What’s ahead for the materials handling industry?

Corinne Kator, Modern Materials Handling -- Logistics Management, 2/22/2008

In preparation for NA 2008 in Cleveland’s I-X Center this spring, Modern Associate Editor Corinne Kator spoke to John Nofsinger about his expectations for the show and for the future of the industry. Nofsinger is the CEO of Material Handling Industry of America (MHIA), which sponsors the NA tradeshow every other year.

Q: Is there anything special our readers can look forward to experiencing at the show this year?

There will be a number of activities going on that testify to the evolution happening in our industry. First and foremost, we’re offering special seminars and other features on the topic of supply chain sustainability. Additionally, we’re seeing more international and consolidated companies than we’ve ever seen at the show—evidence that ours is becoming a more international industry. We’re also seeing more supply chain integration in the nature of the exhibits, with more exhibits emphasizing the integration of information and material flows.

Q: You mentioned sustainability. Do you think the industry’s interest in “green” is a passing fad or is it here to stay?

I really don’t think it’s a passing fad. A lot of the manufacturing quality certifications in our industry—ISO-9000 and the like—were seen as a flash in the pan. Sustainability is going to be a very different thing. There will be government incentives, and many of our major end users will have very little choice but to pay attention. As a practical matter, very few companies went forward with manufacturing certifications, but everyone will be involved in sustainability sooner or later.

Q: How do you expect the recent downturn in the economy to affect the show?

Certainly it isn’t having an effect on the exhibit space or attendance figures, where we’re seeing about 15% increases. People were more in a “spend mode” two years ago, but just because the capital budgets aren’t as big now, the interest in and need for new technology hasn’t stopped.

Q: How do you expect the economic downturn to affect the materials handling industry in general?

Overall, the look forward is mid single-digit downturns in some sectors year-over-year, which really is modest. This year will be flat to slightly down, but that’s a normal part of the business cycle.

Q: One last show-related question: When you’re not on the show floor, what’s your favorite thing to do in Cleveland?

I just like to network with the attendees and exhibitors. I enjoy being part of the energy of 20,000 leading suppliers and users gathered together in one city trying to raise the bar for their supply chain—whether that’s in the taverns or the restaurants or on the floor of the show.