Biotech Spotlight: Innovative Laboratory Systems

Every laboratory build-out is unique. A company with a growing South Dakota presence specializes in delivering such custom spaces throughout the Midwest.

Innovative Laboratory Systems crossed the border from Minnesota in 2020, when CEO Mike Kettenacker moved his family to a home in Custer.

From western South Dakota, he now leads a nearly 30-person team, along with 15 subcontractors, with a presence in Nebraska, Minneapolis, Kansas City and St. Louis.

“We were looking for this lifestyle and found it in spades,” he said. “I grew up in an agricultural family, and now we have a chance to reconnect with that part of our life, which has been awesome.”

As he has grown the business from South Dakota, he has connected regularly with South Dakota Biotech, the state affiliate of the international BIO organization.

“South Dakota Biotech is doing as much to support the industry as any state I work in,” Kettenacker said. “In many states I work in, there is no organization like this. It’s absolutely outperforming for the size of the state.”

Innovative Laboratory Systems is an example of the kind of business that grows a state’s biotech ecosystem, said Joni Ekstrum, executive director of South Dakota Biotech.

“So much bioscience work begins in laboratories, and to have a first-class builder of these spaces based in South Dakota is incredibly significant,” she said. “Mike and his team can share best practices with our state biotech companies and be ready to support their needs as they scale.”

We sat down with Kettenacker for a closer look at his business.

Business name: Innovative Laboratory Systems

Year founded: 1989 in Ashland, Nebraska

How would you describe your business to someone not familiar with it?
ILS is a full-service laboratory furniture, equipment and supply company. We design and build scientific spaces for research, education, testing and quality control.

What has been the greatest benefit to you locating in South Dakota?
It’s the people. Everyone here works together for the greater good.

What are some new developments within your business?
Most of our work in the past has revolved around constructing new laboratory spaces. We’re now seeing significant growth in our service division as companies seek reliable and economic lab maintenance services. Some of this equipment is very maintenance-intensive, and if you don’t do regular preventative maintenance and replace certain items as they wear, you’re going to pay down the road and it’s going to break.

We also continue to work on a variety of projects throughout the Midwest. Some recently completed work includes laboratories at Montana State University, the University of Nebraska Omaha, South Dakota Mines, South Dakota State University, and we just got a nice project at Sheridan College in Wyoming. We also just completed a significant medical device project for Boston Scientific in the Minneapolis area.

How has South Dakota Biotech supported the needs of your business?
Joni is always introducing me to someone. We try to get to the mixers when we can, and she does a great job helping get the word out about us. I’m excited to be able to do more on the west side of the state as we grow interest and membership there.

What more would you like to see South Dakota do to advance the biotech industry in our state?
I’d like to see South Dakota attract more advanced manufacturing, medical technology, pharma and ag-biotech. This will advance scientific research, add to our collective economy and keep our highly education and trained students at home.

To learn more about Innovative Laboratory Systems, visit here.