Case Analysis

How Big Data Analytics Enables Service Innovation in Biotics Research Corporation

MIS

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Table of contents

Page

Abstract…………………………………………………………………………....2

Introduction……………………………………………………………….……….2

Research Method…………………………………………………….……….….3

Case Organization Selection……………………………………………….…...4

Data collection……………………………………………...…………….……....6

Data Analysis……………………………………………………………….…….7

Findings…………………………………………………………………….….….9

Discussion……………………………………………………...………. .……...10

References……………………………………………………………….….......13

Appendix……………………………………………………………...……….…14

ABSTRACT: This report is an investigative analysis of a single case study of an organization operating within the food research industry. Biotics Research Corporation is primarily engaged in commercial physical and biological research and development of vitamin supplements and is currently implementing big data analytics to improve production outputs. The inquiry into how big data analytics enables service innovation in Biotics Research Corporation was examined against the backdrop of the theoretical model of BDA-enabled service innovation. How Biotics Research Corporation benefit from the manifestations of value created by using BDA technologies was questioned and organized by aggregating respondent information. Case organization, research method and findings are discussed.

Introduction

This paper explores big data analytics (BDA) in Biotics Research Corporation by drawing on a systematic review of its implementation in the corporation and comparing it to the points brought up in the literature. We hope to present an interpretive framework that explores the definitional aspects, distinctive characteristics, types, business value and challenges of BDA in Biotics Research Corporation’s landscape. We hope this also sparks further conversations and broader discussions regarding future research challenges and opportunities in theory and practice. Above all, the discoveries of the investigation incorporate various BDA ideas that provided broader insights with cutting-edge analytics applications in service innovation. Service innovation provides businesses with opportunities to create customer value and generate a competitive advantage.

Big Data is generated from an expanding plethora of sources, including user-generated content, social media, and purposefully generated content through sensor networks or business transactions. Measurable approaches, such as text analytics and web analytics, enable firms to process and analyze such trace data. The definition of BDA concentrates on the “powerful methods and tools for gathering, processing, and analyzing large amounts of trace data, enabling organizations to generate valuable insights by compiling their customers” (LEHRER, WIENEKE, BROCKE, JUNG, & SEIDEL, 2018). Based on a review of the literature provided, there are two main types of BDA-enabled service innovations. First, organizations use key material features of BDA technologies to automate service processes in order to provide trigger-based service actions and preference-based service actions to customers. Second, organizations identify new ways for IT-enabled service processes where human service actors interact with BDA technologies to engage in trigger-based interactions and preference-based interactions with customers. There has been an increasing emphasis on big data analytics (BDA) in service innovation in recent years. However, it remains inadequately investigated as an idea, which hinders its hypothetical and practical advancement in this field.

Biotics Research Corporation, a supplement manufacturing company that has been around for the past 40 years, has integrated its system to utilize BDA in order to better understand and service its customers’ needs and preferences. Therefore, the primary objective of this paper centers around the idea of utilizing big data analytics (BDA) to boost service innovation in Biotics Research Corporation, in order to enhance the customers’ experience and satisfaction. Moreover, the use of BDA has been implemented in the manufacturing and packaging sectors of Biotics Research Corporation to help amplify the company’s overall performance and its growth strategies in the market-place. The primary research question to this study is: How is Biotics Research Corporation using data analytics to create strategic value through efficient supply chain management and improved relationships with regional distributors?

Research Method

Before starting our project, group members had to familiarize themselves with the topic being researched by studying the article "How Big Data Analytics Enables Service Innovation: Materiality, Affordance, and the Individualization of Service". This helped us gain a broad knowledge of the applications of BDA in service innovation and how researches in this field are being conducted. While the main focal point of this research was the theoretical study of BDA’s enhancement to service innovation, we remained open to other emerging concepts such as the implementation and practice of BDA in manufacturing and packaging innovation.

