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New year, new headquarters: Direct Companies plans for the future in addressing space needs

This paid piece is courtesy of SiouxFalls.Business. A fast-growing Sioux Falls company will double its space with the move to a new headquarters this year.

Direct Companies has purchased a more than 30,000-square-foot building at 3401 N. Louise Ave. It most recently was a bank operations center.

“We’ve grown organically and through acquisition, and we have been operating out of multiple buildings in Sioux Falls,” CEO Paul Zweifel said. “We knew we wanted to get everyone under one roof, and we like the location. Plus, it gives us room to grow.”

Direct Companies is a family of businesses that largely are tech-focused, including:

  • Process and machine automation.
  • Custom software and data management.
  • Phone systems.
  • Managed IT.
  • Security system services.
  • Design and fabrication services of electrical and mechanical systems.

With the acquisition of Workplace IT Management in 2023, the company significantly grew its managed IT business. Combined with organic growth and other acquisitions, the company overall grew from 38 to 140 people in two years. There will be about 110 people working out of the new Sioux Falls headquarters.

“It’s a big win to have everyone in the same space,” said Marcia Schmitz, who joined Direct Companies as vice president of experience last year.

“With our acquisitions in recent years, we haven’t had our team all in one space, so our new headquarters will help us feel and operate more like one team.”

The building also is big enough to host visiting team members from sites in Aberdeen and Council Bluffs, Iowa, and remote employees — all part of Direct Companies’ growing footprint.

“Employee engagement is top of mind with the new space,” Zweifel said. “The only thing we’re really keeping is the structure itself. Everything inside will be renovated so there’s a good open office environment.”

The building positions Direct Companies well for the future as it sits on an established corridor that delivers excellent exposure along with convenient accessibility, said Raquel Blount, vice president of commercial real estate at Lloyd Cos., who represented the company in the deal.

“It’s been exciting to watch this company outgrow its former spaces and find the right opportunity to make a long-term move,” she said. “The size of the building combined with the location makes it a strong fit for their needs today and offers a lot of options to grow going forward. Nothing is better than seeing a local company experience so much growth while strengthening our overall business community.”

While the design is being finalized, it will include bistro-type stations throughout the building to grab a beverage or snack, areas to collaborate with co-workers and a break room for lunch that will be larger than anything the company has had.

There are logistical benefits too, Zweifel added.

“It’s in a good area to service downtown and all directions within Sioux Falls, plus it’s close to the airport, and being on a major interstate makes it easy for us to travel to serve customers.”

Direct Companies has experienced solid growth since integrating its newly acquired businesses and is starting to see the synergy among customers who now are using the company for both automation and IT needs, for instance.

“It’s the same with our design and fabrication services, so we’re able to provide additional services to our existing customer base,” Zweifel said.

Telling Direct Companies’ story will be a focus in the year ahead. Schmitz’s team is working on a rebrand to reflect the company’s varied expertise. Internally, there’s a focus on helping manage growth and prepare for more.

“When you look at the growth we’ve seen – 38 to 140 people in two years – a lot of the focus for our experience team will be on laying the groundwork to make sure we have processes in place for things like recruiting, onboarding and setting people up to be successful long term,” she said.

“We want to help our long-term team members grow within the organization as well, and the expansion of the building sets us up to continue adding to the team in the next few years.”

The Direct Companies team regularly has a chance to be involved through ongoing employee engagement surveys and open opportunities for feedback, Zweifel said.

“There’s a lot of opportunity for input as we look at culture, processes and strategy,” he said. “We have a great team assembled with a lot of talent, and we’re striving to hire for culture fit. We think there’s a lot of opportunity going forward, and the goal is to balance striving for efficiency and delivering outstanding quality.”

To learn more about how Direct Companies can support your business with technology, automation, and security solutions, click here.

Collaboration leads Sioux Falls tech company, area tech school to address workforce needs

This paid piece is courtesy of SiouxFalls.Business.

When Brent Steven looked for a way to increase his company’s workforce development pipeline, his alma mater came to mind.

Steven, who serves as director of automation at Sioux Falls-based Direct Companies, graduated from Northwest Iowa Community College in Sheldon and serves on its advisory board.

“Initiating a partnership between Direct Companies and NCC emerged from identifying shared goals in workforce development,” he said.

“This cooperation can provide students with practical, hands-on experience while addressing industry needs for skilled workers. It aligns with the broader vision of building a strong talent pipeline and fostering innovation at Direct Automation.”

An opportunity arose when an instructor at NCC needed to take a leave of absence. Direct Companies stepped in for a few weeks to help ensure that students didn’t miss out on hands-on training, and seasoned process engineer Pat Stockert became a temporary instructor.

Pat Stockert posting for photo in NCC classroom.

His expertise helped NCC address its need for specialized training, equipping students with the skills they need to address critical workforce shortages in industrial automation and instrumentation.

“Brent’s experience and knowledge of our program were key,” said Shane Peterson, dean of applied technology.

“He saw the opportunity to bring Direct Companies on board, and their leadership immediately recognized the value of this collaboration. They brought industry leaders who are experts in the IIC (industrial instrumentation and control) field, equipped with the most up-to-date knowledge and a track record of innovation.”

For NCC students, learning directly from industry professionals like Stockert is transformative.

“Direct Companies has built a reputation as a leader in the IIC field,” Peterson said. “Their professionals bring the most current industry knowledge, giving students an edge in their training.”

Pat Stockert Teaching Students about engineering.

Stockert, who brings over 30 years of industry experience, sees this teaching opportunity as a way to give back.

“I’ve been taught over my career by a lot of people. This is my way of giving back to the industry,” he said. “There is already a huge shortage of process technicians. For every five retiring, there is only one in school.”

Stockert’s hands-on, real-world teaching approach blends theory with application, providing students with an inside look at facility setup, troubleshooting and specialized projects.

“Hands-on training and real-world experience are critical in bridging the gap between education and industry needs,” Steven said.

“By working alongside professionals like Pat Stockert, students gain invaluable practical knowledge that goes beyond theoretical learning. This experience allows them to apply classroom concepts to real-world scenarios, developing problem-solving skills, technical proficiency and industry-specific competencies that are often difficult to teach in a traditional academic setting.”

Pat Stockert shows students something on a computer screen.

Stockert has found that the students at NCC “are a smart group, a really good group of young adults willing to learn — and they’re a lot of fun,” he said.

“Two things I am trying to teach them: first, to be safe in the industry and respectful of each other, and second, that learning never stops. I teach to learn. I want them to have a great foundation but also understand they will always be learning, questioning and developing throughout their careers.”

Students have responded enthusiastically to Stockert’s teaching.

“I really like having someone in the classroom who is actually in the field,” said Blair Bandstra, a second-year student from Sioux Center, Iowa.

“His understanding of how fast things change gives us an accurate sense of what to expect when we start our jobs. I graduate this May, and I’ve already accepted a job at Interstates in Sioux Center.”

Charlie Wieringa, a second-year student from Hospers, Iowa, agreed.

“I like the hands-on training and that the job can change every day. I like having different challenges to figure out,” he said. “Pat is giving us real-world experience. He has a lot of knowledge and applies what he’s teaching to his experiences in the field. Also, he makes us really excited about working in the industry.”

In industrial automation and instrumentation, some of the most critical skills for students include technical expertise, clear communication and strong problem-solving abilities, Steven said.

Thanks to the increased collaboration between education and industry, students are better equipped to graduate with all three.

 As an NCC alumnus, giving back to the program and contributing to the future of the industry through this collaboration is incredibly meaningful,” he said.

Pat Stockert Teaching Students

“It offers a unique opportunity to support the next generation of talent, helping students gain the skills and knowledge necessary to excel in field. It’s rewarding to play a role in preparing students for the challenges ahead and ensuring they are equipped with the technical expertise, problem-solving abilities and communication skills that will define their careers.”

NCC’s applied learning model thrives on partnerships like this, ensuring that students are not only well-trained but also highly employable, Peterson said.

“This partnership is a perfect match for our vision,” he said. “We provide students with real-world scenarios, and Direct Companies enhances that with industry expertise.”

The IIC program at NCC is the only one in Iowa. The two-year program prepares students for careers solving electrical, electronic and computer challenges in industries such as food processing, manufacturing, power generation and ethanol production.

With a 100 percent job placement rate, IIC graduates often have multiple job offers before graduation and enjoy some of the highest salaries of any NCC program. Throughout their time at NCC, students connect with industry representatives, further solidifying their job prospects.

“This partnership with Direct Companies is just one example of how we bridge education and industry,” Peterson said. “It not only provides students with exceptional training but also connects them to potential employers who recognize the value of NCC graduates.”