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P R E S SVol. XXXXVIX, No. 2 May 31, 2018

Inside This IssuePresident's Message .......................... 2Sue in Action in PEMA ....................... 3PEMA Presidents Acknowledge Sue on Her Retirement ............................ 4Meet PEMA's New Executive Director - Elizabeth Armstrong .......... 6Roundtable Summaries ...................... 7PEMA Member Panel Summary ........ 9Board Meeting Report ...................... 10Meeting Preferences Survey Results .. 11PEMA Honors 2017 President ........... 11PEMA Calendar .............................. 12Spring Meeting Ratings .................... 12PEMA Booth at P&BS ...................... 13Member Company News ................. 14Contact PEMA Staff ........................... 14

PEMA • 201 Park Washington Court • Falls Church, VA 22046-4527Phone: 703-538-1796 • Fax: 703-241-5603 • E-Mail: info@pemanet.org • Website: www.pemanet.org

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PEMA® is a registered trademark of the Process EquipmentManufacturers' Association.

Think You Know Your #1 Competitive Advantage?Think Again!: Notes from PEMA’s Spring Meeting

Keynote SpeakerBy Elizabeth B. Armstrong, PEMA Associate Executive Director

Jaynie L. Smith, presidentand CEO, Smart Advan-tage, Inc., launched the

PEMA Spring Meeting with apresentation, “Think You Know Your#1 Competitive Advantage? ThinkAgain!” Based on her best-sellingbusiness book Creating CompetitiveAdvantage, Smith’s presentationenthusiastically conveyed what a

competitive advantage is (and what itis not), what prevents businessesfrom identifying their advantage, andhow profits are forfeited when they failto do so. She provided the frame-work for uncovering and toutingcompetitive advantage to measurablyincrease a company’s customer re-tention and sales close rates.

Why is competitive advantageimportant?

Smith noted that competitiveadvantage is the single most importantcriteria Warren Buffett seeks whenconsidering investing in a company.Those who don’t focus on competitiveadvantage “are leaving money on thetable every day,” per Smith. Hercompany has worked with 280-plusindustries using double-blind researchsurveys resulting in quantitative,projectable data.

95% of companies did not knowtheir customers’ most relevant buyingcriteria.

85% of businesses did notmeasure what is most relevant totheir customers, their customers’ topbuying criteria.

Competitive advantage providesa value proposition for:

Revenue growth.Margin protection.Company valuation.Operational alignment – resource

allocation.Smith said that in general, 58%

of the sales pipeline ends in no

Jaynie Smith kicked off PEMA's SpringMeeting in Rosemont. Her presentationprovided PEMA's audience with the frame-work for uncovering and touting their com-panies' competitive advantage. Jaynie ispictured with PEMA Vice President andProgram Committee Chair Rob Ward, whois president of U.S. Operations for RussellFinex, Inc.

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FRFRFRFRFROM THEOM THEOM THEOM THEOM THEPRESIDENTPRESIDENTPRESIDENTPRESIDENTPRESIDENTBill Werra - 2018 PEMA President

Two qualities that distinguish Sue’s career are persistence and determination. In her quest for perfection, twelve-hour dayswere common despite my pleas to her to take a long weekend or enjoy an afternoon of golf. Her entry to ASMI in 1983was followed by earnest commitment to professional growth acquiring more skills for application to high quality serviceto clients. It is no coincidence that ASMI's growth paralleled Sue’s growth. She was a valued member of the company’sexecutive management team and her contributions will be missed.

Harry W. Buzzerd, Jr., CAEChairman/OwnerAssociation & Society Management International, Inc.Management Counsel, PEMA

When I started downthe path to eventuallybecome the presi-

dent of this valuable organization threeyears ago, a thought crossed mymind. I knew that Sue Denston hadbeen with the organization in variouscapacities for more than 30 years. Ithought her retirement might belooming, and I didn’t want it to be ablemish on my legacy. Now herretirement is a reality, and my focushas changed. I am honored to be thepresident who can send her off instyle and recognize her for heraccomplishments.

PEMA began its relationshipwith Association and SocietyManagement International, Inc.,(ASMI) on Feb. 20, 1985, and Suewas already on the team. HarryBuzzerd was our executive directorand Sue assisted him, even thoughwe didn’t see her at meetings until afew years later. She took on moreresponsibilities through the years asothers reduced their duties, includingmore management of the meetings,and eventually became the associateexecutive director and secretary. OnFeb. 5, 2005, Sue fully took on themanagement duties of PEMA as itsexecutive director and secretary.

Since PEMA’s and ASMI’srelationship started, there have been

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93 major meetings (Annual, Springand Fall). Through the years, Sue’sparticipation in these events grewexponentially until today, when herexperience makes the meeting flowappear seamless to the participants.I experienced firsthand her meetingplanning expertise during my term asProgram Committee chair last year.Sue made it easy to be in this positionand she played a critical role in thesuccess of the event. The processran seamlessly and on target becauseof her management.

I want to honor and recognizeSue for what she means to PEMA.PEMA and its leaders cannot thankher enough for what she has done forthe organization. She is the fabric ofPEMA, and she understands itsculture and how to effectively operate

within it. PEMA wouldn’t be what it istoday without Sue!

