Emerging Technology : Innovation + Job News

From bubbles to the cloud: Rocware has a unique history, and an even more compelling future.
 
The Minneapolis-based company began after siblings Sarah Welle, John Erck, and James Erck worked at Extreme Bubbles, started by their father. The artisan toy company, which makes bubble solution and bubble wands, found distribution in boutique stores, but struggled with expanding in the marketplace.
 
The situation led the trio to consider more efficient ways to share product information with potential customers. Once they came up with the idea of putting catalogs into a cloud-based environment, they knew other small manufacturers and customers could benefit as well.
 
"The mom-and-pop store is back," says Welle. "These store owners want to buy local, but they need help in getting started. That's where we come in."
 
Rocware developed a site where a product purveyor can create an online catalog that can be shared privately with customers. Since manufacturers tend to have different pricing and different product categories depending on the customer, they can tweak the catalog based on who's viewing it.
 
For example, a natural foods store looking at a soap manufacturer can see a catalog that has only organic products, with pricing based on smaller orders. Welle says, "This makes things better for people on both sides of the equation. It's completely customized." Another benefit is that users can create a purchase order with just a few clicks.
 
Rocware is unique, Welle says, which may be why the company is growing quickly, with over 50 customers right now, and more signing on every week.
 
Welle says, "We're really passionate about helping small businesses, and connecting with artisan product creators and mom-and-pop retailers. We aim to keep growing, and have fun along the way."
 
Source: Sarah Welle, Rocware
Writer: Elizabeth Millard

If all goes as planned, firefighters in Japan and South Korea will be racing to fires with innovative technology from Minnesota.
 
The countries have been talking about distribution arrangements with South Saint Paul-based EarthClean Corporation, developer of TetraKO, a system that transforms water into a liquid that sticks to vertical and ceiling surfaces. Once applied and exposed to heat, TetraKO converts to steam, leading to longer fire suppression and fewer incidents of rekindling.
 
EarthClean has garnered attention in the past year for its equity financing rounds and awards in the Cleantech Open and the Minnesota Cup competitions. Also, earlier this year, the company benefitted from being part of an international marketing project out of Stanford University.
 
Those opportunities have allowed the firm to move forward in its global reach, according to company founder and president Doug Ruth. Last month, the company signed a $4.3 million deal with a clean technology and industrial coatings company based in South Korea.
 
"Right now, it seems that international sales may be bigger for us than domestic," says Ruth. "We're in the process of negotiating with a Japanese distributor and doing testing with the Tokyo Fire Department."
 
Expansion globally is easier, he adds, because in some countries, government entities make decisions on fire department purchases, unlike in the U.S., where fire departments each make their own purchasing decisions.
 
Ruth expects to begin testing and negotiations with departments in Australia and New Zealand, as well as countries in Europe. The company has eight full-time and four part-time employees, and could do more hiring if more big deals come along. "We all feel really good about where the company is headed," says Ruth. "We're on track."
 
Source: Doug Ruth, EarthClean
Writer: Elizabeth Millard

Every company has an org chart, describing its hierarchy and reporting structure, but, as many people know, that's not always how business really gets done.
 
Instead, a sales manager may have lunch frequently with an executive assistant, or a CFO could go bowling weekly with account managers. Those social interactions, based on friendship and similar interests, have a ripple effect across an organization, and influence how projects are tackled.
 
For entrepreneur Vikas Narula, it's these informal social networks that are not only fascinating, but also crucial for understanding how businesses run.
 
To tap into the power of these relationships, he's created Keyhubs, a company that uses software and services to uncover social dynamics and delve into the self-organizing nature of groups. Keyhubs consultants first talk with employees at a client site, and then design custom surveys that are tailored to the organization and ask specific questions about how departments are working.
 
Narula believes that with this information, companies are in a better position to boost collaboration, grow talent, and leverage key influencers to help drive change.
 
"Many times, an executive's perception of who's critical is different than reality," says Narula. "My own experience in the corporate world was filled with examples of management making personnel decisions that didn't make any sense. They'd promote someone even though someone else was way more qualified. So, when I learned about this concept of informal networks, I wanted to find a way to apply it."
 
