I’ve read many times that something like 70% of CRM initiatives fail to deliver the goods? What about CX. marketing automation, and digital transformation initiatives? I don’t remember reading any statistics on the success / failure of these. Yet, I have been involved in these areas. My experience is that the process tends to be painful, and failure is more likely than success.
What Accounts For The Dominance Of Failure?
Success is an option. So what accounts for the dominance of failure in change / transformation initiatives? This is the question I found myself confronted with this week. So what is my answer?
Before I provide you with an answer, I want you to know that over the last 30 years I have been involved in many kinds of projects-programmes-initiatives: accounting systems, management information systems, business process re-engineering, ERP systems, shared services, lean, CRM, website design & development, ecommerce design and implementation, customer loyalty, customer experience design, marketing automation, digital transformation….
Montaigne’s Insight Provides The Answer
Back to the question. What is the primary reason that many, if not most, change / transformation initiatives fail to delivery on the promise?
I say that THE primary cause of failure is a certain blindness/arrogance in those who initiate-shape-lead-manager such initiatives. Blindness to what? Blindness to the workings of human beings – as individuals, as groups, as the crowd. Arrogance? The arrogance of the powerful in assuming that they can ignore the working of human beings and treat people like widgets.
Allow me to bring home that of which I am speaking by sharing the following with you by sharing the following:
“His Scepticism makes him celebrate imperfection: the very thing Pascal, as much as Descartes, wanted to escape but never could. To Montaigne, it would be obvious why such escape is impossible: however high we ascend, we take that humanity with us.… He wrote:
It is an absolute perfection and virtually divine to know how to enjoy our being rightfully. We seek others conditions because we do not understand the use of our own, and go outside of ourselves because we do not know what it is like inside. Yet there is no use mounting on stilts, for on stilts we must still walk on our own legs. And on the loftiest throne in the world we are still sitting only on our own rump.”
Now let’s make this real by looking at some examples.
Customer Relationships. Take a moment look around you. How do human beings do when it come to relating and relationships? Are we masters at this? No. Most of us struggle most of the time when it comes to relationships: unhappy husbands, unhappy wives, unhappy parents, unhappy children, broken marriages, affairs/cheating, unhappy teachers, bored/unhappy students, dissatisfied bosses, resentful employees….
Customer Loyalty. In the world as lived do we reward loyalty? Yes? Then consider that parents spend a great deal of their lives caring for their children and in the process making many sacrifices. What happens when these parents get old? Do the children exercise loyalty – make sacrifices and look after their elderly parents? Or is the reward of such parents a place in a nursing home – out of the way with strangers? How about that employee who has worked for you for 20+ years when you make his job redundant by moving it offshore? Or the employee who can get a similar/better job with a competitor with higher pay? If we do value loyalty then why it is that the new customer gets a better deal than an existing-loyal customer?
Customer Experience. Walk in the shoes of the customer! That is the mantra which few really step into and live. Yet even if I did step into your shoes I wouldn’t necessarily experience that which you experience? I am not you! It may be that when you step in your shoes they pinch whereas I find them comfortable. How can man experience what it is like to be a woman? Or youngsters what it is to be elderly? Or a English person what it is to be French?
Cooperation & Collaboration. There is much talk about the need/importance of cooperation and collaboration. What is the reality? In my home there has been fierce completion between siblings to be the first/best. In the classroom there is completion to be the best. When it comes to school plays each actor wants the prominent/leadign role. In the corporation, employees are force ranked so that only a small percentage come out as high performers, and most come out as merely ok. Why? Rewards and honours are reserved for the few so as to encourage competition at all levels. In the context of competition what will most people do most of the time? Compete!
CRM and Marketing Automation. Look at the way that these technologies are implemented and you are likely to find that there is minimal time-effort-money given over to educating and training the people who will be expected to use these systems. Further, the folks are expected to go from novice to expert instantly. The reality? These systems are not intuitive – they require time, effort and even certain kind of dedication. Time, effort, and dedication that most users are simply not willing to put in – this shows up as extra burden on a back that is just about carrying the existing burden.
If you wish to make a success of your change / transformation initiate then you have a choice: to work with the ‘human nature’ or not. Remember, if you are not actively working with ‘human nature’ then it is almost certain that you are working against ‘human nature’. If you work against ‘human nature’ then you are likely to end up where most folks do end up when they take this route: failure.