July2012Commerce

INSIDE: Big Idea Winner Crowned pg. 43 + Monthly Economic Indicators pg. 46

EDITOR LORI FULLER [email protected]

DESIGN LADDY FIELDS

WRITER ANTHONY WELSCH

CONTACT THE KNOXVILLE CHAMBER(865) 637-4550 www.knoxvillechamber.com

PRESIDENT & CEO MICHAEL EDWARDS

EXECUTIVE VICE PRESIDENT RHONDA RICE

ECONOMIC [email protected]

FINANCE & [email protected]

[email protected]

WORKFORCE & [email protected]

CENTRAL BUSINESS IMPROVEMENT DISTRICT (865) 246-2654 [email protected]

THE DEVELOPMENT CORPORATION (865) 546-5887

TENNESSEE SMALL BUSINESSDEVELOPMENT CENTER (865) 246-2663

LEADERSHIP KNOXVILLE(865) 523-9137

U.S. DEPT. OF COMMERCE EXPORT ASSISTANCE CENTER (865) 545-4637

NEW MEMBERS / NEW PREMIER PARTNERS

MEMBERSHIP MATTERS

Top Achievers are recognized for their countless volunteer hours and dedication to the Ambassador Program’s mission of serving as an active volunteer extension of the Knoxville Chamber to cultivate, promote, and maintain positive relationships between the Knoxville Chamber, its members, and the community.

THE KNOXVILLE CHAMBER’S MONTHLY NEWSLETTER

KNOXVILLE CHAMBER 44

BRONZE

O’Neil, Parker & Williamson, PLLC(865) 546-7190www.opw.comLegal Services: Attorneys

11 Cafe’(865) 851-8150 www.elevencafe.wordpress.comRestaurants - Eating & Drinking Places: Coffee & Tea

Ben McWhorter - Manage-ment, Marketing and Sales Consulting(865) 679-6107www.benmac.comBusiness & Professional Services: Business Advisors, Coaches, & Consultants

Brandr(865) 862-1430www.brandrstudio.comBusiness & Professional Services: Marketing

Edward Jones Investments - George Lucke(865) 219-7910www.edwardjones.comFinancial Services

Gatlinburg Ziplines Treetop Adventures(865) 430-9442www.zipgatlinburg.comAttractions & Tourism

Gillespie Financial & Tax Service(865) 974-9674www.gftservices.comBusiness & Professional Services: Accounting, Auditing, & Book-keeping

Hemp Monkeys(865) 803-2053www.hempmonkeysonline.comShopping: Specialty

Knoxville Food Tours(865) 201-7270www.knoxvillefoodtours.comAttractions & Tourism

Lowe’s Home Improvement (0486)(865) 690-9770www.lowes.comConstruction & Contractors: Specialty Services

Lowe’s Home Improvement (0637)(865) 938-5600www.lowes.comShopping: Flooring

Lowe’s Home Improvement (1544)(865) 329-0418www.lowes.comBuilding Materials: Hardware

Lowe’s Home Improvement (2239)(865) 609-3641www.lowes.comBuilding Materials: HardwareConstruction & Contractors: Specialty ServicesShopping: FlooringResidential Services: Interior Design

Mary Beth West Consulting, LLC(865) 982-6626www.marybethwest.comBusiness & Professional Services

Michael Ownby a Partner with B2B CFO(865) 686-8333www.michaelownbyCFO.comBusiness & Professional Services: Business Advisors, Coaches, & Consultants

Morehous Legal Group, PLLC(865) 971-1775www.morehouslegal.comLegal Services: Attorneys

CONNECT with the

CHAMBER

Doug Lawyer @knoxoakridgeIVJennifer Evans @knoxevans

Kyle Touchstone @knoxecondevguyMark Field @field101

Michelle Kiely @mkiely1

facebook.com/KnoxvilleChamber

twitter.com/k_chamberCHAMBER STAFF

TO

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Perfection Group, Inc.(865) 938-4822www.perfectiongroup.comManufacturing

SGH Enterprises(865) 898-8769Business & Professional Services: Public Relations Agencies

Steamboat Sandwiches Inc.(865) 546-3333www.steamboatsandwiches.comRestaurants - Eating & Drinking Places

Strong Organization, LLC(540) 460-1982www.strongorganization.comBusiness & Professional Services: Business Advisors, Coaches, & Consultants

RIBBON CUTTING

Virginia College School of Business and Health celebrated the grand opening of its new Knoxville campus in June. Knox County Commissioner R. Larry Smith is pictured center cutting the ribbon and is flanked by Jim Branham, Virginia College President, and Tom Moore, Education Corpora-tion of America President and CEO. Many other elected officials, Knoxville Chamber representatives and Ambassadors, students, faculty, and friends joined in the celebration as well.

