Theory X and Theory Y are two contrasting models of how your work force can be motivated. Theory X management hinders the satisfaction of higher-level needs because it doesn't acknowledge that those needs are relevant in the workplace. succeed. In order to achieve the most efficient production, a combination of both theories may be appropriate. the average person dislikes work and will seek to avoid it when possible. Typically, managers who apply theory X are more authoritarian. They also dislike change and tend to resist it at all costs. Where a Theory X manager might threaten loss of employment in order to get employees to work on a Saturday, a Theory Y manager might appoint a temporary leadership title to anyone who chooses to show up to work on a Saturday. One of the critical difference between theory Y and theory X is that employees in theory X are associated with adverse traits while employees under theory Y are associated with positive characteristics. People will be self-directed and creative to meet their work and organizational objectives if they are committed to them. [11], For McGregor, Theory X and Theory Y are not opposite ends of the same continuum, but rather two different continua in themselves. most workers seek out more resonsibilityTheory Y managers prefera. Todays digital workplace, however, is a place of collaboration. Leaders hold a unique position in their groups, exercising influence and providing direction. d. job satisfaction is primarily related to higher-order needs. Finally, Theory Z assumes that given the right management support, workers can be trusted to do their jobs to their utmost ability and look afterfor their own and others well-being. lessons in math, English, science, history, and more. Social or (interpersonal) influence is ones ability to effect a change in the motivation, attitudes, and/or behaviors of others. A doctor in charge of a hastily constructed shelter for victims of a tornado may use this style to command nonmedical volunteers. In short, he studied heavily how our beliefs shape our behavior and thus how that behavior shapes the behavior of those around us. 1999-2023, Rice University. 147 lessons As a result, the only way that employees can attempt to meethigher-level needs at work is to seek more compensation, so, predictably, they focus on monetary rewards. Reward and legitimate power (that is, relying on ones position to influence others) produce inconsistent results. Informal leaders are acknowledged by the group, and the group willingly responds to their leadership. Theory Y managers are likely to believe that employees are motivated by the value of their contribution. Theory X explains the importance of heightened supervision, external rewards, and penalties, while Theory Y highlights the motivating role of job satisfaction and encourages workers to approach tasks without direct supervision. are not subject to the Creative Commons license and may not be reproduced without the prior and express written Jack Welch was the formal leader of General Electric, and Leonard Bernstein was the formal leader of the symphony. Research suggests that rationality is the most effective influence tactic in terms of its impact on follower commitment, motivation, performance, satisfaction, and group effectiveness.30. The use of rationality, expert power, and/or moralistic appeal generally elicits commitment and the internalization of the leaders goals.29, Leaders who use referent and expert power commonly experience a favorable response in terms of follower satisfaction and performance. Think about a conveyor belt of automotive parts with workers and machines lined side by side, each tasked with applying a specific skill to the production processtightening a bolt, applying a hinge, taping up a box to be shipped, etc. He mentioned Theory X and Theory Y in his book, The Human Side of Enterprise, published in 1960. Very few practice either being autocratic or democratic completely. As a result of this members contributions to the groups goals, he has accumulated idiosyncrasy credits (a form of competency-based status). As a consequence, they exert a highly controlling leadership style. The result was Theory Za developmentbeyond Theory X and Theory Y thatblended the best of Eastern and Western management practices. When researchers study trends in occupational inequality they usually focus on distribution or allocation pattern of groups across occupations, for example, the distribution of men compared to women in a certain occupation. In general, Theory X style managers believe their employees are less intelligent, lazier, and work solely for a sustainable income. This style is appropriate when participation has both informational and motivational value, when time permits group decision-making, when group members are capable of improving decision quality, and when followers are capable of exercising self-management in their performance of work. In 1960, Douglas McGregor published two theories (Theory X & Theory Y) of employee motivation based on the assumptions that managers make about employees. You lead people.23 Informal leaders often have considerable leverage over their colleagues. Under these conditions, people will seek responsibility. Market Segmentation Types & Examples | What is Market Segmentation? Several assumptions form the basis for this theory. An error occurred trying to load this video. Theory X managers are likely to believe that employees are lazy, fear-motivated, and in need of constant direction. Theory X managers have a pessimistic view of their employees and assume that they are naturally unmotivated and hate work. He believed that workers who were continuously being treated as robots with no thinking ability, at one point eventually start behaving like robots. Finally, the permissive democrat shares power with group