Creative Leadership : Innovation + Job News

For website developers, a "spider trap" is created when a site has so many changing links that it ranks high on search engines. But for the past few years, the term has garnered another definition: a fast-growing digital marketing firm.
 
"The name is a good representation of who we are," says Mike Rynchek, president and founder of Minneapolis-based Spyder Trap. "It's technical, sophisticated, and analytical, but also energetic and playful. We aim to be all of those qualities."
 
Rynchek started the company in 2008, after working on digital projects in a more traditional agency. He believes that his firm has a jump on agencies because of its laser focus on digital projects, especially as it moves more into mobile technology.
 
"I think a lot of agencies are still trying to figure out digital," he says. "We're at the point where we're optimizing the online side, and going heavily into mobile. And that will be a point of differentiation for us."
 
Spyder Trap certainly has a strong start, with considerable growth over the past year. The firm just hired its 23rd employee in December--at the end of 2010, there were only nine employees--and Rynchek anticipates steady hiring as more clients take advantage of Spyder's mobile insights.
 
"Social media has been the big buzz for the last couple years, but I believe that mobile is about the take over the conversation," he notes. "More and more people are trying to be smarter with their time, they're starting to disconnect in some ways. That will be key for us, as marketers, to understand."
 
For Spyder, that shift should lead to organic growth, and an even more attractive digital web for clients.
 
Source: Mike Rynchek, Spyder Trap
Writer: Elizabeth Millard

With an impressive growth rate over the last three years--leading to recognition by Inc. magazine multiple times--Jobs2web made for an attractive acquisition target last year. So, it's no shock that business software firm SuccessFactors snapped it up in December.
 
But one pleasant surprise is that the Minneapolis-based firm won't get consumed by its new owner. Instead, Jobs2web is likely to get even stronger, believes chief marketing officer Peter Baskin.
 
"We'll not only remain completely intact, but we may grow even more aggressively," he says. "SuccessFactors wants us to keep on pace and keep expanding, in every way."
 
The firm is currently shopping for larger office space, and plans to increase its 120-employee base. Baskin notes that Jobs2web has been doing very well for the past few years, but it still struggled with "opening doors" at large prospective clients. The acquisition by the well-respected SuccessFactors should help in that regard, he says.
 
But Jobs2web will still keep the major attribute that has contributed to its success: the agility to deliver its interactive recruiting solutions quickly, in a customized format.
 
The firm helps clients draw on digital strategies to streamline recruiting efforts. For example, in addition to traditional employee referrals done by word-of-mouth, Jobs2web can integrate social networks into the mix, and then bring in mobile technology, analytics, and research portals to increase effectiveness.
 
"By linking so much together and bringing in automation, it's created a great degree of success for us," says Baskin. "It's helped us blow the doors off the barn for the past few years."
 
He adds that the addition of SuccessFactors as a strategic partner will keep those doors wide open.
 
Source: Peter Baskin, Jobs2web
Writer: Elizabeth Millard

In the past year, the economy didn't rebound with as much bounce as anyone would have liked, but a few fascinating things are happening on the way to recovery: the Twin Cities business community seems to be getting closer, more creative, and in some ways, more relaxed. The past year has seemed less like a slog and more like a fresh start.
 
In covering the innovation and jobs beat for The Line, I've spoken to dozens of entrepreneurs, some CEOs of large firms, and quite a few non-profit folks, and the trends are the same across every sector. The recession delivered a blow, certainly, but rather than going right back to business-as-usual, many companies here are seeing success through different measures. They brag about flex time for employees, community-based projects, and buying locally. It's as if the economic storms brought many enterprises under the same roof, and now they've learned that rather than survive independently, they're better off thriving together.

An Incubator Boomlet
 
For example, look toward the business incubator boomlet, and the wealth of services for entrepreneurs, like CoCo, WorkAround, MOJO Minnesota, the Economic Gardening Network, Homegrown Business Development Center, Minnesota High Tech Association, and so many others. The University of Minnesota, in particular, is a powerhouse of advice and skill building. Even the engineering school is teaching its students how to play well together in a business setting. 
 
This level of closeness to each other has created a business community that supports new endeavors so enthusiastically. Look at our recent feature on Kindred Kitchen, an effort in North Minneapolis that supports food entrepreneurs, for just one example, but there are many others. A sampling of companies that got their start this year include Sophia, DogWonderful, BuyerCurious, Pashen, and CRAM.
 
Through strategic hiring and expansion of services and products, many companies are showing a sense of starting anew, even if they've been around for years. For instance, just look at Bulk Reef Supply, an aquarium supplies service that has done such tremendous growth through increased product offerings that it landed on the Inc. 5000 list.

