How does Theory X manage employee performance?

Theory X, developed by Douglas McGregor, posits a pessimistic view of employees, suggesting that they are inherently lazy, require close supervision, and are motivated primarily by extrinsic rewards and fear of punishment. As such, managing employee performance under Theory X typically involves a more authoritarian approach, where management seeks to control and direct employees through strict rules and consequences.

The focus on potential punitive measures aligns directly with the core elements of Theory X, as it assumes that employees need to be coerced into performing their duties. This management style relies heavily on enforcing compliance through the fear of negative outcomes, which is why the answer regarding the use of threats as a means of motivation is accurate.

Other approaches, such as encouragement, fostering teamwork, or providing autonomy, are more reflective of Theory Y, which presents a more optimistic view of employees as self-motivated and capable of taking responsibility. Thus, these alternatives do not represent the principles of Theory X effectively.