Tag Archives: growth

West Michigan economy continues modest growth, shows promise

3-bottom, Citizen Journalism, Finances, Going Local, Kent County, West Michigan, , , ,
Key metrics show upward tick for the third consecutive month (Courtesy, pxhere.com)



By Brian Vernellis

GVSU Communications


A survey of West Michigan businesses and managers conducted by a Grand Valley State University (GVSU) researcher shows a promising trend of modest economic growth for the region’s economy.

Key metrics in the monthly survey conducted by Brian Long, Director of Supply Management Research at the Seidman College of Business, ticked upward for the third straight month. Despite this positive trajectory, some of April’s respondents approached the year’s second quarter with caution.

Maintaining momentum

(Courtesy, pxhere.com)

Long’s survey of the region’s purchasing managers pointed toward two pivotal indices rising in April. New orders, or business improvement, rose six points while production, or business output, climbed 14 points.

Long said industries like auto parts suppliers and office furniture manufacturers are maintaining their momentum, despite challenges in the global supply chain.

“I do believe that at least some of our statistics will moderate as the summer moves along, but there’s still no sign of an impending doom even if the economy does slow down some, which is what the Federal Reserve wanted to happen,” said Long. “They just don’t want it to slow down too much.”

Continued caution among survey respondents

Even with the encouraging numbers in the GVSU survey, Long noted that among surveyed respondents the mood was decidedly reserved, pointing toward slower growth over the next few months.

“Locally, our current statistics depict stable growth, but our April anecdotal comments from our survey participants continue to grow more cautious,” Long said. “In general, the survey respondents now expect slower growth for the next few months, but still little probability of a recession for the rest of 2024.”


(Courtesy, pxhere.com)

West Michigan key index results

Here is a look at the key index results from April’s survey of West Michigan businesses: 

  • New orders index (business improvement): +16 vs. +10 in March 
  • Production index (output): +16 vs. +2 in March 
  • Employment index: +7 vs. +9 in March 
  • Lead times index: -15 vs. -2 in March 

More information about the survey and an archive of past surveys are available on the Seidman College of Business website.

Biannual regional economic snapshot reveals expected growth in 2022

3-bottom, Citizen Journalism, Local Business, , , ,

By WKTV Staff
joanne@wktv.org

The Right Place team that lead the survey included Brent Case, Vice President, Business Attraction; Eric Icard, Senior Director, Business Development, Olivia Lancto, Coordinator, Business Development, and Rafael Martinez, Manager Business Intelligent and Research (Supplied)

West Michigan business leaders are reporting strong confidence in the health of their companies and the economy at large, according to a March survey of 138 local companies by The Right Place.

Over the course of a year, The Right Place typically meets with more than 400 local companies. However, the economic development organization recently began intensifying its outreach by committing to meet with at least 100 companies in March and October of 2022. During these meetings, Right Place team members talk with companies about their plans and any barriers to growth they may be facing. While the details of individual meetings are confidential, The Right Place gathers qualitative data in aggregate form to provide a snapshot of regional business sentiment.

 

“In March, our team met with the leaders of 138 area companies, which is the highest number of business visits ever recorded by The Right Place in a single month,” said Randy Thelen, President and CEO, The Right Place, Inc. “Through these meetings we were able to provide customized business assistance while gaining valuable insights on the health of our local economy. Overall, we see an optimistic business community planning for continued growth through 2022.”

Key findings include:

Companies are projecting growth

The majority of companies (57%) reported they have plans to expand. This growth typically includes increased headcounts or capital expenditures, and is an indication that area business leaders are feeling confident in the future. Specifically, 46% of companies indicate they plan to increase their rate of hiring.

Increasing sales

With pandemic restrictions subsiding, consumers continue to spend more, slowing only slightly since the last snapshot report in June 2021. Most area companies (73%) are reporting increasing sales. Of the remaining companies, 23% reported stable sales, and only 4% reported a decrease in sales.

The talent challenges may be shifting

Recruiting talent to open positions remains a persistent challenge, with 48% reporting difficulties. However, this is down slightly from last June, when 53% reported difficulties. Instead, 52% of companies reported no recruitment issues in March.

Increasing investment in employee training

In response to recruitment challenges, 39% of employers are reporting increased investment in training for their existing workforce, with the goal of raising retention rates.

Of the businesses surveyed, the majority employ under 100 with annual revenues between $1 million and $99 million. The businesses surveyed represent a global workforce of 656,534 people. Specifically, 76% employ under 100, 20% employ between 100-500, and 4% employ over 500. The revenue ranges included 26% of companies between $1 million and $9.9 million in sales, 31% between $10 million and $99.9 million, 9% over $100 million, and 1% over $1 billion.

The Right Place’s coverage area includes Kent, Ionia, Mason, Mecosta, Montcalm, Newaygo, Lake, and Oceana counties. The organization primarily serves businesses in the advanced manufacturing, technology, and health sciences industries.

Is community growth a good or bad thing?

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By Andy Hayes, Michigan State University Extension

 

I recently attended a meeting in the greater Grand Rapids area where the discussion centered on how we can benefit Michigan and its communities. In typical brainstorm fashion, our large group was divided into smaller tables to discuss and generate ideas which would be reported out to the larger group.

