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BRIEFLY:
Matchmaking Conference, October 17, 2007 — Go one-on-one with government buyers
There will be a Matchmaking Conference on October 17, from 10:00 am to 4:00 pm at the University of Illinois at Springfield. The cost is $55 per person.
The Matchmaking Conference is unlike any event you'll ever attend. Determine which government agencies you're interested in meeting with, and appointments will be set up for you. Whether you're a manufacturer, a distributor, a retailer, or consultant, the government buyers assembled are looking to buy your products and services.
Participating government buyers include: The Army Field Support Command, Army Corps of Engineers, Central Management Services, City of Springfield, State Universities, Scott Air Force Base, Tank Automotive and Armament Command, and USEPA.
To register or for further information call Holly Fowler at 217-525-1173, ext. 206 or email:
hfowler@gscc.org.
IMA Legislative Roundtables
Please come and join the IMA at upcoming regional roundtables. This is your chance to share your concerns and successes with our elected officials.
Monday, October 15
Caterpillar, Aurora
10 am–12 pm
Special Guest: Sen. Linda Holmes
and Rep. Linda Chapa-LaVia
Wednesday, October 24
Caterpillar, Decatur
10 am–12 pm
Special Guest: Rep. Bob Flider
Space is limited. Please RSVP to Mark Denzler, email: mdenzler@ima-net.org, or phone 217-522-1240 x3008.
Chicago Business Barometer™ inched ahead
The CHICAGO Report documented continuing expansion of the US economy with a second somewhat stronger reading for the Chicago Business Barometer.™ Once again the reading was marginally stronger than expected by the consensus of business and economic forecasters. The Chicago Business Barometer™ supported those forecasting modest economic growth through the rest of 2007 and into 2008. While real GDP growth swung between solid growth and stagnation, the Chicago Business Barometer™ jumped strongly in the spring only to slump in July and reinforce the message of modest economic growth subsequently. Separately, the NAPM-Chicago Prices Paid index continued to document broadly expanding inflation, in spite of a sharp slowing of the expansion in September.
The Chicago Business Barometer™ rose 0.4 points for the second month, stabilizing the index after a nearly seven point drop in July. Following a March advance that was the largest movement in any direction in the history of the series, the decline in July dashed the hope for robust growth.
Three indexes were notable for their movement in September. The Prices Paid index dropped significantly, from 72 to 59. The 12.8 point drop was the sharpest since March 1982 (15.8) . . . the largest decline in 25-1/2 years! At face value, the September Prices Paid index suggests that the pervasiveness of inflation shrunk dramatically, but inflation continues to be a widespread feature of the current economic landscape. Drawing an analogy to a minefield, the September inflationary minefield dramatically is less populous than the field of August, with the force of the mines to be determined by other means.
Order Backlogs which shifted into significant decline mode for the last two months moved sharply to neutral, and neutral is a relatively significant improvement.
The Buying Policy is the lead-time for orders to ensure receipt of materiel in time. Shorter lead times are good news for purchasing professionals, but not so good news for the economy. The weaker the economy, the shorter the lead-time. The Buying Policy for MRO Supplies fell to the lowest level since the new series started in 1998 . . . obviously the sign of a weak economy.
Overall, in spite of the small increase in the Chicago Business Barometer, the negative short-term trend (3 month moving average) for all but one element of the CHICAGO Report provides little support for a strengthening economy.
The strength, as well as the limitation, of the CHICAGO Report may come from its very sensitive measurement of economic activity. While often called a "manufacturing" report, the Chicago Purchasing Manager Survey embodies the full range of economic activity, including the nonprofit and service sectors. In addition, the survey panelists report business activity of their firm, regardless of the location of that activity. Thus the CHICAGO Report is a regional window on national economic activity. The Chicago Business BarometerTM was designed to anticipate future national economic activity . . . and the September economic verdict reinforces recent reports of generally fair skies, with continued increasing cloudiness in spite of a few patches of sunshine.