MARK AMREINUniversity of Phoenix - Knoxville Campus

BRENT CHRISTIANCapital Financial Group, LLC

PATTYRAMSEYNorthwestern Mutual Financial Network

The Knoxville Journal(865) 546-5353www.theknoxvillejournal.comPublishing/Publications

The Pinnacle at Turkey Creek(865) 675-0120Shopping: Shopping Centers/Malls

United DMS of Tennessee LLC(865) 637-2560www.uniteddms.comEnvironmental Services & Equipment: Recycling

K N OX V I L L E C H A M B E R | 40

See “Private Colleges” on pg. 42

It’s a case of the more the merrier when you look at post-secondary op-portunities and Knoxville’s quest to become America’s Best Business Ad-dress®. The past several years have seen not only a spike in the number of students enrolling in Knox County’s colleges, but also in the number of private institutions setting up home in East Tennessee.

“In order to attract world-class industry to East Tennessee, we must be able to boast a world-class workforce,” commented the Chamber’s Vice President for Workforce and Education Jennifer Evans. “The increased number of private col-leges in the area makes more and more opportunities available for non-traditional students to get retrained and re-enter the job market.”

The University of Phoenix seized that opportunity and focused its efforts on creating an educational model for the non-traditional student.

“This area has a great bit of growth potential. It certainly fits our model in terms of MSA size to serve and when you start talking with raw numbers like that and consider that almost three out of four students pursuing a degree right now are non-traditional, that makes Knoxville a good fit,” Mark Amrein, the University of Phoenix’s Knoxville campus director said.

Amrein would have a good idea how Knoxville stacks up. This campus marks the fourth he has helped the University of Phoenix grow in different parts of the country. He says in the University of Phoenix’s case, the school looked at the demographics of Knox County and felt there was a niche they could fill.

The school’s classes are scheduled in a way that allows non-traditional faculty the opportunity to teach, something that helps ensure the institution won’t have to endure any faculty shortages or struggles.

“Because of our model, which is that our students take one course at a time for five weeks as an undergraduate or 6 at the master’s level program, that’s what allows our students to balance being a full-time student with the rest of their life,” Amrein said. “It’s actually more flexible for our faculty to balance it with the rest of their life, too.”

So far, even in the face of growing competition, the Knoxville campus is thriving with more than 100 students. They recently cut the ribbon on a state-of-the-art resource center in West Knox County.

“It’s right on target with what we wanted to do. Solid incremental growth was the plan all along,” he said. “There are certainly a lot of choices, we hope to be a complement to the choices there. We have a great deal of respect to the educa-tional institutions in this community.”

Just a few miles down the road, Bryan College is another new addition to Knox-ville’s postsecondary landscape. With a beautiful, recently renovated classroom space in the Windsor Square Shopping Center, Bryan is quickly gaining traction as a fantastic education option for non-traditional students.

Private Colleges Boom as Enrollment Opportunities, Options Grow

K N OX V I L L E C H A M B E R | 41K N OX V I L L E C H A M B E R |


“Private Colleges” continued from pg. 41

“Students only have to attend class one night a week, one class at a time,” David Montgomery, Bryan College’s Knoxville campus director said. “It really makes it easy for students who have maybe been away for a while to come back to school and finish or attain a degree.”

Bryan offers a B.A. program in business as well as a master’s degree in business administration program.

In Fountain City, Virginia College School of Business and Health just cut the ribbon on a beautiful new facility which took over the space vacated by Kroger on North Broadway.

Working with local businesses, the school tries to provide a curriculum that caters to the needs of the local community to ensure workforce expectations are met and students find jobs after graduation, president Jim Branham said.

“As with all Virginia College locations, we gauge employer demand and then design and offer programs that meet those needs,” he said.

By enhancing the local employment base, the school hopes that it will increase the economic prosperity of the area. To start, the college is offering fast-track career training in business, health care, medical billing, cosmetology, and more.

That strategy appears to be working well. In the school’s first semester of instruction, it got off to a great start with more than 170 students enrolled in the fall of 2012.

ESTABLISHED SCHOOLS GROWING AS WELLThe post-secondary success isn’t limited to new schools in the Knoxville

area. Established campuses with a long history in the region are also seeing growth and setting enrollment records.

With the new additions to the education landscape, South College con-tinues to do more than hold its own, with incremental year-to-year gains and very impressive enrollment growth over the past five years.

Since 2008, enrollment at South College has increased by 36 percent, a mark the college says is attributable at least in part to the lagging national economy.

