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ACCA Strategic Professional · Strategic Business Leader · The internal resources, capabilities and competences of an organisation

Orlando Logistics wants to build a learning organisation. It has set up a system for staff to record lessons from failed deliveries, but managers only use the lessons to correct individual mistakes within existing procedures and never question the underlying assumptions or delivery model. Which type of learning, in Argyris's terms, is the firm displaying and what is the implication?

The firm is showing single-loop learning: it corrects errors within existing procedures but does not question the governing assumptions or the delivery model. The implication is that it must adopt double-loop learning, challenging underlying assumptions, if it wants to build dynamic capabilities for fundamental change.

  1. ADouble-loop learning, so the firm is already questioning its strategy
  2. BSingle-loop learning, so the firm corrects errors without challenging underlying assumptionsCorrect
  3. CTacit learning, so the firm cannot codify any knowledge
  4. DDeutero learning only, so no further change is needed

Explanation

Single-loop learning detects and corrects errors within existing norms and assumptions. Double-loop learning would challenge those assumptions and the delivery model itself. The firm needs to move toward double-loop learning to build dynamic capability for fundamental change.

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