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Lost Without a Map? A Change Strategy to Guide Your Success

Developing an organizational change management strategy provides direction and purpose for all other change and transformation activities. By outlining the unique characteristics of the change and its risks and potential resistance, change practitioners set themselves and their project team partners up for success. In this article, you’ll discover what change management strategies are, why you need them, and, most importantly, the steps you can follow to create an effective change management plan in your organization. What Are Change Management Strategies? Organizational change management strategies are critical for businesses to remain competitive. A change management strategy is a detaile...

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The Real Costs of Poorly Managed Change

When organizations overlook or mismanage the people side of change, they face significant consequences that affect both immediate project success and the organization's long-term health. Understanding these impacts is crucial to safeguarding your investments and ensuring sustainable growth. The Immediate Impacts of Poorly Managed Change Imagine launching a change initiative with the best intentions but without a structured change management approach. This scenario often leads to: Project Delays and Missed Milestones: Without addressing the people side of change, projects are prone to delays. Research shows that projects with excellent change management are 7x more likely to achieve change success, highlighting the importance of timely execution. Budget Overruns: Inadequate change management can cause budgets to spiral out of control, necessitating additional funding. This often results from unexpected resistance and the need for redesign and rework. Rework and Redundancy: Due to unclear objectives and a lack of stakeholder commitment, teams may find themselves reworking designs and repeating tasks. This inefficiency not only increases costs but also demoralizes teams. Resource Unavailability: As support dwindles, resources become scarce, further hindering project progress. Active and visible sponsorship is critical to maintaining momentum and resource allocation. Emergence of Obstacles: Unanticipated challenges can derail progress, making it difficult to achieve project goals. Effective change management mitigates these risks by anticipating resistance and preparing responses. In extreme cases, projects may be shelved or abandoned entirely, resulting in wasted investments and lost opportunities. Long-Term Consequences of Projects With Poor Change Management While immediate project impacts are visible, poorly managed change creates deeper organizational wounds that can persist for years: Productivity and performance declines Sustained Productivity Declines: Poorly managed change can lead to long-term productivity drops. Employees struggle to adapt, resulting in decreased efficiency and missed opportunities for improvement. Declining Work Quality: Without proper guidance, the quality of work suffers as employees are unsure of new processes and expectations. Missed Efficiency Gains: Change initiatives often aim to improve efficiency. However, these gains are lost if the change is not effectively managed and adopted. People and culture impacts Loss of Valued Employees: High-performing employees may leave the organization due to frustration and dissatisfaction with poorly managed change. Plummeting Team Morale: Team morale declines as change fatigue sets in, making it difficult to motivate and engage employees. Resistance Becomes Norm: A legacy of failed change initiatives fosters a culture of resistance, making future changes even more challenging. Stakeholder relationships suffer Customer Relationships Suffer: Poorly managed change can negatively impact customer interactions, leading to dissatisfaction and potential loss of business. Strained Supplier Partnerships: Changes that are not communicated or managed well can strain relationships with suppliers, affecting supply chain efficiency. Weakened Competitive Position: An organization's inability to adapt and innovate can weaken its competitive position in the market. Increased Regulatory Compliance Risks: Failure to manage change effectively can lead to non-compliance with regulations, posing legal and financial risks. Breaking the Cycle: Transform Change into Opportunity Change management isn't just another project cost—it's a strategic investment that protects your organization's future. Here's how proper change management transforms risks into opportunities: Prevents Budget Overruns and Resource Waste: By addressing the people side of change early, organizations can avoid costly redesigns and rework. Maintains Productivity During Transitions: Structured change management ensures that employees remain productive and engaged throughout the change process. Keeps Valuable Employees Engaged: By actively involving employees and addressing their concerns, organizations can retain top talent. Builds Change Capability for Future Initiatives: Developing change management capabilities prepares organizations for future transformations, reducing resistance and fostering a culture of adaptability. Delivers Promised Project Outcomes and ROI: Effective change management drives faster adoption, higher utilization, and greater proficiency, ultimately enhancing project ROI. Your Path to Change Success Starts Now Don't let poor change management derail your critical initiatives. Whether you're launching a new technology, restructuring your organization, or transforming your processes, investing in change management is investing in success. Our research-backed solutions can help you build a strong foundation for successful change. Let's create change success together.

