At the annual Converge Live event in Singapore, CNBC interviewed over 30 CEOs and business leaders across banking, energy, shipping, technology, and manufacturing sectors, revealing that persistent uncertainty driven by war, inflation, artificial intelligence, and supply chain shocks has become the new normal for global businesses [1]. Executives noted that the frequency of crises has accelerated, making long-term planning increasingly difficult. Stanley Szeto, chairman of Lever Style, stated, 'Long-term planning is becoming more and more difficult,' while another executive mentioned that traditional three-year and five-year plans have been abandoned in favor of permanent contingency planning [1].
Supply chain disruptions are particularly acute, with Captain Rajalingam Subramaniam, CEO of Fleet Management Limited, reporting that more than '2,000 vessels in the Persian Gulf [are] stuck,' affecting 'nearly between 20,000 to 30,000 mariners' [1]. He warned that supply chain costs are expected to remain 'higher for longer.' This is already contributing to inflationary pressures, as material and shipping costs rise. Stanley Szeto of Lever Style confirmed that increased costs are being felt in manufacturing, and his company has shifted to more expensive air freight to maintain flexibility and speed [1].
Thomas Knudsen, managing director for Asia at Pandora, emphasized that companies are moving from 'just in time' to 'just in case' strategies, duplicating supply chains and rerouting logistics, often at higher costs [1]. Knudsen also stated that these increased costs will ultimately be passed on to consumers. DBS CEO Tan Su Shan advised managers to 'manage for maximum flexibility' and to 'stress test, stress test, stress test,' highlighting the need for readiness in the face of unpredictable shocks [1].
Overall, the consensus among business leaders is that uncertainty is now structural rather than episodic, requiring agility and adaptability at all levels of management. The ongoing supply chain disruptions and inflationary pressures are expected to persist, with companies and consumers bearing the brunt of higher costs [1].
CONCLUSION
Business leaders across industries are preparing for a future defined by persistent uncertainty, higher costs, and ongoing supply chain disruptions. The shift toward contingency planning and increased operational flexibility signals a challenging environment for both companies and consumers, with inflationary pressures likely to remain elevated.