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Learning capability and business performance: a non‐financial and financial assessment

Learning capability and business performance: a non‐financial and financial assessment Purpose – There has been little research that includes reliable deductions about the positive influence of learning capability on business performance. For this reason, the main objective of the present study is to empirically explore the link between learning capability in organizations and business performance evaluated in both financial and non‐financial terms. Design/methodology/approach – Using data from 111 Spanish companies, research was conducted through a structural equation modelling. In doing so, a measurement model was conducted for the main constructs – learning capability, financial performance and non‐financial performance‐ and examine the paths between them. Findings – The analysis shows the positive link existing between: learning capability and non‐financial performance; and non‐financial performance and financial performance. Originality/value – This is a detailed empirical examination of learning capability as a source of performance in organizations. It should be of value to all those who think about the role of learning processes and knowledge in organizations, and who care about their effects on competitiveness. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png The Learning Organization Emerald Publishing

Learning capability and business performance: a non‐financial and financial assessment

The Learning Organization , Volume 13 (2): 20 – Mar 1, 2006

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References (71)

Publisher
Emerald Publishing
Copyright
Copyright © 2006 Emerald Group Publishing Limited. All rights reserved.
ISSN
0969-6474
DOI
10.1108/09696470610645494
Publisher site
See Article on Publisher Site

Abstract

Purpose – There has been little research that includes reliable deductions about the positive influence of learning capability on business performance. For this reason, the main objective of the present study is to empirically explore the link between learning capability in organizations and business performance evaluated in both financial and non‐financial terms. Design/methodology/approach – Using data from 111 Spanish companies, research was conducted through a structural equation modelling. In doing so, a measurement model was conducted for the main constructs – learning capability, financial performance and non‐financial performance‐ and examine the paths between them. Findings – The analysis shows the positive link existing between: learning capability and non‐financial performance; and non‐financial performance and financial performance. Originality/value – This is a detailed empirical examination of learning capability as a source of performance in organizations. It should be of value to all those who think about the role of learning processes and knowledge in organizations, and who care about their effects on competitiveness.

Journal

The Learning OrganizationEmerald Publishing

Published: Mar 1, 2006

Keywords: Learning; Business performance; Knowledge management; Financial performance; Spain

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