Theory X and Theory Y are theories of human motivation created and developed by Douglas McGregor

Douglas McGregor

Douglas Murray McGregor was a Management professor at the MIT Sloan School of Management and president of Antioch College from 1948 to 1954. He also taught at the Indian Institute of Management Calcutta. His 1960 book The Human Side of Enterprise had a profound influence on education practices...

 at the MIT Sloan School of Management

MIT Sloan School of Management

The MIT Sloan School of Management is the business school of the Massachusetts Institute of Technology, in Cambridge, Massachusetts....

 in the 1960s that have been used in human resource management

Human resource management

Human Resource Management is the management of an organization's employees. While human resource management is sometimes referred to as a "soft" management skill, effective practice within an organization requires a strategic focus to ensure that people resources can facilitate the achievement of...

, organizational behavior, organizational communication

Organizational communication

Organizational communication is a subfield of the larger discipline of communication studies. Organizational communication, as a field, is the consideration, analysis, and criticism of the role of communication in organizational contexts....

 and organizational development. They describe two contrasting models of workforce motivation.

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 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, 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'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 in large businesses.

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]. 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 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 to influenced by a theory X management style.

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 managers need to apply Theory Y principles, that does not preclude them from being a part of Theory X & Y.

McGregor and Maslow's hierarchy

Theory X and Theory Y relates to Maslow's hierarchy of needs in how human behavior and motivation is the main priority in the workplace in order to maximize output. In relations to Theory Y the organization is trying to create the most symbiotic relationship between the managers and workers which relates to Maslow's hierarchy of needs

Maslow's hierarchy of needs

Maslow's hierarchy of needs is a theory in psychology, proposed by Abraham Maslow in his 1943 paper A Theory of Human Motivation. Maslow subsequently extended the idea to include his observations of humans' innate curiosity...

 of Self Actualization and Esteem. For Self Actualization the manager needs to promote the optimum workplace through morality, creativity, spontaneity, problem solving, lack of prejudice, and acceptance of facts. It can relate to Esteem when the manger is trying to promote self esteem, confidence, achievement, respect of others, and respect by others.

See also

• Theory Z
  Theory Z
  Theory Z is a name applied to three distinctly different psychological theories. One was developed by Abraham H. Maslow in his paper Theory Z and the other is Dr. William Ouchi's so-called "Japanese Management" style popularized during the Asian economic boom of the 1980s. The third was developed...
  
   - a later work/organizational motivation theory which is likely a derivative of Theory Y.
• Scientific management
  Scientific management
  Scientific management, also called Taylorism, was a theory of management that analyzed and synthesized workflows. Its main objective was improving economic efficiency, especially labor productivity. It was one of the earliest attempts to apply science to the engineering of processes and to management...
  
   - Another management theory.
• Twelve O'Clock High
  Twelve O'Clock High
  Twelve O'Clock High is a 1949 American war film about aircrews in the United States Army's Eighth Air Force who flew daylight bombing missions against Nazi Germany and occupied France during the early days of American involvement in World War II. The film was adapted by Sy Bartlett, Henry King ...
  
   (movie) for an example of the two styles in a commander of a bomb wing.

Crimson Tide

Crimson Tide

Crimson Tide may refer to:* Crimson tide, a type of algae also known as Karenia brevis* Alabama Crimson Tide, the sports teams of the University of Alabama* Crimson Tide , a 1995 American thriller...

(movie) for a more modern example and particularly, when Gene Hackman threatens to shoot a fellow seaman if Vigo Mortenson doesn't unlock nuclear weapons, the overwhelming weight given to proximity vs potential harm in decision-making under stress.

External links

• A diagram of Theory X and Theory Y.