Wyospace.com

OK OK, So we'll post something already!

By Brandon Marshall

Honestly people, we're not trying to set records for least blog postings in a given period of time.  Really, I planned it this way! If we only post every 6 months, you'll really appreciate the morsels we throw at you, right? 

Ok, so on the serious side,  there are some pretty exciting things going on with the WBC and our partners at the University.  In fact, this week, I'll be touring Hill Air Force Base in Utah (of course I'll be wearing all the Pokes gear I can find) with Manufacturing-Works and three of Wyoming's most impressive manufacturers.  We plan to observe Lean Manufacturing techniques on large equipment.  The tour should be fantastic, and will hopefully give great value to the Wyoming Entrepreneurs who will be joining us Bureaucrats.   

The plan I have is to write up a posting on the tour and have it up Friday when I get home.  Lean Manufacturing is a great concept that can help almost any business become more efficient.  For more information on the process and the services offered by Manufacturing-Works to Wyoming's businesses, visit www.manufacturing-works.com.

Green Business: NOT"oh come on!" How about, OH YEAH!

By Diane Wolverton
State Director
Wyoming Small Business Development Center

A movement is afoot. Some call it sustainability; others call it green business. Patricia Aburdene, author of Megatrends 2010 has dubbed it “Conscious Capitalism” and she says it will change the way we conduct business in the USA and around the world.

“Change the way we conduct business” Wow. That warrants attention. Smart entrepreneurs are taking note and looking for ways to be part of the change so it works for them and not against them. Here are a few things you can do to get started.

Learn the basics. Today’s working definition of sustainability is “meeting the needs of the present without compromising the ability of future generations to meet their own needs.” In the context of business, this means operating profitably today without negatively impacting our environmental and societal infrastructures to compromise the future. Sustainable businesses work toward a “triple bottom line”: one that supports people, planet and profits.

One way to orient yourself to the movement is to learn its language. Check out the online sustainability dictionary by the Presidio School of Management. You’ll discover cool concepts like biomimicry, eco-labels, cradle-to-cradle, SRI (social responsible investing), global reporting initiative and more.

Connect with others: Lots of organizations are cropping up to support the sustainability movement. Co-op America has been around the longest. They offer a ton of information, plus an opportunity for sustainable businesses to sell products through Green Festivals and their catalogue of sustainable products, The Green Pages.

Another great resource is LOHAS, an organization dedicated to the $209 billion U.S. marketplace for goods and services focused on health, the environment, social justice, personal development and sustainable living. Just a few minutes on this website will show you that the sustainability movement offers a lot of opportunity for businesses who can tailor their products and services to meet the needs of this huge market. LOHAS also puts on a great annual conference loaded with information and networking opportunities.

Revisit your plan: Getting on the wave of sustainable business requires revisiting your whole business – your mission, your product, your processes, your people, your location. It may seem overwhelming. But there are lots of resources to help. The Wyoming Business Council offers an energy audit to determine what your carbon footprint looks like and how you can reduce its size. Contact Tom Fuller, tom.fuller@wybusiness.org. Manufacturing-Works offers an environmental assessment. Contact Carol Stark, cjstark@bresnan.net. The Small Business Development Center can help you look at your compete business plan through the lens of sustainable practices. Contact Diane Wolverton, ddw@uwyo.edu.

Things to Consider When Hiring a Patent Attorney or Agent

By Davona Douglas
Wyoming Research Products Center

There are many questions to ask when considering which patent attorney or patent agent to hire to help protect your intellectual property.  Here are just a few things to consider.

First, it is usually a good idea to consider a patent attorney's technical specialty. Some patent attorneys may be very specialized in one technical or scientific area, such as molecular biology or engineering, while other patent attorneys may have a broad understanding of many different areas. Depending on the complexity and technical level of your invention, it may be important to choose a patent attorney with a high level of technical understanding in a certain scientific field.