If you ask any board member orpast president, you will be told thatSue is highly professional, incrediblyorganized, has high energy, and iswelcoming to all members. She hasa passion to make PEMA the bestorganization it can be and is selflessin that endeavor. Sue never seeks thespotlight or wants credit, so I’m surethat I will hear from her about thisarticle. (Sorry, Sue, it is past time forus to say, “thank you.”)

One attribute of the organizationthat members value most is its family-like atmosphere. Members feelcomfortable with each other and lookforward to networking at meetings orjust picking up the phone andcontacting each other to discussissues. Sue has helped to build thisculture. She knows everyone,including their personalities, spouses/guests and individual preferences.She encourages broad networkingand helps facilitate it during meetings.

As primary staff liaison to thePEMA Board of Directors, Sue neverhas missed a beat. She alwaysdelivers what is needed for the Boardto succeed. She is a coach andmentor to us, and when we try to getin the weeds on issues, Sue has

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President's Message(continued from page 2)

been there to pull us back. PEMAand I always will be indebted to Suefor her leadership and caring work forthe organization. As Sue heads outon the golf course, Beth Armstrongwill be stepping in as the executivedirector (see Beth’s bio on page 6).Many of you have met Beth at recentmeetings, and some of you mayremember her from meetings manyyears ago. Sue has expressed fulltrust in Beth and the ASMI team andknows she is leaving PEMA in thebest hands.

As hard is it is to say “see youlater” to someone who has had suchan impact on us, it is inevitable thatchange occurs. Sue’s legacy toPEMA will not be forgotten. On behalfof the members of PEMA, I wish Suean amazing retirement. Celebrate thepast, embrace a wonderful future,and remember that you are alwayswelcome to visit.

Sue in Action with PEMA!

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PEMA Past Presidents Acknowledge Sue on HerRetirement

I started working with Sue a long timeago before she first started coming toPEMA meetings. When she startedcoming to meetings and beingresponsible for many of the detailsalong with Judy, the meetingsproceeded smoothly. Sue is awonderful person to work with. I couldalways count on items being donecorrectly and on time. Sue was notsupposed to retire before me, but Ihope she will enjoy playing golf. Goodluck, Sue!

Joe BevacquaPresident, Wyssmont Company, Inc.

Sue Denston is a very special person.I think most of my peers would agreethat for many years she has been theheart and soul of PEMA. She is abright and talented leader played outin the form of administrator, organizer,friend and source of inspiration. Shetruly cares about PEMA as anorganization and all of us asindividuals. A special person indeed,I am very thankful to have had theopportunity to work with her. I knowshe will have the long, healthy andgreat next phase of her life that sheso deserves, hopefully with severalhole-in-ones, many Jaeger bombsand the occasional late night extremeMcDonald's cheeseburger run. Partyon, Sue!

Jay BrownPresident & CEO, Schenck Process LLC

It certainly was an honor to serve aspresident of an extraordinary or-ganization. As I am sure all can attest,the real talent is embedded with staff andespecially Sue! Sue has providedleadership, continuity and passion toPEMA. She has treated us like her own! Ihave no doubt that PEMA’s success is adirect result of her care and effort. Overthe years I have met many incrediblepeople and Sue certainly is at the top ofmy list. Thank you, Sue!

Alan CohenCEO, Paul O. Abbe

It is often said that program chair isthe most difficult job in theorganization, but I found that year tobe the most interesting and actuallyfun due solely to Sue’s tireless effortsto solicit ideas and feedback frommembership, her enthusiasm fortrying some new formats, andconnections for sourcing fascinatingspeakers. Simply, she took all thework away, leaving us to enjoy somegreat meetings. There are just notenough ways to thank Sue for herherculean work and tolerance.

Sturt EnglishPresident & CEO, Sturtevant, Inc.

It was indeed a pleasure to work withSue in her role as executive directorof PEMA. Her service to and passionfor PEMA and its members havebeen exceptional in its diligence,consistent in its integrity, andhonorable in its performance. Sue’shigh character and talent were evidentevery day, with a smile and positiveattitude to boot. Sue was, in fact, ourFearless Leader who tackled eachchallenge with care and respect. I,along with my PEMA colleagues, willmiss Sue’s cheerful spirit andsteadfast support. Sue’s the best!

Charlie IngramVice President, Sales & Marketing

Eriez Magnetics

Talk about herding cats! I do not knowwhy Sue put up with us as long as shedid. But I, for one, am glad she did.Sue took everything in stride. At leaston the outside! During my time aspresident, Sue always ensured that Iwas properly prepared for everymeeting. She actually made me looklike I knew what I was doing. PEMAwill miss Sue. I will miss her. Suemade PEMA a better place for us all.Thank you.

Christopher L. KomlineVice President, Komline-Sanderson

It wasn’t until I became a member ofthe board and then part of theleadership ladder that I began toappreciate what Sue did on a dailybasis that made PEMA the value it isto our members. Although I recognizethere is the larger team of ASMI staffsupporting her, Sue is the glue thatholds everything together. During mysix years of being a PEMA member,I have come to appreciate Sue as somuch more than an effectiveleader. Sue has been a soundingboard, a confidant and mostimportantly a friend.

Steve RaganPresident, Sly, Inc.

