A Literature Review on Organizational Learning and Learning Organizations

Abstract

The survival of any organisation, particularly, a profit oriented organisation depends to a large extent, on
how well it can adapt to environmental changes, accepts changes and do better in terms of its operations. This
conceptual paper reviewed some extant literatures on organisational learning and learning organisations with a
view to answering the following question: First, how do you identify a learning organisation when you see one?
Secondly, what is the conceptual difference between organisational learning and learning organisation? Thirdly, what
are those impediments that deprive organisation from becoming a learning organisation? Fourthly, what benefits do
organisations derive from being a learning organisation? Furthermore, it attempted to pinpoint some examples of
learning organisations in Nigeria and USA. Accordingly, this paper supports the proposition that organisation learning
culture has direct influence on organisational innovativeness, which is directly tied to long-term organisational
success. It is recommended, therefore, that all organisations that want to remain competitive should focus on
becoming a learning organisation.

Full text

Research Article Open Access
Odor, Int J Econ Manag Sci 2018, 7:1
DOI: 10.4172/2162-6359.1000494
Review Article Open Access
International Journal of Economics &
Management Sciences
I
n
t
e
r
n
a
t
i
o
n
a
l
J
o
u
r
n
a
l
o
f
E
c
o
n
o
m
i
c
s
&
M
a
n
a
g
e
m
e
n
t
S
c
i
e
n
c
e
s
ISSN: 2162-6359
Volume 7 • Issue 1 • 1000494Int J Econ Manag Sci, an open access journal
ISSN: 2162-6359
A Literature Review on Organizational Learning and Learning
Organizations
Hillary O Odor*
Department of Business Administration, Faculty of Management Sciences, University of Benin, Benin City, Nigeria
Keywords: Learning organization; Organisational leaning;
Knowledge transfer; Competitive advantage
Introduction
An organisation’s capability to learn has been linked to a
fundamental source of competitive advantage [1], which is why Hussein
and Ishak [2] insisted that organisational learning helps to improve
an organisations competitive advantage as well as responsiveness
to change. Interestingly, “business executives and intellectuals have
come to realize that knowledge assets and intellectual capital can best
serve as a source of competitive advantage in comparison with the
total dependence of traditional factors of production” [3]. is lends
a support to the fact raised by Handy [4] over three decades ago, that
the value of a rm’s organisational learning capabilities and knowledge
assets is frequently several times that of its material assets. is study
will review several literatures on organisational learning and learning
organisation to explore the various areas that organisations can benet
by focusing on the organisational learning process and its outcome
(learning organisation).
Meaning of organisational learning
According to Saadat and Saadat [5], the rst to introduce the
concept of organisational learning into the literature were Kurt
and March. However, another study has it that Cangelosi and Dill
were the rst to introduce the topic of organisational learning with
empirical analysis. Be that as it may, the quantum of debate on whether
organisational learning should be conceptualized as a change in
cognitions or behaviour has greatly reduced in recent times [6], owing
to the great acceptance in recent literature that learning involve both a
change in cognition as well as change in behaviour. In other words, it
is almost a universal postulation that learning involves both cognition
and doing.
Organisational learning is dened as a change in the organisation’s
knowledge base that occurs due to past experience [7]. Learning
organisation has been described as an outcome or product of
organisational learning, which is complex and multidimensional in
aproach. at is why Jones and Hendry [8] view organisational learning
as a process going on in the learning organisation” (p. 157). According
to Cyert, and March [9], the creation of knowledge, the retention of
knowledge, and the transfer of knowledge, which altogether can be
classied as organisational learning, can be conceptualized as formal
activities which are a function of experience.
Organisation learning is hereby conceptualized as a “multilevel
process where members individually and collectively acquire
knowledge by acting together and reecting together” [10].
Accordingly, this paper proposes that learning organisation culture
have direct eects on organisational performance and organisational
innovativeness, potentially leading to long-term organisational success.
Approaches to the study of organisational learning
ere are two major approaches to the study of organisational
learning are: Cognitive and behavioural approach. One of the cognitive
theorists, Day [11] denes organisational learning as “the process of
developing open-minded inquiry and informed interpretation” (p.
89). Taking into cognizance the fact that, an organisation can acquire
knowledge without a corresponding change in behaviour; some
researchers have dened organisational learning as a change in the range
of potential behaviors [12]. According to Huber, an organisation is said
to learn when any of its units acquires knowledge that it recognizes
as potentially useful to the organisation. Scott, denes organisational
learning as the “acquisition of new insights whereby learners develop
new cognitive maps or belief systems” (p. 3).
