Critical success factors for Big Data adoption in the virtual retail: Magazine Luiza case study

Félix, Bruno Muniz; Tavares, Elaine; Cavalcante, Ney Wagner Freitas

doi:10.7819/rbgn.v20i1.3627

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Revista Brasileira de Gestão de Negócios

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Article • Rev. bras. gest. neg. 20 (01) • Jan-Mar 2018 • https://doi.org/10.7819/rbgn.v20i1.3627 copy

Critical success factors for Big Data adoption in the virtual retail: Magazine Luiza case study

Authorship SCIMAGO INSTITUTIONS RANKINGS

Abstract

Purpose:

- The objective of this research was to identify critical success factors for the adoption of Big Data in the virtual retail, through a case study of Magazine Luiza. The use of Big Data, in this case, focused on improving its system of recommendations for a better understanding of consumer behavior.

Design/methodology/approach:

The case study was done through interviews, observation of the shopping recommendation system and analyzes of institutional presentations of the Bob project. A semi-structured interview script was used in the interviews.

Findings:

Based on the results, we outline some propositions related to the opportunities and obstacles for the implementation of Big Data in the virtual retail in Brazil. Some of these propositions are in line with what literature, especially BI, has been discussing. However, they still need to be discussed in the context of Big Data.

Originality/value:

The main contribution of the research was the identification of relevant factors to the adoption of Big Data that were not considered as critical for the adoption of previous technologies.

Keywords:
Big Data; Virtual retail; Case study; Magazine Luiza

Interviewees	Job Titles
I1, I2 and I3	IT and CTO Managers
I4 and I5	E-commerce marketing analyst and CRM and Marketing Intelligence Manager
I6, I7, I8 and I9	Big Data Development leader, Junior Developer and Big Data Researcher.

