Geopolitical Intelligence · Executive Strategy

Corporate disruption occurs where geopolitics, psychology, and operations intersect.

The Predictive History Method gives executives the framework to read the signal before the window closes. History doesn't predict. But it leaves a pattern — and that pattern is readable.

Live Signal Environment · 23 March 2026 — Hormuz Day 23 · 30 Mar thresholdclick any row to expand ↕
Energy / TTF
€60+/MWh ▲
Active
TTF has risen above €60/MWh since Hormuz closure — nearly double the pre-closure level. European storage at just 30% capacity following the 2025-26 winter. ECB postponed planned rate cuts on 19 March, raising its 2026 inflation forecast.
See configuration analysis ↓
Dollar Cycle / DXY
104.2
Elevated
DXY at 104.2 is 0.8% from the 105 threshold that preceded EM currency stress in 5 of 6 comparable cycles since 1970. Egypt, Turkey, and Pakistan are already in active stress cycles.
See configuration analysis ↓
Sanctions
147 packages
Elevated
147 packages since January 2023 — fastest expansion since the Cold War. Average screening system update lag: 47 days. Transactions processed in that gap carry the exposure.
Trade & Tariffs
10–25% active
Elevated
US baseline at 10%, Section 301 China at 25–145%. Supply chain restructuring takes 12–24 months. Organisations deciding now do so at normal lead times. Those that wait compress that timeline at higher cost.
See configuration analysis ↓
War Risk / JWC
Hormuz CLOSED ▲
CLOSED
Strait of Hormuz closed since 2 March 2026. Tanker traffic down 95%. 150+ ships anchored outside the strait. 21 confirmed attacks on merchant vessels. War risk insurance premiums up 300–400%. This is the largest maritime energy disruption in history.
EM Stress
Elevated
Elevated
EM sovereign stress is the leading indicator for DXY-correlated currency compression. Modelling EM stress and DXY as independent exposures understates the compound impact by 2–3×.
See configuration analysis ↓
Oil / Brent Crude
$126/bbl ▲
Active
$126/bbl peak following Hormuz closure 28 Feb 2026 — largest oil price surge since the 1970s. Brent and TTF have moved together: TTF now above €60/MWh. 20% of global oil supply disrupted. The 48% scenario activated.
See configuration analysis ↓
240 companies · 7 sectors · 6 regions
0
High ▲ +28.7
Energy
92.5
Logistics
84.3
Chemicals
80.4
Agriculture
70.1
Financial
51.0
Automotive
58.9
Technology
37.8
View full Signal Index — 240 companies →
Compound Impact Index
Hormuz closure · Day 23 · Live event
0/100
High — Cascade Threshold 30 Mar
Energy signal
87
Supply chain
92
Financial / EM
68
Cascade proximity
79
View Compound Impact Index — Day 23 →
HORMUZ CLOSED — DAY 23·Largest energy disruption since 1973 Gold $—/oz·Live · risk sentiment indicator Brent $126/bbl·Peak since closure · +48% vs pre-Hormuz TTF €60+/MWh·European storage 30% capacity · ECB halted cuts $1.2 trillion·Annual trade at risk — ASCII/Vienna research Tanker traffic −95%·150+ ships anchored · 21 confirmed attacks 4-wk threshold: 30 Mar·7 days — non-linear cascade zone DXY 104.2·0.8% from 105 EM stress threshold War risk +300–400%·Cape rerouting +$2,700/FEU · +26–30 days 147 sanctions packages·Fastest expansion since Cold War US tariffs 10–25%·Section 301 China 25–145% PHM Signal Index 72.7·High · 240 companies · 7 sectors · 6 regions HORMUZ CLOSED — DAY 23·Largest energy disruption since 1973 Gold $—/oz·Live · risk sentiment indicator Brent $126/bbl·Peak since closure · +48% vs pre-Hormuz TTF €60+/MWh·European storage 30% capacity · ECB halted cuts $1.2 trillion·Annual trade at risk — ASCII/Vienna research Tanker traffic −95%·150+ ships anchored · 21 confirmed attacks 4-wk threshold: 30 Mar·7 days — non-linear cascade zone DXY 104.2·0.8% from 105 EM stress threshold War risk +300–400%·Cape rerouting +$2,700/FEU · +26–30 days 147 sanctions packages·Fastest expansion since Cold War US tariffs 10–25%·Section 301 China 25–145% PHM Signal Index 72.7·High · 240 companies · 7 sectors · 6 regions
How the platform is structured
PHM Signal Index
The market.
240 companies.
Continuous. Measures compound geopolitical signal exposure across 240 named companies, 7 sectors, 6 regions. When it moves, something structural has changed. Currently 72.7 — above the 2022 Ukraine entry point.
View Signal Index — 72.7 ↗
Compound Impact Index
This event.
Hormuz closure.
Event-specific. Maps the live Hormuz closure — demonstrated economic effects by country, sector, and named company. The 4-week cascade threshold identified in the TIDES research is 30 March 2026.
View Impact Index — Day 23 ↗
Diagnostic
Your position.
Your windows.
Maps where your specific organisation sits inside the index — sector, route exposure, COGS structure, EM revenue. Identifies which preparation windows are still open. Free. 12 minutes.
Run the Diagnostic — free ↗
How It Works

