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Resilience is one of those terms that gets tossed around often and interpreted in different ways. In supply chains, some view it as risk management, others focus on recovery speed and still others frame it as the ability to keep operating through disruption. Each perspective highlights a different angle which is why it’s important for companies to be clear about what resilience means in their own context.
Exactly how companies define resilience often changes with circumstances. A manufacturer facing raw material shortages may stress sourcing flexibility while a retailer may point to returns management or distribution networks. For logistics and supply managers specifically, resilience is often about preparing systems, processes and people to adapt when things don’t go as planned.
Gartner analysts note that resilient supply chains “sit on a spectrum between fragile and antifragile supply chains.” In practice, that means some networks can bend without breaking, while others either struggle to adapt or find ways to improve under stress. They also say resilience is not a “single outcome” but rather a “continuum” shaped by how a business prepares for and responds to uncertainty. “Resilient supply chains sit between these two extremes and can hold steady in the face of disruptions, especially minor ones.”
Disruptions Abound, Resilience Reigns
Mounting pressures from economic volatility, geopolitical tensions and climate risks have exposed critical weak points in global supply chains. In Global Banking & Finance Review, Wanda Rich explains that these forces “have exposed critical stress points in global supply chains. These disruptions have revealed structural vulnerabilities across industries, forcing companies to rethink conventional procurement, production and logistics models.”
What was once treated as a secondary concern is now a top priority. As disruptions grow more frequent and more connected, Rich notes, “resilience is no longer a secondary consideration—it has become a core strategic imperative.” The message is clear for companies in every sector: supply chain resilience is no longer optional.
Defining Supply Chain Resilience
At a high level, supply chain resilience is the ability to anticipate, adapt and recover from disruption while keeping operations running. In What is Supply Chain Resilience? IBM says the most resilient supply chains rely on “contingency, flexibility, visibility and collaboration” to minimize disruption and protect customer satisfaction. These qualities help companies adjust quickly when conditions change and shield networks from unexpected shocks.
GEP stresses that resilience is more than risk management. “Supply chain resilience is the ability of a supply chain network to withstand disruption and minimize the effects of upheaval on revenues, costs and customers,” the company explains. It says resilience can also create significant competitive advantage for companies that build it into their networks.
Recent events show how this works in practice. During the global pandemic, for example, semiconductor shortages stalled production of cars, smartphones and gaming systems, showing how fragile supply chains can shut down entire industries, IBM recounts. Retailers that shifted from just-in-time (JIT) to just-in-case (JIC) inventory strategies were able to keep products on shelves when demand spiked.
“Since then, supply chain leaders have recognized the need to prioritize resilience,” IBM says. “And yet, according to a McKinsey survey, many respondents are still struggling to effectively manage supply chain risks, with significant gaps in their ability to mitigate them.”
Building More Resilient Supply Chains
Rich says companies that want to build more resilience in their supply chains can start by diversifying and localizing supply networks, and by using more multi-sourcing, nearshoring and friendshoring models. They can also leverage predictive tools such as digital twins to simulate disruption scenarios, forecast imbalances and prepare responses before problems escalate.
“The most forward-looking organizations are moving beyond reactive strategies and investing in technologies, partnerships, and localized models that allow adaptive, data-driven decision-making,” she writes. “Success in this environment depends not only on operational agility but also on a company’s ability to anticipate and absorb shocks without compromising on cost, compliance, or customer expectations.”
