If building a knowledge-based economy is Michigan's only hope then, much like the force, Automation Alley is what binds the region's technological companies together, finding ways for them to succeed in the global marketplace. Tom Hendrickson reports.
Farmington Hills' new city hall -- with a range of energy-efficient features -- will be shown off at an open house and rededication ceremony next week.The celebration comes after an 18-month renovation of what had been a hodge-podge of buildings and additions to the original 1950s building. It hardly made for efficient working or energy-saving conditions. The new city hall boasts a laundry list of new, green features -- glass, skylights and translucent wall panels to let in daylight; a 40-well geothermal heating system; solar thermal hot water heating; solar photovoltaic system; a green roof; native landscaping; and many other features."We tried to make this building as sustainable as our budget would allow," says city management assistant Nate Geinzer. "Using less energy also saves us money, and allows us to use those dollars in other places."He estimates that the project is about 95 percent complete, with a few punch list items still to be taken care of. No cost savings quite yet, but models of the project estimate the city will save about $30,000 in energy annually off of the previous average of $80,000 each year. The heating system is also estimated to be 68 percent more efficient.The project came in just under the $8 million budget, with the solar photovoltaic panels covered by a block grant, and the rest allocated by the city over time so as not to raise taxes. The price works out to have about a 20-year payback with energy savings, according to the models.Geinzer says the old building, built in the 1950s, had leaky roofs and old wood windows -- "You could practically fly a kite in the office," he jokes. Plus, between the original building and six or seven different additions over the years, he estimated, the hall used 14 different HVAC systems. "That alone was worth going to one geothermal system," he says.The city hall also serves as a means to educate the public and to give them ideas about what they can do in their own homes, he says. He hopes to track energy savings live on the city's Web site and via other informational postings throughout the hall.The public space has also seen other improvements, including wider corridors, and the work space is more efficiently organized.The city is working toward LEED gold certification for the project; the design submissions are in and construction items are soon to be submitted. The city will probably know by early next year whether the building has accumulated enough points.The rededication will be next Wednesday, Nov. 17, at 5:00 p.m. The city hall is at 31555 Eleven Mile Road at Orchard Lake Road, and has public parking access from both Eleven Mile and Orchard Lake roads. To learn more, click here.Source: Nate Geinzer, Farmington Hills management assistantWriter: Kristin Lukowski
Jan B. Sherman faced a decision about a dozen years ago. The Farmington Hills resident had been climbing the corporate ladder for 17 years, making vice president of national marketing. The job made him a jetsetter but it also took precious time from his young family. He left it all for the flexibility of starting The Benefits Edge."I never miss a dance recital or a sporting event," Sherman says. "I am happy about that."The Benefits Edge helps people decipher the contents of their benefits package, with a focus on health insurance. Sherman, the company's only employee, also advises clients on life and disability insurance. The business has been growing an average of 10 percent a year, almost entirely from referrals."The phone keeps ringing when you treat people right and give them sincere, good advice that helps them solve their problems," Sherman says.Leaving the safe corporate job for the uncertainty of being your own boss isn't the easiest decision, especially with a young family depending on you. But the decision became an easy one for Sherman when a friend told him that everyone is self-employed. They either have one customer (an employer) or a number of customers (from a business). It was a piece of advice that set Sherman free and let him see his kids whenever he wanted.Source: Jan B. Sherman, owner of The Benefits EdgeWriter: Jon ZemkeRead more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.
Eric Brown not only discovered his entrepreneurial muscle later in life, he also discovered his new urbanist, social media leanings. As CEO and co-founder of Urbane Apts, Brown has his finger on Metro Detroit's rental pulse, and has found success in a market that traditionally caters to home owners.
