Purchasing Managers Index
The Wayne State University School of Business Administration and the Institute for Supply Management – Southeast Michigan (ISM-SEM) partner each month to produce the Southeast Michigan Report on Business and its economic indicator — the Southeast Michigan Purchasing Managers Index (PMI).
The Southeast Michigan PMI and Report on Business compiled by Wayne State and ISM-SEM are regional versions of a national PMI and Report on Business released each month by the Institute for Supply Management.
What is the PMI?
The PMI is a composite index derived from changes in seven economic indicators measured through a survey of purchasing managers representing manufacturing and non-manufacturing industries in Southeast Michigan.
The Report on Business summarizes and interprets the survey responses.
What does the PMI measure?
The PMI measures seven economic indicators. They include production, new orders, raw materials inventory, finished goods inventory, employment, vendor deliveries and commodity prices.
The survey also contains a confidence element, asking respondents their expectations for the stability of the business environment over the following six months.
What do the PMI results mean?
The PMI is often considered an early indicator of developing economic conditions.
For instance, a series of consecutive increases in the PMI often means improving economic conditions within the region are on the horizon.
Many groups of people, including policymakers, forecasters and investors, use the report to obtain an early read on developing economic conditions.
Who's involved with the PMI?
The Wayne State team that works on the PMI includes members of the Global Supply Chain Management faculty:
Together with the Wayne State team, the ISM-SEM assists in producing, distributing and promoting the Business Report and PMI each month.
About the ISM-SEM
The ISM-SEM serves its members as an affiliate of the Institute of Supply Management by providing superior opportunities for education, networking and career enhancement as a means of advancing and promoting the leading edge practices and profession of purchasing and supply management.
