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Outline two possible implications for a business if a manager adopts McGregor's Theory X approach to managing: (i): (ii): - Leaving Cert Business - Question 10 - 2013
Question 10
Outline two possible implications for a business if a manager adopts McGregor's Theory X approach to managing: (i): (ii):
Worked Solution & Example Answer:Outline two possible implications for a business if a manager adopts McGregor's Theory X approach to managing: (i): (ii): - Leaving Cert Business - Question 10 - 2013
Step 1
(i) Demotivated workforce
Answer
Adopting McGregor's Theory X may result in a demotivated workforce. This management style is characterized by an autocratic approach, where there is a lack of consultation and empowerment among employees. Consequently, workers may feel a lack of trust toward their management, leading to no delegation of responsibilities and a decline in morale.
Step 2
(ii) High labour turnover
Answer
Another implication could be high labour turnover. The Theory X approach can contribute to a negative work environment that increases turnover rates. This is often associated with the need for retraining costs for newly hired staff, which can ultimately harm the company's productivity and increase operational expenses.