THEORY X

1

• THEORY X
• This is derived from Taylors scientific school
  of management. Theory X managers believe in
  technique such as piece-rate and
  close-supervision.
• It is likely Theory X is self-fulfilling i.e. if
  you fail to trust your workers, they will lose
  interest in their work, making the manager feel
  he/se was correct in their Theory X beliefs.
• THEORY Y
• Stems from Mayos human relations and Maslows
  work in human needs. Theory Y focuses on social
  and psychological needs of the workers. A Theory
  Y manager is likely to believe that
• Workers seek satisfaction not just pay from
  employment.
• Workers possess knowledge, creativity and
  imagination.
• Workers are committed.
• Poor worker performance is due to poor
  management.
• Employees wish to contribute to decision making.
• If leaders adopt Theory Y, the business
  implications are
• Greater delegation.
• Improved training and communication.
• De-layering.

2
Leadership and Management Styles
TASK- Looking at your own experiences, write
down 5 qualities required to be a good
leader. Answers may have included Competence,
Self-belief, Energy, Adaptability, Charisma,
Communication skills etc. Tannenbaum and
Schmidts Continuum of Leadership
3

• Question How does McGregors Theory X and Y fit
  in with the different types of leadership style?
• Factors affecting leadership styles
• The job
• Tradition
• Type of labour force
• Size of the firm
• Personality
• Time limits