Companies Chillaxin'
 
Finally, there's the relaxation factor. Business can always be a bit of a meat grinder at times, but as companies learned to operate lean and get creative, they started to identify different measures of success, like happiness. As Chris Trifilio, co-founder of Primordial Soup noted, "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." That's a sentiment that I heard often this year, leading me to believe that if a company didn't start fresh in terms of operations, then maybe they did in terms of attitude.
 
In the year ahead, I predict that these trends will keep rolling strong, because they contribute to the health of the business community, and make the Twin Cities a strong and vital area. Happy, satisfied entrepreneurs and business owners are creating a business climate that's sweeping away the economic clouds of the recent past with something awfully close to a sunny outlook.

Elizabeth Millard, Innovation and Jobs Editor

"Even in these tough economic times, many of the segments we target are thriving," says Jim Cairns, vice president of marketing at Multi-Tech Systems. "We provide technology that allows for greater efficiency and cost savings, and that's always welcomed."
 
Founded by Raghu Sharma, Multi-Tech has been producing connectivity technology for nearly 40 years. Part of the company's strength lies in its diversity: products range from smart grids that can monitor a house's electricity, to sensors that allow remote ATM machines to communicate with bank systems quickly, to patient-monitoring systems that make home health care easier and safer.
 
Health care is a major part of Multi-Tech's offerings, and the company has major clients like Medtronic and Boston Scientific. Cairns says, "The cost for health care these days is almost obscene. So, if we can allow people to manage their health care from their homes instead of rushing to the hospital, that makes for major savings."
 
Growth in all areas is creating a demand for new talent, he adds, and hiring has been steady at the company's headquarters in Mounds View. Recent hires have joined teams in sales, engineering, and manufacturing.
 
A unique part of Multi-Tech's operations is its in-house manufacturing facilities. By not outsourcing any production to overseas entities, the company doesn't benefit from cost breaks, Cairns notes, but there's greater control over the supply chain and more adaptability to customer needs.
 
For the future, Multi-Tech intends to keep hiring at a steady pace and expand into new markets. "We feel fortunate to be growing, while still striving to provide the best solutions for our customers," says Cairns.
 
Source: Jim Cairns, Multi-Tech Systems
Writer: Elizabeth Millard

As Internet-based marketing continues to boom, a newer field is growing along with it: online reputation management.
 
That's good news for companies like Minneapolis-based Internet Exposure, a web design and development firm that specializes in helping companies keep track of what's being said online, and advises them on ways to increase positive buzz.
 
The firm added two new people within the last month, and is likely to bring on more in the year ahead if demand continues as expected.
 
"In the last five years, the issue of a company's online reputation has come up more and more," says Internet Exposure CEO Jeff Hahn. "Almost every new business meeting I have covers social media, and although it's more important to certain clients, all of them need to address it in some way."
 
Companies of any size, particularly those run by multi-hat-wearing entrepreneurs, can find it daunting to build a good reputation online through sites like Facebook, Twitter, and Google Plus. They might have an executive blog or a business website, but often they struggle with how to create true influence through social media.
 
Internet Exposure assists them by using search tools to see what's being said about the business, and then helping executives to use social media more effectively to create a positive image. If a company has negative reviews or feedback online, the firm has tactics that can help to push the comments lower in search results, and also works to address the feedback directly.
 
Hahn expects to see more interest in the tactics in the future, and as a result, Internet Exposure should see more growth as well. He says, "The Internet is still a bit in the 'Wild West' phase. So, we're excited to help people make these online tools work for them, instead of against them."
 
Source: Jeff Hahn, Internet Exposure
Writer: Elizabeth Millard

In classrooms around the world, Sophia is proving to be a very popular and very smart girl.
 
The online education site went live last March and experienced an overwhelming response, with people logging on from nearly 70 countries in just the first two days.
 
Now, just seven months later, Sophia has grown from start-up to robust enterprise, expanding from six to 13 full-time employees, plus approximately 25 contractors and consultants. Founder and CEO Don Smithmier, whom we profiled in February, anticipates more hiring in the coming year, as Sophia ramps up even more.
 
"We're now executing a plan that we'd put forth at the beginning, the goal of bringing Sophia to the world," he says. "We're getting traction, and seeing growth as a result."
 
Sophia is a free social learning community, focused solely on education. The service brings together teachers and students from around the world. Utilizing "learning packets" that combine text, video, and graphics, teachers can create educational units that can be viewed by everyone, or just a select group of students.
 