According to her, whether there is an accompanying shi in
behaviour or not, it is immaterial, as far as there is awareness within
*Corresponding author: Hillary O Odor, Ph.D. Scholar, Department of Business
Administration, Faculty of Management Sciences, University of Benin, Benin City,
Nigeria, Tel: 08155029128; E-mail: hillaryodor@yahoo.com
Received February 15, 2018; Accepted February 26, 2018; Published February
28, 2018
Citation: Odor HO (2018) A Literature Review on Organizational Learning
and Learning Organizations. Int J Econ Manag Sci 7: 494. doi: 10.4172/2162-
6359.1000494
Copyright: © 2018 Odor HO. This is an open-access article distributed under the
terms of the Creative Commons Attribution License, which permits unrestricted
use, distribution, and reproduction in any medium, provided the original author and
source are credited.
Abstract
The survival of any organisation, particularly, a prot oriented organisation depends to a large extent, on
how well it can adapt to environmental changes, accepts changes and do better in terms of its operations. This
conceptual paper reviewed some extant literatures on organisational learning and learning organisations with a
view to answering the following question: First, how do you identify a learning organisation when you see one?
Secondly, what is the conceptual difference between organisational learning and learning organisation? Thirdly, what
are those impediments that deprive organisation from becoming a learning organisation? Fourthly, what benets do
organisations derive from being a learning organisation? Furthermore, it attempted to pinpoint some examples of
learning organisations in Nigeria and USA. Accordingly, this paper supports the proposition that organisation learning
culture has direct inuence on organisational innovativeness, which is directly tied to long-term organisational
success. It is recommended, therefore, that all organisations that want to remain competitive should focus on
becoming a learning organisation.

Citation: Odor HO (2018) A Literature Review on Organizational Learning and Learning Organizations. Int J Econ Manag Sci 7: 494. doi: 10.4172/2162-
6359.1000494
Page 2 of 6
Volume 7 • Issue 1 • 1000494Int J Econ Manag Sci, an open access journal
ISSN: 2162-6359
the individual or organism that there is a change in assumptions, belief
and interpretive schemas, learning is said to have occurred.
ere are scholars that support the cognitive-behavioural approach
to the study of organisational learning. ese theorists insist that for
learning to take place, both the belief system and behaviour, by way
of action, must be involved. Argyris [13], in trying to establish a
relationship between behaviour and action, dened learning as the
discovery and correction of errors [14]. Here, learning is viewed as a
change in cognition as well as a change in behaviour.
Alvani [15] also supported Aryris opinion when he denes
organisational learning as “the process of nding errors and mistakes
and resolving and correcting them” [16].
In the opinion of Mayo [17], organisational learning consists
of all the methods, mechanics and processes which are used in the
organisation in order to achieve learning. Learning is about taking
action. It is about using the information that we gather to create
knowledge management systems and statistical databases and
then using that knowledge to improve the organisation” [18]. e
implication of this is that we cannot infer learning when knowledge is
acquired but not applied in our daily activities.
Similarly, Pentland [19] dened organisational learning as the
capacity of an organisation to act competently. Some researchers
have also measured knowledge by assessing characteristics of an
organisation’s products or services [20] or its patent stock [21].
Organisational learning is the process of improving actions
through better knowledge and understanding. Organisational learning
is the development of insights, knowledge and associations between
past actions, the eectiveness of those actions and future actions.
Aligned with this more liberal view of the organisational learning
process are: Cummings and Worley, who suggest that, organisational
learning is a process aimed at helping organisations to develop and
use knowledge to change and improve on their performances on a
continuous basis. e concept of learning organisation has been linked
to innovation and performance in organisations [22-24]. e capacity
for change and continuous improvement to meet the challenges in our
ever changing environment in which organizations operate has been
linked with the capability of these organisations to learn [25].
Generally speaking, learning involves knowledge acquisition,
knowledge sharing, knowledge utilization and also new success [26].
erefore learning cannot take place by means of merely theoretical
thinking. It has to be achieved through bodily experiencing and
recognition, and by action.
