The processing phase of system theory refers to the ability of a single system to create itself, forming boundaries and defining a complete objective before interacting with other systems. These limits and goals are largely influenced by non-formal institutions, as these two elements are formed thanks to the creation of rules, beliefs and concepts that non-formal institutions establish in a community. Thus, we can conclude that the main point of processing a system is influenced by concepts and ideas created by non-formal institutions. In this case, it is incorrect to state that non-formal institutions do not have a role to play in the processing phase of systems theory.
