“The study of the structure, functioning and performance of organizations, and the behavior of groups and individuals within them” Derek Pugh's (1971)This influential definition of organizational behavior was by Derek Pugh in 1971 Human behavior is the way people act and react to situations and circumstances, every individual is different, therefore it is essential for an organization to study human behavior to understand the workforce. By observing and understanding each individual the organization would improve performance; organizational behavior can be considered the key area of ​​management. Organizations study organizational behavior within them; investigating individuals, social perception, attitudes and emotions. This way they are able to determine whether the motivation exists and, if so, it is successful. How individuals work in groups and teams is important for unity within organisations, so it is vital to know how people communicate within their groups/teams and how good the outcome is when they do so. Employees can become stressed, which would affect them greatly because a stressed employee would not be able to work to his or her full potential. However this would be the least of the organization's concerns because stress greatly affects an employee's psychological well-being, this is disastrous for both the organization and the individual. We know how these factors fit into the reason behind the study of organizational behavior, however its relevance in today's organizations is still a question, I will discuss two of the factors in more detail and refer to whether or not they are relevant in today's organizations. Human behavior in an organization must be evaluated so that the bus... in the center of the paper... torian. http://dictionary.reference.com/browse/motivation. Available: http://dictionary.reference.com. Accessed: 8 December 2010. Integrated publication. (2009). Human behavior. Available: http://www.tpub.com/content/advancement/14504/css/14504_16.htm. Last accessed December 11, 2010.Love2reward. (2010). Motivation. Available: http://www.love2reward.co.uk/rewards/info-centre/motivation.jsp. Last accessed 11 December 2010. Seldon, B. (2010). Money, happiness and motivation. Available: http://www.management-issues.com/display_page.asp?section=opinion&id=6100. Last accessed December 11Tutor2u. (2007). motivation in theory - introduction. Available: http://tutor2u.net/business/people/motivation_theory_introduction.asp. Last accessed 11 December 2010.Imagevintechsystems. (2010). Hierarchy of needs. Available: http://vintechnology.com/journal/?p=47. Last access December 11th 2010.