What might be less immediately understandable are the differing effects of Theory X and Y on resulting behavior and productivity. Managers following Theory Y believe that employees are willing to work and put effort into their performances. Theory X managers tend to take a pessimistic view of their people, and assume that they are naturally unmotivated and dislike work. Here, managers see employees as responsible and proactive. lessons in math, English, science, history, and more. The soft approach, however, is to be permissive and seek harmony in the hopes that, in return, employees will cooperate when asked. 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. 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. They can use self-direction and self-control in this aspect. McGregor acknowledged both types of managers as being a legitimate means of motivating employees, but he felt that you would get much better results through the use of Theory Y rather than Theory X. copyright 2003-2023 Study.com. ]; the use of rewards often leads people to think in terms of How much am I getting? or How much should I give? or Am I breaking even? The use of referent power produces identification with the leader and his cause. What is the role of the leader and follower in the leadership process? McGregor and Maslow respected each other and used each others theories in their work. [13], Theory X and Theory Y also have implications in military command and control (C2). Theory X starts from the assumption that people are naturally lazy, want to avoid work as much as possible, do not wish to take responsibility, have no . Theory X and Y: An overview. In general, Theory X style managers believe their employees are less intelligent, lazier, and work solely for a sustainable income. They are inherently lazy, lack ambition and prefer to be directed on what to do rather than assume responsibility on their own. 5. Management professor William Ouchi argued that Western organizations could learn from their Japanese counterparts. As a member, you'll also get unlimited access to over 84,000 Drawing on Maslows hierarchy of needs, McGregor argues that a need, once satisfied, no longer motivates. 9899. People under Theory Y believe. It follows the idea that there is no single way to organize a company or make decisions. Theory Y managers, on the other hand, are more optimistic. | 10 A surgeon might allow the entire surgical team to participate in developing a plan for a surgical procedure. 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. Some employees may take advantage of this freedom and not meet their work objectives. Where a typical Theory X manager might require strict work hours, a Theory Y manager might offer employees a firm deadline, trusting them with the choice of when and how they will meet a productivity deadline. 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. 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. Increasingly, leaders in organizations will be those who best sell their ideas on how to complete a projectpersuasiveness and inspiration are important ingredients in the leadership equation, especially in high-involvement organizations.22. Theory X managers believe all actions should be traceable to the individual responsible. 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. But there are times when management is less about leadership and more about the staunch enforcement of rules and micromanagement of production. According to the Theory of X and Y, there are 2 categories of managers . This theory states that managers evaluate the workplace and choose their leadership style based upon both internal and external conditions presented. His main ideas broke down into two options, Theory X and Theory Y. He was one of the most impactful, popular writers in the management field and is credited for modern management thinking. Theory Y managers believe employees would be motivated to meet goals in the absence of organizational controls, given favorable conditions. In general, Theory X style managers believe their employees are less intelligent, lazier, and work solely for a sustainable income. Many writers and researchers have explored how leaders can use power to address the needs of various situations. 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. Make team leaders aware of the negative consequences of the Theory X management style and the positive consequences of the Theory Y management style. Theory X managers are likely to believe that employees are lazy, fear-motivated, and in need of constant direction. The capacity for creativity spreads throughout organizations. Proc. [4] Assumptions of Theory Y, in relation to Maslow's hierarchy put an emphasis on employee higher level needs, such as esteem needs and self-actualization. B.most employees know more about their job than the boss. 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. 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. Theory X managers are likely to believe that: A.the average person dislikes work and will seek to avoid it when possible. [7] The hard approach depends on close supervision, intimidation, and immediate punishment. Theory X Theory X managers are likely to believe that employees are lazy, fear-motivated, and in need of constant direction. [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. [12] On the contrary, managers who choose the Theory Y approach have a hands-off style of management. Motivation occurs only at the physiological and security levels of Maslows hierarchy of needs. Many leaders emerge out of the needs of the situation. CRC Press; New York; pp. 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. He wrote on leadership as well. This allows the individual to receive either a direct reward or a reprimand, depending on the outcome's positive or negative nature. Both theories are mostly used as a mixture in organizations and workplaces. Also, participative decision-making may not always be feasible or successful due to the nature of the work or the willingness of the workers. The theories attempt to show how a manager's perception of his team affects the . Humanistic psychologist Abraham Maslow, upon whose work McGregor drew for Theories X and Y, Theory Y managers believe that _____. Theory Y managers are likely to believe that employees are motivated by the value of their contribution. The Theory X leader assumes that the average individual dislikes work and is incapable of exercising adequate self-direction and self-control. "C2 Re-Envisioned: the Future of the Enterprise." Coercive power can result in favorable performance, yet follower and resistance dissatisfaction are not uncommon. Situational Leadership Theory & Styles | What is Situational Leadership? citation tool such as, Authors: David S. Bright, Anastasia H. Cortes. [2] It is important to note, however, that before an employee carries out their task, they must first obtain the manager's approval. Typically, managers who apply theory X are more authoritarian. C.employees are motivated mainly by the chance for advancement and recognition.D.job satisfaction is primarily related to higher-order needs. Organizations have two kinds of leaders: formal and informal. [10] In comparison to Theory X, Theory Y incorporates a pseudo-democratic environment to the workforce. The worker is assumed to be immature and viewed as being very gullible. A manager's behavior and expectations are as contagious as the plague. It helped me pass my exam and the test questions are very similar to the practice quizzes on Study.com. succeed. A formal leader is that individual who is recognized by those outside the group as the official leader of the group. Most people can handle responsibility because creativity and ingenuity are common in the population. People will use work to satisfy their lower needs and seek to satisfy their higher needs during their leisure time. Except where otherwise noted, textbooks on this site We recommend using a PEOPLE WILL SEEK INCREASED RESPONSIBILITY AND CHALLENGE AND WILL WORK HARD UNDER THE RIGHT CONDITIONS True or false: A research called the "New Generation" of Chinese organizational leaders found that the new generation group scored the same on individualism as the current and older generation groups. It mightseemthat the optimal approach to human resource management would lie somewhere between these extremes. 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. Most managers will likely use a mixture of Theory X and Theory Y. McGregor stressed that Theory Y management does not imply a soft approach. Finally, the permissive democrat shares power with group members, soliciting involvement in both decision-making and execution. 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. But . He mentioned Theory X and Theory Y in his book, The Human Side of Enterprise, published in 1960. Athletic teams often have informal leaders, individuals who exert considerable influence on team members even though they hold no official, formal leadership position. 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. Human Relations Theory Overview & Timeline | What are Human Relations? 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. What to do rather than assume responsibility on their own or negative nature explored how can. Employees are lazy, fear-motivated, and assume that theory x managers are likely to believe that: are inherently lazy, fear-motivated, and solely... 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