1. 1 Organizational Learning and Innovation MGMT E-147 Harold V. Langlois

2. 2 Organizational Learning (OL) Concept introduced by Argyris and Schon (1976) Concept introduced by Argyris and Schon (1976) Different views of “organizational learning” Different views of “organizational learning” Aggregate of individual learning that takes place in an organizational setting Aggregate of individual learning that takes place in an organizational setting Learning embedded in the organization’s policies, operations, and culture Learning embedded in the organization’s policies, operations, and culture Mystical combination of the aggregate learning of individuals embedded in an “organizational collective unconscious” Mystical combination of the aggregate learning of individuals embedded in an “organizational collective unconscious”

3. 3 Actualizing Organizational Learning “A learning organization that promotes, rewards, and “captures” individual learning for the benefit of the organization.” Four unanswered questions arise: Four unanswered questions arise: How to “promote” individual learning? How to “promote” individual learning? How to “reward” individual learning? How to “reward” individual learning? How to “capture” individual learning? How to “capture” individual learning? How does an organization “benefit from” organizational learning? How does an organization “benefit from” organizational learning?

4. 4 Prerequisites for Learning Organizations Self-directed, self-initiated learning should pervade the organization (SDL) Self-directed, self-initiated learning should pervade the organization (SDL) Not focuses on simply adding skills Not focuses on simply adding skills Every individual at every level engaged in ongoing, job-related learning Every individual at every level engaged in ongoing, job-related learning SDL is necessary for developing a learning organization SDL is necessary for developing a learning organization

5. 5 Characteristics of SDL Environments * (1) Tolerance for errors, support for experimentation and risk-taking, with an emphasis on creativity and innovation (2) Use of a participative leadership style and delegation of responsibility to organizational members (3) Support for learning initiatives that are linked to the organization’s goals/values (4) Encouragement of open communication and of information systems that provide for collaboration and teamwork (5) Provision of opportunities and situations for individual learning *Confessore and Kops (1998)

6. 6 Role of Independent Learning Learning independent of teachers and institutions Learning independent of teachers and institutions Self-directed learning has been strongly promoted within distance learning settings Self-directed learning has been strongly promoted within distance learning settings Self-directed learning in institutional settings (Knowles, 1979) Self-directed learning in institutional settings (Knowles, 1979)

7. 7 Limitations on SDL Some intelligent adults are not psychologically equipped for, or “ready to” succeed at SDL (Long, 1989) Some intelligent adults are not psychologically equipped for, or “ready to” succeed at SDL (Long, 1989) Some subject matters are not appropriate for SDL (Guglielmino and Guglielmino, 1991) Some subject matters are not appropriate for SDL (Guglielmino and Guglielmino, 1991) E.g., Accounting E.g., Accounting

8. 8 Psychological Aspects of SDL Self-directed learners share the following: Self-directed learners share the following: Self-confidence Self-confidence Self-awareness Self-awareness Self-reflectiveness Self-reflectiveness Strong goal orientation Strong goal orientation Aptitude for systematic procedures Aptitude for systematic procedures

9. 9 Continuum of Business Education

10. 10 When is SDL Appropriate? Three variables to be assessed Three variables to be assessed Teacher characteristics Teacher characteristics Learner characteristics Learner characteristics Subject matter characteristics Subject matter characteristics Goal is to determine most “appropriate” learning approach Goal is to determine most “appropriate” learning approach Both styles of learning should take place within organizations Both styles of learning should take place within organizations

11. 11 Promoting Individual Learning Developing a learning culture, featuring SDL Developing a learning culture, featuring SDL Presence of a participative management style Presence of a participative management style Supportive environment in which employees enjoy autonomy and in which management believes employees are competent and motivated Supportive environment in which employees enjoy autonomy and in which management believes employees are competent and motivated Support for experimentation and tolerance for error Support for experimentation and tolerance for error Support for unplanned, non-sequential learning activities Support for unplanned, non-sequential learning activities

12. 12 Promoting Individual Learning (continued) Employees can contribute to organzation’s goals and values Employees can contribute to organzation’s goals and values Environment of trust and mutual respect must exist Environment of trust and mutual respect must exist Support for risk taking and innovation must be in place Support for risk taking and innovation must be in place Collaboration among organizational members must be encouraged Collaboration among organizational members must be encouraged

13. 13 Imperatives for Organizations to Benefit from Learning Creating continuous learning opportunities Creating continuous learning opportunities Promoting inquiry and dialogue Promoting inquiry and dialogue Encouraging collaboration and team learning Encouraging collaboration and team learning Establishing systems to capture and share learning Establishing systems to capture and share learning Empowering people to have a collective vision Empowering people to have a collective vision Connecting the organization to its larger environment Connecting the organization to its larger environment

14. 14 Summary The learning organization will remain only a concept unless OC interventions are implemented to convert theory into practice The learning organization will remain only a concept unless OC interventions are implemented to convert theory into practice Promoting, rewarding, and capturing individual learning for the benefit of the organization is facilitated by the promotion of self-directed, self-initiated learning, and the use of learning agreements Promoting, rewarding, and capturing individual learning for the benefit of the organization is facilitated by the promotion of self-directed, self-initiated learning, and the use of learning agreements

15. 15 Summary (continued) An organizational culture in which continuous learning occurs at every level should be goal of a learning organization An organizational culture in which continuous learning occurs at every level should be goal of a learning organization