January NAPM Meeting
Thursday, January 13, 2011 Salt Lake City Pro-D & Dinner Location: Hilton Garden Inn 250 West 600 South, Salt Lake City 4:30 p.m.—Pro D Workshop Speaker: Bob Pfluegar Client Executive at Marsh
Topic: “Insurance” 5:30 p.m.—Dinner Meeting
Speaker: Dina Hanna
Vice President at ARUP Topic: ―HIPPA & HITECH” RSVP due Monday, January 10, 2011 by 5:00 p.m. through Cvent
Wednesday, January 19, 2011 Central Utah Branch Luncheon Location: La Quinta Inn 1460 S University Avenue (exit 263) Provo, Utah 11:45 A.M. – 12:45 P.M.
Speaker: Mark H. Hansen, Ph.D. Marriott School of Management, Brigham Young University Topic: “Applying Bayesian Thinking to Managerial Decision Making” RSVP due Monday, January 10, 2011by 5:00 p.m. through Cvent Or directly to Steve Mastin: [email protected] by Monday January 17, 2011, 5:00 p.m.
NAPM Meeting 1
President’s Message
2
Utah County News
3
Speaker Bios 4-5
Mountain States Economy
6-9
News from the Board
10-
11
Board of Directors 10
http://www.napmutah.org
January 2011 Utah Purchasing News
Welcome to a New Year. Thank you very much to Susan Fowler for her work on the Christmas Party. It was a fun evening. We are pleased to an-nounce that the name change for our NAPM-Utah chapter of ISM has been approved to be considered by the Nation Board of di-rectors in January 2011. The proposed name is: ISM-Utah. A big thank you to Mike Bernard and Jerilyn Midthun for all their work. As soon as we receive no-tification of the approval by the Board, we will change all the logo information and name on our accounts etc.
President’s Message
Page 2 Purchasing Newsletter
Our Affiliate meeting is scheduled:
· Thursday, January 13, 2011.
· The Hilton Garden Inn at 250 West 600 South in SLC.
· 4:30 PM for the Pro D · 5:45 PM for the din-
ner meeting Let’s have a great 2011. The
economy may be improving
so our negotiation skills and
contract writing expertise is
greatly needed by our re-
spective companies.
David B. Stokes, C.P.M. President NAPM-UT
Page 3 Utah Purchasing Newsletter
Utah County News
Make 2011 Even Better
As we begin a new year, it is time to make sure our files
are up to date. It is a good time to review your contract
files to make sure they are current, and that the con-
tracts are fully executed. Take the time to reflect on
what worked, what did not, and how that will help you
the coming year. Set some goals on what you want to
accomplish this next year.
Now is a good time to reach out to department manag-
ers to see how you can help them. They have possibly
just completed the budget cycle so it is fresh in their
minds. Now is an opportunity to help with some strategic
sourcing projects. Start to work out project timelines
with the managers, help them to meet their budgets, help
them do more with less. Be proactive; reach out to de-
partment managers even if they do not have any projects
for your department to work on. At least they will know
that you have an interest in helping them achieve their
goals.
Have a Happy New Year. Make 2011 better than all the
rest.
Steve Mastin, C.P.M.
NAPM-Utah
Utah County Coordinator
Pro-D Speaker: Robert N. Pfluegar
Senior Vice President, Client Executive at MArsh
Page 4 Purchasing Newsletter
Ms Hannah is a Vice President at ARUP with more than 20 years of laboratory experience. She is responsible for en-suring regulatory and privacy compliance for ARUP. Prior to her position in Quality and Compliance Ms. Hannah worked in the Blood Bank, Donor Center. And the Univer-sity of Utah Clinical Laboratory at ARUP. A certified information privacy professional, Ms. Hannah has a BS in medical technology and an MS in Business admini-stration, with an emphasis in health care manage-ment. Ms. Hannah is an avid cyclist, most recently tak-ing 1st place in her age group for women at the 2010 LOTOJA. LOTOJA is short for LOgan TO JAckson, is believed to be one of the longest single-day road cy-
cling races in North America.
Robert (Bob) is a Client Executive (Team Leader). His primary responsibility is the
initial evaluation of clients’ business objectives and the major risks that pose a sub-
stantive threat to achieving them. Secondarily, he leads and coordinates the work
of specialized Marsh advisors and the support staff assigned to specific risk evalua-
tion and insurance placement. Third, Bob has a unique skill in negotiating with un-
derwriters to obtain robust coverage terms and competitive pricing.
