Premium Essay

Theories X and Y

In: Business and Management

Submitted By featheralley
Words 464
Pages 2
Theories X and Y

According to The Economist (2008b), Theories X and Y were contrived by Douglas McGregor, who published them in his 1960 book “The Human Side of Enterprise”. He was heavily influenced by Abraham Maslow, and this was particularly evident in his theories that contrasted greatly with the prevalence of scientific management at the time (The Economist, 2008a). Theories X and Y identified a principle divergence between management approaches and this formed the foundation for the development of modern management theory. (The Economist, 2008b)
Theory X emphasises “productivity, on the concept of a fair day’s work, on the evils of feather bedding and restriction of output, on rewards for performance … [it] reflects an underlying belief that management must counteract an inherent human tendency to avoid work” (McGregor, 1960). It makes the assumption that individuals naturally require motivation and coercion to maximise their output.
Theory Y, however, “assumes that people will exercise self-direction and self-control in the achievement of organisational objectives to the degree that they are committed to those objectives” (McGregor, 1960). It asserts that individuals possess a natural inclination to placate their desire for self-fulfilment through work.
Google Inc. is an acclaimed example of Theory Y’s successful implementation. It gives stock options to 99% of its employees, effectuates the provision of workplace benefits (e.g. Day care, maternal/paternal leave programmes), and emphasises diversity and independence of thought in their day-to-day culture (‘Diversity in our culture and workplace’, n.d.). Today, Google has grown to more than twenty thousand employees worldwide and their company turnover stands at US$37.9 Billion per annum (‘Key Statistics of Google Inc. [GOOG]’, n.d.), making them one of the most valuable enterprises in the world.
In my

Similar Documents

Free Essay

X, Y, Z Theory

...Adventist International Institute of Advanced Studies X,Y,Z Theory By Alexander Leukhin Post session assignment BSAD515 Organizational Behavior Professor: Donald Bankhead 2012 Теории мотивации Мотивация – это побуждение к действию. Технология управления– это способы побуждения к нужным действиям. Существует более пятидесяти различных теорий мотивации. С ними можно подробно познакомиться в интернете. Что-то работает, что-то устарело, что-то сложно для понимания. Наверное, самый древний метод мотивации, и для некоторых руководителей до сих пор единственный, – это “кнута и пряника”. В данной работе мы рассмотрим 3 теории мотивации, которые пытаются дать объяснение поведению человека в разных ситуациях, и направлены на поиск решений, побуждающих к действию. Общие сведения о теориях Х, Y и Z Основным автором теории Х и Y принято считать Дугласа Мак-Грегора. Дуглас Мак-Грегор (1906-1964) остается одним из наиболее уважаемых и часто цитируемых авторов в области человеческих отношений (того, что в 1940-1950-е гг. назвали бихевиоризмом). Его работы вдохновили столь несхожих между собой мыслителей, как Розабет Мосс Кантер, Уоррен Беннис и Роберт Уотерман. Особо стоит отметить, что Мак-Грегор наиболее известен своими мотивационными моделями — теориями X и Y. Мак-Грегор родился в Детройте, в семье священника. В 1932 г. он закончил Городской колледж в Детройте (City College of Detroit), ныне это Государственный университет Уэйна (Wayne University). Получил...

Words: 4801 - Pages: 20

Premium Essay

Theory X and Y

...lot of varying feedback, one common thread of employee concern is the very autocratic approach that the former supervisor used when dealing with his employees. You know that this is sometimes referred to as a theory X approach, and you know that a more participative management approach is called theory Y. However, you have not taken the management course that covers these topics. Using the library and Internet resources, you are to write a 500–750-word research paper that compares theory X to theory Y in terms of management styles. Specifically, you are to include the following requirements: Explain each theory. Create a chart that shows the pros and cons of each management style. Is one particular style best in all situations? Why, or why not? Give an example. Give your opinion on the difference between theory Y management and what might be considered to be democratic decision making. Why would a manager's understanding of these two theories be important to good leadership practices? Theory X and Y In 1960, Douglas McGregor acknowledged that theories in his book, The Human Side of Enterprise, which questioned human behavior. These two theories are called Theory X and Theory Y. These two...

