Accountability from employees is needed (Theory X) and flexibility and creativity is needed as well (Theory Y). Some people prefer micromanaging and leading, and some people prefer giving space. What might be less immediately understandable are the differing effects of Theory X and Y on resulting behavior and productivity. Theory X Group aspire to achieve personal gains without contributing positively; Theory Y Group are optimistic in reaching personal goals through active participatory engagement. In the process of building their power base, effective leaders have discovered that the use of coercive power tends to dilute the effectiveness of other powers, while the development and use of referent power tends to magnify the effectiveness of other forms of power. The hard approach to motivation relies on coercion, implicit threats, micromanagement, and tight controls essentially an environment of command and control. Theory X managers believe all actions should be traceable to the individual responsible. These credits give the individual a status that allows him to influence the direction that the group takes as it works to achieve its goals.27. Theory X Advertising, Public relations, Marketing and Consumer Behavior, Psychology, Behavioral And Social Science. 17 chapters | The Theory Y manager generally believes employees want responsibility and will perform up to expectations if given clear direction and goals. are not subject to the Creative Commons license and may not be reproduced without the prior and express written Leonard Bernstein was part of the symphony, but his role as the New York Philharmonic conductor differed dramatically from that of the other symphony members. Most managers generally use the mixture of the two theories. A manager's behavior and expectations are as contagious as the plague. Theory Y managers believe that _____. The managers who are categorized as a Theory X leaders in general believe that the subordinates fail to live up to the corporate expectations hence assume that subordinates are just influenced with rewards as well as monetary rather than fulfilling the stated corporate objectives. Grace Hopper, retired U.S. Navy admiral, draws a distinction between leading and managing: You dont manage people, you manage things. Discover each theory and the respective qualities of each, as well as how self-fulfilling prophecies come into play for managers. Most people avoid responsibility and need constant direction. Theory Zalso makes assumptions about company culture. Managerial Functions in the International Organization. Many startups and new organizations use Theory Y by using flexible deadlines and less controlling supervisors. b.employees are motivated mainly by the chance for advancement and recognition. A lot of control and supervision could lead to resentment and will not help in facilitating innovative or creative ideas. Work can be as natural as play if the conditions are favorable. Get unlimited access to over 84,000 lessons. In a strict environment with little autonomy, workers were indeed unhappy and lacking ambition. "C2 Re-Envisioned: the Future of the Enterprise." b.employees are motivated mainly by the chance for advancement and recognition. Different types of power elicit different forms of compliance: Leaders who rely on coercive power often alienate followers who resist their influence attempts. While these contrasting management styles might be easily recognizable in todays technology-driven world, they were novel thoughts at one point, developed through research and observation by a workplace thought leader. [7] Implementing a system that is too soft could result in an entitled, low-output workforce. [6] Managers who believe employees operate in this manner are more likely to use rewards or punishments as motivation. B employees are primarily motivated by opportunities for advancement and recognition. Employees are initially obedient, but eventually dissatisfied and even rebellious, driving down productivity and achieving contradictory outcomes, further reinforcing the belief that workers are lazy and have to be externally motivated. Theory Y managers gravitate towards relating to the worker on a more personal level, as opposed to a more conductive and teaching-based relationship. As such, it is these higher-level needs through which employees can best be motivated. As a result, they think that team members need to be prompted, rewarded or punished constantly to make sure that they complete their tasks. [6] Management professor William Ouchi argued that Western organizations could learn from their Japanese counterparts. "Theory X and Theory Y, Douglas McGregor", "Employee Management: Are You X or Are You Y", "Theory X and Theory Y: Understanding People's Motivations", A diagram representing Theory X and Theory Y, Another diagram representing Theory X and Theory Y, https://en.wikipedia.org/w/index.php?title=Theory_X_and_Theory_Y&oldid=1136635549, Creative Commons Attribution-ShareAlike License 3.0, This page was last edited on 31 January 2023, at 10:10. According to McGregor, Theory X managementassumes the following: Essentially, Theory X assumes that the primary source of employee motivation is monetary, with security as a strong second. Interactive, participative style of managing. job satisfaction is primarily related to higher order needs. Theory X managers believe employees must be controlled to meet organizational goals. Theory Y is used by managers who believe employees are responsible, committed and self-motivated. It is important to recognize that the traits possessed by certain individuals contribute significantly to their emergence as leaders. Most people are not ambitious, have little desire for responsibility, and prefer to be directed. Practically all managers act as formal leaders as part of their assigned role. The rationale for the drawn-out time frame is that it helps develop a more dedicated, loyal, and permanent workforce, which benefits the company; the employees, meanwhile, have the opportunity to fully develop their careers at one company. d. job satisfaction is primarily