Bob’s experience is in main stream Manufacturing, Alternative Power, Environ-
mental Liability and Life Science business risks.
Bob joined Marsh in 1987. After three years in the Salt Lake City office, Bob trans-
ferred to the Pittsburgh office where he was immersed in large middle market
risks. The next seven years of brokerage prepared him for his return to Utah to
serve in his current team leadership responsibilities. Bob earned a Bachelor of Science in Finance, a minor in Accounting at the Brigham
Young University, Marriott School of Management. His affiliations include: Institute
of Management Accountants, Utah Manufacturing Association and the Boy Scouts
of America.
Dinner Speaker: Dina Hanna,
MBA/HCM, BS, MT(ASCP) H,SBB, CIPP
VP, Director of Quality, Complianc/Privacy and Risk Officer
at ARUP Laboratories
Page 5 Utah Purchasing Newsletter
Utah County Speaker: Mark H. Hansen, Ph.D.
Department of Organizational Leadership & Strategy
Marriott School of Management,
Brigham Young University
Mark joined the faculty of the Marriott School in the fall of
1996. His research interests include strategic alliances, the
role of trust in organizational relationships, executive decision-
making effectiveness, and the use of Bayesian statistics in deci-
sion-making and management research. Many of his research
projects have been focused on the food and agribusiness industry. He teaches strat-
egy in the undergraduate, graduate, and executive programs of the Marriott School
of Management. He also teaches managerial economics and agribusiness strategy.
Mark is a member of the Academy of Management, the Strategic Management Soci-
ety, and the International Food and Agribusiness Management Association.
Mark earned his Ph.D. in strategic management at Texas A&M University.
He holds Bachelor’s and Master’s degrees in Accountancy and an MBA from Brigham
Young University. Prior to his doctoral studies, Mark worked at Ford Motor Com-
pany as a financial analyst. He has also worked at Arthur Andersen & Co. as a tax
intern. Mark has been involved in several small businesses over the years as an
owner and manager. He has provided consulting and training services to large and
small businesses on a variety of strategic topics.
Mark and his wife, Pamela, have five children. They live in Orem, Utah
where they enjoy a variety of family activities in the outdoors. Their family has been
involved in athletic and music activities with the children. Mark has coached youth
soccer and basketball. His greatest joys in life are derived from relationships with
family and friends.
Mark your calendars for the 2nd Thursday or 3rd Wednesday of each month for the NAPM-Utah Pro D and dinner or luncheon meetings.
Mountain States Economy
Page 6 Purchasing Newsletter
Mountain States Leading Economic Indicator Advances;
New Export Orders Strong for November
November survey results at a glance:
· Leading economic indicator slips again pointing to slow but posi-
tive growth in the months ahead.
· Supply managers expect producer prices to grow by an annual-
ized rate of 6.8 percent in the months ahead.
· Business confidence remains strong.
For Immediate Release: December 1, 2010
Denver, CO – For the fourteenth straight month, the overall index
for the Mountain States region, a leading economic indicator for the three
-state area of Colorado, Utah and Wyoming, advanced above growth
neutral 50.0. According to surveys of supply managers over the past sev-
eral months, including November’s, the region will experience positive,
but modest economic growth in the months ahead.
Overall Index: The overall index, or Business Conditions Index,
for November climbed to 56.0 from 55.4 in October. “Even though the
leading economic indicator has been above growth neutral for some time,
growth has been, and will continue to be modest. While our survey is
dominated by manufacturers, it is the value added services producers that
are reporting much improved business conditions. Both durable and non-
durable goods producers in the region continue to expand production
with little or no growth in hiring. I do expect a turnaround in manufac-
turing hiring over the course of the next several months,” said Goss Insti-
tute for Economic Research Director Dr. Ernie Goss said today. The
Goss Institute conducts the monthly survey for Supply Management In-
stitutes in the three states comprising the Mountain States region. Goss
also directs Creighton University’s Economic Forecasting Group and is
“Even though
the leading
economic
indicator has
been above
growth neutral
for some time,
growth has been,
and will
continue to be
modest...
Page 7 Utah Purchasing Newsletter
Mountain States Economy (continued)
the Jack A. MacAllister Chair
in Regional Economics
(http://www.ernestgoss.com/
aboutus.html).