Not a prediction engine.
A pattern recognition system.

The Predictive History Method does not predict. It reads documented patterns against observable signals and asks: given what history shows about configurations like this one, what is the range of probable outcomes — and what is the decision that changes them?

"Every major corporate disruption of the last 50 years had a signal window. The signals were public. The historical patterns were documented. The preparation window was open. The organisations that got hurt were not unlucky. They were not surprised. They were warned — and they did not act. That is the most uncomfortable finding in every post-mortem. It is also the founding observation of this method."
How the method reads a disruption — before it arrives
June 2021
Gas storage deficit — Eurostat data
Storage levels diverging from 5-year average. Observable in weekly public data. The method flags this as Signal 1 of a documented compound configuration.
Public data · Eurostat weekly
August 2021
Gazprom flow reductions begin
Pipeline volumes drop. Reported in Reuters and FT. The method recognises this as the second signal in a configuration that produced 40% price increases in 2006 and 2009.
Signal 2 of 4 · Compound forming
October 2021
TTF forward curve in backwardation at 3× historical average
The market is pricing in scarcity. Companies that fixed energy contracts now pay 2.1× pre-shock baseline. The preparation window is open — but closing.
Preparation window open · Act at 1× cost
January 2022
Preparation window closes
Forward contracts are no longer available at manageable prices. Organisations that did not act in Q3-Q4 2021 are now exposed to spot pricing.
Window closed · 3–6× cost now
February 2022 →
Activation. BASF curtails production for first time since 1865.
Peak equivalent contracts cost 8×. The signal sequence was visible for four months. The compound mechanism was documented in post-mortems from 2006 and 2009. All four signals were public. The post-mortem finding is consistent across every comparable event: the window existed. It was not used.
Activation · 6–8× cost · Post-mortem consistent
1
Read the Signal Environment
Six geopolitical signals — energy, dollar cycle, sanctions, trade, war risk, EM stress — measured against documented historical thresholds. Not news. Structural readings.
TTF at €60+/MWh = 2.4× the historical average that preceded the 2022 BASF curtailment. Brent at $126/bbl above the $85 feedstock threshold. DXY at 104.2 approaching 105 = the threshold that preceded EM stress in 5 of 6 comparable cycles since 1970. All three active simultaneously.
2
Match the Historical Pattern
The method maps the current signal environment against 50+ years of compound disruption patterns — not as individual signals, but as a compound configuration.
The current configuration exceeds Q3 2021 for energy-exposed manufacturers — the signal that preceded the 2022 BASF curtailment — by every measurable indicator. The Hormuz closure adds a maritime disruption layer not present in 2021. Both patterns have documented 12–18 month outcome windows. The difference: 2021 had a preparation window. This one is closing on 30 March.
3
Identify Your Exposure
The diagnostic maps your organisation's specific configuration against the pattern — your hedge position, supply chain concentration, revenue exposure, operational resilience — and identifies which conditions apply.
22 questions. 309 documented conditions. Sector-specific COGS benchmarks. The output is a named position, not a generic risk score.
4
Pre-commit the Response
The decision is made inside the preparation window — when the cost of action is 1×, not 6–8×. A named trigger condition. A named owner. A pre-committed response. That is the difference between the organisations that navigated 2022 as a managed event and those that read the post-mortem.
Companies that fixed energy contracts in Q3 2021 paid 2.1× pre-shock pricing. Those that waited paid 8×. The signal was the same. The decision was different.
What the method is not
A prediction of what will happen
A geopolitical forecast or intelligence briefing
A generic risk score or heat map
A one-time exercise or annual review
A replacement for executive judgment
What the method is
A documented pattern recognition system applied to observable signals
A sector-specific exposure mapping against 50+ years of compound disruptions
A pre-commitment framework — decisions made before activation, at 1× cost
A continuous operating system — scan, analyse, audit, decide, learn
The intellectual framework behind the diagnostic and the report
309
Documented
Exposure Patterns
17
Sectors Covered
with Benchmarks
255
Diagnostic
Paths
14
Independent
Research Sources
The Framework

