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LEARNING CULTURE AND ORGANIZATIONAL PERFORMANCE IN SMALL BUSINESSES

The presence of the accurate information technology does not guarantee the efficient transformation of data and information into knowledge. An internal environment that boosts the learning process activities –data collection, distribution, interpretation, action and reflectionand encourages the use of certain tools –metaphor, dialogue, interactive systems and information technologyshould be promoted by existing management. The purpose of this study is to provide empirical evidence of the relationship between the existence of an organizational culture that encourages learning –we use the term “learning culture”and organizational performance in small businesses. With this, we would like to stimulate small businesses CEOs to increase their efforts to create a culture in which learning features prominently. A multilevel learning culture model has been developed distinguishing between “individual learning culture” and “learning culture at the organizational level”. A scale to measure learning culture is also provided. Organizational performance has been evaluated through custormers ́ satisfaction, employees ́ satisfaction and objectives achievement. A survey instrument was administrated to 151 CEOs within small businesses of Information Technology activity sector. Differences between its two sub-sectors –Software and Hardwarehave been also analyzed. Hierarchical regression analysis has been undertaken for learning culture predicting organizational performance. Our results show that the activity sector is a moderator factor of the relationship between learning culture and performance in small businesses. Individual learning culture has a larger effect on employees ́ satisfaction and customers ́ satisfaction than the learning culture at the organizational level. This last one effects mainly on the level of objectives achievement. In general, our study shows that individual learning has more influence on small business performance than the learning culture at the organizational level. Data used for this investigation came from a larger study commissioned by the European Union (FEDER: 1FD1997-2251C02-02).