diff --git a/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.test.tsx b/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.test.tsx
index 9644efa658..de40d91042 100644
--- a/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.test.tsx
+++ b/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.test.tsx
@@ -20,7 +20,7 @@ vi.mock("@/modules/ui/components/switch", () => ({
 }));
 
 vi.mock("../actions", () => ({
-  updateNotificationSettingsAction: vi.fn(() => Promise.resolve()),
+  updateNotificationSettingsAction: vi.fn(() => Promise.resolve({ data: true })),
 }));
 
 const surveyId = "survey1";
@@ -246,4 +246,204 @@ describe("NotificationSwitch", () => {
     });
     expect(updateNotificationSettingsAction).not.toHaveBeenCalled();
   });
+
+  test("shows error toast when updateNotificationSettingsAction fails for 'alert' type", async () => {
+    const mockErrorResponse = { serverError: "Failed to update notification settings" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, alert: { [surveyId]: true } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("Failed to update notification settings", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("shows error toast when updateNotificationSettingsAction fails for 'weeklySummary' type", async () => {
+    const mockErrorResponse = { serverError: "Database connection failed" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, weeklySummary: { [projectId]: true } };
+    renderSwitch({
+      surveyOrProjectOrOrganizationId: projectId,
+      notificationSettings: initialSettings,
+      notificationType: "weeklySummary",
+    });
+    const switchInput = screen.getByLabelText("toggle notification settings for weeklySummary");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, weeklySummary: { [projectId]: false } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("Database connection failed", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("shows error toast when updateNotificationSettingsAction fails for 'unsubscribedOrganizationIds' type", async () => {
+    const mockErrorResponse = { serverError: "Permission denied" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, unsubscribedOrganizationIds: [] };
+    renderSwitch({
+      surveyOrProjectOrOrganizationId: organizationId,
+      notificationSettings: initialSettings,
+      notificationType: "unsubscribedOrganizationIds",
+    });
+    const switchInput = screen.getByLabelText("toggle notification settings for unsubscribedOrganizationIds");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, unsubscribedOrganizationIds: [organizationId] },
+    });
+    expect(toast.error).toHaveBeenCalledWith("Permission denied", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("shows error toast when updateNotificationSettingsAction returns null", async () => {
+    const mockErrorResponse = { serverError: "An error occurred" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, alert: { [surveyId]: true } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("An error occurred", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("shows error toast when updateNotificationSettingsAction returns undefined", async () => {
+    const mockErrorResponse = { serverError: "An error occurred" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, alert: { [surveyId]: true } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("An error occurred", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("shows error toast when updateNotificationSettingsAction returns response without data property", async () => {
+    const mockErrorResponse = { validationErrors: { _errors: ["Invalid input"] } };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, alert: { [surveyId]: true } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("Invalid input", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("shows error toast when updateNotificationSettingsAction throws an exception", async () => {
+    const mockErrorResponse = { serverError: "Network error" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, alert: { [surveyId]: true } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("Network error", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
+
+  test("switch remains enabled after error occurs", async () => {
+    const mockErrorResponse = { serverError: "Failed to update" };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(toast.error).toHaveBeenCalledWith("Failed to update", {
+      id: "notification-switch",
+    });
+    expect(switchInput).toBeEnabled(); // Switch should be re-enabled after error
+  });
+
+  test("shows error toast with validation errors for specific fields", async () => {
+    const mockErrorResponse = {
+      validationErrors: {
+        notificationSettings: {
+          _errors: ["Invalid notification settings"],
+        },
+      },
+    };
+    vi.mocked(updateNotificationSettingsAction).mockResolvedValueOnce(mockErrorResponse);
+
+    const initialSettings = { ...baseNotificationSettings, alert: { [surveyId]: false } };
+    renderSwitch({ notificationSettings: initialSettings, notificationType: "alert" });
+    const switchInput = screen.getByLabelText("toggle notification settings for alert");
+
+    await act(async () => {
+      await user.click(switchInput);
+    });
+
+    expect(updateNotificationSettingsAction).toHaveBeenCalledWith({
+      notificationSettings: { ...initialSettings, alert: { [surveyId]: true } },
+    });
+    expect(toast.error).toHaveBeenCalledWith("notificationSettingsInvalid notification settings", {
+      id: "notification-switch",
+    });
+    expect(toast.success).not.toHaveBeenCalled();
+  });
 });
diff --git a/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.tsx b/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.tsx
index 20ab38f206..9deeb3d6ad 100644
--- a/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.tsx
+++ b/apps/web/app/(app)/environments/[environmentId]/settings/(account)/notifications/components/NotificationSwitch.tsx
@@ -1,7 +1,9 @@
 "use client";
 