According to Huber the “knowledge acquisition construct consists
of ve processes: e rst is drawing on knowledge available at the
organisation's birth, which can be construed to mean foundation
learning” (p. 88). e second is learning from experience, which has
to do with what individuals have learnt before. e third is learning by
observing other organisations, which can be called role modeling. e
fourth is graing on to itself components that possess knowledge needed
but not possessed by the organisation, and nally noticing or searching
for information about the organisation's physical environment.
Grant species that organisational learning capability is a
consequence of sophisticated assimilation of knowledge, where
productive activity is a function of the rm’s capacity to harness and
integrate knowledge attributed to multiple individuals and groups.
However, Morgan advised that caution should be exercised here in
noting that organisational learning capability depends upon the rm’s
mechanisms and processes of knowledge integration, rather than the
extent of knowledge that individuals and groups possess per se (p. 23).
For that purpose, learning needs a robust environment to thrive and
that environment is one that gives time for the reection of past actions
and outcomes. e very implication of the above is that learning will
only thrive when organisational members are prepared to accept some
unpalatable truths about their thinking and actions.
Furthermore, it will not thrive in a blame culture in the sense
that mistakes are inevitable and a consequence of learning. Such an
environment makes a distinction between ‘mistakes’ that are due to
irresponsibility and lack of forethought and those that are genuine
explorations of a new idea or a new way of working and thinking.
On the basis of the above, individuals and teams must be encouraged
to be innovative and creative and the only way to be innovative is
to explore alternatives without limits, and to take thoughtful and
calculative risks where desirable. For the simple reason that all the
experiments are not bound to succeed we need to make several trials.
When we encounter challenges, we do not need to think of them as
failures; rather we need to call them legitimate explorations of the space
of possibilities, as part of the search to nd new ways of working or
doing things.
Organisational learning occurs in a context [27], which includes
both the internal environment and the external environment. e
internal environment has to do with those variables that are within
the control of organisational managers. ey include structures,
people, and processes. e external environments are those variables
outside the control of organisation managers such as competitors,
clients, political, economic and legal systems of the business operating
environment.
e environment can vary along many dimensions, such as
volatility, uncertainty, interconnectedness and municence. e
environmental context aects the experience the organisation acquires.
Dimensions to organisational learning
Management Training conveys the idea of making people more
alike than dierent in some respect and trying to deemphasize
individual dierences in some particular area. Many organisations
spend considerable time, energy, and money to make their managers
more alike than dierent. Instilling company values and philosophy
and inculcating the organisation’s climate and norms are examples of
exposing managers to ideas and ideals they are expected to emulate and
to think similarly about [28]. A good example of management training
include salary and payroll administration, data and information
processing,
Management development means legitimizing individual
dierences, giving opportunities for managers to develop and actualize
his or her potentials, and encouraging him or her to be more unique in
their own personal characteristics.
Many organisations invest so much resource to management
developmental programs, like educational advancement program,
which will enable the individual to develop his own already built
in competences. e assumption made here is that increased self-
awareness and understanding can lead to attitudinal or behavioural
changes that will increase an individual’s personal eectiveness and
ultimately the eectiveness of the organisation.

Citation: Odor HO (2018) A Literature Review on Organizational Learning and Learning Organizations. Int J Econ Manag Sci 7: 494. doi: 10.4172/2162-
6359.1000494
Page 3 of 6
Volume 7 • Issue 1 • 1000494Int J Econ Manag Sci, an open access journal
ISSN: 2162-6359
Organisational development involves policies and programs
designed for inculcating in employees the right attitudes, skills and
knowledge necessary for success in an employee’s job function [29].
According to Beckhard [30] organisational development is a planned
process of cultural change, utilizing behavioural science knowledge as
a base for interventions aimed at increasing the organisation’s health
and eectiveness. e focus of organisational development is not solely
on the individual person and his or her growth in the organisation.
Rather, the focus is on how the individual relates to his or her own
work group and how his or her group interfaces with other groups in
the organization.
e choice of learning approach employed is a dependent on the
organisation objective, given the specic kind of change desired in the
organisation. Whether the change is directed at reducing individual
dierences, legitimizing individual dierences, or enhancing group/
intergroup collaboration, performance is the key issue.
Benets of organisational learning
Organisational learning results in technological innovation,
process improvement and product enhancement [31]. In fact,
organisational learning will lead to a higher level of competiveness
and it is considered a panacea for long term organisational success
and growth. It has been established that there is a positive relationship
between the degree of organisational turbulence and organisational
learning. at means that the greater the changes in the external
environment of a business organisation, the greater the need for
organisational learning. In the absence of organisational learning there
will be stagnation and the organisation will not be able to adjust to
environmental changes. According to Senge, knowledge creation
and organisational learning can create a new approach of continuous
improvement leading to the increase of organisational performance.
