An Organization and Institution

An Organization and Institution.

An Organization and Institution

An organization is a social entity that is made up of people who share a common purpose, interest, and goals. In addition, it is deliberately structured so that it is possible to share responsibilities among people or units in an attempt to achieve a common objective. Consequently, an association operates through a system of consciously coordinated activities. On the other hand, an institution is a social structure where people corporate, share and change behaviors and the way they live. Thus, an institution governs the conduct of people in the institutional setting. Examples of institutions include religious institutions, education institutions, marriage institutions, family, governments and many other.

Difference between an Organization and an Institution

An institution is permanent and does not end when one person moves out. For instance, a government continues to exist even after a President or Prime Minister term is over. Thus, moving out in office does not affect the existence of a government. On the contrary, an organization can be permanent or temporal. This means it can be dissolved after achieving its purpose or the set objectives or after becoming bankrupt.

Contrary, an institution seeks to bring behavioral change in the community. For instance, a prison tries to rehabilitate wrongdoers into good people in the society; a church tries to change people’s belief towards Christ and education tries to make young people responsible in the future in a bid to change the society. Therefore, an institution governs and restrains actions to shape behaviors. However, an organization is not concerned about communal behavioral change but individual behavioral change towards achieving a common goal. In fact, organizational culture does not go beyond an organization.

An organization is governed by rules, which are hierarchical and enacted by the top management while an institution is governed by customs that are commonly shared among its members. Furthermore, an institution can be physical or abstract entity while an organization is a physical entity.

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An Organization and Institution