+import { getFormattedErrorMessage } from "@/lib/utils/helper";
 import { Switch } from "@/modules/ui/components/switch";
 import { useTranslate } from "@tolgee/react";
+import { useRouter } from "next/navigation";
 import { useEffect, useState } from "react";
 import toast from "react-hot-toast";
 import { TUserNotificationSettings } from "@formbricks/types/user";
@@ -24,6 +26,7 @@ export const NotificationSwitch = ({
 }: NotificationSwitchProps) => {
   const [isLoading, setIsLoading] = useState(false);
   const { t } = useTranslate();
+  const router = useRouter();
   const isChecked =
     notificationType === "unsubscribedOrganizationIds"
       ? !notificationSettings.unsubscribedOrganizationIds?.includes(surveyOrProjectOrOrganizationId)
@@ -50,7 +53,20 @@ export const NotificationSwitch = ({
         !updatedNotificationSettings[notificationType][surveyOrProjectOrOrganizationId];
     }
 
-    await updateNotificationSettingsAction({ notificationSettings: updatedNotificationSettings });
+    const updatedNotificationSettingsActionResponse = await updateNotificationSettingsAction({
+      notificationSettings: updatedNotificationSettings,
+    });
+    if (updatedNotificationSettingsActionResponse?.data) {
+      toast.success(t("environments.settings.notifications.notification_settings_updated"), {
+        id: "notification-switch",
+      });
+      router.refresh();
+    } else {
+      const errorMessage = getFormattedErrorMessage(updatedNotificationSettingsActionResponse);
+      toast.error(errorMessage, {
+        id: "notification-switch",
+      });
+    }
     setIsLoading(false);
   };
 
@@ -104,9 +120,6 @@ export const NotificationSwitch = ({
       disabled={isLoading}
       onCheckedChange={async () => {
         await handleSwitchChange();
-        toast.success(t("environments.settings.notifications.notification_settings_updated"), {
-          id: "notification-switch",
-        });
       }}
     />
   );
diff --git a/apps/web/lib/organization/service.test.ts b/apps/web/lib/organization/service.test.ts
index 0cb0f7f80c..d0129587f0 100644
--- a/apps/web/lib/organization/service.test.ts
+++ b/apps/web/lib/organization/service.test.ts
@@ -1,9 +1,16 @@
 import { BILLING_LIMITS, PROJECT_FEATURE_KEYS } from "@/lib/constants";
+import { updateUser } from "@/lib/user/service";
 import { Prisma } from "@prisma/client";
 import { afterEach, describe, expect, test, vi } from "vitest";
 import { prisma } from "@formbricks/database";
 import { DatabaseError } from "@formbricks/types/errors";
-import { createOrganization, getOrganization, getOrganizationsByUserId, updateOrganization } from "./service";
+import {
+  createOrganization,
+  getOrganization,
+  getOrganizationsByUserId,
+  subscribeOrganizationMembersToSurveyResponses,
+  updateOrganization,
+} from "./service";
 
 vi.mock("@formbricks/database", () => ({
   prisma: {
@@ -13,9 +20,16 @@ vi.mock("@formbricks/database", () => ({
       create: vi.fn(),
       update: vi.fn(),
     },
+    user: {
+      findUnique: vi.fn(),
+    },
   },
 }));
 