Three forces. One intersection.
That is where disruption lives.

Most organisations monitor each force independently. The Predictive History Method reads the compound pattern — where all three activate simultaneously — documented in every major disruption since 1973.

Domain 01
Geopolitics

The structural forces — sanctions architecture, conflict zones, trade policy, currency cycles — that create the conditions. They move slowly, signal visibly, and are misread as background noise until they aren't.

EnergySanctionsDollar CycleWar RiskTradeEM Stress
Domain 02
Psychology

How leadership teams respond — or fail to — when the signal is visible but not confirmed. Freeze, normalcy bias, and optimism bias are documented across every comparable event. The pattern is human, not situational.

Cognitive BiasDecision DelayPre-commitmentBoard Dynamics
Domain 03
Operations

Where the signal reaches the P&L. COGS first — energy, input costs, logistics. Working capital follows within 30–90 days. The preparation window is the gap between when the signal is readable and when it becomes unavoidable.

COGS ImpactWorking CapitalSupply ChainHedge Position
"The preparation window was open for four months before BASF curtailed production for the first time since 1865. All four signals were visible. Companies that fixed energy contracts in Q3 2021 paid 2.1× pre-shock pricing. Those that waited paid 8×."
BASF Ludwigshafen 2021–22 · Documented case study
The Strategic Report

C-suite ready.
Sector-specific.
Decision-first.

The diagnostic maps your exposure. The report translates it — in your sector's language, against documented historical outcomes, with named owners and specific deliverables on every dimension.

"This report identifies the pattern. It does not know your specific numbers. The sector benchmarks show where comparable organisations typically sit. Your numbers confirm or modify the exposure."
PHM Strategic Report — Confidential
Predictive History Method™
Meridian Chemicals AG
Chemicals & Materials · Eastern Europe · HIGH EXPOSURE · 8 conditions · 23 March 2026
Feedstock & Energy Signal
HIGH EXPOSURE
Signal
TTF €60+/MWh
Above €60/MWh — Hormuz-driven surge. ECB halted rate cuts 19 March 2026.
Pattern
8× cost
BASF 2022: fixed contracts paid 2.1×. Those that waited paid 6–8×.
Mechanism
4–5 months
TTF rises. Direct energy AND feedstock compound simultaneously.
The Question This Dimension Must Answer
"Do you know the specific TTF threshold at which each production line becomes uneconomic — and has your board seen this number?"
Finance
0–7 days
Produce gas hedge position baseline: % covered, tenor, price vs forward curve.
CPO
0–7 days
Single-source input baseline: name, % COGS, geography, alternative status.
COO
21 days
Pre-commit production curtailment: define TTF threshold, line, decision owner.
Configurations Worth Watching

One configuration activated 28 February.
Three more in the preparation window now.

These are documented configurations — compound signal patterns that history has mapped to specific outcomes. The Hormuz closure activated on 28 February 2026 as the signal sequence indicated. Organisations inside the preparation window managed it as a planned event. Those outside it are making the same decisions now at 3–8× the cost. Three configurations remain open. The window is not permanent.

