In continuously changing external environment the learning organization can provide a competitive advantage. However, the concept has been largely criticized for lack of conceptual clarity and operational imprecision. This has strongly undermined the possibility for development of learning organization models. The aim of this paper is to identify the generative mechanism of the learning organization by applying the pattern oriented modelling. This is achieved through development of learning organization conceptual model that contains learning as central domain supported by additional ten domains organized in four pillars: direction (vision and strategy), infrastructure (structure, technology and processes), informal (culture, power, politics) and change (leadership and change). Then by development of patterns for each domain of the model the Learning Levels and the relation " transcend and embed " were identified as a generative mechanisms of the learning organisation.