In 1960 s social psychologist NcGregor developed two contrasting theories that explained how managers belief about what motivates their people can affect their managenent style. Theory X and Y. 

 Theory X managers tend to take a pessimistic view of their people, and assume that they are naturally unmotivated and dislike work. As a result, they think that team members need to be prompted, rewarded  or punished constantly to make sure that they complete their tasks.

People have greater responsibility, and managers encourage them to develop their skills and suggest improvements. Appraisals are regular but, unlike in Theory X organizations, they are used to encourage open communication rather than control staff.

Theory Y organizations also give employees frequent opportunities for promotion.