“With the issues in our economy these past years, emphasis on higher education is prevalent. Besides the traditional college student, many adults continue to return to college. The small private college is attractive to many students because of the small class sizes and the personalized attention provided to students. At South College, class offerings are year around, allowing students to often times graduate quicker,” President Stephen South said.

Several dozen students are currently working toward their Ph.D. at South College’s School of Pharmacy, a recently added program that received Ac-creditation Council for Pharmacy Education (ACPE) accreditation in January.

In Southeast Knox County, Johnson University, formerly Johnson Bible College, expects to break records in terms of enrollment this fall. The Univer-sity adopted the new name in 2011 and while their East Tennessee footprint looks to grow, the university has truly become a global brand.

“We have started and/or completed 13 new academic programs includ-ing a Ph.D. program that has been accredited by the Southern Association of Colleges and Schools,” Gary Weedman, president of Johnson University

said.“It’s very good for the Knoxville community that

there are more options,” Tim Wingfield, dean of en-rollment services said. “Our mission and purpose are so different, we’re not necessarily competing for the same student. It doesn’t bother our numbers.”

Faith remains an integral part of higher education at Johnson, where every student studies the Bible. The university also recently added a number of new programs to help students with global outreach, including urban studies, Islamic studies, Chinese studies, and management of nonprofit organizations. This fall, 100 Chinese students studying English will be enrolled at the campus in a joint program that allows students to study in both China and the United States.

The program is a partnership with the central Chi-nese city of Zhengzhou. A Chinese principal visited Johnson’s campus and initiated the partnership.

“The principal of the Chinese school started requesting our teachers,” Wing-field said. “Last year, I think we had 12 that graduated with our master’s pro-gram and it looks like somewhere between 40 and 60 will be involved this year.”

Because of the religious niche they’ve found and the success of the inter-national programs, University officials say that as the post-secondary market continues to grow in Knox County, their campus has continued to thrive. In fact, the school is considering additional on-campus dormitories for students as they anticipate near-record enrollment this fall.

See “Private Colleges” on pg. 47


“Private Colleges” continued from pg. 42

The Tennessee Wesleyan College and Fort Sanders School of Nursing are housed at the College’s satellite campus on Cogdill Road in Knoxville. The cam-pus, opened as part of a relocation in 2010, also hosts the college’s business program.

“It tripled our square footage, we were in two office suites and now we occupy a much larger space. Our nursing program is second-to-none,” Blake McCaslin, Tennessee Wesleyan College’s director of public relations and marketing said.

Nursing students participate in clinical experiences in Knoxville and the sur-rounding area, including the facilities of Covenant Health and Fort Sanders Regional Medical Center.

“Everybody’s schedules today are more hectic with little league, soccer, what-ever commitments students may have. The one thing we do is continue personal contact. You’re not just logging into a forum, there is constant contact with the professor,” McCaslin said.

Today, approximately 75 students are enrolled in Tennessee Wesleyan’s

Knoxville-based nursing program and another 50 or so in the school’s business program on the Knoxville campus. The college is also launching a new format for the business program called Management Excellence. Students entering with an Associates Degree can earn their Bachelor’s Degree in 15 months.

Lincoln Memorial University’s footprint continues to grow both in and out of Knox County as well. The private college opened the doors to an Associate of Science in Nursing program at what was then St. Mary’s Medical Center in 1989.

Today, LMU offers general education, undergraduate business courses, as well as both undergrad and graduate level education programs in West Knox County at their Hayfield Road location, a converted Food Lion grocery store.

The Harrogate-based university increased their presence in Knoxville even more in 2009 when they opened the doors to the Duncan School of Law downtown. For a third campus, LMU added a Cedar Bluff location that is the classroom home to more than 700 students today studying business, education, and nursing.

“All the great postsecondary possibilities add-up to more opportunities for stu-dents both in and out of Knox County to get the education and training they need to be successful as professionals and contribute to a vibrant regional economy,” Doug Lawyer, the Chamber’s vice president for economic development said.

FOR THE PURPOSE OF THIS STORY, PRIVATE COLLEGES THAT ARE MEMBERS OF THE CHAMBER AT THE PREMIER PARTNER LEVEL WERE HIGHLIGHTED. THERE ARE MANY OTHER INSTITUTIONS, BOTH PUBLIC AND PRIVATE, THAT ARE CHAMBER MEMBERS COMMITTED TO EDUCATING

THE CURRENT AND FUTURE WORKFORCE. HERE IS A FULL LIST:

Bethel UniversityBryan CollegeCarson-Newman CollegeCrown College

Fountainhead College of TechnologyITT Technical InstituteJohnson UniversityKing College

Lincoln Memorial UniversityMaryville CollegePellissippi State Community CollegeSouth College

Strayer UniversityTennessee Wesleyan CollegeThe University of TennesseeTusculum College

University of Phoenix - Knoxville CampusUT Center for Executive EducationVirginia College School of Business and Health

After more than 30 applicants and four rounds of cuts, judges named Virtuous Products, LLC, founded by Mark Was-senaar, the winner of this year’s What’s the Big Idea!? Business Plan Competi-tion, sponsored by Rodefer Moss & Co.

