There’s a growing optimism about the economy. In fact, the results of Logistics Management’s 5th Annual Warehouse & Distribution Center (DC) Operations Survey show clear signs of recovery.

Inventory turns have increased after three years of continued decline; companies report that more expansions are being planned to distribution operations; and more managers are telling us that they’re re-installing incentive plans as company coffers are starting to slowly, but surely show signs of new life.

Most companies are sticking with conventional, low-cost, tried-and-true solutions for their distribution problems. Many are adding satellite Distribution Centers and renegotiating freight rates and to keep a lid on operational costs, a majority of respondents are improving warehouse processes, tightening inventory controls by utilizing their ERP systems more efficiently, and adopting “lean and green” strategies.

Backing up this feeling of confidence is the recent article on the growing optimism in the manufacturing sector featured in Modern Materials Handling, which cites that 49% of senior management at U.S. manufacturing companies believe the U.S. economy will improve in the next six months, and the same amount (49%) say they plan to increase staff during the same period., according to a Grant Thornton November survey.