Updated: Nov 4, 2020
The two-factor theory states that there are certain factors in the workplace that cause job satisfaction while a separate set of factors cause dissatisfaction, all of which act independently of each other. Douglas McGregor concluded that a manager’s view of the nature of human beings is based on a certain grouping of assumptions and he or she tends to mold his or her behavior toward employees according to these assumptions.
Theory X assumptions are basically negative.
Employees inherently dislike work and, whenever possible, will attempt to avoid it.
Since employees dislike work, they must be coerced, controlled, or threatened with punishment.
Employees will avoid responsibilities and seek formal direction whenever possible.
Most workers place security above all other factors and will display little ambition.
Theory Y assumptions are basically positive.
Employees can view work as being as natural as rest or play.
People will exercise self-direction and self-control if they are committed to the objectives.
The average person can learn to accept, even seek, responsibility.
The ability to make innovative decisions is widely dispersed throughout the population.
What are the implications for managers? This is best explained by using Maslow’s framework:
Theory X assumes that lower-order needs dominate individuals.
Theory Y assumes that higher-order needs dominate individuals.
McGregor himself held to the belief that Theory Y assumptions were more valid than Theory X.
There is no evidence to confirm that either set of assumptions is valid.
Either Theory X or Theory Y assumptions may be appropriate in a particular situation.
Thank You ...