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Business Magazine - October 2014

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Thousands of manufacturers and technical schools, locally and across the nation, are joining together to showcase the potential of modern manufacturing and foster interest in manufacturing careers with the kick off of Manufacturing Day on Friday, October 3.

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Page 1: Business Magazine - October 2014

October 2014

Page 2: Business Magazine - October 2014

The Manufacturer & Business Association (MBA) is pleased

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Page 3: Business Magazine - October 2014

BUSINESSM A G A Z I N E

VOLUME XXVII, NUMBER 10 OCTOBER 2014Manufacturer & Business Association

5th Annual Made in PA:Area Firms Showcase Innovation, Careers for Manufacturing Day / Page 16

Page 4: Business Magazine - October 2014

Join with fellow manufacturers across the country in marking the third annual

Manufacturing Day on Friday, October 3, 2014.

Hosting an open house provides manufacturers with an opportunity to tell their

company’s story, dispel outdated myths about manufacturing, inspire a new

generation of manufacturers, and connect with their communities.

In opening your plant to visitors, you can also open minds — expanding knowledge

about and improving public perception of careers in manufacturing, as well as

showcasing manufacturing’s value to the U.S. economy.

Visit www.mfgday.com to schedule your company’s Manufacturing Day event or to

access their easy to use resources.

Manufacturing Day (MFG DAY) addresses common misperceptions about manufacturing by giving manufacturers an opportunity to open their doors and show, in a coordinated effort, what manufacturing is — and what it isn’t. By working together during and after MFG DAY, manufacturers will begin to address the skilled labor shortage they face, connect with future generations, take charge of the public image of manufacturing, and ensure the ongoing prosperity of the whole industry.

www.mfgday.com

Page 5: Business Magazine - October 2014

Thousands of manufacturers and ttechnical schools, locally and across the nation, are joining together to showcase the potential of modern manufacturing and foster interest in manufacturing careers with the kick off Manufacturing Day on Friday, October 3.

Page 6: Business Magazine - October 2014
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SPOTLIGHT>Contact: Karen TorresSPOTLIGHT>Contact: Karen Torres

Superior Tire & Rubber Corp. has been operating in northwest Pennsylvania since 1964. Tell us about how the company got its start. Superior Tire & Rubber was founded in 1964 as a tire retailer, retreader and molder of solid industrial tires. The business was purchased by Henri LeMeur Sr. in 1974, and he refocused the business as a manufacturer of specialty industrial tires. Early success designing tires for floor scrubbers and sweepers started the company on the road of consistent growth. In the 1990s, Henri LeMeur Jr. and William LeMeur moved into leadership positions and have led the way to our current position as an industry leader.

Once Henri LeMeur Sr. acquired the company in 1974, Superior Tire really started to grow and evolve. Please describe the company today under the leadership of the LeMeur family, including President Henri LeMeur Jr. Superior Tire & Rubber Corporation provides engineered solutions to our customers. Our company’s stated goal is to provide technical excellence to give our customers a competitive advantage. Superior does this by continuously working to improve our manufacturing processes to provide our customers with these solutions. Under the leadership of Henri LeMeur Jr., the company has steadily grown by consistently reinvesting in the business. From our manufacturing equipment we use every day and the business systems that help us operate, we are provided with state-of-the art tools to work with.

Superior Tire takes great pride in manufacturing in the United States. How would you describe this sense of pride? There is a goal at Superior to do as much as our manufacturing process as possible in our Warren facilities. This gives us control of our process and assures that we are making a product that meets the standards our customers have come to expect. We do take great pride in the “Made in USA” label on our products, and our team strives daily to meet those standards.

Superior has two manufacturing facilities, a technical center and a third manufacturing facility in the planning stages. What do these plans entail and how are these facilities advancing new product development?Superior produces engineered products and our Technical Center provides a dedicated space to do the design and testing these products require. This capability allows our company representatives to be problem solvers for our customers. Our shop floor expansions have provided operations with the opportunity to achieve higher efficiency using the principles of lean manufacturing.

Most employers recognize their employees as their greatest resource. How many people are employed at Superior currently and how have you been able to attract and retain such talent?Superior currently employs 270 people, and they are our best resource. The company goal for our employees is to provide our people with a “Path to Grow.” In other words, show them their next career step when they become an outstanding performer at their current position. Training is the key. We use internal training and consistently bring outside instructors in house. We also have a tuition reimbursement program for those employees who want to further their education. In addition to these programs, we also use the resources provided by the many industry associations we belong to such as the Manufacturer & Business Association.

Located in the heart of the growing Marcellus Shale country, Superior is positively positioned for the future. Please share your outlook. Superior has a variety of customers in the material handling, construction, and mining and agricultural Industries. The Marcellus Shale development has provided us additional opportunities to grow by making seals in our polyurethane department. The future will be a continuous effort to build the highest quality products to create value with our customers. We will achieve this by continuously improving our process to solve our customer’s problems. Superior will continue to educate our work force and provide them with the tools they need to be successful. With outstanding people and quality products, Superior Tire & Rubber Corporation will continue to strive to be the vendor of choice in the many markets we serve.

Marking its 50th year of continuous operation in 2014, Superior Tire & Rubber Corp. (www.superiortire.com), is a family owned company with a long history of manufacturing in the USA, including its headquarters in Warren, Pennsylvania. The Business Magazine recently spoke with HR Director Keith Bertch to learn about Superior’s milestone anniversary and its optimistic outlook for the future.

VOL. XXVII, NO. 10 OCTOBER 2014

© Copyright 2014 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 Joel Berdine& Business John ClineAssociation Board Harry Eighmyof Governors Andrew Foyle Mark Hanaway Donald Hester Bill Hilbert Jr. Timothy Hunter Phil Katen Paul Kenny Jeff Plyler Sue Sutto Mike Weber

Editor in Chief Ralph Pontillo [email protected]

Executive Editor John Krahe [email protected]

Managing Editor & Karen Torres Senior Writer [email protected]

Contributing W. Patrick Delaney Writers Jan Nedin

Cover Photography Matt Kleck R. Frank Photography 4320 Miller Avenue Erie, PA 16510 814/520-3985

Photography Casey Naylon & Illustration www.mfgday.com

Advertising Sales Patty Welther 814/833-3200 [email protected]

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

ON THE COVER: Learn what area manufacturers and technical schools are doing to showcase the potential of modern manufacturing and foster interest in manufacturing careers with the kick off Manufacturing Day. For full story, see page 16.

October 2014 > www.mbabizmag.com > 3

Page 8: Business Magazine - October 2014

1914 CELEBRATING 100 YEARS SERVING THE ERIE REGION 2014

814-456-5377 1-800-542-8668 1705 Raspberry St., Erie, PA 16502

www.jhbennett-moving.com

ERIE INSURANCE EARNS HONORS FROM WARD GROUPFor seven years in a row, Ward Group has named Erie Insurance (ERIE) to its Ward’s 50 list of top performing property and casualty

companies. Erie Family Life Insurance also named to this year’s Life/Health list, marking the second time the company has earned a spot on the list. The Ward Group analyzes the financial performance of 3,000 property-casualty and life/health insurers before naming the top performers in safety, consistency and financial performance over a five-year period.

“We succeed thanks to our ability to maintain a solid balance sheet and provide exceptional, award-winning customer service,” said Terry Cavanaugh, president and chief executive officer of Erie Insurance. “When you combine that with our differentiating products and a relationship with our independent insurance agents that is as strong as ever, you can see why we’re able to effectively and consistently deliver on our customer promise of security and protection.”

Ward Group is a consulting firm specializing in the insurance industry and leading provider of industry benchmarking and best practices services. This is the 17th time ERIE has been on the P&C list, published annually since 1991.

Erie Insurance Group, based in Erie, Pennsylvania, is the 14th largest

homeowners insurer and 12th largest automobile insurer in the United States based on direct premiums written and the 18th largest property/casualty insurer in the United States based on total lines net premium written.

