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Organizational Behaviour in 21st Century – ‘Theory A’ for Managing People for Performance


  • Aithal, Sreeramana
  • Kumar, Suresh


Theory X, Theory Y and Theory Z in organizational behaviour (OB) are related to human motivation and management. Theory X and Y were coined by Douglas McGregor in the late 1960s, says that the average human being is lazy and self-centred, lacks ambition, dislikes change, and longs to be told what to do. The corresponding managerial approach emphasizes total control. Theory Y maintains that human beings are active rather than passive shapers of themselves and of their environment. They long to grow and assume responsibility. Theory Z of Dr. William Ouchi's also called "Japanese Management" focused on increasing employee loyalty to the company by providing a job for life with a strong focus on the well-being of the employee, both on and off the job. The above theories were developed based on research conducted in various production related organizations in the 20th century. But in the 21st century, changes in business models, automation of production process, changes in technology & business environment, and changes in people’s perception, are transforming organizations into global entities. In the context of emergence of service industries and global e-business organizations, these are no longer applicable and need modification. In this paper, we have made an attempt to relook into human motivational theories and developed a new Organizational Attitude Theory called “Theory of Accountability” (Theory A). The four major constructs of Theory A are fixing Responsibility, maintaining Accountability, continuous Monitoring, and fulfilling pre-determined Target (RAMT). In this paper, some of the existing theories of organizational behaviour are examined and basic postulates and detailed organizational model for Theory A is depicted.

Suggested Citation

  • Aithal, Sreeramana & Kumar, Suresh, 2016. "Organizational Behaviour in 21st Century – ‘Theory A’ for Managing People for Performance," MPRA Paper 72393, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:72393

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    References listed on IDEAS

    1. Aithal, Sreeramana, 2016. "Study on Research Productivity in World Top Business Schools," MPRA Paper 72246, University Library of Munich, Germany.
    2. Aithal, Sreeramana & Kumar, Suresh, 2016. "Analysis of Choice Based Credit System in Higher Education," MPRA Paper 71743, University Library of Munich, Germany.
    3. Aithal, Sreeramana & V.T., Shailashree & Kumar, Suresh, 2016. "Application of ABCD Analysis Framework on Private University System in India," MPRA Paper 71769, University Library of Munich, Germany, revised Apr 2016.
    4. Aithal, Sreeramana, 2015. "Study on ABCD Analysis Technique for Business Models, Business Strategies, Operating Concepts & Business Systems," MPRA Paper 71989, University Library of Munich, Germany.
    5. Tore Ellingsen & Magnus Johannesson, 2008. "Pride and Prejudice: The Human Side of Incentive Theory," American Economic Review, American Economic Association, vol. 98(3), pages 990-1008, June.
    6. Aithal, Sreeramana & Shenoy, Varun, 2016. "Changing Approaches in Campus Placements: A New Futuristic Model," MPRA Paper 72245, University Library of Munich, Germany.
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    Cited by:

    1. Aithal, Sreeramana & Aithal, Shubhrajyotsna, 2019. "Transforming Society by Creating Innovators through Skill & Research Focussed Education – A Case Study of Srinivas University," MPRA Paper 95151, University Library of Munich, Germany.
    2. Aithal, Architha & Aithal, Sreeramana, 2018. "How and Why Wharton Business School became World Topper – A Case Study on Organizational Quest for Excellence of First US Business School," MPRA Paper 85727, University Library of Munich, Germany.
    3. Aithal, Sreeramana & P. M., Suresh Kumar, 2016. "Theory A for Optimizing Human Productivity," MPRA Paper 74265, University Library of Munich, Germany, revised 20 Sep 2016.
    4. Aithal, Sreeramana, 2018. "Strategic Management Research in India : Contribution of Top Business Schools during last 5 Years – A Critical Study," MPRA Paper 86694, University Library of Munich, Germany.

    More about this item


    Organizational theories; Theory X; Theory Y; Theory Z; Theory A. Theory of Accountability.;

    JEL classification:

    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation


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