Emirates Islamic Bank is based on Islamic legal perception (Shari’a) established in a form of modern banking based on Islamic legal concepts (Shari'a) that was developed in the first centuries of Islam and it uses risk sharing and eliminating financing based on fixed returns. They believe in sharing profits and the risks in the business instead of being the creditors. Here the bank and the borrower share the risks and rewards of financing business ventures.
Looking at Emirates Islamic Bank into being a Learning Organization
I will be using a truth unambiguous of terminology during this analysis to be presented that serves an originator in exploring the meaning of Learning organization and organizational learning. A framework of organizational learning and features of a learning organization within Emirates Islamic Bank (EIB) will be represented and argued on how they should contrast to transform the bank by becoming a learning organization.
Based on the appraisal, the bank must enable to promote itself by strategic ways through the six fundamental factors that are: focus, processes, measures, organizational culture, systems, strategic concept and objectives. A brief proposal is explained in arrangement of the strategy, describing how they should go through the continuing goals to permit the bank into learning organization.
Review of Literature
What is a Learning Organization?
The power to develop and adjust to change within the organization happens towards the modest and variable market surrounding that posture for requirements. Accordingly to the authors - Robert W. Rowden (2001) offers an resemblance of climbing up a mountain range where he had described “There are two types of mountain ranges: mountain ranges like the Swiss Alps with one energetic peak, and others like the North American Falls with a mass of mountain ranges and many peaks. Usually organizations approach business trials like the Swiss Alps; setting a strong vision, goals, develop detailed roadmaps, and continue until the summit goal is reached. The North American Falls however positions a different challenge.” Rowden (2001, p.11) writes that "amid sometimes unpredictable, always uncertain, and highly raging business conditions, an organization's capacity to learn as it goes may be the only true source of modest advantage." The notion that learning provides organizations with a modest advantage is predominant in literature. Garvin et al. (2008, p.11) state that "learning organizations [are] able to adapt to the unpredictable more quickly than their rivals could". Arikan (2009, p.109) suggests that increasing incidents where organizations can learn creates "a competitive advantage for the collective as well as the individual by augmenting individual knowledge creation efforts." Kliener and Roth (1997) emphasize the importance of learning processes such as recording learning histories to harness and share the advantages of leaning. Argyris (1996) as cited in Yeung et al. (2007, p.2460) states that learning is "a process whereby members of an organization act as learning managers for the organization, responding to changes in the internal and external environments of the organization by noticing and correcting errors in organizational theory in use, and implanting the results of their inquiry in private images and shared maps of organization."
The difference theoretical between the Learning organization and Organizational Learning is:
Learning is acquiring new or modifying existing knowledge, behaviors, skills, values or inclinations as it involves different type of information. Learning is not something we have to follow but its contextual as it does not happen immediately, but shapes upon what we know. Learning in other words is like a process then gathering accurate and technical knowledge. This is based on long term by obtaining knowledge where it is active, practice, collective process and augmenting...
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