Theory Z is based on which premise?

Theory Z emphasizes mutual worker-employer loyalty as its central premise. This approach was developed by William Ouchi and focuses on creating a strong bond between employees and their employers, fostering an environment where long-term employment is valued. The intention of Theory Z is to cultivate a workplace culture that emphasizes collaboration, trust, and shared goals, which ultimately enhances productivity and employee satisfaction.

In this model, the emphasis on mutual loyalty involves creating a sense of belonging and commitment from both parties. When employees feel a strong connection and loyalty to their organization, it can lead to improved morale and decreased turnover, while employers also demonstrate their commitment to the well-being and development of their workforce.

Other options, while relevant to workplace dynamics, do not capture the essence of Theory Z's focus on loyalty. For instance, while workers accepting responsibility (the first option) or the emphasis on self-direction and control (the second option) are important aspects of employee engagement, they do not encapsulate the core of Theory Z's philosophy. Likewise, the third option, which involves task, structure, and authority, points more towards traditional management techniques, contrasting with Theory Z's emphasis on collaboration and workplace relationships. Therefore, the premise of mutual loyalty stands out as the defining characteristic of Theory Z.