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Organizational Behavior Organizational Behavior is the study and application of knowledge about how people, individuals, and groups act in organizations. Usually it is studied through a systems approach, which interprets people-organization relationships in terms of the whole person, whole group, whole organization, and whole social system. Its purpose is to build better relationships by achieving human objectives, organizational objectives, and social objectives. Organizational behavior provides managers with the knowledge, analytical tools, and ability to influence human and organizational performanc