SMART Holdings USA Issue # 6, Economic Development, Jan 2013 SMARTvt MAGAZINEBringing People To Vermont Your Issue SMARTvt Matches People With Vermont Companies Contents Ward Lumber CEO, Jay Ward meets with SMARTvt Delegation discussing Timber Technologies and Job Creation in the Adirondack Region. Scott Decker appointed Editor-in- Chief SMARTvt Magazine. Decker assumes command of the New England Economic Development Publication Changing Faces SMARTvt’s John Mayer takes over Shelburne Plastics as CFO of the multi-state bottle maker for the consumer products market Rose Computer Technology Services and David Rose poised as a next generation IT / IS solution providerSMARTvt has been adding Says, VT State Economist Art Wolfe, has the largest IT Sales Force inpeople to Vermont workforce in Vermont’s population and especially its Vermont. work force are shrinking. Economic IT Innovator from Virginia joinsrecord numbers for two years. Developers are strategizing on how to SMARTvt and Rose ComputerBusinesses are puzzled in how attract younger workers. Smartvt.org Technologies.to attract innovators earning seems to have figured it out.great wages from places like Working in Washington, D.C. is a longWash., DC. Despite SMARTvt’s way from Burlington, VT but that did not stop Daniel Eyers, an ITefforts, the state’s Labor Force is Engineering Innovator from Virginiashrinking; fewer are starting who recently decided to move to …..Economic Development Vermont…..businesses as tax revenue Vermont.declines. ……See story next page 3… Vermont’s Power Center for Business & Job Creation consultancy offering sustainable socially responsible applications such as Hands-SMARTvt.org – SMART Holdings USA on Engineering, Accounting, Finance, Marketing, New Product Development,Chairman, Mark Renkert, President, Michael Kipp, Michael Hussey, Gabrielle Research, Medical Devices and Technology, Pharmaceuticals, Telephony, E-Meunier drive SMART Holdings USA economic Development Engine Creating US enterprise, IT / IS implementation - service, Merger & Acquisition, LBO, BusinessCompanies and Jobs . SMARTvt created a task force that provides resources, Valuation, Forensic Accounting, SECeducation, training, financing solutions to business startups for approved plans. Compliance, Petrochemical Extraction, DefenseAbout SMARTvt.org. Vermonts largest solution provider featuring teams of Systems, and global manufacturing enterprises.subject-matter experts with one voice as one firm; SMARTvt.org, a global .
SMART Holdings USA Issue # 6, Economic Development, Jan 2013 When Dan Eyer thought about moving to Vermont he was amazed by how many employers told him not to. "First they started with Vermonts high cost of living, then they described the States taxes, then the few choices that residents have for health care, then how they rated as among the poorest payers, and last," he added, "... they described that on any given day that Vermont and Maine are tied with the nations oldest populace," and then said, "they said Id never last a winter." His wife Carolyn said, "Hmm ...... with all that news -- whats not to love about Vermont?" The couple in their late 20s see the conundrum that faces Vermont employers in attracting a "farm league" for their work force. Nonetheless, Eyer, with his wife Carolyn‘s parents living on the Champlain Islands, decided to move his family to Vermont despite what the Human Resources Department employees told him. Eyers (Linked In) ( Powerpoint Slide Deck) was unique. He features a rare set of complex computer engineering skills that feature both human cooperation and complex problem solving expertise in Information Systems and Technologies. While his college degree is English from Virginia Polytechnic Institute and University, he continued to self-train earning powerful advanced certifications in IT. Working along the Washington DC belt- line which has had the largest number of jobs during this depression he always found good jobs. He worked for leading edge companies, while continuously self-training, gaining valuable expertise that Vermont employers are eager to have. Four employers actively sought him. Says, SMART Holdings USA Board President, Michael J. Kipp, CPA, "This is the essence of what avid Rose, CEO of RCTS works SMARTvt.org is about. driving the mantra of taking ownership of your own continual self-development and constantly showing value to potential employers and making the pursuit of innovation relentless." with SMARTvt bringing Dan Eyer to the state. Kipp adds, "Look at Eyers Slide Deck.... too few of todays professionals show this kind of progression and personal ownership of their careers...... and he did this all while working full time and raising a family. " SMARTvt.orgs, Mark Renkert, who from a Washington Belt-line source learned that Eyers was seeking to live in Vermont. He introduced Rose Computer Technology Services of Williston, VT that is working