Theory Y managers gravitate towards relating to the worker on a more personal level, as opposed to a more conductive and teaching-based relationship. Leaders hold a unique position in their groups, exercising influence and providing direction. [12] On the contrary, managers who choose the Theory Y approach have a hands-off style of management. It helped me pass my exam and the test questions are very similar to the practice quizzes on Study.com. Theory X managers are likely to believe that: a. the average employee dislikes work and will seek to avoid it when possible. Theory X managers and supervisors are sometimes called micro-managers. Self-determination Theory Self-determination theory suggests that people are motivated to grow and change by three Which of the following is a behavior that would most likely b 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. McGregor proposed that there were two types of managers: ones who assumed a negative view of their employees, also known as the Theory X managers, and others who assumed a positive view of workers, or the Theory Y managers. 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. In this situation, one would expect employees to dislike their work, avoid responsibility, have no interest in organizational goals, resist change, etc.creating, in effect, a self-fulfilling prophecy. Many writers and researchers have explored how leaders can use power to address the needs of various situations. job satisfaction is primarily related to higher-order needs. 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. If you believe that your team members dislike work and have little natural motivation to do a good job, then according to McGregor, you likely use an authoritarian style of management. Situational Leadership Theory & Styles | What is Situational Leadership? He wrote on leadership as well. [3] Maslow's hierarchy of needs consists of physiological needs (lowest level), safety needs, love needs, esteem needs, and self-actualization (highest level). Theory Y results in an arrangement whereby individuals can achieve their own goals and happily accomplish the organizations goals at the same time. Management believes employees' work is based on their own self-interest. They need an interactive and safe environment with opportunities for growth, learning and creativity. The power base in many organizations shifted to marketing as competition became a game of advertising aimed at differentiating products in the consumers mind. Theory Y managers favor a more collaborative approach, centering their leadership on trust, valuing creative problem solving, and managing by way of providing their employees with tools, opportunities, and visibility to do their jobs well. Theory X, although outdated, is still used in larger firms, wherein a higher number of people are employed and deadlines are to be met. Vassiliou, Marius, David S. Alberts, and Jonathan R. Agre (2015). A surgeon might allow the entire surgical team to participate in developing a plan for a surgical procedure. According to the Theory of X and Y, there are 2 categories of managers . [4] The workplace lacks unvarying rules and practices, which could potentially be detrimental to the quality standards of the product and strict guidelines of a given company. About 1015 years ago, power and leadership once again shifted, this time to people with finance and legal backgrounds, because the critical contingencies facing many organizations were mergers, acquisitions, hostile takeovers, and creative financing. Slow promotions, group decision-making, and life-time employment may not be a good fit with companies operating in cultural, social, and economic environments where those work practicesare not the norm. Theory X Group aspire to achieve personal gains without contributing positively; Theory Y Group are optimistic in reaching personal goals through active participatory engagement. Yoko must also try to harness the motivational energy of her employees through things such as giving them more autonomy, responsibility, power, trust and feedback and involving them in the decision-making process. A directive autocrat retains power, makes unilateral decisions, and closely supervises workers activities. On the other hand, if you believe that your people take pride in their work and see it as a challenge, then you'll more likely adopt a participative management style . This approach is usually taken by managers working in older companies and firms. Theory X managers tend to take a pessimistic view of their people, and assume that they are naturally unmotivated and dislike work. As a result, they think that team members need to be prompted, rewarded or punished constantly to make sure that they complete their tasks. It is believed that managers who adopted theory X produce poor results while managers who take theory Y are likely to deliver better . Based on these factors, it is easy to see how Theory X differs from Theory Y and easy to imagine their potential outcomes in the workplace. Management Styles Theories, Types & Examples | What is Management Style? All rights reserved. 9899. Theory X. Theory Y managers believe employees would be motivated to meet goals in the absence of organizational controls, given favorable conditions. At Quad/Graphics, president Harry V. Quadracci is a permissive democrat because he encourages all Quad employees to play a major role in decision-making and execution as they manage their teams as independent profit centers. As a member, you'll also get unlimited access to over 84,000 Power, then, essentially answers the how question: How do leaders influence their followers? 