IDEAS home Printed from https://ideas.repec.org/a/spr/intemj/v21y2025i1d10.1007_s11365-025-01104-6.html
   My bibliography  Save this article

Studying the nexus of business analytics capabilities with ESG performance. How resource orchestration capabilities, organizational agility, and business model innovation bridge this relationship

Author

Listed:
  • Jiajia Liao

    (Guangzhou College of Commerce)

  • Masooma Batool

    (Riphah International University)

  • Syed Jawad Ali Kazmi

    (Virtual University)

  • Fengcun Feng

    (Jiyang College of Zhejiang Agriculture and Forestry University)

  • Abad Alzuman

    (Princess Nourah bint Abdulrahman University)

Abstract

In an era of rapid technological advancements and evolving market demands, organizations must continuously adapt their business models and enhance their sustainability performance. This study examines how business analytics capabilities (BAC) contribute to environmental, social, and governance (ESG) performance through resource orchestration capabilities (ROC), organizational agility (OA), and business model innovation (BMI) in China’s manufacturing and services sectors. Using partial least squares structural equation modeling (PLS-SEM) on data collected from eight hundred and fifty-eight respondents, the study finds that BAC significantly enhances ROC and OA, which drive BMI. However, the direct impact of ROC on BMI was found to be negligible, highlighting the complexity of resource management in fostering innovation. Additionally, the study underscores the pivotal role of BMI in improving ESG performance, reinforcing its strategic importance in sustainable business transformation. These findings offer theoretical insights into the intersection of analytics-driven capabilities, business model adaptation, and corporate sustainability, with practical implications for firms navigating competitive and regulatory pressures in China’s evolving business landscape. Graphical abstract

