University programs and entrepreneurial expertise help businesses start, succeed, and stay in Iowa.

 

But graduates of The University of Iowa, particularly alumni of the College of Engineering, are developing breakthrough technologies, starting small businesses, and providing hundreds of high-paying jobs. And in greater and greater numbers, they’re putting down roots in Iowa to do it.

"There are a lot of opportunities here," says B.J. Do, founder and CEO of ABC Virtual Communications (ABCV), a financial software services company headquartered in Urbandale. "The people in Iowa are very friendly; they collaborate with one another well and tend to have a superior work ethic. We have a stable environment, good schools, and clean cities. Quite simply, this is a nice place for families to live."

Do started his business in late 1995 after receiving both bachelor’s and master’s degrees in electrical and computer engineering from the UI College of Engineering. Now, almost five years later, he employs nearly 100 people, most in high-level professional and engineering positions. Because ABCV has grown 50-150 percent in each year of operation, Do and his staff have had to work hard at recruiting local talent. But he says it has been easier for his company than for many others in technology-related fields.

"A lot of our engineers either want to stay in Iowa, or they are from here and they want to come back," Do says. "We will always employ a good number of Iowans and graduates of the University. I know from my experience that Iowa teaches real fundamentals of engineering and discipline. This is very important to me as an employer because technology changes quickly, but the fundamentals never do."

Is it hard to compete in a global marketplace so far from the dense networks of his competitors? Do says no. The people and resources he’s found in Iowa are far more important than proximity to a coast. That’s why last Christmas he treated his entire staff to an all-expense-paid trip to the Bahamas in thanks for their service.

"Our asset is our people," Do says. "And here in Iowa, we’ve got very good people."

Jim Griffin agrees. The founder of Diversified Software Industries, Inc. (DSI), a software company based in Coralville that develops and designs products for the transportation industry, Griffin is originally from Florida. He came to Iowa at the age of 24 to get an education, start his family, and, ultimately, to make a career change. Griffin earned a UI bachelor’s degree in electrical engineering in 1994, then started his business, alone, in the basement of his home.

Today, DSI employs more than 40 people and is funded in part by investments from Motorola. The company recently moved into a new facility in Coralville, where Griffin says they have plenty of room to expand.

By maintaining ties with The University of Iowa, Griffin has access to qualified potential employees as well as all the latest research and education in technology. In 1999, DSI set up an internship and co-op program with the College of Engineering. This arrangement, Griffin says proudly, benefits everyone involved.

"We provide an opportunity for students to get real-world experience before they graduate," Griffin says. "And in return, we get exposure to new talent coming out of the University. We find fresh, new employees who are well-educated and already familiar with our organization."

Fred Streicher, director of external relations for the College of Engineering, points out that it’s good business to take advantage of resources at the University. According to a study by Coopers & Lybrand, businesses with ties to universities and other postsecondary institutions have productivity rates 60 percent higher than their peers’.

The University of Iowa’s John Pappajohn Entrepreneurial Center (JPEC) provides an additional resource to start-up companies in the state.

"The people at Iowa understand that it is crucial to have an energetic entrepreneurial environment in the state, because small firms are the major source of both new jobs and innovation in products and services," says David Hensley, director of JPEC. "Small businesses are the fuel that will provide long-term growth in our economy. Our state has a pretty diverse economic base, but we all need to work on this continuously."

University researchers involved in teaching youth through EHSI agree that the camp has a greater impact than simply educating and enriching 15 students each summer.

"Our lab is dedicated to better understanding birth defects," Murray says. "But in a larger sense, it is part of a research lab’s function to allow talented students to experience research and see how it will affect the future world they will both inhabit and create. Then they, in turn, take this knowledge back to their home towns."

 

Footprints

• Since its inception in the fall of 1997, the Iowa Entrepreneurial Consortium has provided training to more than 1,150 individuals in Iowa. The program is a partnership among the John Pappajohn Entrepreneurial Center at The University of Iowa, Iowa’s 15 community colleges, and the University of Northern Iowa (see map).

• The College of Engineering at Iowa is the first and only engineering school in the United States to offer a Technological Entrepreneurship Certificate with an engineering degree. This program enables students to study the entrepreneurial process as it relates to technology.

• The John Pappajohn Entrepreneurial Center (launched with generous donations from John Pappajohn for whom it’s named) runs two youth entrepreneur programs: a summer camp for 10- to 13-year-olds and a high school entrepreneurship program, the latter in partnership with the National Foundation for Teaching Entrepreneurship.

   
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