Role of cloud ERP on the performance of an organization: Contingent resource-based view perspective

Shivam Gupta, Sameer Kumar, Sanjay Kumar Singh, Cyril Foropon, Charu Chandra

Research output: Contribution to journalArticlepeer-review

106 Citations (Scopus)

Abstract

Purpose: Cloud-based enterprise resource planning (ERP) enables an organization to pay for the services they need and removes the need to maintain information technology infrastructure. The purpose of this paper is to empirically test the role of cloud-based ERP services on the performance of an organization. Here, the performance is categorized as supply chain performance and organizational performance that comprises of financial performance and marketing performance. Contingent resource-based view (RBV) theory was used to develop a theoretical framework in which supply base complexity (SBC) acts as a moderating variable on the relationship between cloud ERP and the performance. Design/methodology/approach: Contingent RBV theory is used to explain the relationship between all identified variables in this paper. Partial least squares (PLS) based on structural equation modeling (SEM) is used to empirically test our theoretical framework. Findings: The PLS-SEM analysis of 154 respondents supports the contingent RBV theory. Six hypotheses – out of the eight hypotheses formulated in this paper – are supported by data. Research limitations/implications: Given this study was conducted in India where the potential of cloud ERP has not been fully implemented yet, the results may reflect more of perceived usefulness of this technology. The authors have attempted to understand the effect of SBC as a moderator in the relationship between cloud ERP and organizational performance which may not be the only moderator affecting this relationship among other potential moderators. Originality/value: This paper empirically validates the theoretical framework based on the contingent RBV theory as it mitigates the static nature of the resource-based view approach suggested in the seminal article of Barney (1991).

Original languageEnglish
Pages (from-to)659-675
Number of pages17
JournalInternational Journal of Logistics Management
Volume29
Issue number2
DOIs
Publication statusPublished - 14 May 2018

Keywords

  • Cloud ERP
  • Contingent resource-based view
  • India
  • Information technology
  • Logistics competences
  • Organizational performance
  • Process management
  • Structural equation modelling
  • Supply base complexity
  • Supply chain competences
  • Supply chain performance
  • Supply chain processes

ASJC Scopus subject areas

  • Business and International Management
  • Transportation

Fingerprint

Dive into the research topics of 'Role of cloud ERP on the performance of an organization: Contingent resource-based view perspective'. Together they form a unique fingerprint.

Cite this