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Theory X and Theory Y also have implications in military command and control (C2). Older, strictly hierarchical conceptions of C2, with narrow centralization of decision rights, highly constrained patterns of interaction, and limited information distribution tend to arise from cultural and organizational assumptions compatible with Theory X.
Since the mid-1950s, Procter & Gamble used Theory X and Theory Y to set up plants in Augusta, Georgia, even hiring McGregor to help. [19] Warren Bennis , leadership expert, researcher, author, and educator, said of McGregor, "Just as every economist, knowingly or not, pays his dues to Keynes, we are all, one way or another, disciples of McGregor."
Temporal motivation theory; Theory X and Theory Y; C. Bertrand Thompson; Two-factor theory; Y. Yale attitude change approach
Theory Y conversely suggests that it is human nature to be motivated by objectives and gain satisfaction through the completion of work. [2] Those who believe in Theory Y believe that it is the responsibility of management to foster environments where employees can develop potential and utilize their skills to achieve objectives. [3]
McGregor personally held that the more optimistic theory, Y, was more valid. This theory holds that employees can view work as natural, are creative, can be self-motivated, and appreciate responsibility. This type of thinking is popular now, with people becoming more aware of the productivity of self-empowered work teams. [3]
Douglas McGregor's Theory Y and Theory X can also be compared with these two leadership styles. Theory X can be compared with Transactional Leadership where managers need to rule by fear and consequences. In this style and theory, negative behavior is punished and employees are motivated through incentives. [citation needed]
Theory Z is a name for various theories of human motivation built on Douglas McGregor's Theory X and Theory Y.Theories X, Y and various versions of Z have been used in human resource management, organizational behavior, organizational communication and organizational development.
Theory Z was coined in the early 80s by Ouchi from a consideration of both Japanese and American management styles, and attempted to address the short comings in Theory X and Theory Y. (I think it was a time when people were trying to explain the success of the Japanese economy over the US one.)