This article reviews theories of organizational learning and presents
a framework with which to organize the literature. We argue that unit
of analysis provides one critical distinction in the organizational le
arning literature and research objective provides another. The resulti
ng two-by-two matrix contains four categories of research, which we ha
ve called: (2) residues (organizations as residues of past learning);
(2) communities (organizations as collections of individuals who can l
earn and develop); (3) participation (organizational improvement gaine
d through intelligent activity of individual members), and (4) account
ability (organizational improvement gained through developing individu
als' mental models). We also propose a distinction between the terms o
rganizational learning and the learning organization. Our subsequent a
nalysis identifies relationships between disparate parts of the litera
ture and shows that these relationships point to individual mental mod
els as a critical source of leverage for creating learning organizatio
ns. A brief discussion of the work of two of the most visible research
ers in this field, Peter Senge and Chris Argyris, provides additional
support for this type of change strategy.