One of the reasons why organisational learning is important is that,
organisations that have a low level of organisational learning will not
be able to adjust to environmental changes which are a consequence
of technological innovation. is will invariably limit the ability of the
organisation to remain competitive and it will lead the organisation
to early death. us, one of the strategic values of an organisation lies
in becoming a "learning organization". ese organizations have an
enterprise architecture that converts the rm into a place of learning,
so the organization can make appropriate approaches to changing
environment, cited in Ramírez, et al. [32].
Levels of organisational learning
In every organisation, there are basically three levels of
organisational learning:
e individual level: Learning at the individual level entails getting
a person cumulative or new ideas and information belonging to his
environment, understanding them, interpreting and experimenting
them and then, adjusting his behaviour in terms of obtained results
using conceptual and cognitive processes.
According to Hollingshead, specialisation and distribution of
knowledge among organisational members create barriers for them to
eectively identify, retrieve and transfer knowledge when in need as
cited [33].
e group level: When individuals share and interact with other
individuals what they have learnt at the individual level, it becomes
group level learning. Here, individual share their learning with other
individual, interprets together, and obtains a group assumption. e
essence here is on communication. Reagans, et al. [34] studied group
learning by examining joint-replacement surgery in teaching hospitals.
ey concluded that "increased experience working together in a team
promoted better coordination and teamwork.
Organisational level: When groups come together to share their
knowledge they have acquired through the process of communication,
these learning are now transformed into an acceptable instructions for
all organisational members and will be made assessable to everyone
who needs them [35]. ere are three main factors that trigger the study
of organisational learning using the organisation as a unit of analysis.
First, is the organisational knowledge memory, which denes
the major processes it uses to acquire knowledge [36]. Secondly, in
the aspect of technological development, emphasis should be placed
on core competences of individuals and groups [37,38]. Finally, there
should be routines which operationalise the organisation memories
and knowledge bases [39].
Process of organisational learning
Organisational learning involves ve stages; from the process
of knowledge acquisition to knowledge sharing to knowledge
interpretation to knowledge maintenance and nally to knowledge
utilization.
According to Argyris and Schon (p. 323), “organisational
eectiveness must be experienced before one can claim that
organisational learning has taken place”.
Su, et al. while citing Rulke and Galaskiewicz, warned that
“organisations should not indiscriminately embrace a centralised
structure or reject a decentralised structure of knowledge and learning
networks. While centralisation may entail eciency and convenience
for information seeking, decentralisation may facilitate the distribution
of critical information” (p. 592).
“Organisational learning is as natural as learning in individuals
as they attempt to adjust and survive in an uncertain and competitive
world” [40].
Factors that contribute to organisational learning
1. Corporate strategy: how organisation is structured to learn
from mistakes.
2. Resource allocation: exploration and exploitation.
3. Recognition for the employees’ motivation for learning.
Hashemi identied nine main factors that aect organisational
learning as follows: systems thinking, team learning, mental
models, ideal and vision commons, skill and domination personals,
experimenting with new approaches, learn from past experiences,
learning from others, and knowledge transfer.
Research has shown that organisation leaders have a very great
impact on eective learning. Leaders, who view knowledge as valuable
asset, tend to have a positive approach to organisational learning.
Organisations must, therefore design themselves as laboratories for
learning in terms of acquiring, generating, sharing and using knowledge
based resources continuously towards innovation and performance
enhancement and acquisition, sharing and use of knowledge resources
must involve all members of the organization.
Furthermore, it is important that muribond methods of thinking
should be reviewed; no wonder, Aryris advised that for double loop

Citation: Odor HO (2018) A Literature Review on Organizational Learning and Learning Organizations. Int J Econ Manag Sci 7: 494. doi: 10.4172/2162-
6359.1000494
Page 4 of 6
Volume 7 • Issue 1 • 1000494Int J Econ Manag Sci, an open access journal
ISSN: 2162-6359
learning to take place it requires that underlying assumptions and norms
should be open to objective evaluations. According to him, dilemmas
and paradoxes are much more likely to occur in more advanced
and successful systems given that deep-seated issues have long been
engrained during the early stages of development. Similarly, West and
Burnes [41] maintained that, although organisational learning may be
an important factor in building an organisation’s competitiveness, it
cannot and does not guarantee success on its own.
