EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.
Related Services
In 2021-22, the EY organization and the University of Oxford’s Saïd Business School formed a research collaboration to investigate contemporary ways to drive organizational change in an increasingly complex world. The key finding was that organizations need to pay more attention to the human factors that are so often identified as one of the root causes of transformation failure and consider both leaders and workers. Our 2022 research report identified six drivers (inspire, lead, care, empower, collaborate and build) that, when leveraged, increase the likelihood of a successful transformation 2.6 fold.
However, we know that transformations rarely go as planned, especially in a continuously changing environment. According to our latest research, 96% of programs experience turning points, when the program goes off course and leaders intervene (or not). If improperly addressed, this harms workers’ motivation and willingness to invest the effort required to transform.
- Leaders who prioritize putting humans at the center during turning points are 12 times more likely to significantly improve transformation performance (Threats to a business transformation can define its success).
Organization’s leaders are crucial to navigate these turning points that nearly all transformation programs encounter, including sustainability transformations. They can do this through:
- Sensing: Create a system to detect emerging issues early, focusing on behavioral and emotional changes rather than just hard KPIs and timelines.
- Sense making: Unite team members to collectively identify and understand the root causes of issues.
- Acting: Reinforce a collaborative environment that motivates people to work together, guided by key transformation principles.
These leadership skillsets are not necessarily new (at least not for all leaders) but will be instrumental in guiding the workforce into a more sustainable, resilient and inclusive future, ensuring that organizations not only adapt to change but thrive within it.