Why do they?
Across industries and markets, one question continues to surface in boardrooms and leadership meetings alike:
Why do some businesses consistently outperform while others struggle to gain traction despite hard work, capable people, and solid products?
Extensive research, surveys, and real-world business analysis have examined this issue from nearly every angle. The conclusion is both revealing and sobering: most struggling companies are not failing due to a single catastrophic issue, but rather a combination of persistent, systemic breakdowns.
The “Big 23” Barriers to Business Performance
Based on a wide range of conventional business surveys and operational assessments, the following 23 factors, listed in no particular order, are consistently identified as the most common contributors to underperformance:
- Lack of new customers
- Poor cash flow management
- Disjointed strategic alignment
- Lack of vision
- Overdependence on a few large customers
- Late or unreliable deliveries
- Poor or inadequate business planning
- Insufficient industry knowledge
- Lack of innovation
- Hiring the wrong people
- Lack of flexibility
- Unsound leadership
- Unclear product or service differentiation
- Limited competitive knowledge
- Out-of-control finances
- Ineffective internal and external communication
- Poor quality standards
- Inadequate customer service
- Lack of passion or commitment
- Incompetent management
- Lack of accountability
- Weak or nonexistent marketing strategy
- Missing or deficient certifications
Each of these challenges can, and often should, be examined individually. However, organizations frequently fall into the trap of debating symptoms rather than addressing root causes.
Struggle or Failure? The Reality Leaders Must Face
The Cambridge Dictionary defines “struggling” in a business context as:
- Unsuccessful but trying hard to succeed
- Being in danger of failing or being defeated
Those definitions are uncomfortably accurate for many organizations today.
Adding urgency to this reality, Zippia, Inc. published research highlighting the failure rates of small businesses over time. One particularly unsettling insight stands out:
longevity does not guarantee stability. In fact, more seasoned companies often experience higher failure rates than younger firms, proving that experience alone does not protect against decline.
Focus on The One Thing
While all 23 barriers matter, attempting to fix everything at once often results in fixing nothing at all.
In The One Thing: The Surprisingly Simple Truth Behind Extraordinary Results, bestselling authors Gary Keller and Jay Papasan advocate for disciplined focus—identifying the single most impactful action that drives the greatest results. Their philosophy draws on Vilfredo Pareto’s 80/20 Principle: 20% of effort produces 80% of outcomes.
The implication for business leaders is clear: If you focus on the right leverage point, progress accelerates.
Strategic Alignment Is The One Thing
At Ready To Align, we believe the primary reason most businesses struggle is the absence of true strategic alignment.
Strategic alignment means intentionally synchronizing every part of the organization strategy, leadership, systems, processes, communication, and people, around a clear driving purpose and execution model. When alignment is missing, even strong strategies fail. When alignment is present, momentum follows.
This belief is not theoretical. It is strongly supported by independent research:
- 88% of executives say strategy execution is critical, yet 61% admit their organizations struggle to bridge the gap between strategy and daily execution (Project Management Institute)
- Only 14% of organizations report that employees clearly understand company strategy (Metrus Group)
- Just 10% of employees understand how their work connects to strategy; only 40% of managers do (Towers Watson)
- 61% of employees don’t know their company’s mission (Achievers Survey)
- Only 16% of employees are fully engaged; 22% are actively disengaged (Modern Survey)
- Only 30% of companies achieve their strategic goals; 81% of employees feel no ownership in achieving them (Harris Interactive)
- Companies exceeding revenue goals are 2.3x more likely to report high levels of alignment (InsideView)
- Highly aligned companies grow revenue 58% faster and are 72% more profitable (LSA Global)
- $109 million is lost for every $1 billion spent on projects due to misalignment (PMI)
The data is unequivocal: alignment is not a “soft” concept, it is a hard business driver.
You Are Not Alone
Thousands of organizations operate below their potential every day, not due to lack of effort, but because their businesses are not aligned with today’s complex, fast-changing environment.
Many leaders sense something is wrong but struggle to identify the root cause. This is the classic “can’t see the forest for the trees” problem being so immersed in daily operations that the bigger picture becomes obscured.
In these cases, a non-emotional, third-party alignment assessment can often reveal misalignment faster and more objectively than internal debate alone.
Few business leaders embody bold transformation more visibly than Elon Musk. Regardless of opinion, his success across multiple industries underscores one undeniable truth: progress requires change.
As Musk famously said:
“Some people don’t like change, but you need to embrace change if the alternative is disaster.”
At Ready To Align, we help organizations confront that choice with clarity, structure, and a proven alignment framework that turns strategy into results.
If your business is working hard but struggling to move forward, alignment may not be one of your challenges, it may be the challenge.
– Ready To Align