Narula searched for a tool that could help map these networks, but found only academic and complicated programs. He worked with one of his college classmates to launch Keyhubs as a side project, initially, and then as a full-time endeavor in 2009.
 
Since then, several Fortune 500 companies have chosen Keyhubs to provide insight into their organizations. Narula anticipates robust growth ahead, as more companies recognize the value of internal social networks. He says, "We're in the business of helping companies to manage in a new and better way, and to make better decisions. As long as we keep providing that, growth will follow."
 
Source: Vikas Narula, Keyhubs
Writer: Elizabeth Millard

Momentum keeps companies growing, and at software firm thisCLICKS, it means they have more desks to buy. The company has nearly doubled in size in the last 14 months, and now has 13 employees. With ongoing software development and client engagements, founder Chad Halvorson anticipates more hiring in 2012.
 
Part of the potential demand in the next year is likely to come from an application called "When I Work," which allows companies to create efficiencies in their schedule management.
 
For example, a hospital can use the app to schedule work shifts for doctors and nurses at multiple locations, and to fold in shifts from satellite facilities like nursing homes. That way, a health-care organization can make sure to have the right number of staff members without scrambling to fill last-minute schedule gaps, or paying excessive overtime.
 
Halvorson thought of the concept in 1998, when he was a bag boy at a grocery store. The Internet was growing in popularity, and he wondered why he had to drive to work every week to check his schedule, when the information could be put online.
 
After a dozen years of application development, he revisited the idea and looked for software that had been developed for schedule management. He found only complicated programs that were difficult to learn and had too many features to be useful. Also, very few were mobile, he noticed.
 
In July 2010, he and his team at thisCLICKS launched When I Work, and since then, feedback has been phenomenal, Halvorson notes: "There are a mess of options out there for scheduling tools, but what I hear is that ours is so simple to use that people respond to it in a very positive way."
 
When I Work is the firm's first product for itself, rather than for a client, and Halvorson anticipates that the program's success will drive more development at the company. "Technology has been my obsession since high school," he says. "It's so much fun to do this work and see how you can make things easier for people."
 
Source: Chad Halvorson, thisCLICKS
Writer: Elizabeth Millard

Imagine playing a game and seeing a shrug of your shoulders or a small bend of your knee translated perfectly on-screen.
 
At Medibotics, it's those types of visions that are fueling the company's future. The Minneapolis-based company has developed motion recognition clothing that relies on bendable tubes integrated into fabric.
 
Helmed by inventor Bob Connor, the firm was developed to create an organized structure for the development of patents, and Connor has plenty of patent ideas. For example, he believes his clothing product could be used for medical issues as well as gaming.
 
If someone is working on weight management, for instance, the garments could track much more than a pedometer's measurements. An individual can record blood pressure changes as he or she exercises or walks, along with general upper body movement, heart rate, the amount of energy expended each day, and more.
 
"There are so many applications for motion recognition clothing," says Connor. "I feel like I think of new ways to use it every day."
 
Under the Medibotics umbrella, Connor has a number of inventions at the ready. In attempting to help his son with his carpal tunnel issues, he created a computer mouse that's similar to a tiny beanbag chair, which he calls Blob Mouse. Instead of containing a rollerball, the mouse has pressure sensors on the bottom, alleviating stress on hands and joints.
 
Looking to deal with his own problem, tinntinitus, Connor is working on a product that can mask the sound without being uncomfortable or disturbing a sleeping partner. He's come up with a headband, called Hushband, now in the prototype stage.
 
Yet another invention is a wheelchair that can get through snow and ice without difficulty--likely to be a bestseller in the Midwest during our long winters.
 
Connor notes that he's been inventing products in his mind throughout his life, but it's only in his phased retirement as a University of Minnesota professor that he's really attacked the inventor role with gusto.
 
Currently, Medibotics has pursued 10 patents, and Connor anticipates more in the years ahead. "I'm always looking for solutions to unmet needs or problems that I see around me," he says.
 