How Microsoft Transformed Customer Success with the ADKAR Model

When Microsoft shifted to subscription-based licensing models for its core technology solutions and transitioned to cloud services, everything changed. Suddenly, success wasn't just about delivering software—it was about ensuring customers actually adopted and used these solutions to drive business value. Without adoption, there's no renewal. Without renewal, there's no sustained revenue. This fundamental shift made change management essential to Microsoft's business model. But they needed more than DIY approaches. They needed a scalable, research-backed methodology that could work across thousands of customers and 250,000+ employees, partners, and stakeholders worldwide. The solution? Partnering with Prosci to increase customer adoption rates. Microsoft's approach represents a fundamental shift in how they think about technology adoption—moving from a focus on features and functionality to understanding the people side of change. ON DEMAND WEBINAR: How Prosci and Microsoft Are Redefining Change Success in the AI Era Microsoft’s Director of Business Programs, Steve Green, joined Prosci for a live discussion about building change capability at scale, managing continual change driven by AI, and how organizations should prepare to lead change in the future. Watch the on demand webinar above, or keep reading to hear more about Microsoft's win with building change capability in it's CSR group. Why Traditional Customer Success Approaches Fall Short At most Software-as-a-Service (SaaS) organizations, customer success teams rely on "lighter-weight" adoption frameworks as a benefit that comes with the purchase of the service. These can work well for straightforward implementations, but when adoption gets complicated—when resistance emerges, stakeholders become cautious, or projects stall—informal approaches often fail to move the needle. Microsoft's Customer Success Organization, which works with larger customers across Microsoft 365, Dynamics, and Azure, discovered that many customers underestimate what's truly needed to adopt and realize value from new technologies. The challenge isn't technical—it's human. It's about changing behaviors, shifting mindsets, and helping people see the value in new ways of working. This realization led Microsoft to embrace Prosci's research-backed methodology and the ADKAR Model as their foundation for customer success. The methodology provided both the framework and the credibility they needed to have meaningful conversations about change with enterprise customers. How Microsoft Uses ADKAR to Drive Customer Adoption The Microsoft 365 Customer Success organization applies the ADKAR Model in four primary ways to influence buy-in and overcome adoption barriers. 1. Building awareness of the need for change management The ADKAR Model's strength lies in its simplicity and universal applicability. Microsoft's customer success managers (CSMs) use practical exercises to help customers understand the change process. For example, they might ask someone to write their name with their non-dominant hand, then explore the questions that immediately come to mind: "Why should I change?" "What's wrong with how I've always done this?" This simple exercise reveals a profound truth: even minor changes feel awkward and require conscious effort. When customers experience this firsthand, they begin to understand that everyone impacted by a technology implementation must go through this same psychological process—or the project won't achieve the adoption and success they're aiming for. 2. Backing conversations with research and data Microsoft's partnership with Prosci provides access to extensive research that CSMs use to build compelling cases for structured change management. When customers see data on project failure rates without proper sponsorship, or understand the correlation between change management effectiveness and sponsor engagement, they're more likely to invest in doing change right. Correlation of Sponsor Access with Change Management Effectiveness This research-backed approach gives Microsoft's teams instant credibility. Customers recognize Prosci as the leader in change management research, so when Microsoft professionals show up with these insights and tools, they're seen as experts in driving adoption, not just technology vendors. 3. Diagnosing and addressing adoption barriers The ADKAR Model provides a diagnostic framework for understanding where adoption efforts get stuck. CSMs use it to identify common blockers: Lack of Sponsorship: When decisions aren't getting made and stakeholders seem cautious, it usually points to weak sponsorship. Effective sponsors actively and visibly participate in the change, build a coalition of sponsorship, and communicate support and promote the changes to impacted groups. The ADKAR Model helps CSMs communicate how customers can encourage their sponsors to adopt their role and actively participate in and promote the change. ADKAR Barrier Points: By mapping customer challenges against the ADKAR elements, CSMs can quickly identify whether adoption issues stem from lack of Awareness (people don't understand why change is needed), insufficient Desire (people aren't motivated to participate), missing Knowledge (people don't know how to change), limited Ability (people can't implement the change), or weak Reinforcement (people aren't supported in sustaining new behaviors). The Prosci ADKAR Model Anticipate and Prevent Resistance: Customer success teams frequently encounter resistance as they guide customers toward new, more people-centric approaches to technology adoption. Rather than waiting for resistance to emerge and then trying to overcome it, Microsoft's approach focuses heavily on prevention—identifying potential sources of resistance early and addressing root causes before they escalate. When resistance does emerge, CSMs apply techniques like "listen and understand objections" and "show benefits in real and tangible ways" to address concerns directly. For example, when someone resists a new system or process, it's typically because they lack Awareness of why the change is necessary, don't see personal benefits (Desire), feel unprepared to make the transition (Knowledge/Ability), or haven't received adequate support to sustain new behaviors (Reinforcement). 4. Creating a common language for change One of the most valuable aspects of Microsoft's approach is how the ADKAR Model creates a shared vocabulary for discussing change with customers. Rather than talking past each other about "user adoption" or "training needs," Microsoft teams and their customers can have precise conversations about awareness building, desire creation, knowledge transfer, ability development, and reinforcement planning. This common language helps break down barriers between technical teams and business stakeholders, between Microsoft consultants and customer project managers, and between leadership and end users. Everyone understands the process, everyone knows their role, and everyone can contribute to success. Building Enterprise Change Capability at Scale Microsoft's commitment to change management extends far beyond their Customer Success teams. They've built an enterprise-wide capability that includes: Certified instructors who can deliver Prosci training globally Customized resources tailored to Microsoft's culture and customer needs Self-serve tools that partners and customers can access independently Integration with existing Microsoft frameworks and methodologies This comprehensive approach ensures that change management isn't just something that happens during customer engagements—it's embedded in how Microsoft operates as an organization. The competitive advantage of change done right Microsoft's investment in change management creates differentiation in a crowded technology market. While competitors focus primarily on features and capabilities, Microsoft can demonstrate expertise in the most critical aspect of technology success: getting people to actually use the solutions they've purchased. As Steve Green, Director of Business Programs as Microsoft explains, "We weren't unsuccessful before—we were very successful. But we always wanted to accelerate how quickly we can achieve success. Having access to research, to people who are like-minded and want to achieve success, has made a big difference." This acceleration shows up in measurably better customer outcomes, stronger renewals, and deeper relationships that extend beyond individual technology purchases to strategic partnerships. Key Takeaways for Customer Success Teams Microsoft's approach offers valuable lessons for any organization focused on driving customer adoption: People-side challenges require people-side solutions: Technology adoption is fundamentally about behavior change, not just training. Research and data build credibility: Backing recommendations with proven methodologies and statistics helps customers see the value of investing in change management. Simple frameworks enable complex conversations: The ADKAR Model's straightforward structure makes it easy to discuss sophisticated change management concepts with diverse stakeholders. Diagnosis before prescription: Understanding where adoption efforts are stuck allows for targeted interventions rather than generic solutions. Common language accelerates progress: When everyone speaks the same change management language, collaboration improves and results come faster. Change as a Strategic Capability Microsoft's transformation demonstrates what becomes possible when organizations treat change management as a core competency rather than an afterthought. By embedding a structured change management methodology throughout their Customer Success organization and beyond, they've created a sustainable competitive advantage that drives both customer success and business growth. The lesson isn't just about using better tools or frameworks—it's about fundamentally changing how you approach the human side of technology adoption. When you get that right, everything else follows.

