1. Abraham H. Maslow presented a hierarchy
of needs in an attempt to understand and
account for human behavior

2. Transce
ndence
Self-
Actualiza
tion
Aesthetic
Needs
Cognitive needs
Self-Esteem Needs
Belongingness and
Love Needs
Safety Needs
Physiological needs

3. Ego Needs are two of kinds:
1. Those needs related to one‟s self-
esteem, self-respect and self-confidence, for
autonomy, for achievement, for competence
and for knowledge.
2. Those needs that relate to one‟s
reputation i.e. needs for status, for
recognition, for appreciation, for the
deserved respect of others
Maslow‟s points out that these levels are
interdependent and overlapping, with each
higher level need emerging before the lower
level needs have been fully satisfied.

4. “Man is a wanting
animal - as soon as
one of his needs is
satisfied, another
appears in its
place. This process
is unending. It
continues from
birth to deaths.
Man continuously
puts forth effort –
works, if you
please to satisfy
his needs.”

5. Douglas
McGregor
was one of
the great
advocates
of human
relations
with his
theory X
and theory
Y

6. Management’s
role is to coerce
and control
employees.
Management’s
role is to
develop the
potential in
employees and
help them
release that
potential toward
common
objective.

7. THEORY X THEORY Y
The typical persons dislikes work
and will avoid it if possible
Work is as natural as play or
rest.
The typical person lacks
responsibility, has little ambition,
and seeks security above all.
People are not inherently lazy.
They have become that way as a
result of experience.
Most people must be coerced,
controlled, and threatened with
punishment to get them work.
People will exercise self- direction
and self-control in the service of
objectives to which they are
committed
People have potentials, they learn
to accept and seek responsibility.
They have imagination, ingenuity,
and creativity that can be applied
to work

8. THEORY X THEORY Y
ATTITUDE
ASSUMED
Implies the exercise
of an autocratic form
of management;
manifesting
immaturity and
distrust
Views people in
relation to work;
manifesting one of
trust and maturity
ASSUMPTIONS
CONTAINED
It does not recognize
the existence of
potentialities in
employees
Open up a wide range
of possibilities for the
formulation of new
managerial policies and
practices; challenge
management to
innovate, to discover
new ways of organizing
and directing human
effort.

9. McGregor states
“People deprived of opportunities to satisfy at
work the needs which are now important to them
behave exactly as we might predict – with
indolence, passivity, unwillingness to follow the
demagogue, and unreasonable demands for
economic benefits. It would seem that we may be
caught in a web of our own weaving”
He believed that most managers used authority to
effect behavioral change through threat or reward,
both of which he saw as limiting the employee's
ability to realize their needs. He believed that
managers could also use their control in a positive
manner--to augment their employees natural
desire to satisfy their needs rather than rig it.

10. It is useful in eliminating Theory X and in
increasing, individual potential to attain
maximum performance:
 A supervisor must, have daily face-to-
face, two-way interaction with his
subordinates on work progress and
individual growth.
 A supervisor must use good timing in
offering correction and suggesting
improvement in performance.
 A supervisor must not excessively
criticize or discipline so that a
subordinate is fearful of moving ahead.

11.  A supervisor must recognize the
expenditure of effort that yields good
results for the firm.
 A supervisor must set up and control
the situation to allow a subordinate to
perform.
 A supervisor will limit his coaching aims
to a specific few, but important areas
needing change or improvements.
 A supervisor must confine his coaching
to the work and the subordinate „s
ability to accomplish it.

12.  A supervisor must make subordinate
feel responsible and accountable for
bringing work to a successful end.
 A supervisor must show a keen and
sincere personal interest in a
subordinate to help him with his
difficulties.
 A supervisor must allow a
subordinate to express his
individuality in his work by letting
him work on his own.

13. Theory Z is based on the
following hypothesis
“Innovation and
motivation are
inseparable. One cannot
exist without the other.
However, it is entirely
possible that the
direction taken by these
can be detrimental to the
overall good of the firm –
unless channeled properly
toward coordinate
company and employee
goal “.

14.  There must be a stress on high
productive norms.
 Careful selection is paramount for
success
 Specialization opportunities
 Maslow‟s eight level of needs must be
satisfied
 Mutual trust must exist throughout the
firm.
 Identification with the job, project and
the firm must be possible for the
individual.

15.  Interaction of ideas and concepts with
his peers and supervisors must make it
possible for the individual to fully
explore and develop his potentials.
 The opportunity for the individual to
undertake “tough” assignments that
“stretch and challenge” should present
the potential for success or failure and
the corresponding rewards.
 Recognition is essential to fulfill both
the ego satisfaction and self-
actualization principles put forth by
Maslow.
 Opportunity to develop.
 Success.

16. The theory Z organization will have as its
foundation of the ff.
 The spirit of inquiry
 Achievement
 Inner direction
 Motivational drives of a new form
The desire for autonomy
by the individual
The desire for creative
tasks for the individual to perform
Real motivation is the
product of self-direction

17.  Growth of Professionalism
 Higher level of education
 Full communication will be absolutely
necessary as a result of higher levels of
education.
 Project organization will become the rule
rather than the exception for the
organizational structure.
 The matrix organization structure will be
found to be best fit the conditions and
situations, the company being project-
oriented rather than task-oriented.
 Tasks will become increasingly complex.

18. THEORY Z
MANAGEMENT • Management tends to promote stable
employment, high productivity, and high
employee morale and satisfaction.
• Focused on increasing employee loyalty to the
company by providing a job for life with a strong
focus on the well-being of the employee, both on
and off the job.
EMPLOYEE • The idea that workers tend to want to build
happy and intimate working relationships with
those that they work for and with, as well as the
people that work for them.
• Can be trusted to do their jobs to their utmost
ability, so long as management can be trusted to
support them and look out for their well being