A new industry survey by Seagull Software shows that geopolitical shocks, from tariffs to talent gaps, are testing supply chain stability. Companies see real-time, high-quality data as the decisive factor for resilience, yet most still lack the systems to deliver it at scale.
Geopolitical Pressure Meets Data Fragility
Labor shortages and tariffs have become the most disruptive forces facing global supply chains, according to nearly 200 respondents in Seagull Software’s Resilience in Uncertainty report. Three-quarters said geopolitical or socio-economic disruptions had a significant impact over the past two years, eroding the predictability that many networks once relied on.
While 60% plan to boost investment in data quality and traceability technologies in the coming year, operational readiness remains uneven. Only a fraction have fully deployed proactive tariff risk modeling or item-level traceability, despite strong consensus on their value for compliance, responsiveness, and customer transparency. Instead, many organizations still contend with inconsistent supplier data, manual entry errors, and fragmented legacy systems, creating blind spots in visibility and slowing reaction times.
Traceability Gains Strategic Urgency
Survey participants ranked item-level traceability as “extremely valuable” in mitigating geopolitical risks, yet most remain in pilot or planning stages. Adoption is being driven not just by regulatory requirements such as ESG reporting, customs rules, and emerging digital product passport mandates, but also by market demand. More than 60% cited customer expectations for product origin, sustainability, and ethical sourcing as a primary or influential factor in shaping their traceability strategies.
Technologies like RFID, AI-enabled automation, and SaaS-based platforms are central to these plans. According to recent trade reports, RFID adoption in retail and logistics has surged over the past three years, with major global retailers cutting inventory shrinkage by double digits through enhanced visibility. This broader shift reflects that traceability is no longer a niche compliance tool, it is becoming a core competitive capability.
Shifting From Reaction to Prediction
The report makes clear that geopolitical volatility is now a structural feature of global trade, not an anomaly. Companies that treat data quality as a foundational asset, integrating AI for predictive analytics, breaking down system silos, and embedding supplier collaboration into governance, will be positioned to move from reactive firefighting to proactive risk mitigation. As with previous technology shifts in supply chains, those who invest early and execute decisively will define the operational baseline for the decade ahead.