With 2011 in the rearview mirror, it’s time to focus on 2012. What lies ahead for Spokane? What will happen, what might happen, and how will it affect the business community?

Let’s look into the crystal ball, shall we?

The huge Caterpillar plant on the West Plains is set to be up and operating by July. We recruited this company last year, and the distribution center is taking shape nicely along I-90., as you can see to the right (click on the image for a larger view).

Speaking of expansion, the Spokane Public Facilities District (PFD) is looking to expand and complete the Spokane Convention Center in order to attract larger conventions. Expansion will require a public vote. Stay tuned.

Also looking to expand is the WWAMI Program at WSU Spokane. Currently, first, third and fourth-year medical students study at the Riverpoint campus. WSU, GSI and many others are working to secure the second year of studies, bringing more students to our area, meaning more potential customers for you!

The legislative session in Olympia begins next week. We’ll take a delegation Jan. 18 – 20 to advocate on behalf of Eastern Washington. Last year, our trip was a success. This year, we’ll again be advocating for the remaining amount of money needed to fund the Biomedical and Health Sciences Building at WSU Spokane. We’ll also pursue funds to continue construction on the North Spokane Corridor to I-90. You can read our entire State Agenda here (PDF). Will we get what we want? With the budget problems the state faces, our work is cut out for us.

Ten years ago many folks said the North Spokane Corridor would never be built, and there would never be four years of medical education in Spokane. Look where we’re at now: The corridor is half built and construction of the biomedical building at WSU Spokane is ongoing. We’re on the cusp of creating a greater community.

While we’re on the subject of advocating in Olympia, GSI has been advocating for reform to unemployment insurance and workers’ compensation. We’re proud to say our efforts – and the efforts of many others across the state – will see the payoff this year. Governor Gregoire recently announced that workers’ compensation rates will not increase in 2012. Good news!

We hope to hear whether Fairchild Air Force Base will be home to the new KC-46A tankers in 2017. Boeing is currently on track to deliver 18 of its new tankers that year, and we hope to know before 2012 is over whether Fairchild will be home to some of the new tankers. Fingers crossed!

Speaking of Boeing, the company plans to build the new 737MAX in Renton, which is great news for the state. The demand for the planes exceeds the capacity of the Renton plant, so the Spokane region is ready to support overflow. Our region’s 80-plus aerospace supply companies could benefit and see increased operations in 2012. If Boeing decides to expand due to the increased demand, who knows, Spokane could be next on its list! This is all part of Project Pegasus, Governor Gregoire’s program aimed at keeping Boeing in Washington.

Some 2012 predictions are easy, like saying Ag Expo and Farm Forum will once again be a huge success, STEM education will be a hot topic in the business and education communities, and our area’s impressive small businesses will continue to be the heart of our economy.

And Spokane will continue to be the place to live and work. Here’s to 2012!

Our President and CEO, Rich Hadley, was quoted in the paper regarding Tuesday’s late breaking news that Providence Health & Services will bring 250 billing jobs to Spokane – from clerks to executives, as the story says. Saying it was a great “gift” for Spokane got us thinking.

What are some other recent “gifts” Spokane has received? Since it’s the gift-giving and receiving time of year, let’s take a look.

Some gifts our community and region received this year, in no particular order, include….

…..A superb harvest. Area farmers experienced great yields and an immensely successful season. Perhaps this is why the 35th Annual Ag Expo sold out so soon.

…..Caterpillar announcing it is expanding to Spokane County. The machinery manufacturer announced in June it will bring about 150 jobs to our area and construct a distribution center along Interstate 90 in West Spokane County. The photo above was taken in late October of this year.

…..$35 million for the Biomedical and Health Sciences Phase I Building at WSU Spokane. This will help bring the second year of medical studies to Spokane. It will also be home to the WSU College of Pharmacy, as well as the nursing and dental programs.

…..Smart educators! Science, Technology, Engineering and Math (STEM) education is starting to trend throughout our region. Multiple school districts are implementing STEM programs, allowing our area students to dig into subjects and learn in ways that will benefit them and the business community in the future.

…..Boeing building the 737 MAX in Renton. Keeping Boeing in Washington was important to maintaining our area’s strong aerospace industry. Did you know more than 80 area companies in our area are directly or indirectly related to the industry? Boeing being in Renton means suppliers around here will benefit, and it also leaves the possibility open for expansion in Spokane County. AIR Spokane will ready our region for future aerospace expansion.