Sue has worked with manyassociations during her career at ASMI,but she always made me feel like sheworked exclusively for PEMA. She isjust amazing! Who doesn’t loveSue? She is so sweet, caring, andsmart. It is impossible to say “No” toSue. If you did, your steak would beovercooked and you had an unflatteringpicture in the next newsletter.

Doug SchieberPresident & CEO, Carrier Vibrating

Equipment, Inc.

Sue Denston makes PEMA easy!Members and PEMA officers haveenjoyed years of excellence and itlargely comes from Sue and the ASMIteam. Congrats, Sue, on yourretirement and thank you for yourhigh standard of service to the PEMAorganization. Cheers!

Jeff ThompsonPresident & CEO, Vortex Global

During my tenure with PEMA, I wasvery pleased with Sue’s knowledgeand capabilities. She always exhibiteda high level of knowledge andexperience. Her leadership will surelybe missed.

Robert M. TurbevillePresident, Ventura Process Equipment

Company

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PEMA Spring Meeting(continued from page 1)

decision – thus, the sales force hasnot presented value effectively. Sheasserts that small- and medium-sizedcompanies should have a competitiveadvantage exercise at least onceeach quarter.

Smith conducted an exercisewith the PEMA audience to affirmresearch findings on what peoplebelieve are the 10 most valuedcharacteristics to differentiate acompany from their competitors. Theresults were: customer servicequality, reputation, good results, ouremployees, knowledgeable, con-sistent, responsive, innovative, andtrust/relationship. When all else isequal, the tiebreaker is price.

“If the perspective of me, myemployees and my customers are alldifferent, the marketplace cannot knowwhat I stand for if there is notconsistency,” noted Smith. “Thecustomer’s perspective is whatcounts. My perspective is what isused in my marketing.”

It is critical to deliberately thinkthrough and describe the value thatyour offering will provide to a customersegment, measurable and relative totheir alternative choices. If you don’tdefine the value of what you do foryour customers, the customer won’teither. We cannot minimize price asan issue otherwise. Customers willpay for convenience if you show themhow you save them time and money.

Smith advised PEMA executivesto focus their marketing and salesfunctions on a message that will buildconfidence and reduce risk. Getahead of the competition – makeclear that you have 100% of themarket (however you define it). Lookat who is on your customer list. Itdoesn’t have to be that “we have100% of the market of companiesneeding widgets.” Make your version– “we have the top three (customers)in our market.”

Smith urged PEMA membersto avoid the common critical salesflaws made by most companies:1. Companies don’t have differen-tiators/competitive advantages.2. Companies have differentiators,but don’t know them.3. Companies know their differen-tiators, but don’t communicate themto the customers.4. Companies don’t know what’srelevant.

Customer Relevant Indicators –Not Just KPIs

(Key Performance Indicators)

It is important to be relevant andshow your performance on whatmatters to your customers, per Smith.Competitive advantages must beobjective, not claimed by thecompetition, true and provable,quantifiable, not a given or a cliché,past tense or fact.

Smith illustrated use of clichéson PEMA members' websites.

14 million uses of the term “familybusiness.”

“Exceed your expectations.”“The company you can trust.”“World-class quality.”

Customers usually do not careabout the family business claim whenmaking decisions on a product. Theother claims being used really haveno meaning. Ask yourself, “Is yourmessage at risk of death by athousand clichés?” Remember thatthe criteria must be true.

Smith provide examples ofcriteria that resonate with customers:

During the last four years, 98.9%of our service calls were handledwithin three hours.

We issued fewer than seven creditmemos in the last 36 months.

Our company invested 60 hourseach quarter in the past two yearshandling customer emergencyissues.

Our return rate for the past threeyears is <0.7%.

Instead of saying “XYZ sellsadvanced equipment that isunmatched in quality and inperformance,” Smith suggested acompany might state that it “…hadless than .02 down time and increasedoutput by 18% last year.” Anotherstatement that resonates well is “Wedeliver more than 1.5 million units,less than .03 are returned …”

Differentiators Are NotCompetitive Advantages Unless

They Are Relevant

There can be a dangerousdisparity with the market perception– what we think is important tocustomers, is not really important tothem. Smith presented an exampleof selection criteria ranked by thecustomer and by the company. (Seefigure 1.)

Frequent misconceptions bycompanies are that customers careabout employee ownership, familyownership, community involvement,longevity, awards, and greenpractices.

It is important for the seller tothink about the buying decision andhow to parse the message accordingto the specific audience. It’s commonfor the company to use a singlemarketing message. Currently, 90%of information used in companymessaging is internally focused, and

Issue CompanyRanking

CustomerRanking

Accurate invoices 9 2

Issues resolvedquickly 12 3

Long-term supplierrelationships 3 11

Breadth of productofferings 2 17

Figure 1

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Spring MeetingSpring MeetingSpring MeetingSpring MeetingSpring Meeting(continued from page 5)

only 10% is about the outsideenvironment. This is exactlybackwards.

Communicate YourDifferentiators

Companies must communicatethe value proposition everywhere, andemployees must know it also. Nobodycares about your history. Moreover,most companies overdo pictures ofproducts on their website. The goalshould be to answer “why us” in 10seconds.

