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Report Title
Chief Transformation Officer Study (PDF version) — Monitor Deloitte
Published
April 24, 2025
Most Useful For
C-Suite, Boards, Transformation Leaders
Data Sources
This report was compiled from a survey of 200 transformation executives from a range of industries. A majority of respondents had been part of three or more enterprise transformation programs. Eighty percent of those surveyed claimed completed transformations achieved stated targets.
Context
This new report builds on an earlier 2022 Deloitte Monitor survey of transformation leaders which came out just as the Covid pandemic waned and the phrases “Great Resignation” and “Quiet Quitting” captured popular attention.
The 2022 report focused on the “what,” the “why,” and the “who” of transformation programs. The leaders then were a mix of strategists (vision folks) and operators (execution leads), in partnership with technologists, controllers and change champions. Most of those folks came and went after programs were completed. The business drivers back then were optimization, business expansion, and and even lofty goals of reimagining the business itself.
That was also era of cheap, or some would say, free money. In 2022, some respondents reported two to five percent, and in some cases, up to 10 percent of annual company revenues were going into transformation programs. This year’s report, though not directly citing the new economic climate, is nevertheless quite explicit in its use of the word “reallocation.” Money is being spent now in a more targeted way, on fewer initiatives, led by full-time internal transformation executives who have high rank and visibility.
Key Findings
- Cha-Ching! More financial capital is being invested and more wisely: Transformation budgets have significantly increased (up to 2.5x more) over the last two years. The strategic allocation of these investments is more critical for success than the total budget size.
- People-Centered. Transformation clearly requires more human capital: No longer part-time transformation executives, companies are dedicating internal, full-time resources to transformation programs, reflecting a shift to building internal transformation capabilities. “Nearly half of CTrOs are entirely focused on transformation efforts—a sharp jump from just two years ago—highlighting the demanding nature of the role.”
- Leveling Up. Senior leaders are stepping into these roles: Organizations are appointing more experienced leaders, often of higher executive rank. Nearly half of Chief Transformation Officers are now fully dedicated to the role.
- The Song That Never Ends. Change management is the enduring need: In chaotic and uncertain times as these, building internal talent resilience and adaptability are stated bo be among the top predictors of transformation success.
- Focus, Focus. Transformations can suffer with execution-related challenges: The most significant challenges in transformations occur during the execution phase, often related to securing the right resources and managing change.
- Show Me Don’t Tell Me. Boards and C-Suites need to see provable measurable results: A heightened focus on measuring transformation progress and strategically using KPIs has contributed to a higher success rate, with over 80 percent of programs meeting or exceeding targets. Indeed, the word “accountability” shows up more prominently in this 2025 report, compared to the prior 2022 report.
One Great Chart
Questions to Discuss with Your Team
Are we properly funding the right programs or just fragmenting them? Given the shift toward fewer, more focused initiatives, how are we ensuring our investments are coherent, aligned, smart and measured?
What does execution failure look like for us, how can we avoid it? How can we not repeat some past misfires around resource gaps, resistance, or unclear ownership? What phase do we fumble most — the vision or the execution phase?
How will we honestly measure our transformation without gamifying it? Are our KPIs telling a story of genuine value, or convenient milestones? Would the board believe our dashboard?
Do our people experience change as a program… or a muscle? Are we building long-term resilience, or burning out talent with episodic change events?
What should we stop transforming? Are we holding on to legacy initiatives or zombie projects that no longer fit our strategy—or distract from bolder bets?
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