The annual business plan competition offers more than $25,000 in grants and

services and is presented by The Development Corporation of Knox County, Knoxville Chamber, and Tech 20/20.

Virtuous Products, LLC, has developed a unique material that is ideal for flooring, countertops, and outdoor casual furniture called Sedonite. Using recycled glass, Sedonite offers the strength and look of resin or cement-based competitors but at a much lower cost.

“I’ve been in manufacturing my whole life. I try to get out but it just keeps coming back because there is so much creativity involved. I literally lie awake at night thinking of new ideas,” Wassenaar said. “This competition, even if I didn’t win, it would have been an unbelievable opportunity because the compe-tition really helped me along the way.”

Judges remarked all three of the final businesses appear poised for success. DineTouch, a mobile application that allows restaurant visitors to order food directly from their smartphone and LineShark Audio, a start-up offering profes-sional audio input and output to any mobile device, provided worthy competi-tion as finalists. All three start-ups continue to seek investors to help bring their plans to fruition.

“We were impressed by all the entrepreneurs who took part in this competi-tion,” Todd Napier, executive vice president of The Development Corporation of Knox County and co-presenter of the program with the Knoxville Chamber and Tech 20/20 said. “Virtuous Products shows an enormous amount of promise and the judges indicated they expect big things from the start-up in the years to come.”

In all, Virtuous Products wins a prize package that includes:• $10,000 grant for start-up costs• $15,000 potential equity investment by Tech 20/20 Venture Startup Fund• One-year’s rent at the Fairview Technology Center• Accounting services provided by Rodefer Moss & Company • Business coaching provided by CEO Advisors• IT Hosting and Services by the IT Company and Digital Crossing Networks • Legal Services by Kathleen Zitzman• Chamber membership by the Knoxville ChamberAdditionally, all three finalists received coaching by Ellen Kern, owner of Stand

and Deliver, who helped each of them refine their pitches in order to hook poten-tial investors.

Virtuous Idea Garners Business Competition Crown


BUSINESS PLAN COMPETITION FINALE • JUNE 14, 2012The Square Room, 4 Market Square

Nearly 100 spectators watched the finalists pitch their business plans at The Square Room.

Chamber CEO and President Mike Edwards prepares to announce 2012’s Big Idea.

Lee Martin, Amy Nolan, and Tom Rogers served as judges in the finals. In all, more than 15 members of the Knoxville business communitydonated time to judge the competition.


Joey Natour, founder of DineTouch, pitches his business plan.

Jonathan Meyer of Lineshark Audio shares his business plan with the judges and audience.

Mike Edwards, Mark Wassenaar of Virtuous Products, Shawn Carson of Tech 20/20, and Todd Napier of the Development Corporation of Knox County celebrate the Big Idea.


MONTHLY ECONOMIC INDICATORS (May 2012)

WORKFORCE

INFLATION RATES - CONSUMER PRICE INDEX (CPI) - ALL ITEMS

HOUSING MARKET

RESIDENTIAL BUILDING PERMITS

AIR SERVICE (MCGHEE-TYSON AIRPORT)SALES TAX REVENUE - STATE & LOCAL ($)

RETAIL SALES - NATIONAL (IN MILLIONS OF DOLLARS)

NOTE - Knoxville MSA includes: Anderson, Blount, Knox, Loudon & Union Counties

Resident Labor ForceKnox Co.Knoxville MSA TennesseeU.S.

Non-Ag EmploymentKnoxville MSATennessee

Available LaborKnox Co.Knoxville MSATennessee

Unemployment RatesKnox Co.Knoxville MSATennesseeU.S.

May 2012239,080377,200

3,114,200154,998,000

338,9002,701,100

15,72026,030

270,780

6.06.37.97.9

April 2012235,460371,530

3,073,700153,905,000

336,2002,696,300

15,20025,270

259,340

5.86.17.67.7

May 2011240,220376,560

3,133,900153,449,000

330,0002,663,200

19,36031,410

325,030

7.47.79.58.7

% ChangeApril ’12-

May ‘121.51.51.30.7

0.80.2

3.43.04.4

0.20.20.30.2

% ChangeMay ’11-May ‘12

-0.50.2

-0.61.0

2.71.4

-18.8-17.1-16.7

-1.4-1.4-1.6-0.8

Sources: Tennessee Dept. of Labor & Workforce Development/U.S. Bureau of Labor Statistics

Source: Knoxville Area Association of Realtors

Source: Metropolitan Knoxville Airport Authority

*Southeast Region Avg.U.S. Avg.

