1. Another Classical Theories Recap… 1. Scientific (Talyor)  “One Best Way” 2. Administrative Principles (Fayol and Follet)  14 principles, 4 “ing’s”, group co-operation 3. Bureaucratic (Weber)  The “Machine” 4. Behavioural Approach  Hawthorne Effect (Mayo)  Hierarchy of Needs (Maslow)

2. Behavioural Theory #3  Douglas McGregor wrote The Human Side of Enterprise, a book that focused on: Theory X and Theory Y

3. Theory X and Y  Theory X managers assume that workers: Dislike work Lack ambition Are irresponsible Resist change Prefer to be led  Theory Y managers assume that workers are: Willing to work Capable of self control Willing to accept responsibility Imaginative and creative Capable of self-direction

4. Clever Hans

5. Theory X and Y  Self-fulfilling Prophecy: People act according to the expectations that are applied to them.  Conclusion: Managers should adopt Theory Y in order to draw the best from their employees