How big data alters value creation: through the lens of big data competency

Abstract

PurposeAs various different and even contradictory concepts are proposed to depict a firm's capabilities related to big data, and extant relevant research is fragmented and scattered in several disciplines, there is currently a lack of holistic and comprehensive understanding of how big data alters value creation by facilitating firm capabilities. To narrow this gap, this study aims to synthesize current knowledge on the firm capabilities and transformation of value creation facilitated by big data.Design/methodology/approachThe authors adopt an inductive and rigorous approach to conduct a systematic review of 185 works, following the “Grounded Theory Literature-Review Method”.FindingsThe authors introduce and develop the concept of big data competency, present an inductive framework to open the black box of big data competency following the logic of virtual value chain, provide a structure of big data competency that consists of two dimensions, namely, big data capitalization and big data exploitation, and further explain the evolution of value creation structure from value chain to value network by connecting the attributes of big data competency (i.e. connectivity and complementarity) with the transformation of value creation (i.e. optimizing and pioneering).Originality/valueThe big data competency, an inclusive concept of firm capabilities to deal with big data, is proposed. Based on this concept, the authors highlight the significant contributions that extant research has made toward our understanding of how big data alters value creation by facilitating firm capabilities. Besides, the authors provide a future research agenda that academics can rely on to study the strategic management of big data.

Dissecting the compensation conundrum: a machine learning-based prognostication of key determinants in a complex labor market

“…Thirdly, the model's objective criteria for forecasting remuneration could have a discernible impact on workforce diversity, particularly regarding gender and race, by mitigating the likelihood of bias or discrimination in pay decisions. Fourthly, the precise anticipation of compensation can amplify employee motivation and well-being by inculcating a sense of impartiality and acknowledgment of their contributions, ultimately engendering greater job satisfaction and well-being overall (Wu et al ., 2022a, b). Lastly, this study's revelations may have wider-ranging societal implications, particularly regarding the premium on education, training, and experience.…”

“…By encompassing multiple theoretical perspectives into the model, it can leverage big data to provide a more all-inclusive and holistic understanding of compensation and its interrelation with other organizational factors (Behl, 2022). Third, this model advances the development of data-driven management theory by demonstrating how data can align compensation with organizational goals and objectives (Wu et al, 2022b). By furnishing a framework for implementing a performance-based compensation system, the model can incite employees to contribute to fulfilling the firm's strategic objectives.…”

“…Additionally, this study illuminates the path toward SDG8 (Decent Work and Economic Growth) by endowing organizations with the essential tools and techniques to make evidence-based decisions concerning compensation packages. Such measures will invariably lead to a more efficient allocation of resources, heightened employee satisfaction and overall prosperity for the economy (Wu et al ., 2022a, b). Moreover, this study aligns itself seamlessly with SDG4 (Quality Education) by showcasing the skills that hold the most significant value in the labor market.…”

Platform Matters: How Can Virtual Knowledge Communities Achieve Value Co-Creation Among Users in the Sharing Economy?

“…The new value chain is, in fact, a network of all virtual companies, which often changes shape depending on the environment. Following Porter's value chain model, some researchers proposed a value chain relationship between data, information and knowledge and built a knowledge value chain model consisting of a knowledge management foundation and knowledge process management [13]. Combining the characteristics of virtual knowledge communities, we construct a knowledge value chain model for virtual knowledge communities from four aspects: knowledge identification, knowledge acquisition, knowledge interaction and knowledge externalization.…”

Big Data Capability and Sustainable Competitive Advantage: The Mediating Role of Ambidextrous Innovation Strategy

“…The growing application of big data notwithstanding, it is hugely important for a firm to understand how to utilize big data to transform its outdated value creation, as this will provide competitive advantages in the new economy [2]. Of the organizational capabilities, big data capability (BDC) has become key to accumulating the power of data and capitalizing on its value in order to create competitive advantages for businesses (see Appendix A for a check list of abbreviations).…”