R. A. Williams
BA590 - Organizational Behavior, Grantham University
July 5, 2011
Abstract
The Strategic Contingency Theory is expostulated such that when an organization confronts a problem that threatens its existence the sub-unit that has the ability to successfully manage the problem will gain power and influence. This theory posits three variables to illustrate the exercise of power: uncertainty, substitutability, and centrality. Identified herein is a discussion of sub-units controlling contingencies of another’s activities and thus drawing power from the dependency created. It is proffered that the most effective strategic model of power is one that utilizes different skills as the complexities of the environments change. Further, it is through the exercise of power that an organization adapts to its environment. Each dominant group attempts to formalize its power through institutionalizing its policies. I submit that such power is transitory. I propose that power does not permanently reside with the same sub-unit, but rather revolves as environmental challenges emerge. There is a plausibility presented in some references that power resides with activities and not individuals. Perceptions of power as influence, allocating resources, and decision control, shift with environmental challenges. Engineers, production managers or attorneys rise to dominance when needed to meet specific challenges and are then supplanted when the organization utilizes other talents to meet the next wave of genre-specific threats. Reliance on the references noted targeted large companies, universities and hospitals. Most research to date has been in the form of case studies with few empirical works. The authorities cited are from Europe, Canada and the United States, thus limiting evaluations from an Occidental view.
Keywords: uncertainty, substitutability, centrality, routinization.
Introduction
The question
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