Decision making performance of business analytics capabilities: the role of big data literacy and analytics competency

Purpose This study investigates the relationships between data governance (DG), business analytics capabilities (BAC), and decision-making performance (DMP), with a focus on the mediating effects of big data literacy (BDL) and data analytics competency (DAC). Design/methodology/approach The study was conducted with 178 experienced managers in public service organizations, using a quantitative approach. Structural equation modeling (SEM) and mediation tests were employed to analyze the data. Findings The findings reveal that DG and BDL are critical antecedents for developing analytical capabilities. Big data literacy mediates the relationship between DG and BAC, while BAC mediates the relationship between DG and DMP. Furthermore, DAC mediates the relationship between BA capabilities and DMP, explaining most of the effect of BAC on DMP. Practical implications These results highlight the importance of DG in fostering BDL and analytical skills for improved decision-making in organizations. Originality/value By prioritizing DG practices that promote BDL and analytical capabilities, organizations can leverage business analytics to enhance decision-making.