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BY,
BLESSON THOMAS BENCHAMIN
William G. Ouchi
 American professor and author in the field of
business management.
 Ouchi first came to prominence for his studies of
the differences between Japanese and American
companies and management styles.
 Theory Z of Ouchi is Dr. William Ouchi's so-called
"Japanese Management" style popularized during
the Asian economic boom of the 1980s.
 First book in 1981 -“Theory Z: How
American Management Can Meet the
Japanese Challenge.
 Built on Douglas McGregor's Theory X
and Theory Y
What is theory z??????
 Theory Z is an approach to management
based upon a combination of American
and Japanese management philosophies
and characterized by, among other things,
long-term job security, consensual
decision making, slow evaluation and
promotion procedures, and individual
responsibility within a group.
Differencesb/w American& Japanese
Management Practices
American Organizations
 Short-term employment
 Individual decision making
 Individual responsibility
 Rapid advancement
 Explicit control mechanisms
 Specialized career paths
Japanese Organizations
 Lifetime employment
 Collective decision making
 Collective responsibility
 Slow evaluation & promotion
 Implicit control mechanisms
 Non-specialized career paths
FEATURES of theory z
 LONG-TERM EMPLOYMENT
 COLLECTIVE DECISION MAKING
 INDIVIDUAL RESPONSIBILITY
 SLOW EVALUATION AND PROMOTION
 INFORMAL CONTROL WITH FORMALIZED MEASURES
 MODERATELY SPECIALIZED CAREER PATH
 HOLISTIC CONCERN
LONG TERM EMPOLYMENT
Type Z organizations set the conditions to
encourage their employees to make life long
commitments to the organizations. Which promotes
stability in the organization and job security among
employees.
COLLECTIVE DECISION MAKING
 This type of organization helps in effective
communication which helps in effective decision making.
INDIVIDUAL RESPONSIBILITY
 Type Z organizations retain the
emphasises on individual contribution
that are characteristic of most American
firms by recognizing individual
achievements.
SLOW EVALUATION AND
PROMOTION
 The Type A organization has generally
been characterized by short-term
evaluations of performance and rapid
promotion of high achievers. The Type J
organization, conversely, adopts the
Japanese model of slow evaluation and
promotion.
INFORMAL CONTROL WITH FORMALIZED
MEASURES
 The Type Z organization relies on informal
methods of control, but does measure
performance through formal mechanisms.
MODERATELY SPECIALIZED CAREER
PATH
 The Type Z organization adopts a
middle-of-the-road posture, with career
paths that are less specialized than the
traditional U.S. model but more
specialized than the traditional Japanese.
HOLISTIC CONCERN ( like
family)
 The Type Z organization is characterized
by concern for employees that goes
beyond the workplace. This philosophy is
more consistent with the Japanese model
than the U.S. model.
THANK YOU

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Btb ppt

  • 2. William G. Ouchi  American professor and author in the field of business management.  Ouchi first came to prominence for his studies of the differences between Japanese and American companies and management styles.  Theory Z of Ouchi is Dr. William Ouchi's so-called "Japanese Management" style popularized during the Asian economic boom of the 1980s.
  • 3.  First book in 1981 -“Theory Z: How American Management Can Meet the Japanese Challenge.  Built on Douglas McGregor's Theory X and Theory Y
  • 4. What is theory z??????  Theory Z is an approach to management based upon a combination of American and Japanese management philosophies and characterized by, among other things, long-term job security, consensual decision making, slow evaluation and promotion procedures, and individual responsibility within a group.
  • 5. Differencesb/w American& Japanese Management Practices American Organizations  Short-term employment  Individual decision making  Individual responsibility  Rapid advancement  Explicit control mechanisms  Specialized career paths Japanese Organizations  Lifetime employment  Collective decision making  Collective responsibility  Slow evaluation & promotion  Implicit control mechanisms  Non-specialized career paths
  • 6. FEATURES of theory z  LONG-TERM EMPLOYMENT  COLLECTIVE DECISION MAKING  INDIVIDUAL RESPONSIBILITY  SLOW EVALUATION AND PROMOTION  INFORMAL CONTROL WITH FORMALIZED MEASURES  MODERATELY SPECIALIZED CAREER PATH  HOLISTIC CONCERN
  • 7. LONG TERM EMPOLYMENT Type Z organizations set the conditions to encourage their employees to make life long commitments to the organizations. Which promotes stability in the organization and job security among employees.
  • 8. COLLECTIVE DECISION MAKING  This type of organization helps in effective communication which helps in effective decision making.
  • 9. INDIVIDUAL RESPONSIBILITY  Type Z organizations retain the emphasises on individual contribution that are characteristic of most American firms by recognizing individual achievements.
  • 10. SLOW EVALUATION AND PROMOTION  The Type A organization has generally been characterized by short-term evaluations of performance and rapid promotion of high achievers. The Type J organization, conversely, adopts the Japanese model of slow evaluation and promotion.
  • 11. INFORMAL CONTROL WITH FORMALIZED MEASURES  The Type Z organization relies on informal methods of control, but does measure performance through formal mechanisms.
  • 12. MODERATELY SPECIALIZED CAREER PATH  The Type Z organization adopts a middle-of-the-road posture, with career paths that are less specialized than the traditional U.S. model but more specialized than the traditional Japanese.
  • 13. HOLISTIC CONCERN ( like family)  The Type Z organization is characterized by concern for employees that goes beyond the workplace. This philosophy is more consistent with the Japanese model than the U.S. model.