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    Leadership: Chapter 6 - Contingency Theory

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    Teh Hang Leng
    Contingency theory proposes that leadership effectiveness depends on how well a leader's style fits the context. A leader's style is measured on a task-oriented to relationship-oriented scale. Situations vary in their favorability based on leader-member relations, task structure, and leader power. The theory predicts leaders will be most effective when their style matches the demands of the situation. It has empirical support but also limitations, such as failing to fully explain mismatches. The approach can help organizations match leaders to optimal work contexts.

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    Leadership: Chapter 6 - Contingency Theory

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    Teh Hang Leng
    103 views22 pages
    Contingency theory proposes that leadership effectiveness depends on how well a leader's style fits the context. A leader's style is measured on a task-oriented to relationship-oriented scale. Situations vary in their favorability based on leader-member relations, task structure, and leader power. The theory predicts leaders will be most effective when their style matches the demands of the situation. It has empirical support but also limitations, such as failing to fully explain mismatches. The approach can help organizations match leaders to optimal work contexts.

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    Contingency theory proposes that leadership effectiveness depends on how well a leader's style fits the context. A leader's style is measured on a task-oriented to relationship-oriented scale. Situations vary in their favorability based on leader-member relations, task structure, and leader power. The theory predicts leaders will be most effective when their style matches the demands of the situation. It has empirical support but also limitations, such as failing to fully explain mismatches. The approach can help organizations match leaders to optimal work contexts.

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    © All Rights Reserved
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    Download as ppt, pdf, or txt
    103 views22 pages

    Leadership: Chapter 6 - Contingency Theory

    Uploaded by

    Teh Hang Leng
    Contingency theory proposes that leadership effectiveness depends on how well a leader's style fits the context. A leader's style is measured on a task-oriented to relationship-oriented scale. Situations vary in their favorability based on leader-member relations, task structure, and leader power. The theory predicts leaders will be most effective when their style matches the demands of the situation. It has empirical support but also limitations, such as failing to fully explain mismatches. The approach can help organizations match leaders to optimal work contexts.

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    Chapter 3 - Skills Approach

    Leadership

    Chapter 6 - Contingency Theory

    Northouse, 5th edition


    Chapter 3 - Skills Approach

    Overview

    Contingency Theory Approach Perspective


    Leadership Styles
    Situational Variables
    Research Findings of Leader Style Effectiveness
    How Does the Contingency Theory Approach Work?
    Chapter 3 - Skills Approach

    Contingency Theory Approach Description

    Perspective

    Contingency theory is a leader-match


    theory (Fiedler & Chemers, 1974)
    Tries to match leaders to appropriate
    situations
    Leaders effectiveness depends on how
    well the leaders style fits the context
    Fiedlers generalizations about which styles
    of leadership are best and worst are based
    on empirically grounded generalizations
    Chapter 3 - Skills Approach

    Contingency Theory Approach Description

    Definition
    Effective leadership is contingent on
    matching a leaders style to the right
    setting

    Assessment based on:


    Leadership Styles
    Situational Variables
    Chapter 3 - Skills Approach

    Leadership Styles
    Leadership styles are described as:
    Task-motivated (Low LPCs)
    Leaders are concerned primarily with reaching a
    goal
    Relationship-motivated (High LPCs)
    Leaders are concerned with developing close
    interpersonal relationships
    Leader Style Measurement Scale (Fiedler)
    Least Preferred Co-Worker (LPC) Scale
    High LPCs = Relationship-motivated
    Low LPCs = Task-motivated
    Chapter 3 - Skills Approach

    Situational Variables/3 Factors


    Leader-Member Relations
    - Refers to the group atmosphere and the degree
    of confidence, loyalty, and attraction of followers
    for leader
    Group atmosphere
    Good high degree of subordinate trust,
    liking, positive relationship
    Poor little or no subordinate trust, friction
    exists, unfriendly
    Chapter 3 - Skills Approach

    Situational Variables/3 Factors


    Task Structure
    The degree to which requirements of a
    task are clear and spelled out
    High Structure
    requirements/rules - are clearly stated/known
    path to accomplish - has few alternatives
    task completion - can be clearly demonstrated
    limited number - correct solutions exist
    Chapter 3 - Skills Approach

    Situational Variables/3 Factors


    Task Structure, contd.
    Low Structure
    requirements/rules - not clearly stated/known
    path to accomplish - has many alternatives
    task completion - cannot be clearly
    demonstrated/verified
    unlimited number - correct solutions exist
    Chapter 3 - Skills Approach

