Skip to main content

The Role of Innovation in Cloud–Based ERP Adoption

  • Conference paper
  • First Online:
Computer Information Systems and Industrial Management (CISIM 2019)

Abstract

Enterprise resource planning based on cloud computing provides modern software solutions for the organizations. Furthermore, although there are several different studies for each topic of information systems, such as the illustrious theories of technology adoption (TAM, UTAUT), the related theories of innovation (DOI, TOE), there are not many works, which integrate with the various theories of information systems. This study investigates the role of innovation in the adoption of enterprise resource planning based on cloud computing. A total of 232 cloud–based ERP participants have been surveyed and analyzed by structural equation modeling. The findings demonstrate the components of technology–organization–environment (TOE) and the concept of innovation in the structural relationships with technology adoption. Interestingly, innovation has a positive effect on the cloud–based ERP adoption.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. Ajzen, I.: From intentions to actions: a theory of planned behavior. In: Kuhl, J., Beckmann, J. (eds.) Action Control, pp. 11–39. Springer, Heidelberg (1985)

    Chapter  Google Scholar 

  2. Akter, S., Wamba, S., Ambra, J.: Enabling service systems by modeling quality. Int. J. Prod. Econ. 207, 210–226 (2019)

    Article  Google Scholar 

  3. Albar, A., Hoque, M.: Factors affecting cloud ERP adoption in Saudi Arabia: an empirical study. Inform. Dev. 35(1), 150–164 (2019)

    Article  Google Scholar 

  4. Ali, O., Soar, J.: Technology innovation adoption theories. In: Technology Adoption and Social Issues: Concepts, Methodologies, Tools, and Applications, pp. 821–860. IGI Global (2018)

    Google Scholar 

  5. Alshamaila, Y., Papagiannidis, S., Li, F.: Cloud computing adoption by SMEs in the north east of England: a multi–perspective framework. J. Enterp. Inform. Manag. 26(3), 250–275 (2013)

    Article  Google Scholar 

  6. Awa, H., Ojiabo, O., Emecheta, B.: Integrating TAM, TPB and TOE frameworks and expanding their characteristic constructs for e–commerce adoption by SMEs. J. Sci. Technol. Policy Manag. 6(1), 76–94 (2015)

    Article  Google Scholar 

  7. Bharati, P., Chaudhury, A.: Studying the current status of technology adoption. Commun. ACM 49(10), 88–93 (2006)

    Article  Google Scholar 

  8. Binsawad, M., Sohaib, O., Hawryszkiewycz, I.: Factors impacting technology business incubator performance. Int. J. Innov. Manag. 23(01), 1950007 (2019)

    Article  Google Scholar 

  9. Charland, P., Leger, P., Cronan, T., Robert, J.: Developing and assessing ERP competencies: basic and complex knowledge. J. Comput. Inform. Syst. 56(1), 31–39 (2016)

    Google Scholar 

  10. Chen, M., Lin, Y., Huang, W.: The study on firm acceptance of cloud service introduction from the innovation diffusion theory. Int. J. Appl. Syst. Stud. 7(3), 117–137 (2017)

    Article  Google Scholar 

  11. Corfield, A., Paton, R.: Investigating knowledge management: can KM really change organisational culture? J. Knowl. Manag. 20(1), 88–103 (2016)

    Article  Google Scholar 

  12. Damanpour, F.: Organizational complexity and innovation: developing and testing multiple contingency models. Manag. Sci. 42(5), 693–716 (1996)

    Article  MATH  Google Scholar 

  13. Davis, F.: Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Q. 13(3), 319–340 (1989)

    Article  Google Scholar 

  14. Deshpande, R., Webster, F.: Organizational culture and marketing: defining the research agenda. J. Mark. 53(1), 3–15 (1989)

    Article  Google Scholar 

  15. DeZubielqui, G., Lindsay, N., Lindsay, W., Jones, J.: Knowledge quality, innovation and firm performance: a study of knowledge transfer in SMEs. Small Bus. Econ. 53(1), 145–164 (2019)

    Article  Google Scholar 

  16. Fishbein, M., Ajzen, I.: Belief Attitude Intention and Behavior An Introduction to Theory and Research. Addison–Wesley, Reading (1975)

    Google Scholar 

  17. Frambach, R., Barkema, H., Nooteboom, B., Wedel, M.: Adoption of a service innovation in the business market: an empirical test of supply–side variables. J. Bus. Res. 41(2), 161–174 (1998)

