[4] Assumptions of Theory Y, in relation to Maslow's hierarchy put an emphasis on employee higher level needs, such as esteem needs and self-actualization.
In general, Theory X style managers believe their employees are less intelligent, lazier, and work solely for a sustainable income.
[6] Due to these assumptions, Theory X concludes the typical workforce operates more efficiently under a hands-on approach to management.
This allows the individual to receive either a direct reward or a reprimand, depending on the outcome's positive or negative nature.
[6] The soft approach is characterized by leniency and less strict rules in hopes for creating high workplace morale and cooperative employees.
Theory Y managers assume employees are internally motivated, enjoy their job, and work to better themselves without a direct reward in return.
Employees additionally tend to take full responsibility for their work and do not need close supervision to create a quality product.
[9] Theory Y managers gravitate towards relating to the worker on a more personal level, as opposed to a more conductive and teaching-based relationship.
[4] This allows the employee to design, construct, and publish their work in a timely manner in co-ordinance to their workload and projects.
[4] The workplace lacks unvarying rules and practices, which could potentially be detrimental to the quality standards of the product and strict guidelines of a given company.
This theory states that managers evaluate the workplace and choose their leadership style based upon both internal and external conditions presented.
Older, strictly hierarchical conceptions of C2, with narrow centralization of decision rights, highly constrained patterns of interaction, and limited information distribution tend to arise from cultural and organizational assumptions compatible with Theory X.
On the other hand, more modern, network-centric, and decentralized concepts of C2, that rely on individual initiative and self-synchronization, tend to arise more from a "Theory Y" philosophy.