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Theory X and theory Y


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*Theory X and Theory Y* are theories of human motivation created and
developed by Douglas McGregor
<http://en.wikipedia.org/wiki/Douglas_McGregor> at the MIT Sloan School
of Management
<http://en.wikipedia.org/wiki/MIT_Sloan_School_of_Management> in the
1960s that have been used in human resource management
<http://en.wikipedia.org/wiki/Human_resource_management>, organizational
behavior <http://en.wikipedia.org/wiki/Organizational_behavior>,
organizational communication
<http://en.wikipedia.org/wiki/Organizational_communication> and
organizational development
<http://en.wikipedia.org/wiki/Organizational_development>. They describe
two very different attitudes toward workforce motivation. McGregor felt
that companies followed either one or the other approach. He also
thought that the key to connecting self-actualization with work is
determined by the managerial trust of subordinates.

Contents
[hide <#>]
* 1 Theory X <#Theory_X>
* 2 Theory Y <#Theory_Y>
* 3 Theory X and Theory Y combined <#Theory_X_and_Theory_Y_combined>
* 4 McGregor and Maslow's hierarchy <#McGregor_and_Maslow.27s_hierarchy>
* 5 Criticisms <#Criticisms>
* 6 See also <#See_also>
* 7 References <#References>

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Theory X
In this theory, which has been proven counter-effective in most modern
practice, management assumes employees are inherently lazy and will
avoid work if they can and that they inherently dislike work. As a
result of this, management believes that workers need to be closely
supervised and comprehensive systems of controls developed. A
hierarchical structure is needed with narrow span of control
<http://en.wikipedia.org/wiki/Span_of_control> at each and every level.
According to this theory, employees will show little ambition without an
enticing incentive program and will avoid responsibility whenever they
can. According to Michael J. Papa (Ph.D., Temple University; M.A.,
Central Michigan University; B.A., St. John’s University), if the
organizational goals are to be met, theory X managers rely heavily on
threat and coercion to gain their employee s compliance. Beliefs of this
theory lead to mistrust, highly restrictive supervision, and a punitive
atmosphere. The Theory X manager tends to believe that everything must
end in blaming someone. He or she thinks all prospective employees are
only out for themselves. Usually these managers feel the sole purpose of
the employee <http://en.wikipedia.org/wiki/Employee> s interest in the
job is money. They will blame the person first in most situations,
without questioning whether it may be the system, policy, or lack of
training that deserves the blame. A Theory X manager believes that his
or her employees do not really want to work, that they would rather
avoid responsibility and that it is the manager s job to structure the
work and energize the employee. One major flaw of this management style
is it is much more likely to cause Diseconomies of Scale
<http://en.wikipedia.org/wiki/Diseconomies_of_Scale> in large businesses.

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Theory Y
In this theory, management assumes employees /may be/ ambitious and
self-motivated and exercise self-control. It is believed that employees
enjoy their mental and physical work duties. According to Papa, to them
work is as natural as play^[1] <#cite_note-0> . They possess the ability
for creative problem solving, but their talents are underused in most
organizations. Given the proper conditions, theory Y managers believe
that employees will learn to seek out and accept responsibility and to
exercise self-control and self-direction in accomplishing objectives to
which they are committed. A Theory Y manager believes that, given the
right conditions, most people will want to do well at work. They believe
that the satisfaction of doing a good job is a strong motivation. Many
people interpret Theory Y as a positive set of beliefs about workers. A
close reading of The Human Side of Enterprise reveals that McGregor
simply argues for managers to be open to a more positive view of workers
and the possibilities that this creates. He thinks that Theory Y
managers are more likely than Theory X managers to develop the climate
of trust with employees that is required for human resource development.
It s here through human resource development that is a crucial aspect of
any organization. This would include managers communicating openly with
subordinates, minimizing the difference between superior-subordinate
relationships, creating a comfortable environment in which subordinates
can develop and use their abilities. This climate would include the
sharing of decision making so that subordinates have say in decisions
that influence them. This theory is a positive view to the employees,
meaning that the employer is under a lot less pressure than some one who
is influenced by a theory X management style.

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Theory X and Theory Y combined
For McGregor, Theory X and Y are not different ends of the same
continuum. Rather they are two different continua in themselves. Thus,
if a manager needs to apply Theory Y principles, that does not preclude
them from being a part of Theory X & Y.

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McGregor and Maslow s hierarchy
McGregor s work was based on Maslow s hierarchy of needs
<http://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needs>. He grouped
Maslow s hierarchy into "lower order" (Theory X) needs and "higher
order" (Theory Y) needs. He suggested that management could use either
set of needs to motivate employees. As management theorists became
familiar with Maslow s work, they soon realized the possibility of
connecting higher level needs to worker motivation. If organizational
goals and individual needs could be integrated so that people would
acquire self-esteem and, ultimately, self-actualization through work,
then motivation would be self-sustaining. Today, his Theory Y principle
influences the design of personnel policies, affects the way companies
conduct performance reviews, and shapes the idea of pay for performance.
According to the /Douglas McGregor: Theory X and Theory Y/ article, "He
is the reason we use the term human resources instead of personnel
department" says Brzezinski. "The idea that people are assets was
unheard of before McGregor."^[2] <#cite_note-1>

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Criticisms
Today the theories are seldom used explicitly, largely because the
insights they provided have influenced and been incorporated by further
generations of management theorists and practitioners. More commonly,
workplaces are described as "hard" versus "soft." Taken too literally
any such dichotomy including Theory X and Y seem to represent
unrealistic extremes. Most employees (and managers) fall somewhere in
between these poles. Naturally, McGregor was well aware of the heuristic
as opposed to literal way in which such distinctions are useful. Theory
X and Theory Y are still important terms in the field of management and
motivation. Recent studies have questioned the rigidity of the model,
but McGregor s X-Y Theory remains a guiding principle of positive
approaches to management, to organizational development
<http://en.wikipedia.org/wiki/Organizational_development>, and to
improving organizational culture
<http://en.wikipedia.org/wiki/Organizational_culture>.

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See also
* Theory Z <http://en.wikipedia.org/wiki/Theory_Z> - a later
work/organizational motivation theory which is likely derivative
of Theory Y
* Scientific management
<http://en.wikipedia.org/wiki/Scientific_management> - Another
management theory
* [1] <http://www.businessballs.com/mcgregorxytheorydiagram.pdf> A
free diagram of the Theory X and Theory Y

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&section=7>]
References
1. *^ <#cite_ref-0>* Papa, M.J., Daniels, T.D., & Spiker, B.K.
(2008). Organizational communication: Perspectives and trends.
Thousand Oaks, CA: Sage.
2. *^ <#cite_ref-1>* /Douglas McGregor: Theory X and Theory Y/.
Workforce; Jan2002, Vol. 81 Issue 1, p32,1/4p,1 bw.
Retrieved from "http://en.wikipedia.org/wiki/Theory_X_and_theory_Y"
Categories <http://en.wikipedia.org/wiki/Special:Categories>: Management
<http://en.wikipedia.org/wiki/Category:Management> | Organizational
studies and human resource management
<http://en.wikipedia.org/wiki/Category:Organizational_studies_and_human_resource
_management>
| Motivational theories
<http://en.wikipedia.org/wiki/Category:Motivational_theories> |
Organizational Communication
<http://en.wikipedia.org/w/index.php?title=Category:Organizational_Communication
&action=edit&redlink=1>
| Project management
<http://en.wikipedia.org/wiki/Category:Project_management>

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