DJ Products, Inc.

2009 seemed like the year that would never end. For manufacturers, the bad news just kept on coming. But hope seems to have finally struggled above the horizon. From the depths of last winter’s discontent, 2009 has risen to end on a high note for material handling manufacturers and, indeed, most U.S. manufacturers. Reports indicate that U.S. manufacturing has finally turned the corner, and we can expect 2010 to be a far more productive and more profitable year. Break out the champagne!

The fourth quarter of 2009 saw strong manufacturing growth. With the job market showing signs of stabilization and housing prices beginning to climb toward normal, November brought a cautious increase in consumer spending. Manufacturing benefitted from increased orders for durable goods during the fourth quarter as customers started restocking their shelves. While durable goods orders in November were less than robust, they were twice the amount forecast by economists. Overall, the U.S. economic picture looks hopefully optimistic for the first time since the recession hit.

“We are seeing progress in a number of areas, from increases in consumer spending and business spending to growth in exports,” Brian Bethune, an economist at IHS Global Economics told the Associated Press last week. “It all adds up to a recovery that is gaining some momentum.”

Bethune and other economists are predicting a 4% annual rate of economic growth (as measured by gross domestic product) for the final quarter of 2009. In addition to durable goods, particularly a growing increase in high ticket items, industrial growth into the new year is expected to come from increased equipment and software purchases. Ergonomic material handling equipment sales are expected to increase as manufacturers and business owners seek out ways to increase worker productivity and decrease healthcare costs. Expected new regulatory requirements aimed at protecting worker health and safety are also expected to drive up sales of ergonomic carts and tugs.

Scheduled for March 22-25, the 2010 Applied Ergonomics Conference (AEC) to be held in San Antonio, Texas is slated to be North America’s biggest and most impressive gathering of ergonomics experts, applications and equipment providers. What sets AEC apart from other ergonomic conferences is its emphasis on the practical application of ergonomic principles and discoveries to real world industrial problems. This is not an esoteric meeting of high-brow academics, though you’ll find the more practical of their ilk in attendance. This is a working man’s conference. A meeting of industrialists, ergonomic experts and others involved in day-to-day efforts to improve the health and safety of American workers through the application of ergonomics to real world problems.

 The 2010 AEC conference will be held at the Marriott San Antonio Hill Country Resort and Spa with early registration discounts available through January 15, 2010. Ergoweb is offering a special 50% discount to its followers until this Friday, December 18 on registrations for the conference and host hotel. (Click here for registration form and more information from Ergoweb.)

Keynote speakers scheduled include Y. Ian Noy, vice president and director of Liberty Mutual Research Institute for Safety, and Guy Fragata, senior advisor for Ergonomics Patient Safety Center of Inquiry. Multiple educational tracks and numerous informational exhibits by leaders in the ergonomics industry will also be featured at the conference.

As a leader in the design and manufacture of ergonomically-designed material handling equipment, DJ Products is intimately involved in solving daily ergonomics problems in a wide variety of U.S. industries including manufacturing and heavy industry, hospitality, hospital and health care, automotive and commercial retail. We understand the critical need for ergonomic systems and ergonomic material handling equipment that protects the health and safety of American workers. To find our more about our full line of ergonomic motorized carts and tugs, visit the DJ Products website.

Today’s headline blared: “Recession officially ends, with trepidation.” Ain’t that the truth! In officially declaring the recession over, the U.S. Commerce Department cited a 3.5% growth in the economy. Encouraging, certainly. Something to cheer about? Apparently Wall Street thought so as the Dow Jones Industrial average shot up nearly 200 points. But the guy or gal on the street? Maybe not so much. The effect seems more psychological than actual. Economists caution that much of the 3.5% increase in gross domestic product was fueled by the government’s Cash for Clunkers program and first-time homebuyers tax credit. Whether those programs have created an unnatural spike in economic growth that can’t be maintained or the economy really is finally throwing off the chill of recession, only time will tell. But until unemployment decreases, most analysts agree we’re not out of the woods yet.

Getting people back to work is the real challenge now. People aren’t going to start buying again — the necessary trigger for real economic improvement — until they have jobs and can stop worrying about keeping food on the table and a roof over their heads. And the jobs won’t be there until American businesses feel comfortable financially. A bit of a vicious circle: consumer purchasing fuels businesses which fuel jobs. Traditionally, small businesses provide the greatest potential for U.S. job growth; so it was interesting to read the results of the American Express OPEN Small Business Monitor bi-annual survey in Manufacturing & Technology eJournal.

Here are some of the survey highlights:

• 51% of manufacturers have a positive outlook, about the same as last year (52%)
• 61% are experiencing serious cash flow difficulties, compared to 47% a year ago
• only 22% plan to hire additional employees, down from 30% six months ago 
• only 36% are planning capital investments, down from 59% in 2008
• 68% think U.S. economic woes are far from over

DJ Products would like to know what you think and how your business is coping with the recession.