Why supply chains are entering a permanent state of disruption
Kearney has collaborated with the World Economic Forum, to analyse the ways supply chains are being threatened, and how leaders are planning to adapt by bolstering resilience. The report was released at a conference where much of the discussion focused on the kind of fragmentation it discussed – as trade war threats escalated over the future of Greenland.
Every year, the second half of January sees the global economic and political elite descend en masse on a Swiss ski-resort. The extraordinary annual migration of the world’s wealthiest and most influential individuals marks the commencing of the infamous World Economic Forum (WEF).
The agenda of the World Economic Forum is shaped by the research and thought leadership of industry leaders. At the forefront of the event’s thought leaders are 100 strategic partners, an elite group of invitation-only partners selected by the Forum. Among them this year are Marsh – the professional services group behind names such as management consulting firm Kearney; a company which has this year debuted a paper examining the era of “structural volatility” which global supply chains currently face.
In news which is unlikely to surprise readers, the consultancy’s research highlights the “era of structural volatility” which so many other supply chain studies have mentioned in recent years. And with geopolitical fragmentation opening 2026 – with the US using economic warfare to attempt to seize Greenland from its fellow NATO member Denmark, it certainly seems like that era is here to stay.
Amid this escalation, global supply chains find themselves in a period of massive transformation. With business leaders now prioritising investments in back-up plans for when new challenges emerge, 74% told Kearney they had started to view resilience as a driver of growth.
“Volatility is no longer a temporary disruption; it is a structural condition leaders must plan for,” said Kiva Allgood, managing director at the World Economic Forum. “Competitive advantage now comes from foresight, optionality and ecosystem coordination. Companies and countries that build these capabilities together will be best positioned to attract investment, secure supply and sustain growth in an increasingly fragmented global economy.”
According to a release from Kearney and the WEF, the scale of the shift is “already evident”. In 2025 alone, tariff escalations between major economies reshuffled more than $400 billion in global trade flows, while more than 3,000 new trade and industrial policy measures were introduced globally in 2025 alone – more than three times the annual level recorded a decade ago. Together, these forces underscore why supply chain resilience has become a central determinant of national competitiveness and corporate strategy.
“Supply chain disruption in 2026 will be constant and structural. Geopolitical fragmentation, shifting trade rules and labour shortages are all redefining how value is created and moved,” said Per Kristian Hong, partner at Kearney.
“For supply leaders, the priority is no longer forecasting disruption, but redesigning operating models to function under permanent uncertainty. That means moving away from efficiency-driven supply chains and towards adaptive networks that can be reconfigured with optionality as conditions change.”