Smith recommended usingthree blocks on the website homepage to address top buying criteriawith links to more detail for each.Prospects will not yet know thecompany. Customers want on-timedelivery. Prospects want amplecommunication and both wantaccuracy.

Smith cited the common criticalflaws in communicating as:

1. “We do.” “We can.”2. “We will.” “We promise.”3. Marketing speak.4. Telling how we do it.5. Providing too much information

(TMI).

Key Take-Aways

Smith provided much valuableinformation during her session withPEMA members. Three key take-aways are:

Add CRIs (customer relevantindicators) to your KPIs (keyperformance indicators).

Branding is out. Results are in.CRI examples include: on-timedelivery, order accuracy, response toissues, return rate, productconsistency, availability, training,invoice accuracy, lead time, and fillrates.

A company should concentratesolely on competitive advantage andnothing else.

Meet PEMA’s New Executive Director –Elizabeth B. Armstrong, MAM, CAE, QAS

Upon Sue Denston’sretirement on June 30,2018, Beth Armstrong

will become the executive directorand secretary for PEMA. Beth is thepresident of Association and SocietyManagement International, Inc.(ASMI) – PEMA’s managementcompany – and chief staff executivefor several of its clients, leading staffservice teams and ensuring the annualwork plans are executed successfully.She was instrumental in the pursuit ofASMI’s accreditation from the AMCInstitute under an ANSI approvedstandard for association managementfirms. Beth and Sue have workedtogether for more than 30 years, andBeth began her career as PEMA’smembership and statistics managerin the late ‘80s.

The Basics

Education and credentials:BBA in Marketing, College of Williamand Mary; Master of AssociationManagement, The George Washing-ton University; Certified AssociationExecutive (CAE credential earnedthrough the American Society ofAssociation Executives); andQualified Association Specialist(QAS credential earned through theFlorida Society of AssociationExecutives).

Skills and experience: Areasof expertise include service deliveryapproaches for non-profit organ-izations, board and committeemanagement, non-profit governance,non-profit accounting, marketing andmember services. Member of theAmerican Society of AssociationExecutives and the AMC Institute.

Get to Know Beth Better(in her own words)

Last time I laughed: I laughedlast night at a NarragansettLager beer can design. “Hi-Neighbor! Have a ‘Gansett.”It’s cute.

Last vacation I took:My husband and I take awinter vacation to St. John’seach year to escape the DCcold weather blues.Elizabeth Armstrong,

MAM, CAE

Last sporting event Iattended: High schoollacrosse game – I’m a bigLAX fan.

My favorite book is:Harry Potter (the wholeseries).

The most excitingthing I’ve ever done: Wenton an aerial refueling missionof a fighter jet by a KC-135.

My motto: Whatever you do always give 100% (unless you’re donatingblood).

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PEMA Roundtables Explore Four Topics

During PEMA’s 2018Spring Meeting, fourtopics were discussed

by Roundtable participants. The mostreferenced insights for each topic arecaptured below. Detailed notes fromeach Roundtable are available in themember portal of the PEMA websiteby logging in from the link at the topright of the banner on any webpage.

CRM

Topic: From a salesperson’sperspective, what are CRM’sbenefits? What CRM best practiceshas your company implemented?Which CRM features and capabilitieshave made a positive impact? How isCRM integrated with ERP, marketing,etc.?

Salesperson’s Perspective

Better organization and con-solidation of data.

Integration of contacts, quotes,sales activities and history.

Retains contact history even whenemployees leave the company.

Many CRMs are cloud-based andeasily accessible from any location.

CRM Best Practices

Assign a CRM champion fromeach department to commit toimplementation.

Define the sales process andwhat information will be tracked.

A “checker” should review entriesfor consistency and accuracy(spelling).

The manufacturer should controlthe contacts/accounts. Rep controlshould be limited.

Retain all contacts, i.e., changethe status of a contact to inactiverather than deleting it.

For consistency, decide at whatpoint in the sales process a contactshould be entered into the CRM.

Estimators should enter everyquote as soon as it is issued.

Features and Capabilites MakingPositive Impacts

CRM mobile apps enable effectiveand timely reporting.

Some CRMs have add-on toolsfor scheduling social media releases.

Most CRMs include forecasting,bookings, and accessing informationfrom the road. Many can be tied intoGeopointe for mapping and findingother customers in a sales call area.

Integration

Because integration often isexpensive and difficult, it isrecommended that an “integrator” whohas experience with your software beretained.

CRM can be used with contentmarketing and email campaigns.Contacts should be coded by industryor market to enhance filtering formarketing campaigns.

Forecasting

Topic: Which economicindicators/industry trends does yourcompany use for forecasting? How isthe information acquired? Howaccurate is this information? Howuseful is it?

Economic Indicators

ITR economic information fromPEMA meetings, supplemented within-depth research.

U.S. Department of Commercenew machinery orders reports,excluding aircraft.

PEMA quarterly statistics.Oil prices and data on number of

wells drilled.

Uses for the Data

Awareness of “headwinds” or“tailwinds.”

Budgeting and resource alloca-tion.

Comparing actual orders totargeted orders.

Determining whether to insourceor outsource.

Accuracy

One participant noted that thereis no pressure from management tobe accurate.

