3 Houston innovators to know this week

Who's who

This week's batch of innovators have had to be pretty creative in their industries. Courtesy photos

The ability to innovate lives in one's ability to think outside of the box — no matter the industry. This week's Houston innovators to know have had to get creative and think of new ways of doing things, from retailing to creating greeting cards.

Harvin Moore, president of Houston Exponential

Harvin Moore, who has a 20-year career in tech and innovation, has been named as president of Houston Exponential. Courtesy of HX

Harvin Moore has been a banker, an educator, an elected official, and more — but his newest title is president of Houston Exponential, which suits him just fine.

Now, under his new role, he's leading the nonprofit that's focused on connecting, promoting, and attracting within Houston's innovation ecosystem.

"There's no question that five years from now, or 10 years from now, Houston will be a very large and continually rapidly growing tech economy," Moore tells InnovationMap. "The question is just how fast it is going to get here." Read more.

Alex Kurkowski, founder of Tellinga

Alex Kurkowski wanted to tell a better story. Courtesy of Tellinga

Alex Kurkowski has a problem with traditional greeting cards.

"They're templated. They're frozen, stagnant, fixed in what they are," Kurkowski says. "They suck."

The Rice University MBA grad decided he would do something about it. He created his business, Tellinga — short for "telling a story" — to create a new avenue for people to communicate a message to their loved ones. Kurkowski has big plans for his company and the platform he's creating. Read more.

Steve Scala, executive vice president of corporate development for DiCentral

Steve Scala joined DiCentral in 2014 to focus on growing the company worldwide. Courtesy of DiCentral

Something's brewing in retail — and it's scaring the industry. Steve Scala writes in a guest column for InnovationMap that dropshipping — the process of shipping products direct from vendors to customers, cutting out warehouses and storage facilities — is only going to gain traction in the industry.

"The study found that approximately 88 percent of retailers see dropship as inevitable to long-term success," Scala writes. "According to 87 percent of those retailers surveyed also experienced an increase in revenue as a result of dropshipping. Customer service also benefitted from dropship, with 84 percent of retailers noting improvements to customer service after adopting the dropshipping fulfillment model." Read more.

A study found that approximately 88 percent of retailers see dropship as inevitable to long-term success. Pexels

Streamlining supply chain efforts can help retailers survive the changing landscape, says this Houston expert

Guest Column

It's undeniable that retail habits of consumers is changing. DiCentral, a B2Bi managed services provider, recently partnered with the Center for Supply Chain Research at Lehigh University to survey over 180 global retail and manufacturing decision-makers and identify how evolving consumer buying behaviors are driving this dramatic shift in the retail landscape. The transformational supply chain challenges retailers and manufacturers are facing today indicate a new reality for retail.

The first of its kind study titled, "Supply Chain Collaboration in Transformative Vertical Industries: Implications of Omnichannel and Dropshipping," examines the motivations, challenges, benefits, and supply chain implications of the dropshipping model through which retailers ship orders directly from vendor warehouses, thereby reducing excess inventory and warehousing costs.

The study found that approximately 88 percent of retailers see dropship as inevitable to long-term success. According to 87 percent of those retailers surveyed also experienced an increase in revenue as a result of dropshipping. Customer service also benefitted from dropship, with 84 percent of retailers noting improvements to customer service after adopting the dropshipping fulfillment model.

From the manufacturers' perspective, dropshipping can significantly improve relationships with retailers as reported by 71 percent of manufacturing respondents. As many as 66 percent of manufacturers also experienced an increase in revenue after implementation of a dropship order fulfillment capability.

Challenges for both retail and manufacturing respondents point to systems limitations as being a primary obstacle to deploying an enterprise dropship program. According to the study, 40 percent of manufacturers acknowledged system limitations as being a challenge. Retailers responded similarly, with 32 percent identifying systems (ERP, EDI, WMS, etc.) as a hindrance.

While retailers and manufacturers face similar obstacles in streamlining supply chains, the benefits to both remain clear. As businesses look to maximize revenue and enhance customer service, dropshipping is a proven advantage to achieving both goals. Decision-makers in retail and manufacturing would be prudent to explore dropshipping as a means of achieving the ROI and improved quality of customer service.

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Steve Scala is executive vice president of corporate development at Houston-based DiCentral, a growing SaaS company.

With its new German office, Houston-based DiCentral looks to grow into other European markets, such as France, Italy, and Spain. Pexels

Houston SaaS company expands in Europe following acquisition

You're up, Europe

After slowly expanding worldwide for years, a Houston-based software-as-a-service company finally has a firm footing in Europe following its acquisition of a German company.

