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The goal of new accountability educational policy§is that schools, as the unit of analysis and§responsibility, will seek to improve student§performance. That is, that the schools will§efficiently seek ways to improve the output of its§organization. Efficiency is a central concept in the§study and theory of organizations. Yet, schools are§widely regarded as institutional organizations that§seek to maximize legitimacy rather than efficiency. §Bureaucratic theory asserts that schools will adopt§structural changes that enhance the attainment of§productivity goals while institutional theory§predicts that environmental legitimacy will outweigh§productivity as the criterion for structural change.§This study contrasts the bureaucratic and§institutional accounts of organizational behavior to§test which best interpret secondary school level§behavior and decisions. It analyzes differences in§school level behavior in response to pressure§generated by California s school accountability system.