Premium
Will cloud computing make the I nformation T echnology ( IT ) d epartment obsolete?
Author(s) -
Vithayathil Joseph
Publication year - 2018
Publication title -
information systems journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.635
H-Index - 89
eISSN - 1365-2575
pISSN - 1350-1917
DOI - 10.1111/isj.12151
Subject(s) - cloud computing , corporate governance , business , forcing (mathematics) , computer science , competitive advantage , process management , knowledge management , marketing , operating system , finance , climatology , geology
Abstract The rapid adoption and growth of cloud computing is creating unprecedented change in the manner in which IT services are procured, managed, and deployed. Cloud computing is forcing firms to rethink traditional IT governance practices while raising new and fundamental questions for scholars and practitioners. This paper identifies the major areas of change and highlights governance issues that arise with the adoption of cloud computing. The focus of this paper is on the organizational impact on IT governance under cloud computing. The paper posits (1) that successful IT departments under cloud computing will transform into new roles that address internal customer‐facing issues and external cloud‐facing issues, (2) firms that mitigate information asymmetry under cloud computing will show higher firm performance, and (3) firms that offer superior cloud‐sourced IT service attributes of internal prices, quality, variety, and competition in the cloud will show higher firm performance.