DETROIT—The Southeast Michigan Purchasing Managers Index (PMI) dipped slightly once again in June 2016, losing 1.1 points to 58.8. This is two straight months of decline after an April high of 62.7. However, the PMI’s three-month average remained steady at a robust 60.5. A PMI above 50 is considered an indication of an expanding economy.

“The new orders, production and employment indices helped drive the strong results in July,” said Tim Butler, associate professor of supply chain management in Wayne State University’s Mike Ilitch School of Business, who interpreted this month’s results.

The PMI has not fallen below 50 since June 2014, indicating a resilient regional economy. Still, the area’s purchasing managers are keeping their eyes on potential national and international impacts.

“While survey respondents were overwhelmingly optimistic about the stability of the regional economy, individual respondents still mentioned the potential impacts of things like the recent Brexit vote and – to a greater extent – the fall 2016 election” said Kenneth Doherty, assistant vice president of procurement and strategic sourcing at WSU and an Institute for Supply Management board member.

The Southeast Michigan Purchasing Managers Index (PMI) is a research partnership between Wayne State University’s Mike Ilitch School of Business and the Institute for Supply Management – Southeast Michigan.

The full report can be found at http://www.ism-sem.org/resources/files/Report-on-Business_June-2016.pdf.                                                           

The Institute for Supply Management – Southeast Michigan serves its members as an affiliate of the Institute for 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. Visit their website at http://www.ism-sem.org.

The Wayne State University Mike Ilitch School of Business prepares students for challenging and rewarding careers, advances the boundaries of scholarly and practitioner knowledge, and enhances the economic vitality of the city of Detroit, the state of Michigan and beyond through its programs, research and community engagement. Established in 1946, the business school was renamed in 2015 in recognition of a $40 million gift from Mike and Marian Ilitch. Thanks to this lead investment, a new state-of-the-art building is slated to open in the heart of the District Detroit in 2018, and entrepreneurial programming and collaboration with city businesses are expanding. For more information, visit ilitchbusiness.wayne.edu.