This recognition was exemplified in McGregor’s (1957) work in which he
distinguished between what he called Theory X and Theory Y assumptions
about workers. He argued that traditional command and control approaches
(Theory X), based on the assumption that people are lazy, uninvolved, and
motivated solely by money, actually cause people to behave in a manner
consistent with that expectation. Theory Y, on the other hand, is based on a
much more optimistic and humanistic view of people, and emphasizes the
inherent dignity and worth of individuals in organizations. Holding these
assumptions, and acting on them, would allow these more positive qualities
of workers to manifest themselves in organizations.