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Is it Time to Rethink Digital Transformation? Join our experts May 02 to Find Out!

Organizations are rethinking digital transformation. After some high-profile failures, innovation being treated as a sideshow, and elusive ROIs, organizations are reshaping their digital visions and their tactics for getting there. With greater clarity about what the future enterprise will look like and what it will take to compete in redefined industries, companies are pivoting away from digital for the sake of innovation to digital for the sake of the business. Join us and catch Dave Pearson, Research Director and Team Lead for IDC Canada's Infrastructure Solutions Research Group presenting: ‘The New Infrastructure Data World ’ at IDC Directions 2019 in Toronto on May 02. Data growth and capacity concerns continue to the be the number one stress on data centers in Canada. At the same time, IT is expected to support Digital Transformation (DX) and new business initiatives at nearline speed.  What will your next generation of infrastructure need to look like to support the variety of workloads, applications, and data sources your organization requires, from core to cloud to edge? Find out in Dave's breakout session at IDC Directions in Toronto   Location St. James Cathedral Centre: Snell Hall 65 Church Street | Toronto Date May 2, 2019 Time 8:00 AM - 8:30 AM - Registration & Networking Breakfast 8:30 AM - 3:30 PM Conference Program Register Today before it's too late!  If you're a member of the media and would like to attend this event, please contact Cristina Santander at csantander@idc.com

2019 Federal Budget Commentary

In brief, the 2019 Budget includes $22.8 billion in new spending over the next five years. The government expects revenues to steadily increase by nearly $60 billion in 2023 and projects program spending to increase by $40 billion that year. Debt payments are projected to increase by $7 billion. Based on these growth and spending assumptions, the government expects the federal deficit to increase to nearly $20 billion in 2019–2020 and 2020–21 and then decline to $9.8 billion at the end of the next five years. Cleo Melanson, Tax Partner, and Rick Bouffard, Principal & Tax Advisory, at Freelandt Caldwell Reilly LLP practice in the areas of tax and owner-managed businesses. You can contact Cleo by clicking here or Rick by clicking here to arrange an appointment regarding this topic. Articles:

Kelley School expert explains changing market conditions leading up to GM announcement

General Motors on Nov. 26 announced plans to close five manufacturing sites and consolidate production in North America and eliminate an estimated 14,000 white collar and blue-collar jobs. Rodney Parker, associate professor of operations management at Indiana University’s Kelley School of Business, said the announcement reflects several new realities for GM.   “First, it reflects the ongoing shift of consumers preferences from cars to SUVS and pickups. The announcement to discontinue several cars models and focus more on trucks mirrors Ford’s announcement in April 2018 to drop all car models other than the Mustang and Focus to concentrate on trucks. SUVs and pickups are more profitable and they are what consumers want.    “Consequently, GM has numerous plants which are under-utilized but still incur substantial fixed costs, resulting in losses. The plant closures are necessary for the whole company to remain profitable and competitive with rivals which are making similar moves.   “Second, despite 2017 being a very good year for GM (record operating profit, sold over 10 million vehicles), sales in China can be credited for much of that success. The recent growth in the Chinese vehicle market has benefitted GM greatly and compensates for slower growth in the US domestic market. But the sales in China will necessarily be serviced by plants in China or nearby, rather than plants in the US. Also, the shift in production to more SUVs and pickups in the US plants caters to domestic tastes, not those in China.   “Third, the substantial savings accrued from these closures will be necessary for future investments in autonomous vehicles (AVs) and electric vehicles (EVs) and hybrids. In 2016, GM wisely bought Cruise Automation, an AV startup in San Francisco, and has leapfrogged a number of auto rivals in this critical area. However, further development in AVs will require considerable investment by GM in order to keep pace with Google’s Waymo unit, with the possibility of launching their own ride-sharing service in the future.    “Predictions for the automobile industry frequently suggest a shift from exclusively selling vehicles to also ‘selling miles,’ where the manufacturers are providing transportation services, through a combination of per usage fee or subscription. The economic argument for the usage of AVs in ride-sharing services is compelling and GM wants a part of this. At least part of the current plant closures are being done with an eye to the future and the big down payment GM needs to make in AVs.”   Parker, who also is the Fettig/Whirlpool Faculty Fellow at Kelley, can be reached at 812-855-3329 or rodp@indiana.edu.

