Programmed growth
Tracking the markets as I do, the April results left me wondering what the heck is going on, especially when META reported far lower-than-expected guidance. In addition, earning reports were soft in many cases with the industrial base reporting a lower confidence index. Adding in what you read about logistic companies leaves you thinking that a problem is brewing which could impact an industrial lift truck business. So, do we achieve growth via the GDP, do we have inflation under control, or do we not expect a cut or two in interest rates? I went into my files and found a chart titled Where Inflation Is and Isn’t. It covers 29 cost categories and when you put together all the increases and decreases in costs you wind up with an average inflation rate for the last twelve months of 3.5%, which is 75% above the rate the Fed is looking for. It is hard to believe we will get to the 2% level anytime soon. Even if we try our hardest to get that inflation rate down, the onshoring or re-shoring efforts will surely kick prices. New factories to build. More personnel are required. Higher financing costs. And if unions are involved you can bet that your costs will be higher. I believe we are in Stagflation … where we have inflation as well as shrinkflation….even though the economy is slowing. A tough place to be if you are a business owner. Shrinkflation is the twin of Inflation. Inflation is where you get higher prices for your standard volume. Shrinkflation, on the other hand, lets you keep the older price but removes the product to make up the difference. I don’t think you can do that with a lift truck …but dealers are probably paying for products that are now coming in smaller packages. Then add on the ever-increasing government regulations that will cost you more to comply with. They continue to tell you how to run your business, how much you must pay employees, and what is allowable regarding non-compete agreements. When you look at a chart covering the number of regulations that are in effect, it is overwhelming. Business and Industry organizations are now suing the government to reverse many of these costly regulations. And, on April 24th it was announced that the Trump tax mandates scheduled to end in 2025, will be allowed to expire. Get ready to write bigger tax checks and pay more for the utilities that provide energy to run your shops. You may have heard the new rule about Overtime that creates two separate increases to an employee’s minimum annual salary threshold in a year, leaving you to assess how best to comply. Here is the link to the article on this Overtime rule from ManufacturingDIVE. Be sure to sign up for this free newsletter while you are on the website. Nikole: Link: https://www.manufacturingdive.com/news/overtime-rule-2025-lawsuit-flsa-compliance/714435 And I am not to even mention AI … since you hear about it every single day. The last is a statement by an AI expert that companies that do not adopt and use AI will be out of business by the end of the decade because they will not be able to compete on either a cost or service basis. In past articles, I mentioned numerous times that dealers need to do more with less to reduce costs and improve efficiency. I believe that every business out there needs to perform at a more efficient level to generate the cash flow needed to pay the bills and provide an adequate ROI. So, how do you do this and retain your sanity? Since I brought this new business model to your attention, I thought I should provide some guidance on how to “make more with less” with not much investment on your part. I am going to give you a list of three books to read that will help with this process. The first is HOW TO LISTEN WHEN THE MARKETS SPEAK by Lawrence McDonald. This book will educate you about what is going to take place because of the disastrous policy decisions and artificial disinflationary forces in place. And how we are about to witness a new era of sustained inflation, corporate debt crises, and great shifts in wealth. In addition, the US is weakening the reserve currency status, while adding Russia, Iran, and Saudi’s because of our stance on oil and gas. READ THIS BECAUSE IT WILL HELP YOU UNDERSTAND WHAT YOU NEED TO DO TO MANAGE YOUR WEALTH. The second is BUSINESS WEALTH WITHOUT RISK by Roland Frasier and Jay Abraham. You will learn from these two gentlemen how to grow, scale, and exit your business. They provide a list and worksheets to help you improve your business, how to add more value to your customers for the products and services you provide, and how to then sell the business for a much higher multiple compared to the multiple you could currently get. Once you read this book, you will keep it on your desk and read parts repeatedly. Not only do the authors provide information. They will also assist you on your path to greater wealth. The third and last book to read is titled WHO NOT HOW by Dan Sullivan and Dr. Benjamin Hardy. Want to learn how to save time and money and add to your business value? Who doesn’t? Unfortunately, many of us have great ideas about what we need to do but do not know or have the time to develop or execute the plan. The authors suggest that if the idea is “real” then it pays to get the professional help you need to build the plan and get it implemented in a much shorter time compared to doing it internally or yourself. YOU FREE UP YOUR HOURS AND RUN THE BUSINESS. The hired hands take our ideas and get them put into place. Follow this program two or three times and the value of our business increases. To
Eleventh annual National Forklift Safety Day
To Be Hybrid Event June 11, 2024 | 9:00 AM – 11:00 AM Industrial Truck Association’s eleventh annual National Forklift Safety Day will take place on Tuesday, June 11 at 9:00 AM EDT at the National Press Club in Washington, D.C. The event will be hybrid, with an in-person as well as a virtual attendance option. The event serves as an opportunity for forklift manufacturers to highlight the safe use of forklifts, the value of operator training, and the need for daily equipment checks. Open to everyone, National Forklift Safety Day registration is open on ITA’s website. The format will remain the same as past year’s events with presentations from government representatives, safety experts, and industry representatives. The speakers and their general topics for National Forklift Safety Day 2024 include: Brian Feehan, President, Industrial Truck Association Brett Wood, ITA Chairman of the Board, President and CEO Toyota Material Handling North America Douglas Parker, Assistant Secretary of Labor for Occupational Safety and Health Administration (OSHA) (Invited) Cesar Jimenez, Vice President of Regulatory Affairs, Product Planning, Product Assurance & Automated Solutions, Toyota Material Handling, Inc. Larry Pearlman, President & Founder, SAFETY and Consulting Associates, Inc. “ITA is excited to host the 11th National Forklift Safety Day and to keep safety top of mind,” said Brian Feehan, president of ITA. “We understand the importance of effective forklift operator training, and ITA’s National Forklift Safety Day is meant to keep that discussion at the forefront year-after-year.”
TAPPI & AICC now accepting entries for Box Manufacturing Olympics
Industry-Wide Competition Celebrates Greatest Achievements and Innovations at SuperCorrExpo® TAPPI and AICC, co-producers of SuperCorrExpo®, have announced that entry for the quadrennial Box Manufacturing Olympics is now open. All selected entries will be showcased at SuperCorrExpo® from September 8-12, 2024 at the Orange County Convention Center in Orlando, Florida. The deadline for entry is June 28, 2024. The Box Manufacturing Olympics (BMO) combines TAPPI’s CorrPak Competition and AICC’s Design Competition into one unified event with competitors from across the globe. The BMO is open to all TAPPI and AICC members who produce corrugated, rigid box and folding cartons and their suppliers. Packaging schools and universities are also invited to participate in the competition and have their own categories and requirements. Judges will evaluate entries on several levels, including design, quality, graphic excellence, technical difficulty, and innovative application, among others. All entries will be prominently displayed on the SuperCorExpo® exhibit floor and winners will be announced each day before the opening session, with the Best of the Industry winners and Attendees’ Choice winners will be announced on the last day. The winners will be featured on the SuperCorrExpo, TAPPI, and AICC websites, and announced in various industry publications. To participate in the Box Manufacturing Olympics, please sign up here. To learn more about the competition, visit the SuperCorrExpo Box Manufacturing Olympics Webpage.