May ’11-‘121.71.7

April ’11-‘122.52.3

May ’10-‘114.03.6


May ‘12-0.8-0.6


-2.3-1.9

Source: U.S. Bureau of Labor Statistics *South – City Size Class B/C

Source: Tennessee Dept. of Revenue

Source: U.S. Census Bureau – Advance Monthly Retail Trade Report

State Sales TaxKnox Co.Knoxville MSATennessee

Local Sales TaxKnox Co.Knoxville MSA

May 201245,571,87363,528,658

562,471,681

12,723,23617,513,991

April 201249,251,88368,997,164

617,909,545

13,486,86618,918,674

May 201141,923,13359,054,788

538,780,075

11,971,42116,815,255


May ‘12-7.5-7.9-9.0

-5.7-7.4


8.77.64.4

6.34.2

CategoryTotal Retail SalesBuilding MaterialsClothing StoresElectronics & AppliancesFood & Beverage StoresFood Svcs & Drinking PlacesFurniture & Home FurnishingsGasoline StationsGeneral Merchandise StoresHealth & Personal Care StoresMiscellaneous StoresMotor Vehicle & Parts SalesNon-store RetailersSporting Goods/Books/ Hobby/Music

May 2012424,02331,04719,9817,608

54,35245,9397,963

48,23952,24423,49910,80480,17135,251

6,925

April 2012398,671

27,31818,602

6,90751,24944,215

7,29246,83450,33122,704

9,47274,07333,088

6,586

May 2011396,066

28,69418,6187,516

51,90542,7487,148

47,61551,70822,7839,903

70,61830,462

6,348


May ‘126.4

13.77.4

10.16.13.99.23.03.83.5

14.18.26.5

5.1


7.18.27.31.24.77.5

11.41.31.03.19.1

13.515.7

9.1

Residential ClosingsResidential InventoryMedian Residential Price

May 20121,134

14,727$143,150

April 2012966

14,368$147,200

May 2011828

15,774$140,350


May ‘1217.42.5

-2.8


37.0-6.62.0

Knoxville (City)

Knox Co.

Knoxville MSA

Tennessee

TotalSingle-FamilyMulti-Family




April 2012*880

1138924

140116

24

1,3061,076

230

April 2011880

64622

87852

979856123

% ChangeApril ’11-April ‘12

0.00.00.0

76.643.5

1100.0

60.936.5

1100.0

33.425.787.0

*All 2012 building permit data is preliminary and therefore subject to revision throughout the year.

Sources: U.S. Housing & Urban Development – SOCDS – State of the Cities Data Systems; U.S. Census Bureau – Building Permits Survey

PassengersCargo

March 2012156,888

8,281,003

Feb. 2012126,402

7,422,837

March 2011143,459

8,593,171

% ChangeFeb. ’12-

March ‘1224.111.6

% ChangeMarch ’11-March ‘12

9.4-3.6


A man known as the “father of supply-side economics” gave a V.I.P. crowd his insight into today’s economy at a recent reception hosted by Pinnacle Financial Partners.

Dr. Arthur Laffer gained prominence as a member of President Ronald Rea-gan’s administration. He spoke to about 150 Chamber members at the Knoxville reception held at The Foundry. Today, Laffer is the chairman of Nashville-based Laffer Associates and speaks all around the state for Pinnacle Financial Group.

“I’ve been involved with Pinnacle since the day I moved to Tennessee,” Laffer said.

The economist and author may be best known for his use of the Laffer Curve in economics, although he does not claim to have invented the curve. The model serves as a representation of the relationship between government revenue raised by taxes across all tax rates. The curve shows at a tax rate of 0% or 100%, tax revenue would be zero, with the sweet spot falling somewhere in between.

“Do any of you understand why I left California? I tried to explain it to them, if you have two locations and you raise taxes in one and lower the other, produc-ers are going to move from the higher tax rate to the lower rate,” Laffer said.

Laffer went on to heap heavy praise on Tennessee Governor Bill Haslam and the taxes he pushed to reduce or eliminate in The Volunteer State.

“Did you see what he’s done in this state this year? He, and people like Charles Sargent and others, got rid of our gift and our estate tax. It’s amazing, when you talk about making our state attractive to businesses and people to move here. They’ve done it,” he said.

