Dr. Robert H. Holland, CEO of Vistage Michigan, joins Murray Feldman to talk about Michigan's business outlook for 2014.
· Vistage Members are expanding 3 times faster than their competition. Vistage is working with 250 companies in Michigan that are doing so on average. - Dunn & Bradstreet
· The US Economy and the Michigan Economy was growing nicely through August of 2013. Profits were up, New Orders were up, and Initial Claims for Unemployment were down and employment has increased in Michigan by 170,000 jobs since the downturn of 2008. This has been true for the last 3 years as well.
· Since August 2013, the US and Michigan economy has begun to soften a little in the fourth quarter with the US Production Cycle trending down and the same is true of Michigan. This downturn is slight and we believe is temporary and short lived. The next 6 months will add up to a 2% to 3% downturn in the Michigan economy and then things will pick-up again and experience a long term growth cycle. - Alan Beaulieu, Vistage Economist and ITR Report
· 71% of Michigan Vistage CEOs say that their Revenues are expected to increase during 2014 while the remainder (29%) expects their revenues to be about the same as 2013. This represents overall confidence in growth. - Vistage Michigan CEO Confidence Index, 2013
· 65% of Michigan CEOs expect their profits to increase in 2014 while 32% expect their profits to be about the same. A small 3% expect their profits to decrease. - Vistage Michigan CEO Confidence Index, 2013
· Overall we can expect Michigan to grow and expand its business base in 2014 leading to additional employment by approximately 57% of the companies. This is expansion; however, it will be slower in 2014 because of the short term softness of the economy. - Vistage Michigan CEO Confidence Index, 2013
· Many of the jobs that we are aware of require training in the technical skills such as machining, metallurgy, engineering, and information technology. There are additional openings in sales, accounting and customer services as well.
Example of two firms that are expanding:
1. Workforce Software - Software product company located in Livonia, MI that will add about 30 employees in 2014 in the areas of training and customer services, information technology, and sales. The company provides Labor Management software to large employers in all industries, education and government. The company is now expanding to Australia as well as Europe and additional employment will occur overseas.
2. Movimento Group - This company, located in Plymouth, MI, provides Automotive reflashing capabilities and over-the-air (OTA) software updating for automobiles. This technology company will be adding engineers, information technology, project management, and sales specialists in 2014. The company will be adding about 15 to 20 people during the year.
· Vistage Michigan is an organization that offers hands-on executive training to more than 240 small-to-mid-sized business owners in throughout the state.
· Vistage Michigan separates its members into groups consisting of 14 other CEOS. Each group is led by a seasoned business professional, who acts as the group's permanent chair and provides one-to-one business mentoring with each member
· Group sessions include an open exchange where members can discuss business-related issues and receive an objective perspective and potential solutions from what in theory becomes a personal "board of directors"
· Member benefits also include regular access to expert speakers
· Members of Vistage Michigan want a better quality of life and to take their company to the next level
· Studies from Dun & Bradstreet/Vistage and the Corporate Research Board) have shown that Vistage members make better decisions, achieve greater results and are better business leaders compared to the time before they joined
· For more information about Vistage Michigan, please call (586) 443-5880 or visit www.vistagemichigan.com