Assessing the impact of big data analytics capability on radical innovation: is business intelligence always a path?

Abstract

Purpose This study examines the mediating roles of the three dimensions of business intelligence (sensing capability, transforming capability and driving capability) in the relationship between the three dimensions of big data analytics capability (big data analytics management, technology and talent capabilities), and radical innovation among Chinese manufacturing enterprises. Design/methodology/approach A theoretical framework was developed using the resource-based view. The hypothesis was tested using empirical survey data from 326 Chinese manufacturing enterprises. Findings Empirical results show that, in the Chinese manufacturing context, business intelligence sensing capability, business intelligence transforming capability and business intelligence driving capability positively mediate the impact of big data analytics capability on radical innovation. Practical implications The results offer managerial guidance for leaders to properly use big data analytics capability, business intelligence and radical innovation as well as offering theoretical insight for future research in the manufacturing industry’s radical innovation. Originality/value This is among the first studies to examine three dimensions of big data analytics capability on the manufacturing industry’s radical innovation by considering the mediating role of three dimensions of business intelligence.

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