Tetra Pak and University of Georgia launch North America’s first Tetra Recart trial facility
The Food Product Innovation and Commercialization Center (FoodPIC) supports the development of food products from concept to shelf Tetra Pak and the University of Georgia (UGA) College of Agricultural and Environmental Sciences have announced the first Tetra Recart® trial facility in North America. Located at UGA’s Food Product Innovation and Commercialization Center (FoodPIC) in Griffin, Georgia, this alliance represents a pioneering step towards advancements in the food industry. The collaboration aims to offer commercial testing for food companies using the Tetra Recart® packaging system, an alternative for foods like beans, fruits, pet food and sauces traditionally packaged in cans. Development and production of food products will be supported with a robust network of experts using state-of-the-art equipment and facilities. Further, FoodPIC assists in creating strategic alliances with external engineering, marketing and technology groups to bring an idea to life from concept and research to formulation, prototyping and market launch. Complementing FoodPIC’s wide variety of packaging and processing equipment, the Tetra Recart® trial facility will enable companies to test shelf-stability, ensure food safety and optimize product formulation at a fraction of the cost compared to alternative solutions. A food package uniquely suited for retail, Tetra Recart® is an environmentally sound alternative to other packaging formats and offers lower direct product costs by requiring less space, having less weight and creating less food waste. “Our FoodPIC facility provides the tools and resources needed to create efficiencies and accelerate the development of foods for our clients. We focus on expertise and technology that facilitate a faster time to market, ultimately benefitting the food company, local economy and public at large,” states Dr. James Grazek, FoodPIC director. “To do this, we have to offer the most advanced and complete suite of equipment and services on the market.” As consumer awareness continues to grow regarding food development and processing, particularly around health and sustainability, this testing facility General represents a pivotal milestone in accelerating the adoption of next generation foods, alternative ingredients and reduced preservatives. “This being the first facility for Tetra Recart® trials in North America, we have opened a new avenue for the development of sustainable food packaging with a premium appeal,” notes Javier Quel, VP Business Sector for Tetra Recart. “At Tetra Pak, we foster innovation and empower food companies to work creatively, experiment and develop solutions to find the best route to commercial success.” For food companies seeking to embrace sustainable packaging solutions, the Tetra Recart® trial facility at UGA’s FoodPIC offers both opportunity and excellence.
New ASSP report aims to help create safer workplaces
Occupational safety and health (OSH) professionals use collaboration and key insights to make smart decisions that can drive change across the industry. The American Society of Safety Professionals (ASSP) is helping that effort to improve worker safety and health by producing new online reports that contain firsthand views and experiences of business leaders from all industries. This valuable feedback and context from seasoned executives is being summarized through ASSP’s Corporate Listening Tour, an activity that helps inform and direct both ASSP and corporate initiatives that advance worker safety and health. The project is led by CEO Jennifer McNelly, CAE, who meets individually with a broad range of safety executives each year to discover trends impacting their companies and the safety and health profession. “While federal and state efforts have improved environments over the past few decades, more must be done to protect workers,” McNelly said. “The latest data from the U.S. Bureau of Labor Statistics shows that nearly 5,500 fatal work injuries occurred in 2022 – a 5.7 percent increase from the previous year. This means a worker died every 96 minutes. That’s simply not acceptable. On-the-job fatalities and serious injuries are preventable.” ASSP’s 2024 report from the Corporate Listening Tour highlights five key findings: Focus on What Matters. Prioritize the prevention of serious injuries and fatalities over minor incidents to avoid spreading resources too thin. This might mean accepting a slight increase in less severe incidents, but it’s ultimately about spending valuable time and resources where they count the most. Manage Workforce Changes and Safety Priorities. With unpredictable shifts in the workforce and a shortage of skilled labor, keeping everyone safe becomes more challenging. High turnover and the struggle to attract and keep good employees increase the risk of incidents and employee burnout. OSH professionals must influence how new employees are trained and provide input on retention strategies. Embrace OSH-Related Applications of AI. Technology, particularly artificial intelligence, is constantly reshaping how we work. While this brings opportunities for safety improvements, it also introduces new risks. OSH professionals should focus on using AI to enhance safety while ensuring the organization doesn’t neglect traditional safety practices that have proven to be effective. Manage Cultural Shifts and Governance in Uncertain Times. Economic and political uncertainties affect how businesses operate. OSH professionals can drive changes in organizational culture – making sure leaders take accountability for safety – and demonstrate its importance even in uncertain times. Empower Influential OSH Leaders in the Changing Workplace. OSH professionals must maintain their technical skills and certifications while seeking organizational support to become better leaders who can drive operational excellence. “The report proposes a set of questions to help spark discussions among safety teams as well as with their colleagues and corporate leaders,” McNelly said. “It’s through proactive conversations about trends and potential risks that we can better integrate program improvements to reduce worker injuries, illnesses and fatalities.”
