Analysing the impact of a business intelligence system and new conceptualizations of system use.
| Autor | Gonzales, Rolando |
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Introduction
Business intelligence (BI), one of the most important components of information systems (IS), is playing a very relevant role in business in this time of high competition, high amounts of data and new technology. Currently, companies feel pressured to respond quickly to change and complicated conditions in the market, needing to make the correct tactical, operational and strategic decisions (Chugh and Grandhi, 2013).
BI is one of the most important drivers of the decade (Gartner, 2013). Big companies of IS are creating special units specialised in BI, helping companies become more efficient and effective in daily operations. The field of BI is evolving at a fast speed, to become more innovative and obtaining knowledge of the data stream in a way never before done. Today innovative programmes of BI in all industries are being implemented (Chen et al., 2012; Sharda et al., 2014). A company that uses a business intelligence system (BIS) can be more effective and efficient and can disseminate knowledge inside the company, with business partners, improving the decision-making process and making the enterprise more competitive (Parzinger and Frolick, 2001). Measuring the impact of BIS is very important to get the best outcomes and increase the investment return rate.
In the last 40years, there have been developed several models to measure the impact of IS. We could mention Theory of reasoned action (1975-1980), Theory of planned behaviour (1985), Technology Acceptance model (1986), User involvement (1984), Delone and McLean (1992), Seddon model (1997), Soh and Markus (1995), the modified model of Delone and McLean (2003), and others (Gonzales, 2008).
From these models, the more relevant has been the Delone and McLean (1992/2003) and its contrasting model, the Seddon model of 1997. We have used the operationalisation of Rai et al. (2002) to compare both models (the name of the construct Use is changed by System Dependence, and for the construct, Individual Impact is changed by Perceived Usefulness). In this case, we are comparing the two models and a Modified version of Seddon, in a BIS, used by "real" professionals of IT in "real" situation of several Peruvian companies using that system.
An additional point to review is the construct System Use (System Dependence in this paper), that is a construct that has not been performing well in these Information System Success models.
The objective of this study, as previously mentioned, is to compare the DeLone and McLean (2003) model and the Seddon (1997) model (with one additional variation), applied to a Business Intelligent System. The study was accomplished in Peru, a developing country in South America, by using a sample of 104 users for the system in 13 enterprises, having a quasi-volitional IS use context. After this analysis, the mediators and dependent constructs were reviewed to determine if they were behaving properly (a good level of variance explanation and significant relations with other constructs).
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Literature review
2.1 The Delone and McLean information systems success model
Delone and McLean (1992) established a model that tried to measure the impact of the information system, considering six constructs. After ten years, DeLone and McLean (2003) reviewed the model, weighing several studies that used partially or completely their model. They said that the model had fulfilled the main objective established: to obtain the information system success, through multidimensional and interdependent constructs. They modified the model considering the next constructs: information quality, system quality, service quality, system use or intention to use, user satisfaction and net benefits. The model can be observed in Figure 1.
One of the independent constructs is Information Quality, and the variables related to it are accuracy, precision, output timeliness, reliability, completeness, relevance and currency. The second independent construct is System Quality, which recommends the consideration of variables such as performance of the system, trustworthiness of the computational system, on time and on-line response, and the ease of use of terminals (Swanson, 1974).
The third independent construct is Service Quality, which can be evaluated through technical competence of the IS staff, their attitude, their ability to complete the development of products and services on time, the span of time required to develop the systems. Marketing measuring tools such as SERVQUAL used to measure the dimensions of tangibles, responsiveness, assurance, reliability, and empathy (Chen et al., 2000).
In past years, several evaluations of the DeLone and McLean model have been made during studies that have been used partially or completely (Petter et al., 2008), corroborating most of the relations between constructs.
