5. Environmental Contingency Theory Organizational structure should be based on the conditions it faces. Uncertainty is a property of the environment resulting from complexity and rate of change. “Complexity” refers to the number and diversity of elements in the environment. “Rate of change” is how rapidly these elements change. Environmental uncertainty is defined by the amount of complexity and the rate of change in the organization’s environment.
11. Institutional Theory Organization compete not just for resources and customers but for political power and institutional legitimacy. “Institutionalization” is “the process by which actions are repeated and given similar meaning by self and others. There are forms of institutional pressure: coercive (from government); and normative (from education of members of organizations).
12. Online Organization Analysis You may use these theories and more to consider and explain what you see related to environmental relations in your assigned organization.