on leading- edge projects and a great diversity of power-clients. The chemistry between the two was palpable and despite having another offer, Eyers joined RCTS. Vermont’s Fastest Before joining RCTS he was with Jorge Scientific Corporation, Growing Managed IT a company that specializes in providing mission-critical national security solutions to the U.S. armed forces, intelligence Services Company. communities and federal civilian agencies. The company provides adaptive support focused on counterinsurgency and intelligence, secure logistics and secure technology, cyber defense, advanced infrastructure, legal analysis and program Dan Eyers Moves From VA to VT management. Eyers is eager to participating in creating a state vibrancy that attracts other like-minded innovators. "I am going do all I can do to drive job creation and resource generation and will participate with colleges and universities in designing curriculums that feed todays work force and, with SMARTvt.org I will drive skill development in its members so they meet the needs of the States employers in providing solutions to global businesses. Readers are invited to connect with Eyers thru Linked In. Vermont’s Workforce Is Leaving Vermont. A Technology Innovator 2
SMART Holdings USA Issue # 6, Economic Development, Jan 2013 Frontier Family technology pioneers in Today‘s Modern World whole valley was stripped at one time,‖ he remembers his An Aggregated Story from Several Sources and from Reporter Notes father saying, ―part of it by fire and the rest for farmland During January’s visit. and timber harvesting.‖ He pauses. ―Now, of course, it‘s all forest. That parcel back there,‖ he says, pointing over his Jay, New York, the upper tier of New York State and nestled in the shoulder, ―is some of our own timberland.‖ Adirondack Mountains. Recently a delegation from SMART Holdings USA, SMARTvt.org toured Ward Lumber Corporations Headquarters and Manufacturing Operation. Looking around the valley from the central vantage point of the Ward Lumber log yard, the mountains today look almost pristine—untouched save for the widespread damage recently inflicted by nature herself in the devastating ―Ice Storm of ‗98.‖ Indeed, it would not be unreasonable for tourists to think they were looking at virgin forestland, following the Ausable River as it winds through the valley down from Lake Placid, a short drive to the southwest. That‘s because both Placid and the town of Jay are located within New York‘s Adirondack Park— a six million-acre ―forest preserve‖ in which timber harvesting is prohibited on the roughly 2.5 million acres of stateowned land and restricted to some extent on the remaining 3.5 million privatelyowned acres. SMARTvt’s Mark Renkert and Ward CEO, Jay Ward Jay Ward, CEO and his brother Jeff, SVP of Operations, have mastered the wisdom of the mountains and integrated into today‘s technological generation integrating some of the most advanced computer and sawyer applications in the market. To be sure, it is still dangerous work but the Ward‘s are proud of their Record Setting Days-Without-An-Injury Ratio to some of the best data in the US. The plant can have over 150 workers during peak demand periods and the training involved is intensive. Said Jay, ―It can take years to train product quality inspectors who rate and grade product faster than most people can run.‖ Jay remembers his father, an economic development leader, who passed away years ago. The Timber business was so large that.. ―This 3
SMART Holdings USA Issue # 6, Economic Development, Jan 2013 V i s i t o r s — mo s t o f wh o m a r e a w a r e t h a t t h e y a r e i n a ― fo r e ve r wi l d ‖ p r e s e r v e b u t m a y n o t kn o w t h a t f o r e s t m a n a ge m e n t i s a l l o w e d o n t h e p r i v a t e l a n d i n t h e P a r k — o ft e n c o n fu s e t h e t wo . To t h e u n t r a i n e d e ye , i n f a c t , s o m e o f t h e l a n d m a n a g e d fo r t i mb e r p r o d u c t i o n i s mo r e i n vi t i n g t h a n t h e ― fo r e v e r w i l d ‖ p a r c e l s . But beyond the superficial similarities with other operations, Ward O b s e r ve r s w i t h a l i t t l e m o r e fo r e s t r y s a v v y, b y Lumber Co. is not a typical white pine sawmill. Over the generations, c o n t r a s t , s e e a n o b vi o u s d i s t i n c t i o n . S t a t e - o w n e d l a n d the company has joined an elite group of mills in the region, combining i s d o mi n a t e d i n m a n y c a s e s b y o v e r - a ge d t i mb e r , creative utilization of the forest resource—white pine logs in this wh i c h , s i n c e t h e e s t a b l i s h m e n t o f t h e A d i r o n d a c k P a r k case—with aggressive and imaginative marketing of the resulting F o r e s t P r e s e r v e mo r e t h a n a c e n t u r y a go , h a s b e e n lumber and all other byproducts. a l l o w e d t o f a l l o v e r a n d d e c a y. M a n y w i l d l i f e s p