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Modern theories of
Management
SEMINAR
“It is worth reminding ourselves that
management does not really exist. It is
a word, an idea. Like science, like
government, like engineering,
management is an abstraction. But
managers exist. And managers are not
abstractions”
ABSTRACT
A brief Introduction
 The contingency approach to management finds its foundation in the
contingency theory of leadership effectiveness developed by
management psychologist Fred Fielder
 Management in one or the other form has existed in every nook and
corner of the world since the dawn of civilization
 Modern Management has grown with the growth of social-economics
and scientific institution.
 Modern view consists that a worker does not work for only money. They
work for their satisfaction and happiness with good living style.
The Modern Period (1960 to
present).
 The modern business ideologists recognize the social
responsibilities of business activities and think on similar
lines.
Under modern management
thought three streams of thinking
have been noticed since 1960:
 (i) Contingency Approach.
 (ii) Systems Approach.
 (iii) Quantitative or Mathematical Approach
Contingency or Situational
Approach:
What it is ?
 Contingency Approach is also known as situational approach
 During the 1970’s, contingency theory was developed by J.W. Lorsch
and P.R. Lawrence,
 Management problems are different under different situations and
require to be tackled as per the demand of the situation.
 A contingency approach is an approach, where behaviour of one
sub-unit is dependent on its environment and relationship to other
units or sub-units that have some control over the sequences desired
by that sub- unit.”
Major contributors in the
contingency theories are-
 G.M. Stalker,
 Joan Woodward,
 Tom Burns,
 Paul R. Lawrence,
 L.W. Lorsch.
Inside concept
 It says that organization system is not a matter of
managerial choice, but contingent upon its external
environment
 Contingency approach also recognises that
organisational system is the product of the interaction of
the sub systems and the environment.
 the contingency approach provides a pragmatic
method of analysing organisational sub-systems and tries
to integrate these with the environment.
Mark Richard Rosenzweig
was an American research psychologist who found in animal
studies on neuroplasticity that suggests
---the brain continues developing anatomically, reshaping
and repairing itself into adulthood based on life experiences,
--- overturning the conventional wisdom that the brain
reached full maturity in childhood.
Kast and Rosenzweig –what they
say
 The contingency view seeks to understand the inter-relationships
within and among sub-systems as well as between the
organization and its environment
 to define patterns of relationships or configurations of variables
 contingency views are ultimately directed toward suggesting
organization designs and managerial actions most appropriate
for specific situations.
Features of Contingency Approach
 the contingency approach does not accept the
universality of management theory. It stresses that there is
no one best way of doing things
 Management is situation, and managers should explain
objectives, design organisations and prepare strategies,
policies and plans according to prevailing circumstances
 managerial policies and practices to be effective, must
adjust to changes in environment.
Features of Contingency Approach
 it should improve diagnostic skills so as to anticipate
and ready for environmental changes.
 managers should have sufficient human relations skill
to accommodate and stabilise change.
Example -Arianna Huffington
(Huffington post)
Synopsis
 Born on July 15, 1950, in Athens, Greece, Arianna Huffington went
on to study economics at the University of Cambridge, eventually
moving to the United States.
 She was a conservative commentator before switching to liberal
politics and started the Web site The Huffington Post in 2005.
 The site, purchased by AOL in 2011, has gone on to become a
popular and powerful online news platform.
 Huffington is also the author of more than a dozen books on topics
ranging from feminism to corporate America to politics.
Contingency approach
 Huffington was initially known for her conservative political
views and commentary,
 and she made regular television appearances to support
her standpoints.
 But she eventually began to embrace more left-leaning
platforms(liberal) , including ecological activism and
corporate reform.
why ?
Conclusion
 This approach argues that there is no one universally
applicable set of rules by which to manage organization
 This approach takes a realistic view in management and
organisation.
 the way you manage should change depending on the
circumstances.

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contingency

  • 2. “It is worth reminding ourselves that management does not really exist. It is a word, an idea. Like science, like government, like engineering, management is an abstraction. But managers exist. And managers are not abstractions” ABSTRACT
  • 3. A brief Introduction  The contingency approach to management finds its foundation in the contingency theory of leadership effectiveness developed by management psychologist Fred Fielder  Management in one or the other form has existed in every nook and corner of the world since the dawn of civilization  Modern Management has grown with the growth of social-economics and scientific institution.  Modern view consists that a worker does not work for only money. They work for their satisfaction and happiness with good living style.
  • 4. The Modern Period (1960 to present).  The modern business ideologists recognize the social responsibilities of business activities and think on similar lines.
  • 5. Under modern management thought three streams of thinking have been noticed since 1960:  (i) Contingency Approach.  (ii) Systems Approach.  (iii) Quantitative or Mathematical Approach
  • 7. What it is ?  Contingency Approach is also known as situational approach  During the 1970’s, contingency theory was developed by J.W. Lorsch and P.R. Lawrence,  Management problems are different under different situations and require to be tackled as per the demand of the situation.  A contingency approach is an approach, where behaviour of one sub-unit is dependent on its environment and relationship to other units or sub-units that have some control over the sequences desired by that sub- unit.”
  • 8. Major contributors in the contingency theories are-  G.M. Stalker,  Joan Woodward,  Tom Burns,  Paul R. Lawrence,  L.W. Lorsch.
  • 9.
  • 10. Inside concept  It says that organization system is not a matter of managerial choice, but contingent upon its external environment  Contingency approach also recognises that organisational system is the product of the interaction of the sub systems and the environment.  the contingency approach provides a pragmatic method of analysing organisational sub-systems and tries to integrate these with the environment.
  • 11. Mark Richard Rosenzweig was an American research psychologist who found in animal studies on neuroplasticity that suggests ---the brain continues developing anatomically, reshaping and repairing itself into adulthood based on life experiences, --- overturning the conventional wisdom that the brain reached full maturity in childhood.
  • 12. Kast and Rosenzweig –what they say  The contingency view seeks to understand the inter-relationships within and among sub-systems as well as between the organization and its environment  to define patterns of relationships or configurations of variables  contingency views are ultimately directed toward suggesting organization designs and managerial actions most appropriate for specific situations.
  • 13. Features of Contingency Approach  the contingency approach does not accept the universality of management theory. It stresses that there is no one best way of doing things  Management is situation, and managers should explain objectives, design organisations and prepare strategies, policies and plans according to prevailing circumstances  managerial policies and practices to be effective, must adjust to changes in environment.
  • 14. Features of Contingency Approach  it should improve diagnostic skills so as to anticipate and ready for environmental changes.  managers should have sufficient human relations skill to accommodate and stabilise change.
  • 16. Synopsis  Born on July 15, 1950, in Athens, Greece, Arianna Huffington went on to study economics at the University of Cambridge, eventually moving to the United States.  She was a conservative commentator before switching to liberal politics and started the Web site The Huffington Post in 2005.  The site, purchased by AOL in 2011, has gone on to become a popular and powerful online news platform.  Huffington is also the author of more than a dozen books on topics ranging from feminism to corporate America to politics.
  • 17. Contingency approach  Huffington was initially known for her conservative political views and commentary,  and she made regular television appearances to support her standpoints.  But she eventually began to embrace more left-leaning platforms(liberal) , including ecological activism and corporate reform. why ?
  • 18. Conclusion  This approach argues that there is no one universally applicable set of rules by which to manage organization  This approach takes a realistic view in management and organisation.  the way you manage should change depending on the circumstances.