TIMELESS INSIGHTS–AND WHY THEY’RE AS RELEVANT AS EVER

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August 2026

How global companies can manage geopolitical risk

Five years ago, the US National Intelligence Council reported that by 2040, competition for global influence would likely reach its highest levels since the Cold War. Political frictions have grown only more heated and widespread since then, increasing the risks they pose to companies’ operations, performance, and people. Indeed, for global organizations, it’s clear that geopolitical risk is everything, everywhere, all at once. What’s less clear is how to manage it. To help prepare their organizations for the next disruption, company leaders can make five moves.

First, start with the board. Boards can dedicate regular standing time to assess the geopolitical risks that matter most to the business. Second, use a trifocal lens—with short-, mid-, and long-term response strategies—to ensure you’re prepared to respond to risks across multiple time frames. Next, think critically about the corporate narrative, including how a narrative might create conflicts with stakeholders and possible remedies should that occur. Then, establish risk frameworks that define the criteria for assessing and managing risk across different markets and as conditions change. Finally, secure stakeholders’ hearts and minds by bringing key decision-makers to the table and ensuring that all affected regions are represented.

Today’s, as ever, companies walk a geopolitical tightrope. For a closer look at how leaders can traverse it more steadily, read our 2021 classic “How global companies can manage geopolitical risk.”

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—Edited by Drew Holzfeind, senior editor, Chicago 

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