Impact of organizational learning culture on organizational effectiveness: a serial mediation analysis with knowledge sharing and employee competencies

Abstract

Purpose The main purpose of this study is to investigate the effect of learning culture and knowledge sharing (KS) on organizational effectiveness (OE). This study also proposed to investigate the role of employee competency in organizational success. Design/methodology/approach This study is based on the primary and secondary sources of data. The primary data comprises 392 responses from different information technology firms located in India, whereas secondary sources are based on journals, reports, company manuals, etc. The data was analyzed in partial least square-structural equation modeling using SMART-PLS 3.3 software. Findings This study confirms the conceptual model with the collected data. The key contributors to the model are organizational learning culture (OLC), KS, employee competencies (EC) and OE. The OLC and KS are the independent variables, and OE is the dependent variable, whereas the EC is the mediating variable in the research model. The findings reveal that there is a significant OLC on KS, EC and OE. Likewise, the relationship between KS and OE is also significant. The mediation analysis confirms the EC is significant for the relationships. However, the mediating effects of KS on the relationship between OLC and EC are not significant in this research. Practical implications An effective learning culture that leads to an increase in KS activities eventually enhances EC and promotes OE. It indicates that strengthening the learning culture will result in the promotion of knowledge sharing, and it is obvious that the employees’ competencies will increase when the employee is skilled and knowledgeable. Originality/value With references to different theories, this study provides an integrated model that shows the relationships between OLC, KS, EC and OE. By strengthening the OLC and KS, this relationship is benevolent to the success of the organization. The created framework paves the way for scholars to further explore insights from inside each component.