This chapter focuses on the project team environment. The literature research suggests that teams generate synergy by amassing complementary talent, knowledge and experience that far surpass those of any team member. Work teams encourage a collectivist approach and satisfy the social needs of the individual members, thus enhancing work motivation in the process. It is important that teams work in an atmosphere of openness and mutual trust, since much of the team's intelligence is based on shared experiences. The use of cross-functional project teams is an important tool for developing project chemistry. Moreover, informal acclamations, particularly peer praise, have been found to be essential for building and sustaining high performance teams. The concept of self-managing teams develops when teams are able to operate automatically, with leadership and management roles being divided among the team members. The key element in having an effective work team is the level and quality of the interactions among the team members.