Organizational Innovations in a Long-Term Perspective: Legitimacy and Souls-of-Fire as Critical Factors of Change and Viability

Abstract

What may be learned from organizational innovations in a long-term perspective? This article is based on eight studies over a period of 10-20 years. An insurance department is used as an illustrative and representative case. The department manager was a successful soul-of-fire (i.e., champion) during the change process. The continuous defense of the organization's values and culture distanced him from the rest of the company. Legitimacy (especially top management acceptance) is something that has to be continuously regenerated. The soul-of-fire faces two major dilemmas: first, the learning dilemma, i.e., the need to balance the efforts for internal learning and development in the unit with diffusion activities and the creation of external legitimacy; second, the change dilemma, i.e., the need to balance the direction and control of change with support for employee autonomy and influence.