Smithmier notes that the approach falls into a growing new category of academics called "social education," in which access to learning is increased. He says, "We're talking about flipping the student-to-teacher ratio. So, instead of 30 students for every teacher, what you'll have are 30 teachers for every student."
 
The strategy can be particularly effective, he adds, because people tend to "click" with some teachers but not others. Exposing students to so many teachers and different teaching styles keeps those relationships clicking.
 
As Sophia keeps expanding, in both employees and reach, Smithmier anticipates that the company will be doing more work on its learning programs and refining its offerings. "We want to make Sophia nationally known, and eventually globally known," he says, then laughs. "I guess we just want to be world famous."
 
Source: Don Smithmier, Sophia
Writer: Elizabeth Millard

Quick: think about a still-sour economy, layoffs, lost clients, and financial difficulties.
 
Although those are the types of thoughts that many business leaders try to avoid, many entrepreneurs still focus on those negatives, and end up falling short of their potential, believes business consultant Laura Goodrich.
 
In her work with organizations over the past 17 years, Goodrich has developed a program, "Seeing Red Cars," that applies these principles of unconscious attraction. She named the program after an analogy, in which someone might not think about cars of a certain color until he or she buys a red car, and then, suddenly, begins to notice red cars everywhere. Changing one's focus and attitude about an enterprise can feel exactly like that, she notes.
 
"Seeing Red Cars is a transformation process, it's about being intentional and about the nature of change," says Goodrich. "When we talk about the unconscious focus that people have, we begin to see the outcome that they're seeking. If you have an unconscious pull toward negative outcomes, that's what you'll get."
 
Along with a business partner, Goodrich owns On Impact Productions, a content company that specializes in producing videos, coaching, and consulting. She's produced a full-length film that brings together all of her views on how executives can create a more positive environment for themselves and employees.
 
Goodrich is hoping that as her business grows, so will the reach of her message: that getting stuck in a rut is all too common, and that it takes a new perspective to climb out of that ditch.
 
"I've worked with executives who don't know they have an unconscious focus on the negative, and yet they're sucking the energy out of their employees," she says. "They're putting a pin in every balloon. At this moment, what we all need is dynamic change, and that's what I want to help provide."
 
Source: Laura Goodrich, Seeing Red Cars
Writer: Elizabeth Millard

Accounting, tax, and consulting firm McGladrey is clearing plenty of desk space for the months ahead, anticipating an increase of at least 25 more people before January.
 
The hiring push isn't surprising, considering that the firm has been bringing on new employees at a steady clip over the past six months, adding about 100 employees since the beginning of May. Currently, the Minneapolis office has about 325 people, with most of them getting ready for the busy tax season ahead.
 
Growth has also come from an increase in business consulting, notes Christine Mack, Northern Plains Assurance Leader and Partner at McGladrey. She says that for the past few years, many companies have been delaying the use of consulting in areas like risk advisory and technology services, but that the demand is increasing again.
 
She says, "There's a subtle shift in the economy. What was put on the back burner is now coming to the front, as people recognize they need advisory services to keep their businesses growing."
 
Expanding the firm's employee number comes at the same time as another major effort at McGladrey: implementing a paperless tax process.
 
The move toward a paperless strategy was sparked by a desire to create more efficiency in the tax process, says Mike Nelson, Managing Director of Tax Services. By going paperless, McGladrey employees can be more mobile and work electronically, allowing them to access files from a client office, for example. It's an innovative approach that's already making McGladrey unique among competitors.
 
"It just makes sense," says Nelson. "We can be mobile, it helps the environment, and our employees appreciate the flexibility. Everybody wins."
 
Source: Mike Nelson and Christine Mack, McGladrey
Writer: Elizabeth Millard

Billing itself as a site for "all things cool and canine," DogWonderful.com makes it easier for people to travel without leaving their dogs behind. The site offers hotel deals, listings of dog-friendly accommodations, and handy tips for traveling with dogs.
 
The pet travel site is the creation of Teresa Matsui Sanders, founder of a hospitality management and consulting firm, InnWorks.
 
After the economic downturn in 2009, and battling breast cancer twice within a year, Sanders was looking for a fresh start and different consulting opportunities. She did some work for an online publisher and learned about monetizing websites, but wasn't sure what to do with the knowledge until her beloved dog, Kendall, died at the end of June.
 
"The day after she died, I had the inspiration to do a website about dogs and travel," she says. "From my experience in the hospitality industry, I knew there were databases and booking engines that could give dog owners access to thousands of hotels."
 
Sanders hopes to steadily boost visitor numbers and have DogWonderful.com become a major destination site for people who want to travel with their animal companions. Part of the site's revenue is donated to dog-focused charities like NEADS, an organization that trains hearing dogs by using prisoners and combat veterans as trainers.
 