For more information, visit www.erieinsurance.com.

GE TRANSPORTATION NAMED TOP 100 LOGISTICS TECHNOLOGY PROVIDERGE Transportation (NYSE: GE), a global provider of innovative rail products and services, which has manufacturing locations in Erie and Grove City, Pennsylvania, announced that Inbound Logistics magazine has selected it as one of the 2014 Top 100 Logistics Technology Companies for the ninth consecutive year.

“GE Transportation has consistently been named a top logistics technology provider for offering customizable and connected enterprise solutions to satisfy our readers’ needs. Their innovative software solutions deliver customer value and productivity by improving asset, operations and network performance,” explained Felecia Stratton, editor of Inbound Logistics.

BusinessBuzz

DOWNLOAD THE ASSOCIATION’S FREE TIME-CHANGE POSTERIt’s time to turn the clocks back! Download the Association’s FREE Time-Change poster at www.mbausa.org and post in a highly visible location for Daylight-Saving Time, which begins at 2 a.m. Sunday, November 2.

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Visit www.mbausa.org to download a 8.5” x 11” color PDF.

4 < www.mbabizmag.com < October 2014

Page 9: Business Magazine - October 2014

GE Transportation provides software and solutions that drive automation, reduce operating costs, and optimize networks and operations. Software as a Service and licensed offerings provide solutions across the entire transportation network for railroads, shippers, intermodal terminals and repair shops.

“It is an honor to be recognized as a top logistics technology provider,” said Peter Thomas, RailConnect™ 360 Commercial Leader. “GE has made a $1 billion investment on software development to produce technology for the Industrial Internet. This allows us to deliver new, enhanced offerings to the industrial rail transportation industry, RailConnect™ 360. RailConnect™ 360 gives our customers technologies that utilize big data analytics to give real-time access to critical information so freight moves faster and more intelligently.”

For more information, visit www.getransportation.com.

HBK HONORED AMONG ’BEST EMPLOYERS IN OHIO’HBK, a leading accounting, business advisory and financial services company, has been recognized among the “Best Employers

in Ohio” in the survey’s “large employer” category. The recognition is among multiple national and local awards and rankings the firm has earned in 2014.

“Our business was founded on the premise that we would take our clients’ business interests personally; this is a customer-centered philosophy of professional service that we’ve emulated and expanded on since our founders began serving clients in 1949,” noted Christopher M. Allegretti, CPA and CEO/managing principal of HBK.

Offering clients the unique combination of large company expertise and resources and the commitment to an attentive personal relationship has earned the firm considerable recognition in 2014, including: Accounting Today “Top 100”: ranked 67th; Inside Public Accounting “Top 100”: ranked 88th; South Jersey Best of Business 2014, Accounting Firms (HBK/Lawrenceville, New Jersey); Gulfshore Business: Best Accounting Firm (HBK/HBKS; Fort Myers and Naples, Florida); and Michele Radcliffe Dutro Memorial Award (John Fedorek, principal; Stuart, Florida).

HBK maintains offices in Alliance and Youngstown in Ohio; Erie, Hermitage,

Meadville and Pittsburgh in Pennsylvania; Lawrenceville in New Jersey; and Fort Myers, Naples, Stuart and Sarasota in Florida.

For more information, visit www.hbkcpa.com.

ALTMAN-HALL ASSOCIATES ADDS TWO NEW CLIENTSAltman-Hall Associates, a full-service business-to-business marketing communications agency in Erie, Pennsylvania, recently announced that TSE Brakes, of Cullman, Alabama and Cargo Towing Solutions, of Lawrenceburg, Indiana, have retained Altman-Hall to handle all marketing, advertising and public relations efforts on their behalf.

TSE Brakes, a Marmon Highway Technologies®/Berkshire Hathaway company, offers an extensive line of spring brakes for the heavy-duty trucking OE and aftermarket. Cargo Towing Solutions offers an industry-leading line of trailer brake actuators.

Since opening in 1955, Altman-Hall has been a business-to-business marketing communications agency.

For more information, visit www.Altman-Hall.com.

DEPARTMENTS>Contact: Karen Torres

Public Policy Consulting • Strategic Communications Legislative Tracking and Bill Review • Governmental Relations

PUBLIC STRATEGIES

Public Strategies is a service offered by Knox McLaughlin Gornall & Sennett, P.C. for public policy consulting, governmental relations, strategic communications, and relationship building.

Our attorneys provide a unique perspective into local, state and federal government as well as economic development issues in our region and state. We have cultivated relationships that are critical to the success of major projects. We know what it takes to translate these relationships into tangible success.

Knox McLaughlin Gornall & Sennett, P.C.Erie, PA | Jamestown, NY | North East, PA

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October 2014 > www.mbabizmag.com > 5

Page 10: Business Magazine - October 2014

...AND UNNECESSARY LAYERS OF COST.

PROTECT YOUR BUSINESS FROM ENERGY MARKET VOLATILITY...Price protection is critical when it comes to combating the potential volatility of the deregulated natural gas market. National Fuel Resources, Inc. (NFR) o� ers unique options for price protection in order to shield your business from that volatility. Our clients have the ability to choose from a wide range of natural gas pricing options that are tailored to meet your business needs:

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With NFR, you can rely on a long-term natural gas partner with experienced in-house hedging services and dedicated risk-management personnel. Our extensive experience with hedging allows us to e� ciently execute customer orders and provide valuable market insights. Our expertise in the capacity and storage markets — coupled with our access to numerous sources of natural gas — ensures reliable physical deliveries even in the most critical demand situations.

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Performance issues for employees in the workplace can be problematic for employers. Any employee performance situation needs to be examined from two different angles by any manager. First: Is the employer doing what is needed to facilitate the employee’s success? Second: Is the employee doing what is required of him in terms of the employer’s stated expectations?

Both questions need to be examined honestly for any kind of effective action in this area.

Because employee performance issues are complex from a managerial standpoint, employee assistance programs (EAPs) can be helpful. EAP professionals consult with managers at all levels to assess the issues and determine interventions that comply with a company’s human resources policies and stand the best chance of being effective.

Questions to AskWhen a manager examines performance issues, there are a few initial questions to ask:

• Is the reason for the problem in any way connected to issues the employer has control of, such as job assignments?

• Was this person an appropriate hire in terms of skill level?

• Does the employee have a current job description that clearly spells out expectations?

• If the employee demonstrates waning motivation, has the employer looked at possible reasons for this?

• Is the employee frustrated by micromanagement or a lack of freedom to be creative? Is the work environment conducive to the employee doing his or her best?

After examining these contributions to the employee’s success, a manager must

then review the employee’s performance. Often, it’s both the manager and the employee who may need to make some changes. Remember: Successfully managing people is complex due to expectations, personalities and other external factors.

When evaluating an employee’s performance, you must focus on three things: quality of work, quantity, and the employee’s behavior in the workplace and with customers. Is a reasonable amount of work being done in a reasonable amount of time? Is the work accurate, timely and appropriate for the position? Does the employee have a professional attitude and behavior? Are there signs of possible personal problems or substance abuse?

Ways a Manager Can InterveneProblems with quantity or quality of work need to be discussed with the employee. If the employee has difficulty meeting expectations, then the employer can see if some things can be adjusted. Sometimes, the employee will have a strength that is not being utilized. The employer can shift work to the employee that suits the employee’s strengths. Successful management is a dance that requires managers to tune in to their employees to evaluate what works to achieve a win-win outcome.

Performance issues involving attitude or behavior are more complex. While motivating employees is the manager’s job, the manager cannot always know what is wrong. Still, a manager should set standards for what is appropriate behavior in the workplace and discuss this with the employee. If the employer is stumped or suspects the employee may have some personal issues, consultation with the company’s EAP would be helpful. Managers should focus on performance and leave problem identification and remedy to the EAP counselor/coach.

