Performance measurement in data intensive organisations: resources and capabilities for decision-making process

Abstract

Many organisations are increasingly dealing with massive amounts of data to face new competitive challenges. However, even if powerful technologies support data collection and analysis, the lack of appropriate resources and capabilities for handling socio-technical systems often hinders effective decision-making. Hence, this study aims to investigate how performance measurement systems should develop and drive appropriate resources and capabilities to enable effective decision-making for creating a competitive advantage in data-intensive organisations. A case study approach was adopted with seven data-intensive organisations using one-to-one semi-structured interviews, personal observation, and secondary sources such as company documentation, meetings notes, reports, etc. The findings highlight the relevance of organisational structure and cross-functional communication to cultivate senior management commitment and drive to develop data capturing and analytical capabilities to support effective decision-making. The findings also suggest that to enable superior data capturing capability, organisations should leverage on a higher degree of automation, a higher degree of awareness on data value, and data variety for providing accurate and timely information as well as developing new business insights. Similarly, to enable superior data analytics capability, organisations should develop analytical skills, data visualisation, and data-driven culture to make effective decisions.

Keywords:

• Performance measurement
• decision-making
• organisational structure
• data capturing
• data analytics
• resources and capabilities
• competitive advantage

Disclosure statement

No potential conflict of interest was reported by the author(s).

Notes

1 Using data and analytics in decision making at various levels of organisations

Additional information

Notes on contributors

Sai S. Nudurupati

Prof. Sai S. Nudurupati gained his MSc & PhD from the University of Strathclyde, UK. He received an Outstanding Doctoral Award from EFMD and Emerald. Sai is currently leading research and development activity in the institute by increasing scholarly activity and outputs. Sai is currently working on one major research project worth £87K and completed several research projects worth of £370K. Prior to joining GITAM, Sai has worked for 11 years at Manchester Metropolitan University, Exeter University & Strathclyde University in various capacities. During this period, Sai has worked on various projects with clients including Pirelli Tyres Ltd., British Aerospace Systems, Mastclimbers, Allied Distillers Ltd., Daks Simpson, etc. Besides this, Sai has published over 28 papers in reputed international journals and magazines (listed on Australian Business Deans Council Journal list & Chartered Association of Business Schools Academic Journal Guide) and received two best paper awards from Emerald and Institute of Engineering Technology respectively. Sai is currently serving on a number of editorial boards of international journals. Prior to taking his academic roles, Sai spent 5 years in SGB, UK implementing continuous improvement projects and gained Lean Six Sigma Transactional Black Belt certification with the British Standards Institute.

Sofiane Tebboune

Dr. Sofiane Tebboune is a Senior Lecturer at the Manchester Metropolitan University Business School. He holds a Ph.D. in Information Systems from Brunel University. Sofiane’s research interests are in the area of information systems outsourcing, enterprise systems, and the strategic value of information technology. His work was published in various esteemed international conferences and journals.

Patrizia Garengo

Dr. Patrizia Garengo is Associate Professor of Performance Management and Business Management at the University of Padua and honorary research fellow at the Heriot Watt University, Edinburgh (UK). She carried out theoretical and empirical investigations on performance measurement in several European organizations, with particular attention to SME development. Patrizia’s research experience along with collaboration with industries, favour her academic contribution, in the field of technological innovation, performance measurement and managerial development. To date, she has published over 100 papers in international journals and conference proceedings and she received two best paper awards from Emerald.

Richard Daley

Richard Stewart Daley had a BA Economics and Business Management and a MSc Business Technology and Analytics. Formerly an Associate Lecturer in Business Intelligence and Business Analytics. Currently, Sales and Operations Analyst at De La Rue for Global Banknotes, Polymer, and Security Features.

Julie Hardman

Dr. Julie Hardman is an Interim Head of Department Economics, Policy and International Business at Manchester Metropolitan University Business School. Julie came to academia as an undergraduate student 21 years ago after a lengthy career in retail management with various retail organisations and has been a member of teaching staff for the last 13 years with a number of conference and journal articles published in that time. Julie gained her PhD 12 years ago from MMU in the area of evaluation of large scale HE system with a particular focus on Learning Analytics.