Also, it is important to find a trustworthy and competent patent attorney who will ensure your patent is well written with claims that would hold up in court if ever challenged.  Some questions to ask on this subject may include:

• Does the attorney do a prior art search on his or her own, or does he/she delegate the job to a professional searcher or professional searching firm? (Some inventors prefer the job be delegated out to a firm who's only job is to search technical prior art, while others may prefer the attorney be responsible for the search.)
• Will the attorney provide a written patentability opinion or a spoken opinion? The opinion should compare the claims that were found in any pertinent prior art patents discovered in the search with the claims he/she would draft for your invention.
• What is the attorney's legal education and patent experience in terms of years and the nature of the experience?
• To what extent will the inventor be able to assist and participate with the attorney?

Finally, overall you should feel very comfortable with the attorney and be sure to ask about his/her price. Attorneys in firms are usually more expensive than those in independent offices. Some attorneys may charge by the hour, some may charge by each piece of work (say each thing they draft, file, etc), or both. You may also want to ask for a written engagement letter specifying the scope of work, fees, and any other terms if the attorney does not suggest one.

You can find a whole list of patent attorneys and agents, listed by state, on the United States Patent and Trademark Office website at: www.uspto.gov

It is possible to work with attorneys who are located far away from you with the use of email, fax, and conference calls.

Please contact the Wyoming Research Products Center, www.uwyo.edu/rpc, for more information or assistance with your intellectual property needs.

Energy Audits and a Lean Business

By Aarne Haas
Manufacturing-Works
www.manufacturing-works.com

An energy audit is a report which may either sit on a shelf and gather dust or be a guide to improving energy efficiency and leading to cost savings. To achieve the latter takes understanding why an energy audit is done in the first place.

As the cost of energy increases, businesses need to be aware of this component of their 'cost of doing business'. By making the right decisions, the energy cost increases can be offset by changes in operating methods and facility changes which lead to more efficient energy use. As the readers of this blog know, two basic concepts of a Lean Business are the improvement of flow and the elimination of waste. While the energy audit does not do much for business flow, it can guide decision making by locating the various wastes of energy in a business.

The energy audit looks at historical usage to form a baseline to validate current measurements. By understanding seasonal and other patterns in energy use, insight into use trends can be separated from externally driven factors. For example, business growth and colder weather may both drive a higher energy use. Once the driving factors for a business are identified, the correct response can be formulated. Why try to curtail energy use when all the increase is going into getting product out the door?

The energy audit compares your uses to others in like industries. This 'benchmarking' helps the business understand their competitors performance and highlights those areas of energy use where others may be doing better. Again, the issue of eliminating wasted energy use is the goal and the comparisons will highlight areas where there may be opportunities for savings.

The energy audit documents the performance of different systems in your facility. By looking at individual equipment and systems, measurements of the performance are made and these can be evaluated anbd compared to the 'state of the art' or at least the state of your competition. These comparisons will show where the greatest differences are between what is and what can be achieved.

The energy audit presents a set of recommendations based on the points above which identify ways to eliminate or minimize energy waste. These are often ranked in terms of biggest return for the effort or funds required. These recommendations will generally cover both building and operating issues and can be a guide to the implementation of an energy savings program.

The results achieved by following the recommendations can be compared to the baseline energy use information developed by the audit. Closing the loop, the 'do and check' items previously described as a part of lean thinking, will allow the business to measure their progress in eliminating the waste of energy. This progress is part of the continuous improvement which is a hallmark of Lean Business. 

Green-Lean-Clean: Manufacturing-Works can help

By Andy Rose, Manufacturing-Works

At Manufacturing Works, we help a wide diversity of companies outside the realm of traditional manufacturing – farmers, ranchers, inventors, niche crafters. When a farmer converts to natural or organic methods of production they win in several ways. First, they are paid a premium for their product because the market is demanding these characteristics in food. Secondly, they change management and use special techniques to control weeds and pests, eliminating costly fertilizers and herbicides. Finally, they emphasize ecological principles to build soil fertility – increased organic matter, healthy macro- and micro-nutrients. This is like money in the bank for they can improve productivity of the land over time. Doing this requires a careful Production Plan, and following the intricate procedures of USDA.  In larger operations, such as feedlots or dairies, we can help develop Nutrient Management Plans – basically a users guide of how to process (compost) solid and liquid animal wastes and incorporate them into the land, again building the soil health and preparing for future, sustained, production.

