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Most Admired CEOs of 2011 - In this special section, we recognize area business leaders whose names were submitted to the Business Magazine as consistently demonstrating strong leadership, integrity, values, vision and commitment to excellence in their business dealings.

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Page 1: February 2011 Business Magazine
Page 2: February 2011 Business Magazine
Page 3: February 2011 Business Magazine

BUSINESSM A G A Z I N E

VOLUME XXIV, NUMBER 2 FEBRUARY 2011Manufacturer & Business Association

MOST ADMIRED

CEOS OF 2011

/ PAGE 8

Page 4: February 2011 Business Magazine

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Coverage subject to the terms of your benefits program.

Page 5: February 2011 Business Magazine

FEATURES > 2 / SpotlightHamilton W. Strayer, retired company president, discusses his thoughts on leadership and how Erie Strayer Company found its niche as leader among concrete batching equipment manufacturers.

8 / Most Admired CEOs of 2011In this special section, we recognize area business leaders whose names were submitted to the Business Magazine as consistently demonstrating strong leadership, integrity, values, vision and commitment to excellence in their business dealings.

19 / On the Hill Association State Government Relations Representative Anna McCauslin explains how Pennsylvania Governor Tom Corbett can balance the budget by following the example set by New Jersey Governor Chris Christie.

22DEPARTMENTS > 5 / Business Buzz12 / HR Connection

16 / Legal Q&A20 / People Buzz

EDITORIAL > 7 / Health Matters How investing in your employees can help you lower your health-care costs.STEPHANIE FUDURICH

11 / Legal BriefWhy mediation is becoming an increasingly popular option for business leaders who want to resolve their commercial disputes.GREGORY P. ZIMMERMAN

15 / Blue Ocean StrategyHow to unlock new demand by looking at strategic groups within your industry.ANGIE ANGUS 5

< SPECIAL SECTION / Insert Learn about the upcoming professional devel-opment and computer classes available at the Manufacturer & Business Association, in our new quarterly Training Catalog!

Register now to receive your FREE e-Edition of the Business Magazine online at www.mbausa.org!

BUSINESSM a g a z i n e

VOLUME XXIV, NUMBER 2 FEBRUARY 2011

Manufacturer & Business Association

Most AdMired

Ceos of 2011

/ PAge 8

Blue Ocean Strategy Center

2

February 2011

February 2011 > www.mbausa.org > 1

Page 6: February 2011 Business Magazine

Please describe Erie Strayer and the products you manufacture. My father, George H. Strayer, started the Erie Steel Construction Company in 1912 with 10 employees. The company fabricated structural steel for the construction of factories and office buildings in the Erie area. Some of those customers were Lawrence Hotel, Boston Store, Richford Hotel, Erie Forge & Steel, and many of the factories on West 12th Street. One of the most repetitive customers was Erie’s General Electric.

World War II came along and the company started manufacturing thousands of clamshell and dragline digging buckets for the Corps of Engineers and Bucyrus Erie.

In the late 1950s, the company changed its name over to Erie Strayer Company, which was more allied to the industry. Also, at that time, the company began to manufacture concrete batch plants for the domestic and international markets.

The industry-wide recognition and international scope of our operation might surprise many Erieites. We have secured a premier spot among our competitors.

What is the size of your operation – employees, facilities and production? Our manufacturing plant and office facilities, located at 1851 Rudolph Avenue, are in a 175,000-square-foot building on 21 acres. It can be seen from the I-79 northbound overpass between West 26th and West 12th. ERIE employs approximately 100 people.

As the second generation in your family to run Erie Strayer, how would you describe your leadership style? We describe ourselves as a fiscally conservative company and are so known throughout our industry. This has been our management style during three generations, and it has served our business well.

I am now retired, and my son, Robert F. Strayer, president and CEO, owns and manages the company. Kyle Strayer, my grandson and Robert’s son, has recently joined the company with the goal of becoming the fourth generation leader of Erie Strayer.

We always emphasize the family-owned advantage when dealing with our company. It is a basis for stability and is confidence-inspiring for our customers. Our stability and longevity are rare in today’s climate of mergers, acquisitions and closings.

In your opinion, what are the most important qualities of a successful CEO? • Remain true to your word and never play favorites. In other words, be fair, firm

and consistent with unwavering integrity.

• Be inspirational. By garnering the title ‘CEO,’ you must be passionate about your position. If you are able to convey this passion and excite others, then productivity will be improved and employees will feed off of and grow from your energy.

Since 1912, Erie Strayer Company (ERIE), headquartered at 1851 Rudolph Avenue in Erie, Pennsylvania, has been a major force in manufacturing. Hamilton W. Strayer, retired company president, was the second generation to run this international business, and it was under his guidance that the company found its niche as leader among concrete batching equipment manufacturers. The Business Magazine recently asked Mr. Strayer to share his thoughts on the company and leadership.

VOL. XXIV, NO. 2 FEBRUARY 2011

© Copyright 2011 by the Manufacturer & Business Association. All rights reserved. Reproduction or use of editorial, pictorial or advertisements created for use in the Business Magazine, in any manner, without written permission from the publisher, is prohibited. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. The maga-zine accepts no responsibility for unsolicited manuscripts or artwork. The Business Magazine and Manufacturer & Business Association do not specifically endorse any of the products or practices described in the magazine. The Business Magazine is published monthly by the Manufacturer & Business Association, 2171 West 38th Street, Erie, Pa. 16508. Phone: 814/833-3200 or 800/815-2660.

Mission StatementThe Manufacturer & Business Association is dedicated to providing information and services to its members that will assist them in the pursuit of their business and community interests. – Board of Governors

Manufacturer & Business Association2171 West 38th Street Erie, Pa. 16508 814/833-3200 or 800/815-2660 www.mbausa.org

Manufacturer Yvonne Atkinson-Mishrell& Business John ClineAssociation Board Dale Deistof Governors Timothy Hunter Dan Ignasiak Mark C. Kulyk John B. Pellegrino Sr., P.E. Dennis Prischak Robert S. Pursell Lorenzo Simonelli Sue Sutto Phil Tredway

Editor in Chief Ralph Pontillo [email protected]

Executive Editor John Krahe [email protected]

Managing Editor & Karen Torres Senior Writer [email protected]

Contributing Angie Angus Writers Jessica Crocker Stephanie Fudurich Gregory P. Zimmerman

Photography iStockphoto.com

Advertising Sales Lori Maus Joint 814/833-3200 or 800/815-2660 [email protected]

Design, Production Printing Concepts Inc. & Printing [email protected]

2 < www.mbausa.org < February 2011

Page 7: February 2011 Business Magazine

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SPOTLIGHT > by Karen Torres

• Have a vision with regards to the direction of the organization. These visions then must be converted to strategies that will grow the business, keeping the organization one step ahead of the industry and lead to continued success.

Of all the company presidents/CEO in the country who do you most admire? I would have to say the one that jumps right out at me: Warren Buffett. Buffett has had an uncompromising work ethic from a very young age that has led to his continued success. Regardless of his wealth and accomplishments, he has remained unusually humble and has donated billions of dollars to charity. He keeps his personal life as simple as possible, yet his business ventures are brilliantly strategic. He is a genius investor and decision-maker.

What was the best business advice you ever received? Know your competitors’ products and their capabilities, and then keep a step ahead of them.

What management book would you recommend? Think and Grow Rich by Napoleon Hill. Although the book’s title seems to be about growing rich with wealth, Hill details how to enrich your confidence and utilize skill sets even more effectively. In addition, Think and Grow Rich details the steps to achieving your goals, which is not only effective in running a business but also one’s personal life.