Baylor Professors Use Whale Earwax to Reconstruct Whale Stress Levels Spanning More Than a Century

In a follow-up to their groundbreaking study, Baylor researchers were able to reconstruct baleen whales’ lifetime stress response to whaling and other manmade and environmental factors spanning nearly 150 years. Using a technique they pioneered six years ago, Stephen J. Trumble, Ph.D., associate professor of biology, and Sascha Usenko, Ph.D., associate professor of environmental science, both in Baylor University’s College of Arts & Sciences, analyzed earplug laminae, a growth layer representing six months found in whale earwax, as part of their recent study published in Nature Communications this month. Using earplugs taken from fin, humpback and blue whales originating in the Pacific and Atlantic Oceans from 1870 to 2016, Trumble and Usenko were able to determine the whales’ cortisol levels, a stress-response hormone, to industrial whaling, World War II wartime activities and sea-surface temperature. “This is the first-ever study to quantify temporal stress patterns in baleen whales,” Trumble said. “While the generated stress profile spans nearly 150 years, we show that these whales experienced survivor stress, meaning the exposure to the indirect effects of whaling, including ship noise, ship proximity and constant harassment, results in elevated stress hormones in whales spanning vast distances.” Whaling had a significant impact on whales’ cortisol levels. During the 1960s when whaling was at its peak with 150,000 whales harvested, cortisol peaked to a maximum and was the highest average in whales in the 20th century, according to the study’s findings. Second in a three-part exclusive online look at content from the Natural History Museum's Whales: Beneath the surface exhibition featuring Dr. Stephen J. Trumble and Dr. Sascha Usenko. During World War II when whaling declined, whales still showed an increase in cortisol levels. Trumble and Usenko suggest the impact of the theater of war. “The stressors associated with activities specific to WWII may supplant the stressors associated with industrial whaling for baleen whales,” Usenko said. “We surmised that wartime activities such as under water detonation, naval battles including ships, planes and submarines, as well as increased vessel numbers, contributed to increase cortisol concentrations during this period of reduced whaling.” When whaling moratoriums were introduced in the mid-1970s, whaling decreased as well as cortisol levels—reaching their lowest concentrations. “From the 1970s through the 2010s whaling counts were reportedly zero in the Northern Hemisphere, but mean cortisol levels steadily increased, with recent peaks reaching near the maximum levels observed before whaling moratoriums,” Usenko said. The impact of stress on whales could have larger implications for baleen whales, which are “considered sentinels of their environment and indicators of anthropogenic or manmade stressors,” Usenko said. “This study shows that anthropogenic stressors results in a physiological response in large whales. These chronic stressors may impact life history events such as reproductive parameters,” Trumble said. “Lastly, human-based stressors such as warming sea surface temperatures may also result in elevated stress in these whales.” The research pair has expanded the number of museums they partner with and currently have more than 100 additional earplugs to process. Earplugs were provided through a collaboration between the investigators and the Smithsonian Museum of Natural History and the Museum of Natural History London. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution, characterized as having “high research activity” by the Carnegie Foundation for the Advancement of Teaching. The University provides a vibrant campus community for approximately 15,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 11 nationally recognized academic divisions. Baylor sponsors 19 varsity athletic teams and is a founding member of the Big 12 Conference. ABOUT BAYLOR COLLEGE OF ARTS & SCIENCES The College of Arts & Sciences is Baylor University's oldest and largest academic division, consisting of 26 academic departments and 13 academic centers and institutes. The more than 5,000 courses taught in the College span topics from art and theatre to religion, philosophy, sociology and the natural sciences. Faculty conduct research around the world, and research on the undergraduate and graduate level is prevalent throughout all disciplines.

U.S. economy to remain strong through most of 2019, with output averaging 3 percent

