The Role of Business Intelligence Systems in Decision Making among Medium-Sized Enterprises - 4400 Words

The Role of Business Intelligence Systems in Decision Making among Medium-Sized Enterprises (Research Proposal Sample) Content: The Role of Business Intelligence Systems in Decision Making among Medium-Sized Enterprises Author Institution Abstract Focus on the use of business intelligence systems to facilitate efficient decisions has been based on improving the organizationà ¢Ã¢â€š ¬Ã¢â€ž ¢s competitive advantage in comparison with other firms. This is in light of the business dynamics caused by rapidly changing business cycles. This has therefore called for techniques that enhance certainty and quality in decision outcomes. However, addressing sustainability of competitiveness through effective decision making in medium sized organizations has attained limited focus. This study therefore seeks to investigate the role of business intelligence systems on decision making with a focus on medium sized firms. This study will adopt a quantitative study design. A cross-sectional survey will be used to collect data through questionnaires on the role of business intelligence systems on decision making among medium-sized enterprises. The questionnaire will be mailed via post and email to a comprehensive sample of the enterprises with a n expected response rate of 30%. The findings of this study will generate valuable information that will inform organization on the benefits of the use of business intelligence systems in informing decision making. This will help organizations that have not yet implemented this systems to understand how they can benefit from it. It will also generate valuable knowledge on business intelligence systems and decision making, among medium-sized enterprises in particular, that will add to the already existing knowledge. Table of Contents TOC \o "1-3" \h \z \u Abstract PAGEREF _Toc449370036 \h 21.0Introduction PAGEREF _Toc449370037 \h 41.1Problem of Practice PAGEREF _Toc449370038 \h 41.2Purpose of the Study PAGEREF _Toc449370039 \h 61.3Research Questions PAGEREF _Toc449370040 \h 62.0Summary of Prior Research PAGEREF _Toc449370041 \h 72.1Introduction PAGEREF _Toc449370042 \h 72.2Components of Business Intelligence PAGEREF _Toc449370043 \h 72.3Benefits of Business Intelligence to the Decision Making Process PAGEREF _Toc449370044 \h 82.4Challenges of Decision Making Process Associated With Business Intelligence PAGEREF _Toc449370045 \h 113.0Research Design PAGEREF _Toc449370046 \h 123.1Research Design PAGEREF _Toc449370047 \h 123.2Variables PAGEREF _Toc449370048 \h 133.3Hypotheses PAGEREF _Toc449370049 \h 143.4Population PAGEREF _Toc449370050 \h 153.5Sampling PAGEREF _Toc449370051 \h 153.6Data Collection PAGEREF _Toc449370052 \h 164.0Data Analysis PAGEREF _Toc449370053 \h 174.1Reliability and Validity P AGEREF _Toc449370054 \h 174.2Data Analysis PAGEREF _Toc449370055 \h 175.0Limitations and Conclusion PAGEREF _Toc449370056 \h 195.1Limitations PAGEREF _Toc449370057 \h 195.2Conclusion PAGEREF _Toc449370058 \h 19References PAGEREF _Toc449370059 \h 21 The Role of Business Intelligence Systems in Decision Making among Medium-Sized 1.0 Introduction 1.1 Problem of Practice In the modern, competitive business environment, information plays a significant purpose in any organization. This has made information management to attract discussions in different quotas within the business literature (Kahraman, Kaya Cevikcan, 2011). Organizations have therefore been keen on evaluating and monitoring the efficiency of information management with the aim of attaining an edge over other firms (Boulesnane Bouzidi, 2013). With reference to a firm, many pieces of information flow both vertically and horizontally. Some part of that information may originate internally while some emanate from external sources. There is a need therefore to capture and control these kinds of information for the benefit of the firm (Harrison, Parker, Brosas, Chiong Tian, 2015). Various studies have been conducted with the aim of responding to the needs of the dynamic business environment. With reference to BI area of study, studies have responded to the need for having efficient business intelligence systems that aid managers in decision making in todayà ¢Ã¢â€š ¬Ã¢â€ž ¢s organizations (Aruldoss, Travis Venkatesan, 2014; Adidam, Banerjee Shukla, 2012). In order to attain a competitive advantage by firms over the others, high levels of investments have been channeled towards facilitating the adoption of business intelligence (BI) to organize bulky data or information in a manner that is simplified to assist BI users such as managers in improving decision making. "The product is information that will help firms to predict the behavior of their "customers, suppliers, competitors, products and services, markets, and the general business environment" with a degree of certainty" (Arefin, Bao Hoque, 2015, p. 