Organizations don't have an identity crisis. They have a trust accounting crisis. Nobody is keeping the books.
Security has gone through two eras of defining itself by what it measures. In the 1990s, security meant the firewall: define the perimeter, control what crosses it. In the 2010s, as the perimeter dissolved into cloud and SaaS, security redefined itself around identity: Who are you, and what have we verified about you? Both eras produced real, durable progress. Both also quietly assumed the same thing — that once something was verified, it could be trusted going forward without much further scrutiny. That assumption held up reasonably well when the things being verified were mostly people.