Jay Sachetti joined Jeff O’Brien, partner at Husch Blackwell and Dyanne Ross-Hanson, president of Exit Planning Strategies talked about the market for mergers and acquisitions, exit planning opportunities for companies that don’t end up for sale and how companies can maximize their eventual sale price during an early October panel at the first Upsize on Tap event at Summit Brewing Co. in St. Paul.
When the state Legislature passed a law requiring employers to provide paid leave and safe time for employees, Justin Bieganek started hearing differing details from friends, colleagues and peers.
Jennifer Arends
Triad:
952.933.4234
jennifer.arends
www.triadconferences.com
Daren Cotter
CotterWeb Enterprises:
651.289.0720
dc*****@*******eb.net
www.cotterweb.net
CJ DuBé
Oberon LLC:
612.230.7030
cj****@*******lc.com
www.oberonllc.com
Lisa Hannum
Beehive PR:
651.789.2232
lh*****@*******pr.biz
www.beehivepr.biz
Michael Sarafolean
Orion Corp. of Minnesota:
651.222.6986
mi*****@**********rp.com
www.theorioncorporation.com
Finalist employers aim
to harness people power
by Andrew Tellijohn
WHILE MANY COMPANIES realize it and some do a good job of rewarding it, many businesses forget at times that their most important asset is the people they employ. Whether the practice is rewarding good performance with public praise, providing a game room or fitness program, or creating a hiring system geared to bringing on only the best, the finalists for Best Practices in People & Workplace keep their employees at the center of their efforts.
Asking employees
Lisa Hannum, CEO of Beehive PR, realizes that in the public relations industry people are her company’s most important asset. The company’s best practice is based on finding the best staffers possible and keeping them happy by promoting work-life balance.
All employees have the option to work flexible schedules from anywhere they wish. Beehive complies with the Family and Medical Leave Act and offers paid maternity and paternity leave.
Engagement, Hannum says, does not cost anything and it’s the best strategy for keeping employees happy.
“We ask and we listen,” Hannum told attendees. “We spend a lot more time asking what our employees will value than we do creating a bunch of programs and then surprising them or assuming we know what our employees will value. It’s our No. 1 best practice.”
Perhaps as importantly, in an age of health consciousness, St. Paul-based Beehive has a comprehensive wellness program, which includes on-site yoga and Pilates classes, Massage Monday, and health club memberships.
As the company has grown to 13 employees it has retained the first five ever hired and it was honored this year as one of the five most “Psychologically Healthy Workplace Award” winners from the Minnesota Psychological Association. In 2005, the company had billings of $537,000. This year Beehive will exceed $2.2 million.
The company frequently asks its employees what benefits they would like to see and sted.
“How many of you are thinking, Whoa, that’s expensive,” she says. “The real question you have to ask yourself is how can you afford not to do that.
“We’re a professional services firm and truly when I say our product is our people it really is. Without a good strong team that is motivated to be there we don’t have a product.”
Tying jobs to company
CotterWeb Enterprises Inc. provides cash rewards for customers to use the Web and performance-based results for clients who advertise online. But CEO and founder Daren Cotter doesn’t stop at rewarding his clients and customers. He’s also established several internal programs aimed at retaining quality employees.
The company’s retention strategies start with an empowering workphilosophy that involves employees in strategic planning exercises andensures that they feel their jobs are tied to the success of thecompany. CotterWeb works with each employee to create an individualgoal that relates to the company’s overall goals.
CotterWeb has a benefits program that includes immediate fullvesting for employees who qualify for CotterWeb’s 401K plan, and theopportunity to receive up to 10 percent of their annual salaries inbonuses paid out quarterly.
Cotter says the company’s culture includes a “work together, playtogether” philosophy. CotterWeb’s Mendota Heights-based office buildingincludes a game room where employees can have table-tennis tournaments,putting contests and foosball matches.
“We really needed to create a culture that would attract greatpeople,” says Cotter, adding that only a few employees have ever leftthe company.
Finally, the company tries to be transparent. Cotter sharesfinancial results with employees in hopes that it helps them understandhow important they are.