MHEFI awards record-breaking $231,700 in scholarships to 61 students
The Material Handling Education Foundation, Inc. (MHEFI) has announced the distribution of $231,700 in scholarships to 61 material handling, supply chain, and logistics students for the 2024/2025 academic year. This marks the highest amount ever awarded by MHEFI, reflecting its commitment to supporting education in material handling, logistics, and supply chain management. The scholarships, ranging from $1,500 to $6,000, were granted to undergraduate students who demonstrated outstanding academic performance, maintaining a “B” grade point average or higher in their major. Recipients were selected based on their dedication to these fields of study and their potential to make a positive impact in the industry. In response to this record-breaking scholarship amount, Brian Neuwirth, MHEFI President, stated: “We are immensely grateful to our sponsors whose generous contributions make these scholarships possible. These students show incredible potential and dedication, and we are honored to support their journey into the material handling and supply chain industry.” MHEFI would like to congratulate the following scholarship recipients: • William Fish, North Dakota State University, Crane Manufacturers Association of America (CMAA) Honor Scholarship, $6,000 • Sarosh Ahmed, University of Toledo, Crane Manufacturers Association of America (CMAA) Honor Scholarship, $6,000 • Ethan O’Connor, Oklahoma State University, Al Wurz Memorial Scholarship, $5,000 • Rahul Sah, Mississippi State University, Al Wurz Memorial Scholarship, $5,000 • Kayleigh Bednar, Kansas State University, Automated Storage & Retrieval Systems (ASRS) Honor Scholarship, $5,000 • Seth Thibodeau, Oklahoma State University, Conveyor & Sortation Systems (CSS) Honor Scholarship, $5,000 • Daniela Elenes, California Polytechnic, Dan Clapp Memorial Scholarship Sponsored by Rack Manufacturers Institute (RMI), $5,000 • Meredith DePuy, Virginia Tech, Frazier Industrial Honor Scholarship, $5,000 • Kyra Glenn, University of NorthTexas George W. Prest Honor Scholarship, $5,000 • Rushang Patel, Texas A&M University, Liz Richards Honor Scholarship Sponsored by MHEDA, $5,000 • Meher Syed, Texas A&M University, Liz Richards Honor Scholarship Sponsored by MHEDA, $5,000 • Justin Anetone, University of Nebraska, Kearney Liz Richards Honor Scholarship Sponsored by MHEDA, $5,000 • Addison Kiteley, Michigan State University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Chase Hakerem, North Carolina State University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Maleigha Long, Iowa State University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Thomas Dean Mount, North Dakota State University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 •Joan Jaiyeoba, Texas Tech University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Matthew Offerman, Bradley University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Katherine Maciejewski, Maine Maritime Academy, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Daniel Dandreo, Kansas State University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Vinithra Seshan, California Polytechnic San Luis, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Bretton Hall, Oklahoma State University, Material Handling Education Foundation, Inc. Honor Scholarship, $5,000 • Christopher Bohm, Lake Superior State University, Richard Dilling Memorial Scholarship, $5,000 • Withanage Praveen Perera, University of Florida, Richard Dilling Memorial Scholarship, $5,000 • Emma Grace Woolsey, Virginia Tech, Rack Manufacturers Institute (RMI) Honor Scholarship Sponsored by ASG, $5,000 • Rae Williamson, Oklahoma State University, Rack Manufacturers Institute (RMI) Honor Scholarship Sponsored by ASG, $5,000 • Matthew Moore, University of Texas Arlington, Rack Manufacturers Institute (RMI) Honor Scholarship Sponsored by ASG, $5,000 • Genevieve Rasmussen, Bradley University, Rack Manufacturers Institute (RMI) Honor Scholarship Sponsored by ASG, $5,000 • Stephen Farley, Penn State University, Willard P. Heddles Memorial Scholarship, $4,800 • Abbey Kirk, Oklahoma State University, Mobile Automation Group (MAG) Honor Scholarship, $4,000 • Austin Yarbrough, University of Missouri-Columbia, The Robotics Group (TRG) Honor Scholarship, $4,000 • Samantha Chiang, Kettering University, The Robotics Group (TRG) Honor Scholarship, $4,000 • Peter Kronebusch, University of Illinois Urbana Champagne, Crane Manufacturers Association of America (CMAA) Honor Scholarship, $3,100 • Elijah Griego, New Mexico State University, Automation Controls Electrification (ACE) Honor Scholarship, $3,000 • Garrett Dickinson, University of Maine, Automation Controls Electrification (ACE) Honor Scholarship, $3,000 • Sydney Herring, Michigan State University, Ergonomics Assist Systems Equipment (EASE) Honor Scholarship, $3,000 • Gabriela McSwieney, Clarkson University, Gorbel Inc. Honor Scholarship, $3,000 • Samuel Sweat, Kansas State University, Protective Guarding Manufacturers Association (ProGMA) Honor Scholarship, $3,000 • Asif Ahmed, Texas Tech University, Protective Guarding Manufacturers Association (ProGMA) Honor Scholarship, $3,000 • Rashed Amad, Virginia Tech, Scan Label Apply Manifest (SLAM) Honor Scholarship, $3,000 • Matthew Carlesi, Worcester Polytechnic Institute, Storage Manufacturers Association (SMA) Honor Scholarship, $3,000 • Madison Harmon, Virginia Tech, Irving M. Footlik, PE Memorial Scholarship, $2,850 • Mollie McKee, Virginia Tech, Loading Dock Equipment Manufacturers (LODEM) Honor Scholarship, $2,850 • Evan Bennett, University of Wisconsin-Superior, LIFT Manufacturers Honor Scholarship, $2,600 • Margaret Stoving, Michigan State University, Bastian Family Scholarship, $2,500 • Ulises Navarro-Luviano, North Carolina State University, Bastian Family Scholarship, $2,500 • Matthew Wells, University of Arkansas, Conveyor & Sortation Systems (CSS) Honor Scholarship, $2,500 • Anna Sidoti, University of Tennessee, Solutions Community Honor Scholarship, $2,500 • Ivan Latinovic, Purdue University, Solutions Community Honor Scholarship, $2,500 • Carolina Remond, University of Arkansas, Southworth International Group Honor Scholarship, $2,500 • Philip Klim, North Carolina State University, St. Onge Company Honor Scholarship, $2,500 • Elan Preis, California Polytechnic San Luis, Seizmic, Inc./LAMHMS Honor Scholarship, $2,300 • Lucas Greazel, University of Mississippi, Expert Crane Honor Scholarship, $2,250 • Kush Patel, University of Tennessee Knoxville, UNEX Manufacturing Honor Scholarship, $2,250 • Blake Bollow, University of Wisconsin, Platteville, Hoist Manufacturers Institute (HMI)/Monorail Manufacturers Association (MMA) Honor Scholarship, $2,100 • Eamon Walsh, George Washington University, Hanel Storage Systems Honor Scholarship, $2,000 • Joel Chon, Rutgers University, Ridg-U-Rak Honor Scholarship, $2,000 • Alexis Denny, Michigan State University, Steel King Industries Honor Scholarship, $2,000 • Julia Fitzgerald, University of Pittsburgh, Brian McNamara Honor Scholarship Sponsored by Southworth International Group, $1,800 • Bryce Bullard, Oklahoma State University, James Galante Memorial Scholarship Sponsored by Southworth International Group, $1,800 • Ashton Parkey, Oklahoma State University, James Indelicato Material Handling Scholarship, $1,500 If you would like to support MHEFI’s mission to provide financial support for educational programs to engage and retain talent for the material handling, logistics and supply chain industry, please donate
Plastics Industry association packs over 21k meals for charity at NPE2024
The Plastics Industry Association announced over 21,000 meals were packed at the first-ever community service event at NPE2024: The Plastics Show, exceeding the association’s goal of 20,000 meals. The event, in partnership with Alliance Specialties and Laser Sales and U.S. Hunger, saw over 70 volunteers, including NPE attendees and exhibitors, come together to make a difference in the fight against hunger. All meals were donated to Orlando’s Second Harvest Food Bank for distribution to the local community. “I’m thrilled we were able to surpass our goal for this event,” said Whitney Taveras PLASTICS’ Director of Industry Engagement (Equipment). “We are grateful for the amazing team of volunteers who packed over 21,000 meals for those in need. The plastics industry is dedicated to supporting local communities and this initiative was a true testament to that mission.” “We were able to accomplish an amazing act of service at NPE2024,” said Tony Demakis, President of Alliance Specialties and Laser Sales. “The event brought people together from across the plastics industry to serve others and make a difference for people in need in the local Orlando area. I’m so proud we exceeded our goal for this event and am thankful to PLASTICS and to all the volunteers.” “We are so grateful to the Plastics Industry Association for choosing to make an impact through U.S. Hunger,” said U.S. Hunger CEO Rick Whitted. “Together, we’ve packed over 21,000 meals for Central Florida families in need, illustrating the power of partnership and community spirit. This extraordinary act of generosity not only addresses immediate hunger relief but also underscores the profound impact we can achieve when industries unite for a common cause.” U.S. Hunger is a 501(c)(3) that has activated more than 950,000 volunteers to distribute over 160 million meals across the globe. We address hunger by engaging volunteers, educating on the root causes of food insecurity, and creating access to nutritious meals for low-income families.
