Examining The Relationship Between Technological, Organizational, And Environmental Factors And Cloud Computing Adoption Of Penang Manufacturers
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Date
2014
Authors
Mayar Krishnan, ogesswary
Journal Title
Journal ISSN
Volume Title
Publisher
Universiti Sains Malaysia
Abstract
Cloud Computing has recently become a center of attention in today’s competitive market place. In contrast to deploying infrastructure within an organization, which normally requires long lead times and upfront capital investment, cloud infrastructure is available on demand and is highly scalable. However, use of commercial cloud services in particular raises issues of governance, cost-effectiveness, trust and quality of service. Many prior researches in Information Systems (IS) discipline have investigated significant factors influencing the adoption of new technologies or service solutions. Therefore, this study aim to identify the determinants of Cloud Computing adoption for manufacturers based in Penang by using Technological, Organizational, and Environmental (TOE) framework. Data was collected via questionnaires from manufacturing companies based in Penang. Partial least squares (PLS), a variance-based structural equation modeling (SEM) tool was used to examine and analyze the data collected based on the hypotheses derived from the research framework. The final results indicate that relative advantages, related cost on Cloud Computing, competition intensity and supplier accessibility are crucial determinants affecting Cloud Computing adoption for Penang manufacturers. Meanwhile, IT governance structure was found significantly moderate the relationship between technology complexity, organization size, competition intensity and Cloud Computing adoption. Findings from this research help the Malaysia manufacturers to integrate the research framework in their current business model and to support both Malaysia manufacturers and Cloud Computing services providers’ policies and concerns.
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Keywords
Relationship between technological , and cloud computing adoption