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From learning

organisation to
knowledge
entrepreneur
Jennifer Rowley
Jennifer Rowley is Head of School of
Management and Social Sciences at
Edge Hill College of Higher Education,
Ormskirk, UK.

Keywords
The author
Learning organizations, Knowledge workers,
Jennifer Rowley is Head of School of Management and Knowledge management, Entrepreneurs
Social Sciences at Edge Hill College of Higher Education,
Ormskirk, UK. Abstract
Establishes the clear link between learning and
Keywords
knowledge, and proposes a simple model, which makes
Learning organizations, Knowled this relationship explicit. A range of definitions of the
ge workers, learning organisation are drawn from the literature. Much
Knowledge management, of this literature makes little reference to that which is
Entrepreneurs being learned although those authors who have
introduced the concepts of the learning laboratory, the
Abstract knowledge creating organisation and the knowing
Establishes the clear link between learning and organisation acknowledge the significance of knowledge
knowledge, and proposes a simple model, which makes in organisational development and learning. Other
this relationship explicit. A range of definitions of the perspectives on the organisational processes associated
learning organisation are drawn from the literature. Much with knowledge come from the recent literature on
of this literature makes little reference to that which is knowledge management. It is argued that indiscriminate
being learned although those authors who have knowledge creation will not lead to organisational
introduced the concepts of the learning laboratory, the learning, and that knowledge is not something that can
knowledge creating organisation and the knowing be viewed as a neutral tool in the learning process. A
organisation acknowledge the significance of knowledge number of characteristics of knowledge need to be
in organisational development and learning. Other recognised, and accommodated in learning processes and
perspectives on the organisational processes associated knowledge management. Finally, the concept of a
with knowledge come from the recent literature on knowledge entrepreneur is proposed.
knowledge management. It is argued that indiscriminate
knowledge creation will not lead to organisational
learning, and that knowledge is not something that can
be viewed as a neutral tool in the learning process. A
number of characteristics of knowledge need to be
recognised, and accommodated in learning processes and
knowledge management. Finally, the concept of a
knowledge entrepreneur is proposed.

Electronic access

Journal of Knowledge Management


Volume 4 . Number 1 . 2000 . pp. 715
# MCB University Press . ISSN 1367-3270

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From learning organisation to knowledge entrepreneur Journal of Knowledge Management
Jennifer Rowley Volume 4 . Number 1 . 2000 . 715

Introduction learning. Knowledge entrepreneurship can


not be achieved without an understanding of
During the 1990s the concept of the ``learning the knowledge, which the organisation, and
organisation'' has attracted much attention its learners need, to achieve its vision.
and generated a significant literature. The
interest is related to the recognition that
organisations must change and develop if they The relationship between learning,
are to survive and prosper in a global knowledge and information
economy. Senge (1990, p. 4) says: ``the most
successful corporation of the 1990s will be . To learn is to acquire knowledge of a
something called a learning organisation. The subject or skill as a result of study,
ability to learn faster than your competitors experience or teaching.
may be the only sustainable competitive . Knowledge is knowing, familiar gained by
advantage''. The literature on learning experience; person's range of
organisations and learning companies is rich information; a theoretical or practical
in case studies and advice on how to work understanding of; the sum of what is
towards a learning organisation in different known.
types of organisations, with different cultures . Information is informing; telling; thing
and values (e.g. Garrett, 1987; Lessem, 1991; told; items of knowledge; news (Oxford
Thurbin, 1994; Pearn et al., 1995). In general English Dictionary).
this literature has a focus on the process of
learning, with little explicit reference to what These definitions confirm the close association
is learnt, which presumably includes between the terms learning, information and
knowledge and skills. knowledge, in their common usage. Rowley
This article first establishes the clear link (1998) provides a comprehensive review of
between learning and knowledge, and different perspectives on the nature of
proposes a simple model, which makes this knowledge and information from fields such as
relationship explicit. A range of definitions or communication theory, library and
descriptors of the learning organisation are information science, information systems,
drawn from the literature. Much of this organisational development, and cognitive
literature makes little reference to that which sciences. She argues that the differing
is being learnt, i.e. knowledge, although, perspectives, with their roots in different
those authors who have introduced the disciplines, arise from people's preoccupation
concepts of the learning laboratory, the with the role that information can play in
knowledge creating organisation and the processes such as decision making, learning or
knowing organisation acknowledge the innovation, whereas information professionals
significance of knowledge in organisational and information systems designers, the
development and learning. Other perspectives professionals concerned with information,
on the organisational processes associated need to be able to impose structure on
with knowledge come from the recent information in order to gather it into their
literature on knowledge management; some systems, and need therefore to treat
of these emphasise the social construction of information as an object and to create a
knowledge. We argue that indiscriminate systems view of information. She concludes
knowledge creation will not lead to that the concept of information and knowledge
organisational learning, and that knowledge is will be defined by the systems, practices and
not something that can be viewed as a neutral cases, which feature information, and that
tool in the learning process. A number of therefore multiple definitions of information
characteristics of knowledge need to be are acceptable. These different perspectives
recognised, and accommodated in learning should be viewed as offering richness and not
processes and knowledge management. untidiness. In a world in which information
Finally, the concept of a knowledge technology is a major agent in the erosion of
entrepreneur is proposed; an organisation barriers between disciplines and cultures, it is
that is a knowledge entrepreneur recognises important to continue the debate about these
the multi-faceted nature of knowledge, and different definitions.
defines cultures, values and systems that This stance is consistent with that taken by
encourage appropriate organisational Pearn et al. (1995), who declined to define
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From learning organisation to knowledge entrepreneur Journal of Knowledge Management
Jennifer Rowley Volume 4 . Number 1 . 2000 . 715

