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Organizational Learning

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Abstract

No theory or model of organizational learning has widespread acceptance. This paper clarifies the distinction between organizational learning and organizational adaptation and shows that change does not necessarily imply learning. There are different levels of learning, each having a different impact on the strategic management of the firm.

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... Here, the individuals' knowledge is tethered to their learning aptitude, amplifying their ability to execute effective actions that bolster performance. This notion aligns with Fiol and Lyles (1985), who emphasize enhancing actions, comprehension, and knowledge. ...
... Rigorous punitive systems, intolerant of error; Beliefs and interests of individuals and specific groups; Lack of balance in the division of power and responsibility; Lack of employee motivation to learn. Argyris and Schön (1996); Berthoin Antal, Lenhardt and Rosenbrock (2001); Cannon and Edmondson (2001); Edmondson (1999Edmondson ( , 2002Edmondson ( , 2008; Kim (1993); Schein (1993); Starbuck and Hedberg (2001 Fiol and Lyles (1985); Morgan (1996). ...
... Moreover, the notion of power distribution equality, underpinned by a flexible and decentralized organizational structure, is another favorable factor for learning (Fiol & Lyles, 1985;Morgan, 1996). However, while such equality can spur change and innovation, it can sometimes hinder full commitment (Scherer & Tran, 2001). ...
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Universities should be dedicated to providing an education that fosters social transformation by interrelating the environmental, social, and economic dimensions. This article asserts that a truly sustainable university extends beyond merely “greening” the campus—it emphasizes sustainability across all core processes, be it in education, management, research, or community relations. The primary aim of this study is to delve into organizational learning and sustainable management processes, drawing inspiration from the I3E model introduced by Cebrian (2016). A qualitative case study was undertaken at a Brazilian federal university listed in the UI GreenMetric World University Rankings to achieve this. The research thoroughly examined institutional documents and interviews with managerial staff to discern strategic decisions, sustainable initiatives, and best practices. The findings suggest that the journey towards learning for sustainability is riddled with challenges, such as a paucity of commitment, communication gaps, ineffective leadership, distrust within the institution, limited funding, conflicting interests among various groups and individuals, and the burden of rigid bureaucratic protocols. However, facilitating factors have also been identified, including reshaping pre-existing mental models, a genuine interest in learning, and a conducive organizational framework. This research enriches the existing discourse on sustainability and organizational learning and offers a comprehensive and interconnected perspective on these topics. Additionally, it delivers valuable insights for academic administrators aspiring to craft a blueprint for a sustainable university. It does so by addressing overarching challenges and placing the components of the institutional management model in context, thereby offering direction for sustainable core processes in areas such as teaching, research, outreach, and management.
... Drawing on organisational learning theory, the research delineates the distinct impacts of digital business strategies on both exploratory and exploitative learning, contingent upon varying degrees of organisational memory and its distribution. By weaving the organisational learning theory into the tapestry of digital research discourse, this investigation significantly enhances and evolves existing theoretical frameworks (Fiol & Lyles 1985). Undoubtedly, this research also extends pivotal practical insights for MNEs in South Africa, guiding them in leveraging digital business strategies to bolster performance and sidestep potential digital pitfalls. ...
... Lastly, by integrating the theory of organisational learning (Fiol & Lyles 1985) with the digital strategy discourse for MNEs, this study offers a fresh theoretical lens. It posits that the efficacy of a digital business strategy is not just determined by the strategy itself but also by how organisations learn from and adapt to it. ...
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Background: Chinese multinational enterprises (MNEs) are obsessed with implementing digital business strategy in global competition, but there is limited knowledge about how and when the MNEs can achieve performance. Aim: This study aims to clarify the influence of digital business strategy on MNEs’ performance in South Africa, and whether this impact is mediated by exploratory and exploitative learning and moderated by organisational memory level and dispersion. Setting: Senior executives from the MNEs participated in the year-long survey. Before the survey, the participants were communicated and agreed, and the survey was completed by email. Method: Two-stage data from 314 MNEs in South Africa were obtained. Hierarchical regression analysis and Hayes Process Macros were used. Results: The results show that digital business strategy positively influenced performance, and the relationship was mediated by exploratory and exploitative learning. Organisational memory level and dispersion had an inverted U-shaped moderating effect on the relationship between digital business strategy and exploratory and exploitative learning. Conclusion: This study provides the first insight into the relationship between digital business strategy and MNEs’ performance in South Africa. It reveals the mediating mechanism and boundary conditions of this relationship, making an important contribution to the literature concerning digital business strategy. Contribution: This study encourages MNEs in South Africa to implement digital business strategies according to local conditions. What’s more, exploratory and exploitative learning is a strategic process that cannot be ignored, and moderate organisational memory can help these MNEs benefit from digital business strategy better.