Category	Source
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Top management involvement	Yeoh and Koronius, 2010Yeoh, W., & Koronius, A. (2010). Critical success factors for business intelligence systems. Journal of Computer Information Systems, 50(3), 23-32.; Novo and Neves, 2013Novo, R., & Neves, J. M. S. D. (2013). Inovação na inteligência analítica por meio do Big data: característica de diferenciação da abordagem tradicional. Workshop de Pós-Graduação e Pesquisa do Centro Paula Souza. São Paulo, SP, Brasil, 8. p. 32-44.; Davenport, 2014Davenport, T. (2014). Big data at work: Dispelling the myths, uncovering the opportunities. Boston: Harvard Business Press..
Compatibility with organizational processes	Yeoh and Koronius, 2010Yeoh, W., & Koronius, A. (2010). Critical success factors for business intelligence systems. Journal of Computer Information Systems, 50(3), 23-32.; Ohlhorst, 2013Ohlhorst, F. (2013). Big data analytics: Turning big data into big money. Hoboken, N.J.: John Wiley & Sons.; Novo and Neves, 2013Novo, R., & Neves, J. M. S. D. (2013). Inovação na inteligência analítica por meio do Big data: característica de diferenciação da abordagem tradicional. Workshop de Pós-Graduação e Pesquisa do Centro Paula Souza. São Paulo, SP, Brasil, 8. p. 32-44.; Kim, Trimi and Chung, 2014Kim, G.-H., Trimi, S., & Chung, J.-H. (2014). Big data applications in the govenrment sector. Communications of the ACM, 57(3), 78-85..
Information sharing	Yeoh and Koronius, 2010Yeoh, W., & Koronius, A. (2010). Critical success factors for business intelligence systems. Journal of Computer Information Systems, 50(3), 23-32.; Ohlhorst, 2013Ohlhorst, F. (2013). Big data analytics: Turning big data into big money. Hoboken, N.J.: John Wiley & Sons.; Novo and Neves, 2013Novo, R., & Neves, J. M. S. D. (2013). Inovação na inteligência analítica por meio do Big data: característica de diferenciação da abordagem tradicional. Workshop de Pós-Graduação e Pesquisa do Centro Paula Souza. São Paulo, SP, Brasil, 8. p. 32-44.; Kim et al., 2014Kim, G.-H., Trimi, S., & Chung, J.-H. (2014). Big data applications in the govenrment sector. Communications of the ACM, 57(3), 78-85..
Cultural change for data orientation and experimentation	Schmarzo, 2013Schmarzo, B. (2013). Big data: Understanding how data powers big business. Indianapolis, IN: John Wiley & Sons.; Burton, Mastrangelo and Salvador, 2014Burton, R. M., Mastrangelo, D., & Salvador, F. (2014). Introduction. Journal of Organizational Design, 3(1), 1..
Overcoming the talent gap	Yeoh and Koronius, 2010Yeoh, W., & Koronius, A. (2010). Critical success factors for business intelligence systems. Journal of Computer Information Systems, 50(3), 23-32.; Davenport, 2014Davenport, T. (2014). Big data at work: Dispelling the myths, uncovering the opportunities. Boston: Harvard Business Press.; Leeflang et al., 2014Leeflang, P. S. H., Verhoef, P. C., Dahlström, P., & Freundt, T. (2014). Challenges and solutions for marketing in a digital era. European Management Journal, 32(1), 1-12..
Structure and functions for implementation	Sumner, 1999Sumner, M. (1999). Critical success factors in enterprise wide information management systems projects. Proceedings of the Americas Conference on Information Systems - AMCIS, New York , EUA. ; Somers, Nelson and Ragowsky, 2001Somers, T. M., Nelson, K., & Ragowsky, A. (2001). Enterprise resource planning (ERP) for the next milenium: development of an integrative framework and implications for research. Proceedings of the Americas Conference on Information Systems - AMCIS, New York, EUA.; Patterson, 2014.
Communication	Bingi, Sharma and Godla, 1999Bingi, P., Sharma, M. K., & Godla, J. K. (1999). Critical issues affecting an ERP implementation. Information Systems Management, 16(3), 7-14.; Sumner, 1999Sumner, M. (1999). Critical success factors in enterprise wide information management systems projects. Proceedings of the Americas Conference on Information Systems - AMCIS, New York , EUA. ; Somers et al., 2001Somers, T. M., Nelson, K., & Ragowsky, A. (2001). Enterprise resource planning (ERP) for the next milenium: development of an integrative framework and implications for research. Proceedings of the Americas Conference on Information Systems - AMCIS, New York, EUA.; Ansarinejad, Amalnick, Ghadamyari and Hatami-Shirkouhi, 2011Ansarinejad, A., Amalnick, M.-S., Ghadamyari, M., Ansarinejad, S., & Hatami-Shirkouhi, L. (2011). Evaluating the critical success factors in ERP implementation using fuzzy AHP approach. International Journal of Academic Research, 3(1), 65-80..
Expectations management	Somers et al., 2001Somers, T. M., Nelson, K., & Ragowsky, A. (2001). Enterprise resource planning (ERP) for the next milenium: development of an integrative framework and implications for research. Proceedings of the Americas Conference on Information Systems - AMCIS, New York, EUA.; Davenport, 2014Davenport, T. (2014). Big data at work: Dispelling the myths, uncovering the opportunities. Boston: Harvard Business Press..
Agile methods	Ansarinejad et al., 2011Ansarinejad, A., Amalnick, M.-S., Ghadamyari, M., Ansarinejad, S., & Hatami-Shirkouhi, L. (2011). Evaluating the critical success factors in ERP implementation using fuzzy AHP approach. International Journal of Academic Research, 3(1), 65-80.
Privacy management	Minelli et al., 2013Minelli, M., Chambers, M., & Dhiraj, A. (2013). Big data big analytics: Emerging business intelligence and analytic trends for today’s businesses. Hoboken: John Wiley & Sons.; Simon, 2013Simon, P. (2013). Too big too ignore. Hoboken: John Wiley & Sons.; Wigan & Clarke, 2013Wigan, M. R., & Clarke, R. (2013). Big data’s big unintended consequences. Computer, 46(6), 46-53.; George, Hass & Pentland, 2014George, G., Hass, M., & Pentland, A. S. (2014). Big data and management. Academy of Management Journal, 57(2), 321-326..

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