Organizations under norms of rationality seek to place their boundaries around those activities which if left to the task environment would be crucial contingencies.
The implication of this proposition is that we should expect to find organizations including within their domains activities or competencies which, on a technological basis, could be performed by the task environment without damage to the to the major mission of the organization. For the hotel, for example, provision of rooms and meals would be the major mission, and the operation of a laundry would be excluded; yet we find hotels operating laundries. On the other hand, provision of rooms and meals would not be within the major mission of the hospital, although hospitals commonly include these activities within their domains. (James D. Thompson)

Organizations under norms of rationality seek to place their boundaries around those activities which if left to the task environment would be crucial contingencies. The implication of this proposition is that we should expect to find organizations including within their domains activities or competencies which, on a technological basis, could be performed by the task environment without damage to the to the major mission of the organization. For the hotel, for example, provision of rooms and meals would be the major mission, and the operation of a laundry would be excluded; yet we find hotels operating laundries. On the other hand, provision of rooms and meals would not be within the major mission of the hospital, although hospitals commonly include these activities within their domains.

James D. Thompson

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