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Cetralization
Centralization gives the idea of putting forth everyone's thoughts and skillsets together in order to make the best possible decisions. The idea behind centralization is to make sure every asset of a company has the opportunity to put their voices out to be heard by the upper levels of management within the company. -
Decentralization
This came to be a theory around the 1970s. The party responsible for producing this theory is the Qin Dynasty. They were a royal generation in ancient China. This theory is made for top-level management where a small group of the top leaders of a company makes all the decisions for the lower managers. This way there is little to no concern for confusion and disruption since the decisions are being made by the minds who are behind it all. -
Total Quality Management/TQM
Total Quality Management, or TQM, is the process of discarding errors that are occurring within the manufacturing process as well as streamlining the supply chain management. Furthermore, total quality management has eight principles that are followed. The principles are Customer Focus, Total Employee Commitment, Process Approach, Integrated System, Strategic/Systematic Approach, Continual Improvement, Fact-based Decision Making, and lastly Communications. -
Hierarchy of Needs
The hierarchy of needs is a theory of motivation that states that five categories of human needs dictate an individual's behavior. Those needs are physiological needs, safety needs, love, belonging needs, esteem needs, and self-actualization needs. Needs lower down in the hierarchy must be satisfied before individuals can attend to needs higher up. Everyone has to go through all those needs in a row in order to keep moving on to the next and to continue building upon themselves. -
Theory X
Theory X was developed and created in the 1950s by Douglas McGregor. However, the idea was not properly introduced or used until the mid-1960s. The idea of Theory X is that these employees exhibit repulsive and annoying habits such as laziness, lack of motivation, dull personalities, etc. They have a lack of wanting to work and end up hating their job, it is just about the money for them at that point. Many famous companies use the idea of Theory X such as Apple and Ford Motor. -
Theory Y
Both Theory X and Y were created by the same psychologist Douglas McGregor. While Theory X is more focused on the negatives of what employers would see in those employees, Theory Y is the exact opposite. These are people who are doing what they love regardless of money and so forth. They are motivated to do the absolute best work they can provide. They are very optimistic and driven to be the best they can be. They have a collaborative mindset so more work can get done efficiently. -
Theory Z
Theory Z was created nearly 20 years later than its counterparts. The goal of Theory Z is to combine the ideas of American and Japanese styles of management. This idea was created by an American Economist named William Ouchi. The brilliant idea that he had revolutionized modern-day business for mass amounts of companies big and small. The skill sets adapted by Theory Z are things like human resource management skills, coordination, etc. Unlike Theories X and Y, Theory Z people know their places.