Theory X and Theory Y

What is Theory X and Theory Y ?

‘Theory X and Theory Y’ are two theories postulated by the MIT professor Douglas McGregor that provide two distinct paths for the managers and the supervisors to engage the employees and improve their productivity.

Theory X assumes that since all human beings are inherently lazy and are at the workplace solely for the money. Hence, managers who accept theory X usually place a lot of importance on the monetary benefits and the incentives provided to the employees.

On the other hand, theory Y assumes that working is a part of the nature of human beings. Hence, managers who accept theory Y motivate the employees constantly and nudge them to perform better with constant recognition and publicly rewarding them.

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