of Greenfield will pay $60,000.
Abadi said the tab for the second phase would come to $2.4 million. The county will pay for $300,000 of the work, the City of Greenfield will pay $1.5 million and the Village of Greendale will pay $550,000.

April 4, 2003 Small Business Times, Milwaukee

For decades, the privately held land surrounding the Port of Milwaukee has resembled an industrial war zone that time has forgotten, a maze of discarded refuse, tangled barbed wire fence, rusty barrels, coal piles and abandoned, crumbling factories and warehouses.
Amid the debris, the grit and the grime, real estate developers such as Tom Short and Jeff Klement are standing tall and asking a rather conceptual question: Can the land around the Port of Milwaukee be developed into a bustling commercial center, replete with hotels, restaurants, shops and office buildings?
To be sure, naysayers would have a long list of reasons for negative responses to that question, ranging from environmental contamination to the lack of a vision for the port by the City of Milwaukee.
No matter.
Short has purchased the former Milwaukee Solvay Coke & Gas Co. site at 311 E. Greenfield Ave., where he is proposing a $1.5 billion development that would include 14 new office towers. (See accompanying article.)
In addition, Short and Klement jointly purchased a 2.6-acre parcel at 435 S. Water St. in February and hope that one day they will be able to construct a hotel at the site.
The former National Warehouse Corp. site south of Milwaukee’s Historic Third Ward is directly west of the port, where the Milwaukee and Kinnickinnic rivers meet.
Klement and Short are tearing down the industrial buildings at the Water Street site.
And they’re dreaming of the possibilities.
“If this site were to be developed as a hotel, it would change the complexion of Milwaukee,” said Klement, a member of the family that operates Klement Sausage Co. in Milwaukee and the founder of Franklin-based Icon Development Corp. “The port is a natural resource. It’s almost tragic that it hasn’t been developed.”
Klement envisions a hotel, where visitors could look out at the port and watch ships and barges depart and arrive from the Great Lakes. Boaters could make use of a marina that could be constructed at the hotel.
Klement’s Icon Development would develop the site.
“I think this area is probably the next frontier in the city of Milwaukee, because of its proximity to the water,” said Michael Krill, development director and general counsel for Icon. “The lake and the rivers are underused resources. It offers an incredible opportunity to the City of Milwaukee, as far as expanding the downtown.”
The developers say the City of Milwaukee should take its cue from other Great Lakes ports, such as Cleveland, Ohio, which have maximized their waterfront resources with mixed real estate uses that coexist with functioning ports.
“If you go down to the port now, it’s crap. That’s the word for it,” Klement said. “I think they can work together, and they can complement each other. There are areas down there that are just sitting there.”
Klement and Short aren’t alone with their visions of the possibilities. Bill Hansen, president of the Hansen Storage Co., anticipates selling his firm’s warehouse at 541 E. Erie St. in the near future to make better use of the riverfront property.
“Where I couldn’t see it happening before, I do now. We know we’re sitting on something that could be significant in the future,” Hansen said.
Hansen also envisions selling his company’s warehouses at 412 S. Water St., across the street from the site owned by Klement and Short, for redevelopment as condominiums. He refers to the area as the “Fifth Ward,” and is discussing the notions of creating a business improvement district (BID) and a tax incremental financing (TIF) district to spur development near the port. The city refers to the area as the Harbor View neighborhood.
Hansen is hoping the momentum of development in the Third Ward extends into the land surrounding the Port of Milwaukee. After all, few people could have envisioned the development in the Third Ward 15 years ago, Hansen said.
However, before the dreams of a viable commercial district coexisting with a functioning port could be realized, the city would need to create its vision of the port.
Julie Penman, commissioner of the Department of City Development, agrees that the land surrounding the port has been underutilized, but the city has its hands full with the Menomonee River Valley redevelopment plan and the rebirth of the land beneath the downtown Park East Freeway, which is being torn down.
From the city’s standpoint, Penman said, the Port of Milwaukee will have to wait its turn.
“It’s a ways off yet,” Penman said. “We would need to put together a master plan that looks out 20 years into the future. We recognize that long-term, there are some parcels we want to look at. It’s on our list of projects. But we don’t want to do it piecemeal.”