Words: 901 - Pages: 4

Premium Essay

Theory X and Y

...Literature review essay - McGregor’s Theory X and Theory Y styles of management The Human Side of Enterprise (1960) introduced Douglas McGregor’s groundbreaking theories of management and social styles in the workplace. Whilst Theory X and Theory Y were initially suggested in the early 60s they are still reflected in many organisations today. Theory X suggests that humans are generally disinterested and unenthused in relation to work and are unable to accomplish self direction and behavior based on initiative (Kopelman, RE, Prottas, DJ & Davis, AL 2008). In stark contrast Theory Y is based around the principals that workers are not fundamentally lazy but are in fact capable of self control and direction in conjunction with the contribution of innovative ideas and creative input within an organisation. Today McGregor’s theories may still be observed in many workplaces, but in the majority of cases, a healthy combination of both is applied, as discussed in further paragraphs, along with the contrast of the theories and the basics of the theories themselves (Fisher, EA 2009). Theory X states that humans have a loathing for general work practices and do not have to ability to act responsibly and in a trustworthy manor. Theory X suggests that a persons reasons for working are based on their economic self interests alone. Managers in this situation rely on rewards to motivate and punishments to discourage undesirable behaviors. Managers are also often looking for mistakes in...

Words: 1031 - Pages: 5

Premium Essay

Theory X and Y

...Theory X and Theory Y were ideas created by management professor, Douglas McGregor. These theories were originally introduced in 1960 in his book “The Human Side of Enterprise” and describe two very different management styles. Theory X is described as an “authoritarian” style which emphasizes productivity and performance. Theory X managers assume that people have a natural tendency to avoid working and that managers must counteract this laziness by micromanaging. They constantly need to be controlled to get anything done. It implies that people prefer to be directed, do not want responsibility, and have little or no ambition. McGregor states that Theory X merely satisfies human’s lower-level physical needs and could not hope to be very productive in the long run because people are not working, thinking nor are they motivated by their own passion. (Theories X and Y, 2006) Theory Y is quite the opposite. It is described as a “participative” style of management which emphasis self direction and self control. Theory Y suggests that people choose to go to work and naturally want to perform well. They are committed to the task at hand and will accomplish it without badgering from management. It says that people have a need for self achievement and reach this by working. Creativity, ingenuity, and imagination are widely distributed among the population. People are capable of using these abilities to solve an organizational problem. (Theory X and Theory Y, 1995) McGregor challenges...

Words: 294 - Pages: 2

Premium Essay

Theory X & Theory Y

...Theory X and Theory Y: “In establishing the capability-building agenda, top management provides employees with a clear view of the next advantage to be constructed. Challenges are the milestones on the path between today and tomorrow; they are the operational means of staging the acquisition of new competitive advantages. Corporate challenges are the operational means of staging the acquisition of new competitive advantages. Challenges are the means for allocating emotional and intellectual energy, energy that flows from enthusiasm for the firm’s strategic intent. We believe that the task of focusing intellectual and emotional energy is as important for top management as allocating financial responsibilities—unless every employee feels a deep sense of responsibility for success, and has a clear channel for contribution, global leadership, will remain elusive.” (Hamel and Prachald, 1994). Thus, we must manage our businesses so employees—advise from management—must have a clear channel for how they can contribute. To this end, is there a venue that exists that will give the worker on the assembly line the same sense of direction as the CEO? We will first test a remedy proposed in the 1960’s by published management theory mentor Douglas McGregor. McGregor’s perspective was that management was more that simply giving orders and coercing obedience; it was a careful balancing of organizational needs with those of the individual. He defined these individual needs through...

