Two reasons: 1 high-quality products and 2 low prices. Intellectual potential needs to be utilised. In contrast, based on theory Y, employees concentrates on Social needs, esteem needs and self-actualization needs. It harmonizes and matches employees needs and aspirations with organizational needs and aspirations. The hard approach depends on close supervision, intimidation, and immediate punishment. However, beyond this commonality, the attitudes and assumptions they embody are quite different.
Ã A marginal probability is allocated as follows: , where I : cumulative net increased cost and B cumulative basic price amount. Douglas McGreogr said that management style and decision-making depends on which theory management believes applies to their staff. They tend to blame employees in most situations, without questioning the systems, policy, or lack of training which could be the real cause of failures. Empxtrack — an is based on such theories and helps organizations to transform their human resource practices. Hard approach The hard approach relies on coercion, close supervision, command, control, implicit threats and imminent punishment which results in purposely low output, hostility and minimal cooperation. A hierarchical structure is needed, with narrow span of control at each level, for effective employee management. Thus, he encouraged cordial team relations, responsible and stimulating jobs, and participation of all in decision-making process.
If you liked this article, then please subscribe to our Free Newsletter for the latest posts on Management models and methods. Unfortunately, the macroeconomic environment never stabilises. The presentation and settlement of contractor's claims. By it is the most different factor for manager to motivate people. To McGregor, a steady supply of motivation seemed more likely to occur under Theory Y management.
The secret to their success was not what they were producing but how they were managing their people—Japanese employees were engaged, empowered, and highly productive. It is important to note, however, that before an employee carries out their task, they must first obtain the manager's approval. Dat atoms of d same elements re alike and have d same size mass and other properties; due to d discovery of isotopes elements wich have d same atomic no but diffrnt mass no due 2 difference in d no of neutrons dey contain and isobars elements wich hav d same mass no but diffrnt atomic nos it has been proven dat all atoms of d same re not exactly alike and differences occur in d structure of atoms of d same elements. Probably, when a need of an individual is satisfied, then another rise, soon it becomes a cycle and makes the individual to get motivated for the work in order to achieve such satisfaction. Theory X assumes that lower-order needs dominate individuals. This article describes the McGregor Theory X and Theory Y of.
This led companies to focus on how their employees were motivated, managed, and led, creating a Theory Y management style which focuses on the drive for individual self — fulfillment. Therefore, the system of rewards and punishments works best for them. Regarding motivation of employee in managerial, processes Douglas McGregor and Victor Vroom gave their view. The value of x or y dictates which domain one has to choose for a particular project. Consequently, the only way that employees can attempt to satisfy higher level needs at work is to seek more compensation, so it is quite predictable that they will focus on monetary rewards.
Critical note on the McGregor Theory The McGregor Theory X and Theory Y are not based on a single truth. Their employees are accustomed to coercion and control and will therefore not make any effort at all or bear responsibility. Under the conditions of modern industrial life, the intellectual potentialities of the average human being are only partially utilized. Since no audit of the amount of cost increase is done for each individual item, one would wonder whether clients pay the real losses incurred. Assume a net cost increase of 50% of the original cost which affects both the direct works and preliminaries and generals; then the net increased cost amounts at R300,000 for both contracts A and B.
Theory Y Unlike in Theory X, starts from the assumption in Theory Y that people have different needs. Description of Theory X In this theory, management assumes that employees are inherently lazy and will avoid work if they can. There are jobs available in non-traditional skills for women. It may further be noted that it is rare that Theory X or Theory Y are used in its pure form. The combination of concepts resulted in a sound formula.
Essentially, Theory X assumes that the primary source of employee motivation is monetary, with security as a strong second. This study increases the awareness of the problems of application of methods used for increased cost adjustment relative to macroeconomic environment. Commitment to objectives is a function of the reward associated with their achievement. This theory states that managers evaluate the workplace and choose their leadership style based upon both internal and external conditions presented. Theory Y, is an advanced theory, wherein it is assumed that the workers are self-directed and self-motivated, for growth and development and takes active part in decision making.
Given such a situation, contractual clauses have been formulated to cater for optimum recovery of cost escalations. The soft approach results in a growing desire for greater reward in exchange for diminished work output. McGregor recognized that some people may not have reached the level of maturity assumed by Theory Y and may initially need tighter controls that can be relaxed as the employee develops. Theory Y has its fundamental concern on the satisfaction of employees. In contrast, Theory Y managers assume employees are self-directed, enjoy responsibility and meaningful work, and are willing to work for organizational goals or causes they believe in. These managers think that external control is clearly appropriate for dealing with unreliable, irresponsible and immature people.
Theory X assumes that employees dislike work, are not ambitious, want to avoid responsibility, dislike change, and are self-centered. The Assumptions of Theory Y Are: 1. Thus, it does not encourage innovation. If properly implemented, such an environment can increase and continually fuel motivation as employees work to satisfy their higher-level personal needs through their jobs. If correlate it with Maslows theory, we can say that Theory X is based on the assumption that the employees emphasize on the physiological needs and the safety needs; while Theory X is based on the assumption that the social needs, esteem needs and the self-actualization needs dominate the employees. The assumptions of theory Y suggest a new approach in management.