The city is not likely to compile such a master plan for the port for at least two years, Penman said.
That’s not soon enough for those who say the redevelopment of the port is already long overdue.
South Town Points Inc., a nonprofit organization established by the Hispanic Chamber of Commerce of Wisconsin, plans to establish a BID to promote economic development on the city’s south side.
Ralph Fleege, president of South Town Points, said the Port of Milwaukee is very much on his organization’s radar screen.
Ted Hutton, a retired Allen Bradley Co. executive who is active with South Town Points, said a redeveloped port would be a catalyst for tourism in Milwaukee.
The port as it exists now is a disgrace for the city, Hutton said.
“When you take the Amtrak into Milwaukee from Chicago, you say, ‘My god, what kind of city is this?’ That’s the first impression of Milwaukee,” Hutton said.
Hutton recruited Brian Vandewalle of Vandewalle & Associates, Madison, to create a schematic of what a revitalized Port of Milwaukee could become.
Vandewalle has a track record for converting dilapidated industrial property into thriving waterfront commercial centers.
In the 1990s, the city of Moline, Ill., embarked on a mission to transform its downtown along the Mississippi River. The site of the worldwide headquarters of John Deere & Co., Moline’s riverfront was an industrial wasteland, much like the Port of Milwaukee.
By the end of the decade, Vandewalle had successfully transformed the site into a bustling commercial district, including The Mark of the Quad Cities Center, the John Deere Pavilion and Store, a Radisson Hotel, two new Class A office buildings, a new transit center, a downtown riverwalk and other commercial and retail venues.
Such a renaissance cannot happen in Milwaukee without a coordinated effort by the city, Klement said.
“It’s going to take time. It’s going to take money. It’s going to take vision,” Klement said.
Of course, even if the city develops that vision, it does not have the dollars to make it happen.
That could ultimately be the point in which a player such as the Forest County Potawatomi Community enters the picture. Jeff Crawford, Potawatomi attorney general, told Small Business Times that Wisconsin’s Native American tribes are poised to invest more than $600 million in economic development in the state. The Potawatomi is considering its options for private development throughout the Milwaukee area, including the port, Crawford said.
Redevelopment of the port would be a boon for Milwaukee, according to Rosemary Wakeman, an associate professor of urban studies and an author at Fordham University in New York.
Proven concept
“I very much believe the port should be open to the public. The ports that have been the most successful are the ones that have opened up their public spaces,” said Wakeman, who has studied successful ports throughout the world. “Office buildings, conference centers, restaurants – they are compatible, but they need to be very unique to the waterfront. When you do that, it’s extraordinary. You’ve got to find the unique qualities of Milwaukee’s lakefront and use that as the theme of the design.
“You just can’t be competitive as a port just taking boxes of shoes off of ships,” Wakeman said. “There’s a real education process that’s needed in a community.”
Ald. Suzanne Breier, whose district includes the Bay View neighborhood, said the private sector is anxious to redevelop the real estate around the port, much like developers took the lead to redevelop the Third Ward over the past decade.
“We’re going to have to get a master plan for the port, and I think we’re going to have to do it this year,” Breier said. “There’s just a whole new feeling for that area.”
Gateway to Bay View
Bay View also should receive a boost when Catherine Rohde, president and owner of Oasis Coffee & Vending Services, redevelops the former Reimers Photo Graphics site at 300 E. Bay St. near the corner of Kinnickinnic Avenue.
Rohde already has moved her business into the prime location from its previous home at 68th Street and Fairview Avenue.
Rohde has applied for a facade grant from the City of Milwaukee and plans to develop mixed uses, including office and retail, at the 10,000-square-foot site, according to leasing agent Bill Dixon of Dixon Commercial Real Estate Services.
The site had an assessed valuation of $289,000 in 2002, and Rohde plans to invest more than $60,000 for its initial facelift.
“This building is going to have a new face, a new look — big time,” Rohde said. “People are going to be impressed. Lots of windows, landscaping. I want it nice. We are the gateway of Bay View. I think Bay View has gotten a bad rap. Let’s start here and work our way up Kinnickinnic.”
April 4, 2003 Small Business Times, Milwaukee

