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Management challenges in creating value from business analytics

Vidgen, Richard; Shaw, Sarah Louise; Grant, David B.


Richard Vidgen

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Dr Sarah Shaw
Reader in Logistics and Supply Chain Management

David B. Grant


The popularity of big data and business analytics has increased tremendously in the last decade and a key challenge for organizations is in understanding how to leverage them to create business value. However, while the literature acknowledges the importance of these topics little work has addressed them from the organization's point of view. This paper investigates the challenges faced by organizational managers seeking to become more data and information-driven in order to create value. Empirical research comprised a mixed methods approach using (1) a Delphi study with practitioners through various forums and (2) interviews with business analytics managers in three case organizations. The case studies reinforced the Delphi findings and highlighted several challenge focal areas: organizations need a clear data and analytics strategy, the right people to effect a data-driven cultural change, and to consider data and information ethics when using data for competitive advantage. Further, becoming data-driven is not merely a technical issue and demands that organizations firstly organize their business analytics departments to comprise business analysts, data scientists, and IT personnel, and secondly align that business analytics capability with their business strategy in order to tackle the analytics challenge in a systemic and joined-up way. As a result, this paper presents a business analytics ecosystem for organizations that contributes to the body of scholarly knowledge by identifying key business areas and functions to address to achieve this transformation.


Vidgen, R., Shaw, S. L., & Grant, D. B. (2017). Management challenges in creating value from business analytics. European journal of operational research, 261(2), 626-639.

Journal Article Type Article
Acceptance Date Feb 16, 2017
Online Publication Date Feb 24, 2017
Publication Date Sep 1, 2017
Deposit Date Feb 28, 2017
Publicly Available Date Feb 25, 2019
Journal European journal of operational research
Print ISSN 0377-2217
Publisher Elsevier
Peer Reviewed Peer Reviewed
Volume 261
Issue 2
Pages 626-639
Keywords Analytics; Delphi; Management challenges; Value creation; Ecosystem
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Additional Information This is the accepted manuscript of an article published in European journal of operational research, 2017. The version of record is available at the DOI link in this record.
Contract Date Feb 28, 2017


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