Managers need to let the employee know that they are there to help. Be as specific as you can in delineating what you believe to be the problem in clear and measurable terms. Be just as clear in what you expect the employee must do to solve the problem by providing a timeline for the desired changes and an objective way for them to be measured. If the employee is complying with directives, follow up with praise for the effort. However, if you do not see adequate employee compliance, then talk with your human resources department about next steps. Make use of the EAP’s skilled consultants to develop performance management strategies. Ideally, the focus should be on a process that helps the employee to return to being a productive member of your work team.

To learn more about EAP programs available at LifeSolutions, visit http://www.lifesolutionsforyou.com/about.html.

Effectively Address Problem Employee Performance Issues

HealthMattersEDITORIAL>By Jan Nedin

Jan Nedin, MBA, MSEd, RCC, is a senior account manager for LifeSolutions, an EAP that is part of UPMC WorkPartners, one of the integrated partner companies of the UPMC Insurance Services Division. These also include UPMC Health Plan, UPMC for You (Medical Assistance), Askesis Development Group, Community Care Behavioral Health and E-Benefits — and offer a full range of insurance programs and products.

October 2014 > www.mbabizmag.com > 7

Page 12: Business Magazine - October 2014

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Page 13: Business Magazine - October 2014

LegalBriefGood Faith and Fair Dealingin Contract Enforcement

EDITORIAL>By W. Patrick Delaney

Contracts are promises, mutual promises: You do something (perhaps a service), and I’ll do something in return (pay you, hopefully). Even written contracts that are hundreds of pages long can be summed up simply as “an exchange of promises.” One of the great developments of Western Civilization is that aspect of the “Rule of Law” that government, through the system of civil courts, will enforce contract obligations. With few exceptions (such as contracts involving illegal activities), courts will require people to pay damages to their counter-party if they “breach” the contract by failing to fulfill their contract obligations.

A vast body of court decisions and statutes has developed concerning whether a party has fulfilled their contract obligations or “breached.” You would think it a simple question to resolve. In the case of a written contract, courts will look to the language of the document and how the parties acted after the contract was formed to determine the parties’ intent. Courts have wisely determined that these are a more reliable source than the oral testimony of witnesses who have a financial stake in the outcome of the trial.

So, courts put great weight on the language of the written contract and for centuries have required parties to fulfill their obligations and exercise their rights in strict compliance with the contract language. But exceptions have developed that have expanded obligations.

In the 20th century, courts began to soften the rigid approach to contract enforcement by introducing the concept of “good faith and fair dealing.” These cases examined how a party to a contract performed and asked the question “Even

if the contract language allows this type of conduct or performance, is this party violating the principles of good faith and fair dealing?”

Courts adopting this approach concluded that a party who enters into a contract assumes that his/her counter-party will reasonably try to carry out their obligations and will not try to do harm. Thus, courts have said that this additional obligation of good faith and fair dealing is “implied” in the contract.

Worth NotingAn example is Tymshare, Inc. v. Covell, 727 F2d 1145 (D.C. Cir. 1984), a case in which Judge Antonin Scalia (later a U.S. Supreme Court Justice) discussed this concept in the context of an employer-employee dispute.

Covell was a data processing salesman for Tymshare and was to be paid a salary-plus-commission. Commissions were based on an annual sales quota. Estimated commissions were paid monthly, with a hold-back for a year-end calculation. The contract allowed Tymshare to adjust the annual quota. Covell landed the U.S. Postal Service as a client for Tymshare. Anticipating the revenues from the Post Office, Tymshare set Covell’s sales quota for 1980 at $1.2 million, but when the rollout with the Post Office stumbled Tymshare generously lowered the sales quota to $815,000. In December 1980, Tymshare terminated Covell and at year-end made retroactive adjustments to his sales quota, taking him back up to $1.2 million and depriving him of significant commissions.

Covell sued and the trial court found in his favor, concluding that the adjustment had been done in bad faith. On appeal,

Judge Scalia noted that the contract permitted adjustments to sales quotas, but “even the permissible act performed in bad faith is a breach only because acts in bad faith are not permitted under the contract.” Tymshare 727 F2d. at 1150 n.3.

Thus, it was not a strict reading of the contract language that controlled the outcome, but an examination of the purpose of allowing quota adjustments. Was the exercise of this contract right (quota adjustment) serving a legitimate business purpose or merely meant to punish Covell?

Under modern contract law, there is a somewhat higher standard for performance of obligations. But beware: Principles of good faith and fair dealing are still a narrow exception to courts engaging in strict interpretation of rights and obligations based upon contract document language. In all cases, be careful and precise with the language.

For more information on good faith and fair dealing, contact W. Patrick Delaney at 814/870-7658 or [email protected].

W. Patrick Delaney is a partner in the law firm of MacDonald, Illig, Jones & Britton LLP, where he is chairman of the firm’s Commercial Litigation Group. He is a 1976 graduate of Capital University Law School. His practice focuses on issues of business litigation in the state and federal courts throughout western Pennsylvania.

October 2014 > www.mbabizmag.com > 9

Page 14: Business Magazine - October 2014

For more than 70 years, RIDG-U-RAK has been family-owned and our products are Made in America. Through constant innovation, process improvements and industry-leading customer care, we’ve become one of the largest rack manufacturers in the nation producing in excess of 100,000,000 lbs. of rack per year.

Now in our third generation, we remain just as committed to growth, our community and our employees.

Toll Free: 866-479-7225 • www.ridgurak.com

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Now, three generations strong, pictured above are Mark Pellegrino, Peter Bohrer, John B. Pellegrino Jr. & John B. Pellegrino Sr., PE

1673-Manufacturers Ad_1117-Manufacturers Ad 11/13/13 4:36 PM Page 2

Page 15: Business Magazine - October 2014

OntheHillDEPARTMENTS>Contact: Lori Joint

GubernatorialCandidatesRespond toCriticalQuestionsAboutState’sFuture

Governor Tom Corbett, Republican

Challenger Tom Wolf, Democrat

Rank what you believe are the three greatest challenges facing the Pennsylvania business community and how you propose to minimize these challenges.

Over the past three years, my administration has worked aggressively to promote business opportunity in Pennsylvania. One must look no further than the energy industry to witness the Commonwealth’s remarkable economic growth.

However, expansion of such industries has led to increased demand for highly skilled professionals. In order to address this challenge, L&I launched the JobGateway initiative in 2012. This program is designed to match qualified job seekers with appropriate employment opportunities in one easy location.

Another potent challenge confronting business is the burdensome Capital Stock and Franchise Tax (CSFT). The CSFT unnecessarily taxes companies based on their assets. My administration has continued phasing out the CSFT and it is set to expire in 2016.

I’ve built a business twice in Pennsylvania — a business that pays living wages, provides great benefits, and shares 20 to 30 percent profits with employees. To really tackle the challenges facing the business community, we need a leader who understands them — I believe I am that leader.

We need to level the playing field for small businesses by closing corporate tax loopholes, making sure all corporations pay their fair share, and reducing the corporate net income tax.

We need to close the skills gap by strengthening our education system and making sure all residents are equipped with 21st century skills.

Lastly, we need to improve our infrastructure by investing in 21st century improvements that connect major markets across the state and make the Commonwealth the destination for world imports and exports.

In your opinion, what role should the government play in creating more private sector jobs?

I believe it is imperative that state government foster an environment designed to promote private sector job creation. This goal is achieved, in my opinion, by reducing tax and regulatory burdens on business. The role of government is to provide private industry with the resources necessary to succeed without needless impediments to growth.

Working in partnership with industry over the past four years, my administration has implemented innovative programs charged with spurring job creation. For example, the Keystone Works initiative enables Pennsylvanians to learn the skills needed for a new profession while receiving unemployment compensation benefits.

