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Summary
One important feature of Theory Y that is not discussed by McGregor and others is that people must have contact with each other in order to achieve associated social, esteem, and self-actualization goals. Isolating people, such as is accomplished with cubicles, negates the positive aspects of Theory Y. Cubicles and other similar environment forms support the close control necessary to achieve the Theory X organizational objectives. But leadership, communication, and empowerment are the roots of an organization's power to be productive. Leadership attitude toward employees allows the organization's communication to grow, thus increasing productivity. You can only imagine a manager trying to lead a group of engineers, none of whom know how their work fits into the system concept or direction being followed by the other engineers. Without communication between employees, productivity improvement is difficult or even impossible to achieve.