**1. Introduction**

Over the last several years, scholars and practitioners have recognized, considered, and identified how increased digitalization and datafication of social action facilitates new opportunities for arranging and changing patterns of organizations [1–3]. Among all businesses have an ongoing shift towards further digital forms of work in recent times. Digitalization can indeed be seen as the renovation of controller inputs into digital forms [4, 5]. Nonetheless, the digital revolution changes organizational capabilities by removing or reducing material constrictions related to work, such as time, space,

location, or capital requirements. Whilst the work and information exchange could be digitized, it is further appropriate to consider trying to organize as an implementation of change [5, 6]. Once organizations use the digital format nature of work to produce unique forms, they are digitalizing the organization which include increasingly distributed and flexible work arrangements [7]. The automation of administrative task system applications, the adaptation of knowledge management systems [8], and the use of businesses as networking sites [9]. Enterprises can significantly enhance the amount of data that is transparent and inclusive because digitization drives the marginal cost of producing information goods to near zero and digital storage costs continue falling. Digital technology for contemporary businesses is a procedure of digitalization that many see as required to pursue innovation and remain competitive [10, 11].

The advancing technological accessibility enabled by a variety of networks and electronic tools delivers the facilities for digital data to be transmitted comfortably. As the fundamental network process that links individuals are becoming more rigorous, so will expectations for social and organizational internet access [12]. Furthermore, as demonstrated in prior research, the vastly increased accessibility of digital data allows individuals within companies to anticipate ever more social, and business interconnection since work activities are regarded as easily transportable [13, 14], compelling companies to expand the economy in their techniques to overcome to require to ensure levels of information technology connectivity. In simple, digital data contributes to increased requirements for technological and human integration, in which the compound process is repeated to the place where things in companies expect to be continuously connected to each other at all points of time [15].

Digital technologies can provide organizations with rapid access, enormous opportunities, and challenges [16]. Given the growing influences and reliance on digital technologies and applications in various market segments, the relevance and significance of implementing strategic understanding in organizations have a larger effect than ever on the development and sustainability of achieving competitive advantage and value [17, 18]. However, apart from the application of strategic understanding, the previous research on digitally enabled conceptualizations, for example, cloud computing, Internet of things (IoT), big data, and business intelligence sees them as valuable processes for solving challenges, which are frequently linked to attaining and sustaining value for stakeholders [19, 20]. Otherwise, technological innovations and human movement have consistently aided in the management of strategic knowledge and capabilities in businesses. Indeed, some intelligence tools and practices such as business and competitive intelligence can help firms create new knowledge, which contributes to developing dynamic capabilities within firms [21, 22].

Some previous research (e.g., [23–25] investigated the relationships between certain components related to business intelligence such as the analytical capacity on one side, and the dynamic capabilities, and performance of the organization on the other side. However, there is still a lack of research that examines the impact of business intelligence on certain internal mechanisms of company performance [26], in particular on sustainable innovation. This paper attempts to fill this research gap by examining how business intelligence can contribute to sustainable innovation through dynamic capabilities. This study aims to explore the role of business intelligence in developing dynamic capabilities and its direct and/or indirect contribution to innovation activities and the sustainable organizational performance of companies. More specifically, this study aims to answer the following research question:

Q1—How does business intelligence contributes to the development of dynamic capabilities and, therefore, to the sustainable innovation of organizations?

*Business Intelligence: An Important Tool to Develop Dynamic Capabilities and Sustainable… DOI: http://dx.doi.org/10.5772/intechopen.110200*

This paper attempt to explain how business intelligence can help to develop technological dynamic capabilities, which in turn contribute to sustainable innovation. Although this paper presents only a theoretical study, it proposes a research model which can guide managers to make the best choices regarding investment in technological resources such as business intelligence.

The remainder of this chapter is structured as follows: (1) this introduction, describing the relevance of the research topic and its context; (2) the definition of business intelligence; (3) the relationship between business intelligence, dynamic capabilities, and sustainable innovation; (4) the implications; (5) the limitations and future research, and; (6) the conclusion.
