Humanistic Theory

• Humanistic Theory – organizational success in terms of employee motivation and the interpersonal relationships that emerge within the organization
• Theory X and Theory Y (McGregor) – managers’ beliefs and assumptions about their employees determine how they behave towards those employees
• Self-Fulfilling Prophecy – employees, over time, learn to act and believe in ways consistent with how managers think they act and believe
• Motivation – the internal force that drives a worker to action as well as the external factors that encourage that action

  Ability and skill determines whether the worker can do the job, but motivation determines whether a worker can do it properly