The research methods incorporated in this paper focused around constructing a set of semi-structured list of questions formed by our group members. Followed by interviewing several hand-picked employees from different departments of Biotics Research Corporation. Each of the selected employees had to have a job with some sort of correlation to the implementation or incorporation of BDA in service innovation, manufacturing or packaging. To ensure consistency of the interviewer’s point of view in data collection and interpretation, all the interviews were conducted by one team member, in this case, the team member was Brenda. After that, the results obtained from the questionnaire were examined by the two other team members independently to figure out the differences and similarities of the results obtained. Qualitative research approach in the form of case study followed by a semi-structured interview was used in this research.

To ensure familiarity with the topic a short summary of the study was read to each employee before conducting the interview. Moreover, before asking the interviewee questions related to BDA, a short definition of BDA was recited to each employee to ensure a common understanding of the term used. The interviewees could stop the interview at any point to ask any questions that could have enhanced their understanding of the topic in general, or the question beginning asked at that moment. Finally, the last section of the questionnaire was specially formulated to gain more insight into the utilization of BDA in manufacturing and packaging, so the questions were mainly directed toward those who worked in a technical department of the company.

Case Organization Selection

At Biotics Research Corporation big data analytics is used for service innovation using a few different big data analytics technologies to provide added value to regional distributors and to maintain a superior and profitable product line.

The Marketing Department utilizes a few different BDA technologies. Clickstream analysis is used on our website and blog posts to see which pages and topics are most popular. CRM analytics are used for promotional and drip campaigns to create customer profiles. Data mining is used for customer sales information and booth leads obtained while exhibiting at trade shows. (Interviewee 3).

By using these big data analytics technologies in these ways Biotics Research Corporation can better serve their customers’ needs and wants. The Biotics Research Corporation website gets updated almost daily in order to provide their customers with up-to-date information on their products. Service innovation is about finding out what your customer wants and/or needs and figuring out how to provide them with that service.

Aside from production analytics, service innovation as it relates to BDA would be our analysis of products purchased by doctors within different types, (e.g. Dieticians, MD’s, DC’s, etc.) purchase products based on specific needs as well as patients’ standards/demands. Products that fit these standards’ can be direct marketed and even designed to attract the target markets. We utilize a “login” to the “practitioner” side of our website to access educational information and product pricing, etc. This data is collected for each login and transferred to the sales rep associated with that doctor and login account allowing the sales rep to know what products a customer may be interested in and target market. (Interviewee 4).

Biotics Research Corporation is a B2B company and sells only through licensed healthcare professionals. Even though they do this, they never forget that the patient is the end user and that the company’s creation was a result of an ill family member.

Biotics Research Corporation also has internal “customers” inside the company which are co-workers. It is not only important to provide service innovation to your consumers but also to your co-workers as well. This is where data analytics is also used in the manufacturing and packaging sectors to trend daily output and time management to improve manufacturing flow, space utilization, inefficiencies of equipment/machines, and time management of employees. Data analytics is also used in quality assurance and safety of products. All of these are important to keep track of in order to meet not only your customers’ needs but your internal “customers” needs as well.

Table 1. Overview of case organization

Data collection

The data collection that we used for this paper is similar to the semi-structured interviews that were used in the literature provided to us for this paper. In addition to publicly available data of the organization, the person responsible for gathering the data from Biotics Research Corporation described the main applications/uses of data analytics at Biotics Research Corporation. The interview questions were then tailored to better fit how Biotics Research Corporation uses big data analytics in their organization. Based on the size of the organization and the departments, four interviewees were then selected based on the interview questions and the employees’ background/function at Biotics Research Corporation. The interviewees consisted of a Quality Operations Manager, a Production Manager, a Marketing Manager, and a Project Manager. Once these were decided, each was approached and briefed on the objective of the paper.

