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CONTINGENCY THEORY
CONTINGENCY THEORY
Contingency Theory is a theory of…
This theory assumes that to be a successful leader depends on the situational factors.
2 APPROACHES
When situations are extreme in nature (meaning possibility of a high degree of success or failure) the best approach is
task-focused
If the situation is moderate the best
approach is an employee-focused
approach.
Organize a
corporation
Contingency Theory claims there is no “one best way” to
Lead a company
Or to make decisions
Critics argue that corporations should have a roughly equal amount of task focus and employee focus to optimize the amount of
influence and control the leader has over the situation
THE END