No Roundtable participants'companies tie compensation toforecast accuracy. Ballpark accuracyis acceptable.

Using Social Media forMarketing

Topic: Which social mediaplatforms does your company utilizefor sales and how are they used? Formarketing, and how are they used?For other functions (e.g., recruiting)and how are they used?

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PEMA's Spring Meeting Roundtable facilita-tors included Wendy Nora, director of OEMsales, Sly Incorporated, and ChrisNawalaniec, vice president of sales andmarketing, Stedman Machine Company (andPEMA Board Member and MembershipCommittee chair).

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Uses

Facebook is used as an HRplatform to interact with the communityand employees and for blue collarrecruiting.

LinkedIn is effective for technicalposts, as well as for sales andmarketing and white collar recruiting.

Twitter is used for events. Onecompany communicates withemployees via Twitter.

YouTube works well formarketing, especially to share videos.

Instagram is a quick and easyway to catalog pictures for salesstaff.

Managing Social Media

Some companies manage socialmedia in-house, while others hire athird party. The consensus is thatinternal management is preferred.

About 25 percent of theRoundtable partcipants have adedicated social media manager.

Companies employ HootSuite orsimilar programs to schedule postsand feed them to different sites.

Comments and Concerns

Video is more powerful thanpictures or other content.

Social media enables people tofind your company throughadvertising, searches and con-nections.

A significant concern is how tomanage negative comments. It wasunanimous that they can be managedon your direct site but not in privategroups. Companies should dedicateone person to monitor comments.

Roundtable participants unfav-orably view paid LinkedIn advertising.

While Facebook advertising isinexpensive, it has limited uses inthis industry.

Roundtable Summaries(continued from page 7)

Additional Social Media ToolsUsed

Sales Navigator for LinkedIn canbe a recruiting tool.

Glass Door is a site where current,former, and potential employees cancomment and rate the company. Italso can be used for recruiting.

Yammer is effective for internalcommunications.

Slack is similar to instantmessenger.

Microsoft Teams is part of theMicrosoft 360 suite and is powerful forcommunications.

Asana is a project managementsoftware with communicationscapabilities.

Adjusting to Today’s Workforce

Topic: Does your company havea flex time policy? Are employeespermitted to work from home? Howdo you manage employees who workremotely? How do you connect thehome office with the remoteemployees?

Several companies providedcurrent company policies related tothe topic. Download the followingsample policies with the RoundtableNotes in the member portal of thePEMA website by logging in from thelink at the top right of the banner onany webpage:

Flex Time Policy example.Telecommuting Agreement

example.Telecommuting Trial Policy

example.Telecommuting Application Form

example.

Flex Time

Most Roundtable participants’companies offer a variation of flextime.

For nearly all, flex time is informal.Some stated that flex time has beenin place for so long that it is part of theculture. A few companies have formalwritten polices.

Flex time is beneficial to theemployer and employee.

Flex time must be prearranged toguarantee company coverage.

Companies with overseas officesor parent companies have moredifficulty offering flex time.

Remote Workers

Few companies have a formalpolicy for working from home.

Working from home is companyposition/role dependent.

Companies manage remoteworkers in many ways, including timetrackers on laptops and measuringresults and not hours.

Connecting remote employeesis done via VPN, cell phones, con-ference calls, and video conferencing.

Many believe that 15 years fromnow, working from home will be thenorm.

Future Roundtables

The PEMA Roundtablesconsistently receive high marks frommembers. The next opportunity toparticipate in these discussions isthe 2018 PEMA Fall Meeting, Sept.10-11, 2018, in Charlotte, NorthCarolina, at the Charlotte MarriottCity Center. Attendees will selecttheir Roundtable discussion group/topic during registration.

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Gotta Get In To Get Wet – The PEMA Pool of Value

During the PEMA SpringMeeting, the MemberPanel focused on

PEMA’s value to members and howto get the most from a membership.

Discussion facilitator, PEMAProgram Committee Chair Rob Ward,president of U.S. Operations, RussellFinex, Inc., framed the session bydescribing PEMA member benefitsin three categories:

Quantifiable Benefits – exhibitspace discounts for PEMA members,10-25% discount on exhibit space,which offsets membership dues.

Meetings-Based – Speakers,roundtables, informal informationexchange, add-on sessions for adeeper exploration of a focused topic.

Additional services – such asstatistics program, access tomembers via ListServ and mini-surveys.

The panelists were: RodHenricks, director of sales, BuntingMagnetics Company; Bill Mecke,president, KWS Manufacturing Co.,Ltd., and Bill Werra, vice president ofcorporate development, SentryEquipment Corporation.

The panelists affirmed the realvalue gained as a direct result oflistening to a speaker at a PEMAmeeting. Mecke noted that JaynieSmith’s point resonated that makingthe claim of being an “industry leader”does not differentiate a company if 27other PEMA member companies usethe terminology on their companywebsites. Henricks shared that afterthe 2018 Annual Meeting, heimplemented 10 performanceindicators after David Friedman spokeon High-Performing Culture. Werraadded an example of a take-away forhim from the 2017 Annual Meetingfrom the session on “Diligent Pursuitof Less” – “If it’s something that wedon’t think there’s value to do

personally, why delegate it tosomeone else?”

