Business Intelligence and Analytics: A Capabilities Dynamization View

Business Intelligence and Analytics (BI&A) is an important topic of IS research with significant implications for practitioners. However, while substantial research exists related to BI&A, it often fails to bridge the gap between normative specifications on BI&A use and improved business outcomes such as the development of competitive advantage. Building on the dynamic capabilities perspective, this paper proposes BI&A as a mechanism for capability monitoring, and describes how it may enable capability dynamization. In light of this view, we highlight five core internal components of BI&A: (1) collection and management of capability practices data, (2) collection and management of environmental data, (3) analysis of environmental data and identification of discontinuities in the environment, (4) identification of capability maladjustments, and (5) producing a request for change. We then discuss the implications of the capability dynamization view on BI&A design, implementation, and management.