... leads to more adaptive behavior that hinders common development and learning (Edmondson, 2002;Fiol & Lyles, 1985;Powell & Mainiero, 1999), as indicated by the dashed back loop in Figure 4. This is also in line with previous research emphasizing the importance of value congruence in diverse teams in order to benefit from heterogeneity (Jehn et al., 1999;Olsen & Martins, 2012). ...
... where the more heterogeneous the interests, the more scope there is for learning through reflection and action (Edmondson, 2002;Fiol & Lyles, 1985). Our research shows that an authentic dialog at eye level between all organizational members helps to jointly develop solutions (consensus), to build a "community" of diverse individuals within the organization (cohesion), and to build the capacity to learn how to proceed in the future (reflexivity). ...
Article
In the context of working from home triggered by the COVID‐19 pandemic, we theorize on inclusive organizational behavior (IOB) as a participatory practice to use diverse interests as a resource for developing a long‐term working mode. We adopt a mixed‐methods design to examine qualitative data from four companies and quantitative data from a company survey. In the qualitative study, we identify four IOB approaches (blighting, silencing, balancing, and harmonizing) employed by various organizational actors (HR/managers, employees, and their representatives). These practices concern organizational culture, structures, and everyday interactions in dealing with diverse interests. In the quantitative study, we examine the relationship between heterogeneity of interests, participation, and organizational experiences with working from home. We integrate our findings in an IOB model and show that a higher degree of participation fosters positive experiences with working from home, as well as opportunities for learning. Addressing diverse interests through participatory practices may involve challenges and lengthy negotiations yet offers the potential to learn from diversity for future working modes. Our research contributes to the conceptualization and practical implementation of IOB by emphasizing the importance of participation in co‐creating opportunities for learning from given and potentially emerging interests in a constantly changing world of work.
... Despite the extensive research on organisational learning, there remains no universally accepted theory or definition of it (Argote, 2013;Crossan et al., 1999;Easterby-Smith and Lyles, 2012;Fiol and Lyles, 1985;Huber, 1991). Argote and Ophir (2017) describe organisational learning as a process that changes the organisation as a result of experiences. ...
... Argote and Ophir (2017) describe organisational learning as a process that changes the organisation as a result of experiences. Fiol and Lyles (1985) view organisational learning as the acquisition of knowledge from experiences and the translation of that knowledge into actions taken by the organisation. By studying learning from cyber security incidents, our aim is to understand both the practices organisations employ to extract lessons from incidents and the changes they make because of them. ...
... Argyris and Schön (1978) coined organizational learning to describe detecting and correcting administrative errors. Fiol and Lyles (1985) later described it as enhancing activities via increased knowledge and understanding. Huber (1991) hypothesized that an entity learns if the range of its potential behaviors changes due to its information processing. ...
... Compared to the other studies, Ismail (2005) discovered that the learning dimensions of Embedded Systems, Systems Connection, and Continuous Learning had substantial predictive effects on innovative activities occurring inside the company. According to Maria and Watkins (2003), embedded systems, strategic leadership, continuous learning, and team learning accounted for more significant variance in adopting innovation than the other three elements of the learning organization. Ugurluoglu et al. (2013) discovered Embedded systems, Systems connection, and Continuous learning to be significantly predictive of innovation. ...
... One of the proven ways that help universities adapt to change and increase their performance is learning, more specifically, organisational learning (Kezar and Holcombe 2019). In fact, organisational learning practices and processes can facilitate change and enhance organisations (Argyris and Schön 1996;Fiol and Lyles 1985;Garvin 1993;Huber 1991). ...
