Firms’ operational and logistics characteristics and realisation of business analytics benefits: Evidence from stock markets

L. M.Daphne Yiu, Andy C.L. Yeung, Hugo K.S. Lam, T. C.E. Cheng

Research output: Journal article publicationJournal articleAcademic researchpeer-review

Abstract

The idea of ‘big data’ provides practitioners in the logistics industry with valuable opportunities to improve their operational efficiency and economic performance. In fact, business analytics techniques are increasingly being used in international logistics, shipping, and supply chain management. We examine the impact of business intelligence (BI) system adoption on firms’ market value and the influences of the operating characteristics and contexts of firms. Specifically, we examine whether the impacts of BI adoption are contingent on industry competitiveness, firms’ operating cycle, and industry munificence. Using the event study methodology, we analyse 272 manufacturing firms in the USA that adopted BI systems from 2005 to 2014. We find that BI adoption does not have an immediate impact on firms’ stock returns, but such impact is significantly enhanced for firms in highly competitive industries, and those with short operating cycles and high industry munificence, i.e., high-growth industries, suggesting that firms in fast-changing dynamic environments find BI systems much more useful.

Original languageEnglish
Pages (from-to)649-669
Number of pages21
JournalInternational Journal of Shipping and Transport Logistics
Volume13
Issue number6
DOIs
Publication statusPublished - Oct 2021

Keywords

  • Business intelligence systems
  • Industry competitiveness
  • Industry munificence
  • Operating cycle
  • Stock returns

ASJC Scopus subject areas

  • Business and International Management
  • Transportation
  • Management Science and Operations Research
  • Management of Technology and Innovation

Fingerprint

Dive into the research topics of 'Firms’ operational and logistics characteristics and realisation of business analytics benefits: Evidence from stock markets'. Together they form a unique fingerprint.

Cite this