Effects of Big Data Analytics on Firm Innovativeness: The Role of a Data‐Driven Culture

ABSTRACT How can companies reap innovation benefits from big data? To shed more light on this question, this study investigates empirically the relationship between big data variety, adoption of big data analytics technologies, and firm innovativeness. The paper hypothesizes that firms need a suitable organizational cultural orientation to reap the benefits of big data variety and related analytics technologies. Therefore, a firm's data‐driven culture is hypothesized as a moderating variable between big data variety, adoption of big data analytics technologies, and firm innovativeness. Based on a multi‐industry survey, the results show that the adoption of big data analytics technologies directly influences firm innovativeness, whereas the relationship between big data variety and firm innovativeness is positively moderated by the firm's data‐driven culture. Furthermore, a data‐driven culture is positively associated with firm innovativeness.