Editor's Choice

8 Ways AI-Driven Change is Different (And What Change Leaders Must Know)

Organizations investing millions in AI technology often fail to realize expected returns, not because of technical failures, but because they're applying traditional change management approaches to a fundamentally different type of transformation. What Prosci’s AI Research Reveals About AI Change Recent Prosci research studying 1,107 professionals across organizational levels reveals the scope of AI adoption challenges which organizations are facing. The data is striking: Prevalence of Human vs. Technical Challenges of AI Adoption Human vs. Technical Challenges – User proficiency emerged as the primary challenge, accounting for 38% of all reported AI implementation difficulties. This breaks down into learning curve challenges (22%), prompt engineering struggles (11%), and inadequate training (6%). Technical implementation issues account for only 16%. This represents a fundamental shift from traditional technology rollouts where technical challenges often dominate. The Trust Gap is Measurable – The research reveals significant trust disparities across organizational levels. Frontline workers report minimal trust in AI (+0.33 on a -2 to +2 scale), while executives demonstrate significantly higher trust levels (+1.09). Leadership Support Drives Success – Organizations with "very smooth" AI implementations show dramatically different leadership characteristics. They demonstrate strong leadership support (+1.65) compared to struggling organizations (-1.50). These numbers underscore what workshop participants have been telling us—AI change is fundamentally different, and traditional approaches aren't sufficient. 8 Key Differences in AI-Driven Change Over the past six months, we've conducted AI adoption workshops with hundreds of change practitioners across industries in North America. Through polling data and feedback from attendees who are experts in their organizations, eight distinct patterns have emerged that separate AI transformation from traditional change initiatives. 1. The "never-ending phase 2" challenge Traditional change management operates on defined phases with clear endpoints. AI adoption breaks this model. As one workshop participant put it, "AI changes so fast—what are we chasing?" Another described it as a "never-ending Phase 2." The technology evolves rapidly, new capabilities emerge constantly, and organizations must adapt their implementations in real-time. Your change management plans need flexibility and agility, not one-time delivery. Reinforcement becomes an active process of continuous readiness rather than a finite goal. Successful practitioners are building adaptive, modular change plans and coaching sponsors to maintain visibility over longer, less predictable timelines. Aligning The Prosci ADKAR Model to Iterative Changes 2. Security concerns reshape risk management AI introduces elevated risks that traditional change management rarely encounters. Workshop participants noted a "heightened level of security concern" where "individual responsibility and risk mitigation become more important." AI systems can inadvertently expose sensitive data, generate inaccurate information, or create new vulnerabilities. The consequences in sensitive contexts—healthcare, finance, legal—can be severe. This demands that risk management be integrated directly into every change management activity. Awareness campaigns must prioritize responsible behavior alongside tool adoption. Training programs need security-focused messaging woven throughout, not added as an afterthought. 3. Ethics and governance take center stage Unlike traditional technology implementations, AI decisions can perpetuate bias, generate misinformation, or impact people's lives in ways that aren't immediately visible. Workshop participants consistently raised "ethical and responsible use" and "ethical and bias concerns" as central challenges. Building awareness must explicitly include ethical considerations, not just operational changes. Sponsorship coalitions need to visibly model ethical behavior to set the organizational tone. Forward-thinking practitioners are creating visible feedback channels to identify and course-correct ethical risks early, integrating policy updates directly into knowledge-building activities. 4. The shift to individualized learning Traditional training approaches fall short with AI adoption. The technology demands personalized, self-directed learning to build sufficient literacy. As one expert noted, organizations need to "build competencies to ensure resilience and flexibility to engage in continuous learning." AI tools apply differently across roles, departments, and individuals. A marketing specialist might use AI for content creation, while a financial analyst applies it to data analysis. Generic training programs can't address this variety effectively. Successful practitioners are offering multi-path learning experiences: AI academies, peer-to-peer learning networks, and resource hubs that people can access based on their specific needs. 5. Scale and complexity demand enterprise thinking AI implementations often affect multiple departments simultaneously, without clear boundaries. Workshop participants described "the scale of it all—change, speed, etc." with "AI potentially having no limits." Traditional project-based change management approaches struggle with this scope. AI adoption requires enterprise-wide perspective, broader stakeholder impact assessments, and sponsorship coalitions of senior leaders. The complexity isn't just technical—it's organizational. AI implementations trigger cascading changes across business processes, decision-making frameworks, and organizational structures. 