Words: 1121 - Pages: 5

Premium Essay

Theory X Y Z

...Braden Division of Business & Economics Lecture: Theory Z Participative Management Styles: Theory Z - William Ouchi During the 1970s, when Japanese-style management was all the rage, William Ouchi, took the Theory X, Theory Y concept one step further: Theory Z. This is the participative model. Ouchi was born and educated in America, but was of Japanese descent. He visited Japan and studied their success with team and participative management and developed this theory. Assumptions about: Workers' motivation. Theory X The Theory X manager assumes that the only motivation that works for employees is $$money$$. Theory Y The Theory Y manager assumes that employees are motivated by their needs to fulfill their social, esteem, selfactualization, and security. The Theory Y manager believes that employees see work as a natural activity and will seek out opportunities to have increased responsibility and understanding of their tasks. The Theory Y manager believes that workers will respond best to favorable working conditions that do not pose threats or strong control. Theory Z The Theory Z manager assumes that employees are motivated by a strong sense of commitment to be a part of something worthwhile -- the self-actualization need. The Theory Z manager believes that employees will not only seek out opportunities for responsibility, in fact, they crave opportunities to advance and learn more about the company. The Theory Z manager believes that employees should learn the...

Words: 489 - Pages: 2

Premium Essay

Theory X, Y, Z

...301-01 6.6.12 Theory X, Y, and Z Achieving a clear understanding of human nature is an important aspect of management in the work place. In order for managers and workers to work together as an effective and productive unit, the workers must know how they fit into the overall scheme of things, and the managers must have a clear understanding of how they can maximize productivity by supporting their employees through the appropriate leadership style. These theories explain various aspects of the relationship that exits between management and workers in areas such as motivation, leadership, power, and conflict in order to maximize productivity. Theory X This theory holds the belief that people do not like work and that some kind of direct pressure and control must be exerted to get them to work effectively. These people require a rigidly managed environment, usually requiring threats of disciplinary action as a primary source of motivation. It is also held that employees will only respond to monetary rewards as an incentive to perform above the level of that which is expected. Theory Y This theory assumes that people are creative and eager to work. Workers tend to desire more responsibility than Theory X workers, and have strong desires to participate in the decision making process. Theory Y workers are comfortable in a working environment which allows creativity and the opportunity to become personally involved in organizational planning. Theory Z This theory deals with the...

Words: 496 - Pages: 2

Premium Essay

Mgregor And Mcgregor's Theory X And Theory Y

...Theory X and Theory Y were first explained by McGregor in his book, 'The Human Side of Enterprise,' and they refer to two styles of management authoritarian which is (Theory X) and participative (Theory Y). This is the one of the theory that some of the organisation can apply, if believe that any of the organisation team members dislike their work, do not perform well and have little motivation, then, according to McGregor, an organisation can use an authoritarian style of management which means this approach is very "hands-on" and usually involves micromanaging people's work to ensure that it gets done properly and McGregor called this as Theory X. On the other hand, if believe that an organisation people take pride in their work and see it as a challenge then it’s more likely adopt a participative management style. Managers who use this approach trust their people to take ownership of their work and do it effectively by themselves and help in increasing the company’s outcomes with their performance it’s called as Theory Y. CONTENT I. Briefly explain about the video...

Words: 897 - Pages: 4

Premium Essay

Motivation Theory

...Douglas McGregor’s X,Y Theory of Motivation In his 1960 management book, The Human Side of Enterprise, Douglas McGregor made his mark on the history of organizational management and motivational psychology when he proposed the two theories by which managers perceive employee motivation. He referred to these opposing motivational methods as Theory X and Theory Y management. Each assumes that the manager's role is to organize resources, including people, to best benefit the company. However, beyond this commonality, they're quite dissimilar. Theory X Management According to McGregor, Theory X leadership assumes the following: • Work is inherently distasteful to most people, and they will attempt to avoid work whenever possible. • Most people are not ambitious, have little desire for responsibility, and prefer to be directed. • Most people have little aptitude for creativity in solving organizational problems. • Motivation occurs only at the physiological and security levels of Maslow's Needs Hierarchy. • Most people are self-centered. As a result, they must be closely controlled and often coerced to achieve organizational objectives • Most people resist change. • Most people are gullible and unintelligent. Essentially, theory x assumes that the primary source of most employee motivation is monetary, with security as a strong second. The Hard Approach and Soft Approach Under Theory X, management approaches to motivation range from...

