What is it?
Douglas McGregor's 1960 publication which highlighted the concepts of Theory X and Theory Y managers have forever been used to explain the art of motivation based on human behavior. It encapsulated a fundamental distinction between the different management styles and is a valid basic principle from which to develop positive management style and techniques to propel organisations towards excellence.
Theory X and Theory Y
Organisations consist of employees and managers. The theory delves on the attitude and outlook of managers - the direction and growth of the organisation is in the hands of managers and it is solely their way of managing things which leads to proper motivation of the employees and in the process, achieve growth in the organisation.It is important to note here that Theory X and Theory Y looks into managerial psychology and their way of planning and running the organisation. Thus, it focuses on the class of managers and their behavioral attributes and attitude.
Theory X Managers
His Theory of Motivation states that there is a certain class of mangers who fall in the bracket of Theory X. In this theory management assumes employees are inherently lazy and will avoid work if they can. Because of this, workers need to be closely supervised and comprehensive systems of control put in place. A hierarchical structure is needed, with narrow span of control at each level, for effective management. According to this theory employees will show little ambition without an enticing incentive program and will avoid responsibility whenever they can.
The managers influenced by Theory X believe that everything must end in blaming someone. They think most employees are only out for themselves and their sole interest in the job is to earn money. They tend to blame employees in most situations, without questioning the systems, policy, or lack of training which could be the real cause of failures.
Theory Y Managers
Management influenced by this theory assumes that employees are ambitious, self-motivated, anxious to accept greater responsibility and exercise self-control, self-direction, autonomy and empowerment. Management believes that employees enjoy their work. They also believe that, given a chance, employees have the desire to be creative at their work place and become forward looking. There is a chance for greater productivity by giving employees the freedom to perform to the best of their abilities, without being bogged down by rules.
A Theory Y manager believes that, given the right conditions, most people will want to do well at work and that there is a pool of unused creativity in the workforce. They believe that the satisfaction of doing a good job is a strong motivation in itself. A Theory Y manager will try to remove the barriers that prevent workers from fully actualizing themselves
The following diagram gives a clear explanation about Theory X and Theory Y managers:
Now we further discuss the role of such managers and the effect on employees through the following four cases.
1.)Theory X managers and Employees are lazy :- Theory X manager are those whose inherently feel that their employees are lazy, they lack self-motivation and do not want to work. In this particular case, the development of the organization will slow down as the employees are not given any motivation or incentive to improve their performance.
2.)Theory X managers and Employees are not lazy:-This situation is one of the most dangerous for any organization as the employees who are performing well are not given any motivation to continue doing so. The work culture in this deteriorates highly in the company which may lead to large exodus.
3.)Theory Y managers and Employees are lazy:- Theory Y managers are those who feel that their employees are self-motivated to do the work and are hard working. In this case the managers may be able to motivate the employee to better their performance by giving them various incentives. This may lead to growth of the organization in a due course of time.
4.)Theory Y managers and Employees are not lazy:-This particular situation is the best for any company to be in. Its employees are not lazy and they are also getting due reward of their hard work and diligence. The mangers feel that their employees are doing good work which lead leads to an overall great working culture in the organization. These organization is able to achieve its objectives and can grow continuously in the long run.
Therefore every organization should try to achieve Scenario-4 which can be achieved by having more Theory Y managers in the firm who can promote good working culture in the organization which will help it to grow.
