Business value of cognitive analytics technology: a dynamic capabilities perspective

Purpose Novel and emerging technologies such as cognitive analytics attract a lot of hype among academic researchers and practitioners. However, returns on investments in these technologies are often poor. So, identifying mechanisms through which cognitive analytics can add value to firms is a critical research gap. The purpose of this paper is to theorize how cognitive analytics technologies can enable the dynamic capabilities of sensing, seizing and reconfiguring for an organization. Design/methodology/approach This conceptual paper draws on the extant academic literature on cognitive analytics and related technologies, the business value of analytics and artificial intelligence and the dynamic capabilities perspective, to establish the role of cognitive analytics technologies in enabling the sensing, seizing and reconfiguring capabilities of an organization. Findings Through arguments grounded in existing conceptual and empirical academic literature, this paper develops propositions and a theoretical framework linking cognitive analytics technologies with organizations’ dynamic capabilities (sensing, seizing and reconfiguring). Research limitations/implications This paper has critical implications for both academic research and managerial practice. First, the authors develop a framework using the dynamic capabilities theoretical perspective to establish a novel pathway for the business value of cognitive analytics technology. Second, cognitive analytics is proposed as a novel antecedent of the dynamic organizational capabilities of sensing, seizing and reconfiguring. Originality/value To the best of the authors’ knowledge, this is the first paper to theorize how cognitive analytics technologies can enable dynamic organizational capabilities, and thus add business value to an organization.

Entrepreneurial ecosystems during COVID-19: the survival of small businesses using dynamic capabilities

PurposeThe world is going through a global crisis after the outbreak of coronavirus (COVID-19) in most areas of the world. Businesses particularly small ones do not work in isolation but instead are embedded in an entrepreneurial ecosystem that is dependent on environmental conditions. The disruptive changes from COVID-19 have caused serious damage to the global economy, so it is up to entrepreneurs to bring equilibrium by introducing change. This paper adopts the lens of dynamic capabilities to study how small business entrepreneurs are trying to survive and grow in an entrepreneurial ecosystem affected by coronavirus.Design/methodology/approachUsing qualitative research methods, 20 Pakistani entrepreneurs have been interviewed in order to assess how the entrepreneurial ecosystem in an emerging economy has been affected by COVID-19. This enables a contemporary and realistic understanding about the way small business entrepreneurs have adjusted to a crisis.FindingsFrom the data analysis, the three main dimensions of dynamic capabilities for small business entrepreneurs emerge, which involve a sensing, seizing and transforming capability.Research limitations/implicationsThe findings suggest that small businesses utilise the following strategies to cope with change: emergent humanitarian crisis, carte blanche agile business models and effectual business functions. These findings contribute to the literature about the challenges of current crises and how businesses can cope in this situation using a dynamic capabilities perspective.Practical implicationsThe findings contribute to the ability of small businesses to cope during the current pandemic situations and anticipate how to manage future crises. Furthermore, the entrepreneurial practices exercised by small businesses are also presented that represent an innovative way to understand crisis management techniques by entrepreneurs in emerging economies.Social implicationsThese findings contribute to the literature about the challenges of current crises and how businesses can cope in this situation using a dynamic capabilities perspective.Originality/valueBy drawing on the existing literature of COVID-19's impact on businesses, the theoretical contribution of this paper highlights the applicability of dynamic capabilities on small businesses to survive during the global crisis.