Skip to main content

Big Data is Power: Business Value from a Process Oriented Analytics Capability

  • Conference paper
  • First Online:
Business Information Systems Workshops (BIS 2018)

Part of the book series: Lecture Notes in Business Information Processing ((LNBIP,volume 339))

Included in the following conference series:

Abstract

Big data analytics (BDA) has the potential to provide firms with competitive benefits. Despite its massive potential, the conditions and required complementary resources and capabilities through which firms can gain business value, are by no means clear. Firms cannot ignore the influx of data, mostly unstructured, and will need to invest in BDA increasingly. By doing so, they will have to, e.g., necessitate new specialist competencies, privacy, and regulatory issues as well as other structural and cost considerations. Past research contributions argued for the development of idiosyncratic and difficult to imitate firm capabilities. This study builds upon resources synchronization theories and examines the process to obtain business value from BDA. In this study, we use data from 27 cases studies from different types of industries. Through the coding analyses of interview transcripts, we identify the contingent resources that drive, moderate and condition the value of a BDA capability throughout different phases of adoption. Our results contribute to a better understanding of the importance of BDA resources and the process and working mechanisms through which to leverage them toward business value. We conclude that our synthesized configurational model for BDA capabilities is a useful basis for future research.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Similar content being viewed by others

Notes

  1. 1.

    As no single person has all the required skills for BDA success, typical assessments should cover skill sets across teams, departments in order to identify possible skill gaps and development needs.

References

  1. Constantiou, I.D., Kallinikos, J.: New games, new rules: big data and the changing context of strategy. J. Inf. Technol. 30(1), 44–57 (2015)

    Article  Google Scholar 

  2. Goes, P.B.: Editor’s comments: big data and IS research. MIS Q. 38(3), p. iii-viii (2014)

    Google Scholar 

  3. Akter, S., et al.: How to improve firm performance using big data analytics capability and business strategy alignment? Int. J. Prod. Econ. 182, 113–131 (2016)

    Article  Google Scholar 

  4. Wamba, S.F., et al.: Big data analytics and firm performance: effects of dynamic capabilities. J. Bus. Res. 70, 356–365 (2017)

    Article  Google Scholar 

  5. McAfee, A., Brynjolfsson, E., Davenport, T.H.: Big data: the management revolution. Harvard Bus. Rev. 90(10), 60–68 (2012)

    Google Scholar 

  6. Van de Wetering, R., Mikalef, P., Pateli, A.: A strategic alignment model for IT flexibility and dynamic capabilities: toward an assessment tool. In: The Proceedings of the Twenty-Fifth European Conference on Information Systems (ECIS), Guimarães, Portugal (2017)

    Google Scholar 

  7. Mikalef, P., et al.: Big data analytics capabilities: a systematic literature review and research agenda. Inf. Syst. e-Bus. Manag. 16, 1–32 (2017)

    Google Scholar 

  8. Grover, V., et al.: Creating strategic business value from big data analytics: a research framework. J. Manag. Inf. Syst. 35(2), 388–423 (2018)

    Article  Google Scholar 

  9. Barney, J.: Firm resources and sustained competitive advantage. J. Manag. 17(1), 99–120 (1991)

    Google Scholar 

  10. Chamberlin, E.H.: Monopolistic or imperfect competition? Q. J. Econ. 51(4), 557–580 (1937)

    Article  Google Scholar 

  11. Makadok, R.: Toward a synthesis of the resource-based and dynamic-capability views of rent creation. Strateg. Manag. J. 22(5), 387–401 (2001)

    Article  Google Scholar 

  12. Amit, R., Schoemaker, P.J.: Strategic assets and organizational rent. Strateg. Manag. J. 14(1), 33–46 (1993)

    Article  Google Scholar 

  13. Pavlou, P.A., El Sawy, O.A.: From IT leveraging competence to competitive advantage in turbulent environments: the case of new product development. Inf. Syst. Res. 17(3), 198–227 (2006)

    Article  Google Scholar 

  14. Ravichandran, T., Lertwongsatien, C.: Effect of information systems resources and capabilities on firm performance: a resource-based perspective. J. Manag. Inf. Syst. 21(4), 237–276 (2005)

    Article  Google Scholar 

  15. Van de Wetering, R., Versendaal, J., Walraven, P.: Examining the relationship between a hospital’s IT infrastructure capability and digital capabilities: a resource-based perspective. In: The Proceedings of the Twenty-Fourth Americas Conference on Information Systems (AMCIS). AIS, New Orleans (2018)

    Google Scholar 

  16. Gantz, J., Reinsel, D.: The digital universe in 2020: big data, bigger digital shadows, and biggest growth in the far east. IDC iView: IDC Anal. Futur. 2012(2007), 1–16 (2012)

