Business intelligence competence, agile capabilities, and agile performance in supply chain

Abstract

Purpose– The purpose of this paper is to study the role of business intelligence (BI) in achieving agility in supply chain context by examining the relationship between BI competence, agile capabilities, and agile performance of the supply chain.Design/methodology/approach– A theoretical framework is developed drawing on the resource-based view, the dynamic capabilities perspective, and the competence-capability relationship paradigm, as well as an extensive review of the literature. Structural equation modeling is employed to analyze the data collected from Iranian manufacturers in the automotive industry.Findings– The empirical results support the conceptualization of supply chain BI competence as a multi-dimensional construct comprising managerial, technical, and cultural competence, and confirm that it is a key enabler of supply chain agility in terms of both agile capabilities and agile performance. The results also provide support for partial mediation of agile capabilities on the relationship between BI competence and agile performance of the supply chain.Originality/value– This paper provides a response to the identified need for empirical evidence on the benefits derived from BI, especially in the supply chain context. It also contributes to the existing supply chain agility literature by providing insight into the value and role of BI in enhancing agile capabilities and performance in the inter-organizational supply chain.