Material Identity Work and Reinforcement of Collective Identity in Times of Loss

The death of a central figure, like a charismatic founder, can dilute the sense of collective identity among the various stakeholders of a local community. Maintenance of collective identity can be a difficult task, because the organization needs to then simultaneously deal with multiple identity drifts. We conducted an inductive study of Finnish company Ponsse, the founder recently passed away. The second-generation chairman took the lead to articulate the values that implicitly prevailed during the leadership of the founder. Our findings show that organizations that experience a loss can maintain and strengthen their collective identity after the passing of a charismatic leader by engaging in material identity work. Our study highlights two phases underlying the process of reinforcing the collective identity: creating the material environment and enacting material experiences. We contribute to deepen current understanding of how collective identities can be reinforced after a major loss by illuminating the material underpinnings of identity work.