The document discusses the contingency or situational approach to management. It explains that the situational approach is based on the premise that all management is situational in nature and affected by contingencies in a given situation. There is no single best way to make decisions. The primary characteristics of the contingency approach are that there is no universal theory of management, decision-making depends on the situation, policies must adjust to environmental changes, and managers must have diagnostic and communication skills to deal with changes. The advantages are that it provides a realistic view and innovative style, while disadvantages include lacking a theoretical base and difficulty analyzing all situational factors. The document also discusses Fiedler's contingency model, Hersey and Blanchard's situational leadership theory

1. CONTINGENCY APPROACH
TO MANAGEMENT
ERMALYN D. DIAZ
CHAPTER 19

2. Objectives
1 To explain and elaborate the meaning of Situational Approach
/ Contingency Approach to management
2 To identify the different characteristics of Situational
Approach / Contingency Approach to management
3 To differentiate the advantages and disadvantages of
Situational Approach / Contingency Approach
4 Understand how leadership is often contingent on people and
situations.

3. Objectives
Apply Hersey and Blanchard’s situational theory of leader style
to the level of follower readiness
Explain the path-goal theory of leadership.
Understand how leadership is often contingent on people and
situations.
Apply Fiedler’s contingency model to key relationships among
leader style, situational favorability, and group task
performance.
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6
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4. Contingency or Situational
Approach to Management Theory
Situational Approach is based
upon the premise that all
management is essentially
situational in nature.
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,
All decisions by managers will be managers must take into account
these contingencies when making
decisions that affect the
organization.

5. PRIMARY
CHARACTERISTICS OF
THE CONTINGENCY
APPROACH

6. The primary characteristics of
contingency theory include:
Non-universality of management theory -
There is no one best way of doing things.
Contingency - Management decision making is contingent
upon the situation.
Environment - Managerial policies and practices to be
effective, must adjust to changes in the environment.

7. The primary characteristics of
contingency theory include:
Diagnostics - Managers must possess and continue to
improve diagnostic skills so as to anticipate and
ready for environmental changes.
Human Relations - Managers should have sufficient
human relations skills to accommodate and stabilize
change.
Information and Communication - Managers must develop a
communication system adequate to deal with environmental
changes.

8. Advantages of
Contingency Theory

9. The primary advantages of contingency
theory include:
It provides a realistic view of management and
organization.
It discards the universal validity of principles.
Managers are situation-oriented and not stereotyped.
Lends itself to an innovative and creative
management style.

10. The disadvantages of contingency theory
include:
It does not have a theoretical base.
Executive is expected to know all the alternative
courses of action before taking action in a
situation that is not always feasible.
A situation can be influenced by many factors.
It is difficult to analyze all these factors.

11. UNIVERSALISTIC&CONTINGENCY
APPROACH TO LEADERSHIPS

13. In this model, first the leader’s
Fiedler’s
contingency
model
dominant style is determined – whether it
is task-oriented or leader- oriented
(thru questionaire)
Situation defined in terms of 3 elements
(whether favorable or unfavorable to the
leader)
Leader-member relations
Task structure
Position power
Task orientation works best when situation
is highly favorable or unfavorable;
relationship orientation favorable when
situation is moderate

14. Hersey and Blanchard’s Situational Theory
of Leadership
Low readiness level –
poor ability and skills, low
experience, unwillingness to take
responsibility
Follower
characteristics
High readiness level - opposite

16. •A contingency approach to leadership
in which the leader’s responsibility
is to increase subordinates’
motivation by clarifying the behaviors
necessary for task accomplishment and
rewards
Path-Goal
TheoryPath-
Goal Theory •Three sets of contingencies –
Leader-style
Followers
SituationRewards

19. Teacher
Resources
Page
•https://tinyurl.com/uauvhw

20. THANK YOU!!!