+vi.mock("@/lib/user/service", () => ({
+  updateUser: vi.fn(),
+}));
+
 describe("Organization Service", () => {
   afterEach(() => {
     vi.clearAllMocks();
@@ -252,4 +266,62 @@ describe("Organization Service", () => {
       });
     });
   });
+
+  describe("subscribeOrganizationMembersToSurveyResponses", () => {
+    test("should subscribe user to survey responses when not unsubscribed", async () => {
+      const mockUser = {
+        id: "user-123",
+        notificationSettings: {
+          alert: { "existing-survey-id": true },
+          weeklySummary: {},
+          unsubscribedOrganizationIds: [], // User is subscribed to all organizations
+        },
+      } as any;
+
+      const surveyId = "survey-123";
+      const userId = "user-123";
+      const organizationId = "org-123";
+
+      vi.mocked(prisma.user.findUnique).mockResolvedValueOnce(mockUser);
+      vi.mocked(updateUser).mockResolvedValueOnce({} as any);
+
+      await subscribeOrganizationMembersToSurveyResponses(surveyId, userId, organizationId);
+
+      expect(prisma.user.findUnique).toHaveBeenCalledWith({
+        where: { id: userId },
+      });
+      expect(updateUser).toHaveBeenCalledWith(userId, {
+        notificationSettings: {
+          alert: {
+            "existing-survey-id": true,
+            "survey-123": true,
+          },
+          weeklySummary: {},
+          unsubscribedOrganizationIds: [],
+        },
+      });
+    });
+
+    test("should not subscribe user when unsubscribed from organization", async () => {
+      const mockUser = {
+        id: "user-123",
+        notificationSettings: {
+          alert: { "existing-survey-id": true },
+          weeklySummary: {},
+          unsubscribedOrganizationIds: ["org-123"], // User has unsubscribed from this organization
+        },
+      } as any;
+
+      const surveyId = "survey-123";
+      const userId = "user-123";
+      const organizationId = "org-123";
+
+      vi.mocked(prisma.user.findUnique).mockResolvedValueOnce(mockUser);
+
+      await subscribeOrganizationMembersToSurveyResponses(surveyId, userId, organizationId);
+
+      // Should not call updateUser because user is unsubscribed from this organization
+      expect(updateUser).not.toHaveBeenCalled();
+    });
+  });
 });
diff --git a/apps/web/modules/survey/components/template-list/lib/organization.test.ts b/apps/web/modules/survey/components/template-list/lib/organization.test.ts
deleted file mode 100644
index 2c29f3f04e..0000000000
--- a/apps/web/modules/survey/components/template-list/lib/organization.test.ts
+++ /dev/null
@@ -1,105 +0,0 @@
-import "@testing-library/jest-dom/vitest";
-import { afterEach, describe, expect, test, vi } from "vitest";
-import { prisma } from "@formbricks/database";
-import { ResourceNotFoundError } from "@formbricks/types/errors";
-import { subscribeOrganizationMembersToSurveyResponses } from "./organization";
-import { updateUser } from "./user";
-
-vi.mock("@formbricks/database", () => ({
-  prisma: {
-    user: {
-      findUnique: vi.fn(),
-    },
-  },
-}));
-
-vi.mock("./user", () => ({
-  updateUser: vi.fn(),
-}));
-
-describe("subscribeOrganizationMembersToSurveyResponses", () => {
-  afterEach(() => {
-    vi.clearAllMocks();
-  });
-
-  test("subscribes user to survey responses successfully", async () => {
-    const mockUser = {
-      id: "user-123",
-      notificationSettings: {
-        alert: { "existing-survey-id": true },
-        weeklySummary: {},
-      },
-    };
-
-    const surveyId = "survey-123";
-    const userId = "user-123";
-
-    vi.mocked(prisma.user.findUnique).mockResolvedValueOnce(mockUser);
-    vi.mocked(updateUser).mockResolvedValueOnce({} as any);
-
-    await subscribeOrganizationMembersToSurveyResponses(surveyId, userId);
-
-    expect(prisma.user.findUnique).toHaveBeenCalledWith({
-      where: { id: userId },
-    });
-
-    expect(updateUser).toHaveBeenCalledWith(userId, {
-      notificationSettings: {
-        alert: {
-          "existing-survey-id": true,
-          "survey-123": true,
-        },
