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BRIEFLY:
Statewide indoor smoking ban effective January, 2008
Starting in January, 2008, smokers won't be able to light up inside any place of business, including manufacturing plants, anywhere in Illinois. That's when SB 500, the Smoke-free Illinois Act, becomes the law.
Illinois joins 21 other states in banning smoking in indoor public places.
When it goes into effect, the new state law will preempt 46 anti-smoking ordinances passed in various communities throughout the state. Smokers will have to go outside at least 15 feet away from entrances, something already in effect in Arlington Heights. If they violate the law and are caught, they face fines between $100 and $250. Bars, restaurants and offices that violate the law by allowing smoking face similar fines, with the third violation in a year carrying a $2,500 fine.
Midwest manufacturing output edged down in May
The Chicago Fed Midwest Manufacturing Index (CFMMI) ticked down 0.2 percent in May 2007, to a seasonally adjusted level of 104.6 (2002 = 100). Revised data show the index increased 0.4 percent in April. The Federal Reserve Board's industrial production index for manufacturing (IPMFG) was up 0.1 percent in May. Regional output in May was 0.3 percent higher than a year earlier, below the 1.9 percent increase in national output.
Three of the four of the regional industry sectors decreased in May:
Regional machinery sector output decreased 0.8 percent;
Regional auto sector inched down 0.1 percent;
Regional resource sector output edged down 0.1 percent; and
Regional steel sector output increased 0.9 percent
Source: Chicago Fed Midwest Manufacturing Index
Illinois Democrats announce "agreement" on electric rates
Senate President Emil Jones (D-Chicago), House Speaker Michael Madigan, (D-Chicago) and Attorney General Lisa Madigan (D) staged a statewide publicity sweep on July 23 to announce an agreement providing utility refunds and credits for residential customers of the state's utility companies.
The settlement preserves the competitive electric market in Illinois while providing a four-year $1 billion rate relief package for consumers, and a range of related electric industry policy changes that includes creation of a state run power procurement and generation agency. In addition, businesses using between 100 kW and 400 kW will be added to the competitive market meaning small and medium manufacturers will no longer be limited in their ability to obtain lower cost power.
"Following a long and arduous process imposed on Illinois utility companies like Commonwealth Edison, state government has come up with a plan for now," said Greg Baise, president and CEO of the Illinois Manufacturers' Association. "Time will tell whether the long term impact of this settlement will further the goals of a deregulated electric market. Nonetheless, the good news is that competition has been declared as working in Illinois for large industrial customers and is being expanded on an accelerated schedule for other manufacturers."
Under the settlement an Illinois Power Agency will be created under the auspices of the Illinois Commerce Commission and will have two functions: 1) Influence the procurement process under which state utilities will buy power, and 2) Build gas or coal generation facilities for municipalities and co-ops.
"We remain concerned about the creation of the Illinois Power Agency," said Baise. "The experience of other states who have attempted to manipulate the price of electricity through state government-run power procurement agencies has not been good, and we're not sure Illinois bureaucrats are equipped to do it any better."
Residential electric rates increased last January after having been frozen since 1997. Commercial and industrial ratepayers had been making up some of the lost revenues until this year. However, despite the business community making up for lost revenues over the last decade, lawmakers have made no effort to close the widening competitive gap created by tax credits for energy used in the manufacturing process that are now given to manufacturers in all mid-west states, except Illinois.
The Illinois House and Senate are expected to consider legislation implementing the settlement as early as this week.
NEW Federal minimum wage posting requirements for U.S. employers
July 24th was the deadline for most U.S. employers to post the new Federal minimum wage increases that were recently signed into law by the President. All workplaces subject to the Fair Labor Standards Act's minimum wage provisions are required by law to display the new rates in a conspicuous location beginning July 24, 2007 — the date of the first of three incremental increases in the Federal wage standard.
The U.S. Department of Labor has created a poster that explains the new minimum wage law to employees. Copies of the poster are available at
http://www.dol.gov/esa/regs/compliance/posters/flsa.htm
and can be downloaded and printed.
