TITLE PAGE

STUDENT NAME
AZIM MOHAMMED

STUDENT ID NUMBER
1722448

UNIT TITLE
LEADING AND MANAGING ORGANIZATIONAL RESOURCES

UNIT CODE
BSS064-6
 EXECUTIVE SUMMARY

The business environment is rapidly changing at an exponential rate due to

technological innovations. Organizations are met with the challenge of constantly learning and
improving themselves to remain competitive. ‘Learning’ has become an important theoretical
research concept within organizations. With increasing competition, technological
advancements and shifting customer preferences, it is imperative that firms become learning
organizations.
The concepts of the learning organization and knowledge management are inextricably
linked. Both the learning organization and knowledge management are dependent upon each
other. Learning in itself focuses on fundamental principles of knowledge because the learning
organization must systematically develop organizational knowledge in order to develop, and
learn faster which is crucial for maintaining long-term competitive advantage.
The learning organization focuses on gathering information and interpreting data while
developing knowledge and sustaining learning. Furthermore, the learning organization focuses
on the external environment threats while organizational learning focuses on the organization’s
internal aspects. Therefore, the learning organization must satisfy the requirements of both its
external and internal environments to promote and stimulate learning at both individual and
organizational levels.
A prerequisite of learning organizations is knowledge management. This requires
knowledge to be transferred into information to be shared within the organization. MBA
Design Partnership aspires to become a learning organization and as such have implemented
strategies to becoming a learning organization however, the organizational focus is heavy
influenced by its management structure. The company needs to approach learning from the
perspective of inspiring, motivating and empowering their people to create and sustain a culture
of knowledge sharing, and organizational learning.
Contents

INTRODUCTION................................................................................................................................. 4
THE LEARNING ORGANIZATION ................................................................................................ 5
KNOWLEDGEMENT MANAGEMENT .......................................................................................... 7
LEADERSHIP....................................................................................................................................... 8
CULTURE ............................................................................................................................................. 9
CHANGE MANAGEMENT .............................................................................................................. 10
References ............................................................................................................................................ 15
Bibliography .......................................................................................................................................... 17
 INTRODUCTION

Defining the concept of learning has proven to be difficult throughout the years.
Theorists have studied organizational learning and have considerably differing perspectives on
its definition. Most scholars define organizational learning as a process which is linked to
knowledge and performance, yet they have different perspectives on important concepts
(Garvin, 2012).
For instance, some believe that behavioural change is an important factor to learning
while others believe that fostering creative thinking is sufficient for organizational learning.
Some allude that breaking down information into simple terms is the mechanism which allows
learning to take place while others cite ‘shared insights, organizational routine and memory’
(Garvin, 2012).
Taking into consideration the dissonance of insights, one can accept the following
definitions. Watkins and Marsick (1992) cited in Bladomir (2009) defines a learning
organization as being characterized by the collaborative and collective total employee
involvement toward principles of common values. While, Senge (2006) defines learning
organizations as
“organizations where people continually expand their capacity to create the results
they truly desire, where new and expansive patterns of thinking are nurtured, where collective
aspiration is set free, and where people are continually learning how to learn together.”

These definitions highlight the importance of group involvement and learning.

