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Organizational behavior belongs in two categories to be correctly defined as a practice in both psychological and leadership settings. The basic definition of organizational behavior is the study of both group dynamics and individual performance within the constructs of an organization or workplace. This is because both sides, the individual and the group, need one another in order to create a beneficial and productive environment. For example, a good leader who exercises a healthy degree of organizational skills, motivating employees, and solving workplace issues can practice organizational behavior in one of two equally effective ways. These two ways are internal perspective of organizational behavior, and the external perspective of organizational behavior.
If utilizing the internal perspective of organizational behavior, a leader or employer may take into account the personal feelings, unique experiences, and thoughts and co-working styles of each employee. This would mean that an effective leader would draw on their employee's special qualities and experience in order to solve problems such as motivation.
Similarly, the other side of organizational behavior which focuses on the group dynamic, is when a leader or employer believes that external factors like the environment and outer influences, such as salary may affect an employee's motivation. Motivation is actually a good example to illustrate both schools of thought about organizational behavior.
In a nutshell, organizational behavior can be characterized as an interplay between an individual approach (speaking to your question of self), and a group dynamic (speaking to your question regarding system). Both the individual and the system itself work symbiotically in order to achieve a similar goal or outcome.
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