We have seen the positive effects of this paradigm since 2011. Private industry has created over 180,000 jobs and our unemployment rate has plummeted from 8.1 percent to 5.7 percent.

Job creation is the most important issue facing the Commonwealth. I’ve spent my life creating jobs — I know what our government needs to do to create more jobs.We need to level the playing field by closing tax loopholes, which will allow us to lower corporate taxes and reduce the burden on business owners. Additionally, we must ensure tax credits are rewarding businesses that are creating and maintaining family-sustaining jobs. For example, in my manufacturing plan, I propose a Made In Pennsylvania “cash-back” jobs creation program, which will reward manufacturers creating middle-class jobs.

We also need to build a 21st century infrastructure that can move goods efficiently, leverage the work of our universities by moving theoretical ideas to the market, and close the skills gap by investing in education.

Do you place pension reform as a high priority, and what measures would you put forth to enact meaningful reform?

Pennsylvania is in the midst of a devastating pension crisis. The two statewide pension systems — SERS and PSERS — are a combined $50 billion in debt. More than 60 cents of every new $1 in state revenue must be committed to the Commonwealth’s growing pension liability. In just three short years — if no action is taken — the pension debt will balloon to $65 billion.

It is for this reason that my administration has actively lobbied the General Assembly to enact meaningful pension reform. The Commonwealth must continue examining methods of transitioning employees from a defined benefit pension plan to a defined contribution system.

Such action must be taken immediately in order to preserve our obligation to existing beneficiaries while protecting the future fiscal health of Pennsylvania.

Our current pension situation is the direct result of almost 10 years of leaders in Harrisburg kicking the can down the road and the state paying less than its fair share. What we’re seeing from Governor Corbett is more political games — he is pushing a plan that creates no immediate savings for taxpayers.

As governor, I will let Act 120 work and create innovative solutions that are fiscally responsible and fair and beneficial to taxpayers and future employees.

How do you plan to deal with the skyrocketing property tax issue that will impact Pennsylvania’s business owners and homeowners across the board?

Pennsylvania’s property tax system is generating an increasingly unsustainable burden on our businesses and homeowners. The root cause of skyrocketing property taxes is the Commonwealth’s $50-billion unfunded pension liability.

Last year alone, 99.4 percent of school districts requesting to raise property taxes above the rate of inflation cited growing pension costs as the reason for the increase. This burden has a direct impact on businesses and homeowners who are reluctant to purchase new facilities or renovate because the rate of property taxes are cost-prohibitive.

In order to address the property tax issue, we must solve the pension crisis. Inaction will result in continued fiscal uncertainty for school districts, which will lead to tax increases for property owners.

Over the past four years, Governor Corbett’s $1 billion education cuts have led to over 20,000 educators losing their jobs, valuable programs being eliminated, class sizes dramatically increasing, and burdensome property tax increases.

As governor, I will restore Governor Corbett’s $1 billion cuts and work to increase the state’s share of education funding with the goal of covering 50 percent of the costs. A reasonable 5-percent severance tax on natural gas will allow us to make significant new investments in education. This will help alleviate the property tax burden on business owners and homeowners while ensuring that students have the resources to succeed in school.

October 2014 > www.mbabizmag.com > 11

Page 16: Business Magazine - October 2014

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Page 17: Business Magazine - October 2014

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sCompanyPROFILERog’s, Inc. &Hedderick Properties327 E. 18th StreetErie, PA 16503

Phone:814/453-6781 (Rog’s) &814/456-1076 (Hedderick Properties)

Website:www.rogsinc.com

All riggers are not created equal. The question is not how long a rigging company has been in business, but how long those running the company have been in the rigging and crane busi-ness. Rigging, by its very nature, is a complex service — not for the novice or faint of heart. No two jobs are ever alike — and even if they involve moving the same kind of machinery, every location has its own unique cir-cumstances, and every machine its own challenges. Obstacles are common and challenges are an everyday occurrence in the rigging business, but it is the rigger’s responsibility to possess the knowledge, the expertise, and the equipment necessary to overcome those challenges and complete the job in a safe and timely fashion. The customer deserves to know that their rig-ger, from management to crew, has “been down the road” in the rigging business, and has the qualifications and the versatil-ity of equipment necessary to handle their project, no mat-ter what may come. What that means is, the customer’s only concern should be: “Where do I send the check?” Rog’s, Inc. Rog’s, Inc. is a second- generation rigging company, begun in 1957 by Roger Hedderick, and carried on by

sons Gaven, owner; Scott, projects manager; and Vern, maintenance and warehouse manager. These men have been in the rigging business since their teenage years. Vocation-ally, rigging is all they have ever known. This is not a new venture for them, but a lifelong career. They have assembled a crew of OSHA-certified riggers and crane operators who work together every day moving all types and sizes of machinery in all types of applications. The qualified crew and management of Rog’s, coupled with its variety of cranes (up to 100-ton capacity) and its fleet of specialized and tradi-tional forklifts (up to 80,000 lb. capacity), assures its customers that their project will be handled safely and professionally.Hedderick Properties Along with its rigging and crane service, Rog’s has a warehous-ing division named Hedderick Properties, with 12 warehouses and more than 162,000 square feet of indoor storage. The 24,000-square-foot Machinery Distribution Center allows Rog’s to receive and store machinery until the customer is ready for it. All unloading and loading is done inside the building, not out in the weather.When choosing a rigger, remem-ber, all riggers are not created equal, so choose wisely!

All Riggers Are Not Created Equal

Rog’s, Inc., headquartered in Erie, Pennsylvania, is the area’s largest and most fully equipped rigging company. The operation has a forklift for nearly every need and through its warehousing division, Hedderick Properties, features 12 onsite warehouses, with more than 162,000 square feet of under-roof storage space. October 2014 > www.mbabizmag.com > 13

Page 18: Business Magazine - October 2014

Employers’ Energy Allianceof Pennsylvania, Inc.

TODAY IS A GOOD DAY TOLOWER YOUR ENERGY COSTS.

Trust & ExpertiseWe’ve helped hundreds of companies of every size and type save millions of dollars on their electricity costs, and we’re here to help you too! Our energy experts will answer your questions, review all available options and help you develop an effective, efficient energy strategy that manages your risk and maximizes your savings.

Expanded SuppliersOur expanded supplier network helps you price compare with the industry’s leading energy providers bidding for your business — saving you the time and aggravation of shopping yourself.

Scalable Plan Options We know your energy needs are unique to your business. That’s why we offer a full range of variable and fixed products, as well as blended options for larger energy users, to meet your specific requirements.

Raving Fan ServiceAs an MBA member, it’s what you’ve come to expect. From a thorough energy assessment to auditing of your monthly bills, our goal is to create a long-term solution that delivers the best possible energy savings for you — starting today.

Free Cost AnalysisContact Chuck Jenkins at 814/833-3200, 800/815-2660 or [email protected].

Page 19: Business Magazine - October 2014

Employers’ Energy Allianceof Pennsylvania, Inc.

TODAY IS A GOOD DAY TOLOWER YOUR ENERGY COSTS.

Trust & ExpertiseWe’ve helped hundreds of companies of every size and type save millions of dollars on their electricity costs, and we’re here to help you too! Our energy experts will answer your questions, review all available options and help you develop an effective, efficient energy strategy that manages your risk and maximizes your savings.

Expanded SuppliersOur expanded supplier network helps you price compare with the industry’s leading energy providers bidding for your business — saving you the time and aggravation of shopping yourself.

Scalable Plan Options We know your energy needs are unique to your business. That’s why we offer a full range of variable and fixed products, as well as blended options for larger energy users, to meet your specific requirements.

Raving Fan ServiceAs an MBA member, it’s what you’ve come to expect. From a thorough energy assessment to auditing of your monthly bills, our goal is to create a long-term solution that delivers the best possible energy savings for you — starting today.

Free Cost AnalysisContact Chuck Jenkins at 814/833-3200, 800/815-2660 or [email protected].

