In the 1960s, Management Professor Douglas McGregor had created two theories based on human behaviour and human nature called Theory X and Theory Y, in attempt to identify the most efficient way to manage human resources, as well as other business categories.
Theory X and Theory Y are basically opposite to each other. According to McGregor, Theory X looks at …show more content…
The instrumental approach stresses the employees to work with disciplines and punishment. It provides the organisation a well – organised and strong workforce that can compete against any opponents within the same business field. However, this approach holds a potential impact to the managers because their positions would be reconsidered as employees are being treated unfairly and the likelihood of employees leaving would increase. On the other hand, the humanistic approach stresses the employees to perform with promising promotion, rewards such as holidays or better salaries and comfortable environment. Therefore the employees are more cooperative with their managers. Despite that fact, if this approach is implemented too soft, it will result in a weak workforce which has a bad influence on the …show more content…
‘Theory Y’ managers suggest that their employees are happy to work with any given conditions. In such, the employees are responsible people who enjoy having controls over their work and willing to challenge themselves in attempt to improve their personal performances and reach closer to their ambitions.
Due to these beliefs, the managers agree that their employees can participate in decision – making in order to solve work – related problems faster and create a more competitive environment within the organisation. Additionally, the managers will often build a relationship with their employees on a friendlier level, rather than an educational and strict relationship; in such the atmosphere within the workplace is potentially healthier.
In spite of Theory Y seems to be favourable for real life application as opinion and relationship are the keys to success in a business nowadays, it does have a disadvantage. Its lack of disciplines and practices may result in an unorganised system which may cost the organisation an opportunity to reach closer to its