Humans create formal institutions of law. Many entities have norms that define acceptable behaviors and habits that set default routines. All these can be considered institutions.

An example of a norm-setting institution is the National Basketball Association. When paraplegic players with robotic feet and ankles can out-perform players with natural appendages, it challenges the norms set by NBA regulations. When enough changes occur simultaneously, it can destroy an entire institution. For instance, if genetic engineering creates ten-foot tall players, the game becomes uninteresting.

Change can also benefit institutions, for instance, by providing better tools for to fight corruption through transparency.