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. Theory X management is substantially a matter of crafting positive and negative incentives, such as bonuses or other rewards for meeting targets, or progressive discipline for falling short, which may include remedial training. d. job satisfaction is primarily related to higher order needs. Research indicates that people are unlikely to follow individuals who, for example, do not display drive, self-confidence, knowledge of the situation, honesty, and integrity. Using this theory in these types of work conditions allows employees to specialize in particular work areas which in turn allows the company to mass-produce a higher quantity and quality of work. 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. This ensures work stays efficient, productive, and in-line with company standards.[9]. Older, strictly hierarchical conceptions of C2, with narrow centralization of decision rights, highly constrained patterns of interaction, and limited information distribution tend to arise from cultural and organizational assumptions compatible with Theory X. Coercive power can result in favorable performance, yet follower and resistance dissatisfaction are not uncommon. People will be self-directed and creative to meet their work and organizational objectives if they are committed to them. This is because; Theory X reduces the people to 'clogs in machine' and is more likely to de-motivate people in the long-run. If you are redistributing all or part of this book in a print format, People will be committed to their quality and productivity objectives if rewards are in place that address higher needs such as self-fulfillment. A manager dealing with a group of experts would likely use this theory and give them freedom and space to work. The informal leader is that individual whom members of the group acknowledge as their leader. Most employees know more about their job than the boss. Modern work gets done through the connection of ideas: The better your ideas and the more efficient your connection, the better off your company will fare in this rapidly changing economy and industry. Motivation occurs only at the physiological and security levels of Maslows hierarchy of needs. Theory Y is used by managers who believe employees are responsible, committed and self-motivated. Theory X managers are likely to believe that: A.the average person dislikes work and will seek to avoid it when possible. Reward and legitimate power (that is, relying on ones position to influence others) produce inconsistent results. One view holds that in traditional organizations members expect to be told what to do and are willing to follow highly structured directions. Theory X managers have a pessimistic view of their employees and assume that they are naturally unmotivated and hate work. Theory X managers believe all actions should be traceable to the individual responsible. [7] Implementing a system that is too soft could result in an entitled, low-output workforce. Theory X managers are likely to believe that employees are lazy, fear-motivated, and in need of constant direction. They can only work under fear, and proper supervision. When I say X, I don't mean the type that marks a treasure - in fact, quite the opposite is true. 5. They are not lazy at all. Most people are not ambitious, have little desire for responsibility, and prefer to be directed. But . a Theory X Manager typically believes their staff: dislike their work / are lazy cannot be trusted need to be closely supervised / micro-managed dislike or avoid responsibility have no inherent incentive or desire to work lack ambition work only for pay or because they have to have to be driven by rewards or punishment Also, participative decision-making may not always be feasible or successful due to the nature of the work or the willingness of the workers. Theory X is a management style and way of thinking that suggests people are purely motivated by earning income to support their personal goals. According to Theory Z, people want tomaintain a work-life balance, and they value a working environment in which things like family, culture, and traditions are considered to be just as important as the work itself. While Theory X managers may be suited for some process-driven organizations, a more practical management style today is that of a Theory Y thinker. In fact, most work groups contain at least one informal leader. Try refreshing the page, or contact customer support. It refers to the management style that believes in authoritarian and controlling behavior. [4], McGregor also believed that self-actualization was the highest level of reward for employees. Except where otherwise noted, textbooks on this site Equity Theory of Motivation | Components, Importance & Examples, Business 307: Leadership & Organizational Behavior, Hospitality 309: Food & Beverage Service & Operations, Business 209: Mentoring & Leadership Development in the Workplace, Business 313: Organizational Communication, Psychology 107: Life Span Developmental Psychology, SAT Subject Test US History: Practice and Study Guide, SAT Subject Test World History: Practice and Study Guide, Geography 101: Human & Cultural Geography, Intro to Excel: Essential Training & Tutorials, Create an account to start this course today. Are inherently lazy, lack ambition and prefer to be directed on what to do rather than assume responsibility on their own. Micromanagement is not looked at positively in todays scenario, leading to Theory Y being the most productive way of management. Its like a teacher waved a magic wand and did the work for me. 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. 4. Decision making became centralized and control was established through a chain of command where workers were not being provided an opportunity to contribute to the process. Ouchis Theory Z makes certain assumptions about workers. 