This is the first increase in the Federal minimum wage since 1997. The new rate of $7.25 per hour will be phased in over 26 months according to the following timetable:
First increase — $5.85 per hour, effective on July 24, 2007
Second increase — $6.55 per hour, one year after the first increase (July 24, 2008)
Third increase — $7.25 per hour, two years after the first increase (July 24, 2009)
U.S. EPA invites projects for Midwest Clean-Diesel grants
U.S. Environmental Protection Agency Region 5's Midwest Clean Diesel Initiative recently announced that it expects to award up to $300,000 this year in grants for diesel-emission reduction projects in Illinois, Indiana, Michigan, Minnesota, Ohio and Wisconsin. Project proposals will be accepted until September 18 and final awards are expected to be made around January 1, 2008.
Proposals may include but are not limited to diesel exhaust retrofits, vehicle replacement, idle reduction technologies or strategies, and use of cleaner burning fuels such as biodiesel. School bus projects are not eligible for these grants.
MCDI is a collaboration of federal, state and local agencies, along with communities, non-profit organizations and private companies working together to reduce emissions from diesel engines to improve air quality in the Midwest.
Diesel emissions contain large amounts of nitrogen oxides and fine particles (soot). Nitrogen oxides are precursors of ground-level ozone or smog, which is a lung irritant, while fine particles can aggravate respiratory and heart conditions.
A copy of the request for proposals is at http://www.grants.gov
and http://www.epa.gov/midwestcleandiesel. The title of the announcement is "Midwest Clean Diesel Initiative." For more information, contact Steve Marquardt by e-mail at
marquardt.steve@epa.gov.
NAM: IP data points to continued manufacturing recovery
The National Association of Manufacturers pointed to the most recent Federal Reserve report which states that overall industrial production rose 0.5 percent in June, led by a 0.6 percent rise in manufacturing output, as an indication that industry is making a recovery.
"With production expanding for a fourth-consecutive month with its strongest gains of the quarter, manufacturing is on the mend," said David Huether, the NAM's chief economist.
Manufacturing production grew by 3.4 percent in the second quarter, the fastest pace since the 4.4 percent growth in the third quarter of last year. Of the 19 major manufacturing industries, 14 increased production in the second quarter of this year.
"Three quarters of the manufacturing economy is on the rise," Huether said. "More importantly, a number of manufacturing industries that had been in recession are beginning to recover.
"Manufacturers of wood products, nonmetallic minerals and furniture all experienced growth in the second quarter for the first time in more than a year," he said. "Signs of life from the housing industry are an indication the downturn in residential investment may be easing."
Motor vehicle output also surged 13 percent in the second quarter, thanks to a rebound in consumer demand and solid export growth.
"While the up-tick in production has not reached all manufacturing industries, it is clear that the state of manufacturing improved significantly in the second quarter of the year," Huether said.
Seven strategies for successful leadership in the 21st century
Michael McFadden shares his strategies with first-time managers for successful leadership in the 21st century.
Leadership & Performance Expert Michael McFadden has released a free tip sheet for first-time managers and leaders. The seven strategies are aimed at leaders who want to maximize their potential for success in the 21st century.
"Successful leadership in the 21st century is about doing more with less — leverage. Anybody with a base level of skills can accomplish a task when all the resources are in place and in abundance," says McFadden, leadership and performance expert and founder of The Leadership Training Company.
"Most first-time managers, and even some seasoned leaders, spend much of their time giving their team boundaries and directives. However, as a leader you should liberate your people in order that you unleash the unlimited potential of resources they possess through new and innovative ideas."
McFadden says that first-time managers will break out from the pack when they dispense with old warmed over repeats with a new twist; and satisfy a parched market with fresh new innovative ideas.
If you are a first-time manager who is ready to be cutting edge in the 21st century, this seven strategy tip sheet will help you understand how to leverage your resources for maximum results.
First-Time Managers in the 21st Century: Seven Strategies
Strategy #1 Humility — Lose your ego as quickly as possible. In order to achieve best leverage you can not be stuck on being expert. Your expertise is leveraging the skills of others.
