The Impact of Cloud-Based Digital Transformation on IT Service Providers

2017 ◽  
Vol 7 (4) ◽  
pp. 1-19 ◽  
Author(s):  
Trevor Clohessy ◽  
Thomas Acton ◽  
Lorraine Morgan

Cloud-based digital transformation is having a profound impact on new and incumbent information technology service providers. In transitioning from traditional to cloud-based service provision, some IT service providers are experiencing substantial difficulties in realizing effective business models. Taking the perspective of 20 large business model mature and small and medium enterprise born-on-the-cloud multinational IT service providers, this focus group study contributes to the dearth of research examining the broader impact of cloud computing on IT service providers' business model. The study provides two core insights. First, using the STOF business model framework, the paper provides a vivid contextual understanding of the nuanced impact of cloud computing along four core business model domains: service, technological, organisational and financial. Second, the study identifies a number of salient challenges which are impacting IT service providers' efforts to effectively leverage the benefits of cloud-based digital transformation.

2020 ◽  
pp. 1495-1514
Author(s):  
Trevor Clohessy ◽  
Thomas Acton ◽  
Lorraine Morgan

Cloud-based digital transformation is having a profound impact on new and incumbent information technology service providers. In transitioning from traditional to cloud-based service provision, some IT service providers are experiencing substantial difficulties in realizing effective business models. Taking the perspective of 20 large business model mature and small and medium enterprise born-on-the-cloud multinational IT service providers, this focus group study contributes to the dearth of research examining the broader impact of cloud computing on IT service providers' business model. The study provides two core insights. First, using the STOF business model framework, the paper provides a vivid contextual understanding of the nuanced impact of cloud computing along four core business model domains: service, technological, organisational and financial. Second, the study identifies a number of salient challenges which are impacting IT service providers' efforts to effectively leverage the benefits of cloud-based digital transformation.


Organizacija ◽  
2017 ◽  
Vol 50 (3) ◽  
pp. 255-272 ◽  
Author(s):  
Kristina Bogataj Habjan ◽  
Andreja Pucihar

Abstract Background and Purpose: Bringing several opportunities for more effective and efficient IT governance and service exploitation, cloud computing is expected to impact the European and global economies significantly. Market data show that despite many advantages and promised benefits the adoption of cloud computing is not as fast and widespread as foreseen. This situation shows the need for further exploration of the potentials of cloud computing and its implementation on the market. The purpose of this research was to identify individual business model factors with the highest impact on cloud computing adoption. In addition, the aim was to identify the differences in opinion regarding the importance of business model factors on cloud computing adoption according to companies’ previous experiences with cloud computing services. Methodology: Based on literature review, prior research results, and interviews with cloud computing providers and users, a research model was developed. Statistical analysis focused on identification of factors’ importance on cloud computing adoption and differences in opinions according to respondents’ previous experiences with cloud computing services. The study was done among 80 companies and five major cloud computing providers in Slovenia. Results: The research results reveal statistically significant differences in opinions on the importance of cloud computing business model factors according to respondents’ previous experiences with cloud computing services. The results can provide orientation for redesign or innovation of existing business models towards the creation of a customer-oriented business model for the more successful exploitation of cloud computing services and business opportunities. For potential users, the findings represent guidelines for the successful adoption of cloud computing services. Conclusions: In our research, the investigated business model factors could be classified into so-called “business model organizational factors”, as they primarily need to be considered by cloud service providers when defining or innovating their business models. For future research, the model should also include the impact of environmental factors, such as Competition, Business Partners, Legislation, Economic Situation, in order to investigate their impact on cloud adoption.


Author(s):  
Ramamurthy Venkatesh ◽  
Liju Mathew ◽  
Tarun Kumar Singhal

Despite the increasing pace of digital transformation initiatives across many industry verticals, lack of understanding among business leadership is cited as one of the major barriers for successful implementation of business transformation. This article explores the imperatives of business models and digital transformation from practical perspective and proposes an improvised business model framework with particular focus on digital services providers. Extant literature covering the trends of business models and digital transformation were reviewed qualitatively along with select reports pertaining to challenges faced by communications service providers. Key findings of this article suggest, a practical framework and business model representation to mitigate the challenges of business models and digital transformation. The authors believe, such an approach shall open up new and innovative opportunities for communication service providers to become true digital service providers which will help their business customers to plan and empirically progress with their business transformation efforts.