ALAN opens nominations for 2024 Humanitarian Logistics Awards
Annual awards honor extraordinary supply chain relief efforts The American Logistics Aid Network (ALAN) has officially opened nominations for its eighth annual Humanitarian Logistics Awards, and it’s asking for your help in identifying some of this year’s most deserving honorees. “There’s a lot of amazing work that the commercial supply chain community does to facilitate humanitarian relief efforts. But all too often, it goes unrecognized,” said ALAN Executive Director Kathy Fulton. “Our awards were created to spotlight the industry’s generosity and to honor its most compassionate companies and individuals. While ALAN works closely with a lot of these organizations to aid disaster relief efforts, there are still many deserving honorees that we won’t be made aware of – and able to honor – unless someone takes the time to nominate them.” Nominations (including self-nominations) can be made via ALAN’s website between now and June 28th. Winners will be announced this fall at the annual CSCMP Edge Conference. ALAN’s Humanitarian Logistics Awards are open to any logistics professional, academic, organization or department. They are awarded in four key categories, each of which can have multiple honorees: Outstanding Contribution To Humanitarian Logistics Employee Engagement Research And Academic Contributions Lifetime Achievement For a full list of rules and nomination criteria visit https://www.alanaid.org/wp-content/uploads/2018/06/HULA-2024-Nomination-Info-1.pdf Established in 2017, ALAN’s Humanitarian Logistics Awards recognize companies and individuals who exemplify the best that the supply chain profession has to offer by assuring that aid and comfort are rapidly delivered to communities in crisis. Previous winners have included United States Cold Storage, Flexport.org, CEVA Logistics, Palmer Logistics, ARPCO Transport Services, Scotlynn, Vector Global Logistics, Tucker Company Worldwide, Truckstop.com, Dr. Diego Vega, Professor Maria Bessiou, and the students on ALAN’s intern teams from the W.P. Carrey School of Business at Arizona State University, the University of Tennessee, Knoxville, and the University of Wisconsin Madison.
PTDA Foundation launches student and employee scholarships
The demand for skilled professionals in the power transmission and motion control (PT/MC) industry has never been more urgent. Committed to helping PT/MC employers nurture current and upcoming talent, the PTDA Foundation has launched two new scholarships to empower individuals who are passionate about pursuing PT/MC careers. “By providing financial support by way of scholarships, we want to build the robust pipeline of talent needed to foster employee growth and ensure the industry has the expertise it needs to thrive,” says 2024 PTDA Foundation President Matt Pavlinsky, Applied Industrial Technologies. “We believe targeting individuals with a demonstrated interest or commitment to pursuing work in PT/MC-related fields will help ease some of the burden of employers struggling to find qualified candidates.” The new student scholarship provides financial support to those who are considering or currently pursuing an education in PT/MC related fields. Applicants must be currently enrolled or recently accepted as a student at a trade school, technical school, community college or four-year university in fields relevant to the PT/MC industry. Up to five $3,000 scholarships will be awarded. The employee scholarship provides financial support to individuals currently employed full-time at a PT/MC distributor or manufacturer in North America. Applicants must also be currently enrolled or recently accepted as a student at any level at a trade school, technical school, community college or university, and must be studying PT/MC related fields in engineering, technology or business. Up to five $2,500 scholarships will be awarded. Applications for both scholarships can be found online at ptworkforce.org/scholarships The application deadline is July 1, 2024. Awardees will be selected in August.
April 2024 Logistics Manager’s Index Report® LMI® at 52.9
Growth is INCREASING AT AN INCREASING RATE for: Inventory Costs, Warehousing Capacity, and Transportation Capacity. Growth is INCREASING AT A DECREASING RATE for: Inventory Levels, Warehousing Utilization, Warehousing Prices, and Transportation Utilization. Transportation Prices are CONTRACTING. The Logistics Manager’s Index reads in at 52.9 in April 2024. This is down (-5.4) from March’s reading of 58.3, which was the highest rate of growth in 18 months. While this still indicates growth in the logistics industry, this breaks what had been four consecutive months of increasing rates of expansion and is the slowest rate of growth observed so far in 2024. The slowed pace of growth is driven by a significant decrease in the expansion of Inventory Levels (down 12.8-points to 51.0 which is the most marginal level of expansion). This has cascading effects across the supply chain, as lower levels of inventory led to a loosening of both Warehousing (+9.4) and Transportation (+1.8) Capacity, slower expansion for Warehousing Utilization (-8.5), and most importantly, Transportation Prices moving back into contraction at a rate of 44.1. There had been signs that the transportation market was moving back towards equilibrium. However, with the movements in our transportation metrics, Transportation Capacity is now 17.3-points higher than Transportation Prices (61.4 to 44.1) indicating that we are still firmly in a state of freight recession. There is some nuance to these movements however, as we saw that transportation, and the logistics industry overall were much stronger in the second half of the month. Transportation Prices jumped 27.3-points (back into expansion at 54.8) and Transportation Capacity dropped by 10.1-points (down to 57.4) in the back half of April. This may be reflective of seasonal restocking of summer items, or increased hopes that interest rates could come down in late summer after reading the tea leaves of the most recent Federal Reserve meeting. Whatever the cause, it is clear that the logistics industry was much stronger in the second half of April. It will be interesting to see if that trend continues into May, or if there were other forces at work causing some type of aberration. On that front, it should be noted that the second half of April is much more consistent with recent trends than the sharp contraction we observed in the first half of the month. Researchers at Arizona State University, Colorado State University, Florida Atlantic University, Rutgers University, and the University of Nevada, Reno, and in conjunction with the Council of Supply Chain Management Professionals (CSCMP) issued this report today. Results Overview The LMI score is a combination of eight unique components that make up the logistics industry, including: inventory levels and costs, warehousing capacity, utilization, and prices, and transportation capacity, utilization, and prices. The LMI is calculated using a diffusion index, in which any reading above 50.0 indicates that logistics is expanding; a reading below 50.0 is indicative of a shrinking logistics industry. The latest results of the LMI summarize the responses of supply chain professionals collected in April 2024. The LMI read in at 52.9 in April, down (-5.4) from April’s reading of 58.3. While this is lower than what we had seen in any of the readings in Q1, this is still indicative of expansion and is the eighth time in the past nine months that we have recorded growth in the overall index. As mentioned above, this dip was largely a function of the pullback we saw from late March to mid-April when the overall index actually contracted. However, there was a recovery from this in late April when the index was significantly higher than earlier in the month (moving from contraction at 46.8 to growth at 56.5). Whether the rest of Q2 looks more like that fallow period, or like the robust growth we saw later in the month will have a significant impact on the direction of the economy as we head into summer. The motif of optimism that is still high, if not slightly dimmed, is reflected in the University of Michigan’s Consumer Sentiment Index. Consumer sentiment was down slightly from March but remained high overall at 77.2 – which is up 17.5 points from a year ago. Consumers have been consistently optimistic on the economy throughout 2024, with all four readings from this year falling within a range of 2.5 points[1]. Likely the most important piece of economic information from April was the job report that was released last Friday. This so-called “Goldilocks” report states that 175,000 jobs were added in the U.S. in April. This is down from the 300,000 that were added in March (and