Higher than expected economic growth in 2018 should continue into next year, with U.S. output averaging 3 percent and continued strong gains in domestic job growth. Indiana will continue to outperform the nation, with output growing at a rate of 3.2 percent, according to a forecast presented today by Indiana University's Kelley School of Business. A year ago, members of Kelley's Indiana Business Outlook Tour panel predicted that U.S. gross domestic product would grow by 2.6 percent this year and about 3 percent if tax reform were enacted. Indiana was forecast to see growth of 2.8 percent. Friday's release of GDP data for the third quarter supports their view that 2018 should end up with output growth above those levels. "The tax cut has produced an acceleration in the U.S. economy during 2018 to well above the new normal status quo of 2 percent growth," said Bill Witte, associate professor emeritus of economics at IU. "We expect output growth in 2019 to average 3 percent, but with deceleration as the year proceeds. By this time next year, quarterly growth will be heading toward equilibrium growth at a little below 2.5 percent." The story in Indiana and the greater Indianapolis area is very similar. "The state economy appears poised to see its strongest growth in the first quarter of 2019, after which growth rates are expected to slow but remain strong through the end of the year," said Ryan Brewer, associate professor of finance at Indiana University-Purdue University Columbus and author of the panel's Indiana forecast. "It is most likely Indiana will continue to experience growth across the board -- in jobs, numbers of establishments, income levels, wages as well as gross state product." The Kelley School released its forecast this morning at the Indianapolis Artsgarden and will present it again at 11 a.m. today in Bloomington. The Business Outlook Tour panel also will present national, state and local economic forecasts in eight other cities across the state through Nov. 28. The national labor market has exceeded expectations for two years now. A year ago, the panel felt the U.S. economy would create jobs at a monthly rate of about 175,000 and that the unemployment rate would fall to 4 percent. Instead, monthly job creation through September has averaged nearly 200,000, and the jobless rate has fallen to 3.7 percent. These job creation trends are expected to continue into 2019, with average monthly job gains of 200,000, and the participation rate -- which measures the percentage of the U.S. population that was employed or looking for a job -- remaining flat. "The labor market will be increasingly tight," Witte said. "The unemployment rate could decline a little, but firms unable to find workers will remain an important theme." Risks to the forecast include the effects of political uncertainty, further trade disputes and economic concerns being felt in other parts of the world, including China and Europe. The panel also expressed reservations about the impact of further Federal Reserve interest rate hikes. They expect the federal funds rate to rise above 3 percent by the end of 2019. Kyle Anderson, clinical assistant professor of business economics and author of the forecast for an 11-county area that includes Indianapolis, Carmel and Anderson, said the region is at full employment, and continued job growth will ensure it stays there. Economic growth in the area will average about 2.5 percent. "Communities around Central Indiana are finding it necessary and important to invest in projects that improve quality of life and provide amenities for residents," Anderson said, referring to examples of this in downtown areas of Indianapolis and Speedway and in Carmel. "The message to community leaders is clear: Investing in infrastructure to improve quality of life is necessary to maintain a healthy local economy. "Tax incentives are not sufficient to draw in businesses and residents. Bike trails, community centers and connected neighborhoods were once seen as luxuries, but now are important economic development tools," he added. "This trend will continue, especially if the economic expansion continues nationally." Other highlights from today's forecast: ·      Consumer spending will continue to grow, although at a rate less than in 2018. ·      Business investment will be good, but held back by trade concerns. ·      Housing will resume growth with a small boost from the aftermath of hurricanes Florence and Michael. Elsewhere, including in Central Indiana, 30-year mortgage rates, nearly a full point higher than a year ago, could dampen enthusiasm for new housing and constrain prices. ·      Government spending will be strong early in the year, but growth could slow significantly toward year end.  ·      The trade balance will show increasing deficits. A detailed report on the outlook for 2018 will be published in the winter issue of the Indiana Business Review, available online in December. For more assistance, contact George Vlahakis, associate director of communications and media relations at the IU Kelley School of Business, 812-855-0846 (o) or 812-345-1500 (m), vlahakis@iu.edu.

Multiracial Congregations Have Nearly Doubled, But They Still Lag Behind the Makeup of Neighborhoods

