Organizational Learning Theory
Organizational learning theory suggest that organizations should focus on learning from preceding experiences and outcomes, in order to become more effective as a whole. This theory states that it is important for organizations to internalize new information and relevant experiences, rather than rely on original assumptions, for them to make successful business decisions. This concept is rooted in the idea that organizations should be adaptive and able to modify their strategies, in response to changes in their external environment. According to organizational learning theory, if the organization is continually able to remain relevant to their environment and make corrections on their strategies based on changes in the environment, then the organization will become more efficient and successful in the long run.
One way an organization can acquire knowledge is through journaling, which involves documenting processes and procedures in order to retrospectively reflect and learn from mistakes and successes. This type of learning is based on the activity of collecting, interpreting and understanding information, leading to a better understanding of how to proceed in the future. Journaling serves to make sure that the organization takes what it has learned in the past and creates a plan or a strategy to make sure it is successful moving forward.
Another way that organizations learn is through the introduction of new technology and innovations. This learning is often beneficial as it loosens the reliance on past experiences, while allowing the organization to take advantage of new methods and action plans. This can be beneficial to the organization as it can lead to new options and structured plans that can ultimately lead to an increase in efficiency. Furthermore, it can also allow the organization to test their assumptions for the future, whilst reducing the sense of risk associated with moves in new directions.
Organizational learning also involves swiftly recognizing when something is not working. In this sense, the organization must have the capabilities to quickly identify what is not working and evaluate ways of correcting it. This type of learning requires the organization to have robust rules and procedures to ensure that errors are quickly identified, learned from and rectified. Furthermore, if there is something that is not working then it is by changing things, experimenting and giving something a go to see what works best, that new opportunities arise.
Finally, it is important to recognize that organizational learning is an evolutionary process that takes time. For an organization to be able to truly benefit from organizational learning theory, it needs to be patient, willing to take the time to evaluate situations, and accept that sometimes it is the small changes that can create the biggest impact. Therefore, by incorporating organizational learning theory into their strategy, organizations can create a long-term vision that celebrates continual learning and adaptive mindsets.
Overall, organizational learning theory proposes that organizations should be proactive in their approach to knowledge and learning. The introduction of journaling, new technology and a willingness to experiment, combined with the continual recognition and addressing of where something is not working, can help the organization to create a successful and efficient working environment, that seeks to reflect and learn from each and every experience.
