January 2016: Issue 17
Official magazine of Wisconsin’s Chamber
New Year,
New Leadership
Incoming WMC Chairman
Bob Kamphuis, Mayville Engineering Company, Inc.
Page 4
Inside:
Lead Story: 2016 CEO Predictions p. 22
Improving Wisconsin’s Business Tax Ranking p. 20
The Business of the Green Bay Packers p. 36
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WISCONSIN
BUSINESS VOICE
From the Editor
Welcome to the 17th edition
of Wisconsin’s only statewide
business magazine, which is
published by Wisconsin’s largest
business association – Wisconsin
Manufacturers & Commerce.
The circulation of Wisconsin
Business Voice has hovered around
4,000 C-level executives since
the publication was created in
2012. We have now expanded that
circulation to 16,000 with the goal
of exposing more state business
leaders to news and information
they simply won’t find anywhere
else.
For the lead article of this edition
we talked to 12 business leaders from all sectors of the economy
to get their take on where we’re headed in 2016. The good news?
CEOs remain cautiously optimistic in what WMC president/CEO
Kurt Bauer calls this ‘bipolar economy’ – good news one day, bad
news the next.
WMC is Wisconsin’s leading advocate for business. Our lobbying
team is in the halls of the Capitol building every day to ensure
Wisconsin’s businesses are protected. We work to share business
best practices and tell the stories of those who are leading their
industries. We are also the state safety council training workers so
that every employee goes home safely from work every day.
As we move forward into 2016, drop me a note if you have a
topic you’d like to read about in a future edition. And stay tuned
for April where we’ll focus on venture capital, solving the talent
shortage, Fab Labs and more.
Happy New Year!
In this issue…
2
The Failure of Shortcut Economics
4
It Takes Teamwork to be Successful
6
The End of a Shameful Era in Wisconsin
8
The Future has Begun
KURT R. BAUER, WMC
ROBERT D. KAMPHUIS, MAYVILLE ENGINEERING
COMPANY
SCOTT MANLEY, WMC
JIM MORGAN, WMC FOUNDATION
Annual Future Wisconsin Economic
10 Second
Summit
EVENT WRAP-UP
and Career Planning
16 Academic
STEVE BENZSCHAWEL, WMC
Leadership
18 Education
CHRIS READER, WMC
Wisconsin’s Business Tax Ranking
20 Improving
JASON CULOTTA, WMC
22-25 2016 PREDICTIONS
CEOs Cautiously Optimistic
Engineer’s Perspective – Spinning our Wheels
30 An
RAJ SHETH, MEAD & HUNT, INC.
Year’s Resolution: Safety Benchmarking
32 New
JANIE RITTER, WMC/WISCONSIN SAFETY COUNCIL
Wisconsin’s Economic Engine
35 Fueling
MARK HOGAN, WISCONSIN ECONOMIC
DEVELOPMENT CORPORATION
Business Evolves and Grows
36 Packers
MARK MURPHY, GREEN BAY PACKERS
Time to End Wisconsin’s Unnecessary
39 It’s
Nuclear Moratorium
LUCAS VEBBER, WMC
Editor, Wisconsin Business Voice
kpettersen@wmc.org
Collaboration between Industry and
41 Effective
Education
DR. DAN THOMA, UNIVERSITY OF WISCONSIN –
MADISON
Common Ground
42 Seeking
CONGRESSMAN POCAN (D) AND CONGRESSMAN
RIBBLE (R)
Wisconsin Business Voice is published quarterly by Wisconsin Manufacturers &
Commerce. WMC is Wisconsin’s chamber of commerce, manufacturers’ association,
and safety council representing businesses of all sizes and from every sector of the
economy. WMC's address is 501 E. Washington Avenue, Madison, WI 53703,
(608) 258-3400. This publication is proudly printed on paper made in Wisconsin.
Kurt R. Bauer, WMC President/CEO
Katy Pettersen, Editor (kpettersen@wmc.org)
Jane Sutter, Designer (jsutter@wmc.org)
and Education: Working Together to
44 Business
Solve the Workforce Shortage
JIM LADWIG, RACINE AREA MANUFACTURERS AND
COMMERCE
The Failure of Shortcut
Economics
Kurt R. Bauer, WMC President/CEO
W
ant more Americans to
become homeowners?
Well, just lower interest rates and
underwriting standards so more
people qualify for a mortgage. Want
incomes to rise? Then raise the
government imposed minimum
wage. Want everyone to have
health insurance? Simply mandate
employer coverage.
For every economic challenge, too
many believe there is an easy shortcut solution that often
involves government interference into the free market. The
problem is, of course, it doesn’t work.
There are numerous recent case studies to prove my point,
starting with the push to expand homeownership in the late
1990s, which sowed the seeds of the housing collapse about a
decade later.
lost their jobs as of last October because of the government
mandate. And the number of workers either laid-off or not
hired in the first place will continue to rise before the full $15
per hour goal is reached next year.
There are similar reports coming from San Francisco as a
result of its new $15 an hour minimum wage law. Several
restaurants have been forced to close and a small comic
book store owner told Forbes last spring the law will cost his
business $80,000 more per year, which will lead to job losses
and price increases.
No one should be surprised by what is happening. The
nonpartisan Congressional Budget Office (CBO) warned in
2014 that raising the minimum wage to $10.10 would cost the
U.S. economy half-a-million jobs.
While only about two percent of Americans earn the
minimum wage, they tend to be the most vulnerable members
of the workforce. They are largely young and/or low skilled
looking to gain valuable work experience with the hope
of moving up the rungs of the economic ladder. That can’t
happen if entry level jobs are eliminated by well-intentioned,
but economically illiterate politicians seeking a quick fix.
Instead of encouraging people to save for a down payment
and buy an affordable “starter home” that they could afford
both the monthly payment and upkeep on, government
policies created a shortcut. Cheap
That brings me to the federal Affordable
money from low interest rates
“Homeownership, minimum
Care Act (ACA), which promised
and easy credit from reduced
to both lower the cost of healthcare
wage
and
health
care
are
just
three
underwriting standards
and increase access to it via a
made homeownership more
examples of government failing to
combination of mandates and
accessible to people with
subsidies. In Wisconsin, deductibles
achieve
economic
objectives
by
directly
lower incomes and/or less than
have increased 65 percent, or seven
perfect credit histories.
intervening in the marketplace.”
times faster than wages, since ACA was
The result was that millions of newly
“qualified” homebuyers flooded the market, inflating prices
and creating a nationwide bubble that eventually led to the
financial crisis in 2008 when people began to default on
mortgage payments because their debt-to-income ratios were
too high.
Another example is the push for a $15 an hour minimum
wage to address stagnant incomes. Rather than encouraging
people to obtain the skills needed to advance beyond
traditionally entry-level and low-paying jobs like foodservice
and retail, redistributionists want government to mandate a
higher minimum wage across the board. When that happens,
businesses have two options – raise the price of their product/
service or lower employment costs, including layoffs and
reduced hours.
That’s what is happening in Seattle, which is phasing-in a
$15 an hour minimum wage through 2017. The American
Enterprise Institute estimates 700 restaurant employees have
2
enacted. Media reports have revealed the
sky-high deductibles have discouraged people from seeking
needed medical care because they simply can’t afford it. In
other words, the real-world impact of ACA has been the exact
opposite of the stated goal.
To make matters worse, CBO recently estimated that ACAimposed mandates on employers will cost the U.S. economy
about 2 million jobs by 2025.
Homeownership, minimum wage and health care are just
three examples of government failing to achieve economic
objectives by directly intervening in the marketplace. In all
three cases, the consequences have been dire and in the latter
two, the results were the opposite of the intended goal. They
didn’t produce the promised shortcut. Instead, they pushed
millions of Americans further away from a more prosperous
future. BV
Follow Kurt on Twitter @Kurt_R_Bauer
WMC Board of Directors
WMC OFFICERS
CHAIR, *Daniel T.
Ariens, President & CEO,
Ariens Company, Brillion
VICE CHAIR, Robert
D. Kamphuis, Chairman,
President & CEO,
Mayville Engineering
Company, Inc., Mayville
SECRETARY, Tod B.
Linstroth, Senior Partner
& Member & Past Chair of
Management Committee,
Michael Best & Friedrich
LLP, Madison
TREASURER, Gina
A. Peter, CEO, Central
States Commercial
Banking, Wells Fargo Bank,
Milwaukee
EXECUTIVE
STAFF
PRESIDENT/CEO
Kurt R. Bauer
PRESIDENT, WMC
FOUNDATION
James R. Morgan
VICE PRESIDENT,
GOVERNMENT
RELATIONS
Scott Manley
VICE PRESIDENT,
MARKETING
Katherine E. Pettersen
WMC BOARD OF
DIRECTORS
Jeffrey W. Bailet, M.D.,
Executive Vice President,
Aurora Health Care / CoPresident, Aurora Health
Care Medical Group,
Aurora Health Care,
Milwaukee
Sidney H. Bliss,
President & CEO, Bliss
Communications, Inc.,
Janesville
*Damond W. Boatwright,
Regional President & CEO
Hospital Operations, SSM
Health Care of Wisconsin
*David H. Bretting,
President & CEO, C.G.
Bretting Manufacturing
Company, Inc., Ashland
*Thomas A. Burke,
President & CEO, Modine
Manufacturing Company,
Racine
Brad W. DeNoyer, CPA,
Partner, Baker Tilly
Virchow Krause, LLP,
Madison
*Scott A. Fawcett, President
& CEO, Springs Window
Fashions, LLC, Middleton
*Philip B. Flynn, President
& CEO, Associated BancCorp, Green Bay
*Not Pictured
James D. Friedman, Senior
Partner, Quarles & Brady
LLP, Milwaukee
Stephen D. Loehr, Vice
President, Kwik Trip, Inc.,
La Crosse
Philip C. Fritsche, Sr.,
President, Beaver Dam
Chamber of Commerce,
Beaver Dam
Scott A. Mayer, President,
QPS Employment Group,
Brookfield
Robert Gerbitz, President,
COO, Hendricks
Commercial Properties,
Beloit
*Gary M. Gigante,
President & CEO,
Waupaca Foundry Inc.,
Waupaca
Patricia Leonard Kampling,
Chairman, President &
CEO, Alliant Energy
Corporation, Madison
*Robert L. Keller,
Chairman, J.J. Keller &
Associates, Inc., Neenah
Clifford J. King, CEO,
Skyward, Inc., Stevens
Point
Scott E. Larson, Executive
Director, Marshfield Area
Chamber of Commerce &
Industry, Marshfield
James M. Leef, President,
ITU AbsorbTech, Inc.,
New Berlin
*Allen L. Leverett,
President, WEC Energy
Group, Milwaukee
*Patrick J. McConnell,
CEO/Owner, FLASH,
Inc., Green Lake
*James J. McIntyre,
President and CEO,
Greenheck Fan
Corporation, Schofield
J. R. Menard, Executive
Vice President & Treasurer,
Menard, Inc., Eau Claire
*Paul Palmby, Executive
VP & COO, Seneca Foods
Corporation, Janesville
William C. Parsons,
President, Palmer Johnson
Enterprises, Inc., Sturgeon
Bay
*John Pfeifer, President,
Mercury Marine, Fond
du Lac
*Nicholas T. Pinchuk,
Chairman & CEO,
Snap-on Incorporated,
Kenosha
Aaron B. Powell, Partner/
Chief Strategy Officer,
Flexion Inc., Sun Prairie
Joseph T. Pregont,
President & CEO, Prent
Corporation, Janesville
Michael W. Salsieder,
Retired President &
General Counsel, Kolbe &
Kolbe Millwork Company,
Inc., Wausau
Eric W. Sauey, Chairman &
CEO, Seats Incorporated,
Reedsburg
*Edward H. Schaefer,
President & CEO, Citizens
Community Federal, Eau
Claire
Karl A. Schmidt, President
& CEO, Belmark Inc.,
De Pere
*Kristine N. Seymour,
Regional Vice President
of Market Development
for Illinois/Michigan/
Wisconsin, Humana, Inc.,
Waukesha
Rajan I. Sheth, Chairman/
CEO, Mead & Hunt, Inc.,
Middleton
*Dirk Smith, President &
CEO, Super Steel, LLC,
Milwaukee
Jay L. Smith, Chairman &
CEO, Teel Plastics, Inc.,
Baraboo
*Karen L. Szyman,
Executive Director, The
Chamber of Manitowoc
County, Manitowoc
Susan L. Turney, M.D.,
CEO, Marshfield Clinic
Health System, Inc.,
Marshfield
S. Mark Tyler, President,
OEM Fabricators, Inc.,
Woodville
Donald D. Wahlin, CEO,
Stoughton Trailers, LLC,
Stoughton
*Michael S. Wallace,
President/CEO, Fort
HealthCare, Fort Atkinson
*Todd Wanek, President
& CEO, Ashley Furniture
Industries, Inc., Arcadia
*David J. Yanda, President
& CEO, Lakeside Foods,
Inc., Manitowoc
PAST CHAIRS,
PICTURED
Arthur W. Nesbitt, Nasco
International, Inc.
Rockne G. Flowers, Nelson
Industries, Inc.
Todd J. Teske, Briggs &
Stratton Corporation
*John B. Torinus Jr.,
Chairman, Serigraph Inc.,
West Bend
Wisconsin Business Voice
3
It takes Teamwork to be Successful
WMC Incoming Chairman Bob Kamphuis
R
obert D. Kamphuis is Chairman, President and CEO
of Mayville Engineering Company, Inc. (MEC) where
approximately 2,000 employee shareholders in 17 manufacturing
facilities nationwide have built the company into the # 1
fabricator in the U.S. for the last five years in a row. MEC achieves
superior results based on sound planning through great people
who understand and achieve the MEC mission. That mission is
customer success, value creation, continuous improvement and
PRIDE (Personal Responsibility In Daily Excellence).
Bob grew up on a family dairy farm near Alto, Wisconsin not
far from MEC’s headquarters. At a young age he learned the
importance of good character, teamwork, the value of hard work,
planning ahead, taking good care of what you have and being
proud of a job well done. He also learned that even the best plans
can be adversely affected by things beyond our control, like the
weather. That’s where lessons in perseverance, determination and
“saving for a rainy day” were learned along with helping others
when there was a family sickness, injury or bereavement at a
neighboring farm. Through his church, school, family and family
friends, Bob counted himself fortunate to have many positive role
models to point him in the right direction while having fun and
enjoying the people around him. Those positive role models, great
people to work with, strong mentors, an attitude of confidence
coupled with humility and hope, a love of learning and applying
that knowledge to ever more complex people and business issues, a
competitive spirit and an inquisitive nature were the influences that
formed his foundation and shaped his outlook.