The site launched in late October, on a day that would have been Kendall's 17th birthday, Sanders notes. "Dogs just become such a huge part of your life, and what I've found from working on this site is how much people want to share their love of dogs. It's been amazing."
 
Source: Teresa Matsui Sanders, DogWonderful.com
Writer: Elizabeth Millard

The Minnesota High Tech Association (MHTA) recognized 14 companies that are contributing to innovation, development, and commercialization of technology in the state, handing out its annual Tekne Awards last week.
 
The awards included separate categories for small and growing businesses, with revenues under $50 million, and for established businesses. Winners range across a number of fields, from manufacturing to sustainable technologies to non-profit organizations.

"Minnesota’s technology community has responded enthusiastically to the Tekne Awards for the past twelve years," says MHTA President and CEO Margaret Anderson Kelliher. " Year after year the Teknes generate a tremendous amount of pride and help inspire a new generation of innovators."
 

Nova-Tech Engineering won for advanced manufacturing, Ecolab took home the cleantech and energy award, and Global Traffic Technologies won the computer hardware and electronic devices award.
 
For the most innovative collaboration of the year, MHTA chose Maverick Software Consulting, which paired with Digital River, Thompson Reuters, and MnSCU to bring together computer science students and corporations providing software development and testing. Students received real-world experience working in the technology field, and companies got talented candidates. 
 
Other winners included Sophia Learning, Minntech Corporation, Pursuit Vascular, GeaCom, Imation, and Calabrio.
 
The City of Minneapolis received an award for technology excellence in a non-profit organization, with MHTA noting the city's work toward bringing technology and information together to make Minneapolis safer. The city's new emergency operations training facility and strategic information center blend digital data, streaming video and interactive interfaces to create a communications center for the city.
 
The Tekne Awards also featured more inductees to the Minnesota Science and Technology Hall of Fame, which was created four years ago to acknowledge the work of entrepreneurs, engineers, professors, inventors, researchers, and scientists.
 
Source: Margaret Anderson Kelliher, Minnesota High Tech Association
Writer: Elizabeth Millard

Consumers are switching to credit unions and community banks in record numbers, and this past weekend, "Bank Transfer Day" had some financial institutions jammed full of new customers.
 
For Affinity Plus Federal Credit Union, that means plenty of hiring to keep up with demand.
 
President and CEO Kyle Markland notes that the credit union has been adding about 2,000 members per month, which is double the amount they saw a year ago. About 80 percent of those members have been referred by existing members, but they're also seeing an uptick in interest thanks to their "ditch your bank" campaign.
 
"We've been very public about letting the general population know that there's an alternative to large banks," he says. "Our members see the value in the type of service that we provide, and I think more and more people are looking for that level of service."
 
Affinity currently has 356 employees, but that number is likely to increase as the credit union sees an increase in transaction volume, Markland notes. He says that in the last five years, members have been depending on the credit union for more of their banking needs, such as loans.
 
Because of the growth rate, Affinity is likely to add another 100 employees over the next 12 to 18 months. Just in the past two weeks, they've brought on almost 20.
 
That level of hiring is likely to be tricky, Markland says, because the credit union is very particular about who joins their team. Employees have to be motivated by an environment where they're empowered to make decisions, he says, and can fit in with Affinity's service-oriented culture.
 
"It all comes down to finding good people who want to work with other good people," says Markland.
 
Source: Kyle Markland, Affinity Plus Federal Credit Union
Writer: Elizabeth Millard

Sometimes, one simple decision can shake a company's entire foundation.
 
For Eagan-based JumpTech, that moment came about a year ago, when the company decided to move its applications to a mobile platform.
 
The firm's software for inventory management and proof of delivery was turned into JumpPOD, an app for iPhone and Android that allows anyone with those devices to track deliveries, accept signatures, and do performance reporting.
 
Since its release about four months ago, the company gets several phone calls per day for orders, says JumpTech CEO John Freund: "This caught us a little off guard, the popularity of JumpPOD. We've had to accommodate for such sudden growth."
 
The 11-member firm is likely to double its employee size over the next few months, he adds, and is moving soon to new, larger office space down the street from its existing offices.
 
Fortunately, Freund has been on the fast-growth track before, when a company he co-founded zoomed upward before it was sold. Now, he uses that experience to make sure that he keeps JumpTech on the right path.
 
"It's a balancing act, because you fight so hard to get customers excited and buy the app, but you have to make sure that you can deliver when they come to order," says Freund. "That's why we're making sure that we're hiring resources now."
 