However, Senge (2006) postulates that a more interconnected world and dynamic business
[environment] require work to become more “learningful”. Also, he states that “it is no longer
sufficient to have one person learning for the organization”. Furthermore, Senge’s (2006)
definition focuses on thinking which is the basis for formulating new ideas which promotes
creativity. These new ideas are created through insight or creativity while other times they are
influenced by the changes in the external environment (Garvin, 2012).
Learning organizations are required to balance the trade offs between exploration of
“new possibilities and exploitation of old certainties in organizational learning” (March, 1991).
Organizational learning and ambidexterity concepts from perspectives of leadership, culture,
human resource management, performance management, information systems, change
management and innovation are contributing factors that achieve increased firm performance
which is necessary for a firm’s survival during heightened competition.
 Leaders are charged with the responsibility of effectively managing both explorative
and exploitative activities, thus enabling the organization’s team members to follow suit. For
instance, leaders can create a culture of openness and sharing of attitudes, ideas, goals, and
values with the organization’s members which will promote organizational creativity and
innovation. Once leaders can infuse values such as “uncertainty tolerance, openness to
challenges and trust within an organization,” they will be able to successfully accomplish
balancing the trade-offs of an ambidextrous organization. (Lin & McDonough III, 2011)
In additional to leadership affecting a firm’s ability to be ambidextrous, human resource
factors such as employee characteristics, and human resource practices are contributing factors
to ambidexterity. Employee characteristics which are deeply rooted in organizational
behaviour focus on employee background, orientation and cognition while human resource
practices focus on aligning human resource systems with its practices. (Junni, et al., 2015)
This research paper aims at providing insight on how Match Box Architects Design
Partnership (hereafter referred to as MBA) can improve on becoming a Learning Organization
by exploring and analysing aspects of its leadership, culture, change management, strategic
human resource management and Key Performance Indicators (KPIs). Then, concludes with a
summary of MBAs key findings and lastly, making recommendations on how MBA can
improve on becoming a learning organization.

THE LEARNING ORGANIZATION

The diminishing performance of reputable organizations because of the declining

competitive advantage of many firms in an expanding business environment, along with the
necessity for organizational transformation have sparked the interest in organizational learning.
Management in many organizations is now faced with the task of transforming their firms into
learning organizations.
The learning organization is characterized by culture, leadership and knowledge. The
culture of a learning organization supports both organizational and individual learning,
innovation, and creativity. This type of environment improves and strengthens the organization
in its entirety. Furthermore, it requires a different and new perspective on leadership which
inspires the long-term direction of the learning organization.
 The learning organization focuses on characteristics that contribute to learning while
organizational learning focuses on developing learning in the organization. Senge (1990) cited
in Aggestam, (2006) proposed five disciplines of the learning organization: shared vision,
mental models, personal mastery, team learning, and system’s thinking.
Firstly, shared vision develops a future goal and how to achieve organizational goals among
staff. If staff are genuinely committed to achieving their organizational goals, achievements
can be attained.
Secondly, mental models are preconceived assumptions of how one understands something
to be. This has a direct effect on an individual’s and organization’s behaviour and thinking
patterns. This discipline is vital to aiding change management through thinking strategically.
Thirdly, personal mastery refers to clarifying and broadening an individual’s ability from
his or her intrinsic value. This is empowered by achievement which provides motivation and
task autonomy which are prerequisites of quality.
Fourthly, team learning is the process by which team members learn through activities that
focus on task to develop their full capabilities to achieve desired results.
Lastly, system’s thinking encompasses all of the above mentioned disciplines to develop
problem solving and quality commitment. MBA is currently aiming too resolve learning
barriers.
MBA has taken small strides to achieve becoming a learning organization. Becoming a
learning organization will give MBA a competitive advantage because:

• It will allow the company to implement systems thus making it more adaptable and
responsive to external environmental changes
• MBA is an architectural services firm which relies on technology. Technological
changes will increase risks facing the company. Therefore, MBA needs to develop
systems to face increased risks due to technological changes
• Competing in a volatile environment will require MBA to depend on the experiences,
knowledge, and skills of all employees
• Heavy reliance will no longer be placed on executive management to designate tasks
• The culture will now be one of open communication i.e. promoting ethical behaviour,
knowledge sharing and learning

The company aspires to become a learning organization and has established this goal
around its Unique Capabilities. Its Unique Capabilities are its mission, vison and core values.
Architectural firms offer homogenous services and as such MBA has not provided any unique
distinguishing capabilities beside affirming to providing reliable, faster and higher quality
services than its competitors. As such MBA’s Unique Capabilities are ambiguous and do not
outline what differentiates the company from its competitors.

