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Roughly three out of every four organizational change programs fail to achieve their goals. That number has stayed the same for 50 years,...
Treat Employees as Customers of Change: A Science-Based Guide to Organizational Transformation
14 hours ago -
3 minutes, 7 seconds
Why Most Change Programs Fail (and How to Fix It)
Roughly three out of every four organizational change programs fail to achieve their goals. That number has stayed the same for 50 years, despite countless consultants, frameworks, and executive effort. The reason? Leaders often forget a simple truth: your employees are the customers of change. Treat them that way, and you can dramatically improve your chances of success.
Julia Dhar, a managing partner at Boston Consulting Group and founder of BCG's Behavioral Science Lab, has spent her career studying why change fails. Her new book, How Change Really Works, offers seven science-based principles to transform your organization. The core insight: change failure is rarely about strategy. It's about behavior.
The Real Problem: "Change Distance"
Dhar identifies a gap she calls "change distance"—the difference between how executives and employees experience the same announcement. In a survey of 6,000 people, her team found that two-thirds of executives feel positive about upcoming changes, but only half of employees share that feeling.
Executives default to optimism, while employees often feel uncertain or anxious. This mismatch means successful change starts with persuasion and explanation, not just directives.
Stop Blaming Employees for Resistance
Dhar draws a powerful comparison: no marketing chief would ever say, "Our customers just aren't motivated." Yet leaders often accept that excuse inside their organizations. Instead, she urges leaders to ask: What would make this change easy for employees to "purchase"?
This shift in mindset is key. When you treat employees as customers of change, you focus on removing barriers, not assigning blame.
Involvement vs. Agency: What Really Works
Research from the 1940s—a study in a pajama factory—shows that when workers had no input, productivity collapsed. When they helped shape the process, output dipped briefly, then rebounded past prior targets. Dhar's lesson: "People don't burn down houses that they helped to build."
But involvement alone isn't enough. Dhar draws a sharp line between being consulted and having agency—the ability to make choices and direct resources. This connects to the IKEA effect: people value things more when they help create them. Harvard research shows people will pay up to 68% more for a box they assembled themselves, even if it's less professional.
The organizational version is psychological ownership. When employees help build a change, they care about it longer and more deeply.
Measure Often, Adjust Quickly
Dhar recommends measuring employee sentiment every two weeks during a transformation. This may feel fast, but it allows you to catch small issues before they become expensive crises. Waiting a month or six weeks can turn a minor problem into a major one.
Address Past Failures Directly
One of the most surprising findings: the "scar tissue" from past failed changes can linger for a decade or more—even among employees who weren't there when it happened. Dhar's remedy is simple: talk about it. Give people space to discuss what went wrong before launching the next effort.
"There are very few things that get better by not talking about them," she says. For leaders, the rules are: be honest, be specific, and be timely.
What Success Really Looks Like
When asked what she hopes to hear from clients a decade from now, Dhar doesn't mention metrics. She hopes they say: "We read this book, we got training, and we use it every single day."
That's the real measure of change: whether an idea outlives the person who introduced it. The next time a transformation stalls, ask yourself: Why didn't we ask employees to help build it?
By treating your employees as customers of change, you don't just improve adoption—you create lasting, meaningful transformation.
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