Source: Bob Connor, Medibotics
Writer: Elizabeth Millard

Many inventors apply for awards, but in order to win, they often need working prototypes for judges to examine, and that can be an expensive gamble.
 
Local manufacturing company Proto Labs aims to change that scenario by offering an award that allows inventors to make those prototypes, with Proto Labs footing all or some of the bill.
 
Launched in April, The Cool Idea! Award is designed to give product designers, entrepreneurs, and inventors an opportunity to see their visions transformed into working models. The firm is providing an aggregate sum of up to $100,000 worth of prototyping and short-run production services to award recipients, so they can take their product idea from a 3D CAD model to a first-run production stage.
 
"We wanted to recognize people who have truly cool ideas, but who need help bringing them to market," says Bill Dietrick, Proto Labs' vice president of marketing. "Other award programs only kick in when a product is in the market and commercially viable. We wanted to help people who are further back in the process."
 
Proto Labs will choose several winners throughout the year. The first award recipient, TruFlavorWare, will use the manufacturer's services to prototype a set a flatware designed for people undergoing chemotherapy. The flatware eliminates the bitter metallic aftertaste caused by traditional forks and spoons.
 
Entries have been coming in at a rapid pace, and Dietrick notes that they're overwhelmed with applicants. Because of the wealth of great ideas, the company created a new category called "honorable mention" and awards those winners a reduced manufacturing cost if they decide to use Proto Labs.
 
Although the program is currently available only to innovators in the United States, the company is considering opening up the awards next year to inventors worldwide.
 
"It's really been wildly successful so far," Dietrick says. "It's great to see all the amazing ideas that inventors have, everything from robotics to household products."
 
Source: Bill Dietrick, Proto Labs
Writer: Elizabeth Millard

Giant Steps

October 7
Guthrie Theater
818 S. 2nd St., Minneapolis
$120
 
Designed for "creative entrepreneurs and entrepreneurial creatives," this gathering includes workshops on topics like creative collaborations, networking and promotion, funding models for creative projects, and using social media effectively. Registration includes access to an after-party and concert.
 
 
Downtown Minneapolis Job Fair
 
October 12
Minneapolis Convention Center
1301 2nd Ave. S., Minneapolis
Free
 
Held in the Convention Center's ballroom, this major job fair features companies that are hiring in fields like accounting, health care, management, sales, and construction.
 
The Minnesota Venture & Finance Conference
 
October 12 & 13
Minneapolis Convention Center
1301 2nd Ave. S., Minneapolis
$295 for members, $495 for non-members
 
Now in its 25th year, this conference showcases entrepreneurship and investment, with presentations, networking opportunities, and workshops. Panels this year cover topics like innovation financing, intellectual property rights, IPOs, tax credits, and general trends in financing.
 
Women in the Boardroom
 
October 17
Hyatt Regency
1300 Nicollet Mall, Minneapolis
$105
 
This executive leadership event is designed to assist women in preparing for board service, and includes panelists who share their knowledge and expertise. The organization holds these annual events in 15 cities nationwide, as a way to boost interest in diversifying for-profit and non-profit boards.

You wake up with a killer sore throat and suspect that it's strep. Instead of sweet-talking your way into a same-day appointment with your doctor or taking a chance on a short wait at Urgent Care (good luck on that), you just swab your own throat, use a simple device, and get the answer.
 
If you're right, you go through a quick online clinic visit and get a prescription sent to your local pharmacy. Fifteen minutes after waking up, you're on your way to pick up the antibiotics.
 
This scenario may seem futuristic, but it's closer than ever, thanks to QuickCheck Health, an Excelsior-based startup that aims to revolutionize home health care.
 
According to a recent Rand Corporation study, about 90 percent of visits to retail clinics were for ten acute conditions, including upper respiratory infections, sore throats, and urinary tract infections as well as blood tests for issues like STDs.
 
QuickCheck aims to handle the testing for these conditions with devices that provide rapid diagnostic results for minimal cost. The company is developing devices that can detect the presence of Lyme disease, mono, pregnancy, pinkeye, yeast infections, strep throat, the flu, and urinary tract infections. They're also developing tools that can track cholesterol and glucose levels.
 
