The Effect of Organizational Structure on Corporate Identity Management

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Volume 2 Number 2

The Effect of Organizational Structure on Corporate Identity Management Helen Stuart Queensland University of Technology, Australia

ABSTRACT This paper explores the signi®cance of organizational structure in relation to the capacity of an organization to develop an e€ective corporate identity. Mintzberg's framework was used to highlight the e€ect of organizational structure on organizational identi®cation and hence corporate identity management, and the ways in which organizational structure a€ects corporate identity management. Additionally, the most appropriate corporate identity structure for each type of organization is discussed, using the structures of Ind (1992), Kammerer (1995) and van Riel (1995). A signi®cant implication for managers is that consideration of the present organizational structure should in¯uence their corporate identity program proposals and decisions relating to corporate identity structure. In addition, a projected research agenda is outlined. INTRODUCTION This paper explores the signi®cance of organizational structure in relation to the capacity of an organization to develop an e€ective corporate identity. Although attention has been given to corporate identity structures (Ind, 1992), and the relationship between these structures and internal organizational structures has been explored (Ind, 1997), the e€ect of organizational structures on the corporate identity management has not been examined in detail. However, van Riel (1995, 47) noted that complex organizational structures have diculty in e€ectively communicating the corporate identity and, along with Ind

(1997), suggests that a branded identity is the most appropriate corporate identity structure in these cases. According to Downey (1986/87, 8±9), good corporate identity management means that `. . . the organization can project the kind of focus and commitment that simply wasn't possible before. . . . determination of basic identity crystallizes a company's essence and purpose'. Various authors (Kennedy, 1977, Dowling, 1986, Abratt, 1989, Marwick and Fill, 1997, Stuart, 1998) have developed conceptual models of the corporate identity management process. The underlying assumption behind all such models is that, if the corporate identity is well managed, then the resulting corporate image will accurately re¯ect the values, beliefs and strategic direction of the company. However, although these models have included corporate strategy and culture as variables in the process, attention to other critical variables related to corporate strategy, such as organizational structure, employee identi®cation and corporate identity structure, have not been accounted for. In fact, most conceptual models of corporate identity management make the assumption that the passage from corporate personality to corporate identity to corporate image is unimpaired if management follows appropriate corporate identity strategies, focusing on behaviour, communication and symbolism (van Riel, 1995, 32). Organizational identi®cation is assume