5.Conclusion and Recommendation




  • Employee motivation is crucial for organization’s performance and employees should be motivated using different strategies. One employee may be motivated by an extrinsic reward such as higher commission, while another employee may be motivated intrinsically through job satisfaction or a better work environment.
  •  Many extensive researches have been conducted on various aspects of employees motivation during past and major theories emerged from these researches regarding employee motivation can be segregated into three main phases namely Needs theory, Cognitive theory and reinforcement theory.
  • Theory X and Theory Y by Mcgregor describes two main attitudes towards employees and a conclusion cannot be drawn that Theory X is bad and Theory Y is good since all depend on the various circumstances.
  • However, theory X has been considered as a negative way of dealing with employees since managers influenced by theory x generally tend to get poor results.
  • Managers or superiors who embrace theory Y produce better performance and results whilst allowing people to grow and develop. Fulfillment of Psychological contract in employment is closely related to theory Y management style which has a positive impact on the performance and the productivity since employees become more productive when more trust and responsibility is delegated to them.

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4.Theory X and Theory Y

According to Mcgregor, organizations especially which has a centralized decision-making process and a hierarchical pyramid are based on several assumptions about human nature or the employees and motivation. These assumptions are called Theory X and Theory Y by Mcgregor and it is all about two different viewpoints about the employees by the superiors or the management (Dobre, 2013). Theory X believes that employees want to be directed, they do not want to assume responsibility by trying to evade responsibility and value safety above all (Dobre, 2013). Further, it is believed that employees are motivated by financial rewards and by the threat of punishment. Managers or superiors who possess Theory X viewpoint on their subordinates tend to execute rigorous supervision and control over the employees due to the belief that rigid external control should be executed when dealing with irresponsible employees (Dobre, 2013). According to Dobre (2013) Theory X could be applicable t...
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