With the ability to provide accurate test results at home, people can utilize online health care services more effectively, says QuickCheck president and CEO Tom Henke.
 
Launched in February 2010, the company sprang from Henke's 25 years in the health insurance industry. He says, "During that time, I saw that the industry was going down a path that wasn't leading to lower costs or customer satisfaction. In fact, it was quite the opposite."
 
When he left the industry, he had several business concepts and an entrepreneurial drive, and settled on QuickCheck after watching his four children struggle through multiple bouts of strep throat.
 
"I thought, why am I bringing them to the doctor every time?" he says. "I wondered why people couldn't just do this at home. So I began reverse-engineering the process."
 
QuickCheck's devices will be submitted to the FDA soon, and are getting ready for consumer use studies. After that, you can expect to see the devices on store shelves by early next year, and look for QuickCheck to grow rapidly from that point on.
 
"We love the idea of people taking more charge of their health, and this will help them do just that," says Henke.
 
Source: Tom Henke, QuickCheck Health
Writer: Elizabeth Millard

The corporate world seems awash in personality tests that are designed to improve communication and working relationships: StrengthsFinder, Myers Briggs, the Five Factor Model, and many others. There are even books and websites that give advice on how to "ace" or "beat" these tests for better results.
 
Inscape Publishing believes that there's a better way.
 
The Minneapolis-based firm has spent the last decade transitioning from a paper-based testing product to digital corporate training materials, collectively called the DiSC program. Along the way, the scientifically-based approach has also undergone some revision, to make it more useful to organizations.
 
According to CEO Jeffrey Sugerman, the program differs from competitors in many ways, particularly in that it presents a model for organizational functions, rather than just an assessment of personality types.
 
"With some of these standard tests like StrengthsFinder, what you get is kind of a data dump," he says. "You have a 30-page report that's filed somewhere and maybe you look at it every once and a while, but it doesn't seem that it changes much in the organization."
 
Inscape focuses instead on how people think, act, communicate, and prioritize, he notes. As companies continue to operate in a lean way, making sure that employees work together efficiently and amiably is crucial, Sugerman believes. Simply putting people into a team and hoping for the best isn't a very realistic approach, especially if those team members are telecommuters who need help in forming cohesive working relationships.
 
"Collaboration is a source of competitive advantage," he says. "But collaboration requires a framework in order to work, and that's what we provide."
 
The DiSC program is a bestseller, with over a million people worldwide using the product every year. Sugerman says, "I'm always surprised that people come up to me and talk about their results from ten years ago, it's that memorable to them."
 
Source: Jeffrey Sugerman, Inscape Publishing
Writer: Elizabeth Millard

In the seventh annual Minnesota Cup competition, the top winner of $50,000 in seed capital was AUM Cardiovascular, a Northfield-based startup that developed a handheld device that can detect coronary artery disease.
 
The company's founder and CEO, Dr. Marie Johnson, started the firm after her husband died suddenly at age 41 while she was still a Ph.D. candidate the University of Minnesota.
 
Although he'd seemed to be in perfect health, Johnson's husband had suffered a heart attack, and it moved her to focus on creating a system that could identify symptoms of coronary artery disease.
 
Johnson estimates that she'll need about $3 million to accomplish the goal of preparing her device for market, and she believes that the award's seed money, combined with the presentation skills she learned through the award process, will help her to reach a new level of entrepreneurship.
 
Launched in 2005, the Minnesota Cup has become a high-profile and competitive event among entrepreneurs. Companies compete in six divisions, including biosciences, clean technology, high tech, and social entrepreneurship. There's also a student division.
 
This year, more than 1,000 participated, and in addition to AUM's win, several semi-finalists also received seed funding to grow their businesses. Other winners are Energy Max Panel, Naiku, Anser Innovation, Tesgen, and HOURCAR.
 