Click any configuration to expand

● Activated — 28 Feb 2026 Downstream windows still open
Strait of Hormuz — Live Case Study
What this demonstrates

The Hormuz closure was listed in the PHM diagnostic at 48% probability over 12 months. The signal sequence — Brent above $85, JWC listings active, war risk premiums rising, US-Iran tensions at documented threshold — was visible in the signal environment for months before activation. Organisations inside the preparation window had pre-approved alternative routing, reviewed energy hedge positions, and stress-tested their EM exposure. Those that did not are making the same decisions now at 3–8× the cost, under pressure, with fewer options. This is the founding observation of the method, in real time.

On 28 February 2026, US and Israeli strikes on Iran triggered the closure of the Strait of Hormuz — through which 20% of global oil supply and the majority of Qatari LNG transits daily. The IEA has described it as the greatest global energy and food security challenge in history. Tanker traffic fell 95%. Brent crude peaked at $126/bbl. TTF rose above €60/MWh. The downstream effects — on who, by how much, and for how long — are now quantified by independent research.

Quantified Exposure — Who and How Much
Source: Supply Chain Intelligence Institute Austria (ASCII) / Complexity Science Hub Vienna / TU Delft — "When the Strait Closes", March 2026. Based on TIDES model simulation of 10,000 tankers across 1,315 ports.
Global Trade at Risk
$1.2T
annual trade at risk from 5 Hormuz-dependent Gulf states
$800B
energy products alone — crude oil, LNG, refined petroleum
4 weeks
the tipping point — beyond this, cascading delays compound disproportionately
Asia — Highest Exposure
China $97B/yr · 40% crude via Hormuz
India $74B/yr · 60% petroleum imports
Japan $63B/yr · 90% crude from Middle East
South Korea $30B/yr
Shipping days lost (56-day closure) 4.3 days China · 3.0 days East Asia
Non-linear scaling 56-day = 2.5× impact of 28-day
Europe — Country-by-Country Exposure
EU total: $47B/yr · UK: $13B/yr · Primary channel: Qatari LNG and propane
United Kingdom
$12.9B/yr
Qatari LNG $5.9B · UAE petroleum $3.8B
Italy
$9.8B/yr
Qatari LNG $4.4B · propane $3.2B
Belgium
$8.2B/yr
Zeebrugge LNG terminal $5.8B
France
$8.1B/yr
Diversified · lower concentration risk
Germany
$5.7B/yr
UAE machinery dominant · more resilient
Netherlands
$5.5B/yr
Rotterdam LNG hub · broader market impact
Beyond Energy — The Overlooked Channels
Fertilisers & Urea
Gulf states supply 31% of global urea exports — $13.5B across 43 countries. Largest importers: USA and Brazil ($5.3B combined). Primary impact: farm profitability via price increases, not immediate supply shortages. Spring 2026 planting season buffered by advance purchasing.
Semiconductor Specialty Gases
Qatar supplies 98% of Gulf helium, neon, argon for chip fabrication — $3B across 26 countries. China $2.3B, Taiwan $0.7B, South Korea $0.3B. Risk profile: low due to diversified global supply. Concern if coinciding with other disruptions.
Steel & Construction
Highest risk: Turkmenistan, Pakistan, Tajikistan — near-total dependence on Iranian construction steel. Most countries have alternative suppliers. Impact: project delays, not supply crises.
The Cascading Threshold
The TIDES model (10,000 tankers, 1,315 ports) reveals a tipping point at 4 weeks. Beyond this, missed port calls create compounding schedule backlogs across the network. A 56-day closure produces more than 2× the disruption of 28 days — not a linear relationship.
Macro Impact — Dallas Fed / ECB Modelling
−2.9pp
global real GDP growth — annualised Q2 2026 (1-quarter closure scenario)
$132/bbl
WTI projected if closure extends 3 quarters — Dallas Fed model
5%+
UK inflation forecast 2026 · ECB postponed rate reductions 19 March
Chemical and steel manufacturers in EU/UK have imposed surcharges of up to 30% to offset surging electricity costs. European storage at 30% capacity entering the summer refill season — below the threshold at which the 2022 BASF curtailment was triggered.
Signal Sequence — Pre-Activation (All Public Data)
Brent crude above $85 feedstock threshold
$126/bbl · Mar 2026
Active — Hormuz
JWC Red Sea listing — precedent pattern
Nov 2023 → Red Sea
Pattern matched
War risk insurance premiums — Hormuz
0.125% → 0.4% per transit
Elevated pre-activation
US-Iran tensions at documented threshold
Failed Geneva talks + 2025 conflict
Pattern matched
Iran pre-positioned: tripled oil exports
15–20 Feb 2026
Signal visible
Historical Parallel
1973 Arab Oil Embargo
The closest documented parallel. Both involved deliberate chokepoint closure as geopolitical leverage. The 1973 embargo removed 7% of global supply; the Hormuz closure removes 20%. The 1973 signal sequence — escalating regional tensions, prior partial disruptions, insurance premium spikes — preceded the embargo by weeks. The pattern was visible. Most organisations were not reading it.
Downstream Windows Still Open
Energy contracts — Q3/Q4 2026 renewal windows open now. Hedge decisions at current pricing vs. $132/bbl scenario.
EM currency exposure — DXY still approaching 105. Energy shock accelerates EM stress cycle.
Fertiliser input costs — 2027 planting season contracts not yet locked. 31% of global urea at risk.
Specialty gas inventory — Semiconductor manufacturers: Qatari helium/neon at risk beyond 4-week closure threshold.
Source: Supply Chain Intelligence Institute Austria (ASCII) / Complexity Science Hub Vienna / TU Delft — "When the Strait Closes: Trade Dependencies and Shipping Disruption Scenarios for the Strait of Hormuz", March 2026. Federal Reserve Bank of Dallas oil market modelling, March 2026. Wikipedia Economic Impact of 2026 Iran War.
Window Closing 18–36 month horizon
US–China Technology Bifurcation