Bob earned his bachelor’s degree in accounting from the University
of Wisconsin-Whitewater then started his career and became a
CPA at Arthur Young & Company, now Ernst & Young. While
there, clients such as Harley Davidson, Oshkosh Corporation,
Giddings & Lewis and the people who worked there stoked his
interest in manufacturing. Bob spent nearly 19 years of his career
at Giddings & Lewis, Inc. as Corporate Controller, Treasurer with
the last nine years as General Manager and then President of their
factory automation division. It was during his time with Giddings
& Lewis that many of his management, leadership and technical
skills were enhanced and polished by his mentors and colleagues
and the lesson of “Every Success Story is a People Story” was
learned.
Bob joined MEC in September of 2005 and found a place and
culture where his background and experience were a great fit.
From the employee ownership culture of an ESOP that aligns
results with rewards to the rural communities where MEC has
its facilities and employees, this felt like home. MEC’s growth
story started in 2006 with strategic planning meetings and a
mission that is still alive and well today, providing the foundation
for tomorrow’s success. And it should come as no surprise that at
MEC like everywhere else, “Every Success Story is a People Story.”
The success stories are many and each one is unique. Whether
it’s a state-of-the-art technology application, tooling design from
a 3D printer, or the simple story of someone staying the extra
hour to make sure a rush job from a customer gets delivered on
time, it’s still a People Story. MEC’s “People Story” includes a
Kamphuis inside the MEC plant
4
Kamphuis: Continue
Wisconsin’s Transformation
Part of the Mayville Engineering Company team
compound annual sales growth rate of nearly 20 percent for the
past 10 years and the value of the company’s stock growing almost
five times during that same 10-year time frame. MEC grew
internally through investment and externally through acquisitions
while broadening and diversifying the markets served and adding
to MEC’s broad array of product and service offerings. Most
importantly, MEC always finds a way to win and grow.
MEC is actively involved in giving back and supporting the
communities, counties and states in which its employees live and
work. MEC continues to develop and sponsor engineering and
robotics programs with local universities, ongoing development
and training programs with technical colleges, high schools and
middle schools across the nation to promote career opportunities
in manufacturing. The company regularly makes charitable
donations to area high schools, athletic and scholastic booster
clubs, music and art clubs, veterans groups, area chambers of
commerce, Special Olympics, United Way, YMCA Boys and Girls
Clubs, community firefighters, emergency medical service groups
and various other local organizations where MEC employee
shareholders are actively involved.
On the personal front, Bob has been married for 35 years to
Connie, his high school sweetheart. They have two adult sons,
Andy and Nick, who both recently became engaged and are
planning their respective weddings in 2016. Both sons are
graduates of the University of Wisconsin. Andy is a CPA working
as a Controller for a manufacturing company headquartered in
Illinois and Nick is a Continuous Improvement Engineer, working
for a manufacturing company in Wisconsin. In addition to MEC
and WMC, Bob is also the current Chairman of the CEO Council
of the Manufacturers Alliance for Productivity and Innovation
(MAPI), a current Board member for Wisconsin firms Brakebush
Brothers, Inc. and SEATS, Inc, immediate past Chairman of
Mercury Marine’s Supplier Advisory Council and a customerelected participant in Caterpillar’s “Digging Deep” Executive
Development Program with Stanford University. His hobbies
include whitetail and pheasant hunting, Lake Michigan salmon
fishing, boating and watersports at Silver Lake near Wautoma,
Wisconsin, Green Bay Packers football, University of Wisconsin
basketball and spending time with family and friends. BV
How does Wisconsin’s economy compete
nationally as well as globally? That’s a complex
question with an equally complex answer. Most
states, including Wisconsin, do not fully control
their own destiny. Strong opposition caused by
anti-growth federal policies coupled with a weak
global economy are key factors that determine
the direction of a state’s economy. However,
Wisconsin has made monumental progress in
transforming its reputation as a good place to
do business, and incoming WMC Chairman
Robert Kamphuis plans to perpetuate that
transformation. “We have to protect what we’ve
accomplished over the last five years while
we continue to pursue additional reforms that
support private sector business investment in
Wisconsin,” Kamphuis said.
Reforms that include funding our transportation
infrastructure projects are extremely critical
to our state economy as well as our three
biggest drivers – manufacturing, tourism
and agriculture. “The WMC Board has made
infrastructure funding a top priority,” Kamphuis
said. “Funding transportation projects is one
of the most important investments a state can
make for its economic future.”
Kamphuis also believes Wisconsin needs
additional regulatory and tax reform. He said
aligning Wisconsin’s Family Medical Leave
Act with the federal version is just common
sense. Moving Wisconsin out of the “worst 10”
of highest taxed states is another top priority,
according to Kamphuis.
Another Kamphuis goal is to continue WMC’s
success in supporting pro-business candidates
for elected office. With 2016 a critical election
year, beginning with the state Supreme Court
race in April, there is a lot of work to be done.
Wisconsin Business Voice
5
FREE SPEECH
Scott Manley
WMC Vice President of
Government Relations
The End of a Shameful Era in
Wisconsin
A
rticle I, Section 3 of the Wisconsin Constitution declares “no
laws shall be passed to restrain or abridge the liberty of speech
or of the press.” It stands as a clear limitation on the Legislature’s
ability to restrain the freedom of expression and preserves free
speech as a constitutionally guaranteed right.
Yet in 1974, the Legislature ignored the Constitution and passed a
sweeping restraint of free speech when Wisconsin’s first campaign
finance law was enacted. That law regulated political speech
by subjecting it to campaign finance reporting and spending
limitations, including limits on speech which should not be
regulated at all.
More specifically, the law allowed government to regulate political
speech, under the guise of campaign finance law, even if the speech
did not advocate for the election or defeat of a candidate. The law
as originally enacted in 1974 allowed government regulators to
limit the ability of citizens to criticize politicians and the positions
they take on issues like taxes or spending.
regulators attempted to enforce campaign finance laws against us.
We fought back. In the decision known as Elections Board v. WMC,
the Wisconsin Supreme Court cited the Buckley case and upheld
the right to political free speech by corporations.
Since the WMC decision, state and federal courts have generally
expanded the constitutional protections afforded to political
speakers, including corporations. Cases like Citizens United v. FEC
and WRTL v. Barland clarified and expanded the right to political
speech.
However, the self-appointed speech regulators at the Wisconsin
Government Accountability Board (GAB) apparently didn’t get
the memo.
For example, the GAB plowed forward in 2010 with a new
regulation that would have required corporations to disclose their
donors, even if their speech was protected from regulation by
Buckley. The GAB clearly hadn’t learned the lesson that Elections
Board v. WMC should have taught them about the
It didn’t take long for the U.S. Supreme
scope of their regulatory authority and the
Beginning in 2012, GAB staff
Court to declare this type of speech
agency was forced to stipulate in federal
regulation unconstitutional. Only
led the charge in a secret John Doe court their rule went too far.
months after Wisconsin enacted its
This should have been the final episode
investigation of advocacy groups to
campaign finance law, the SCOTUS
in a long line of embarrassing rejections
issued its landmark decision in Buckley
investigate crimes that were never
of the GAB’s tortured reading of
v. Valeo in 1976.
the law. After all, how many times do
committed.
Decades later, the Buckley decision remains
the prevailing jurisprudence on free political speech and
expression. It stands for the proposition that “the First Amendment
forbids the government from regulating political expression that
does not in express terms advocate the election or defeat of a clearly
identified candidate.” In other words, you can’t regulate speech that
discusses public policy and candidates unless that speech calls for
their election or defeat.
In Wisconsin, campaign finance regulators were undeterred by
Buckley. They continued to attempt to enforce laws that infringed
upon the constitutional rights of political speakers, and did so for
decades.
In 1996, WMC ran television ads criticizing the policy positions of
three state senators. Our ads were ordered off the air, and election
6
message?
appellate courts need to tell an agency they
misinterpret and misapply the law before they get the
Unfortunately, the GAB’s most egregious abuses of constitutional
rights were still ahead.
Beginning in 2012, GAB staff led the charge in a secret John Doe
investigation of advocacy groups to investigate crimes that were
never committed and conduct that was not prohibited by law.
Working with the Milwaukee District Attorney’s office, the GAB
investigated more than a dozen groups like WMC who were guilty
of nothing more than voicing constitutionally protected speech
during the recall elections in 2011 and 2012.
Millions of emails and other documents were seized by prosecutors,
as were laptops, tablets and other electronic devices belonging to
targets of the John Doe investigation. WMC did not turn over any
documents to prosecutors in response to a subpoena, opting instead
to fight the legality of the investigation.
In January 2014, the judge presiding over the John Doe
investigation invalidated the subpoenas on the basis no crime had
been committed. The judge said it was undisputed that groups like
WMC had not engaged in “express advocacy” which calls for the
election or defeat of a candidate. As such, our speech was protected
from regulation by the legal standard Buckley had established nearly
forty years earlier.
The special prosecutor hired by the GAB appealed and the case
ultimately went to the Wisconsin Supreme Court. In July last
year, the Supreme Court issued a scathing decision chastising
prosecutors for engaging in an unconstitutional investigation,
saying it utilized a legal theory that is not based in the law or
reason. The investigation was terminated by the Court, and the
seized information was ordered to be returned to the owners from
which it had been unlawfully taken.
How could the GAB, which quarterbacked the legal analysis for
the prosecution team, have gotten it so wrong (again)? Perhaps the
answer lies in their desire to prosecute groups like WMC based
upon what they wished the law was, as opposed to what the law
actually is.
For many years, GAB officials have shown hostility toward the type
of corporate free speech groups like WMC routinely engage. For
example, consider how hard they worked to silence our speech in
1996 before the Wisconsin Supreme Court ruled against them.
The GAB’s legal counsel, who spearheaded the John Doe
investigation for the agency, has publicly disparaged WMC’s
advocacy. He even testified at a GAB public hearing that WMC’s
advocacy is a “big problem,” and expressed his desire to keep it off
the air year round.
Those statements betray an attitude that GAB staff view themselves
as speech regulators instead of campaign finance regulators. That
is, they appear to have viewed their campaign finance regulatory
authority as a means to broadly regulate speech, including speech
they do not believe belongs in the public discourse.
The GAB and Milwaukee DA’s office weaponized Wisconsin’s
campaign finance law to use it against organizations with which
they disagreed politically. Using flawed legal theories previously
rejected by multiple appellate courts, they seized property and
demanded the correspondence of private citizens – a tactic that
should horrify anyone who believes in freedom and due process.
Last fall, the Wisconsin legislature passed bills to reform the GAB
and bring Wisconsin’s campaign finance laws in line with the
Constitution and recent court decisions. Gov. Walker signed those
bills into law in December and for the first time since the 1970s
our campaign finance laws now reflect the principles of free speech
courts have routinely guaranteed for decades.
Freedom of expression and the right to criticize government
and public officials are fundamental in our country, yet the GAB
and prosecutors attempted to criminalize speech and ultimately
imprison people based upon what they said and how they said
it. It’s difficult to conceive of behavior more un-American than
the tactics employed by the GAB and Milwaukee DAs as they
trampled on the constitutional rights of dozens of citizens and
organizations.
Let’s hope our new laws put an end to this sad and shameful era of
government speech policing in Wisconsin. BV
Follow Scott on Twitter @ManleyWMC
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FUTURE
WISCONSIN
Jim Morgan
WMC Foundation President
The Future has Begun
Will Wisconsin Survive?
T
he Future Wisconsin Project is an “umbrella strategy.” Our
job is to set a course for Wisconsin to become the most
competitive state in the nation. By doing so, every local community
is in a better position to be the most competitive city, town or
village. The most competitive for jobs, talent and quality of life.
The next few pages of this edition of Wisconsin Business Voice
feature a synopsis of the second annual Future Wisconsin Project
Economic Summit. There are photos and summaries of everything
that went on that day. But, not really!
What REALLY happened was more than 400 business, education
and government leaders shared ideas. Chancellors talked to
human resources professionals about workforce needs. CEOs
talked to school teachers about the changing face of students
and young workers. School superintendents talked with local
chamber executives about how to solidify the business/education
relationship. And, between every session, best practices were
exchanged. Here are just a few I heard that day:
Florence – The entire school district has just 431 K-12 students
yet found the resources to put in a Fabrication Laboratory at the
high school. Their goals are to provide more students with a highquality education, provide those students with a quicker route to
the workplace and encourage them to pursue the opportunities
available locally. They also open the lab to local entrepreneurs.
Fond du Lac – The Fond du Lac Association of Commerce
has launched “Fond du Lac Works!” It is the first coordinated
community effort to address the skilled worker shortage.
Professional research of the Fond du Lac area workforce
consistently demonstrates a shift in demographics which places the
entire community in an immediate and critical situation; there will
simply not be enough competitively skilled workers to fill available
jobs in the future without aggressive solutions being developed and
implemented now.
Sheboygan – The Sheboygan Business and Education Partnership
spent the past year exploring community demographics and
workforce needs. As a result, they are working on five priorities:
• Engagement: Provide information and experiences to expand
student engagement in career exploration and achieve
communitywide engagement in the academic planning and
career exploration process.
• Employability and life skills: Promote importance of
employability and life skills.
• Affordability for all: Address funding, scholarships and financial
assistance to remove financial barriers for all students.
• Community conversations: Create a collaborative voice
among community leaders, educators and other community
organizations.
8
• Communications and
marketing: Advance
awareness, solicit engagement,
call to action and celebrate
successes.
Central Wisconsin – Skyward,
an educational software company based in Stevens Point, is leading
an effort to enhance education and training opportunities for
information technology workers in the region. Skyward and other
industry partners formed the Central Wisconsin IT Alliance,
which will focus on developing the information technology
workforce in the area and increasing student interest for jobs in
the field. The North Central Wisconsin Workforce Development
Board, the Wisconsin Institute of Public Policy and Service, local
chambers of commerce and the University of Wisconsin-Stevens
Point are also engaged in the project.
