Contingency Theory

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Leadership 201

Foundations of Leadership Studies

Theoretical Perspectives on Leadership:


The Contingency/Situational Approaches

Contingency Model

PathGoal Theory

Situational Theory

Where Are We Now?


Trait theories

Behavioral theories
Situational/contingency theories Fiedler's Contingency Model Path-Goal Theory Hersey-Blanchard Situational Theory (next class)

Fiedler's Contingency Theory of Leadership


Leader Effectiveness = f (leader style, situation favorability)

Group performance is a result of interaction of two factors.

Leadership style
Situational favorableness

Leadership Style
Leadership Style

This is the consistent system of interactions that takes place between a leader and work group.
An individual's leadership style depends upon his or her personality and is, thus, fixed

Least Preferred Coworker (LPC)


The least-preferred coworker (LPC) scale classifies leadership styles. Describe the one person with whom he or she worked the least well with. From a scale of 1 through 8, describe this person on a series of bipolar scales:

Unfriendly 1 2 3 4 5 6 7 8 Friendly

Uncooperative 1 2 3 4 5 6 7 8 Cooperative
Hostile 1 2 3 4 5 6 7 8 Supportive Guarded 1 2 3 4 5 6 7 8 Open

Leadership Styles
Relationship oriented: A high LPC score suggests that the leader has a human relations orientation

Task oriented: A low LPC score indicates a task orientation.

Fiedler's logic: Individuals who rate their least preferred coworker in a favorable light derive satisfaction out of interpersonal relationship; those who rate the coworker unfavorably get satisfaction out of successful task performance
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Situation Favorability
Situation Favorability

The degree a situation enables a leader to exert influence over a group


The focus is on three key situational factors
Leader-member relations
Task structure Position power

Situation Favorability
1. Leader-member relations: The degree to which the employees accept the leader

2. Task structure: The degree to which the subordinates jobs are described in detail 3. Position power: The amount of formal authority the leader possesses by virtue of his or her position in the organization.

When to Use Which Style??

Contingency Model

Leader-Member Relations
Task

Good High Strong Weak Low Strong Weak High Strong Weak

Poor Low Strong Weak

Structure

Position Power

Preferred Leadership Style

Low LPCs

High LPCs

Low LPCs
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Fielders Contingency Model

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Implications
1. The favorableness of leadership situations should be assessed 2. Candidates for leadership positions should be evaluated using the LPC scale 3. If a leader is being sought for a particular leadership position, a leader with the appropriate LPC profile should be chosen 4. If a leadership situation is being chosen for a particular candidate, a situation should be chosen which matches his/her LPC profile

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House & Mitchells PathGoal Theory


Leadership style is effective on the basis of how successfully leaders support their subordinates perceptions of:

Goals that need to be achieved Rewards for successful performance Behaviors that lead to successful performance

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House & Mitchells PathGoal Theory


Leaders can influence subordinates motivation by:

1. Teaching employees competencies needed 2. Tailoring rewards to meet employees needs 3. Acting to support subordinates efforts

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Assumptions of PathGoal Theory


1. A leaders behavior is acceptable and satisfying to subordinates to the extent that they view it as either an immediate source of satisfaction or as an instrument to some future satisfaction.

2. A leaders behavior will increase subordinates efforts if it links satisfaction of their needs to effective performance and supports their efforts to achieve goals.

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PathGoal Theory Leadership Behavior


Instrumental behavior (task-oriented) Supportive behavior (employee-oriented)

Participative behavior (employee-oriented)


Achievement-oriented behavior (employee-oriented)

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PathGoal Theory Situational Factors

Personal characteristics of subordinates

Work environment

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PathGoal Theory Situational Factors


Personal Characteristics of Subordinates

Abilities Self-Confidence Personal Needs and Motivations Perception of Leaders

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PathGoal Theory Situational Factors


Work Environment

Culture and Subculture Policies and Rules

Management Philosophy

Exercise of Power Structure of Tasks

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Choosing a Leadership Style

Leaders need to choose a leadership style that best fits the needs of subordinates and the task they are doing.

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Path-Goal Theory

Leader Behaviors
Directive, Supportive Participative, Achievement Oriented

Subordinate Characteristics

Task Characteristics

Subordinates

Motivation

Goals/Productivity
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Applying Fiedlers Contingency Theory


Fill out the LPC Determine whether you are task or relationship oriented. Think of a leadership situation in which you were not optimally effective and/or one in which you excelled Evaluate the situation(s) Does your experience support Fiedlers theory?

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Contingency theory: Strengths


Supported by a lot of empirical research

Looks at the impact of the situation on leaders


It is predictive It does not require that people be effective in all situations It provides a way to assess leader style that could be useful to an organization

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Contingency Theory: Weaknesses


Black box: Why?

There is some doubt whether the LPC is a true measure of leadership style
It is cumbersome to use

Doesn't explain what to do when there is a mismatch between style and situation
Other situational variables, like training and experience, have an impact in a leader's effectiveness

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Path Goal Theory: Strengths


It specifies four conceptually distinct varieties of leadership Explains how task and subordinate characteristics affect the impact of leadership The framework provided in path-goal theory informs leaders about how to choose an appropriate leadership style. It attempts to integrate the motivation principles into a theory of leadership. Provides a practical model
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Path Goal Theory: Weaknesses


It is very complex.

It has received only partial support from the many empirical research studies that have been conducted to test its validity.
It fails to explain the relationship between leadership behavior and worker motivation. This approach treats leadership as a one-way event-the leader affects the subordinate.

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