the 240,000 that were predicted). Of the 175,000 jobs added in April, 22,000 were in the transportation and warehousing sector, reflecting the moderate rates of continued growth in the logistics industry. This slowdown is at least partially due to high employment participation, the 8.5 million unfilled job openings that employers reported on the last day of March is the fewest since early 2021[2]. It also suggests that the economy is growing at a more sustainable rate, and the stock market was up as traders are hoping this signal will allow the Fed to lower rates sometime in Q3[3]. When rates do eventually come down it is unlikely that they will be to the levels around 2.5% that had been common since the recession of 2008. The ongoing investment into green energy and AI has led many analysts to predict that the engines of growth in the economy mean that the Fed will set the current “neutral rate” (also known as r*), somewhere in the 3%-4% range[4]. So, while it is reasonable to expect rates to come down in 2024, it is unlikely that they will come down to their pre-covid levels. While there are some issues, the underlying strength of the U.S. economy contrasts with much of the rest of the world. According to the International Monetary Fund, the U.S. economy will account for 26.3% of GDP in 2024, which is the highest level in almost 20 years.
Presence: A key to effective leadership and an emergent culture
The world is transforming faster than ever. Many employees and leaders are feeling overwhelmed by rapidly evolving markets, a new generation entering the workforce, and the impact of the digital age. To adapt to these changes and continue to enable your organization to grow, you first need to look within. It all begins with presence. What does presence mean to you and do you know how to experience what it is to be present in this moment right now? What is Presence? Presence is about relearning how to be in the world and fully engaging in all of life’s unique moments. Many people are unproductive and unhappy because they haven’t learned to slow down and maximize their effectiveness or optimize their innate intelligence. The impact of this extends beyond just the individual; the people around you, the people you lead, and the culture of the organization are all impacted by someone who isn’t clear and grounded (not present). There are four main areas of development to consider when it comes to equipping yourself to be present. Focus on Full Presence The working world is full of things that can take you out of the present moment. Multitasking, keeping your cell phone on, constantly checking your emails, and having many open windows on your computer are all things that distract people. Cognitive overload is the result of these distractions, leading people to experience an inability to focus and stay on track, bouts of agitation, and increased distress, culminating in decreases in productivity and strained work relationships. No matter the skill or competence level, when a human being has too many things to keep track of, it’s difficult to focus and complete tasks. The impacts of distractions and cognitive load are not limited to productivity and relationships with others either. A Harvard study found that mind wandering is also an indicator of a person’s happiness. The more present someone was, the happier they reported themselves to be. One of the most important things to do to get present is to remove yourself from the world of distraction. Attempt to implement some liberating constraints, such as turning your cellphone off during periods of focus, signing out of your email account and only logging in during scheduled email sessions, keeping only 1 or 2 windows open on your computer, and blocking out time to focus on specific tasks or projects. Another way to keep yourself on track and in a present state of mind is to know, understand, and experience what your ultimate purpose is and define what it looks like to operate in alignment with that purpose. When you do that, you give yourself the opportunity to tune in to what is important and how to work in service of that purpose. Embrace Childlike Wonder Childlike wonder is being completely immersed in the world around you. It’s about coming from an open/neutral perspective, getting curious, asking questions, and being aware of when you are judging and evaluating. Many people become entrenched in their perspectives, beliefs, preferences, points of view, etc. as they grow up. To be fully present with others, you have to let go of your inherent or historical biases. Otherwise, it’s as if you are viewing the world with orange-tinted glasses. Everything you experience is tinted orange because that’s how you see and perceive. In this mindset, you won’t be able to accept new and different ideas or engage with others you speak to. When it comes to childlike wonder, it’s about setting aside all biases, agendas, perceptions, and beliefs about how things are going to go and being curious so you can truly connect and interact with others as an “empty vessel”. When you are empty of perceptions, preferences, judgments, biases, and beliefs, you are truly able to meet people where they are and enable them to not only feel like they are contributing but to actually contribute. Master Sensory Acuity Sensory acuity is using all our senses to observe the world around us to gather detailed information about the present moment. This is especially important for communication because there are other factors that contribute more to understanding someone than just their words. In fact, words make up only about 7% of communication. Mastering sensory acuity requires using your other keen senses to expand how you see, perceive, understand, and communicate with others. Things like tonality, where their eyes are looking, what color their face is (i.e. blushing), the shape of their mouth, and how they are standing or sitting are all indicators of the way someone feels that is not communicated through their words. Developing this skill requires you to focus entirely on the person with whom you are communicating with. Mastering this not only allows you to read people at a higher level, but to also understand and relate to them in a deeper manner, which is directly related to the fourth category. Develop Rapport Developing rapport is essential to cultivating healthy and harmonious relationships with those you work with and those in your personal life. Rapport is about understanding and respecting the feelings of others and in doing so, strengthening your ability to work together. Developing rapport requires you to establish trust. To do that you need to be able to offer support, communicate effectively, and follow through with what you say. The number one way to break trust is to make promises you can’t or don’t keep. When you can’t keep a commitment, make sure to alert people affected by it as soon as you know. Life gets in the way sometimes. People will understand that a lot better when they are notified in advance of you breaking your agreement. Be Present to the World Around You and Elevate Your Leadership and Culture Presence at work is about being attuned to the task, function, or project you’re working and the people around you. To be a high-performance leader and to cultivate an emergent culture, it’s crucial that you make developing presence a core tenet of
NRF statement on proposed Warehouse Safety Bill
The National Retail Federation today issued the following statement from Executive Vice President of Government Relations David French after members of Congress announced plans to introduce the “Warehouse Worker Protection Act.” “Data from the Occupational Safety and Health Administration (OSHA) have consistently shown that warehouse workplaces are safe workplaces. NRF member companies are continually investing in better practices, more modern equipment, and innovative employee engagement efforts to make these workspaces as safe as possible. “Despite that, this legislation would overturn decades of employment and labor law, erode employers’ private property rights and unjustifiably expand the federal government’s intrusion into American workplaces. “The bill mandates that OSHA promulgate an ergonomics standard, despite a 2001 law passed by bipartisan majorities in both houses of Congress that permanently barred OSHA from regulating ergonomics for numerous reasons, including the impossibility of separating workers’ pain from away-from-work life activities, a lack of clear scientific evidence to support such a standard and the massive costs. There is no new rationale for undoing Congress’ prohibition, and NRF strongly opposes this bill.” As the leading authority and voice for retail, NRF will continue to advocate for workplace rules that promote workplace flexibility and economic growth.