Words: 1905 - Pages: 8

Premium Essay

Acknowledgement

...Douglas McGregor (1906- 1964) The American psychologist. McGregor argued that managers operate from their personal view of how employees function. He separated managers into two groups based on Maslow's Hierarchy of Needs. He related Theory X managers to lower order needs in the hierarchy and Theory Y managers to higher order needs. Book: “The Human Side Of Interprise” Theory X >people are intrinsically lazy >no responsibility >incapable of self-discipline and only want security >controlled and threatened before they will work >The autocratic leadership style is the only one that works. Theory Y intrinsically motivated have self-control and do seek responsibility Employees can be consulted since individuals are emotionally mature positively motivated towards their work see their own position in the management hierarchy Managers will find that the participative approach to problem solving and decision making leads to far better results than authoritarian orders from above. Characteristics of the theory X manager >distant and detached >aloof and arrogant > short temper >shouts >issues instructions, directions, edicts >issues threats to make people follow instructions >demands, never asks >does not participate >does not team-build Quote: "Most teams aren't teams at all but merely collections of individual relationships with the boss. Each individual vying with the others for power, prestige and position...

Words: 266 - Pages: 2

Premium Essay

Scientific Managament

...through the time of classical managamnet, to scientific managamnet and other contemporary theories, we have had many people with different ideas and strategies on how to imrove the managamnet of the company. This research will concentrate on the work of one of the scientific managamnet theorists, Douglas McGregor. Scientifc managamnt is a type of managamnet that emphasizes on workflows and specifically on labor productivity. Managers in this period have made a significant influence on managamnet as a whole, since this was the first time managament was considered a science. Frederic Taylor, who is considered to be the father of scientific managament, started developing scietific managament in 1880's. After his theories became famous, there were many more followers of scientific managamanet and many other theorists, like Douglas McGregor. Douglas McGreorg was born in 1906, received quality edcuation, peeking with the Ph.D. form Harward University in 1935. (The Economist) He is most famous for his book "The Human Side of Enterprise", thus his theoy of X and Y. McGregor theorizes that management should view the employees' motivation for work in two distinct ways, Theory X and Theory Y. Theory x is authoritative and it assumes that workers naturally do not like to work and that managers have to make effort to make the employees work. (The Economist) The following are principles of Theory X: 1) The average worker naturally does not like work and will avoid it whenever possible. (2...

Words: 590 - Pages: 3

Free Essay

Theory Xand Theor Y

...McGregor’s Theory X and Theory Y Douglas McGregor’s landmark book, The Human Side of Enterprise (1960), changed the path of management thinking and practice (Kopelman, Prottas, & Davis, 2008, p. 255). Douglas had his own beliefs and theories about human beings and why they do certain things or act certain ways. He ended up proposing two different views of humans and they were titled Theory X and Theory Y. Theory X is the assumption that employees dislike work, are lazy, dislike responsibility, and must be coerced to perform (Robbins & Judge, 2013, p. 205). Theory Y is the assumption that employees like work, are creative, seek responsibility, and can exercise self-direction (Robbins & Judge, 2013, p. 205). McGregor believed that one of his theory’s was more valid and made more sense that the other one. There was never any evidence that confirmed or denied that either set of assumptions are valid or will lead to more motivational workers (Robbins & Judge, 2013). The writer will discuss not only what each theory is, but also if they are applicable for current day employees. How these theories benefit criminal justice personnel and organizations will be discussed also. Theory X First let’s begin with exploring Theory X. Under this Theory X, managers believe employees inherently dislike work and must therefore be directed or even coerced into performing it (Robbins & Judge, 2013, p. 205). It was believed that theory was less valid than the other. Theory X is autocratic...

