FOR RELEASE: Tuesday, May 5th, 2026
Contact:
Zac Rogers, Ph.D.
Logistics Manager’s Index Analyst
Associate Professor, Supply Chain Management
Department of Management
Colorado State University
Fort Collins, Colorado
(970) 491-0890
E-mail: [email protected]
Contact:
Zac Rogers, Ph.D.
Logistics Manager’s Index Analyst
Associate Professor, Supply Chain Management
Department of Management
Colorado State University
Fort Collins, Colorado
(970) 491-0890
E-mail: [email protected]
April 2026 Logistics Manager’s Index Report®
LMI® at 69.9
Growth is INCREASING AT AN INCREASING RATE for: Inventory Levels, Warehousing Utilization, Warehousing Prices, Transportation Utilization, and Transportation Prices
Growth is INCREASING AT A DECREASING RATE for: Inventory Costs
Warehousing Capacity and Transportation Capacity are CONTRACTING
LMI® at 69.9
Growth is INCREASING AT AN INCREASING RATE for: Inventory Levels, Warehousing Utilization, Warehousing Prices, Transportation Utilization, and Transportation Prices
Growth is INCREASING AT A DECREASING RATE for: Inventory Costs
Warehousing Capacity and Transportation Capacity are CONTRACTING
(Fort Collins, CO) —The March Logistics Manager’s Index reads in at 69.9, up (+4.2) from March’s reading of 65.7. This is the fastest level of expansion since March 2022’s reading of 76.2 as logistics movements are now knocking on the door of 70.0 and significant expansion. This is driven by continued expansion in the freight market. Transportation Prices continue on their sharp upward trajectory (+5.6) in April to 95.0. This is the second-fasted rate of expansion for this, or any, metric that we have recorded in 9.5-year history of the LMI. Mirroring this movement, the April 2026 reading also features the second-lowest reading ever for Transportation Capacity, which is down (-10.9) to 28.4. The 66.6-point spread between Transportation Prices and Transportation Capacity is the largest delta we have ever read. Taken together, this means that we have never before tracked the transportation metric getting simultaneously tighter or more expensive. Freight markets were already on a strong upward trajectory coming into 2026, the closure of the Strait of Hormuz and subsequent increase in fuel costs have supercharged these movements. While this is good news for carriers in the near-term, it remains unclear what the long-term effects will be. Inventory Costs (74.7) and Warehousing Prices (72.2) both came in above 70.0, which we consider the threshold for “significant” expansion. Aggregating these three costs together, we see that upward movements in logistics costs are in at 242.4. This is the fastest rate of expansion since March of 2022 and represents a 46.8-point increase from the much milder reading of 195.7 from December. Previous readings above 240.0 for aggregate logistics costs have been strongly significantly predictive of future supply-induced inflation.
in at. Freight markets have been resilient thus far, partly because low inventories have meant that firms need to keep goods moving. Interestingly, we saw Inventory level expansion increase (+7.3) from 52.4 to 59.8 over the course of April, corroborating other reporting that inventories have begun increasing as firms consolidate shipments to avoid transportation surcharges[1].
Researchers at Arizona State University, Colorado State University, Florida Atlantic University, Rutgers University, and the University of Nevada, Reno, and in conjunction with the Council of Supply Chain Management Professionals (CSCMP) issued this report today.
Results Overview
The LMI score is a combination of eight unique 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 50.0 indicates that logistics is expanding; a reading below 50.0 is indicative of a shrinking logistics industry. The latest results of the LMI summarize the responses of supply chain professionals collected in April 2026.
The April LMI read in at 69.9, which is up (+4.2) from March’s reading of 65.7. This is well above the all-time average of 61.4 and is the fastest rate of expansion since March of 2022. This robust rate of expansion is consistent across respondents, with no significant differences between Upstream and Downstream (66.1 and 62.3) and early and late (64.0 and 65.7). There was however a marginally statically significant difference between smaller (66.7) and larger (62.5) respondents – which is largely driven by tighter available Warehousing Capacity and faster expansion in Inventory Levels and Transportation Utilization for smaller respondents.
The moves in the logistics industry reflect (and often precede) the movements in the overall economy. The economy continues to be in an interesting place in April, growth is continuing in spite of – or in some cases due to – increasing prices. For instance, U.S. retail sales were up 1.7% in March. However, this increase was fueled by increased fuel costs, if gasoline is removed from this calculation the reading drops to 0.6%[2]. The average retail gasoline price in the U.S. was $3.95 per gallon in the U.S. (and over $5.00 on the West Coast). The national average is up 41.2% from the final reading before the war between the U.S., Israel, and Iran. It is a similar story for diesel which, despite being down 19-cents from two weeks ago, is up 40% from pre-war readings[3]. Relatedly, the Personal Consumption Expenditures (PCE) index was up by 0.7 month-over-months and up 3.5% year-over-year in March, which are the largest increases since May of 2023 – which was the tail-end of the inflation caused by the invasion of Ukraine. Core inflation is up 0.3% month-over month and 3.2% year-over-year. Core inflation excludes food and energy prices, so the impacts of the closure of the Strait of Hormuz will take longer to show up there. Analysts believe that inflation was the primary driver behind the 0.9% increase in consumer spending last month[4]. This echoes the 3.3% year-over-year increase in the CPI that was reported earlier in April[5]. Increased costs are clearly weighing heavily on consumers. The University of Michigan Survey of Consumers was down (-3.5) to 49.8 and contraction in April. This is the lowest reading in the history of that index, surpassing the previous nadir of 50.0 in June 2022, which was the peak of post-Ukraine invasion inflation Respondents reported slower (-5.9) expansion in Current Economic Conditions at 52.5, and contraction (-7.0) in Consumer Expectations at 48.1[6].
Inflation is clearly on the mind of the Federal Reserve as well. In the final Fed meeting under Chairman Powell, the board announced its play to keep interest rates steady for the third consecutive time. They did however state that “additional” reductions may be on the horizon, leading analysts to believe they will have a bias towards easing monetary policy in the near future. This raised some disagreement among Fed Presidents, with three dissenting. Interestingly, the dissent was a response to easing policy, as some members did not believe such a move is necessary while employment remains steady[7]. U.S. jobless applications were down (-26,000) in the last week of April to 189,000. This comes on the heels of 178,000 new jobs in March – which in itself was a contrast to the 92,000 job loss in February[8].
Beyond fuel costs, tariffs continue to be a source of costs. Although there is some relief on this front as on April 20th over 300,000 U.S. importers became eligible to file claims for tariff refunds. The first wave of refunds is expected to disseminate within 60-90 days[9]. Ford and GM have already folded their expected refunds ($1.3 billion and 500 million respectively) into earnings guidance for the second quarter. Even with the more relaxed regulations, Ford announced they are still anticipating to pay $1 billion in tariffs in 2026 – down 50% from the $2 billion they paid in 2025[10]. GM expects to pay import duties of $2.5-$3.5 billion. In both cases the high bills are driven mainly by the costs of commodities, like aluminum, which were not impacted by the Supreme Court ruling earlier this year[11]. Both UPS and FedEx, who passed a significant amount of their tariff costs onto shippers through surcharges, have announced that they will offer refunds on those additional charges to their customers[12].
