July 15, 2025

Member Newsletter: Unsung Heroes of Change

by Keith Jackson
reviewed by Catriona MacLeod
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Unsung Heroes of Change

By Keith Jackson, Mindtools Managing Editor

Here’s a sobering fact for leaders – and for the managers who do their bidding: 70 percent of organizational transformations fail. And when does the rot often set in? Day. One.

Leading organizational transformation is a tough gig! So before we look at why it’s such a tough nut to crack, let’s establish what it actually is: Here at Mindtools, we split it into two elements – transformation for growth and transformation for the future.

Transformation for growth maximizes today’s potential (for example, scaling operations, entering new markets, or launching new products). Transformation for the future ensures tomorrow’s viability and relevance (for example, staying aligned with or ahead of societal, technological or environmental trends).

Why Transformation Can Fail

Transformation is definitely not something to be entered into lightly, or by the faint-hearted. In fact, research by global management consultants McKinsey shows that up to 45 percent of the potential financial benefits of transformation can be lost in the target setting and planning stages.

The same research shows that, on average, even companies that say their transformation was a success (i.e.: “improving organizational performance and sustaining those improvements over time”) saw only 67 percent of the benefits they hoped for.

There are myriad reasons why any transformation can misfire, but there are also some common themes that transformation leaders need to bear in mind:

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