Explain the contingency theory of management. Is contingency theory superior to scientific management theory?

Contingency theory is a modern school of management thought which says that there is no "one best way" to manage, because the right approach depends on the situation. The situational characteristics are called "contingencies," and the theory studies how a variety of internal and external factors affect an organization's performance. A technique that works brilliantly in one situation may fail completely in another, so managers must read the circumstances and choose accordingly. For example, a strict, rule-bound style might suit a bank where accuracy is critical, while a flexible, creative style suits an advertising agency. It is the most recently developed and arguably the most practical of the management approaches. The main features and the comparison with scientific management are explained below.

1. Situation drives strategy: The situational contingencies shape the strategies, structures, and processes that lead to high performance, so the situation comes first.
2. More than one way to a goal: There is always more than one path to reach an objective, and the best path depends on the circumstances.
3. Adapt to the situation: Managers should adapt their organization and methods to fit the circumstances rather than apply one fixed formula everywhere.
4. Considers many contingencies: It takes account of the external environment, internal strengths and weaknesses, the values and skills of people, and the tasks, resources, and technology involved.