Blagojevich: Tax parking spaces
In his continuing effort to drive business and good-paying jobs out of Illinois, Governor Rod Blagojevich has proposed a $60 per year tax on parking spaces at businesses in Chicago and the surrounding six-county metropolitan area. The governor's plan would tax all non-residential, privately owned parking spaces and pay for bailing out mass transit in the Chicago-area.
"The governor's newest tax scheme is just plain ludicrous," said Gregory W. Baise, president & CEO of the Illinois Manufacturers' Association. "Despite the usual rhetoric from the governor, this ploy taxes workers and is nothing more than a second property tax levied on relatively few people."
According to the governor's office, the Blagojevich Parking Tax would levy a $5 per month per space tax on every business and commercial parking space, or $60 per year. There would be no exceptions to the tax. Business groups immediately expressed opposition to the governor's plan. The IMA was one of two statewide business organizations that testified earlier this week before the House Mass Transportation Committee on the measure.
"This is a tax that will be passed on to consumers in the form of increased prices for goods and services in Illinois," Baise said. "We call on the legislature to reject this ill-advised idea and work with the business community to bring a logical solution to the mass transit challenges in Northern Illinois."
U.S. economic highlights from The Conference Board
What a difference one month makes. When the Labor Department reported a net job loss for August, alarm bells went off about a brewing recession around the corner. The fear was that the drop in jobs might have been the last straw and the resilient consumer would finally wilt, except, it didn't happen. First, consumer confidence readings reflected a quite restrained response to the labor report, and a quite prescient one. On revision, almost 90,000 new jobs actually opened up in August, followed by 110,000 jobs in September. If job growth remains on track to increase employment at about one percent annual rate, with wages rising by almost four percent (nominal), consumer spending may continue to expand by a 2.0 to 2.5 inflation-adjusted annual rate. If two thirds of economic activity is expanding that much, there is no recession around the corner. Nor may there be further interest-rate cuts ahead.
Trade has been a surprising plus for the economy all year. With the dollar edging lower, after the Federal Reserve cut interest rates by a half point, it is likely trade was once more positive for overall economic growth, and likely to remain so at least through the autumn months.
The "core" PPI (which excludes food and energy) has been increasing by 0.1-to-0.2 percent per month. It may have risen by 0.2 percent in September and could continue to raise that much over the next few months — because the economy is slow but not slowing. Still, even with demand holding up, material cost pressure isn't the problem on the inflation front. Labor cost increases are.
Consumers spending power has been holding up and last week's data showed it continued to hold up through September. Also last week, it was learned that auto sales were not weaker in September than in August. The retail sales report is likely to show a healthy pace of consumer spending, especially on nonauto-related items. Moreover, if consumer spending power continues to rise by at least 0.3 percent (inflation adjusted) per month, consumer spending could raise that much or more.
The economic data for August do not appear so negative on revision and the data for September are starting to look a little more positive. Regionally, there are problems in the East North Central and Middle Atlantic states. But that isn't new. The strength in the economies in other regions, especially in the Mountain and South Atlantic states, remains sufficient to keep the economy growing (probably by more than 2.5 percent in the just concluded third quarter and perhaps not much slower in the fourth quarter).
Meanwhile economies abroad continue to expand at relatively robust rates, with the exception of Japan. That could be the next trouble spot. Yet another problem on the horizon could be in prices for raw food and industrial materials, perhaps even with some hints in this week's inflation reports. Clearly, the global economy is strong enough to put upward pressure on inflation. To that pressure, add the rise in transportation costs, with crude oil hanging close to $80 a barrel.
Source: The Conference Board, http://www.conference-board.org
IMA event: Workplace Investigations: Doing it Right
October 23, 2007 in Rockford
Northern Illinois University, Rockford, 8:30-11:00 am
There are three primary goals associated with any workplace investigation: determine the truth, comply with all legal requirements and provide the company with defenses to other potential legal causes of action. This program will focus on proven tactics available to employers as well as specific, practical advice for managers and supervisors to act promptly and appropriately with respect to a variety of issues in the workplace, including on the job accidents and workers' compensation fraud.
COST: $125 for IMA members
$100 for each additional member attendee from same company
$200 for non-members.