Longtime safety expert honored as ASSP Fellow
The American Society of Safety Professionals (ASSP) has bestowed the honor of Fellow on Daniel G. Hopwood, who has made significant contributions to the occupational safety and health profession for decades. He is the 2024 recipient of the Society’s highest honor, becoming the 147th Fellow since the world’s oldest professional safety organization was founded in 1911. “ASSP Fellows are an elite group of influential safety leaders who have played key roles in improving workplace environments as well as the safety and health profession overall,” said ASSP President Jim Thornton, CSP, CIH, FASSP, FAIHA. “Dan is a highly respected expert who has broadly helped prevent injuries, illnesses and fatalities on the job.” Hopwood, M.P.H., CSP, SMS, ARM, CBCP, FASSP, is vice president and director of risk control field services at Sompo, North America. An ASSP member since 1978, Hopwood has worked throughout his distinguished career as a risk manager, instructor, keynote speaker, author, technical expert and occupational safety and health advocate. He is an expert at developing methodologies for crisis management and business continuity planning. He also serves on the board of directors for the Board of Certified Safety Professionals. “As a senior member of our team, Dan develops safety programs, conducts incident investigations and provides extensive safety and health training,” said Christine Sullivan, CSP, ARM, former ASSP president and current executive vice president and head of risk control at Sompo. “He is a true collaborator who is always willing to share his expertise with colleagues and mentor industry newcomers.” Hopwood has taught undergraduate and graduate safety courses for 25 years, including time at Cuyamaca Community College, San Diego City College and San Diego State University, all in California. As a result, he has advanced the workplace safety and health profession and has profoundly impacted the careers of many students. Hopwood has guided thousands of professionals through his many writings and by leading dozens of educational and training sessions at national conferences and seminars. He authored the book “Safety & Health Management: Essential Considerations for Human Resources and Allied Professionals” and co-authored “Workplace Safety: A Guide for Small and Midsized Companies.” He also has written chapters in several other books and has been published in more than 25 journals, magazines and professional publications. As an ASSP volunteer leader, Hopwood has served at the local, regional and Society levels. He is past president of the San Diego Chapter and former Region I vice president. He was the San Diego Chapter Safety Professional of the Year in 2012 and earned ASSP’s Charles V. Culbertson Outstanding Volunteer Service Award in 2017. “Dan is a constant advocate who serves our profession with impartiality and a moral compass that makes the world a better place,” said Jose Perez, CSHM, CIT, SMS, OHST, CHST, an area director in ASSP Region I. “Many have experienced the value he brings to the humanity of our profession through his equitable and inclusive leadership. His exemplary approach and positive influence make others feel welcome, visible and heard.”
PTDA hosts Industry Immersion Conference
The Power Transmission Distributors Association (PTDA) held the first Industry Immersion Conference in Hollywood Florida on February 29. This one-day intensive program—developed and led by power transmission/motion control (PT/MC) practitioners—aimed to advance the professional perspectives, experience and confidence employees and emerging leaders need to cultivate successful relationships within the industry. “Successful business teams and relationships don’t just happen, they are cultivated,” said Industry Immersion Task Force Chair John Newman, BDI. “This conference equipped those new to the PT/MC industry with the tools and skills needed to build and sustain the relationships essential for becoming a solutions-oriented partner.” Michael Cinquemani, CEO, Master Power Transmissions, Inc., facilitated the conference, which included plenty of face-to-face networking, plus: Panel discussions led by industry veterans who shared their experience and tips for navigating meaningful and productive relationships with colleagues, peers and current or prospective customers. Interactive sessions to help participants understand the “why” and “how” of creating a personal brand and ways to leverage it to networking and, ultimately, develop relationships built on trust. An overview of critical PTDA resources and programs to aid in building industry knowledge so to strengthen customer service and sales skills. “I learned a lot about not only how to build successful relationships within the industry but also what a successful relationship looks like, which was very insightful,” says Melissa Fuentes, RBI Bearing Inc. “I enjoyed the opportunity to connect with other new and some familiar faces,“ says Chris Myer, G&G Manufacturing Company. “Putting the networking skills taught in practice were great in demonstrating to how to market yourself and start new conversations.”
National Safety Stand-Down to prevent falls is May 6-10
The American Society of Safety Professionals (ASSP) encourages safety professionals and employers to raise awareness and participate in the 11th annual National Safety Stand-Down to Prevent Falls in Construction on May 6-10. The observance is part of a year-round campaign led by the Occupational Safety and Health Administration (OSHA). Falls from height are the leading cause of death for construction workers, with more than 350 fatalities and 20,000 serious injuries occurring each year, according to the U.S. Bureau of Labor Statistics. Workers face risks on roofs, above floor openings and even at lower levels. “No matter the job, worker injuries and fatalities are preventable,” said fall protection expert Thom Kramer, P.E., CSP, vice president of finance on ASSP’s Board of Directors. “Companies can create safe environments by using prevention through design principles, providing the right equipment and training everyone involved. It’s also a great idea to implement a fall protection program that follows our recently updated Z359.2 consensus standard.” Construction companies can recognize the stand-down that week by briefly stopping work and giving a toolbox talk; performing a safety equipment inspection; conducting a rescue planning exercise; or discussing job-specific hazards. It’s important that all workers be outfitted with proper-fitting personal protective equipment (PPE). ASSP encourages the use of #StandDown4Safety in social media to share stories and recommendations during the weeklong observance, which coincides with National Construction Safety Week. It has helped train more than 10 million workers on fall prevention since its inception in 2014. Organizations of all sizes have participated over the years, including the U.S. military, highway construction companies, and residential contractors. OSHA offers several resources for conducting a safety stand-down, including infographics and articles about construction risks and fall protection; publications about ladder safety; fall protection videos; and hardhat stickers and hazard alert cards. Materials on working safely at height are available in English and Español. “Safety and health professionals should encourage their organizations to take an active role in the stand-down,” Kramer said. “And sharing how your company is participating may inspire others to get involved.” OSHA’s many partners in the stand-down include ASSP, the National Institute for Occupational Safety and Health (NIOSH), the National Occupational Research Agenda (NORA), the Center for Construction Research and Training (CPWR), and the National Safety Council.
