Learning organization
Encyclopedia
A learning organization is the term given to a company that facilitates the learning of its members and continuously transforms itself. Learning organizations develop as a result of the pressures facing modern organizations and enables them to remain competitive in the business environment. A learning organization has five main features; systems thinking, personal mastery, mental models, shared vision and team learning.

Development

Organizations do not organically develop into learning organizations; there are factors prompting their change. As organizations grow, they lose their capacity to learn as company structures and individual thinking becomes rigid. When problems arise, the proposed solutions often turn out to be only short term (single loop learning) and re-emerge in the future. To remain competitive, many organizations have restructured, with fewer people in the company. This means those who remain need to work more effectively. To create a competitive advantage, companies need to learn faster than their competitors and to develop a customer responsive culture. Argyris
Chris Argyris
-Bibliography:* Chris Argyris: Personality and Organization, 1957* Chris Argyris: Some Limitations of the Case Method: Experiences in a Management Development Program.” Academy of Management Review 5: 291–298, 1980...

 identified that organizations need to maintain knowledge about new products and processes, understand what is happening in the outside environment and produce creative solutions using the knowledge and skills of all within the organization. This requires co-operation between individuals and groups, free and reliable communication, and a culture of trust.

Characteristics

There is a multitude of definitions of a learning organization as well as their typologies. According to Peter Senge
Peter Senge
Peter Michael Senge is an American scientist and director of the Center for Organizational Learning at the MIT Sloan School of Management. He is known as author of the book The Fifth Discipline: The art and practice of the learning organization from 1990...

, a learning organization exhibits five main characteristics: systems thinking, personal mastery, mental models, a shared vision, and team learning.

Systems thinking. The idea of the learning organization developed from a body of work called systems thinking
Systems thinking
Systems thinking is the process of understanding how things influence one another within a whole. In nature, systems thinking examples include ecosystems in which various elements such as air, water, movement, plants, and animals work together to survive or perish...

. This is a conceptual framework that allows people to study businesses as bounded objects. Learning organizations use this method of thinking when assessing their company and have information systems that measure the performance of the organization as a whole and of its various components. Systems thinking states that all the characteristics must be apparent at once in an organization for it to be a learning organization. If some of these characteristics is missing then the organization will fall short of its goal. However O’Keeffe believes that the characteristics of a learning organization are factors that are gradually acquired, rather than developed simultaneously.

Personal mastery. The commitment by an individual to the process of learning is known as personal mastery. There is a competitive advantage for an organization whose workforce can learn quicker than the workforce of other organizations. Individual learning is acquired through staff training and development, however learning cannot be forced upon an individual who is not receptive to learning. Research shows that most learning in the workplace is incidental, rather than the product of formal training, therefore it is important to develop a culture where personal mastery is practiced in daily life. A learning organization has been described as the sum of individual learning, but there must be mechanisms for individual learning to be transferred into organizational learning.

Mental models. The assumptions held by individuals and organizations are called mental models. To become a learning organization, these models must be challenged. Individuals tend to espouse theories, which are what they intend to follow, and theories-in-use, which are what they actually do. Similarly, organisations tend to have ‘memories’ which preserve certain behaviours, norms and values. In creating a learning environment it is important to replace confrontational attitudes with an open culture that promotes inquiry and trust. To achieve this, the learning organization needs mechanisms for locating and assessing organizational theories of action. Unwanted values need to be discarded in a process called ‘unlearning’. Wang and Ahmed refer to this as ‘triple loop learning.’

Shared vision. The development of a shared vision is important in motivating the staff to learn, as it creates a common identity that provides focus and energy for learning. The most successful visions build on the individual visions of the employees at all levels of the organization, thus the creation of a shared vision can be hindered by traditional structures where the company vision is imposed from above. Therefore, learning organizations tend to have flat, decentralized organizational structures
Organizational structure
An organizational structure consists of activities such as task allocation, coordination and supervision, which are directed towards the achievement of organizational aims. It can also be considered as the viewing glass or perspective through which individuals see their organization and its...

. The shared vision is often to succeed against a competitor, however Senge
Peter Senge
Peter Michael Senge is an American scientist and director of the Center for Organizational Learning at the MIT Sloan School of Management. He is known as author of the book The Fifth Discipline: The art and practice of the learning organization from 1990...

 states that these are transitory goals and suggests that there should also be long term goals that are intrinsic within the company.

Team learning. The accumulation of individual learning constitutes Team learning
Team learning
-Team learning :Team learning is an educational method that strives to increase student engagement.The following principles guide the formation of the teams of learners:...

. The benefit of team or shared learning is that staff grow more quickly and the problem solving capacity of the organization is improved through better access to knowledge and expertise. Learning organizations have structures that facilitate team learning with features such as boundary crossing and openness. Team learning requires individuals to engage in dialogue and discussion; therefore team members must develop open communication, shared meaning, and shared understanding. Learning organizations typically have excellent knowledge management structures, allowing creation, acquisition, dissemination, and implementation of this knowledge in the organization.

