This generally involves a more 'hands-on' approach and inevitably micromanaging your team's workload to ensure it is done to . Advertising, Public relations, Marketing and Consumer Behavior, Psychology, Behavioral And Social Science. Get unlimited access to over 84,000 lessons. Many leaders emerge out of the needs of the situation. An organization with this style of management is made up of several levels of supervisors and managers who actively intervene and micromanage the employees. Both theories are mostly used as a mixture in organizations and workplaces. These differing management styles have been coined in the academic management community as Theory X and Theory Y. Lets break each down and see how they apply in the workplace. People need more than monetary rewards or the threat of punishment to do their jobs. The most popular online Visio alternative, Lucidchart is utilized in over 180 countries by millions of users, from sales managers mapping out target organizations to IT directors visualizing their network infrastructure. I think there is a little misconception here. With a workplace centered on trust, its important not only to instill trust in your teammatesbut also in the right technology to get the job done. [10] In comparison to Theory X, Theory Y incorporates a pseudo-democratic environment to the workforce. Douglas McGregor's Theory X and Theory Y. Market Segmentation Types & Examples | What is Market Segmentation? McGregor makes the point that a command-and-control environment is not effective because it relies on lower needs for motivation, but in modern society those needs are mostly satisfied and thus are no longer motivating. Its assumptions about the value of individual initiative make it more a Theory-Y than a Theory X philosophy.[15]. A group often turns to the member who possesses the knowledge, skills, and abilities that the group requires to achieve its goals.25 People surrender their power to individuals whom they believe will make meaningful contributions to attaining group goals.26 The individual to whom power is surrendered is often a member of the group who is in good standing. Theory X managers are likely to believe that employees are lazy, fear-motivated, and in need of constant direction. Leadership is also about having a vision and communicating that vision to others in such a way that it provides meaning for the follower.32 Language, ritual, drama, myths, symbolic constructions, and stories are some of the tools leaders use to capture the attention of their followers to be to evoke emotion and to manage the meaning of the task (challenges) facing the group.33 These tools help the leader influence the attitudes, motivation, and behavior of their followers. Vassiliou, Marius, and David S. Alberts (2017). Theory X managers and supervisors are sometimes called micro-managers. [4], McGregor also believed that self-actualization was the highest level of reward for employees. In sum, one key to effective leadership, especially as it pertains to the exercise of social and interpersonal influence, relates to the type of power employed by the leader. Another colleague, Joseph, sees him as a worker who performs just for the sake of money. Are inherently lazy, lack. The capacity for creativity spreads throughout organizations. [13], Theory X and Theory Y also have implications in military command and control (C2). 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. Except where otherwise noted, textbooks on this site In his 1960 book, The Human Side of Enterprise, McGregor proposed two theories by which managers perceive and address employee motivation. These managers tend to be more present in entry-level jobs where productivity and process are favored over independence or innovation, but they may show up at any company level and in any industry. Theory X can benefit a work place that utilizes an assembly line or manual labor. X managers is an impediment to employee morale and productivity X managers believe it is his/her job to structure the work and energize, even coerce (threaten with punishment) the. 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. Implementing a Theory Y-focused leadership approach requires modern tools that can complement the collaborative workplace. The control and coercion involved in this style of management could lead to employee frustration, de-motivate employees and damage relationships within the organization. As a result of this members contributions to the groups goals, he has accumulated idiosyncrasy credits (a form of competency-based status). A lot of young entrepreneurs do not keep hierarchical within their company and believe in the willingness and interest of their employees. 5. He would try to constantly control the employees, leading to resentment and exhaustion in the employees, leading to a turnover. As a Theory X manager, Xavier believes that his workers: Xavier assumes that his employees show up for work for their paycheck and the security that a regular, paying job offers. 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. 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 secret to their success was not what they were producing but how they were managing their peopleJapanese employees were engaged, empowered, and highly productive. However, one person who seemed to be unafraid of self-inflicted explosions was Douglas McGregor, a behavior management theorist who was heavily influenced by both Abraham Maslow and the Hawthorne Studies. This judgement could say a lot about your style of management. succeed. "C2 Re-Envisioned: the Future of the Enterprise." The employee must be supervised or looked upon so that he or she works appropriately. Accept work as a normal part of their day, and it's right next to recreation and rest. 