Improve Your IT NOW! Announcing the CIO-for-HIRE Program

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Several NWPA manufacturers have struggled with ERP, CRM and eCommerce systems projects recently. With higher than anticipated costs, time and resources.

Let a NWIRC affiliated consultant reduce your risk! By assisting you in the development of a systems procurement RFQ including baseline requirements, providing unbiased assessments of multiple vendor solutions including software and hardware options, and knowing systems requirements for your business type, it’s like having a CIO on your staff! And it’s affordable! See www.nwirc.org.

October 2014 > www.mbabizmag.com > 15

Page 20: Business Magazine - October 2014

Across the country, thousands of manufacturers and technical schools will join together and open their doors to showcase the potential of modern manufacturing and foster interest in manufacturing careers to kick off the third annual Manufacturing Day on Friday, October 3.

The national event presents an opportunity for a wide range of activities — from open house tours of manufacturing facilities and educational programs at community and technical colleges, to professional conferences and job fairs. The Manufacturer & Business Association, for one, is raising awareness in the Business Magazine’s fifth annual Made in PA edition and hosting the Erie premiere of the major motion picture “American Made Movie” on October 3.

Here in the Keystone State, where manufacturing represents more than half a million high-wage jobs and is the second largest contributor to the gross state product, there is a growing interest for Pennsylvania’s nearly 15,000 manufacturing firms to participate.

LORD Corporation, a diversified tech and manufacturing company that develops adhesives, coatings, motion control and sensing tech in the aerospace, automotive and industrial markets, already has announced that it will be providing scheduled tours with the local schools on Manufacturing Day. The tours will be conducted at the company’s new Erie Robison Road facility and in Cambridge Springs.

“Manufacturing Day provides us an opportunity to highlight that today’s manufacturing plants are well organized, highly innovative and create tangible value for the economy,” notes Will Hinkston, vice president of Global Operations at LORD. “With higher wages and the ability to see the outcome of your efforts, a career in manufacturing is rewarding and provides a great sense of teamwork.”

Meanwhile, in Meadville, Tech Molded Plastics, a family owned injection molded plastics company, will be hosting tours of its facility for students from the Crawford Central School District, providing insight about its products and services, as well as promoting careers in local manufacturing.

H&H Machined Products Co., a manufacturer of precision component parts in Fairview, and Industrial Sales & Mfg., Inc., a full-service manufacturer in Millcreek Township, are also teaming up for a tour of their facilities to guidance counselors in December, while Plastikos & Micro Mold, headquartered in Erie, are planning to host detailed tours for select high school students, who are enrolled in technical training programs. Reddog Industries also will schedule private tours for groups of up to 15 people on October 3 and after. The Erie-based manufacturer specializes in large component precision machining, design and manufacture of high-pressure plastic injection molds and aluminum and zinc die-cast dies.

Bill Hilbert Jr., president of Reddog Industries and vice chairman of the Manufacturer & Business Association Board of Governors, says the event is a great way for local industries and technical schools to get the word out about the importance of manufacturing and manufacturing careers.

“Manufacturers in the Erie region have evolved into a very specialized and highly efficient industry; good, safe manufacturing jobs are available, but there is a severe shortage of candidates to fill these positions,” Hilbert says. “We need to communicate to the students and their parents that college is not the answer for everyone. If a student pursues technical training or an associate degree program and considers a co-op program or similar programs offered through the local high schools and technical schools, good-paying jobs are available. “

5TH ANNUALMADE IN PA:

AREA FIRMS SHOWCASE INNOVATION, CAREERS FOR MANUFACTURING DAY

“As manufacturers, we need to communicate and open our doors

to allow students to see inside, ask questions and learn about the

awesome opportunities offered right here in Erie.”

- Bill Hilbert Jr., Reddog Industries

16 < www.mbabizmag.com < October 2014

Page 21: Business Magazine - October 2014

According to Hilbert, the shortage of these skilled workers allows anyone entering the field of welding, machining or any type of metal working a unique advantage, strong job security and the ability to command a very high wage and comfortable quality of life.

“Anyone we have hired in the past five years has been trained locally in our technical schools and most have participated in a co-op program; all are now full-time employees and doing very well receiving high praise from our journeyman,” he adds. “As manufacturers, we need to communicate and open our doors to allow students to see inside, ask questions and learn about the awesome opportunities offered right here in Erie.”

At Erie Institute of Technology (EIT), a technical trade school, employers and manufacturers have been invited to join faculty, staff and students to help celebrate and educate the community about manufacturing through product displays, presentations and videos.

“We want to dispel outdated myths about trade careers, inspire a new generation of manufacturers and connect with our community,” states Craig Cook, EIT’s director of Industry Specific Training and Continuing Education. “This is our chance to show young adults that a technical education can open the door to a multitude of exciting and fulfilling professions.”

Students from approximately 90 high schools throughout Erie, Warren and Crawford County in Pennsylvania, Ashtabula County in Ohio and Chautauqua County in New York are expected. The technical school also will have representatives from Edinboro and Clarion universities, which EIT has partnered with to offer technical associate’s degree programs for those looking for a college degree with technical training.

“The spirit of this event is to show students the products made in our area and alternatives to a four- or six-year college degree program,” adds Cook. “We get telephone calls here weekly from companies looking for graduates from our programs that we just can’t supply. The story is always very similar — experienced employees are looking at retirement, and they are looking for new employees with basic technical skills to be groomed to take their place.”

Getting InvolvedOrganizers expect more than 1,500 manufacturing events across the country are estimated to mark this year’s Manufacturing Day, and many will host educational activities in their communities throughout the year.

Tech Molded Plastics, for one, participates in numerous programs that reach area students, including ASM Materials Camp at Allegheny College and the RoboBots competition. Plastikos & Micro Mold also actively support local high school manufacturing educational programs, such as Central Tech High School’s effort to revitalize its Tool & Die Program. The companies recently donated a 60-ton DeMag injection molding machine to Central Tech, which will help prepare students for future career opportunities in the growing high-tech, moldmaking and plastics industry.

“Today’s manufacturing is about advanced technologies, state-of-the-art facilities and fast-paced work environments,” said Jennifer McNelly, president of The Manufacturing Institute of the importance of educating the public on the manufacturing industry of today. “Manufacturing Day expands knowledge and improves public perception about manufacturing by giving manufacturers an opportunity to open their doors and show, in a coordinated effort, what manufacturing really is.”

“By introducing local communities to their manufacturing sector and demonstrat-ing the contribution that manufacturing makes to the local economy, we can ensure a better future and way of life for our children and grandchildren,” added Ed Youdell, president and CEO of the Fabricators & Manufacturers Association, which first founded the event in 2011. “Our future depends on our ability to strengthen and advance this vital sector of the nation’s economy.”

To learn more about Manufacturing Day, visit www.mfgday.com.

October 2014 > www.mbabizmag.com > 17

Page 22: Business Magazine - October 2014

“Manufacturing is all about people and processes. The better you are at hiring, training and retaining employees, and developing robust manufacturing

processes, the more productive and market competitive you’ll be. Manufacturing is on the rise, which brings about even more competition both home and abroad. Staying ahead with technology can really be accomplished by great people and processes. I am proud to have our manufacturing processes in Northwest PA and applaud all our employees on their dedication to making American Turned Products a premier global manufacturer of precision machined parts.”

— B. Scott Eighmy, CEO

“Manufacturing is the bloodline of a strong economy. Manufacturing incorporates the raw materials supplied by others and then through the resources of man and machine creates a new identity for the ingredients that end up being sold to those who want or need them. Manufacturing brings ideas and dreams to life through the hands of others. Our future will be shaped by our ability to create products, not just services, that continue to meet the needs of the future. Manufacturing is where it’s at!”

