How Multiple Identities Can Impact the Legitimacy of an Organization

Abstract

Organizations realize that their license to operate and the supportive behavior of their stakeholders relate to how they come across. If the identity of an organization is not a single, but multiple it may face unique challenges in strategic communication. The purpose of this study is to identify how the reputation and legitimacy of such a multiple identity organization (MIO) are affected by its performance and communications. Building on organizational identity theory, insights from corporate communication, and stakeholder theory, the potential vulnerabilities are listed through theoretical deduction and are illustrated by the case of Sanquin, the Dutch blood supply foundation. The case assessment relies on interviews with stakeholders and journalists, complemented with an analysis of newspaper headlines. The mismatch between the identities endangers legitimacy because legitimacy is based on the conformity to norms and values, the area where the identities clash. The inherent tension between the ideological and utilitarian identity cannot be avoided completely, but a strategic communication policy that manages the balance between the identities in organizational communication could help a better understanding of MIOs. The case offers insights into how creating this balance might be considered in the development of strategic communication of MIOs.