Through his presentation, Laffer shared a number of opinions, some of which were more extreme than others. For example, the economist dismissed trade sanctions as effective when dealing with potentially hostile nations such as

Esteemed Economist Delights Crowd at Reception Hosted By Pinnacle Financial

Iran. The economist contends trading sanctions with nations does very little to help them be-come more peaceful democra-cies and pointed toward Cuba and North Korea as examples.

“The last thing you want to do is hostilize and make Iran an enemy for the next 70 years; using trade embargos will not work. Not only will it not work, it will create an enemy that will be there for our great-grandchildren. Trade with them a lot and if you’ve got a real problem, bomb them. That’s what you’re supposed to do,” he said.

As for the future, Laffer told the crowd he sees Republicans taking control of the presidency this fall and controlling both the House and Senate as well.

He suggests they need to do just five things to turn the American economy around: adopt a low rate flat tax, show spending restraint, adopt sound monetary policy, allow free trade, and reform the regulatory culture.

“If you get that happening, you will find these places and corporations investing money all over the place. We’ll have a boom like you’ve never seen. It’ll make the Reagan/Clinton boom look like kids play,” he said.

Chamber Board Chairman Mitch Steenrod, Pinnacle’s Nathan Hunter, Dr. Arthur Laffer, and Pinnacle’s Rob McCabe gather after Laffer’s lecture.

Without them, there is no way the Knoxville Chamber would have the reach it has or coordinate the more than 80 events members enjoy each year. At a recent luncheon at The Square Room on Market Square Chamber staff shared their appreciation with the several dozen volunteers who make up the Chamber’s Am-bassador program.

“We certainly wouldn’t be able to do what we do and help the businesses we are able to help if it weren’t for our Ambassadors,” Chamber CEO and President Mike Edwards said. “They are the backbone, they’re the

Chamber Expresses Appreciation of Ambassadors at Annual Lunchgroup that we could never afford to employ but they are there steadily at each event we do with great reliability and professionalism.”

At the luncheon, Ambassadors were encouraged to relax, enjoy a meal, and network with one another. Each volunteer was recognized with a certificate for his or her service to the business community, and several area business owners praised the volunteers for their time in an appreciation video.

“It’s really nice for me, who is not a morning person, that when I get to the Chamber at 7:30 in the morning for a breakfast, I have somebody who greets me and makes me feel like I’m going to have a good day after all,” Su-san Richardson Williams, a Chamber Board member and owner of SRW & Associates said.

At the conclusion of the event, WATE-TV’s Danny Has-taba was named Ambassador of the Year for showing

unparalleled dedication to the Chamber and its programming.

The Chamber’s Vice President of Member Services Melissa Spangler, Ambassador of the Year Danny Hastaba, and Leslie Smith, the Chamber’s member services manager gather after the luncheon.


The U.S. Small Business Administration recently honored Jonathan Williams, president and CEO of Accord Federal Services as 2012’s Veteran Small Busi-ness Champion for the state of Tennessee.

“These award winners represent the many excellent small businesses that we have in the Volunteer State,” said Walter Perry, District Director of SBA’s Ten-nessee District Office. “All across Tennessee, our hard working award winners are the very best at what they do.”

Williams received the award at a ceremony held at the Knoxville Chamber in mid-June. The award is based on a number of criteria that include: supporting legislative or regulatory action to help small businesses, increased business opportunities as a result of Williams’ actions, improved awareness of small busi-ness opportunities among veterans, advocacy of veteran-owned small business-es, and demonstrated success in getting community support for the establish-ment of veteran-owned small businesses.

“We’ve grown a lot, gone through some growing pains along the way, and great learning on my part but the Chamber has been very supportive throughout everything,” Williams said.

“Jonathan’s vision, leadership, perseverance, organizational abilities, and suc-cess with the formation of the Tennessee Veterans’ Business Association in the

SBA Names Jonathan Williams Veteran Small Business Champion

Knoxville- area have led to invitations from veterans in Nashville and Chattanooga to assist in the formation of Tennessee Veterans Business Associations in those cities,” Larry Rossini, the director of the Tennessee Small Business Development Center in Knoxville said.

Williams founded Accord Federal Ser-vices as well as the Tennessee Veterans Business Administra-

tion and was recently elected to the Knoxville Chamber’s Board of Directors.

SBA officials present Jonathan Williams with the Veteran Small Business Champion award during a June ceremony at the Knoxville Chamber.

Knoxville Chamber member Management Solutions, LLC is taking home a prestigious honor from the U.S. Small Business Administration: Small Business Subcontractor of the Year.

