Abstract
Most of the theories of organization have causally explained the performance by organizational structures, on the premisse that organizational goals are given at any time. These causal explanations have fatal difficulties. Especially there are not such organizational goals that can explain organizational actions sufficiently, by excluding other possibilities of actions. And it can not be supposed that organizational goals are given at any time. The aim of this paper is to present the theoretical perspective, which can afford a more realistic comprehension of practical actions in organization, by focussing on what sort of possibilities of selections are opened for the organization. From this perspective an institutional model is presented. The institutional model throws light on the contexts, which guarantee possibilities of selection in relation to other selections. For this aim we examine the Luhmann's concept of institution and formal organization. As a result, a series of procedures based on formalization (i.e. formalities of selections) give the context, and so various possibilities of selection are opened for the formal organization. Then the differences of components of the procedures create the differences of possibilities of selections among each concrete organization. So selections of some organizational structures-for example selections of organizational goals, and programs-can be realized by the institution of formalization, and these selections realize different possibilities for each concrete organization.
