2014’s strong economic performance expected to continue in 2015

The second half of 2014 saw strong performance among MHI member companies, with momentum projected to continue through 2015, according to an economic sentiment survey prepared by ProMat sponsor MHI.

Many end users are turning to automation to improve their bottom lines and to address the skilled labor shortage and aging workforce, said MHI CEO George Prest.

“The adoption speed of supply chain innovations—coupled with rising consumer expectations for anytime, anywhere service—has stressed traditional supply chains to near-breaking points,” continued Prest. “End users who do not adapt will struggle to remain competitive and deliver orders that are accurate and on-time.”

For this reason, 45% of member companies expect sales/new orders to grow by 10% to 20% in 2015, for a total weighted average of 9.2% growth over 2014. To keep pace with sales, staffing will grow at an equivalent rate.

Additionally, the improved economy will bolster MHI members’ capital goods purchases by an average of 8.1% over 2014, with strategic investments in new plants (20%), equipment (30%), information (25%) and technology (25%) topping their shopping lists.

The survey included MHI’s leading members from both the MHI Board of Governors and Roundtable Advisory Committee.

ProMat 2015 is scheduled to be held March 23-26, 2014 at Chicago’s McCormick Place. The tradeshow will showcase the latest manufacturing, distribution and supply chain solutions in the material handling and logistics industry. Modern’s completeProMat 2015coverage.