Add-on sessions at the Springand Fall Meetings, such as on productliability and marketing, are tremendousbenefits and give PEMA membersthe ability to engage their specializedstaff.

Quarterly Statistics Report

This report provides bookings,billings, backlog and sales quotesperformance by market, geographyand company size.

Werra assured colleagues thatconfidentiality is completely reliablewith the use of a third-party datacollection company, and the cross-tabs of the responses are done toensure that individual companiescannot be identified, even based onstatistics.

Werra stated that he comparesquarterly report data with hiscompany’s performance: “If you thinkthat the reports won’t pertain to yourbusiness because you are in a differentmarket, you are missing out on agreat resource.” He did an analysisby industry, and the resultsspecifically tracked for his company’smarket space.

Business Conditions Survey

Conducted twice annually.Tracks bookings compared to

the same period last year and projectsbookings for the current six monthscompared to the past six months.

This survey is a gut-check – itshows how you’re doing as acompany and how the market is doing.The survey averages a 70%participation rate. It is part of PEMAannual dues, and member companieswere urged to take advantage of it.The report looks both backward (howdid you do) and forward (confidence infuture).

ListServ

Per the panelists, this servicehad been underutilized. Ward statedthat he used it recently when heasked about certification on electricalcomponents and received about adozen answers that were very relevantand useful. Werra has used it a handfulof times for both strategic and tacticaltopics relating to commission plans,engineering automation, and types ofsoftware used for websites.

It is important to ensure that thequestion is sufficiently benign andthat it does not breach antitrust.

Panelists urged the PEMAaudience to respond to ListServs,stating, “Someday you will have aquestion and want to tap into thisresource.” Henricks noted thatdepending on the topic, PEMAHeadquarters may pose the questionin the form of a survey rather than aListServ post, with responses goingback to Headquarters for compilation.All ListServ summaries are posted inthe Members Only Area of PEMA’swebsite.

Benchmarking Survey of KPIs

This is a survey of nine KPIs,including liquidity, debt and capitalstructure, and expenses as aproportion of sales. This is more of areality-check. Where is your companycompared to other PEMA members?There is no way of identifyingparticipants.

Executive Compensation Report

This report classifies data byjob type and compensation levelswith medians and means, ascompared to previous years toexamine compensation trends. Thereport cross-tabs the results on sizeof company, project size, commissionrates, and considers sales at adiscount. Where else can you get

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information that is directly relevant toPEMA member companies’ indus-tries?

A report of this type from aconsulting firm would be expensive topurchase. Werra asked a consultingfirm using grad students to price asimilar service and was quoted aminimum of $8,000 annually. AnotherPEMA member indicated this is thereport his company would pay aconsultant thousands of dollars toproduce.

Surveys are directed to theprimary contact for the PEMAmembership. The results are providedonly to the primary contact todetermine how to distribute the surveycompilation throughout the company.

Notable Quotes from theDiscussion

Bill Werra: “We are all sitting ona goldmine of information, we justdon’t realize it. We can tap in andleverage these resources to help each

PEMA BenefitPEMA BenefitPEMA BenefitPEMA BenefitPEMA Benefits Ps Ps Ps Ps Paneaneaneaneanelllll(continued from page 9)

other. Layer this on top of informationfrom within your own company, andthe payoffs are exponential.”

Bill Mecke: “What I like mostabout PEMA is the informalexchange.”

Chris Nawalaniec: “I never leavea PEMA meeting without takingsomething away, plus, there are a lotof fun people here.”

Travis Young: “I have gainedmentorship and have learned much.”

Clayton Woodward: “There arelike-minded people here. In this room,everybody understands what you do.We all deal with the same issues,and we are all trying to figure out thesame things.”

Bill Mecke: “Gotta get in to getwet – don’t go knee-deep, go all theway!”

Report from the PEMA Board Meeting

The following are highlightsfrom PEMA’s April 26Board Meeting, which

was held in conjunction with 2018Spring Meeting in Rosemont, Illinois.

Association income is ahead ofbudget and expenses are underbudget, creating a positive netvariance of $15,846.

PEMA and UBM signed a newshow sponsorship agreement thatextends through the last day of the2022 Rosemont Powder Show. Thenew agreement provides enhancedbooth discounts to PEMA membersand increased royalties to theAssociation as the exclusive tradeassociaton sponsor of the InternationalPower & Bulk Solids Show.

PEMA’s membership totals 72companies, and all have paid 2018dues.

Sixty-seven percent of membercompanies participated in SpringMeeting, with more than half registeringmultiple executives. The 2018 SpringMeeting attracted 30 first-timemeeting participants.

Quarterly Statistics Programparticipation will be promoted duringthe Spring Meeting panel presentationthat highlights PEMA’s resourcesand services.

The next Business ConditionsSurvey will be conducted in July.

The Executive Compensation andBenefits Survey will be conducted inJune.

The imminent re-build of PEMA’swebsite will make it mobile devicefriendly and improve functionality. Itsdual targets are prospective members(promoting membership) and currentmembers (providing information).

The Membership Video project isentering its final stage, which isincorporating footage taken duringSpring Meeting.

The Marketing Committeereviewed a new template for thenewsletter and accepted it conditionalon implementation of revisions.

