Change in a project-based organization: The mutual shaping of institutional logics and change programs

Modern organizational transformations increasingly rely on change programs led by the introduction of new information technology (IT). Managing these IT-based change programs within project-based organizations (PBOs) presents unique challenges due to the division between ongoing business processes and temporary project activities. This study uses an institutional logics perspective to understand how a project-based organizational context shaped and was shaped by an IT-based change program. Through a three-year longitudinal case study on the interaction between a PBO and its IT program, our findings reveal that institutional logics prevailing in the PBO significantly influenced the program's implementation. In turn, the IT program acted as a catalyst for change, creating a competitive environment where two primarily segmented logics – a project organizing logic and an asset management logic – competed for dominance. The conflict between these logics led to new beliefs, values and practices being dominant, marking a shift in balance between the two logics. Our findings contribute to increasing understanding of the dynamic interplay between PBOs and IT-based change programs, shedding light on their mutual evolution over time and offering a deeper understanding of transformative change within project-based organizations.