As a longstanding member and 1971 chairman of the Manufacturer & Business Association, how would you describe the importance of the Association to your organization? My relationship with Dana Jones, Howard Kelly, Ray Weber, Claudia Haller and Ralph Pontillo, Association directors, gave me an expansive overview of large and small companies, which assisted me in the operation of the Erie Strayer Company.

The Association also provides informative materials/publications that are valuable resources as well as conducts forums that allow our business community to keep current on hot button issues.

February 2011 > www.mbausa.org > 3

Page 8: February 2011 Business Magazine

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Off-Site Storage:With the combined cost of labor, real estate, and technology, managing all of your vital documents on-site can be an expensive and time consuming process - a process that is likely affecting your bottom line. Archival Solutions, Inc. provides off-site record storage to businesses seeking a more convenient and cost-effective method of storing and retrieving records. At Archival Solutions, Inc., all records are securely stored in our warehouse, which is conveniently located on Seventh and Parade streets. The facility features a state-of-the-art security system and a fi re protection system. File Tracking Technology:Archival Solutions, Inc. offers its clients the benefi t of the most advanced systems of indexing and tracking. From entire boxes to individual sheets of paper, Archival Solutions, Inc. creates a unique barcode for all of your documents, allowing us to constantly track their movements both in and out of our storage facility. Our tracking technology also compiles a history of all transactions, so you know not only where your records are, but also where they’ve been. Retrieval and Delivery:Whether it is making a crucial medical decision or executing a new business strategy, we know that it is essential that you have quick and easy access to all of your important documents. At Archival Solutions, Inc., retrieval of your records is always only a phone call, fax, or an e-mail away. At your service 365 days a year, our highly trained personnel can promptly handle your request. Archival Solutions, Inc. provides swift and effi cient pick-up and delivery service to all of its clients, including regular deliveries twice daily and 24-hour emergency service on request.

Does your business have the money to invest in the expensive record management equipment and software required to effectively manage all of its documents? Because we stay abreast of the most recent developments in record management technology, ASI can offer its clients the benefi ts of the most advanced systems of indexing and tracking. Every fi le in our facility can be located and retrieved in seconds. By specializing in record management technology, ASI is able to offer its clients this service at a fraction of what it would cost to install a similar system on-site.

Vital Record Storage

4 < www.mbausa.org < February 2011

Page 9: February 2011 Business Magazine

Business BuzzDEPARTMENTS > Contact: Jessica Crocker

BATES COLLISION EARNS AWARD FOR SERVICE, SATISFACTIONBates Collision, Inc., in Erie was recognized as a 2010 AutocheX Premier Achiever for outstanding customer service and satisfaction at AutocheX’s ninth annual awards ceremony at the Mandalay Bay Convention Center in Las Vegas. The award honors collision repair facilities that demonstrate their commitment to customer service as reflected by their customer satisfaction scores.

The class of 2010 Premier Achievers in-cludes top-performing collision repair facilities of all sizes, from small, family run businesses to large consolidators, and represents 37 states across the United States, as well as British Colum-bia. In an industry of nearly 50,000 collision repair shops in North Ameri-ca, Bates Collision is one of fewer than 500 Premier Achiever winners in 2010.

DEPARTMENTS > Contact: Jessica Crocker

J.H. BENNETT MOVING & STORAGE INC.J.H. BENNETT MOVING & STORAGE INC.A Family Tradition Since 1914

814-456-5377 1-800-452-8668 1705 Raspberry Erie, PA 16502www.jhbennett-moving.com

Providing full-service relocation and transportation services...from anywhere in the U.S. ... to anywhere in the U.S.

Celebrating our 95th year in business!

J.H. BENNETT MOVING & STORAGE INC.J.H. BENNETT MOVING & STORAGE INC.A Family Tradition Since 1914

814-456-5377 1-800-452-8668 1705 Raspberry Erie, PA 16502www.jhbennett-moving.com

Providing full-service relocation and transportation services...from anywhere in the U.S. ... to anywhere in the U.S.

Celebrating our 95th year in business!

J.H. BENNETT MOVING & STORAGE INC.J.H. BENNETT MOVING & STORAGE INC.A Family Tradition Since 1914

814-456-5377 1-800-452-8668 1705 Raspberry Erie, PA 16502www.jhbennett-moving.com

Providing full-service relocation and transportation services...from anywhere in the U.S. ... to anywhere in the U.S.

Celebrating our 97th year in business!

Celebrating Our 97th Year

RALPH S. ALBERTS CO. FINDS NICHE IN NATURAL GAS INDUSTRYThe Ralph S. Alberts Co., Inc. (RS Alberts), a multifaceted custom molder located in Montoursville, is capitalizing on Pennsylvania’s burgeoning natural gas industry by adapting a decades-old process to the market’s current needs.

Best known for manufacturing products for amusement parks, RS Alberts is now manufacturing durable plastic well-pad liners used to contain spills at drilling sites. The well-pad lining, made from polyurea and polyurethane foam, is more durable, flexible and resistant to chemicals than traditional tarp liners. Because they can be reused and take half of the time to put down, the new liners — which contain no hazardous air pollutants or volatile organic compounds — are considered far superior to traditional tarp liners.

RS Alberts, with more than 50 years

of experience with spray foams and spray polyureas, specializes in injection molding, foam molding, hand casting, liquid resin casting, roto casting and thermal plastic rubber casting.

For more information, visit www.rsalberts.com.

PLASTIKOS, MICRO MOLD EXPAND FACILITIESPlastikos, Inc., an Erie-based custom injection molder, recently completed a cooperative facilities expansion with sister company and precision mold manufacturer, Micro Mold, Co. Inc. The expansion will improve efficiencies and increase production capabilities for both companies, which together are global leaders in the plastics industry.

Additionally, Micro Mold, which will accommodate production overflow from Plastikos as orders increase, will house the majority of the research

and development for both companies, including tool, engineering and materials sampling.

For more information, visit www.plastikoserie.com.

QUAKER STEAK & LUBE NABS NATIONAL BUFFALO WING TITLEQuaker Steak & Lube’s Buffalo-style chicken wings recently earned the Fest- ival Favorite award at the 2010 National Buffalo Wing Festival in Buffalo, New York. The 71,000 attendees made The Lube their overwhelming favorite, out-selling the 38 restaurants in attendance.

Quaker Steak & Lube, which served its first wing in 1976, owns or franchises 39 locations throughout the United States and Canada, including the Scott Enterprises franchise at 7851 Peach Street in Erie.

For more information, visit www.quakersteakandlube.com.

January 2011 > www.mbausa.org > 5

STAIRWAYS BEHAVIORAL HEALTH RANKED AMONG BEST PLACES TO WORK IN PAStairways Behavioral Health was recently named No. 18 among the Best Places to Work in PA for 2010, and is the only western Pennsylvania-based company to place within the top 20 on the list of companies with 250 or more employees. Rankings were announced during an awards dinner at the Lancaster County Convention Center in Lancaster, Pennsylvania.

This year’s award is the fifth for Stairways, which assists persons with mental health needs by providing comprehensive rehabilitation, treatment and supports. The organization also won Best Places to Work in PA accolades in 2005, 2006, 2007 and 2009.

For the complete list of the Best Places to Work in PA, visit the Web site bestplacestoworkinpa.com.