Madison – The Madison Metropolitan School District, in
cooperation with the Boys and Girls Club of Dane County, has
utilized the Advancement via Individual Determination (AVID)
program to increase the cumulative and core (Math, English,
Science and Social Studies) GPAs of students. The program focuses
on, and has had success with, first generation college students,
under-represented minority ww in the academic middle with the
potential to excel in rigorous curriculum, students with positive
behavior and good attendance, students with fluctuating grades due
to inconsistent study habits or poor study skills and students who
plan to attend a college or university upon graduation.
Fox Cities – The Fox Cities Chamber of Commerce recently
conducted the “Talent Upload: Computer Science / IT &
Engineering Tour.” The tour is designed to familiarize college
students from around the Midwest with the Fox Cities community,
its top employers and the limitless career paths available there.
Employers in the Fox Cities depend on high-quality talent to
meet current needs and facilitate future growth. Talent Upload is
the matchmaker, giving students an opportunity to explore life as
a young professional in the Fox Cities, and employers a chance to
engage them before they enter this ultra-competitive market.
During his presentation at the Future Wisconsin Economic
Summit, Kip Wright, Senior Vice President for Manpower North
America, displayed a slide detailing how employers are attracting
talent. Number one on the list was “adopting non-traditional – or
previously untried – recruiting practices.” As the saying goes, “It is
not the strongest nor most intelligent who will survive but those
who can best manage change."
Wisconsin is a survivor. BV
Follow Jim on Twitter @JimMorgan1960
Brand Wisconsin – Moving from “Why?” to “How?”
F
ollowing up on a consistent theme raised at last year’s
Wisconsin Future Summit, Kelly Lietz from the Wisconsin
Economic Development Corporation (WEDC) and Jela Trask
from Nelson Schmidt, WEDC’s marketing agency, advanced the
discussion relating to the state’s branding efforts. At the Summit,
they shared key criteria for a successful brand strategy and invited
feedback from the audience on three potential brand statements
meant to reflect Wisconsin’s unique value proposition – Can Do;
Be Bold; and Ever Forward.
“What we’re talking about is much more than a tagline for our
state,” said Lietz. “We’re defining a way of being, and a way of
talking about that way of being that resonates with our target
audience and drives action.”
Lietz explained the state’s branding initiative needs to focus as
much on internal audiences as it does on people outside the state.
“If we are to fully maximize the value our state delivers, we need
to consider all the ways people interact with brand Wisconsin – as
citizens, as students, as members of our workforce, as visitors and as
business leaders.” Moreover, stakeholders in Wisconsin’s economic
development play an important role in living “brand Wisconsin” in
the work they do every day.
Trask shared examples of other state branding efforts, stressing the
importance of a coordinated statewide effort to achieve a single,
all-encompassing brand to maximize impact and efficiency, a
strategy that few states have succeeded at delivering.
“To succeed, a powerful state brand must fulfill three critical
criteria – it must be true, ownable and actionable,” stated Trask.
Lietz and Trask’s
presentation was less
of a typical marketing
“reveal” and more of
a working session,
with attendees invited
to provide real-time
feedback on how
well the proposed
brand statements
reflect Wisconsin’s
core personality
traits: original,
passionate, innovative,
hardworking and
independent.
“Our presentation
in December and
the feedback from
attendees is an
important step in our
process,” said Lietz, adding that necessary future actions include
further testing of the brand statements in various target markets,
trademark reviews, creative development and continued discussions
with the many stakeholders whose messaging intersects with the
state brand. BV
www.FutureWI.org
The Future Wisconsin Project Perception Study
The survey of over 2,000 Americans from all 50 states was conducted as part of the Future Wisconsin
Economic Summit which boiled down some important topics of where Wisconsin both leads and lacks.
The biggest and perhaps most inaccurate perception of Wisconsin is that 52 percent of all respondents
believe Wisconsin has a shortage of job opportunities. What tends to lead people to this perception? It
could be that the majority of respondents think jobs in Wisconsin are focused around agriculture, healthcare
and food processing. Technology was far down the list which doesn’t even include manufacturing as a
staple career path.
Respondents also perceive Wisconsin negatively in terms of an unpredictable climate and social
intolerance. Contradictory to these responses is that people both in and outside the state think Wisconsin
is friendly, beautiful and a great place for outdoor recreation.
The Future Wisconsin Project aims to enhance people’s perceptions of the state to show that America’s
Dairyland has more than just cheese and the Green Bay Packers; it is a great place to not only visit, but to
live and raise a family.
Visit www.FutureWI.org for more information and to read the survey results.
Wisconsin Business Voice
9
Second Annual Future Wisconsin
Economic Summit
Attracting talent, branding Wisconsin, the changing workforce,
finding biotech expertise, managing the state’s perceptions,
employing millennials and benchmarking Wisconsin… all of that
was covered in the second annual Future Wisconsin Economic
Summit. More than 400 business, government and educational
leaders came together to continue to plot a course of success for the
Badger State.
Demographics
Wisconsin Taxpayers Alliance President Todd Berry may have had
the most difficult task of the day – trying to predict what would
happen if our demographic challenges over the next 20 years come
to fruition. Berry touched on the impact on schools, colleges and
universities if they had fewer students; Medicaid if more people
needed the services and fewer were paying for it; property taxes
if there were fewer homeowners; wages in a market where talent
was in demand; public services if there were fewer taxpayers. He
provided plenty of food for thought and certainly made the case for
keeping and attracting talent to Wisconsin.
Benchmarks
A key object for TFWP in 2015 was to competitively benchmark
Wisconsin against the other 49 states. Over 45 benchmarks
measuring talent, business competitiveness, life quality,
entrepreneurial spirit, global engagement and government
effectiveness were released at the Summit.
Wisconsin ranks 23rd in business competitiveness, 22nd in talent,
18th in life quality, 30th in entrepreneurial spirit, 21st in global
engagement and 22nd in government effectiveness. Even though
the data coming from these benchmarks shows Wisconsin is
average across the board, there are several key areas where
Wisconsin beats other states. The state is in a good position to
ensure that 20 years from now, Wisconsin continues to be a state
with a talented workforce and a thriving economy.
Perceptions
The Future Wisconsin Project, with the help of the Wisconsin
Technology Council and UW-Madison, conducted a social media
survey looking at people’s perceptions of Wisconsin. Wisconsin's
reality and perception align on many items but the state has a few
blind spots. Wisconsin is affordable, safe and a great place to enjoy
outdoor recreation. But it is also viewed as cold, socially intolerant
and lacking in job opportunities.
The survey of over 2,000 Americans from all 50 states was
conducted as a result of last year's Future Wisconsin Economic
Summit where it became clear that the Badger State has an
image problem that hurts the retention of its existing population,
especially young people. That image also negatively impacts
attracting people from outside the state who might otherwise be
convinced to move to Wisconsin to address a declining workforce.
10
The Future Wisconsin benchmarks were released at the Summit
Talent Attraction and Retention
Kip Wright, Senior Vice President of Milwaukee-based Manpower
North America, spoke at the summit about the human age – the
ingenuity of individuals and of the community. How can Wisconsin
win the war on talent? According to Wright, one in three U.S.
employers reported difficulty filling jobs. While many companies
spend immense focus on their budget plans, Wright suggests they
need to start spending the same if not more time coming up with
talent plans. Knowledge transfer, onboarding programs, succession
management, retention programs, flexible work models, training
and development are key to ensuring talent retention.
Kevin Conroy, President and CEO of Madison-based Exact
Sciences, provided a case study which showed how building and
retaining high-quality talent helped their company grow from three
employees in 2009 to 719 employees in 2015. From manufacturing
to bio-tech companies, Conroy stressed the importance of engaging
employees and drawing upon their strengths. The pillars of
Wisconsin’s long-term prosperity are innovation, trade, talent and
infrastructure. Conroy said the state needs to build on the strength
of the UW System, develop strong global markets, align education
with employers and modernize transportation and broadband
access to be competitive.
Young Professionals
What do young
professionals want in
a workplace, and once
you have them, what
makes them stay?
According to
NEWaukee, an
organization
committed to
connecting employers
and employees, young
professionals are
looking for a few key
things when starting
or expanding upon
their careers. Young
professionals are
looking for
relationships and
authenticity, both with
their peers and
Angela Damiani and Jeremy Fojut from
employers. An
NEWaukee
opportunity for
personal fulfillment is also important along with the ability to be a
part of a social surrounding called third space – places and activities
separate from home and work environments. What is the key to
retaining talent according to NEWaukee? Communication, trust
and the ability for young professionals to grow.
Continued on next page…
The
Future
Wisconsin
Project
Exact Sciences CEO Kevin Conroy
www.futurewi.org
Wisconsin Business Voice
11
Governor Walker
Gov. Walker highlighted what Wisconsin needs to be successful
five, ten and twenty years from now and thinking long-term is the
best way to grow the state’s economy. He stated the unemployment
rate is the lowest it’s been since 2001, taxes are lower and
Wisconsin is fiscally strong. Looking ahead, the Governor stressed
the importance of students continuing to enroll in programs
where we see the biggest skills gap – professional trades. He stated
Wisconsin needs to be a great place to not only live, but to raise a
family. The Walker administration will be touring the state in 2016
to hear from people and companies about where their struggles lie
to work on solutions to ensure long-term sustainability.
Gov. Walker also made news by hinting during his remarks he
might run for a third term in 2018.
What’s Next
Up next for TFWP is continuing the work of implementing the
academic and career plans for every 6-12th grader in Wisconsin,
taking the state’s benchmark and jobs data and localizing it for
communities, and fleshing out the branding strategy for Wisconsin.
The seven state partners are also developing initiatives and all
of the ideas will be put before the attendees for their input and
prioritization. The agenda for 2016 will be finalized in January. BV
The Future Wisconsin Project partners and WMC board members met
with Gov. Walker prior to his remarks. Left to right: Rolf Wegenke,
WAICU; Morna Foy, WTCS, Ray Cross, UW System; Tony Evers, DPI;
Bob Kamphuis, Mayville Engineering Co.; Gov. Walker; Gary Gigante,
Waupaca Foundry; Mark Hogan, WEDC; Mark Tyler, OEM Fabricators.
Governor Scott Walker
The Future Wisconsin Project Partners
72 Local Chambers of Commerce
The WMC Foundation is dedicated to building a better future for Wisconsin by providing business
and economics education, workforce development initiatives, local chambers of commerce support,
safety training programs and business best practices.
12
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Ariens’ Chairmanship Readied State for Future Challenges
N
o WMC Board Chairman has it easy, but Dan Ariens may
have faced more than his fair share of challenges during his
two-year term, which officially ends January 29. That’s because
Ariens, whose day job is president/CEO of Brillion-based Ariens
Company, served double duty as vice chairman and then chairman
of the Wisconsin Economic Development Corporation (WEDC)
at the same time he chaired WMC.
Serving just one of the two high-profile volunteer leadership
positions demands thick skin and steely resolve. Doing both at
the same time should require body armor. But through it all,
Ariens has provided farsighted and unwavering leadership to both
organizations with equal emphasis on improving Wisconsin’s
economy now and in the future.
Under Ariens’ watch, WMC began The Future Wisconsin
Project, a 20-year economic planning initiative. The goal of Future
Wisconsin is to work with other important stakeholders from
business, academia and government to identify the state’s longterm economic threats and devise strategies to address them.
Ariens insisted Future Wisconsin focus on the workforce shortage
and improving the business climate because both are foundational
to the state’s economy.
Other highlights of Ariens’ chairmanship include the enactment
of landmark Right to Work legislation and WMC’s support of
pro-business candidates during the 2014 elections. WMC’s Issues
Mobilization Council also raised and spent a record $9.6 million
last year to educate the public on issues that impact Wisconsin’s
economic competitiveness.
“Few people understand just how
much time and energy Dan has
committed to make Wisconsin a
great state for business,” said Kurt
Bauer, WMC president/CEO.
“Wisconsin’s national and global
reputation for being an attractive
place for business investment has
improved dramatically in recent
years. Many people and entities
deserve credit, but Dan should be
near the top of the list.”
Ariens says the business community needs to have a continuing
role in public policy development and that can only happen
through an organization like WMC. “I’ve learned we have an
immense amount of expertise, talent and resources within the
businesses community across Wisconsin,” he said. “We have some
challenges to overcome in order to remain competitive, but if we
can tap into these resources and work together for the benefit of
the state we’re a very powerful resource for change.”
Finding the right talent to fill key staff roles is critical, according
to Ariens. “I can attest from first-hand experience WMC has the
right talent working tirelessly on behalf of business day in and day
out. The WMC board members and staff have made my tenure as
Chair run very smoothly.” BV
Talent Conference
February 23, 2016 • 1:00 – 4:30 p.m.
Monona Terrace Community & Convention Center, Madison
Ken Gronbach
Demographer
2014 Future Wisconsin Summit
Featured Speaker
Registration
Regular Price - $100
Discounted WMC Member Price - $75
Lt. Governor Rebecca Kleefisch will present the two deserving
companies and individuals with the Wisconsin Job Honor Award.
Sponsored by
Visit www.wmc.org/talent for more information and to register.
www.wmc.org/talent
WORKFORCE
DEVELOPMENT
Steve Benzschawel
Director of Business World
Academic and Career Planning:
Something We Can All Support!
I
t’s tough to find things we can all agree on these days. But there
is excitement on both sides of the aisle over a new law set to be
implemented in the 2017-18 school year. Academic and Career
Planning (ACP) is a process that, beginning in middle school, will
help students individualize a learning plan that will help them set
goals around education, skill development and career exploration.
ACP is both a process for student-led career exploration and a
product – an individualized plan based on each student’s unique
interests, abilities, values and goals. Students will begin the process
in 6th grade and continue to adjust and re-evaluate their plan as
they develop new strengths and interests over time.
The Process
Career exploration and skill development are not new concepts
for Wisconsin schools and many already have great programs
in place. Those current efforts will continue as elements of the
ACP implementation. The process is broad and will encompass
everything from self-assessment and identifying strengths, to
setting academic goals and completing core course work. Career
interest inventories aren’t new, but the ACP process will take those
inventories and foster better alignment of students with hands-on
experience through job shadows, work-based learning and youth
apprenticeships all documented and saved in an online portfolio.