-        weeklySummary: {},
-      },
-    });
-  });
-
-  test("creates notification settings if user doesn't have any", async () => {
-    const mockUser = {
-      id: "user-123",
-      notificationSettings: null,
-    };
-
-    const surveyId = "survey-123";
-    const userId = "user-123";
-
-    vi.mocked(prisma.user.findUnique).mockResolvedValueOnce(mockUser);
-    vi.mocked(updateUser).mockResolvedValueOnce({} as any);
-
-    await subscribeOrganizationMembersToSurveyResponses(surveyId, userId);
-
-    expect(updateUser).toHaveBeenCalledWith(userId, {
-      notificationSettings: {
-        alert: {
-          "survey-123": true,
-        },
-        weeklySummary: {},
-      },
-    });
-  });
-
-  test("throws ResourceNotFoundError if user is not found", async () => {
-    const surveyId = "survey-123";
-    const userId = "nonexistent-user";
-
-    vi.mocked(prisma.user.findUnique).mockResolvedValueOnce(null);
-
-    await expect(subscribeOrganizationMembersToSurveyResponses(surveyId, userId)).rejects.toThrow(
-      new ResourceNotFoundError("User", userId)
-    );
-
-    expect(updateUser).not.toHaveBeenCalled();
-  });
-
-  test("propagates errors from database operations", async () => {
-    const surveyId = "survey-123";
-    const userId = "user-123";
-    const dbError = new Error("Database error");
-
-    vi.mocked(prisma.user.findUnique).mockRejectedValueOnce(dbError);
-
-    await expect(subscribeOrganizationMembersToSurveyResponses(surveyId, userId)).rejects.toThrow(dbError);
-
-    expect(updateUser).not.toHaveBeenCalled();
-  });
-});
diff --git a/apps/web/modules/survey/components/template-list/lib/organization.ts b/apps/web/modules/survey/components/template-list/lib/organization.ts
deleted file mode 100644
index 452a30f3ab..0000000000
--- a/apps/web/modules/survey/components/template-list/lib/organization.ts
+++ /dev/null
@@ -1,35 +0,0 @@
-import { updateUser } from "@/modules/survey/components/template-list/lib/user";
-import { prisma } from "@formbricks/database";
-import { ResourceNotFoundError } from "@formbricks/types/errors";
-import { TUserNotificationSettings } from "@formbricks/types/user";
-
-export const subscribeOrganizationMembersToSurveyResponses = async (
-  surveyId: string,
-  createdBy: string
-): Promise<void> => {
-  try {
-    const surveyCreator = await prisma.user.findUnique({
-      where: {
-        id: createdBy,
-      },
-    });
-
-    if (!surveyCreator) {
-      throw new ResourceNotFoundError("User", createdBy);
-    }
-
-    const defaultSettings = { alert: {}, weeklySummary: {} };
-    const updatedNotificationSettings: TUserNotificationSettings = {
-      ...defaultSettings,
-      ...surveyCreator.notificationSettings,
-    };
-
-    updatedNotificationSettings.alert[surveyId] = true;
-
-    await updateUser(surveyCreator.id, {
-      notificationSettings: updatedNotificationSettings,
-    });
-  } catch (error) {
-    throw error;
-  }
-};
diff --git a/apps/web/modules/survey/components/template-list/lib/survey.test.ts b/apps/web/modules/survey/components/template-list/lib/survey.test.ts
index f622b94220..fc29da7de9 100644
--- a/apps/web/modules/survey/components/template-list/lib/survey.test.ts
+++ b/apps/web/modules/survey/components/template-list/lib/survey.test.ts
@@ -1,7 +1,9 @@
+import {
+  getOrganizationByEnvironmentId,
+  subscribeOrganizationMembersToSurveyResponses,
+} from "@/lib/organization/service";
 import { capturePosthogEnvironmentEvent } from "@/lib/posthogServer";
-import { subscribeOrganizationMembersToSurveyResponses } from "@/modules/survey/components/template-list/lib/organization";
 import { getActionClasses } from "@/modules/survey/lib/action-class";
-import { getOrganizationAIKeys, getOrganizationIdFromEnvironmentId } from "@/modules/survey/lib/organization";
 import { selectSurvey } from "@/modules/survey/lib/survey";
 import { ActionClass, Prisma } from "@prisma/client";
 import "@testing-library/jest-dom/vitest";
@@ -21,19 +23,15 @@ vi.mock("@/lib/survey/utils", () => ({
   checkForInvalidImagesInQuestions: vi.fn(),
 }));
 