From left: Representing Stairways Behavioral Health at the awards presentation are: Brenda Sanford, HR Director Mike Lawson, Jennifer Wright, and 2009 Stairways Distinguished Service Award winner Yolonda Avery.

February 2011 > www.mbausa.org > 5

Page 10: February 2011 Business Magazine

Erie Offi ces1001 State Street, Suite 1300Erie, Pennsylvania 16501814-454-1997

Jamestown Offi ces500 Pine Street, Suite 14Jamestown, NY 14701716-483-0071Certifi ed Public Accountants

www.skmco.com

These letters mean something — better professionals provide better value.At Schaffner, Knight, Minnaugh & Company, P.C., we invest in our people so you can receive better service and better value. We attend national conferences, affiliate with the elite McGladrey Alliance, and seek continuing education to not only simply earn designations after our names, but to distinguish ourselves from the rest.

In turn, you benefit from new ideas and tried and true best practices from a high-profiled team of specialists. When you want a taste of the best soup money can buy, you know where to go.

Schaffner, Knight, Minnaugh & Company, P.C. ... World Class service for World Class clients.

Certified Public Accountants

The McGladrey Alliance is a premier a liation of independent accounting and consulting � rms. The McGladrey Alliance member � rms maintain their name, autonomy and independence and are responsible for their own client fee arrangements, delivery of services and maintenance of client relationships. The McGladrey Alliance is a business of RSM McGladrey, Inc., a leading professional services � rm providing tax and consulting services. McGladrey is the brand under which RSM McGladrey, Inc. and McGladrey & Pullen, LLP serve clients’ business needs. McGladrey, the McGladrey logo and the McGladrey Alliance signatures are used under license by RSM McGladrey, Inc. and McGladrey & Pullen, LLP.

IT’S NOT JUST ALPHABET SOUP.

Erie Offi ces1001 State Street, Suite 1300Erie, Pennsylvania 16501814-454-1997

Jamestown Offi ces500 Pine Street, Suite 14Jamestown, NY 14701716-483-0071Certifi ed Public Accountants

www.skmco.com

These letters mean something — better professionals provide better value.At Schaffner, Knight, Minnaugh & Company, P.C., we invest in our people so you can receive better service and better value. We attend national conferences, affiliate with the elite McGladrey Alliance, and seek continuing education to not only simply earn designations after our names, but to distinguish ourselves from the rest.

In turn, you benefit from new ideas and tried and true best practices from a high-profiled team of specialists. When you want a taste of the best soup money can buy, you know where to go.

Schaffner, Knight, Minnaugh & Company, P.C. ... World Class service for World Class clients.

Certified Public Accountants

The McGladrey Alliance is a premier a liation of independent accounting and consulting � rms. The McGladrey Alliance member � rms maintain their name, autonomy and independence and are responsible for their own client fee arrangements, delivery of services and maintenance of client relationships. The McGladrey Alliance is a business of RSM McGladrey, Inc., a leading professional services � rm providing tax and consulting services. McGladrey is the brand under which RSM McGladrey, Inc. and McGladrey & Pullen, LLP serve clients’ business needs. McGladrey, the McGladrey logo and the McGladrey Alliance signatures are used under license by RSM McGladrey, Inc. and McGladrey & Pullen, LLP.

IT’S NOT JUST ALPHABET SOUP.

Page 11: February 2011 Business Magazine

The most important asset of any business is its human capital – its employees. While many employers support that idea in theory, not as many know how to effectively protect and optimize this valuable asset.

When making corporate decisions, many employers focus on what they consider to be their biggest expenses: insurance costs, or the medical costs incurred by their employees. However, what they fail to realize is that, in many instances, the larger costs are usually incurred in absenteeism and/or presenteeism – that is, employees who are at work, but not productive.

Employers need to see that their most valued resource is their employees. The question is what can you do to help your employees want to stay, perform at their top level, and be more committed and focused on their job? In short, what do you have to do to develop high-functioning employees?

Employee health and health-care costs do not stand alone within an organization. Health plan costs cannot be viewed as a single budgetary line item. We now know that the cost of health care is not only a function of the individual’s health, but also the overall culture of a corporation.

Making an Investment in Human CapitalEmployers can develop, nurture and implement a culture of health and wellness. The workplace has a powerful influence on behavior at and away from work. Whether business leaders realize it or not, that influence extends beyond work into other aspects of life. By focusing on positive aspects of work, employers have a direct opportunity to improve individual health, even if they can’t afford specific “wellness” programs.

If employers look beyond health-care benefits as simply a cost to be managed and see them instead as a means to produce good health in the workplace, this investment can be greatly leveraged.

‘Real’ Wellness Incentives It is clear that many employees see the workplace as needing to play a leadership role in creating a healthier work force and helping to curb rising health-care costs. Some studies have shown that nearly 85 percent of employees say the workplace must play a leadership role in creating a healthier work force and lowering health-care costs.

High-performing employees don’t just happen; they emerge in an environment that promotes health as well as provides the motivation to gain the necessary skills to

perform well. When achievement at work is recognized and encouraged, it can lead employees to value and protect their health and well-being.

To put it another way: You cannot establish a culture of wellness simply by offering a wellness program or sponsoring a weight race. Studies indicate that there is a correlation between work that provides employees with control over their job and properly rewards their efforts and workplace health.

It makes sense that if employees can earn more rewards for being more productive, and get extra value by avoiding absences, the likelihood of both happening increases.

For more information about fostering a healthier work force, visit the UPMC Health Plan Web site at www.upmchealthplan.com.

Invest in Your Employees to Reap the Rewards of Lower Health-Care Costs

Health MattersEDITORIAL > by Stephanie Fudurich

Stephanie Fudurich is senior director, Health Management for UPMC Health Plan, which is part of the integrated partner companies of the UPMC Insurance Services Division. These include UPMC Health Plan, UPMC Work Partners, LifeSolutions, UPMC for You (Medical Assistance), and E-Benefits – and which offer a full range of insurance programs and products.

February 2011 > www.mbausa.org > 7

Page 12: February 2011 Business Magazine

Great business leaders are visionaries who possess a profound ability to recoGnize and capitalize on business opportunities to create successful orGanizations. they also understand that leadinG by example is one of the stronGest ways they can show their dedication to their company and their team. indeed, accordinG to a recent Business Magazine survey, the most souGht-after trait in a leader is that they inspire, followed by the hiGhly respected characteristics of honesty, inteGrity, sincerity and competence. based on these traits, here are the area business leaders whose names were submitted to the Business Magazine as consistently demonstratinG stronG leadership, inte-Grity, values, vision and commitment to excellence in their business dealinGs.

JOHN J. BARBERTitle: President and Chief Executive Officer Organization: Barber National Institute, which provides a wide range of programs and services for children and adults with developmental disabilities and their families. Each year, the organization, headquartered in Erie, helps more than 3,600 individuals reach their potential for fulfilling, productive lives.

Web site: www.drbarbercenter.org

JIM BERLINTitle: Founder and Chief Executive Officer

Company: Logistics Plus, headquartered in Erie, a global company with more than 150 employees, which offers a full range of logistics solutions and international supply chain management options to clients in the United States and worldwide.

Web site: www.logisticsplus.net

GERALD B. EIGHMYTitle: President

Company: American Turned Products (ATP), with manufacturing facilities in Fairview and Erie, Pennsylvania, which specializes in producing high-volume precision machining components used in a vast array of industries, including automotive and off-highway equipment, fluid-power systems, major appliances, oil and gas construction equipment, and medical applications.

