Definition – Influencing and directing the performance of group members towards achieving the goals of the

business

Leadership

Effective LeadershipEffective leaders have the ability to :Communicate effectivelyListen – two way processThink critically – problem solvingSelf motivate and be determined to

succeed – and motivate others to do so.

Leadership StylesAutocraticDemocraticPaternalisticLaissez Faire

See Handout

McGregor's Theory X & YMcGregor examined how managers view their

subordinates. His work helps to inform us how different types of managers and leaders might set about motivating employees.

 In investigating the attitudes held by managers

towards their employees, McGregor discovered that the different views held by managers placed them into two broad categories. He memorably labelled these categories Theory X managers and Theory Y managers.

 

McGregor argued that Theory X managers would carry out their work based on the belief that:

 • The average employee dislikes work and will

avoid it if he or she can.• Unsupervised employees will not perform

efficiently.• Employees are motivated by money.• The average person prefers to be told what

to do, and want to avoid responsibility.• Employees are not ambitious. 

In contrast, managers with Theory Y beliefs and attitudes make entirely different assumptions about their employees. These are:

 Effort in work is as natural as work and play.• Employees are able to work efficiently without

constant supervision.• Commitment to objectives is a function of

rewards associated with their achievement. • Employees usually accept and often seek

responsibility.• Most employees possess ingenuity and creativity,

and they want to use these skills in their work. • Employees seek satisfaction from work and not

merely financial reward.