There are new tariffs as well, as President Trump announced plans in April to increase tariffs on EU automotives from 15% to 25%. This is thought by some to be a negotiation tactic to incentivize the European Commission to push through legislation to finalize the trade program between the U.S. and EU that was agreed to in policy last year[13]. China is going the opposite direction on tariffs, putting a new policy into effect on Friday that will give the 20 largest African economies tariff-free access to the large Chinese market. 53 of the 54 nations of Africa are now tariff-free with China (only Eswatini is left out due to their formal diplomatic relationship with Taiwan). This is a significant shift from the 8%-30% tariffs that larger African nations like South Africa, Ghana, and Kenya had previously faced. The move comes as African nations, spurned by both the end of USAID and punitive import tariffs, continue to turn away from the U.S. as a trade partner[14].
While the costs of tariffs and energy provide a drag on the economy, AI and a strong stock market has provided a boost – resulting in the K-shaped economy at home and aboard. Countries that are integral to the AI supply chain are doing well, as seen in Soutf Korea’s 48% year-over-year surge in April[15]. Similarly, Taiwan’s GDP was up 13.7% year-over-year in Q1 of 2026 – spurred on by a 35.25% increase in goods and services exports[16]. On the flipside, Eurozone GDP was up by only 0.1% in Q1[17], with Germany and Spain both experiencing multiyear highs in inflation due to high energy prices. Europe is a net importer of energy, making them vulnerable to the ongoing disruptions in the Middle East. The European Central Bank (ECB) believes that the 14% increase in oil could contribute half a point to inflation on its own[18]. Respondents polled across the Eurozone are expecting 4% inflation over the next year – up from the pre-war expectation of 2.5%[19]. It is no coincidence that policymakers in Japan, the UK, and EU all announced they would not shift short-term interest rates in the last week of April. Federal banks around the world are attempting to thread the needle; recognizing the need for some monetary easing to stimulate growth, but also wary of potential inflation triggered by a prolonged energy shortage[20].
As mentioned above, the biggest movements in this month’s index come from the transportation metrics. Transportation Capacity was the biggest mover, dropping (-10.9) to 28.4. This is an extreme rate of contraction and the second-lowest reading in the history of this metric, ahead of only the reading of 23.8 from September 2020 which was the kick-off of the first pandemic peak season. Transportation Prices hit a recent high as well, up (+5.6) to 95.0, which is the second-highest reading ever behind the 95.8 that was hit in the March/April 2018 reading (the LMI was bimonthly until August 2018) which was in the immediate aftermath of the 2018 tax cut. The delta between these two metrics, which we have often used as barometer to track overall activity in the freight market, is 66.6 in April. That means that we have never seen an equivalent combination of tightened capacity and increasing prices.
These movements are reflected in overall energy prices being up 12.5% year-over-year in March – a sharp contrast from the 0.5% year-over-year increase a month earlier in February[21]. Consumer spending data from the Bureau of Economic Analysis (BEA) suggests that Americans are spending more on services and less of goods. Analysts believe that is partially due to the continuing increase in the cost of goods[22]. Goods tend to absorb more transportation volume than services, so if this shift continues it could offer some headwinds towards utilization. Conversely, additional tailwinds could come as housing starts were up 10.8% in March, with 1.372 million new residential units permitted[23]. This underlies the potential for construction to bolster freight volumes over the summer.
The metric that demonstrated the greatest divergence between respond groups was Transportation Utilization. Transportation Utilization is up (+6.7) to 69.6, which is it’s highest reading since November of 2021. This continues the upward swing last fall when utilization hit a nadir of 50.0 in September. The upward momentum is powered by smaller firms (73.1 to 64.8 for larger firms), as well as Upstream respondents (76.1 to 55.0 Downstream). Respondents expect these differences to continue moving forward, with Upstream respondents predicting significantly faster utilization expansion (78.0) than their Downstream (66.7) counterparts. The capacity crunch is being felt everywhere, but it is most acute with larger firms (23.9 to 32.7 for smaller respondents) and Upstream firms (26.9 to 31.7 for Downstream respondents). These differences likely reflect the stock up happening at manufacturers and wholesalers[24] as they attempt to compensate for increased fuel prices through freight consolidation.
Evidence of freight consolidation leading to faster rates of inventory expansion is beginning to appear in the data. Q1 imports were up by 21.4% year-over-year in Q1. This is measured in dollars, so this is a combination of higher prices as well as a move towards freight consolidation[25]. This was a bit of an intra-quarter shift, as inventories were lower earlier in the year as firms pursued a JIT strategy to avoid tariff charges. This has shifted a bit with increased transportation prices, as this incentivizes some level of freight consolidation and therefore larger orders. Inventory Levels are up (+1.5) to 56.3. This was largely driven later in the month. Inventory Level expansion read in at 52.4 in early April, which is close to no movement. It became more robust in the second half of the month however, moving to 59.8. It is also driven more Upstream (57.9 to 53.3 Downstream). This is reflective of S&P global manufacturing data, which showed that April 2-26 was the biggest jump in new manufacturing orders since May of 2022. This is a sharp shift from December-February, when both Upstream and Downstream firms were pursuing more lean inventory policies[26]. It seems that this strategy might continue, as the Port of Los Angeles Signal tracker, which shows that imports in the last week of April and first two weeks of May are up year-over-year by 28.8%, 44.5%, and 47.6% respectively[27]. This is a sharp contrast to the same period a year ago, when imports were tamped down by the much-discussed “air pocket”.
Looming over all of this is the continued expansion in Inventory Costs. While the rate was slightly down (-1.5) the reading of 74.7 indicates that Inventory Costs continue to increase at a rapid pace. The cost is higher for smaller firms (77.8 to 70.5 for larger firms), which may have less flexibility with moving orders around and consolidating shipments due to their lower economies of scale. This has put pressure on firms to innovate, often through automation, to avoid costs. A recent example of this is UPS has invested $100 million into RFID tracking to keep tighter control on the billions of parcels they move every year. This is being accomplished by embedding RFID tags into shipping labels, enabling more accurate scan-in/scan-out movements. UPS reports that misloads are down approximately 70% since this technology was first adopted. There is long-term potential for cost savings as well, with UPS estimating that full implementation will save 20 million manual scans each year[28].
A non-negligible driver of the growth of Inventory Costs is the continued expansion of Warehousing Prices, which are up (+5.3) to 72.7 and the fastest rate of expansion since February 2025. The costs are higher for larger firms, reading in at 76.3 to the 69.1 reported by their smaller counterparts. These higher prices come despite smaller firms reporting tighter Warehousing Capacity (41.5) than larger firms (48.8). This dissonance may be due to the ability of larger firms to overpay for space, boxing out smaller firms and leaving them with fewer options. That being said, Warehousing Capacity is tight everywhere declining (-0.5) to 45.5. This is the fastest rate of contraction for this metric since March of 2024 and the second fastest since October 2022 at the height of the post-covid bullwhip. Finally, Warehousing Utilization is up (+4.6) to 64.4, which is the highest rate of expansion since September 2025 which was the peak of the pre-Q4 buildup. Once again, this is primarily driven Upstream, which reported expansion of 68.1 to the 56.9 reported Downstream. This is likely reflective of the increased buildup in manufacturing inventories that was discussed earlier.
