Leveraging Data Management Capabilities for Innovation Capabilities: The Moderating Role of Cross-Functional Integration

Destina Ratna Asih Khodijah Kadarsah; Rajesri Govindaraju; Budhi Prihartono

doi:10.5614/itbj.ict.res.appl.2023.17.3.7

Authors

Destina Ratna Asih Khodijah Kadarsah Industrial Engineering Department, Faculty of Industrial Technology, Institut Teknologi Bandung Jalan Ganesa No. 10, Bandung 40132, Indonesia
Rajesri Govindaraju Industrial Engineering Department, Faculty of Industrial Technology, Institut Teknologi Bandung Jalan Ganesa No. 10, Bandung 40132, Indonesia
Budhi Prihartono Industrial Engineering Department, Faculty of Industrial Technology, Institut Teknologi Bandung Jalan Ganesa No. 10, Bandung 40132, Indonesia

DOI:

https://doi.org/10.5614/itbj.ict.res.appl.2023.17.3.7

Keywords:

cross-functional integration, data governance, data management, innovation capabilities, PLS-SEM

Abstract

In today?s dynamic and competitive business environment, data are crucial for sustaining a competitive advantage. Organizations are also constantly seeking ways to enhance their innovation capabilities in order to stay ahead of the competition. One critical factor that has been identified as influential in enabling innovation are the organization?s data management capabilities. Past studies have found that cross-functional integration may enhance the impact of data management on innovation. Hence, this study aimed to investigate the influence of data management capabilities on explorative and exploitative innovation by considering the role of cross-functional integration as a moderating variable. This study used 116 data samples from medium and large companies across different industries in Indonesia. The PLS-SEM analysis was applied to test the research hypotheses. The results indicate that data management capabilities as a third-order construct, consisting of three dimensions, namely data governance, technology, and skills, have significant direct influences on explorative and exploitative innovation. This study demonstrated that cross-functional integration still plays an important role in amplifying the relationship between data management capabilities and innovation capabilities, especially in relation to explorative innovation.

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Author Biographies

Rajesri Govindaraju, Industrial Engineering Department, Faculty of Industrial Technology, Institut Teknologi Bandung Jalan Ganesa No. 10, Bandung 40132, Indonesia

RAJESRI GOVINDARAJU is a Professor at the
Department of Industrial Engineering, Bandung
Institute of Technology, Indonesia. She received
her Ph.D. degree from the University of Twente,
Netherlands, in 2002. Currently, she is the Head of
Information and Decision Systems Research
Group in the Department of Industrial
Engineering, Bandung Institute of Technology.
Her research interests include information systems
design and implementation and global information
systems outsourcing.

Budhi Prihartono, Industrial Engineering Department, Faculty of Industrial Technology, Institut Teknologi Bandung Jalan Ganesa No. 10, Bandung 40132, Indonesia

BUDHI PRIHARTONO is an Associate
Professor with the Department of Industrial
Engineering, Bandung Institute of Technology,
Indonesia. He received his Ph.D. from Universite
De Marne, France, in 2007. Currently, he is the
Head of the Industrial Management Research
Group in the Department of Industrial
Engineering, Bandung Institute of Technology.
His research interests include business process
management and innovation

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