Web site: www.atpteam.com

BUSINESSM A G A Z I N E

MOST ADMIRED CEOS OF 2011

“Can you really explain to a fish what it's like to walk on land? One day on land is worth a thousand years of talking about it, and one day running a business has exactly the same kind of value.”

— Warren Buffett

“Innovation distinguishes between a leader and a follower.”

— Steve Jobs

8 < www.mbausa.org < February 2011

Page 13: February 2011 Business Magazine

JEFF PLYLERTitle: Chief Executive Officer

Company: Plyler Enterprises, Inc. (Plyler Overhead Door Co., Door World of Hadley and Tri State Door of Pennsylvania), which offers a complete line of commercial and residential overhead doors, entry door systems, patio doors and enclosures, and replacement windows. The family owned Plyler Overhead Door Co. has been serving Erie and Crawford counties since 1967.

Web site: www.plylerdoor.com

NICHOLAS C. SCOTTTitle: President

Company: Scott Enterprises, a family owned hospitality company based in Erie, Pennsylvania. Its portfolio includes hotels, conference/banquet services, franchised restaurants as well as an indoor water park.

Web site: www.visitscott.com

DOUG STARRTitle: Owner and President

Company: ECCA Payroll + Business Solutions, a multi-faceted service bureau, headquartered in Erie, which focuses on payroll processing, tax filing and software development for businesses across the country.

Web site: www.goecca.com

PAUL D. VOJTEKTitle: Chief Executive Officer and Chief Financial Officer

Company: Erie Water Works (EWW), which operates, maintains and rehabilitates the water system for the Erie, Pennsylvania region, including its approximately 52,000 EWW customers.

Web site: www.eriewater.org

BILL HAGERTYTitle: Executive Director

Organization: EmergyCare, the largest nonprofit ambulance service in Pennsylvania providing comprehensive pre-hospital and medical transportation services for residents in a seven county area. Headquartered in Erie, its services include emergency ambulance response, non-emergency wheelchair and medical taxi transport, community ambulance stand-bys and emergency air medical services with LifeStar helicopter.

Web site: www.emergycare.org

JIM MARTINTitle: Erie Region President

Company: Northwest Savings Bank, a Pennsylvania-chartered savings bank, which offers a complete line of retail and business banking products as well as investment management and trust services. The Bank is a subsidiary of Northwest Bancshares, Inc., headquartered in Warren, and operates more than 170 community banking locations in Pennsylvania, New York, Ohio, Maryland and Florida.

Web site: www.northwestsavingsbank.com RONALD A. MAZANYTitle: President and Chief Executive Officer

Companies: Mazany Contract Interiors with locations in Erie, Pennsylvania and Jamestown, New York, a certified Teknion office furnishings dealership involved in planning, designing, and furnishing commercial environments. The Shred Center offers off-site document storage and high-volume shredding services for secure documents and files.

Web site: www.mazanyoffice.com

DON MOORETitle: Owner and Founder

Company: Decision Associates, an Erie, Pennsylvania-based consulting firm that specializes in strategic planning, marketing, organizational development and succession planning.

Web site: www.decisionassociates.net

“No person will make a great business who wants to do it all himself or get all the credit.”

— Andrew Carnegie

“In the end, all business operations can be reduced to three words: people, product and profits. Unless you've got a good team, you can't do much with the other two.”

— Lee Iacocca

“Good business leaders create a vision, articulate the vision, passionately own the vision, and relentlessly drive it to completion.”

— Jack Welch

February 2011 > www.mbausa.org > 9

Page 14: February 2011 Business Magazine

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Page 15: February 2011 Business Magazine

Training That Develops

Effective Leaders

A S S O C I A T I O N T R A I N I N G S C H E D U L E

As a leader in professional development and computer training programs for more than 20 years — the Manufacturer & Business Association’s expert trainers deliver the knowledge and skills you need to compete in today’s business world.

Supervisory Skills Series – Warren

Front row, from left: Ruth DeVore, Bonnie McClelland, Kelly Conti,

Renee Anthony, Angela Spencer and DiAnn Savko, Whirley Industries.

Back row, from left: John Geiger, Bill White and Roy Eastman, Whirley

Industries.

Blue Ocean Strategy Center

“Whirley DrinkWorks selection for supervisory training is an easy decision — the Manufacturer & Business Association. Our past class participants have retained the course material and become better, more informed leaders. Our instructor kept the class interesting, informative and gave real-world scenarios. Classmates bonded and formed their own network to help one another beyond the classroom. Our company, like many others, has unique problems. Our instructor was able to customize the program to suit our needs. We’ve had outside trainers that arrive at the last minute and are unprepared — not the case with Manufacturer & Business Association. There is never a need to ‘sell’ going to class; those teammates that have previously attended do the selling for us!”

— DiAnn SavkoHR Supervisor

Whirley DrinkWorks

Page 16: February 2011 Business Magazine

M A N U F A C T U R E R & B U S I N E S S A S S O C I A T I O N T R A I N I N G S C H E D U L E

March AprilProfessional Development

Supervisory Skills Series Course I 3/30 and 4/6 Course I (Meadville) 3/8 and 3/15 Course II 3/22 and 3/29 Course II (Williamsport) 3/16 and 3/17 Course II (Corry) 3/15 and 3/22 Price: Member $230, Nonmember $325Leadership for Team Leaders Course I 3/24 Price: Member $155, Nonmember $275Food Safety Certification 3/21 Price: Member $125, Nonmember $175HR Essential Certification Series: Compensation & Benefits 3/17 Price: Member $70, Nonmember $140

ComputerAccess 2003 Level I 3/10 Excel 2003 Level I 3/17 Excel 2003 Level II 3/29 Excel 2007 Level I (Williamsport) 3/1 Excel 2007 Level I 3/15 Word 2007 Level I (Williamsport) 3/2 Word 2007 Level III 3/22 Price: Member $155, Nonmember $275Access 2003 Level II (Two Days) 3/24 and 3/31 Price: Member $310, Nonmember $425NEW! E-Learning: Excel (10 to 11 a.m.) 3/16Price: Member $45, Nonmember $95NEW! Social Media Webinar (8 to 10 a.m.) 3/9Price: Member $30, Nonmember $60Windows 7 Basics (Half Day) 3/8 Price: Member $95, Nonmember $175

Executive Briefing This two-hour Blue Ocean Strategy Overview provides participants with a basic introduction to the concepts, tools and methodologies behind blue ocean strategy/value innovation.

Module I This one-day Blue Ocean Strategy Workshop provides participants with the building blocks to understand blue ocean strategy and it will likely provide them with a mindset change about how they view their competitive landscape. Prereq-

uisite: Participants must have read Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant.

Module 2 (Three Days) – 8 a.m. to 5 p.m. March 1 and 2, and 8 a.m. till noon March 3 Price: Member $950, Nonmember $1,900

During this three-day “action learning” workshop, participants learn the advanced application of the blue ocean strategy/value innovation tools, methodologies and frameworks. The course is

focused on experiential learning, whereby teams of participants work through the entire blue ocean strategy process in a highly condensed fashion, on an instructor-provided product or service. Prerequisite: Module 1.

Module 3This one-day Blue Ocean Strategy Workshop provides participants with the building blocks to understand how to validate, select, communicate and execute a successful and sustainable blue ocean strategy. Prerequisites: Modules 1 and 2.

For upcoming class information or to register, visit mbausa.blueoceanstrategy.com.