It is notable all of the cost/price metrics continue to increase in April. Aggregate logistics costs combining all three metrics are up (+9.2) to 242.2 this month. This is the highest level since April 2022. This previous peak was part of a run of high logistics inflation that led to the highest U.S. inflation in 40 years. Supply-driven inflation is more difficult for the Fed to combat that demand-driven inflation because higher interest rates cannot create greater supply (in some cases they actually may hinder supply). If logistics costs remain elevated, it is likely there will be at least some inflation. Respondents seem to be predicting with this, forecasting aggregate logistics costs will increase at a rate of 254.7 over the next 12 months.
in at. Freight markets have been resilient thus far, partly because low inventories have meant that firms need to keep goods moving. Interestingly, we saw Inventory level expansion increase (+7.3) from 52.4 to 59.8 over the course of April, corroborating other reporting that inventories have begun increasing as firms consolidate shipments to avoid transportation surcharges
Researchers at Arizona State University, Colorado State University, Florida Atlantic University, Rutgers University, and the University of Nevada, Reno, and in conjunction with the Council of Supply Chain Management Professionals (CSCMP) issued this report today.
Results Overview
The LMI score is a combination of eight unique 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 50.0 indicates that logistics is expanding; a reading below 50.0 is indicative of a shrinking logistics industry. The latest results of the LMI summarize the responses of supply chain professionals collected in April 2026.
The April LMI read in at 69.9, which is up (+4.2) from March’s reading of 65.7. This is well above the all-time average of 61.4 and is the fastest rate of expansion since March of 2022. This robust rate of expansion is consistent across respondents, with no significant differences between Upstream and Downstream (66.1 and 62.3) and early and late (64.0 and 65.7). There was however a marginally statically significant difference between smaller (66.7) and larger (62.5) respondents – which is largely driven by tighter available Warehousing Capacity and faster expansion in Inventory Levels and Transportation Utilization for smaller respondents.
The moves in the logistics industry reflect (and often precede) the movements in the overall economy. The economy continues to be in an interesting place in April, growth is continuing in spite of – or in some cases due to – increasing prices. For instance, U.S. retail sales were up 1.7% in March. However, this increase was fueled by increased fuel costs, if gasoline is removed from this calculation the reading drops to 0.6%
Inflation is clearly on the mind of the Federal Reserve as well. In the final Fed meeting under Chairman Powell, the board announced its play to keep interest rates steady for the third consecutive time. They did however state that “additional” reductions may be on the horizon, leading analysts to believe they will have a bias towards easing monetary policy in the near future. This raised some disagreement among Fed Presidents, with three dissenting. Interestingly, the dissent was a response to easing policy, as some members did not believe such a move is necessary while employment remains steady
Beyond fuel costs, tariffs continue to be a source of costs. Although there is some relief on this front as on April 20th over 300,000 U.S. importers became eligible to file claims for tariff refunds. The first wave of refunds is expected to disseminate within 60-90 days
There are new tariffs as well, as President Trump announced plans in April to increase tariffs on EU automotives from 15% to 25%. This is thought by some to be a negotiation tactic to incentivize the European Commission to push through legislation to finalize the trade program between the U.S. and EU that was agreed to in policy last year
While the costs of tariffs and energy provide a drag on the economy, AI and a strong stock market has provided a boost – resulting in the K-shaped economy at home and aboard. Countries that are integral to the AI supply chain are doing well, as seen in Soutf Korea’s 48% year-over-year surge in April
As mentioned above, the biggest movements in this month’s index come from the transportation metrics. Transportation Capacity was the biggest mover, dropping (-10.9) to 28.4. This is an extreme rate of contraction and the second-lowest reading in the history of this metric, ahead of only the reading of 23.8 from September 2020 which was the kick-off of the first pandemic peak season. Transportation Prices hit a recent high as well, up (+5.6) to 95.0, which is the second-highest reading ever behind the 95.8 that was hit in the March/April 2018 reading (the LMI was bimonthly until August 2018) which was in the immediate aftermath of the 2018 tax cut. The delta between these two metrics, which we have often used as barometer to track overall activity in the freight market, is 66.6 in April. That means that we have never seen an equivalent combination of tightened capacity and increasing prices.
These movements are reflected in overall energy prices being up 12.5% year-over-year in March – a sharp contrast from the 0.5% year-over-year increase a month earlier in February
The metric that demonstrated the greatest divergence between respond groups was Transportation Utilization. Transportation Utilization is up (+6.7) to 69.6, which is it’s highest reading since November of 2021. This continues the upward swing last fall when utilization hit a nadir of 50.0 in September. The upward momentum is powered by smaller firms (73.1 to 64.8 for larger firms), as well as Upstream respondents (76.1 to 55.0 Downstream). Respondents expect these differences to continue moving forward, with Upstream respondents predicting significantly faster utilization expansion (78.0) than their Downstream (66.7) counterparts. The capacity crunch is being felt everywhere, but it is most acute with larger firms (23.9 to 32.7 for smaller respondents) and Upstream firms (26.9 to 31.7 for Downstream respondents). These differences likely reflect the stock up happening at manufacturers and wholesalers
Evidence of freight consolidation leading to faster rates of inventory expansion is beginning to appear in the data. Q1 imports were up by 21.4% year-over-year in Q1. This is measured in dollars, so this is a combination of higher prices as well as a move towards freight consolidation
Looming over all of this is the continued expansion in Inventory Costs. While the rate was slightly down (-1.5) the reading of 74.7 indicates that Inventory Costs continue to increase at a rapid pace. The cost is higher for smaller firms (77.8 to 70.5 for larger firms), which may have less flexibility with moving orders around and consolidating shipments due to their lower economies of scale. This has put pressure on firms to innovate, often through automation, to avoid costs. A recent example of this is UPS has invested $100 million into RFID tracking to keep tighter control on the billions of parcels they move every year. This is being accomplished by embedding RFID tags into shipping labels, enabling more accurate scan-in/scan-out movements. UPS reports that misloads are down approximately 70% since this technology was first adopted. There is long-term potential for cost savings as well, with UPS estimating that full implementation will save 20 million manual scans each year
A non-negligible driver of the growth of Inventory Costs is the continued expansion of Warehousing Prices, which are up (+5.3) to 72.7 and the fastest rate of expansion since February 2025. The costs are higher for larger firms, reading in at 76.3 to the 69.1 reported by their smaller counterparts. These higher prices come despite smaller firms reporting tighter Warehousing Capacity (41.5) than larger firms (48.8). This dissonance may be due to the ability of larger firms to overpay for space, boxing out smaller firms and leaving them with fewer options. That being said, Warehousing Capacity is tight everywhere declining (-0.5) to 45.5. This is the fastest rate of contraction for this metric since March of 2024 and the second fastest since October 2022 at the height of the post-covid bullwhip. Finally, Warehousing Utilization is up (+4.6) to 64.4, which is the highest rate of expansion since September 2025 which was the peak of the pre-Q4 buildup. Once again, this is primarily driven Upstream, which reported expansion of 68.1 to the 56.9 reported Downstream. This is likely reflective of the increased buildup in manufacturing inventories that was discussed earlier.
It is notable all of the cost/price metrics continue to increase in April. Aggregate logistics costs combining all three metrics are up (+9.2) to 242.2 this month. This is the highest level since April 2022. This previous peak was part of a run of high logistics inflation that led to the highest U.S. inflation in 40 years. Supply-driven inflation is more difficult for the Fed to combat that demand-driven inflation because higher interest rates cannot create greater supply (in some cases they actually may hinder supply). If logistics costs remain elevated, it is likely there will be at least some inflation. Respondents seem to be predicting with this, forecasting aggregate logistics costs will increase at a rate of 254.7 over the next 12 months.
Respondents were asked to predict movement in the overall LMI and individual metrics 12 months from now. Respondent predictions for the overall index are 73.2, which is up (+5.4) from March’s future prediction of 67.8. Much of this upwards revision is driven by the anticipated shift in inventory strategies. Predicted Inventory Level expansion is up (+6.7) to 65.5, which represents a robust rate of expansion and marked departure from the more JIT predictions of the last four months. Increase expectations for inventory volumes manifest in predictions for higher Inventory Costs (+4.8 to 79.2), tighter Warehousing Capacity bordering on no movement (-4.7 to 50.6), and notably faster rates of expansion for Warehousing Utilization (+10.1 to 75.0), Warehousing Prices (+7.8 to 81.6), and Transportation Utilization (+6.5 to 74.5). While there was not as much movement for Transportation Capacity (-1.8 to 33.2) or Transportation Prices (+0.9 to 93.9) that is largely due to the fact that predictions for these two metrics were already so extreme in March. Taken altogether, these future predictions anticipate a costly buildup of inventories that will fuel tight capacity and high prices across supply chains.
We observe some differences when comparing feedback from Upstream (blue bars) and Downstream (orange bars) respondents in April. The most significant differences are in the utilization of physical logistics assets. For the second consecutive month, Transportation Utilization comes in significantly higher Upstream (76.1) than Downstream (55.1). Upstream firms also report marginally significantly higher expansion for Warehousing Utilization (68.1) relative to their Downstream counterparts (56.9). These differences are at least partially due to the slower rates of Inventory Level expansion Downstream (53.3) than Upstream (57.9). This is consistent with reports that Upstream manufacturing firms are increasing inventories in an effort to consolidate freight. Even with this move to consolidation, Upstream firms still report Transportation Prices expanding at 94.2, which is slightly lower than the 96.8 reported by the more inventory-lean Downstream firms. That latter value would be the highest reading for any metric in the history of the index.
We observe some differences when comparing feedback from Upstream (blue bars) and Downstream (orange bars) respondents in April. The most significant differences are in the utilization of physical logistics assets. For the second consecutive month, Transportation Utilization comes in significantly higher Upstream (76.1) than Downstream (55.1). Upstream firms also report marginally significantly higher expansion for Warehousing Utilization (68.1) relative to their Downstream counterparts (56.9). These differences are at least partially due to the slower rates of Inventory Level expansion Downstream (53.3) than Upstream (57.9). This is consistent with reports that Upstream manufacturing firms are increasing inventories in an effort to consolidate freight. Even with this move to consolidation, Upstream firms still report Transportation Prices expanding at 94.2, which is slightly lower than the 96.8 reported by the more inventory-lean Downstream firms. That latter value would be the highest reading for any metric in the history of the index.
We also split future predictions by Downstream respondents (purple bars) and Upstream respondents (green bars). Similar what we observe with our current readings, Inventory Levels are predicted to be higher Upstream (68.4) than Downstream (60.0). The higher builds of inventory may also be fueling the prediction for significantly higher Transportation Utilization Upstream (78.0) than Downstream (66.7). Upstream firms are also expecting marginally significantly higher overall movements, predicting expansion of 70.6 in the overall index relative to a prediction of 66.5 Downstream. Warehousing Capacity looks to be tight across the supply chain, as Upstream (50.9) and Downstream (50.0) firms predict essentially no change. In contrast, both groups predict rampant increases in Transportation Prices at 94.9 Upstream and 91.9 Downstream. These numbers likely assume some consistency in consumer spending and Upstream investment, so continued monitoring over the next year will be important.
We analyze any differences in responses collected in early (gold bars) versus late (green bars) April. For the first time in 2026, we do not read a significant intra-month jump in Transportation Prices. This is largely because this had nowhere to go, coming in at 93.5 in early April before ticking up to 96.3 later in the month. We also saw some increase in Inventory Levels, which went from almost no movement (52.4) early in the month to moderate-to-robust expansion (59.8) in the second half of April. Mid-April was six weeks after the beginning of the conflict with Iran, so it is logical that the change in inventory strategies began to materialize then. It will be interesting to observe whether this trend of great inventories continues into May.
We analyze any differences in responses collected in early (gold bars) versus late (green bars) April. For the first time in 2026, we do not read a significant intra-month jump in Transportation Prices. This is largely because this had nowhere to go, coming in at 93.5 in early April before ticking up to 96.3 later in the month. We also saw some increase in Inventory Levels, which went from almost no movement (52.4) early in the month to moderate-to-robust expansion (59.8) in the second half of April. Mid-April was six weeks after the beginning of the conflict with Iran, so it is logical that the change in inventory strategies began to materialize then. It will be interesting to observe whether this trend of great inventories continues into May.
We also compare smaller firms (those with 0-999 employees, represented by maroon lines) to larger firms (those with 1,000 employees or more, represented by gold lines) in April. For the third consecutive month we find several significant differences between large and small respondents. While it is not statistically significant, smaller firms once again report a faster rate of expansion in Inventory Levels at 58.7 contrasting with the 52.5 reported by larger firms. As might be expected, this also leads to higher Inventory Costs (77.8 smaller to 70.5 larger) and tighter Warehousing Capacity (41.5 smaller to 48.8 larger) for smaller firms. Smaller firms also report marginally significantly faster expansion in Transportation Utilization (73.1 to 64.8). At the same time, larger firms predict significantly tighter Transportation Capacity contraction at 23.9 to 32.7 for smaller firms. Despite these differences, it is clear that freight markets have become tight and expensive for firms of all sizes. This is evident in the extreme Transportation Prices expansion reported by smaller (93.6) and larger (96.6) respondents. Finally, we see marginally statistically significantly faster expansion in the overall LMI for smaller firms (66.7) than larger firms (62.5).
The index scores for each of the eight components of the Logistics Managers’ Index, as well as the overall index score, are presented in the table below. The rate of expansion for the overall index is 69.9, which is up (+4.2) from March’s reading of 65.7 and is the highest reading for the overall metric since March of 2022. The expansion is driven by the second-highest Transportation Prices reading in the history of the index at 95.0. Relatedly, available Transportation Capacity is down (--10.9) to 28.4, which is second lowest reading for this or any metric in the history of the index. Warehousing Prices (+5.3) and Inventory Costs (-1.5) both come in at robust increases of 72.7 and 74.7 respectively. Inventory Levels are up slightly (+1.5) to 56.3, which is a moderate rate of expansion. Essentially, costs are expanding at a significant rate despite the moderate inventory expansion, highlighting the continual increase in costs. Aggregate costs are now at 242.4, which is their fastest rate of growth since April of 2022 at the height of inflation.
The index scores for each of the eight components of the Logistics Managers’ Index, as well as the overall index score, are presented in the table below. The rate of expansion for the overall index is 69.9, which is up (+4.2) from March’s reading of 65.7 and is the highest reading for the overall metric since March of 2022. The expansion is driven by the second-highest Transportation Prices reading in the history of the index at 95.0. Relatedly, available Transportation Capacity is down (--10.9) to 28.4, which is second lowest reading for this or any metric in the history of the index. Warehousing Prices (+5.3) and Inventory Costs (-1.5) both come in at robust increases of 72.7 and 74.7 respectively. Inventory Levels are up slightly (+1.5) to 56.3, which is a moderate rate of expansion. Essentially, costs are expanding at a significant rate despite the moderate inventory expansion, highlighting the continual increase in costs. Aggregate costs are now at 242.4, which is their fastest rate of growth since April of 2022 at the height of inflation.
Historic Logistics Managers’ Index Scores
This period’s along with prior readings from the last two years of the LMI are presented table below:
This period’s along with prior readings from the last two years of the LMI are presented table below:
LMI®
The March Logistics Manager’s Index reads in at 69.9, up (+4.2) from March’s reading of 65.7 and is the highest reading since April of 2022. This is driven by continued strength among the transportation metrics and strong cost/price growth across the board. We also see a notable uptick in inventories. The overall expansion is consistent across respondents, with no significant differences between Upstream and Downstream or between early and late March responses. We do, however, see a marginally significant statistical difference between smaller (66.7) and larger (62.5) firms.
When asked to predict what conditions will be over the next 12 months, respondents foresee a rate of expansion of 73.2, which is up (+6.7) from March’s future prediction of 67.8 and would be comfortably above the all-time average of 61.4. Upstream respondents are predicting marginally statically significantly faster rates of expansion at 70.6 to the 66.5 predicted Downstream. Despite the statistical difference, both of these would represent robust expansion in logistics metrics over the next year.
The March Logistics Manager’s Index reads in at 69.9, up (+4.2) from March’s reading of 65.7 and is the highest reading since April of 2022. This is driven by continued strength among the transportation metrics and strong cost/price growth across the board. We also see a notable uptick in inventories. The overall expansion is consistent across respondents, with no significant differences between Upstream and Downstream or between early and late March responses. We do, however, see a marginally significant statistical difference between smaller (66.7) and larger (62.5) firms.
When asked to predict what conditions will be over the next 12 months, respondents foresee a rate of expansion of 73.2, which is up (+6.7) from March’s future prediction of 67.8 and would be comfortably above the all-time average of 61.4. Upstream respondents are predicting marginally statically significantly faster rates of expansion at 70.6 to the 66.5 predicted Downstream. Despite the statistical difference, both of these would represent robust expansion in logistics metrics over the next year.
Inventory Levels
The Inventory Level index is 56.3, up slightly (+1.5) from March’s reading of 54.8. Inventory Levels are 0.8 points lower than a year ago, and 5.3 points higher than two years ago at this time. Upstream (57.9) reported a small increase in inventory levels, while Downstream (53.3) reported a smaller increase, with a difference of 4.6 points. Small respondents showed a modest increase in inventory levels, at 58.7, while larger firms showed a small increase, at 52.5. Early respondents (52.4) showed a small increase in inventory levels, while late (59.8) showed a larger increase which is consistent with reporting that inventories have increased as a reaction to higher fuel prices.
Increased inventory strategies are reflected in forward-looking predictions. Future Inventory Levels growth is 65.5, up notably (+5.7) from March’s future prediction of 58.8, down (-2.6) from February’s future prediction of 61.4. Upstream (68.4) showed a larger increase than Downstream (60.0), but both expect significant increases over the next year. The Upstream value is 10.2 points higher than last month, and the Downstream value is 0.4 points lower than last month’s value of 60.4.
The Inventory Level index is 56.3, up slightly (+1.5) from March’s reading of 54.8. Inventory Levels are 0.8 points lower than a year ago, and 5.3 points higher than two years ago at this time. Upstream (57.9) reported a small increase in inventory levels, while Downstream (53.3) reported a smaller increase, with a difference of 4.6 points. Small respondents showed a modest increase in inventory levels, at 58.7, while larger firms showed a small increase, at 52.5. Early respondents (52.4) showed a small increase in inventory levels, while late (59.8) showed a larger increase which is consistent with reporting that inventories have increased as a reaction to higher fuel prices.
Increased inventory strategies are reflected in forward-looking predictions. Future Inventory Levels growth is 65.5, up notably (+5.7) from March’s future prediction of 58.8, down (-2.6) from February’s future prediction of 61.4. Upstream (68.4) showed a larger increase than Downstream (60.0), but both expect significant increases over the next year. The Upstream value is 10.2 points higher than last month, and the Downstream value is 0.4 points lower than last month’s value of 60.4.
Inventory Costs
Inventory Costs are 74.7, down (-1.5) from March’s reading of 76.2 but still indicate a significant expansion in costs. The value this month is 0.9 points below last year, and 6.2 points above two years ago. Upstream (75.5) reported slightly higher costs than Downstream (73.3). Since Upstream inventory levels were higher than Downstream inventory levels, it isn’t surprising Upstream costs are higher. What is surprising is that for Upstream, the Inventory Cost index is 17.6 points higher than the Inventory Level index. For Downstream, Costs are 20.0 points higher than the Level. This disparity is likely due to a combination of tariffs, high storage costs, and the price of fuel. Even with the intra-month increase in Inventory Levels, early (73.8) and late (75.6) respondents gave very similar readings for Inventory Costs. For early, the cost number is 21.3 points higher than the level number. For late, the difference is 15.8 points.
Predictions for future Inventory Cost growth is 79.2, up (+4.8) from March’s future prediction of 74.4. This borders on extreme rates of expansion and suggests that, even with freight consolidation, that costs will continue to increase significantly over the next 12 months. Upstream (78.7) and Downstream (80.0) firms reported similar expected increases in Inventory Costs. Upstream firms expect Inventory Costs (78.7) to increase by 10.3 points more than Inventory Levels (68.4). Downstream firms expect Inventory Costs (80.0) to increase by 20.0 points more than Inventory Levels (60.0). Downstream firms expect the increase in Inventory Costs to be much larger than the increase in Inventory Levels.
Inventory Costs are 74.7, down (-1.5) from March’s reading of 76.2 but still indicate a significant expansion in costs. The value this month is 0.9 points below last year, and 6.2 points above two years ago. Upstream (75.5) reported slightly higher costs than Downstream (73.3). Since Upstream inventory levels were higher than Downstream inventory levels, it isn’t surprising Upstream costs are higher. What is surprising is that for Upstream, the Inventory Cost index is 17.6 points higher than the Inventory Level index. For Downstream, Costs are 20.0 points higher than the Level. This disparity is likely due to a combination of tariffs, high storage costs, and the price of fuel. Even with the intra-month increase in Inventory Levels, early (73.8) and late (75.6) respondents gave very similar readings for Inventory Costs. For early, the cost number is 21.3 points higher than the level number. For late, the difference is 15.8 points.
Predictions for future Inventory Cost growth is 79.2, up (+4.8) from March’s future prediction of 74.4. This borders on extreme rates of expansion and suggests that, even with freight consolidation, that costs will continue to increase significantly over the next 12 months. Upstream (78.7) and Downstream (80.0) firms reported similar expected increases in Inventory Costs. Upstream firms expect Inventory Costs (78.7) to increase by 10.3 points more than Inventory Levels (68.4). Downstream firms expect Inventory Costs (80.0) to increase by 20.0 points more than Inventory Levels (60.0). Downstream firms expect the increase in Inventory Costs to be much larger than the increase in Inventory Levels.
Warehousing Capacity
The reading for Warehousing Capacity for April 2026 registered in at 45.5 reflecting a .5-point drop from the month prior. This reading is down 9.9 points from the reading one year ago and is also down by 8.5-points from the reading two years ago. In addition, there was a 1.8-point split between Upstream (44.9) and Downstream (46.7) which was not statistically significant (p>.1), but notable as both remain solidly in contractionary territory not three months in a row. Comparing the differences between small (<999 employees) and large (>999) employees we see that there is a 1.8-point difference between the two at 41.5 and 48.8. This 7.3-point split was not statistically significant (p >.1).
Exploring the future predictions for Warehousing Capacity, respondents predict moderate expansion at 50.6, down (-4.6) from March’s future prediction of 55.2. This prediction is close to no expansion, suggesting that storage capacity may be difficult to find over the next 12 months. Respondents across the supply chain predict similar movements, with Upstream predictions registering in at 50.9 and Downstream predictions registering in at 50.0, with this 0.9-point difference being not statistically significant (p>.1).
The reading for Warehousing Capacity for April 2026 registered in at 45.5 reflecting a .5-point drop from the month prior. This reading is down 9.9 points from the reading one year ago and is also down by 8.5-points from the reading two years ago. In addition, there was a 1.8-point split between Upstream (44.9) and Downstream (46.7) which was not statistically significant (p>.1), but notable as both remain solidly in contractionary territory not three months in a row. Comparing the differences between small (<999 employees) and large (>999) employees we see that there is a 1.8-point difference between the two at 41.5 and 48.8. This 7.3-point split was not statistically significant (p >.1).
Exploring the future predictions for Warehousing Capacity, respondents predict moderate expansion at 50.6, down (-4.6) from March’s future prediction of 55.2. This prediction is close to no expansion, suggesting that storage capacity may be difficult to find over the next 12 months. Respondents across the supply chain predict similar movements, with Upstream predictions registering in at 50.9 and Downstream predictions registering in at 50.0, with this 0.9-point difference being not statistically significant (p>.1).
Warehousing Utilization
Reversing the dip from last month, the Warehousing Utilization index registered in at 64.4-points for the month of April 2026, reflecting a 4.6-point increase from the month prior, firmly staying in expansionary territory. This reading is down 4.3 points from the reading one year ago, and down by 9.3 -points from the reading two years ago. In addition there was an 11.2-point split between Upstream (68.1) and Downstream (56.9), with this difference demonstrating a marginally statistically significant difference (p<.1). Comparing the differences between small (<999 employees) and large (>999) employees we see that these values are 65.6 and 62.2 with both small and large firms remaining in expansionary territory for three months in a row. This 3.4-point split was not statistically significant (p >.1).
Exploring the future predictions for Warehousing Utilization, respondents predict expansion at 75.0, way up (+10.1) from March’s future prediction of 64.9. This dramatic increase in utilization would be consistent with the predicted tightening in capacity. Expectations for growth are consistent across the supply chain with future Upstream expectations (76.3) predicted to grow at a slightly faster rate than Downstream expectations (72.4), where this 3.9-point difference was not statistically significant (p>.1).
Reversing the dip from last month, the Warehousing Utilization index registered in at 64.4-points for the month of April 2026, reflecting a 4.6-point increase from the month prior, firmly staying in expansionary territory. This reading is down 4.3 points from the reading one year ago, and down by 9.3 -points from the reading two years ago. In addition there was an 11.2-point split between Upstream (68.1) and Downstream (56.9), with this difference demonstrating a marginally statistically significant difference (p<.1). Comparing the differences between small (<999 employees) and large (>999) employees we see that these values are 65.6 and 62.2 with both small and large firms remaining in expansionary territory for three months in a row. This 3.4-point split was not statistically significant (p >.1).
Exploring the future predictions for Warehousing Utilization, respondents predict expansion at 75.0, way up (+10.1) from March’s future prediction of 64.9. This dramatic increase in utilization would be consistent with the predicted tightening in capacity. Expectations for growth are consistent across the supply chain with future Upstream expectations (76.3) predicted to grow at a slightly faster rate than Downstream expectations (72.4), where this 3.9-point difference was not statistically significant (p>.1).
Warehousing Prices
The warehousing pricing continues its upward rise, with pricing increasing by 5.3-points to 72.7 for April 2026. This reading is up 0.4-points from the reading one year ago, and up 8.9-points from the reading two years ago. In addition there was a 1.6 between Upstream (73.3) and Downstream (71.7) which was not statistically significant (p>.1). Comparing the differences between small (<999 employees) and large (>999) employees we see that these values are 69.1 and 76.3 reflecting a 7.1 -point difference between the two which was not statistically significant (p >.1).
Finally, exploring the future predictions for Warehouse Price, respondents predict robust expansion at 81.6, up (+7.8) from March’s future prediction of 73.8 and indicating an extreme rate of price expansion. Expectations across the supply chain are elevated, with future Upstream expectations (83.3) predicted to be increasing at a faster rate than Downstream expectations (78.3). This month's 5.0 -point difference was not significant (p>.1).
The warehousing pricing continues its upward rise, with pricing increasing by 5.3-points to 72.7 for April 2026. This reading is up 0.4-points from the reading one year ago, and up 8.9-points from the reading two years ago. In addition there was a 1.6 between Upstream (73.3) and Downstream (71.7) which was not statistically significant (p>.1). Comparing the differences between small (<999 employees) and large (>999) employees we see that these values are 69.1 and 76.3 reflecting a 7.1 -point difference between the two which was not statistically significant (p >.1).
Finally, exploring the future predictions for Warehouse Price, respondents predict robust expansion at 81.6, up (+7.8) from March’s future prediction of 73.8 and indicating an extreme rate of price expansion. Expectations across the supply chain are elevated, with future Upstream expectations (83.3) predicted to be increasing at a faster rate than Downstream expectations (78.3). This month's 5.0 -point difference was not significant (p>.1).
Transportation Capacity
The Transportation Capacity Index cratered 10.8 points to 28.4 percent in April 2026. With this large decrease, the Transportation Capacity index continues to indicate contraction for the fifth consecutive month. The Transportation Capacity index is by far at the lowest level recorded in the last two years and only 4.6 points away from the all-time low recorded in September of 2020. While the Upstream Transportation Capacity index is at 26.9, the Downstream index is at 31.7 but the difference is not statistically significant. Hence, the contraction observed in Transportation Capacity remains widespread across the supply chains and even more accentuated than last month.
The future Transportation Capacity index also dropped 1.7 points and now indicates 33.2, representing strong expectations of capacity contraction for the next 12 months. While the future Upstream index is at 31.6, the Downstream Transportation Capacity index is at 36.7, and the difference is not statistically significant. As such, expectations of strong contraction in future Transportation Capacity remain very strong across the supply chains, both Upstream and Downstream.
The Transportation Capacity Index cratered 10.8 points to 28.4 percent in April 2026. With this large decrease, the Transportation Capacity index continues to indicate contraction for the fifth consecutive month. The Transportation Capacity index is by far at the lowest level recorded in the last two years and only 4.6 points away from the all-time low recorded in September of 2020. While the Upstream Transportation Capacity index is at 26.9, the Downstream index is at 31.7 but the difference is not statistically significant. Hence, the contraction observed in Transportation Capacity remains widespread across the supply chains and even more accentuated than last month.
The future Transportation Capacity index also dropped 1.7 points and now indicates 33.2, representing strong expectations of capacity contraction for the next 12 months. While the future Upstream index is at 31.6, the Downstream Transportation Capacity index is at 36.7, and the difference is not statistically significant. As such, expectations of strong contraction in future Transportation Capacity remain very strong across the supply chains, both Upstream and Downstream.
Transportation Capacity
The Transportation Capacity Index cratered 10.8 points to 28.4 percent in April 2026. With this large decrease, the Transportation Capacity index continues to indicate contraction for the fifth consecutive month. The Transportation Capacity index is by far at the lowest level recorded in the last two years and only 4.6 points away from the all-time low recorded in September of 2020. While the Upstream Transportation Capacity index is at 26.9, the Downstream index is at 31.7 but the difference is not statistically significant. Hence, the contraction observed in Transportation Capacity remains widespread across the supply chains and even more accentuated than last month.
The future Transportation Capacity index also dropped 1.7 points and now indicates 33.2, representing strong expectations of capacity contraction for the next 12 months. While the future Upstream index is at 31.6, the Downstream Transportation Capacity index is at 36.7, and the difference is not statistically significant. As such, expectations of strong contraction in future Transportation Capacity remain very strong across the supply chains, both Upstream and Downstream.
The Transportation Capacity Index cratered 10.8 points to 28.4 percent in April 2026. With this large decrease, the Transportation Capacity index continues to indicate contraction for the fifth consecutive month. The Transportation Capacity index is by far at the lowest level recorded in the last two years and only 4.6 points away from the all-time low recorded in September of 2020. While the Upstream Transportation Capacity index is at 26.9, the Downstream index is at 31.7 but the difference is not statistically significant. Hence, the contraction observed in Transportation Capacity remains widespread across the supply chains and even more accentuated than last month.
The future Transportation Capacity index also dropped 1.7 points and now indicates 33.2, representing strong expectations of capacity contraction for the next 12 months. While the future Upstream index is at 31.6, the Downstream Transportation Capacity index is at 36.7, and the difference is not statistically significant. As such, expectations of strong contraction in future Transportation Capacity remain very strong across the supply chains, both Upstream and Downstream.
Transportation Utilization
The Transportation Utilization Index jumped another 6.7 points, indicating 69.6 in April 2026. With this increase the utilization index establishes a new two-year high and indicates a level 16.3 points higher than one year ago. These high levels of Transportation utilization have not been seen since spring of 2022. The Downstream Transportation Utilization Index is now at 55.0, while the Upstream index indicates 76.1, and the difference is statistically significant. As such, it can be concluded that the increase in Transportation Utilization remains much stronger Upstream than Downstream.
The future Transportation Utilization Index also increased 6.6 points and is indicating 74.5 points for the next 12 months. The future Upstream Transportation Utilization index is at 78.0 and the Downstream index at 66.7 and the difference is statistically significant. As such expectation of increased Transportation Utilization is stronger Upstream than Downstream.
The Transportation Utilization Index jumped another 6.7 points, indicating 69.6 in April 2026. With this increase the utilization index establishes a new two-year high and indicates a level 16.3 points higher than one year ago. These high levels of Transportation utilization have not been seen since spring of 2022. The Downstream Transportation Utilization Index is now at 55.0, while the Upstream index indicates 76.1, and the difference is statistically significant. As such, it can be concluded that the increase in Transportation Utilization remains much stronger Upstream than Downstream.
The future Transportation Utilization Index also increased 6.6 points and is indicating 74.5 points for the next 12 months. The future Upstream Transportation Utilization index is at 78.0 and the Downstream index at 66.7 and the difference is statistically significant. As such expectation of increased Transportation Utilization is stronger Upstream than Downstream.
Transportation Prices
The Transportation Prices Index increased another 5.6 points from the previous reading and recorded 95.0 in March 2026. With this increase the index is at the highest level recorded since spring of 2018 and only .8 points from the all-time record. While the Upstream Transportation Prices Index is at 94.2, the Downstream index is at 96.8 but the difference is not statistically significant. As such, it can be concluded that the inflationary pressure on Transportation Prices is being felt strongly across the supply chains.
The future index for Transportation Prices and increased 0.9 points, indicating 93.9 continuing to represent extremely high expectations of price increases for the next 12 months. The Upstream future Transportation Prices index is at 94.9 while the Downstream Transportation Prices index is at 91.9, but the difference is not statistically significant. Therefore, inflationary expectations in Transportation Prices remain very strong across the supply chains, both Upstream and Downstream.
The Transportation Prices Index increased another 5.6 points from the previous reading and recorded 95.0 in March 2026. With this increase the index is at the highest level recorded since spring of 2018 and only .8 points from the all-time record. While the Upstream Transportation Prices Index is at 94.2, the Downstream index is at 96.8 but the difference is not statistically significant. As such, it can be concluded that the inflationary pressure on Transportation Prices is being felt strongly across the supply chains.
The future index for Transportation Prices and increased 0.9 points, indicating 93.9 continuing to represent extremely high expectations of price increases for the next 12 months. The Upstream future Transportation Prices index is at 94.9 while the Downstream Transportation Prices index is at 91.9, but the difference is not statistically significant. Therefore, inflationary expectations in Transportation Prices remain very strong across the supply chains, both Upstream and Downstream.
About This Report
The data presented herein are obtained from a survey of logistics supply executives based on information they have collected within their respective organizations. LMI® makes no representation, other than that stated within this release, regarding the individual company data collection procedures. The data should be compared to all other economic data sources when used in decision-making.
Data and Method of Presentation
Data for the Logistics Manager’s Index is collected in a monthly survey of leading logistics professionals. The respondents are CSCMP members working at the director-level or above. Upper-level managers are preferable as they are more likely to have macro-level information on trends in Inventory, Warehousing and Transportation trends within their firm. Data is also collected from subscribers to both DC Velocity and Supply Chain Exchange as well. Respondents hail from firms working on all six continents, with the majority of them working at firms with annual revenues over a billion dollars. The industries represented in this respondent pool include, but are not limited to: Apparel, Automotive, Consumer Goods, Electronics, Food & Drug, Home Furnishings, Logistics, Shipping & Transportation, and Warehousing.
Respondents are asked to identify the monthly change across each of the eight metrics collected in this survey (Inventory Levels, Inventory Costs, Warehousing Capacity, Warehousing Utilization, Warehousing Prices, Transportation Capacity, Transportation Utilization, and Transportation Prices). In addition, they also forecast future trends for each metric ranging over the next 12 months. The raw data is then analyzed using a diffusion index. Diffusion Indexes measure how widely something is diffused or spread across a group. The Bureau of Labor Statistics has been using a diffusion index for the Current Employment Statics program since 1974, and the Institute for Supply Management (ISM) has been using a diffusion index to compute the Purchasing Managers Index since 1948. The ISM Index of New Orders is considered a Leading Economic Indicator.
We compute the Diffusion Index as follows:
PD = Percentage of respondents saying the category is Declining,
PU = Percentage of respondents saying the category is Unchanged,
PI = Percentage of respondents saying the category is Increasing,
Diffusion Index = 0.0 * PD + 0.5 * PU + 1.0 * PI
For example, if 25 say the category is declining, 38 say it is unchanged, and 37 say it is increasing, we would calculate an index value of 0*0.25 + 0.5*0.38 + 1.0*0.37 = 0 + 0.19 + 0.37 = 0.56, and the index is increasing overall. For an index value above 0.5 indicates the category is increasing, a value below 0.5 indicates it is decreasing, and a value of 0.5 means the category is unchanged. When a full year’s worth of data has been collected, adjustments will be made for seasonal factors as well.
Logistics Managers Index
Requests for permission to reproduce or distribute Logistics Managers Index Content can be made by contacting in writing at: Dale S. Rogers, WP Carey School of Business, Tempe, Arizona 85287, or by emailing [email protected] Subject: Content Request.
The authors of the Logistics Managers Index shall not have any liability, duty, or obligation for or relating to the Logistics Managers Index Content or other information contained herein, any errors, inaccuracies, omissions, or delays in providing any Logistics Managers Index Content, or for any actions taken in reliance thereon. In no event shall the authors of the Logistics Managers Index be liable for any special, incidental, or consequential damages, arising out of the use of the Logistics Managers Index. Logistics Managers’ Index, and LMI® are registered trademarks.
About The Logistics Manager’s Index®
The Logistics Manager’s Index (LMI) is a joint project between researchers from Arizona State University, Colorado State University, University of Nevada, Reno, Florida Atlantic University, and Rutgers University, supported by CSCMP. It is authored by Zac Rogers Ph.D., Steven Carnovale Ph.D., Shen Yeniyurt Ph.D., Ron Lembke Ph.D., and Dale Rogers Ph.D.
The data presented herein are obtained from a survey of logistics supply executives based on information they have collected within their respective organizations. LMI® makes no representation, other than that stated within this release, regarding the individual company data collection procedures. The data should be compared to all other economic data sources when used in decision-making.
Data and Method of Presentation
Data for the Logistics Manager’s Index is collected in a monthly survey of leading logistics professionals. The respondents are CSCMP members working at the director-level or above. Upper-level managers are preferable as they are more likely to have macro-level information on trends in Inventory, Warehousing and Transportation trends within their firm. Data is also collected from subscribers to both DC Velocity and Supply Chain Exchange as well. Respondents hail from firms working on all six continents, with the majority of them working at firms with annual revenues over a billion dollars. The industries represented in this respondent pool include, but are not limited to: Apparel, Automotive, Consumer Goods, Electronics, Food & Drug, Home Furnishings, Logistics, Shipping & Transportation, and Warehousing.
Respondents are asked to identify the monthly change across each of the eight metrics collected in this survey (Inventory Levels, Inventory Costs, Warehousing Capacity, Warehousing Utilization, Warehousing Prices, Transportation Capacity, Transportation Utilization, and Transportation Prices). In addition, they also forecast future trends for each metric ranging over the next 12 months. The raw data is then analyzed using a diffusion index. Diffusion Indexes measure how widely something is diffused or spread across a group. The Bureau of Labor Statistics has been using a diffusion index for the Current Employment Statics program since 1974, and the Institute for Supply Management (ISM) has been using a diffusion index to compute the Purchasing Managers Index since 1948. The ISM Index of New Orders is considered a Leading Economic Indicator.
We compute the Diffusion Index as follows:
PD = Percentage of respondents saying the category is Declining,
PU = Percentage of respondents saying the category is Unchanged,
PI = Percentage of respondents saying the category is Increasing,
Diffusion Index = 0.0 * PD + 0.5 * PU + 1.0 * PI
For example, if 25 say the category is declining, 38 say it is unchanged, and 37 say it is increasing, we would calculate an index value of 0*0.25 + 0.5*0.38 + 1.0*0.37 = 0 + 0.19 + 0.37 = 0.56, and the index is increasing overall. For an index value above 0.5 indicates the category is increasing, a value below 0.5 indicates it is decreasing, and a value of 0.5 means the category is unchanged. When a full year’s worth of data has been collected, adjustments will be made for seasonal factors as well.
Logistics Managers Index
Requests for permission to reproduce or distribute Logistics Managers Index Content can be made by contacting in writing at: Dale S. Rogers, WP Carey School of Business, Tempe, Arizona 85287, or by emailing [email protected] Subject: Content Request.
The authors of the Logistics Managers Index shall not have any liability, duty, or obligation for or relating to the Logistics Managers Index Content or other information contained herein, any errors, inaccuracies, omissions, or delays in providing any Logistics Managers Index Content, or for any actions taken in reliance thereon. In no event shall the authors of the Logistics Managers Index be liable for any special, incidental, or consequential damages, arising out of the use of the Logistics Managers Index. Logistics Managers’ Index, and LMI® are registered trademarks.
About The Logistics Manager’s Index®
The Logistics Manager’s Index (LMI) is a joint project between researchers from Arizona State University, Colorado State University, University of Nevada, Reno, Florida Atlantic University, and Rutgers University, supported by CSCMP. It is authored by Zac Rogers Ph.D., Steven Carnovale Ph.D., Shen Yeniyurt Ph.D., Ron Lembke Ph.D., and Dale Rogers Ph.D.