Local artist and Oakland Community College faculty member Kegham Tazian is leaving his mark on his employer, after an art piece of his was moved to the Orchard Ridge Campus.Tazian, a Farmington Hills resident and also the first art faculty member hired by the Orchard Ridge Campus more than 40 years ago, created the eight-foot tall "Pyramid Earth" for TRW Automotive, an auto supplier in Sterling Heights, about 15 years ago. When the plant closed, one of his students happened to know someone who worked there, and was able to connect the piece to his art professor. That student, Charlie Neff, paid for the sculpture's transportation and granite base, Tazian says.The sculpture is an interpretation of the globe, a relief of the western hemisphere on an upright background.Tazian says everyone wants to leave their mark, whether it's helping others or creating something that will be around long after you're gone, and art is how he does so. Plus, being on display at a college gives more people the chance to enjoy it, he says."I think it enhances the environment," he says of public art.Tazian teaches sculpture, painting, design, and drawing among his classes at OCC. He has other pieces on display at the college and throughout metro Detroit, including the Farmington Hills Library and St. Sarkis Armenian Church in Dearborn.Source: Kegham Tazian, artist and Oakland Community College professorWriter: Kristin Lukowski
The local venture capital hero has struck again, investing in another emerging business in southeast Michigan. Translate that to Farmington Hills-based Beringea, Michigan's largest venture capital firm, investing an undisclosed sum into ReCellular, the cell phone recycler based in Dexter.This is the 17th investment from Beringea's InvestMichigan! Growth Capital portfolio. Beringea has grown that portfolio from $150 million to $180 million, primarily by investing in Michigan-based companies with cash from the State of Michigan Retirement System. Among those are Ferndale-based Livio Radio and Sakti3 of Ann Arbor earlier this year. More investments are on the way soon."I believe we will have more out there before the end of the year," says Michael Gross, managing director of Beringea.ReCellular is the world's largest cell phone recycler. The company started out 19 years renting cell phones when they were a rare, expensive commodity. Once they become ubiquitous a decade ago, ReCellular overhauled its business plan to recycling and refurbishing the electronics.The Dexter-based business now employs 300 people worldwide, including about 50 in Ann Arbor and 230 in Dexter. That facility handled about 5 million cell phones last year, of which approximately 70 percent were refurbished and resold. The rest were recycled for precious metals, keeping about 1.6 million pounds of toxic material out of landfills. Beringea sees an investment in ReCellular as a clean-tech play with considerable room for growth."The company has really evolved over the last few years," Gross says. "They have positioned themselves nicely."Source: Michael Gross, managing director of BeringeaWriter: Jon Zemke
Not all tech transfer comes from Michigan's research universities. For example, take C Squared Innovations, a startup founded from innovations created at University of Michigan-Dearborn.Pravansu Mohanty, a mechanical engineering professor at U-M Dearborn, developed a way to cut down the manufacturing costs of lithium ion batteries. "We have an innovative process that bypasses the manufacturing process the industry is developing right now," Mohanty says.The technology, recently on display at U-M's Celebrate Innovation event, is currently undergoing prototype development by the company's three-person team, which includes an intern. Mohanty is looking for a commercial partner to help develop its niche manufacturing. He expects to land that partner within the next year, which should allow him to hire a few engineers with advanced degrees. Think PhDs."We plan to expand to 10 people," Mohanty says.Source: Pravansu Mohanty, founder of C Squared InnovationsWriter: Jon Zemke
TM Group took chances in 2006, expanding the software firm's offerings and purchasing another company. That gamble paid off with 46 percent growth over the next three years and a jump in staff to 30 employees and a couple of independent contractors."In 2006 we made a decision to go full force into the CRM practice (Microsoft's customer relationship management software) we started in 2004," says Judy Thomas, president and co-owner of TM Group. "We saw the potential of that product and decided to make it one of our core competencies."The decision to expand allowed the Farmington Hills-based company to double its size by handling bigger and better jobs. It held its ground when the recession hit last year and has been able to grow its revenue in the aftermath. The firm, which recently made Inc. magazine's 5,000 list of fastest growing private companies, now has six open positions in Microsoft CRM, Dynamics (ERP), and SharePoint."Now we are on track to take the three offerings and offer them as one product," Thomas says, adding this new efficiency should allow the company to grow organically. Source: Judy Thomas, president and co-owner of TM GroupWriter: Jon Zemke
For a long time, most Design Systems work revolved around the automotive industry. However, the Farmington Hills-based company is crediting a lot of its recent growth toward its efforts to broaden its customer base."We've been diversifying," Schneider says. "That's been our big push."The 27-year-old company provides and manages engineering and integration software for a number of industrial customers. Five years ago, a vast majority of those were automotive-based. Since then, especially in the last couple of years, the company has been targeting more defense, heavy equipment, and aerospace customers. They now make up about 10-15 percent of Design Systems' client base.Diversification and increased business from automotive clients has allowed Design Systems to make 30 hires in the last year. It now employs 150 people and a few independent contractors and co-op students. More hires are expected.Source: John Schneider, manager of business development for Design SystemsWriter: Jon Zemke
Last week was a healthy one for Beringea and its Michigan-based portfolio. The state's largest venture capital firm invested in a smart phone accessory company and received subsequent backup for one of its previous green-tech investments in Ann Arbor-based Sakti3. GM Ventures, the VC arm of General Motors, led a $4.2 million investment round in Sakti3, contributing $3.2 million. Beringea had funded the University of Michigan spin-off earlier this year along with Silicon Valley-based Khosla Ventures. "We're really pleased," says Jeff Bocan, managing director of Beringea. "It's excellent validation. They're moving forward at a fast pace. Faster than we expected."The Farmington Hills-based company also made an unspecified infusion into mophie from its InvestMichigan! Growth Capital Fund. Mophie is a Paw Paw-based company that designs and manufactures accessories for smart phones. One of its principal products is a protective case that improves the battery lives of iPhones. Beringea's investment is expected to help fund development of future products and also bolster the company's marketing efforts."We're excited about a lot of what they're doing," Bocan says. "They're making smart phones more useful."Source: Jeff Bocan, managing director of BeringeaWriter: Jon Zemke
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