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William Ouchi's Theory Z
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William Ouchi's Theory Z
More about Theory Z
- A company's history should be understood by all employees, and employees need to believe in the work they're doing.
- If most employees are long term, promotions tend to be steady. This leads to loyalty throughout team members.
- Theory Z cares about their employees as a real person and not just someone who works for them.
- These lead to lower turnover rates and higher productivity rates.
To summarize Theory Z....
Work Cited
Kleiner, Art. "William G. Ouchi: The Thought Leader Interview." Strategy+business. N.p., n.d. Web. 16 Sept. 2015.
REAL LIFE EXAMPLE
"Non-Theory Z employment"
VS.
"Theory Z Employment"
- "Non-Theory Z" employee attends work and is a contract worker; therefore does not receive full time employment pay, along with not receiving full benefits such as: Employment benefits, CPP, vacation pay, and other employee benefits
- "Theory Z" employee attends work and is a full time employee; therefore receiving full pay, and has full coverage and benefits from employer
What is Theory Z?
Theory Z was developed by American professor, William Ouchi. Based off of Theory X and Y, Theory Z promotes high productivity, stable employment, and employee satisfaction.
William Ouchi, who is he?
William Ouchi was born in 1943 in Honolulu, Hawaii. Ouchi studied at three university's, earning a B.A., MBA, and Ph.D in business administration. He then went on to teaching management and organization design at UCLA.
Ouchi began to study the differences between American and Japanese management styles. In 1981 his book "Theory Z" was released, which summarizes his findings.
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