Strategy #2 Recruit Up — Get the very best people possible. The goal is not to have a team of worker bees; the goal is to have a team of problem solvers — experts.
Strategy #3 Strategic Alliances — You are the industry leader of your niche. However, who are the complimentary leaders? By discovering the complimentary leaders, you create opportunities for partnerships with groups that compliment your focus; together you will improve the quality of your ideas.
Strategy #4 Maximize Technology — Regardless of how much things change, people largely remain the same. You will out pace the majority if you stay on the cutting edge of technology. Be flexible and adaptable with the innovations of technology in order to leverage the results of your efforts.
Strategy #5 Liberate Human Potential — This is the source of the greatest leverage. Create an environment where your people can be free to think creatively. It may be safe to stay with what has a proven history, but the future revolutionary breakthrough will come from those who dare to create.
Strategy #6 Get Up Quickly — When ever you dare to depart from the safety of the norm there will be failures. Get up quickly! Don't stay down; setbacks are always on the road to success. Reconvene around the table of creativity; you will be closer than ever to innovation.
Strategy #7 Excellence Only — Set the bar at excellence only. If you want the best results from your team, then expect nothing short of the best. Remember, what ever the mind conceives the body will achieve. A standard of excellence is a tremendous leverage for optimum results.
With these seven strategies, you can leverage your effectiveness as a leader in these extremely competitive and rapidly changing times. "A leader in the 21st century, who can leverage resources by unleashing the human potential of his team, will be to his company what the wheel and lever was for the caveman — unbelievably transforming.
Michael McFadden is a leadership and performance expert and the author of the soon to be released "How to Maximize Your Potential: Your Road Map for Success in Business and Life." Michael specializes in creating strong, successful, confident managers and leaders throughout entire organizations. Visit
http://www.TheLeadershipTrainingCompany.com
for more information.
DCEO's Illinois Entrepreneurship Network supports MEP-I
The Manufacturing Extension Partnership of Illinois (MEP-I) provides access for small and mid-sized manufacturers to management and technology expertise. It enables them to modernize their operations and become more competitive. MEP-I manufacturing professionals operate out of regional offices located through the state. The program is coordinated by the Chicago Manufacturing Center (CMC) and the Illinois Manufacturing Extension Center (IMEC). DCEO funding for the MEP-I is provided through its Office of Business Technology and Competitiveness.
DCEO also offers the Illinois Entrepreneurship Network. Any business owner may take advantage of the services available through the Illinois Entrepreneurship Network. Additional information about the Network is available by calling the Illinois Entrepreneurship Network Business Information Center at 800-252-2923 or visit
http://www.ienconnect.com on the web.
Upcoming Illinois-specific events of interest are listed below.
Chicago City Treasurer's Small Business Expo—August 3, McCormick Place, Chicago
The City Treasurer's 6th Annual Small Business Expo is a forum, free to attendees, designed to provide assistance to small business owners and those that would like to become one. The Expo will bring local government, lending institutions, and technical advisors together to provide information and direction that is vital to the success of a small business. Existing and prospective business owners can attend workshops, network with other business professionals, and obtain useful information from technical advisors and representatives of financial institutions. Also added this year is a procurement component to address the growing need for supplier diversity with the small business community. This will allow minority companies to establish partnerships with majority companies as well as government agencies.
For more information, go to: http://www.chicagocitytreasurer.com.
Hispanic Business Expo—August 16, Navy Pier, Chicago
The Make the Connection! Hispanic Business Expo is the premier Hispanic Business Event in the entire Midwest and one of the largest events for Hispanic businesses in the country. This one-day event is intended to help expose existing Hispanic businesses to decision-makers in the public and private sector. Also the Hispanic Business Expo is host to numerous educational workshops geared at helping expand business capacity.
