Douglas McGregor (1906-1964) was Professor of Management at the MIT  College Sloan School of Management, and President of Antioch College. He also taught at the Indian Institute of Management, Calcutta. Theory X and Theory Y are theories McGregor created, and developed in the 1960's, and published in his book 'The Human Side of Enterprise'. He is often credited for the term 'human resources', and studied and quoted widely in the areas of organizational development, organizational culture, leadership and HR.

Theories X and Y are two sets of assumptions which describe two very different attitudes towards workforce motivation.

Theory X

In this theory, management makes the following assumptions about employees:

• That they are inherently lazy, and will avoid work if they can
• That they show little or no  ambition
• That they avoid responsibility wherever they can
• That they lack creativity insolving organizational problems
• That money and the security it brings is the only motivator to work

If an organization makes these assumptions, the management style reflects these beliefs, and as a result, relies on close supervision, control, coercion and threat of punishment (eg. losing their job) to achieve it's goals.

Theory Y

In this theory, management believes that, given the right conditions:

• Work is as natural as play and rest
• Most people do want to do well at work
• The satisfaction of doing a good job is a strong motivator
• Employees may be ambitious and self-motivated

The underlying belief here is that people have potential, and are capable of using their creativity and ingenuity to solve organizational problems. Theory Y is generally held as a positive set of beliefs about workers. With Theory Y, the role of managers is to develop the potential of employees, and by doing so, to meet organizational goals.

How to Apply Theory Y to your own Leadership Style

This work was groundbreaking when it was first published in the 1960's, and probably sounds more obvious now. Management and the culture within organizations have progressed so much since then. However, it is always good to take a look at ourselves and the way we deal with our co-workers and 'sub-ordinates' ( as the management texts refer to those we manage).

Are you a Boss or a Leader?

Are you a Policeman/woman or a Mentor?

Create an environment in which sub-ordinates can develop and use their abilities. Promote further education, and ongoing professional development, both formally and informally. Encourage open communication within the team. Share decision making, where sub-ordinates have a say in decisions that affect them. Have team meetings, and listen. Create opportunities for others, and encourage growth. Lead by example- through your enthusiasm for your work, by making decisions when needed, and taking responsibility for the outcome.

Think positively, act positively, Inspire.

Be the Best Leader You Can Be.

This article was written by Valerie Redmond, co-founder of RWorks