Words: 498 - Pages: 2

Free Essay

Organizational Behavior at Whole Foods

...Organizational Behavior at Whole Foods Introduction This paper will discuss the organizational behavior concepts that relate to Whole Foods. These concepts include Theory X and Theory Y, human and social capital, the profile of the 21st century manger, Carroll’s Global Corporate Social Responsibility Pyramid and the seven moral principles. Whole Foods Market is a supermarket chain that functions through several completely maintained divisions. The supermarkets are located in the US, Canada and the UK. It is headquartered in Austin, Texas and employed about 72,700 people as of September 30, 2012, of whom 16,400 were part-time employees and 3,200 were seasonal employees (“Company Profile”, 2013). McGregor’s Theory Y Role at Whole Foods In 1960, Douglas McGregor wrote The Human Side of Enterprise, which framed two sets of molds about human nature. The first one is Theory X is unenthusiastic and negative. It assumptions people don’t like working and must be forced to do their work, avoid responsibility and have little motivation. As Kopelman and et al. (2012) stated “the manager who holds Theory X beliefs may unwittingly engineer a low level of employee motivation and (ironically) lament to a colleague that you can't get good workers nowadays” (pg. 451). Theory Y is the counterpart. In this Theory, mangers assume employees can be self-motivated, committed, responsible and creative workers. Whole Foods hires people that are well-trained who flourish in their workplace...

Words: 1293 - Pages: 6

Free Essay

Theory Y and Whole Foods

...that the way employers’ treat and value their employees would determine their actions and values, and drive how they performed on the job (Chertis & Mujtaba, 2014). Theory X was an outdated, pessimistic view and viewed all workers in a negative way. Theory Y, on the other hand, was a more modern, positive assumption. McGregor believed that a manager could accomplish more through others by viewing them as self-energized, committed, responsible and creative beings (Kreitner & Kinicki, p. 9). McGregor’s Theory Y plays a role in the way that John Mackey, co-founder and co-CEO of Whole Food Markets runs his business. McGregor theorized that people would become committed to organizational objectives if they were rewarded for doing so. Mackey believes similarly. He believes that it is the manager’s job to seek out and hire the most appropriate person for the job. He believes that if you train them well that they will be happy in the workplace and will provide better customer service as a result. He believes that happy employees make for happy customers and happy customers make referrals to other people, which make happy investors (Kreitner & Kinicki, p. 30). Mackey didn’t emulate McGregor’s Theory Y completely. He came up with his own philosophy and called it conscious capitalism (Chertis & Muitaba, 2014). His theory is based on purpose rather than profit (Sacks, 2009). Mackey believes it is important to factor in the needs of all that are involved with the business: employees...

Words: 520 - Pages: 3

Premium Essay

The Culture of W.G. Gore

...It’s hard to talk about management innovation without tipping your hat to W.L. Gore, the venerable maker of Gore-Tex and a host of other pioneering materials and products as diverse as synthetic vascular grafts, Elixir guitar strings, and Glide dental floss. Lauded as "the world's most innovative company" time and time again, Gore's wholly original (and endlessly inspirational) model for creating a true democracy of innovation is firmly rooted in the story of founder Bill Gore. More than half a century ago, in 1958, Bill Gore quit DuPont to start a business aimed at imagining and commercializing new uses for polytetrafluoroethylene (PTFE)—the material popularized as Gore-Tex. But he wasn't simply interested in inventing new materials or selling products, he was bent on creating an entirely new kind of company—one that unleashed and inspired every person in it, one that put as much energy into finding the next big thing as milking the last big thing, one that was robustly profitable and uniquely human. Bill Gore concevied of W.L. Gore as a kind of experiment in management innovation—one that is still ongoing. The questions that drove him at founding are crucial questions managers everywhere must grapple with today: Was it possible to build a company with no hierarchy—where everyone was free to talk with everyone else? How about a company where there were no bosses, no supervisors, no managers and no vice presidents?  Could W. L. Gore preserve a sense of family and collegiality...

Words: 955 - Pages: 4