The woman-owned business was named the winner on May 22 at a breakfast event sponsored by Sage North America as part of the SBA’s National Small Business Week celebration.

“I am absolutely thrilled and honored that Management Solutions was named the SBA’s National Subcontractor of the Year,” said Misty Mayes, president and CEO of Management Solutions, LLC. “This is a wonderful acknowledgment for our entire team. We have worked hard to understand the needs of our clients and to deliver innovative solutions that will help them reduce time and costs on projects. It is simply wonderful to have our small company recognized on the national level.”

Management Solutions was selected from among nine regional prime contrac-tors and 10 regional subcontractors of the year. The award honors small busi-nesses that provide outstanding goods and services to the federal government as prime contractors or as subcontractors.

“When federal contracts get into the hands of small businesses, it is a win-win for the federal government, small businesses, the economy and the job mar-ket,” said SBA Administrator Karen G. Mills. “Last year, the federal government awarded nearly $100 billion in federal contracts to small businesses like the ones being honored today. These businesses help boost the nation’s economy and they are outstanding examples of how to successfully navigate the federal contracting arena.”

Management Solutions was nominated for this award by the Small Business Programs Office of the Department of Energy’s Oak Ridge National Laboratory

Management Solutions Named National Subcontractor of the Yearfor its work in project man-agement, project controls, and related IT and admin-istrative support.

Mayes told the SBA she attributes the growth of her business to knowing her customers. “Under-stand the mission of your potential customer. Too many subcontractors over-look that. Understand the specific pain points that the customer is experienc-ing,” Mayes said.

Management Solutions, LLC specializes in project management/control services, project management training, construction management, information systems application/integration, process improvement, and cost estimating services. Since 2002, it has provided project management support to the Department of Energy’s Oak Ridge National Laboratory for scientific, national security and infrastructure projects. Manage-ment Solutions supports 17 divisions of the laboratory. The company developed Oak Ridge’s project management system, its procedures, software solutions and trained Oak Ridge’s lab personnel. It has grown from three employees to 40 and from a contract valued at $8,000 to more than $18 million. It also holds subcon-tracts from the Department of Defense and various commercial firms.

SBA Deputy Administrator Marie Johns, Management Solutions President Misty Mayes, SBA Administra-tor Karen Mills and Management Solutions Vice President Sam Mayes at the SBA awards ceremony during National Small Business Week.

Dear Business Community,

June’s vote by the Knox County Commission was a big win for Knox County Schools and all those that support academic improvement. Together we proved that the school system and its improvement can, and should, be the central focus of citizens and elected officials.

Thank you for contacting commissioners, attending meetings, and being concerned. Please make a point to thank commission-ers Sam McKenzie, Amy Broyles, Richard Briggs, Brad Anders, Mike Brown, Mike Hammond, and Ed Shouse.

The Knoxville Chamber is committed to working with Knox County Schools. We will push them to make improvements. We will demand that they show results. We will encourage them to identify savings and spend with focus and precision. Finally, we will work with them over the next year to demonstrate the funding needs to the community, the mayor, and the county commission.

We will need your help.Thanks again,

Mike EdwardsPresident & CEO


PREMIER PARTNER PROFILE

McGhee Tyson AirportThis

month marks 75 years Mc-Ghee Tyson Airport has hosted sol-diers return-ing home, reunited families, and facilitated worldwide relationships for East Ten-nessee.

“Almost since the birth of aviation, Knoxville has been a part of what was then a new method of travel,” Beth Baker, director of marketing for the Metropolitan Knoxville Airport Authority said.

The original McGhee Tyson Airport wasn’t much more than a crushed stone runway on Sutherland Avenue in Knoxville. As planes took off, industry took off as well in East Tennes-see. Aviation’s popularity quickly outgrew the facility and sparked a search for a flat tract of land that could house a larger air-travel center for the region.

On July 29, 1937, the new airport welcomed the first flight to Knoxville just 12 miles south of Knoxville in Blount County, the same location East Tennesseans know as the airport today.

“When you see the pictures, there are no fences. You could walk right out to the runway. It’s so different than today,” Baker said. “A lot of people have memories of being brought out to watch the airplanes come in and land. It was absolutely a spectacle.”

Today, there are a lot of aesthetic changes at McGhee Tyson, but the love and wonder of aviation are still evident. Floor-to-ceiling windows line the terminal to ensure a clear view of aircraft and rocking chairs dot the concourse to ensure a comfortable seat as passengers take it all in.

More than 140 flights arrive and depart from McGhee Tyson each day, with six major airlines offering service to 19 non-stop destinations. The airport contributes an estimated economic impact of more than $600 million annually, employing nearly 3,000 people.