Suggested Citation

  • Jiajia Liao & Masooma Batool & Syed Jawad Ali Kazmi & Fengcun Feng & Abad Alzuman, 2025. "Studying the nexus of business analytics capabilities with ESG performance. How resource orchestration capabilities, organizational agility, and business model innovation bridge this relationship," International Entrepreneurship and Management Journal, Springer, vol. 21(1), pages 1-25, December.
  • Handle: RePEc:spr:intemj:v:21:y:2025:i:1:d:10.1007_s11365-025-01104-6
    DOI: 10.1007/s11365-025-01104-6
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11365-025-01104-6
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s11365-025-01104-6?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Nripendra P. Rana & Sheshadri Chatterjee & Yogesh K. Dwivedi & Shahriar Akter, 2022. "Understanding dark side of artificial intelligence (AI) integrated business analytics: assessing firm’s operational inefficiency and competitiveness," European Journal of Information Systems, Taylor & Francis Journals, vol. 31(3), pages 364-387, May.
    2. Bhatti, Sabeen Hussain & Santoro, Gabriele & Khan, Jabran & Rizzato, Fabio, 2021. "Antecedents and consequences of business model innovation in the IT industry," Journal of Business Research, Elsevier, vol. 123(C), pages 389-400.
    3. Min‐Jae Lee & Anna Pak & Taewoo Roh, 2024. "The interplay of institutional pressures, digitalization capability, environmental, social, and governance strategy, and triple bottom line performance: A moderated mediation model," Business Strategy and the Environment, Wiley Blackwell, vol. 33(6), pages 5247-5268, September.
    4. Jacqueline de Almeida Barbosa Franco & Ary Franco Junior & Rosane Aparecida Gomes Battistelle & Barbara Stolte Bezerra, 2024. "Dynamic Capabilities: Unveiling Key Resources for Environmental Sustainability and Economic Sustainability, and Corporate Social Responsibility towards Sustainable Development Goals," Resources, MDPI, vol. 13(2), pages 1-25, February.
    5. Chen, Yantai & Luo, Haibei & Chen, Jin & Guo, Yanlin, 2022. "Building data-driven dynamic capabilities to arrest knowledge hiding: A knowledge management perspective," Journal of Business Research, Elsevier, vol. 139(C), pages 1138-1154.
    6. Maha Faisal Alsayegh & Rashidah Abdul Rahman & Saeid Homayoun, 2020. "Corporate Economic, Environmental, and Social Sustainability Performance Transformation through ESG Disclosure," Sustainability, MDPI, vol. 12(9), pages 1-20, May.
    7. Jin Zhu & Fei Huang, 2023. "Transformational Leadership, Organizational Innovation, and ESG Performance: Evidence from SMEs in China," Sustainability, MDPI, vol. 15(7), pages 1-23, March.
    8. Rosaria Ferlito & Rosario Faraci, 2022. "Business model innovation for sustainability: a new framework," Innovation & Management Review, Emerald Group Publishing Limited, vol. 19(3), pages 222-236, March.
    9. Muhieddine Ramadan & Najib Bou Zakhem & Hala Baydoun & Amira Daouk & Samia Youssef & Abir El Fawal & Jean Elia & Ahmad Ashaal, 2023. "Toward Digital Transformation and Business Model Innovation: The Nexus between Leadership, Organizational Agility, and Knowledge Transfer," Administrative Sciences, MDPI, vol. 13(8), pages 1-21, August.
    10. Farzaneh, Mandana & Wilden, Ralf & Afshari, Leila & Mehralian, Gholamhossein, 2022. "Dynamic capabilities and innovation ambidexterity: The roles of intellectual capital and innovation orientation," Journal of Business Research, Elsevier, vol. 148(C), pages 47-59.
    11. Kristoffersen, Eivind & Mikalef, Patrick & Blomsma, Fenna & Li, Jingyue, 2021. "The effects of business analytics capability on circular economy implementation, resource orchestration capability, and firm performance," International Journal of Production Economics, Elsevier, vol. 239(C).
    12. Olabode, Oluwaseun E. & Boso, Nathaniel & Hultman, Magnus & Leonidou, Constantinos N., 2022. "Big data analytics capability and market performance: The roles of disruptive business models and competitive intensity," Journal of Business Research, Elsevier, vol. 139(C), pages 1218-1230.
    13. Su Jin Yang & Seyoon Jang, 2020. "How Does Corporate Sustainability Increase Financial Performance for Small- and Medium-Sized Fashion Companies: Roles of Organizational Values and Business Model Innovation," Sustainability, MDPI, vol. 12(24), pages 1-21, December.
    14. Sarstedt, Marko & Hair, Joseph F. & Cheah, Jun-Hwa & Becker, Jan-Michael & Ringle, Christian M., 2019. "How to specify, estimate, and validate higher-order constructs in PLS-SEM," Australasian marketing journal, Elsevier, vol. 27(3), pages 197-211.
    15. Beata Mrugalska & Junaid Ahmed, 2021. "Organizational Agility in Industry 4.0: A Systematic Literature Review," Sustainability, MDPI, vol. 13(15), pages 1-23, July.
    16. Rameshwar Dubey & Angappa Gunasekaran & Stephen J. Childe & Samuel Fosso Wamba & David Roubaud & Cyril Foropon, 2021. "Empirical investigation of data analytics capability and organizational flexibility as complements to supply chain resilience," International Journal of Production Research, Taylor & Francis Journals, vol. 59(1), pages 110-128, January.
