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Institutional exhaustion from continuous reorganisation without operating condition improvement. Change fatigue occurs when institutions respond to IOA problems with structural changes that don't address the underlying operating condition failures. Each reorganisation depletes institutional energy without solving the problem, eventually exhausting capacity for any change.
A government agency has been restructured four times in eight years, each time to solve persistent problems. Staff are exhausted, institutional memory is destroyed, and the problems persist because they were IOA failures (learning, escalation) not structural failures. Further restructuring only deepens fatigue.
Section 5: Five Failure Modes