mcgregor

• These theories are two extremes of how management views employees' attitude to work
• Theory x is extremely negative, Theory y is extremely positive
• Theory x managers believe that employees dislike work, avoid taking responsibility, lack ambition and are motivated by money
• The theory x manager uses an autocratic style of leadership - employees are not trusted and are closely suoervised
• theory x - managers use threats and punishment to get staff to work hard
• Theory y managers believe that employees like work and are willing to work hard, want to take on additional duties and responsibility, are ambitious and are motivated by financial and non-financial rewards
• Theory y managers use a democratic or laissez-faire leadership style.
• theory y - they trust employees to do their work well - they also delegate tasks to staff and involve them in business decision-making
• advantages to McGregor's Theory x and Theory y - employee motivation, recruitment and selection and improved industrial relations
• limitations to McGregor's Theory x and Theory y - unrealistic, high staff turnover and less intrapreneurship