Stephen Provancher has been promoted to the position of vice president at NAI MLG Commercial in Brookfield. Provancher joined NAI MLG Commercial in May of 2000 as a sales associate in the Industrial Group. Prior to joining NAI MLG Commercial, he spent more than 10 years in the commercial banking industry.

Shorewest Realtors has announced the appointments of two new assistant vice presidents and several new associate vice presidents. The Brookfield-based company’s new assistant vice presidents are: Deb Sloane, who is the sales director of the firm’s Waukesha office; and Jim Barth, who is the sales director of Shorewest’s Mequon office. Sloane joined Shorewest in 1988 and was then promoted to communications director and manager of the Menomonee Falls office. Barth began his real estate career in 1972 and was appointed sales manager at Shorewest in 1978. Shorewest’s new associate vice presidents are: Wendy Bruner, Susan Derby, Cheryl Gehringer, Karen Joost Henry, Laura Kruschka, Wendy Manzke, Richard Natrop, Rebecca Patnode, Ray Treinen, Cheryl Whettam and Heather Winser. Shorewest also promoted Marty Hersh to the position of assistant sales director in the company’s northwest Milwaukee office. He previously worked in the banking industry for nine years.
The Whyte Hirschboeck Dudek law firm has added five attorneys to its Milwaukee office. Karen Tidwall and Molly Zillig, formerly of Kravit, Goss, Hovel & Leitner, joined the Litigation and Transportation groups. Thomas J. Niemiec, Mark T. Garsombke and John D’Antico all joined the firm as associates. Tidwall graduated from Creighton University School of Law cum laude and earned her bachelor’s degree from the University of Nebraska at Omaha. Zillig graduated from Creighton University with her bachelor’s and law degrees. Niemiec was a shareholder with the firm of Bassford, Lockhart, Truesdell & Briggs in Minneapolis. He received his JD from the University of Detroit and his B.S. in business administration from Marquette University. Prior to joining WHD, Garsombke served as corporate counsel of Strong Funds. He received his JD from Regent University School of Law in Virginia and his BBA in finance and economics from UW-Milwaukee. He joins the Information Technology, Telecommunications and Intellectual Property groups at WHD. D’Antico, is a member of WHD’s Intellectual Property Group. He has degrees in electrical engineering (Marquette University, B.S., magna cum laude), business (University of Illinois, M.B.A., with honors), and law (University of Florida, JD with honors), and previously served as a nuclear propulsion officer in the U.S. Navy.
Lyle Fenske has joined design/build firm of La Macchia Group, Milwaukee. Prior to joining La Macchia Group, Fenske worked for M&I Bank, Quad Graphics and a private architectural firm.
Leslie Lynch has joined Precision Marketing Partners, Milwaukee, as a retirement plans sales manager for Mutual of Omaha’s defined contribution business. Lynch has more than 15 years of sales and human resource management experience. Prior to joining Precision Marketing, Lynch held several senior management positions at Strong Financial Corp., Menomonee Falls.
Glenn Gerschke has been promoted to division manager of the regional mall group at National Survey & Engineering, a division of R.A. Smith & Associates. Gerschke joined National Survey & Engineering in March 1998 as a project manager. In his new position, Gerschke oversees a staff of 16 engineers and technicians. Gerschke has more than 15 years of civil engineering experience. Gerschke holds professional engineer registrations in 14 states, including Wisconsin. He earned a bachelor of science degree in civil and environmental engineering from UW-Madison. Kerry Hardin has been promoted to project manager. Hardin has been employed with National Survey & Engineering since 1998 as a civil engineer. Hardin has a bachelor of science degree in civil engineering from Marquette University, Milwaukee. Paul McIlheran has been promoted to senior project engineer. He joined National Survey & Engineering in 2000 as a project engineer. He has seven years experience in sitework engineering with a specialty in stormwater management planning and design. McIlheran has bachelor of science degrees in industrial engineering from Marquette University and civil engineering from UW-Milwaukee.
