Building A Case For Inclusion Of Organizational Identity In Turnaround Research

The objective of this paper is to build a case for inclusion of organizational identity construct in turnaround research. After a brief review of various perspectives in turnaround research, the paper traces the major findings in turnaround actions and types. Based on the exhaustive list of turnaround actions, seven turnaround action themes were identified - top management change, asset reconfiguration, organizational restructuring, strategic change, substantive changes in membership, transformational change, and functional/ efficiency changes. These seven turnaround themes are mapped into the three organizational identity conceptual criteria – ideational (collective answers to the question ‘who are we?’), definitional (the conceptual domain of central, enduring and distinguishing characteristics of an organization) and phenomenological (a context of profound organizational experience) (Whetten 2006). To extend support four turnaround typologies are also mapped onto these criteria. The analysis clearly indicates the pervasiveness of identity related dynamics in turnaround. The plausible organizational identity dynamics in each of the themes and the managerial implications are enumerated in detail. The paper concludes with suggestions for further building the case for including organizational identity in turnaround research.