Welcome to the IMA Executive News & Views Blog. The blog format reflects our efforts to provide IMA members with timely, relevant and thought provoking information in a form that is accessible for easy reference. IMA’s Executive News & Views Blog will be updated on a regular basis. Weekly news update emails will be sent out to notify subscribers of new information posted on the blog. IMA members are welcome to submit material for the blog, or request specific information. Simply email Editor Stefany Henson at shenson@ima-net.org with your information or request. Editorial submissions are subject to review. 

Wednesday
Oct292014

Advanced Robotics to Revolutionize the Manufacturing Industry, According to PwC US and The Manufacturing Institute

Industrial robotics paving the way for ‘factory of the future’

As industrial robots become smarter, faster, more affordable, and develop advanced capabilities such as sensing, dexterity, memory and trainability, industrial manufacturers across industries are looking to advanced robotics to gain a competitive business advantage, according to a report released today by PwC US in conjunction with The Manufacturing Institute. Based on a survey of 120 industrial manufacturers, The new hire: How a new generation of robots is transforming manufacturing found that while 59 percent of companies are currently using some form of robotics technology, barriers to adoption still exist due to limitations such as cost, the lack of perceived need, and access to expertise and skills.

According to PwC’s report, there are currently over 1.5 million robots working in factories across the globe, with an estimated 180,000 in the U.S. alone. That number is only expected to increase with the global industrial robot market estimated to reach $41 billion by 2020.

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Wednesday
Oct292014

Accelerating Top-Line Growth Fuels Middle Market Job Creation

Mid-Market executives say labor dynamics, Baby Boomer retirements will affect future financial performance

Middle-market executives report accelerating revenue growth over the past four consecutive quarters, which peaked at 7.5 percent, the highest rate since the launch of the Middle Market Indicator (MMI). According to the National Center for the Middle Market’s (NCMM) survey of 1,000 C-suite executives, 68 percent report company revenue increasing in the past year, with mean total revenue growing two percentage points faster than the S&P500.

Concurrently, middle market employment growth has been consistently above three percent for all of 2014, adding workers at levels even above strong hiring in 2013. Although the nation’s nearly 200,000 mid-sized firms represent only three percent of American businesses, they are projected to create 61 percent of all new jobs in the coming year. Notably, the healthcare industry has seen the largest jump in employment among middle-market firms.

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Wednesday
Oct222014

IMA Releases 2013-14 Legislative Ratings in Advance of Election

Earlier this month, the Illinois Manufacturers’ Association released its 2013-14 Legislative Ratings and Campaign Guide. Incumbent lawmakers were rated on more than a dozen key bills using votes cast either in committee or on the floor of the House or Senate.

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Wednesday
Oct222014

North Chicago Chamber of Commerce 2014 Annual Meeting & Luncheon to feature Mark Denzler

Join the North Chicago Chamber of Commerce on Wednesday, November 12th, along with Illinois Chamber of Commerce President Todd Maisch, Kalamazoo Promise Executive Director Von Washington and Illinois Manufacturer’s Association VP & COO Mark Denzler. The program will take place on November 12th from 11:30 am–1:30 pm at the Greenbelt Cultural Center, 1215 Greenbay Road, North Chicago. RSVP by November 5th. For more information and to register, visit http://www.northchicagochamber.org/2014/10/08/2014-annual-meeting-luncheon

Wednesday
Oct222014

U.S. Industrial Manufacturers Forecast Solid Revenue Growth in Year Ahead, According to PwC’s Q3 Manufacturing Barometer

International outlook dims; Global sentiment at lowest in eight quarters — Concerns regarding legislative/regulatory and taxation pressures on the rise

Optimism regarding projected company revenue growth increased among U.S. industrial manufacturers during the third quarter of 2014, according to the Q3 2014 Manufacturing Barometer, released today by PwC US. Survey respondents forecast an average growth rate of 5.6 percent over the next 12 months, up from 5.2 percent in the second quarter and 4.2 percent a year ago. The positive revenue outlook ran counter to a notable softening in sentiment regarding the future direction of the U.S. and global economies overall, coupled with increased concerns about the potential impacts of legislative/regulatory and tax policies.