-vi.mock("@/modules/survey/components/template-list/lib/organization", () => ({
+vi.mock("@/lib/organization/service", () => ({
   subscribeOrganizationMembersToSurveyResponses: vi.fn(),
+  getOrganizationByEnvironmentId: vi.fn(),
 }));
 
 vi.mock("@/modules/survey/lib/action-class", () => ({
   getActionClasses: vi.fn(),
 }));
 
-vi.mock("@/modules/survey/lib/organization", () => ({
-  getOrganizationIdFromEnvironmentId: vi.fn(),
-  getOrganizationAIKeys: vi.fn(),
-}));
-
 vi.mock("@/modules/survey/lib/survey", () => ({
   selectSurvey: {
     id: true,
@@ -86,8 +84,7 @@ describe("survey module", () => {
       // Mock dependencies
       const mockActionClasses: ActionClass[] = [];
       vi.mocked(getActionClasses).mockResolvedValue(mockActionClasses);
-      vi.mocked(getOrganizationIdFromEnvironmentId).mockResolvedValue("org-123");
-      vi.mocked(getOrganizationAIKeys).mockResolvedValue({ id: "org-123", name: "Org" } as any);
+      vi.mocked(getOrganizationByEnvironmentId).mockResolvedValue({ id: "org-123", name: "Org" } as any);
 
       const mockCreatedSurvey = {
         id: "survey-123",
@@ -109,8 +106,7 @@ describe("survey module", () => {
 
       // Verify results
       expect(getActionClasses).toHaveBeenCalledWith(environmentId);
-      expect(getOrganizationIdFromEnvironmentId).toHaveBeenCalledWith(environmentId);
-      expect(getOrganizationAIKeys).toHaveBeenCalledWith("org-123");
+      expect(getOrganizationByEnvironmentId).toHaveBeenCalledWith(environmentId);
       expect(prisma.survey.create).toHaveBeenCalledWith({
         data: expect.objectContaining({
           name: surveyBody.name,
@@ -122,7 +118,11 @@ describe("survey module", () => {
       });
       expect(prisma.segment.create).toHaveBeenCalled();
       expect(prisma.survey.update).toHaveBeenCalled();
-      expect(subscribeOrganizationMembersToSurveyResponses).toHaveBeenCalledWith("survey-123", "user-123");
+      expect(subscribeOrganizationMembersToSurveyResponses).toHaveBeenCalledWith(
+        "survey-123",
+        "user-123",
+        "org-123"
+      );
       expect(capturePosthogEnvironmentEvent).toHaveBeenCalledWith(
         environmentId,
         "survey created",
@@ -143,8 +143,7 @@ describe("survey module", () => {
       };
 
       vi.mocked(getActionClasses).mockResolvedValue([]);
-      vi.mocked(getOrganizationIdFromEnvironmentId).mockResolvedValue("org-123");
-      vi.mocked(getOrganizationAIKeys).mockResolvedValue({ id: "org-123" } as any);
+      vi.mocked(getOrganizationByEnvironmentId).mockResolvedValue({ id: "org-123" } as any);
       vi.mocked(prisma.survey.create).mockResolvedValue({
         id: "survey-123",
         environmentId,
@@ -172,8 +171,7 @@ describe("survey module", () => {
       };
 