Staffing employment holds steady in April
New Starts Down and Four-Week Average Down From Prior Week Staffing employment held steady during the week of April 8-14, with the ASA Staffing Index edging up just slightly to hold at a rounded value of 90. Staffing jobs were down 7.6% from the same period last year; and staffing firms cited school breaks and temporary-to-permanent conversions as factors that hindered further growth. New starts in the 15th week of the year decreased by 7.6% from the prior week. More than four in 10 staffing companies (42%) reported gains in new assignments week to week. The ASA Staffing Index four-week moving average decreased from the prior week to hold at a rounded value of 90, and temporary and contract staffing employment for the four weeks ending April 14 was 8.0% lower than the same period in 2023. “Further normalization in post-pandemic labor supply and demand has enabled staffing employment to reach a steady equilibrium, as evidenced by the ASA Staffing Index holding firm around a value of 90 for 10 consecutive weeks. However, there is still plenty of room for growth in 2024; tailwinds such as interest rate cuts by the Federal Reserve and further moderation in inflation have the potential to shake up the labor market,” said Noah Yosif, chief economist at ASA. This week will be used in the April monthly employment situation report scheduled to be issued by the U.S. Bureau of Labor Statistics on May 3. The ASA Staffing Index is reported nine days after each workweek, making it a near real-time measure of staffing employment trends. ASA Staffing Starts are the number of temporary and contract employees placed in new assignments during the reporting week. ASA research shows that staffing employment has historically been a coincident economic indicator.
U.S. Rail Traffic report for the Week Ending April 20, 2024
The Association of American Railroads (AAR) has reported U.S. rail traffic for the week ending April 20, 2024. For this week, total U.S. weekly rail traffic was 474,544 carloads and intermodal units, up 0.8 percent compared with the same week last year. Total carloads for the week ending April 20 were 216,945 carloads, down 6.7 percent compared with the same week in 2023, while U.S. weekly intermodal volume was 257,599 containers and trailers, up 8.2 percent compared to 2023. Seven of the 10 carload commodity groups posted an increase compared with the same week in 2023. They included motor vehicles and parts, up 2,236 carloads, to 16,877; petroleum and petroleum products, up 2,119 carloads, to 10,754; and forest products, up 686 carloads, to 8,427. Commodity groups that posted decreases compared with the same week in 2023 were coal, down 20,796 carloads, to 47,472; nonmetallic minerals, down 854 carloads, to 31,781; and metallic ores and metals, down 704 carloads, to 21,100. For the first 16 weeks of 2024, U.S. railroads reported a cumulative volume of 3,408,295 carloads, down 4.6 percent from the same point last year; and 4,025,328 intermodal units, up 9.1 percent from last year. Total combined U.S. traffic for the first 16 weeks of 2024 was 7,433,623 carloads and intermodal units, an increase of 2.3 percent compared to last year. North American rail volume for the week ending April 20, 2024, on 10 reporting U.S., Canadian and Mexican railroads totaled 330,830 carloads, down 4.1 percent compared with the same week last year, and 346,266 intermodal units, up 7.1 percent compared with last year. Total combined weekly rail traffic in North America was 677,096 carloads and intermodal units, up 1.3 percent. North American rail volume for the first 16 weeks of 2024 was 10,466,666 carloads and intermodal units, up 2.1 percent compared with 2023. Canadian railroads reported 96,737 carloads for the week, up 3.8 percent, and 75,954 intermodal units, up 6.0 percent compared with the same week in 2023. For the first 16 weeks of 2024, Canadian railroads reported a cumulative rail traffic volume of 2,556,647 carloads, containers, and trailers, up 0.3 percent. Mexican railroads reported 17,148 carloads for the week, down 11.2 percent compared with the same week last year, and 12,713 intermodal units, down 6.8 percent. Cumulative volume on Mexican railroads for the first 16 weeks of 2024 was 476,396 carloads and intermodal containers and trailers, up 9.0 percent from the same point last year. View the weekly rail traffic charts.
Marketing shouldn’t always sell
There’s been a recent push (most likely by the bean counters) to establish a direct ROI for marketing efforts. I can understand this thinking. Advertising and marketing are expensive. The adage of “half of all marketing spend is wasted, we just don’t know which half” makes sense, if you’re looking at waste in an immediate return sense. You spend $X on advertising and marketing this quarter and only get $Y in sales. As a numbers person, you’d want to invert that balance. But the problem is, that’s not the only purpose of marketing and advertising. For example, British Airways launched a new outdoor ad campaign, showing a child peering out the window of a plane in flight. The billboards don’t include a logo, QR code, tagline, or call to action. It doesn’t “sell” in the traditional sense. But that’s the point. In a world where executives sit around a board room, evaluating the marketing team’s concepts and stating, “Make the logo bigger”, “We need a call to action”, “Make the product image larger”, “Show the URL”, and “We need to list our features and benefits”, are those thinking about the beans – not how consumers operate and make decisions, or how to create perceptions or build trust and recognition. It comes across as a bit pompous. It’s like saying, “We need to talk as much about ourselves as possible”. A truly expert strategic marketer understands how a company needs to take a unique position and orientation and use marketing to capitalize on it. You see, British Airways isn’t oriented as the low-price leader. So advertising features, benefits, and other amenities would amplify the price narrative – in essence, we have more stuff, but we’re more expensive. So instead, the marketing strategy focused on shifting the narrative around their unique orientation – that experience is their differentiator, and it would be a step down to consider anything else. And they illustrated that experience rather than simply stating it in a bold, sans-serif font. Engaging consumers isn’t just about incessantly promoting features and benefits, but consistently reinforcing what makes you distinctly different in a way that connects with people. Over the last few decades, in the spirit of saving money, companies have continued to hire more and more junior staff, who see “cool” ads and simply try to replicate them, to little success. Remember, if someone knows how to use Canva, it doesn’t mean they are a designer, marketer, or strategist. Just like if someone knows how to use QuickBooks, it doesn’t mean they are a financial expert. It’s not about simply being cool, quirky, funny, or catchy. A unique orientation is inherent to a solid, well-thought-out foundation for a bigger strategy. Without it, the default is run-of-the-mill marketing that pushes features and benefits ad nauseum. Take Walmart, which sets the bar for low price expectations. So a competitor like Target instead focused on a better customer experience orientation. And their marketing focuses on reinforcing and shifting the narrative from “Is it worth paying more for Target?” to “I love Target. Do I want the hassle of going to Walmart?” Marketing strategy, just like a financial strategy, requires a level of experience and expertise that goes beyond the implementation of familiar tactics. And just like any good monetary strategy, returns can take time to manifest. Organizations need to start thinking about marketing less as a transactional sales tool and more as a mindset-changing, narrative-changing tool. Just like short-term versus long-term investing, you can make some quick gains from some lucky stock picks, but the people who make real money are focused on the long game. About the Author Andrea Belk Olson is a keynote speaker, author, differentiation strategist, behavioral scientist, and customer-centricity expert. As the CEO of Pragmadik, she helps organizations of all sizes, from small businesses to Fortune 500, and has served as an outside consultant for EY and McKinsey. Andrea is the author of three books, including her most recent, What To Ask: How To Learn What Customers Need but Don’t Tell You. She is a 4-time ADDY® award winner and host of the popular Customer Mission podcast. Her thoughts have been continually featured in news sources such as Chief Executive Magazine, Entrepreneur Magazine, Harvard Business Review, Rotman Magazine, World Economic Forum, and more. Andrea is a sought-after speaker at conferences and corporate events throughout the world. She is a visiting lecturer and startup coach at the University of Iowa, a TEDx presenter, and TEDx speaker coach. She is also an instructor at the University of Iowa Venture School.
