Small and Midsized Manufacturers Continue Growth and Expansion, Says Prime Advantage Survey
The summary of findings shows:
CFOs are more optimistic about the financial prospects for their own companies now than in the last two years, Prime Advantage says, (the level of optimism is 79/100 in 2012, compared to 63/100 in 2011). Only 2% of respondents are less optimistic about 2012. This number is higher for Prime Advantage members than the recent similar surveys, conducted by Duke/CFO Magazine (67/100) and Bank of America (50/100). The majority of CFOs report increases in their own new order pipelines, with 57% citing more new orders now than at this time in 2011. Manufacturing CFOs are also optimistic about the business prospects of their key customers this year, with 55% expecting to see their customers’ businesses grow moderately in 2012.
Respondents are slightly less optimistic about the overall U.S. economy, with 67% more optimistic and 12% less optimistic (compared to 74% and 3%, respectively, in 2011).
However, nearly all manufacturing CFOs (98%) believe manufacturing will stay the same or continue to expand in 2012. These mixed sentiments are consistent with a recent GE Survey in which respondents were optimistic about their own companies and industries, and slightly less optimistic about the U.S. economy.
When asked to cite the top potential threats to U.S. economic growth, 90% of the CFOs were most concerned with the European fiscal situation (90%), followed by the U.S. budget deficit (69%) and the cost of healthcare reform (68%).
To request a copy of the Prime Advantage 2012 CFO Outlook Survey, visit: www.primeadvantage.com/cfooutlook .