Khandekar and Sharma [42] in their study on organisational
learning and performance found that the organisational learning,
which largely gets reected through HRM activities, has a positive
correlation with organisational performance.
According to Dunphy and Grihs, organisational learning
provides an important route to performance, success and competitive
advantage for the organisations.
e Concept of a Learning Organisation
Learning organisations are organisations that are skilled at
creating, acquiring and transferring knowledge, and at modifying
their behaviour to reect new knowledge and insights [43]. Learning
organisation is a very new concept in the eld or management sciences.
Learning organisation is a form of an ideal organisation that promotes
and facilitates learning of all its members [44].
According to Yadav and Agarwal [45], the concept of learning
organisation was introduced by Peter Senge in 1990. According to
him, Peter Senge was a senior lecturer of leadership and sustainability
at MIT's Sloan School of Management and was also the founding
chairman of the Society of Organisational Learning. Senge dened a
learning organisation is an organisation that encourages and facilitates
learning in order to continually transform itself to survive and excel in
a rapidly changing business environment”.
Learning organisations are where learning and work are integrated
in an ongoing and systematic manner in order to support continuous
individual, group and organisational improvements. e implication of
the above denition is that people that work in a learning organisation
see learning as a continuous process and learn from virtually everything
they do.
Griego, et al. [46] dene learning organisation as an organisation
that sought for transformation and excellence through interrupted and
continuous organisational renewal and gradually mastering the subject
matter”. e process of creating learning organisations, there is a need
to unlearn several uncooperative behaviours that are not favourable to
the acquisition of knowledge and embrace new practices which have
to do with: Learning Culture, Continuous Experimentation, Network
Intimacy, Information Systems, Reward Systems, Human Resource
Practices, and Leaders’ Mandate.
Characteristics of learning organisation
According to Sery,
1) In learning organisation information runs smoothly at all levels
of the organisation.
2) Learning is done simultaneously at four levels of individual,
group, intergroup, and organisational level.
3) Learning organisation has bright and consensus visions about
the future, growth and development of the organisation and the
employees.
4) Learning organisation has a kind of reective thinking and
insights about people, organisation and management. According to
Iles and Sutherland, learning organisation can be distinguished in
terms of organisational structure, organisational culture, information
systems, human resources practices, and leadership.
• Organisational structure: Learning organisations have
managerial hierarchies that enhance opportunities for
employee, career and service user involvement in the
organisation.
• Organisational culture: Learning organisations have strong
cultures that promote openness, creativity, and experimentation
among members. ey encourage members to acquire process
and share information, nurture innovation and provide the
freedom to try new things, to risk failure and to learn from
mistakes.
• Information systems: Learning organisations require
information systems that improve and support practice and
that move beyond those used in traditional organisations
where information is generally used for control purposes.
• Human resources practices: People are recognized as the
creators and users of organisational learning. Accordingly,
human resource management focuses on provision and support
of individual learning. Appraisal and reward systems are
designed to measure long-term performance and to promote
the acquisition and sharing of new skills and knowledge.
• Leadership: Learning organisations, like all other form of an
ideal organisation, depends heavily on eective leadership.
Leaders communicate a plausible vision of the learning
organisation, by providing the support and interpersonal
helping needed to transform and sustain an organisation
growth path.
Another unique way to identify a learning organisation is that
managers and employees encourage work related learning, the
exchange of information between employees to bring about innovation
and continuous organisational improvements.
Furthermore, a learning organisation does not just learn for
immediate utilization, but it also encourages anticipatory learning.
is is a situation where an individual acquires new knowledge and
apply that new knowledge in the performance of his task. Indeed, in a
learning organisation, mistakes are not viewed as failures, rather they
are viewed as opportunities to learn and improve on organisational
outcomes.
“Learning organisation has a superior competitive advantage
because they have brand equity which their competitors cannot match,
and they attract and retain the best talent” [47].
Some studies have emerged linking capabilities as a source of
competitive advantage and also accounts for the sustenance of these
advantages [48]. It goes therefore to suggest that since capabilities
can only be derived from learning; organisational learning has
unquestionably become a source of competitive advantage.
In a learning organisation, the value of continuous learning is
espoused, driven and modeled by the organisational heads, to the
extent that every organisational member knows and is convinced that
continuous learning is both a means to an end and an end itself.
