This one is similar to what you suggest I think, but it feels like you shouldn't need to write any script to just open a terminal.

If you just need to enter the shell name for the widget for this to work ('cmd.exe' for example) for it to open in the right directory then it's fine for me (and you can edit to reflect the idea if you want).

I have the same problem with long names. Initials only doesn't uniquely identify my teammates.

Alternative options to limiting the name length would be to have the option to only display first names, or to display the first name and the last name initial.