Contingency Theory Of Management

Management is a process of organization to get people to work together in order to achieve specific goals and objectives. Also, Henry Fayol defined management as “To manage is to forecast and plan, to organize, to command, to co-ordinate and to control.” (Jankar, 2008) When a group of people is structured and managed to meet a common goal, its called organization, also, the achieve of organization’s goal namely personal success. So, manager is a position which have responsibilities to help organization to achieving goals. Managers follow the main step of planning, organizing, directing, and controlling to manage people. These functions are used to setting objectives and determining in advance exactly how the objectives will be met, delegating

Because managers are often involved in leadership issues and leading can influence people to contribute to organization. In contingency theory of leadership, it thinks no one best way to manage organization, it bases on the situation and thinks different situations call for different style of management and outcomes can impact by many internal and external factors. According to McGregor’s X-Y theory, leaders should understand team member motivation. Theory X assumes employees are naturally unmotivated and dislike working, they are lazy and irresponsible. So, their leader requires to control works every step and these works need a mixture of financial incentives to make them work. However, theory Y has its place in the large scale production environment and unskilled production line work. Theory Y assumes employees are take responsibility and are motivated to objectives they are given. Also, they do not much direction. Work to these employees is like natural as play and rest. In this situation can use more participative management style. Also, according to situation, managers can use autocratic, democratic or laissez-fair leadership style. (Vikmanis, 2016) contingency theory is more flexible. However, this theory is complex, when in practice, it need a large number of data to make decision. Also, it difficult empirical

Good manage need managers to motivate staff to acquire high work efficiency and protecting resource of organization, include human resources. According to these points, as time goes by, the scientific management theory has made a great progress. For instance, McDonalds adoption of scientific management in the service sector and it’s the most successful model on scientific management. Firstly. McDonalds divided into several departments to focus on specialization. Secondly, employees in McDonalds are trained to do standard operating procedure, it improves efficiency and profitability. Besides, according to scientific theory, human’s real motivation is high wages, McDonalds used competitive wages is similar with piece rate method in scientific management theory. In order to improve efficiency, there are some new organizational techniques, like Just-in-time have been created. (Cardoso, 2012) As the largest chain of hamburger fast food around world, McDonalds have a large number of employees. So, motivated employees have a significant meaning. According to Herzberg’s theory, McDonald remove discomfort workplace and support mental health, also, it provides a good future development chance for their employees and give them the feeling of achievements from work to motivated them. (Nawaz, 2011) Also, using contemporary theories of