Cloud implementation in organizations: Critical success factors, challenges, and impacts on the it function

Organizations have been forced to rethink business models and restructure facilities through IT innovation as they have faced the challenges arising from globalization, mergers and acquisitions, big data, and the ever-changing demands of customers. Cloud computing has emerged as a new computing paradigm that has fundamentally shaped the business model in terms of how IT services are developed and delivered. A lot of conversations about cloud technologies can be observed in blogs, workshops, magazines, and industry reports, but there seems to be a paucity of either research or formal theorizing with respect to cloud computing implementation in organizations.;This dissertation develops a new theoretical framework with which to conceptualize the bidirectional relationships between IT departments and cloud computing implementation. The research seeks to achieve two key objectives. The first is to examine the factors that influence the success of cloud computing implementation in organizations. For this objective, a qualitative study using interview data and grounded theory was conducted. A taxonomy of both the Critical Success Factors (CSFs) and the challenges facing cloud implementation is developed, drawing on theories from organization and management studies. The study on CSFs and challenges indicates that a successful cloud computing implementation not only calls for a good understanding of cloud technologies, but requires a lot effort in, for example, mobilizing internal and external resources; dedicated architectural design; overcoming organization-specific challenges; and addressing political and cultural issues arising inside the IT department. The second objective is to investigate the impacts of implementing cloud computing on the IT function. To achieve this objective, a case study of two community cloud models was conducted. The study has identified a range of areas where the IT function can be impacted as a result of cloud implementation. These areas include the role and functionality; IT leadership; skills and jobs; IT staffing; formal structure; and workplace culture. Propositions with specific observations are provided to show how the IT function can be shaped in each affected area.;This dissertation contributes to the literature by extending extant CSF theory into the novel context of cloud computing implementation. It also develops new mid-range theories on ITenabled organizational change by exclusively focusing on the overlooked effects that an IT innovation can bring about within the IT departments. In addition, this research offers a number of actionable strategies for practitioners regarding how to make cloud implementation successful, and it highlights the importance of anticipating the potential business impacts of cloud computing on IT departments.