2022 ◽  
pp. 124-148
Author(s):  
Ignitia Motjolopane ◽  
Tshinakaho Relebogile Seaba

In a digital arena, information technology services provision is shifting to a cloud computing ecosystem. Cloud computing is an enabler for digital transformation with cloud computing service providers central to the digital transformation of both companies and higher education. As cloud computing service providers play the role of an ‘architect' for companies as supply chain is digitised and in supporting higher education institutions striving to deliver user-focused services in the face of increasing competition, an understanding of successful characteristics of cloud computing service provider business models is of main interest for providers and may also be of value for companies and higher education institutions when selecting cloud computing service providers. Despite the importance of cloud computing service providers' business models, information systems literature has provided limited analysis on the characteristics of successful business models. As such, the chapter aims to contribute to the emerging research on characteristics of successful business models.


2018 ◽  
Vol 2 (4) ◽  
pp. 21-28
Author(s):  

This paper aims to empirically identify the key factors that drive effective innovative business models in the creative industries. There have been various approaches of analyzing the impact and importance of the creative industries but few appears to address the importance of major stakeholders driving innovation potential in this arena. A case study of the Moon Lantern Festival event held in Adelaide South Australia, where it is part of the OzAsia Festival has been adopted in this paper to underline the analyses of this study. Using a systems approach and stakeholder theory this research aims to develop a model that evaluates innovative business practices in major public Performing Arts Festivals. From the case study and its stakeholder analysis a new business model framework is proposed with a focus on organisational culture, idea generation, relationships and collaborations, team work and resource sharing.


2021 ◽  
Vol 38 (3) ◽  
pp. 89-107
Author(s):  
MICHELA MATARAZZO ◽  
LARA PENCO ◽  
GIORGIA PROFUMO

Purpose of the paper: This study examines the impact of digital transformation on business model innovation and internationalization using the context of small and medium-sized firms (SMEs) operating in the Made in Italy. The study attempts to answer the following research questions: 1) How is digital transformation changing the business model of SMEs? 2) How is digital transformation changing the internationalization strategies of SMEs? Methodology: To answer these research questions, we present a multiple case study research on the digital transformation of three Made in Italy SMEs. Results: We found that digital instruments contribute to innovate the business model of all the selected SMEs, creating new distribution channels and new ways to build and deliver value to customers; moreover, the use of social media becomes the driver and the “prerequisite” for internationalisation. Research limitations: The main limitations are related to the limited number of case studies and the difficulty in the replication of results. Practical implications: Focusing on Made in Italy, our study contributes to the existing literature on business model and digital transformation of SMEs. Second, it contributes to the internationalisation literature, identifying new paths for entering new geographical markets. In addition to the theoretical implications, this study provides some managerial implications to accomplish the digital transformation of SMEs operating in Made in Italy. Originality. To the best of our knowledge, the present is the first specific study aimed at investigating this intriguing theme for Made in Italy SMEs.


Author(s):  
Dietmar G. Wiedemann ◽  
Wolfgang Palka ◽  
Key Pousttchi

A sizeable body of research on mobile payment evolved in recent years. Researchers analyzed success factors and acceptance criteria as well as strengths and weaknesses of different mobile payment service providers. This chapter explores business models for mobile payment service provision and mobile payment service enabling. While a mobile payment service provider offers a mobile payment procedure to end-users and merchants, a mobile payment service enabler targets on enabling other companies tooffer mobile payment services. The authors primary contribution is to demonstrate the applicability of a general mobile payment business model framework, which was proposed in prior research. In doing so, they analyze, as an example, the case of SEMOPS as a typical mobile service enabler. Representing any m-payment business model, the resulting framework enables researchers and practitioners for comprehensive analysis of existing and future models and provides a helpful tool for M-Payment business model engineering.


