RISK MANAGEMENT IN GLOBAL SUPPLY CHAINS AMID GEOPOLITICAL UNCERTAINTIES
Zenith School of Business, India
Global supply chains have become increasingly complex due to globalization, technological advancement, and interdependent economic systems. However, such complexity renders supply chains vulnerable to disruptions—particularly those rooted in geopolitical uncertainties such as trade wars, regional conflicts, sanctions, and political instability. This paper examines how geopolitical tensions influence risk in global supply chains and explores strategies that organizations adopt to manage these risks. The research synthesizes literature from supply chain management (SCM), risk management, and international business scholarship, and applies both qualitative and quantitative methods to evaluate the impacts of geopolitical uncertainty. Findings suggest that robust risk management strategies—including diversification, flexible sourcing, advanced analytics, and collaboration—improve resilience. The study concludes with managerial implications and future research directions. Global supply chains are increasingly shaped by the dynamics of globalization, technological innovation, and the intricate interdependencies among economies worldwide. This growing complexity, while enabling efficiency and scale, simultaneously exposes supply chains to heightened risks, particularly from geopolitical uncertainties. Trade wars, regional conflicts, sanctions, and political instability can abruptly disrupt supply networks by affecting the flow of goods, altering regulatory environments, and increasing costs. Such disruptions not only impact operational continuity but also challenge firms’ strategic planning and risk assessment processes. Consequently, organizations must navigate an environment where traditional supply chain risks are compounded by the unpredictability and multifaceted nature of geopolitical events. To address these challenges, firms are adopting comprehensive risk management strategies that enhance supply chain resilience. Diversification of suppliers and markets reduces dependency on any single region, mitigating the impact of localized geopolitical shocks. Flexible sourcing arrangements and the integration of advanced analytics enable real-time monitoring and rapid response to emerging threats. Moreover, collaboration across supply chain partners and with governmental agencies fosters information sharing and coordinated risk mitigation efforts. These approaches collectively empower organizations to anticipate disruptions, adapt swiftly, and maintain continuity despite geopolitical volatility. The study’s findings emphasize the critical role of proactive risk management in sustaining global supply chain performance and provide actionable insights for managers aiming to strengthen their supply networks amid ongoing geopolitical uncertainties.
Malhotra, V. R. & Iyer, A. M. (2026). Risk Management in Global Supply Chains Amid Geopolitical Uncertainties. International Journal of Science, Strategic Management and Technology, 02(01), 1-9. https://doi.org/10.55041/ijsmt.v2i1.002
Malhotra, Vikram, and Arjun Iyer. "Risk Management in Global Supply Chains Amid Geopolitical Uncertainties." International Journal of Science, Strategic Management and Technology, vol. 02, no. 01, 2026, pp. 1-9. doi:https://doi.org/10.55041/ijsmt.v2i1.002.
Malhotra, Vikram, and Arjun Iyer. "Risk Management in Global Supply Chains Amid Geopolitical Uncertainties." International Journal of Science, Strategic Management and Technology 02, no. 01 (2026): 1-9. https://doi.org/https://doi.org/10.55041/ijsmt.v2i1.002.
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