The Estimation Game: What do business transformations really cost?
In partnership with SAP Signavio & LeanIX
The report “The Estimation Game: What Do Business Transformations Really Cost?” delves into the complexities and financial implications of business transformation initiatives, offering insights drawn from a comprehensive survey conducted by Oxford Economics and SAP with 800 global business executives. It examines four critical types of transformations—geographic expansion, transitioning to net-neutral carbon emission, product or service innovation, and cybersecurity frameworks—highlighting the necessity of clear goal definition, workforce buy-in, and calculated risk management for successful outcomes. Despite these efforts, the findings reveal that only 57% of transformations are deemed worthwhile investments, with budget overruns affecting the majority of projects.
Key insights from the report underscore the importance of strategic alignment and resource allocation in transformation endeavors, with specific attention to the distinct challenges and expected outcomes associated with each type of transformation. Geographic expansions, for instance, are more likely to yield profitability and cost-efficiency improvements, while sustainability transformations focus on justifying ROI and enhancing customer satisfaction. The research outlines best practices and emphasizes the need for robust data utilization, transparency, and effective communication to navigate the uncertainties and inherent risks of transformation processes successfully.
The experts behind the research
Our Thought Leadership team produces original, evidence-based research made accessible to decision-makers and opinion leaders. Principals for this project included:
Matthew Reynolds
Senior Editor, Thought Leadership
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