The decoupling of semiconductor supply chains, technology standards, and digital infrastructure is no longer a scenario — it is an active structural shift. Organisations with Taiwan-sourced components, China revenue above 15%, or US-regulated technology in their products are inside this configuration now. The qualification timelines for alternatives run 18–36 months. The organisations that began that work in 2023 are executing it under normal conditions. Those that haven't are making the same decision under pressure.

Active Signals
Taiwan semiconductor dependency
~90% leading-edge
Critical
US–China tech export controls
Expanding
Active
China component BOM exposure
35–55% typical OEM
Elevated
Bifurcation probability (36mo)
67%
Active
Historical Parallel
Smoot-Hawley 1930 + Cold War technology separation 1947–91
Technology bifurcation produces dual supply chains, standards fragmentation, and stranded assets in the non-dominant geography. The 2–5 year transition period is the preparation window. Organisations that qualified alternative supply chains before the formal decoupling event maintained continuity. Those that didn't faced 18–36 month gaps at crisis pricing.
Preparation Window
Qualification programmes started in 2023–24 reach completion before the probability window. Those starting now face compressed timelines. The window is not closed — but it is narrowing at the pace of the export control architecture expanding.
Run the diagnostic →
Window Open 12–18 month horizon
Dollar Cycle — EM Stress Threshold

DXY at 104.2 is approaching 105 — the threshold that preceded EM currency stress in five of six comparable tightening cycles since 1970. Organisations with EM revenue above 20% of total, EM loan book concentration, or USD-funded EM operations are forming the same exposure profile that produced 8–14% revenue compression in the 2014–16 cycle. The compound mechanism — simultaneous currency depreciation and volume compression — is documented. The preparation window for hedging and contract structure is open.

Active Signals
DXY index
104.2
Elevated
EM reserve drawdown
Visible Q4 2025
Elevated
EM sovereign stress (Egypt, Turkey, Pakistan)
Active cycles
Active
105 EM stress threshold
0.8% away
Approaching
Historical Parallel
DXY Tightening Cycle 2014–16
Organisations with EM revenue above 20% saw 8–14% revenue compression in USD terms within 18 months of DXY crossing 105. Volume compression added a 1.8–2.4× multiplier to the currency effect alone. Organisations that hedged in Q4 2014 — when the signal was readable — paid materially below those that waited for currency confirmation. (ECB Financial Stability Review 2016)
Preparation Window
The window closes when DXY crosses 105 and EM currencies begin moving. At current trajectory that is a matter of months, not quarters. The hedge and contract structure decisions available today will not be available at the same cost after crossing.
Run the diagnostic →
Re-forming 12 month horizon
European Energy — Re-exposure Configuration