The goal is to build on existing efforts and create a more concerted,
focused effort across multiple community partners who realize we
have a common interest in connecting the next generation with
rewarding careers enabling them to be the community leaders of
tomorrow.
The Product
Invite students, teachers and
parents into your facilities to
explore the careers you offer.
Visit schools to tell students
and teachers about your own
career pathway and the skills you rely on each day. Find ways to
include young adults in your organization through job shadows or
internships. Simply reaching out to your local school district to ask
how you can get involved is a great start.
Academic and Career Planning is something we can all get
behind. The Wisconsin Business World program and The Future
Wisconsin Project are deeply engaged in connecting the classroom
to the workplace. And parents and teachers want to give students
the tools to discover rewarding careers, businesses want to hire
quality employees and civic leaders want stable employment to
support the services people desire and require in their community.
ACP will be a great addition to a well-rounded Wisconsin
education and if we all get behind this effort, we will realize its full
potential! BV
Follow Steve on Twitter @wibusinessworld
Support the next generation
of business leaders!
Wisconsin Business World is a program for high school
students to learn about the real world of business and the
opportunities available in Wisconsin. Become a corporate
sponsor and support the registration of a high school student.
The result of the ACP process is the product each student creates
which will help them see multiple routes to employment success
after high school. The ACP is a student-led process to create a
plan to identify talents, explore careers, and develop required skills.
Adults will be guides, but students are in the driver’s seat. It will
take them beyond the classroom and include work experience, job
exploration and certification programs.
An advantage of a student-led plan beginning in 6th grade is that
by high school graduation, students will have six years of experience
setting goals and utilizing the network of adults in their lives:
parents, teachers, coaches and employers to help achieve their goals.
The students will rely on that experience throughout their careers.
Two summer programs are planned for 2016:
This is a call to action for employers and community partners to
step up and play an active role in connecting with your schools.
Visit www.wibusinessworld.org to learn more.
Call to Action
16
June 19–22, 2016
St. Norbert College
De Pere
June 26–29, 2016
Edgewood College
Madison
Contact Steve Benzschawel to become a sponsor –
steve@wibusinessworld.org or (608) 258-3400
Apache Stainless
Equipment Corporation
Gov. Walker joined the employees and members
of the community in September to celebrate the
40th Anniversary of Apache Stainless Equipment
Corporation and highlight the company’s
investment and job growth in Wisconsin.
Founded in 1975, Apache Stainless Equipment
Corporation originally manufactured large
stainless steel tanks in Beaver Dam. Because
of their continued growth, they opened a
manufacturing facility in Plover in 1990 and
acquired Mepaco, a stainless steel food equipment
manufacturing facility in 1993. In 2000, they
added an additional 54,000 square feet to their
Beaver Damn facility and became a subsidiary of
Dexter Apache Holdings, Inc. in 2006, allowing
the company to become 100 percent employeeowned. Today, Apache employs 175 craftsmen,
technicians, engineers and managers.
Recognizing excellence in manufacturing
28th Annual Awards Program
Nominees
Advanced Tooling, Inc.
Alto-Shaam, Inc.
Amerequip Corporation
American Exchanger Services, Inc.
Automation Components, Inc.
Bell Laboratories, Inc.
Broaster Company
Colby Metal, Inc.
Didion Milling, Inc.
EmbedTek, LLC
Energy Bank Inc.
EVCO Plastics
Felss Rotaform LLC
Fox River Fiber Company, LLC
Gamber-Johnson LLC
Generac Power Systems, Inc.
General Electric
Global Finishing Solutions, LLC
Grassland Dairy Products, Inc.
Hydro-Thermal Corporation
Inpro Corporation
Interior Systems, Inc.
Inter-Med, Inc.
Masters Gallery Foods, Inc.
Mayville Engineering Company, Inc.
Menasha Corporation
Midwest Prototyping, LLC
Mill Haven Foods, LLC
Mortara Instrument, Inc.
Nicolet Plastics, Inc.
Robbins Manufacturing, Inc.
S&S Cycle, Inc.
Sign Effectz, Inc.
Teel Plastics, Inc.
Tenere Inc.
Vets Plus, Inc.
Vortex Tool Company, Inc.
Witmer Industries Inc.
Winners will be announced at the Awards Banquet at
The Pfister Hotel February 25, 2016.
Gov. Walker toured Apache’s Beaver Dam facility
with Apache Stainless president Ed Paradowski,
pictured at left, and learned about the equipment
firsthand from some of Apache’s employees.
Visit www.wimoty.com to register.
The annual awards competition is sponsored by:
OEM Fabricators Wins Second Annual Flowers
Family Foundation Business Achievement Award
The Wisconsin Business Achievement Award, presented by the
Flowers Family Foundation, Inc., honors the outstanding economic
and philanthropic contributions of individuals and entities engaged
in free enterprise. The award includes a $60,000 donation to a nonprofit of the winning organization’s choosing.
OEM Fabricators, Inc. in Woodville received the award at October’s
State of Wisconsin Business Event in Madison. OEM Fabricators,
Inc. chose Success By 6, an organization in St. Croix Valley that
supports early childhood development, to receive the monetary
donation. Success By 6 will use the money to further develop
the Family Friendly Workplace Certification project which is an
initiative that engages the business community to institutionalize
support for early childhood development.
S. Mark Tyler, President of OEM Fabricators, accepts the award from
Rock Flowers of the Flowers Family Foundation
RULEMAKING
Chris Reader
WMC Director of Health &
Human Resources Policy
Education Leadership
W
ho is in charge of statewide public education policy
in Wisconsin? The Legislature? The Governor? The
Superintendent of Public Instruction? That question has initiated a
constitutional showdown in Madison.
While this debate has been ongoing in Madison for decades, it
was jumpstarted again in 2011 and has come to a head recently.
In 2011, Gov. Walker signed several transformational reform laws,
the most prominent being the state employee collective bargaining
reform bill commonly known as Act 10. Another significant reform
measure he signed in 2011 was Act 21. Act 21 improved the
administrative rulemaking process for state agencies in a way that
injected more input from elected officials – a positive change from
the perspective of taxpayers and employers. Prior to Act 21, when
a law was passed by the Legislature and signed by the Governor,
broad discretion was left to state agencies to develop the rules that
implement the law. Too often, the rules developed by bureaucrats
did not match legislative intent, but the process afforded lawmakers
to challenge those rules was long and difficult.
law the duties and powers of
agency heads, including the
Superintendent.
WMC filed an amicus brief in Coyne v. Walker defending Act
21 and lawmakers’ ability to set the powers and duties of the
Superintendent. We were joined in our brief by the Wisconsin
Institute for Law and Liberty, Milwaukee Metropolitan
Association of Commerce, School Choice Wisconsin, former
Republican lawmaker Scott Jensen and former Democrat lawmaker
Jason Fields. Oral arguments were held before the Supreme Court
in November, 2015.
Beyond supporting Act 21, we also asked the Court to re-evaluate a
similar case from 1996. In that case, lawmakers and then Governor
Tommy Thompson created a state Department of Education
within the Governor’s cabinet, separate from the Superintendent.
The education establishment sued and prevailed, leaving DPI as
the only state agency overseeing public education. A ruling by the
Supreme Court in Coyne v. Walker is expected in the first half of
2016.
Act 21 put elected officials, particularly the Governor, back in the
driver’s seat on rulemaking. Under Act 21, before proposed rules
While this disagreement may seem inconsequential, the
of any agency become effective, they must be approved by the
ramification of this debate is significant. K-12 education is the
Governor. The result is that agencies need to stick to the legislative
largest expenditure of each state budget and the rulemaking
intent of the law; otherwise the rule is likely to be rejected by the
oversight provided by Act 21 over DPI and all state
Governor. With Act 21 in place, voters are able to
agencies should be a welcomed step by taxpayers and
hold elected officials accountable for costly and
the regulated community.
“With
Act
21
in
place,
burdensome rules, be they from the Department
voters are able to hold elected Specific to education policy, Wisconsin needs
of Natural Resources, the Department of
officials accountable for costly better results than that which status quo has
Transportation, or any other agency.
achieved. Wisconsin has the worst achievement
and burdensome rules.”
For one state agency, the Department of Public
gap between white and black students in the
Instruction (DPI), Act 21 was a bridge too far. The
nation. In addition, our per-pupil cost is above average, driven by
education establishment filed a lawsuit, Coyne v. Walker, contending
Milwaukee schools spending more than most other schools in the
it is unconstitutional for the Governor to have oversight on
country, and employers are facing a skills gap and worker shortage
rules promulgated by DPI, as they believe the Superintendent
now and for the foreseeable future. As a state we need to fix those
has final authority to manage public education. While it is true
issues, but efforts at meaningful reform like expanding parental
the Superintendent, currently Dr. Tony Evers, has the authority
options are too often stonewalled by the education establishment.
to manage public instruction under Article 10 of the state
We need to reinvigorate the education system so students from
Constitution, their argument misconstrues a second part of Article
every corner of our state are prepared to succeed in tomorrow’s
10 which directly commands the Legislature to set the duties and
careers. If Act 21 is upheld, lawmakers will be on stronger ground
power of the Superintendent.
to bring transformational reforms into the education policy arena
Specifically, Article 10 declares “the supervision of public
to address these vital issues. BV
instruction shall be vested in a state superintendent and such
Follow Chris on Twitter @ReaderWMC
other officers as the legislature shall direct; and their qualifications,
powers, duties and compensation shall be prescribed by law.” In
establishing a rulemaking process, lawmakers are prescribing by
18
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TAXES
Jason Culotta
WMC Director of Tax &
Transportation Policy
Improving Wisconsin’s Business
Tax Ranking
T
he Tax Foundation, a national group that tracks state and
federal tax matters, recently released its annual State Business
Tax Climate Index. Unfortunately, Wisconsin stubbornly remains
at No. 43 on the index, the same position as the prior year and
among the top ten worst state tax climates. After five years of
Republican rule in Madison, how can this be?
Governor Walker and legislative Republicans have focused
their tax-cutting policy on reducing property taxes, cutting the
lower brackets of the personal income tax and adopting the
Manufacturing and Agriculture Credit, a powerful incentive that
rewards production occurring in Wisconsin. These efforts have
reduced the tax burden for homeowners, those with middle and
lower incomes, and manufacturers.
new top rate would put the state in a much more competitive
position. Most businesses like LLCs and S-corporations pay
the personal income tax. This change would generate economic
growth across all industry sectors and save taxpayers $250
million annually.
• Eliminating the state’s alternative minimum tax (AMT)
Wisconsin is one of the last six states with an AMT.
Established to ensure the wealthy pay their “fair share,” the
AMT has been hitting a growing number of middle-income
Wisconsinites. Thankfully, the Legislature made changes taking
effect in 2017 which will greatly diminish the negative impact
of this tax. To fully repeal it at that point would reduce tax
revenues by $10 million annually.
• Reducing the corporate income tax rate
The Wisconsin Taxpayer Alliance recently uncovered that
In 2015, the corporate income tax rates of Illinois and Rhode
in 2013 Wisconsin dropped to No. 15 in the nation when
Island dropped below Wisconsin’s flat 7.9 percent rate. By
considering Census Bureau data comparing state and local taxes
leaving our rate unchanged since 1972, Wisconsin
as a percentage of personal income. As the
is climbing in the corporate income tax
“Wisconsin’s mix of high income
relevant Census information is always
rankings as every year other states reduce this
reported about two years behind, the
and property taxes and relatively low
tax policies of the past few years have sales taxes ensures our state remains on rate. While a two-point reduction would
be significant for the C-corporations which
likely moved the state to 16th or
the top ten list absent some additional pay this rate, a more modest approach of
17th position today. This is a welcome
income tax reforms.”
reducing the current rate to match the top
development for our state’s high-tax
bracket
of the personal income tax at 7.65 percent
reputation.
would only “cost” the state $30 million annually and once again
Even so, the Tax Foundation still considers Wisconsin among
place us below Illinois’ rate.
the top ten worst state business tax climates. Highly regarded by
• Eliminate the state property tax
business leaders across the nation, the Foundation’s index considers
Though property taxes largely fund local governments, the state
income taxes more significant to businesses than property or sales
also accounts for less than 1 percent of these taxes through a
taxes. So Wisconsin’s mix of high income and property taxes and
levy for forestry purposes. This means Wisconsin is among the
relatively low sales taxes ensures our state remains on the top ten
only states that collects taxes on income, property and sales.
list absent some additional income tax reforms.
Eliminating this tax would shift about $80 million annually
The following policy changes would ensure Wisconsin
from property tax and get Wisconsin out of the business of
permanently drops off the top ten list:
imposing a levy.
• Repealing the top personal income tax bracket
While Wisconsin has made progress in reducing our tax burden,
No other tax policy would be as effective as eliminating this
our business tax climate will only be improved when the politically
bracket. At 7.65 percent today, this top bracket was created by
difficult, but economically beneficial, changes above are pursued
Gov. Doyle in 2009 and has only been reduced by a tenth of a
with vigor. BV
percentage point since Republicans regained legislative control
in 2010. The next tax bracket is 6.27 percent, which as the
Follow Jason on Twitter @JGCulotta
20
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40-3074
14000524 7/9/15
2016 PRED
Flynn
Kampling
Gigante
King
Bailet
Conroy
Duffy
Wallace
Mayer
Christianson
Kamphuis
Boldt
DICTIONS
CEOs Are Cautiously Optimistic about the
New Year
By Mark Crawford
M
aking
predictions
about
economic performance can
always be a little risky. By the time
federal and state agencies crunch
numbers and release statistics, the
results are almost obsolete considering
the speed of business. Although these
reports provide a broad perspective
on economic issues, there are no
better experts on what impacts the
Wisconsin economy than our own
“boots on the ground” CEOs. To get
a deeper perspective on the Wisconsin
economy in 2016, we asked 12
business leaders for their opinions
on what the New Year will bring (no
crystal balls were allowed).
Without question, the top concern in
the informal survey is the workforce.
Although job growth remains strong
and steady across the country, there
aren’t enough qualified candidates
to fill all job openings. A recent
QTI survey of Wisconsin employers
showed about 75 percent of Wisconsin
companies in 2016 will face challenges
in finding qualified workers to match
their needs.
