This article examines the process of privatization in a service company in Poland from an institutionalist perspective. The study investigates privatization ideology as a powerful component of the radical change of an organization. Arguing that the privatization process is the fundamental element in radical institutional change, the author examines how the privatization ideology becomes institutionalized within an organization through a combination of macro- and microlevel forces. This article also looks at the consequences of privatization for the change process and shows how a privatization ideology facilitated a climate of acceptance of and commitment to the new rules of conduct. The study employs qualitative data collection methods combining semistructured interviews, participant observation, and extensive document analysis in a case study of the privatization process in an organization.
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