WEF: Building Supply Chain Resilience Amid Global Disruption

Global supply chains are being reshaped by persistent disruption, with resilience emerging as a critical driver of growth as world leaders convene in Davos to address mounting geopolitical instability and operational challenges.

The World Economic Forum (WEF) has released its Global Value Chains Outlook report as its annual meeting begins, a multi-year partnership with Kearney drawing on insights from over 300 global executives and more than 100 expert consultations.

The report highlights how supply chain networks are experiencing continuous, structural volatility and offers practical frameworks and data-driven tools to help leaders adapt to these conditions.

How supply chains are being redefined

According to the 2026 Outlook report, 74% of business leaders now view resilience as a growth driver, reflecting a fundamental shift in strategic priorities.

This marks a departure from traditional approaches, where governments and companies have spent the period from 2020 to 2025 re-evaluating investments and operations in response to escalating disruptions.

"Volatility is no longer a temporary disruption; it is a structural condition leaders must plan for," says Kiva Allgood, Managing Director at 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."

The report outlines how legacy supply chain models can no longer respond effectively to challenges stemming from geopolitical tensions, policy interventions, automation and climate-related disruption.

The objective has shifted from reacting to shocks towards building systems capable of flexibility amid ongoing transformation.

According to WEF's analysis, global supply chains are being reshaped by several key factors.

Persistent inflation, tightening capital markets and slow growth are reshaping profitability and investment decisions, forcing operations to shape demand around supply constraints.

Economic fragmentation is deepening as tariffs, localisation mandates and trade barriers create new complexities, requiring enhanced compliance agility, scenario modelling and policy foresight.

Persistent conflicts worldwide are contributing to widespread volatility, necessitating wider networks of sourcing options for supply chain leaders.

Productivity gaps between nations are widening as early adopters of AI, automation and quantum computing gain operational advantages.

Meanwhile, transparency, data sharing and corporate accountability have become strategic assets as scrutiny intensifies from customers and investors.

"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," explains 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."

All sustainability, net zero and sustainable supply chain leaders should attend:

• Sustainability LIVE: The Net Zero Summit - QEII Centre, London, March 4-5
• Sustainability LIVE: The US Summit - Navy Pier, Chicago, April 21-22

Co-located with Procurement & Supply Chain LIVE, these events brings together CSOs, ESG leaders and senior decision-makers at a moment when sustainability, supply chains and commercial performance are increasingly interconnected.

Tickets can be booked online today for The Net Zero Summit and The US Summit. Group discounts available.

Tools and strategies for adaptation

In 2025, tariff escalations reshuffled more than US$400bn in global trade flows, whilst major shipping route disruptions resulted in a 40% year-on-year increase in container shipping costs.

More than 3,000 new trade and industry policy measures were implemented globally, alongside the slowest manufacturing output growth since 2009.

The report introduces the 'Manufacturing and Supply Chain Readiness Navigator', a digital tool designed to convert global insights into actionable intelligence.

This resource could help organisations predict disruption and adapt operations proactively rather than reactively.

Various nations are developing region-specific approaches to building resilience and competitiveness.

According to the report, China has been investing in digital infrastructure to lead real-time industrial connectivity, whilst Ireland has focused on upskilling programmes covering digitalisation, sustainability, leadership and innovation.

Singapore has been implementing its Green Plan 2030, a nationwide sustainability roadmap, and Morocco has been positioning itself as a regional manufacturing hub.

These strategic adaptations represent a fundamental shift in supply chain operations, with the emphasis on agility, resilience and foresight demonstrating potential to transform how networks function amid continuing global volatility.