In a skillet over low-medium heat, melt the butter.

Then add the uncooked Orzo, and mix well to coat the pasta in the butter.  Stir continuously until the pasta is lightly golden brown, about 4 minutes.

Whisk in the water or broth, and bring to a low boil.

Then reduce the heat to low, cover and let simmer until all of the liquid is absorbed, about 15 minutes.