Workshops will be conducted in both English and Spanish and will focus on:
- How to start a business
- Access to Capital
- Doing Business with Government
- Financial Literacy– Understanding Credit
- Human Resource
- How to sell to Fortune 500 Companies
- Sales and Marketing
- ITIN--a path to business independence
- Hispanic Consumer Market
To register or for more information, go to: http://www.ihccbusiness.net/expo/index.html
Procurement Event—August 7-9, Chicago
The SBA and GSA wish to notify all prime contractors in the states of Illinois, Indiana, Michigan, Minnesota, Ohio and Wisconsin about "Service Disabled Veteran Owned Small Businesses (SDVOSB) Vendor — Meet the Government User/Buyer" event.
Congress has mandated that three percent of all federal prime contracts as well as three percent of all subcontracted effort on federal contracts must be awarded to SDVOSB. To date, neither goal has been accomplished due to the fact that it has been difficult for contracting personnel and government end users to identify and locate companies qualified as SDVOSB.
Representatives of your organization are invited to the three day event on August 7th through August 9th at The Ralph Metcalf Building–Third Floor, 77 W. Jackson Ave., Chicago.
Vendors should be prepared to present an 8-10 minute capabilities briefing to the prime contractors and government audience. You do not have to attend the entire event. For more information, or to ask questions, contact Pamela Coleman at 312-353-7442 or email Pamela.Coleman@sba.gov.
Business Matchmaking Regional Face-to-Face Event—August 28, Chicago
Business Matchmaking face-to-face procurement events bring together over 1,000 small business owners and managers with procurement representatives from federal, state and local governments as well as major corporations. The event is free for both buyers and sellers.
The Midwestern Event will be held Tuesday, August, 28 at McCormick Place Convention Complex in Chicago. For more information or to register, go to:
http://www.businessmatchmaking.com/.
Small manufacturing concerned about economy, taxes, cost of materials
The three leading concerns of North American manufacturers are the general state of the economy, taxes and the cost of materials, according a study by the Small Business Research Board (SBRB) based on a survey taken during the second quarter of 2007.
Health care costs, which had been the top concern in the first quarter, moved down the list to number six. Energy and fuel costs, as well as finding quality employees, ranked ahead of health care expenses this quarter.
The result of these concerns is that only 29 percent of the respondents said they would expand in the next two years. Of those that will expand, 28 percent said they are considering expanding at current locations, while 21 percent said they will add more products and 20 percent indicated they intend to increase customer service. Adding more services was cited by 16 percent of the respondents, while the addition of locations was cited by only seven percent.
The small business owners said adding more automation or technology as well as improving existing automation would be their primary means for enhancing productivity during the coming 12 to 24 months. Improved staff training, hiring of additional employees and incentive programs also were cited as important methods for improving productivity.
"While there are several categories that manufacturers have either no influence or, at best, can exert a relatively modest amount of control such as on the effect of government regulation, it is imperative that a tight reign is sustained on every item in their purview if they intend to improve profitability," said Gregg M. Steinberg, president of International Profit Associates, the sponsor of the study.
Even though the SBRB recently reported that its Manufacturing Industry Small Business Confidence Index rose 3.3 points to 40.3 during second quarter, there is great concern about the state of the economy — now and into the future. Only 36 percent believe the economy will improve during the coming 12 months versus 40 percent in the first quarter.
Illinois unemployment climbs in June
Despite boosts in seasonal employer hiring, Illinois unemployment rate jumped to 5.1 percent in June. The increase puts the state more than half a point above the national rate of 4.5 percent.
Employers added 12,400 workers last month. The sectors leading over-the-month job gains were Professional and Business Services (5,400) and Leisure and Hospitality (5,000). Employment losses last month were seen in Trade, Transportation and Utilities
(-1,500) and Construction (-400). All other sectors showed marginal improvements.
Manufacturing employment remained unchanged from May and continues to stand at 679,300.
Overall, Illinois' employment picture has improved by more than 152,000 since January 2003.
How can wholesalers, retailers and manufacturers solve inventory problems?
Read on to find out . . .
It's simple really. All a company has to do is identify products that could potentially take up much needed warehouse space and donate them to The National Association for the Exchange of Industrial Resources in Galesburg, Illinois.
NAEIR is a nonprofit organization that has accepted donated materials since 1977 and distributed them to deserving schools and nonprofits nationwide.
