“Nudging towards excellence: Harnessing behavioral insights for organizational learning”

Abstract

Purpose In dynamic business environments, organizations must constantly adapt and learn. Nudging, a concept from behavioral economics, offers a novel approach to influence organizational behavior and learning. This article explores the integration of nudging within organizational learning, drawing from Thaler and Sunstein’s work and organizational learning theories. Also, To investigate nudging’s role in organizational learning and propose a practical nudging framework, while addressing ethical considerations. Design/methodology/approach The article combines theoretical insights from behavioral economics (Thaler and Sunstein; Kahneman) with organizational learning theories (Argyris and Schön). It discusses real-world nudging applications, like Google's health initiatives, and examines the ethical aspects of workplace nudging. Findings Nudging effectively influences organizational decisions and strategies by targeting rapid cognitive processes. It finds application in training, performance management, and decision-making, with a critical focus on ethical implications, especially regarding autonomy and non-manipulation. Research limitations/implications This study highlights the potential of behavioral economics in reshaping organizational learning, emphasizing the importance of ethical application in developing adaptive, learning-focused organizational cultures. Originality/value Nudging offers a promising method for enhancing organizational learning. Applied ethically, it can improve workforce engagement, performance, and adaptability. Future research should focus on nudging's long-term organizational impacts and ethical boundaries.