related to higher order needs. Theory Y managers assume employees are internally motivated, enjoy their job, and work to better themselves without a direct reward in return. It is possible that the originator, and subsequent researchers, of these contrasting theories did not place much emphasis on these attributes as being inherent in humans, but workplace reality suggests these two distinct facts are real. D. Job satisfaction is mostly related to higher order needs. In short, he studied heavily how our beliefs shape our behavior and thus how that behavior shapes the behavior of those around us. When employees rise to a higher level of management, it is expected that they will use Theory Z to bring up, train, and develop other employees in a similar fashion. All rights reserved. These managers view their employees as one of the most valuable assets to the company, driving the internal workings of the corporation. This theory is also likely to be used when the work in the organization is repetitive and employees are likely to get bored and need some control. Theory X works on the belief that employees are lazy and need to be micromanaged. Use this quiz to check your understanding and decide whether to (1) study the previous section further or (2) move on to the next section. [4], McGregor also believed that self-actualization was the highest level of reward for employees. Behavior management theorist Douglas McGregor posited Theory X and Theory Y which hold that there are two types of managers: ones who assume a positive view of their workers, and ones who assume a negative view. 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. Try refreshing the page, or contact customer support. 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. http://www.envisionsoftware.com/articles/Theory_X.html, https://pixabay.com/en/idea-businessman-man-outline-suit-1460935/, http://vle.du.ac.in/mod/book/view.php?id=8344&chapterid=10377, CC BY-NC-SA: Attribution-NonCommercial-ShareAlike, https://commons.wikimedia.org/wiki/File:Toyota_Plant_Ohira_Sendai.jpg. A directive autocrat retains power, makes unilateral decisions, and closely supervises workers activities. 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. Reward and legitimate power (that is, relying on ones position to influence others) produce inconsistent results. If you agree with Riya, you will likely agree with Theory Y, which refers to a more participative style of managing. Most employees know more about their job than the boss. Work is inherently distasteful to most people, and they will attempt to avoid work whenever possible. Most managers will likely use a mixture of Theory X and Theory Y. Pacesetting Leadership: What It Is and When to Use It, 3 Leadership Principles to Foster Team Success, The 4 phases of the project management life cycle, The go-to toolkit for effortless documentation. An error occurred trying to load this video. He mentioned Theory X and Theory Y in his book, The Human Side of Enterprise, published in 1960. [14] Mission Command, for example, is a command philosophy to which many modern military establishments aspire, and which involves individual judgment and action within the overall framework of the commander's intent. The permissive democratic approach to leadership is characteristic of leadership in high-involvement organizations. Plus, get practice tests, quizzes, and personalized coaching to help you This management style assumes that the typical worker has little ambition, avoids responsibility, and is individual-goal oriented. Because of this, a Theory X approach may be necessary although I believe it's best to give people the benefit of the doubt and go with a more empowering approach to begin with. Goal-Setting Theory in Management: Definition & Examples, Five Dimensions of Trustworthy Leadership, Herzberg Two-Factor Theory | Hygiene Factors & Motivation. Theory X managers are likely to believe that: A.the average person dislikes work and will seek to avoid it when possible. Back in the 1950s and 60s, MIT School of Management student Douglas McGregor published a theory on different types of workers. This generally involves a more 'hands-on' approach and inevitably micromanaging your team's workload to ensure it is done to . The secret to their success was not what they were producing but how they were managing their peopleJapanese employees were engaged, empowered, and highly productive. Theory X and Y: An overview. Managers who assume employees are apathetic or dislike their work use theory X, which is authoritarian. But there are times when management is less about leadership and more about the staunch enforcement of rules and micromanagement of production. In fact, most work groups contain at least one informal leader. | 10 They are not inherently irresponsible or lazy. Leaders who rely solely on their legitimate power and authority seldom generate the influence necessary to help their organization and its members succeed. He was particularly interested in what motivates people to work hard, in particular on what belief systems motivate people to work hard. But . Theory X managers are likely to believe that employees are lazy, fear-motivated, and in need of constant direction. Most people are gullible and unintelligent. Theory X management, defined by Douglas McGregor in 1960, is a behavioral style for workplace management. Here, managers see employees as responsible and proactive. the average person dislikes work and will seek to avoid it when possible. Many workplaces originally utilized Theory X, which believes that employees are lazy and unproductive. He would try to constantly control the employees, leading to resentment and exhaustion in the employees, leading to a turnover. [11], For McGregor, Theory X and Theory Y are not opposite ends of the same continuum, but rather two different continua in themselves. [4] This led companies to focus on how their employees were motivated, managed, and led, creating a Theory Y management style which focuses on the drive for individual self-fulfillment. 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