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Beyond Fit: An Organizational Flux Theory of AI Governance

Type: article
Abstract: Contingency theory explains organizational effectiveness through fit between organization and environment and presumes that observations remain valid long enough to inform governance. This premise is challenged when governance-relevant technological mutation outpaces organizational review and intervention. Formalizing technological mutation cycle time and governance cycle time, we distinguish three governance regimes. When the mismatch becomes extreme, the temporal commensurability assumption breaks down and fit becomes structurally non-identifiable at the governance cadence. To account for such circumstances, we propose Organizational Flux Theory (OFT) as a process-based lens. OFT explains temporal lag, agency inversion, and boundary volatility and shifts effectiveness from point-in-time fit to adaptability within authorized bounds. It also yields one design implication, an Algorithmic Constitution, that separates human normative amendment from runtime monitoring, constraint enforcement, containment, and telemetry. OFT is a boundary-conditioned conceptual theory; its regime thresholds and design prescriptions require empirical evaluation.
Language: English
Open Access status: green
OpenAlex ID: W7222992300
Cites: 29
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Related to: 10