Understanding the business strategy factors that drive the business impacts of cloud computing

Abstract

Organizations are faced with business environments that rapidly change and are fiercely competitive. Information Technology (IT) can assist the organization to achieve business value, provided it is an enabler. The purpose of this paper is to investigate various business strategy categories, and align those to the various cloud computing options available to organizations may undertake. To achieve this objective, literature was reviewed to provide insight into cloud computing, organizational impacts, business strategies, the role IT plays within an organization, and finally the various strategic contributions cloud computing. The findings revealed that organizations adopting IT to achieve business value should at minimum consider the role of their management staff, the organizational agility, and the organizational culture. From a business strategy perspective it is important to understand the type of business strategy the organization is undertaking, its strategic position, and what execution strategy will be applied. Strategically, IT can assist in playing various roles and require an understanding of the organizational view of IT. This research enables a better understanding of how cloud computing can contribute towards business strategy; provides a consolidated view of consideration when adopting cloud computing within an organization; and insight into what level of strategic contribution each form of cloud computing option provides towards a business strategy.