12 Change Management Statistics Senior Leadership Should Know
From digital transformation to changing customer demands, new employee expectations to a reckoning with the climate crisis, the world today is changing faster than ever. To keep pace, organizations must learn to adapt to rapid disruptions and turn them into market opportunities for their businesses.
While the urgency of strengthening their company’s change competency is apparent to forward-looking leaders, not everyone in the organization grasps the value. Aligning other company leaders to the importance of a proposed change (not to mention employees!) takes time and effort. To make things easier, we’ve curated 12 core statistics about change every senior leader should know. Now you can focus on making your case effectively — without worrying about hunting down the numbers across reports to back you up.
The Benefits of Successful Change…
- Companies that excel at change generate nearly 2x the EBIT margins and total shareholder returns compared to poor change performers. They also have 1.5x to 3x the revenue growth. (Bain & Company)
- 94% of employees say that they would stay at a company longer if it simply invested in helping them learn. (Linkedin)
… And The Cost of Change Failure
- Only 13% of companies are getting both cost savings and growth from their digital transformation initiatives. (Accenture)
- Of the $1.3 trillion that was spent on Digital Transformation in 2018, it was estimated that $900 billion went to waste. (Harvard Business Review)
- 54% of change-fatigued employees are considering looking for a new job. (Capterra)
Why Change Initiatives Fail (Including Digital Transformation)
- 70% of change management initiatives fail to achieve their goals, largely due to employee resistance and lack of management support. (McKinsey)
- 42% of companies said lack of user buy-in contributed to change failure. (Forbes)
How Change Impacts Employees
- 78% of employees expect constant change to happen at their job moving forward. (Capterra)
- 375 million workers (14% of the global workforce) will have to switch occupations or acquire new skills by 2030 because of automation. (McKinsey)
- 60% of global executives expect that up to half of their organization’s workforce will need retraining or replacing within five years. (McKinsey)
- 83% of workers suffering from change fatigue say their employer has not provided enough tools or resources to help them adapt. (Capterra)
What Makes Change Initiatives Achieve Their Goals?
- Companies that take time to identify and shift employee mindsets are 4x more likely to rate their change initiative as successful. (McKinsey)
So there you have it — crucial numbers on change all in one place. Bookmark this article to serve as your one-stop shop for powerful statistics you’ll need as you communicate the importance of a change to key stakeholders in your organization. And keep an eye on Volonte’s blog for cutting-edge insights on all things change and digital transformation, and useful resources to implement truly effective workplace change.
PS: Surprised by what makes change succeed? We’re not! At Volonte, we know that you can’t force change on unwilling employees and expect results. Winning organizations — those that don’t just get by, but thrive on change — invest in helping their employees cultivate the mindsets and skills needed to embrace change as rocket fuel for growth. They build change readiness. You can too.
Want to know how? Book a demo now.