Organisational learning from failure and the needs-based hierarchy of Project-Based Organisations

Chiponde, Danstan, Gledson, Barry and Greenwood, David (2022) Organisational learning from failure and the needs-based hierarchy of Project-Based Organisations. Frontiers in Engineering and Built Environment, 2 (2). pp. 121-132. ISSN 2634-2499

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Abstract

In his 1943 paper "A theory of Human Motivation" Maslow suggested the ‘Hierarchy of Needs’ as a classification system that described the stimuli for human behaviour. Presently, project behaviour research, which inspired this work, encourages undertaking research on behavioural aspects within and across organisational and project settings. Therefore, the purpose of this paper is to analyse project-based organisations’ (PBOs’) seemingly reluctance in engaging in organisational learning from past project failures by drawing upon both Institutional Theory (since it focuses on how firms interact) and Maslow’s model within a project behaviour piece of research. Interviews were held with purposively selected construction professionals from the UK construction industry, and data was analysed using thematic analysis. Besides the need to learn from failures, PBOs' main competing needs revolve around their ‘competitiveness’; ‘profitability and productivity’; 'repeat business’, and; ‘reputation and partnering’. Mirroring these needs against Maslow’s hierarch of needs, ‘competitiveness’ and ‘profitability’ are analogous to foundational ‘physiological’ and ‘safety’ needs. The need for ‘repeat business’ and ‘reputation’ are approximated with Maslow’s ‘affiliation’ and ‘self-esteem’ needs, and organisational learning is associated with ‘self-actualisation’. From an institutional theory perspective, such response to failure is influenced by the need to show legitimacy and conformity imposed by institutional factors.
Instead of taking a simplified approach to learning from failure such as the use of technological tools, PBOs and the sector at large should consider more robust approaches, by appreciating the influence of institutional factors and the external environment on their efforts to learn from failure. Unlike past studies that present organisational learning within PBOs as a straightforward process, this study instead highlights the need of understanding various competing needs within a PBO and the external pressure.

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