A Longitudinal Study of the Actual Value of Big Data and Analytics: The Role of Industry Environment

Document Type

Article

Publication Date

10-2021

Abstract

Despite the popularity of big data and analytics (BDA) in industry, research regarding the economic value of BDA is still at an early stage. Little attention has been paid to quantifying the longitudinal impact of organizational BDA implementation on firm performance. Grounded in organizational learning theory, this study empirically demonstrates the impact of BDA implementation on organizational performance and how industry environment characteristics moderate the BDA-performance relationships. Using secondary data regarding BDA implementation from 2010 to February 2020, we find that BDA implementation has a significant impact on two types of business value creation: operational efficiency and business growth. Furthermore, the impact of BDA on operational efficiency is amplified in less dynamic and complex environments, while the BDA-business growth relationship is more pronounced in more dynamic, complex, and munificent environments. Collectively, this study provides a theory-centric understanding of BDA's economic benefits. The findings offer insights to firms about what actual benefits BDA implementation may generate and how firms may align the use of BDA with the industry environments they are operating in.

Identifier

85109731190 (Scopus)

DOI

10.1016/j.ijinfomgt.2021.102389

Publisher

Elsevier Ltd.

ISSN

02684012

Publication Information

International Journal of Information Management

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