2017 ◽  
Vol 18 (0) ◽  
pp. 79-87
Author(s):  
Katarzyna Dębkowska

Most of the available papers on the logistics sector identify the type of the business model with the type of logistics service providers, distinguishing between three to five business models. These models most often focus, almost exclusively on the complexity of the logistical services and their scope. The more complex a logistic service is, the more benefits it brings to the company. This is a result of the increase in added value and key competences, and a decrease in the intensity of resources usage. Expanding logistics services to include e-services significantly improves the position of a company in the so-called pyramid of logistics services. The purpose of this article is to identify the use of e-services among the enterprises of the logistics sector and to examine the impact of the use of e-services on the quality of the business model. The realization of the objective was possible thanks to a study carried out among the logistics sector companies that participated in the twentieth edition of the Polish ranking of enterprises in the logistics sector. The analysis of the data from the concluded study was conducted with the use of the methods of multivariate statistical analysis: cluster analysis and correspondence analysis. The carried out study of selected companies of the logistics sector leads to the conclusion that the use of e-services in their offer has a positive effect on the quality of the business model. Offering e-services adds value for the customer, as well as the value for the company, as evidenced by the improved financial condition of enterprises that use e-logistics.


2021 ◽  
Vol 11 ◽  
Author(s):  
Selma Vaska ◽  
Maurizio Massaro ◽  
Ernesto Marco Bagarotto ◽  
Francesca Dal Mas

This paper has a two-fold aim: to analyze the development of the digital transformation field, and to understand the impact of digital technologies on business model innovation (BMI) through a structured review of the literature. The results of this research reveal that the field of digital transformation is still developing, with growing interest from researchers since 2014. Results show a need for research in developing countries and for more collaboration between researchers and practitioners. The review highlights that the field is fragmented among disruptive technologies, shared platforms and ecosystems, and new enabling technologies. We conclude that digital transformation has impacted value creation, delivery, and capture in almost every industry. These impacts have led to the employment of a variety of new business models, such as those for frugal innovation and the circular economy.


10.31355/33 ◽  
2018 ◽  
Vol 2 ◽  
pp. 105-120
Author(s):  
Hamed Motaghi ◽  
Saeed Nosratabadi ◽  
Thabit Qasem Atobishi

NOTE: THIS ARTICLE WAS PUBLISHED WITH THE INFORMING SCIENCE INSTITUTE. Aim/Purpose................................................................................................................................................................................................. The main objective of the current study is to develop a business model for service providers of cloud computing which is designed based on circular economy principles and can ensure the sustainable consumption. Background Even though the demand for cloud computing technology is increasing day by day in all over the world, the current the linear economy principles are incapable to ensure society development needs. To consider the benefit of the society and the vendors at the same time, the principles of circular economy can address this issue. Methodology................................................................................................................................................................................................. An extensive literature review on consumption, sustainable consumption, circular economic, business model, and cloud computing were conducted. the proposed model of Osterwalder, Pigneur and Tucci (2005) is admitted designing the circular business model. Contribution................................................................................................................................................................................................. The proposed model of the study is the contribution of this study where provides the guidelines for the cloud computing service providers to achieve both their economic profits and the society’ needs. Findings Finding reveals that if the cloud computing service providers design their business model based on the “access” principle of circular economy, they can meet their economic profits and the society’ needs at a same time. Recommendations for Practitioners.............................................................................................................................................................. It is recommended to the startup and the existing businesses to utilize the proposed model of this study to reach a sustainable development. Recommendation for Researchers................................................................................................................................................................ It proposes a new circular business model and its linkages with community building. Impact on Society............................................................................................................................................................................................ The proposed model of the study provides guidelines to the cloud computing service providers to design a business model which is able not only to meet their economic profit, but also to meet the society’s and customers’ benefits. Future Research............................................................................................................................................................................................... Future researches can build on this research model which proposed in this study to examine the limitations of this model by using empirical researches.


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