e c i e s p r e f e r m a n a ge d fo r e s t s b e c a u s e t h e y c o n t a i n m o r e d i ve r s i t y a n d t h u s , mo r e o p p o r t u n i t i e s f o r fo o d a n d shelter. ―I think it‘s a shame New York St ate doesn‘t manage i t s l a n d i n t h e P a r k, ‖ J a y r e m e mb e r s h i s f a t h e r s a yi n g. O n o n e l e v e l — a s a fa m i l y - o wn e d wh i t e p i n e s a w m i l l — W a r d Lu mb e r C o . i s a f a i r l y t yp i c a l e n t e r p r i s e i n t h e n o r t h e r n P i n e B e l t . H u n d r e d s o f c o mp a n i e s f i t t i n g t h i s n a r r o w d e s c r i p t i o n a r e s c a t t e r e d a c r o s s t h e r e gi o n s t r e t c h i n g f r o m t h e Ad i r o n d a c ks t o t h e A t l a n t i c c o a s t . Th e y r a n g e i n s i z e s a n d c o n d i t i o n s — fr o m 1 2 0 mi l l i o n b o a r d fo o t p e r - ye a r b e h e m o t h s , t o o p e r a t i o n s s a wi n g a In fact, the company is involved in every aspect of converting white < 1 M s q f t . S o m e a r e s u c c e s s fu l , wh i l e o t h e r s j u s t pine into useful consumer products—from growing the trees to selling b a r e l y h a n g i n t h e r e . M a n y h a v e b e c o m e t e c h n o l o gi c a l what they yield to the end user. As such, retail sales represent a big part m a r v e l s , wh i l e a f e w s t i l l l o o k mo r e l i k e s o m e t h i n g of the company‘s recent growth. o u t o f t h e n i n e t e e n t h c e n t u r y. S i z e h a s l i t t l e t o d o w i t h s u c c e s s o r f a i l u r e i n t h e mo d e r n p i n e b u s i n e s s . The Ward Lumber Co. hardware store and building center, located adjacent to the sawmill complex, has long provided a retail outlet for some of the mill‘s finished products. The company expanded retail operations when it acquired a store from the defunct Grossman‘s chain in Plattsburgh, a small city and major population center about 35 miles to the north on the Canadian border but then after years of operation 4
SMART Holdings USA Issue # 6, Economic Development, Jan 2013 tactically closed that store after Lowes opened 700 yards away. Failure Analysis Engineer Scott Decker appointed SMARTvt On a typical day, harvested white pine logs enter the Ward log yard on Magazine‘s Editor-in-Chief with trucks, pass through and X-ray type device and then are quickly turned the primary mission to expand into a dazzling array of useful products. Maximizing lumber landscape readership on Linked In, mulch (ground bark) to chips for making paper (chipped slabwood) to Facebook, SMARTvtnotes Blog– fuel for the company‘s lumber drying kilns (various wood wastes). the information source for business professionals seeking to Not long ago, these residues were considered (and disposed of as) grow their business base, enroll in waste. Today, they‘re called ―byproducts‖ and can mean the difference on-going professional between profitability and bankruptcy. Virtually all white pine sawmills development programs, access in the region today have markets for non-lumber byproducts. resources to grow their businesses and to connect people, resources, opportunities, and capital. What distinguishes Ward from most other pine mills, however, is the lengths to which it goes in producing and marketing lumber. And how Says SMARTvt President, Michael J. Kipp, CPA, ―Decker‘s an much effort goes into grading the lumber and it starts as soon as its engineer and he has an uncanny ability to perfectly describe and delivered when computerized machines Scan in an X-ray type machine translate complex matters for the every day person and this is that finds imperfections in the logs to include saw blade killing metal great resource for employers seeking training platforms.‖ fragments, nails, and spikes. Many times trees grow right around a metal sign post or rail and when a blade hits them it can cost thousands Dr. Michael Olson, SMARTvt‘s Director of On-Line Learning of dollars in damage. says, ―Readers will have marvelous opportunities to learn about the Subject Matter Expertise of our organization and Scott will The two retail stores are a good example. Sid Ward says that the be able to print and apply training modules.‖ combination of product diversity, niche markets, production flexibility and quality have been essential to the company‘s success. He points Chairman, Mark Renkert, said, ―When I met Scott I was struck to largedimension green timbers, used in such upscale projects as post- by his passion of syntax, grammar, and his unique ability to write and-beam buildings and log homes. ―Years ago when we first got into about the impossible. We hold that today‘s workers are the log home market I figured it was a passing fad,‖ he says, ―but it‘s personally responsible for their own professional development and he‘ll be able to make that happen for others.‖ become a steady, long-term market for us.