KNOWLEDGEMENT MANAGEMENT

The concepts of the learning organization and knowledge management are linked. The
learning organization is dependent upon Knowledge Management which in turn relies on the
learning organization (Aggestam, 2006). The learning organization focuses on acquiring
information, interpreting data, developing knowledge and sustaining learning.

The learning organization has many fundamental characteristics. Kontoghiorghes, et al.,

(2005) have outlined learning organization characteristics as proposed by several researchers.
The characteristics are listed as follows:

• Incentives for learning

• Knowledge management
• Open flow of communication
• Resources to carry out tasks
• Support and recognition for learning
• Taking Risks
• Training and learning environment
• Work Team environment

MBA needs to develop all of the above characteristics in order to be considered as a learning
organization. The company has developed strategies to become a learning organization
however, executive management does not address key issues such as risk tasking, incentives
for learning.
 LEADERSHIP

The constant and rapid emergence of change challenging companies today has emerged
from calls for management to employ more adaptive leaders. Adaptive leaders are more
equipped to deal with challenges facing both leaders and subordinates in constantly evolving
environments. Adaptive leaders work together with subordinates to create solutions to difficult
problems, and to cross train and develop subordinates to leadership roles. (Bass, et al., 2003)

The evolution of organizational needs and market challenges have given prominence to two
leadership theories; transactional and transformational leadership styles. Transformational
leaders can effectively explore and share knowledge wiles transactional leaders are able to
effectively exploit knowledge within the organization. (Bryant, 2003)

Matchbox Architects Design partnership currently exhibits the transactional leadership

style, however heavy emphasis is placed on management rather than leadership, and this is
illustrated in the expansion of MBA’s management team. Management and leadership are two
different concepts. As such management is a process which involves the three-step process of
“planning and budgeting, organizing and staffing, and controlling and problem solving” while
leadership involves creating an organizational vison, aligning people with organizational vision
through knowledge sharing and communication and motivating, inspiring and empowering
people to action which eventually leads to organizational risk, uncertainty and change.
(Lunenburg, 2011)

A learning organization must become ambidextrous. Ambidexterity is defined as the ability

to simultaneously pursue both explorative and exploitative activities, to adapt to external
changes. (Birkinshaw & Gibson, 2004)

Leadership is paramount to facilitating ambidexterity and improving and increasing

organizational performance. Successful management of resources will deal with conflict and
tension caused by organizational ambidexterity. A learning organization requires leaders to
exhibit both transactional and transformational styles.

MBA’s leadership style is not conducive to the company becoming a learning organization.
The transactional leadership styles focus on establishing rewards for performance, and this
diminishes the process of learning within the organization. The organization’s current
strategies employed to become a learning organization are; knowledge sharing and resolving
learning barriers. However, MBA has mapped a timeline to becoming a learning organization
commencing with its USP (mission, vision and values), then measuring its learning ability, to
its human resources strategy, and lastly developing the company’s key performance indicators.

CULTURE

Organizational Culture

Organizational culture is defined as a pattern of a group’s learned assumptions to

resolve external and internal problems which are taught as the correct way of perceiving and
thinking as it relates to problems.

The leaders at MBA should incorporate workshops, meetings and training sessions
which allow employees the freedom to state their suggestions without any negative
consequences on their part.The leaders such as the associate directors and managers should
also attend meetings and/or training workshops frequently where they can share their
knowledge and information with others on how they can motivate the other staff and provide
regular updates to the managing director.

This would be highly beneficial to MBA design partnership since according to Schein (2004)
Leadership and Organizational culture are closely linked as leaders are the ones who
create,change,implement and destroy culture within organizations.

The following diagram details the relationship between extrinsic motivation and the culture
of empowerment and ambidexterity.
Figure 1 <Adapted from Caniels, et al., 2017>

CHANGE MANAGEMENT

Change management is defined as the process which transforms individuals, teams and
organizations from their present state to attain their desired objective. This organizational
process motivates as well as empowers employees to accept environmental changes ( Society
for Human Resources Management, 2007 ).

All organizations that decide to remain competitive and profitable must endure change at some
period.

