In a global context marked by a poly-crisis resulting from the overlap and interaction of geopolitical, climatic, economic, and technological crises, supply chains are undergoing severe, deep, and structural tensions.
By Laurent Livolsi and Christelle Camman, Professors in management sciences and management, co-directors of the “supply chain management & logistics services provision Fondation AMU” chair; Nathalie Merminod, Lecturer and Director of the CRET-LOG; Stéphane Navarra, President of France Supply Chain; and Yann de Feraudy, Co-president of France Supply Chain and Vice-president of the European Logistics Association (*)
Supply chains can no longer be seen solely as devices for optimizing companies’ flows. They have now become levers for states’ power strategies, serving their economic sovereignty and competitiveness. The closure of the Strait of Hormuz is clear evidence of this.
How does the geopolitical transformation of international trade redefine the governance, performance, and organization models of supply chains?
Companies at the heart of states’ power strategies
Exchanges between states and companies, especially in logistics and supply chain areas, reveal that economic actors are both the means and the target of geopolitical strategies.
States not only assert their strategic influence over trade flows through the reimplementation of customs duties or restrictive measures, but they also contribute to restructuring global trade routes. Ports and economic corridors now emerge as major strategic assets, shaping economic sovereignty, industrial competitiveness, and territorial resilience.
Everywhere in the world, new corridors are emerging with the aim of improving connectivity and attracting activities that signify value creation for their initiators. China, in particular, understands this well by leveraging control over ports or sea routes on all continents and influencing international standards to impose its vision of future logistics. Its goal is clear: to control the world by 2050. Europe, on the other hand, has not questioned its historical models.
This evolution deeply reshapes the governance of supply chains by making geopolitics a central variable in their structuring and management.
Short-term and mid-term transformations of Supply Chains
1 – Decloaking, data, and new performance indicators
A strong consensus is emerging: organizations must break down their silos. Functional integration (purchasing, production, logistics, sales-marketing) within the supply chain not only needs to strengthen, but the complexity related to the poly-crisis requires close collaboration with the finance and legal departments and, consequently, with the general management.
The activation of customs and tax measures by states within the current economic war leads to a change in nature. Associated compliances are no longer just administrative constraints but have become major strategic issues that must be integrated into the structuring and management of supply chains.
In this context, decisions must be evaluated not only based on the overall performance of the supply chain, taking into account all interactions between partners, territories, and regulations, but also anticipating their medium-term consequences.
Conclusion
The challenges of today require breaking down functional silos within companies and also demand better strategic alignment between companies and public authorities, particularly through the generation of new indicators. Researchers play a crucial role in shedding light on the challenges and supporting economic and political decision-makers. Collaborating and exchanging perspectives in a sustainable manner is essential for navigating through this complex landscape.
