Supply chain leaders unprepared for tariff impacts, study finds
Source: DC Velocity
Date: 10th March 2025
Just 15% of CSCOs say they feel prepared for the effects of geopolitical shifts and trade policy changes.
Despite anticipating geopolitical shifts, Chief Supply Chain Officers (CSCOs) remain largely unprepared for their impact. That’s according to a recent report from management consulting firm Egon Zehnder.
The company’s latest CSCO report surveyed supply chain business leaders from various industries and regions and found that their jobs are becoming increasingly sophisticated, with many competing priorities demanding their attention. As a result, just 15% of CSCOs surveyed said they feel prepared for the impact of trade policy changes such as tariffs.
“Notably, 2025 marks a shift toward prioritizing national interests and renegotiating international agreements, creating both opportunities and challenges for the smooth flow of goods and services across borders,” the report’s authors wrote. “With U.S. President’s renewed focus on tariffs and protectionist policies, particularly aimed at China, CSCOs are experiencing significant trade flow disruptions and increased business costs—and these developments add yet another complex layer of challenges to the role.”
- More than 70% of CSCOs identified cost pressure as their biggest challenge, followed by evolving customer demands (46%) and driving operational efficiency (40%).
- The primary motivation for 81% of CSCOs is driving transformation or turnaround initiatives, followed by tackling complex challenges (57%) and achieving career or personal growth (51%).
- AI/machine learning, cybersecurity, and cloud services are the top technologies influencing CSCOs’ businesses.
Egon Zehnder surveyed in collaboration with Executive Education at London’s Imperial College Business School, surveying 68 CSCOs from different regions and industries.