McKinsey’s impact in Europe’s public sector, social sector, and healthcare institutions

Helping Spain increase supply chain resilience

Enabling Spain’s economic and national security through supply chain analyses

Opportunity

Supply chain resilience is becoming increasingly important for European governments as recent disruptions have exposed vulnerabilities in economic and national security. To be better prepared for future supply chain challenges, the government of Spain set out to increase supply chain resilience for essential and strategic goods in its industrial sector.

How we worked together

The project was sponsored by the European Commission as a pilot national industrial supply chain resilience program, with the Spanish Ministry of Industry and the Spanish National Security Council as the main beneficiaries. As part of this effort, McKinsey supported the government of Spain in building a more resilient industrial supply chain through an end-to-end approach with three phases:

Identification of strategic resources via dependency mapping, a resilience lever framework, and determination of minimum response capacities.
Naming of crucial public–private partnership levers, including public–private sector coordination mechanisms, an industry and academy outreach forum, and a technological platform to support ongoing monitoring of critical supply chains.
Establishment of a Roadmap and National Preparedness Plan, including the creation of administrative management bodies and an interministerial coordination body.

Impact

Intervention prioritization: Crucial products and their associated supply chain risks were identified to prioritize interventions to safeguard Spain’s future resilience, in particular in critical sectors such as health, energy, and agriculture. This methodology underpins a new integrated operating model and resilience levers that could allow Spain to strengthen its position in case of supply chain disruptions.
Establishment of a permanent working group: As an outcome of this collaboration, a permanent working group, which was part of the national security system and led by the Minister of the Presidency, was created to ensure continuous monitoring of critical supply chains.
European Commission adoption: Application of the approach and coordination with other Member States are being considered by the European Commission. A truly integrated approach toward more resilient critical industrial supply chains could help the European Union better manage the risks and downsides of trade dependencies, improve the entire industrial supply chain, and further develop the European Union’s industrial capacity in critical sectors.