    17. Ricardo Vinuesa & Hossein Azizpour & Iolanda Leite & Madeline Balaam & Virginia Dignum & Sami Domisch & Anna Felländer & Simone Daniela Langhans & Max Tegmark & Francesco Fuso Nerini, 2020. "The role of artificial intelligence in achieving the Sustainable Development Goals," Nature Communications, Nature, vol. 11(1), pages 1-10, December.
    18. Johannes W.F.C. van Lieshout & Jeroen M. van der Velden & Robert J. Blomme & Pascale Peters, 2021. "The interrelatedness of organizational ambidexterity, dynamic capabilities and open innovation: a conceptual model towards a competitive advantage," European Journal of Management Studies, Emerald Group Publishing Limited, vol. 26(2/3), pages 39-62, September.
    19. Han Lai & Abdul Hameed Pitafi & Noman Hasany & Tahir Islam, 2021. "Enhancing Employee Agility Through Information Technology Competency: An Empirical Study of China," SAGE Open, , vol. 11(2), pages 21582440211, April.
    20. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    21. Ashrafi, Amir & Zare Ravasan, Ahad & Trkman, Peter & Afshari, Samira, 2019. "The role of business analytics capabilities in bolstering firms’ agility and performance," International Journal of Information Management, Elsevier, vol. 47(C), pages 1-15.
    22. Jonathan Peterson & Loubna Tahssain-Gay & David Salvetat & Fabienne Perez & Sophie Hennekam, 2023. "How managers approach data analytics: a typology through a Resource Orchestration perspective," Post-Print hal-03953943, HAL.
    23. Mudashiru Lateef & Pantea Keikhosrokiani, 2023. "Predicting Critical Success Factors of Business Intelligence Implementation for Improving SMEs’ Performances: a Case Study of Lagos State, Nigeria," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 14(3), pages 2081-2106, September.
    24. Jyoti Motwani & Aakanksha Katatria, 2024. "Organization agility: a literature review and research agenda," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 73(9), pages 2709-2754, February.
    25. Zhang, Hongfang & Xiao, Huilin & Wang, Yanling & Shareef, Mahmud A. & Akram, Muhammad Shakaib & Goraya, M. Awais Shakir, 2021. "An integration of antecedents and outcomes of business model innovation: A meta-analytic review," Journal of Business Research, Elsevier, vol. 131(C), pages 803-814.
    26. Anna-Theresa Walter, 2021. "Organizational agility: ill-defined and somewhat confusing? A systematic literature review and conceptualization," Management Review Quarterly, Springer, vol. 71(2), pages 343-391, April.
    27. Birger Wernerfelt, 1984. "A resource‐based view of the firm," Strategic Management Journal, Wiley Blackwell, vol. 5(2), pages 171-180, April.
    28. Boy Bayu Idisondjaja & Sari Wahyuni & Harris Turino, 2023. "The role of resource structuring, marketing, and networking capabilities in forming DMO orchestration capability toward sustainable value creation," Cogent Business & Management, Taylor & Francis Journals, vol. 10(3), pages 2288381-228, December.
    29. Osama Musa Ali Al-Darras & Cem Tanova, 2022. "From Big Data Analytics to Organizational Agility: What Is the Mechanism?," SAGE Open, , vol. 12(2), pages 21582440221, June.
    30. Matarazzo, Michela & Penco, Lara & Profumo, Giorgia & Quaglia, Roberto, 2021. "Digital transformation and customer value creation in Made in Italy SMEs: A dynamic capabilities perspective," Journal of Business Research, Elsevier, vol. 123(C), pages 642-656.
    31. Upadhyay, Parijat & Kumar, Anup, 2020. "The intermediating role of organizational culture and internal analytical knowledge between the capability of big data analytics and a firm’s performance," International Journal of Information Management, Elsevier, vol. 52(C).
    32. Zhuo Wang & Muhammad Sadiq Shahid & Nguyen Binh An & Mohsin Shahzad & Zulkiflee Abdul-Samad, 2022. "Does green finance facilitate firms in achieving corporate social responsibility goals?," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 35(1), pages 5400-5419, December.
    33. Ting-Ting Li & Kai Wang & Toshiyuki Sueyoshi & Derek D. Wang, 2021. "ESG: Research Progress and Future Prospects," Sustainability, MDPI, vol. 13(21), pages 1-28, October.
    34. Shauhrat S. Chopra & Sachini Supunsala Senadheera & Pavani Dulanja Dissanayake & Piumi Amasha Withana & Rajeev Chib & Jay Hyuk Rhee & Yong Sik Ok, 2024. "Navigating the Challenges of Environmental, Social, and Governance (ESG) Reporting: The Path to Broader Sustainable Development," Sustainability, MDPI, vol. 16(2), pages 1-14, January.
    35. Goretti Cabaleiro-Cerviño & Pedro Mendi, 2024. "ESG-driven innovation strategy and firm performance," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 14(1), pages 137-185, March.
    36. Jawad Abbas & Stefano Bresciani & Ghulam Subhani & Paola Bernardi, 2025. "Nexus of ambidexterity and frugal innovation for enhanced ESG performance of entrepreneurial firms. The role of organizational capabilities," International Entrepreneurship and Management Journal, Springer, vol. 21(1), pages 1-23, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jawad Abbas & Stefano Bresciani & Ghulam Subhani & Paola Bernardi, 2025. "Nexus of ambidexterity and frugal innovation for enhanced ESG performance of entrepreneurial firms. The role of organizational capabilities," International Entrepreneurship and Management Journal, Springer, vol. 21(1), pages 1-23, December.
