Question

Contingency Theory offers a better way of managing change than either the Classical or Human Relations approaches.

Q1- Identify and discuss the different perspectives on managing change offered by:

- Contingency Theory:

- The Classical approach:

- The Human Relations approach:

Q2- Evaluate the benefits offered by Contingency Theory’s ability to adapt to situational factors ?

Answer 1

1. A contingency theory for the organisational management and apporach talks about having no one best way to manage the people or lead a company for making the decisions. Instead, the leadership actions are contingent or dependent upon the situation arising and has to be performed as per the situation demands.

The classical management theory talks about the motivational factors that workers would recieve which is solely based on economic and physical needs. The job satisfaction and social needs are not taken into the account but instead specialisation of the labour, decision making and profit maximisation approaches are used to lead the people.

The human relations approach which is also known as the New Classical Apprach talks about having and explaining the importance of the informal relations that are being shared by the employers and the employees which are concerned with the moral and psychological development rather than the legal aspects of the organisation.

2. As we have studied that Contingency theory is having the leadership as per the situation analysis and gives numerous advantages to the business for its growth and development. This theory has helped to broadened the scope for how the leadership could be understood from giving its ficus on one single type of leadership to emphasizing on how important it is for a leader to change and adapt its style as per the situation changes. It helps the leader to be flexible, adaptable and handle different people and different conflicts as per the different leadership styles of what the situation is about.