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Wednesday
Oct152014

Alert — Straight Talk on Inversions

From IMA member Plante Moran …

The corporate structuring transaction known as an “inversion” has been front and center recently regarding U.S. corporate tax policy. Corporate inversions typically involve the acquisition of a U.S. corporation by a foreign corporation, during which the U.S. corporation’s shareholders acquire a majority interest in the “acquiring” foreign corporation.

The transaction benefits corporate groups that earn a significant amount of their earnings outside the United States. The benefit arises from avoiding U.S. corporate tax on earnings generated abroad. In addition to having the highest corporate income tax rate in the world, the United States is also one of the few countries that taxes earnings that have already been taxed in a foreign jurisdiction. Virtually all developed countries, including the U.K. and Canada, allow for a tax exemption on earnings that have already been subject to tax abroad.

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Wednesday
Oct152014

Survey of Manufacturing and Purchasing Executives Reveals Strong Confidence in Economy for Remainder of 2014 among Midsized Industrial U.S. Manufacturers

13th survey of buying group member companies indicates positive outlook as revenues are projected to continue rising and half of all companies are planning new hires

Prime Advantage, the leading buying consortium for midsized manufacturers, announced the findings of its thirteenth edition of the Purchasing and Manufacturing Survey, revealing financial projections and top concerns of more than 700 U.S. industrial manufacturing companies. The results show continued optimism about revenues and employment, despite concerns about rising costs and a lack of qualified workers.

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Wednesday
Oct082014

NAM Monday Economic Report: Manufacturing Construction Spending, 2005-2014

 

Several recent indicators have shown marked improvements in the U.S. economy and for manufacturing activity, particularly when compared to earlier in the year. These range from the NAM/IndustryWeek Survey of Manufacturers to increased levels of demand and output. Last week, for instance, the Institute for Supply Management (ISM) reported that the pace of production (up from 64.5 to 64.6) was marginally higher in September, with the index exceeding 60 — indicating strong growth — for four consecutive months. Likewise, the new orders index has measured 60 or higher for three straight months, even though it eased somewhat in September (down from 66.7 to 60.0). That was an encouraging sign, and it was consistent with a relatively upbeat outlook as noted by the National Association for Business Economics (NABE).

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Wednesday
Oct082014

IMA to Partner with Illinois Defense Counsel on Concealed Carry Seminar

Thursday, October 30, 2014 — University Club of Chicago

The law relating to concealed carry in Illinois changed on January 1. What are your rights and responsibilities as an individual? An employer? A governmental entity? A property owner? What are the insurance coverage considerations you should take into account to protect yourself? How can attorneys best protect their clients?

Join with the members of the Illinois Association of Defense Trial Counsel, Illinois Insurance Association, Illinois Retail Merchants Association and the Illinois Manufacturers’ Association on October 30, 2014 as we delve into the current issues surrounding concealed carry.

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Wednesday
Oct012014

New Report Shows Status Quo on Infrastructure Hampers Competitiveness

U.S. Manufacturers Won’t Reach Economic Potential Without Public–Private Partnership and Commitment to Infrastructure Investment

A new study commissioned by the National Association of Manufacturers (NAM) and conducted by Inforum at the University of Maryland offers a view into the economic benefits the U.S. economy would reap with a more concerted effort to address the nation’s infrastructure needs. In total, the study finds that a targeted and long-term increase in public infrastructure investments from all public and private sources over the next 15 years will:

• Increase jobs by almost 1.3 million at the onset of an initial boost;

• Grow real GDP 1.3 percent by 2020 and 2.9 percent by 2030;

• Create a progressively more productive economy, which, due to cumulative effects through time, will benefit from a $3 return on investment for every $1 invested in infrastructure by 2030; and

• Provide Americans an increase in take-home pay after taxes—a $1,300 net gain per household by 2020 and $4,400 per household by 2030 (measured in 2009 dollars).

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