“I think this reaffirms to our employees how what they do ties tothe success of our company,” Cotter told attendees. “I think our bestpractices really enabled our growth.”
In-depth interviews
While many human resources firms struggled to recruit talent in recentyears, Oberon LLC was able to retain a significant percentage of itstop people through flexibility and lifestyle accommodations thatinclude family outings and events held to acknowledge employees forsignificant contributions.
The human resources staffing company offers a collection of classesfor continuing education and a full suite of benefits that has helpedwith that employee retention. It’s also found a way to combine exerciseand work productivity by incorporating treadmill work stations into theoffice.
While the perks are nice, it’s the Minneapolis company’s hiringprocess that it considers a best practice. As is the case at its sistercompany, SALO, interviews can last four hours and everyone on theOberon team gets an opportunity to meet potential new hires.
“When you spend that much time you learn a lot and you have greatconversations,” says CJ DuBé, co-founder and managing partner. “We arecommitted to bringing in ‘A’ players.”
Oberon partners with other companies, leasing its senior-level humanresources expertise to clients for whatever skills and durations arenecessary. The company also motivates its consultants by offering themthe same benefits that would be available to direct hires, includingcompetitive salaries and benefits plans with eligibility for medical,dental, life and disability insurance for anyone working at least 30hours a week.
In its first year, Oberon recorded $1.96 million in revenue. Thatincreased by 170 percent in 2007 and is expected to double by the endof 2008. DuBé expects the company’s success will continue to hinge onthe attraction of great employees.
“The No. 1 way to success is top talent,” she says, especially intough economic times. “The company that is strategic about their hiringand utilizes top talent consultants will be the company that is able tomove the ball forward and will be the company that comes out ahead.”
Reducing turnover
Orion Corp. of Minnesota provides residential services and support topeople with disabilities and their families. The work is challengingand while employees can find it rewarding it’s not unusual for annualturnover in the industry to run higher than 60 percent annually.
St. Paul-based Orion, however, has instituted a number of practicesaimed at reducing turnover and has successfully done so, regularlykeeping its employee turnover at less than half the industry average.
The company focuses on four key elements: understanding people’svalues, honoring their contributions publicly, providing flexiblescheduling so they can do other things such as pursue their educations,and having fun.
“Staff retention is critical to our success,” says Michael Sarafolean, president.
“We try not to take ourselves too seriously.”
The flexibility is important because many of the employees are young in their 20s and 30s and work “is only part of what they want inlife,” he says. And with the recognition, he adds, “you go a good waytoward increasing employee loyalty.”
In this, the 20th year Orion has been in existence, the companyextended the theme to its company meetings. At the first meeting of theyear, the company president handed each person present a $20 bill.Throughout the year the company has held drawings for 20-inch flatscreen televisions and passed out $20 gas cards to counteract the highprice of fuel.
As the company said in entering the Upsize Business Builder Awards contest,
“You only celebrate 20 years once and it only happens if you have dedicated, satisfied employees.”
Task force for retention
Minnetonka-based Triad realized keeping its employees was a key togrowth, especially in the competitive event management industry. So thecompany created an employee task force to discover the secret toretention.
The employees identified two items work/life balance and workplacerecognition as the most important factors. Younger employees wantedto be noticed in front of their peers. Older workers sought one-on-onerecognition. It’s all part of the balancing act, says Jennifer Arends,CEO and co-owner.
“Everybody has a unique need and a unique want,” she says.
Whenemployees requested time off from June through August to compensate forheavier workdays during other parts of the year, the company complied,providing half-days from May 15 to Sept. 15. “It was a huge success forus,” Arends says.
The recognition request was accomplished through a new peerrecognition program that encourages employees to acknowledge eachother’s accomplishments in the areas of customer service, teamwork,leadership and innovation. Recognition cards are posted in prominentareas and are reviewed at monthly meetings.
One winning card is picked out of a fishbowl at the meeting for aprize. Retention increased by 20 percent in the first six months theprogram was in place.
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