Navigating the future: Building a resilient supply chain in 2025

We live in a rapidly evolving world where supply chain resiliency is more critical than ever. Over the past five years, we have seen how resilient supply chains sustain global trade and serve as the backbone of every successful business. Achieving this resilience is challenging but attainable through a clear understanding of the landscape and a new approach to organizing supply chains. To thrive in this dynamic environment, businesses must analyze past lessons and forecast future trends, much like financial planning.

The Digital Supply Chain Institute (DSCI) has been monitoring trends, changes, opportunities and innovations over the past seven years. After correlating our data, we are excited to share our forward-looking executive insights. We have observed successful companies implementing the Frontside Flip concept and leveraging the Constellation of Value (CoV) to navigate the external challenges in 2025.

Challenges and opportunities evolve over time, and we stay ahead of them through our continuous applied research initiatives and supply chain transformation projects. The following eight elements provide a framework for organizations to successfully navigate supply chain transformation in 2025. 

1. The Constellation of Value: Supply chain resiliency

In 2025 and beyond, supply chain resilience depends on continuously evolving collaborative networks and connecting diverse stakeholders—including suppliers, logistics providers, technology partners, and customers—to achieve common goals. Companies must balance cost and resilience while addressing customer needs, intellectual property protections, and regulatory compliance. A robust Constellation of Value fosters security, as strong connections create a resilient supply chain.

2. Deglobalization

Increasing trade restrictions and geopolitical shifts are reshaping sourcing, manufacturing, and logistics. Companies must reassess their global footprint and adopt localized or diversified sourcing strategies. The transition from a highly centralized model has already begun, with businesses exploring a mix of offshoring, nearshoring, and onshoring to find the optimal balance.

3. Protectionism

Rising tariffs and protectionist policies in major economies are transforming cost structures and competitive dynamics. Businesses must adapt through price adjustments and supply source shifts while evolving their strategies. A Constellation of Value approach enables organizations to stay competitive by building resilient, adaptable supply chains.

4. Sustainability commitment

Sustainability is no longer just a regulatory requiremen—it is a core business imperative driven by customers, investors, suppliers, and employees. Businesses must integrate sustainability practices into their operations and align their supply chains with key brand values to maintain a competitive edge.

5. Manufacturing and sourcing strategies

Given current uncertainties in global trade, strategies like “China Plus One” are gaining traction. Many companies are evaluating how diversifying production locations can mitigate risks and unlock new market opportunities. However, the optimal sourcing model remains a moving target, evolving with the shifting geopolitical and economic conditions.

6. Next generation omnichannel distribution & logistics

As outlined in DSCI’s 2018 Frontside Flip whitepaper, customer expectations for speed, flexibility, and seamless experiences have made traditional supply chain models obsolete. Fulfilment is now dictated by customer behavior, not static inventory models. With accelerated technology adoption, distribution and logistics (D&L) partners must adapt. The Constellation of Value playbook emphasizes the importance of a strong partner ecosystem to ensure real-time tracking, last-mile efficiency, and agile response to demand fluctuations.

7. New technology applications

Technological advancements in AI, predictive analytics, IoT, and blockchain are transforming supply chains. The most successful companies integrate technology systematically rather than following adhoc trends, ensuring long-term operational efficiency and enhanced customer engagement.

8. Next-generation talent

Over the past five years, the supply chain function has evolved into a strategic business function. This shift has created a growing demand for professionals who understand both traditional supply chain dynamics and emerging fields like technology, data analytics, and sustainability. However, a global talent gap remains. Leading companies are embracing “Purple People,” a concept DSCI recently outlined in an article:

• Interdisciplinary expertise: "Purple People" combine business acumen with technical skills to navigate and integrate various supply chain disciplines. ​
• AI Integration: As AI adoption increases, these professionals leverage AI to enhance decision-making and drive innovation.
• Organizational agility: A workforce deep in "Purple People" fosters adaptablity and resilience,  improving cross-functional collaboration and problem-solving.

There is a common misperception that new technology alone will resolve supply chain challenges, but current practices do not support this notion.

Looking ahead in 2025

With these eight elements in mind, we encourage businesses to reflect on their supply chain strategies  for  2025. While organizations are at different stages in this journey, the shared objective remains the same: to build a resilient, efficient, and effective supply chain that drives business success.

About the author

Marko Kovacevic is managing director of the Digital Supply Chain Institute (DSCI), an applied research institute focused on the evolution of enterprise supply chains in the digital economy and the creation and practical application of supply chain management best practices. 

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