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Empirical Insights into Cloud Adoption: A new Model Exploring Influencing Factors for Saudi Arabian Small and Medium Enterprises

Alqahtani Mohammed, Beloff Natalia, White Martin

Annals of Computer Science and Information Systems

2024

Vol. 39

75--85

Cloud computing technology has emerged as a crucial driver of success for Small and Medium Enterprises (SMEs) globally, accelerating work processes and optimizing operations. Notably, SMEs in developed nations, including the United States and the United Kingdom, have proactively harnessed Cloud computing services, reaping substantial benefits in operational efficiency and time utilization. However, in many developing countries, including Saudi Arabia, most SMEs continue to rely on traditional technology, such as On-Premises Servers, instead of Cloud computing services. To investigate the factors influencing Cloud adoption, a new empirical model, the Adoption of Cloud Computing Model for Saudi Arabian SMEs (ACCM-SME), was developed. This study collected quantitative data from 412 participants representing Saudi SMEs in Riyadh city. The empirical data analysis revealed that 12 out of the 17 tested hypotheses exhibited significant positive influence, while five hypotheses failed to meet the specified research criteria and were consequently rejected. This research underscores the critical need to accelerate Cloud technology adoption among SMEs in developing countries, particularly Saudi Arabia. Bridging this technology gap has the potential to significantly enhance SMEs' competitiveness and operational efficiency, contributing to overall economic development. The ACCM-SME model provides nuanced insights into the factors influencing Cloud adoption, guiding further research. The study's rejected hypotheses highlight areas requiring attention for successful adoption. Policymakers and business leaders can leverage these findings to formulate strategies that facilitate Cloud adoption among SMEs.