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. It refers to the management style that believes in authoritarian and controlling behavior. B.most employees know more about their job than the boss. They're full of potential, and it's through their own. This managerial style is more effective when used in a workforce that is not essentially motivated to perform. b.employees are motivated mainly by the chance for advancement and recognition. Some people prefer micromanaging and leading, and some people prefer giving space. "Mission Command and Agile C2." [6] Managers who believe employees operate in this manner are more likely to use rewards or punishments as motivation. Work in organizations that are managed like this can . This unique platform allows team leaders to share visuals with teammates, work together on projects in real time, comment on documents and project updates, and work collaboratively with up-to-the-minute feedback. A surgeon might allow the entire surgical team to participate in developing a plan for a surgical procedure. On the other hand, if you believe that your people take pride in their work and see it as a challenge, then you'll more likely adopt a participative management style . I highly recommend you use this site! [4] The workplace lacks unvarying rules and practices, which could potentially be detrimental to the quality standards of the product and strict guidelines of a given company. Abraham Maslow and McGregor both gave popular theories on motivation. Many consider such actions necessary for self-managing work teams to succeed. The soft approach, however, is to be permissive and seek harmony in the hopes that, in return, employees will cooperate when asked. It refers to the management style that follows a more participative, interactive and optimistic approach. They do not always need coercion, incentives or force to complete their work. In fact, when the proper motivations and rewards are in place, employees are not only willing but purposely driven to seek out responsibility and challenges on their own. Micromanagement is not looked at positively in todays scenario, leading to Theory Y being the most productive way of management. Answer the question(s) below to see how well you understand the topics covered above. copyright 2003-2023 Study.com. He mentioned Theory X and Theory Y in his book, The Human Side of Enterprise, published in 1960. Theory Y, on the other hand, holds an optimistic opinion of employees. Theory Y managers believe that _____. http://www.envisionsoftware.com/articles/Theory_X.html, https://pixabay.com/en/idea-businessman-man-outline-suit-1460935/, http://vle.du.ac.in/mod/book/view.php?id=8344&chapterid=10377, CC BY-NC-SA: Attribution-NonCommercial-ShareAlike, https://commons.wikimedia.org/wiki/File:Toyota_Plant_Ohira_Sendai.jpg. During the 1980s, American business and industry experienceda tsunami of demand for Japanese products and imports, particularly in the automotive industry. French and Raven provide us with a useful typology that identifies the sources and types of power that may be at the disposal of leaders: Not all forms of power are equally effective (see Exhibit 13.5), nor is a leaders total power base the simple sum of the powers at his disposal. He was particularly interested in what motivates people to work hard, in particular on what belief systems motivate people to work hard. The higher-level needs of esteem and self-actualization are ongoingneeds that, for most people, are never completely satisfied. CRC Press; New York; pp. Theory X managers believe all actions should be traceable to the individual responsible. These managers tend to be more present in entry-level jobs where productivity and process are favored over independence or innovation, but they may show up at any company level and in any industry. Theory X and Theory Y are theories of human work motivation and management. In a strict environment with little autonomy, workers were indeed unhappy and lacking ambition. Much like a bomb, assumptions are a dangerous thing to make - just the slightest little mistake and you can end up blowing yourself up! [6], The soft approach is characterized by leniency and less strict rules in hopes for creating high workplace morale and cooperative employees. The OpenStax name, OpenStax logo, OpenStax book covers, OpenStax CNX name, and OpenStax CNX logo People enjoy taking ownership of their work. Another assumption is that workers expect reciprocity and support from the company. 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. Typically, managers who apply theory X are more authoritarian. Because employees have historically been given a flat exchange of time and energy for income, workplace incentives have often been rooted in a fear of loss of employment, in earning potential from extra productivity, or in acquiescing to managerial dominance for promotion. Thus, Salancik and Pfeffer reason that power and thus leadership flow to those individuals who have the ability to help an organization or group [overcome its critical contingencies]. Theory Y is used by managers who believe employees are responsible, committed and self-motivated. McGregor and Maslow respected each other and used each others theories in their work. On the other hand, more modern, network-centric, and decentralized concepts of C2, that rely on individual initiative and self-synchronization, tend