Abstract:

In the paper, the importance of organizational learning for transforming the organization into a more sustainable one is discussed. The primary purpose of the paper is to present a model of organizational learning capability (OLC) as a potential framework for developing business sustainability (BS). An in depth, critical literature analysis shows that the theoretical foundation of the role of organizational learning in shaping BS is fragmented and poorly empirically verified. First and foremost, the sustainability paradox is mostly overlooked. BS requires embracing a change to develop adaptive capabilities while also retaining a coherent identity and stability. In conceptualizing the role of organizational learning in determining BS, the notion of organizational continuity has to be incorporated. The empirically verified OLC model, which integrates two perspectives: one responsible for the permanent change of the organization and the other one responsible for organizational continuity, is presented as a potentially vital framework to cope with the sustainability paradox.