Institute for Supply Management
Encyclopedia
Founded in 1915, the Institute for Supply Management (ISM) is the first supply management
institute in the world.
ISM is a not-for-profit educational association that serves professionals and organizations with an interest in supply management in more than 80 countries. ISM offers the Certified Professional in Supply Management (CPSM) and Certified Professional in Supplier Diversity (CPSD) qualifications and is a member of the International Federation of Purchasing and Supply Management (IFPSM).
ISM defines supply management as the identification, acquisition, access, positioning, and management of resources and related capabilities the organization needs or potentially needs in the attainment of its strategic objectives. (ISM Glossary of Key Supply Management Terms, Fifth Edition, Institute for Supply Management, 2009)
Components included under the supply management umbrella are: purchasing/procurement; strategic sourcing; logistics; quality; inventory control; materials management; warehousing; transportation/traffic/shipping; disposition/investment recovery; distribution; receiving; packaging; product/service development and manufacturing supervision.
; and Columbus, Ohio
in 1916. They were closely followed by South Bend, Indiana
, Detroit, Michigan
; and Los Angeles, California
in 1917. Buffalo later affiliated with NAPA in 1918.
In 1968, the name of the organization was changed to the National Association of Purchasing Management, Inc. (NAPM). As the field continued to change, traditional “purchasing professionals” were becoming more responsible for the supply of goods and services instead of strictly purchasing. NAPM members voted in April 2001, with a name change taking place in January 2002 to Institute for Supply Management.
, which debuted June 1998.
The ISM releases its Purchasing Managers Index
(PMI) on the first business day of each month. This can be found under "ISM Reports On Business" on the ISM home page.
ISM currently certifies the Certified Professional in Supply Management and Certified Professional in Supplier Diversity professional credentials.
Supply management
The term supply management describes the methods and processes of modern corporate or institutional buying. This may be for the purchasing of supplies for internal use referred to as indirect goods and services, purchasing raw materials for the consumption during the manufacturing process, or for...
institute in the world.
ISM is a not-for-profit educational association that serves professionals and organizations with an interest in supply management in more than 80 countries. ISM offers the Certified Professional in Supply Management (CPSM) and Certified Professional in Supplier Diversity (CPSD) qualifications and is a member of the International Federation of Purchasing and Supply Management (IFPSM).
ISM defines supply management as the identification, acquisition, access, positioning, and management of resources and related capabilities the organization needs or potentially needs in the attainment of its strategic objectives. (ISM Glossary of Key Supply Management Terms, Fifth Edition, Institute for Supply Management, 2009)
Components included under the supply management umbrella are: purchasing/procurement; strategic sourcing; logistics; quality; inventory control; materials management; warehousing; transportation/traffic/shipping; disposition/investment recovery; distribution; receiving; packaging; product/service development and manufacturing supervision.
History
Institute for Supply Management was founded in 1915 as the National Association of Purchasing Agents (NAPA). Prior to 1915, purchasing associations had formed in at least 10 major cities in the country, including one of the earliest and most active groups in Buffalo, NY, founded in 1904, and the New York Association, formed in 1913, which eventually became the nucleus of the national organization. The first local associations to affiliate with the new association were New York, New York; Pittsburgh, PennsylvaniaPittsburgh, Pennsylvania
Pittsburgh is the second-largest city in the US Commonwealth of Pennsylvania and the county seat of Allegheny County. Regionally, it anchors the largest urban area of Appalachia and the Ohio River Valley, and nationally, it is the 22nd-largest urban area in the United States...
; and Columbus, Ohio
Columbus, Ohio
Columbus is the capital of and the largest city in the U.S. state of Ohio. The broader metropolitan area encompasses several counties and is the third largest in Ohio behind those of Cleveland and Cincinnati. Columbus is the third largest city in the American Midwest, and the fifteenth largest city...
in 1916. They were closely followed by South Bend, Indiana
South Bend, Indiana
The city of South Bend is the county seat of St. Joseph County, Indiana, United States, on the St. Joseph River near its southernmost bend, from which it derives its name. As of the 2010 Census, the city had a total of 101,168 residents; its Metropolitan Statistical Area had a population of 316,663...
, Detroit, Michigan
Detroit, Michigan
Detroit is the major city among the primary cultural, financial, and transportation centers in the Metro Detroit area, a region of 5.2 million people. As the seat of Wayne County, the city of Detroit is the largest city in the U.S. state of Michigan and serves as a major port on the Detroit River...
; and Los Angeles, California
Los Angeles, California
Los Angeles , with a population at the 2010 United States Census of 3,792,621, is the most populous city in California, USA and the second most populous in the United States, after New York City. It has an area of , and is located in Southern California...
in 1917. Buffalo later affiliated with NAPA in 1918.
In 1968, the name of the organization was changed to the National Association of Purchasing Management, Inc. (NAPM). As the field continued to change, traditional “purchasing professionals” were becoming more responsible for the supply of goods and services instead of strictly purchasing. NAPM members voted in April 2001, with a name change taking place in January 2002 to Institute for Supply Management.
Today
The ISM publishes the monthly publication Inside Supply Management, which includes the purchasing surveys Manufacturing ISM Report On Business and the Non-Manufacturing ISM Report on BusinessNon-Manufacturing ISM Report on Business
The Non-Manufacturing ISM Report on Business is a purchasing survey of the United States service economy, published by the Institute for Supply Management since June 1998. Its results are a popular economic indicator and forecaster...
, which debuted June 1998.
The ISM releases its Purchasing Managers Index
Purchasing Managers Index
The Purchasing Managers' Index is an indicator produced by Markit Group and the Institute for Supply Management of financial activity reflecting purchasing managers' acquisition of goods and services...
(PMI) on the first business day of each month. This can be found under "ISM Reports On Business" on the ISM home page.
ISM currently certifies the Certified Professional in Supply Management and Certified Professional in Supplier Diversity professional credentials.