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"You cannot run your business, or anything else, on a theory."
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Organizational structureOrganizational structure
Organizational structure
An organizational structure defines how activities such as task allocation, coordination, and supervision are directed toward the achievement of organizational aims.
"You cannot run your business, or anything else, on a theory."
"Many formal organizational structures arise as reflections of rationalized institutional rules. The elaboration of such rules in modern states and societies accounts in part for the expansion and increased complexity of formal organizational structures. Institutional rules function as myths which organizations incorporate, gaining legitimacy, resources, stability, and enhanced survival prospects. Organizations whose structures become isomorphic with the myths of the institutional environment-in contrast with those primarily structured by the demands of technical production and exchange-decrease internal coordination and control in order to maintain legitimacy. Structures are decoupled from each other and from ongoing activities. In place of coordination, inspection, and evaluation, a logic of confidence and good faith is employed."