6. Navigating ambiguity in future states Traditional change management excels at moving from clearly defined current states to well-articulated future states. AI adoption challenges this model. Participants noted "no clear 'tomorrow' state" and difficulty "defining the future state clearly." AI capabilities evolve rapidly, and organizations can't predict exactly how they'll use the technology six months from now. The solution isn't to wait for clarity—it's to equip people to navigate ambiguity confidently. Practitioners are framing communication around progress markers rather than final destinations, reinforcing organizational purpose to anchor people even as tactics evolve. 7. New forms of resistance require new responses AI evokes distinct resistance that goes beyond typical procedural concerns. Workshop participants described "different and new types of resistance, more fear-based, around risks, unknown factors, loss of relevancy, and societal impacts." The fears are deeper and more personal. People aren't just worried about learning new processes—they're concerned about their fundamental relevance in an AI-enhanced world. Standard resistance management techniques aren't sufficient. Practitioners need to address emotional drivers, not just procedural hurdles. Building desire becomes harder because the perceived threat feels existential. 8. Reshaping roles and work dynamics AI significantly impacts roles, responsibilities, and workplace dynamics. Participants noted major implications for the "future of work and roles" with "knowledge and ability varying from team to team." This isn't just about learning new tools—it's about fundamental work redesign. AI changes how people spend their time, what skills they need, and how they create value. Practitioners are building future-state role maps showing how AI complements human capabilities and reinforcing an organizational narrative of partnership with AI rather than competition. Early Warning Signs and Success Indicators Our research reveals clear patterns distinguishing successful AI transformations from struggling ones. Organizations with "very smooth" implementations demonstrate dramatically different characteristics: The Experimentation Gap – Organizations with "very smooth" implementations strongly encourage trying new tools, while those "making progress with challenges" show moderate encouragement. Organizations struggling with implementation actually discourage trying new tools. This stands out as one of the strongest predictors of AI implementation success. Leadership and Cultural Alignment – Successful organizations demonstrate strong leadership support and organizational culture that actively supports AI-driven change. Data Openness Balance – Organizations with smooth implementations show higher data openness compared to struggling organizations, demonstrating the importance of balancing security with accessibility. Warning Signs to Watch For: Executives expressing high confidence while frontline workers show resistance Security concerns being treated as separate from change management Training approaches that don't account for role-specific AI applications Discouraging experimentation rather than fostering safe exploration Adapting Your Change Management Toolkit Traditional change management tools require thoughtful adaptation for AI adoption success. Our Prosci ADKAR Model remains relevant, but awareness-building must encompass ethical considerations and continuous learning expectations rather than just operational changes. Communication strategies need to emphasize progress markers over final destinations while addressing the measurable trust gap between organizational levels. Training approaches must shift from one-size-fits-all to personalized learning journeys that build adaptability skills alongside technical competencies. Perhaps most critically, sponsorship requirements expand beyond individual project sponsors to coalitions of senior leaders who can maintain visibility and model ethical AI behavior over extended, less predictable timelines. Preparing for Continuous AI Evolution AI adoption isn't a destination—it's an ongoing journey of organizational capability building. The most successful organizations treat AI change management as a core competency, not a project deliverable. This means building internal expertise in AI-specific change patterns, developing organizational agility for continuous adaptation, and creating cultures that embrace rather than resist AI-driven evolution. AI adoption success depends more on managing the human side of change than on the sophistication of the technology. For change practitioners willing to adapt their approaches, this represents both a significant challenge and an unprecedented opportunity to demonstrate the strategic value of expert change management. Make A Strategic Investment in Adoption AI adoption is more than a technical implementation—it’s a transformation in how your people work, innovate, and deliver value. The path to success requires deliberate strategies to engage employees, align leadership, and integrate AI into workflows. By partnering with Prosci, you’ll gain a trusted guide with the research, methodologies, and expertise to manage the people side of AI adoption effectively. With Prosci, your organization will not only achieve the full promise of AI but also build the change resilience needed to navigate future transformations. Partner with Prosci to unlock the full potential of your AI initiatives—and secure lasting competitive advantage in an AI-powered future.