‖ From the timber sorting area, he crosses the yard to the planer mill, where wide, dry pine boards are being turned into different kinds of siding. At one end of the planer mill, pine clapboards are stacked. In another, cove siding emerges from the planer. A shipment of rustic pine siding is being loaded onto one of the company‘s distinctive green trucks for shipment to New England. John Mayer, SMARTvt‘s In a warehouse full of tongue & groove paneling and planed boards— Manufacturing Finance Guru is joins the premium stuff—Ward points to a pallet stacked with short boards Shelburne Plastics. Mayer will lead averaging about one foot wide and two feet long. These are defective operations in New Hampshire, sections trimmed from premium boards to increase their grade and thus, Vermont, Massachusetts, New York their value. In the past the mill would have chipped themfor pulp. and Maryland as SP‘s Chief Financial Officer. Ward says of the short ends, ―but we‘ve developed a market for ‗hobbyist‘ wood sold through retail outlets.‖ The Vermont based company produces custom engineered molds using (CNC) equipment and (CAD) The list of markets and potential markets goes on and on. Some systems. CAD systems enable SB to quickly modify designs and companies specialize in trimming high-value sections out of knotty and custom design bottles. other defectladen boards. Ward has a supply of lowgrade lumber ready for shipment to one of these ―chop-shops.‖ One big industrial customer Shelburne Plastics with expertise in high quality HDPE and uses low-grade pine to make pallets and shipping crates for Polypropylene bottles and containers to the dairy, water, juice, its machines. Ward employees sort out the right boards, accumulating chemical and food markets throughout the Eastern United States loads to fill the orders. changing personalities within the company and Eastern Canada. Each of our plants is IMS rated for the and attitudes towards the business are perhaps even more important. It‘s highest sanitary standards. just tough to sustain the interest in, and commitment to, a family-owned business from generation to generation, particularly as the distance from Shelburne Plastics operates a fleet of tractor trailers to provide the founder increases. feet, and proud of how the company payroll of timely deliveries on a 7 day/3 shift operation. 147 people pumps millions of dollars directly into the regional economy every year through paychecks and job creation. Shelburne Plastics has grown significantly since its inception in 1978. The company has established a reputation for competitive pricing, quality workmanship, on-time delivery and service and has expanded heavily into applying green-friendly plastic products that decompose quickly in landfills and never enter the groundwater. 5
SMART Holdings USA Issue # 6, Economic Development, Jan 2013 SMARTvt’s Gabrielle Meunier appointed Coming Next Month: Gordini / Combi and international leader in the Financial Controller for Leading National design engineering, development, manufacturing, distribution, Engineering Solution Provider Moscow warehousing and a world leader in specialty all environment handwear Mills, Inc, in Stowe, Vermont. Meunier was - gloves. Seniors Executives from SMARTvt.org, CFO Matthew selected following a international search and Wilcox and COO, Greg Kogut will explain how theymay be using her subject matter expertise with Tax, engineering from SMARTvt to install a world class RFID Inventory Currency Conversions, Financial Modeling, Control Technology Center. Investor Dialogue, Federal and State Investment Vehicles, Contracts, and multi- You‘ll learn about RFID and how SMARTvt.org Partner Rose national business were key factors in her selection. Gabrielle had Computer Technology will serve as interface with Leading been a Senior Financial Advisor with Pomerleau in Burlington. She Technologist Bruce Miller. You‘ll learn about handwear….. also is a leading advisor for SMARTvt where she, with a team from SMARTvt, built one of Nantucket‘s largest employers, Nantucket Property Works. Said Anderson LeVille, President of Moscow Mills in extending invitations for SMARTvt Bench Members: ―Mark,Thank your for the recommendation for Gabrielle.She is very sharp...started this coming MondayOur team is very pleased to have her on The team expected to be: Greg Kogut, Bruce Miller, George board...We have all sorts of fantastic things going on here... looking Thompson, Scott Decker, David Rose, and Jean Twombly. The CFO forward to her high level support to take us to the next level...Again of Gordini is Matt Wilcox and will be reviewing the Cost Justification thank you .. Proposals from the team: Very Best -- Anderson Leveille, Moscow Mills Inc. Vibration Solutions NorthP.O. Box 1076 Stowe, VT 05672 tel: 802-253 2036, ext.108 Direct:802-760-6470 fax: 802-253-4208 anderson@moscow- mills.comwww.moscow-mills.com ― Gordini CFO Matt Wilcox Pioneers Future 6