Why strategies fail: Finding focus for successful transformation

This paper identifies the main reasons why strategies fail, based on research by APM (inadequate budget, inadequate organisational maturity, slow adaptation, being overly optimistic and weak stakeholder engagement). It also shares views of business leaders and experts on how these issues can be avoided or responded to.

Why is this paper relevant?

In an increasingly uncertain and unpredictable world, planning for the future is more important than ever, but also more challenging. Consequently, many organisations are investing significantly in transformation, yet many strategies still fail to deliver. It has been reported that between 60%-90% of strategies fail, with fewer than 15% claiming successful implementation.

Who should read this report?

Chief Executive Officer, Chief Operating Officer, Chief Information Officer / Chief Technology Officer in charge of business, its strategy and short and long-term goals.
Chief Financial Officer, Senior Sponsors and Board Members, Trustees – to ensure investment is realistic, properly allocated and supported by capable sponsors.
Chief Project Officer / Transformation Director – setting up the transformation roadmap, understanding why strategies fail due to optimism bias, weak maturity and lack of agility.
Business Change Leads, Strategy Directors, Heads of Risk and Programme, Portfolio and Project Managers, who are responsible for balancing present day performance with future planning to avoid overstretch and misaligned focus.
Data and Analytics Leaders to provide data and analytics.
Organisational Development and HR Directors, responsible for people, culture and engagement: building buy in, clarifying roles, and ensuring teams understand how their work supports organisational goals.

Insights, ideas and recommendations

Allocate budget with clear accountability, ensuring sponsors and delivery roles have the capability and time to govern effectively.
Strengthen organisational maturity by assessing current systems, developing skills and applying technology where it genuinely supports improvement.
Build adaptability by assigning present and future focused roles (e.g. Exit Champion role), preventing teams from being pulled in conflicting directions.
Counter optimism bias by setting firm scope, defining exit triggers early and using data to challenge assumptions.
Secure commitment across all levels so individuals understand how their work aligns with organisational goals.

Contributors

Ross Bartlett, Chief Sales Officer, VJ Technology
Prof. Adam Boddison OBE, Chief Executive Officer, APM
Peter Carpenter, Non-Executive Director, Nextgen Clearing
Keith Chaudhary, Partner, ACS Synergy
Harneck Chilemba, Interim Finance Director, Community Housing, Harrow Mencap
Ian Clements, Executive Chairman, Quadriga Health & Safety
Natasha Davydova, CIO, AXA UK
Ian Dewar, Founder and Chief Executive Officer, Ergonomic Solutions
Deborah Digby-Smith, Chief Executive Officer, Passion4hair
Christopher Evans, Chief Executive Officer, Collinson International
Ashley Hall, Head of Sales Training & Enablement EMEA, Snowflake
Ashleigh Hambling, Business Relationship Manager, Sysdoc
Amy Morley, Programme Management Senior Director and APM Board Trustee
Rob Noble, Chair, The Webinar Vet; Founder/Chief Executive Officer, Fidem Consulting; plural Non-Executive Director
Mark Walley, Chief Executive Officer, STEP (The Society of Trust and Estate Practitioners)
Michael Wellington, Finance and Operations Director, Active Electronics