Professional DevelopmentSupervisory Skills Series Course I (St. Marys) 4/19 and 4/20 Course II 4/20 and 4/27 Course II (Meadville) 4/26 and 5/3 Course III 4/26 and 5/3 Course III (Williamsport) 4/6 and 4/7 Course III (Corry) 4/12 and 4/19 Course IV (Williamsport) 4/27 and 4/28 Price: Member $230, Nonmember $325Leadership for Team Leaders Course I (Warren) 4/15 Course II 4/7 Price: Member $155, Nonmember $275Food Safety Certification 4/18 Price: Member $125, Nonmember $175HR Essential Certification Series: Employment Law — What HR Should Know 4/21 Price: Member $70, Nonmember $140

ComputerAccess 2003 Level III 4/14 Excel 2003 Level I 4/21 Excel 2003 Level III 4/5 Excel 2007 Level II 4/7 Excel 2007 Level III 4/26 PowerPoint 2007 Level I 4/19 Word 2007 Level I 4/12 Word 2007 Level III 4/28 Price: Member $155, Nonmember $275NEW! Social Media Webinar (8 to 10 a.m.) 4/27Price: Member $30, Nonmember $60

Page 17: February 2011 Business Magazine

M A N U F A C T U R E R & B U S I N E S S A S S O C I A T I O N T R A I N I N G S C H E D U L E

May TrainingProfessional Development

Supervisory Skills Series Course I 5/5 and 5/12 Course II (St. Marys) 5/10 and 5/11 Course III 5/18 and 5/25 Course III (St. Marys) 5/31 and 6/1 Course IV 5/17 and 5/24 Course IV (Corry) 5/10 and 5/17 Course V (Williamsport) 5/18 and 5/19 Price: Member $230, Nonmember $325Leadership for Team Leaders Course II (Warren) 5/13 Course III 5/26 Price: Member $155, Nonmember $275Food Safety Certification 5/15 Price: Member $125, Nonmember $175HR Essential Certification Series: Discrimination & Harassment in the Workplace 5/12 Price: Member $70, Nonmember $140

ComputerAccess 2003 Level I 5/19 Excel 2003 Level I 5/17 Excel 2007 Level I 5/10 Excel 2007 Level II 5/26 Word 2007 Level III 5/24 Price: Member $155, Nonmember $275QuickBooks 2010 5/27 Price: Member $175, Nonmember $295NEW! E-Learning: Excel (10 to 11 a.m.) 5/11Price: Member $45, Nonmember $95NEW! Social Media Webinar (8 to 10 a.m.) 5/25Price: Member $30, Nonmember $60

Regional LocationsAll courses are held at the MBA Conference Center in Erie, unless otherwise noted.Erie: MBA Conference Center 2171 West 38th Street

Butler: Fairfield Inn Route 8 at Route 422

Corry: Corry Higher Ed Council 221 North Center Street

Dubois: Dubois Diner 150 W. DuBois Avenue

Franklin: Franklin Industrial & Commercial Development Authority 191 Howard Street

Kittanning: Armstrong Educational Trust 81 Glade Drive

Meadville: Hampton Inn Route 322

St. Marys: Community Education Council 4 Erie Avenue, Suite 200

Warren: Warren/Forest Higher Education Council Curwen Building, 2nd Floor 185 Hospital Drive

Williamsport: MBA Williamsport Office 2401 Reach Road

Onsite TrainingGet more flexibility and convenience with our onsite training options.

Join the hundreds of companies who’ve found our onsite training options to be the most cost-effective and convenient choice for group instruction.

• Flexible and convenient scheduling • Customized instruction • Eliminate travel expenses

Whether you need a half day or full day of professional development or computer training — let our expert trainers come to you!

Course RegistrationContact Ann Miaczynski at 814/833-3200, 800/815-2660 or [email protected] to register or for more information on upcoming courses. Online registration also is available at www.mbausa.org.

Certified Supervisory Skills Series: “Everything from the material provided to the instructors was first class. I still find myself referring back to the material with all my notes for direction on situa-tions. The class size was small enough to receive individual attention but large enough to have a diverse range of thoughts and ideas from the oth-ers. The instructors were enthusiastic, very pro-fessional and kept your interest at all times, you couldn’t ask for anything better.”

— Jack Tomasik, Signal-Tech

Page 18: February 2011 Business Magazine

How you need it. When you need it. Where you need it.

COMPUTER TRAINING

Word Levels I, II, III

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Now Offering E-Learning CoursesAre you on a need-to-know basis? As in, you only have time to learn the things you absolutely need to know? You’re not alone. Our increasingly busy work days don’t leave much time for learning new programs or keeping up with changing technology – until now.

Our new one-hour Microsoft Excel E-Learning Course covers all the essentials, and all from the comfort of your own office. Master the seven basic steps to formulas, the AutoSum and AutoCalculate functions, and sorting and filtering features in less than 60 minutes.

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For more information, visit www.mbausa.org. Upon registration, you’ll receive a PDF of the course manual and a link to join the online presentation.

Page 19: February 2011 Business Magazine

In May 1998, the United States filed a civil antitrust lawsuit against Microsoft Corporation claiming that the company violated the Sherman Act by unlawfully maintaining a monopoly involving its operating system. Twenty states followed the federal government’s lead filing similar suits against Microsoft. All of the lawsuits were consolidated creating a behemoth of an action against Microsoft in the District Court for the District of Columbia. Because of the enormity of the lawsuit, the District Court ordered mediation before distinguished Judge Richard Posner. However, this effort by the court failed to produce a settlement.

MediationAfter several court rulings and much controversy involving the decisions of the court and the rulings of several judges, a new judge recommended that the parties once again attempt to settle the case. Jaded by their experience mediating the case before Judge Posner, the parties tried face-to-face negotiations that ultimately failed. Finally, the parties recommended to the judge that Eric D. Green, a trained and talented mediator, be appointed to mediate the dispute.

The judge gave Mr. Green and the parties three weeks to resolve their dispute, which had been pending for over three years. From October 12, 2001 until November 2, 2001, Mr. Green and his staff held numerous mediation sessions with the parties. Oftentimes, the parties met privately in caucuses with Mr. Green and, at other times, in joint sessions. During the process, the parties explored not only those issues that were initially alleged in the complaints filed by the government and the states, but they also began to identify other roadblocks and issues that needed to

be overcome to reach an agreement. On November 6, 2001, a proposal was submitted to the court that had the backing of Microsoft, the federal government, and all but nine states. For the most part, however, a case that many thought was seemingly impossible to settle had been resolved through mediation.

A Growing TrendOver the past two decades, the idea of resolving large and small disputes between commercial parties through non-binding mediation has been given much attention by the courts and many of the largest corporations in the United States. Many courts now require mediation before trial and, in many cases, before the parties have even engaged in lengthy and costly discovery procedures such as depositions. Pepperdine Law School’s Straus Institute For Dispute Resolution reports that parties who resolve their cases through mediation often find it less expensive than traditional litigation, that it results in expedited settlements, and that the parties report greater satisfaction with the outcome versus a court-imposed decision.

How it WorksMediation, unlike arbitration, is a voluntary and non-binding process. A trained mediator uses his or her training and experience to facilitate a dialogue between the parties that in the great majority of cases results in a resolution. Importantly, the mediator does not have the authority to render a decision, and the parties are not compelled to reach an agreement. However, an effective mediator is often able to bring parties together on issues they previously could not resolve on their own. In addition, when two commercial parties are the litigants, mediation often allows the parties to maintain important business

relationships that might otherwise be fractured during a protracted lawsuit.

