In the past few years, the business management literature has seen an exponential rise in articles on the concept of the Learning Organization. This organizational form is said to encourage innovation and creativity, improve adaptation and capacity for change, and enhance the commitment of staff. The model has been applied in a Child and Adolescent Mental-Health Service with some promising indications that it does indeed support experimentation, eclecticism and openness to change. This article provides an introduction to recent management literature on organizational design, and outlines some of the theory and practice of building structures and cultures which support ongoing evaluation and continuous quality improvement.