#4868. A knowledge-based view of analytics capability in purchasing and supply management

August 2026publication date
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Journal’s subject area:
Business and International Management;
Transportation;
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Abstract:
The purpose of this study is to elaborate on how analytics capability develops within the PSM function. This study is an in-depth exploration of how analytics capability develops within the purchasing and supply management (PSM) function. The data were analyzed based on an analytics capability framework derived from the literature. Building on the knowledge-based view of the firm, The authors offer a theoretical explanation of our observations, highlighting the user-driven side of analytics development, which has largely been unrecognized by prior literature. The authors also offer an explanation of the observed dual role that analytics takes in cross-functional initiatives. The exploratory nature of our study limits the generalizability of our results. Further, our limited number of cases and interviewees indicate that there is still much to explore in the phenomenon of developing analytics capability. Our findings can help firms gain a better understanding of how they could develop their analytics capability and what issues they need to consider when seeking leveraging data through analytics for PSM decisions.
Keywords:
Analytics capability; Data analytics; Knowledge integration; Knowledge-based-view; Procurement; Purchasing and supply management

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