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Universities are facing changes that could be adapted by learning. Organisational learning helps universities in attaining better organisational and sustainable performance. The study aims to combine and explore how organisational learning culture enables organisational learning to contribute to better organisational performance and better sustainable performance, following the natural resource-based view and organisational learning theory. The study examines the relationship between organisational learning culture, organisational learning, organisational performance, and sustainable performance in the university context from university teachers. The author collected 221 surveys from public university teachers in Europe to test the model. The results indicate a positive relationship between organisational learning culture and organisational learning. In addition to that, the positive relationship between organisational learning and organisational performance is indicated. Moreover, the results indicate a positive relationship between organisational learning and sustainable performance. The results also show that the organisational learning process mediates organisational learning culture and university performance. The study addresses a gap in the scarce studies in the university context for organisational learning and sustainable performance. Finally, this study reproduces an organisational model that has been adapted for universities.
... That makes the group learning context highly relevant for our purposes. Fiol and Lyles (1985) describe group learning as improving actions through better knowledge and understanding. In contrast, Edmondson et al. (2001) define it as improving the performance of a team, reflecting, and acting to obtain and process information to find, understand, and adapt to changes in the environment. ...
... In today's rapidly changing business environment, e-learning within educational technology has become an indispensable core strategy for modern enterprises. With continuous advancements in information technology and deepening globalization, e-learning transcends traditional teaching and training methods, becoming a necessary condition for enterprises to maintain their competitiveness in the face of swift market changes [1][2][3]. The flexible application of technology education offers employees a learning mode that overcomes the limitations of time and location while also bringing significant benefits to enterprises by controlling their learning costs, enhancing employee performance, and achieving cross-national and remote training. ...
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In the rapidly evolving landscape of information technology and with the ubiquitousness of the internet, corporations are increasingly focused on harnessing educational technology to boost their competitive prowess. A pivotal question emerges: Can they implement this technology effectively and sustainably to enhance the learning capabilities of their workforce and facilitate their accumulation of knowledge and skills? This concern remains a central focus in the corporate sphere. From educational psychology, goal orientation theory offers an explanatory framework for understanding learner (employee) behavior variations following learning interventions. This research is grounded in the e-learning environment fostered by educational technology within corporations. It explores and hypothesizes the impact of employee achievement motivations—including learning, proving, and avoiding goal orientations—on self-regulated learning (encompassing cognitive, motivational, and behavioral adjustments). Additionally, this study examines how employees’ self-regulated learning and learning satisfaction with the learning process influence learning effectiveness (learning outcomes) assessments. Our empirical survey targeted 380 employees from 26 companies participating in corporate educational technology learning (e-learning), with our research hypotheses tested through PLS structural equation modeling. The analysis indicates that employees’ learning and proving goal orientations indirectly positively affect their learning outcomes by mediating self-regulated learning and learning satisfaction. Conversely, employees’ avoidance goal orientation indirectly negatively impacts their learning outcomes by mediating their self-regulated learning and learning satisfaction. Finally, the researchers offer recommendations for management and future research directions.
... El aprendizaje ayuda al progreso y al cambio de la percepción del entorno, del comportamiento y del desarrollo cognitivo. Fiol & Lyles (1985) proponen que el aprendizaje genera un cambio en la conducta de los individuos. Más allá del aprendizaje individual también se encuentra el aprendizaje colectivo que corresponde a la capacidad de un grupo de personas para aprender a trabajar en equipo y construir acuerdos (Örtenblad, 2001;Pahl-Wostl, 2009). ...
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In recent years, research has been done on participation, however, the collective learning of actors is not addressed and there is a lack of knowledge of this process. This research asks: How do local actors learn and build a common technical language, coordination and agreements in the peri-urban territory of Melipilla? The analysis focuses on a modification of the Communal Regulatory Plan (PRC) carried out between November 2013 and December 2015. Thus, the objective of this research is to understand the collective learning process of local actors in the construction of their relationships. Then, a brief conceptual framework is developed about governance, learning and the link between the two is established. Semi-structured interviews with local actors are carried out and content analysis technique is applied in the method. The results are divided into two components: the perception of learning in the process of coordination and agreements, as well as the learning of technical language. Finally, this research contributes to the verification of a group learning of external origin on coordination and the construction of agreements, the difficulty in the technical use of language and the absence of creation of new language.