    Google Scholar 

  17. Davenport, T.H.: Competing on analytics. Harv. Bus. Rev. 84(1), 98 (2006)

    Google Scholar 

  18. Eisenhardt, K.M., Martin, J.A.: Dynamic capabilities: what are they? Strateg. Manag. J. 21(10–11), 1105–1121 (2000)

    Article  Google Scholar 

  19. Kamioka, T., Tapanainen, T.: Organizational use of big data and competitive advantage-exploration of antecedents. In: PACIS (2014)

    Google Scholar 

  20. Gupta, M., George, J.F.: Toward the development of a big data analytics capability. Inf. Manag. 53(8), 1049–1064 (2016)

    Article  Google Scholar 

  21. Eisenhardt, K.M., Graebner, M.E.: Theory building from cases: opportunities and challenges. Acad. Manag. J. 50(1), 25–32 (2007)

    Article  Google Scholar 

  22. Benbasat, I., Goldstein, D.K., Mead, M.: The case research strategy in studies of information systems. MIS Q. 11(3), 369–386 (1987)

    Article  Google Scholar 

  23. Battistella, C., et al.: Cultivating business model agility through focused capabilities: a multiple case study. J. Bus. Res. 73, 65–82 (2017)

    Article  Google Scholar 

  24. Erevelles, S., Fukawa, N., Swayne, L.: Big data consumer analytics and the transformation of marketing. J. Bus. Res. 69(2), 897–904 (2016)

    Article  Google Scholar 

  25. Janssen, M., van der Voort, H., Wahyudi, A.: Factors influencing big data decision-making quality. J. Bus. Res. 70, 338–345 (2017)

    Article  Google Scholar 

  26. Braganza, A., et al.: Resource management in big data initiatives: processes and dynamic capabilities. J. Bus. Res. 70, 328–337 (2017)

    Article  Google Scholar 

  27. Espinosa, J.A., Armour, F.: The big data analytics gold rush: a research framework for coordination and governance. In: 2016 49th Hawaii International Conference on System Sciences (HICSS). IEEE (2016)

    Google Scholar 

  28. Yin, R.K.: Case Study Research: Design and Methods. SAGE publications, Thousand Oaks (2013)

    Google Scholar 

  29. Miles, M.B., Huberman, A.M.: Qualitative Data Analysis: An Expanded Sourcebook, 2nd edn. SAGE Publications, Thousand Oaks (1994)

    Google Scholar 

  30. Boudreau, M.-C., Gefen, D., Straub, D.W.: Validation in information systems research: a state-of-the-art assessment. MIS Q. 25, 1–16 (2001)

    Article  Google Scholar 

  31. Mikalef, P., van de Wetering, R., Krogstie, J.: Big data enabled organizational transformation: the effect of inertia in adoption and diffusion. In: Abramowicz, W., Paschke, A. (eds.) BIS 2018. LNBIP, vol. 320, pp. 135–147. Springer, Cham (2018). https://doi.org/10.1007/978-3-319-93931-5_10

    Chapter  Google Scholar 

  32. Mikalef, P., et al.: Information governance in the big data era: aligning organizational capabilities. In: Proceedings of the 51st Hawaii International Conference on System Sciences (2018)

    Google Scholar 

  33. Fiss, P.C.: A set-theoretic approach to organizational configurations. Acad. Manag. Rev. 32(4), 1180–1198 (2007)

    Article  Google Scholar 

  34. Aral, S., Weill, P.: IT assets, organizational capabilities, and firm performance: how resource allocations and organizational differences explain performance variation. Organ. Sci. 18(5), 763–780 (2007)

    Article  Google Scholar 

  35. Van de Wetering, R., Mikalef, P., Helms, R.: Driving organizational sustainability-oriented innovation capabilities: a complex adaptive systems perspective. Curr. Opin. Environ. Sustain. 28, 71–79 (2017)

    Article  Google Scholar 

Download references

Acknowledgments

This project has received funding from the European Union’s Horizon 2020 research and innovation programme, under the Marie Sklodowska-Curie grant agreement No. 704110.

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Rogier van de Wetering .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

van de Wetering, R., Mikalef, P., Krogstie, J. (2019). Big Data is Power: Business Value from a Process Oriented Analytics Capability. In: Abramowicz, W., Paschke, A. (eds) Business Information Systems Workshops. BIS 2018. Lecture Notes in Business Information Processing, vol 339. Springer, Cham. https://doi.org/10.1007/978-3-030-04849-5_41

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-04849-5_41

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-04848-8

  • Online ISBN: 978-3-030-04849-5

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics