First Take: TKDA CEO Jeff Lipovetz
Jeff Lipovetz, TKDA’s new CEO Photo courtesy of TKDA

First Take: TKDA CEO Jeff Lipovetz

The engineering and architecture firm’s new leader steps in at a time of growth and transition to a new office in Bloomington.

It’s about as smooth a leadership transition as a company could hope for: After nine years with TKDA, most recently as chief operating officer, Jeff Lipovetz steps up to CEO this week, taking over for 35-year veteran Tom Stoneburner, who will remain board chairman for the engineering and architecture firm until early 2025.

Lipovetz joined TKDA in 2013 after climbing the ranks to a vice president role with Cliffs Natural Resources. His 30-year career in mining and engineering consulting has included technical and leadership roles with international experience in South America and Canada.

He steps up at a time when TKDA is preparing to move its 310 St. Paul-based employees to a new office in Bloomington. The company’s other 115 employees will continue working in its other locations in Duluth, Chicago, Seattle, and San Bernadino, California.

We spoke to Lipovetz about the work ahead.

New role for you, new headquarters for the company. What can you tell us about the decision to move from downtown St. Paul to Bloomington?

Every 114 years, a company owes it to itself to take a fresh look! We had two local offices and wanted to bring them together. We did a real in-depth look at first-tier suburbs. Bloomington has been incredibly welcoming. We have a national footprint, and the access to the airport was appealing.

How much time do employees spend in the office?

We expect three days in the office, and we’re getting more than that voluntarily. Adding amenities will only help. In our business right now, economies are good; one of our barriers is recruitment of talent. We need people to come together, and we owe them a nice place to work.

Are you weighing in on the design of your new HQ?

I wanted to make sure we were integrated. We’ve been siloed by divisions, and I wanted to make sure we get interplay between groups. In St. Paul, all of the managerial functions—HR, marketing legal—are on the 17th floor and I don’t like that. I want those groups mixed among the operators to get away from that “17th floor feel.” As for aesthetics, I have nothing to offer.

TKDA’s move is another blow to St. Paul, which is struggling. Was that a factor in the move?

I hope the best for St. Paul. We need a strong St. Paul and I believe it’ll come back—it’s still the capital. It just wasn’t our choice and my line of sight has to be focused on success for TKDA.

How would you describe your leadership style?

I’m emotional. The staff is going to know when I’m having a good or bad day. I come from an athletic background—I played college football, I also play hockey and tennis. So, I enjoy setting goals and working to achieve them. I expect managers and leaders to be out and about, to be present. I know how feels to not be part of management structure. We’re a pretty deliberate company. We’re really diligent about process. Our employee owners demand it.

That’s right: TKDA is an ESOP (employee stock ownership plan)—how does that influence the work culture?

People are vested, bought in. They understand the value of a dollar. They become owners the minute they sign on, and vested after two years. It leads to a higher level of buy-in and helps with strategic planning. Everyone has a voice.

Is there an area of the business that is growing fastest currently?

There’s a lot of on-shoring of manufacturing—repurposing, improving plants that were built in the 1940s-60s. Efficient plant design, materials, improving green energy goals comes up in every project.

Electrical engineering, mechanical engineering—we’ve tripled the size of those disciplines. It’s a reflection of needs in those areas, air/water consumption. It’s tough to go wrong right now if you get an engineering degree—there’s so much demand. We had 32 interns over the summer and we’re keeping 18 on as they go back to school.