How Manager Can Apply Theory X And Theory Y To Motivate The Staff

Background

Theory X and Theory Y are two theories of management (specifically around motivation) that were developed by psychologist Douglas McGregor in the 1960s. They basically explain two different types of management styles that can be applied by managers. Choice of style is strongly influenced by the managers beliefs and assumptions.

Theory X

Here, it is management’s strong belief that their subordinates are lazy, will avoid work if they can, inherently dislike work and are only working to earn a living. With this view, management style will be to apply very close supervision, establish a hierarchical structure with well-defined tasks and outputs at each level and develop incentive programs to encourage workers to perform as required. Managers will more often than not rely on coercion and intimidation to get the employees to complete tasks in line with the organizational needs.

Theory Y

Here, it is management’s belief that their subordinates are highly motivated by their job, are able to self-direct and have a high sense of self control when working towards organizational goals. Management style with such employees would be more democratic, hands-off with minimum supervision. Democracy entails that the leader, whilst retaining the last say, encourages employees to participate in the decision making process making them feel more engaged and motivated. I would apply Theory X or Theory Y style depending in the following circumstances.

Theory X

Small business environments and start-ups

These organizations are characterized by small sizes and operate in the fast paced environment where quick decision making is required in order to survive. If I am also an investor and also the sole decision maker, theory x would be applicable when quick decisions are required.

New employees

New employees, will require very close supervision during their first few months of on-boarding. This is to ensure that their learning is enhanced and at the same time required tasks are completed on time and at the quality required.

Teams where work can be repetitive and target – driven

Sorting and packing of green beans for export from Kenya is a time sensitive activity normally done by hand. To achieve the volume required by large customers such as Tesco and Sainsbury’s, large teams of sorters and packers are required. Theory X is required for close supervision to ensure only the right quantity and quality is achieved at a prescribed time. I would also set incentives for the team/individuals that consistently achieve a certain level of quality and quantity.

Large organizations

Theory X would be applicable if I was the CEO of a 1,000 + employee workforce. Due to the sheer size, it would be difficult to have a democratic decision making process due to many diverse views and the time sensitive nature of some decisions. I would establish hierarchical structures and a communication system that would enable us collect the various views.

Theory Y

Flexible working arrangements

In Nairobi, where it is characterized by heavy traffic during rush hour, I would develop flexible working arrangements such as flexible time and working from home. This will engage and motivate my staff and at the same time achieve my organizational goals.

Team of experts

If I am working with a team of experts on a project, I would define the output at the start of the project and have regular weekly meetings to discuss progress. The key is not to micro-manage experts who would otherwise be demotivated.