It was suggested by the MarketingCommittee that PEMA’s logo bemodernized to coincide with thewebsite refresh. The Board is receptiveto PEMA’s logo having a “modernretro” look and will review the proposedrevamped logo at its Septembermeeting.

Highlights of the MeetingsPreferences Survey compilation werepresented. Two-thirds of themembership responded to the Marchsurvey. (See article on page 11 forsurvey results.)

Upcoming PEMA meeting datesand locations were announced:

2018 Fall Meeting – Sept.10-11, Charlotte, North Carolina

2019 Annual Meeting –March 27-31, Miami Beach, Florida

With the signing of the new UBM showsponsorship agreement, PEMA's Board ofDirectors was all smiles at its April 26, 2018,meeting in Rosemont. Agreement detailsare in the second bullet of the board high-lights.

2019 Fall Meeting –Memphis, Tennessee (tentative datesare Sept. 9-10)

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Highlights of PEMA’s 2018 Meetings Preferences Survey

Recognizing the value thatPEMA executives placeon the association’s

meetings, a Meetings PreferencesSurvey is conducted every two years.The results of the March 2018 surveywill guide site selection andplanning of near-term Annual, Springand Fall Meetings.

Annual Meeting Preferences

Southwest Florida overwhel-mingly retains its status as thepreferred Annual Meeting location.Arizona nudged out the Florida Keysfor second choice. Southeast Florida,which ranked third (out of 10) in the2016 survey, fell to the ninth spot thisyear.

The survey reaffirmed what mostmeeting evaluations reveal. The topthree reasons for Annual Meetingattendance are: 1) program content/speakers, 2) being part of the PEMAgroup, and 3) informal networking.Venue accessibility followed closely.

Annual Meeting participants wanta variety of recreational offerings inaddition to golf, specifically tours andwater activities (fishing, boating andsnorkeling).

The most important locationamenity is the beach (cited by 77% ofrespondents). Other amenitiesrequested are near-by restaurants(63%) and multiple on-site diningoptions (45%). Historical city, near-by venue for off-site party, and golf areimportant to 38% of the surveyrespondents.

The majority (78%) enjoy havinga “free” evening on Friday, while only6% do not. Other respondents are notsure (7%) or had no opinion (9%).

When asked about guest roomprice range maximum, 48% chose

$325-350; 35% selected $300-325;and 17% are willing to pay $350-375.

In the even-numbered years whenPEMA meets three times, 69% prefera February meeting. It is not so clearin odd-numbered years when PEMAonly meets twice; 39% choseFebruary; 37% selected March; 9%prefer April; 2% picked January; and13% have no preference.

Spring Meeting Preferences

The continuation of PEMA’sSpring Meeting format and location issupported by the majority (65%).Eighteen percent (18%) wish SpringMeeting would be discontinued, while15% think Spring Meeting should beheld annually and 2% prefer SpringMeeting only in the odd years.

Fall Meeting Preferences

Members (78%) wish to continuethe Fall Meeting venue rotation. Five

percent (5%) do not support therotation, 4% are not sure and 13%have no opinion.

Memphis and Denver, respec-tively, are the overwhelminglypreferred locations for 2019 and 2020Fall Meetings.

Marketing is the corporatefunctional area chosen for the 2018Fall Meeting add-on session, with50% selecting it as first choice,followed by Operations (26%),Finance (15%) and Human Resources(9%).

The Fall Meeting optional add-onsession is expected to be wellattended, with 41% very likely toattend and 52% somewhat likely toattend.

2017 PEMA President Recognized

PEMA's 2017 President Steve Ragan (right),president of Sly Incorporated, was unable toattend Annual Meeting in February, whichdelayed recognition of his leadership service.During Spring Meeting, 2018 PEMA Presi-dent Bill Werra, vice president of corporatedevelopment for Sentry Equipment Corpora-tion, presented Steve with the traditional gavelplaque. In addition, PEMA made a donation inSteve's name to Cleveland's Community Ser-vice Alliance, an organization about whichSteve is passionate.

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How Did YouRate PEMA’s 2018Spring Meeting?

Evaluation forms werereceived from 64 percentof PEMA‘s Spring

Meeting attendees. Membersgathered at the Embassy SuitesO’Hare, Rosemont, Illinois, April 26-27, following the “Powder Show.”

Ratings are on a scale from oneto four with one being “poor” and fourequaling “superb.” Nearly all PEMAevaluation respondents reported thatthe sessions provided specific ideasand concepts that can be applieddirectly to their companies.

Meeting Elements

3.6 Mix of Business and Social3.5 Informal Information

Exchange3.3 Program Structure3.3 Group Social Functions3.3 Meeting Length3.3 Cost-Value-Benefit3.2 Program Content3.2 Meeting City: Rosemont,

Illinois3.1 Meeting Hotel: Embassy

Suites O’Hare

Presentations

Thursday’s presentation byJaynie Smith, “Think You Know your#1 Competitive Advantage? ThinkAgain!” was well received and scored3.3 on a 4.0 scale.

On Friday, a member panelpresented “Gotta Get in To Get Wet– the PEMA Pool of Value.” Thepresentation provided a refresher onPEMA’s resources, and panelistsshared how their companiesincorporate PEMA’s services into theiroperations. The panel was awarded arating of 3.1.

PEMA Vice President and Program Committee Chair Rob Ward, president of U.S. Operationsfor Russell Finex, Inc., encouraged Spring Meeting participants to submit a meeting evaluationform, citing the utility of audience feedback for planning future meetings.

Sept. 10-11, 2018: PEMA 2018Fall Meeting, Charlotte MarriottCity Center, Charlotte, NorthCarolina.

Sept. 19-20, 2018: PLP&D FallWorkshop, Landsdowne Confer-ence Center, Leesburg, Virginia.

PEMA CalendarFor PEMA Meetings Info: sdenston@pemanet.org or msavoie@pemanet.org

For PLP&D Workshop Info: ctyeryar@asmii.net

March 27-31, 2019: PEMA 2019Annual Meeting , The ConfidanteHotel, Miami Beach, Florida.

During PEMA's Spring Meeting cocktail reception, the just-completed International Powder &Bulk Solids Show was a topic of conversation. L to R: Jeff Soldan, president, Bauermeister; DaveWall, sales manager, AZO, Inc.; Albert Sabbah, brand manager – media and events, UBM; BillNesti, sales manager, AZO, Inc.; and Chuck Kerwin, general manager, AZO, Inc. Thank youUBM for sponsoring the networking reception.

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PEMA Booth at P&BS2018 PEMA President Bill Werra, vice president of corporate development, SentryEquipment Corporation, at left and Doug Schieber, chair of PEMA's Ad Hoc ShowCommittee, 2016 PEMA president and president and CEO of Carrier VibratingEquipment, Inc., stopped by PEMA's booth last month at the "Powder Show." Theassociation's booth was staffed by Sue Denston (left), PEMA executive director,Michelle Savoie, PEMA meetings manager, and Beth Armstrong (not pictured),PEMA associate executive director. Kudos to Doug for his tenacity and pragmatismthroughout the extended PEMA-UBM show sponsorship agreement negotiations,resulting in enhanced booth discounts for members and increased royalties forPEMA.

Trade shows are all about networking (L to R): Todd Reed, president, NationalBulk Equipment, Inc.; Charlie Ingram, vice president of sales and marketing, EriezMagnetics and PEMA 2015 president; and Steve Ragan, president, Sly Incorpo-rated and PEMA 2017 president.

New PEMA member General Kinematics was represented inforce at PEMA's 2018 Spring Meeting. L to R: Bob Huffer,Eastern sales manager; Derek Kerkera, regional salesmanager; Amy Donahue-Kelley, global marketing manager;Jim Egan, director of sales; Tom Musschoot, president; andNauder Ghaforian, regional sales manager.

The Bunting Magnetics Company contingentlooked snazzy in their corporate logo shirts. Lto R: Bob Bunting, president; Robert Bunting,Jr., general manager; Rod Henricks, directorof sales (and PEMA treasurer); BrockHerrmann, product manager; BarryFlashman, senior district sales manager; andDan Murphy, territory sales manager.

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Executive DirectorSue Denston, QAS

703-538-3540sdenston@pemanet.org

Associate Executive Director Elizabeth B. Armstrong, CAE,

MAM, QAS703-538-1780

barmstrong@pemanet.org

Management CounselHarry Buzzerd, Jr., CAE

703-538-1784hbuzzerd@pemanet.org

Meetings ManagerMichelle Savoie, CMP, DES

703-538-1796 ext. 1786 msavoie@pemanet.org

Director ofInternational Marketing

Clay Tyeryar, CAE, MAM, QAS 703-538-1781

ctyeryar@pemanet.org

Newsletter EditorDawn Shiley, CAE, QAS, CVEP

703-538-1796 ext. 1709 dshiley@pemanet.org

HEADQUARTERSPhone: 703-538-1796

Fax: 703-241-5603www.pemanet.org

Contact PEMA

PEMA Press

PEMA Press is an electronic pub-lication produced four times annually as the official newsletter of the Process Equipment Manufacturers' Association. It is emailed to PEMA members and posted on the PEMA website at www.pemanet.org. Articles, news items, suggestions and feedback, should be sent to Dawn M. Shiley, communica-tions and marketing director, at 703-538-1796, ext. 1709, or dshiley@pemanet.org.

Congrats to the newlyweds! PEMA memberexecutive Brian Baker, president of SentryEquipment Corporation, and Tricia Kusebecame husband and wife on April 14.

PEMA Member Company News

SWECO® Introduces New ATLAS Gyratory Sifters

SWECO has launched its new ATLAS Gyratory Sifter product line. The ATLAS sifter is the company’s largest sifter, offering high-capacity screening in a low-maintenance, operator-friendly design. The ATLAS, available in 33 versatile configurations, is ideal for a wide range of industries including, but not limited to chemical, food, plastics, agriculture, and minerals. For more information, visit the company website.

MPI's Kyle Rhodes Becomes A Parent

Congratulations to PEMA Executive Kyle Rhodes,vice president of sales and marketing for MPI (Mag-netic Products, Inc.), and his wife Jennifer. On March23, they became first-time parents to daughter LaylaKay Rhodes.

Sentry Equipment Corporation's Brian Baker Ties the Knot