Strategy Dies in Silence: Why 70% of Transformations Fail

Anyone working with or in a global enterprise could be forgiven for feeling like we’re living in the age of “Permatransformation.”

From AI-pivots to geopolitical uncertainty, businesses have never had to evolve so fast just to stay ahead, or alive.

The biggest issue with all this change is that, based on the data, most businesses won’t make it.

Successful transformation is like building a cathedral

As I wrote last week, it is best to think of any transformation as building a cathedral.

There is significant work across a wide range of areas to be completed to make the change effective.

It makes sense, then, to look for ways to scale that work done. For that, you need the 'Crane' of modern technology and efficient processes.

But the Crane doesn't care if the cathedral stands for 1,000 years or collapses next week. It has no skin in the game. Only the 'Mason' - the human leader with skill, intention, and empathy - can ensure the structure holds.

In 2026, we are obsessed with the Crane. We use it to distribute synthesised video updates, dry memos, and automated content, and then wonder why our people are resistant.

We are scaling the messaging without scaling the belief.

Business transformations make Hollywood marriages look solid

This is why, according to McKinsey, over 70% of major transformations fail to achieve their initial stated goals.

70+%! That’s like a celebrity marriage – it’s a staggering failure rate.

And 70% of those failures are human-related – poor communication, employee resistance, and a lack of management support.

These surveys were carried out before the pandemic, which is concerning when you look at one of the most significant shifts I have seen in the post-pandemic era.

Employees are (understandably) dragging their feet

In 2016, Gartner found that 74% of employees were willing to change their work behaviours to support organisational shifts. By 2026, that number has nearly halved to just 38%.

Only a third of staff are willing to change the way they work to support transformations!

At this time of perpetual existential change, the vast majority of businesses will fail to make it, and the main reason for that will be their own people.

This tracks with the surprisingly slow uptake of AI platforms and workflows by enterprise staff—much to the frustration of CEOs and the AI boosters of Silicon Valley. The staff is untrusting of management motivations and the software itself. They don't see the "Mason’s" hand; they only see the "Crane" of automation.

Trust exists, but it must be built on

There is a solution to this. We have travelled through so much change, but there is still too little willingness to evolve the way that we communicate with our staff during times of essential change.

There is a really solid base to build on:

The 2026 Edelman Trust Barometer highlights that "My Employer" remains the most trusted institution globally (78% trust).

That is an incredibly powerful basis for driving change, but it is being squandered by failing to communicate in a way that builds trust and belief among your key internal stakeholders.

With today's rapidly shifting technology, macroeconomic policy, and ways of working, the ability to adapt is an existential issue.

Effective, resonant human communication is the cornerstone of any organisation's ability to evolve.

It is time we stop viewing communications as a "necessary evil" and understand it as the essential lifeblood of all business.

Five takeaways to put in your Transformation Pipe for a little puff…

1. Transformation is a people problem, not a process problem. McKinsey’s data show that, while the strategy may be sound, execution fails when communication is poor and management support is absent.
   
   
2. "Change Fatigue" is a quantifiable business risk. With only 38% of employees willing to support new shifts, you cannot assume employee ‘buy-in’. It has to be earned through resonant storytelling, not just volume messaging.
   
   
3. The "Efficiency Trap" fuels employee resistance. If staff already distrust management's motives, your communications must be real, human, and consistent.
   
   
4. "Employer Trust" is your greatest lever. You have the platform (global average: 78% trust); you just need the right "Human Signal" to activate it.
   
   
5. Authenticity is a Stabilising Force. In the era of ‘Permatransformation’, people don't follow algorithms; they follow leaders. Building trust through real, intentional storytelling is the only way to beat the 70% transformation failure rate.