Contingency Theory: Factors Affecting Employees

iii. Affects on other employees and the company
There are many things that affect both employees and the company in which they work for.
Echoes Ltd employee 150 workers on 10 different levels of pay. This can affect employees as they feel they are not receiving enough for the work they do where as others may be receiving too much. This “favouritism” within the company can cause jealously and affect the company greatly. Employees may become disgruntled and unmotivated to work for the company and will only do the bare minimum. These employees will not wish to work extra hours to get tasks done and will certainly not help to create a warm and friendly workplace. If this behaviour continues within the organisation the success levels will begin

Firstly we need to find the leader with the right personality to handle the situation. The theory states that ‘contingency theory emphasized the leader's personality, or psychological disposition, is a main variable in her/his ability to lead’. Choosing the leader is crucial. The leader we would choose would have patients and exceptional communication skills to explain the situation. Our leader would also be compassionate and have previous experience with difficult employees. We would find put all these details from the Least Preferred Co-worker. The LPC is a scale the shows the leaders traits and our leader would have a high LPC score as that shows good human relations and would be the type of leader that would suit this

This is essential for a troublesome worker as there is more than one type. There a workers that do nothing and there are workers with problems within work but there are also workers that mightn’t realise how difficult they are being and there may be an underlying matter or maybe issues at home that is bothering them and the leader has to be able to adapt to all these situations.

iii, Situational Theories:
Situational theories propose that leaders choose the best course of action based upon situational variable. Different styles of leadership may be more appropriate for certain types of decision-making.
I have chosen this theory as I believe it is suited perfectly to the problems within the company. The leaders/managers of Echoes need to decide the best course of action to recreate the great working environment needed before the business can expand. I feel there is little or no point expanding a business that has already a weak and bad work environment.
Situational Theories will be very beneficial for the managers to have to expand. They will need to be able to make big decisions relating to the expansion but also to the current and possible new employees.
If this key theory is not attributed correctly by the organisation then it will make it very difficult for the company to move in the right way to a happier and