In ConclusionAlthough courts are increasingly encouraging parties to find alternate ways to resolve their disputes such as mediation, sometimes litigation is the only viable solution and the only way for a business to protect its interests. However, courts around the country are reporting increasingly positive results from properly facilitated mediations, even in disputes that were previously thought of as deadlocked.

As Eric Green aptly stated, “further development and evolution may bring us to the point where dispute resolution based on communication, consensus, negotiation, and mediation will be recognized as a higher and better form of dispute resolution than even the civil justice system we rightfully treasure today.”

For more information about mediation and alternative dispute resolution, please contact Gregory Zimmerman at MacDonald, Illig, Jones & Britton, LLP at 814/870-7663 or [email protected].

Legal BriefTrue Leaders Often Find Another Way to Resolve Their Commercial Disputes

EDITORIAL > by Gregory Zimmerman

Gregory Zimmerman is a trained mediator, approved by the U.S. District Court for the Western District of Pennsylvania, and a partner practicing in the litigation department at MacDonald, Illig, Jones & Britton, LLP.

February 2011 > www.mbausa.org > 11

Page 20: February 2011 Business Magazine

Patty Smith is the director of Employee Benefit Services at the Manufacturer & Business Association.

Insurance Postings from Patty

HR ConnectionRESEARCHERS SAY MODEST SALARY INCREASES ARE EXPECTED IN 2011U.S. employees can expect median base salary increases of 2.8 percent in 2011, according to a new survey by the Hay Group, a global consulting firm. Planned increases in 2011 also are at 2.8 percent for management/professional and support positions. Executives and skilled trade jobs come in slightly lower at 2.7 percent.“Relatively speaking, a forecasted median 2011 base salary increase of 2.8 percent is good news for employees who, over the past two years, saw the lowest salary increases in decades,” noted Tom McMullen, Hay Group’s North American Reward Practice Leader.

MANY FAMILY BUSINESSES OPTIMISTIC BUT UNPREPARED, SURVEY FINDSFamily firms around the world are confident about their future prospects, but many aren’t doing enough to prepare themselves for the years

ahead, according to the global Family Business Survey conducted by PwC of Pricewaterhouse Coopers International Limited. Nearly half still don’t have a succession plan and of those that do, only 50 percent have decided who will take over the top job.Although a surprisingly large number

of family firms have seen demand for their offerings increase during the past 12 months (modest growth: 32 percent, significant growth: 16 percent), 34 percent have seen a reduction in demand, up from 10 percent in 2007 when PwC first conducted the survey.

An amendment to the interim final regulations under the Patient Protection and Affordable Care Act allows group health plans, which enter into a new policy, certificate or contract of insurance (switch health insurance companies) and buy the same level of coverage from a new issuer, to maintain grandfathered status. At this time, the new amendment applies to changes to group health insurance coverage that are effective on or after November 15, 2010 — the date the amendment was made available for public inspection. Therefore, groups whose new coverage became effective prior to the effective date of this amendment remain subject to the original rule — that a change in issuers after March 23, 2010 will cause a loss of grandfather status. The regulating Departments have requested comment on the prospective-only application of the amendment. For more information, contact me at 814/833-3200, 800/815-2660 or [email protected].

CONGRATULATIONS to all Admired CEOs and a special CONGRATULATION to

Jim McBrier at Builders’ Hardware & Specialty from your friends at Citizens Bank!”

CONGRATULATIONS to all Admired CEOs

and a SPECIAL

CONGRATULATIONS to

Nick Scott Scott Enterprises

ANDJim Berlin

Logistics Plus!

12 < www.mbausa.org < February 2011

Page 21: February 2011 Business Magazine

The staff and Board of Directors of Erie Water Works salute and thank Paul Vojtek for his outstanding leadership.

A SpecialThanks to Our Source of Success.

DEPARTMENTS > Contact: Stacey Bruce

Effective delegation is an important leadership skill. Effective leaders use delegation to balance workloads and provide staff development opportunities.

In fact, successful delegation of authority will help you help your reporting staff members succeed when they are most empowered. That’s why it’s important to consider the following tips to ensure that your employees are as effective as possible:

• Give the person a whole task to do. (If you can’t give the employee a whole task, make sure they understand the overall purpose of the project or task. If possible, connect them to the group that is managing or planning the work. Staff members contribute most effectively when they are aware of the big picture.)

• Make sure the staff person understands exactly what you want them to do. Ask questions, watch the work performed or have the employee give you feedback to

make sure your instructions were understood.

• If you have a picture of what a successful outcome or output will look like, share your picture with the staff person. You want to make the person right.

• Identify the key points of the project or dates when you want feedback about progress. This is the critical path that provides you with the feedback you need without causing you to micromanage your direct report or team. You need assurance that the delegated task or project is on track.

• Identify the measurements or the outcome you will use to determine that the project was successfully completed. (This will make performance development planning more measurable and less subjective, too.)

• Finally, determine, in advance, how you will thank and reward the staff person for their

successful completion of the task or project you delegated.

Successful delegation of authority as a leadership style takes time and energy, but it’s worth the time and energy to help employee involvement and employee empowerment succeed as a leadership style.

For more information about this topic or any HR-related matter, please contact me at 814/833-3200, 800/815-2660 or [email protected].

Tips for Effective Delegation

Stacey Bruce is a PHR-certified HR generalist and Human Resource supervisor at the Manufacturer & Business Association.

With 16 years experience, Ken Polk has helped businesses succeed across Erie, PA and Jamestown, NY.

Ken Polk, District Manager814-460-4570 | [email protected] ADP logo, ADP, and The business behind business are registered trademarks of ADP, Inc. ©2010 ADP, Inc.

Professional solutions with a personal touch.

ADPUMA10041 Erie PA Ad.indd 2 01/09/10 2:08 PM

Congratulations to Bill Hagerty at EmergyCare

on your nomination as "Most Admired CEO"

from your friends at ADP!

February 2011 > www.mbausa.org > 13

Page 22: February 2011 Business Magazine

Strength in Numbers

Business Law • Litigation • Bankruptcy & Creditors’ Rights • Labor & Employment • Environmental • Intellectual Property

Health Care • Government & Municipal • Project Finance • Family Law • Trusts & Estates • Tax • Real Estate • Construction

M a c D o n a l d I l l i g J o n e s & B r i t t o n L L P

100 State Street • Suite 700 • Erie, PA 16507 • MacDonaldIllig.com • 814-870-7600

Steven C. Beckman, Partner Mark J. Shaw, Partner Russell S. Warner, Partner Robert E. Gandley, Partner

Federal and state environmental laws impose stringent and complicated requirements on today’s businesses and individuals. With over 65 years of combined experience and the largest Environmental Law practice group in northwestern Pennsylvania, the attorneys of MacDonald Illig have the knowledge, experience and resources necessary to help you overcome your environmental challenges, whatever and

wherever they may be in Pennsylvania, Ohio and New York.

Page 23: February 2011 Business Magazine

EDITORIAL > by Angie Angus

Angie Angus is the manager of BOS Programs and Support Services.

This article is part of a series that features excerpts from the international best-selling book, Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant, by authors W. Chan Kim and Renée Mauborgne.

The Six Path Framework offers six paths that employers can explore in order to break out of the industry created boundaries in which they compete. This systematic approach allows companies to consider each path to see if a new market opportunity lies at the end of it. The paths are: alternative industries, strategic groups, buyer groups, complementary products and services, functional-emotional orientation of an industry, and time. This article considers looking at other strategic groups within your industry.

Most industries are comprised of strategic groups that compete against each other for customers. Companies within a strategic group pursue a similar strategy and can usually be divided using two criteria: price and performance. Typically, a jump in price tends to bring a corresponding jump in performance. This creates the high-end, high-priced market segment, compared to the lower-end, lower-priced segment.

When you are examining this path, ask these questions. What are the strategic groups within my industry? Why do customers buy up into the higher-end group or buy down into the less expensive group?

Breaking the Mold of the Fitness Market The exercise franchise Curves explored these questions and has experienced enormous success. Curves is a women’s fitness company that began franchising in 1995, in what most people thought was a saturated market. Since then, it has grown to have more than 4 million members and 10,000 locations in 70 countries. It is now the largest fitness franchise in the world!

How Did Curves Become So Successful Entering a Saturated Fitness Market? Prior to Curves, the fitness industry was comprised of two major market segments. One segment contained fitness clubs, such as LA Fitness and Ballys. These private exercise clubs offered cardio and weight training equipment, scheduled classes, locker rooms, pools, saunas, whirlpools, juice bars, and the opportunity to meet other singles. The lower market segment was made up of home exercise programs. This entailed exercise books, DVDs and magazines. The two segments offered services at opposite extremes in the industry. They also were significantly divided in cost. The high-end heath clubs were expensive to join, while the in-home options were very inexpensive.

Curves found that the sole reason that most women traded up to the higher market segment was because it was too difficult to get motivated to exercise at home. The ones who traded down for home exercise programs didn’t have the time to devote two hours to a health club and didn’t want the extras offered at these clubs.

So, Curves offered the best of the two market segments and eliminated everything else. The result was that they offer a simple workout room with only changing areas. The room has uncomplicated exercise equipment in a circle to foster socializing and a supportive environment. The workouts are 30 minutes and incorporate cardio, muscle toning and stretching. The facility also is for women only, and membership is very affordable at around $30 a month.

Curves decided to avoid the tunnel vision caused by industry created boundaries within market segments. By examining the markets within their industry, they were able to unlock demand to an entirely new group of noncustomers and create remarkable profitable growth.

Next month: Path 3 – Looking Across the Chain of Buyers

If you are interested in learning more about how your company can explore blue oceans of opportunity, please visit mbausa.blueoceanstrategy.com or contact me at [email protected].

Consider the Strategic Groups Within Your Industry to Unlock New Demand

February 2011 > www.mbausa.org > 15

Page 24: February 2011 Business Magazine

I-79 at McKean ExitMcKean, PA 16426814.476.7717PlylerDoor.com#29639

The Plyler Enterprises Team

Je�, We're so proud to celebrate with you your achievement of being honored as one of the 2011 Business Magazine's Most Admired CEOs. Thank you for setting the quality standards that we live by daily, and for your tremendous contributions to our community.

Because it's more than your name on the door ... TM

WHEN SHOULD I HAVE MY EMPLOYEES SIGN A NON-COMPETE AGREEMENT? For a non-compete agreement to be enforceable, there must be “consideration,” which is a legal term for an exchange of value. For non-compete agreements obtained from newly hired employees, Pennsylvania courts have determined that the offer of initial employment is sufficient consideration or benefit to the employee in exchange for agreeing to not compete with the employer should the employment relationship terminate. For existing employees, however, additional consideration is required to make an agreement enforceable. When employers obtain non-compete agreements with longstanding employees without providing anything of value in return, they are obtaining an unenforceable agreement. While the additional consideration does not have to be of tremendous value, it must provide a real benefit that the employee was not otherwise entitled to receive.

ARE NON-COMPETE AGREEMENTS AFTER AN ACQUISITION ENFORCEABLE?As with many answers to legal issues, it depends. If the acquisition is a stock purchase and the acquired company keeps a separate existence, the non-compete agreement should not be affected. The company will still be around to enforce the agreement. However, when a company is merged into another company, or where the acquisition takes the form of an asset purchase, the answer is less clear.

Under Pennsylvania law, non-compete clauses in employment agreements are not assignable to successor employers unless there is either an explicit provision contained in the agreement making it assignable, or evidence that the employee consented to the assignment.

SHOULD I HAVE ALL OF MY EMPLOYEES SIGN A NON-COMPETE AGREEMENT? Employees who do not have an essential function in the company typically should not be asked to sign non-compete agreements since it is difficult to establish a legitimate business purpose in doing so and may prevent the individual from being able to make a living.

Legal Q&A

Congratulations To

Jim Berlin From The

Entire Logistics Plus

Family

Coming soon...

March 2011 WILD issue!

16 < www.mbausa.org < February 2011

Page 25: February 2011 Business Magazine

Whether you call it a non-competition, confidentiality, or non-solicitation agreement, these are all restrictive covenants that employers use to prevent employees from taking proprietary information and using it in a way that may negatively affect the individual’s prior employer.

When a company believes that a former employee is violating such an agreement, it often will ask the court for injunctive relief. If granted, the former employee may be ordered to stop certain activities until the court determines the validity of the agreement.

In a recent case, PharMethod Inc. v. Caserta, the Third Circuit Court of Appeals vacated a district court’s preliminary injunction, finding that the lower court did not sufficiently evaluate and support its decision to enforce a non-competition agreement.

What came out of this appeal was basically a checklist of criteria that the Third Circuit believes employers should have in their restrictive covenants to support the imposition of an injunction related to a non-competition agreement.

The Third Circuit stated that a restrictive covenant should be limited to the protection of the legitimate business interest of the employer, and should not be overly broad in either a temporal or geographic respect; a confidentiality agreement should protect proprietary information, including trade secrets, and should not be extended in an attempt to protect information that is otherwise publically available; and non-solicitation covenants should preclude a former employee’s solicitation only of actual or probable customers, and not speculative ones.

Therefore, employers should recognize that restrictive covenants that go beyond these boundaries may be subject to revision by the courts or found unenforceable.

For more information about non-compete agreements, please contact me at 814/833-3200, 800/815-2660 or [email protected].

DEPARTMENTS > Contact: Tammy Lamary

Is Your Non-Compete Agreement Enforceable?

Tammy Lamary is Labor & Employment Counsel for the Manufacturer & Business Association’s Legal Services Division.

February 2011 > www.mbausa.org > 17

Page 26: February 2011 Business Magazine

ELECTRIC RATE CAPS EXPIRED JANUARY 1, 2011. Discover what hundreds of other members, small and large alike, have found by joining the Employers’ Energy Alliance of Pennsylvania, Inc., a subsidiary of your Manufacturer & Business Association.

Get significant cost savings with no long-term contract to sign and your energy provider stays the same. Energy savings made simple.©

To request a savings analysis or for additional information, call us today at 814/833-3200 or 800/815-2660, or visit www.eeapa.com.

A subsidiary of the Manufacturer & Business AssociationBlue Ocean Strategy Center

Employers’ Energy Allianceof Pennsylvania, Inc.

IT’S TIME TO ACT!

Page 27: February 2011 Business Magazine

OntheHillDEPARTMENTS > Contact: Anna McCauslin

Anna McCauslin is the state government relations representative for the Manufacturer & Business Association in Harrisburg. Contact her at 717/525-7213 or [email protected].

published ways of saving money in the Commonwealth’s operations.

Education: One of Governor Christie’s favorite topics is education, which has garnered significant media attention for his ongoing scuffles with teacher’s unions. Aside from cutting $820 million from education in his first budget, Christie has asked teachers and their unions to agree to a salary freeze. When some school budgets were being considered, Christie took to the airwaves to urge citizens to vote against any school budget that included raises for teachers.

