Triggers of the liminal state of cooperative identity: A study from organizational identity approach

• In Event: Organizational identity

Abstract

Crisis in the world order triggers institutional crises that have reached the core of some non-profit organizations. In the case of cooperatives, an identity crisis is evident in relation to the distorted social imaginary. In 2021, the International Cooperative Alliance calls for the collective construction of new identity statement. This work emphasizes the study of the identity phenomenon at the organizational level, considering that the union declaration is a basis on which each cooperative adds its own attributes that configure its particular identity.

Erosions in organizational identity leave it in a state of indeterminacy where it is not possible to answer the questions: What are we as an organization? And, what do they say we are as an organization? Seminal authors on organizational identity, Albert and Whetten (1985) and Whetten (2006), suggest that responses determine organizational attributes. However, when we do not know what we are, we are in a liminal state of identity as an organization. The concept of liminality is introduced by the processualist authors van Gennep (1969) and Turner (1980), who describe three phases that make up this state: separation, transition and aggregation. This paper emphasizes the first stage, where the triggers that erode identity take place. Thus, this study focuses on the question: What are the endogenous and exogenous triggers of the liminal state of cooperative identity? The problematic point about the liminal state is that in this transition the identity is vulnerable and could be manipulated by divergent traits with the social philosophy that has characterized cooperatives from their foundational axiological nuance.

This is a qualitative study from the social constructivist paradigm (Berger & Luckmann, 1986), applying a case study (Stake, 2014) on 'Cooprudea', a representative Cooperative in Colombia, which has been in operation for 40 years. The methodology is supported by instruments such as: 1) participant observation, 2) focus groups, 3) semi-structured interview and, 4) documentary research. The study is carried out in three phases and the analysis is complemented with multiangulation of sources (Todd, 1979).

Results are presented from a taxonomy between exogenous and endogenous triggers. Firstly, it is found that neoliberal rationality - financialization has exerted pressure on the cooperative, changing its operation towards a banked model. Likewise, the covid-19 pandemic modifies the relationship between associates and services, distorting organizational identity; as well as the mediation of technology and the ACI's call to reconstruct the cooperative identity. Second, as endogenous triggers, it was found that identity has been fragmented by organizational changes such as the retirement of the manager with 30 years of work; a recent spin off to start other businesses, the change in its nature to an open and heterogeneous cooperative and the power relationship exercised by its founders. Due to these numerous changes that modify the identity, the cooperative currently does not have a direction of action, because identity marks a horizon of behavior. Finally, this study seeks to join the ICA conversation and contribute to the gap between liminal organizational identity and cooperative identity.

References

Albert, S., & Whetten, D. (1985). Organizatinal identity. Research in Organizational Behavior, 7, 263–295.

Berger, P., & Luckmann, T. (1986). La construcción social de la realidad. Amorrortu. https://web.politecnicometro.edu.co/wp-content/uploads/2021/08/Construccion-social-de-la-realidad-Berger-Luckman.pdf

Stake, R. (2014). The Case Study Method in Social Inquiry. American Educational Research Association.

Todd, J. (1979). Mixing Qualitative and Quantitative Methods. Trinagulation in Action. Administrative Science Quaterly, 4(24), 602‐611. https://doi.org/10.22201/iis.01882503p.2020.1.58064

Turner, V. (1980). La selva de los símbolos. Siglo XXI. http://eprints.uanl.mx/5481/1/1020149995.PDF

Van Gennep, A. (1969). Los ritos de paso. Alianza Editorial S.A.

Whetten, D. A. (2006). Albert and Whetten revisited: Strengthening the concept of organizational identity. Journal of Management Inquiry, 15(3), 219–234. https://doi.org/10.1177/1056492606291200

Authors

• Julieth Alzate

• Diego Gonzales-Miranda, Universidad EAFIT