An analysis of the relationship between learning behaviour and performance improvement of contracting organizations

Previous studies have rarely examined the link between contracting organizations’ practice of intra-organizational learning (intra-OL) and engagement in inter-organizational learning (inter-OL). Thus, when the effect of intra-OL on performance improvement was investigated, the role of inter-OL was not included in the equation. This paper reports a study that aims to test empirically whether the effect of practicing intra-OL on performance improvement is contingent on the contracting organizations’ engagement in inter-OL. A conceptual model which depicts the hypothesized relationships between practicing intra-OL, engagement in inter-OL and performance improvement is presented. Data were obtained from a questionnaire survey. To test the conceptual model, Pearson correlation analysis and multiple moderated regression (MMR) analysis were employed. The results suggest that contracting organizations’ practice of intra-OL is symbiotic to their engagement to learn at inter-organizational level. In particular, ‘the development of Project Monitoring System’ is identified as the most versatile inter-OL attribute which energizes the effect of practicing single-loop and double-loop learning on performance improvement. The findings in this study timely remind the importance of providing useful feedback so as to vitalize OL and make performance improvement sustainable.