The concept of `Learning Organization' is much relevant in the modern business world because traditional business enterprise is no more a sustainable concept. While learning organization helps to build an organizational culture, it is also true that without inspirational guidance from effective leaders, it is not possible to do so. This article talks about the concept of learning organization and the role of effective leaders in building such an organization.

Learning is not only about gathering knowledge, but it is also about comprehending the inputs or the knowledge accumulated from within. Learning should also help the learners to utilize the knowledge acquired so that it increases their effectiveness and leads to an increased capability of working. A learning organization will be successful only when all its employees are willing to change their preconceived ideas or mentality to learn. Learning Organization concept was popularized by Peter Senge in 1990 in his famous book titled, The Fifth Discipline: The Art and Practice of Learning Organization. It is an extension or modification of the organization learning concept. However, whenever we talk of learning—whether it is through training programs, joint brainstorming meetings, experiments or innovations—one cannot ignore the role of the leader. Unless the leader is committed towards learning and determined to make himself a role model for the team members, it becomes difficult to apply the concept of the learning organization. In fact, it can be said that an organization which has successfully applied the concept and turned itself into a learning organization, derives its success from the effective leaders present in the organization.

Learning organization talks about continuous learning, so that it becomes the organizational culture. However, there are lots of obstacles in the path of learning like reluctance of the top management to invest in training activities, personal fixation with preconceived ideas posing resistance to learning or change, autocratic environment instead of empowerment, etc. All these can be easily taken care of if there is an effective leader in the organization and he shoulders the responsibilities to tackle resistance, preparing a conducive environment through empowerment. Also, if the top management or leaders of the organization show(s) interest to invest in learning, the path of transition becomes smooth.

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