A recent study by IBM of more than 1500 change management executives reveals that nearly 60 per cent of projects aimed at achieving business change fail to meet their objectives fully. The Making Change Work Study found that the most successful organisations, described as ‘change masters’, succeed in 80 per cent of their projects, while the bottom 20 per cent, ‘change novices’ report a project success rate of 8 per cent.
The study of executives in 15 countries shows the most common business objectives for change programs were cost reduction, higher customer satisfaction, and increasing revenue and sales. Change practitioners indicated that the main obstacles were cost to implementing change centred on people and corporate culture, while the enablers for success were top management sponsorship, employee involvement, and honest, timely communication.
Management Today, AIM, March 2009.