While the agriculture sector is not viewed as a traditional manufacturer, its entrepreneurs have characteristics we admire and can emulate. Like manufacturers, they are inventive, focused, and driven towards success as they often create a “signature” or “trademark” product.  Achieving the milestone of a these products in the marketplace, they again take the initiative to become more streamlined (increase flow), and through shear grit can often value-add to a byproduct whereby again, they create something new. At Manufacturing Works we are proud to play a part in helping to “make this happen.”  Please learn more about us at our web site www.manufacturingworks.com or contact Field Engineer Andy Rose at 307-754-4832, or email arose@wir.net.
   

Green-Lean-Clean: A Profitable Combination

By Andy Rose, Manufacturing-Works

In a recent meeting with entrepreneurs that are planning a large capitol investment in a new manufacturing facility, a certain statement caught my attention.  In discussing the business venture we covered facility layout, processing equipment, infrastructure, lean concepts, supply inputs, energy use, byproducts, and waste. Then, one of the owners mentioned they wanted to have a minimum or zero “carbon footprint.”  What does that mean, having a “zero carbon footprint”? In laypersons terms, it means reducing or offsetting carbon dioxide (CO2) from your activities, primarily energy consumption. You can read about and even calculate your personal carbon footprint at www.carbonfootprint.com.

In today’s manufacturing climate we are seeing more and more interest in this concept and as related to sustainability  -- reducing emissions, reducing waste, and conserving energy. What we have discovered is that what makes good environmental sense, in nearly all cases makes good economic sense.  We often discover that processing wastes that are initially viewed as a liability (expense) for the business can become an asset, even generating income! Say what, now! That’s right, money in the bank. Our environmental specialist and myself, an agricultural engineer, look for ways to value-add or find a market for manufacturing wastes. In a resource-based state of minerals, forest, and ag products there are particular opportunities to turn losses into gains. Sometimes this requires a certain amount of sleuthing about, and persistence, but eventually we reach fruition.

For example, can we find a use for wood waste and sawdust that is burned creating smoke and ash, through additional processing? Is there a use for sugar beet pulp of higher value then animal feed? Can the methane gas from animal manure be used to generate electricity, converting waste into profit? In the oilfields, sour gas processing produces waste sulfur, which can be used in fertilizers and in battery production. What about packaging materials from vendor deliveries (wood, steel banding, cardboard)? How about leftover mill ends, slag, chemicals, plastics? Energy conservation measures or use of renewable energy can also reduce operating costs for a business – and the publicity “mileage” is an important marketing tool; telling the world they are good stewards.

Please learn more about Manufacturing-Works at our web site www.manufacturingworks.com or contact Field Engineer Andy Rose at 307-754-4832, or email arose@wir.net. 

How an Energy Use Tax Analysis can put money in your pocket

By Aarne Haas, Manufacturing-Works

Wyoming, like many other states, has programs and incentives to make sure that businesses don’t incur penalties for being located here.  One of these is a series of sales tax exemptions for businesses. These range from many purchases made by agricultural producers or various exempt organizations to purchase of power and fuel used by manufacturers in their processes. The latter is the focus of this short note.

The Wyoming Department of Revenue allows the purchase of power for manufacturing and processing to be exempt from excise (sales) tax. This power or fuel must be ‘separately accounted for, by separate metering, storage, or engineered calculations…’ .  What does this mean? It’s easy enough with fuel, you buy it in a separate container, you store it where it cannot be mixed with non-manufacturing fuel and you don’t pay sales tax on it. For a new facility, you might put in separate meters for the office (taxable) and the plant floor (generally tax exempt) power distribution, but this is expensive and almost impossible to retrofit in an existing facility. The ‘engineered calculations’ option is the third way to make use of this exemption and save on operating expenses.

