Mc George Theory X and Y

Mc George Theory X and Y is the outcomes of the Mayo and his associates work. They have developed the popular classification scheme of acceptable and unacceptable managerial styles in management literature. Mc George termed it as the theory of X and theory of Y. He believes that the manager tries to motivate employees by one of the two basic approaches.

Assumptions of Theory X
  • The average people inherently dislike work and will avoid if it is possible. 
  • Due to dislike of work, most people must be forced to control, direct and threat with punishment to get them to perform work effectively.
  • The average human beings lacks ambition, avoids responsibility and seeks security and economic rewards above all else.
  • Most of the people are rigid to change and also lack creativeness.
  • They are self centered, so they are not concerned with the goals of the organization.
Thus, the central principle of theory X is that an organization is controlled and directed through the exercise of authority. Mc George firmly believed that attempts to control employees forced them towards organizational goals based on the assumptions of theory and may fail to motivate individuals to work towards organizations goals.

For the people X, the manager has to exercise centralized control and supervision and emphasize on autocratic type of leadership style and downward communication.

Assumptions of Theory Y
  • According to this, a physical and mental effort in work is as natural as play or rest. 
  • People will exercise self direction and self control in the service of objectives to which they are committed.
  • Commitment to objective is the function of the rewards associated with achievement.
  • The average person learns under proper conditions, not only to accept but to seek responsibility.
  • The capacity to exercise a relatively high degree of imagination, ingenuity and creativity in the solution of organizational problems is widely not narrowly, distributed in the population.
  • Under the conditions of modern industrial life, the intellectual potentialities of the average person are only partly utilized.
The theory Y emphasized the creating of opportunities, removing obstacles, encouraging growth and providing guidance. Mc George believed that for motivating the persons Y decentralized organization, democratic leadership and two way communications will help to create the congenial environment to work.

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