In an era of rapid digital transformation, organizations are increasingly turning to Change Management (CM) platforms to navigate complex transitions, however are many of these efforts meeting expectations?
According to Everest Group’s research with over 180 CXOs and business heads, 68% of enterprises have not realized the envisioned value from their digital transformation initiatives.
Additionally, 53% of enterprises cite change resistance as a key obstacle to achieving intended outcomes. These statistics highlight a critical question…are our current change management approaches truly effective, or are we simply rearranging deck chairs on a sinking ship?
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As organizations grapple with these challenges, the demand for robust change management platforms has surged. These platforms, designed to provide visibility, tracking, and insights into change programs, are becoming critical tools in the quest for successful transitions. Yet, the change management platform market is marked by diverse capabilities, emerging trends, and persistent challenges that are reshaping the future of change management.
In this landscape of unrealized potential and resistance to change, it’s crucial to examine the key trends, challenges, and strategic imperatives for both enterprises and service providers in the CM platform market.
Artificial Intelligence (AI) in change management: promise vs. reality
One of the most significant trends in the CM platform market is the increasing focus on integrating Artificial Intelligence (AI) and Machine Learning (ML) capabilities. While most providers have developed platforms that provide basic visibility and insights into change programs, there is a clear shift towards enhancing AI-related features.
Some mature players are moving quickly to improve AI within their platforms through new partnerships and by building internal capabilities that align with market demands. However, despite the potential of AI, many platforms still fall short of client expectations, particularly when marketed as prescriptive recommendation generators. With 60% of CM professionals reporting little to no implementation of AI in their engagements, the infusion of AI remains a critical area of focus for future platform development.
Building on giants: the power of enterprise platforms
Many CM platforms are developed on large enterprise platforms such as Salesforce, which offer familiar user interface (UI) elements, robust security controls, and seamless integrations. Building on such platforms allows providers to leverage existing infrastructure while enhancing their tools with advanced features. Additionally, major out-of-box integrations with large enterprise resource planning (ERPs) and other information technology (IT) assets are becoming increasingly common, enabling providers to cross-sell and upsell their services more effectively.
These integrations not only facilitate smoother implementation, but also enhance the overall value proposition of CM platforms, by incorporating industry research data, employee sentiment analysis, and other critical insights.
Show me the value: monetization strategies in CM platforms
The monetization strategies for CM platforms are evolving, with providers typically charging for their tools separately from the services they offer. In many cases, CM platforms are sold alongside advisory services, allowing providers to position their tools as integral components of broader transformation initiatives.
However, it’s not uncommon for these platforms to be purchased as standalone offerings, implemented either by the client themselves or a third party. In larger transformation deals, some providers even position their tools at no extra cost, framing them as an “investment” to drive adoption and differentiate their offerings. This approach reflects the strategic importance of CM platforms in securing and enhancing multi-million-dollar deals.
Beyond pretty dashboards: the quest for actionable insights
Despite the advancements in CM platforms, several challenges persist. The market is characterized by varying degrees of maturity, particularly in the use of machine learning. While platforms are increasingly focused on creating visibility and deriving high-level insights, they still offer limited intelligence and prescriptive capabilities. Basic visualizations and dashboards are prevalent, but the need for more sophisticated tools that deliver actionable insights remains un-met.
Moreover, the demand for stakeholder management, activity tracking, and impact analysis is high, yet many platforms struggle to fully meet these needs. To stay competitive, providers must continue to innovate and expand their AI capabilities while also enhancing the core features that clients value most.
The future of CM Platforms: what enterprises really want
- The change management platforms market is evolving rapidly, with enterprises demanding more than just basic change monitoring and adoption support. In addition to these core capabilities, organizations now seek industry-specific insights and strategic recommendations from their platforms. They expect CM solutions to be tailored to the unique needs of their business functions and industries, offering customization that drives more relevant and actionable outcomes
- Beyond visibility, efficiency gains are becoming a critical expectation. CM platforms are anticipated to automate diverse processes, reducing manual interventions, minimizing errors, and ultimately improving operational efficiency. This automation enables enterprises to achieve better business outcomes with less effort
- Furthermore, managing employee resistance is a key focus for CM platforms. Enterprises look at these solutions to deeply analyze employee behaviors and develop creative methods to motivate and align the workforce with change initiatives. CM platforms that provide clear roadmaps for driving change adoption and overcoming resistance will become essential in managing the human aspects of transformation
- Finally, strategic recommendations are becoming increasingly crucial for enterprise clients. CM platforms should offer self-serve capabilities that deliver actionable insights and guidance with minimal reliance on consulting services. The future of change management lies in platforms that can offer automation, customization, and strategic intelligence—all while enhancing workforce alignment and driving better business outcomes
If you found this blog interesting, you can read our 12 Steps To Effective Change Management In Global Business Services (everestgrp.com) blog, which delves deeper into the topic.
If you have questions or want to discuss CM platforms and solutions, please contact Krishna Zawar at Krishna Zawar or Parul Trivedi.
