The central elements in organizations are employees, who can determine the success or failure of any process. When managing teams, managers or leaders must clearly consider the psychological factors of the staff, at the level of each employee separately, because these factors differ in different generations. In order to carry out successful projects today, it is necessary to consider the demographic development of people and the value changes associated with it. Also, better understanding of the generations contributes to the formation of effective systems of communication and cooperation in the team. Generational theory explains that the era in which a person was born affects the development of their view of the world. Generational theory raises the idea that people belonging to the same generation have certain commonalities, and generational conflicts often arise between different generations, because people belonging to different generations behave differently in the same situations. A generation usually lasts about 20 years, from the birth of the average person to adulthood and childbearing.