— Despite some concerns about a possible recession, the vast majority of manufacturers in a recent Wipfli survey expect their revenues to increase next year.
The Milwaukee-based accounting and advisory firm yesterday released results of its latest online survey conducted via email in August. A total of 335 manufacturing companies responded, 11% of which are based in Wisconsin.
Eighty-eight percent of respondents project higher revenues in 2024, the company’s report shows.
And optimism among these manufacturers appears to have risen this year, as 35% said they feel much better about their company’s financial future than they did at the start of 2023. Another 44% said they feel somewhat better about it, while 11% said they feel somewhat worse, 8% said no change and 2% said much worse.
But at the same time, 24% said they are very worried about a possible recession and its impact on their business, 67% said they are somewhat worried and 9% said they’re not worried at all.
Still, a recession was only the second-most common top “macroeconomic” concern among respondents at 26%, the report shows. The most common worry, at 30%, is inflation. And 23% pointed to supply chain issues while 18% said the labor shortage is their greatest concern.
Bill Boucher, manufacturing, retail and distribution leader at Wipfli, in a statement highlighted industry challenges including employee retention, data security and rising costs tied to inflation.
“Our research shows while there are many obstacles, there is even more untapped potential in the areas of digital technology and AI that need consideration as we move forward into 2024,” Boucher said.
Many of the surveyed executives said their businesses plan to invest in various technologies over the coming year, including 50% who said they will invest in robotics and automation. That was followed by 47% who will invest in cloud computing, 41% in data analytics and business intelligence, 41% in AI and 36% in production/machine monitoring.
Of those looking to invest in AI, 70% said they will apply the technology in operations, 63% will use it for sales and growth, 48% will use it for automation, 47% for financial reporting and 35% for front and back office.
And while cybersecurity is a top challenge for manufacturers, Wipfli says its surveys show improvement in this area. In a previous survey two years ago, 45% of respondents reported three or more possible data breaches had occurred in the past 12 months. That percentage dropped to 24% in the latest survey.
When asked about steps being taken to protect their data, 69% of respondents said they have upped their investment in cybersecurity technologies such as upgraded network security and 65% said they’ve implemented safeguards such as 24/7 security monitoring.
See the full report: https://www.wipfli.com/-/media/wipfli/downloadable-files/23_mrd-report—state-of-manufacturing_final.pdf
— Dem lawmakers are circulating legislation to ban “step therapy” requirements for certain cancer treatments.
In a co-sponsorship memo sent to other lawmakers, Rep. Lisa Subeck of Madison and Sen. Diane Hesselbein of Middleton argue the bill would ensure “those with metastatic cancer receive the best care available without unnecessary delay” by exempting them from step therapy protocols.
These protocols are a type of utilization management practices that require patients to first try “preferred or older treatment methods” before moving onto newer treatment methods. The lawmakers argue this is done to save insurers money, but the patients who would be covered under the bill “do not have time for continual trial and error or a ‘one-size-fits-all’ approach” to their care.
That’s because metastatic — or Stage IV — cancer spreads throughout the body after developing in one location. While many of these cancers currently have no cure, the memo notes modern treatments aim to extend the life of the patient while improving their quality of life.
“Treatment is highly personalized and must be based on decisions made by the patient and their healthcare providers, as they are most capable of determining the appropriate treatment for their disease,” the lawmakers wrote.
Under the bill, insurers, pharmacy benefit managers and utilization review organizations would be prohibited from requiring step therapy protocols for an eligible drug prescribed for metastatic cancer or associated conditions. That’s according to an analysis by the Legislative Reference Bureau.
The co-sponsorship deadline is 5 p.m. Monday.
<br><b><i>Top headlines from the Health Care Report…</b></i>
— A UW-Madison-led traumatic brain injury initiative is getting $15 million in new funding from the U.S. Office of Naval Research.
And the latest edition of “UpFront” featured a segment on advocates with spinal cord injuries who met with lawmakers at the Capitol this past week.
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— UW-Madison has launched a pair of digital ads as part of a broader campaign pushing support for a new engineering building amid a stalemate with the GOP-led Legislature.
The ads launched yesterday include a 30-second spot and a shorter, 15-second version. Both ads encourage viewers to contact legislators to support the proposed building.
A voice-over in the ad says businesses across the state are sending a clear message that Wisconsin needs more engineers.
“A new engineering building at UW-Madison will allow the university to enroll hundreds more engineering students every year. But without support from our Legislature, the project can’t advance,” the voice-over says.
UW-Madison spokesperson John Lucas told WisPolitics the ads are being paid for with Wisconsin Alumni Association funds and donations. He said the total spend on the campaign is to be determined.
UW-Madison earlier this month also took out full-page ads in seven Wisconsin newspapers featuring a letter from 42 Wisconsin CEOs calling for the Legislature to approve the building.
Republicans rejected the proposal in Gov. Tony Evers’ capital budget. When Republicans rejected the project in June, Joint Finance Co-chair Mark Born, R-Beaver Dam, defended the GOP capital budget, saying what Evers proposed was “unrealistic.” He noted the $2.3 billion capital budget was still the largest in at least two decades.
See the ads:
— Brandon Scholz will retire next year as president and CEO of the Wisconsin Grocers Association after nearly 27 years with the organization.
The WGA Board of Directors is expected to announce a successor by year’s end. Scholz will serve in a limited transition capacity starting in March.
Along with his work for the WGA, Scholz owns and operates The Capitol Group, a public relations and lobbying firm. It will remain active going forward.
He’s also served on numerous campaigns, including those of former GOP U.S. Rep. Scot Klug and former conservative Supreme Court Justice Pat Roggensack. He also served as executive director of the state GOP from 1987-90 and as Klug’s chief of staff for four years after his 1990 victory.
#TOP STORIES#
# Local government spent hundreds of millions to assemble Foxconn site. Here’s how Microsoft will cover those bills
# Generac to receive portion of $440M federal effort to enhance Puerto Rico’s power grid
# Lack of snow for opening weekend could lower deer kill in Wisconsin
#TOPICS#
# CONSTRUCTION
– Baird sign going up at U.S. Bank Center
– ‘Sea of parking’: Could land around Milwaukee Brewers stadium be home to future development?
# ECONOMY
– CARW Survey: Commercial real estate brokers’ outlooks dim
# EDUCATION
– Wisconsin pork association internship program
http://wisconsinagconnection.com/story-state.php?Id=999&yr=2023
# ENTERTAINMENT & THE ARTS
– Black Arts Matter Festival brings variety of artistic perspectives to Madison
# ENVIRONMENT
– Wisconsin DNR adds 51 waters to its list of polluted waterways
– Flood-control dams in Driftless Area failed after catastrophic rain. Some residents say a new approach is needed.
– This Wisconsin beach has the clearest water in the U.S., study finds
# MEDIA
– UW-Madison grad Terry Zwigoff is as delightfully acerbic as his movies
# POLITICS
– Wisconsin Assembly to vote on indemnification bill
# REAL ESTATE
– $80 million apartment development planned in Deer District next to Fiserv Forum
– Jeffers plans apartment building in Deer District
# SMALL BUSINESS
– After 18 years, Brady Street neighborhood restaurant is closing
# TOURISM
– Idina Menzel, voice of Elsa in ‘Frozen,’ to perform at Baird Center grand opening gala
# COLUMNS
– Opinion: Wisconsin deer hunting is dying. That should worry you even if you don’t hunt.
– Opinion: In climate fight, Wall Street picks polluters over renewables
# PRESS RELEASES
<i>See these and other press releases:
https://www.wisbusiness.com/press-releases/ </i>
Marquette University: Alumnus gives $1 million to establish endowed tennis scholarships
