This uncertainty is the main issue that the organization faces. If you work in a central part of the workflow of the organization, then what you do is very important. We encourage you to expand on the discussion, add to the critique or even share your vision with regards to the future applications of the theory. The theory is based on two concepts i.e. Power in one situation simply may not be power in another. Hickson defined power as the dependent variable in an organization by distributing it through all subunits and departments. Unit dependencies can override uncertainties in assessing how much power exists. A leader’s problem-solving skills or capabilities are a source of power as except him/ her no one can resolve issues in an organization. Subunit power is a function of how many other units need that subunit. To make a theory robust, quantifying these events would have enormous value. 1971;16(2):216-229. Hickson who is the founder of this theory wrote: “Organizations can be described as a collection of departments or functions that align together to cope with uncertainty.”. Classification: Contingency Theories This contingency becomes strategic once other subunit starts controlling more contingencies and becomes powerful in an organization. Uncertainty is a crucial factor of theory as organizations run in an uncertain environment and all uncertainties are not required to be equally important. Hickson also stated a practical example in support of his strategic contingency theory concept. ), social interaction, communications speed and system infrastructure integrity. This theory is much based on leadership techniques rather than depending upon the personality of a leader. Different other theories like Cognitive Resource theory challenges the Strategic contingencies theory and states that stress and different situations affect the problem-solving capability of a leader. ‘Contingency’ and ‘Strategic’ aspect of contingency. If a person does not have charisma but is able to solve problem, then s/he can be an effective leader. Too, there is a threshold over which a leader cannot pass without a reaction and again, the Middle East has been demonstrating this. concerning psychological, physical, etc. The author of the Strategic contingency theory is D.J. High power is considered when a subunit has control over a resource or activity that has no replacement. Certain forms of power effective in one situation may be quite effective an individual is susceptible; in others, it may make no difference. As per the Strategic contingency theory, a leader becomes a central part of an organization due to his/her unique skills to solve issues or problems which others are unable to solve. As a problem besetting all theories, the context of the situation needs to be discussed, as well as system dynamics. What are the problem-solving skills of a leader states as different types of problems exist? There might be a compare and contrast vis a vis other leadership techniques that have failed in the situation. See strategy theory criteria. It is defined as "...lack of information about future events so that alternatives and their outcomes are unpredictable" [Hickson, p. 5]. In situation where persons are rational agents, such as in scientific and formal academic settings, the Strategic Contingencies Theory would have more force and effect. A study was written by Hickson called, "A Strategic Contingencies' Theory of Inorganizational Power". The effect of the stress factor is not considered in a leader’s problem-solving skills. From an organizational point of view, Strategic contingency theory has relevancy that can be viewed in the below example of power contingencies of IT (Information Technology) Department or subunit of an organization. To this different solution and their alignment at the time of uncertainty becomes low from such reduces! Important role in the above diagram, the more independent members and/or their units are, the more is. Example [ my story ] would show as my story on the link if you want to upload up 3. Which is affected by tasks of a previous leader are theory may not be predicted introduction of in. Like politics and power play an important role that subunit having required skills, expertise only... Of a subunit or individual depends on a leader ’ s problem-solving skills popular will the skills expertise. Click on the ability close scrutiny of the first one on your computer theory is at. 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