The greater Grand Rapids industrial economy remains steady,
according to the results of a monthly survey compiled by Brian G.
Long, director of Supply Management Research in the Seidman College of
Business at Grand Valley State University.
The survey results are based on data collected in the last two
weeks of September. The survey’s index of business improvement, called
new orders, rose modestly to +33, up from +30. However, the production
index eased slightly to +36, down from +42. The index of purchases
eased to +28 from +38. The employment index moderated to +44 from +46.
Long said 50 percent of the firms surveyed reported adding
staff. “Overall, this month’s report still depicts the Greater Grand
Rapids economy growing at a modest pace. So far, it looks like this
trend may continue for a few more months,” Long said.
Long said the revival in the office furniture business is
responsible for stronger sales numbers being reported, while
automotive parts suppliers are still doing well, and production levels
are stabilizing. He said automobile sales rose at a rate of 29 percent
for the industry as a whole, with Ford reporting a 40 percent increase
over September of 2009.
The Institute for Supply Management survey is a monthly survey
of business conditions that includes 45 purchasing managers in the
greater Grand Rapids area and 25 in Kalamazoo. The respondents are
purchasing managers from the region's major industrial manufacturers,
distributors, and industrial service organizations. It is patterned
after a nationwide survey conduced by the Institute for Supply
Management. Each month, the respondents are asked to rate eight
factors as "same," "up" or "down." An
expanded version of this report and details of the methodology used to
compile it are available at www.gvsu.edu/scblogistics.
DOWNLOADABLE AUDIO
* Brian Long says the local economic recovery is still on track (audio).
* Long says the furniture industry is finally starting to turn around (audio).
* Long says automotive sales rebounded from last month (audio).
* Long says the November elections will affect the local economy (audio).
