Why do organizations in mature fields tend to become more alike?

In the context of neoinstitutionalism, American sociologists Paul DiMaggio and Walter W. Powell proposed that as organizational fields mature, the organizations within them tend to become increasingly homogeneous.1

This trend toward conformity occurs because organizations seek legitimacy within their environments. According to institutional theory, organizations gain legitimacy and enhance their survival prospects by adopting structures and practices that are widely accepted, externally validated, and collectively expected—often referred to as institutionalized scripts or models.1

Key drivers of this process include:

• Conformity to Normative Environments: Organizations adopt prevailing concepts of "proper" organizational work, such as formal hierarchies, because these structures are perceived as the natural or correct way to operate.1
• Resource Acquisition: Conforming to accepted practices makes it easier for organizations to obtain valuable resources, whereas deviating from these institutionalized norms can lead to negative performance and a loss of legitimacy.1
• Habitual Action: Rather than acting solely based on efficiency or explicit values, individuals within organizations often follow taken-for-granted codes and rules out of habit, reinforcing the existing institutional patterns.1

Ultimately, this process suggests that organizational structures often reflect the myths and expectations of their environment rather than the specific demands of their internal goals or work activities.1