In a true learning organisation, there is open and unrestricted

Citation: Odor HO (2018) A Literature Review on Organizational Learning and Learning Organizations. Int J Econ Manag Sci 7: 494. doi: 10.4172/2162-
6359.1000494
Page 5 of 6
Volume 7 • Issue 1 • 1000494Int J Econ Manag Sci, an open access journal
ISSN: 2162-6359
communication and people at all levels are included in most
communications and there is an assumption that every member of the
organisation “needs to know” what is happening at every point in time.
Further, there is a presumption that senior organisational leaders
must show that they are continuously learning by communicating what
they are learning as they learn. ere is also reward for people that have
shown they are indeed learning with both monetary and non-monetary
reward like recognition, growth jobs, and promotions.
To be a learning organisation provides a competitive advantage:
learning organisations are superior competitors, they have brand
equity their competitors cannot match, and they attract and retain the
best talent.
When we consider these features and advantages, virtually all
organisations will strive to be one. But, the question remains, how
many organisations are really a learning organisation?
Examples of some learning organisations
A look at some organisations in Nigeria based on the above
characteristics of a learning organisation, show that most of them are
not close to what is called a learning organisation. However, a few
of them can be classied as tting into the description of a learning
organisation. Example of such an organisation in Nigeria includes
Nigerian Breweries Plc and Guinness Nigeria Plc.
Nigerian breweries: has continuously improves products and
develops new ones, always with the consumers at the center of its focus.
It perceives unrecognized marketplace needs and creates new products
to ll them. It makes it almost impossible for consumers to choose
outside the wide product range. It ensures that all consumer segments
are adequately served in terms of product and price variability. It
engages all its members on continuous product innovations through
extensive research and feedback from consumers. is is a conrmation
of Pedler, Burgoyne, and Boydell postulated a learning organisation as
“an organisation that facilitates the learning of all of its members and
continuously transforms itself in order to meet its strategic goals” (p. 1)
Guinness Nigeria Plc: It continuously invents and implements new
technologies and by recognizing the lifetime value of their customers,
it treats them as long-term assets by maintaining and exceeding on
customers’ expectations. Guinness has not so much expanded its
produce base like Nigerian breweries, but it has constantly upheld its
uniqueness by continuously learning to provide innovations into the
already existing products to ensure that those brands are not lost to
competitors. It focuses on personal mastery by continually having a
deep, focused and personal vision, channeling energies to courses of
action that seem viable, by building patience, and by seeing things
objectively, and by not being in a hurry to launch new products [49].
Below are some examples of a learning organisation in the United
States, according to CLO (2016).
General electric: Its robust learning center provides learning on
a continuous basis by the organisational leaders, as these learning are
transferred to other organisational members without restriction. It
prides itself in imbibing continuous learning as part of its culture [50-
53].
Goldman Sachs: It has learning center provides comprehensive
learning to a large pool of its managerial sta on a continuous basis
and the learning is transferred to other organisational members.
Microso: Microso successfully made the massive shi in mindset
from desktop computers to Internet when its marketplace changed. It
has been steadfast in terms of continuous learning and improvement
of processes.
Honda and Corning are two other examples of organisations that
have imbibed the organisational learning culture. ese companies
have become adept at translating new knowledge into new ways of
behaving. ey have actively managed their learning process to ensure
that it is continuous and well planned.
Summary and Conclusion
Organisational learning and Learning organisation are two
dierent concepts. Organisational learning is a process that leads to an
ideal state of a learning organisation. In fact, all learning organisations
have organisational learning as part and parcel of their organisational
culture. A learning organisation is one that helps to enhance
organisational learning by creating structures, strategic ttings and
strategic craing.
Organisations need to constantly learn so that they will be able
to cope with the future challenges that are brought about by dynamic
technological changes. At the same time, it must continuously unlearn
certain old assumptions that are no longer valuable and in tune. Once a
learning organisation is developed, management must ensure that the
tempo of learning must not be allowed to stop. In fact, the tempo must
be increased on a continuous basis. Most times, when organisations
achieve initial success, they tend to stop learning because they feel they
have arrived, and that is the main reason why most companies fail aer
achieving initial success.
When organisations are young, they tend to be uid, exible and be
willing to learn, but as they achieve initial success and grow, exibility
gives way to rigidity and there is loss of vigor and willingness to learn.