Benefits

The main benefits are;
  • Maintaining levels of innovation and remaining competitive
  • Being better placed to respond to external pressures
  • Having the knowledge to better link resources to customer needs
  • Improving quality of outputs at all levels
  • Improving Corporate image
    Corporate image
    A corporate image refers to how a corporation is perceived. It is a generally accepted image of what a company stands for. Marketing experts who use public relations and other forms of promotion to suggest a mental picture to the public...

     by becoming more people oriented
  • Increasing the pace of change within the organization

Barriers

Even within a learning organization, problems can stall the process of learning or cause it to regress. Most of them arise from an organization not fully embracing all the necessary facets. Once these problems can be identified, work can begin on improving them.

Some organizations find it hard to embrace personal mastery because as a concept it is intangible and the benefits cannot be quantified;, personal mastery can even be seen as a threat to the organisation. This threat can be real, as Senge
Peter Senge
Peter Michael Senge is an American scientist and director of the Center for Organizational Learning at the MIT Sloan School of Management. He is known as author of the book The Fifth Discipline: The art and practice of the learning organization from 1990...

 points out, that “to empower people in an unaligned organisation can be counterproductive”. In other words, if individuals do not engage with a shared vision, personal mastery could be used to advance their own personal visions. In some organisations a lack of a learning culture can be a barrier to learning. An environment must be created where individuals can share learning without it being devalued and ignored, so more people can benefit from their knowledge and the individuals becomes empowered. A learning organization needs to fully accept the removal of traditional hierarchical structures
Hierarchy
A hierarchy is an arrangement of items in which the items are represented as being "above," "below," or "at the same level as" one another...

.

Resistance to learning can occur within a learning organization if there is not sufficient buy-in at an individual level. This is often encountered with people who feel threatened by change or believe that they have the most to lose. They are likely to have closed mind sets, and are not willing to engage with mental models. Unless implemented coherently across the organization, learning can be viewed as elitist and restricted to senior levels. In that case, learning will not be viewed as a shared vision. If training and development is compulsory, it can be viewed as a form of control, rather than as personal development. Learning and the pursuit of personal mastery needs to be an individual choice, therefore enforced take-up will not work.

In addition, organizational size may become the barrier to internal knowledge sharing
Knowledge sharing
Knowledge sharing is an activity through which knowledge is exchanged among people, friends, or members of a family, a community or an organization....

. When the number of employees exceeds 150, internal knowledge sharing dramatically decreases because of higher complexity in the formal organizational structure, weaker inter-employee relationships, lower trust, reduced connective efficacy, and less effective communication. As such, as the size of an organizational unit increases, the effectiveness of internal knowledge flows dramatically diminishes and the degree of intra-organizational knowledge sharing decreases.
Some problems and issues(Awanish Kumar)
In our discussion of Senge and the learning organization we point to some particular problems associated with his conceptualization. These include a failure to fully appreciate and incorporate the imperatives that animate modern organizations; the relative sophistication of the thinking he requires of managers (and whether many in practice they are up to it); and questions around his treatment of organizational politics. It is certainly difficult to find real-life examples of learning organizations (Kerka 1995). There has also been a lack of critical analysis of the theoretical framework.

Based on their study of attempts to reform the Swiss Postal Service, Matthias Finger and Silvia Bűrgin Brand (1999) provide us with a useful listing of more important shortcomings of the learning organization concept. They conclude that it is not possible to transform a bureaucratic organization by learning initiatives alone. They believe that by referring to the notion of the learning organization it was possible to make change less threatening and more acceptable to participants. ‘However, individual and collective learning which has undoubtedly taken place has not really been connected to organizational change and transformation’. Part of the issue, they suggest, is to do with the concept of the learning organization itself. They argue the following points. The concept of the learning organization:

Focuses mainly on the cultural dimension, and does not adequately take into account the other dimensions of an organization. To transform an organization it is necessary to attend to structures and the organization of work as well as the culture and processes. ‘Focussing exclusively on training activities in order to foster learning… favours this purely cultural bias’ .

Favours individual and collective learning processes at all levels of the organization, but does not connect them properly to the organization’s strategic objectives. Popular models of organizational learning (such as Dixon 1994) assume such a link. It is, therefore, imperative, ‘that the link between individual and collective learning and the organization’s strategic objectives is made’. This shortcoming, Finger and Brand argue, makes a case for some form of measurement of organizational learning – so that it is possible to assess the extent to which such learning contributes or not towards strategic objectives

See also

  • Knowledge management
    Knowledge management
    Knowledge management comprises a range of strategies and practices used in an organization to identify, create, represent, distribute, and enable adoption of insights and experiences...

  • Knowledge sharing
    Knowledge sharing
    Knowledge sharing is an activity through which knowledge is exchanged among people, friends, or members of a family, a community or an organization....

  • mental models
  • Organisational learning
  • Organizational structure
    Organizational structure
    An organizational structure consists of activities such as task allocation, coordination and supervision, which are directed towards the achievement of organizational aims. It can also be considered as the viewing glass or perspective through which individuals see their organization and its...

  • Peter Senge
    Peter Senge
    Peter Michael Senge is an American scientist and director of the Center for Organizational Learning at the MIT Sloan School of Management. He is known as author of the book The Fifth Discipline: The art and practice of the learning organization from 1990...

  • Systems Thinking
    Systems thinking
    Systems thinking is the process of understanding how things influence one another within a whole. In nature, systems thinking examples include ecosystems in which various elements such as air, water, movement, plants, and animals work together to survive or perish...

  • Team learning
    Team learning
    -Team learning :Team learning is an educational method that strives to increase student engagement.The following principles guide the formation of the teams of learners:...

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