NRF statement on the final overtime rule
The National Retail Federation has issued the following statement from Executive Vice President of Government Relations David French after the Department of Labor’s (DOL) final overtime rule was released. Originally proposed in Sept. 2023, the rule will increase — in two steps — the minimum annual salary threshold that determines overtime pay eligibility under the Fair Labor Standards Act. “NRF acknowledges the steps that DOL took to phase in the full impact of the new rules in response to employer concerns. The delay in full implementation of the new higher threshold, for example, will enable retailers to prepare for the full impact of the rule more thoroughly. We remain concerned, however, that the new rules curtail retailers’ ability to offer the most flexible, generous, and tailored benefits packages to lower-level exempt employees across the industry. “We are also concerned that the Department has not provided adequate time for retailers to implement changes to the first phase of the rule, which will increase the minimum salary threshold from $35,568 to $43,888 by July 1, 2024. We urge the Department to allow until at least Sept. 1, 2024, to implement this change. “Even with the phased-in implementation timeline, the new rules will cause employers to reexamine compensation packages for millions of workers nationwide. Some workers may lose the status of a managerial position. Some may lose much-desired flexibility as to when, how, and where they work, including the ability to work from home. Some may lose the capability to travel on the employer’s behalf. Some may lose valuable educational and training experiences. “Finally, retailers remain concerned that the inclusion of future automatic increases exceeds the Department’s legal authority and oversteps longstanding Fair Labor Standards Act and Administrative Procedure Act principles.” In Nov. 2023, NRF submitted comments to DOL opposing its proposed rule on overtime regulation. Additionally, NRF commissioned Oxford Economics to analyze the economic effects if implemented, which found that the proposed rule could impact more than 7.2 million workers. As the leading authority and voice for retail, NRF will continue to advocate for workplace rules that promote workplace flexibility and economic growth.
What is the Reality of Selling? The way you do the things you do
Jeffrey, what’s the easiest way to make a sale?Jeffrey, what’s the best way to make a sale?Jeffrey, what’s the fastest way to make a sale? Same answer: there is none. There is no easy, best, fast way to make a sale. There are a million ways to make a sale but it’s not with a method or system. There are elements that get you there. Here are 13.5 strategies and principles (elements) that will help you get to the substitute for an easy, best, fast way to make a sale – a way to earn the sale. 1. As in life, you start with a philosophy. Mine is…I give value first, I help other people, I do my best at what I love to do, I establish long-term relationships with everyone, and I have fun (and I do that every day). What’s yours? Do you have one? Your core philosophy is what drives you into the sale and leads the prospect to an understanding of why you’re there. 2. The most important word in selling is YOU. Prospects don’t buy products and services. First, they buy salespeople. The first sale that’s made is “YOU.” Are they buying you? 3. Know “why you’re selling”, know your own WHY first. Your “why” supports and strengthens your belief system. When “why” is clear, everything is clear. NOTE: Your real why may be 3 or 4 “why’s” deep. Why are you in sales? “I’m in sales to make more money.” Why? “I need more money to support my family.” (closer) Why? “Two of my kids start college in the next two years, and I want them to be able to choose a school based on quality of education not price of education. (Aha! the real “why!”) Before you can affect others, you must get real with yourself. Do you know your real why? 4. The sale is in your head. The mindset by which you approach the sale will determine its outcome more than any other element of the selling process. Do you think “yes”? 5. Develop a belief system that can’t be penetrated. Believe in your company, your product, and yourself, or you won’t sell. Do you believe in you? 6. Develop a selfish attitude about being the best. Know who the most important person in the world is you. Unless you’re the best you can be for yourself, you’ll never be the best you can be to serve others. Don’t cheer for athletes’ cheer for yourself. You deserve it. Are you always striving to be your best? 7. Be your own Santa Claus. Provide your own gifts and toys. Give yourself whatever you want. Most of us don’t get what we want for Christmas unless we tell someone what we want or if you’re like me, go buy it yourself. For me, every day is Christmas, know why? I deserve it. What gifts have you given yourself? 8. Know “what you sell” in terms of the customer not in terms of you. People don’t care what you do unless they perceive it helps them. The way you explain your business and product determines the buying interest you create say it in terms of the prospect, not your company. Are you selling, or are they buying? 9. Sell it as if you were selling it to your own son or daughter. Give advice with it, help learn it, and the advantages of using it. Protect them. Who are you selling to? 10. Know your competitive advantages; learn them from your customers. The definition of competitive advantage is something that’s extremely important to your customers at which you excel (competitive advantage has nothing to do with the competition). Do you know your competitive advantages? 11. People buy for their reasons, not yours. Find out theirs first. Establishing their “why” is the basis of determining their true need(s). When you’re presenting, is it more than 50% about them? 12. Ask the wrong questions and get the wrong answers. The way you question will determine the way you sell. Refine yours every week, until their power is evident by the increase in your sales. Any questions? 13. Develop and ask questions that make the prospect think about themselves and answer in terms of you. Make them evaluate new information. Get them to give you answers in the form of information about themselves in terms of your product or service. What questions are you asking? 13.5 Transition from a salesperson to a resource. Become valuable. The more value you bring, the higher you’ll go. To become valuable, you must give value first and make the prospect perceive greater value than price, quality, and service. If two people offer the same product at the same price and give the same service, the one with the greater perceived value wins. How much value do you bring to your prospects and customers? Selling is a never-ending learning process. There is no one way to sell. If you seek to master the science of selling, you must master the elements one by one. Learn one a day and in five years, you will be the master of more than 1,000 elements and still take weekends off. About the Author: Jeffrey Gitomer is the author of twelve best-selling books including The Sales Bible, The Little Red Book of Selling, and The Little Gold Book of Yes! Attitude. His real-world ideas and content are also available as online courses at www.GitomerLearningAcademy.com. For information about training and seminars visit www.Gitomer.com or email Jeffrey at salesman@gitomer.com or call him at 704 333-1112.