members, soliciting involvement in both decision-making and execution. Leaders who rely on reward power develop followers who are very measured in their responses to [what? [7] Implementing a system that is too soft could result in an entitled, low-output workforce. Project Management. They need an interactive and safe environment with opportunities for growth, learning and creativity. A crisis could also demand more control and thus, this theory can come in handy. Work in organizations that are managed like this can be repetitive, and people are often motivated with a "carrot and stick" approach. This theory has also been criticized for being too idealistic and unachievable by some critics. [7] McGregor believes both ends of the spectrum are too extreme for efficient real-world application. Management professor William Ouchi argued that Western organizations could learn from their Japanese counterparts. 277. As a result, they think that employees need to be prompted, rewarded or punished regularly to make sure that they perform their tasks. Theory X holds a pessimistic view of employees in the sense that they cannot work in the absence of incentives. Empirical evidence concerning the validity of Theory X and Theory Y, however, was mixed. They also dislike change and tend to resist it at all costs. Plus, get practice tests, quizzes, and personalized coaching to help you Want to cite, share, or modify this book? As a Theory X manager, Xavier believes that his workers: Xavier assumes that his employees show up for work for their paycheck and the security that a regular, paying job offers. They do not always need coercion, incentives or force to complete their work. Theory Y is based on positive assumptions regarding the typical worker. McGregor's Theory X and Theory Y is about judging the needs and character of your people. then you must include on every digital page view the following attribution: Use the information below to generate a citation. Theory X represents a negative view of human nature that assumes individuals generally dislike work, are irresponsible, and require close supervision to do their jobs. It views job rotations and continual training as a means of increasing employees knowledge of the company and its processes while buildinga variety of skills and abilities. One view holds that in traditional organizations members expect to be told what to do and are willing to follow highly structured directions. B. most employees know more about their job than the boss. [8] This approach can potentially yield a hostile, minimally cooperative workforce and resentment towards management. [6] Managers are always looking for mistakes from employees, because they do not trust their work. Theory X and Theory Y thinking and leadership are not strictly an American phenomenon. 219.Theory X managers are likely to believe that: A. the average person dislikes work and will seek to avoid it when possible. Another colleague, Joseph, sees him as a worker who performs just for the sake of money. If Theory Y holds true, an organization can apply the followingprinciples of scientific management to improve employee motivation: If properly implemented, such an environment canincrease and continually fuelmotivation as employees work to satisfy their higher-level personal needs through their jobs. Theory X managers tend to take a pessimistic view of their people, and assume that they are naturally unmotivated and dislike work. Most people are gullible and unintelligent. Many workplaces originally utilized Theory X, which believes that employees are lazy and unproductive. Both sides seek to satisfy some personal pleasures and needs. He wrote on leadership as well. This unique platform allows team leaders to share visuals with teammates, work together on projects in real time, comment on documents and project updates, and work collaboratively with up-to-the-minute feedback. It is believed that managers who adopted theory X produce poor results while managers who take theory Y are likely to deliver better . He explained this concept in his book "The Human side of Enterprise". 4. Enlightened managers use Theory Y, which produces better performance and results, and allows people to grow and develop. This is because; Theory X reduces the people to 'clogs in machine' and is more likely to de-motivate people in the long-run. Management use of Theory X and Theory Y can affect employee motivation and productivity in different ways, and managers may choose to implement strategies from both theories into their practices. citation tool such as, Authors: David S. Bright, Anastasia H. Cortes. Studies have shown that the Theory X style of management results in tight control, strict policies, and a punishment and rewards system that reinforces beliefs. The theories attempt to show how a manager's perception of his team affects the . job satisfaction is primarily related to higher order needs. This leader behavior is recommended when decision-making time is limited, when tasks are routine, or when organizational members have sufficient expertise to determine appropriate role behaviors. They were created by Douglas McGregor while he was working at the MIT Sloan School of Management in the 1950s, and developed further in the 1960s. Theory X and Y: An overview. McGregor and Maslow respected each other and used each others theories in their work. Essentially, if you hold people to a certain expectation - whether that's good or bad - your own actions as a manager will influence those employees to act accordingly. It is also used in unskilled labor organizations or production firms. In sum, one key to effective leadership, especially as it pertains to the exercise of social and interpersonal influence, relates to the type of power employed by the leader. They think most employees are only out for themselves and their sole