Tag Archives: bonus

Eric Marcus, CEO of Marcus Networking.

Tech Q&A: What is cloud computing?

Question: What is cloud computing?

Answer: Everyone is talking about cloud computing.  So, what exactly is it and it is right for your business? Cloud computing is the use of computing resources (hardware and software) that are delivered as a service over a network (typically the Internet).

The real question is should you use a hosted or non-hosted cloud? In other words, does your company want to own the system or lease it?

We’re firm believers that owning is a better solution. There are so many variables in cloud computing that no one takes into consideration. Where are you geographically located? How reliable is your internet connect? Can you survive without access to your cloud system? These are just a few things to think about.

Some benefits of cloud computing are lower overhead and system maintenance. Lower cost of ownership and upgrades. To determine which solution is best you really need to sit with a IT consultant and map out the big picture of your company.

Eric Marcus is CEO of Tempe-based Marcus Networking, which specializes in telecommunications centered on phone systems, cabling, and the network infrastructure also known as the “backbone.” Read more about Eric Marcus in the January issue of Az Business magazine.

Eric Marcus, CEO of Marcus Networking.

Tech Q&A: Outsourcing vs. consultant

Question: In this economy, does it make more sense to outsource IT or utilize a consultant?
 
Answer: Outsourcing is more cost effective than a full time person and you gain 24/7 support, whereas an employee only works a certain shift like 8 a.m. to 5 p.m.  Outsourcing means you are getting more than just a single person who manages your network. You are a getting a team of experienced technicians who can handle all areas of telecommunications and technology.

Let’s say you have an IT issue in the middle of the night, Marcus Networking has the ability to connect remotely to most computers and take control of the user’s session and see what’s going on.  We can provide hands-on support without being onsite. Most issues are resolved within 15 minutes and that’s faster than it would be to wake a sleeping employee, have them get dressed and drive to the office.

If we find a problem with parts or equipment, we can generally purchase a replacement component and be on-site and have the issue fixed within an hour or two of the diagnosis.  Again, much more efficient than waiting for the employee to get to work and diagnose what’s going on.

In today’s marketplace, outsourcing is about 45 percent less than the cost of a full time employee.  When you consider salary, benefits, payroll taxes, mandatory workman’s compensation, vacation days, sick days, 401K’s or a bonus plan it adds up quickly. Outsourcing is an affordable option for many businesses who wish to get a higher level of work.

Eric Marcus is CEO of Tempe-based Marcus Networking, which specializes in telecommunications centered on phone systems, cabling, and the network infrastructure also known as the “backbone.” Read more about Eric Marcus in the January issue of Az Business magazine.

cardon

Ex-Commerce Authority leader gets $60K bonus

The former chief executive of the Arizona Commerce Authority will receive a $60,000 discretionary bonus after quitting with more than two years left on a three-year contract and returning to his private businesses.

A spokesman for Gov. Jan Brewer told The Arizona Republic it’s his understanding that private funds will pay for Don Cardon’s bonus.

Cardon drew a $300,000 annual salary as Commerce Authority CEO, and he was eligible to receive a discretionary bonus of up to $75,000.

Critics have questioned whether Cardon’s compensation was excessive and have criticized the Commerce Authority for a lack of transparency with public funds.

Commerce officials contend they have been overly transparent and say Cardon’s salary and bonus were in line with industry standards.

The Commerce Authority’s executive committee voted Wednesday to give Cardon nearly 81 percent of the maximum bonus amount based on the number of new jobs the authority says were created in Arizona during his tenure.

Capital investment made in the state and long-term policy and strategy advancement achieved during the past fiscal year also factored into the bonus. Brewer also approved the contract, which was released publicly Thursday.

Brewer spokesman Matthew Benson said the governor supports the “contract closeout” with Cardon.

The executive committee also voted to increase the pay of Sandra Watson, interim chief executive and president, by 15 percent, to $218,500.

Both actions drew criticism from Democratic Rep. Chad Campbell of Phoenix, the Republic reported.

“The Arizona Commerce Authority is a runaway train,” Campbell said. “This organization is handing out pay raises and bonuses to insiders. This kind of Wall Street mentality is dangerous, and it has to stop.”

Just more than half of Cardon’s bonus came because the Commerce Authority said Cardon helped create 5,610 jobs and $401 million in new capital investment.

However, not all of those jobs and capital investment funds will have been created on his watch.

Instead, Cardon is being credited for jobs and capital investment that businesses have promised to create during the next two years, even though he no longer is chief executive. The closeout contract did not break down how many jobs were created so far, or the capital investment that occurred during the fiscal year that ended June 30. Nor did the contract offer future projections.

Brewer and the Legislature created the Commerce Authority to attract jobs to Arizona. Although it is a state agency, private business leaders sit on the board and Brewer is chairwoman.

“I’m very proud of the work that was done by the governor and the Legislature, and I was blessed to be a part of it,” Cardon said.

Benson said it was his understanding that TEAM ACA, a nonprofit fundraising organization with close ties to the Commerce Authority, will later reimburse the state for the amount of Cardon’s bonus.

Cardon is now the paid executive director of TEAM ACA. He said his group next week will pay the state for his bonus, as well as for half of his salary while he was CEO.

Cardon announced Jan. 11 that he would resign from the Commerce Authority and return to running his businesses. Following a public uproar over the fact that he quit after taking the taxpayer-funded signing bonus, Cardon said he would return it.