Goldman Sachs Industrials and Materials Conference: Top things we learned

Goldman Sachs recently hosted top CEOs and leaders of the industrial sector for their Industrials and Materials Conference. Yahoo Finance was there to gather exclusive insights from the most influential companies in the space, including RXO (RXO), Clean Harbors (CLH), and Johnson Controls (JCI). Yahoo Finance's Seana Smith breaks down her top three takeaways.

Key video moments:

00:00:19 artificial intelligence

00:00:51 bullish on economy

00:01:16 labor shortage

Video transcript

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SEANA SMITH: We got an inside look at the industrial economy here at Goldman Sachs' Industrial and Materials Conference. Hear from the biggest names in the space, including the CEOs of RXO, Clean Harbors, and Johnson Controls. Here are our three big takeaways from the event.

First up, artificial intelligence, AI, the buzzword that's got Wall Street's attention. It's starting to transform the industrial sector with more companies jumping on board.

DREW WILKERSON: We've been investing in AI for over a decade. And so if you think about the pricing algorithms that we've got that allow us to have best-in-class margins, it's because with every load that goes into the system, our algorithms get that much smarter on a pricing perspective for both the customer and the carriers.

We're also using AI for customer integrations. What we see is that we're able to have our employees be able to do more per day.

SEANA SMITH: A bull market awaits. It's almost like, what recession risk? The industrial economy is seeing signs of a recovery.

JOE RITCHIE: Today we are in the start of a very significant infrastructure build in the US. Some might call it a US manufacturing renaissance. The level of spending that's occurring today is unprecedented. And so the tone coming out of the conference the last two days has been very bullish.

SEANA SMITH: Worker shortage. Business leaders are having trouble hiring and retaining top talent.

MICHAEL BATTLES: We've had trouble. Our turnover, it's not just hiring people, it's retaining the people that we have, and lowering our turnover rate down to pre-COVID levels, which has been terrific. So in my mind, I think it's as important to keep our own employees and provide a good career path for them as it is to hire more capable bodies.

It is improving, more holidays, better healthcare costs, providing a career path for our employee.

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