Non-formal institutions play a large role in the processing stages of system theory and we can see this role when we recognize that systems theory is built on top of stages that define a purpose and structure that exists naturally or is created by human beings. . This purpose and structure is strongly influenced by the social rules and concepts present in the individuals that form a community. These social rules and community concepts are the shapers of non-formal institutions. Thus, we can see that the greatest contribution of non-formal institutions in systems theory is that it is the non-formal institutions that create the limiting elements of a system in a community. Therefore, it is incorrect to state that non-formal institutions have no role to play in the processing stage of system theory.