The 2022 energy shock resolved for many organisations through fixed-price contracts signed in 2021–22. Those contracts are expiring. TTF at €60+/MWh — above the threshold that triggered the 2022 BASF curtailment — means the structural conditions that produced the 2022 curtailments are present again. The pipeline flow reductions documented since Q3 2024 match the August 2021 signal. Organisations that hedged in 2021 and have not renewed their contract cover are re-entering the same exposure configuration their preparation in 2021 protected them from.

Active Signals
TTF natural gas forward
€60+/MWh
Active
Brent crude
$126/bbl
Active — Hormuz
Pipeline flow reductions (Q3 2024)
Documented
Elevated
Eastern European supply routes (JWC)
Active listings
Active
Historical Parallel
BASF Ludwigshafen 2021–22 · Signal sequence match
The current TTF level, pipeline reduction pattern, and storage trajectory match the Q3 2021 signal environment that preceded the first BASF production curtailment since 1865. Companies that fixed contracts in Q3 2021 paid 2.1× pre-shock pricing. Those that waited paid 6–8×. The signal sequence — storage deficit, flow reductions, TTF backwardation — was visible four months before the price peak. That same sequence is visible now.
Preparation Window
Contracts expiring in H1 2026 need to be reviewed now. The forward curve available today reflects current market conditions. It will not be available at the same price after the next pipeline reduction event or storage deficit confirmation.
Run the diagnostic →
Active — Expanding Continuous exposure
Sanctions Architecture — Secondary Exposure

147 sanctions packages since January 2023 — the fastest expansion since the Cold War. The primary exposure is visible: Russian energy, Iranian oil, North Korean entities. The secondary exposure is not: correspondent banking restrictions, technology components with dual-use classifications, and logistics providers that touch sanctioned geography. The average compliance system update lag is 47 days. Transactions processed in that gap carry the exposure regardless of intent. The organisations getting this wrong are not reckless — they are operating on outdated screening architecture.

Active Signals
Active sanctions packages
147 since Jan 2023
Critical pace
Entities on SDN list
13,400+ (+38% since 2021)
Elevated
Avg compliance system lag
47 days
Active gap
Secondary channel exposure
Underestimated 2–4×
Elevated
Historical Parallel
BNP Paribas 2014 — $8.9B penalty for secondary sanctions violations
BNP processed transactions through correspondent accounts that touched sanctioned entities — not directly, but through chains of 2–3 intermediaries. Their compliance system was not updated to reflect the expanded architecture. The exposure was structural, not intentional. The $8.9B fine was the documented outcome of a 47-day lag operating at scale. The same architecture is now expanding faster than it did in 2012–14.
Preparation Window
Screening architecture can be updated. The window to do so proactively — before a transaction triggers an enforcement action — is open. It closes transaction by transaction as the package count grows.
Run the diagnostic →
Forming — 2027 Season 9–15 month horizon
Agricultural Input Shock — 2027 Season Contracts

The Hormuz closure is not primarily an oil story for agriculture — it is a fertiliser story. Qatar is the world's largest LNG exporter and a significant ammonia and fertiliser supplier. Hormuz disruption breaks the ammonia feedstock chain. Combined with Brent above $85 (the documented feedstock cost threshold) and DXY at 104.2 (which compresses EM purchasing power for fertiliser imports), the 2027 planting season contract window is opening now. The organisations that locked 2022 fertiliser contracts in Q3 2021 paid 3× less than those that waited. The same window dynamic is operating in 2026 for the 2027 season.

