Introduction
For a long time, the successes of many businesses have been ascribed to the type of leadership models used by the respective company's management. It does not apply to revenue generating institutions alone, but organizations with formal and informal structures in general. There are four main leadership theories namely; contingency, behavioral, trait, and power and influence theory. They differ regarding characteristics and the situations, determining their applicability. The case of Southwest Airlines presented illustrates the contingency leadership theory. This paper examines the case to outline the aspects characterizing contingency theory. The discussion will begin by focusing on common features of the theory before an analysis of the case is presented. Additionally, other theories evidenced in the case will be justified.
The contingency leadership theory
The theory was coined by Fred Fielder in the mid-1960s, after observing that effective leadership had a linear relationship with the leader's personality and the situation within they applied their leadership as ("Contingency Theory," n.d.)'s findings suggest. From this theory, two main types of leadership styles can be illustrated. Task-motivated leadership describes a situation where the leader is only interested in work quality. On the other hand, relationship-motivated leadership style is where the leader works hard on developing good relations with junior employees and does not worry much about the quality of tasks done. There are two main types of personalities. Extroversive persons are those who gain pleasure in time spent with others; they fit the description of possessing an ‘out-going character'. Many relationship-motivated leaders are extroverts. Introversive personality characterizes individuals who gain pleasure in time spent alone. They are reserved than extroverts. Introvert leaders usually display task-motivated leadership style.
Specific leadership style is measured using the LPC (Least preferred co-worker) scale. The scale summarizes some features that describe the worker that receives many negative comments from the leader. Such features include cooperation, acceptance, friendship, loyalty, openness, sincerity, kindness, and support. Leaders who score highly on the LPC scale qualify as displaying relationship-motivated kind of leadership. Those scoring low on the same scale display task-motivated leadership.
Contingency theory is based on the situation and personality, as mentioned earlier. The Southwest Airlines, just all other flight airlines in the US were going the same difficult situation after the 9/11 terrorist attacks. Crisis management was the situation at hand then. It is challenging for a company to manage a crisis that has a direct negative impact on its employees. It needs competent leaders to see a company through such situations; James Parker is a clear demonstration of what a competent leader ought to do at such challenging times.
The situation, described under the contingency theory is founded on three factors. Leader-member relations, task structure, and position power characterize a situation. James Parker shows excellent leader-member relations in that he puts the concerns of employees and customers above profit motives. Notably, revenue generating organizations are driven by the desire to increase the amount of profits gained per fiscal year. Worth noting is that Southwest Airlines' performance was immense before the post 9/11 crisis. The performance was as a result of the good customer service the company had displayed for long. Stranded customers received executive treat during the crisis period, including entertainment and directives.
As Gill (2013) mentions, task structure refers to the clarity of projects and the means of accomplishment. The company had been in the business field for three decades, surviving the challenges that face businesses, economic recess, and inflation for instance. However, it is strongly indicated that the company was founded on strong business principles and policies. Principles in the workplace usually relate to work organization entailing the structure for executing duties in the workplace. James Parker knew the exact roles he had to do and the mode of executing the same.
Position power is a factor that dictates how much power a leader has towards those below them in the organizational hierarchy. In this context, power refers to the reward-punishment level granted to the leader. James, being the company's CEO, had the power to fire and recruit workers, and restructure operations to fit into the new system. He chose to do whatever possible within his powers in favor of the customers and employees. When other Airlines decided to lay off employees to maintain their profit margins, James chose to do the opposite then. He used his powers to retain all employees, announcing his decision three days after 9/11. As a CEO, he implemented programs for the employees, he had the power.
Since all the factors that characterize a situation are well presented, it can be confidently inferred that the case example presented is a perfect illustration of the contingency leadership theory.
Other theories in the case
Traits theory
The traits theory can be well justified by close examination of the Southwest Airlines case. According to this theory, leaders will differ depending on the traits they possess. Biologically, traits are inheritable phenotypic features that in totality define one's personality. Consequently, this theory suggests that leadership depends on whether one possesses the traits that define a leader or not. In other words, as Northouse (2013) proposes, leadership is in-borne, not learned. Southwest Airlines had a goal-oriented managers. Goal orientation is a leadership trait that diverts employees' attention towards the accomplishment of the company's objectives. There were no laid-off employees as other companies had done. Though such a move would bring fewer profit returns in the short-run, the organization was more determined to retain its reputation, in the long run, it did.
James Parker possessed good decision-making skills, an important trait for any successful leader. He was in a dilemma. In case some employees were fired, it would negatively affect the company's public image, which would reduce its market share in the future, despite enabling the organization to escape current financial losses. On the other hand, retaining employees would see the company traverse through financial constraints, though company's reputation would be protected. James Parker chose to protect the company's image, just three days after the crisis struck. The company survived the tragedy, despite the challenges and stayed on top of its competitors due to its positive image, thanks to the CEO's creative decision-making skills.
Behavioral leadership theory
According to this theory, leadership styles can be categorized depending on the leader's behavior. These include laissez-faire, democratic, dictatorial, and autocratic forms of leadership. From the case, it can be well concluded that James Parker demonstrated an autocratic style of leadership. Here, the leader makes decisions without consulting members. James, having weighed the situation's emergency decided to make quick decisions without consulting. It took him three days to come up with a conclusive decision, a very short time for doing a successful consultation.
Conclusion
The case example is a clear illustration of contingency leadership theory. Task structure, leader-member relations, and position power are well highlighted. These are the key features that characterize a situation, of which the theory is based. Other theories, evident in the case are traits theory and behavioral theory.
References
Contingency Theory. (N.d.). Retrieved from http://www.tlu.ee/~sirvir/IKM/Leadership%20Models/contingency_theory.html
Gill, R. (2013). Theory and practice of leadership. London: Sage.
Northouse, P. G. (2013). Leadership: Theory and practice. Thousand Oaks: SAGE.