About one in five American congregants attends a racially mixed place of worship, Baylor University study find The percentage of multiracial congregations in the United States nearly doubled from 1998 to 2012, with about one in five American congregants attending a place of worship that is racially mixed, according to a Baylor University study. While Catholic churches remain more likely to be multiracial — about one in four — a growing number of Protestant churches are multiracial, the study found. The percentage of Protestant churches that are multiracial tripled, from 4 percent in 1998 to 12 percent in 2012, the most recent year for which data are available. In addition, more African-Americans are in the pulpits and pews of U.S. multiracial churches than in the past, according to the study. Multiracial congregations are places of worship in which less than 80 percent of participants are of the same race or ethnicity. “Congregations are looking more like their neighborhoods racially and ethnically, but they still lag behind,” said lead author Kevin D. Dougherty, Ph.D., associate professor of sociology in Baylor’s College of Arts & Sciences. “The average congregation was eight times less diverse racially than its neighborhood in 1998 and four times less diverse in 2012.” “More congregations seem to be growing more attentive to the changing demographics outside their doors, and as U.S. society continues to diversify by race and ethnicity, congregations’ ability to adapt to those changes will grow in importance,” said co-author Michael O. Emerson, Ph.D., provost of North Park University in Chicago. For the study, Dougherty and Emerson analyzed data from the National Congregations Study, a nationally representative survey conducted in 1998, 2006-2007 and 2012, with a cumulative sample of 4,071 congregations. The study by Dougherty and Emerson — “The Changing Complexion of American Congregations” — is published in the Journal for the Scientific Study of Religion. The study found that: One-third of U.S. congregations were composed entirely of one race in 2012, down from nearly half of U.S. congregations in 1998. Multiracial congregations constituted 12 percent of all U.S. congregations in 2012, up from 6 percent in 1998. The percentage of Americans worshipping in multiracial congregations climbed to 18 percent in 2012, up from 13 percent in 1998. Mainline Protestant and Evangelical Protestant churches have become more common in the count of multiracial congregations, but Catholic churches continue to show higher percentages of multiracial congregations. One in four Catholic churches was multiracial in 2012. While whites are the head ministers in more than two-thirds (70 percent) of multiracial congregations, the percentage of those led by black clergy has risen to 17 percent, up from fewer than 5 percent in 1998. Blacks have replaced Latinos as the most likely group to worship with whites. In the typical multiracial congregation, the percentage of black members rose to nearly a quarter in 2012, up from 16 percent in 1998. Meanwhile, Latinos in multiracial congregations dropped from 22 percent in 1998 to 13 percent in 2012. The percentage of immigrants in multiracial congregations decreased from over 5 percent in 1998 to under 3 percent in 2012. Previous research shows that congregations have adopted varying ways to encourage racial diversity, among them integrating music genres, using more participatory worship, hosting small groups to foster interracial networks and creating programs to address racial or ethnic issues. Churches with shorter histories are more likely to have diversity, and change is harder to bring about in long-established congregations. The new study by Dougherty and Emerson concluded that the complexion of American congregations is indeed changing — and the authors see benefits for American society. “During a several-year period of heightened racial tensions, the growth of multiracial congregations is a dramatic development,” Emerson said. “Such congregations are places of significantly increased cross-racial friendships and cross-racial common experiences.” ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT BAYLOR COLLEGE OF ARTS & SCIENCES The College of Arts & Sciences is Baylor University’s oldest and largest academic division, consisting of 25 academic departments and seven academic centers and institutes. The more than 5,000 courses taught in the College span topics from art and theatre to religion, philosophy, sociology and the natural sciences. Faculty conduct research around the world, and research on the undergraduate and graduate level is prevalent throughout all disciplines.

Children with Brain Tumors Who Undergo Radiation Therapy Are Less Likely to Recall Recent Personal Events than to Remember Pre-Treatment Happenings