— Joseph A. Pacinelli, President

“History – Many historical events and accomplishments were made possible through manufacturing. Pride – People who work in manufacturing seem to know that they are part of something bigger than themselves and are proud of the products they make. Family – The satisfaction an individual feels to provide for their household. Opportunity – The prospect an individual has to advance their skills

and talents through classroom and on-the-job training.

Manufacturing at its rudimentary form is the basis of all manmade things around us. Think of where we would be today without anything to write with, sit on, travel in or on, listen to, drink from or eat with. Manufacturing and its long-term effects will forever shape our world as we know it.”

— Custom Engineering Management

“GE shipped our first locomotive more than 100 years ago. Since then, we have been understanding customer needs, developing world-class technology & delivering the highest-quality products and services at competitive costs, on-time with our highly skilled work force. That hasn’t changed; nor has our pride. A sign on our plant floor reads, ’World’s finest locomotive business.’ And we continue to evolve. Grove City is the world’s largest diesel engine plant. Erie’s

locomotives and kits are shipped to developing countries. New technology and services are being designed to drive productivity and predictability. It’s made in America, but built for the world.”

— GE Transportation Management

“As a locally owned and operated family business of 86 years, Howard Industries knows the importance of lineage in manufacturing, not only to the residents of Erie County, but to all of those living and working in communities across America. The manufacturing sector is the lifeblood of any society as a whole; in addition to providing much needed vocational employment positions to skilled laborers, it also provides

a nation a vital position within the global economy. A nation void of manufacturing is left to economic decline and inevitable squalor.”

— Gary Schneider, CEO

“Manufacturing means everything to ISM. Our goal is to be an extension of Original Equipment Manufacturers capability. The ability to create value for both our customers and the end user of

their products. For our family and company, it has been fascinating, exhilarating and life changing to be part of the latest technological changes in our world. The ability to leverage technology to continue to provide greater value for our team members and clients. It is truly breathtaking to watch how the future of the Internet and things will continue to shape our culture and future going forward into the next 20 years.”

— Jim Rutkowski Jr., General Manager

“On behalf of the associates at Matric, I believe that manufacturing is our privilege to manufacture products that enhance the human experience of people, quite literally, around the world. This enhancement comes through products that save lives, improve safety, improve

efficiency and productivity, and provide capabilities never thought possible. It brings jobs, training and career opportunities to our area. It has even recently brought a movement to re-shore electronics from China back to the United States. Manufacturing in our industry utilizes state-of-the-art technologies and equipment, but without our talented associates, the equipment is inoperable. Today’s electronics are becoming ever-smaller and the equipment used to manufacture modern printed circuit boards is becoming more sophisticated. As the electronics manufacturing revolution unfolds, Matric is committed to be at the forefront required to be an industry leader.”

— Rick Turner, President and Owner

“Manufacturing is the life blood of our country, our state and of Erie County. Building a stronger manufacturing base is a major factor in strengthening our economy and keeping jobs in America.”

— Paul Bowser, President

“When I was growing up, manufacturing meant good jobs that were the economic backbone of our community. Today, after years of upheaval, macroeconomic forces are causing a rebirth in American manufacturing, and, as a result, we have the opportunity to continue to fill that role. At our company, we invest in the most advanced equipment and create an organizational culture where everyone is a stakeholder in the companies’

success. That’s what we do every day, and that’s how we create the manufacturing careers of tomorrow at McInnes Rolled Rings.”

— MBA Board of Governors Chairman Timothy M. Hunter, President and CEO

“The key to Plastek’s success is its hard working and dedicated work force. The culture and work ethic is common in all divisions, worldwide, and is focused on satisfying the customer and making them want to come back to Plastek for more. It is an extremely competitive plastics industry with very little margin for error. Plastek’s employees know this and strive, each and every day, to keep the customer satisfied and coming back. That focus will continue to keep Plastek moving forward into the future.”

— Dennis J. Prischak, President and CEO

“Manufacturing is a vital pathway to achieving the American Dream, and I, for one, am a living example of this. When I was a boy growing up in Hickory Township in Forest County during the Great Depression, I started

out with very little and through education, hard work, innovation and investment have created the largest privately owned rack manufacturer in North America. I take great pride in this accomplishment. For myself, my family and our employees, manufacturing is a way of life; it creates family-sustaining jobs, wealth and unlimited opportunities for our community to grow and prosper.”

— John B. Pellegrino Sr., P.E., President and CEO

“Manufacturers make products that improve the human condition. To borrow a phrase, manufacturing brings good things to life!”

— Klaus Fischer, President

In commemoration of national Manufacturing Day, the Business Magazine asked manufacturers in Pennsylvania to answer the question “What Does Manufacturing Mean to You?”

18 < www.mbabizmag.com < October 2014

Page 23: Business Magazine - October 2014

As we at American Turned Products celebrate 30 years in business, we’d like to thank our dedicated employees, customers and suppliers who have been instrumental in making us a global leader in contract precision machining.

30 YEARS STRONG.

WWW.ATPTEAM.COM(814) 474-4200

Page 24: Business Magazine - October 2014

Getting it doneGetting it done for over 45 years.With a comprehensive set of services, and a multi-million dollar investment in equipment and technology, we are ‘getting it done’ better and faster than you’ll find anywhere.

Learn how at ismerie.com or call us today.

2609 W. 12th St. • Erie, Pa. 16505 • 814-833-9876 • Fax: 814-838-6250 • www.ismerie.com

Mazak 5 Axis, Integrex i-300S

Five Flexible Manufacturing Cells with (11) horizontal machining centers and 157 pallets

5 – Axis Machining with Mazak Integrex

CNC Turning (7 centers)

CNC Milling and Turning (3 centers)

Vertical Milling (10 centers)

Horizontal Milling (6 centers)

High Speed Sawing

3D Laser Cutting

High Definition Plasma Burning

Robotic Welding

MIG/TiG/ARC Welding

Punching

Cutting

Bending

Forming

machining Fabrication assemblyPowder Coating

Painting

Testing

Cleaning

High Speed Drilling and Tapping Cell

Splining & Gearing

Broaching

Dual Turn Lathes with Live Tooling Centers

multi-million dollar investmentOver 2mm adding Fiber Laser, 170 ton 6 axis Brake Press

and Robotic Welding Cells.

20 < www.mbabizmag.com < October 2014

Page 25: Business Magazine - October 2014
Page 26: Business Magazine - October 2014

HRConnectionSURVEY: DRUG USE DISQUALIFIES NEARLY 33 PERCENT OF JOBSEEK-ERS IN MANUFACTURING SECTOROne-third of all applicants for well-paying jobs in Pennsylvania’s manufacturing sector are ineligible due to drug use or avoiding a drug test, according to a new study commissioned by the Pennsylvania Manufacturers’ Association (PMA) and conducted by Tel Opinion Research.

The PMA survey of 200 manufacturing business executives focused on their companies’ experience with drug testing and its impact on their work force.

The executives reported that 19 percent of job applicants either refused to take a drug test or did not show up for a drug test that was required as a condition of employment. The fact that almost one in five potential employees

does not complete the required pre-employment drug test underscores the difficulty many employers face in finding reliable and dependable workers. When combined with the shortage of skilled workers, employers often report that finding qualified workers remains a struggle; this is just another reason that more than 8,000 Pennsylvania manufacturing jobs remain unfilled.

Positive trends do indicate that fewer employees are lost due to random screenings once employed than are lost in the hiring process. This may be in part due to employees’ knowledge that random drug screenings are a condition of their employment.

SURVEY: ONE IN FIVE MANUFAC-TURING FIRMS LOST IP DUE TO SECURITY BREACHESAccording to a survey of businesses’

IT managers worldwide, 21 percent of manufacturers suffered a loss of intellectual property (IP) within the past year. Malware was the most common cause of data loss incidents for manufactures, although other types of cyber-incidents — including software vulnerabilities, theft of mobile devices, network intrusion, etc. — were also cited as sources of IP leakage.

When asked about the cause of their most serious data loss event within the past 12 months, “Malware” was the most common cause, cited by 23 percent of manufacturers. Manufactures also reported other sources of incidents leading to data loss, including “Software Vulnerabilities” (8 percent), “Network Intrusion” (8 percent), “Information Leaked on Mobile Devices” (5 percent), and “Targeted Attacks” (3 percent).

Services:• Design/DFM Support• Prototype/NPI Services• PCB Assembly• Cable Assembly• Box Build• Test/Test Development• Direct Order Fulfillment• Depot Repair Services

Industries:• Aerospace• Communications• Defense• Medical• Industrial • Network/Storage• Transportation

AccuSpec Electronics, a member of the Armstrong Group of Companies, is a world-class Contract Electronics Manufacturer

located in Erie, PA at the intersection on I-79 and I-90.

22 < www.mbabizmag.com < October 2014

Page 27: Business Magazine - October 2014

DEPARTMENTS>Contact: Stacey Bruce

In June, Governor Tom Corbett and other top state officials brokered an updated agreement between Highmark and UPMC. This agreement did not extend the contract between the two insurance giants but rather clarified the transition coverage for patients within the health systems represented by these carriers. These UPMC Hospitals will continue to be in-network for Highmark users:• Children’s Hospital of Pittsburgh UPMC

— contract expires June 30, 2022• UPMC Altoona, UPMC Bedford, UPMC

Hamot/Kane Community Hospital, UPMC Horizon, UPMC Northwest, Western Psychiatric Institute and Clinic and Hillman Cancer Center — contract expires December 31, 2019

• UPMC Mercy — contract expires June 30, 2016

These UPMC Hospitals will be out-of-network effective January 1, 2015: Magee’s Women’s Hospital of UPMC, UPMC East, UPMC McKeesport, UPMC St. Margaret, UPMC Passavant and UPMC

Presbyterian-Shadyside.Patients in the midst of care should also note:• ER Access — Highmark members

who seek care at any UPMC ER will be covered at in-network rates. This care includes the ER visit and any inpatient admission and continuity of care.

• Cancer Coverage — Highmark members have in-network access to all UPMC services, facilities, doctors and joint ventures for oncology care and complications of such care.

• Continuation of Care — All mem-bers in a continuing course of treat-ment with a UPMC provider can con-tinue to receive care on an in-network basis at in-network prices.

• Seniors — All seniors have access to UPMC providers on an in-network basis.

• Safety Net — Any existing UPMC patient who is a Highmark member and who received in-network care from UPMC in 2014, can continue to receive care from that same provider in 2015, if those members are unable to find an

alternative physician in their area. • Physicians — In–network access pro-

vided to all UPMC-owned physicians located outside the five-county area of Greater Pittsburgh area, to all UPMC-owned physicians practicing at any of the UPMC exception hospitals or com-munity hospitals, to all UPMC-owned oncology providers, to all UPMC pe-diatricians, and to all UPMC behavioral health providers.

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

Health Insurers Clarify Coverage Agreement

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

Corry Metal Furniture

Let’s create a world class workspace for your business.

Quality custom furniture from Corry, Pennsylvania for businesses, schools,

and libraries.

21 Maple Avenue Corry, PA 16407

Telephone: 814-665-8221www.corrymetalfurniture.com

October 2014 > www.mbabizmag.com > 23

Page 28: Business Magazine - October 2014

Large-Scale Fabrication & Machining Tolerance to .0005 inchesProduction OutsourcingPrototype DevelopmentHigh-Volume Parts MachiningComplex Part ProductionPrecision Machined Components

Custom Engineering • Venango Machine • Lamjen, Inc.

Your Single SourceCustom Group Industries...

Everything from Large-Scale Metal Fabrications to Precision Machined Parts

www.CustomEng.com www.VenangoMachine.com www.Lamjen.com

THE

24 < www.mbabizmag.com < October 2014

Page 29: Business Magazine - October 2014

Choose a Skinner steam turbine to do your driving. You can always count on it to get where you want to go.

A “DESIGNATED DRIVER” FOR YOUR ROTATING EQUIPMENT

Skinner Power Systems, LLC8214 Edinboro Road

Erie, Pennsylvania 16509 U.S.A.

Skinner Single-Stage Steam Turbines are driving a wide variety of rotating equipment for customers worldwide--efficiently, economically, and reliably—often under conditions that cause other drivers to drop out. Over 10,000 Skinner turbines have been built to drive pumps, fans, generators, compressors, sugar-mill shredders and cane cutters—to name just a few applications. The Skinner turbine’s simplicity and dependability make it one of the most popular machines of its kind in the world.

We offer a choice of models for your particular applications up to 3000 HP with sleeve bearings or ball bearings and models meeting API 611 standards. And we stock 100% genuine Skinner parts to keep your operation running day and night at top efficiency.

For quick delivery at a low cost, call us Toll Free at 877-868-8577 or visit our website www.skinnerpowersystems.net to learn more about our capabilities to serve as your “designated driver”.

Contact: Ray Hanobik Work (412) 264-3077 Cell (412) 427-6206

Page 30: Business Magazine - October 2014

DOES OSHA REQUIRE MEDI-CAL EVALUATIONS FOR WORKERS WHOSE ONLY RESPIRATOR USE WOULD BE USING AN ESCAPE-ONLY RESPIRATOR IN AN EMER-GENCY SITUATION?The Occupational Safety and Health Administration’s (OSHA) current policy states that the employer does not have to provide a medical evaluation for employees whose only respirator use would be the use of escape-only respirators. An Emergency Life Support Apparatus (ELSA) is a National Institute of Occupational Safety and Health (NIOSH)-approved escape-only respirator, which provides less than 30 minutes of breathing air. If a self-contained breathing apparatus were to be used in an emergency, a medical evaluation

following §1910.134(e) would be required.

DO EMPLOYERS HAVE TO PAY FOR PPE?OSHA has issued its final rule on employer-paid personal protective equipment (PPE). Under the rule, all PPE, with few exceptions, will be provided at no cost to the employee.

WHO’S COVERED?The new rule affects most of the agency’s PPE standards, including Parts: 1910 General Industry, 1926 Construction, 1915 Shipyards, 1917 Marine terminals, and 1918 Longshoring.

The regulatory text is almost the same for each of the industries. There are only small changes from one industry to the next.

HRQ&A

Contractors & Construction Managers Since 1906

Erie, Pennsylvania • Jamestown, New Yorkwww.eeaustin.com

Every day E.E. Austin lays its tradition of construction excellenceon the line. Our extensive list of satisfied clients is testimony toAustin keeping its longstanding promise: “Do the right thing... all the time”.

It’s a promise we’ve kept with pride for more than a century... and it’s our promise to you. It’s the Austin Difference.

HEALTHCARE • EDUCATION • INSTITUTIONAL • RETAIL & HOSPITALITY • INDUSTRIAL • CONCRETE

The Austin Difference

Austin_MBAAds2012v2_Layout 1 6/13/12 8:55 AM Page 1

26 < www.mbabizmag.com < October 2014

Page 31: Business Magazine - October 2014

Stacey Bruce is the director of HR Services at the Manufacturer & Business Association.

Is your safety committee as productive as it should be? Your company values the committee, has high expectations for it, and pours substantial resources into it. But is that enough? Failure to articulate a purpose and top-heavy management representation are among mistakes to avoid when establishing a safety committee.

According to HR.BLR.com, below are some common pitfalls that hold safety committees back from success:

• Unclear roles. Do members know their roles on the committee? Develop a written agreement or mission statement that clearly defines the committee’s functions and member duties. Among other things, it should ensure that the committee meets regulatory requirements and communicates with employees about its activities.

• No budget. A committee should be con-sidered an investment, and management needs to provide adequate tools and re- sources. Funds may be needed for

member training and to conduct safety and health fairs and other activities.