“The continued high rate of
retirements, coupled with the steady
rate of job creation, puts significant
pressure on organizations seeking to
hire, engage, and retain talent across
all sectors,” says Matt Duffy, chief
operating officer for QTI Human
Resources & QTI Consulting in
Madison.
“Just about everyone we work with
is looking to hire qualified people,”
adds David O. Christianson, CPA
and partner with Wipfli LLP in
Milwaukee. “The shortage of skilled
workers seems to affect employers
across all industries. So, while most
companies would respond that they
expect to hire, they also expect to have
an increasingly difficult time doing
so.”
Because of these concerns, more
companies are turning to staffing firms
to fulfill their labor needs, especially
companies that have never used (or
even considered) hiring a
staffing firm in the past. Many industries are in need of
“The staffing industry
has the potential to well-trained technical workers
perform very well in 2016 and the recent shortage has been
but we are also facing
the same challenges in a major concern.
having enough available
workers,” says Scott Mayer, president
of QPS Employment Group in
Brookfield.
Key Business Sectors
Traditional/legacy industries and hightech/knowledge-based industries create
an economic diversity that is essential
for robust economic growth. In
Wisconsin, the economy is driven
by manufacturing. Job growth is,
however, uneven across this sector.
Revenues are flat or slightly down
in plastics/rubber, transportation
equipment, chemicals, and petroleum
products, a result of lower prices and
higher inventories. Outside factors
include a weak national economy and
reduced foreign sales, in part the result
of a strong U.S. dollar and struggling
foreign economies.
Wisconsin Business Voice
23
“Northeast Wisconsin seems particularly optimistic about sales
growth, but the southeast just recorded its eighth straight month
with a purchasing managers’ index (PMI) less than 50,” says
Christianson. “Companies are running lean and there is a mixed
sense of pessimism in the first quarter of 2016.”
Gary M. Gigante, CEO of Waupaca Foundry, agrees it could be a
challenging year. “Our business will be flat to slightly down when
compared to 2015,” he says. “The automotive market will remain
strong. Commercial truck, agriculture, construction, and industrial
markets will be down 5 to 10 percent. Foundries that are not
involved in the automotive sector will be extremely slow.”
Healthcare is showing solid growth, thanks in part to the
Affordable Care Act (ACA). The continued downward pressure
on reimbursements from governmental and commercial payers is
driving innovation and cost control in the industry. “We have been
able to reduce our infrastructure costs through enhanced efficiency,
lower supply costs and better coordination of care,” comments
Dr. Jeffrey Bailet, co-president of Aurora Health Care Medical
Group in Milwaukee. “In addition, we are on pace to recruit 180
physicians and over 200 advanced practice clinicians this year to
meet growing patient need.”
The ACA is also driving advances in biomedicine that reduce
healthcare costs and improve patient outcomes. Considerable
research is being done on new methods for early detection of
diseases which reduce the need for expensive and potentially
dangerous diagnostic procedures, such colonoscopies. For example,
Madison-based Exact Sciences recently won FDA approval for
its Cologuard test, which detects 94 percent of Stage I and II
colorectal cancers. The company is also developing a simple bloodbased screening test to detect lung cancer. “In 2015 we nearly
doubled our Wisconsin-based workforce, from 250 to more than
450,” says Kevin Conroy, CEO for the company. “This year we will
continue to grow our customer care center, lab team and billing
division.”
Information technology (IT) – especially gaming and software
development – is another strong sector in the state. EPIC Systems,
based in Verona, is a global leader in electronic health records
and other management systems. Skyward, a Stevens Point-based
company that manufactures administrative software packages
for K-12 schools across the country, has enjoyed an annual mean
employee growth of about 10 percent per year. “Right now we
have 510 employees and plan to hire at least 52 new positions in
2016,” says CEO Cliff King. “We are also moving into our new
headquarters this year.”
Investing in Technology
Spending capital on technology and equipment to improve
efficiency and reduce operational cost is essential for staying
competitive. “If you aren't investing in technology, you won't be
able to stay in the game,” says Tom Boldt, CEO of The Boldt
Company, a construction firm based in Appleton. “For us, mobile
devices have increasingly important roles on our construction sites.
These and other advances in communication have significantly
improved our project performance.”
Another sector that is investing heavily in mobile is banking, where
more customers want to access their accounts through mobile and
the Internet. They want mobile applications that match the pace of
their lifestyles. “We invest tens of millions of dollars every year in
technology solutions that improve the customer experience,” says
Philip Flynn, president and CEO of Associated Banc-Corp in
Green Bay. “This is one reason Associated grew its deposit market
share in Wisconsin more than any other bank from July 2014 to
June 2015.”
QPS Employment Group just completed a major website redesign,
resulting in a mobile-friendly website with an easy-to-search job
board for applicants. “We will continue to invest more money into
social media like Facebook, LinkedIn and Twitter and other nontraditional avenues of recruiting,” states Mayer.
Healthcare continues to be transformed by technology, especially
wireless/mobile applications that improve patient self-monitoring
and disease management. For example, Fort HealthCare in Fort
Atkinson has invested heavily in technology over the last few years
to increase device connectivity and connectivity to other providers.
“We are in the initial phases of implementing our population
health software program, which provides a new powerful tool for
managing chronic conditions, as well as assisting in more complete
wellness coverage,” says president and CEO Michael Wallace.
In the manufacturing world, companies rely on advanced
technology to improve product quality, throughput and speed
to market, all while reducing total cost. Waupaca Foundry, for
example, is replacing its current molding equipment with a new
patented process that improves efficiency by up to 30 percent.
Many manufacturers are also spending more money on automation
– not just to improve quality and throughput, but to also “man”
the lines. “We will continue to invest in flexible automation to
help offset skilled labor shortages,” indicates Robert Kamphuis,
president and CEO of Mayville Engineering Company in
Mayville.
Alliant Energy is also using advanced technology on multiple
projects, including its $700-million modernization of its Riverside
Energy Center in Beloit, which will utilize a state-of-the-art
combined-cycle natural gas system. The company has also installed
over 1,000 solar panels at its Madison headquarters and started
construction on Wisconsin’s largest solar farm in Beloit. “These
projects will help us gain insight into how best to integrate solar
energy into our electric system,” says Patricia Kampling, president
and CEO of Alliant Energy Corporation.
Moving Forward
Many companies, especially smaller privately owned companies,
continue to struggle with the burdens brought on by regulations
around healthcare, banking and finance, the environment, and the
national debt, among other issues. As a result, entrepreneurship
seems to be faltering – “in fact, since 2008, more companies have
exited the American economy than entered it for the first time in
our history,” says Christianson.
The outcomes for many legislative issues – such as the ACA,
minimum wage, immigration reform, banking regulation, union
issues, as well as potentially harmful presidential orders – depend
on the 2016 elections. Cuts to government reimbursements
continue to be a top concern for healthcare providers. Increasing
the interest rate will have negative impacts for many businesses. At
the state level, top issues include worker’s compensation reform,
access to statewide broadband, Department of Transportation
funding and others.
Despite these uncertainties, most businesses plan to spend
capital, hire more workers and explore more markets, including
exporting to foreign countries. The Boldt Company is expanding
its presence in other states, including Michigan and California.
QPS Employment Group is researching Colorado as a potential
location for its services. Aurora Health Medical Group is
investing $35 million to expand its behavioral and mental health
services. Skyward, too, is expanding its product lines, providing
an integrated municipal management suite that includes human
resources, fiscal management, payroll, asset management and an
employee portal.
Everyone seems to agree the top priority for 2016 is strengthening
the labor pool and shrinking the skills gap. Companies must
commit resources for recruiting, training and retaining their
employees. To find the best talent, companies should engage
candidates in more creative ways. For example, Duffy indicates
proactive recruiting campaigns that engage passive talent are
necessary to connect with untapped talent pools. “Organizations
that are successful in hiring are selling much more than just the job
– they are also including their brand, internal work culture, worklife balance and commitment to their community,” he says.
Kampling is pleased to see the collaboration among state agencies,
academic institutions, and the private sector to improve the
technical education of workers across the state. “Many industries
are in need of well-trained technical workers and the recent
shortage has been a major concern,” she says. “With collective
effort, 2016 could be the year we see a record number of students
entering technical training programs. This would help Wisconsin
businesses be much more competitive in the future.” BV
Crawford is a Madison-based freelance writer.
EacH yEar, ovEr 10,000
WiSconSin buSinESSES WorK
WitH FocuS on EnErgy to
USE ENERGY SMARTER
Since 2012, Focus on Energy has brought in nearly
$1 billion worth of net economic benefits to Wisconsin.
Saving Energy and Money for Wisconsin
visit focusonenergy.com/business
to Find MorE WayS to SavE and control your EnErgy uSE
Wisconsin Business Voice
25
Fox Valley Technical College Helps Create
State’s First Manufacturing Mall
I
t’s been 15 years since the Fox Valley Technical College Venture
Center offered its first E-Seed entrepreneur training session to
aspiring small business owners. Little did its director, Amy Pietsch,
realize some of those entrepreneurs would end up together under
one roof in the state’s first ever Manufacturing Mall.
The Venture Center’s national, train-the-trainer E-Seed offering
was highlighted during Global Entrepreneur Week in November
last year inside the brand new Manufacturing Mall. The facility
comprises four businesses owned by three people with ties to Fox
Valley Technical College. “I’ve seen two of these gentlemen start
with welding and machine shops out of their garages through
E-Seed, and now they’re part of a continuum of customized
services in a 12,000 square-foot building in Neenah,” says Pietsch.
“What a success story, and more significantly, what a great way to
serve as a one-stop shop for area manufacturers.”
Representatives
from UEMSI/HTV in
Menomonee Falls,
Wisconsin, display
television inspection
systems during
the dedication.
Grassroots Machinery
manufactures
components for both
systems, which are
sold worldwide.
The “mall” of services includes Grassroots Machining, Industrial
Machine Services, J.W. Welding and Northern Compressor.
Grassroots owner Chuck Duginski, an E-Seed completer along
with J. W. owner Jason Harold, has seen his workforce quadruple in
five years and his clients are international, including one with ties
to products that improve our national defense. “We share resources
and many of the same customers to best serve the needs of today’s
advanced manufacturing sector,” notes Duginski.
Nick Vander Heyden of Northern Compressor and Industrial
Machine completed a few different apprenticeship training
programs through Fox Valley Technical College over the years,
reaffirming the college’s role in the success of the Manufacturing
Mall beyond business start-up. All parties involved with the
dedication used the opportunity to raise awareness about its model
so other related businesses could benchmark their successes through
this level of collaboration. BV
Business owners in Neenah celebrate the dedication of the
Wisconsin Manufacturing Mall.
www.atcllc.com
MOVING ENERGY INTO THE FUTURE
Electricity powers our world. Each day, light switches are flipped,
computers are powered up and factories hum with activity. Electricity
enables automation, convenience, productivity and opportunity.
At American Transmission Co., we’re hard at work keeping the lights on
and planning today for how the electric grid of our future will deliver
reliable, affordable and environmentally responsible power.
Read more at www.atcllc.com/PowerForward
26
Focus on Manufacturing Breakfast
February 26, 2016
7:00 - 9:00 a.m. • The Pfister Hotel, Milwaukee

The Focus on Manufacturing Breakfast will focus on manufacturing beyond Wisconsin’s borders. The keynote
is Jay Timmons, CEO of the National Association of Manufacturers, and the panel includes all three Wisconsin
manufacturing representatives of the U.S. Department of Commerce Manufacturing Council.
Keynote Speaker
Jay Timmons
President and CEO
National Association of
Manufacturers
Panel Participants
Jan Allman
President, CEO
and General
Manager
Marinette
Marine Corporation
Brad Crews
Chief Operating
Officer NAFTA
& President
Agricultural
Equipment Products Segment
CNH Industrial America LLC
Irwin Shur
Vice President,
General Counsel
and Secretary
Snap-on
Incorporated
Registration
Regular Price: $75
WMC Member Discount: $60
www.wmc.org/focus
Major Sponsor
Silver Sponsor
Sponsorship opportunities available.
Wisconsin Business Voice
27
MADE IN
Kenall Manufacturing
10200 55th Street
Kenosha, WI 53144
(262) 891-9700
Year Established: 1963
www.kenall.com
Headquartered in Kenosha
and employing approximately
400 people, Kenall Lighting’s
focus on sustainability, cost and
energy-efficiency and intellectual property makes them one of the most well-respected
independent lighting solution providers in the industry. Kenall’s Indigo-CleanTM, a continuous
environmental disinfection technology, is a light fixture that uses LED technology to safely,
automatically and continuously kill harmful bacteria within the environment. Indigo-CleanTM
installs easily into any ceiling, continuously disinfecting and bolstering current cleaning
protocols. Indigo-Clean’s continuous environmental disinfection technology kills harmful
bacteria in the air, on hard and soft surfaces, 24/7.
Phillips-Medisize
Phillips-Medisize
is headquartered
in Hudson and has
a presence in 14
locations throughout
the U.S. as well as Europe, Mexico, China,
and the Netherlands. The company is a global leader in design, development and
technology-driven manufacturing creating products for use in the medical device,
pharmaceutical packaging and commercial markets. Phillips-Medisize manufactures
hypertension therapy devices and cardiovascular hospital equipment along with other
key products. Their expertise in the cardiovascular market meets quality standards
and allows surgeons precision in the operating room. While cardiovascular patients
rely on medical professionals to ensure proper healthcare, medical professionals rely
on Phillips-Medisize.
Showcase your product in Wisconsin Business Voice
Contact Alicia Bork, abork@wmc.org
1201 Hanley Road
Hudson, WI 54016
(877) 508-0252
Year Established: 1964
www.phillipsmedisize.com
WISCONSIN
Quincy Bioscience
301 S. Westfield Road #200
Madison, WI 53717
(608) 827-8000
Year Established: 2004
www.quincybioscience.com
To some, jellyfish are creatures to
avoid in the water on vacation, but
to Quincy Bioscience they are an
aid in helping fight dementia-like
mental health issues. Using apoaequorin, a protein originally found
in jellyfish, Quincy Bioscience is responsible for Prevagen and many
other products and technologies that support cognitive function and age-related health
challenges. Headquartered in Madison with production facilities in Middleton, Quincy
Bioscience provides customers with supplements to combat the mental health aging
process. Their most popular calcium-binding protein-based product, Prevagen, can be
found in CVS, Walgreens and many other health foods stores and pharmacies nationwide.
