#USA #Chicago #Change Management #Grossman Group #The Harris Poll

New Insights on Change Success

In an era characterized by groundbreaking advancements in AI and technology, organizations find themselves at a pivotal juncture. A recent study, titled "The Change Tipping Point," conducted by The Grossman Group in partnership with The Harris Poll, has shed light on what influences the success of change initiatives within enterprises.

Understanding the Context

As organizations navigate through rapid transformations, understanding the human side of change has never been more crucial. This national study involved two surveys: the first captured the perspectives of 905 full-time employees across U.S. for-profit sectors, while the second surveyed 256 business leaders (VP level and above) during June and July 2025. This dual approach provides a comprehensive view of the current challenges faced by employees and the leadership’s perception of those challenges.

Key Findings

1. The Change Tipping Point

The study found that organizations are at a critical point where the volume of change may potentially exceed employees' capacity to adapt. Most employees can effectively manage only one to two significant changes per year. However, over half of the surveyed leaders anticipate implementing three or more major changes in the coming two years. This discrepancy underlines a fundamental disconnect between leadership expectations and employee perception.

2. The Role of AI in Change

AI dominates the landscape of modern organizational shifts. The research highlights that AI is involved in approximately a third of today’s strategic transformations. Leaders recognize AI as a powerful tool, with 83% expecting it to facilitate significant changes in the future. Yet, 25% of leaders label it as the most challenging change to implement due to its complexity and the skills gap in the workforce.

3. The Hidden Costs of Failure

The study reveals the severe repercussions of failed change initiatives. Roughly 25% of major changes result in failure, leading to employee burnout, increased dissatisfaction, peaks in workload, and higher turnover rates, primarily stemming from inadequate communication and insufficient feedback mechanisms.

4. Communication as the Key to Success

Effective communication is highlighted as a cornerstone for successful change. Organizations with robust communication channels are three times more likely to attain their change objectives. Furthermore, when employees are involved meaningfully in the change process, success rates reportedly double. This emphasizes the necessity for leaders to foster transparency and create a dialogue with teams about upcoming changes.

5. Importance of Visible Leadership

The presence of visible leadership significantly influences the outcomes of change processes. Enterprises with effective and engaged leadership are 5.5 times more likely to succeed in their initiatives. Paradoxically, approximately 25% of employees feel that their leaders do not communicate changes effectively, showcasing a notable gap in perception that could jeopardize future projects.

6. Risks Associated with Cultural Change and Layoffs

Cultural transformations and workforce reductions present particular challenges that organizations often struggle to navigate successfully. The study indicates that these modifications are among the least likely to succeed, especially if leaders possess inadequate training to address the nuances of communication required during such volatile processes.

Moving Forward

Looking ahead, organizations must recognize that successful change management requires a disciplined, proactive approach. As articulated by Kyle Dierking, Head of Client Service at The Grossman Group, the key to thriving in this era of continuous transformation lies in effective planning, proactive management, and meaningful engagement with employees. By embracing these principles, companies can not only mitigate risks but also enhance performance, employee engagement, and overall business success.

For more in-depth insights, the full report titled "The Change Tipping Point: How to win at managing increasing change amidst extraordinary technology, transformation, and turbulence" is currently available, providing leaders with actionable recommendations to facilitate more effective change management.

About the Organizations

The Grossman Group, recognized for its exemplary change communications strategies, has collaborated with numerous Fortune 500 companies, while The Harris Poll serves as a trusted public opinion research firm, committed to providing actionable insights for organizations worldwide.