March 7, 2013
Prime Advantage, a buying consortium for midsized manufacturers, Chicago, has released the findings of its eleventh semi-annual Group Outlook Survey, revealing financial projections and top concerns of its member companies for 2013. The survey results show manufacturers are optimistic about revenues and plan to retain or increase their workforces.
Sixty-eight percent of respondents expect revenues to increase in 2013, and 87 percent expect capital expenditures to grow or remain constant in 2013, with 39 percent planning to spend more than 2012 levels. Forty-three percent of companies plan to hire more employees in 2013, and 52 percent plan to maintain current employment levels.
The cost of raw materials is a concern and is among the top cost pressures for 90 percent of manufacturers; 42 percent cited this concern in the leading position. Healthcare costs moved into second place among top cost pressure concerns, with 57 percent of respondents including it in the top three.
Companies are seeking the benefits of near-shoring. In the past 12 months, more than one-in-five respondents have brought international sourcing closer to U.S.