Theory X and Theory Y of Motivation (Explain with Examples)

It is important to understand the two terms, internal motivation and external motivation is made up of the forces which exist within an individual, I.e., His needs wants, and desires Theory X and Theory Y.

Theory X and Theory Y of Motivation by McGregor’s

External motivation Includes the forces which exist inside the individuals as well as the controlled by the manager, including items such as salaries, working conditions, company policy and job content items, such as recognition; advancement, and responsibility.

Douglas McGregor’s theory incorporates both internal and external motivation. McGregor’s sets forth two alternative views of human nature first view are called Theory-X and the second view is called Theory-Y.

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Theory X

According to theory X, there are following assumptions about human nature, on which the manager has to base his motivation efforts:

1. The average human being has an inherent dislike of work and will avoid it if he can do so.
2. Because of his human characteristics of dislike of work, most people must be coerced, controlled, directed, and threatened with punishment to get them to put forth adequate efforts towards the achievement of organizational objectives.
3. Average human being prefers to be directed, wishes to avoid responsibility, has relatively little ambition, wants security above all.

McGregor’s felt that the assumption of Theory-X was used in most industrial organizations of his time, but they were generally incorrect.

Thus, the management feels that development from these assumptions will be inadequate for the full utilization of each worker’s potential because they will often fail to motivate people to work for the realization of organizational objectives.

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Hence, He felt the need to revise and correct these assumptions to conform to the present day organizational setup and ever-developing personality of the employees.

It may be noted that Theory X is considered to be the “traditional view of direction and control”

Theory Y

Theory y is McGregor’s other modem view of the nature of man.

It contains assumptions which he believed could lead to greater motivation And better fulfillment of both individual needs and organizational goals.

The Assumptions of Theory Y Are:

1. The expenditure of physical and mental efforts in work is as natural as play or rest.
2. External control and the threat of punishment are not the only means for bringing about efforts towards organizational objectives.
3. Commitment to objectives is a function of the reward associated with their achievement.
4. The average human being learns, under proper conditions, not only to accept but to seek responsibility.
5. The capacity to exercise a relatively high degree of imagination. Ingenuity and creativity in the solution of organizational problems are wide, distributed in the population.
6. Under the conditions of modern industrial life, the intellectual potentialities of the average human being are only partially utilized.

Deal of Theory X or Theory Y

It may be noted that the main foundation of Theory-Y is ‘Integration’. i.e., The establishment of an environment in which employees can best achieve their own goals by committing themselves to the organization’s objectives.

In doing so, Employees are expected to exercise a large degree of internal motivation. The emphasis on internal motivation implies that all employees will be motivated by self-esteem and self-actualization needs while on the job. This is not always true.

It may further be noted that it is rare that Theory X or Theory Y is used in its pure form. Instead, workable operational theories are developed using various amount of the assumptions of each theory.

Now you know Theory X and Theory Y of motivation.

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