Cultivating a Data-Driven Culture: Exploring The Role of Data Analytic Capability, Employee Empowerment, and Transformational Leadership

Author:

Kokkinou AlindaORCID,Mitas Ondrej,Mandemakers Albert

Abstract

To remain competitive in an increasingly complex business environment, companies are turning to digitalization technologies. To benefit from these technologies, companies need to develop their Data Analytic Capability and Data-Driven Culture. This is a complex socio-technical process that in addition to technical aspects, also involves organizational aspects. The present study examines how two organizational aspects, Transformational Leadership and Employee Empowerment contribute to companies harnessing their Data Analytic Capability to develop a Data Driven Culture. The findings of a cross-sectional survey design show that Transformational Leadership compounds the positive effect of Data Analytic Capability on Data Driven Culture. However, and contrary to what the theory predicts, Employee Empowerment in combination with Transformational Leadership can have a negative impact on DDC. Possible explanations are proposed.

Publisher

University of Maribor Press

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