Global supply chains were built for efficiency — but they are now being tested for survival. From corporate practice to academic theory, it was long assumed that the supply chain was all about synchronizing efficiency and cost. We have spent decades working in supply chains — designing them and often firefighting them. For much of the time, we believed that we understood what made a supply chain strong. We thought it was about efficiency, cost, or speed.
From COVID-19 to the Russia–Ukraine War, from tensions around the Strait of Hormuz to the growing rivalry between the United States and China, global supply chains have entered a new phase of disruptions. Taken together, these developments are redefining one fundamental idea: it is about whether you can keep things moving when the system is under pressure.
What looked like a well-oiled global system suddenly became fragile. A delay in one country created shortages in another. A shutdown in one region disrupted an entire industry. For the first time, many of us realized that we had built supply chains that were incredibly efficient but dangerously exposed. That moment changed how we see logistics.
Because the real question was no longer, “How fast can we move?” Can we still move when everything else stops? Then came the Russia–Ukraine war. Energy flows were disrupted. Grain exports stalled. Shipping routes became contested. Europe looked elsewhere for energy. Russia redirected flows to Asia. New alliances quietly formed. It became clear that supply chains were no longer just operational systems. They had become instruments of power.
If you look closely at global trade, you will notice something unsettling. So much of it depends on a few narrow passages — the Strait of Hormuz, the Suez Canal, the Red Sea corridor, and the Panama Canal. Disrupting these narrow trade passages has an immediate impact — ships reroute, costs rise, and delays multiply. And suddenly, the global economy feels very vulnerable. Logistics power today belongs to those who can adapt when these routes fail.
At the same time, a new type of competition is starting. The US is strengthening its power through its systems for security, energy, and money. China is building roads and other infrastructure across continents. India is gradually rising, making itself a manufacturing centre and a strategic bridge at the same time. This is not just economic competition. It is a competition over who will shape the future of global trade flows.
From where we sit in the Gulf, this transformation feels very real. This region has always been strategically located. But today, location alone is not enough. What matters is what you do with it. The ability to move between sea and air seamlessly. The ability to respond quickly when a disruption happens. The ability to keep trade flowing even when routes are uncertain. This is no longer just a transit region. It is becoming something more important: a system that enables global continuity.
Over time, we realize that logistics strength is no longer about one dimension. It is not just about speed; it is not just about cost — rather, it is a combination of capabilities. To an increasing extent, companies operating within the booming economy like Bangladesh must consider resettling their supply chain strategies in response to the combined challenges of Gulf oil shocks, unexpected interruptions in the Suez Canal, and contemporary geopolitical clashes that are disrupting established patterns of global trade.
It is of paramount importance that these survivors do not think tunnel-visioned about reducing costs but instead think on a macro level. This must be an approach that has the flexibility to absorb the shock of such sudden rises in shipping and energy prices.
It calls for companies to search for people who think in common terms about money, not just suppliers or customers, but allies as well. This means cultivating long-term relationships and solidly pursuing the recommendation of suppliers, logistics operators, and the heart of regional distribution, like the UAE, Qatar, Singapore, or Malaysia.
In this diverse environment, businesses must not only be strong but also flexible: they need to be able to quickly and aptly transform their sourcing strategies or mode of transportation in line with circumstances. And most important of all, they need the trust of their global customer base both to survive and develop during difficult times. This is something that must be borne in mind as the rulebook that determines the future of energy and the environment continues to change: the cost dynamics of commercial activity will certainly change with it, too. Companies must set sustainability as an absolute basis for their activity.
In unpredictable or chaotic times, this human-oriented strategy gives organizations a secure staff. This method boosts staff morale and retention but also protects the organization’s survival in an increasingly unpredictable world by strengthening its resistance to profound challenges.
One of the most significant shifts is that we are moving away from fixed routes to flexible networks. In the past, there was one “best” way to move goods. Today, there are multiple options, and the best systems are those that can switch between them quickly, allowing for a more responsive approach to changing market demands and customer needs. Because flexibility is now more valuable than optimization.
Looking back at how we used to define success in supply chains, it seems like something is missing. The strongest systems are those that perform best when everything is working. They are those who continue to perform when things are not. In this new world, logistics is no longer just about movement. It is about continuity. And those who can ensure that continuity across crises, conflicts, and uncertainty will define the next chapter of global power.
Dr Ferdoush Saleheen: Head of the Department of Maritime Logistics and Supply Chain Management at Sharjah Maritime Academy, UAE.
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Dr Md Mamun Habib: Professor at Independent University, Bangladesh, and a visiting scientist at University of Texas at Arlington, USA.