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Digital Transformation Made Real With Change Leadership

Everyone is racing toward digital transformation. But what separates those who talk about it from those who achieve it? The answer isn’t technology. It’s leadership. The promise is compelling: smarter operations, faster decisions, deeper connections. But transformation doesn’t succeed on tools alone. It demands bold vision, aligned leadership and cultures ready for change. Without these, even the best-funded initiatives stall. This article breaks down the trends shaping digital transformation—and more importantly, shows how to lead through them with clarity, coordination and a people-first mindset. What Is Digital Transformation? Digital transformation integrates technology across business functions, reshaping operations and customer experiences. The process involves reshaping business processes, company culture and customer experiences. But transformation only happens when people adopt new ways of working. The success of a new CRM or AI platform depends not on deployment, but on whether teams choose to engage, adapt and own the change. Digital tools create potential. People turn that potential into performance. Why Is Digital Transformation Important? Because the pace of change won’t slow down. Markets evolve. Expectations rise. And technology keeps pushing forward. If you delay, you risk falling behind. Digital transformation helps resilient, adaptive businesses stay ahead. It enables efficiency, allows for deeper customer relationships, and provides leaders with the clarity to make faster, smarter decisions. Here’s what the results may look like in practice: Operational efficiency – Intelligent systems and real-time analytics streamline day-to-day processes, reducing manual effort and freeing teams to focus on higher-impact work. Customer centricity – From personalized marketing to predictive support, digital transformation helps businesses understand and serve customers more effectively. Operational agility – A flexible digital foundation allows organizations to test new ideas, launch initiatives faster, and adapt to shifting market demands without major disruption. Competitive resilience – Digital maturity builds the structural flexibility and clarity leaders need to make smarter decisions and outpace competitors. Together, these capabilities position organizations to move with confidence—ready to pivot, grow, and lead in a constantly changing landscape. But staying ahead demands a clear view of what’s next. To lead effectively, organizations must understand the forces shaping the digital future and be ready to act. What’s Ahead: Trends in Digital Transformation Digital transformation trends will see the rise of AI-driven automation, hyper-connected ecosystems and the increasing importance of sustainability and cybersecurity. AI agents and spatial computing will also gain prominence. Let’s take a look at these trends in more detail: The rise of AI-powered technology AI is becoming the engine behind smarter, faster and more adaptive businesses. Organizations are embedding AI into core operations, transforming everything from customer service to supply chain management. The AI market surpassed $184 billion in 2024—a sharp increase of nearly $50 billion from the previous year. And the momentum isn’t slowing down. Projections show it could skyrocket to beyond $826 billion by 2030. This shift signals the transition from testing AI to actually putting it to work, and seeing real, measurable results. Here are some of the key AI technologies powering digital transformation: Generative AI – Gen AI improves creative and customer-facing workflows by generating text, images, code and more in real time. It helps personalize marketing campaigns, draft content, assist in product design, and even simulate business scenarios. Research shows that 40% of companies have already adopted Gen AI. AI-driven automation – Streamlines repetitive, manual tasks such as data entry, scheduling and report generation. Automating these time-consuming processes allows organizations to reduce errors, cut costs and free up time for employees to focus on higher-value work that requires human insight, like managing change. AI agents – Similar to chatbots but with more advanced capabilities, AI agents use natural language processing, machine learning and decision-making capabilities to perform tasks independently. They can manage calendars, handle complex customer service requests, monitor systems for anomalies, and take proactive steps. Adopting AI is one of the most complex and high-potential shifts organizations can face. Realizing its full benefits requires a deliberate focus on people, processes and change readiness. Cloud-native is the new normal Legacy systems are quickly becoming a thing of the past, with agile, scalable cloud solutions taking center stage. The shift is undeniable—nearly 92% of digital leaders say that their companies adopted cloud technology on a small or large scale. Here are some of the key approaches driving this transformation: Cloud-native applications – These are tools built specifically for the cloud environment. With cloud-native apps, organizations can scale faster, innovate more efficiently, and stay ahead of the curve. Multi-cloud strategies – These offer organizations the flexibility to combine multiple cloud services for their needs. They help businesses mitigate security risks by diversifying their cloud environment. Serverless computing – A cloud computing model where the cloud provider manages the infrastructure, such as servers and virtual machines. Developers can then focus on writing code, while the cloud provider handles all scalability and infrastructure concerns. Moving to the cloud requires a cultural shift that demands reskilling, collaboration across teams, and aligning leadership around a digital-first vision. The most successful organizations will be those that adapt quickly and foster an environment of continuous learning and innovation. Human-centric personalization Customers and employees now expect personalized, connected digital experiences that cater to their needs and behaviors. Research shows that 73% of customers expect better personalization as technology improves. This means that many organizations will focus on creating deeply relevant and intuitive interactions that anticipate what people want before they even ask. Here are the key technologies driving the future of personalization: Hyper-personalization – Takes customer engagement to the next level by delivering tailored experiences in the moment. This means offering the right content, products or services at the right time based on individual behaviors, preferences and context. Edge computing – Reduces latency by processing data closer to where it’s generated. This means faster, more responsive interactions—especially for real-time applications—enhancing user experience and reducing reliance on centralized data centers. IoT (Internet of Things) – Creates a network of connected devices that communicate and respond autonomously. With IoT, you can automate processes, track assets and deliver experiences that respond to real-world events in real time, creating a more dynamic and responsive environment. Leaders must ensure people know how to engage with and leverage these technologies. Providing the right training, fostering a culture of continuous learning, and aligning teams around a shared vision of personalization are key to achieving this. Improving security and data governance Security is increasingly becoming a strategic priority that impacts every part of the business. Protecting sensitive data and ensuring regulatory compliance are foundational