CHAPTER ONE
Background To The Study
According to Senge (1990) organizational learning is viewed as a constant put to test and transformation of experience into knowledge which is significant to the organization and available to the whole organization. Huber (1991) classify organizational learning into four processes: information acquisition, information interpretation, information distribution, and organizational memory. Rimouski (1994) defines organizational learning as a process of acquisition, interpretation of information and the resulting behavior accompanied by cognitive changes, which exact impact on organizational performance. Firms which possess a strong learning culture have the capacity to create acquire and transfer knowledge, and also modify behavior to suit new acquired knowledge and insight (Huber, 1991; Garvin, 1993). This implies that firm employing organizational learning must acquire information, interpret it and transform it into knowledge and also proceed to effect behavioral and cognitive changes – in order to convert words into action. Organizational learning exact some advantages in providing core competency Through the creation of knowledge, enhance new product development, improved customer service etc. (Baker and Sinkula, 1999). The organizational performance also improved through market information generation and dissemination. The innovative development of the firm leads to organizational performance .It also facilitate the monitoring of new trends in the market place which result in increased sales and market share. Martinez-Costa and Jimenez-Jimenez (2009). Organizational learning enhances a responsive and flexible organization structure which better to respond to new challenges and overcome competition
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