‘The surprise, and the up side, is that episodic memories from before the children’s treatment were spared,’ Baylor researcher says Children with certain types of brain tumors who undergo radiation treatment are less likely to recall the specifics of events they experienced after radiation than to remember pre-treatment happenings, according to a Baylor University study comparing them to children with healthy brains. The finding is significant because children after treatment had less volume in the hippocampus — a part of the brain that plays an important role in memory. But while such a decrease usually is associated Alzheimer’s disease, dementia, brain injury, epileptic amnesia, encephalitis and aging, with those conditions both remote and recent memories are impaired, said lead author Melanie Sekeres, Ph.D., director of Sekeres Memory Laboratory at Baylor University. “The surprise, and the up side, is that episodic memories from before the children’s treatment were spared,” Sekeres said. For the study, published in The Journal of Neuroscience, researchers focused on “autobiographical memory,” which is linked to unique personal events and involves the recollection of emotional and perceptual details that allow a person to mentally re-experience the event, said Sekeres, assistant professor of psychology and neuroscience in Baylor’s College of Arts & Sciences. Radiotherapy and chemotherapy are used to treat the most common malignant brain tumor in children — a medulloblastoma. The reduced volume of the hippocampus is likely associated with radiation’s impact on the development of new cells in the nervous system, including the growth of new neurons in the hippocampus, or neurogenesis. “We know that these new cells play crucial roles in regulating memory and spatial learning, which is required to navigate. These treatments limit the brain’s ability to produce these new cells, which, in turn, limits the ability to form new memories,” Sekeres said. Research participants were 13 child survivors of brain tumors who had previously received radiotherapy and chemotherapy treatment at least one year before the study. Twenty-eight healthy youths of similar ages (ranging from 7 to 18) also were recruited for the study, conducted with The Hospital for Sick Children in Toronto, Ontario, Canada. All the youths completed the Children’s Autobiographical Interview — a standardized memory test — and underwent magnetic resonance imaging (MRI) of the brain. In individual interviews, children in both groups also were asked to recall memories from personal events that occurred at a specific time and place. Children were asked to recall a very old memory from an event before their radiation treatment (or an equally old memory for the healthy children) and a recent memory from within the past month. They were offered a list of events such as a birthday party, family trip, graduation and getting a pet but were told that they could choose another happening. The interview allowed children to freely recall without prompting before being asked general and specific questions about the event. “They have a hard time forming new, detailed memories,” Sekeres said. For example, when talking about a recent birthday party for a friend, they might tell how they met the friend and what that individual likes to do, but few specifics such as what they wore, the type of cake, what friends were there and what activities they did at the party, she said. “Such specific details might seem trivial, but these are precisely the kinds of details that allow us to vividly replay important events in our lives,” Sekeres said. “For most events, though, even healthy people forget a lot of specific details over time because we typically don’t need to retain all that incidental information. Some forgetting is normal and adaptive, and what we remember is the gist of an older event.” The patients were just as capable as healthy children of recalling these older memories, she said. But for children with brain tumors who have undergone radiation, the study suggested “deficits in their ability to either encode and/or retrieve highly detailed memories for personal events,” Sekeres said. “And those are the kind of memories that allow us to understand who we are and give us rich personal lives. “The study identifies an area of cognition that is inadvertently impacted by standard treatment, which has real consequences for the quality of life of the survivors. The physicians’ ultimate goal is to allow their patients to survive and to live as well as possible,” Sekeres said. “Although these treatments are often crucial in the effective management of the cancer, if the physicians and the family know there are these unintended side effects, that may be an additional factor to consider when exploring the treatment options.” ABOUT THE STUDY The study — “Impaired recent, but preserved remote, autobiographical memory in pediatric brain tumor patients” — was conducted with the Brain Tumor Program and the Program in Neurosciences and Mental Health at The Hospital for Sick Children in Toronto, Ontario, Canada. Funding was provided through the Canadian Institutes of Health Research. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT BAYLOR COLLEGE OF ARTS & SCIENCES The College of Arts & Sciences is Baylor University’s oldest and largest academic division, consisting of 25 academic departments and seven academic centers and institutes. The more than 5,000 courses taught in the College span topics from art and theatre to religion, philosophy, sociology and the natural sciences. Faculty conduct research around the world, and research on the undergraduate and graduate level is prevalent throughout all disciplines. Visit College of Arts & Sciences.

Ethical Leadership Can Have Negative Consequences, Baylor University Researchers Say

