By Jim Marco
In the 1920s and 1930s, Elton Mayo conducted a series of experiments at the Hawthorne Electric Plant near Chicago. The study was intended to find out how different aspects of the work environment, like lighting, the timing of breaks and the length of the workday affected worker productivity.
The hypothesis was to see if changes in these environmental factors could increase productivity. The researchers found that productivity increased, for a while, and returned to normal once the experiment was over. This became known as “The Hawthorne Effect.”
We read a lot today about the new workplace; flexible office space, fully stocked kitchens, ping pong tables, bean bag chairs, stand up desks, even bringing dogs to work. Employers are trying to copy the superficial trappings of really successful companies like Google and Apple. They hope that these trappings will create a “culture” that will allow them to achieve some terrific level of success.
It won’t, and these programs will be abandoned, because the companies will not get the desired productivity or engagement boost from their workforces. Like Hawthorne electric, the effect is only temporary.
Business Report: What New Data Breach Law Means
by Richard Ruzzo
On July 26, the Shield Act was signed into law by Gov. Andrew Cuomo to direct that better security measures and policies are put in place by all business that store, maintain or electronically handle non-public personal information (NPPI) to help protect against hackers obtaining an individual’s personal and private information.
The law is set to take effect March 21.
What determines a breach in a security system?
A breach occurs when one’s NPPI is exposed, made vulnerable or stolen from the host organization by unscrupulous data thieves. The information at risk and covered by the new statue is as follows:
Any data that is compromised and consisting of any combination of; name, Social Security number, driver’s license number or non-driver identification card, account number, credit card number, security access code, password or PIN to a financial account, username/email address with a security question/password and any biometric data information based on unique features that can be viewed digitally.
DeAngelus Goralczyk PLLC Opens An Office On Division Street In Saratoga
By Jill Nagy
Two attorneys with some 40 years of combined experience, much of it as solo practitioners, joined together to form DeAngelus Goralczyk PLLC, a law firm concentrating on real estate, business formation, and cybersecurity, and has expanded with an office in Saratoga Springs.
The firm opened the office at 18 Division St. in September. It also has offices in Schenectady and Clifton Park and several satellite locations for real estate closings.
Paulsen Development Constructing On Two Commercial Plots For Medical Projects
By Christine Graf
Two $9 million physician-owned medical office buildings will be built on commercial property on Route 9 in Clifton Park.
Developer Rich Paulsen of Albany’s Paulsen Development will have a minority interest in both buildings, one at 1766 Route 9 and the other at 1785 Route 9.
They are being built by BBL Construction of Albany.
OrthNY will be the sole tenant of the two-story, 40,000-square-foot building at 1766 Route 9.
Construction is expected to begin this month, and the projected completion date for the project is September 2020.
Upon completion, OrthoNY will relocate their Clifton Park satellite office to the new facility. The satellite office is currently located in leased space in the Ellis Medicine building on Sitterly Road. OrthoNY also has a four-room ambulatory (outpatient) surgery center at 16 Maxwell Drive in Clifton Park. The $5.3 million physician-owned surgical center recently celebrated its grand opening.
Missouri-Based Company Buys Best Western Property, Plans Some Changes To Motel
By Christine Graf
Missouri-based Pinecone Holdings recently purchased the 73-room Best Western Plus at 3291 South Broadway in Saratoga Springs.
The $5.6 million purchase was finalized on Aug. 23 and financed through Catskill Hudson Bank.
Pinecone Holdings also owns Best Western Plus hotels in Bolivar, Mo., and Mascoutah, Ill. Their additional holdings include storage unit facilities, a shopping plaza, and a construction company.
According to Pinecone Holdings Managing Director Drew Kifer, the company’s search for a new hotel was extensive and spanned the entire east coast. He said they were looking for a property that had the potential to provide the best return on investment.
“We were looking at and wanting to stay with Best Western, which is a brand we know and understand,” said Kifer. “We narrowed it down to a few key properties, and we felt like the Saratoga Springs property had the bones we were looking for.
“It is a good property that is in good shape and one with a lot of potential. We think the Saratoga market will continue to grow. It’s such a strong leisure market for the greater New York area.
Stewarts To Spend $50M On Properties For New Stores And Replacement Of Older Ones
By Christine Graf
Stewart’s Shops has announced plans to spend $50 million to construct new stores and replace smaller, older stores with shops that include more space for prepared foods and coffee.
All new stores will have expanded parking lots and gasoline services, and some will include beer caves, the company said.
The new stores will be located in 11 counties including Albany, Saratoga, Oswego, Rensselaer, Oneida, Warren, Columbia, Essex, Clinton, Ulster, and Orange .
According to company spokesperson Erica Komoroske, the new locations will average 3,750 square feet in size and cost between $2.5 million and $3 million to construct. Fifteen new stores are slated for 2019, and stores in Clifton Park, Mechanicville, Oswego, Yorkville, and Brunswick have already been completed. The company hopes to finish work on the remaining 10 stores by the end of the year.
Stewart’s also has major remodels planned for several existing locations.
Lisa Avila Moves From GE Research Unit To Help Form Kitware Inc. In Clifton Park
By Susan E. Campbell
Lisa Avila is the only woman among five founders of Kitware Inc., developer of an innovative visualization software toolkit and other open source platforms.
The business partners worked together at GE’s research unit in the mid-1990s. Up to that time, there was no software available to visualize one’s data without purchasing an expensive license. In 1998 they went out on their own and developed an open source product that could be downloaded and used directly.
“The toolkit may come close to providing free solutions the user needs,” said Avila. “But our revenue comes from modifications they cannot provide for themselves that bring the software to the next level.”
Now 20 years later, this international company has 150 employees in five offices, including headquarters in Clifton Park. Avila attributes their exponential growth to improved functionality and popularity of their software platform, she said.
Study Commissioned By American Express: Women-Owned Businesses Fuel Economy
Women-owned businesses continue to fuel the economy and now represent 42 percent of all businesses — nearly 13 million — employing 9.4 million workers and generating revenue of $1.9 trillion, according to an annual State of Women-Owned Businesses Report, commissioned by American Express.
In 2019, U.S. women with diverse ethnic and geographic backgrounds started an average of 1,817 new businesses per day between 2018 and 2019, down only slightly from the record-setting 2018 number of 1,821.
The annual report, based on U.S. Census Bureau data adjusted by Gross Domestic Product data, found that women-owned businesses continue to trend above all businesses. Over the past five years:
• The number of women-owned businesses increased 21 percent, while all businesses increased only 9 percent.
• Total employment by women-owned businesses rose 8 percent, while for all businesses the increase was far lower at 1.8 percent.
• Total revenue for women-owned businesses also rose slightly above all businesses: 21 percent compared to 20 percent respectively.
Mary Maranville Turns Farm And Garden Store Into Wedding And Events Center
By Jennifer Farnsworth
Mary Maranville is a strong example of someone who has managed to enjoy a high level of international success while still remaining true to her roots, to what she finds important.
Maranville, along with her longtime partner Kevin Dott, recently renovated DeMaranville Farm and Gardens in Saratoga Springs into a wedding and event location that honors their farm-to-table mantra.
The farm, located at 727 Lake Ave., (Route 29) Saratoga Springs, has three vintage barns including the Big Red Post and Beam Wedding Barn, Carriage House and Corn Crib.
The Big Red wedding barn features chestnut beams, a chandelier, vaulted ceiling, solid oak cocktail bar, second floor, central heat and air-conditioning. The Carriage House can be used for a cocktail reception hour or smaller gathering, and the Corn Crib is an authentic agricultural barn, often used for photos.
“It is the perfect place for a boutique wedding. We have also seen a lot of interest from people who travel for their actual wedding and then return home to have a reception,” said Maranville.
Maranville grew up on a dairy farm in Gansevoort, where she remembers her father working many hours to keep the farm running, a life that requires extreme heart and dedication, but something she said her father was born to do.
Business Report: Businesses Can Be Protected From Divorce
By Tammy J. Arquette, Esq.
Small business owners typically put in many hours per week to operate and sustain the success of their company. They make investments of money, time and sweat equity.
They take on debt. And they utilize various experts to assist in the operation of the business, from accountants and lawyers to insurance and real estate professionals. Statistically, 50 percent of all marriages end in divorce, but when you add the stress of building a business, the strain on the marriage may be too much to bear.
Sometimes the best offense to protecting business asset is a good defense planned out when circumstances are still favorable and amicable. A classic example is the effect of a divorce on a small business.
The Domestic Relations Law defines marital asset as “all property acquired by either or both spouses during the marriage and before the execution of a separation agreement or the commencement of a matrimonial action, regardless of the form in which title is held, except as otherwise provided” in a separation agreement. This means that a business venture that is started during the marriage is subject to equitable distribution in the divorce process.
And a business that was commenced before the marriage is also at risk to the extent that it appreciated in value during the marriage.