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An analysis of use of cloud enterprise resource planning systems in South Africa

Due to innovation, Information Technology (IT) is changing all the time. One of the fast growing IT innovations is cloud computing. The phenomenon of cloud computing has changed the way that business consumes IT and in particular Enterprise Resource Planning (ERP) systems. This phenomenon has led to a need for research in the field of cloud ERP systems. A review of the literature revealed a gap in research related to cloud ERP systems and particularly to the adoption of these systems in South African companies. Only a few studies have been done regarding the adoption of cloud computing in South Africa, and the extent of adoption of cloud ERP systems in South Africa is not known. This study set out to answer the research question “What is the extent of understanding and adoption of ERP system in South African companies?” The study will be useful to the ERP industry in understanding the level of adoption of and perceptions about cloud ERP systems by South African companies. In order to answer the research question a survey research strategy was adopted and was of an exploratory nature. The sample was composed of IT professionals and line managers in South African companies. Questionnaires were sent via web link and 41 complete responses were obtained. The results showed that the respondents had a good understanding of the advantages/benefits of cloud ERP systems. However, a lack of clear understanding of the disadvantages/drawbacks of cloud ERP systems was evident in the research data which could lead to non-adoption of cloud ERP systems. Adoption of cloud ERP systems was highest in the engineering, manufacturing and IT sector. It was evident that IaaS and PaaS have not been adopted at all. The majority of the companies (60 percent) that had adopted cloud ERP systems were SMEs. This is in line with international studies that show that SMEs are driving the change in IT innovation such as cloud ERP systems.

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:8874
Date January 2015
CreatorsAtukwase, Denise
PublisherNelson Mandela Metropolitan University, Faculty of Business and Economic Sciences
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeThesis, Masters, MBA
Formatix, 96 leaves, pdf
RightsNelson Mandela Metropolitan University

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