Predicting Organizational Reconfiguration

This chapter addresses the issue of structural change within for-profit organizations, both as adaptation to changing markets and as purposeful experimentation to search for new opportunities, and builds upon the “reconfiguration” construct. In the areas of strategy, evolutionary economics, and organization theory, there are conflicting theories that either predict structural change or discuss obstacles to change. Our aim is to highlight relevant theoretical rationales for why and when organizations would, or would not, be expected to undertake structural reconfiguration. We conclude with remarks on how these literatures, together, inform our understanding of reconfiguration and organization design and provide insights for practitioners.