LAS VEGAS — Working closely with finance executives, IT departments, and trusted suppliers is among the essentials for weathering supply chain disruptions, according to procurement executives with outdoor retailer REI and manufacturer Arlon Graphics.
Ever-changing global tariffs imposed by President Donald Trump last year are forcing organizations to devise strategies to blunt sudden supply chain turmoil. For vinyl graphics maker Arlon Graphics, that means being adaptable.
"The one thing that's changed with the strategy is you have to be agile and prepared to quickly change and pivot your strategy," Linda Babilo, VP of the company's global supply chain, said during a panel at Manifest 2026 in Las Vegas.
Professional services firm KPMG urges supply chain leaders to stay agile in 2026 as ongoing tariffs and non-tariff barriers threaten fresh disruption. Recommended tactics include broadening supplier bases, shifting production closer to priority markets, and carrying extra inventory in strategically important regions.
Organizations also need strong partnerships with suppliers to navigate disruption successfully, Babilo and Jennifer Kobus, DVP of REI's supply chain global logistics, said. Both agreed that having trusted suppliers was as important as diversifying the supply pool.
"I think you can have diversification and not be so extreme and over-indexed on that diversification that you don't gain economies of scale," Kobus said
Also, a close supplier can help to ease a tariff-induced financial burden, Babilo said.
"When times are tough, and both of you are losing, you both want to share a little bit of the pain so you can continue to grow," Babilo said. "So, I think supplier partnerships are the key to continuing to succeed and grow."
Organizations that are transparent with their objectives and strategies will get the most from their suppliers, Babilo said.
"They will bring suggestions to the table because they're going to try to add value so that they can remain a strong partner," Babilo said.
Weathering disruption also requires internal collaboration. Babilo believes it is important to work with the CFO and teach the procurement team how its decisions impact an organization's cost of goods sold.
"For me, working with our CFO more closely, because he leads most of our cost savings projects" and teaching her team to be more collaborative has been a key highlight for Babilo, she said.
IT executives are also critical partners, because they can ensure technology projects that reduce procurement costs are completed, Kobus said.
"If there's a technology component, it's really important to make sure that they're locked in step with you in order to get it across the finish line," Kobus said.
Procurement teams often have to pivot quickly to address sudden supply chain events. So, they have to be really good at helping the executive leadership understand that "there is a risk to doing something, and there is a risk to not doing something in the supply chain," Babilo said.
Ten years ago, Babilo never gave presentations to executives on savings efforts, she said. Now, it's common to sell the procurement team's cost-cutting initiatives.
"It's really becoming a salesperson and advocate for the teams as well to understand the value of the team, so they can support the team in their strategic priorities," Babilo said.
Documenting the procurement team's strategy and the why behind specific actions is a good practice to maintain continuity, particularly when team members leave and are replaced with new hires, Kobus said.
"I don't think we do a really great job of documenting beyond the procurement event itself," Kobus said.
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