       vi.mocked(getActionClasses).mockResolvedValue([]);
-      vi.mocked(getOrganizationIdFromEnvironmentId).mockResolvedValue("org-123");
-      vi.mocked(getOrganizationAIKeys).mockResolvedValue({ id: "org-123" } as any);
+      vi.mocked(getOrganizationByEnvironmentId).mockResolvedValue({ id: "org-123" } as any);
       vi.mocked(prisma.survey.create).mockResolvedValue({
         id: "survey-123",
         environmentId,
@@ -204,8 +202,7 @@ describe("survey module", () => {
       };
 
       vi.mocked(getActionClasses).mockResolvedValue([]);
-      vi.mocked(getOrganizationIdFromEnvironmentId).mockResolvedValue("org-123");
-      vi.mocked(getOrganizationAIKeys).mockResolvedValue(null);
+      vi.mocked(getOrganizationByEnvironmentId).mockResolvedValue(null);
 
       await expect(createSurvey(environmentId, surveyBody)).rejects.toThrow(ResourceNotFoundError);
     });
@@ -220,12 +217,11 @@ describe("survey module", () => {
       };
 
       vi.mocked(getActionClasses).mockResolvedValue([]);
-      vi.mocked(getOrganizationIdFromEnvironmentId).mockResolvedValue("org-123");
-      vi.mocked(getOrganizationAIKeys).mockResolvedValue({ id: "org-123" } as any);
+      vi.mocked(getOrganizationByEnvironmentId).mockResolvedValue({ id: "org-123" } as any);
 
       const prismaError = new Prisma.PrismaClientKnownRequestError("Database error", {
         code: "P2002",
-        clientVersion: "4.8.0",
+        clientVersion: "5.0.0",
       });
       vi.mocked(prisma.survey.create).mockRejectedValue(prismaError);
 
diff --git a/apps/web/modules/survey/components/template-list/lib/survey.ts b/apps/web/modules/survey/components/template-list/lib/survey.ts
index 245c2d4ac6..eb2bb5d925 100644
--- a/apps/web/modules/survey/components/template-list/lib/survey.ts
+++ b/apps/web/modules/survey/components/template-list/lib/survey.ts
@@ -1,9 +1,11 @@
+import {
+  getOrganizationByEnvironmentId,
+  subscribeOrganizationMembersToSurveyResponses,
+} from "@/lib/organization/service";
 import { capturePosthogEnvironmentEvent } from "@/lib/posthogServer";
 import { checkForInvalidImagesInQuestions } from "@/lib/survey/utils";
-import { subscribeOrganizationMembersToSurveyResponses } from "@/modules/survey/components/template-list/lib/organization";
 import { TriggerUpdate } from "@/modules/survey/editor/types/survey-trigger";
 import { getActionClasses } from "@/modules/survey/lib/action-class";
-import { getOrganizationAIKeys, getOrganizationIdFromEnvironmentId } from "@/modules/survey/lib/organization";
 import { selectSurvey } from "@/modules/survey/lib/survey";
 import { ActionClass, Prisma } from "@prisma/client";
 import { prisma } from "@formbricks/database";
@@ -43,8 +45,7 @@ export const createSurvey = async (
       };
     }
 
-    const organizationId = await getOrganizationIdFromEnvironmentId(environmentId);
-    const organization = await getOrganizationAIKeys(organizationId);
+    const organization = await getOrganizationByEnvironmentId(environmentId);
     if (!organization) {
       throw new ResourceNotFoundError("Organization", null);
     }
@@ -118,7 +119,7 @@ export const createSurvey = async (
     };
 
     if (createdBy) {
-      await subscribeOrganizationMembersToSurveyResponses(survey.id, createdBy);
+      await subscribeOrganizationMembersToSurveyResponses(survey.id, createdBy, organization.id);
     }
 
     await capturePosthogEnvironmentEvent(survey.environmentId, "survey created", {