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A framework for shaping organizational identity

Selective categorization helps "members make sense of threats to organizational identity while affirming positive organizational and social identities" (Elsbach & Kramer, 1996, p. 33). Categorization is a "fundamental building block" of the beliefs that members hold about their identity (Elsbach & Kramer, 1996, p. 33). In their research into how members react when something in the environment threatens how they perceive the organization's identity, Elsbach and Kramer (1996) found the following:

  • First, individual social identity and individual organizational membership are psychologically independent. Due to the intimate connection between an individual's social identity and self-esteem, the individual cares about how others perceive the organization and how it compares with other organizations.
  • Second, when faced with dissonance, members of an organization "maintain positive self-perceptions by confirming features of the organization's identity, they perceive the non-members have ignored." This "organizational identity affirmation" is different from "self-affirmation" because the individual is affirming organizational traits, not individual traits. When an organization's identity is threatened, individuals not only affirm positive organizational identities, they may also psychologically disengage from perceived threats to the organization to preserve social identity within the organization.
  • Third, organizational identity affirmation and individual image management are different processes. When image management is the primary concern, an individual may disassociate from the organizational identity to protect their self-image.

Contrarily, Elsbach and Kramer (1996) propose that members tend to highlight positive organizational dimensions when they perceive the organizational identity is threatened. Identity affirmation and organizational identity are not necessarily mutually exclusive. Both motives simultaneously shape and enhance the perceptions that members and non-members hold. Fourth, "individuals protect and affirm their social identities" by positively categorizing the organizations to which they belong, by tolerating inconsistencies in themselves, and by affirming positive aspects of themselves and the organization to which they belong (Elsbach & Kramer, 1996).

While helping members create perceptions about their organizations and their link with the environment, selective categorization helps organizations recognize emerging opportunities to influence perceptions and behaviors in its internal and external environment. Elsbach and Kramer (1996) propose integrating social identity and impression management theories to propose a framework model for managing organizational identity. The framework holds that members attempt to protect private and outside perceptions of the organization and self when they perceive the organization's identity is threatened. This framework can help organizations use categorization to shape their identities, align members to organizational goals, and communicate its identity to its audiences (Elsbach & Kramer, 1996).

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