Under Internal Revenue Tax Code Section 170 (e)(3), companies making contributions could receive an above cost income tax deduction that could be up to twice the cost of the goods. Products eligible for donation include discontinued models, styles or colors, returns, buybacks, cancelled orders, and slow sellers. NAEIR accepts new items in any of those categories from cosmetics to construction materials.
To find out how easy this process is, just call Corporate Relations at 800-562-0955 or e-mail
donor@naeir.org.
NEW Website offers outstanding training opportunities:
http://www.ima-net.org/MIT/
Training is no longer a luxury, but a basic ingredient in the development of a business. In today's economy, with companies struggling to prevent lay-offs and closure, it is vital to maintain a competitive high performance workforce.
In response to this growing need, the IMA has launched a new service — the Manufacturers' Institute for Training (MIT). We have expert trainers in the fields of safety, quality, leadership/management, communications, lean manufacturing, project management, IT, and much more. Customized, on-site sessions can also be arranged to address your company's specific needs or issues. Visit http://www.ima-net.org/MIT/ on the Web or contact Judy Parker, IMA Director of Training, at 217-522-1240, ext. 3036, or email jparker@ima-net.org.
Order the IMA's 2007-2008 Benefits Report at https://www.ima-net.org/ben_report_order.cfm
Order the IMA's 2006 Annual Compensation Report at http://www.ima-net.org/reportorder/login.cfm
For more information, go to one of the links above, or contact Janie Stanley at 800-875-4462, ext. 3020, or email:
jstanley@ima-net.org
DATES OF NOTE:
More information/events may be found at http://www.ima-net.org/calendar.cfm and
http://www.ima-net.org/MIT/open.cfm
For information on any of the events listed here, please contact Judy Parker, 800-875-4462, ext. 3036, email:
jparker@ima-net.org.
July 31 & August 1, 2007
Project Management Fundamentals
952 E. Eldorado, Suite 102, Decatur
This two-day real-world workshop is perfect for people who are looking to get a solid understanding of project management, and for those who wish to get their current projects back on track. REGISTRATION DEADLINE: JULY 16, 2007
August 2, 2007
Essential Leadership Skills for Newly Promoted and Frontline Supervisors
DePaul University's O'Hare Campus, 3166 River Road, Des Plaines
This fast-paced, invigorating one-day workshop will provide you with the skills to build better working relationships, develop the perspective of a leader, and establish realistic performance goals for employees. REGISTRATION DEADLINE: July 18, 2007.
August 7, 2007
5 S and Visual Controls
952 E. Eldorado, Suite 102, Decatur
This workshop will focus on effective methods of applying 5 S and Visual Controls techniques and tools in the manufacturing and office environments. Learn to maximize the benefits of red tag techniques, orderly work environment and visual workplace methodology. REGISTRATION DEADLINE: JULY 24, 2007.
August 8, 2007
5 S and Visual Controls
DePaul University, 150 W. Warrenville Road, Room 228, Naperville
(See description above) REGISTRATION DEADLINE: JULY 25, 2007.
August 15-16, 2007
Spanish OSHA 10-Hour Outreach Program (General Industry)
DePaul University, 150 W. Warrenville Road, Room 228, Naperville
REGISTRATION DEADLINE: AUGUST 1, 2007
August 16, 2007
Effective Presentation Skills
DePaul University's O'Hare Campus, 3166 River Road, Des Plaines
Learn the skills and tools needed to deliver a winning presentation.
August 21, 2007
Lean Manufacturing: Quick Start
DePaul University, 150 W. Warrenville Road, Naperville
Designed to help participants quickly initiate team oriented on-going lean activities, this workshop includes instruction on lean terms and definitions, waste identification and analysis, team organization and choosing lean tools for waste free processes.
August 23, 2007
Leading and Managing Through Change
DePaul University's O'Hare Campus
3166 River Road, Des Plaines
This interactive workshop combines proven leadership behaviors with practical skills to help leaders respond to the changes they face in today's rapidly changing and highly competitive work environment.
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