    Article  Google Scholar 

  18. Gangwar, H., Date, H., Ramaswamy, R.: Understanding determinants of cloud computing adoption using an integrated TAM–TOE model. J. Enterp. Inform. Manag. 28(1), 107–130 (2015)

    Article  Google Scholar 

  19. Gonzalez, R., DeMelo, T.: The effects of organization context on knowledge exploration and exploitation. J. Bus. Res. 90, 215–225 (2018)

    Article  Google Scholar 

  20. Gupta, S., Kumar, S., Singh, S., Foropon, C., Chandra, C.: Role of cloud ERP on the performance of an organization: contingent resource based view perspective. Int. J. Logistics Manag. 29(2), 659–675 (2018)

    Article  Google Scholar 

  21. Gutierrez, A., Boukrami, E., Lumsden, R.: Technological, organisational and environmental factors influencing managers’ decision to adopt cloud computing in the UK. J. Enterp. Inform. Manag. 28(6), 788–807 (2015)

    Article  Google Scholar 

  22. Hashem, I., Yaqoob, I., Anuar, N., Mokhtar, S., Gani, A., Khan, S.: The rise of “big data” on cloud computing: review and open research issues. Inform. Syst. 47, 98–115 (2015)

    Article  Google Scholar 

  23. Higgins, J.: Innovation: the core competence. Plann. Rev. 23(6), 32–36 (1995)

    Article  Google Scholar 

  24. Hofstede, G.: Organizations and Cultures: Software of the Mind. McGrawHill, London (1991)

    Google Scholar 

  25. Cruz-Jesus, F., Oliveira, T., Naranjo, M.: Understanding the adoption of business analytics and intelligence. In: Rocha, Á., Adeli, H., Reis, L.P., Costanzo, S. (eds.) WorldCIST 2018 2018. AISC, vol. 745, pp. 1094–1103. Springer, Cham (2018). https://doi.org/10.1007/978-3-319-77703-0_106

    Chapter  Google Scholar 

  26. Kim, D., Hebeler, J., Yoon, V., Davis, F.: Exploring determinants of semantic web technology adoption from IT professionals’ perspective: Industry competition, organization innovativeness, and data management capability. Comput. Hum. Behav. 86, 18–33 (2018)

    Article  Google Scholar 

  27. Klaus, H., Rosemann, M., Gable, G.: What is ERP? Inform. Syst. Front. 2(2), 141–162 (2000)

    Article  Google Scholar 

  28. Liu, H., Wang, X.: Strategy research of enterprise information planning based on TOE–TAM model: case study for ERP implementation of a discrete manufacturing. In: DBTA Proceedings (2010)

    Google Scholar 

  29. Majumdar, S., Venkataraman, S.: New technology adoption in US telecommunications: the role of competitive pressures and firm–level inducements. Res. Policy 22, 521–536 (1993)

    Article  Google Scholar 

  30. Marston, S., Li, Z., Bandyopadhyay, S., Zhang, J., Ghalsasi, A.: Cloud computing–the business perspective. Decis. Supp. Syst. 51(1), 176–189 (2011)

    Article  Google Scholar 

  31. Mell, P., Grance, T.: The NIST definition of cloud computing. In: NIST Special Publication 800–145. NIST (2011)

    Google Scholar 

  32. Moore, G., Benbasat, I.: Integrating diffusion of innovations and theory of reasoned action models to predict utilization of information technology by end–users. In: Kautz, K., Pries-Heje, J. (eds.) Diffusion and Adoption of Information Technology, pp. 132–146. Springer, Boston (1996)

    Chapter  Google Scholar 

  33. Nguyen, T.D.: A structural model for the success of information systems projects. Sci. Technol. Dev. J. 18(2), 109–120 (2015)

    Article  MathSciNet  Google Scholar 

  34. Nguyen, T.D., Nguyen, T.T., Misra, S.: Cloud-based ERP solution for modern education in Vietnam. In: Dang, T.K., Wagner, R., Neuhold, E., Takizawa, M., Küng, J., Thoai, N. (eds.) FDSE 2014. LNCS, vol. 8860, pp. 234–247. Springer, Cham (2014). https://doi.org/10.1007/978-3-319-12778-1_18

    Chapter  Google Scholar 

  35. Oliveira, T., Martins, M.: Understanding e–business adoption across industries in European countries. Industr. Manag. Data Syst. 110(9), 1337–1354 (2010)