1999-2023, Rice University. Under Theory Z management, not only do workers have a sense of cohesion with their fellow workers, they also develop a sense of order, discipline, and a moral obligation to work hard. A study of 3,600 managers from 14 countries reveals that most of them held assumptions about human nature that could best be classified as Theory X.37 Even though managers might publicly endorse the merits of participatory management, most of them doubted their workers capacities to exercise self-direction and self-control and to contribute creatively.38, Contemplating the central role of problem-solving in management and leadership, Jan P. Muczyk and Bernard C. Reimann of Cleveland State University offer an interesting perspective on four different leadership styles (see Exhibit 13.7) that revolve around decision-making and implementation processes.39. 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. He mentioned Theory X and Theory Y in his book, The Human Side of Enterprise, published in 1960. b. 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. In many instances, people are put into positions of leadership by forces outside the group. A ) Occupational inequality is the unequal treatment of people based on gender, sexuality, height, weight, accent, or race in the workplace. In Theory X, Douglas McGregor summarizes the traditional view of management in a number of characteristic assumptions in which autocratic leadership style, close supervision and the hierarchical principle are the key elements. In order to achieve the most efficient production, a combination of both theories may be appropriate. Organizations have two kinds of leaders: formal and informal. Often, the formal leader is appointed by the organization to serve in a formal capacity as an agent of the organization. McGregors Theory X and Theory Y posits two different sets of attitudes about the individual as an organizational member.36 Theory X and Y thinking gives rise to two different styles of leadership. Theory Y is based on positive assumptions regarding the typical worker. Learn about motivation in the workplace . I would definitely recommend Study.com to my colleagues. A variation on this theme is the concept of situational leadership, which advocates using different styles of management in different circumstances. Managers who assume employees are apathetic or dislike their work use theory X, which is authoritarian. As a Theory X manager, Xavier believes that his workers: Hate the idea of having to go to work and do so only to earn a paycheck and the security that it offers. Many consider such actions necessary for self-managing work teams to succeed. This allows the individual to receive either a direct reward or a reprimand, depending on the outcome's positive or negative nature. Theory Y, on the other hand, presents a positive view of human . 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. Douglas McGregor introduced Theory X and Theory Y to explain different styles of management. B. most workers know more about their job than the boss. In this capacity, leadership can be seen as a differentiated role and the nucleus of group activity. 17 chapters | 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. As soon as that need is satisfied, the employees have no additional motivation for coming to work. His main ideas broke down into two options, Theory X and Theory Y. They typically allow organizational members significant amounts of discretion in their jobs and encourage them to participate in departmental and organizational decision-making. O most employees know more about their job than the boss. 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 OpenStax name, OpenStax logo, OpenStax book covers, OpenStax CNX name, and OpenStax CNX logo The capacity for creativity spreads throughout organizations. A lot of young entrepreneurs do not keep hierarchical within their company and believe in the willingness and interest of their employees. employees are motivated mainly by the chance for advancement and recognition. Project Management. The employee is not responsible and hence must be supervised or directed towards the goal of the organization. An organization with this style of management is made up of several levels of supervisors and managers who actively intervene and micromanage the employees. Answer the question(s) below to see how well you understand the topics covered above. This management style assumes that the typical worker has little ambition, avoids responsibility, and is individual-goal oriented. Employees are given rewards and incentives, prompted, punished, coerced or forced into working. 22nd International Command and Control Research and technology Symposium (ICCRTS). The benefits of Theory Z, Ouchi claimed, would bereduced employee turnover, increasedcommitment, improvedmorale and job satisfaction, and drastic increases in productivity. I think there is a little misconception here. 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. If you agree with Joseph, you will likely agree with Theory X, which refers to a more authoritarian style of managing. Theory X holds a pessimistic view of employees in the sense that they cannot work in the absence of incentives. Theory X managers are likely to believe that: most employees know more about their job than the boss. the average person dislikes work and will seek to avoid it when possible. They are not lazy at all. Human Relations Theory Overview & Timeline | What are Human Relations? [4] McGregor's perspective places the responsibility for performance on managers as well as subordinates.[5]. [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. 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. Management believes employees' work is based on their own self-interest. 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. "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. Little ambition, avoids responsibility, and in-line with company standards. 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