Theory X, Theory Y

Theory X, Theory Y by Douglas McGregor is a motivation theory. Douglas McGregor is a social psychologist and applied two sets of assumptions to the organizational structure called Theory X and Theory Y. His theory is based on managerial views of human beings. In his book, The Human Side of Enterprise, he outlined a new role for managers. He stated that managers should assist subordinates in reaching their full potential, rather than commanding and controlling. Theory X is negative and Theory Y can be stated as the opposite, positive. Douglas concluded that managers shaped their behavior towards workers based on either the X or Y views.
Theory X presumes that average employees dislike work, are lazy, dislike responsibility, and must be coerced to perform. (text book citation pg 177) Theory X is focused on an authoritarian management style. Rewards and punishments are assumed to be the key to employee productivity. Employees have little to offer in terms of organizational problem solving. Under Theory X employees need to be controlled and threatened to get them working. Employees work for money and security only. According to theory X, appraisals and promotions occur on a regular basis. This view is based on that employees merely satisfy their lower-level physical needs and could not hope to be as productive.
Theory Y supposes that employees like work, are creative, seek responsibility, and can exercise self-direction (text book citation pg 177). Theory Y is focused on a participative management style. The managers would take suggestions from workers. These type of managers relate to Theory Y employees and try to share ideas on how the work should be carried out and how it should be improved. The manager values the workers opinion. This type of leadership leads to high motivation. Theory Y assumes that there is an opportunity to align personal goals with organizational goals by using peoples own ambition for self fulfillment. Individuals go to work of their own