• Size. The size of the organization and the hazards workers face should influence the type and size of a committee. Keep committees relatively small so that all members can participate actively. Subcommittees can be established for special projects. Many large employers have multiple committees that serve individual divisions, buildings or shifts.

• Failure to orient new members. Those new to the committee may be unaware of group dynamics and past issues. Bring new members up to speed by providing minutes and other documents. If possible, let departing members orient the newcomers.

• Lack of follow-up. Committees can rise and fall on their reputation for doing what they say they will do. Committee leaders should request formal status reports and should review assignments at the end of each meeting to keep everyone on the

same page. Many committee agendas list not only the topic to be discussed, but also the person responsible for seeing the issue through.

• Lackluster participation. The experts say the best members are active, involved participants who eagerly share their passion for safety with their coworkers. Leaders should find ways to get all members involved and fully representing their department or work group.

For more information about safety in the workplace, contact the Association at 814/833-3200 or 800/815-2660.

Avoid the Pitfalls in Keeping Safety Committees Productive

HRQ&ADEPARTMENTS>Contact: Stacey Bruce

From Recognized Professionals “Insurance Management Company earned our business by taking the time to study our complex operations and then offer thinking that was unique and very creative. They became a trusted advisor.”

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October 2014 > www.mbabizmag.com > 27

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FRAC IRON recertification for Marcellus

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HR Essential Certification Series — ErieFrom left: Esther Kostelnik, Ainsworth Pet Nutrition and Association HR Specialist Robyn Hopper.

HR Essential Certification Series — ErieFrom left: Holly Alexander, Green Prosthetics and Orthopedics; Amanda Kuhl, Erie Retinal Surgery; Ashley Ritchey, Fostermation, Inc.; Cheryl Van Riper, Shults Management Company; and Robyn Hopper, Association HR specialist.

HR Essential Certification Series — ErieFrom left: Mary Wood, Frontier Energy Services; Linda Wilkinson, Independence Court of Erie; Robyn Hopper, Association HR Specialist; and Tawny Crocker, DRS of Erie County, Inc.

HR Essential Certification Series — ErieFrom left: Martina Sprong, Fisher & Ludlow; Association HR Specialist Robyn Hopper; and Jeanne Richter, Erie Insurance.

Events2014 Training GraduatesThe Manufacturer & Business Association recently held a series of luncheons to recognize the more than 200 graduates of its professional development and computer training programs. Visit www.mbabizmag.com for complete photo coverage. For upcoming training courses, visit www.mbausa.org.

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Certified Supervisory Skills Series — Erie From left: Christine Dance and Jennifer Karle, County of Erie; and Michelle Izbicki, Shelly Ferritto and Holly Brown, Erie Homes for Children and Adults.

Back row, from left: Chris Whitman, County of Erie; Kim Fabrizio, Erie Homes for Children and Adults; Dawit Tadesse, ACL/Quest Diagnostics; Lee Smith, Eriez Magnetics; and Janice Smock, Molded Fiberglass and Paul Rizzo, The Electric Materials Company.

Certified Supervisory Skills Series — ErieFront row, from left: Jose Cedeno, Accuspec; Julie Dana, CMI Energy, LLC; Robert Conner, McInnes Rolled Rings; Nicole Yokom, Widget Financial; Crystal Ciallella, Erie Homes for Children and Adults; Michelle Wescott, Regional Cancer Center; and and Brian Hazlett, Rehrig Pacific Company.

Back row, from left: Paul Baxter, Heatron Inc.; Seth Merry, Corry Forge Company; Benjamin Quigley, McInnes Rolled Rings; Christopher Cedzo, Eriez Manufacturing; Fred Jones and Geoffrey Bach, Widget Financial; and Tamrea Tregaskis, Erie Homes for Children and Adults.

Not Pictured: Scott King, Accuride and Mike Winchester, Rehrig Pacific Company.

Leadership for Team Leaders — Erie Front row, from left: Paul Lanphere, Ridg-U-Rak; Kelly Cook, Hand & Upper Body Rehab; Justine Parcher, Arrow Electric Inc.; Chase Hamilton and Michael Colvin, Superior Tire & Rubber Corporation; Greg Garrity, Custom Engineering; and Joe Quinn, Titan Tool Co.

Back row, from left: Corey Coleson, Superior Tire & Rubber Corporation; Stephen Respress, Modern Industries, Inc.; Haris Kulo, Industrial Sales & Mfg; Charles Crooks, Superior Tire & Rubber Corporation; Will Boozel, Custom Engineering; Martin Swoger and John Adams, Ridg-U-Rak, Inc.; and David Bane, Customer Engineering.

Certified Supervisory Skills Series — St. Marys Front row, from left: Tracy Liller, SMC Powder Metallurgy, Inc.; Jennifer Klaiber; and Tammy Emerson, McKean County Redevelopment and Housing Authority.

Back row, from left: John Feldbauer, Mersen USA; Carl Jones, McKean County Redevelopment and Housing Authority; and Chuck Hetrick, BFG Manufacturing Services, Inc.

Computer Software Specialist — ErieFront row, from left: Lisa Tuzynski and Julia Swanson, Erie Insurance Group; Jessica Hammill, Rehrig Pacific Company; Tammy Drayer, LJ Development Inc.; and Association Computer Training Manager Amy Pontillo.

Back row, from left: Nicole Swanson, Stairways Behavioral Health; Elizabeth Brown, LJ Development Inc.; Dané Truitt and Michelle Fetzner, Erie Insurance Group; and Laureen Spring, Glenwood Beer Distributors Inc.

Certified Supervisory Skills Series - Corry Front row, from left: Amanda Higley and Valerie Bridgham, Corry Manufacturing; Nick Jawdy, Bud Kressler and Wilbur Bush, Parker Hannifin.

Back row, from left: Jim Nichols, Corry Manufacturing; Jason Halfast, Snyder’s Napa Auto Sales; and Cody Hanson, Parker Hannifin.

October 2014 > www.mbabizmag.com > 31

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PeopleBuzzATLAS PRESSED METALS EXPANDS TEAMDubois, Pennsylvania-based Atlas Pressed Metals, manufacturers of precision powdered metal products and associated services, recently announced four new hires to its professional staff.

Thomas Krug Sr. has joined the company as production coordinator. Krug has more than 35 years of manufactur-ing experience, includ-ing tenure as quality manager, safety facilitator, applications engineer, sales engineer and plant opera-tions manager for various manufacturing facilities throughout Pennsylvania and in North Carolina. Most recently, he served as quality manager for Industrial Harness Company in Shippensburg.

As production coordinator, Krug is responsible for directing the manufactur-ing force, the equipment and secondary operations of the sintering through the

shipping departments in order to main-tain and improve upon the manufactur-ing schedule.

John Sarick, who holds a bachelor’s degree in aerospace engineer-ing, is the latest addi-tion to Atlas’ growing engineering team. He has held various roles of increasing responsibility through his 20-year powdered metal career including product, application, design and staff engineering positions. More recently, Sarick has held quality manager and engineering manager roles and has extensive experience in the automotive industry. He holds various manufactur-ing certifications, is trained in Six Sigma and is ISO/TS Supplier Auditor certified. He also holds two patents.

Sarick will be responsible for the design and development of new components and will monitor and evaluate the perfor-mance of components for Atlas’ custom-

ers in the automotive, lawn and garden, and appliance industries.

Stephanie Smith of Clarion has been added to the accounting and finance staff at Atlas. Smith brings more than 15 years of experience in accounting and project management from both the manufac-turing and finance/insurance business sectors. As cost accountant, Smith is responsible for analyzing production costs and efficiency, and working toward goals for improving on those targets. She holds a bachelor’s degree in business administration.

Erin Dixon Heath recently joined the Atlas sales team as business development manager after more than 15 years in the public sector as a strategic manufactur-ing and business adviser, most recently

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32 < www.mbabizmag.com < October 2014

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