Managing organizational learning ambidexterity in a resource-constrained environment: An exploratory study of Australian large service organizations
International Society for Professional Innovation Management
Place of Publication
Centre for Innovative Practice
Organizational learning can facilitate innovation and it is influenced by external and internal contexts. This paper applies Crossan et al.’s (1999) 4I framework examining the effects of external and internal forces on an organization’s learning process and the extent of its innovation. Leaders can provide the internal contextual support for learning to happen in response to the dynamic changes in the external contexts. Leaders should pursue both exploitation and exploration in their organizational learning in order to compete and survive in a resource-constrained environment. This study seeks to explore how organizations should dynamically pursue cost-leadership (exploitation) and differentiation (exploration) strategies. Multiple-case studies of four Australian large service organizations are used to gain insights about how organizations actually do to achieve ambidexterity. The study demonstrates that leaders tend to focus on cost leadership and efficiency than on differentiation in a resource-constrained environment.