According to the Minnesota Cup, past participants have many notable success stories to tell. For example, the 2009 grand prize winner, 8th Bridge, raised $5 million in series A funding soon after the competition, and another $10 million in series B in 2011.
 
Other winners have been acquired, secured new capital, or garnered major distribution agreements as a result of their awards.
 
So, for entrepreneurs looking to fatten up their funding: start thinking ahead, because Minnesota Cup 2012 is likely to be even livelier.
 
Source: Minnesota Cup
Writer: Elizabeth Millard

They may not produce ooze, but Primordial Soup (Psoup for short) has plenty of creative juices flowing.
 
The St. Paul-based medical device design firm got launched in 2008, by three founding partners who "quit their normal jobs just as the economy was becoming so awesome," says co-founder Chris Trifilio, with a laugh. The trio had worked as consultants and often crossed paths, and eventually, they began talking about joining forces.
 
"One of the main reasons we formed Psoup is that when you work as a consultant, you can't help but feel the excitement of entrepreneurism," Trifilio says. "So we formed to be able to make our own products, instead of consulting on other people's products."
 
Although the economy was already grim when they launched, he believes that the recession was an advantage as much as a challenge. "When we started, everything was so terrible," he notes. "Because of that, we're lean and focused, with not a lot of overhead. We're super efficient."
 
The work done at Psoup is distinctive, combining a spare elegance of form to match very specific medical functions. For example, a hip screw implant is not only less invasive to the body, but it's also sleek, with a kind of minimalism that's nearly artistic.
 
The firm has produced medical device work that was in two Minnesota Cup entries, for Circle Biologics and QuickCheck Health (a runner-up in its division).
 
Although there's a strong focus on surgical tools and implants, Psoup also takes on consumer electronics for companies like Best Buy, says Trifilio. One major change in the past year in particular, he adds, is that the firm used to work mainly with very large companies like Medtronic. Now, all of their business is for small companies and startups, which Trifilio sees as a compelling change in the industry.
 
The opportunity is there for plenty of growth, yet the lean-and-focused team is hesitant to expand too quickly, and Trifilio's not sure they even want to go beyond hiring a few more people for their six-person team.
 
"Our mission is different," he says. "We don't want to be a 50-person firm. We want to keep going down the path we're on, because it's fun and we love it. Right now, our pipeline is full and I expect that will keep going."
 
Source: Chris Trifilio
Writer: Elizabeth Millard

Finding entertainment options isn't much of a feat these days, with Netflix streaming video, Hulu, iTunes, and many others competing for your attention. But what happens when you turn off your connection?
 
Entrepreneur and technologist Daren Klum believes two things: that a lack of Internet shouldn't mean a night of channel surfing or board games, and that you should have access to a huge amount of entertainment options.
 
To bring both to life, he created CRAM, a system that uses cartridges loaded with music, movies, TV shows, and other content. "I call us 'Netflix on steroids,'" he says. "Or, like Redbox in the palm of your hand."
 
With the service, a customer can use a special device that wirelessly streams the content to up to four other devices. That means someone could be watching a movie in the living room, while another is listening to music upstairs, and the kids could be accessing educational content from a handheld out in the treehouse.
 
Up to 360 movies can be stored on a single device, and users will pay about $20 per month to gain access to unlimited content.
 
The product hasn't launched yet, but it sure has some heavy hitters getting it ready. In addition to Klum, who has a long track record of creating technology products, the company has advisors that would make any startup swoon, since they hail from CBS, Sony, Disney, and Best Buy.
 
The startup has secured $600,000 in investment already, with part of that coming from St. Thomas' William C. Norris Institute. The product will officially launch in January, at the high-profile Consumer Electronics Show in Las Vegas.
 
"The growth potential here is phenomenal," says Klum. "Once we hit the market running, we plan to expand from a staff of 8 people to hundreds of employees. It's all really, really exciting."
 
Source: Daren Klum, CRAM
Writer: Elizabeth Millard

Although Naiku didn't win the grand prize in the recent Minnesota Cup competition, just garnering the division win has been enough to raise the company's profile considerably. And after a summer of winning more clients, expect to hear even more about Naiku in the near future.
 