WiscoLift
From air hoists
to web slings,
WiscoLift has the
expertise to ensure the highest quality lifting products.
Founded in 1974 and headquartered in Greenville, WiscoLift makes it a priority to
manufacture and supply customers with innovative, safe, and reliable products and services
for any lifting purpose. WiscoLift manufactures Grade 100 alloy chain slings with 1-, 2-, 3-,
and 4-legs and a wide variety of attachments. When it comes to Web Slings, the options are
endless: flat and twisted eye and eye, endless, returned eye, triangle/triangle and triangle/
choker slings. They sell many standard configurations online and manufacture custom
slings to any customer specifications. WiscoLift is a key manufacturer and supplier in the
lifting industry and ensures their customers are not only safe, but productive.
W6396 Specialty Drive
Greenville, WI 54942
(800) 242-3477
Year Established: 1974
www.wiscolift.com
MADE IN WISCONSIN EXPO
September 9 -10, 2016
State Fair Park, Wauwatosa
Register to exhibit and sell your products made with pride here in the Badger State!
www.madeinwisconsin.info
An Engineer’s Perspective – Spinning our Wheels
By Raj Sheth, PE
M
any opinions have been written and promoted by various
people and organizations on the issue of our nation’s
crumbling transportation system. Innumerable studies have been
conducted on how to best fund our transportation network at
federal and state levels.
Transportation Finance and Policy Commission, created by the
State Legislature in the 2011-13 budget, as well as the Wisconsin
Department of Transportation have conducted various studies,
providing a number of funding options. We do not need more
studies; we need action.
American Society of Civil Engineers, a technical society with
no political agenda, also has graded our country’s transportation
system including airports, ports, highways, bridges and transit as
“D” in recent years. Wisconsin highways are worse than those in
all neighboring states. In fact, a recent article in the Wisconsin State
Journal quotes a federal study ranking Wisconsin as having the
third worst highways in the country.
Our track record, as a nation and as a state, is one of inaction
and neglect. The gas tax, used primarily for highway and transit
networks, was last raised in 1993 at the federal level and was not
indexed to inflation. Wisconsin made a political mistake ten years
ago when it discontinued indexing the gas tax. The result has been
chronic underfunding of transportation projects and a need for
transfer of general funds to keep the highway trust funds solvent.
Past inaction has led us to this predicament and continued inaction
will make matters worse. We need to move beyond simplistic, antitax sound bites and recognize transportation funding is actually
good for the economy, good for Wisconsin and good for America.
The September issue of Wisconsin Taxpayer Magazine provided
an annual report card on issues facing the state, ranging from
economic strength to workforce readiness to social stability. Of the
23 issues noted, highway condition received the lowest grade of “D”
from the non-partisan Wisconsin Taxpayers Alliance.
WMC suggestions for
modest transportation
user fee increases:
•Raise the state’s
gas tax by up to
5 cents per gallon
•Boost the vehicle
registration fee
for autos and light
trucks up to $25
annually
Wisconsin’s key industries of
manufacturing, agriculture
and tourism depend on a good
transportation system to be efficient
and profitable. Without a worldRecently more than a dozen states, including several of our
class transportation system
neighboring states, have developed
(which we used to have a
to fund their highways,
“A federal study ranking ways
generation ago), all aspects of
mostly by increasing the gas tax.
Wisconsin as having the Wisconsin needs to select one or
our economy suffer. The costs
of lost time in traffic jams,
third worst highways in the more of the options suggested
accidents, increased delivery
by the Wisconsin Department
country.”
time and vehicle deterioration
of Transportation (see sidebar).
from poor road surfaces – all of
Whatever the funding mechanism, it
these costs grow, while the decision
must be indexed to inflation. We cannot afford to not have a worldon funding keeps getting delayed.
class transportation system if we are to compete in the global
economy. BV
The need is identified. Our
political leaders are recognizing
and discussing the need for funding. While this is a
welcome development, it has become a political football both at
the federal and state level. This is a huge mistake. We need to have
an honest discussion about what we expect from our highways and
other transportation systems, what it will take to maintain and
improve existing facilities, and how to pay for them. The Wisconsin
30
On the funding side, we must face reality. As the saying goes, “you
get what you pay for.” I would also borrow from an old commercial
and say, “you can pay me now or pay me later.” Every day our
infrastructure is getting a little bit older, and while we delay our
funding decisions, the cost of needed improvements grows.
Rajan Sheth, PE, is CEO of Mead & Hunt, Inc. He is
also a member of the WMC board of directors and a
Fellow of the American Society of Civil Engineers.
Annual Safety & Health Conference and Expo
May 16-18, 2016
Kalahari Resort, Wisconsin Dells
Seminars
Networking
New Safety Products
Professional Development
Courses
Track for Young Safety
Professionals
Keynote Speakers
Tuesday
Ross Bernstein
The Champion's
Code
Building Relationships
through Life Lessons
of Integrity and
Accountability from the Sports World
to the Business World
Wednesday
Steve Benzschawel
Generational
Differences:
Millennials at Work
Helping Everyone
Work Safely Across the
Generations
Visit www.wisafetycouncil.org for more information and to register.
22nd Annual
WISCONSIN
CORPORATE SAFETY
Honoring leaders in our state’s
business community for
achieving excellence in
safety & health.
Awards
AWARD TIMELINE
Applications Available online January 1, 2016
Now easier than ever, the streamlined CSA
application process can be fully completed
online at www.wisafetycouncil.org
Applications Stages
Phase I: Statistical Data Due January 29, 2016
The Awards Program
is sponsored by:
Finalists Notified February 5, 2016
Phase II: Subjective Report Due March 4, 2016
Winners Notified April 12, 2016
Awards Presented May 17-18, 2016 during the 74th
Annual Wisconsin Safety and Health Conference &
Expo in Wisconsin Dells
CELEBRATING SAFETY IN WISCONSIN!
Apply online at www.wisafetycouncil.org
Wisconsin Business Voice
31
SAFETY
EXCELLENCE
Janie Ritter
Director of Wisconsin Safety Council
New Year’s Resolution:
Safety Benchmarking
A
t the end of each year, many of us take the time to contemplate
the success of our business, department, or individual
goals. Often we ask what we learned from our efforts, and write
down goals for the New Year. While this process is informal
for most of us, a better way to measure your performance is
through benchmarking. The process of comparing your business’
performance standard to some kind of objective standard is
referred to as benchmarking. If your organization’s safety and
health program is not already engaged in a benchmarking project, I
challenge you to start one in 2016.
Benchmarking is one of the most effective tools businesses can
use to improve their operations, and boost profitability and
productivity. It is also an excellent way to improve or maintain
your organization’s safety and health program. One of the biggest
challenges in maintaining a successful safety and health program
is complacency. The process of benchmarking enables companies
to determine which of their processes and procedures could
benefit most from improvement. It also helps show the areas these
improvements might yield results and gauge how effective their
improvement efforts are over time.
What to benchmark
Prioritize the list of areas you want to benchmark based on your
high hazard and risk areas. Data from risk assessment, incident
reports, safety audits and information derived from discussions with
key, experienced employees can assist in identifying your priorities.
Take time to carefully consider which standards are most important
to your company’s overall success.
Where you are
Identify the current level of performance in the selected area you
choose to benchmark and the desired improvement in performance.
It may also be appropriate to use an audit and/or questionnaire
approach to measure the current level of performance.
Choosing your partner(s)
In large organizations it may be appropriate to select partners both
from within the organization, perhaps at a different geographical
location (internal benchmarking) and from outside the organization
(external benchmarking). Smaller organizations could select a
partner company with assistance from associations, local chambers
of commerce or the Wisconsin Safety Council.
Working with your internal and external partners
Successful safety and health benchmarking occurs with senior
management commitment, employee participation, commitment to
share information with others within and outside your organization,
and when you have the right data and research to make meaningful
32
comparisons. This is all made
easier with adequate planning
and preparation. When choosing
an outside partner for your
benchmarking, confidentiality
should be respected at all times. Goals should be set by the person
or team responsible for its achievement, and leadership should agree
the goal is important and appropriate time and resources will be
allocated.
Using what you learn
The goal of any benchmarking exercise is to learn from other
successful organizations, to learn more about your organization’s
performance compared to your partners, and to take action to
improve internal performance.
Your benchmarking plan should be “SMARTT”, that is:
Specific – Measurable – Attainable – Realistic – Trackable and – Timebound
Specific. Your plan should be detailed, specifically addressing the
goals you aim to achieve and your plan to achieve them.
Measurable. A goal is measurable when you can quantify it.
Establish base-line data and include a target/goal in which
progress can be measured along the way. Examples of measurable
goals answer questions like how much? How many? And how
will you know when your goal is accomplished?
Attainable. Choose goals you expect can be reached. Goals can
range from easy to challenging, and may need to allow for
flexibility. If a goal can no longer be achieved it should be altered
or discarded.
Relevant. Goals should be in line with your organization’s mission
and vision.
Trackable. How will your progress be tracked or measured?
Time-bound. Goals need a start and end. Progress should be
assessed along the journey. Placing time limits on completion will
help you focus on their achievement.
Like any business plan, the results of your benchmarking exercise
should include a list of recommendations, who is assigned to
implement the recommendations, and a timeline and monitoring
measurements for the implementation. BV
Follow WSC on Twitter @WISafetyCouncil
2016 Safety Training
The Wisconsin Safety Council, a division of WMC, is Wisconsin's leading provider of safety training
and programming. WSC offers training throughout the year at locations across the state.
MILWAUKEE AREA SAFETY
TRAINING
August 9
FOX VALLEY/GREEN BAY AREA
SAFETY TRAINING
February 15-16
August 15-18
February 11
June 16
August 22-25
February 18
August 30
September 7
March 15-18
September 12
Confined Space, Train-the-Trainer (AM)
September 13
Lockout/Tagout, Train-the-Trainer (PM)
September 29
Safety Management Techniques (SMT)
October 11
OSHA 10-Hour Voluntary Compliance for General
Industry
Job Safety Analysis ( JSA)
Creating a World Class Safety Culture
October 19
Coaching the Lift Truck Operator, Train-theTrainer
December 5-8
OSHA 30-Hour Voluntary Compliance for General
Industry
MADISON AREA SAFETY TRAINING
January 6
OSHA Construction Breakfast “Interior Building
Safety”
January 18
MSHA/OSHA 8-Hour Refresher
January 25-28
Fundamentals of Industrial Hygiene (FIH)
February 22
MSHA/OSHA 8-Hour Refresher
February 23
Creating a World Class Safety Culture
March 8
RCRA Compliance for Hazardous Waste
Generators Overview (AM)
March 8
Coaching the Emergency Vehicle Operator
(CEVO): Ambulance and Fire
Principles of Occupational Safety & Health (POSH)
OSHA 30-Hour Voluntary Compliance for General
Industry
Ergonomics: Managing for Results
September 12
September 26-29
October 4
RCRA Compliance for Hazardous Waste
Generators Overview (AM)
October 4
OSHA Construction Breakfast “Electric Safety
Management”
April 11
Safety Inspections
April 18-21
Safety Training Methods (STM)
May 3
OSHA Construction Breakfast “Preplanning for
Job Safety”
August 1-3
Instructor Development Course (IDC): First Aid/
CPE/AED
Effective Team Safety
Safety Inspections
November 2-3
OSHA 10-Hour Voluntary Compliance for
General Industry
February 9
October 18
Coaching the Lift Truck Operator, Train-theTrainer
November 7
Supervisor Development: Safety & Health
Fundamentals
MSHA/OSHA 8-Hour Refresher
August 10
Coaching the Lift Truck Operator, Train-theTrainer
December 12
Effective Team Safety
May 16-17
March 22
Incident Investigation: A Root Cause Analysis
Conducting Effective Safety Training
Confined Space, Train-the-Trainer (AM)
Lockout/Tagout, Train-the-Trainer (PM)
OSHA 30-Hour Voluntary Compliance for General
Industry
WAUSAU/EAU CLAIRE AREA
SAFETY TRAINING
October 10
WISCONSIN DELLS AREA SAFETY
TRAINING
March 10
MSHA/OSHA 8-Hour Refresher
DOT Hazmat Transportation Refresher (PM)
DOT Hazmat Transportation Refresher (PM)
March 10
Coaching the Lift Truck Operator, Train-theTrainer
OSHA 10-Hour Voluntary Compliance Course for
General Industry
May 16-18
74th Annual Safety & Health Conference/Expo
May 16
•Coaching the Lift Truck Operator, •Train-theTrainer
•Effective Team Safety
•Incident Investigation: Root Cause Analysis
•Electrical Safety Compliance-NFPA 70E
•Process Safety Management (PSM)
•Confined Space Entry Training for Entrants/
Attendants/Supervisors
Chapter of
•Values-Based Safety Process
•Energizing Your Ergonomics Training
•Workplace Violence Prevention Programs
•Leadership Through Learning
www.wisafetycouncil.org
•Respiratory Protection 10
Wisconsin Business Voice
33
Wisconsin’s Largest Export Destination Offers
Opportunities for Export Growth
W
isconsin exported $7.9 billion in manufactured goods and
agricultural products to Canada in 2014 – accounting for
more than one-third of all Wisconsin exports, more than the next
eight Wisconsin export destinations combined.
International trade pathways between Wisconsin and Canada
are well established and well traveled. The North American Free
Trade Agreement (as well as the Trans-Pacific Partnership, whose
negotiations have concluded but which has yet to be ratified
by member states) eliminates most duties and tariffs, making
exporting to Canada relatively simple and straightforward. With its
geographic proximity and cultural similarity to the U.S., Canada is a
logical first step for companies that are new to exporting.
Businesses seeking to grow their exports to Canada should keep in
mind the market demands high-quality, innovative products and
technologies – at least as sophisticated as what companies would
produce for the U.S. market. Key sectors include natural resource
extraction and processing, transportation equipment, chemicals,
food products, wood and paper products and fish products.
However, Canada is a large country with a diversified economy that
provides opportunity for almost every type of product or service.
Recognizing the potential for growth in exports to Canada, the
Wisconsin Economic Development Corporation (WEDC) is
leading a global trade venture to Canada from March 13-18, 2016,
with stops in Winnipeg and Toronto.