2.2 The Seddon information systems success model
The Seddon model (1997) tries to improve the DeLone and McLean (D&M) model from 1992. According to Seddon, the model was derived from the combination of a process models with another of variance. This model maintains a great part of the D&M model but is divided into two variance models, eliminating the process model. The first variance sub-model is the Partial Behavioural Model of IS Use. The second sub-model is the IS Success Model, a great part of the D&M model. Both models of variance are united, first from the Partial Behavioural model of IS Use, through the Individual, organisational, and Societal Consequences of IS Use, after that, from the IS Success model through the Partial Behavioural model of IS Use, from the User Satisfaction construct to the Expectations about the net benefits of future IS Use.
The Partial Behavioural model of IS Use is composed of expectations about the net benefits of future IS Use construct, that is directly related to the IS Use construct (behaviour). The IS Success model is composed by three bodies. The first one is Measures of Information and System Quality, with System Quality and Information Quality constructs. The second body is General Perceptual Measures of Net Benefits of IS Use, with the Perceived Usefulness, and User Satisfaction constructs. The second body is Other Measures of Net Benefits of IS Use, with the net benefits for Individuals, Organisations, and Society. The constructs of the first and third body influence the constructs of the second body. Besides that, the Perceived Usefulness of the second body is directly related to the User Satisfaction construct. Finally, the User Satisfaction Construct offers feedback with construct Expectations about benefits for future IS Use, of the Partial Behavioural model of IS Use. The Seddon model can be observed in Figure 2.
Seddon indicates that IS Use must be after impact and benefits because it does not cause them. It is affirmed by Seddon that IS Use is a behaviour that expresses a belief of goodness from using an information system. The Seddon model labels IS Use as behaviour caused by IS success. IS Use being a consequence of IS success. In relation to the construct System Use, this model was developed for volitional and non-volitional usage, in contrast to the DeLone and McLean model that solely assumes volitional use (Rai et al., 2002).
Several recent studies have used the Seddon model because it explains adequately the impact of an Information System (Brown and Jayakody, 2009; Kulkarny et al., 2006; and Sabherwal et al., 2006).
2.3 The modified Seddon information systems success model
Rai et al. (2002) used the DeLone and McLean model (1992) and the Seddon model (1997) to estimate the validity of both. It was found that both models exhibited a reasonable fit. They considered a third alternative, modifying the Seddon model. It was estimated that the perceived usefulness was related to individual impacts, considering that DeLone and McLean (1992) connected several constructs to individual impacts.
In this way, Rai et al. (2002) established a model of five constructs: system quality, information quality, perceived usefulness (individual impact), user satisfaction and system use. Besides that, they represent system use in terms of system dependence. The Seddon model was modified, including a correlational path between system use (system dependence) and perceived usefulness, so the best fit and variance explanation would be obtained. The model can be observed in Figure 3.
The more relevant studies that analysed the impact of Information System and Business Intelligence, using the DeLone and McLean, and Seddon models could be observed in Appendix 1.
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Methods
The models used are quantitative, in which the individual User of the BIS, in a company that employs the system, is the unit of analysis. A Pilot Test was employed to test the tools, the questionnaire, and the model. Structural Equations were used for the analysis. The model is analysed with the DeLone and McLean model, the Seddon model, and the Modified Seddon model.
The study sample includes the most important companies in the Peruvian economy from different economic sectors: banking, food industry, consumer marketing products, pension funds, government, beauty products, market research, and credit cards. The Use of BISs in those companies is not mandatory and users have other channels providing the information, but in general, it is more cumbersome and perhaps the data is not as precise for the analysis, so the BIS is assumed as quasi-volitional or quasi-mandatory.
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Quantitative analysis
A previous analysis of the data was realised to check the main characteristics of them that could be observed in Appendix 2 and 3. Reviewing the correlation table we find that the correlations are between medium and high, and that is because the variables are related to business, and we are going to find high correlations between items of the same construct, but using structural equations of covariance (SEM) that is not a problem (Hair et al., 2006).
Several...
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