Organisational learning: research issues and application in SME sector firms Available to Purchase

Over the last two decades the UK Government has massively expanded support for SME sector firms. Two important elements of this expansion have been the funding of intervention by commercial consultants and the provision of training schemes covering start‐ups, owner‐manager development and employee skills acquisition. Argues that a fresh approach is required which ensures embedding of the concept that firms should be more self‐responsible and continually strive to find ways of enhancing their performance. This view then permits one to posit the idea that the introduction of organisational learning into the SME sector is a highly attractive proposition. However, the majority of espoused theory is based on application of the concept in large firms moreover, there is very limited empirical research that supports the fundamental assumption that organisational learning contributes towards enhancing performance. Research to determine whether identifiable relationships exist between the performance of the firm, the learning mode of the organisation and organisational competence does not provide clear statistically significant relationships and further work is clearly needed. A grounded theory approach was adopted for developing an organisational learning programme for small firms. Preliminary results indicate the approach offers significant advantages over the classic, external intervention driven support models currently in common use among TECs and business links.