Contingency Theories Of Contingency Theory

In society, there are groups that interact with each other. They may be families, churches, government agencies, or anything in between. Those groups can be defined as systems, and in the systems perspective that is what they are referred to (Hutchison, 2017). In the 1960s, Ludwig von Bertalanffy developed the general systems theory in relation to biology, but it was widely publicized and used for various subjects (Hutchison, 2017). Hutchison (2017) summarized Bertalanffy’s theory by saying, “any element is best understood by considering its interactions with its constituent parts as well as its interactions with larger systems of which it is a part.” (p.

1. System Thinking: System thinking is nothing but instead of focusing on only one particular issue, we have to analyze and try to understand the entire system on the whole. With this kind of analyzation, we can easily find a solution to the problem as the problems are not confined to only a particular area or time. We might find a solution for a particular issue, somewhere in the whole system by analyzing the entire system completely. We should try to relate the actions and the consequences on the whole as the issues occur at different time levels, not confined to only one particular time level. We have to have knowledge of the relation between different departments of an organization and the relation between them and the functionality between the departments as to how they are related in an organization. We generally focus on only one particular issue rather than seeing the bug picture and that shouldn’t be done. In system thinking we analyze the big picture.

A system is a set of interrelated parts. Systems theory assumes that a system must be understood as a whole, rather than in component parts. It is a way of looking at the world where all the objects are interrelated with one another. Many family systems are addressed in the movie Little Miss Sunshine.

A system is “A set of interrelated and interdependent parts arranged in a manner that produces a unified whole” (robbins 2006), and Systems theory is the

In order for any organization to be successful, they must find effective ways to change systems and policies that are ineffective in creating a successful environment. A system consists of four things, elements, attributes, internal relationships, and the system environment. The systems theory is transdisciplinary study of the abstract organization of phenomena, independent of their substance, type, or spatial or temporal scale of existence (Heylighen & Joslyn, 1992). The study investigates all the principals common to all complex bodies, and the models which can be used to describe them. Von Bertalanffy (1971) was the creator of the “system” concept, he developed this idea as an answer to the limitations of individual disciplines in addressing complex social issues (Mitchell, 2005). The underlining principal of this theory is that an organization consists of multiple, interdependent parts that collectively form more than the sum of their parts. Developed from the systems theory, are three separate theories with the basis of each being the systems theory. The activity theory considers the entire program versus just one single sector, it sees the operation as a whole instead of sub departments, it combines both micro and macro elements of the organization. The chaos theory does not mean a chaotic hectic situation, rather a situation where there appears to be little to no order, there really is a hidden underlying order. The complexity theory is

It is depicted that modern organizations tend to incorporate the aspects of the open systems with those of the natural and rational perspectives. Examples include the institutional, transaction cost, and the contingency and the contingency theories. Organizations adopt the open system that accommodates the other two theoretical perspectives for it to exist (Davis & Scott, 2006). These organizations tend to have structures that are based on the processes, the products, and the function.

• Systems thinking—a way of thinking about, and a language for describing and understanding, the forces and interrelationships that shapes the behavior of systems. This discipline helps us see how to change systems more effectively, and to act more in tune with the larger processes of the natural and economic world.

The Systems perspective says that a change in one component of the system affects the other parts of the system (Galvin, Dickson and Marrow, 2006). There is an interdependence which is at the center of the system. All of the parts make a whole. As a member move towards or away from each other, all members will be affected. They are all dependent on each other.

The Contingency theory, developed in 1950s, argues that there is no 'one best way ' to structure an organization and we face different possibilities when determining how it should be structured and how it should be managed. Successful organizations adopt structures that are an appropriate response to a number of variables, or contingencies (Enoch, 2006).

The General Systems Theory (GST) came about as an effort to describe the systems approach, born from the biological concept of the organism developed in the first part of the 20th century (Von Bertalanffy, 1972). In contrast to the mechanistic systems which are closed and have a direct relationship between a cause and its effect, a biological or social system is open, operating on a principle of equifinality, where regardless of the starting point, the objective can be achieved (Kast & Rosenzweig, 1972). Any system will achieve equilibrium, but an open system can reach a steady state by accessing resources from outside itself (Kast & Rosenzweig, 1972). The underlying assumptions of GST rely on the organization of a company resembling the inner workings of an organism. However, subgroups within organizations can act independently of the the whole, in

• The dynamic systems theory is what causes humans to adapt to changes in their environment

Another element that is important in groups and systems is dynamic equilibrium. Dynamic equilibrium deals with managing stability and change within a group. If a group doesn’t manage their equilibrium, than they will be affected negatively. However, if their equilibrium is managed than they won’t run into any problems. For example, if there is too much stability in a group than it is not healthy, and if there is too much change in a group than it can be overwhelming and things may get out of hand. There is a certain medium that a system should be at in order to promote growth and success within that group. For example, if a sports team decides to never practice than they will not grow or excel, but if they practice too much than they will be tired for the game and will not perform as well. Dynamic equilibrium is an important element within systems.

Systems thinking is a method of thinking that looks at the interconnectedness between different elements rather than a linear cause and effect approach and sees patterns of change rather than fixed “snapshots”. In essence it is a view on the “whole picture” (Anderson, R 1994).

Senge believed once an organization was in need of changing patterns to create desired results systems theories is

Bobis (2011) further implied that when leader’s mastered system thinking language, their contribution to an organization as a whole was fostered because system thinking is what is needed to operate from the sideline which gave allowance for innovation by reviewing the company in a linear perspective, while embracing the chaos theory through exploration when organizations dealt with complex system changes in the initial stages of making a difference in organizational outcomes.