Question

Consider the statements regarding the Comparing Managerial Implications under Theory X and Theory Y:

I. Goal setting under Theory X involves significant subordinate participation.

II. Leadership style under Theory Y is typically democratic/participative.

III. Control mechanisms under Theory X are internal and based on self-control.

Which of the following is correct?

• A. I only
• B. II only
• C. I and III only
• D. II and III only

Answer 1

Answer:

B. II only

Theory X and Theory Y: Managerial Implications

Douglas McGregor's Theory X and Theory Y offer contrasting perspectives on employee motivation and management styles. Understanding these theories is crucial for analyzing managerial approaches.

Statement I: Goal setting under Theory X involves significant subordinate participation.

• Theory X Assumption: Employees inherently dislike work, avoid responsibility, and must be coerced, controlled, directed, or threatened to achieve organizational goals.
• Managerial Implication: Under Theory X, managers assume employees lack initiative. Therefore, goal setting is typically top-down, with management dictating objectives. Subordinate participation in goal setting is minimal, as employees are not expected to contribute proactively to this process.
• Conclusion: Statement I is incorrect.

Statement II: Leadership style under Theory Y is typically democratic/participative.

• Theory Y Assumption: Employees view work as natural as rest or play. They can exercise self-direction and self-control if committed to objectives. Commitment is a function of rewards associated with achievement.
• Managerial Implication: Managers adhering to Theory Y believe employees are capable of self-motivation and responsibility. This leads to a democratic or participative leadership style, where employees are involved in decision-making, and their input is valued.
• Conclusion: Statement II is correct.

Statement III: Control mechanisms under Theory X are internal and based on self-control.

• Theory X Control: Since Theory X assumes employees are inherently unmotivated and irresponsible, control mechanisms are primarily external. These include close supervision, strict rules, and punitive measures to ensure compliance.
• Self-Control Contrast: The concept of internal control and self-control is characteristic of Theory Y, where employees are empowered and trusted to manage their own work.
• Conclusion: Statement III is incorrect.

Summary of Correct Statements:

• Only statement II accurately describes the managerial implications derived from Theory Y.