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Purpose

Considering the cognitive challenges associated with a data-rich business environment, this research aims to investigate the relationship between data literacy (DL), perceived data overload (PDO), and technostress (TS), besides the effect of these constructs on professional's individual performance (IP).

Design/methodology/approach

Through survey research, the authors collected data from 321 professionals who work in data-rich and highly technological business environments. To test the hypotheses proposed, the authors developed the partial least squares structural equation modeling (PLS-SEM) procedures.

Findings

The results showed that DL is positively associated with IP and negatively with PDO. PDO is positively associated with TS and negatively with IP. The authors found no significant negative association between TS and IP.

Research limitations/implications

With this research, the authors seek to contribute to the gap in the literature concerning two cognitive challenges associated with data-rich business environments: PDO and TS, analyzing from the point of view of the individual, and highlighting the importance of DL in this context.

Practical implications

The results can assist managers in effectively being concerned with the DL level of their workforce. This is important considering not only the professionals' IP but also the cognitive challenges such as PDO and TS.

Originality/value

The innovation of this study lies in the empirical analysis of DL in the business context and its relationship with two cognitive challenges inherent in data-rich environments: PDO, and TS. Besides, the authors highlight the importance of understanding such phenomena in terms of IP.

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