From Exception to Contingency Management

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From Exception to Contingency Management
Arif ur Rehman, Professor, Pakistan

If we can determine where the limit of management by exception ends and hand over its reigns to contingency management – i.e. ‘it all depends’ approach, then we have an answer to management issues in these unpredictable times.
Contingency management recognizes the extreme worth and relevance of an individual manager’s performance in any extreme situation. What of course is needed is the acumen, experience, skills and judgement of the manager in a particular corporate environment.

Contingency Approach to Management by Exception
TSE Pak Hoi Isaac (Dr.), Professor, Hong Kong
I agree with your prudential approach to application of MBE. There shall be a prerequisite in that the middle management has been properly set up with competent people to handle all incidents near to routine operation, instead of a team of people fighting fire everyday.
There are times that top management should visit close to the factory level and to talk close to the front line staff, and there shall be other time that management should appreciate the corporate work from a distance to link up with the wider perspective of new social needs that fit the existence of the corporation in near future -- for expansion of business.

... to Contingency
Arif ur Rehman, Professor, Pakistan
@Tse Pak Hoi Isaac (Dr.): The situational approach (Selznick, 1949; Burns and Stalker, 1961; Woodward, 1965; Lawrence and Lorsch, 1967) holds there is no universal guideline appropriate for all situations. While organizational systems are environmentally connected, the contingency approach (Hellriegel and Slocum, 1973) suggests different situations require dissimilar organizational relationships for effectiveness, taking stock of various corporate and societal disorders.
Goal setting becomes an essentially important tool. Locke (1968) and Sherwin (1976) hold the control mechanism helps HRM achieve corporate and individual performance via MBO. As an organization meets the environmental 3 C’s (complexity, challenge and change), creating differentiation of units, their integration is needed for broad strategic objectives.
The contingency provides an anchor through unity of command, scalar and responsibility principles; deciding on decision making level(s) then is easy.



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