Winnipeg was chosen as a destination because the economy of
the surrounding province was among the strongest in Canada in
2015 and is forecast to lead all provinces in 2016. Manitoba is an
oft-overlooked region in central Canada whose strengths synergize
with Wisconsin’s; in fact, as of 2014, 15 percent of Wisconsin’s
Canadian exports go to Manitoba. Processed foods and beverages
account for the largest share of Manitoba’s manufactured goods.
Other important industries include industrial and electrical
machinery, metal fabrication and the manufacturing of electrical,
chemical and printed products, as well as mining in the north.
Manitoba is also known for its forest products industry, including
furniture, doors, windows and cabinetry.
INTERNATIONAL GROWTH
OPPORTUNITIES IN CANADA
2014 Top2014
Export
TopCategories
Export Categories
to Canada
to Canada
IndustrialIndustrial
MachineryMachinery
– 20%
– 20%
ElectricalElectrical
MachineryMachinery
– 8%
– 8%
Vehicles &Vehicles
Parts –&
7%
Parts – 7%
Paper – 7%
Paper – 7%
Plastics –Plastics
5%
– 5%
Beverages
Beverages
– 4%
– 4%
Organic Chemicals
Organic Chemicals
– 4%
– 4%
Other – 45%
Other – 45%
Population: 34.8 million
(6x greater than WI)
2014 WI Exports:
$7.9 billion
Area: 9.0 million sq km
(58x larger than WI)
WI Export Rank: 1
GDP: $1.83 trillion
(7x larger than WI)
2014 WI Imports:
$4.5 billion
2014 Top2014
Import
TopCategories
Import Categories
from Canada
from Canada
Plastics –Plastics
10%
– 10%
Wood PulpWood
– 10%
Pulp – 10%
IndustrialIndustrial
MachineryMachinery
– 8%
– 8%
Paper – 8%
Paper – 8%
Wood – 8%
Wood – 8%
Mineral Fuels
Mineral
– 4%
Fuels – 4%
Vehicles –Vehicles
4%
– 4%
Other – 48%
Other – 48%
Key Industries: Natural Resource
Extraction and Processing (including
Minerals, Petroleum, Natural Gas),
Transportation Equipment, Chemicals,
Food Products, Wood and Paper
Products, Fish Products
To learn more about growing your business in Canada,
visit InWisconsin.com/Exporting or call 855-INWIBIZ (toll free).
34
Located in Ontario – the largest provincial
economy in Canada – Toronto is part of the
highly integrated Great Lakes distribution and
production network. The Ontario economy is rich
and diversified, gained noticeable momentum in
2014 and is on track to log further acceleration
for 2015 once numbers are available. Sectors
of particular strength include aerospace, a $5.3
billion industry; automotive; food and beverage
manufacturing; life sciences and medical
technology; and water technology where Ontario
is a global leader of research and development.
More than 60 percent of Wisconsin’s Canadian
exports go to Ontario.
Companies participating in the WEDC trade
venture will receive market intelligence from
Wisconsin’s authorized trade representative in
the market to help craft their Canadian export
strategies. The trade office will arrange customized
meetings with hand-picked local partners that suit
each participating company’s specific objectives.
This program is designed to simplify and
demystify exporting, and is offered at a subsidized
rate to recognize that when Wisconsin companies
grow their exports, the entire state benefits from
the resulting economic growth. Companies across
all sectors are encouraged to consider attending.
BV
Visit WEDC’s website InWisconsin.com/exporting
for more information on exporting to Canada or
other parts of the world. Visit InWisconsin.com/
canada2016 for more information on the trade
venture to Canada.
Fueling Wisconsin’s Economic Engine
A
s I approach 60 days in my new role, I can confidently reaffirm
the Wisconsin Economic Development Corporation’s
(WEDC’s) commitment to our mission – “To advance and
maximize opportunities in Wisconsin for businesses, communities
and people to thrive in a globally competitive economy.”
Creating the right environment for economic vibrancy is a
responsibility that extends well beyond WEDC’s walls. For this
reason, our mission’s fulfillment draws upon the full strength of an
extremely capable economic development network that includes
powerful resources at the local and regional level. Equally important
are the valuable perspectives and insights generously shared by
educational institutions and trade groups statewide.
Our investments are designed to remove barriers, fulfill
opportunities and attract investments that would not be feasible
from a financial, competitive or timing perspective without public
assistance. The top criteria we consider when assessing a project is
the ROI it will deliver to the state.
So, what are some of the metrics we use to measure our
effectiveness when it comes to the state’s economic development
efforts? Developing and maintaining a positive business climate
requires focused attention on all facets of the state’s economic
output. That is why WEDC contracts often provide incentives
to companies not only to create and retain jobs, but also to make
capital investments, provide employee training and purchase goods
from other Wisconsin companies.
A key component of WEDC’s success is the alignment between
our programs and the critical drivers of the state’s economy. For
this reason, the shorthand reference to WEDC as “Wisconsin’s
job creation agency” falls far short of describing the breadth of
WEDC’s work. It also inaccurately shifts the credit from the
business leaders whose vision and strategies are truly responsible
for creating and maintaining jobs in Wisconsin. WEDC’s role is
much better described as, “Wisconsin’s lead economic development
agency,” because our programs, whether administered directly or
through our 600 economic development partners, help companies
and communities maximize their potential.
In fiscal year 2015, WEDC and our contracted partners provided
financial and operational assistance – from business planning to
export strategy development – to more than 5,000 businesses. We
also provided assistance to 103 communities to make sure they
maintain the necessary infrastructure and amenities to attract and
retain strong businesses and the
workforce they need to prosper. As
a result of this collaboration and
investments of time, knowledge and
funds, we anticipate a total of 26,822
jobs will be directly impacted – jobs
that have been, or will be, retained or
newly created.
Keep in mind, it is not only our
taxpayers’ money administered through WEDC doing this work.
In fiscal year 2015, WEDC achieved a leverage ratio of 9-to-1 on
our investments ($9 of outside investment for every $1 of WEDC
funds) across all of our financial awards, well above our annual goal
of 3-to-1.
Another measure of our programs’ effectiveness is the total
investment made in the projects where WEDC is involved. In fiscal
year 2015, WEDC invested in contracted projects that will result
in $1.2 billion in capital investments in Wisconsin with ripple
effects that include, for example, new vendor relationships and
strengthened retail opportunities. The result is a healthy return to
the state through income taxes that result from increased economic
activity. We project the state will draw an additional $78 million of
income taxes from WEDC’s FY 2015 contracts alone.
These successes demonstrate the soundness of the economic
development model developed and executed since WEDC was
founded in 2011. Continuous process improvement is essential in
any business, regardless of its age. To this end, we look forward to
sharing the recommendations of the internationally recognized
Center for Regional Economic Competitiveness (CREC),
which was retained earlier this year to provide best-in-class
recommendations to assist our ongoing efforts to streamline our
operations as well as chart WEDC’s future course. This will be
another positive step forward for WEDC and our commitment to
building a strong and resilient Wisconsin economy. BV
Mark R. Hogan is Secretary and CEO of the
Wisconsin Economic Development Corporation
Wisconsin Business Voice
35
Packers Business Evolves and Grows
By Mark Murphy
S
ports fans, particularly those in Wisconsin, are familiar with the
humble beginnings of the Green Bay Packers. A new city team
was organized Aug. 11, 1919 in a second-floor editorial room at the
Green Bay Press-Gazette with Curly Lambeau, a former Green
Bay East football star, elected as its captain and George Calhoun,
the Green Bay Press-Gazette’s city editor, named as manager. The
two earlier had struck-up a conversation about forming a new
team, gathered the players for the organizational meeting and later
became regarded as the co-founders of the team that endures today.
construction industry. The number of visitors to Lambeau Field
continues to increase, with nearly two million people annually
taking in games, training camp, various Atrium businesses and
many events.
Lambeau Field
Photo credit Brenda Spaude
Pro football in the 1920s certainly wasn’t the popular business it is
today and the Packers had some early struggles, but the community
was determined to have a football team and supported it in various
ways, including five stock sales that significantly helped the
franchise. The first three offerings (1923, ’35 and ’50) literally saved
the team from bankruptcy and the latter two (1997, 2011) helped
support expansions and renovations to Lambeau Field.
In 2000, that backing continued when citizens of Brown County
approved a half-cent sales tax to support the redevelopment of
Lambeau Field. The $295-million project enabled the iconic
stadium to become a year-round destination. The results were
immediate as the Packers, upon the strength of additional revenue
streams, were able to move into the second quartile of NFL
teams in revenue (ranking ninth in 2014) and deliver on their
promise to the community and fans – turning profitability into
the preservation of the franchise and stadium. The impact of the
franchise on the community grew as well, with a 2010 AECOM
study measuring the Packers’ economic impact at $282 million
annually, an increase of more than $100 million a year. Since 2003,
that’s more than $3.1 billion in total impact. Our charity impact
also has increased, surpassing $6 million in the past year.
With Lambeau Field well positioned for the future, the
organization has turned its sights to the area surrounding Lambeau
Field with the development of the Titletown District, a destination
area to be created on approximately 34 acres of land immediately
west of the stadium. Titletown will maximize its unique location
to attract more visitors, spur additional regional economic growth,
offer new amenities to residents and complement the greater Green
Bay area’s draw as an excellent location to live, work and play.
Initial tenants in the development that will open in fall of 2017 are
LODGE KOHLER, a hotel built and managed by Kohler Co., a
Bellin Health Sports Medicine Clinic and Hinterland Restaurant.
The community’s investment continues to return benefits, as the
Packers’ firm financial footing put the organization in position to
complete the recent five-year expansion and renovation (2011-15)
to Lambeau Field and the Atrium without any public tax money.
Work on the $312-million project provided more than 3,000 jobs
and more than $130 million in wages, a significant boost to the
The Packers are particularly excited about the community impact
of Titletown’s planned 10-acre public plaza, a park-like setting with
year-round, diverse programming that will feature fitness-related
activities, cultural opportunities, versatile space for a variety of uses,
a winter ice skating rink and team-inspired public art, in addition
to festive gameday action.
With the popularity of the NFL remaining strong, the Packers
are well positioned to forge a successful future. The greatest story
in sports will continue to draw visitors to the region and drive
economic development for the greater Green Bay area.BV
Photo credit Green Bay Packers
Rendering of planned public plaza
36
Mark Murphy is President and CEO of the Green
Bay Packers
________________________________________________
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BUSINESS DAY IN MADISON
Wednesday, February 24, 2016
Monona Terrace Community & Convention Center, Madison
Larry Kudlow
Host of the
Larry Kudlow
Show on
CNBC
Governor
Scott Walker
Stephen
Hayes
Fox News
contributor
and columnist
for The
Weekly
Standard
Ken Gronbach
Demographer
and futurist
Register today – www.businessdayinmadison.com
38
ENERGY
Lucas Vebber
WMC Director of
Environmental & Energy Policy
L
It’s Time to End Wisconsin’s
Unnecessary Nuclear Moratorium
et’s jump back in time to the early 1980s: a time when the cold
war was in full force and anti-nuclear protests were popping
up across the country. In response, several states decided to enact
nuclear moratorium laws that essentially prohibited the building
of new nuclear power facilities. Despite the fact there were several
nuclear facilities in the state operating safely, Wisconsin was one
of the states that passed a nuclear power moratorium. When the
law passed in 1983, existing facilities could continue operating but
it virtually guaranteed no new nuclear generation would be built in
Wisconsin.
in Wisconsin. One option some states are looking at is nuclear
power. Under current law, however, thanks to the cold-war era
moratorium, nuclear power cannot be a part of the conversation
here in Wisconsin. We are forcing ourselves to comply with these
oncoming federal mandates with one hand tied behind our back.
The Clean Power Plan is going to make energy more expensive and
less reliable in Wisconsin. Because the EPA is forcing Wisconsin
to reduce CO2 emissions from power plants, we will be forced to
move away from coal power and fundamentally change the way
we generate electricity. Wisconsin will need to replace reliable
baseload coal power with intermittent and less reliable sources like
wind and solar. If the sun stops shining or the wind stops blowing,
energy is not generated. If we do not have the ability to ramp up
generation at coal power plants to make up for these shortfalls, the
lights will literally go out, which would be devastating for business
to power our economy, our state must at least be able to consider
all options to determine the best way to meet our needs. Wisconsin
needs to have a serious conversation about the future of electricity
generation and unless we repeal the moratorium, nuclear energy
cannot be a part of the conversation. It is time to repeal Wisconsin’s
nuclear moratorium. BV
Thankfully here in Wisconsin we have leaders in the Legislature
who are working to ensure all options are on the table. Rep.
Kevin Petersen (R-Waupaca) and Sen. Frank Lasee (R-De Pere)
have introduced legislation, Assembly Bill 384/Senate Bill 288,
that would end Wisconsin’s nuclear moratorium and allow this
Flash forward to today: Wisconsin’s energy infrastructure relies on
technology to be part of the discussion for our state’s future
coal and natural gas power plants. The Environmental Protection
energy needs. In December, the Assembly Committee on Energy
Agency (EPA) recently mandated states reduce
and Utilities voted unanimously to approve
CO2 emissions. To accomplish that goal, the
the bill and send it to the full Assembly.
“Wisconsin will be forced to This is promising, and there is hope
EPA set a specific target for each state to
meet. This rule, known as the “Clean Power
move away from coal power and the Legislature will finally repeal the
moratorium this session.
Plan,” will require Wisconsin to reduce CO2
emissions from power plants by more than fundamentally change the way we No one knows for sure what our state’s
40 percent. Currently Wisconsin generates
generate electricity.”
electrical infrastructure will look like in
from coal about 60 percent of the power we
the coming years. Nuclear power is no silver
consume. Coal is an affordable and efficient energy
bullet, and even if the moratorium is repealed, there’s no guarantee
source that has been powering Wisconsin for generations, but it
new nuclear power plants will be built in Wisconsin. Still, given
does produce CO2.
the mandates at the federal level and the need for reliable energy
Follow Lucas on Twitter @VebberWMC
Wisconsin Business Voice
39
WMC at Home and on the Road
1
2
1
WMC’s Kurt Bauer (left) spoke at a luncheon hosted
by the United States Global Leadership Council on the
importance of private sector international engagement.