…..MILCON (Military Construction) Projects in the federal budget. Fairchild Air Force Base – the area’s largest employer – will see construction on its headquarters building and the survival school. It also just laid down a new runway. We’re working on advocating for the new KC-46A tankers to be based at Fairchild. Good things are coming!

…..Mark David Milliron. Our Annual Meeting keynote speaker inspired everyone with his speech on education for the future and how businesses and students need to be prepared for each other. The entire Annual Meeting was a call to create something greater for the Spokane region.

So those are a few of the gifts our region was fortunate enough to receive this year. What others come to your mind?

Being “greater” is something our organization strives for each day. It’s in our name. We figured it’s time to see how our business community is creating something greater.

Let’s get to it.

1) We all know of someone who left Spokane and returned later in life. That holds true for Mike Tedesco, the new President of the Downtown Spokane Partnership. Mike grew up in Spokane before holding similar jobs in Pueblo, Colo., South Fork, Colo. and the Puget Sound. Welcome home, Mike!

2) STCU recently completed its campaign with the Children’s Miracle Network and raised a grand total of $10,431 for local kids. Great job! Check out the video.

3) We recently co-hosted the 2011 Inland Northwest Manufacturers Expo and Dinner Awards. More than 400 people attended the two-day expo, with another 230 attending the Manufacturing Awards Dinner at The Davenport Hotel, where local companies Hotstart, Inc., and Sonderen Packaging Inc. brought home some nice hardware. Tons of other companies were able to network and help support this important industry. Nice job! (By the way, did you know the manufacturing industry contributes around $3.7 billion to our regional economy?)

4) 40 years ago, you may have been watching All in the Family or paying just 40 cents a gallon for gas. At the same time, Career Path Services was just getting off the ground. All these years later, it’s alive and a very successful company. Congrats to a great local business for 40 great years!

5) On that same subject, in 1996, Braveheart took home the Academy Award for Best Picture, “Kiss from a Rose” by Seal was the Record of the Year, AOL was rapidly becoming cool, the Unabomber was finally apprehended, and Desautel Communications and Marketing opened up shop in Spokane. Now calling itself Desautel Hege Communications, the PR and Marketing firm will soon celebrate 15 years in business. Congrats!

6) Providence Sacred Heart Medical Center and Children’s Hospital is growing! The medical center will break ground Oct. 31 for its expanded emergency department. Our stellar health care industry continues to progress!

7) Some local businesses are celebrating grand openings – Grocery Outlet opened its doors today at its new downtown location, and Intrinium Networks / IT Security will celebrate its grand opening Nov. 3.

Our business community’s accomplishments are ones to look up to. Whether it’s raising money for a good cause, taking home awards, or celebrating anniversaries and beginnings, all are creating something greater for the Spokane region.

If you have good news about your business, drop us a note!

Click the above diagram for a larger view.

The aerospace industry is one of our region’s vital and growing sectors.

Currently, there are 80 aerospace-related companies in the Inland Northwest. The graphic above shows how some of the regional companies are involved in aircraft manufacturing.

Governor Christine Gregoire recently launched Project Pegasus, a program aimed at keeping new Boeing manufacturing programs in Washington. We’d like to see the company build its next generation 737, the 737 MAX, in our region.

Here’s why:
Many of our regional aerospace-related companies are certified suppliers for Boeing. Additional Boeing programs could have an immediate impact on jobs in the region, at a time when the unemployment rate is around nine percent.

For example, Triumph Composite Systems in Airway Heights manufactures floor panels and air ducts for Boeing. Goodrich Corporation on the West Plains manufactures aircraft wheels and carbon brakes. JetTech Aerospace, located at Spokane International Airport, refurbishes and works on interiors for Boeing business jets.

Other companies are contributing to the aerospace industry in important ways – hiring workers, utilizing innovative technologies and more.

The Inland Northwest Aerospace Consortium (INWAC), co-founded by Greater Spokane Incorporated, brings together companies from Eastern Washington and Northern Idaho that provide products and services to all areas within the aerospace industry. It works to advance the aerospace industry in the Inland Northwest. Groups like this keep the industry united in its goals.

Recently, the state’s capital budget stipulated that the Washington National Guard will transfer land at Geiger Field to Spokane Community College that will be traded with Spokane International Airport to set up the Inland Northwest Aerospace Technology Center. Spokane Community College’s Air Washington Program also recently received a $20 million grant from the U.S. Department of Labor. The money will be used for, “education, training and services to support the aerospace industry,” according to this news story.

As you can see, the aerospace industry in our region is held in high regard.