It is that initial success that brought failure to them because they feel
they have arrived and therefore, they see nothing new to learn. e
people in the organisation relax and enjoy their fortune. ey have lost
environmental sensibilities and this has made them to be blind to new
opportunities in the business environment. Before they realize what is
happening, their competitors have already overtaken them and that
marks their downfall.
Learning should be engrained as part of their organisation
philosophy and core organisational value and culture. It is only by so
doing that organisation will be able to face tomorrow when it actually
comes. Furthermore, for eective double loop learning to occur
at the organisational level, there is a need for organisational leaders
to appreciate the value of learning as a panacea for organisational
sustainability.
Finally, organisational leaders should make a gradual but holistic
shi from their traditional role of gurehead, company spokesman,
and resource allocator to a broader cross functional role of encouraging
constructive dialogue, experimentation of ideas, which will create an
environment capable of facilitating open communication.
References
1. De Geus A (1998) Planning as learning. Havard Business Review 66: 70-74.
2. Hussein N, Ishak NA (2006) Human resources practices and organisational
learning capability: A proposed framework. Paper presented at the 3rd Human
Resources Management Conference at Langkawi, Malaysia.
3. Morgan RE (2000) Market-based organizational learning. Research Paper No.
2001-10, Aberystwyth, Wales, United Kingdom. University of Wales.

Citation: Odor HO (2018) A Literature Review on Organizational Learning and Learning Organizations. Int J Econ Manag Sci 7: 494. doi: 10.4172/2162-
6359.1000494
Page 6 of 6
Volume 7 • Issue 1 • 1000494Int J Econ Manag Sci, an open access journal
ISSN: 2162-6359
4. Handy C (1990) The age of unreason. Boston: Harvard Business School Press.
5. Saadat V, Saadat Z (2016) Organizational learning as a key role of
organizational success. 3rd International Conference on New Challenges in
Management: Organization and Leadership. Social and Behavioral Sciences
230: 219-225.
6. Easter-Smith M, Crossan M, Nicolini D (2000) Organisational learning: Debates
past, present and future. Journal of Management Studies 37: 784-796.
7. Fiol CM, Lyles MA (1985) Organisational learning. Academy of Management
Review 10: 803-813.
8. Jones AM, Hendry C (1992) The Learning organisation: A Review of literature
and practice, Centre for Corporate Strategy and Change, University of Warwick,
Coventry Iles,V and Sutherland, K. (2001) ‘Managing change in the NHS’,
London: NHS Service Delivery and Organisation Research and Development.
9. Cyert R, March JG (1992) A Behavioral theory of the rm (2nd edtn), Wiley-
Blackwell, USA.
10. Scott BB (2011) Organisational learning: A literature review. IRC Research
Program, discussion paper no. 2011-02.
11. Day GS (1994) The capabilities of market-driven organisations. Journal of
Marketing 58: 37-52.
12. Huber GP (1991) Organisational learning: the contributing processes and the
literatures. Organization Science 2: 88–115.
13. Argyris C (1977) Double loop learning in organisations. Harvard Business
Review. September October: 115-125.
14. Malek-poor Gol Sedi, S (2006) Learning organizations. Journal of Bank and
Eghtesad 68: 18-35.
15. Alvani M (2008) Public Management (32ndedn), Ney publications, Tehran: Iran.
16. Senge P (2003) Taking personal change seriously: the impact of organisational
learning on management practice. Academy of Management Executive 17: 47-
50.
17. Mayo A (1994) The power of learning: A guide to gaining competitive advantage,
IPD House, London.
18. Giesecke J, McNeil B (2004) Transiting to the learning organisation. Libraries
at University of Nebraska-Lincoln.
19. Pentland BT (1992) Organizing moves in software support hot lines.
Administrative Science Quarterly 37: 527-548.
20. Helfat CE, Raubitschek RS (2000) Product sequencing: co-evolution of
knowledge, capabilities and products. Strategic Management Journal 21: 961-
979.
21. Alcacer J, Gittleman M (2006) Patent citations as a measure of knowledge
ows: The inuence of examiner citations. The Review of Economics and
Statistics 88: 774-779.
22. Power J, Waddell D (2004) The link between self-managed work teams
and learning organisations using performance indicators. The Learning
Organisation 11: 244-259.
23. Watkins KE, Marsick VJ (1993) Sculpting the learning organisation: Lessons
in the art and science of systemic change. Jossey-Bass, San Francisco, USA.
