dependencies requires better communication and
information processing (Jones, 2006). Some initial
stock of knowledge is required to build AC (Cohen
and Levinthal 1992), and subsequently, multiple iterations
of learning processes add to and transform the
knowledge base of the organization (Lane et al.,
2006). In other words, past learning shapes future
learning. Learning processes, however, do not necessarily
lead to desirable outcomes. This is the case
when the connections between outcomes and actions
seem compelling but are misspecified (Levitt & March,
1988). For example, during very good times, only
exceptionally inappropriate routines will lead an organization
to experience failure, while during very bad
times, no routines will lead to success. Therefore,
organizations should actively create mechanisms to
foster productive learning. Lipschitz, Popper and
Friedman (2002) propose that structural, cultural, psychological,
and policy mechanisms come together to
jointly enhance or, in their absence, inhibit productive
learning.
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