to sustainable growth and building trust with customers. In fact, research shows that 76% of companies globally stated that cybersecurity was the leading priority for their IT initiatives. So, what technologies are leading the transformation? Zero trust architecture – An always-verified access model that assumes no one—inside or outside the organization—should automatically be trusted. Every user and device must continuously authenticate before accessing systems. This ensures robust protection against breaches. AI-powered threat detection – Traditional security measures often rely on static rules and human intervention, which can leave gaps in defense. In contrast, real-time, adaptive protection, powered by AI, continuously learns and evolves to detect and respond to threats before they escalate. To ensure these technologies are fully adopted, leaders must support employees in understanding and consistently following secure practices and integrate security into the company culture. The Prosci Methodology can help organizations manage this transformation. With its proven change management approach, you can drive culture-embedded, compliant transformation and make security and data governance integral to daily operations. Real-World Cases of Successful Digital Transformation Projects Companies that embrace new technologies are reaping the benefits, from improved operational efficiency to enhanced customer experiences. Here are three real-world examples of companies that have successfully done so: Proximus Proximus, Belgium’s largest telecommunications provider, spearheaded its digital transformation by piloting a focused, data-driven marketing initiative. Partnering with Digipolitans and Google, the company built a 12-week agile campaign around promoting Netflix subscriptions. By leveraging behavioral data and Google Marketing Platform tools, Proximus streamlined campaign delivery and personalized digital touchpoints. The results were striking: a sixfold increase in sales leads, a 14% conversion rate (up from 4%), and a 72% influx of new site visitors—all achieved with a smaller budget. The initiative also catalyzed long-term structural change across the organization. Siemens Siemens is a global technology company that specializes in industrial automation, digitalization and smart infrastructure solutions across sectors like manufacturing, energy and healthcare. The company is leading the charge in industrial technological innovation, unveiling breakthroughs in AI and digital twin technology at CES 2025. By digitizing its manufacturing operations with IoT, AI and digital twins, Siemens has transformed how it simulates, monitors and optimizes processes. The result: smarter solutions for clients, reduced downtime and greater supply chain transparency across its global footprint. Starbucks Starbucks is crafting the future of retail with AI. Through its “Deep Brew” initiative, Starbucks harnessed artificial intelligence to optimize inventory, streamline staffing and deliver hyper-personalized marketing. By embedding tech into every touchpoint, the company created smarter, more seamless customer and employee experiences, driving higher efficiency, more mobile orders and stronger loyalty program engagement. (Image Source) These real-world examples illustrate what’s possible when digital transformation is approached with clarity, alignment and a focus on people. Yet success stories are only part of the equation. Transformation at scale is rarely straightforward. Even the most prepared organizations encounter difficulties and uncertainty. Common Challenges of Digital Transformation Technology is only half the equation. Without the right leadership and support, even the most advanced solutions fall short. Misalignment, resistance and cultural inertia are the real barriers. Let’s examine the most common barriers that can stall digital transformation, and why overcoming them requires more than technology alone. Measuring return on investment (ROI) Unlike traditional investments, the ROI of digital transformation can be harder to quantify, especially in the early stages. Benefits like improved customer experience or greater agility are intangible or long-term, so how do you prove their financial impact? Organizations must define clear success metrics from the start, ones that go beyond immediate revenue and cost savings. This means tracking qualitative outcomes (like employee engagement or customer satisfaction) and quantitative results (such as efficiency gains or time-to-market improvements). ROI must also account for adoption metrics. Without widespread use, even the most advanced solutions won’t deliver value. Leaders need to monitor how well new technologies and processes are embraced across teams, not just whether they’re deployed. Prosci helps organizations put this into action with structured outcome tracking. Our change experts help organizations measure the real impact of change by linking adoption and usage to business results. Prosci Performance Levels Effective communication within organizations Transformation efforts often fail when vision and strategy aren’t well communicated across departments. Teams may work in silos, misunderstand objectives, or lack visibility into how their work connects to broader initiatives. To avoid these pitfalls, communication must be ongoing, cross-functional and directly connected to the "why" behind the change. It’s not enough to share updates. You need to create a communications plan so that every person in your organization understands the broader purpose of the change, their role in achieving it, and how each department’s efforts fit into the bigger picture. A well-designed communications plan ensures messaging is consistent, timely and aligned with business goals. The plan should outline: Key messages Target audiences Preferred communication channels Frequency of updates When communicating updates around change, it’s also important to consider who’s delivering them. Prosci research shows that people prefer to receive certain change messages from specific roles in the company: Preferred Senders of Messages During Change To ensure people are receptive to communication, it’s important to consider their preferences. Aligning communication with trusted voices helps leaders foster an organizational culture of transparency, strengthen credibility and inspire confidence across the organization. Cultural shift and adaptation Digital transformation requires a fundamental shift in mindset across the organization. One of the biggest challenges is bridging the cultural gap between the old way of working and the new approach required for transformation. Leaders must shift from directive management to transformational leadership. Simply implementing new systems or processes is not enough. You need to consistently demonstrate the mindsets and behaviors that set the tone for others to follow. Creating safe spaces for experimentation is also important. Innovation labs, pilot programs and internal communities allow teams to explore new tools and approaches, and fail forward without the risk of major disruption. This creates an environment where change becomes a constant opportunity, rather than a threat. To overcome these challenges, digital transformations need to be built on trust, clarity and engagement—from the C-suite to the front line. That’s where change management becomes the differentiator. Why Change Management Is The Missing Link Change management isn’t a side task—it’s the work. If people aren’t supported through the change, transformation is destined to fail. Without the right support, employees may be apprehensive about new systems, underutilize tools or revert to old habits, undermining the entire