Factors Contributing to Organizational Change Success or Failure

Abstract

Change, and changing, exercise the minds of most managers most of the time. In consequence, leadership development and change management tend to be top priorities for many human resource development (HRD) professionals today. Despite this, much academic and practitioner literature suggests that 70% of all change programs fail. Through analyzing 200 organizational change case studies, this chapter examines this high failure rate, investigates leadership styles and their relationship to change, and explores the key factors that either enable or hinder successful change. The key findings of this examination were that the majority of the 200 studied change initiatives were considered successful and that using Kotter's change model, which has been long established, does not necessarily mean success; nor does the use of a democratic/participative leadership style. The most significant hindering factors and the key critical success factors are also acknowledged.