Eight steps are necessary for a successful change in the organization. Skipping steps or disregarding
some of the steps will produce only a partial result or may cause negative consequences in the long
term (Kottter, 1995).

MBA’s visions statement states that in five years they will produce a team that will change the
environment.They did “establish a sense of urgency” which according to Kotter (1995) is the most
important step in the process.MBA has created their vision and successfully communicated it,
however they haven’t organized a system in order to proprely reward and recognize employees
which is essenential for the other steps.

Figure 2
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ed=0ahUKEwiHosens8beAhWITN8KHdFIDBwQ_AUIDigB&biw=1517&bih=675#imgrc=oon2eeHGgz43
CM:>
 STRATEGIC HRM AND THE DEVELOPMENT OF KPIS

To compete in a rapidly evolving and volatile environment, firms must consistently

enhance organizational performance through cost reduction, improving quality, productivity
and speed, and creating innovative products or services. (Becker & Gerhart, 1996) Strategic
Human Resources Management decisions once implemented effectively can create long term
competitive advantage.
Performance management, one of the most important management principles identifies
and addresses performance gaps. MBA’s key performance indicators are based on management
tools such as TRELLO, Pipedrive, Agile, Xero, and Harvest. This illustrates that the company
focuses and places heavy emphasis on its organizational management and tools.
MBA is an architectural services firm which has highly creative employees. Executive
management has outlined the company’s key performance indicators around creativity. MBA’s
key performance indicators highlight project skills, design skills, and management. However,
there is a lack of focus on leadership promoting learning, knowledge as it is related to the
learning organization, establishment of relations and individual management, collective
performance motivation, culture promoting learning, employee and customer satisfaction.
MBA’s key performance indicators need to facilitate the components of a learning
organization which is the key driver to maintaining a competitive advantage.

How to measure and assess productivity in a creative environment?

In order to properly measure productivity in an organization that is concerned with
producing a profit a series of formulas can be utilized and/or combined before being analysed.
The Net present value and Internal rate of return should be calculated and analysed
along with the risks involved before undertaking any project. By analysis of these formulas,
one can ascertain if a project would be profitable.
How to improve productivity in addition to developing people and becoming a
learning organization?
What other strategies can we use to become a learning organization?
How to implement a program of continued development throughout the practice
and ensure buy in at every level?
By ensuring MBA design partnership continues to maintain the climate for creativity
and innovation.
 How to recruit with the above in mind so that high quality individuals are
attracted to the organization and buy into the culture?

CONCLUSION

This analysis of MBA aspiring to become a learning organization illustrates that

numerous aspects of the learning organization have not been implemented into the company’s
strategic plans. The concepts of the learning organization and organizational learning have been
popularized due to the increasing evolving business environment. MBA is aspiring to become
a learning organization however the company needs to implement strategies to address key
issues to stimulate organizational learning. A learning organization is defined as an
organization in which culture, knowledge and learning are nurtured collectively.

Ambidexterity is a component of the learning organization because it aims to pursue two

divergent concepts simultaneously; exploration and exploitation. Leaders are charged with the
task of effectively managing ambidextrous organizations. A combination of transactional and
transformational leadership styles is ideal for the ambidextrous organization.

The learning organization and knowledge are two related concepts. Knowledge management
refers to the process in which information is transformed into knowledge. A learning
organization
 RECOMMENDATIONS

MBA design partnership aspires to become a learning organization. The company has
drafted a timeline to achieve objectives in order to become a learning organization. MBA’s
current culture does not focus on leadership but instead the company focuses on management
as noticed in the expansion of their management team.

MBA needs to employ an adaptive leadership style. In this regard, the company can
apply both transformational and transaction leadership styles to explore and exploit knowledge
within the organization. Its current leadership style does not inspire and motivate its people. It
functions as a trade off in which extrinsic rewards are given to employees based on their
performance. Motivation and inspiration should not be aligned with physical and short lived
rewards. It should be realized and achieved through intrinsic factors.

