Technology Adoption: Organizational Learning What makes technology adoption in some companies a successful process, while others face difficulties? Based on a retrospective case study, this article compares the process of adopting horizontal drilling technology in two large Canadian oil companies; one is more successful and the other is less successful in adopting technology. Adoption is seen as an organizational learning process that proceeds in a feedback loop from observation, interpretation, integration to action. The two companies differed both in these processes and in the factors that facilitated or hindered them: capabilities, resources, motivation, commitment, shared values, incentives and external triggers. Implications for researchers and managers are discussed. Technology adoption processes, organizational learning Introduction Firms adopt new technologies - a form of innovation (Angle and Van de Ven 1989) - to remain competitive (Morone 1993), or to "strategically renew themselves" (Crossan et al. 1999). However, some companies appear to be successfully managing technology adoption, while others struggle and even give up. Why this is so was the initial puzzle that gave rise to the study reported here. The study identified technology adoption in two companies as essentially an organizational learning process. The success of technology adoption therefore depends on the company's ability to learn. In other words, to explain success in technology adoption, it is necessary to understand the sources of learning. The explanation is elaborated in a framework that focuses on both sources of learning and learning processes (Dodgson 1993). The focus on learning processes in this paper is an important extension of technology adoption...... middle of paper ......989 "Innovation and learning: the two faces of research and development". Economic Journal 99: 569-590. Cooper, Robert B. and Robert W. Smud, 1990 "Absorptive Capacity: A New Perspective on Learning and Innovation." Administrative Science Quarterly 35: 128-152. 1990 "Information Technology Implementation Research: A Technology Diffusion Approach." Management Science 36/2: 123-139. Corsini, Raymond J., 1987 Concise Encyclopedia of Psychology. New York: Wiley. Crossan, Mary M., Henry W. Lane, and Roderick E. White, 1999 “An Organizational Learning Framework: From Intuition to Institution.” Academy of Management Review 24/3: 522-537. Cyert, Richard M. and James G. March, 1963 A Behavioral Theory of the Firm. Englewood Cliffs, NJ: Prentice Hall. Daft, Richard L. and Karl E. Weick, 1984 “Toward a Model of Organizations as Interpretation Systems.” Management audit academy 9: 284-295.