Exploring the role of organisational learning and leadership in developing dynamic capabilities

Previous research has acknowledged that the interplay between organisational learning and leadership is vital. In this research, we combine organisational learning and leadership research within a dynamic capability (DC) framework to understand the nature of and interaction between them. Drawing on a single case study, this paper develops a conceptual framework of how learning mechanisms in organisational learning and different leadership styles influence the DCs. We find that the roles of leadership foster the development of organisational learning, environmental structures and underlying processes. To cultivate DC, designing different learning processes and systematic learning mechanisms to capture each aspect of DC, at individual and collective level, is essential. We also find that the transformational visionary leadership stimulates organisations to systematically address learning mechanisms and to construct an organisational learning environment.