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Cloud Computing and Impact Factors – An Empirical Investigation Niki Kyriakou • [email protected]

Cloud Computing and Impact Factors - An Empirical Investigation

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Page 1: Cloud Computing and Impact Factors - An Empirical Investigation

Cloud Computing and Impact Factors – An Empirical Investigation

Niki Kyriakou • [email protected]

Page 2: Cloud Computing and Impact Factors - An Empirical Investigation

Research Objective• The adoption of the various types of Cloud Computing (IaaS, PaaS, SaaS) by firms• Their impact on various aspects of business operation and performance, such as:

o ICT support cost and qualityo Exploitation of new ICTso Product/service innovationo Process innovationo Business agilityo Overall business performance

• Comparative study in three countries with different levels of economic and technological development: Greece, Switzerland, the Netherlands

• The effects of the ongoing economic crisis in Greece on CC adoption and impact

Page 3: Cloud Computing and Impact Factors - An Empirical Investigation

…the Road so Far

Page 4: Cloud Computing and Impact Factors - An Empirical Investigation

ORGANIZATIONAL FACTORS AFFECTING PROPENSITY TO ADOPT CLOUD COMPUTING

Relative Frequencies & CorrelationsRelative Frequency (%)

Pearson Correlation

Prosp_Cloud 12.4 1d_large 12.6 .101d_medium 33.6 .055ICT_invest_red 23.2 .165Prodinn 36.5 .115ICT_pers 26.5 .160ICT_ous 16.4 .124ICT_Infr_Soph .191ERP 32.0SCM 13.5CRM 23.5SRM 12.1

Estimated Models of Propensity to Adopt Cloud Computing

Model 1 Model 2d_large 2.089 1.225

d_medium 1.511 1.193

Prodinn 1.619 1.395

ICT_invest_red 2.268 1.867

ICT_pers 1.612

ICT_outs 1.735

ICT_Infr_Soph 3.079

Page 5: Cloud Computing and Impact Factors - An Empirical Investigation

OPERATIONAL AND INNOVATION COLLABORATION AND CLOUD COMPUTING (1/2)

Whole SampleIndependent Variable Sommer’s

DKendall tau-b

Operational CollaborationGeographic Scope of Sales .011 .013Geographic Scope of Procurement .016 .018

Electronic Operational CollaborationUse of SCM systems .190 .190Electronic sharing of information on inventory levels with suppliers

.052 .052

Electronic Orders from customers .053 .054Electronic invoicing .124 .131

Innovation CollaborationInvolvement of other firms in product/service innovations

.130 .131

Involvement of other firms in process innovations

.162 .166

Electronic Innovation CollaborationUse of software applications to collaborate with other firms for product/service or process innovations

.153 .153

Small FirmsIndependent Variable Sommer’s

DKendall tau-b

Operational CollaborationGeographic Scope of Sales -.069 -.084Geographic Scope of Procurement -.003 -.004

Electronic Operational CollaborationUse of SCM systems .110 .110Electronic sharing of information on inventory levels with suppliers

.090 .091

Electronic Orders from customers .113 .117Electronic invoicing .190 .208

Innovation CollaborationInvolvement of other firms in product/service innovations

.117 .118

Involvement of other firms in process innovations

.216 .220

Electronic Innovation CollaborationUse of software applications to collaborate with other firms for product/service or process innovations

.119 .120

Page 6: Cloud Computing and Impact Factors - An Empirical Investigation

OPERATIONAL AND INNOVATION COLLABORATION AND CLOUD COMPUTING (2/2)

Large FirmsIndependent Variable Sommer’s

DKendall tau-b

Operational CollaborationGeographic Scope of Sales .041 .044Geographic Scope of Procurement .014 .015

Electronic Operational CollaborationUse of SCM systems .216 .217Electronic sharing of information on inventory levels with suppliers

.009 .009

Electronic Orders from customers -.008 -.007Electronic invoicing .043 .045

Innovation CollaborationInvolvement of other firms in product/service innovations

.112 .113

Involvement of other firms in process innovations

.093 .095

Electronic Innovation CollaborationUse of software applications to collaborate with other firms for product/service or process innovations