interest in the job is to earn money. McGregor cautioned both types of managers against what he called self-fulfilling prophecies, whereby an employee will act just as the manager assumed he or she would due to the manager's own actions and behaviors. Why were U.S. consumers clambering forcars, televisions, stereos, and electronics fromJapan? These managers also believe employees would rather . It refers to the management style that follows a more participative, interactive and optimistic approach. How do the theories of Tannenbaum and Schmidts leadership continuum and McGregors Theory X and Theory Y attempt to define leadership? They can have creativity, innovation and potential skills that they can use to solve problems or to perform effectively. [8] As a result, Theory Y followers may have a better relationship with their boss, creating a healthier atmosphere in the workplace. The hard approach to motivation relies on coercion, implicit threats, micromanagement, and tight controls essentially an environment of command and control. Here, managers see employees as lazy and not proactive towards their work. Individuals attracted to high-involvement organizations, however, want to make their own decisions, expect their leaders to allow them to do so, and are willing to accept and act on this responsibility. Micro-managers believe that they must oversee every single task assigned to the employee, and they believe employees will try . Sherri has taught college business and communication courses. Elton Mayo's Theory of Management |Overview & History, Charisma in Leadership | Charismatic Examples & Theory. Theory Y managers believe that _____. McGregor's X-Y theory is a salutary and simple reminder of the natural rules for managing people, which under the pressure of day-to-day business are all too easily forgotten. If you are redistributing all or part of this book in a print format, Just like formal leaders, informal leaders can benefit or harm an organization depending on whether their influence encourages group members to behave consistently with organizational goals. Theory X managers are likely to believe that: A.the average person dislikes work and will seek to avoid it when possible. As a Theory Y manager, Yoko believes her employees: Yoko assumes that her employees are full of potential and that it is her role as a manager to help develop that potential so that the employee can work towards a common organizational goal. A compliment or reward from a person we like generally has greater value than one from someone we dislike, and punishment from someone we love (such as tough love from a parent) is less offensive than the pain inflicted by someone we dislike.31. 5. 9899. If you continue to use this site we will assume that you are happy with it. B.most employees know more about their job than the boss. is based on negative assumptions regarding the typical worker. A ) This could additionally lead to a bad reputation. The latter theory proposes that employees and managers can achieve a collaborative and trust-based relationship. went on to propose his own model of workplace motivation, Theory Z. This website helped me pass! This is a negative view of the nature of workers. A group often turns to the member who possesses the knowledge, skills, and abilities that the group requires to achieve its goals.25 People surrender their power to individuals whom they believe will make meaningful contributions to attaining group goals.26 The individual to whom power is surrendered is often a member of the group who is in good standing. Xavier is a Theory X manager. O most employees know more about their job than the boss. It is important to recognize that the traits possessed by certain individuals contribute significantly to their emergence as leaders. Consider these assumptions from the different managerial styles: Most people find happiness in hard work under the right conditions. McGregor makes the point that a command-and-control environment is not effective because it relies on lower needs for motivation, but in modern society those needs are mostly satisfied and thus are no longer motivating. https://openstax.org/books/principles-management/pages/1-introduction, https://openstax.org/books/principles-management/pages/13-3-leader-emergence, Creative Commons Attribution 4.0 International License. [13], Theory X and Theory Y also have implications in military command and control (C2). McGregor stressed that Theory Y management does not imply a soft approach. On the other hand, more modern, network-centric, and decentralized concepts of C2, that rely on individual initiative and self-synchronization, tend to arise more from a "Theory Y" philosophy. C.employees are motivated mainly by the chance for advancement and recognition.D.job satisfaction is primarily related to higher-order needs. I feel like its a lifeline. He focused on employees basic needs during the formulation of Theory X whereas during the making of Theory Y, higher needs from the hierarchy of needs model were utilized. Also, participative decision-making may not always be feasible or successful due to the nature of the work or the willingness of the workers. As we have noted, leadership is the exercise of influence over those who depend on one another for attaining a mutual goal in a group setting. However, one person who seemed to be unafraid of self-inflicted explosions was Douglas McGregor, a behavior management theorist who was heavily influenced by both Abraham Maslow and the Hawthorne Studies. Can come in handy //openstax.org/books/principles-management/pages/13-3-leader-emergence, creative Commons attribution 4.0 International License each others in... May be appropriate others theories in their work being too idealistic and unachievable by some critics X and Y. 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