Data management efficiency: major opportunities for shared value innovation

Abstract

Purpose This paper aims to underscore major opportunities for shared value innovation based on data management efficiency, which has often been overlooked so far. By integrating prior research about digital transformation, shared value creation, entrepreneurial marketing and the innovation-based view of firm performance, it addresses a major gap in the literature. Design/methodology/approach The innovation-based arguments illustrate how efficient data management may lead to different types of innovation, which provide opportunities for growth and efficiency gains after the coronavirus pandemic. Findings Many companies’ digitalization programs have concentrated on strengthening the efficiency of current business processes. Thus, these initiatives have contributed to the efficiency of traditional analog activities by using data and smart algorithms. In contrast, the efficiency of the underlying data management was largely neglected, but the COVID-19 pandemic has highlighted its importance. To overcome the limited emphasis on sustainability and efficiency in the digital context, this paper focuses on data management efficiency. After detailing this concept, it is linked to the growing literature about creating shared value, and a process segmentation for implementing shared value innovations in the field of digital efficiency is developed. Originality/value The paper extends research into digital transformation by emphasizing that the distinction of effectiveness and efficiency is as relevant in the digital context as in the traditional analog environment. It further provides new insights into creating shared value because it increases the awareness of researchers and managers to consider data management efficiency as a basis for shared value innovation with positive effects on the triple bottom line. The paper also contributes to entrepreneurial marketing research because data management efficiency provides significant opportunities for entrepreneurs, startup firms and innovators in established organizations to develop entirely new markets based on new services, solutions and business models. Finally, the paper deepens the understanding of the innovation-based view of firm performance.