.159 .160

Page 7: Cloud Computing and Impact Factors - An Empirical Investigation

THE EFFECT OF ICT INFRASTRUCTURE SOPHISTICATION AND INTERCONNECTION ON THE PROPENSITY FOR CLOUD COMPUTING ADOPTION

Independent Variable Sig of X2 test

Sommer’s D

Kendall tau-b

Sophistication of administrative support ICT Infrastructure

.000 .144 .163

Sophistication of production support ICT infrastructure

.003 .081 .091

Electronic Interconnection with suppliers

.000 .133 .139

Electronic Interconnection with customers

.001 .141 .143

Page 8: Cloud Computing and Impact Factors - An Empirical Investigation

FIRM CHARACTERISTICS AND PROPENSITY FOR CLOUD COMPUTING ADOPTION (1/2)

Whole SampleIndependent Variable Sommer’s

DKendall tau-b

IT Investment Reduction Strategy .162 .166Product/Service Innovation Strategy

.106 .113

Process Innovation Strategy .091 .099Multiple Production Location .033 .035International Scope of Sales .003 .003International Scope of Procurement -..028 -.029Use of Telework .068 .074Sophistication of IT Infrastructure .144 .163

Electronic Interconnection with Suppliers

.133 .139

Electronic Interconnection with Customers

.141 .143

Interest in Data Warehousing .280 .294Interest in Mobile Services .185 .205Employment of IT Personnel .158 .164IT Outsourcing .123 .123

Small SampleIndependent Variable Sommer’s

DKendall tau-b

IT Investment Reduction Strategy .180 .186Product/Service Innovation Strategy .087 .097Process Innovation Strategy .134 .152Multiple Production Location .015 .015International Scope of Sales -.039 -.040International Scope of Procurement .053 .056Use of Telework .074 .082Sophistication of IT Infrastructure .115 .129

Electronic Interconnection with Suppliers

.156 .165

Electronic Interconnection with Customers

.135 .135

Interest in Data Warehousing .448 .460Interest in Mobile Services .309 .348Employment of IT Personnel .210 .217IT Outsourcing .087 .088

Page 9: Cloud Computing and Impact Factors - An Empirical Investigation

FIRM CHARACTERISTICS AND PROPENSITY FOR CLOUD COMPUTING ADOPTION (2/2)

Large FirmsIndependent Variable Sommer’s

DKendall tau-b

IT Investment Reduction Strategy .120 .123Product/Service Innovation Strategy

.092 .096

Process Innovation Strategy .013 .013Multiple Production Location -.012 -.013International Scope of Sales -.002 -.002International Scope of Procurement

-.108 -.108

Use of Telework .001 .001Sophistication of IT Infrastructure .123 .136

Electronic Interconnection with Suppliers

.090 .093

Electronic Interconnection with Customers

.113 .115

Interest in Data Warehousing .155 .163Interest in Mobile Services .049 .053Employment of IT Personnel .085 .088IT Outsourcing .128 .129

Page 10: Cloud Computing and Impact Factors - An Empirical Investigation

1. N. Kyriakou, E. Loukis, The Effect of ICT Infrastructure Sophistication and Interconnection on the Propensity for Cloud Computing Adoption. European, Mediterranean & Middle Eastern Conference on Information Systems 2014 (EMCIS2014), October 2014, Doha, Qatar

2. E. Loukis, N. Kyriakou, Organizational Factors Affecting Propensity to Adopt Cloud Computing. Hawai, January 2015, Grand Hyatt Kauai

3. E. Loukis, N. Kyriakou, K. Pazalos, Operational and Innovation Collaboration and Cloud Computing. European, Mediterranean & Middle Eastern Conference on Innovation Systems 2015 (EMCIS2015), June 2015, Athens, Greece

4. N. Kyriakou, E. Loukis, Firm Characteristics and Propensity for Cloud Computing Adoption. Twenty-First Americas Conference on Information Systems, Puerto Rico, 2015, August 2015, Puerto Rico

Papers

Page 11: Cloud Computing and Impact Factors - An Empirical Investigation

From Now On…• Data Collection

Questionnaire to Greek Firms Cooperation with ETH Zurich and

Delft University to expand the dataset

• Thoughts…Cloud and Suppliers relationCloud Computing Impact ModelsUse of different types of Cloud

Computing

Page 12: Cloud Computing and Impact Factors - An Empirical Investigation

Thank You!!!Niki Kyriakou • [email protected]