Exploring the Interaction between Organizational Identity and Organizational Design in
Technological Transitions
Mary Tripsas
tripsas@bc.edu
Abstract
Research has suggested that organizational separation for new technology development increases
the odds of a successful technological transformation by allowing the unit to establish its own
distinct identity, unconstrained by the biases and routines of the core organization. At the same
time, organizational identity research has shown that organizations benefit from a common,
consistent set of internal beliefs about what the organization represents. Combined, these
findings pose a dilemma: creation of a separate unit may maximize opportunities for exploration,
but it also may create ambiguity or conflict about organizational identity. Through a comparison
of FujiFilm’s and Polaroid’s reactions to digital imaging, we propose that establishing a separate
new technology unit can cause dormant identity conflicts to surface, and reconciling those
conflicts is critical to success.