Logistics Managers' Index

The logistics industry often serves as an early warning system for shifts in the broader economy. When supply chains slow down—through port congestion, inventory shortages, or transportation delays—it can signal economic stress before it shows up in traditional metrics. This was evident at the onset of the COVID-19 pandemic, when logistical disruptions were among the first signs of trouble.

The reverse is also true: as the economy recovers, logistics activity tends to rebound first, reflecting renewed demand and movement of goods.

To monitor these trends, researchers from top logistics and supply chain programs conduct a long-term survey known as the Logistics Managers’ Index© (LMI). First launched in 2016 and refined in 2019, the LMI tracks eight key components of the logistics sector:

• Inventory levels and costs

• Warehousing capacity, utilization, and prices

• Transportation capacity, utilization, and prices

Each component is scored using a diffusion index, where:

• A reading above 50 indicates expansion

• A reading below 50 signals contraction

The LMI is produced by researchers at Arizona State University, Colorado State University, Florida Atlantic University, Rutgers University, and the University of Nevada, Reno, in partnership with the Council of Supply Chain Management Professionals (CSCMP).

The goal of this ongoing research is to identify long-term trends and developments in logistics, generating insights that are relevant not only to industry professionals but also to economists, policymakers, and journalists tracking the pulse of the U.S. economy.