Having a qualified engineer analyze and report on the power uses in a manufacturing or processing facility provides the documentation that ‘separates’ taxable from tax exempt power uses. This process is straightforward:

1. First, historical power usage records are analyzed to determine long term usage and usage patterns. Seasonal variations are accommodated and any long term trends are noted.
2. Second, a series of measurements are made on power usage of different equipment, systems and areas of the facility. Here also inventories of installed equipment and their power usage patterns are determined.
3. Third, the various power uses are categorized by whether they are ‘consumed directly in (the) manufacturing…’  . This can be a bit tricky as the determination is a combination of court rulings, Department of Revenue procedures and the expert opinion of the engineer.
4. Fourth, a report of the findings is prepared which generally gives a percentage of tax exempt usage for electricity, for gas  and any other power input to the facility.

This is where the money goes in your pocket. By filing an exemption form with your power supplier, all state sales tax on the purchase is removed. You are obligated to pay the tax on that percentage of power found to be taxable. This is done as a line item on your monthly or quarterly sales tax filings. And the frosting on this saving is the ability to go back in your records and reclaim the overpaid taxes for the last 36 months. In many cases this alone more than pays for the engineering analysis and the savings will continue month to month.

NB: The term ‘power’ is used throughout this article to be consistent with the state statutes, but you and I know it is really ‘energy’ we are paying for and talking about.

Trademarks—Two Important Things to Remember

By Davona K. Douglass, Wyoming Research Products Center www.uwyo.edu/rpc

Most small business owners and entrepreneurs know what trademarks are and how they are used to identify certain products.  In fact, chances are if you glance up from your computer you can see many familiar trademarks all around you right now.  You may know that trademarks are words, logos, symbols, or designs that identify a company’s products and distinguish them from other’s products. But do you know that (1) registration of a trademark is not always required and, (2) that you can use the “TM” designation with your trademark even if it is not registered?

Registration of a trademark can be done at the state level and/or the national level (federal registration). However, registration is not required because rights in a trademark may be established based on legitimate use of the mark alone. The one who can show the earliest date of first use is more likely to have senior rights to the mark, regardless of registration or registration date.  Any time you claim rights in a mark, you may use the letters “TM” on it to notify your customers and the general public that you are claiming those rights. You can use the “TM” designation on your trademark regardless of whether you have filed an application for its registration or not. (You may use the federal registration symbol ® only after a mark is actually registered by the United States Patent and Trademark Office—not before you apply for registration or while your application is pending.)

Registration of a trademark does have some advantages.  Please see http://www.uspto.gov/web/offices/tac/doc/basic/register.htm for the United States Patent and Trademark Office’s list of these advantages.

Visit the United States Patent and Trademark Office website (www.uspto.gov) for information about trademarks and federal registration. Visit the Wyoming Secretary of State’s Office for information about state registration. http://soswy.state.wy.us/corporat/tm.htm. This is not intended to be legal advice, and we strongly encourage you to discuss your trademark matters in depth with a qualified trademark or intellectual property attorney.

Waste Not Want Not: Advice for Small Business

By Carol Stark, Manufacturing-Works

The basic definition of a waste is any material for which the generator no longer has a use and intends to discard.  What wastes leave your shop/office?  What waste is discarded in your dumpster? Where do you generate the most waste?  Waste disposal is not without a fee.  Do you know how much waste is costing you in time (wasted labor), money and materials?

When the generation of waste is prevented, reduced, reused or recycled, you could end up with more money that can be used for other business needs. 