In December, DiCentral closed its deal with a Munich-based supply chain company named Compello Germany. With that acquisition, DiCentral Europe was born. Steve Scala, executive vice president of corporate development, says the deal was made possible after the company raised $15 million from Kanye Anderson Capital Advisors LP in 2016.

"We have a large supply chain network over Asia and North America, which gave us great coverage for our clients. In Europe, however, we're dealing with different supply chains," Scala says. "We had few people on the ground in Europe even though we have clients based there as well as clients elsewhere who conduct business there. We saw the need to fill that gap."

The new German office opens doors for the company to enter other European markets, and Scala says the company is looking into France, Italy, and Spain.

Currently, DiCentral's largest offices are in Houston and Ho Chi Minh City where they employ 150 and 300 people respectively. The company, which was founded in 2000 by Chairman and CEO Thuy Mai, has about 600 employees in total, and focuses on bonding buyers and suppliers, so both sides can optimize both the physical and digital supply chain.

DiCentral offers cloud-based electronic data interchange and supply chain solutions to its clients. By using DiCentral's propriety software, its clients, which include retailers, original equipment manufacturers, suppliers and more across many industry verticals, can find solutions tailored to their business.

"Global supply chains quickly can become very complex, especially when you add web purchases or individual orders from retailers that are sent from the manufacturers but made to look like they were sent from the retailer," Scala explains.

DiCentral allows businesses to improve their visibility of the supply chain by automating fulfillments, shipping and receiving processes.

"The end result for clients, whether they are a manufacturer, retailer or a third-party involved in distribution, using our software is improving the efficiency of supply chain," Scala continues. "With our solutions, clients can ramp up their operations even when navigating incredibly complex supply chains."

As DiCentral plans its continued European expansion, the company is facing various challenges from training its new 35 employees in Munich to potential logistical and regulatory issues.

"Our primary focus in 2019 is integrating the German operations with DiCentral. There are a lot of privacy challenges in Europe with GDPR, which means we need to be smart and cautious with how to deploy data centers because of stricter data privacy rules," Scala says.

Despite the challenges, Scala expects the new acquisition to lead to large growth for the company.

"I'm excited for the future. We closed on some great business contracts last year, however, the way our business works, we don't make money until there are transactions taking place across our network," Scala says.

It can take months to fully integrate clients into the DiCentral network, but Scala looks forward to the new revenue source. New contracts with large companies will allow DiCentral to continue fueling its global growth. The company continues to grow and hire, both abroad and locally, for various positions in sales, customer support, product management and marketing.

While the business continues to grow with an eye on new market sectors and areas for expansion, the DiCentral global headquarters are still located right by NASA. As a company founded in Texas, many of its original client base is based within the state.

"Texas has been a great location for us. We have data centers here in Texas, our headquarters are in Houston, so the original infrastructure of the company is all in Texas," says Scala.


Steve Scala joined DiCentral in 2014 to focus on growing the company worldwide. Courtesy of DiCentral

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Houston engineers develop breakthrough device to advance spinal cord treatment

future of health

A team of Rice University engineers has developed an implantable probe over a hundred times smaller than the width of a hair that aims to help develop better treatments for spinal cord disease and injury.

Detailed in a recent study published in Cell Reports, the probe or sensor, known as spinalNET, is used to explore how neurons in the spinal cord process sensation and control movement, according to a statement from Rice. The research was supported by the National Institutes of Health, Rice, the California-based Salk Institute for Biological Studies, and the philanthropic Mary K. Chapman Foundation based in Oklahoma.

The soft and flexible sensor was used to record neuronal activity in freely moving mice with high resolution for multiple days. Historically, tracking this level of activity has been difficult for researchers because the spinal cord and its neurons move so much during normal activity, according to the team.

“We developed a tiny sensor, spinalNET, that records the electrical activity of spinal neurons as the subject performs normal activity without any restraint,” Yu Wu, a research scientist at Rice and lead author of the study said in a statement. “Being able to extract such knowledge is a first but important step to develop cures for millions of people suffering from spinal cord diseases.”

The team says that before now the spinal cord has been considered a "black box." But the device has already helped the team uncover new findings about the body's rhythmic motor patterns, which drive walking, breathing and chewing.

Lan Luan (from left), Yu Wu, and Chong Xie are working on the breakthrough device. Photo by Jeff Fitlow/Rice University

"Some (spinal neurons) are strongly correlated with leg movement, but surprisingly, a lot of neurons have no obvious correlation with movement,” Wu said in the statement. “This indicates that the spinal circuit controlling rhythmic movement is more complicated than we thought.”

The team said they hope to explore these findings further and aim to use the technology for additional medical purposes.

