Products; Primary Metals; Paper Products; Fabricated Metal
Products; Miscellaneous Manufacturing; Food, Beverage
& Tobacco Products; Petroleum & Coal Products; Plastics
& Rubber Products; Machinery; Chemical Products; Wood
Products; Nonmetallic Mineral Products; and Printing &
Related Support Activities.
Fifty percent of non-manufacturing purchasing and supply
executives expect their 2017 revenues to increase by 10. 6
percent compared to 2016. Respondents expect a net increase
in overall revenues of 4. 1 percent, the same figure forecasted
in December. Non-manufacturing companies continue to
operate e;ciently, as reflected by the high percentage of
Highlights from the semiannual report include:
• Operating rate is currently 86.9 percent of normal capacity.
• Production capacity is expected to increase 2. 7 percent in
• Capital expenditures are expected to increase 5. 2 percent.
• Prices are expected to increase 1. 5 percent.
• Non-manufacturing employment is expected to increase
2. 2 percent during the remainder of 2017.
The 14 industries expecting revenue increases — listed in order
— are: Information; Wholesale Trade; Construction; Retail
Trade; Finance & Insurance; Arts, Entertainment & Recreation;
Health Care & Social Assistance; Professional, Scientific &
Technical Services; Mining; Utilities; Accommodation & Food
Services; Agriculture, Forestry, Fishing & Hunting; Educational
Services; and Transportation & Warehousing.
The complete Spring 2017 Semiannual Economic
Forecast, released May 22, is available at www.
Bradley J. Holcomb, CPSM, CPSD, is former Chair of the Institute for Supply
Management® (ISM®) Manufacturing Business Survey Committee. Anthony S.
Nieves, CPSM, C.P.M., A.P.P., CFPM, is Chair of the ISM Non-Manufacturing
Business Survey Committee.
The world’s fourth most-populous
country (260 million), Indonesia is
exploring hyperloop transportation
technology through a US$2.5 million
feasibility study. The country has
signed with private investors to explore
hyperloop transportation — in which a
pod-like vehicle is propelled through
a near-vacuum tube, with maximum
speed greater than that of an airliner —
originating from Jakarta, the nation’s
capital. Jakarta has a population of 10
million and some of the world’s worst
tra;c congestion, with a daily four-hour commute common. A 335-mile
hyperloop trip from Jakarta to Yogyakarta
would take about 25 minutes. Public
hyperloop transportation is likely years
away, however. Billionaire entrepreneur
and Tesla co-founder Elon Musk
reintroduced the hyperloop concept in
2012, and startups Hyperloop One and
Hyperloop Transportation Technologies
are aiming to test systems this year.
Global investment in financial
technology (fintech) increased to
US$23.2 billion last year, with China
powering the growth, according to
research by Accenture PLC, a global
management consulting firm based in
Dublin, Ireland. Fintech financing in the
Asia-Pacific region accounted for $11.2
billion, surpassing North America ($9.2
billion) for the first time. Investment in
China and Hong Kong was $10.2 billion,
91 percent of the Asia-Pacific total. “For
many years, Silicon Valley, New York
and London were the dominant centers
of innovation and demand, but now
fintech has spread like wildfire around
the world, and Asia-Pacific has become
the rising star,” says Richard Lumb,
group chief executive — financial
services at Accenture.
Information in this report was gathered from the following sources:
Accenture PLC — www.accenture.com • Hyperloop Transportation Technologies — http://hyperloop.global • IHS Markit — www.ihsmarkit.com • Redwood
Software — www.redwood.com • Research and Markets — www.researchandmarkets.com