First of all The idea that a manager’s attitude has an impact on employee motivation was originally proposed by McGregor a management professor at the Massachusetts Institute of Technology during the 1950s and 1960s. In his 1960 book, The Human Side of Enterprise, McGregor proposed two theories by which managers perceive and address employee motivation. He referred to these opposing motivational methods as Theory X and Theory Y management. Each assumes that the manager’s role is to organize resources, including people, to best benefit the company. However, beyond this commonality, the attitudes and assumptions they embody are quite different.
Theory "X" :
According to McGregor, Theory X management assumes the following:
Work is inherently distasteful to most people, and they will attempt to avoid work whenever possible.
Most people are not ambitious, have little desire for responsibility, and prefer to be directed.
Most people have little aptitude for creativity in solving organizational problems.
Motivation occurs only at the physiological and security levels of Maslow’s hierarchy of needs.
Most people are self-centered. As a result, they must be closely controlled and often coerced to achieve organizational objectives.
Most people resist change.
Most people are gullible.
Theory "Y"
The higher-level needs of esteem and self-actualization are ongoing needs that, for most people, are never completely satisfied. As such, it is these higher-level needs through which employees can best be motivated.
In strong contrast to Theory X, Theory Y management makes the following assumptions:
Work can be as natural as play if the conditions are favorable.
People will be self-directed and creative to meet their work and organizational objectives if they are committed to them.
People will be committed to their quality and productivity objectives if rewards are in place that address higher needs such as self-fulfillment.
The capacity for creativity spreads throughout organizations.
Most people can handle responsibility because creativity and ingenuity are common in the population.
Under these conditions, people will seek responsibility.