... Perhaps the dynamic nature of the business landscape and the competitive environments in which firms operate have limited the effort devoted to understanding firm's behavioral consistency. For example, the strategic change and dynamic capability literatures emphasize that firms resisting change and adaptation are less likely to survive (Fiol & Lyles, 1985;Fortune & Mitchell, 2012;Greve, 1998;Worch et al., 2012). These arguments are typically developed in the context of market-related strategies and actions (Datta et al., 2003;Dutton & Duncan, 1987;Kelly & Amburgey, 1991;Miller & Shamsie, 2001). ...
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This study explores whether and under what conditions women CEOs engage in behavioral consistency when promoting CSR practices. Specifically, drawing from the social role and behavioral consistency theories, we argue that women's CEO presence will positively affect CSR consistency. We use two categories to capture the firm's consistency in CSR practices: inter-domain and temporal consistency. Inter-domain consistency indicates reliability in a firm's conduct across its various stakeholder groups. Temporal consistency refers to the consistency of a firm's behavior toward its stakeholders over time. Using 167 unique S&P 500 firms over the 2005-2013 sample period, we found that women CEOs maintain higher temporal and inter-domain consistency than men. Our results also show that women CEO-led firms with greater gender diversity on their boards exhibit higher temporal and inter-domain consistency levels. Our study advances our understanding of how women CEOs use their situational and positional power to improve such equity and consistency.
... In addition, organizations can absorb security experience from outside the organization, such as experience from external companies [60]. Security knowledge gained from any of these sources can guide the secure application of IT innovations [4,32,60]. ...
... Organizational learning assumes using knowledge and comprehension to improve performance (Fiol & Lyles, 1985). Many researchers have linked organizational learning to higher organizational performance (Hurley & Hult, 1998 Organizational learning includes learned behaviors and interpretations (Imran, et al., 2016). ...
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Organizational change becomes important when companies fail to accomplish planned goals in a turbulent business environment. However, successful change implementation becomes impossible without organizational members' change readiness. Resistance to change is a factor that can jeopardize change efforts the most, and change readiness reduces potential change resistance. Also, continuous learning of all organization members is an essential prerequisite for successful change implementation. The aim of this research is to analyze the impact of change readiness on change success and investigate the role of organizational learning capacity in this relationship. The study was conducted in September 2021, and the sample included 43 large companies operating in Croatia. The results of PLS-SEM analysis show that the impact of change readiness on the success of organizational change is fully mediated by organizational learning capacity.
... In addition, learning from failure involves forgetting and relearning. Forgetting is a prerequisite for establishing new cognitive and behavioral patterns and relies on relearning the failure experience (Fiol & Lyles, 1985). Thus, learning from failure enables organizations to obtain not only knowledge of what they thought was right, but also knowledge of what they thought was wrong but what was actually right, with far-reaching effects on their future cognitive, behavioral, and practical activities. ...
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Restricted by unfavorable external environments and weak operational capabilities, social enterprises often fail. However, the issue of whether and how learning from failure affects social enterprise growth performance has not yet been sufficiently focused and effectively addressed. Based on resource orchestration theory, this study analyzes the mechanism between learning from failure and social enterprise growth performance using a two-stage sample of 189 Chinese social enterprises from Shandong and Beijing. We also explore the moderating role of failure normalization, which supplements research gaps and buffers Chinese social enterprise growth. The results show that learning from failure is significantly and positively related to social enterprise growth performance. Resource orchestration intervenes in the link between learning from failure and social enterprise growth performance. In addition, the contingency impact of failure normalization influences learning from failure and social enterprise growth. Our study underscores the significance of resource orchestration in the integration and application of commercial and social elements in social enterprises to achieve the co-development of economic and social performance. The findings not only reveal the mediating mechanism and contextual conditions under which learning from failure drives the growth performance of social enterprises but also provide insights into the survival and development of Chinese social enterprises in the context of economic transformation.
... The third and last phase of the scenario manipulated organizational learning (Fiol & Lyles, 1985). This involved focusing on the follow-up recovery phase which occurs after an immediate recovery has been provided (Miller et al., 2000). ...
Chapter
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Sumario: What culture is and does -- The dimensions of culture -- How to study and interpret culture -- The role leadership in building culture -- The evolution of culture and leadership -- Learning cultures and learning leaders