In this paper discrete-time iterative learning control (ILC) systems are analysed from an algebraic point of view. The algebraic analysis shows that a linear-time invariant single-input-single'-output model can always represented equivalently as a static multivariable plant due to the finiteness of the time-axis. Furthermore, in this framework the ILC synthesis problem becomes a tracking problem of a multi-channel step-function. The internal model principle states that for asymptotic tracking (i.e. convergent learning) it is required that an ILC algorithm has to contain an integrator along the iteration axis, but at the same time the resulting closed-loop system should be stable. The question of stability can then be answered by analysing the closed-loop poles along the iteration axis using standard results from multivariable polynomial systems theory. This convergence theory suggests that time-varying ILC control laws should be typically used instead of time-invariant control laws in order to guarantee good transient tracking behaviour. Based on this suggestion a new adaptive ILC algorithm is derived, which results in monotonic convergence for an arbitrary linear discrete-time plant. This adaptive algorithm also has important implications in terms of future research work-as a concrete example it demonstrates that ILC algorithms containing adaptive and time-varying components can result in enhanced convergence properties when compared to fixed parameter ILC algorithms. Hence it can be expected that further research on adaptive learning mechanisms will provide a new useful source of high-performance ILC algorithms.