Active Signals
Hormuz closure — ammonia feedstock
Day 23 — disrupted
Active
Brent vs $85 feedstock threshold
$126/bbl (+48%)
Above threshold
DXY EM purchasing power
104.2 — compressing
Elevated
2027 season contract window
Open — Q2 2026
Window open
Historical Parallel
2021–22 fertiliser shock — European agriculture and food production
TTF above €60/MWh destroyed the economics of ammonia synthesis across European fertiliser producers. Yara curtailed 35% of European production. Fertiliser prices rose 270%. The food companies and agricultural producers that had locked forward contracts in Q3 2021 managed the 2022 season at controlled cost. Those that waited faced spot pricing at 3–4× pre-shock levels — and some could not source at any price. The 2026 signal environment contains every element that produced that outcome.
Preparation Window
2027 planting season forward contracts are available now. The window closes as Hormuz duration becomes clearer — longer closure = faster price escalation in ammonia and fertiliser derivatives. Acting in Q2 2026 is acting in the preparation window.
Run the diagnostic →
Active — Three Countries 6–18 month horizon
EM Sovereign Stress — DXY Compound Cascade

DXY at 104.2 is 0.8% from the 105 threshold that preceded EM currency stress in 5 of 6 comparable cycles since 1970. Egypt, Turkey, and Pakistan are already in active stress cycles. The compound exposure most organisations are not modelling: EM sovereign stress and DXY movement are not independent variables. Treating them as separate exposures underestimates the compound impact by 2–3×. An organisation with EM revenue above 20% of total, combined with dollar-denominated supply costs, is inside a documented compression mechanism — the spread between their revenue currency and their cost currency widens as the cycle progresses.

Active Signals
DXY vs 105 stress threshold
104.2 — 0.8% gap
Near threshold
EM FX basket vs USD YTD
−4.8% YTD
Depreciating
EM sovereign spread (avg)
+285bps (+40bps Jan 2025)
Elevated
Active stress cycles
Egypt · Turkey · Pakistan
Active
Historical Parallel
1997 Asian Financial Crisis — DXY cycle + EM stress compound
DXY rose through 105 in late 1997 as the Asian currency crisis deepened. Organisations with Thailand, Indonesia, and South Korea revenue found that their EM exposure was 2–3× larger than their balance sheet suggested — because the USD cost base did not compress when EM revenues converted at 40–60% lower rates. The companies that had pre-committed FX hedges at defined thresholds managed the compression. Those that treated DXY and EM stress as independent risks did not.
Preparation Window
Pre-committed FX hedge triggers at DXY 105 are available and actionable now. The window closes when DXY crosses 105 — at that point the historical pattern shows rapid EM currency movement that pre-empts orderly hedging. The 0.8% gap is the preparation window.
Run the diagnostic →
Dormant — Elevated 24–48 month horizon
Taiwan Semiconductor — The Dormant Configuration

Taiwan produces 92% of the world's most advanced semiconductors and 60%+ of all chips. A military action or blockade scenario would activate the single largest supply chain disruption in economic history — larger than any previous configuration tracked by the PHM Signal Index. The index currently scores this at 37.8 (Technology sector). It is the lowest current reading — and the configuration where the preparation window cost differential is largest: qualifying alternative supply chains takes 36–60 months under normal conditions. Organisations that are not inside that process now will not complete it before the probability window opens.

Current Signal Readings
PHM Signal Index — Technology
37.8 / 100
Elevated
Taiwan advanced chip concentration
92% leading-edge
Structural
Alternative qualification timeline
36–60 months
Long lead
Cross-strait tension trajectory
Elevated — trend up
Elevated
Historical Parallel
2021 semiconductor shortage — single-source dependency activated
The 2021 shortage was caused by a demand spike and COVID disruption — not a geopolitical event. It still took automotive manufacturers 12–18 months to recover, with production losses exceeding $200B globally. A geopolitical disruption to Taiwan would be permanent on the relevant timescale, not temporary. The preparation window is the time before the probability is priced in. Once it is, the window closes simultaneously for every organisation that shares the dependency.
Preparation Window
The window is open — and wide. The index is at 37.8, not 72.7. The cost of beginning qualification programmes now vs under elevated probability is the documented 3–5× differential. This is the configuration where acting early has the largest measurable return.
Run the diagnostic →

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17 sectors. 255 diagnostic paths. 309 documented historical patterns. The diagnostic maps your organisation's specific configuration — sector, region, function, and signal exposure — and produces a condition-specific result with the preparation window clearly identified.