initiative. Digital transformation struggles when change is done to people, not with them. A structured, people-focused approach is critical to driving successful transformation. Structured, intentional change leadership aligns people with purpose, equips them for the transition, and significantly improves adoption. Prosci helps organizations navigate transitions smoothly, creating lasting adoption and securing long-term success. It’s the bridge that connects digital technology implementation with real, sustainable cultural shifts within the organization. Supporting people with the Prosci ADKAR Model At the heart of the Prosci Methodology is the Prosci ADKAR® Model, a proven model that breaks down individual change into five key elements: Awareness, Desire, Knowledge, Ability and Reinforcement. Prosci ADKAR Model These elements represent the building blocks of successful transformation on an individual level. By understanding where people are in the digital transformation journey, leaders can pinpoint specific barriers and provide targeted support, whether that’s through communication, training or coaching. The ADKAR Model also helps people understand why the change is happening, what’s in it for them, and how they’ll be supported through the transition. And when people see the purpose and benefits clearly, they’re more likely to engage, adopt and champion the change. Aligning at scale with the 3-Phase Process The ADKAR Model drives successful change on a personal level, but the Prosci 3-Phase Process scales that impact across the organization. It provides a structured framework to lead enterprise-wide transformation. Here’s an overview of the three phases: Phase 1 – Prepare Approach – In this phase, change leaders define success, assess readiness and build a tailored strategy for change. Phase 2 – Manage Change – In this phase, the team develops and delivers the bulk of change management activities, from communication and training to resistance prevention and assessments. Phase 3 – Sustain Outcomes – In this phase, the organization measures adoption, collects feedback and takes steps to ensure the change sticks. Guiding organizations through these phases help teams lead digital transformation initiatives with clarity, consistency and a sharp focus on their people. Prosci 3-Phase Process In the context of digital transformation, aligning at an organizational level is essential. It connects the dots between digital technology rollouts and human adoption, ensuring that new tools and systems are used to their full potential. Supporting change with Prosci technology To drive meaningful change at scale, you need the right tools. Prosci’s innovative technology solutions can make all the difference: Proxima is a web application that guides users through the Prosci Methodology to help them achieve change success. With built-in templates, tools and dashboards, Proxima keeps teams aligned and focused on what matters most—achieving successful outcomes and delivering measurable value. Kaiya™, Prosci’s expert change management AI tool, supports change leaders in real time, giving you instant access to change management insights, best practices and tailored solutions. Whether you’re building a communications plan or scaling across multiple initiatives, Kaiya helps you move faster, think smarter and extend your impact across the organization. Preparing for Digital Transformation in 2026 and Beyond Digital transformation offers immense promise, but it only delivers when led with clarity, conviction and a commitment to people. The organizations that succeed won’t be those with the flashiest tools, but those who treat change as a capability. That’s where Prosci comes in. With structured, flexible, and research-based approaches like the ADKAR Model and 3-Phase Process, Prosci equips organizations to lead with purpose, align their people, and make transformation stick. Because digital change isn’t just about moving fast. It’s about moving forward, together.

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Overcome Resistance to ERP Systems Changes With ADKAR

Investing in Enterprise Resource Planning (ERP) software can unify your business information resources, improve productivity, and create other long-term benefits. However, adoption challenges and resistance often create unforeseen risks and detract from the ERP system's benefits. Here’s how the Prosci ADKAR® Model can help you succeed. ERP Systems and the Need for Change To gain efficiency and reduce long-term costs, large and small companies are transitioning to ERP systems. Businesses use the systems to manage and improve processes ranging from procurement and manufacturing to financial and human resources functions across the enterprise. All these efforts help eliminate waste, improve productivity, and increase employee satisfaction. Because an ERP system integrates data into a common database, data can flow easily between operations. As a result, the system eliminates data duplication, enhances data integrity, improves ease-of-use, and helps your teams overcome siloed operations. Integrated data and processes also give your managers and teams greater insight into decision-making from real-time information. Given your significant investment in time and resources, as well as the importance of the expected benefits from the project, it’s critical for your business to recognize and overcome resistance to ERP changes through effective change management. Resistance to ERP Systems and Other Adoption Challenges More than likely, your employees have grown accustomed to familiar legacy systems. Even with all the benefits offered through an ERP tool, the migration from familiar applications to a new system sets up a series of challenges for technical and people leaders. As impacted employees move from the comfort of the current state to the disruption of the transition state and ultimately to the future state, technical challenges often provoke people challenges that lead to resistance. As part of your planning for the ERP implementation, leaders and the project team should carefully establish the business requirements and expected benefits for the project. Without clearly established requirements and benefits, people who work with the system can create unrealistic expectations. In turn, unrealistic expectations often evolve into customization requests that increase the project scope and slow the schedule. During implementation, impacted people can struggle with completing their current work while learning a new system. Project teams need to focus on all the milestones for reaching the “go live” date while implementing technological, functional and process changes at a rapid pace. And the push to learn new skills, terms and processes elevates stress levels even further. Cascading Technical and People Challenges Each of these challenges increases project risk. The need for understanding and mitigating that risk underscores the need for building strong change management capabilities in your organization. If you don’t adequately manage those challenges, the technical and people challenges of an ERP implementation can lead to dissatisfied employees and other stakeholders, increased stress, and loss of trust. Fear and Resistance to Change During an ERP Implementation The changes caused by an ERP implementation often seem intensely personal and overwhelming to employees. Newly defined processes sometimes move tasks from one department to another or even lead to organizational restructuring. Some department workloads may increase while others decrease or shift to different areas. Each of those changes break apart comfortable working relationships. And all this occurs within a project schedule that seems to have a