The following are a few tips to help your business PRRR (Prevent, Reduce, Reuse, and Recycle Waste):

• Prevent container waste:  Purchase in bulk and request returnable containers from suppliers whenever possible.
• Prevent sump sludge:  Remove floor sumps and dry-sweep shop floors.
• Reduce paper waste:  Reduce paperwork by using email and submitting forms. electronically.  Use a linen service and washable rags instead of paper or scrap cloth.
• Reduce paint waste:  Use higher quality spray paint equipment and waste less paint (save 20-30% in paint costs by increasing paint transfer efficiency).
• Reuse energy source:  Recover energy from used oil with a shop heater or contract a used oil recycling service.
• Reuse waste solvent:  Filter or distill solvents with a recycling parts washer or solvent distillation equipment.
• Recycle electronics: Donate used computers to local Computers for Kids projects.  In Casper, contact Computer Edge 307-237-3979.
• Recycle paint:  Donate leftover or half-used paint that has been opened for a project that is obsolete to Habitat for Humanity

The Wyoming Recycling Directory includes the most current list of recycling programs and community contacts in Wyoming.  Visit http://www.wyomingbusiness.org/business/energy.aspx Or contact the Wyoming Business Council at 307-777-2805, or email tom.fuller@wybusiness.org.

Contact Carol Stark, Manufacturing-Works at 307-234-2687 for additional waste reduction recommendations. Determine your waste(s), save $$$, and reduce your liability. Visit Manufacturing-Works web site at www.manufacturing-works.com

Looping for Success

By Barry J. Bruns, Col , USAF Ret
Manufacturing-Works Affiliate

Okay, so the title is a bit loopy.  Who says we can’t have some fun here?  How can we loop for success?  Cowboys do it with ropes, software programmers do it with iterations and hate infinite ones, drivers use them to avoid traversing downtown, and cereal makers try to make them taste like fruit.  Facilitators learn how to loop and group, and stunt pilots only get one opportunity to have their loop intersect the ground.

 

How about a loop or two that, if mastered, can make our businesses better?  Let’s start with Continuous Improvement.  I’m always amazed at how pervasive the phrase has become, it seems that everyone in business knows that Continuous Improvement is a good thing.  Fewer of them understand that it is a reasonably formal, defined loop of activity.  Plan, Do, Check, Act.  That is the continuous improvement loop, and one can trace it back at least to World War II and W. Edwards Deming.  It is the way to make most anything better.  Do a bit of planning, push the pencil, brainstorm, kick an idea around.  Then, before you achieve paralysis by analysis, do something.  Try it a bit.  But, watch as you do, check on how it works, what turns out.  Then, act on the results.  What went wrong, what went right?  Do you know why?  Take that knowledge and use it to make another plan, push the pencil a bit more, and start the process over.  The faster you complete each of these loops, the sooner you’ll see real improvement.  The longer you do this looping process, the closer you’ll come to perfection.  But, since perfection is impossible, you’ll be at it all the time, or as they say, continuously.

That one was easy.  How many of you have heard of the OODA loop?  Observe, Orient, Decide, Act.  You can compare it to Plan, Do, Check Act, but this is a very competitive loop developed by the late John Boyd, a fighter pilot who changed how aviation works in warfare after World War II.  (Boyd, the Fighter Pilot who Changed the Art of War,  by Robert Coram, Back Bay Books/Little, Brown, and Company, 2002.)  Boyd began by trying to determine why American pilots flying F-86’s in Korea against Mig 15’s flown by North Korean and Russian pilots were racking up 10:1 success ratios.  The Mig was faster in all but a dive, climbed faster and higher, had more powerful guns, and was measurably better in nearly every aspect of what was then considered important measures of aircraft capability.  He discovered that since the F-86 rolled faster, its pilots were able to transition from one maneuver to another more rapidly.  In short, they couldn’t do things better than the Mig pilots, just sooner and faster.  But, sooner and faster beat the Hell out of better but later.  If you watch the Iraq war news in detail, you’ll hear our generals and admirals talking about whether we are inside our enemy’s loop or he is inside of ours.  This is the loop they are talking about.  He who is agile, quick to analyze and transition, does better than he who is a bit more ponderous, even if bigger or more powerful.  Does this sound like a winning formula for our small Wyoming businesses?  When Boyd talked about killing the competition, he meant it.  If you compete, you’d be wise to study the OODA loop.