“In addition to scientific insight, we believe that as the technology evolves, it has great potential as a medical device for people with spinal cord neurological disorders and injury,” Lan Luan, an associate professor of electrical and computer engineering at Rice and a corresponding author on the study, added in the statement.

Rice researchers have developed several implantable, minimally invasive devices to address health and mental health issues.

In the spring, the university announced that the United States Department of Defense had awarded a four-year, $7.8 million grant to the Texas Heart Institute and a Rice team led by co-investigator Yaxin Wang to continue to break ground on a novel left ventricular assist device (LVAD) that could be an alternative to current devices that prevent heart transplantation.

That same month, the university shared news that Professor Jacob Robinson had published findings on minimally invasive bioelectronics for treating psychiatric conditions. The 9-millimeter device can deliver precise and programmable stimulation to the brain to help treat depression, obsessive-compulsive disorder and post-traumatic stress disorder.

Houston clean hydrogen startup to pilot tech with O&G co.

stay gold

Gold H2, a Houston-based producer of clean hydrogen, is teaming up with a major U.S.-based oil and gas company as the first step in launching a 12-month series of pilot projects.

The tentative agreement with the unnamed oil and gas company kicks off the availability of the startup’s Black 2 Gold microbial technology. The technology underpins the startup’s biotech process for converting crude oil into proprietary Gold Hydrogen.

The cleantech startup plans to sign up several oil and gas companies for the pilot program. Gold H2 says it’s been in discussions with companies in North America, Latin America, India, Eastern Europe and the Middle East.

The pilot program is aimed at demonstrating how Gold H2’s technology can transform old oil wells into hydrogen-generating assets. Gold H2, a spinout of Houston-based biotech company Cemvita, says the technology is capable of producing hydrogen that’s cheaper and cleaner than ever before.

“This business model will reshape the traditional oil and gas industry landscape by further accelerating the clean energy transition and creating new economic opportunities in areas that were previously dismissed as unviable,” Gold H2 says in a news release.

The start of the Black 2 Gold demonstrations follows the recent hiring of oil and gas industry veteran Prabhdeep Singh Sekhon as CEO.

“With the proliferation of AI, growth of data centers, and a national boom in industrial manufacturing underway, affordable … carbon-free energy is more paramount than ever,” says Rayyan Islam, co-founder and general partner at venture capital firm 8090 Industries, an investor in Gold H2. “We’re investing in Gold H2, as we know they’ll play a pivotal role in unleashing a new dawn for energy abundance in partnership with the oil industry.”

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This article originally ran on EnergyCapital.

3 Houston innovators to know this week

who's who

Editor's note: Every week, I introduce you to a handful of Houston innovators to know recently making headlines with news of innovative technology, investment activity, and more. This week's batch includes an e-commerce startup founder, an industrial biologist, and a cellular scientist.

Omair Tariq, co-founder and CEO of Cart.com

Omair Tariq of Cart.com joins the Houston Innovators Podcast to share his confidence in Houston as the right place to scale his unicorn. Photo via Cart.com

Houston-based Cart.com, which operates a multichannel commerce platform, has secured $105 million in debt refinancing from investment manager BlackRock.

The debt refinancing follows a recent $25 million series C extension round, bringing Cart.com’s series C total to $85 million. The scaleup’s valuation now stands at $1.2 billion, making it one of the few $1 billion-plus “unicorns” in the Houston area.

Cart.com was co-founded by CEO Omair Tariq in October 2020. Read more.

Nádia Skorupa Parachin, vice president of industrial biotechnology at Cemvita

Nádia Skorupa Parachin joined Cemvita as vice president of industrial biotechnology. Photo courtesy of Cemvita

Houston-based biotech company Cemvita recently tapped two executives to help commercialize its sustainable fuel made from carbon waste.

Nádia Skorupa Parachin came aboard as vice president of industrial biotechnology, and Phil Garcia was promoted to vice president of commercialization.

Parachin most recently oversaw several projects at Boston-based biotech company Ginkjo Bioworks. She previously co-founded Brazilian biotech startup Integra Bioprocessos. Read more.

Han Xiao, associate professor of chemistry at Rice University

The funds were awarded to Han Xiao, a chemist at Rice University.

A Rice University chemist has landed a $2 million grant from the National Institute of Health for his work that aims to reprogram the genetic code and explore the role certain cells play in causing diseases like cancer and neurological disorders.

The funds were awarded to Han Xiao, the Norman Hackerman-Welch Young Investigator, associate professor of chemistry, from the NIH's Maximizing Investigators’ Research Award (MIRA) program, which supports medically focused laboratories. Xiao will use the five-year grant to advance his work on noncanonical amino acids.

“This innovative approach could revolutionize how we understand and control cellular functions,” Xiao said in the statement. Read more.

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