264). Decision-making in this case involves the logic al process of selecting one or more satisfactory options from a pool of alternatives (Adidam, Banerjee Shukla, 2012). Consequently, in order to maximize its capabilities some organizations have adopted an integrated use of the BI systems together with other techniques such as Enterprise Resource Planning (ERP), Customer Relations Management (CRM), and Service Oriented Architecture (SOA) (Rouhani, Ashrafi, Ravasan Afshari, 2016; Aruldoss, Travis Venkatesan, 2014). "Because BI improves the quality of the information available to an organization, itcan be attributed with creating high-performance organizations through the minimaleffort required to obtain relevant, intelligent and targeted information and knowledge" (Harrison, Parker, Brosas, Chiong Tian, 2015, p. 248). Most organizations utilize business intelligence capabilities to achieve high performance in several functions such as finance, marketing, operations, and human resources. Managers performing these functions are considered as the decision makers who need to be equipped with summarized, quality and timely information to aid them in both strategic and tactical decisions (Boulesnane Bouzidi, 2013; Arefin, Bao Hoque, 2015). In a broader perspective, BI capabilities are perceived to offer support to the decision-making process of organizations. According to research, BI has been adopted by many firms and is currently a top priority for business executives (Boyton, Ayscough, Kaveri Chiong, 2015; Harrison, Parker, Brosas, Chiong Tian, 2015). Focus on the use of business intelligence to facilitate efficient decisions has been based on improving the organizationsà ¢Ã¢â€š ¬Ã¢â€ž ¢ competitive advantage in comparison with other firms. This is in light of the business dynamics caused by the rapidly changing business cycles. This, therefore, calls for quality and certainty in decision outcomes (Adidam, Banerjee Shukla, 2012). Various studies have focused on addressing the decision support benefits of BI systems while others have focused on investigating impacts of BI systems in large organizations (Rouhani, Ashrafi, Ravasan Afshari, 2016; Arefin, Bao Hoque, 2015). However, addressing sustainability of competitiveness through effective decision making in medium sized organizations has attained limited focus. This study, therefore, seeks to investigate the role of business intelligence on decision making with the focus shifting to medium sized firms. Four hundred and eighty firms will be used for this investigation. With continued uncertainty and ineffectiveness in decisions, firms are prone to suffer greatly from the effects of the business cycle. Firms will be exposed to the effects of low-quality decisions that may lead to poor financial performance (Adidam, Banerjee Shukla, 2012). In this case, the important role of BI systems will not be in play hence managers and executives will be subjected to untimely, bulk, and irrelevant information. This will make it difficult to make quality and timely decisions that would capture the emerging market opportunities. Managers may end up investing in projects that do not add any value to the firm as a result of using low quality and out of date information (Isik, Jones Sidorova, 2013; Boulesnane Bouzidi, 2013). This study will therefore be important in contributing to the body of research by providing an understanding of the role of BI systems in decision making with focus placed on medium sized firms. The study will also aid business executives and policy makers of different organizations to enhance the sustainability of competitive advantage attained through improved certainty and effectiveness of decisions. 1.2 Purpose of the Study The aim of this study is to investigate the role of business intelligence systems on decision making among medium-sized enterprises. 1.3 Research Questions i. What is the role of business intelligence systems in the decision-making process among medium-sized enterprises? ii. What components of business intelligence are adopted by medium-sized firms? iii. How does the decision-making process of medium-sized firms benefit from business intelligence systems? iv. What challenges are experienced by medium-sized firms as a result of implementing business intelligence systems? 2.0 Summary of Prior Research 2.1 Introduction Several aspects of technology have also been invented to aid firms in decision making (Boulesnane Bouzidi, 2013; Harrison, Parker, Brosas, Chiong Tian, 2015). This research therefore seeks to investigate the role of business intelligence in the decision-making process among medium-sized firms. The review of previous studies will focus on the components of business intelligence, benefits of business intelligence systems to decision-making process associated with business intelligence and the possible challenges associated with business intelligence (BI) in facilitating effective decisions within the o...