Article Co-authored by SDEIS Professor Gabriele Piccoli Accepted by MIT Sloan Management Review
October 8, 2020
BATON ROUGE- Stephenson Department of Entrepreneurship and Information Systems professor Gabriele Piccoli, who holds the Edward G. Schlieder Endowed Chair of Information Sciences, recently co-authored an article accepted for publication by MIT Sloan Management Review.
“Actioned Analytics Pave the Way to New Customer Value,” was co-authored by Piccoli and Barbara Wixom, who is a principal research scientist at the MIT Center for Information Systems Research in Cambridge, Massachusetts.
The typical modern company is swimming in data. Whether in the form of inventory flows,
manufacturing decisions, customer inquiries, or app and website clicks, there are
vast quantities of data created and consumed every day. Yet managers continue to find
it challenging to use this data to create new value for customers. The authors blame
this data paradox on the classic data-insight-action framework. The familiar process
lulls managers into thinking that producing “valuable” data or surfacing insights
for their customers is enough. This encourages passivity, and companies become much
too trusting that customers will use and act upon the information provided. As a result,
companies deploy analytics-based features and experiences that customers do not use.
And, because there is no action, there also is no value creation, and certainly no
value capture, by the company.
Research in this study indicates that analytics-based experiences and product features for customers pay off only when combined with aggressive tactics that all but guarantee that customer value materializes. Companies that do this well rely less on a sequential data-insight-action process and focus instead on interweaving insights and action activities to deliver actioned analytics to their customers.
MIT Sloan Management Review (MIT SMR) shares with its readers an excitement and curiosity about how the practice of management is transforming in the digital age. Its expert contributors help leaders explore the trends that are shaping how organizations operate, compete, and create value in a technology-fueled world. It delivers the kind of evidence-based analysis and practical insight that will inspire leaders to do great work. Content is distributed on the web, in print, in audio podcast, and in apps, as well as via licensees and libraries around the world.
About the Stephenson Department of Entrepreneurship and Information Systems
The Stephenson Department of Entrepreneurship and Information Systems at LSU’s E. J. Ourso College of Business combines teaching and research to create a rich learning experience for its students. Relationships with industry and state agencies enable the department to assist organizations with issues related to entrepreneurship, information systems, analytics and business intelligence, as well as innovation and technological change, and offer enhanced career opportunities for its graduates. Collaborative research efforts of its diverse faculty have resulted in major grants from the National Science Foundation and the state of Louisiana. For more information, visit lsu.edu/business/sdeis.
E. J. Ourso College of Business