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Pega has been building enterprise software since 1983. What has four decades of enterprise transformation taught you about why large organizations find change so difficult?

Large organizations struggle with change due to three compounding forces: an innovation tax (engineers spend 20 to 40 percent of effort servicing technical debt), an alignment gap between business and IT, and cultural inertia, which Accenture calls “change fatigue.” McKinsey’s research shows that 70 percent of digital transformation programs fail to achieve their goals, and in enterprise AI specifically, 95 percent of pilots fail to reach financial ROI. Pega’s answer is the Center-Out™ approach, anchoring all business logic in a shared orchestration layer, which collapses the gap between business intent and IT delivery so organizations can build for tomorrow without dismantling what keeps the lights on today. That is essentially what the Pega tagline ‘Build for Change’ means in practice.

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