He is pictured here (from left to right) with Wisconsin
native K.T. McFarland of the Fox Business Network,
General James T. Conway, retired Commandant of the
U.S. Marine Corp., and Alan Petelinsek, CEO of Sussexbased Power Test, Inc.
2
3
The Wisconsin Safety Council Conference Planning
Committee met at the WMC headquarters in October to
plan its 2016 Conference.
Gov. Walker met with WMC board members and
staff during the State of Wisconsin Business event in
Madison in October. Pictured here, left to right, are
Cliff King, Skyward; Scott Mayer, QPS Employment;
Gov. Walker; Bob Kamphuis, Mayville Engineering; and
Scott Manley, WMC.
3
4
5
6
Green Bay Packers president Mark Murphy presented to WMC members and guests during
the State of Wisconsin Business event at Lambeau Field in October.
WMC recently welcomed Vincent Floreani (center), the Consul General of France in Chicago.
Pictured with Floreani are WMC’s Kurt Bauer and Katy Pettersen.
4
Republican and Democrat legislative leaders spoke at WMC’s annual Government Relations
Conference last fall. Pictured from left to right are WMC’s Chris Reader, Assembly Speaker
Robin Vos (R-Burlington), Senate Majority Leader Scott Fitzgerald (R-Juneau), State
Representative Gordon Hintz (D-Oshkosh), State Senator Janet Bewley (D-Mason), WMC’s
Jason Culotta and Lucas Vebber.
7
8
WMC Foundation president Jim Morgan presented The Future Wisconsin Project details to
Gov. Walker and his cabinet at the Governor’s Northern Wisconsin Conference in Trego this
December.
WMC director of tax and transportation Jason Culotta (left) met with German consul general
Herbert Quelle at a meeting of the German-American Chamber of Commerce last fall.
5
6
40
7
8
Effective Collaboration between
Industry and Education
By Dr. Dan J. Thoma
M
anufacturing is a vital component of the nation’s
economic prosperity and growth – the industry provides
9 percent of jobs, 60 percent of exports, 12 percent of the gross
domestic product (GDP) and 69 percent of private research
and development spending in the United States. Because of the
impact manufacturing has on our economy, advanced techniques
and methods can accelerate a competitive advantage. Advanced
manufacturing techniques can emanate from scientific discovery
that is scaled-up for commercialization – or more commonly, they
can originate from an industrially driven need for new solutions
that provide an economic advantage. Both of those – the scientific
"push" and the technological "pull" – will be the focus of efforts
within the Grainger Institute.
In the institute, we will derive the scientific push for advanced
manufacturing capabilities from new technologies and fundamental
science. Specifically, our focus areas in advanced manufacturing will
include accelerated materials discovery for new applications and
discovery, computational science and engineering for prediction
and for streamlining production lines, and cradle-to-cradle design
schemes that allow us to reuse our resources, or use them more
sustainably.
It is important to stress the relevance and importance of materials
in advanced manufacturing strategies. For example, materials
enable technology – and in fact, the ages of human existence
(the Stone Age, Bronze Age, Iron Age, etc.) are defined by the
materials that led to growth and prosperity during those eras.
Therefore, innovative methods for accelerated material discovery
and application will enhance economic potential now and into the
future.
Although scientific discoveries do make their way into commercial
products, technology-driven needs are essential for robust
collaborations among U.S. industries, companies and research
universities. In the Grainger Institute, we will define this
technological pull through direct collaborations with industry and
through research consortia that bring together multiple businesses
or industries.
We are developing "showcase" laboratories which will allow
us to integrate fundamental technologies that cross disciplines
and transition them into test beds and pilot operations at
local industries. Stepwise integrations will help mature the
technologies (and technology readiness levels) and accelerate their
implementation into commercial products, and thus, their economic
impact. Specifically, Grainger Institute for Engineering researchers
will engage in activities that include additive manufacturing,
smart manufacturing, digital manufacturing and supply chain
optimization.
One very essential
feature of the
Grainger Institute
is its efforts involve
students at both
the graduate and the undergraduate levels – and through the
institute, our students will gain invaluable experience and a deeper
understanding of how universities and industry can collaborate
effectively.
A systematic approach that
fosters basic science, discovery
and knowledge is absolutely
required as an educational
component for graduatelevel research. Through
the Grainger Institute, we
can integrate fundamental
research into collaborative
efforts, enabling our faculty
and graduate students to work
in large, trans-disciplinary
teams. This integrated
approach to research allows
us, then, to serve industry
through a "showcase"
capability that allows us to
test-implement technologies
into specific industrial needs.
The industrial collaborations
provide not only an
opportunity for developing
a worker pipeline, but also
enhancing economic growth
through more a competitive
regional environment.
In this environment, our
undergraduate students
also will have increased
interactions with local
industries as well as start-up
opportunities.BV
Formed in June of 2014,
the Grainger Institute
for Engineering at the
University of WisconsinMadison is positioned
to capitalize on national
thrusts in advanced
manufacturing through
trans-disciplinary,
integrated interactions at
a large-scale, technically
diverse university. We will
interact with both internal
and external partners,
providing us a flexible and
agile ability to address
existing or emerging
challenges in our modern
world. Initially, the
institute's focus centers
around materials and
manufacturing.
Dan J. Thoma, PhD FASM is the Director of the
Grainger Institute for Engineering at the University
of Wisconsin – Madison
Wisconsin Business Voice
41
SEEKING COMM
Reaching Across the Aisle
By Congressman Mark Pocan (D – 2nd District)
I
f you watched the news out of
Washington lately, you may get
the idea there are only 20 members
in Congress constantly yelling past
each other. While on the surface,
we are seeing unprecedented levels
of partisanship, especially with the
looming 2016 Presidential race, it remains as important as
ever to buck the trend of divisiveness and work across the aisle
to get things done.
This was a lesson driven home for me during the 14 years
I served in the Wisconsin State Assembly, where we had
divided branches of government during much of that time.
On the Joint Finance Committee, I was both co-chair and
a minority party member and there were only small periods
of times where one party was in charge. It was there that nowSpeaker Robin Vos (R-Burlington) and I began collaborating
on common goals. Even when we staunchly disagreed,
we would still find time to talk. Former Rep. Scott Suder
(R-Abbotsford) and I hammered out a corrections budget
based on ideas we held in common and it ended up passing
Joint Finance on a 16-0 vote.
Both Democrats and Republicans often want similar things
for our country, but have different approaches to achieving
those goals. Once you look past the most obvious differences
and seek common ground, genuine progress can be made.
It is this belief that has led me to form productive
relationships with Wisconsin’s Congressional delegation,
specifically with Rep. Reid Ribble (R-8th District). I was an
original cosponsor for Rep. Ribble’s biennial budgeting and
oversight bill and even helped find other democratic sponsors.
42
This year alone, we have both cosponsored significant
bipartisan legislation dealing with redistricting reform,
sentencing reform and email privacy. Compromise doesn’t
mean compromising your principles. It simply means finding
out what you have in common and getting those things done.
In general our state delegation works together well in the
House and keeps open dialogue between offices, something
Wisconsinites can be proud of.
Another area where I have found partners across the aisle is in
the field of education. Earlier this year, Rep. Luke Messer (RIN) and I introduced a resolution to reauthorize the Federal
Perkins Loans program. I later introduced legislation with
Rep. Mike Bishop (R-MI) to reauthorize the program which
then passed the House. Additionally, a bipartisan group of
members from my committee of jurisdiction, Education and
the Workforce, introduced legislation that would simplify the
student financial aid process.
Just yesterday, I witnessed the President sign the Every
Student Succeeds Act into law, which was supported by a
broad coalition of members from both parties. While neither
side got everything it wanted we were able to compromise and
create a bill that puts students first and empowers teachers.
While a perfunctory view of the current political landscape
in Washington may yield discouraging sentiments, a deeper
dive reveals bipartisan work behind the scenes. It is important
to remember that while Congress is still dysfunctional
and partisan rancor is at an all-time high, cooperation and
compromise should not be out of reach. BV
U.S. Representative Mark Pocan represents Wisconsin’s 2nd
Congressional District in the south central part of the state.
MON GROUND
It is Possible to Disagree Without Being Disagreeable
By Congressman Reid Ribble (R – 8th District)
I
came to Washington because I
am concerned our country is on
the wrong track. I am concerned my
grandchildren's generation will not
have the same bright future as our
generation and the mountains of debt
we are incurring may someday reach a
point of no return. I came to Congress to take hard votes and
do my very best to solve big problems on behalf of the people
of northeastern Wisconsin. What I didn’t come to do is play
political games.
This isn’t a new idea by any stretch of the imagination. Very
soon after our nation was founded, Thomas Jefferson wrote
extensively about one of his biggest concerns for the republic
– factions. Over two hundred years later, Congress’s approval
ratings hover near those of Darth Vader. One of the most
commonly cited reasons is partisan gridlock.
I often say I am a republican with a small “r.” I believe deeply
in small government, the intrinsic value of every single person,
self-determination and the ability of the free market to create
jobs and opportunity in a way the government will never be
able to. I also believe men and women with different beliefs
can love our country and want the best for its people just as
much. Because of this, I often question the methods of my
colleagues in Congress, but almost never their motives.
With that in mind, it seems crazy not to work together in
areas where you can agree. Some would have you believe if
you compromise you are really giving up on principle. That's
nonsense. While my strong beliefs in our need for a balanced
budget and support for the sanctity of life may not always
translate into bipartisan support, we can and should work
together on getting our veterans the benefits they have earned,
insisting that Congress do its work on time, and fighting
gerrymandering. I am honored to have introduced legislation
and pushed for reforms with colleagues from across the
aisle like Wisconsin Representatives Mark Pocan (D – 2nd
District) and Ron Kind (D – 3rd District), and many others
from around the nation.
When people work together in good faith and put the
American citizens first, amazing things can happen. I am
extremely proud of the work we have done on legislation
like the Biennial Budgeting and Enhanced Oversight Act of
2015, which would be the most significant budget reform in
three decades and currently has 51 Democratic, along with
174 Republican, cosponsors. Representative Pocan and I have
led a strong bipartisan push on the Long-Term SCORE Act,
which would help us make smarter investments in things
like healthcare to save huge amounts of money down the
road. Representative Cooper, a Democrat from Tennessee,
and I have been extremely active in the fight against
disenfranchising voters through gerrymandering.
Benjamin Franklin said at the end of the Constitutional
Convention in 1787 that our forefathers had created a
republic – if we could keep it. As our politics become
increasingly polarized, it is vital we are able to disagree
without being disagreeable, that we question methods rather
than motives and we remember at the end of the day we are
all serving the greatest country in the world. We have an
obligation to leave it better than when we started. BV
U.S. Representative Reid Ribble represents Wisconsin’s 8th
Congressional District in the northeast part of the state.
Wisconsin Business Voice
43
CHAMBER
CORNER
Business and Education: Working Together to
Solve the Workforce Shortage
By Jim Ladwig
A
s everyone knows, providing our employers with a capable,
reliable and talented workforce is imperative to a healthy
business climate. If our businesses don’t have a qualified workforce,
they can’t fill vacancies or grow at their current location;
unfortunately, they may be forced to move their operations to
other regions. This is why the Racine Area Manufacturers and
Commerce (RAMAC) is taking an active role in partnering with
the Racine Unified School District (RUSD) in their efforts to
transform students’ high school experience.
RUSD is in the process of creating academies and career pathways
for all students. This will enable many students to directly enter
the workforce and better prepare others for higher education.
Most of these pathways will coincide with high demand jobs in
our community. We are currently partnering with the Department
of Workforce Development on a local business survey to identify
skills and jobs our employers are searching for. Some of the initial
pathways already identified include information technology,
manufacturing, automotive, culinary arts, health careers,
engineering, business and marketing, and construction.
RAMAC recently partnered with RUSD on its professional
development day for high school educators with an event called the
Business Roundtables. Thanks to many of our chamber members,
RUSD brought over 400 educators to 21 employers in our
community. The educators had an opportunity to tour facilities and
hold valuable discussions with local employers. These discussions
included types of job openings and skills needed to qualify for
the positions. It was a tremendous opportunity for educators
CHAMBER FUN FACT
Eagle River, WI
Recreation haven: that is what Eagle River is all about!
With the world’s largest chain of lakes –28 – Eagle
River is a hot spot for trophy fishing. Known for musky,
northern, walleye and bass, the chain of 28 lakes is
also a mecca for pan fish and even has guides to help
you navigate the water. Eagle River doesn’t just offer
water sports – it is also the Snowmobile Capital of the
World. Visiting the area in
January? Be sure to check
out the Annual Amsoil
World Championship
Snowmobile Derby
Week and the Amsoil
Snowmobile Derby World
Championships!
44
and employers to open the lines of communication and better
understand the challenges facing one another.
After the roundtables, both the educators and businesses were
surveyed on the event. One of the questions the educators were
asked was, “What did you see or learn at the business visit that you
could incorporate into your classroom?” The responses included the
following:
“Soft skills and proper writing, interview skills, and how to present
yourself.”
“I learned many of the necessary skills students need to learn,
mainly the soft skills. I can work on those starting Monday.”
“Soft skills are almost as, if not more, important than GPA.”
“The ability to think critically and problem-solve are of the utmost
importance.”
As you can see this was extremely valuable to have our educators
see and hear first-hand the skills set our employers require.
The educators were also asked to rate the professional development
experience on a scale of one to five, with one being poor and five
being excellent. The average rating from educators at RUSD’s three
major high schools was 4.73. Once again, this demonstrates the
high value our educators placed on their visits.
It wasn’t only beneficial to the educators; the area business partners
were also surveyed. Some of the comments from our businesses
included:
“The teachers were open and we had a great time talking about
what we can do together to make RUSD better in the future.”
“The teachers were just wonderful and so engaged in learning about
the different opportunities in healthcare. It was an honor to be part
of this wonderful transformation of our high schools.”
These comments exhibit that our employers also found significant
value to the event.
In Racine County, RAMAC and others are partnering to
transform high school education. We are working to ensure our
community has a fully capable and employed workforce. As
we have displayed, we can accomplish great things by working
together. BV
Jim Ladwig is President and CEO of Racine Area
Manufacturers and Commerce
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ProjeCt?
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