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Why Digital Transformation Fails and How a Change Mindset Can Save It
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Digital transformation is one of the most overused and misunderstood terms in modern business. For many global enterprises, it has become synonymous with implementing new systems or automating outdated processes. Yet despite billions invested every year, research consistently shows that around 60% of digital transformation efforts fail to deliver their intended results.

Why? Because transformation isn’t just a technological challenge — it’s a mindset challenge.


The Real Reason Digital Transformation Fails


When major transformation initiatives stall, the cause is rarely a lack of tools or investment. It’s usually people. Or more precisely, the culture and leadership mindset surrounding change.

Studies by McKinsey and PwC show that companies where senior leaders model and champion digital-first behaviours are over five times more likely to achieve successful transformation outcomes. Yet, too often, leadership teams focus solely on implementation logistics instead of preparing their people, processes, and culture for change.

Common warning signs include:

  • Treating transformation as an IT upgrade, not an enterprise-wide evolution
  • Failing to communicate a clear “why” behind the change
  • Underestimating the emotional impact of change on teams
  • Overlooking training and ongoing support for new ways of working

Without leadership alignment and cultural readiness, even the best technology can’t fix deeply rooted behaviours.


From Resistance to Readiness


Resistance to change is a universal human response. Employees may fear loss of control, uncertainty, or increased scrutiny. In the context of label and artwork management, these fears are amplified, given the high stakes of regulatory compliance, brand consistency, and global coordination.

That’s why transformation must start with empathy and communication. Leaders need to:

  • Clearly articulate the purpose and benefits of change
  • Involve teams early in planning and pilot stages
  • Celebrate quick wins and share measurable progress
  • Create a culture of psychological safety, where experimentation is encouraged and mistakes are treated as learning opportunities

When people feel informed, supported, and secure, resistance fades — and readiness grows.


The Power of the Right Mindset


Transformation is often framed as a technical or operational challenge, but it’s really about rethinking how value is created and delivered.

As Kenvue’s Director of Digital Acceleration, Joe Kenopka, put it at Gartner’s Supply Chain Symposium: “If you don't have that mindset, you'll implement new ways of working, but you’re not going to get the results you really want.”

For organizations managing complex global labeling and artwork processes, this mindset shift is critical. It’s the difference between change feeling impossible and change becoming inevitable. When leaders adopt a mindset focused on progress, collaboration, and learning, transformation no longer feels like disruption — it becomes a strategic advantage.


Preparing for Change: Practical Steps


If your organization is considering a transformation in label and artwork management, here are four key steps to take before implementation begins:

  1. Define your vision – Make sure everyone understands the purpose and expected outcomes of transformation.
  2. Invest in your people – Train, upskill, and communicate regularly to build trust and confidence.
  3. Simplify complexity – Break large programs into manageable phases, ensuring momentum and clarity.
  4. Choose the right partner – Proven technology and experienced guidance can help you avoid costly missteps.

Transformation is never easy — but with the right mindset and preparation, it becomes far more achievable.


Turning Mindset Into Measurable Results


Global enterprises like Kenvue have already proven what’s possible when mindset and technology align. By combining leadership readiness with Kallik’s AI-powered Veraciti™ platform, Kenvue achieved a 95% reduction in packaging change time.

Their story demonstrates that even in complex, highly regulated environments, real progress is possible when businesses are willing to rethink how they operate.


Ready to Build Your Change Mindset?


To explore this topic in more detail, download Kallik’s latest eBook: Building the Mindset for Successful Label and Artwork Management Transformation.

Inside, you’ll discover:

  • The true cost of standing still
  • How to prepare your organization for change
  • The mindset shifts that drive transformation success
  • Real-world insights from Kenvue’s digital journey

Download the eBook below and start preparing your enterprise for smarter, faster, and more confident transformation.

View your FREE guide