The education start-up offers an online education assessment platform that benefits both student and teacher, according to Corey Thompson, the company's co-founder and chief executive officer. (See The Line's previous coverage on the enterprise here.)
 
Since last March, the company has made impressive gains in traction. There are over 35,000 students signed up for the fall, representing a number of different school districts.
 
"We're establishing partnerships now, and I think the Minnesota Cup win was helpful as validation for what we're doing," Thompson says. "It just helps us as an early-stage company to get an audience with people in the schools."
 
Naiku has begun to turn the corner, from having to evangelize its technology to fielding calls from prospective clients. In other words, instead of knocking on doors, they're answering the phone.
 
"It's so nice to have people call because they've heard about what we do, instead of having to explain it all the time," Thompson notes.
 
Another big event in the past few months has been the development of a mobile device that can access Naiku's technology directly. Although the platform can be reached through an iPhone or iPad, not all students possess those, or can afford to buy them. The "clicker" developed by Naiku makes it more equitable for students and increases access to the technology.
 
With school just starting, and more and more customers calling, it seems that Naiku won't be a freshman company for long.
 
Source: Corey Thompson, Naiku
Writer: Elizabeth Millard

Your phone’s wake-up alarm resets itself to 30 minutes earlier than programmed because there’s traffic congestion on your usual route. As you drive to a meeting, your favorite coffee stop has your order ready before you approach the drive-up window. While sipping the latte, you’re directed to a gas station with the lowest price in the area.
 
Such unseen forces of organization seem like the stuff of science fiction, but Minneapolis-based AsystMe is working to create a legion of “automated personal assistants” that make life easier for all of us.
 
The company recently garnered a nice chunk of angel funding from private investors in Minnesota and North Dakota, as part of a larger initial round of funding. Investors were impressed with the enterprise’s knack for creating automated assistants that do tasks on users’ behalf. The system works by monitoring relevant data sources, and responding based on user preferences.
 
AsystMe founder Joel Nash came up with the idea for the company after spending years as an engineer and entrepreneur. In the past, he automated tasks for factories, but began being interested in home automation, and finally, in data automation.
 
“People always talk about data overload, how people feel stressed because they’re trying to constantly monitor data and work with technology,” he says. “With this approach, our solution is to put a layer of automation between people and these data sources.”
 
Some of the scenarios that Nash envisions may be a few years away, but they’re not too far-fetched. For example, notification services can already remind users of dry cleaning pickups, client meetings, and personal trainer sessions. Sending an automated order to a coffee shop or monitoring traffic data can easily be folded into those existing tasks.
 
“There’s no reason why we can’t have more automation to deal with information overload,” Nash says.
 
Source: Joel Nash, AsystMe
Writer: Elizabeth Millard

What do web and mobile engineers and consultants do for fun? Design mobile games, of course.
 
The latest local game addiction comes from Bust Out Solutions, a firm that engineers websites and mobile apps for clients like Best Buy, Minnesota Public Radio, The Saint Paul Chamber Orchestra, and Pedal Brain.
 
Employees at the firm have long wanted to build a product for themselves, but were always too busy with client work, according to founder and developer Jeff Lin.
 
Despite the client deluge, a small team eventually got together and created Brahmageddon, a whack-a-mole type of mobile game that uses characters from the great classical epics of India, the Ramayana and Mahabharata, Players have to defeat cannibal demons by smacking the on the head as they pop up.
 
“We had a number of concepts, and this one just seemed silly and unique,” says Lin. “It’s on the simpler side of game design, because we just wanted to see what we could do.”
 
Although Bust Out engineers designed the game as a nice stress reliever, without intentions of selling it, Lin ended up chatting with a major game distributor who gave him some encouragement about future game development. The game has even provided a return on investment, by selling over 100 copies through Apple’s App Store.
 
“The project was a success in that we proved we can design games and launch them, and still have fun doing it,” he says. “This has given us all kinds of ideas about where we could go from here.”
 
Source: Jeff Lin, Bust Out Solutions
Writer: Elizabeth Millard