Big Data, digital demand and decision-making

Abstract

Purpose This paper aims to discuss the viewpoint that Big Data’s major impacts on the accounting community will be changes in consumers’ demand of accounting data and its impact on decision-making. Big Data is leading consumers to prefer more atomized (not summarized but rather reduced to discrete units), reconfigurable and transparent accounting data that they can combine into their own structures to meet their own decision-making needs. Consequently, consumers will demand digital goods that are less static, and summarized. Design/methodology/approach This paper discusses the strategic shift to what is referred to as “indirect data,” and develops a model that helps explain “how” and “why” Big Data may impact this change in consumer digital demand. Findings There are many evolving Big Data opportunities associated with the shift in consumer demand for more atomized, reconfigurable and transparent accounting data that are discussed in this paper, including strategic capability, auditing, performance measurement and reporting, standardization and education. Originality/value This paper provides a discussion of the evolving opportunities of the relationship that is created by a strategic shift in the type of digital goods consumers of information, specifically decision-makers, will demand, as well as the potential impacts on the accounting community.