Talent Management Tops the List of Challenges
The latest quarterly survey from the National Center for the Middle Market again revealed continued growth and an optimistic outlook. More than 1,000 C-level executives and financial decision makers were surveyed in early September. Respondents—who represent private and public organizations with annual revenue between $10 million and $1 billion—discussed short- and long-term outlooks and challenges for their businesses and the economy.
Performance remains strong across the middle market, with more than two-thirds of those surveyed saying performance has improved in the last year. Just five percent report deteriorating performance, well below the five-year average. Spurring this performance are revenue and employment measures, which continue to trend higher. Revenue growth improved to seven percent during the third quarter, and was strongest among core middle-market firms, which saw growth of 9.2 percent. Employment growth, on the other hand, is strongest among large middle-market firms, at 8.4 percent. Across the board, growth remains well above average.
Revenue growth was strongest in the business services, financial services and health care sectors, while employment growth was exceptional among retail trade, health care and business services companies. On the flip side, revenue growth slowed significantly across the retail trade sector, while employment growth was the weakest in the manufacturing industry
Confidence in the economy at local, national and global levels remains near record highs. Confidence in the global economy increased to 74 percent from 70 percent last quarter, the second-highest reading on record. Confidence in the U.S. economy is at 83 percent, down one percentage point from the second quarter but well above the average reading of 68 percent. Finally, confidence in local economies is at 88 percent, the second-highest reading since the survey began.
In the face of continued revenue growth and an optimistic economic outlook, however, challenges remain. Talent management is at the top of the list, as the labor market continues to tighten. In response to this challenge, employees are focused on how to attract and retain the best talent. Benefits beyond those historically offered are slowly becoming the rule rather than the exception. Depending on company size, age and priorities, business leaders have different approaches to benefits packages. While some are satisfied meeting current market expectations, others offer enhanced benefits as a way of standing out from the competition and attracting talent.
As for challenges outside of respondents’ direct control, core business issues such as changing market conditions and capital management are most prominent. Business leaders also face challenges from government regulations, increasing competition and rising costs.
For more comprehensive insights on the challenges and opportunities facing today’s middle market, please download the full Middle Market Indicator Report and check out our industry and geo-focused podcasts for expert insights on what the latest findings mean for the retail and restaurant industry, and for the Greater Washington D.C. metro area.
To learn about Revenue Growth and Talent Management, click here to view our video.
This content does not constitute legal, tax, accounting, financial or investment advice. You are encouraged to consult with competent legal, tax, accounting, financial or investment professionals based on your specific circumstances. We do not make any warranties as to accuracy or completeness of this information, do not endorse any third-party companies, products, or services described here, and take no liability for your use of this information.
Corporate credit cards are simple to use and can help businesses streamline operations. Here are suggestions for optimizing the use of commercial cards and preventing employee fraud.
Many middle market businesses, driven by year over year sales growth, have an eye towards continued expansion, whether via organic growth or through acquisition. SunTrust offers tips on positioning to access capital to finance growth.
Using leverage, particularly real estate financing, can help lower a business’s cost of capital and fund growth by rebalancing the capital mix.
97% of importers are small to medium-sized businesses whose plans to build value for their companies includes global sourcing.
Your next best growth opportunity may lie abroad. Explore these export resources to understand how you can take advantage of it.
For details about Wire Transfers with SunTrust, call 1.800.947.3786 – options 1 & 4
SunTrust Incoming wire instructions:
Investment and Insurance Products:
Are Not FDIC or any other Government Agency Insured Are Not Bank Guaranteed May Lose Value
© 2019 SunTrust Banks, Inc.
Equal Housing Lender. SunTrust Bank - NMLS #93471Link opens a new window. Member FDIC.
SunTrust, SunTrust PortfolioView, SunTrust Robinson Humphrey, SunTrust Premier Program, AMC Pinnacle, AMC Premier, Access 3, Signature Advantage Brokerage, Custom Choice Loan and SunTrust SummitView are trademarks of SunTrust Banks, Inc. All rights reserved. All other trademarks are the property of their respective owners.
Services provided by the following affiliates of SunTrust Banks, Inc.: Banking products and services are provided by SunTrust Bank, Member FDIC. Trust and investment management services are provided by SunTrust Bank, SunTrust Delaware Trust Company. Securities, brokerage accounts and insurance (including annuities) are offered by SunTrust Investment Services, Inc., a SEC registered broker-dealer, member FINRA, SIPC, and a licensed insurance agency. Investment advisory services are offered by SunTrust Advisory Services, Inc., a SEC registered adviser. GFO Advisory Services, LLC is a SEC registered investment adviser that provides investment advisory services to a group of private investment funds and other non-investment advisory services to affiliates. Mortgage products and services are offered through SunTrust Mortgage, a tradename for SunTrust Bank, and loans are made by SunTrust Bank.
"SunTrust Advisors" may be officers and/or associated persons of the following affiliates of SunTrust Banks, Inc.: SunTrust Bank, our commercial bank, which provides banking, trust and asset management services; SunTrust Investment Services, Inc., a registered broker-dealer, which is a member of FINRALink opens a new window and SIPCLink opens a new window, and a licensed insurance agency, and which provides securities, annuities and life insurance products; SunTrust Advisory Services, Inc., a SEC registered investment adviser which provides Investment Advisory services.
SunTrust Private Wealth Management, International Wealth Management, Business Owner Specialty Group, Sports and Entertainment Group, and Legal and Medical Specialty Groups and GenSpring are marketing names used by SunTrust Bank, SunTrust Delaware Trust Company, SunTrust Investment Services, Inc., and SunTrust Advisory Services, Inc.
SunTrust Robinson Humphrey is the trade name for the corporate and investment banking services of SunTrust Banks, Inc. and its subsidiaries, including SunTrust Robinson Humphrey, Inc., member FINRALink opens a new window and SIPCLink opens a new window.