to arise more from a "Theory Y" philosophy. Because of this, a Theory X approach may be necessary although I believe it's best to give people the benefit of the doubt and go with a more empowering approach to begin with. It has been a fact that sustainability and employee turnover in corporations rely heavily on the different styles of management practiced at given companies nowadays. Leaders who rely solely on their legitimate power and authority seldom generate the influence necessary to help their organization and its members succeed. How do leaders influence and move their followers to action? Most managers will likely use a mixture of Theory X and Theory Y. In the 1960s, social psychologist Douglas McGregor developed Theory X and Theory Y to explain how managers' beliefs about what motivates their employees can influence their management style. The Situational Leader: Overview & Examples | What is a Situational Leader? Theory X. It helped me pass my exam and the test questions are very similar to the practice quizzes on Study.com. Practically all managers act as formal leaders as part of their assigned role. and you must attribute OpenStax. then you must include on every digital page view the following attribution: Use the information below to generate a citation. Several assumptions form the basis for this theory. Motivation occurs only at the physiological and security levels of Maslows hierarchy of needs. Theory X managers have a pessimistic view of their employees and assume that they are naturally unmotivated and hate work. Theory Y, on the other hand, presents a positive view of human . I feel like its a lifeline. In actual practice, most managers today practice a combination of Theory X and Theory Y styles of management. Managers who assume employees are apathetic or dislike their work use theory X, which is authoritarian. Under these conditions, people will seek responsibility. [3] Maslow's hierarchy of needs consists of physiological needs (lowest level), safety needs, love needs, esteem needs, and self-actualization (highest level). are not subject to the Creative Commons license and may not be reproduced without the prior and express written They think most employees are only out for themselves and their sole interest in the job is to earn money. I see Theory X and Theory Y as two natural divisions of people; groupings into those who dislike working and those who are inclined to working without persuasion. Theory X is a common management method that focuses on supervision and strict monitoring of employees. The employees are full of potential, and it is through their own creativity, ingenuity and imagination that organizational goals are met. As soon as that need is satisfied, the employees have no additional motivation for coming to work. This theory supports threatening supervisory power. Managers who choose the Theory X approach have an authoritarian style of management. D. job satisfaction is primarily related to higher order needs. In the process of building their power base, effective leaders have discovered that the use of coercive power tends to dilute the effectiveness of other powers, while the development and use of referent power tends to magnify the effectiveness of other forms of power. Theory X management hinders the satisfaction of higher-level needs because it doesn't acknowledge that those needs are relevant in the workplace. This could additionally lead to a bad reputation. 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. Lucidchart is the intelligent diagramming application that empowers teams to clarify complexity, align their insights, and build the futurefaster. Do you agree with Riya or Joseph? It suggests that there are two approaches to managing people. [8] This approach is derived from Fred Fiedler's research over various leadership styles known as the contingency theory. Theory X and Theory Y Theory X and Theory Y represent two sets of assumptions about human nature and human behavior that are relevant to the practice of management. She also holds three degrees including communications, business, educational leadership/technology. McGregor's Theory X and Theory Y is about judging the needs and character of your people. Ouchis Theory Z makes certain assumptions about workers. Work is inherently distasteful to most people, and they will attempt to avoid work whenever possible. Gerald Salancik and Jeffrey Pfeffer observe that power to influence others flows to those individuals who possess the critical and scarce resources (often knowledge and expertise) that a group needs to overcome a major problem.24 They note that the dominant coalition and leadership in American corporations during the 1950s was among engineers, because organizations were engaged in competition based on product design. Theory X assumes that people dislike work and will avoid doing anything they don't have to do. Theory X works on the belief that employees are lazy and need to be micromanaged. While money may not be the most effective way to self-fulfillment, it may be the only way available. Reward and legitimate power (that is, relying on ones position to influence others) produce inconsistent results. There are several ways to lead an organization and this theory allows fluidity. [6] Managers are always looking for mistakes from employees, because they do not trust their work. As a Theory X manager, Xavier believes that his workers: Hate the idea of having to go to work and do so only to earn a paycheck and the security that it offers. 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