“Our airport has the most air service of any city of our size in the country. We have a great business market, great leisure, and a great government travel market here,” Baker said.

Even after all that progress, the facility continues to grow. McGhee Tyson is moving for-ward with a feasibility study examining the addition of an international terminal. The study is exploring the ability to add customs and a way to move international passengers. It’s likely an international addition wouldn’t be limited to Mexico, the Caribbean, and Canada.

“We have had carriers, or at least charter companies that are very interested in Tennes-see,” Baker said. “Elvis and Dolly Parton are huge in Europe. Our area is very attractive to the European and Asian markets.”

McGhee Tyson will host an open house the afternoon of July 29 from 2 - 5 p.m., celebrating the first 75 years and putting together a time capsule of artifacts that best represent the air-port and the East Tennessee of 2012. After the three-quarters of a century that have brought so much change, it’s a safe bet when the community opens that capsule in the future, the community and airport will be drastically different than it is today.

McGhee Tyson Airport in 1939. (Photo courtesy: Thompson Photograph Collection and the McClung Historical Collection)

From the Chamber CEO: Thank You for Making Our Schools Better


Chamber Becomes More Efficient and Effective with LBMC Technologies’ Help

When the Knoxville Chamber was nominated for Chamber of the Year, organiza-tion leaders knew the competition would be steep. However, the Knoxville Chamber felt that the innovative ways they were using technology to engage members and improve internal systems would be key differentiators between them and other chambers in the competition. The Chamber had enlisted the help of former board member and LBMC Technologies managing partner, Stacy Schuettler, and her team to identify ways to utilize technological advances to increase member engagement, improve communication, and allow the Chamber’s internal systems to be better integrated and more efficient.

“Our Chamber was doing great things but not always in the most efficient way,” said Schuettler, managing partner of LBMC Technologies. “We worked closely with Chamber staff to look at their current systems and business processes to iden-tify how we could incorporate more integrated solutions, allowing them to realize increased operational efficiencies throughout the organization.” LBMC Technolo-gies then implemented a customized Microsoft Dynamics CRM solution to provide seamless communication across all facets of the organization’s operations. LBMC also implemented Microsoft Dynamics GP, a robust financial solution to streamline accounting processes, enable invoice auto send, and offer on-demand reporting.

“Duplicating data entry efforts wasn’t an efficient use of our time and because our internal systems weren’t talking to each other, data retrieval was also quite difficult,” said Rhonda Rice, executive vice president of the Knoxville Chamber. “The new CRM system, coupled with the accounting solution, now allows us to connect with our members more easily and respond to their needs in real time, not to mention our internal staff has access to information like never before. All of which has resulted in being able to serve our members at a much higher level.”

The custom Microsoft Dynamics CRM solution was fully integrated into the orga-nization’s website, knoxvillechamber.com, making it possible for members to update profiles online, register for events, make payments online, and track activity and interests. On the back end, Chamber staff can identify member interests, gauge levels of engagement, and collect information to improve the member experience. And since all systems are web-based, Chamber staff currently uses iPads and smartphones to improve registration processes, and reduce wait time at member events.

“Perhaps the most exciting product that was born out of this collaboration was Chamber Member MD,” said Mark Field, the Chamber’s senior vice president of membership. “The only thing constant in business is change, and we are continually looking for ways to provide relevant resources to small businesses.”

Chamber Member MD is an online business analysis offered to businesses at no charge. After answering a series of questions, Chamber Member MD assesses the health of a business and provides Chamber Member RX which links users to community and Chamber resources that may be of assistance. “Chamber Member MD is another way the Knoxville Chamber remains relevant to our members. It has definitely reinvigorated the member experience,” said Field.

“Forward-thinking technology and the willingness of Chamber executives to sit down and have an honest conversation about strengths and weaknesses resulted in vast operational and member service improvements,” said Schuettler. “I’m proud to be part of a business community with such an engaged, creative Chamber and feel honored that LBMC Technologies and the services we have provided to the Chamber were integral in their selection as Chamber of the Year.”

To take Chamber Member MD, head to www.knoxvillechamber.com.

Congratulations to Analysis and Measurement Services and Dr. H.M. Hashem-ian, winner of a 2012 Blue Ribbon Small Business Award presented by the U.S. Chamber.

Knoxville-based Pyxl also won a Blue Ribbon Award. Additionally, Studio Four Design and The Tomato Head took home honors as Free Entertprise Honorees. Congratulations to all of these fantastic businesses!

Knoxville BusinessesHonored by U.S. Chamber

July2012Commerce

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