Strength in Numbers: How Does Data-Driven Decisionmaking Affect Firm Performance?

@article{Brynjolfsson2011StrengthIN,
  title={Strength in Numbers: How Does Data-Driven Decisionmaking Affect Firm Performance?},
  author={Erik Brynjolfsson and Lorin M. Hitt and Heekyung Hellen Kim},
  journal={O\&M: Decision-Making in Organizations eJournal},
  year={2011}
}
We examine whether firms that emphasize decision making based on data and business analytics (“data driven decision making” or DDD) show higher performance. Using detailed survey data on the business practices and information technology investments of 179 large publicly traded firms, we find that firms that adopt DDD have output and productivity that is 5-6% higher than what would be expected given their other investments and information technology usage. Furthermore, the relationship between… 
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