learning as a process, on the basis that: ``It is knowledge, which may be either tacit
not necessary to become embroiled in precise (embedded in minds and activities) or explicit
discussions over the definition of learning. It (stated as in verbal communication or in
is sufficient to point out to those whose mind- documents). Knowledge is available to
set expects or even requires a formal support and inform decisions, behaviour and
definition before they can take something actions. The final stage is the feedback from
seriously, that for most of this century, those actions, which, in turn, may generate
researchers and philosophers, for even longer, further information, which forms the basis for
have been disagreeing over the precise
further learning. Intermediate feedback loops
definition of learning. In reality there is no
may also be evident between the individual
one definition that meets all requirements.
stages in the process. The model in Figure 1 is
Instead there can be many different levels of
proposed with the very elementary objective
definition and many different definitions (we
of explicating the close nature of the
prefer conceptualisations) co-existing on the
same level'' (Pearn et al., pp. 12-13). relationship between information, knowledge
Nevertheless, despite the diversity of and learning. If these relationships are
conceptualisation around information and its acknowledged, the interesting questions is
associated concepts there is a consensus that how organisations create appropriate
there is an intimate relationship between conditions in order to support the type of
learning, information and knowledge at the knowledge processing that can lead to
level of the individual. There is some debate effective organisational learning.
surrounding the concept of organisation
learning, and whether it can be distinguished
from individual learning (e.g. Cummings and Learning organisations
Worley, 1997). Some argue that organisations
differ from individuals in that they develop Senge (1990) is regarded as a seminal work
and maintain learning systems that not only concerning the learning organisation. He
influence their immediate members, but also identifies the five disciplines of the learning
are then transmitted to others by means of organisation to be:
organisational histories and norms (Fiol and (1) systems thinking;
Lyles, 1985). However, in seeking to model (2) personal mastery;
the process of organisational learning, (3) mental models;
organisational learning theorists draw on the (4) building shared vision;
similarities between individual and (5) team learning.
organisational learning. It would seem
Many other authors have sought to express
appropriate therefore, to hypothesise that the
their understanding of the concept of the
relationship between knowledge, information
and learning is equally as intimate in learning organisation. Among these are:
organisational learning as it is with individual
. Facilitates the learning of all its members,
learning. Figure 1 expresses very simply how and continuously transforms itself (Pedler
these concepts might be viewed as being et al., 1990).
linked. Information is accepted into an
. Facilitates participative and innovative
organisation from a range of different sources. development with and between people and
The organisation conceptualises that institutions commercially, technologically
information in a way that is consistent with its and socially (Lessem, 1991).
norms, cognitive frameworks, context and . Forms the strategy, structure and culture
cultures. This conceptualisation process can of the enterprise into a learning system
be described as learning. Learning leads to (Stahl et al., 1992).

Figure 1 Towards the knowledge entrepreneur

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From learning organisation to knowledge entrepreneur Journal of Knowledge Management
Jennifer Rowley Volume 4 . Number 1 . 2000 . 715

