today’s environment because we have such diverse and educated employees who want to be
treated in a very different way in the work place.
Supplementary Exercise 9.2 with T.M. 9.1
Prior to discussing the traditional styles of leadership, have participants complete in class the
Hotel Galveston exercise. To do this, the instructor should duplicate and distribute copies or
prepare a transparency from Teaching Master 9.1. This exercise serves as an excellent
introduction to autocratic, democratic, and free reign leadership. It will help students gain
understanding about the three traditional leadership styles, observe the application of these styles,
and see and feel the results of such leader behaviors.
Instructor Procedures:
1. Divide the class into three groups of roughly equal size.
2. Tell each group to quickly select a leader.
3. Give the groups the task described. While they start to plan their strategy, meet with the
leaders and assign their leadership roles. Give each leader the appropriate guidelines
(Teaching Master 9.1).
4. Give groups 10 minutes in which to plan their task and 15 minutes in which to complete it.
5. Inspect the hotels, administer the hurricane, and select the winner of the competition.
6. Announce the winner and explain to the class that the exercise was structured for them to
experience the three basic styles of leadership. Ask for observations from each group,
emphasizing key behaviors associated with each type of leadership style. Be sure to ask the
designated leaders about their feelings in their particular roles and to talk through any
uncomfortable feelings they might have had.
Supplementary Exercise 9.3
This exercise begins with an open discussion of McGregor’s Theory X and Y and should use
Figure 9.2 in the text as a visual illustration. Douglas McGregor set out one of the original
theories that suggested leaders should treat employees the way they seemed to be motivated and
called this idea his Theory X. In this Theory X, McGregor made a basic assumption that people
worked only to survive, inherently disliked work, were not ambitious, would avoid work if they
could, and preferred being directed to avoid any possible responsibility. This paints a picture of a
lazy employee. A leader of this type of employee would then be expected to threaten this
employee, be highly directive, controlling, and push this person to get any work from them. The
heavy-handed, authoritarian leadership style would be the approach best suited to this Theory X.
On the other extreme end of his idea was Theory Y, which suggested an opposite idea. In Theory
Y, he suggested that people naturally liked to work and were self-directed if there was some
reward for their effort. At the direct opposite from Theory X, he held that people were eager to
work, would seek responsibility, and would do a good job. The democratic leadership approach
is best suited to this type of employee requiring less direct supervision and a more supportive or
participative style for best results. But are employees always one way or the other?
Lead the class in an open discussion of under what conditions Theory X assumptions
might be appropriate and then Theory Y assumptions. In the discussion, be sure to point out that
McGregor never said that all people dislike work or that all people seek responsibility, etc. Some
people might, while others will behave in these ways to various degrees. He stressed that
conditions must be right for certain behaviors. Ask what students think happens when employee
behaviors moves toward the middle of these assumptions and how would a supervisor handle that
situation? The instructor may want to illustrate this theory by drawing a straight line with an X
on one end and a Y on the other and then talk about how employees will move along the
continuum of that line, demonstrating different degrees of both behaviors depending on
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