    Situational Variables/3 Factors

    Position Power
    Designates the amount of authority a
    leader has to reward or punish followers
    Strong Power
    authority to hire or fire, give raises in rank
    or pay
    Weak Power
    no authority to hire or fire, give raises in
    rank or pay
    Chapter 3 - Skills Approach

    Situational Variables/3 Factors

    3 Factors - determine the favorableness of


    various situations in organizations
    Situations that are rated:
    Most Favorable -
    good leader-follower relations,
    defined tasks (high structure), &
    strong leader position power
    Chapter 3 - Skills Approach

    Situational Variables/3 Factors


    Situations that are rated:
    Least Favorable -
    Poor leader-follower relations,
    unstructured tasks (low structure), &
    Weak leader position power
    Moderately Favorable
    Fall in between these extremes
    Chapter 3 - Skills Approach

    Contingency Model
    Chapter 3 - Skills Approach

    Research Findings of Leader Style


    Effectiveness

    Favorableness
    LPC Score of Situation Definition

    Low Very Favorable Situations going smoothly


    Very Unfavorable Situations out of control

    Situations with some degree


    High Moderately
    of certainty; not completely
    Favorable in or out of leaders control
    Chapter 3 - Skills Approach

    Research Findings of Leader Style


    Effectiveness

    Reasons for leader mismatch,


    ineffectiveness:
    LPC style doesnt match a particular situation;
    stress and anxiety result
    Under stress, leader reverts to less mature
    coping style learned in earlier development
    Leaders less mature coping style results in
    poor decision making and consequently
    negative work outcomes
    Chapter 3 - Skills Approach

    How Does the Contingency


    Theory Approach Work?

    Focus of Contingency Theory


    Strengths
    Criticisms
    Application
    Chapter 3 - Skills Approach

    Contingency Theory Approach


    Focus
    By assessing the 3 situational variables, any
    organizational context can be placed in one of the 8
    categories represented in the Contingency Theory Model
    After the nature of a situation is determined, the fit
    between leaders style and the situation can be
    evaluated
    Overall Scope
    By measuring Leaders LPC score and the 3 situational
    variables, it is possible to predict whether a leader will be
    effective in a particular setting
    Chapter 3 - Skills Approach

    How Does Contingency Theory Work?


    Low LPCs Effective in Categories
    Task-Oriented 1, 2, 3, & 8

    High LPCs Effective in Categories


    Relationship-Oriented 4, 5, 6, & 7

    Effective in Categories
    Middle LPCs
    1, 2, & 3
    If individuals style matches appropriate category in the
    model, leader will be effective
    If individuals style does not match appropriate category in
    the model, leader will not be effective
    Chapter 3 - Skills Approach

    How Does Contingency Theory Work?


    How Does it Work?

    Example:
    Situation
    LeaderMember Relation Good
    Task Structure High
    Position Power High
    Category 1
    Low LPC (Individual who is task-oriented will be
    effective)

    By measuring Leaders LPC score and the 3 situational variables, it is


    possible to predict whether a leader will be effective in a particular setting
    Chapter 3 - Skills Approach

    Strengths
    Empirical support. Contingency theory has been tested by
    many researchers and found to be a valid and reliable
    approach to explaining how to achieve effective leadership.
    Broadened understanding. Contingency theory has
    broadened the scope of leadership understanding from a
    focus on a single, best type of leadership (e.g., trait
    approach) to emphasizing the importance of a leaders style
    and the demands of different situations.
    Predictive. Because Contingency theory is predictive, it
    provides relevant information regarding the type of
    leadership that is most likely to be effective in particular
    contexts.
    Chapter 3 - Skills Approach

    Strengths
    Not an all-or-nothing approach. Contingency
    theory contends that leaders should not expect to
    be effective in every situation; thus companies
    should strive to place leaders in optimal situations
    according to their leadership style.

    Leadership profiles. Contingency theory


    supplies data on leadership styles that could be
    useful to organizations in developing leadership
    profiles for human resource planning.
    Chapter 3 - Skills Approach

    Criticisms
    Fails to fully explain why leaders with particular
    leadership styles are more effective in some
    situations than others
    Criticism of LPC scale validity as it does not
    correlate well with other standard leadership
    measures
    Cumbersome to use in real-world settings
    Fails to adequately explain what should be
    done about a leader/situation mismatch in the
    workplace
    Chapter 3 - Skills Approach

    Application
    Useful in answering a
    multitude of questions
    about the leadership of
    individuals in various types
    of organizations
    Helpful tool to assist upper
    management in making
    changes to lower level
    positions to ensure a good
    fit between an existing
    manager and a certain
    work context

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