Among the challenges facing executives—the generalization of AI, the war for talent, climate change—, what place should be reserved for geopolitics? According to Nikolaus S. Lang, Global Leader of the BCG Henderson Institute, this is an issue that remains largely underestimated by companies. In an informative TED Talk, he exhorts executives to prepare for the advent of a multipolar world, with, among others, the following recommendations:

– Reinforcing the resilience of your supply chain. Global supply chains have become vulnerable in the face of the increased risk of tariff barriers, economic sanctions or war. It is best to work on the flexibility of this chain, by reducing your dependence on a particular site and identifying the potential alternatives.

– Reinforcing your “geopolitical intelligence”. To face up to geopolitical reversals, companies must enhance their internal aptitude, by getting their teams used to working according to different scenarios, and by recruiting talents capable of anticipating these challenges and adapting to them.

Source: 5 ways leaders can adapt to shifting geopolitics, Nikolaus S. Lang, TED@BCG, September 2024.