“Theory Y”, the opposite of “Theory X”, argues that people want to fulfill
themselves by seeking self-respect, self-development, and self-fulfillment at
work as in life in general. The six basic assumptions for ‘Theory Y’ are: work is as
natural as play or rest – the average human being does not inherently dislike
work, whether work is a source of pleasure or a punishment (to be avoided)
depends on nature of the work and its management. Second, effort at work need
not depend on threat of punishment – if committed to objectives then selfdirection
and self-control rather than external controls. Third, commitment to
objectives is a function of the rewards associated with their achievement.
Satisfaction of ego and self-actualization needs can be directed towards the
objectives of the organization. Fourth, the average human being learns, under
proper conditions, not only to accept but to seek responsibility. Fifth, high
degrees of imagination, ingenuity and creativity are not restricted to a narrow
group but are widely distributed in the population. Lastly, under the conditions
of modern industrial life, the intellectual potentials of the average human being
are being only partly utilized.