24. Watkins KE, Marsick VJ (1996) In action: creating the learning organisation.
Alexandria, VA: American Society for Training and Development.
25. Senge PM (1990) The art and practice of the learning organisation. The new
paradigm in business: Emerging strategies for leadership and organisational
change 126-138.
26. Gumusluoglu L, Ilsev A (2009) Transformational leadership, creativity, and
organizational innovation. Journal of Business Research 62: 461-473.
27. Glynn MA, Lant TK, Milliken FJ (1994) Mapping learning processes in
organizations: A multi-level framework for linking learning and organising.
Advances in Managerial Cognition and Organizational Information Processing
5: 43-83.
28. Reilly AJ (1998) Three approaches to organizational learning. The Pfeiffer
Library.
29. Fajana S (2002) Human Resource Management: An Introduction. Lagos:
Labon and Company.
30. Beckhard R (1969) Organisation development: Its nature, origin, and prospects.
Reading, MA: Addison-Wesley.
31. Gomes G, Wojahn RM (2017) Organisational learning capability, innovation
and performance: study in small and medium-sized enterprises (SMES).
32. Ramírez AM, Morale VJC, Rojas RM (2011) Knowledge creation, organizational
learning and their effects on organizational performance.
33. Su C, Huang M, Contractor N (2010) Understanding the structures, antecedents
and outcomes of organisational learning and knowledge transfer: A multi-
theoretical and multilevel network analysis. European Journal of International
Management 4: 577- 601.
34. Reagans R, Argote L, Brooks D (2005) Individual experience and experience
working together: Predicting learning rates from knowing who knows what and
knowing how to work together.
35. Amir-Kabiri A (2006) The approaches to organisation and management and
organisational behaviour, (1st ed). Tehran Negah-e danesh publications.
36. Metcalfe S, Gibbons M (1989) Technology, variety, and organization. Research
on Technological Innovations-Management and Policy 4: 153-193.
37. Pavitt K (1991) Key characteristics of the large innovating rm. British Journal
of Management 2: 41-50.
38. Prahalad CK, Hamel G (1990) The core competence of the corporation.
Harvard Business Review 68: 79-91.
39. Nelson RR, Winter SG (1982) An evolutionary theory of economic change.
USA: Harvard University Press.
40. Dodgson M (1993) Organisational learning: A review of some literatures.
Organisational Studies 14.
41. West P, Burnes B (2000) Applying organisational learning: lessons from
the automotive industry. International Journal of Operations & Production
Management 20: 1236- 1252.
42. Khandekar A, Sharma A (2006) Organizational learning and performance:
Understanding Indian scenario in present global context 4: 682-692.
43. Garvin DA (1993) Building a learning organisation. Harvard Business Review
43: 121-128.
44. Hussein N, Mohamad A, Noordin F, Ishak NA (2014) Learning organisation and
its effects on organisational performance and organisational innovativeness:
A proposed framework for Malaysian public institutions of higher learning.
Procedia-Social and Behavioural Sciences 130: 299-304.
45. Yadav S, Agarwal V (2016) Benets and barriers of learning organisation and
its ve discipline. IOSR Journal of Business and Management. 18: 18-24.
46. Griego OV, Geroy GD, Wright PC (2000) Predictors of learning organisations:
A human resource development practitioners perspective. The Learning
Organisation 7: 5-12.
47. Wilhelm W (2017) What are learning organisations, and what do they really do?
Human Capital Media.
48. Amit R, Schoemaker PJH (1993) Strategic assets and organisational rent.
Strategic Management Journal 14: 33-46.
49. Appelbaum SH, Goransson L (1997) Transformational and adaptive learning
within the learning organisation: a framework for research and application. The
Learning Organisation 4: 115-128.
50. Argote L, Todorova G (2007) Organisational learning: Review and future
directions. In GP Hodgkinson & J. K. Ford (Eds.), International review of
industrial and organizational psychology, Wiley, USA, pp. 193-234.
51. Caldwell R (2005) Leadership and learning: A critical reexamination of Senge’s
learning organisation. Systemic Practice and Action Research 8: 39-55.
52. March J (1991) Exploration and exploitation in organizational learning.
Organization Science 2: 71-87.
53. Mitleton-Kelly E (2003) ‘Ten Principles of complexity & enabling Infrastructures’
in complex systems and evolutionary perspectives of organizations: The
application of complexity theory to organizations.