Landmark Credit Union has promoted Jeff Knaub to branch manager of its New Berlin office. Knaub joined Landmark in November, 1997 as a consumer loan officer, having experience as a personal banker at an area bank. Landmark promoted Knaub to the position of management trainee in January, 1999 and then to assistant branch manager in August, 1999. He succeeds Rita Hanusa as branch manager of the New Berlin office. Hanusa retired after 14 years with Landmark. Knaub earned a bachelor of business administration in finance from UW-Milwaukee.
Edward Perlberg Jr. has joined R.A. Smith & Associates as a project manager in the visualization division. Perlberg is a recognized expert in the field of visualization. With more than 15 years of experience, he has been sought as a leading instructor and speaker for this emerging technology. He has provided animation capabilities to professional and collegiate sport teams including the Milwaukee Bucks, the Milwaukee Wave, the Milwaukee Admirals and the Marquette Golden Eagles. Perlberg was most recently employed with MasterGraphics, Waukesha, as a group manager and instructor. He is a graduate of the Milwaukee Area Technical College in the architectural technology program.
Steve Scott has been named program director of Smooth Jazz WJZI (93.3 FM). Scott joined Smooth Jazz WJZI in January of 2002, and immediately took on duties as the station’s music director and host of "Smooth Jazz Sunrise." He became interim program director in May of 2002. For the 12-year period prior to joining Smooth Jazz WJZI, Scott was with WKLH in Milwaukee.
Arlene Canning has joined HomeSale Realty as manager of the Oak Creek office. A 17-year realty veteran, she had been with Shorewest prior to joining HomeSale Realty. John Sedler, also a 17-year realty veteran, has joined HomeSale Realty as manager it its new Hales Corners office.
Michael Albiero has joined Versant marketing communications firm in Milwaukee as its creative director. He had been owner and creative director of Advertising Art & Design in West Bend. Versant has also hired Julie Stern as a media buyer. She is a Michigan State University graduate and previous worked at radio stations in Michigan, Nevada and Colorado. Carmen McKinley has joined the firm’s media department while Ben Hannemann has been promoted from account coordinator to account manager. McKinley, with 18 years of experience in media, previously worked for Direct Marketing Concepts. Hannemann, a UW-Madison graduate, has been with Versant three years.
Walter M. Bartelt has been named sales and marketing manager of the Industrial Group of Kracor Inc. in Milwaukee. Kracor has 31 years of sales and marketing experience in the plastics industry.
Wenda M. Roycraft has been promoted to the position of vice president at Wisconsin Business Bank. Roycraft is a a UW-Oshkosh graduate with a degree in finance and economics. Kevin R. Much has been promoted to the position of assistant vice president at the bank. With a degree in finance from UW-La Crosse, he has worked for other financial institutions.
John O’Brien has joined Cornerstone Consulting as sales and marketing manager. He has more than 25 years of experience.
Simon Mui has joined BankMutual as manager of its Southgate office at 3340 S. 27th St. in Milwaukee. Mui, who attended UW-Madison and Milwaukee Area Technical College, has been in banking four years.

Correction:
Educational information on two lawyers who have joined Weiss Berzowski Brady was incorrectly listed in the March 21 issue of SBT. The correct information follows: Anna M. Pepelnjak and Catherine A. La Fleur have joined the Milwaukee office of the law firm Weiss Berzowski Brady. Pepelnjak had joined the litigation practice group. La Fleur has joined both the litigation and condemnation practice groups. Pepelnjack is a graduate of Marquette University (B.A., 1975, magna cum laude J.D., 1978). La Fleur is a 1988 graduate of UW-Milwaukee (B.A., 1985) and Marquette University Law School (J.D., 1988).

