How business intelligence capability impacts decision-making speed, comprehensiveness, and firm performance

Abstract

Scholars and practitioners have trumpeted business intelligence (BI) capability as a game-changer due to its significant impact on firm performance. Despite these claims, the amplifying and underlying mechanisms governing the relationship between BI capability and organizational performance are still in their infancy. This research examines the nexus between BI capability, decision-making speed, comprehensiveness, and organizational performance. This study, drawing on knowledge-based theory, proposes a conceptual model to explain how BI capability influences organizational performance through decision-making speed and comprehensiveness and the moderating role of firm size. The proposed moderated-mediated model was tested using survey data from 236 respondents occupying leadership positions in various Jordanian industries. Partial least squares structural equation modeling (PLS-SEM) was used to diagnose the proposed model. BI capability indirectly affects firm performance through decision-making speed and comprehensiveness. These mediating effects do not vary by company size. This paper contributed theoretically and practically to the BI framework considering decision-making, firm performance, and firm size. Implications for theory-building and practice are described.

Effect of business intelligence on operational performance: the mediating role of supply chain ambidexterity

“…Drawing from the conclusions of previous studies (Popovi c et al, 2018;Torres et al, 2018;Bo zi c and Dimovski, 2019;Chen and Lin, 2021;Alzghoul et al, 2022) which found a positive significant relationship between BI and firm performance, we expect that BI in SMEs will improve OP. From the above discussion, the first hypothesis has been made.…”

“…Despite the relevance of BI to firms' success, it is still unclear how BI may drive operational performance (OP) among SMEs in emerging economies like Ghana. Amineh et al (2021) also stressed that literature on the implications of BI on SMEs performance is scarce. The few works of literature also produce mixed outcomes on the association between BI and firm performance (Dykes et al, 2019;Shepherd et al, 2020;Amineh et al, 2021).…”

“…Amineh et al (2021) also stressed that literature on the implications of BI on SMEs performance is scarce. The few works of literature also produce mixed outcomes on the association between BI and firm performance (Dykes et al, 2019;Shepherd et al, 2020;Amineh et al, 2021). Apart from the inconsistency in the association of BI and OP, past studies have certain drawbacks.…”

“…Despite the relevance of BI to firms' success, it is still unclear how BI may drive operational performance (OP) among SMEs in emerging economies like Ghana. Amineh et al . (2021) also stressed that literature on the implications of BI on SMEs performance is scarce.…”

How Spiritual Leadership Influences Creative Behaviors: the Mediating Role of Workplace Climate

“…To do this, they must perform at a high level Alzghoul et al, 2022). The ability of the organization to innovate and be creative is reflected in the caliber of the service or product provided (Giannopoulou et al, 2014).…”