The Spokane International Airport Board, local governments, INWAC, GSI and others across the state are working to develop a strategy for new Boeing programs in Washington. With our current aerospace companies already employing a large number of workers, Boeing can take advantage of the many resources in our region.

Plenty of good things are happening in our region.

We’ve highlighted some great happenings in the past, and now we’ll share more. Let’s talk business grand openings.

Recently, we’ve been able to help celebrate businesses expanding and opening in Spokane. Yes, you heard that right: businesses are expanding and new businesses are opening despite what the news tells us about the economy.

We celebrated with Atlas Staffing (left) as it opened its business in Spokane Valley. Cougar Crest Estate Winery expanded – yes, expanded – to Spokane and we helped celebrate its downtown location. All Lines Insurance purchased its new building and renovated it – all before hosting a grand opening and ribbon cutting celebration.

So as you can see, businesses are doing well in our area. It’s wise to celebrate with them.

Grand openings and ribbon cuttings are a great way to celebrate a new business or a new branch. Each time we help a member celebrate, we always see the pride and courage in the business owner’s eyes. We hear it in their voice. Spokane business owners truly care, and are proud that the community comes out to participate in their grand opening.

Each celebration is different. At some, there’s cake. At others, there’s a display of the business’ products. Whatever it is, it’s always unique to that business. It usually involves food, too.

While each have their different attractions, all have one thing in common: a historic piece of hardware. That’s right – the giant scissors we use at ribbon cuttings are the same giant scissors used to open the 1974 World’s Fair right here in Spokane. We take something that celebrated a signature event in Spokane, and use them to celebrate a signature event for our area businesses.

So the next time you see a business with a big “Grand Opening” sign, stop in and congratulate them on business well done. You might see us there!

Create your own video slideshow at animoto.com.

GSI Member Since: 2008

Website: www.ecodepotinc.com

You hear the buzz phrases – renewable energy, sustainable design, environmental protection. But is it happening in the Spokane region? More than 50 clean technology and energy efficient companies operate in the area, and we recently met with one small business that is placing solar panels, recyclable building materials, and eco-friendly products into our area one customer at a time.

Established in 1994, ECO DEPOT is Eastern Washington’s environmental building supply center – selling and installing solar PV systems, wind power generators, sky lighting, cleaning supplies, and recycled paint, flooring, countertops, and multiple other ‘green’ building supplies. More than 75 percent of its business comes from the end-user, typically the eco-conscious homeowner. ECO DEPOT would certainly like to expand its footprint with commercial users.

When business owner Nadine Sullivan first began, she revised her business plan three times with the support of SCORE

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Spokane. As Nadine said, business ownership is not for the “faint of heart.” She knows full well the risk of starting a business. Her company is leading the way in Eastern Washington to provide ‘green’ products and services to the region. After her best year in 2010 and a tough 2011, she encourages her peers to hang in there.

The buzz word of “sustainability” can often be misconstrued, and Nadine explains her take on what it means – quitesimply, good stewardship to “leave something for the future.” As a former teacher, she knows the importance of leaving something for our grandchildren.

While the ‘green’ concept has been reused and recycled for decades, there are still many misconceptions and a strong need to educate and re-educate the community on the importance of sustainability. That’s why ECO DEPOT provides classes and makes personal visits to businesses.

What are the misconceptions? Many businesses think going ‘green’ is too costly, but in all actuality, going green can provide significant savings. Just ask Nadine. Her utility bill is one any business owner would envy. The 30 percent federal income tax credit available and money going into the pockets of businesses and homeowners who produce wind and solar power is impressive.

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Education is not only needed to answer why to go ‘green’ but on the products themselves – and talk about some innovative lines. Ever needed a quick battery boost for your laptop or cell? The Voltaic Backpack Solar Charger includes 4 watts of solar power to charge multiple electronic devices. What about the fireplace that never gets used? The EcoSmart Fire Scope 700 doesn’t need a vent or gas connection, doesn’t emit smoke or soot, and runs on clean burning bio ethanol. What’s even better?  The company’s MetroPaint is not only recycled but comes at a fraction of the cost and is made right here in the Northwest region.

As their motto states, “it’s time for ECO DEPOT,” and the message is clear. It’s time to be better stewards of our natural resources for future generations.

Buy Local and think of ECO DEPOT. It’s the only store in the region providing these eco-friendly products and services, and it practices what it preaches by buying local and investing in the local community.

Recently, one of the largest employers about 90 minutes north of Spokane in Colville had to lay off more than 20 employees due to an embezzlement case that severely hurt the small town’s economy. The timber and construction industries have already hurt Colville in recent years, and this made things worse.

But, as the cliché goes, when one door closes another one opens. That may be the case with the people of Colville.

A little more than 80 miles to the south of Colville sits Fairchild Air Force Base, our region’s top employer. The base has a few projects that need prime- and sub-contractors. Since the projects are funded by the federal government, it must meet certain requirements, such as contracting with women-owned small businesses, veteran-owned businesses and businesses located in HUB Zones.

Women and veteran-owned businesses are self-explanatory. But what’s a HUB Business Zone? It’s an area determined by the U.S. Census that is underutilized and more remote.

Colville, it just so happens, is right in the middle of a big HUB Zone. Leslie Miller, our Eastern Washington Procurement Technical Assistance Center (PTAC) Manager has a number of clients in Colville. When she heard from one of her contacts at Fairchild that the base was looking for HUB Zone contractors, she contacted the Tri-County Economic Development District and advised businesses in that area to become HUB Zone certified – ASAP.

(Note: Just because you’re business is located in a HUB Zone doesn’t automatically make you HUB Zone certified – there’s a process, one that our PTAC office assists with)

Currently, Leslie is working with companies in Colville to become HUB Zone certified in hopes of landing not just the contract with Fairchild, but future federal contracts as well. The contract at Fairchild is expected to be bid on later in the year.

(Note 2: Given our region, you might want to know that the Army Corps of Engineers and the USDA are often looking for HUB Zone businesses to contract with)

The town of Colville is extremely hard working, and can benefit greatly by being HUB Zone certified. The town’s businesses aren’t asking for any handouts – they’re just working hard toward bringing Colville back. There’s a new level of optimism among the Colville business community.

With a hard-working mindset and assistance from our PTAC office, Colville can come back from its rough times. Stay tuned.

What is free, easy to implement and will help your business boom? The answer is great customer service. Here is a look at a couple local small businesses that understand the importance of customer service, as well as some useful tips to jumpstart your own program.

Runners Soul and MOJO Reprographics are two local businesses that define what good customer service looks like.

If you stop by Runners Soul, you’ll be greeted by a smiling face and someone wanting to know how they can specifically help you. Shoes are more than just a product to Curt Kinghorn, Owner of Runners Soul. They are a relationship tool.

“First and foremost we have passion for the business we are in,” Kinghorn said. “Everyone who works here runs. The people who come in also share that passion for running, so we want to make sure that the people who come in we keep healthy so they continue to run. Because we are so sold on keeping them healthy, we build a relationship that way.”

Because they take the time to invest in each customer as they come into the store, or run into at an event, business has boomed and Runners Soul has been able to expand because of the success.

At MOJO Reprographics, you will immediately discover the secret to its customer service success. Every employee, regardless of title, has the power to make decisions related to the customer’s satisfaction. By localizing the power, clients who come into MOJO Reprographics have a staff member who can help them from the beginning of the project to the end, taking responsibility from the moment the project starts.

“If I can’t train someone to do customer service the way I want it, then I have shot myself in the foot,” said Oliver Jones, Owner of MOJO Reprographics. “I want someone to take care of me, from the beginning to the end.”

These are just two examples of how businesses design and implement a customer service base that works for them. Remember: without the customer, your business will always fail.

BUSINESS TO BUSINESS TIPS

“Have a friend come to your business with a problem and do an internal audit, like a ’secret shopper’ and see what happens. See what they come back with. It will give you an honest answer with what some hold ups were. “

Oliver Jones, Owner of Reprographics

“You just have to be patient. A lot of people, as business becomes impacted by the economy, start to panic and change the whole operation of their business. Be patient and work through things, you just can’t get in a hurry and stray away from what you have always done. I would also suggest you can’t get so stuck on the little things that you overlook the growth and potential of that single interaction.”

Curt Kinghorn, Owner of Runners Soul

GSI Member Since: 1980
Website: www.oxarc.com

OXARC, Inc., a family-owned company headquartered in Spokane, Wash, has accomplished tremendous success with more than 40 years in business. It began in 1968 as a retail and wholesale distributor of welding supplies, gases, safety and industrial supplies with 15 employees and two stores. Since then, it has expanded product lines and services, negotiated multiple acquisitions, added 16 more locations in three states, developed a welder training school, and multiplied its workforce –now employing 292 company-wide.

President Gregory Walmsley and General Manager/VP Mike Sutley will tell you the key ingredient to their success has been diversification. As a small business, they had the advantage of making dozens of acquisitions of smaller competitors, thus growing and diversifying their market share. What is OXARC’s mix of supplies and services? You name it – everything from industrial medical gases, beverage systems and dry ice to fire equipment, specialty rental equipment, and multi-media training facilities.

