Critically Evaluate Mcgregor's Theory X and Theory Y. How Far Is It Applicable to Management and Employee Motivation in Contemporary Chinese Organizations?

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During the 1960s the number of psychologists invented motivational theories, which aimed to increase organizations’ productivity. One of those is McGregor’s Theory X and Theory Y, in which he claimed that people can be managed in two extremes, based on the grounds of their needs. After publishing his work had a significant impact on management ideas. Head (2011) states, that in present days, his approaches of management can be successfully applied in different countries, as well as in China. However, despite the modernization of modern working environment in China, there are still the number of hardships that make the adaptation of his theories complex and difficult. From the year of publication, McGregor’s work made a significant influence on the management philosophy. Most of the management books include his theory as an example of the substantial step of management insights (Jastolka, 2009). It was stated by Head (2011), that most of the managers prefer to use one of those, instead of other approaches. Later, after McGregor’s publication the contribution for a deeper research of labor’s motivation was made. Also, McGregor’s work persuaded managers to believe that employees’ behavior can be predicted using scientific methods. Afterwards the research has been conducted, therefore the deeper understanding of human’s motivation can be gained (Head, 2011). The appliance of both methods can be successful, depending on which sphere the company is specializing in. According to Bobic and Davis (2003), adaptive approach, or Theory X works with highly routine and detailed tasks. Additionally, it is more appropriate for firms with bureaucratic structures (Kirton, 1978; cited in Bobic and Davis, 2003). Such organizations have hierarchical systems with clearly distinguished responsibilities and roles. Regarding to the innovative technique, or Theory Y, it responds more

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