    Article  Google Scholar 

  36. Oturakci, M., Yuregir, O.: New approach to Rogers’ innovation characteristics and comparative implementation study. J. Eng. Technol. Manag. 47, 53–67 (2018)

    Article  Google Scholar 

  37. Pearlson, K., Saunders, C., Galletta, D.: Managing and Using Information Systems: A Strategic Approach, 7th edn. Wiley, New York (2016)

    Google Scholar 

  38. Pitt, L., Berthon, P., Robson, M., Prendegast, G.: Does corporate entrepreneurship influence innovation in service firms? In: WMC 1997 Proceedings, pp. 639–645 (2015)

    Google Scholar 

  39. Porter, M., Millar, V.: How information gives you competitive advantage. Harvard Bus. Rev. 63(4), 149–160 (1985)

    Google Scholar 

  40. Rich, D., Dibbern, J.: A team–oriented investigation of ERP post–implementation integration projects: how cross–functional collaboration influences ERP benefits. In: Piazolo, F., Felderer, M. (eds.) Innovation and Future of Enterprise Information Systems, pp. 115–127. Springer, Heidelberg (2013)

    Chapter  Google Scholar 

  41. Rogers, E.: Diffusion of Innovations: Simon & Schuster (1995)

    Google Scholar 

  42. Rouhani, S., Mehri, M.: Does ERP have benefits on the business intelligence readiness? an empirical study. Int. J. Inform. Syst. Change Manag. 8(2), 81–105 (2016)

    Google Scholar 

  43. Silver, M., Markus, M., Beath, C.: The information technology interaction model: a foundation for the MBA core course. MIS Q. 19(3), 361–390 (1995)

    Article  Google Scholar 

  44. Stanko, M.: Toward a theory of remixing in online innovation communities. Inform. Syst. Res. 27(4), 773–791 (2016)

    Article  Google Scholar 

  45. Themistocleous, M.: Justifying the decisions for EAI implementations: a validated proposition of influential factors. J. Enterp. Inform. Manag. 17(2), 85–104 (2004)

    Article  Google Scholar 

  46. Tornatzky, L., Fleischer, M., Chakrabarti, A.: The processes of technological innovation. Lexington Books, Lexington (1990)

    Google Scholar 

  47. Tornatzky, L., Klein, K.: Innovation characteristics and innovation adoption–implementation: a meta–analysis of findings. IEEE Trans. Eng. Manag. 29(1), 28–45 (1982)

    Article  Google Scholar 

  48. Usman, U., Ahmad, M., Zakariya, N.: Factors influencing cloud enterprise resource planning adoption in SMEs. In: Information Science & Applications, pp. 235–245 (2016)

    Google Scholar 

  49. VCCI: Statistical report on ICT usage in enterprises, Vietnam Chamber of Commerce and Industry (2018)

    Google Scholar 

  50. Velte, A., Velte, T., Elsenpeter, R.: Cloud Computing: A Practical Approach. McGraw–Hill, New York (2010)

    Google Scholar 

  51. Venkatesh, V., Morris, M., Davis, G., Davis, F.: User acceptance of information technology: toward a unified view. MIS Q. 27(3), 425–478 (2003)

    Article  Google Scholar 

  52. Venkatesh, V., Thong, J., Xu, X.: Consumer acceptance and use of information technology: extending the unified theory of acceptance and use of technology. MIS Q. 36(1), 157–178 (2012)

    Article  Google Scholar 

  53. Weill, P., Broadbent, M.: Leveraging the New Infrastructure: How Market Leaders Capitalize on Information Technology. Harvard Business, Boston (1998)

    Google Scholar 

  54. Zahra, B., Egide, K., Diane, P.: Technology adoption and diffusion: a new application of the UTAUT model. Int. J. Innov. Technol. Manag. 15(06), 1950004 (2018)

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Thanh D. Nguyen .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Nguyen, T.D., Huynh, T.T., Van, U.H., Pham, T.M. (2019). The Role of Innovation in Cloud–Based ERP Adoption. In: Saeed, K., Chaki, R., Janev, V. (eds) Computer Information Systems and Industrial Management. CISIM 2019. Lecture Notes in Computer Science(), vol 11703. Springer, Cham. https://doi.org/10.1007/978-3-030-28957-7_20

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-28957-7_20

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-28956-0

  • Online ISBN: 978-3-030-28957-7

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics