US wholesale inventories decreased by 0.2% in November, largely behind steep drops in long-lasting manufactured goods such as vehicles and computer equipment, according to Census Bureau data. Overall, inventories were up 0.8% from a year ago. Wholesale sales increased by 0.6% to $678 billion in November after a 0.3% decrease a month earlier. Inventory-to-sales ratios fell to 1.33 from 1.34 in the previous month.

Industrial supplier AFC Industries is acquiring hardware and electronic components distributor Irwin Industrial as part of its strategy to expand its Canadian business. "Canada is an important market for us and we recognized we would need additional resources and infrastructure in Canada for it to reach its full potential," AFC CEO Kevin Godin said, adding the Aurora, Ontario-based supplier "quickly rose to the top of the list" when AFC was evaluating potential Canadian partners. Terms of the deal were not made public.

Private-sector employment rose by 122,000 in December, according to ADP, below the median forecast of 140,000 in a Bloomberg survey of economists. Meanwhile, initial jobless claims dropped by 10,000, reaching 201,000, the lowest figure in nearly a year. Continuing claims increased by 33,000 to reach 1.87 million. This latest data suggest layoffs remain rare but hiring has slowed significantly, leaving more workers unemployed for longer.

Building materials distributor BlueLinx and manufacturer Louisiana-Pacific Corporation are expanding their distribution partnership. The agreement increases the number of BlueLinx facilities carrying LP SmartSide to 17, and includes a range of siding and prefinished solutions. "We are excited about the continued growth between LP and BlueLinx," said Leo Oei, BlueLinx vice president of product management and national accounts.

Chronic raw material shortages in US manufacturing have eased since 2021-2022 but remain above pre-COVID levels, writes Jason Miller, interim chair and Eli Broad Professor of Supply Chain Management at Michigan State University. While some sectors have seen improvements, capacity utilization, ISM new orders, and supplier delivery times will be key areas to watch in 2025.

Kion Group has partnered with Accenture and Nvidia to enhance supply chain operations using AI and simulation technologies. The collaboration will use Nvidia's Mega blueprint for industrial digital twins to optimize warehouse setups and train robots and aims to create intelligent warehouses functioning like large autonomous robots that themselves orchestrate fleets of robots, says Nvidia CEO Jensen Huang.

David Brock emphasizes the importance of salespeople shifting their focus from pitching solutions to helping customers navigate their problem definition and change processes. Brock writes that waiting for customers to initiate engagement often results in missed opportunities, as customers may never reach the solution selection stage.

The January 2025 World Economic Forum's Future of Jobs Report shows that 41% of companies intend to downsize due to AI by 2030 while 77% are investing in reskilling efforts. The report highlights AI's dual impact on the job market, with some roles declining while others, particularly those requiring AI skills, are on the rise.

Join us in Washington, D.C., January 27-29 for NAW's Executive Summit, bringing together the best and brightest leaders from the wholesale distribution industry. Learn more here.

Prioritize your organization's greatest asset — your people. NAW’s premier education programs, such as the online Management Academy and the in-depth Distribution Leadership Program at THE Ohio State University, are designed to equip your high-potential employees with the skills and insights they need to lead and succeed. Ensure your rising stars are prepared to drive your business forward by investing in their growth today. Learn more about how NAW can help you develop the leaders of tomorrow.

DescriptionBenchmark your sales and growth expectations for 2025 with MDM’s annual industry forecast, review of macroeconomic and distribution-specific trends, and the latest exclusive Baird-MDM MarketPulse survey insights. Join Baird Senior Research Analyst David Manthey, NetSuite VP Ranga Bodla and MDM Strategic Advisor Tom Gale on Thursday, Jan. 16, at 1 p.m. for the data and insights on how to best navigate the conflicting market signals shaping 2025.