Economic Recovery Continues in 2010: Institute for Supply Management
• Non-manufacturing employment is expected to decrease 0.6 percent in 2010.
• Expect export levels to remain unchanged in 2010.
• Expect import growth in 2010.
• Non-manufacturing revenues (nominal) are down 4.5 percent in 2009.
• Non-manufacturing revenues (nominal) are expected to rise 1.3 percent in 2010.
• Major concerns to non-manufacturers: weak economy; healthcare and benefits costs; credit crisis; labor costs; and high energy costs.
• Overall attitude of non-manufacturing supply managers: mostly positive outlook, with 80 percent of respondents predicting 2010 will be the same as or better than 2009.
(a) Miscellaneous Manufacturing includes items such as medical equipment and supplies, jewelry, sporting goods, toys and office supplies.
(b) Other Services include services such as equipment and machinery repairing; promoting or administering religious activities; grant making; advocacy; and providing dry-cleaning and laundry services, personal care services, death care services, pet care services, photofinishing services, temporary parking services, and dating services.
In addition to the forecast, the Manufacturing ISM Report On Business® is issued monthly and is considered by many economists to be the most reliable near-term economic barometer available. It is reviewed regularly by government agencies and economic business leaders. The report, compiled from responses to questions asked of purchasing and supply executives across the country, tracks industrial production, new orders, inventories, supplier deliveries, imports, exports, backlog of orders, employment, customers’ inventories, buying policies and prices. The report has been issued by the association since 1931, except during World War II.
Covering the non-manufacturing sector, ISM debuted the Non-Manufacturing ISM Report On Business® in June 1998. The Non-Manufacturing ISM Report On Business® is released on the third business day of each month, and is based on data received from purchasing and supply executives across the country. The report covers business activity, new orders, backlog of orders, new export orders, inventory change, inventory sentiment, imports, prices, employment, and supplier deliveries.