Coupled with stress, ethical leadership can lead to employee deviance and turnover Ethical leadership is a good thing, right? Certainly, management experts say. But ethical leadership can have negative consequences, too, according to new research from management faculty in Baylor University’s Hankamer School of Business. A 2018 Baylor study published in the Journal of Business Ethics reveals that ethical leadership compounded by job-hindrance stress and supervisor-induced stress can lead to employee deviance and turnover. The research reflects the thoughts of 609 employees who were surveyed across two studies. “If someone is an ethical leader but induces stress, our research shows that his or her employees will feel less support,” said lead author Matthew Quade, Ph.D., assistant professor of management. “Thus, employees who do not feel supported are more likely to consider leaving their jobs or engage in workplace deviance – things like coming in late to work, daydreaming, not following instructions or failing to be as productive as they could be.” Quade said that ethical leadership is a good thing and often beneficial in terms of employee resources. An example would be a trusted supervisor who listens to her employees and has her employees’ best interests in mind. The trouble comes, he said, when supervisor-induced stress or job-hindrance stress enters the picture. “When those stressors are added, there is a depletion of resources,” Quade explained. “Many of the gains or benefits from ethical leadership are negated.” What does stress-inducing ethical leadership look like? Quade said it could be as simple as supervisors setting expectations too high or, in the interest of “following all the rules,” not allowing for any deviation from a process, even if a shortcut, still within the bounds of behaving ethically, would deliver a desired result. The researchers wrote: “Ethical leadership can be an exacting process of sustaining high ethical standards, ensuring careful practice and enforcement of all rules and meeting leaders’ lofty expectations, all of which can consume time and energy and be perceived by employees as overly demanding or an obstacle to job performance.” As part of the study, those surveyed were asked to what extent they agreed or disagreed with the following statements: My supervisor makes it so that I have to go through a lot of red tape to get my job done. Working with my supervisor makes it hard to understand what is expected of me. I receive conflicting requests from my supervisor. My supervisor creates many hassles to go through to get projects/assignments done. Working with him/her thwarts my personal growth and well-being. In general, I feel that my supervisor hinders my personal accomplishment. I feel that my supervisor constrains my achievement of personal goals and development. Quade said his team in no way wants to discourage ethical leadership. Research consistently shows such leadership is very beneficial, he said. But this new research shows that there are boundaries to those benefits. “This places quite an onus on appropriately managing the stress that comes from the leader and the job, in efforts to most fully realize the potential of ethical leadership,” the researchers wrote. The study listed some tips and takeaways for organizations and leaders. They include: Strike a balance between promoting ethical behavior and providing resources to help employees meet those standards. Encourage employees in word and deed by reducing ambiguity in ethical dilemmas that might otherwise drain resources. Model fair and ethical behavior. Communicate efficient methods to meet standards and reduce unnecessary steps or procedures. Equip and train leaders to balance the demands of leading ethically while not overburdening their employees. ABOUT THE STUDY “Boundary Conditions of Ethical Leadership: Exploring Supervisor-Induced and Job Hindrance Stress as Potential Inhibitors” is published in the Journal of Business Ethics. Study authors are Baylor University Hankamer School of Business faculty members Matthew Quade, Ph.D., assistant professor of management; Sara Perry, Ph.D., assistant professor of management; and Emily Hunter, Ph.D., associate professor of management. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT HANKAMER SCHOOL OF BUSINESS Baylor University’s Hankamer School of Business provides a rigorous academic experience, consisting of classroom and hands-on learning, guided by Christian commitment and a global perspective. Recognized nationally for several programs, including Entrepreneurship and Accounting, the school offers 24 undergraduate and 13 graduate areas of study. Visit www.baylor.edu/businessand follow on Twitter at twitter.com/Baylor_Business.

The role of behavior in managing mergers

Despite corporate interest in M&As as a growth strategy, research indicates that financial returns on such deals often fall short of expectations. Corporate leaders spend considerable time looking at the financial and quantitative aspects of mergers and acquisitions; however, Sandy Jap, Sarah Beth Brown Professor of Marketing; A. Noel Gould (Texas State U); and Annie H. Liu (Texas State U) argue that factoring in people should also be a major consideration when it comes to a proposed deal. Their research indicates that better employee and customer management is especially critical to an organization’s M&A strategy and implementation success. The trio analyzed ANZ New Zealand’s horizontal merger with the National Bank of New Zealand to better understand the impact of employee and customer behavior on the deal. They contend that this brand and technology merger succeeded due to ANZ’s commitment to ensuring customer satisfaction and addressing employee concerns about the merger. ANZ New Zealand also focused on business efficiencies and rebranding efforts. Jap, Gould, and Liu note that collaboration became a big key to the success of the merger with ANZ’s financial, IT, marketing, and communications personnel working closely together to retain customers. Source:

Is Nickel about to boom?

After a slump lasting a little more than a decade – it appears mining might finally be back. In Canada, the Brazilian owned Vale (formerly Inco) now seems to be emerging from its cocoon and is upping its exploration efforts in search of more ore. With all things pointing up for nickel including rising prices bolstered in part by innovations like electric cars – mining giants like Vale and Glencore seem to be preparing for a positive future. But what should we realistically expect? Will it be a return to 20 dollars per pound nickel that saw billion-dollar acquisitions, massive bonuses for employees and communities rolling in cash? Or, will this time be a bit more tempered and reserved? Who will benefit and who should be a bit more cautious this time? The higher the price for nickel usually means a rush to hire more miners, engineers, geologists and workers while greatly benefiting the service and supply industries. All of this should ripple positively across not just the local but Provincial and even National economies but in turn could impact cash flow planning and financing for growth. That’s where the experts from Freelandt Caldwell Reilly LLP can help. Joel Humphrey is a Chartered Professional Accountant (CPA, CA). Joel with over a decade of public accounting experience providing financial advisory, corporate taxation, and assurance related services to small and medium enterprises in a variety of industries. To contact Joel directly, simply click on his icon to arrange an appointment regarding this topic. Source: