Contingency theory and Corporate Social Responsibility Essay

Contingency theory and Corporate kindly Responsibility - Essay ExampleAn governance placed in the context of a globally interactive purlieu is in a position to reap huge pro belongs through an efficient organization of its resources and effective coordination between its comp nonpareilnt elements. No one standard organizational method can be said to be the lift out way, rather every organization must determine the optimum fit between its component elements. As a result, the Contingency scheme is becoming increasingly relevant in the present day context, especially in maintaining ethical standards of corporate conduct and organizational integrity.The Contingency system may be applied in the analysis of the complex interactions occurring among the different dimensions of any particular phenomenon within an organization. As first mooted by Herbert Simon (1976), the contingency organizational theory revolves around the interaction of the organization with the environment and its i mpact upon the performance outcomes of the individuals within the organization. According to Zeithaml, Varadarajan and Zeithaml (1988), the existing situational factors play a significant role in how organizations are managed, and must be taken into account in order to arrive at one best way in which an organization can be managed for optimum performance and output. These authors suggest a three pronged approach in determining this best solution (a) the identification of important situational factors which track down as contingency variables that provide the distinctions between the different situational contexts (b) grouping of these contingency variables on the basis of law of similarity of the contexts that they occur in and (c) analyze each group in order to arrive at the best possible solution and management style and method that is likely to produce the best results (Zeithaml, Varadarajan and Zeithaml, 1988).The Contingency Theory perspective first developed through