The Harvard Business Review is one of the best resources for staying on top of emerging trends in business and management. In its March 2025 digital edition, a standout article highlights something supply chain leaders already know too well: today’s pace of change is no longer exceptional — it’s expected. In ‘The Economic Data You Need to Make Decisions Through Volatility’ (Martha Gimbel and Ernie Tedeschi), the article explores the rise of policy and economic volatility, where announcements are made and reversed in the same news cycle. Tariffs appear and disappear. Government departments are reorganised without warning. Funding for critical sectors flickers on and off. It’s not just confusing — it’s destabilising.
While economic indicators like employment and spending have remained relatively steady for now, the article’s central point is that uncertainty itself is becoming a defining feature of the business environment. This has direct implications for supply chain management — and it requires a new mindset.
📘 For the full article, check out the March 2025 Digital HBR articles.
Our Take: What It Means for Supply Chain Leaders
Volatility isn’t a future risk — it’s a current condition. It is not the norm of the past.. it is the new normal. And while we can’t predict what policy will change next, we can prepare our supply chains to respond effectively.
Here are three practical actions we recommend:
1. Don’t Chase Headlines. Watch Operational Signals.
Reacting to every piece of news is exhausting and counterproductive. Instead, focus on internal and near-real-time data:
- Order fill rates
- Buffer status
- Lead time variability
- Forecast accuracy
- Demand shifts at SKU level
These metrics tell you what’s actually changing in your supply chain, regardless of political drama.
2. Shorten Planning Cycles and Lead Times
If you’re still working with quarterly planning cycles or long manufacturing lead times, you’re too slow for today’s pace. Tools like Demand Driven MRP (DDMRP) and agile S&OP processes help reduce latency between demand signals and supply responses — which is key when the environment is unstable.
3. Design for Volatility, Don’t Just React to It
Uncertainty isn’t something to eliminate — it’s something to build for. That means:
- Positioning inventory where it cushions disruption
- Creating flexible capacity and supplier arrangements
- Embedding scenario planning in your supply chain strategy
Our SCOR-based transformation workshops and diagnostics help organisations build precisely this kind of capability.
Final Thought: Plan for Resilience, Not Stability
It’s tempting to wait for “things to settle down.” But as the HBR article points out, this may be the way things are now — a world in which the rules change quickly, often without warning.
The question isn’t if your supply chain will be tested by volatility, but how ready you’ll be when it is.
At Supply Chain Planning.ie, we help organisations in Ireland and beyond develop the processes, skills, and systems needed to thrive in this new environment — with practical support that connects planning to performance.
📩 Want to build resilience into your planning approach?
Get in touch with us today to explore SCOR training, transformation programs, and real-world support tailored to your business.
