The three basic levels of analysis of organizational behavior are: Show
A) operational, managerial, and financial. What is Contingency or Situational Approach to Management Theory?The contingency approach, often called the Situational Approach is based upon the premise that all management is essentially situational in nature. All decisions by managers will be affected (if not controlled) by the contingencies of a given situation. There is no one good way to address any decision. Contingencies arise from various environmental factors. As such, managers must take into account these contingencies when making decisions that affect the organization. Back to: BUSINESS MANAGEMENT Contingency theory builds upon accepted elements of System Theory. It recognized that an organization is an open system made up of interrelated sub-units. It adds, however, that the behavior of individual sub-units is contingent upon internal and external environmental contingencies. These might include the relationship between two other sub-units or external systems. This is particularly true when these internal or external units/systems have an effect on the desired outcome of a sub-unit. Contingency theory also proposes structural changes or designs, leadership styles, and control systems in an organization that allow it to react to environmental contingencies. What are the primary characteristics of the Contingency Approach?The primary characteristics of contingency theory include:
How do Contingencies Affecting Organizational Structure?Theorists Burns and Stalker, in their text "Management of innovation" (1968), identified two types of organizational structure (mechanistic) and (organic) and two categories of the environment (stable and dynamic). Mechanistic structures are more common in stable environments. Organic structures are more common and suitable in dynamic environments. The commonly-identified contingencies influencing organizational structure include:
The contingency approach defines not only patterns of internal interaction but also suggests organization designs and management approaches most appropriate for specific situations. Advantages and Disadvantages of Contingency TheoryThe primary advantages of contingency theory include:
The negatives of contingency theory include:
Who are the Primary Contributors to Contingency Theory?Some of the primary contributors to contingency theory include:
Which approach is also known as situation approach of management?The contingency approach to management, also known as the situational approach, holds that there is no single, textbook rule for the best way to manage an organization. 1. In each company's case, the “best” approach will be contingent upon the company's internal and external needs.
What is contingency or situational approach to management theory?What is Contingency or Situational Approach to Management Theory? The contingency approach, often called the Situational Approach is based upon the premise that all management is essentially situational in nature. All decisions by managers will be affected (if not controlled) by the contingencies of a given situation.
Which management approach refers to adapting to the situation and kind of problems in order to select the most effective management theory or idea?The contingency approach to management is based on the idea that there is no single best way to manage. Contingency refers to the immediate contingent circumstances. Effective organizations must tailor their planning, organizing, leading, and controlling to their particular circumstances.
What is contingency approach?A contingency approach to management is based on the theory that management effectiveness is contingent, or dependent, upon the interplay between the application of management behaviors and specific situations. In other words, the way you manage should change depending on the circumstances. One size does not fit all.
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