For more information or to register, visit https://www.ima-net.org/wpi_seminar.cfm
or contact Kimberly McNamara, phone: 800-875-4462, ext. 2109, email: kmcnamara@ima-net.org
Annual Holiday Survey Report . . . now ONLINE!
http://www.ima-net.org/08IMAHolidayRpt.pdf
The IMA's Annual Holiday Report highlights employers' plans on select holidays throughout the year. This year's survey was conducted from August 10-31, 2007 for the 2008 calendar year. Four questions were asked ranging from total number of paid days off to a breakdown of full or half day paid holidays, and on which days the member company is actually closed throughout the year. Nearly 450 IMA members responded.
For the results, visit http://www.ima-net.org/08IMAHolidayRpt.pdf.
The IMA's new strategic partnership with Heritage-Crystal Clean (HCC) caters to your company's environmental needs. Big savings are available to IMA members. To learn more, contact HCC's Jim Skelton at
jim.skelton@crystal-clean.com, call 847-783-5110 or visit:
www.crystal-clean.com.
IMA's Recycling Expansion & Modernization (REM) grant ...
The Illinois Department of Commerce and Economic Opportunities wants to help Illinois companies deal with the issue of reducing waste through the Recycling Expansion and Modernization (REM) Grant Program. Through this grant, the Illinois Manufacturers' Association can offer your company a solid-waste assessment at 25 percent of the actual cost; the grant pays the remaining 75 percent. Join the growing number of companies that are on the path to becoming green. Find out how easy it is to participate in the IMA's REM grant program. It's an investment in your future — one that will reap perpetual rewards for your business and your community.
For more information, contact Judy Parker, IMA Director of Training, 217-522-1240, ext. 3036, or email jparker@ima-net.org.
Order the IMA's 2007-2008 Benefits Report at https://www.ima-net.org/ben_report_order.cfm
Order the IMA's 2006 Annual Compensation Report at http://www.ima-net.org/reportorder/login.cfm
For more information, go to one of the links above, or contact Janie Stanley at 800-875-4462, ext. 3020, or email:
jstanley@ima-net.org
DATES OF NOTE:
More information/events may be found at http://www.ima-net.org/calendar.cfm and
http://www.ima-net.org/MIT/open.cfm
October 19, 2007
Negotiating with Confidence for Long-Term Success–DePaul University's O'Hare Campus, 3166 River Rd., Des Plaines
Negotiations are a crucial component of all jobs. Don't burn bridges. Learn successful, professional negotiating skills that will enhance your chances for success. For more information or to register, visit
http://www.ima-net.org/MIT/nwc.cfm
October 26, 2007
Essential Leadership Skills for Newly Promoted and Frontline Supervisors
DePaul University's O'Hare Campus, 3166 River Rd., Des Plaines
This fast-paced, invigorating one-day workshop will provide you with the skills to build better working relationships, develop the perspective of a leader, and establish realistic performance goals for employees. For more information or to register, visit
https://www.ima-net.org/MIT/snps.cfm
November 1, 2007
Lean Manufacturing: Quick Start
952 E. Eldorado, Suite 102, Decatur
November 2, 2007
Lean Manufacturing: Quick Start
DePaul University,
150 W. Warrenville Rd., Naperville
Designed to help participants quickly initiate team oriented on-going lean activities, this workshop includes instruction on Lean terms and definitions, waste identification and analysis, team organization and choosing lean tools for waste free processes.
November 7, 2007
IMA Annual Sales Tax Seminar
NIU –Naperville
Joe Bigane, a tax expert will update on current sales and use tax laws specific to manufacturing. For more information or to register, visit
https://www.ima-net.org/tax_seminar.cfm
November 9, 2007
Leadership Skills for Leaders of Latino Employees
DePaul University's O'Hare Campus, 3166 River Road, Des Plaines
Find out what motivates Latino employees and how to help them work as a team. Develop Latino supervisors. Discover differences among Latinos based on country and city of origin, and considerations for female managers of Latinos. Improve recruiting, hiring and retention among Latinos. For information, visit
https://www.ima-net.org/MIT/lsl.cfm
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