One such expansion is its fire division. OXARC invested in a dozen or more small fire acquisitions with little capital investment. With a sales force of 40, the wholesale fire division provides fire extinguishers, valve systems, and anything related to fire extinguishers across the U.S.

OXARC also created two welding schools with experience-based education for individuals to train and certify within five to six weeks – a quick time-frame for those in the industry looking for work. The program was formed at the request of the state to retrain workers due to the collapse of the timber and mining industries. Now it serves as another profit center and yielded $1 million in sales in its first year.

“We charge $3,000 a quarter for training, and there are three levels: entry-level, intermediate and advanced,” explained Sutley. “$7,500 can pretty much put a guy back to work.”

And if that’s not enough, the OXARC Training Center (left) includes a multi-media classroom and video conferencing to provide training to its workforce and to the community at large. Essentially, any business can save on travel costs by taking advantage of OXARC’s facilities right here in Spokane – whether for a virtual interview or training your team. OXARC’s investment in workforce development doesn’t stop there. It also provides a youth program and work-release program for prison inmates.

What’s incredibly telling about OXARC is how it has maintained a family-friendly environment through all the acquisitions and growth.

“I think when you have a family environment and you’re treated like family and you treat your employees like family, it’s the best thing that you can have,” said Sutley.

Walmsley said many of the employees – almost 100 of them – are related, adding to the family-friendly environment.

OXARC Inc. is a premier example of a company that has made the Inland Northwest a better place to live and raise a family, evidenced by its longevity of service for 40-plus years, and investment in the people of this region. We are pleased to have the corporate headquarters right here in Spokane, providing jobs and services to the people of the Inland Northwest.

Members Since: 2005
Website: www.leaveboringbehind.com

David and Brooke Lawrence first met while guiding on the Clark Fork River near Missoula, Mont. They even said their vows along the river – even using the river and a raft as the wedding isle. From that day on, the adventures never stopped.

The newlyweds embarked on a 2,663 mile backpacking trip from Mexico to Canada on the Pacific Crest Trail. That’s when the entrepreneurial spark began.

“I realized anything was possible,” David said.

During their next venture, a 4,000 mile bike ride across America, the couple solidified a vision to own a rafting company and the search began.

David and Brooke purchased Pangaea River Rafting with a motto to “leave boring behind,” and that is certainly what they’ve accomplished and now pass along to every customer. Pangaea provides a variety of rafting trips in Idaho, Montana and Washington, as well as float trips for families. To add to the fun, the guides provide wine tasting raft trips, geocaching, bird watching by raft and team building for businesses, schools and teams.

David said owning a rafting company is like being a farmer – everything is dependent on the weather. His strategy for survival includes a good attitude and letting go. “It’s all in God’s hands,” he said.

In 2007 Pangaea had its best year ever, followed by the downturn in 2008. “We embraced the challenge and focused on our processes,” said David. Numbers declined and income dwindled, but the diversity of trips and scalable business kept them going.

What makes Pangaea different? David responds without hesitation.

“We are blessed with fantastic guides,” he said. “I can’t wait for my kids to grow up with them and I know my guests are going to love them and have the best four to eight hour experience of their summer.”

It’s no accident that Pangaea has exceptional guides, because customer service is a number one priority and begins as soon as you book a trip. Pangaea also backs up its promise with a 100 percent guarantee – if you are not 100 percent blown away by your rafting trip, they’ll pay for it.

The guides are a combination of world travelers, teachers, and students. And talk about an extraordinary workplace culture – when these guides aren’t loading boats or running rapids, they are working together, eating together, kayaking. It’s a vibrant, family-oriented workplace, to say the least.

Still claiming to be “too young” and new as a business owner, David has proven to be a successful entrepreneur and is a strong supporter of our region’s businesses. He is a member of both the Convention & Visitors Bureau (CVB) and Greater Spokane Incorporated, and believes he is doing his part to help others succeed.

Every business is directly or indirectly impacted by the tourism industry, and with the recent cut of the tourism department in the state of Washington, it is imperative that we work together to attract business and leisure travelers to the Inland Northwest. Whether you have connections with an association looking for a place to host their next conference or friends and family seeking a vacation, it starts with an invitation to travel. Once they’re here, the Lawrences are sure to provide an experience of a lifetime, sharing the natural wonders and treasures of our region.

Hats go off to David and Brooke who had a vision, made a plan and pursued it. These two showcase the best of the Inland Northwest.