. Encourages double loop learning, in . Being quick to react because chains of


which learning informs and changes command are short.
organisational objectives and impacts on . Mistakes are felt quickly because the
strategic directions (Argyris, 1990). customer is close.
. Responds to changes in the internal and . Being adaptive, and not constrained by
external environment of the organisation elaborate structures or stable cultures.
by detecting and correcting error in . Having energy and a sense of challenge.
organisational theory-in-use, and . Being focused.
embedding the results of that inquiry in . Experiencing constant change.
private images and shared maps of
Another factor that might be significant in
organisations (Argyris and Schon, 1978).
such organisations is that there relatively few
. Has as its primary aim rapid and continual
systems and a limited explicit knowledge
regeneration of the total organisation and
base. Much of the knowledge base is held in
that depends on rapid and continual
the minds of the people. Accordingly, such
learning (Moss-Jones, 1992).
organisations do not face the same challenges
In general, then, these conceptualisations in interfacing with, and using, a complex
reveal a focus on the learning process and its knowledge base, which embraces both explicit
association with change and organisational and implicit knowledge.
development, often with only limited
attention to the information that the learning
vehicle and the knowledge that is the output From learning to knowledge creation
from learning. The central thrust of the theory
and practice around the learning organisation Some authors have recognised the intimate
has been the contribution to the concept of relationship between knowledge and learning.
organisational learning. For example, Senge's Garvin (1993), for example, has a focus on
two seminal contributions (1990) began to creating, acquiring and transferring knowledge.
raise awareness that: Leonard-Barton (1992) develops the concept
. There is an important sense in which of the learning laboratory, which is defined as
organisations as a whole learn. ``an organisation dedicated to knowledge
. Some organisations are a lot better at creation, collection and control''. One of the
learning than others. four sub-systems of a learning laboratory is
. Organisational learning is critical to the ``garnering and integrating knowledge''. In
survival and success of organisations in addition, Senge and Sterman (1992) in their
the future. work on the learning laboratory start to identity
Thus organisational learning is perceived to the components of learning, namely: a focus on
be intimately associated with survival and conceptualisation; promotion of reflection;
future success. This perceived association has evaluation of the role of the computer;
spawned a whole host of books on the process continual making of links between the virtual
of organisational learning (e.g. Garrett, 1987; world and the real world. Here the role of
Starkey, 1996; Pearn et al., 1995). Many of information systems makes a brief appearance.
these also recognise the link between learning Stata (1989) notes that organisations can learn
and the continuous improvement that is only as fast as the slowest link within them, and
central to the quality literature (Honey, that they must develop institutional
1991). Lessem (1991) takes this connection mechanisms to retain knowledge. From a
further and proposes that there is a link different perspective, Schein (1993) identifies
between quality and learning, such that three distinct types of learning: knowledge
learning is the process, and quality is the end. acquisition and in sight; habit and skill
Burgoyne (1988) referred to natural learning; and emotional conditioning. These
management development occurring within authors start to recognise the role of knowledge
newly created entrepreneurial organisations. in organisational learning, but do not take their
Pearn et al. (1995) argue that such analysis any further.
organisations may be viewed as natural Nonaka (1988) has arguably been one of the
learning organisations, in that they have many most influential proponents of the knowledge
of the qualities to which learning creating organisation; he recognised that
organisations aspire, including: concept of top-down or deductive management,
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Jennifer Rowley Volume 4 . Number 1 . 2000 . 715

and bottom-up or inductive management are from the literature of knowledge


concerned with an organisation's capacity to management. Davenport et al. (1998), for
process information. But information example identify knowledge management to
processing needs to be coupled with knowledge have four strands:
creation. Nonaka's (1991) concept of a . The creation of knowledge repositories.
knowledge creating company is concerned with . The improvement of knowledge access.
making individual insight available for testing . The enhancement of the knowledge
and use by the company as a whole. Knowledge environment.
creating companies constantly encourage the . The management of knowledge as an asset.
process whereby personal knowledge is made Rowley (1999) defines knowledge
available to others (articulation) for them to use management thus:
to extend their own tacit knowledge base Knowledge management is concerned with the
(internalisation). Nonaka (1991) argues that the exploitation and development of the knowledge
key to competitive advantage lies with the assets of an organisation with a view to
organisation, and is latent in the organisation, furthering the organisation's objectives. The
its memory and its potential. The role of knowledge to be managed includes both explicit,
documented knowledge, and tacit, subjective
management is to provide a conceptual
knowledge. Management entails all of those
framework that helps employees to make sense processes associated with the identification,
of information. Nonaka's (1991) primary sharing and creation of knowledge. This requires
concern is with the knowledge creation systems for the creation and maintenance of
associated with internalisation and articulation. knowledge repositories, and to cultivate and
He does, however, also identify two other facilitate the sharing of knowledge and
organisational learning. Organisations that
patterns of knowledge creation in an
succeed in knowledge management are likely to
organisation. Those associated with: view knowledge as an asset and to develop
. the transfer of tacit information between organisational norms and values, which support
individuals (tacit to tacit), as for example the creation, and sharing of knowledge.
when individuals learn by watching
Models of knowledge management which
others, and
emphasise the social construction of
. the transfer of explicit information across
knowledge share common ground with work
an organisation (explicit to explicit), as is
on learning organisations and organisational
evident in the exchange and dissemination
learning. Demerest's (1997) model is one
of both print and electronic documents.
example of such a model. He identifies four
Nonaka (1991) is less interested in these two phases of knowledge management within an
processes, because he argues that they do not organisation: knowledge construction,
extend the company's knowledge base. Yet, knowledge dissemination, knowledge use and
since all four patterns exist in dynamic knowledge embodiment. The model
interaction, all four must be of concern to an emphasises the construction of knowledge
organisation. In this article, we argue that the within an organisation, with both scientific
knowledge creating company needs to and social contributions to this construction
understand and value all of these interactions process. According to the model, constructed
and needs an understanding of the nature of knowledge is then embodied within an
knowledge and the systems which are used to organisation, both through explicit programs,
create, maintain, and disseminate the but also through social interchange.
organisational knowledge base. Following embodiment there is a process of
Choo (1996) proposes the concept of the dissemination of the espoused knowledge
knowing organisation. The knowing throughout the organisation and its
organisation holistically manages its sense- environments. Ultimately the knowledge is
making, knowledge building, and decision- seen as being of economic use in regard to
making processes. This model emphasises the organisational outputs. There is also a
importance of using knowledge creation in recognition that the process moves back and
the wider context of the other arenas of forth between the different phases. The model
information use within an organisation, such is similar to that proposed by Jordan and
as sense making and decision making. Jones (1997), who identify the phases of
Other perspectives on the organisational knowledge acquisition, problem solving,
processes associated with knowledge, come dissemination, ownership and storage.
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Jennifer Rowley Volume 4 . Number 1 . 2000 . 715

Thinking about knowledge of communication are also important.


Knowledge may be stored and communicated
Indiscriminate knowledge creation will not via people, print or electronic media. A real
lead to organisational learning. Knowledge challenge for most individuals and
creation processes need to be managed, in organizations is the integration of information
such a way that the knowledge that is created, that is presented in different formats. Also the
disseminated, used and embodied is the form and style of communication needs to be
knowledge which will contribute to amenable. The user's subject knowledge,
organisational effectiveness, and ensure that environmental context, language used and
the organisation can change and adapt, or in preferences all influence the success with which
other words, demonstrates by its actions, a message is received.
decisions and behaviour that it has learnt.
There is a range of characteristics of Relevance
knowledge that must be acknowledged in this Knowledge available to an individual must be
process. These include: appropriate to the task in hand. Knowledge
available to an organization must be relevant,
Objectivity or pertinent, to its current direction, vision and
The debate associated with the objectivity of activities. Knowledge is relevant when it meets
knowledge is relevant to all types of the users' requirements, and can contribute to
knowledge and all disciplines. All knowledge the completion of the task in which the user is
is a product of the society and cultural engaged, whether that task is decision making,
environment in which it is created. However, problem solving, or learning. Relevance can be
the issue of objectivity has been most hotly assessed in relation to many of the other
debated in the social sciences (e.g. Morgan, characteristics listed in this section, such as
1983). Social science researchers and currency, and accuracy, but may specifically be
knowledge users have been acutely aware of judged in terms of level of detail and
the difficulties associated with creating a completeness. Completeness is normally
shared reality, which could be regarded as judged in relation to a specific task or decision;
valid and transferable objective knowledge. all of the material information that is necessary
Science and technology, on the other hand, to complete a specific task must be available. In
often investigates problems and environments addition the level of detail, or granularity of the
where experiments can be repeated under information must match that required by the
similar conditions to give consistent results task and the user.
and what can be identified as objective
knowledge. Related to the issue of objectivity Currency
are those of reliability and accuracy. Accuracy Currency and life span of knowledge are
means that data or information is correct. important for two reasons some information
Reliability implies that the information is a may supercede other information; the most
true indicator of the variable that it is current information is required, and outdated
intended to measure. Users often judge information needs to be discarded. Each type
reliability of information on the basis of the of information has its own life cycle. At one
reputation of the source from which it has end of the time scale there is a core of
been drawn. relatively stable knowledge for each discipline,
such as the way in which the heart functions,
Accessibility or the process for the refining of steel. Other
Accessibility is concerned with the availability information is outdated within hours.
of knowledge to potential users. The distinction Examples include the weather report and
between implicit or tacit knowledge and explicit international exchange rates. The real
knowledge is relevant here. Tacit knowledge is challenge is being able to recognize the
subjective knowledge, which is owned by the positioning on a time scale of specific
individual or team. Most explicit knowledge is knowledge and to be able to manage that
stored in the printed and electronic archives of knowledge in accordance with it's life cycle.
societies (libraries) and organizations, and is, in Users need to be presented with information
general likely to be more accessible than tacit that is still current, and collections of
knowledge. However, the storage and knowledge need to be weeded of redundant
communication media and the form and style and out-dated material.
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Structure and organization individuals are controlled and creative. Thus


All knowledge has a structure. At the management knowledge from different
individual cognitive level, the brain holds countries, perspectives and contexts must
associations between specific concepts. differ; knowledge is socially situated,
Structure is important to understanding. This constructed and changed. Clegg and Palmer
cognitive structure is reflected in the way in acknowledge the need for management
which individuals' structure information in knowledge to evolve to accommodate the
their communications in the form of verbal increasingly diverse organisations that are likely
utterances, text and graphical representations. to emerge in the twenty first century.
Some disciplines have inherent structures; In summary, knowledge is not something
biology, for example, is organized in that can be viewed as a neutral tool in the
accordance with a structure that reflects the learning process. Learning is of little value
structure of living matter, and documents on unless appropriate skills and knowledge are
biology can be organized in a way that is acquired throughout the learning process.
consistent with this structure. Newspapers, One of these skills will be the ability to learn
similarly group information into categories and to translate that learning into action, and
such as news, politics and sport. The two the capacity for learning will influence the
important features of this structure are: organisation's ability to change and adapt.
(1) the way in which items are grouped into Nevertheless, survival in the short term is
categories, and significantly dependent on the knowledge and
(2) the relationships between these categories. skills acquired during the learning process,
and without short-term survival, there will be
Systems no long-term future. An organisation's ability
Structure is often imposed by systems, whether to learn is intimately interwoven with the
those systems are conceptual frameworks, effectiveness with which it manages its
communication systems, or information knowledge base.
systems. Knowledge will be communicated
through information systems and stored in
information systems. Such systems embrace Towards the knowledge entrepreneur
people and hardware and software. These
systems need to be designed in order to achieve The literature of learning organisations has
effective and efficient information retrieval. tended to focus on the learning process; many
Such systems include document management of the recipes offered by authors in this field
systems, filing systems, databases, Web are concerned with the social interactions and
browsers and search engines. cultural precedents which encourage the
One special category of knowledge is learning process within teams and between
management knowledge. Clegg and Palmer teams in organisations. Rather less attention is
(1996) introduce a collection of papers that paid to the outcome of the learning process.
explore the relationship between management Whilst one of those outcomes will be the
knowledge and power in organisations. ability to continue to learn, the other is the set
Management theory, as a body of knowledge is of skills and knowledge that are created within
that they assert a ``political discourse'' (Clegg the organisation, and are accessible to those
and Palmer, p. 3). Management knowledge who might be in a position to use them in
determines and shapes the complex contributing towards the vision of the
relationships between individuals and the organisation. More recently contributions to
organisation, and it is those relationships that the debate have considered the knowing, and
frame the everyday intrigues, disclosures and knowledge creating, organisation, and the
dramas of working life. Further, management field of knowledge management has
knowledge legitimises some practices, such, as encouraged the development of perspectives
those associated with equal opportunities, on how knowledge can be created and
whilst it marginalises others. In an attempt to managed. Although the knowledge
study the way that power and knowledge management literature recognises issues such
intermingle, they conceptualise management as as knowledge environments and cultures, the
``recipes of knowledge''. These different recipes emphasis has been on knowledge
of knowledge determine how rationality is management tools, and specific knowledge
bounded, how behaviour is ordered and how management projects (e.g. Davenport et al.,
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1998). Embedding a knowledge management relevant, and focussed. Both are necessary
philosophy which affects the way in which prerequisites to the continual knowledge
multinational global organisations work, is creation and access that leads to continuing
challenging because it is necessary to and sustainable competitive advantage.
understand and manage the relationship
between knowledge and the social context
which shapes that knowledge. This involves References
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Further reading
Arbnor, I. and Bjerke, B. (1997), Methodology for Creating
Business Knowledge, 2nd ed., Sage, Newbury Park,
CA.
Cassel, C. and Simon, G. (1994), Qualitative Methods in
Organisational Research: A Practical Guide, Sage,
London.
Crockett, F. (1992), ``Revitalising executive information
systems'', Sloan management Review, Summer,
pp. 29-47.
Koniger, P. and Janowitz, K. (1995), ``Drowning in
information but thirsting for knowledge'',
International Journal of Information Management,
Vol. 15 No. 1, pp. 5-16.
Ross, K. (1992), ``The learning company'', Training and
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