The Failure of Change

Aggregated research over the last few years shows that:  

  • 50-75% of change fails
  • Only 68% of employees are engaged
  • Only 56% of strategic initiatives have been successful
  • Only 30% of 1,546 executives rate their change initiative successful
  • 61% of businesses struggle to bridge the change strategy/implementation gap.
  • Organizations using a strategy execution system are 7.5 times more likely to be high performing than low performing
  • ~70-80% of the best executing businesses accord an higher priority to leadership capability, process and culture than poor executors
  • Organizations that integrate leadership development with strategy execution are 22.7 times more likely to be high performing than others 
  • Companies with ‘strategy execution leadership’ implement 20% more strategic initiatives than others
  • 70% of mergers and acquisitions fail to achieve desired outcomes 

All strategy to improve performance and capability requires change; all change requires a strategy to be executed.

Step-change (disruptive, strategic innovation) and ongoing incremental change (continuous improvement) are the norm in today’s volatile, uncertain, complex and ambiguous (VUCA) environment, yet it doesn’t become easier for many organizations.  The very mention of the word 'change' often disengages people from the outset.

Change is often thought of as a move from one static state to another static state.  If the previous change wasn’t well led with informed and engaged people, the next change will face increased cynicism and disengagement and your leaders will feel even more out of control as anxiety, ambiguity and uncertainty spreads and people wait for the change to disappear (possibly with its architect!) —this erodes the mutual confidence and trust which is the glue that holds organizations together. 

So instead of thinking of change as being ‘managed’ from one static state to another static state, organizations need to develop a leadership culture and strategy execution philosophy that enables them to operate successfully in a dynamic VUCA  environment.  This means a systemic, systematic, dynamic and scalable approach to the execution of strategy. 

We can help you to develop and embed the capability needed so that the organization takes change and transformation in its stride —today and tomorrow.

© Tozer Consulting Limited 2012  Leadership - Strategy - Execution - Change