Process-level value creation from business analytics: A theoretical literature review of value creation paths and changes induced by machine learning

Abstract

Research on business analytics (BA) has made various incongruent assumptions about how BA systems are applied in business processes and how they create value. Meanwhile, machine learning (ML) is changing how BA systems create value, but research streams on ML and BA have yet to come to a shared view on process-level value creation. In this theoretical literature review, we draw on the Information Value Chain (IVC) to synthesize 176 articles from top journals and present a model of process-level value creation from BA systems. We contextualize and extend the IVC with six distinct value creation paths, explain how the characteristics of ML-based BA systems change value creation paths, and propose a research agenda.