For the past few months, the ISA leadership team and the ISA Educational Council have been working behind the scenes on this project. It has been fun to be part of the project led by Brendan Breen, his entire ISA team, and all the great educational committee and board leaders (leaders who are working every day in the channel) who are committed to this program.
So, getting the chance to write about the team’s work and launching the announcement is great.
The ISA team provided a great overview of the Why? and the program, so with permission, we are sharing their announcement below.
Why is ISA Launching the ISA Executive Network?
The industrial MROP channel is facing a convergence of pressures, from volatile trade policies to economic unpredictability, that have elevated the value of senior-level collaboration. With tariffs increasing, supply chains still fragile, and forecasts uncertain, this is the moment for focused executive dialogue.
Tariffs Creating Strategic Challenges
Recent trade actions have disrupted pricing and sourcing strategies across industries. U.S. tariffs on steel, aluminum, and copper have surged, with rates on steel and aluminum climbing to 50 percent and new tariffs on copper taking effect this summer. Distributors are being forced to rethink supplier relationships and pricing strategies.
A temporary reprieve came with a U.S.–China tariff reduction agreement, which lowered some rates from as high as 145 percent to 30 percent. While this provided short-term relief, executives remain cautious given the fragile nature of the agreement and the likelihood of future policy shifts.
Economic Uncertainty and Investment Hesitation
The broader economic climate has become equally unsettling. Analysts estimate that ongoing policy uncertainty, particularly related to tariffs, could reduce U.S. manufacturing investment by more than 13 percent annually, adding up to nearly half a trillion dollars by 2029. Many organizations are delaying major purchases or capital projects while they wait for more clarity.
At the same time, legal battles are creating even more confusion. Some recent tariffs have been struck down in court, though appeals are underway. This legal back-and-forth only adds to the uncertainty facing executives who are trying to plan ahead.
Import Disruption, Margin Pressure, and Softening Demand
Import activity has slowed dramatically, with projections showing the lowest container volumes since 2023. This reflects a broader hesitation among buyers to source products under unclear trade conditions.
Margins are also under pressure. Consumer-facing sectors continue to lag, and many industrial companies are feeling the effects of flat wage growth, slower demand, and higher input costs. Analysts expect these conditions to extend well into 2026.
Industrial Output Under Pressure
Industrial production numbers confirm the challenges. In May 2025, overall production slipped, and factory output fell in most categories outside of automotive. Capacity utilization also dropped to its lowest point since early 2024, reflecting a prolonged downturn.
Executives report delayed projects and higher costs tied directly to tariffs, particularly in sectors such as mining, healthcare procurement, and real estate services. Some companies are pursuing early procurement strategies to lock in materials, while others are postponing investments entirely in an effort to manage costs.
The Case for Executive-Level Collaboration
These challenges highlight why executives need a dedicated space for dialogue. The ISA Executive Network was designed to meet this need by providing senior leaders with a forum to share insight, compare strategies, and benchmark performance.
The network will help members:
- Share practical approaches to navigating tariff-driven cost pressures, sourcing alternatives, and pricing adjustments
- Collaborate on strategies for forecasting, procurement, and digital transformation
- Learn from peers who are managing demand fluctuations, delayed projects, or shifting investment timelines
This network builds on ISA’s broader support ecosystem of certification programs, roundtables, and communities. The focus here is at the senior leadership level, where decisions carry the greatest weight in times of disruption.
Launching at the ISA Fall Summit
The Executive Network will host its first summit at the ISA Fall Summit. This milestone gathering will feature six collaborative education sessions designed to spark ideas and encourage real-world problem solving. Attendees will also have the opportunity to connect directly with peers to discuss the challenges outlined above. Just as importantly, this first summit will be a chance to shape the future of the Executive Network by suggesting activities and initiatives that leverage the power of a community aligned around collaboration.
Looking Ahead
These developments are more than passing headlines. Tariff policy, economic uncertainty, and softening demand are reshaping the strategic landscape for industrial distribution.
The ISA Executive Network arrives at exactly the right moment. By connecting senior leaders across the channel, we can gain clarity, share foresight, and work together to navigate the road ahead.
We look forward to convening you at our inaugural Executive Network Summit. Your perspectives will not only inform the conversation, they will help shape the future of the industrial MROP channel.
I am excited about this program which is being highlighted with its own track at the ISA Fall Summit Nov. 3-5th. I hope to see you in Memphis this fall at the event. As always, we appreciate your comments and support.
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