Module 5:
Change management

According to PwC consultants, the biggest mistake leadership makes during transformation projects is underestimating the cultural shift required to move from reactive compliance to proactive governance. Organisations that succeed treat tax governance not as a one-off project, but as an ongoing management discipline.

Effort scales linearly, but complexity scales exponentially. You cannot outwork a broken operating model. This means that even the best tools or processes will fail without addressing how people think, behave, and collaborate.

VJ led a tax transformation project at Shell, bringing 1,500 entities across 100 countries under a centralised approach with 4 headquarters.

This project delivered:

• Centralised data, making benchmarking and analysis easier
• Benchmarking opportunities, enabling better decision-making
• Significant value creation, driving efficiency across the organisation

• Multi-million-dollar savings, improving the bottom line

VJ explains, “Tax has always been seen as a local process, with a need for local professionals and local processes because of the language barrier. But finance showed it could be different. That’s when we started the project to decentralise our tax processes.”

The first challenge was the language barrier. VJ’s team tested processes in Dutch and German locations using Indian professionals to design them. By starting small, iterating, and refining, they built a strong business case to present to the board. If you start by only thinking about technology, you miss the bigger picture. People and processes must come first.

Securing leadership support was critical. Once the model proved it could mitigate risk and create value, the Head of Tax and Executive VP gave full approval.

Key criteria for the business case included:

• Risk always leads:

  never compromise on compliance

• Sustaining quality:

  ensuring processes remain consistent over time

• Maximising performance:

  measuring how well the transformation improves operations

Without visible leadership sponsorship, even the most robust plans are unlikely to succeed.

Resistance to change is often the biggest hurdle in transformation. Identifying and supporting the right talent is crucial:

• Transform low-value compliance roles into high-value advisory roles
• Empower these individuals as cheerleaders, leading the team by example
• Encourage early wins to inspire the wider organisation

By creating visible success early on, the team gains momentum and confidence to drive wider adoption. “People follow success, not ideas.” – PwC.

When the team is ready, selecting countries for roll-out should include a mix of low-risk and material entities. This exposes the project to a variety of challenges, allowing lessons to be learned early. “Start small, learn fast, scale smart.” – VJ

Key considerations during roll-out:

• Track how long each rollout takes
• Identify risks and bottlenecks encountered

• Ensure tax cycles are fully tested before moving on

VJ cautions against starting only with easy countries, as this can unnecessarily extend the project timeline to 12–18 months.

Once the Tax Control Framework is in place and KPIs are being measured, the team can operate with confidence. Continuous testing, refinement, and learning are critical to navigating a rapidly changing tax environment.

Change is not a project; it is a continuous journey. The moment you think you are done; the environment changes again. The modern tax function must continuously improve, leveraging both technology and strategic insight.

By combining strong leadership, a team of cheerleaders, and a culture of continuous improvement, organisations achieve transparent, consistent, and high-performing tax processes that deliver real business value.