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17
Sectors
309
Patterns
255
Diagnostic paths
14
Research sources
What We Offer

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SH
Author
The Predictive History Method
Four volumes
Signal Environment · Psychology of Non-Response · Operational Impact · Bulletproof Operating System
Sang Heeringa
Author · The Predictive History Method · Global Operations Executive · 30+ years across four continents

In February 2022 I was running operations in Kyiv. The signals had been readable for four months. I had read them. That experience — making decisions in real time, under conditions where getting it wrong was not recoverable — is the origin of this method. Not as theory. Built inside the problem it was designed to solve.

The Predictive History Method documents what I learned across 30 years leading global organisations through disruption at Dell, Epsilon, and OYO Digital — across Europe, MENA, and Asia. Four volumes. The intellectual architecture is complete: the six geopolitical signals and how they compound; the psychology of why leadership teams with access to public information fail to act; how signals reach the P&L in a predictable financial sequence; and the five-step operating system for institutionalising pattern recognition before the next signal activates.

I am still inside it. The organisations I work with are navigating the same signal environment right now — the same cognitive pressure to wait for confirmation, the same preparation windows measurably opening and closing. I see the struggle, the regrets, the cost of decisions made too late. That is what drives this. Not research. Not consulting. Direct experience of what it costs to handle these situations without the right framework — and what it looks like when the method is running.

DellEpsilonOYO DigitalKyiv 202230+ years
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Why This Exists
"I have been looking for a faster, lower-cost way to solve this problem — one that doesn't require a six-month engagement with a Big 5 firm, a team of analysts, and a report that arrives after the preparation window has already closed."

The major consultancies do excellent work. They also charge €500k for it, take six months to deliver it, and by the time the deck lands in the boardroom the signal environment has already moved. For the organisations that can afford that — fine. For everyone else, there has been no credible alternative. A framework grounded in documented historical patterns, calibrated to your sector, delivered at a cost that reflects what it actually takes to produce it, and available inside the preparation window while it is still open.

That is what the Predictive History Method is. Not a replacement for strategic judgment. A faster, more accessible path to the pattern recognition that makes that judgment executable before the window closes.

The Book

The complete intellectual architecture.
Four volumes.

Predictive History Method™
The Predictive History Method
A Framework for Navigating Structural Disruption
Sang Heeringa

The complete methodology. Four volumes. The framework, the evidence, the operating system, and the case studies that document every major claim. Written for executives who need depth, not a summary.

Volume I
The Signal Environment
The six geopolitical signals and how they compound. Why they are systematically misread. The documented pattern of organisational response from 1973 to the present.
Volume II
The Psychology of Non-Response
Why leadership teams with access to public information fail to act. The cognitive mechanisms — freeze, normalcy bias, optimism bias — documented across comparable events.
Volume III
The Operational Impact Model
How signals reach the P&L. COGS first. Working capital within 90 days. The financial sequence is predictable — and the preparation window is measurable.
Volume IV
The Bulletproof Operating System
The five-step cycle for institutionalising pattern recognition. The 90-day installation plan. The pre-commitment register. How to build organisational muscle memory before the next signal activates.
The Series

Signal Watch — a running analysis
of the geopolitical signal environment.

Three episode types. Each applies the Predictive History Method to current conditions — the signal readings, the historical parallels, and what the pattern suggests for executive decision-making.

Framework
Episode Type 01
The Methodology Explained

Deep-dive episodes on the intellectual architecture of the Predictive History Method. The three domains, the five signals, the operating system. For executives who want to understand the framework before applying it.

~35 minutes · Substantive · Framework
Signal Watch
Episode Type 02
The Current Signal Environment

Monthly readings of all six geopolitical signals against documented thresholds. What is active, what is elevated, what has changed since the last episode. The compound pattern as it stands today.

~20 minutes · Monthly · Current
Retrospective
Episode Type 03
How the Signal Was Readable

Case study episodes. BASF 2021–22. Ford semiconductors. The 2014–16 DXY cycle. BNP Paribas. Each episode shows the signal sequence, the preparation window, and why the organisations that acted paid a fraction of the cost.

~28 minutes · Case studies · Documented
Signal