From Data to Value: How BI is used in an organization that has successfully implemented BI

Abstract

Title: From Data to Value: How BI is used in an organization that has successfully implemented BI. Background and problematization: Due to the growing interest in innovation and technological development, the demand for information technology is increasing. ERP systems, in particular, have the potential to integrate BI functions, which contribute to analytical solutions and enhanced data processing capabilities that support knowledge development in the decision-making process. However, the majority of organizations continuously struggle to find effective ways to leverage BI systems to ensure successful usage. Purpose: This thesis aims to explore the effects of BI usage in management accounting practices and decision-making. Research question: “How is BI used in an organization that has successfully implemented BI?” Methodology: This study follows a qualitative, interview-based case study approach, in which nine semi-structured interviews were conducted across four different companies. The Gioia methodology was employed, using the Knowledge-Based View as the analytical lens. Conclusion: The study concludes three major findings. Firstly, a BI solution is a method to support management accountants in their daily tasks and develop their analytical capability and decision-making. The findings highlight the importance of a nuanced, context-specific approach when applying BI. The research also reveals that BI should not be seen as a universal solution but as one of many tools that, when integrated with the right resources and knowledge, can enhance decision-making and efficiency. Secondly, the study identified the crucial role of top management when utilizing BI. Top management contributes with both technical expertise and a holistic view of the organization to ensure central control and support management accountants in maximizing system benefits. Thirdly, the study emphasizes the importance of a strong initial strategy to outline expectations, and areas of application to ensure BI supports existing workflows and data environments. The study also contributes to the theory of KBV by finding that BI supports management accountants in knowledge creation, more specifically strategic decision-making. Additionally, similar to previous research the study identified all four attributes for sustained competitive advantage which suggest that BI enhances competitiveness and brings significant value. Lastly, the study contributes to the practical field by requesting further seminars, and forums to discuss examples for how to utilize BI solutions.