Reshoring Low Priority, So Supply Chains Diversify

Investing in domestic production again ranks last among strategic priorities, says McKinsey & Company.

Despite persistent geopolitical uncertainty, reshoring is not moving to the top of the list for supply chain leaders. In fact, fewer than one-third (29%) of supply chain and engineering leaders (SC&E) plan to reshore or near-shore operations, according to Accenture’s Pulse of Change Survey of 3,000 C-suite leaders across 19 industries and 20 countries.

And though it has increased in importance from January, investing in domestic production again ranks last among strategic priorities (36% vs. 24%).

Instead, leaders are adapting to existing business relationships. Two-thirds (67%) say they have already changed the terms, scope or governance of partnerships because of a partner’s country of origin or geopolitical alignment (70% across the C-suite).

“SC&E leaders are already managing through an environment of constant disruption," said Tracey Countrymanglobal supply chain and engineering lead at Accenture, in a statement.

"Rather than making big bets on moving production closer to home, they’re building resilience through better forecasting, diversified supplier networks and stronger risk management to deliver measurable business outcomes.

"They’re investing in AI through a practical, workforce-led lens, helping their people make faster, AI-enabled decisions and adapt more effectively as conditions continue to change.”

Other key findings:

Running operations has become materially harder. More than 78% of SC&E leaders say geopolitical uncertainty, economic volatility, regulatory complexity and compliance pressures have made operations more difficult over the past six months.

While concern levels are similar across the C-suite (80%), operating leaders are more focused on supply chain continuity (28% vs. 23%) and rising operating costs (20%), while the broader C-suite is more focused on technology and AI adoption (21%).

Disruption continues to top the agenda. Six in ten SC&E executives say supply chain disruption is the factor most likely to force a significant strategy shift in 2026, ahead of new technologies (54%), trade and compliance changes (49%) and talent shortages (46%). The broader C-suite takes a different view, ranking new technology impacts first (59%) and supply chain disruption second (53%).

That difference shows up in investment priorities. SC&E leaders once again place forecasting, scenario planning and risk management at the top of their agenda (59%), while the broader C-suite is largely prioritizing AI and digital technology investments (62%). To prepare for continued uncertainty, SC&E executives are diversifying their supply chain (49%), reevaluating major capital expenditures (45%), increasing M&A or partnership activity (42%) and investing in geopolitical risk management (41%).

Talent pressures are most pronounced in the Americas. 56% of SC&E executives in the Americas identify labor and talent shortages as the disruption most likely to force a strategy change in 2026, well above APAC (45%) and EMEA (32%). Regional approaches to resilience also differ.

APAC leaders are most likely to diversify supply chains (57%), compared with 48% in the Americas and 46% in EMEA who are focusing on geopolitical risk management (45%).

AI investment continues, with focus on workforce readiness. More than two-thirds (68%) of SC&E leaders plan to increase AI investments over the next year, compared with 82% of the broader C-suite. Their focus is less on short-term financial returns and more on preparing employees for AI-enabled work with new team structures and cross-functional collaboration models.

Seven in ten are investing in workforce upskilling and reskilling and expecting human-AI integration to emerge across multiple functions (38%) or become widespread across the organization (32%) within the next year.

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