Despite decline, ISM reports October non-manufacturing output is solid

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State of Logistics 2016: Pursue mutual benefit Despite decline, ISM reports October non-manufacturing output is solid XPO Logistics reports record third quarter earnings results Use mathematical modeling to tailor an automation strategy to your business The Viability of Modern Pick-to-light Systems More News While the data trended down from September, non-manufacturing activity in October remained on solid footing, according to data issued by the Institute for Supply Management (ISM) in its Non-Manufacturing Report on Business. The index ISM uses to measure non-manufacturing growth—known as the NMI—came in at 54.8 (a level of 50 or higher indicates growth), down 2.3 percent from September, with economic growth for the non-manufacturing sector now intact for 81 consecutive months. The October NMI is even with the 12-month average of 54.8. Each of the report’s four key metrics, including the NMI, declined from September to October. Business activity/production fell 2.6 percent at 57.7 while still growing for the 87th month in a row, and new orders were off 2.3 percent to 57.7 also growing for the 87th consecutive month. Employment was off 4.1 percent to 53.1 and grew for the fifth straight month. ISM said that 13 non-manufacturing industries saw growth in September, including Transportation & Warehousing; Construction; Other Services; Management of Companies & Support Services; Information; Professional, Scientific & Technical Services; Real Estate, Rental & Leasing; Wholesale Trade; Utilities; Finance & Insurance; Retail Trade; Accommodation & Food Services; and Health Care & Social Assistance. The five industries contracting in October were: Educational Services; Mining; Agriculture, Forestry, Fishing & Hunting; Public Administration; and Arts, Entertainment & Recreation. Comments submitted by ISM member respondents in the report were largely positive. A construction respondent cited how his company secured lots of new clients, with division business booming, and a finance and insurance respondent noted that the […]