Theory X & Theory Y

• Who developed the Theory X and Theory Y concepts?

  Douglas McGregor
• What is the main idea behind Theory X?

  Workers are lazy and motivated by money
• What management style is suggested for Theory X workers?

  Authoritarian management style
• Why should managers not delegate to Theory X workers?

  They do not want to make decisions
• What might cause Theory X workers to resist change?

  Parochial self-interest
• What is the characteristic of Theory Y workers?

  They enjoy contributing to the organization
• What management style is effective for Theory Y workers?

  Democratic or laissez-faire management style
• What should managers consider if Theory Y workers perform poorly?

  Monotonous jobs may cause boredom
• What non-financial methods can motivate Theory Y workers?

  Job enlargement, job rotation, job design
• What are the key differences between Theory X and Theory Y workers?

  • Theory X:
  • Lazy, motivated by money
  • Require supervision
  • Resist change due to self-interest
  • Theory Y:
  • Enjoy work, self-motivated
  • Prefer autonomy and decision-making
  • Contribute positively to the organization