GMS 200 Chapter Notes - Chapter 2: Theory X And Theory Y, Hawthorne Effect

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Wednesday October 13th, 2010
Chapter 2
History of Management Past and Present
Hawthorne Studies:
-scientific management perspective and sought to determine how economic incentives and the physical
conditions of the workplace affected the output of workers
-initial focus was on the level of illumination in the manufacturing facilities; better lighting improves
Example: 6 workers were isolated for intensive study in a special test room. Concluded that
“social setting” created for workers in the test room accounted to increase productivity. 2
factors were given special importance (1) group atmosphere; the workers shared pleasant social
relation with one another and wanted good job (2) more participative supervision
-study helped shift the attention of managers and management research away from the technical and
structural concerns of the classical approach and towards social/human concerns as key to productivity
People’s feelings, attitudes and relationships with co workers affected their work
-Hawthorne Effect: suggests that managers using good human relations will achieve productivity
Maslows Theory of Human Needs:
-identifies 5 levels of human needs: from lowest to highest they are;
Physiological needs
Safety needs
Social needs
Esteem needs
Self actualization needs
-people try to satisfy the 5 needs in sequence, they progress step by step from the lowest level in the
hierarchy up to the highest
-managers who help people satisfy their important need at work will achieve productivity
McGregors Theory X and Theory Y:
-managers should give more attention to the social and self actualizing needs of people at work
-Theory X: assumes people dislike work, lack ambition, are irresponsible and prefer to be led rather than
-Theory Y: assumes people are willing to work, accept responsibility, are self directed and creative and
capable of self direction
-believes that managers hold either set of assumptions can create: self fulfilling prophecies: occurs when
a person acts in ways that confirm another’s expectations
-Theory X and Theory Y are about human nature that guide our thoughts but approach to managing
people has its limitations