    2. Huynh, Minh-Tay & Nippa, Michael & Aichner, Thomas, 2023. "Big data analytics capabilities: Patchwork or progress? A systematic review of the status quo and implications for future research," Technological Forecasting and Social Change, Elsevier, vol. 197(C).
    3. Wong, David T.W. & Ngai, Eric W.T., 2023. "The impact of advanced manufacturing technology, sensing and analytics capabilities, and planning comprehensiveness on sustained competitive advantage: The moderating role of environmental uncertainty," International Journal of Production Economics, Elsevier, vol. 265(C).
    4. Ghafoori, Arman & Gupta, Manjul & Merhi, Mohammad I. & Gupta, Samrat & Shore, Adam P., 2024. "Toward the role of organizational culture in data-driven digital transformation," International Journal of Production Economics, Elsevier, vol. 271(C).
    5. Josef‐Peter Schöggl & Lukas Stumpf & Rupert J. Baumgartner, 2024. "The role of interorganizational collaboration and digital technologies in the implementation of circular economy practices—Empirical evidence from manufacturing firms," Business Strategy and the Environment, Wiley Blackwell, vol. 33(3), pages 2225-2249, March.
    6. André de Abreu Saraiva Monteiro Alves & Fernando Manuel Pereira de Oliveira Carvalho, 2022. "How Dynamic Managerial Capabilities, Entrepreneurial Orientation, and Operational Capabilities Impact Microenterprises’ Global Performance," Sustainability, MDPI, vol. 15(1), pages 1-23, December.
    7. Jim Andersén, 2023. "Green resource orchestration: A critical appraisal of the use of resource orchestration in environmental management research, and a research agenda for future study," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5506-5520, December.
    8. Xin Xie & Shaokang Wu & Ghulam Subhani & Sakina, 2025. "Analyzing how digital orientation contributes to organizational innovation and environmental, social and governance performance through digital inclusion and capabilities," International Entrepreneurship and Management Journal, Springer, vol. 21(1), pages 1-22, December.
    9. Fosso Wamba, Samuel & Queiroz, Maciel M. & Trinchera, Laura, 2024. "The role of artificial intelligence-enabled dynamic capability on environmental performance: The mediation effect of a data-driven culture in France and the USA," International Journal of Production Economics, Elsevier, vol. 268(C).
    10. David T. W. Wong & Eric W. T. Ngai, 2025. "The effects of analytics capability and sensing capability on operations performance: the moderating role of data-driven culture," Annals of Operations Research, Springer, vol. 350(2), pages 781-816, July.
    11. Wiweko Probojakti & Hamidah Nayati Utami & Arik Prasetya & Muhammad Faisal Riza, 2024. "Building Sustainable Competitive Advantage in Banking through Organizational Agility," Sustainability, MDPI, vol. 16(19), pages 1-15, September.
    12. Ofonime O. Jeremiah & Essien Akpanuko, 2025. "Competitive Intensity and Performance of ICT Firms in Nigeria: The Mediating Effect of Innovation Investment," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(7), pages 664-692, July.
    13. Shuting Chen & Dengke Yu, 2024. "What Drives Business Model Innovation? Exploring the Role of Knowledge Management Capability in Chinese Top-Ranking Innovative Enterprises," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 6390-6424, June.
    14. Keonhyeong Lee & Liyuan Wang, 2023. "Chinese High-Tech Export Performance: Effects of Intellectual Capital Mediated by Dynamic and Risk Management Capabilities," SAGE Open, , vol. 13(1), pages 21582440231, February.
    15. Roy, Sanjit K. & Tehrani, Ali N. & Pandit, Ameet & Apostolidis, Chrysostomos & Ray, Subhasis, 2025. "AI-capable relationship marketing: Shaping the future of customer relationships," Journal of Business Research, Elsevier, vol. 192(C).
    16. Salomée Ruel & Jamal El Baz & Dmitry Ivanov & Ajay Das, 2024. "Supply chain viability: conceptualization, measurement, and nomological validation," Annals of Operations Research, Springer, vol. 335(3), pages 1107-1136, April.
    17. Piyush Ranjan & Preeti Narwal, 2025. "Investigating Organizational Unlearning and Agility in Digital Transformation for improved Innovation Performance in an Emerging Economy: Moderating Roles of Digital Business Intensity and Firm Sizes," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 26(3), pages 601-623, September.
    18. Oliveira, Fabio & Kakabadse, Nada & Khan, Nadeem, 2022. "Board engagement with digital technologies: A resource dependence framework," Journal of Business Research, Elsevier, vol. 139(C), pages 804-818.
    19. S.M. Misbauddin & Md. Noor Un Nabi & Utz Dornberger, 2024. "Demystifying the ambidextrous internationalization of firms: A multiple case study in the pharmaceutical industry of an emerging economy in turbulent environment," Journal of International Entrepreneurship, Springer, vol. 22(3), pages 373-408, September.
    20. Scheuer, Luca Joachim & Thaler, Julia, 2023. "How do dynamic capabilities affect performance? A systematic review of mediators," European Management Journal, Elsevier, vol. 41(6), pages 914-931.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:intemj:v:21:y:2025:i:1:d:10.1007_s11365-025-01104-6. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.