Economic Development

Coverage of projects, big and small, and the people who create them, which promote the economic health of a community, including manufacturing, retail, office, and hospitality developments.

Motor City Connect membership jumps

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September 2, 2010

Motor City Connect's membership is up, but its future is what's really up in the air.The Bloomfield Township-based networking website site membership has grown from 300 to 3,000 people in its first year and then from 3,000 to nearly 5,000 today. And that's after its founders cut away dozens and dozens of inactive emails."It continues to shine a light on the great people we have in Metro Detroit," says Terry Bean, chief networking office for Motor City Connect.The 2-year-old website provides the virtual introductions for people to set up real-life meetings and events. It's a non-profit run on the spare time of Bean and his partner, along with a few other volunteers. The leadership is now looking at what to do next with it."We're looking for a way to monetize it or sell it or pass it along to someone else who wants to run it," Bean says.Source: Terry Bean, chief networking office for Motor City ConnectWriter: Jon Zemke

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Healthcare providers team up on blood clot prevention

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September 2, 2010

A group of prominent healthcare organizations are partnering to cut the occurrence of blood clots by as much as 50 percent over the next two years in a coordinated effort to improve patient care and reduce medical costs.Blue Cross Blue Shield of Michigan, Blue Care Network, and the University of Michigan Medical Center are leading the effort with 16 hospitals from across the state, including Beaumont and Oakwood healthcare systems. The idea is that this collaboration, part of Value Partnerships, will expand its focus."The expectation is the collaboration will take on other things as the years go by," says Tom Leyden, manager of clinical program development for Blue Cross Blue Shield of Michigan.For now, the new initiative will focus on getting the state's major hospitals to reduce the risk of blood clots, a common problem that causes further sickness or even death. The new consortium will work in unison to study, benchmark, and implement best practices to eliminate preventable blood clots.Just about all patients who are hospitalized are at risk of suffering adverse effects from clotting, some of which are often as serious as death. A double-digit reduction would be a seen as a big step forward."It's not perfect," says Scott Flanders, a professor of medicine at the University of Michigan Medical Center and the project director for this initiative. "We're never going to be able to get rid of these things."Sources: Scott Flanders, professor of medicine at the University of Michigan Medical Center; Tom Leyden, manager of clinical program development for Blue Cross Blue Shield of MichiganWriter: Jon Zemke

Skidmore creative marketing agency is expanding in Royal Oak

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September 2, 2010

New clients equal new hires, or at least that's the formula at Skidmore Studio. The downtown Royal Oak marketing agency has just hired a senior graphic designer and plans to further expand its staff later this year."We have some new clients that are pushing our capacity and capabilities," says Tim Smith, president and CEO of Skidmore Studio.Those new clients include Troy-based North American Bancard and Sport U Technologies (Brighton), locally based companies with a footprint that extends into the Midwest or nationally. Skidmore Studio plans to hire a web programmer and media planner buyer with national experience later this year. A new project manager and account executive may also be added to the staff of 21 people.Skidmore Studio is filled with creatives, including graphic designers, illustrators, interactive designers, copywriters, and motion artists. The agency has specialized in design and illustration in Metro Detroit since the 1950s. It has relied primarily on customer referrals for its growth, a plan Smith intends to stick with for the foreseeable future."We need to concentrate on doing an extraordinary job for our clients," Smith says.Source: Tim Smith, president and CEO of Skidmore StudioWriter: Jon Zemke

Pushtwentytwo expands online presence, adds jobs in downtown Pontiac

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September 2, 2010

The economy hit pushtwentytwo like most other businesses in 2008-09, but now the public relations/marketing agency is on the rebound and hiring.The 6-year-old company recently added two positions in its downtown Pontiac headquarters and is looking for two more in administration and graphic design. It currently employs 14 people and the occasional independent contractor or intern. It expects to make 2-4 more hires over the next year. That's on top of the company's revenue growing by 25-30 percent since the recession hit its peak. But pushtwentytwo's leadership is being a bit cautious as the economic recovery begins to take hold."As much as our clients are spending money again they are being very careful, so we have to be very accountable," says Mike Verville, partner with pushtwentytwo.The firm is expanding its online presence to fuel growth by moving into more Internet services, such as web development and social media. "There are a lot of opportunities for companies looking to enter the digital space, and companies that have been quiet for a while."Source: Mike Verville, partner with pushtwentytwoWriter: Jon Zemke

