William Ouchi: Theory Z Organizations and Motivation
One of our most popular videos is the one about Douglas McGregor’s Theory X and Theory Y. As a result, people have asked me about Theory Z.
Theory Z, which was developed by William Ouchi, to describe the adoption of Japanese ideas of management in the United States.
Watching this video is worth 2 Management Courses CPD Points*.
(See below for more details)
This video is part of course module number 3.7.2
Program 3: Managing and Leading Individuals
Course 7: Motivation
Section 2: Process Models of Motivation
Check out our full Motivation playlist at https://www.youtube.com/playlist?list=PL6vWkk9L7LeE7ly5r-rFBoi0gt1o3yKhH
Check out our full Organizations playlist at https://www.youtube.com/playlist?list=PL6vWkk9L7LeGF14eUwmzg6rcqj8T_6W9U
Videos you may also like:
🎬 Douglas McGregor and Theory X & Theory Y: Process of Model of Motivation https://youtu.be/fS5iqEf1Azs
🎬 Organizations as Structures: Understanding an Organization as a Structure https://youtu.be/LLnoTLkapjo
🎬 Robin Fincham: Three Levels of Organizational Power https://youtu.be/Qcd_UcHGCe8
🎬 Henry Mintzberg’s 4 plus 2 Organizational Types https://youtu.be/JmvYcskjh3E
🎬 Edgar Schein’s Two Organizational Cultures https://youtu.be/9C64CXJw83E
Theory X assumes …
‘I hate my work, I only do it for the money, i don’t want to think for myself, indeed, I’d rather just do as little as I can.’
So my boss will favour carrot and stick incentives, presuming I need to be compelled to do the job I’m paid for.
Theory Y assumes …
‘I like to work, it’s part of my life, i want to do well, and I will work hard if given the responsibility and recognition I deserve.’
So my boss will give me the responsibility I earn and reward me with the recognition I deserve.
William Ouchi developed McGregor’s work.
William Ouchi’s 1981 Theory Z assumes …
‘I want a long term career, I want to believe in what I do, I need to be led with a clear sense of purpose.’
So, my boss will work hard to convince me of the benefits of my endeavors and enroll me as a committed employee. In return, I see my career as a long-game. I will develop my skills but expect slow and steady promotion, rather than a stellar rise.
Theory Z follows Japanese management and employment practices of the 1970s. Japanese manufacturing won superiority over competitors in Europe and the US.
Some US and European businesses tried to emulate Theory Z companies. They largely failed. Motivation works in the context of culture. Traditional Japanese culture is different from European and US culture.
Now, many Japanese companies have abandoned a Theory Z approach.
1. What elements of Theory Z can you see in the culture of your organization? (1 MC CPD Point)
2. What elements of Theory Z can you see in the way your managers and supervisors lead their teams? (1 MC CPD Point)
3. What are the pros and cons of a more Theory Z approach within your own culture? (2 MC CPD Points)
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For a solid introduction to motivation:
– HBR Guide to Motivating People https://geni.us/sO2IKgn
The best of modern thinking on motivation, in accessible business books. These are all modern classics:
– Drive: The Surprising Truth About What Motivates Us https://geni.us/uq3EBO
– Start With Why: How Great Leaders Inspire Everyone To Take Action https://geni.us/vjErAN
– Lead, Motivate, Engage: How to INSPIRE Your Team to Win at Work https://geni.us/ABkZEx
– Multipliers, Revised and Updated: How the Best Leaders Make Everyone Smart https://geni.us/E39I
– Payoff: The Hidden Logic That Shapes Our Motivations https://geni.us/uMaP
– The Progress Principle: Using Small Wins to Ignite Joy, Engagement, and Creativity at Work https://geni.us/tiEkeH
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