The following is paraphrased from The Organizational Learning Cycle, Nancy Dixon, 1994.


While continuous learning focuses on individual learning, organizational learning occurs at the organizational level. It is the intentional use of learning processes at the individual, group and system level to continuously transform the organization in a direction that is increasingly satisfying to its stakeholders. The "processes" refer to those that the organization employs to gain new understanding or to correct the current understanding (as opposed to the accumulated knowledge of the organization). Those processes can be viewed as a cycle.

• The cycle starts with the widespread generation of information
• The new information is put into the business context
• The new information is collectively interpreted
• The organization then authorizes its members to take responsible action based on the interpreted meaning (this then feeds into the first step to generate new information)

The following common themes emerged in some, if not all, the definitions:

• The expectation that increased knowledge will improve action
• An acknowledgement of the pivotal relationship between the organization and the environment.
• The idea of solidarity, as in collective or shared thinking.
• A proactive stance in terms of the organization changing itself.

When we speak of a "learning organization", we are articulating a view that involves us - the observers - as much as the observed. We are taking a stand for a vision, for creating a type of organization we would truly like to work within and which can thrive in a world of increasing interdependency and change.


Learning Organizations require developing leadership communities and understanding how such communities form, grow, and become influential in moving large organizations forward.


In an SME context, the champion to lead related OL activities may have to be the manager or owner themselves. Given that OL should be tied to organizational objectives and be applied across the entire organization, the smaller the organization, the easier this is to achieve. Creating and maintaining "lessons learned" may simply be hand-written notes on index cards to prevent new employees from repeating mistakes made by their predecessors.


Want to know more about OL…

• Although focused on fostering application techniques and practices geared to the Public Service, a managers' guide to OL developed by the Canadian Centre for Management Development (CCMD) is available from: Canada School of Public Service