Enhancing SME Competitiveness : the Role of Business Intelligence in Data-Driven Decision-Making

Abstract

This study explores the adoption and impact of Business Intelligence (BI) tools within Small and Medium-sized Enterprises (SMEs). Through a mixed-methods approach, including surveys of 35 SME managers and interviews with 3 business owners, the research reveals that BI tool utilization significantly enhances decision-making efficiency, leading to improved operational performance, increased revenue, cost reductions, and heightened customer satisfaction. Despite these benefits, SMEs face notable challenges in BI adoption, such as financial constraints, technical skill shortages, and organizational resistance. To address these issues, the study proposes a five-phase framework tailored for SMEs, encompassing assessment and planning, tool selection and budgeting, training and change management, data management and integration, and monitoring and continuous improvement. This framework aims to guide SMEs in effectively implementing BI tools to bolster competitiveness and operational efficiency. The findings contribute to the existing literature by providing empirical evidence of BI benefits and challenges in SMEs and offer practical recommendations for successful adoption.