April 4, 2003 Small Business Times, Milwaukee

Question: I’ve made efforts to create change and increase performance. Just about the time I get more involved and set specific goals, I can feel resistance.

Answer: In the last column, in the March 7 issue of SBT, the first four points of sales performance management were reviewed. Those points are: taking an inventory, creating a vision, reengineering the sales process and benchmarking performance indicators.
The remaining six points will take you from goals to outcomes and back again.

5. Set individual goals – This is the line in the sand for a no-excuses performance culture. Set mutually agreed upon "SMART" goals (specific, measurable, attainable, relevant and time-based) relative to the sales process and the individual’s vision, role, developmental level and strengths.
A no-excuses performance culture is about accountability. Start with smaller goals. Focus on reaching them as you foster a renewed belief in a new level of performance. You can always make them bigger.
Practice the no-excuses rule. If you say you’re going to do something or set a goal and don’t follow through, you’re only excuse to the other person or yourself should be to say "It just wasn’t a priority." Learn how to say no and make your "yes" count.

6. Agree on a management style – This is tricky. Much of the unproductive tension in relationships at work or at home is caused by communication styles, misunderstandings, pride, defensiveness and ego. Agreeing on a management style can be difficult if you don’t understand how you see each other. Have the courage to discover your strengths and weakness. You’ll find better ways to communicate, motivate and reduce misunderstandings. Annual 360-degree assessments can be a powerful tool.
Pay attention to developmental levels. When people are learning something new, adopting a more directive approach is usually more effective. As a skill or task is learned, people tend to respond better with a more supportive, less directive style. Then learn to let them fly. Let them run the show when accompanying them on a sales call. Bite your lip if you need to. They need to do it – to learn it. Debrief afterward.

7. Educate and train – Knowledge builds confidence and belief in one’s ability to make a difference. Provide product, market and competitive intelligence on an ongoing basis. Enlist the support of other sales reps, upper management, sales engineers, channel partners and anyone else in the know, including customers.
Doing is the common denominator for top-performing sales forces. Sales performance training focuses on the difference between knowing and doing – helping people do more of what works and less of what doesn’t.

8. Action – A goal without an action plan is a mirage in the desert. Do you have a plan for every day? A former boss of mine always would say, "Nothing happens until you’re on the phone or in front of someone who can buy. Set the goal, create the plan, understand the difference between urgent and important; then do it.

9. Monitor and measure – Are you in the field with sales reps on a regular basis? Do your sales reps have a system to monitor, measure and see their sales pipeline? Sales performance is measured by the ability to go from one step of the sales process to the next until the invoice is paid. Measure outcomes beyond just sales.
Break things down so you can measure the smaller steps in the sales process relative to the goals that have been set. Use ratios between important steps to determine what needs fixed. Give feedback in between the steps of the sales process.

10. Feedback and recognition – Give ongoing, objective feedback. Focus on behaviors and outcomes. Do more of what works and less of what doesn’t. Agree in advance on what will happen if minimum expectations are not met. This will help people feel listened to, understood and respected, while helping you to hold people accountable. There should be no surprises at appraisal time.
Recognize and reward desired behavior. Do you know what motivates your people? How do you know for sure? Have you asked? Have you tested it? Everyone is different. Some respond strongly to explicit motivation like awards. Others may respond better to implicit motivation like being reminded they are a valuable part of the team. How many times do you catch people doing something right?

Bruce Webster is the president of Business Development Partners, a Milwaukee-based sales training, executive search and performance management consulting firm. He is the author and presenter of StopSelling Sales Performance. He can be reached at 414-476-3161, e-mail bruce@stopselling.com.

April 4, 2003 Small Business Times, Milwaukee