life and vocabulary of its own. The result is often fear and resistance. Fear of Change Certainly, the fear of change feeds resistance behaviors. With any shift to a different technology, fear of the unknown shapes how your staff responds to change. Migration to an ERP system amplifies this fear because no one sees the finished product until close to the project go-live date. Even though vendors and project leads work to assure teams that more efficient workflows and a more collaborative environment are coming—and ask for patience as the process unfolds—people who use the new system may not fully accept the assurances. Fear of the Unknown Implementing an ERP system creates the need for people to learn new skills, creating pressure to upskill and reskill within a limited time. People also need to stay productive with their current workloads while learning new skills, which stresses even the most experienced people. For mid-career employees in particular, the fear of learning new skills can increase stress, complicate decision-making, and even cause physical illness. Fear of Failure The fear of failure translates into reluctance to try new processes or practices. If people work around or otherwise avoid the root causes of their fear (i.e., the learning curve), the fear leads to other resistance behaviors. How the ADKAR Model Helps You Overcome Resistance to ERP Systems Effective change management is critical during ERP implementations because of the impact on everyday work and morale. From my vantage point, the Prosci ADKAR Model offers optimal alignment with an ERP implementation and helps individual people and similarly impacted groups move through the transition in a structured way. Because the ADKAR Model emphasizes the people side of change, people managers also become more aware of the complexity in the work people do, as well as the impact software development and testing has on it. Along with its focus on the people side of change, the ADKAR Model emphasizes project success. Change management through the ADKAR Model helps business leaders mitigate resistance, highlights the ability of employees to adopt the change, and then checks back to reinforce those abilities. The Prosci ADKAR Model Here’s how each ADKAR element applies when mitigating or overcoming resistance to ERP systems: Awareness Building Awareness helps mitigate resistance by answering the questions people have about the change and its impacts on their work. Implementing any change that cuts across organizational and cultural lines requires excellent communication from leaders, people managers and project leads. As you apply the ADKAR Model, you will also need to build Awareness of the need for implementing an ERP system and communicate information about the project itself. I have found that communication must flow vertically and horizontally with clear lanes for sharing and receiving information. Desire Building Desire addresses resistance by answering the questions people have during a change, including the business “Why” behind the change and personal “What’s in it for me?” The Desire to participate and support the change begins with business leaders delivering transparent communications about the reasons for the change and then advocating for the new vision. Successful ERP implementations depend on change practitioners gathering feedback from impacted groups, people managers quickly responding and addressing barriers, and sponsors encouraging people to participate and role modeling the right behaviors. Productive communication and active participation build alignment with the objectives of the ERP strategy. Knowledge Knowledge of how to adopt the ERP system lessens fears and doubts, and helps people prepare for their role as users in adopting the change. When considering Knowledge, change practitioners should advocate for ERP training programs that address both the technical aspects of the new system as well as any process and workflow changes people need to adopt and use. While your human resources department may need training about new recruiting and onboarding procedures, finance teams will need training that addresses accounts receivable and payable processes, invoicing, purchase requisitions, and end-of-fiscal year procedures. Along with specific training for staff in impacted departments, project leads must also consider how those and other procedures affect people and stakeholders, and the type of training that best serves their needs. Ability Giving people the opportunity to apply and demonstrate new skills acquired through training helps them prepare for the go-live date while building confidence in their Ability to implement the required skills and behaviors. Change practitioners can help your organization achieve its goals by ensuring that employees have the ability to adopt and apply the changes enabled by the ERP implementation. To build Ability, change practitioners should work with people managers to provide hands-on practice and coaching. As employees across the enterprise become proficient with the new ERP tools, they can help others learn new skills. Reinforcement Resistance occurs at all stages of change, and it’s common for people to develop workarounds or revert to old ways of working. Reinforcement enables you to help people stay the course through additional support and resistance management tactics. When reinforcing the ERP system change with the ADKAR Model, change practitioners should work with the project team to gather feedback from impacted groups about how they use ERP tools. Using insights from surveys and face-to-face meetings, the project team can make changes that help people do their work most effectively. When measuring performance, change practitioners often use scorecards that show progress towards implementing changes and realizing benefits. Preparing to Overcome Resistance to ERP Changes When implementing an ERP system, change practitioners need to start managing resistance at the project’s initiation and all throughout its lifecycle. The process of managing resistance begins with assessing the organizational readiness of your business for the change, usually in partnership with the project manager and vendor representatives. The process continues with identifying primary and secondary stakeholders, assessing impacts and risks, and engaging stakeholders before the ERP implementation. I ask that change practitioners also begin to address the ADKAR barrier points for staff impacted by the change before the implementation begins. When assessing the possible resistance to change, I encourage change practitioners to apply the Prosci 10 aspects of change impact. It’s a helpful tool for defining the change for individuals, addressing individual and group impacts, and as the basis for building adoption metrics. In addition, the aspects establish a framework for becoming more responsive to employee needs and improving engagement. Prosci 10 Aspects of Change Impact Reframing and Overcoming Resistance to ERP Changes Effectively understanding and managing resistance requires you to look at it through a different lens that removes negativity and blame. Reframing resistance in this way will help you better identify types of resistance and their root causes, and build the right tactics to help people move through their barriers. Your organization can realize even greater benefits from an ERP implementation by applying a robust change management methodology that incorporates the ADKAR Model. This ensures alignment between the organizational requirements for the ERP system and the needs of the people who are impacted by the change while ensuring a solid return on your ERP project investment.

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