Supply Chain Leaders Are Feeling the Pressure—But Are They Taking the Right Actions?
As 2025 unfolds, supply chain leaders are watching global trade shift beneath their feet. Tariffs, protectionist policies, and evolving trade agreements are forcing businesses to reassess sourcing strategies and operational models. President Trump’s renewed focus on trade restrictions—particularly with China—is already hitting supply chains with higher costs and uncertainty. Yet, despite knowing these disruptions were coming, only 15% of CSCOs say they feel moderately prepared for the impact, according to a new survey from Egon Zehnder and Imperial College Business School.
This raises a tough question: If leaders saw these shifts coming, why are so few positioned to navigate them effectively? The answer lies not just in geopolitics, but in leadership priorities, digital transformation, and the widening gap between operational execution and strategic foresight.
Beyond Cost Pressures: The Real Risk in a Reactive Approach
It’s no surprise that 72% of CSCOs cite cost pressure as their biggest challenge. But cost isn’t just about procurement price hikes—it’s about inefficiencies hiding in plain sight. Trade instability is exposing weaknesses in supply chains that were already running too lean. Yet, instead of investing in greater supply chain resilience, many leaders are still playing defense, prioritizing operational efficiency (40%) and evolving customer demands (46%) over long-term strategy.
There’s a contradiction at play here. While CSCOs recognize the importance of future-proofing their operations, only 12% are dedicating time to long-term trend forecasting. That’s a risky oversight. When companies react instead of anticipate, they end up with patchwork solutions—reshuffling suppliers, firefighting disruptions, and absorbing unnecessary costs. The CSCOs who step back and rethink the structural weaknesses in their networks will be the ones who emerge stronger.
A Leadership Model That Needs to Evolve
CSCOs aren’t just managing logistics anymore; they’re navigating boardroom expectations, shareholder pressures, and cultural change. According to the survey, 38% of supply chain leaders are focused on managing stakeholder expectations, with 31% directly working on board and shareholder relations. Meanwhile, 56% see building high-performing teams as essential to success.
But here’s the problem: supply chain leadership is evolving faster than leadership development itself. The survey highlights that many CSCOs feel underprepared when it comes to anticipating future trends (41%), managing digital transformation (37%), and attracting top talent (24%). These aren’t minor gaps—they’re the very capabilities that will define supply chain success over the next decade. Leaders who don’t make time to strengthen these areas risk being outpaced by the next generation of CSCOs who are more tech-savvy, strategy-focused, and equipped to manage uncertainty.
Tech Adoption: Moving Beyond the Buzzwords
AI, machine learning, cybersecurity, and cloud services are frequently cited as transformative technologies for supply chains—but adoption is slow. The companies truly benefiting from digital transformation aren’t just implementing new software; they’re redesigning how they make decisions. Technology should be embedded into the DNA of supply chain operations, not just bolted on to existing processes.
For example, AI-powered risk assessments can help businesses predict trade disruptions before they happen, yet many still rely on outdated, reactive approaches. Predictive analytics can optimize sourcing strategies and improve visibility, but without executive buy-in and the right talent, these tools won’t reach their full potential. Supply chains need more than technology—they need leaders who understand how to use it effectively.
Rethinking the CSCO Playbook
Supply chain leadership is no longer just about moving goods efficiently—it’s about risk management, agility, and long-term resilience. The survey confirms that CSCOs know where the challenges lie, but the real question is whether they’re making the right moves to address them.
The leaders who succeed in this new landscape will be those who go beyond cost-cutting and short-term fixes. They’ll be the ones who rethink sourcing strategies, invest in digital capabilities, and build teams capable of navigating a supply chain world that refuses to stand still. For CSCOs, the next era of leadership won’t be about reacting to change—it will be about defining it.
