Assessing the Impact of Learning Capability on Business Performance: Empirical Evidence from Spain

Abstract

It is widely recognized that the development of learning capability is key to achieve a durable competitive advantage. However, the analysis of the relevance of learning capability to improve business performance and, thus, the organizational competence has been insufficiently developed in literature. Based on data from 111 Spanish companies, this article explores the link between learning capability and the improvement of business performance by comparing how the main dimensions of learning capability—stocks of knowledge and flows of learning—impact on performance, in terms of both non-financial and financial performance. The results show that those organizations with the highest levels in their knowledge stocks and learning flows obtain a superior performance.

How does altruistic leader behavior foster radical innovation? The mediating effect of organizational learning capability

“…Organizational learning and its facilitating factors have been shown to have various effects, including a beneficial effect on organizational performance (e.g., Prieto and Revilla, 2006) or innovation (Alegre & Chiva, 2008). Jerez-Gómez et al (2005) consider that organizational learning capability is a key element to improve efficiency and organizational capacity to innovate and grow, while other authors state that organizational learning capability is one of the strategic means of achieving long-term organizational success (Liao & Wu, 2010).…”

Motives for Financial Valuation of Intangibles and Business Performance in SMEs

“…there are numerous studies that find evidence of the positive relationship of investing in intangibles and the value creation of the company (Firer & Williams, 2003;Riahi-Belkaoui, 2003;sáenz, 2005;Prieto & Revilla, 2006;tan et al, 2007). interest in intangibles is not limited to the academic field and has arisen as a growing concern also detected in the business world.…”

The Impact of Organizational Learning Capability on Product Innovation Performance: Evidence from the Turkish Manufacturing Sector

“…According to another definition, organizational learning capability refers to patterns of action that allow an organization to process knowledge and experience, generate new knowledge on the basis of existing knowledge and experience, and store knowledge for later use when the need arises (Garbi, 1998;Ussahawanichakit, 2008 (Argyris and Schön, 1996) and memory and organizational routines (Walsh and Ungson, 1991;Nonaka and Takeuchi, 1995;Prahalad and Hamel, 1994;Prieto and Revilla, 2006). The second approach, exploration, emphasizes the exploratory nature of organizational learning capability.…”

“…The second approach, exploration, emphasizes the exploratory nature of organizational learning capability. In this approach, organizational learning is seen as the driving force behind change, flexibility, and innovation (Prieto and Revilla, 2006). According to this approach, the main organizational capabilities are scanning, problem solving (Simon, 2000), variety of ideas (Van de Ven and Polley, 1992), and organizational renewal (Senge, 2007;Barr et al, 1992).…”