U.S. Dept of Commerce backs Statewide Entrepreneurial Support System project

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September 2, 2010

This is Detroit. We make things here. U.S. Secretary of Commerce Gary Locke blew through the metro area Wednesday to help drive home that point, explaining that this means everything from traditional exports to job creating start-ups.The U.S. Dept. of Commerce will open a CommerceConnect office in Pontiac, which will serve as a clearing house for businesses looking for resources to grow. Federal officials will work with state and local stakeholders to organize, coordinate, and facilitate these resources for local businesses."What CommerceConnect is all about is providing a one-stop shop for small business owners," Locke told a gathering of business owners at Automation Alley. Representatives from that office will not only work to direct businesses toward those resources, such as where to find seed capital or customers, but also serve as an advocate for those businesses. "I am confident we are moving in the right direction, but there will be a learning curve," Locke said.Locke also announced that the U.S. Dept of Commerce will partner with the Michigan-based non-profit The MORE Program to develop the Statewide Entrepreneurial Support System. That initiative, headed up by downtown Detroit-based Digerati, will catalog and make available resources of all shapes, sizes, and sources that could help entrepreneurs. Think everything from Ann Arbor SPARK programs to local grassroots business meet ups, such as the Soup meetings in southwest Detroit. The idea is to create a Google-like system that connects entrepreneurs to what they need with minimum hassle.Locke also drove home the point that the Obama Administration plans to capitalize on its goal of doubling U.S. exports within five years and Michigan, which is the fifth largest state when it comes to export-related jobs, will play a key part in making that happen. For Metro Detroit, that could mean everything from alternative energy manufacturing to building lithium ion batteries for the next generation of electric automobiles. A conference room full of local manufacturers at Automation Alley applauded the goal."You can sense the hum and activity of all of the work that is done here at Automation Alley," Locke said.Source: Gary Locke, secretary of the U.S. Dept of CommerceWriter: Jon Zemke

First Tech Direct expands into Grand Rapids, Chicago

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September 2, 2010

Nearly a decade ago, John Silvani took an old company apart and rebuilt it into a growing new economy firm that's hiring in Royal Oak. Along with five employees from his former firm, Silvani started First Tech Direct. Today it has 39 employees, 12 independent contractors, and an intern after making nine hires over the last year. Five more openings are expected by the end of the year."We just have a lot of demand from our clients right now," says Silvani, president and CEO of First Tech Direct.First Tech Direct helps business streamline their operations by providing software from the likes of Microsoft Dynamics Academic Alliance. It has grown continuously since its founding. With revenue up 25 percent over the last year alone, the company has landed a place on the Inc. 5000 list. The software firm has a varied client roster ranging from the Detroit Lions to Motor City Casino to a number of auto suppliers. This diversity has led to an office opening in Grand Rapids, plus a new Chicago location is in the works."The company has done a fantastic job," Silvani says. "We're doing great."Source: John Silvani, president and CEO of First Tech DirectWriter: Jon Zemke

Quantum Software expects 50% sales growth this year

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September 2, 2010

Quantum Software's growth is in its revenue numbers. The Auburn Hills-based company's sales figures were up 30 percent over the last year. It expects this year's sales to be up by 50 percent."People aren't as shy to call in and ask for what they want," says Loretta Hall, president of Quantum Software. "It has been very encouraging."The six-person firm develops and sells applications, a.k.a. solutions, for SAP software programs. These programs, called Blocks, help make other businesses more efficient and profitable. They range from the Time Block program for consulting companies to the Rent Block program for equipment rental firms. The firm is in the process of developing a more cost-effective option for its software package with more basic features."It will facilitate all of the areas but it won't be quite as robust," Hall says. "We still do customization and implementation."Source: Loretta Hall, president of Quantum SoftwareWriter: Jon Zemke

Detroit makes Entrepreneur magazine’s Innovation Nation list

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September 2, 2010

Detroit's problems are opportunities, or at least from the viewpoint of Entrepreneur magazine. It inducted the Motor City into its list of Top 50 innovative cities.Excerpt:Detroit sits poised on the brink of economic collapse--and on the cusp of a post-industrial renaissance. Artists and iconoclasts are moving to this city in droves, purchasing foreclosed properties and relying on solar energy and other alternative solutions to pursue lives and careers outside the margins of mainstream society. Officials are looking to reinvent blighted segments of the city as urban farms. Detroit is dead--long live Detroit.Read the rest of the story here.

An Early Adopter: A Q&A With Pete Bonner

By Jon Zemke

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September 2, 2010

It's a family affair. Pete Bonner didn't just marry into the family business, he helped create it. An early pioneer in the Internet automotive business, he and his in-laws have become successful serial entrepreneurs, finding new (and profitable) ways to connect the Big Three to the web.

Ferndale library nearly doubles in size, offers green features

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September 2, 2010

The Ferndale Public Library opened up its doors after a renovation last month, offering more space, green features, and a bigger collection.In a statement on the library's website, library director Doug Raber says the venue "has a completely new look...We have a beautiful new, green building, new public access computers and new material... There are comfortable chairs for curling up with a book, a quiet reading room with a fireplace, small meeting rooms for private study or conversation, and plenty of places to sit down and open a laptop."The entire building has wi-fi and the new children's room offers space to spread out and read. A new meeting room facility is available for community groups.The facility on Nine Mile Road on the eastern edge of downtown nearly doubled its size to 21,000 square feet. The addition, paid for by a one-mill tax increase last year, provides space to increase staffing and the funds to double the library's purchasing budget for books and other media.The library is going for silver LEED certification for its environmentally friendly features, including a geothermal heating system, a gray water recycling system, and a partial green roof."It is a sign of Ferndale's vitality and resilience that it is opening a new library facility to provide cultural programming and information services so needed at this time," Raber writes. "People need public libraries now more than ever, and we’re ready to do our part to help people cope and thrive in difficult times."Source: Ferndale Public LibraryWriter: Kristin Lukowski