Chapter Fourteen The Learning Organization and Knowledge Management.

Chapter FourteenChapter FourteenThe Learning Organization The Learning Organization

and Knowledge and Knowledge ManagementManagement

Copyright © 2007 by Nelson, a division of Thomson Canada LimitedCopyright © 2007 by Nelson, a division of Thomson Canada Limited 22

ObjectivesObjectivesAfter reading and studying this chapter, you should be able to:After reading and studying this chapter, you should be able to:

1.1. Describe the 4I framework of a learning Describe the 4I framework of a learning organization.organization.

2.2. Identify the building blocks, or key Identify the building blocks, or key characteristics, of a learning characteristics, of a learning organization.organization.

3.3. Recognize organizational conditions Recognize organizational conditions favouring knowledge management.favouring knowledge management.


Objectives (cont.)Objectives (cont.)4.4. Pinpoint strategies and techniques Pinpoint strategies and techniques

for knowledge management.for knowledge management.5.5. Specify methods for sharing Specify methods for sharing

information within an information within an organization.organization.


The Learning OrganizationThe Learning Organization An organization that is skilled at creating, An organization that is skilled at creating,

acquiring, and transferring knowledge, and acquiring, and transferring knowledge, and at modifying at modifying behaviourbehaviour to reflect new to reflect new knowledge and insights.knowledge and insights.


Some Signs of a Learning Some Signs of a Learning OrganizationOrganization

Mistakes treated as valuable learning Mistakes treated as valuable learning experiences, not repeatedexperiences, not repeated

Useful ideas garnered from Useful ideas garnered from customers & employeescustomers & employees

Many employees are aware of firm’s Many employees are aware of firm’s vision & believe in itvision & believe in it

Opportunities for employees to get Opportunities for employees to get together & share informationtogether & share information


The 4I Framework of The 4I Framework of Organizational LearningOrganizational Learning

How a firm makes systematic use of How a firm makes systematic use of information, converting an information, converting an individual’s insight into individual’s insight into organizational practice through the organizational practice through the interaction with othersinteraction with others

Assumes open system; Assumes open system; organizational learning encompasses organizational learning encompasses entire enterpriseentire enterprise


The 4I Framework of The 4I Framework of Organizational LearningOrganizational Learning

Four processes:Four processes: IntuitingIntuiting (individual level) – preconscious (individual level) – preconscious

recognition of pattern or opportunity recognition of pattern or opportunity Interpreting Interpreting (individual level) – (individual level) –

explaining insight to self & othersexplaining insight to self & others IntegratingIntegrating (group level) – discussion, (group level) – discussion,

joint actionjoint action InstitutionalizationInstitutionalization (organizational level) (organizational level)

– routinized actions– routinized actions


Building Blocks of A Learning Building Blocks of A Learning OrganizationOrganization

Double-loop learningDouble-loop learning Action learningAction learning Systems thinkingSystems thinking Shared visionShared vision The challenging of The challenging of

mental modelsmental models Team learningTeam learning Personal mastery of Personal mastery of

the jobthe job High impact learningHigh impact learning

Translation of new Translation of new knowledge into new knowledge into new ways of behavingways of behaving

Systematic Systematic investigation and investigation and problem solvingproblem solving

ExperimentationExperimentation Learning from other Learning from other

organizationsorganizations Healthy disrespect for Healthy disrespect for

the status quothe status quo



Double-Loop LearningDouble-Loop Learning occurs when person uses feedback to confront occurs when person uses feedback to confront

the validity of the goal, the values implicit in the validity of the goal, the values implicit in the situation, the basic premisethe situation, the basic premise

Action LearningAction Learning working in teams on real problems to acquire working in teams on real problems to acquire

skills that are reusable at later stagesskills that are reusable at later stages L = P + Q (learning is comprised of programmed L = P + Q (learning is comprised of programmed

knowledge plus questioning skills)knowledge plus questioning skills)



Systems thinkingSystems thinking Developing a point of view of the organization Developing a point of view of the organization

as a system that affects and is affected by the as a system that affects and is affected by the external environment, and whose parts affect external environment, and whose parts affect each othereach other

Shared visionShared vision Developing a common purpose and Developing a common purpose and

commitment for the organization to keep commitment for the organization to keep learning.learning.



Challenging of Mental ModelsChallenging of Mental Models Overcoming powerful assumptions and mental Overcoming powerful assumptions and mental

models that prevent people from working models that prevent people from working together can open up a world of opportunities.together can open up a world of opportunities.

Team LearningTeam Learning Engaging in collective problem solving by Engaging in collective problem solving by

sharing information and opinions with sharing information and opinions with coworkers; use group problem solving wherever coworkers; use group problem solving wherever possiblepossible



Personal Mastery of the JobPersonal Mastery of the Job Developing the individual expertise Developing the individual expertise

necessary to master the demands of the necessary to master the demands of the job.job.

Translation of New Knowledge into Translation of New Knowledge into Ways of BehavingWays of Behaving Applying knowledge to change Applying knowledge to change behaviourbehaviour



Systematic Investigation & Problem SolvingSystematic Investigation & Problem Solving Systematically gather information to make Systematically gather information to make

informed decision, pay attention to detailsinformed decision, pay attention to details

ExperimentationExperimentation Developing the risk-taking, entrepreneurial Developing the risk-taking, entrepreneurial

attitude to seek out new opportunities through attitude to seek out new opportunities through experiments in improving organizational experiments in improving organizational performance.performance.