Interview questions were open-ended just like the literature provided. The idea of leaving them open-ended was to better facilitate responses from the interviewees based on their experiences and perceptions with the subject being discussed. This offered an interesting perspective on the interview. Since our interview questions were similar to the literature provided, “[t]he questions were guided primarily by three key issues: (1) the participants’ understanding of big data and BDA in order to ensure a common understanding of the concepts under discussion, (2) the relevance of customer orientation and service innovation at the case organization, and (3) how BDA contributes to service innovation and improvement in the firm” (LEHRER, WIENEKE, BROCKE, JUNG, & SEIDEL, 2018). Also like the literature, for the interviewees with a more technical background, sub-questions were provided to better understand the technical application of data analytics in Biotics Research Corporation. The interview questions are provided in the Appendix of this paper.

Table 2. Interview partners for Biotics Research Corporation

Data Analysis

The general framework of the phenomenon in question is how the collection and use of BDA allows for an improved customer experience and a gateway into expanded service innovations. A within-case analysis was conducted in which relevant information was extracted and evaluated for usefulness in identifying distinguished patterns among each contributors’ input. Individual accounts and insights were interpreted within the context of how BDA enables service innovation in Biotics Research Corporation.

The primary research instrument used were survey questions, and throughout the data analysis process interview files were referenced and revisited for reinvestigation as more data inputs were collected. We focused on the concepts that emerged out of the context of the organizational strategies and goals of Biotics Research Corporation. The concept of affordances was considered a suitable theoretical lens as it could be discussed in reference to how a small organization such as Biotics Research Corporation uses BDA technologies. The affordance theory in this instance takes into consideration Biotics Research as a small firm and the business environment within which it operates. The affordance theory could also be applied to the enhancement of the individual customer experience provided through improved service innovations (Gibson, 2016).

Analyzed as a separate case study, unique patterns of BDA technology use within Biotics Research Corporation’s organizational setting were uncovered. The empirical data obtained through research of Biotics’ internal information, as well as specific research questions related to current practices of service innovation revealed two things: (1). Biotics Research Corporation is actively using BDA technologies primarily to improve supply chain operations. (2). Biotics Research Corporation is aware of the value and role of BDA in service innovation and is interested in expanding its use into other business processes within the organization.

While a qualitative data analysis tool such as ATLAS.ti is useful for large bodies of data, a cloud-based application such as G Suite sufficiently served as a centralized location for storing information (“What is ATLAS.ti”). An excel workbook was created to assist in organizing and analyzing data and within a spreadsheet, key concepts were identified, and clustered. Commonalities were documented from the accounts of the research respondents, and relationships among them were grouped by meaning. Key goal concepts such as “improving the quality of service provided to our clients”, and “automated ordering processes” were grouped.

Data points that represented the group as opposed to individual perceptions were aggregated. Aggregating the findings of the within-case analysis in order to determine whether they made sense beyond each individual case was ascertained by combining information from the different sources. Based on those individual remarks, assessments and interpretations were made and from the results, determinations were concluded.

Findings

The theoretical model of BDA-enabled service innovation explains how BDA technologies enable service innovation as organizations interpret them. The model focuses on new action goals that are related primarily to individualizing service. To the extent of both automation and human-material customer-sensitive service practices, were BDA technologies linked to service innovation at Biotics Research Corporation. When evaluated against the theoretical model, our findings were found to be supported by it, as illustrated by a few of the outlined links.

Material features of BDA such as trace data sourcing and storage features played into the strategic goals of Biotics Research Corporation. This is seen through the collection and storing of production data which is examined to ensure the quality and safety of products. The collecting of data and the analysis of which products are purchased by which type of doctor, allows the company to provide preference sensitive customer service interaction. The material feature of sourcing, storage, and behavior prediction are linked in this instance. Additionally, the automation of the ordering process serves as a way for the company to create individualized service through the use of digital technology. Therefore, our research serves as support that BDA and the technologies that stem from its material features offer potential for an improved customer experience and service innovation.