Technology companies in particular can be challenged by such a turn in fortunes, he adds, and many overreact to growth by staffing up quickly. Then, if sales don't come through as projected, they need to downsize. Freund says, "The way to prevent that is to focus on what you're delivering, as opposed to what you're selling. Here, we're doing that, and growing organically as a result."
 
Source: John Freund, JumpTech
Writer: Elizabeth Millard

First Tuesday
 
November 8
University of Minnesota
Carlson School of Management
McNamara Alumni Center
$28, includes lunch
 
Held for nearly 20 years on the first Tuesday of every month at the McNamara Alumni Center, the First Tuesday Speaker Series has showcased top executives and their insights about business and leadership. This month's round features John Stumpf, the Chairman, President, and CEO of Wells Fargo.
 
 
Best Practices in Leadership Effectiveness & Employee Engagement
 
November 10
Embassy Suites Minneapolis Airport
Bloomington
Main conference: $200 members, $300 for members of partners, $400 non-members
 
Put on by the Minnesota Council for Quality, this two-day event features a main conference on Nov. 10 and post-conference workshops the following day. Organizations such as Toro, US Bank, and Allina Hospitals & Clinics will share best practices in succession planning, communication, employee engagement, and other topics.
 
CityCamp Minnesota
 
November 12
University of Minnesota
Humphrey Center
free
 
Touting itself as an "unconference," CityCamp Minnesota aims to bring together community organizations, technology startups, social media experts, software developers, open government advocates and "everyday citizens" for a discussion about how to strengthen local communities. Although there will be breakout sessions and at least 25 different interactive discussions, the conference organizers note that the "coffee break becomes the conference."
 

Robotics Alley
 
November 17
University of Minnesota
Carlson School of Management
$145
 
ReconRobotics (see our previous coverage here) teams up with the Minnesota High Tech Association to host a gathering of 250 leaders in the global robotics industry. Featuring a keynote address by renowned robotics expert Peter Singer, the program also includes a series of open-format talks on the business of robotics from experts in the financial, legal, policy, and academic sectors.

Innovative marketing firm d.trio is boosting its account services and interactive offerings with the addition of three new employees in the past few months, according to one of the firm's partners, Megan Devine.
 
"We've been building a comprehensive team for a multi-channel focus," she says. "We bring together a team of people to really develop a plan based on what the client needs. As opposed to hiring out for certain services, we've been developing one in-house that will give us greater breadth."
 
The agency--named after the trio of co-founders Devine, Maureen Dyvig, and Fred Driver--has clients like Gander Mountain, American Red Cross, Rasmussen College, Synovus, and the University of Minnesota. The marketing group offers strategy, digital services, print production, creative work, and other services.
 
In its location just a block from the Minnesota Twins stadium, the company prides itself on a culture that's lively and unique, which helps to draw candidates, Devine believes.
 
The new additions to the 13-member company bring more strategic savvy, she adds. They'll give d.trio the ability to approach new industries and extend the firm's reach into areas like healthcare, retail, and non-profits.
 
Although many companies claim that clients come first, that's truly the mantra at d.trio, Devine adds: "We think about what we can do to kick up a campaign. Our creative is tied to strategy, and we feel that growing those happy client relationships is what's going to keep us growing."
 
Source: Megan Devine, d.trio
Writer: Elizabeth Millard

Sometimes, a small hobby can become big business.
 
For Ryan Batcheller and Andrew Duneman, an interest in aquarium supplies turned into one of the fastest growing companies in the state.
 
Started in 2007 by the entrepreneurial pair, Golden Valley-based Bulk Reef Supply has been on such a fast track that it recently landed on the Inc. 5000 list, coming in at number 258. Over the past three years, the company has soared from initial revenues of about $300,000 to nearly $4 million in 2010.
 
It all started with "fish chili," according to Batcheller. He made up a fish food for his own aquarium dwellers, and when some friends began asking for samples, he thought about selling it in bulk. From there, the idea blossomed into selling aquarium additives online, at bulkreefsupply.com.
 
Customers began sending them leads on products, and the pair started hiring and adding items to the site at a rapid pace. After creating some structure through the use of the Entrepreneurial Operating System, they managed to develop a system of their own that let them handle growth and keep hiring.
 
Currently, the company features 1,400 products and employs 21 people. Most likely they'll keep up the pace, but Batcheller isn't worried about hitting a wall: "We don't have revenue goals," he says. "We used to, but then we realized that revenue isn't where we'd find success. Instead, we want to be the best in the industry, the top saltwater aquarium supplier in the country. We'll get there."
 
Source: Ryan Batcheller, Bulk Reef Supply
Writer: Elizabeth Millard