Learning from Other OrganizationsLearning from Other Organizations Studying competitors & those in other Studying competitors & those in other

businesses to acquire insights to be used businesses to acquire insights to be used as benchmarks for improving the as benchmarks for improving the effectiveness and efficiency of the effectiveness and efficiency of the organizationorganization

Healthy Disrespect for the Status QuoHealthy Disrespect for the Status Quo Challenging whatever exists to see if it Challenging whatever exists to see if it

can be improvedcan be improved



High-Impact LearningHigh-Impact Learning Want learning to be significantWant learning to be significant Steps to facilitate high-impact learning:Steps to facilitate high-impact learning:

Build managers’ commitment to learning by Build managers’ commitment to learning by incorporating learning into mission statements & incorporating learning into mission statements & other strategic documentsother strategic documents

Generate ideas with impact by using methods such Generate ideas with impact by using methods such as suggestion systems that promote the idea of as suggestion systems that promote the idea of continuously acquiring knowledgecontinuously acquiring knowledge

Disseminate ideas with impact throughout the Disseminate ideas with impact throughout the organization, such as using cross-functional teams or organization, such as using cross-functional teams or brown-bag lunch sessionsbrown-bag lunch sessions


Knowledge Management (KM)Knowledge Management (KM)

A systematic approach to A systematic approach to documenting, applying, and documenting, applying, and transferring the know-how and transferring the know-how and experience of employees.experience of employees. Makes effective use of Makes effective use of intellectual intellectual

capitalcapital, protects it., protects it.


Knowledge management Knowledge management (cont.)(cont.)

Organizational conditions favoring KMOrganizational conditions favoring KM Being a learning organization.Being a learning organization. Having an organizational culture that Having an organizational culture that

emphasizes sharing information emphasizes sharing information Providing top-management leadership for Providing top-management leadership for

the KM effort.the KM effort. Demonstrating the value of KM to Demonstrating the value of KM to

encourage commitment.encourage commitment.


KM Strategies and KM Strategies and TechniquesTechniques

Hire the right peopleHire the right people Employ people who are good at learning and teaching; Employ people who are good at learning and teaching;

who are intelligent, can accumulate knowledge, and are who are intelligent, can accumulate knowledge, and are intellectually curious.intellectually curious.

Create knowledge Create knowledge Use intelligence, creativity, and innovation to create Use intelligence, creativity, and innovation to create

knowledge leading to new products or servicesknowledge leading to new products or services

Competitive knowledge managementCompetitive knowledge management Develop mechanisms that allow tracking of knowledge Develop mechanisms that allow tracking of knowledge

and expertise outside the firm (competitive intelligence)and expertise outside the firm (competitive intelligence)


KM Strategies and KM Strategies and TechniquesTechniques

Codification versus personalizing Codification versus personalizing knowledgeknowledge Codification:Codification:

Companies with standardized products and services Companies with standardized products and services store information in way that it can be readily store information in way that it can be readily assessed and repeatedly used.assessed and repeatedly used.

PersonalizationPersonalization:: Companies with unique products and services share Companies with unique products and services share

information through interpersonal contacts.information through interpersonal contacts.

The choice for codification or personalization of The choice for codification or personalization of knowledge is largely determined by the knowledge is largely determined by the products or services the company produces.products or services the company produces.


KM Strategies and TechniquesKM Strategies and Techniques (continued)(continued)

Appoint a Chief Knowledge OfficerAppoint a Chief Knowledge Officer In charge of systematically collecting information In charge of systematically collecting information

& connecting people who need information with & connecting people who need information with those who have itthose who have it

Duties of a Chief Knowledge Officer:Duties of a Chief Knowledge Officer: Arranging conferences where workers share information.Arranging conferences where workers share information. Assimilating databases of company knowledgeAssimilating databases of company knowledge Teaching people how to learn at a deeper levelTeaching people how to learn at a deeper level Getting people to reflect on their experiences and profit Getting people to reflect on their experiences and profit

from their mistakesfrom their mistakes Selling people on the idea that brainpower is the Selling people on the idea that brainpower is the

company’s true source of competitive advantagecompany’s true source of competitive advantage


KM Strategies and TechniquesKM Strategies and Techniques(continued)(continued)

Deliver knowledge just in timeDeliver knowledge just in time Provide workers with specialized information Provide workers with specialized information

that enhances the effectiveness of their work, that enhances the effectiveness of their work, just at the point at which they can use the just at the point at which they can use the information.information.

Closing the gap between knowing and doingClosing the gap between knowing and doing Do not allow stored knowledge to go unused, Do not allow stored knowledge to go unused,

convert knowledge to action.convert knowledge to action. Build a culture of actionBuild a culture of action


Behaviours Contributing to Behaviours Contributing to Effective Knowledge Effective Knowledge

ManagementManagement Focusing on system performance rather Focusing on system performance rather

than on narrow technical outcomes.than on narrow technical outcomes. Following systematic work and decision Following systematic work and decision

processes.processes. Sharing knowledge by letting others Sharing knowledge by letting others

know about your ideas.know about your ideas. Trying new approaches.Trying new approaches.


Methods for Sharing Methods for Sharing InformationInformation

In-house Yellow Pages.In-house Yellow Pages. Directory of skills, talents, special knowledge of Directory of skills, talents, special knowledge of

employeesemployees Available internally onlyAvailable internally only

Intranet communication system.Intranet communication system. Make information available through electronic Make information available through electronic

means such as on-line forumsmeans such as on-line forums Personalized explanations of success factors.Personalized explanations of success factors.

Teachable point of viewTeachable point of view


Methods for Sharing Methods for Sharing Information Information (continued)(continued)

Foster dialogue among organization Foster dialogue among organization members.members.

Create shared physical facilities and Create shared physical facilities and informal learning situations to informal learning situations to promote information sharing.promote information sharing. E.g., comfortable seating in lunchroom E.g., comfortable seating in lunchroom

that encourage people to gather & chatthat encourage people to gather & chat

Chapter Fourteen The Learning Organization and Knowledge Management.

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