Both the situational and contingency leadership models focus on a leader being relationship oriented. However, contingency leadership depends on the current situation unlike behaviorism and attitude in situational theory. Contingency leadership involves a leader’s capacity to become accustomed based on their style while situational models are flexible and allow leaders to use various skills when attending to a particular situation. Also, contingency models assume that followers will work concurrently while relying on the leader while situational leadership believes that employees will have varying reactions depending on their will and confidence. Therefore, situational leadership has more bearing on task delegation and motivation through coaching that fosters work productivity. On the other hand, contingency factors such as competition encourages employees to work harder in order to be rewarded.
Situational leadership is more preferable since it constantly informs a leader of the different motivational needs of employees. Therefore, the style of leadership on individuals would vary. A new employee would require more telling through instructions while a senior leader would require delegation to be motivated. The model is also best in teamwork by maintaining motivation levels due to the physical separation of members from leaders.
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A contingency plan acts as a backup in the event of disruption of business operations. Therefore, a contingency plan prevents panic and promotes action by moving into recovery mode as opposed to waiting for instructions thereby saving time. For instance, using a generator in the event of power outage prevents production losses. Additionally, due to its methodological process, the plan is often comprehensive in evaluating all possible ramifications. The bigger picture seals off loopholes and unforeseen risks that may further harm a business.