Employment: The
November employment index
slipped to 57.2 from Octo-
ber’s 57.9 and from Septem-
ber’s 60.2. “Sub-par job
growth in the region has
matched that of the nation for
2010. Companies in the re-
gion have expanded their pro-
duction while adding few jobs
as they get more and more
output from their current
workforce. Furthermore,
companies that have added
significant new workers have
relied on temporary workers
for the increase,” said Goss.
Wholesale
Prices: The regional price
gauge expanded to an infla-
tionary 67.8 from 66.7 in Oc-
tober. The prices-paid index,
which tracks the cost of raw
materials and supplies, has
now moved above growth neu-
tral in seventeen of the past
eighteen months. “This month
we asked supply managers how
much they expect prices on prod-
ucts they buy to change in the
next six months. On an annual-
ized basis, supply managers an-
ticipate a 6.8 percent increase in
prices. This is up from 4.8 per-
cent in July of this year when we
asked this same question. I ex-
pect this increase at the producer
level to bolster consumer prices
well above the Federal Reserve’s
target rate of 2.0 percent some-
time in 2011,” said Goss.
Business Confi-
dence: Looking ahead six
months, economic optimism,
captured by the November confi-
dence index, advanced to 62.9
from October’s 62.5 and Sep-
tember’s 59.8. “While the over-
all U.S. economy remains weak,
as gauged by unemployment
rates, individual firms in the
Mountain States region are ex-
periencing solid improvements
in business conditions. This is
translating into a strong eco-
nomic outlook,” reported Goss.
Inventories: Supply
managers in the three-state re-
gion added to inventories of
raw materials and supplies for
the month, but at a much
slower pace with a November
index of 51.1 from October’s
50.5. “This is the twelfth
straight month that we have
recorded inventory restocking
after more than one year of in-
ventory reductions during the
economic downturn,” said
Goss.
Trade: Trade numbers
were healthy for Novem-
ber. The new export orders
index slipped to a still healthy
60.1 from 60.8 in Octo-
ber. Imports for November
dipped to 56.3 from October’s
65.7. Approximately 23 per-
cent of supply managers report
increased buying from abroad
over the past three
months, while only 5.6
percent indicated that
their international buy-
ing had declined over
this same time pe-
riod. “Strength in the
region’s energy sector
is spilling over into the
rest of the area econ-
omy. Unless the debt
problems of Portugal,
Ireland and Spain spill
over into the rest of the
Euro Zone, I expect
strong energy income
to continue to push the
Mountain States econ-
omy forward. How-
ever, any economic
contagion that strikes
Germany and France
would weaken the
Euro, strengthen the
dollar, and negatively
impact U.S. energy
commodity prices and
Mountain States
growth,” stated Goss.
Other Compo-
nents: Other compo-
nents of the November
Business Conditions In-
dex were new orders at
59.0, up from 56.0 in
October; production or
sales at 54.7, down
slightly from 55.6; and
delivery lead time at
57.8, up from 56.9 in
October.
The Institute for
Supply Management,
formerly the Purchasing
Management Associa-
tion, has been formally
surveying its member-
ship since 1931 to gauge
business conditions
(www.ism.ws). The
Goss Institute uses the
same methodology as
the national survey. The
overall index, referred to
as the Business Condi-
tions Index, ranges be-
tween 0 and 100. An
index greater than 50
indicates an expansion-
ary economy over the
course of the next three
to six months. The
overall index is a mathe-
matical average of new
orders, production or
sales, employment, in-
ventories and delivery
lead time.
The Creighton
Economic Forecasting
Group has conducted the
monthly survey of sup-
ply managers in Colo-
rado, Utah, and Wyo-
ming since 1994 to pro-
duce leading economic
indicators of the Moun-
tain States region. The
Goss Institute assumed
operation of the survey
in August of 2008,
working with NAPM-
Utah
(www.napmutah.org)
and NAPM-Western
Wyoming (http://
www.ism.ws/sites/
Mountain States Economy (continued)
Page 8 Purchasing Newsletter
For more Information Contact:
Ernie Goss Ph.D. (303) 226-5882
[email protected] www.ernestgoss.com
Rob Robinson (402) 312-4636
info@ernestgoss,com
westwyoming/index.htm).
