MCGREGORS THEORY X AND Y

Douglas Mcgregor wrote the book “The human side

of enterprise” in 1960

He examined individuals behaviour at work.

From this he formulated two models of

management based on hierarchy into lower-order

needs (Theory X) and higher-order needs (Theory

Y).

These theories are based on human behaviour in

management.

It concludes dual aspects of human being.

He suggested that management could use either

set of needs to motivate

UNDERSTANDING THE THEORIES

Our management style is strongly influenced by our

beliefs and assumptions about what motivates

members of your team: If you believe that team

members dislike work, you will have an

authoritarian style of management; On the other

hand, if you assume that employees take pride in

doing a good job, you will tend to adopt a more

participation style.

THEORY X

Theory X assumes that employees are naturally

unmotivated and dislike working, and this

encourages an authoritarian style of management.

According to this view, management must actively

intervene to get things done.

It summaries that workers need to be constantly

watched and instructed what to do.

CHARACTERSTICS

intolerant

distant and detached

aloof and arrogant

short temper

issues instructions, directions, edicts

issues threats to make people follow instructions

demands, never asks

does not participate

does not team-build

unconcerned about staff welfare, or morale

proud, sometimes to the point of self-destruction

one-way communicator

poor listener

THEORY Y

Theory Y shows a participation style of

management that is decentralized. It assumes that

employees are happy to work, selfmotivated,

creative and enjoy working with greater

responsibility.

It emphasizes that staff are self-disciplined and

would like to do the job themselves

CHARACERSTICS

Take responsibility and are motivated to fulfill the

goals they are given.

Consider work as a natural part of life and solve

work problems imaginatively. Assumes that people

seek fulfilment through work and are willing to work

hard.

In Y-Type organizations, people at lower levels of

the organization are involved in decision making.

OTHER CHARACTERSTICS

self-motivated

responsible

always participate

gives rewards and feedback

promotion

power to implement decisions

active

good listener

happy

concerned about staff welfare

COMPARISON

APPLICATION

Theory X management style is widely accepted as

inferior to others, it has its place in large scale

production operation and unskilled production-line

work.

Theory Y-style management is suited to knowledge

work and professional services; even highly

structure knowledge work, such as call center

operations, can benefits from. Theory Y principles

to encourage knowledge sharing and continuous

improvement.

APPLICATION OF HIERARCHY OF NEEDS TO

MANAGEMENT AND WORKPLACE

Theory X

(ineffective management)

Once a need is met, it no

longer motivates behavior:

therefore only unfulfilled

needs are motivational.

Theory Y

(effective management)

Motivational emphasis

shifts to social, ego and

self- actualization since

most employees have

physical and safety needs

met.

CONCLUSION

Though these theories are very basic in nature, they

provide a platform for future generations of management

theorists and practitioners to understand the changing

dynamics of human behavior. McGregor’s X-Y Theories

remain guiding principles to the management to evolve

processes which help in organizational development.