Abstract
<jats:p>This chapter distinguishes industrial transformation from organisational change, arguing that transformation's cognitive, emotional, and identity demands require different theoretical frameworks. Synthesising strategic management, clinical psychology, and systems theory, the authors develop a Transformation Psychology framework for decade-scale discontinuity. The chapter examines how leaders process deep uncertainty through the Cynefin framework, how professional identity becomes threatened when expertise is obsolesced, and how anticipatory grief and chronic sorrow characterise extended mourning during industrial decline. Clinical constructs including containment, defensive routines, and immunity to change illuminate why adaptation proves difficult despite commitment. The framework integrates cognitive processing, identity dynamics, emotional regulation, learning, and organisational context as interdependent dimensions. Practical implications address holding environment design, negative capability development, and human-AI collaboration.</jats:p>