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A contingency theory is an organizational theory that claims that there is no best way to organize a corporation, to lead a company, or to make decisions. Instead, the optimal course of action is contingent (dependent) upon the internal and external situation.
The Vroom–Yetton contingency model is a situational leadership theory of industrial and organizational psychology developed by Victor Vroom, in collaboration with Philip Yetton (1973) and later with Arthur Jago (1988). The situational theory argues the best style of leadership is contingent to the situation.
Contingency is not impossible, so a contingent statement is therefore one which is true in at least one possible world. But contingency is also not necessary, so a contingent statement is false in at least one possible world. α While contingent statements are false in at least one possible world, possible statements are not also defined this ...
The contingency theory views organization design as "a constrained optimization problem," meaning that an organization must try to maximize performance by minimizing the effects of varying environmental and internal constraints. [44] Contingency theory claims there is no best way to organize a corporation, to lead a company, or to make decisions.
Contingency or Contingent may refer to: Contingency (philosophy), in philosophy and logic; Contingency plan, in planning; Contingency (electrical grid), in electrical grid engineering; Contingency table, in statistics; Contingency theory, in organizational theory; Contingency (evolutionary biology) Contingency management, in medicine ...
The history of contingency theories of leadership goes back over more than 100 years, with foundational ideas rooted in the mechanical thought of Taylorism. Later, management science began to recognize the influence of sometimes irrational human perceptions on worker performance.
Fiedler's contingency model is a dynamic model where the personal characteristics and motivation of the leader are said to interact with the current situation that the group faces. Thus, the contingency model marks a shift away from the tendency to attribute leadership effectiveness to personality alone. [5]
On the other hand, more modern, network-centric, and decentralized concepts of C2, that rely on individual initiative and self-synchronization, tend to arise more from a "Theory Y" philosophy. [13] Mission Command , for example, is a command philosophy to which many modern military establishments aspire, and which involves individual judgment ...