Conversely, the 2009-2010 budget passed by the legislature and signed by former Governor Ed Rendell gave the Pennsylvania Department of Education a $250-million increase, which included a 4.5-percent increase in basic education and 1.3-percent increase in the overall department budget. The budget for the Department of Education is more than $10 billion, which is nearly 36 percent of the total state budget.

Education spending likely will be one area that Governor Corbett will choose to cut. Basic education alone is $5 billion, half the department’s budget. Indeed, some studies that show Pennsylvania’s public schools are not getting the value — or results — from what is being invested. Governor Corbett also will be in office this year when Pennsylvania’s public teachers renegotiate their contracts.

Public Pensions: Just as Pennsylvania’s pensions have been one of the biggest problems facing the state, it also was a source of consternation in New Jersey. Governor Christie’s 12th promise to fix New Jersey took on the public pension. He wrote:

“I will eliminate pension and health benefits for part-time employees and political employees. Only full-time employees should qualify for a public pension.”

Christie also signed a law that changed the health-care benefits for public pensions that require members to contribute to their coverage.

Similarly, Governor Corbett will have to deal with bad decisions made by his predecessors to reform Pennsylvania’s pension system. In the lame-duck end to the 2009-2010 session, legislators passed a pension reform bill that does not include real reform; it re-amortizes the pension debt and passes it on to the next generations. We hope that the governor will tackle this issue and continue to seek reform where the legislature has failed to deliver.

One year before Tom Corbett was elected Pennsylvania governor, New Jersey voters elected Chris Christie as the first Republican governor in that state since 2001. With that, the rest of the nation watched to see what this brazen new governor would do. It quickly became apparent that Christie was a man of his word, slashing various projects and department budgets to close the budget gap.

Shortly after winning the election on November 3, 2009, Christie published 88 Ways Chris Christie Will Fix New Jersey on his campaign Web site, boldly stating the following as his first priority:

“I will change the way our state budgets its dollars by building our budget upward. I will first determine how much money we have, then determine our most important priorities, and then fund those top priorities. Less critical programs will have to wait.”

And, he did. In his first year in office, Christie:

• Passed a $10.7-billion state budget deficit;

• Cut $820 million in school funding;

• Saved $50 million privatizing some government functions;

• Placed a 2-percent cap on property taxes; and

• Reduced the New Jersey budget from $35.7 billion in 2009 to $29.4 billion in 2010.

Since then, Governor Christie paved the way for a wave of newly elected Republicans, demonstrating that budgets can be balanced by vigorously cutting, and not raising, taxes.

Similarities: New Jersey and Pennsylvania The comparisons between Corbett and Christie were noticed early in Corbett’s gubernatorial bid. Corbett and Christie are both lawyers, former U.S. Attorneys, pro-life advocates, and have both promised not to raise taxes during their time in office.

Christie, in fact, only raised some fees to generate revenue for the state. He also privatized state functions as part of closing the budget gap.

Governor Corbett, on the other hand, has not said if fee increases, such as vehicle registrations, would be permitted under his “no tax” pledge. But he has established a plan to privatize state liquor stores to close Pennsylvania’s much smaller, but still substantial, budget hole. There also are legislators and Attorney General Jack Wagner who have

New Jersey Governor Chris Christie: A Role Model for New Governors

February 2011 > www.mbausa.org > 19

Page 28: February 2011 Business Magazine

CONGRATULATIONS BILL HAGERTY

Most Admired CEOs 2011

The Board of Directors and Employees of EmergyCare extend their congratulations on this well-deserved recognition. We admire

your leadership, vision and dedication. Your commitment helps achieve our mission to provide life-saving pre-hospital care and comprehensive medical transportation services across the region.

Caring for our Community, One Patient at a Time www.emergycare.org

For his inspired leadership as

executive director of EmergyCare,

Inc., our community partner in

emergency medical services, we

are proud to honor William Hagerty

as one of the region’s 2011 Most

Admired CEOs.

Saint Vincent Health System 232 West 25 StreetErie, PA 16544(814) 452-5000

Executive Director Emergycare, Inc.

William Hagerty

ASSOCIATION PAYS TRIBUTE TO LATE REED MANUFACTURING BOARD CHAIRMANThe Manufacturer & Business Association extends its deepest sympathies to the family and friends of manufacturing leader Ralph T. Wright, who passed away December 27, 2010 in Sarasota, Florida. He was 72.

Wright was chairman of the Board of Reed Manufacturing Company, an Erie-based manufacturer, which has been producing fine tools for worldwide professional trades since its founding in 1896 by Carl Reed. Purchased in 1902 by Reuben Wright, the company continues to be operated by the Wright family.

ERIEZ® APPOINTS GENERAL MANAGER OF HYDROFLOW® PRODUCT LINE

Eriez®, a world authority in advanced technology for liquid and solid materials separation applications, has appointed Barry L. Nehls as general manager - Hydroflow® product line of filtration and fluid recycling equipment. Nehls will oversee all aspects of Eriez’ new Hydroflow line, including marketing and sales.

Eriez, headquartered in Erie, Pennsylvania, recently acquired Maumee, Ohio-based Hydroflow Filtration Systems and SED Fluid Recycling Equipment. Hydroflow and SED products are now being sold under the Eriez brand name.

Nehls, a current patent holder with more than 37 years of experience in the industrial metalworking filtration industry, will remain as general manager of the Maumee/Toledo-based operations.

ERIE COUNTY CONVENTION CENTER AUTHORITY HIRES EXECUTIVE CHEFThe Erie County Convention Center Authority (ECCA) recently welcomed David Robbinson as the new executive chef of the Bayfront Convention Center (BCC). As a multitalented chef with more than 30 years of experience, Robbinson will oversee all culinary operations for the 155,000-square-foot, state-of-the-art BCC.

People Buzz

20 < www.mbausa.org < February 2011

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Congratulations John Barber One of Erie’s “Most Admired CEOs”

With your dedication, vision and leadership, we are making dreams come true for 3,600 children

and adults with developmental disabilities.

With grateful appreciation, Barber National Institute Board of Directors

www.BarberInstitute.org

He will be responsible for menu development, production, catering, personnel, inventory and financial aspects for the facility, which opened in 2007. Robbinson also will serve as a liaison to the food and beverage operations at the 7,000-seat Tullio Arena and the 2,200-seat Warner Theatre.

G.W. BECKER, INC. HIRES ENGINEERING MANAGERHermitage, Pennsylvania-based G.W. Becker, Inc., a manufacturer of overhead cranes, has hired Brian Westerhof as engineering manager. Westerhof brings nearly 20 years of crane engineering design experience to his responsibilities of leading all aspects of the company’s engineering requirements, which include product engineering and product development. He also is a committee member of ASME B30.2 – Overhead and Gantry Cranes (Top Running Bridge, Single or Multiple Girder, Top Running Trolley Hoist), and also a qualified engineering delegate to the Crane Manufacturers Association of America.

EDITORIAL > Contact: Karen Torres

Congratulations to all the Most Admired CEOs!

Northwest Direct: 1-877-672-5678www.northwestsavingsbank.com

Well Done!Jim Martin Erie Region President

Congratulations on being honored as one of Business Magazine’s Most Admired CEOs

20 Erie County o� ces to serve you

NWSB-000454-04 Congrats ad Jim Martin.indd 1 1/18/11 11:46 AM

February 2011 > www.mbausa.org > 21

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PRSRT STD US POSTAGE

PAID ERIE, PA

PERMIT #199

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