Discussion

This study presents how important BDA and service innovation is to Biotics Research Corporation. Innovation is a key driver for a firm’s competitive advantage. For over 40 years Biotics Research Corporation has invested resources into research and development of its primary business operation: the manufacturing of nutritional supplements. Service innovation offers a company the opportunity to use digital technologies that enhance customer experience. In the case of Biotics Research Corporation, who supply their products primarily through regional distributors, an individualized experience for providers creates value for the firm.

Biotics Research Corporation is not only implementing and utilizing service innovation through BDA for its image and usefulness to its customers, but also to its internal “customers” as well. In order to achieve your customer’s wants and needs, a company needs to be able to meet those wants and needs through its internal processes, like manufacturing and packaging. Biotics Research Corporation utilizes BDA internally to better service its internal “customers”, so it can in turn better service its external customers.

Contribution to Digital Innovation Scholarship

In recent years the shift from goods-dominant (G-D) logic to service-dominant (S-D) logic has been tremendous (LEHRER, C., WIENEKE, A., BROCKE, J., JUNG, R., & SEIDEL, S. (2018). Companies nowadays focus on the innovation of services to retain and gain new customers. One of the essential methods to achieve that includes gaining customer’s insights and perspectives into an organization’s performance and quality. The insights gathered from customers help in the reprogramming and integration of the current digitally enabled system which enhances innovation and in turn customer satisfaction. Moreover, using a digitally enabled system, we are able to determine ways to improve the manufacturing processes by gaining insights into more efficient ways to maximize the utilization of space, equipment and time.

Implications for BDA Practices

Based on our findings in this study the implications for BDA practice are: 1) By using the theoretical model of BDA-enabled service innovation, Biotics Research Corporation utilizes BDA technologies such as clickstream, data mining, and drip campaigns to interpret their customers wants and needs in order to provide a more customizable service to their customers. Biotics Research Corporation uses both automation and human-material customer-sensitive service practices. 2) This study supports that BDA and the technologies that stem from its material features offer potential for an improved customer experience and service innovation. This is achieved through the various data sourcing and storage features that Biotics Research Corporation utilizes, not only its manufacturing and packaging processes but also in its marketing process as mentioned throughout this study. 3) BDA allows a gateway into expanded service innovations. Biotics Research Corporation is mindful of the value that BDA can achieve throughout each department in the company. Biotics Research Corporation is interested in expanding BDA uses into all processes throughout the company and is currently working on expanding the uses of BDA in some departments.

Limitations

Even though the implications provided by this study benefits, or would benefit Biotics Research Corporation, there are limitations involved with this study. One limitation is if this study was performed by someone else at a different time, their findings could differ from that of our study. This does not mean that either study would be wrong. Results would depend on what is being analyzed and at what stage/level Biotics Research Corporation is utilizing BDA in its processes.

Another limitation is trying to apply this study to another company in the same industry. The findings for this company would not be the same as the other company simply because that company might be focusing on other processes to use BDA for. That other company has its own struggles/difficulties compared to Biotics Research Corporation, thus the companies would have to be analyzed as separate entities because a “one-glove fits all” situation would not be helpful in this situation. One final limitation is BDA is ever-changing and in the future what companies use now might be completely different or more advanced. Technologies are always advancing, and in the future, there is a possibility that the struggles companies face now using BDA could become simple and easy in the future. Very good that you noticed the limitation of unable to generalize the findings from a single case study to other organizations.

Recommendation for Future Research

There are many challenges facing the use of BDA. Most of these challenges can be conquered through research and development of the existing systems. First, exploring the use and application of BDA outside service innovation. For instance, we were able to demonstrate in this research paper that BDA was also used in the innovation of the manufacturing and packing systems. Second, determining the competitive advantages each organization gain when implementing BDA to its system. Not every business can benefit from the incorporation of BDA to its systems so competitive advantages, such as efficiency and productivity, must be determined before implementation. Third, figuring out ways to enhance BDA’s security to protect customer vital information against data breaches. These are some of the research topics that can be investigated in the near future to advance the utilization of BDA in service innovation and other sectors.

This part should be built upon the identified limitations,

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References