Transformation insights based on real market conversations between January 2026 and March 2026
Over the past quarter, I’ve spent time with senior leaders across a wide range of organisations discussing large-scale transformation, operating model change, finance and systems programmes, and the realities of delivery. While the sectors and contexts differ, the underlying challenges are remarkably consistent.
Most organisations are no longer debating whether they need to transform. That decision has already been made. What is proving far harder is converting ambition, strategy and design into sustained delivery. In many cases, the gap between intent and execution is widening rather than narrowing.
A recurring theme is that organisations are not short of ideas. Diagnostic work has been done, target operating models have been designed, and transformation roadmaps exist. The issue is that programmes stall once they move beyond planning. Ownership becomes blurred, accountability weakens, and momentum is lost. Too often, transformation activity continues to consume time and money without delivering tangible outcomes.
One of the most common contributors to this problem is heavy reliance on multiple consultancies. Many organisations now find themselves with different firms owning different elements of the agenda: one designing the operating model, another running the PMO, another delivering systems, and another advising on change. While each may be strong in isolation, the combined effect is fragmentation. There is often no single version of the truth, limited incentive to challenge assumptions, and little accountability for end-to-end outcomes. In some cases, consultancies are effectively marking their own homework.
As a result, there is a growing appetite for stronger client-side leadership. Across sectors, organisations are increasingly recognising the need for a single senior individual to act as a “ringmaster” for transformation. This role is less about strategy and more about control: coordinating vendors, prioritising initiatives, sequencing activity, and bringing discipline to delivery. Where this role exists, programmes tend to move faster, and costs are easier to control. Where it doesn’t, complexity quickly overwhelms even well-intentioned plans.
Capability at the leadership layer is another pressure point. Many organisations are discovering that while they have strong operators who can run today’s business, fewer leaders are equipped to lead complex, multi-year change. This often results in over-reliance on a small number of capable individuals, creating bottlenecks and burnout. In response, organisations are increasingly using interim leaders, targeted backfill and specialist delivery roles to free up senior teams and increase execution capacity.
There is also clear fatigue with blunt cost-out programmes. Cutting headcount without addressing underlying process, data, and system issues rarely delivers sustainable results. In many cases, costs reappear within months as work still needs to be done. More mature organisations are reframing the conversation away from headline savings and towards fixing fundamentals: simplifying structures, reducing rework, and stopping unnecessary activity. The emphasis is shifting from “taking cost out” to “doing less, better.”
Artificial intelligence features heavily in conversations, but rarely in a practical way. While there is genuine interest in AI’s potential, it is often creating hesitation rather than progress. Decisions are being delayed while leaders wait for AI to solve structural problems. The more grounded organisations recognise that AI will only add value once core data, processes and controls are in place. For now, the focus is firmly on getting the basics right.
Financial services and insurance
When viewed by sector, these themes play out in slightly different ways. In financial services and insurance, transformation is being driven by margin pressure, regulatory scrutiny and the need for stronger control. Many organisations are reassessing historic consultancy spend and placing greater emphasis on experienced delivery leadership, particularly in finance and systems programmes.
Utilities and regulated infrastructure
In utilities and other regulated infrastructure environments, transformation is shaped by public accountability and regulatory demands. These organisations typically operate in highly complex, multi-vendor landscapes, making strong client-side coordination essential. The demand for independent oversight and vendor management capability is particularly pronounced.
Industrial, engineering and manufacturing
Industrial, engineering and manufacturing organisations are increasingly focused on margin recovery through operating model redesign. There is a noticeable shift from purely product-led models towards greater customer focus and service orientation. Leadership appetite for change is generally strong, but sequencing and pacing are critical to avoid overstretch.
Professional services and property
Professional services and property-related sectors continue to grapple with legacy systems, heavy reliance on spreadsheets and highly devolved decision-making. Partnership cultures add further complexity, making stakeholder alignment and change management especially important. Where change leadership is underinvested, programmes slow quickly.
Consumer, retail and services
In consumer, retail and service environments, sustained margin pressure is accelerating core systems replacement and renewed interest in shared services and outsourcing models. Many organisations are now favouring blended delivery models that combine systems integrators with trusted independent delivery leaders to manage risk and maintain momentum.
Shift to stronger client-side leadership
There is a growing appetite for stronger client-side leadership, with organisations increasingly appointing a single senior “ringmaster” to coordinate transformation activity, improve control, and drive delivery discipline.
Focus on execution over strategy
The market is moving beyond strategy design towards a sharper focus on execution, ownership and accountability as the primary constraints on progress.
Reframing cost transformation
There is clear fatigue with blunt cost reduction programmes, with leading organisations shifting towards fixing underlying structural issues and improving efficiency through simplification and reduced rework.
Selective use of external support
Organisations are becoming more deliberate in how they use consultancies and external partners, favouring targeted support over broad, fragmented multi-vendor models.
Pragmatic approach to AI
While interest in artificial intelligence remains high, more organisations are recognising the need to prioritise core data, process and control foundations before AI can deliver meaningful value.
Taken together, the message from the market is clear. Strategy is not the problem. Ambition is not the problem. Execution, ownership and capability are the real constraints.
The organisations making progress are those that are simplifying their transformation landscape, investing in strong client-side leadership, and using external support selectively rather than by default. As we move into the next quarter, the differentiator will not be who launches the most initiatives, but who finishes the ones that matter.
Written by Simon Cordrey, Managing Director in BIE’s Transformation Team