The company needs to further develop its key performance indicators as it stands
MBA’s key performance indicators focus on its creativity and its management aspects. MBA’s
key performance indicators needs to address concepts such as culture, learning, and knowledge.

MBA should consider using a project management software that is able to perform the tasks
that Trello, Harvest and Pipedrive are used for since it would be much more feasible and easier
to utilize one software rather than three.
References
Aggestam, L., 2006. Learning Organization or Knowledge Management-Which came first the chicken
or the egg?. Information Technology and Control, XXXV(3A).

Anon., 2008. Organizational Ambidexterity: Antecedents, Outcomes, and Moderators. Journal of

Management, Volume March 2008.

Bass, B. M., Jung, D. I., Avolio, B. & Berson, Y., 2003. Predicting Unit Performance by Accessing
Transformational and Transactional Leadership. Journal of Applied Psychology, 88(2), pp. 207-218.

Becker, B. & Gerhart, B., 1996. The Impact of Human Resource Management on Organizational
Performance: Progress and Prospects. Academy of Management Journal, XXXVIV(4), pp. 779-801.

Birkinshaw, j. & Gibson, C., 2004. Building Ambidexterity into an organization. MIT Sloan
management review, Issue summer 2004.

Bladomir, J., 2009. Leading in the Learning Organization. Leadership Advance Online, Issue 17.

Bryant, S. E., 2003. The Role of Transformational and Transactional Leadership in Creating, Sharing
and Exploiting Organization Knowledge. Journal of Leadership and Organizational Studies, 9(4), pp.
32-44.

Cameron, E. & Green, M., 2009. Making sense of change management,a complete guide to the
models, tools & techniques of organizational change. 2nd ed. London: Kogan page limited.

Caniels, M. C., Neghina, C. & Schaetsaert, N., 2017. Ambidexterity of employees;the role of
empowerment and knowledge sharing. Journal of Knowledge Management, 21(5), pp. 1142-1162.

Dopson, S., 2015. Can Leaders Change Organisational Culture. [Sound Recording] (Said Business
School,University of Oxford).

Garvin, D. A., 2012. Building a Learning Organization. Harvard Business Review, November, pp. 1-16.

Gibson, C. B. & Birkinshaw, J., 2004. The Antecents, Consequences, And Mediating Role of
Organizational Ambidexterity. Academy of Management Journal, 47(2), pp. 209-226.

Junni, P., Sarala, R. M., Tarba, S. Y. & Liu, Y. C. C. L., 2015. Guest Editor’ Introduction: The Role of
Human Resources and Organizational Factors In Ambidexterity. Human Resource Management, pp.
1-28.

Kontoghiorghes, C., Awbrey, S. M. & Feurig, P. L., 2005. Examining the Relationship Between
Learning Organization Characteristics and Change Adaptation, Innovation and Organizational
Performance. Human Resource Development Quarterly, XVI(2), pp. 185-211.

Kottter, J. P., 1995. Leading Change; Why Transformation Efforts fail. Harvard Business Review, Issue
March-April , pp. 59-67.

Lin, H.-E. & McDonough III, E. F., 2011. Investigating the Role of Leadership and Organizational
Culture in Fostering Innovation Ambidexterity. TRANSACTIONS ON ENGINEERING MANAGEMENT,
lviii(3).

Lunenburg, F. C., 2011. Leadership versus Management: A Key Distinction-At least in Theory.
International Journal of Management, Business, and Administration, 14(1).
March, J. G., 1991. Exploration and Exploitation in Organizational Learning. Organization Science,
II(1), pp. 71-87.

Schein, E. H., 2004. Organizational Culture and Leadership. 3rd Edition ed. San Francisco: Jossey-
Bass.

Senge, P. M., 2006. The Fifth Discipline: The Art and Practice of the Learning Organization. 2nd ed.
London : Century .

Sharman, D. & Johnson, A., 1997. Innovation in all things! Developing creativity in the workplace.
Industrial and Commerical Training, 29(3), pp. 85-87.