 

After one group’s suggestion that we help communities recruit individuals, an audience member respectfully suggested, “Why grow?” When the response was “to keep our communities from stagnating,” the audience member persisted that growth is bad, causing unnecessary congestion and build out, and that we should learn to live with what we have. Polite as the discussion was, I resisted the urge to jump up and debate the topic that day.

 

So there is no misunderstanding, growth is a good thing, if done right. There are countless examples from the old days, and unfortunately present day too, of poorly managed growth in urban sprawl, over taxing of utilities, etc. That is bad growth.

 

Communities are just like people, they are either green and growing or ripe and rotting, nothing stays the same. Each of us tries to grow personally, professionally and keep in shape, as a result we are better than we were before. In fact, we can choose to continually grow and improve. Yes, we all know that one guy from high school that 20 years later is still sitting on the couch re-living the same game-winning-touchdown-pass he caught. That is an example of no growth. Communities are the same, they can’t sit around remembering the good ol’ days. Instead, they need to look forward and position themselves for a positive, productive future.

 

If you’ve been paying attention, Michigan has been hemorrhaging for 10 years when three major companies ended 400,000+ manufacturing jobs. This created a ripple effect and tailspin of people leaving our state, taking their skilled talents and families with them.  Although Michigan has done many things right and we are gaining back ground, we still need talent.  We need people to move back to Michigan bringing their skills and talents, but also their families, ideas and civic involvement. It is this growth that Michigan and our communities desperately need in order to be a vibrant state.

 

Here’s the fun part.  Yes, we have to encourage and embrace growth in order to be better, but we must be smart about it.  As communities and as a state we need to decide what type of growth works, where best to encourage it and what happens when it comes. In other words, we must do some advanced planning so that the growth we so desperately need is organized, positive and helps us get to where we want to go.

 

And here’s the really fun part, there are loads of people and resources out there that can help.  From your local economic development organization, in our case the Northern Lakes Economic Alliance, to the MSU Extension, regional planning agencies such as Networks Northwest or the Northeast Michigan Council of Governments to the Michigan Municipal League and others.

 

Michigan has a bright future, and I hope growth will be part of it!

 

Michigan State University Extension‘s partner Northern Lakes Economic Alliance (NLEA) seeks to assist and create growing and thriving communities through collaboration with many entities to achieve their goals.

 

Michigan State University Extension has had a unique relationship with the regional economic development organization Northern Lakes Economic Alliance (NLEA) for more than 20 years. Recognizing the strength of combining resources, this partnership focuses on economic development, entrepreneurship growth and community infrastructure throughout a four-county region in the northwest Lower Peninsula, specifically Antrim, Charlevoix, Cheboygan and Emmet counties. As a result, the NLEA utilizes resources offered through MSU Extension as it provides leadership to statewide programs sponsored by MSU Extension.

 

This article was published by Michigan State University Extension. For more information, visit http://www.msue.msu.edu. To have a digest of information delivered straight to your email inbox, visit http://www.msue.msu.edu/newsletters. To contact an expert in your area, visit http://expert.msue.msu.edu, or call 888-MSUE4MI (888-678-3464).

 

Meeting tonight on Kentwood’s progress on Wing Avenue

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Wing Avenue at 60th Street
Wing Avenue at 60th Street

It’s only a mile long so you would think it would be fairly easy to put together a plan to reconstruct Wing Avenue.

 

But there are a number of variables when dealing with Wing Avenue, said Kentwood City Engineer Tim Bradshaw, such as slope, speed, trees, drainage, future growth and utilities along with who would be the best to provide those utilities as the road serves as a boarder to Grand Rapids and Kentwood.

 

It is why the City of Kentwood has spent the past couple of months meeting with residents, gathering input and collecting data focused on putting together a plan for Wing Avenue. A second meeting to discuss this plan is set for 7 p.m. tonight at Kentwood City Hall, 4900 Breton Road SE.

 

“The condition of the road has gotten to the point that there is not much more the city can do to maintain it,” Bradshaw said, adding even snowplowing has become a challenge along the road due to the ditches. Wing Avenue also serves as the main artery between 52nd and 60th streets with no relief from that unless Breton Avenue is ever extended to 60th Street.

 

Wing Avenue north of 60th Street
Wing Avenue north of 60th Street

There also is potential for future development in the area which would add more traffic to the road, Bradshaw said.

 

Earlier this year, the city hired the consulting firm Fleis & VandenBrink to conduct a corridor study and assist with gathering public input. This included hosting a meeting in August where about 80 residents from the 92 homes that were notified attended. Bradshaw said there about 60 properties on Wing Avenue with about 30 or so on Paris Park Drive that have properties that back up against the road. All were notified of the plans to work on Wing Avenue.

 

“We hire a consultant to work with us based on the previous conservations with property owners who had mixed amount feelings on what should be done.” Bradshaw said. “Each has a passion with them. Some really like the rural feel of the road, others had safety concerns and others wanted to protect as many trees as possible.”

 

The residents along Wing Avenue have well water and septic as there are no current water or sewer lines or storm sewer. There has been discussion of adding such utilities, which could spur development, Bradshaw said.

 

Over the past couple of months, Fleis & VandenBrink and the city have looked at the trees to see how many could be saved along with getting traffic counts especially with school in session. The speed limit along the road, which currently is 40 mph, is mostly set by the state, Bradshaw noted.

 

The goal of the City of Kentwood is to have the study of the road completed by the Dec. 6 City Commission meeting. Design and engineering work on Wing Avenue is expected to take place next year with construction beginning in 2018.