Organizational learning (OL)The literature reveals that OL improves development by introducing new expertise, results or commercialism. Nonaka and Takuchi (1995) argued that learning is vital for product innovation, meaning that it is not only limited to the acquisition and retention of knowledge, but is used to obtain the required results. The knowledge-driven view of organizations maintains that knowledge and learning capability influence organizational performance and also direct the firm toward achieving sustainable and continuous competitive advantage (Zhang, 2008). Over the past thirty years, extensive research has been conducted on OL and has contributed much to organizational development and change management, but there is still little agreement on what is meant by the term OL and its nature. (Crossan, Lane and White, RE, 1999; Huber, 1999 and Kim, 1993). The reason for this problem is that OL has been studied by many disciplines and perspectives (Lopez et al, 2006). According to (Argyris, 1995) “Learning occurs whenever errors are detected and corrected or when a correspondence between intentions and consequences is produced for the first time. » (p.20). According to Huber (1991), when knowledge is acquired, information is disseminated, properly analyzed and recalled, organizational learning eventually takes place. He further assumed that learning occurs in the organization if any of its units acquires information useful to the organization. This is also supported by DeNisi and Griffin (2008) that “OL is the process by which the organization “learns” from past mistakes and adapts to its environment. » From these definitions, we conclude that OL is a process by which the organization acquires knowledge. and removes the problem and adapts...... middle of paper ...... apply the knowledge, then the LO will be damaged, so organizations should have such compensation systems which motivate the employee to acquire, share and apply knowledge in the organization (Wong, 2005). The results of the study conducted by Dechawatanapaisal (2005) demonstrated that pay for performance and recognition are the factors contributing to organizational learning. In particular, recognition that is easy to implement and does not require significant investment can improve employee morale and support their learning. Khandekar and Sharma (2006) pointed out that an improved reward system plays an important role in enhancing the learning capabilities of the organization, leading us to propose that the selective pay and reward system that creates an powerful motivation for employees to obtain, apply and share knowledge has a positive impact on OL.