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Contingency Theory

Contingency Theory. Ashley Fassinger, Jake Cooper, & Jordan Martin. Timeline. 1960s-70s – Tom Burns and George Stalker conduct an experiment to see how the environment affects a firm’s organizational and management systems.

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Contingency Theory

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  1. Contingency Theory Ashley Fassinger, Jake Cooper, & Jordan Martin

  2. Timeline • 1960s-70s – Tom Burns and George Stalker conduct an experiment to see how the environment affects a firm’s organizational and management systems. • -Joan Woodard conducted a study to determine how technology affects organizational structure.

  3. Key Concepts • Focus on determining the best management approach for any given situation. • Two types of environments: Stable (little to no change) and Innovative (great changes) • Two types of management systems: Mechanistic (similar to bureaucratic classical theory) and organic (nonbureaucratic, similar to behavioral management) • In a stable environment, mechanistic works best, In an innovative environment organic works best • Organizational structure is affected by technology.

  4. Key Players & Major Contributors • Tom Burns • George Stalker • Joan Woodward

  5. Value to Today’s Practices • The results of the studies conducted for the contingency theory are used in everyday management. Each study is analyzed and used as a building block to best manage a current firm.

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