Organizational identity challenges in a post-merger context: A case study of an information system implementation project

• Differences in organizational identities influenced information system implementation.
• Final functionality of the information system was different than the planned one.
• The paper advances a dual-motor multilevel process of post-merger IS implementation.

This study examines the effects of the differences in organizational identities that emerged during a post-merger project that aimed at unifying the laboratory services of a large healthcare center that resulted from the merging of three hospitals by supporting them with a unique information system. We draw on the concepts of organizational identity and sensemaking to analyze the laboratory information system implementation project. Organizational identity is conceptualized as the mental representation that organizational members have of themselves as a social group in terms of practices, norms, and values and how they understand themselves to be different from members of other organizations. Data analysis suggests that divergent organizational identities and team members’ alternative interpretations of others’ practices, norms and organizational symbols, coexist during the post-merger integration phase. These interpretations are reflected in the final functionality of the information system that was different from the planned one.