Science Research Management ›› 2019, Vol. 40 ›› Issue (11): 175-184.

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An empirical study of switching intention to cloud ERP systems from the perspective of multiple theories

Zhang Yuwei1, Xing Wen2, Xu Qian1, Guan Jixing3   

  1. 1. College of Economics and Management, China Jiliang University, Hangzhou 310018, Zhejiang, China; 
    2. School of Communication, Hong Kong Baptist University, Hong Kong 999077, China; 
    3. Citigroup Services and Technology (China) Limited, Shanghai 200000, China
  • Received:2016-11-09 Revised:2018-06-08 Online:2019-11-20 Published:2019-11-25

Abstract: With the continuous development of cloud computing, enterprise information technology has undergone major changes. Users can use cloud computing services to seamlessly link their information through any device anywhere anytime. Due to the many advantages of cloud services, the gradual maturity of technology, and the support of national industrial policies, the cloud computing industry has ushered in a rapid development stage. According to International Data Corporation, global cloud computing information technology infrastructure investment will grow from $37.1 billion to $59.5 billion from 2016 to 2020. In the future, factors such as big data will bring more opportunities to cloud computing industry and will accelerate the development of cloud computing application models.
Cloud Enterprise Resource Planning (ERP) systems are software under a typical cloud computing architecture that can solve large-scale concurrent applications, cluster management, mass storage, and complex functions. Cloud ERP systems can be software as a service (SaaS, Software as a Service), which can be used at any time, expands at any time, and on-demand. Enterprises pay for the needed service and do not need to pay the copyright license fee, which helps enterprises to save a large amount of ERP system costs. Compared with traditional ERP systems, information technology hardware deployment is required, the software implementation is cumbersome, and the price is high. The progress and advantages of cloud ERP systems are more obvious, so more and more enterprises are willing to consider adopting cloud ERP systems.
Relevant research on the adoption and acceptation of new technologies has a certain academic foundation in the contexts ofERP systems and cloud computing. However, in most enterprises, enterprise information systems has been deployed, and the advantages of cloud computing have been widely recognized. More practical considerations should be the switching issue from traditional enterprise information systems to cloud enterprise information systems. Switching to information technology is mainly targeted at the application software used by individuals, such as the switching of browsers, the switching between two e-commerce platforms or the switching to cloud office applications, but no prior works is dedicated to the switching to enterprise information systems in enterprises.
When adopting application software, individuals simply pay attention to the benefits brought by the system and the ease of use of the system interface. Past research pointed out that individuals switch to other browsers because of the usefulness, ease of use, and security of the browser. Individuals switch to the e-commerce platform because of the benefits of the website function. However, when enterprises adopt enterprise information systems, enterprise information systems implementation involves a larger scale of information storage transmission, which requires a more comprehensive evaluation. When enterprises must switch all internal processes and information to cloud platform, the stability of the cloud system, the real-time and integration of information, and the maintenance of cloud service providers are all important. As a result, personal applications and enterprise information systems applications are completely different, so companies should consider more factors when switching to cloud enterprise information systems.
This study investigates the intention to switch to cloud enterprise information systems. The cloud ERP system is a common application of public cloud services, so we target at cloud ERP systems. We develop a theoretical framework for enterprise information systems based on the technology acceptance model and the information systems success model. The technology acceptance model posited that the individual’s behavioral intention is determined by perceived usefulness and perceived ease of use. Because cloud ERP systems continue the basic characteristics of ERP systems, such as high-performance systems, timely information, and the service quality provided by cloud service providers, it may be useful to evaluate the usefulness of enterprises’ switching to cloud ERP systems. In addition, the user interface of cloud ERP systems will also affect users’ evaluation. The information systems success model posited that information quality, system quality and service quality are the three main determinants of information system adoption. Enterprise information systems success literature verified the contribution of the information systems success model in enterprise information systems research.
This study aims to investigate the factors affecting enterprises’ switching to cloud ERP systems. The integrated multi-theoretical model provides a clear clue to study the intention to switch. Therefore, this study combines the technology acceptance model and the information systems success model to investigate enterprises’ intention to switch to cloud ERP systems from a multi-theoretical perspective. Based on the technology acceptance model, the factors affecting the intention to switch are divided into perceived usefulness and perceived ease of use. Based on the previously proposed information systems success model, the factors affecting perceived usefulness are divided into information quality, system quality and service quality.
After analyzing the survey data, this study found that information quality and system quality have a significant impact on perceived usefulness, further indicating that enterprise managers focus on the system quality and information quality of cloud ERP systems, rather than the service quality provided by cloud service providers. Furthermore, we found that perceived ease of use has a significant impact on perceived usefulness, while perceived ease of use and perceived usefulness have a significant impact on the intention to switch. In summary, it is explained that enterprise managers’ intention to switch to cloud ERP systems depends on perceived usefulness and perceived ease of use, and usefulness is determined by ease of use, information quality and system quality.
It is easy to understand that this study theoretically provides some suggestions for future research on the factors affecting the intention to switch to cloud ERP systems. In practice, it provides cloud service providers with the key to facilitate enterprises’ intention to switch to cloud ERP systems, that is, high performance and easy to use ERP system.

Key words: cloud ERP system, information systems success model, technology acceptance model