Vaswani, P. & Vaswani, P., 2017. Human Resource Competencies: An Empirical Assessment.
International Journal of Engineering Research and Development, 13(8), pp. 37-45.
Bibliography
Aggestam, L., 2006. Learning Organization or Knowledge Management-Which came first the chicken
or the egg?. Information Technology and Control, XXXV(3A).

Anon., 2008. Organizational Ambidexterity: Antecedents, Outcomes, and Moderators. Journal of

Management, Volume March 2008.

Bass, B. M., Jung, D. I., Avolio, B. & Berson, Y., 2003. Predicting Unit Performance by Accessing
Transformational and Transactional Leadership. Journal of Applied Psychology, 88(2), pp. 207-218.

Becker, B. & Gerhart, B., 1996. The Impact of Human Resource Management on Organizational
Performance: Progress and Prospects. Academy of Management Journal, XXXVIV(4), pp. 779-801.

Birkinshaw, j. & Gibson, C., 2004. Building Ambidexterity into an organization. MIT Sloan
management review, Issue summer 2004.

Bladomir, J., 2009. Leading in the Learning Organization. Leadership Advance Online, Issue 17.

Bryant, S. E., 2003. The Role of Transformational and Transactional Leadership in Creating, Sharing
and Exploiting Organization Knowledge. Journal of Leadership and Organizational Studies, 9(4), pp.
32-44.

Cameron, E. & Green, M., 2009. Making sense of change management,a complete guide to the
models, tools & techniques of organizational change. 2nd ed. London: Kogan page limited.

Caniels, M. C., Neghina, C. & Schaetsaert, N., 2017. Ambidexterity of employees;the role of
empowerment and knowledge sharing. Journal of Knowledge Management, 21(5), pp. 1142-1162.

Dopson, S., 2015. Can Leaders Change Organisational Culture. [Sound Recording] (Said Business
School,University of Oxford).

Garvin, D. A., 2012. Building a Learning Organization. Harvard Business Review, November, pp. 1-16.

Gibson, C. B. & Birkinshaw, J., 2004. The Antecents, Consequences, And Mediating Role of
Organizational Ambidexterity. Academy of Management Journal, 47(2), pp. 209-226.

Junni, P., Sarala, R. M., Tarba, S. Y. & Liu, Y. C. C. L., 2015. Guest Editor’ Introduction: The Role of
Human Resources and Organizational Factors In Ambidexterity. Human Resource Management, pp.
1-28.

Kontoghiorghes, C., Awbrey, S. M. & Feurig, P. L., 2005. Examining the Relationship Between
Learning Organization Characteristics and Change Adaptation, Innovation and Organizational
Performance. Human Resource Development Quarterly, XVI(2), pp. 185-211.

Kottter, J. P., 1995. Leading Change; Why Transformation Efforts fail. Harvard Business Review, Issue
March-April , pp. 59-67.

Lin, H.-E. & McDonough III, E. F., 2011. Investigating the Role of Leadership and Organizational
Culture in Fostering Innovation Ambidexterity. TRANSACTIONS ON ENGINEERING MANAGEMENT,
lviii(3).

Lunenburg, F. C., 2011. Leadership versus Management: A Key Distinction-At least in Theory.
International Journal of Management, Business, and Administration, 14(1).
March, J. G., 1991. Exploration and Exploitation in Organizational Learning. Organization Science,
II(1), pp. 71-87.

Schein, E. H., 2004. Organizational Culture and Leadership. 3rd Edition ed. San Francisco: Jossey-
Bass.

Senge, P. M., 2006. The Fifth Discipline: The Art and Practice of the Learning Organization. 2nd ed.
London : Century .

Sharman, D. & Johnson, A., 1997. Innovation in all things! Developing creativity in the workplace.
Industrial and Commerical Training, 29(3), pp. 85-87.

Vaswani, P. & Vaswani, P., 2017. Human Resource Competencies: An Empirical Assessment.
International Journal of Engineering Research and Development, 13(8), pp. 37-45.