Abstract
Business intelligence (BI) systems has been widely publicised as providing immense benefits to organisations that have implemented it. Yet, very few studies have empirically evaluated these assertions theoretically. The main aim of this study is to empirically evaluate the impacts of adopting BI systems on organisational performance of banks. A conceptual model was developed using the balanced scorecard. Data were collected through hand-administered survey questionnaires from the universal banks in Ghana where 130 samples from executives were analysed through partial least squares structural equation modelling (PLS-SEM). The results indicate that BI Systems indeed have a positive significant effect on the learning and growth, internal process and customer performances of the banks. However, the findings proved that the adoption of BI systems does not directly lead to the financial performance of the banks, but rather through the indirect effects of learning and growth, internal process and customer performances thus confirming the core premise of the balanced scorecard. A major practical implication from the study is that vendors can capitalise on the findings to promote their BI products.
Highlights
The use of business intelligence (BI) systems to provide support for the achievement of a firm’s strategic business goals, business process reengineering, provision of higher quality of information and eventually better support for decision-making (Watson & Wixom, 2007) has made it a very popular technology recently for both researchers and practitioners (Olszak & Ziemba, 2012)
The findings revealed that the adoption of BI systems impacted positively on Ghanaian Banks’ learning and growth, internal business process and customer performances
The findings revealed that, BI systems adoption impacted the organisational performance of Ghanaian banks positively as the four dimensions of the balanced scorecard (BSC), i.e. learning and growth, internal business process, customer and finance were all found to be significant with BI Systems adoption
Summary
The use of business intelligence (BI) systems to provide support for the achievement of a firm’s strategic business goals, business process reengineering, provision of higher quality of information and eventually better support for decision-making (Watson & Wixom, 2007) has made it a very popular technology recently for both researchers and practitioners (Olszak & Ziemba, 2012). Various components of BI Systems are used by employees in various positions to access the firm’s data, work with the data and analyse it for managing the operations of the firm. This helps to improve the firms operations efficiently. Gartner (2017) reported that the “global revenue in the business intelligence (BI) and analytics software market is forecasted to reach $18.3 billion in 2017” which is “an increase of 7.3% from 2016”, based on the latest forecast from Gartner, Inc. As BI is still evolving and new tools are always emerging, many organisations keep upgrading and spending heavily to improve their systems. The modern BI and analytics platform were developed recently in order “to meet new organisational requirements for accessibility, agility and deeper analytical insight, shifting the market from IT-led, system-of-record reporting to business-led, agile analytics including self-service” (Gartner, 2017)
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
