The criticality of a resource can be measured as the ability of an organization to function in the absence of the resource or in the absence of the m… - Jeffrey Pfeffer

The theme of this book, and the underlying premise of the external perspective on organizations, is that organizational activities and outcomes are accounted for by the context in which the organization is embedded.

In New Directions for Organization Theory, Jeffrey Pfeffer offers a comprehensive analysis and overview of the field of organization theory and its research literature. This work traces the evolution of organization studies, particularly its more recent history, and highlights the principle concepts and controversies characterizing the study of organizations. Pfeffer argues that the world of organizations has changed in several important ways, including the increasing externalization of employment and the growing use of contingent workers; the changing size distribution of organizations, with a larger proportion of smaller organizations; the increasing influence of external capital markets on organizational decision-making and a concomitant decrease in managerial autonomy; and increasing salary inequality within organizations in the US compared both to the past and to other industrialized nations. These changes and their public policy implications make it especially important to understand organizations as social entities. But Pfeffer questions whether the research literature of organization studies has either addressed these changes and their causes or made much of a contribution to the discussion of public policy...

According to the resource dependence perspective, firms do not merely respond to external constraint and control through compliance to environmental demands. Rather, a variety of strategies may be undertaken to somehow alter the situation confronting the organization to make compliance less necessary.