Colorado: The state’s leading economic indicator, based on a monthly survey of supply
managers in the state, bounced higher for November. The November overall index, termed the Business
Conditions Index, increased to 53.7 from 53.3 in October. Components of the overall index for November
were new orders at 63.3, production or sales at 46.7, delivery lead time at 50.7, inventories at 42.8, and em-
ployment at 64.8. “Firms in the state linked to the energy sector continue to experience very healthy growth
offsetting somewhat weaker conditions among the state’s durable goods producers. Many of the added
workers over the past several months are temporary. I expect more and more permanent hires in the months
ahead,” said Goss.
Utah: The state’s Business Conditions Index, a leading economic indicator, once again climbed
above growth neutral 50.0. Based on the monthly survey of the membership of NAPM -Utah
(www.napmutah.org), the overall index climbed to 56.1 from 56.0 in October. Components of the overall
index for November were new orders at 56.4, production or sales at 56.5, delivery lead time at 59.9, inven-
tories at 54.3, and employment at 53.8. “Durable goods manufacturers in the state outperformed non-
durable goods producers over the past several months. Firms with linkages to the energy sector continue to
experience healthy growth and growth prospects,” said Goss.
Wyoming: The state’s leading economic indicator from a survey of supply managers in the state
climbed above growth neutral for the thirteenth straight month. The Wyoming Business Conditions Index
for November advanced to 54.4 from October’s 52.2. Supported by NAPM-Western Wyoming (http://
www.ism.ws/sites/westwyoming/index.htm), surveys over the past several months point to an expanding
state economy for the next three to six months. Components of the overall index for November were new
orders at 66.7, production or sales at 49.9, delivery lead time at 46.9, inventories at 51.1, and employment at
63.1. “Expansions among firms with ties to the state’s large energy sector continue to experience very
healthy growth. Wyoming’s durable goods producers also detailed solid business conditions for the
month,” said Goss.
For historical data and forecasts, visit our website at:
www.ernestgoss.com or
www.outlook-economic.com
www.twitter.com/erniegoss
PagUtah Purchasing Newsletter Page 9
Mountain States Economy (continued)
News From The Board
Page 10 Purchasing Newsletter
We appreciate all those who came to the Christmas Party.
We had about 52 members and guests come. This included 6
who subbed at the last minute for those who could not make it.
For those who could not make it we are so sorry you missed it.
This was truly one of the most fun parties we have had. Hunt
Mysteries did a fabulous job. I guess I paid attention this time, I actually figured out
“who done it?”. There were multiple persons with the correct
answer. All those with the correct answer were put into a hat
and 3 were drawn for the prizes. I want to thank Dave Stokes and the entire board for
funding this activity.
On another topic, for anyone who has earned the
C.P.M. or C.P.S.M. attending our monthly meetings is the perfect
way to earn the necessary points to renew your certifications.
It is the primary reason I have attended so faithfully for the past
9 years. You can earn 10-12 points every year just for attending. If you
choose to volunteer for a leadership position or on a commit-
tee you can earn extra points for that. I guess bottom line is,
attending monthly meetings keeps purchasing professionals at
the top of their game and ready for certification renewals. I encourage all of you to invite those in your companies
to join with us soon.
Susan Fowler, C.P.M.
NAPM-UT Board Member
Social Chairman
NAPM-UTAH Board David B. Stokes President Anna Worthington, Vice President Toni Johnson, Secretary Garth Slater, Treasurer Steve Mastin, Central Utah Branch Director Jerilyn K. Midthun, Past President Board Members: Donna Beaupre Robert Stipanovich Mary Louise Hughes Claudine Peterson Chad Barrett Susan Fowler Greg Adams, Communication John Carpenter, Certification Steven Cherecwich, Web Master Claudine Peterson, MemberRoster Edith Rodriguez, Education Mary Louise Hughes, Newsletter
If you wish to contribute an article, or items of interest, please submit material to Mary Louise Hughes at [email protected]
News From The Board, Continued
Page 11 Purchasing Newsletter
Claudine Peterson, C.P.M.
NAPM-UT Board Member
Membership
Clean house—Time to update!
With the Old Year ending and a New Year beginning it is a great time to make sure you are updated in the ISM/NAPM system. Please send any updates, e-mail changes or phone # changes to [email protected] or [email protected]. If you have any feed back for the membership com-mittee please e-mail us at the above address. We want to start the New Year right and make you all feel welcome.