What is it?
Logistic Managers' Index (LMI, www.the-lmi.com) is by researchers at Arizona State University, Colorado State University, Rochester Institute of Technology, Rutgers University, and the University of Nevada, Reno, and in conjunction with the Council of Supply Chain Management Professionals (CSCMP).
The LMI is obtained through a monthly survey of logistics managers in various industries in the economy. The LMI indexes are not seasonally adjusted and reported such that the index value represents the percentage of respondents that say that activity is expanding for their business. The LMI Composite Index is a combination eight unique other components that make up the logistics industry, including: inventory levels and costs, warehousing capacity, utilization, and prices, and transportation capacity, utilization, and prices. The LMI is calculated using a diffusion index, in which any reading above 50 percent indicates that logistics is expanding; a reading below 50 percent is indicative of a shrinking logistics industry.
In SONAR, the following LMI indexes are represented as:
TOTL - LMI composite index
INVC - inventory costs
INVL - inventory levels
TPCP - transportation capacity
TPPR - transportation prices
TPUT - transportation utilization
WHCP - warehouse capacity
WHPR - warehouse prices
WHUT - warehouse utilization
Who is interested?
Economists, analysts, carriers, shippers, brokers, supply chain managers
What does it tell me?
The LMI data provides direct survey insight into transportation and logistics conditions. The intent of the survey is to address key trends in the logistics space, including developments in transportation capacity and rates.