2012 45th Hawaii International Conference on System Sciences Technology Acceptance of Cloud Computing: Empirical Evidence from German IT Departments Nicky Opitz University of Göttingen [email protected] Tobias F. Langkau Nils H. Schmidt Lutz M. Kolbe University of Göttingen University of Göttingen University of Göttingen [email protected] [email protected] [email protected] Abstract providers to sell infrastructure, platform and software as a service. Building up on Koehler et al. [4] explanation about the value of different attributes (for example costs) of cloud service configurations from a consumer perspective, we resolve the research question: In this article, we examine the technology acceptance of cloud computing by analyzing empirical data from 100 CIOs and IT managers from stock indexed companies using factor analysis. For a valid methodological background we use a modified version of the common Technology Acceptance Model. The outcomes indicate that user acceptance of cloud computing can be explained and predicted by various non monetary variables concerning social influence and cognitive instrumental process. In particular, factors such as image, job relevance and perceived usefulness play an important role in cloud computing acceptance. These findings advance theory and contribute to the foundation for future research aimed at improving our understanding of technology adoption behavior. They also provide a structured and more systematic approach for cloud service providers on how to build their services and promoting them to the market. Which factors explain the adoption of cloud computing? Thereby we derive the factors of adoption from a modified version of the common Technology Acceptance Model (TAM) by Davis [5] and review the ability of transferring the factors of TAM to the cloud computing technology by empirical research. 2. Related Research Technology acceptance is the driver for cloud computing. This means that we first have to give an overview about the state of the art of cloud computing by defining this term out of an unstructured literature review. Next we reproduce chances and risks of cloud computing from research literature. Afterwards we explain the basis of the Technology Acceptance Model. It includes a description of the different factors given by the model and the interdependencies between these factors to explain the acceptance of a new technology. At the end of this paragraph the chosen conceptual research framework is described. 1. Introduction Cloud computing has gained major public attention. It has become part of everyday advertisement, newspaper articles and reports as well as it has diffused both the researchers’ and the practitioners’ area. Chellappa [1] first defined cloud computing as a “computing paradigm where the boundaries of computing will be determined by economic rationale rather than technical limits alone”. Ramireddy et al. [2] describe cloud computing as an “important player in the field of IT infrastructure outsourcing” and Weiss [3] concludes that “it is a buzzword almost designed to be vague, but cloud computing is more than just a lot of fog”. Forrester Research expects cloud computing to be a $159.3 billion market by 2020. Gartner Research prognosticates a $150 billion business by 2014. The expectations of the business with cloud computing are high and no competitor on the IT service market can ignore the cloud computing paradigm. By following Koehler et al. [4] analyzing that “most of the research work so far focused on technical issues of cloud computing” we understand cloud computing as a kind of technology which allows IT service 978-0-7695-4525-7/12 $26.00 © 2012 IEEE DOI 10.1109/HICSS.2012.557 2.1. Finding a Cloud Computing Definition Considerable controversy surrounds the definition of the term cloud computing. This fact makes it necessary to analyze different findings in the research literature and aggregate them to new definition of cloud computing. This new definition was put in front of the survey to ensure that participants’ answers based on a similar concept comprehension. Vaquero et al. [6] derive a grounded definition of cloud computing from a literature review. They define cloud computing as aggregation of IT resources (hardware, platform and services), which can dynamically 1593 and private cloud. From this detailed described and further definitions ([12], [13], [14], [15], [16], [17], [18], [19], [20], [21]) we derive eight possible key characteristics of a cloud computing definition. Table 1 summarizes the key characteristics of different cloud computing definitions. The seven characteristics service, hardware, software, network, abstraction, on demand and scalability are most common. However the distinguishing feature private and public in a cloud computing definition could be neglected. From this analysis we suggest the following working definition of cloud computing: match the requested demand. Further characteristics are accounting models for this on-demand request and Service Level Agreements (SLA), which affirm delivery of these flexible services. Plummer et al. [7] define cloud computing for the Gartner Group as an IT service. This service is highly scalable and is delivered through the internet to external customers. The idea of a private cloud – which means delivering services, also to internal customers (regarding to Plummer et al. [7]) – is excluded in their definition. Armbrust et al. [8] also explicitly exclude the private cloud from their definition of cloud computing. In their definition cloud computing is a construct of the three layers hardware, operation system and applications. Furthermore Armbrust et al. [8] define cloud computing as an on demand solution, which serves at the end of the applications’ layer to public customers. Mell & Grace [9] define cloud computing for the National Institute of Standards and Technology (NIST) as a model that allows the comfortable, demand-based delivery of a pool of configurable IT resources (network, server, storage, applications and services). Foster et al. [10], Ramireddy et al. [2] as well as Unal & Yates [11] developed similar definitions, which focused on the on demand, scalable distribution of software, hardware (also network infrastructure) as a service. In their definition they leave out the differentiation between public The technology cloud computing contains abstract, high scalable and managed on demand infrastructure (server/computer, storage, networks) and on demand software (operation systems, applications, middleware, management and development tools), which can dynamically match the requirements and are paid per usage. 2.2. Opportunities and Risks of Cloud Computing For the understanding of the cloud computing domain it is assistant to describe opportunities and risks vendors and customers associate with cloud compu- Network Scalability Public/ Private On demand Software Anandasivam & Weinhardt [12] • • • • • Armbrust et al. [8] • • • • • • • Buyya et al. [13] • • • • • • Ercan [14] • • • • • Foster et al. [10] • • • • • Grossmann et al. [15] • • • • Kim [16] • • • • Li [17] • • • • • • • • Marston et al. [18] • • • • • • • • Mei et al. [19] • • • • Mell & Grace [9] • • • • • • Mohammed et al. [20] • • • Plummer et al. [7] • • • • Ramireddy et al. [1] • • • • Subashini & Kavitha [21] • • • • Unal & Yates [11] • • • • Vaquero et al. [6] • • Hardware Key characteristics Service Abstraction Table 1. Key characteristics of cloud computing definitions 1594 • • • • • • • • • • • • • • • • • • • • • ting. Further research in this area can lead to new findings for the survey or the later done adaptation of TAM. Armbrust et al. [8] describe the economies of scale from a vendors view as one positive characteristic of cloud computing in huge computer centers. It is possible to reduce cost for network infrastructure, storage, energy, administration and maintenance compared to smaller computer centers. Even the guarantee of secure cloud services and the protection of the infrastructure are possible with lower costs. A certification process for example is cheaper to realize for one huge computer center than for many medium-sized and small computer centers. After this Armbrust et al. [8] take the view of a customer and describe the advantages of cloud computing on demand model. This makes it possible to calculate only with variable costs and not with fixed costs for IT infrastructure. Also costs for software licenses or the costs for the management of licenses cancelled. Even the flexibility of the service allocation is interesting for the customer and differ cloud computing from normal IT outsourcing. Ramireddy et al. [2] take the customers view and describe the possible “loss of direct control of resources” as one negative key issue. Other issues in IT security are mentioned by [9], for example trust, multitenancy, encryption and compliance. Koehler et al. [4] describe the requirements of cloud computing from customers view and conclude that “reputation of the cloud service provider and the use of standard data formats are more important than those financial aspects such as cost reduction or pricing tariff choice”. Latest news from Amazon’s cloud crash and the hack of the Sony Gaming Network sensitized customer regarding to IT security and the availability of IT resources. search literature, being it in high ranked scientific journals [23] or proceedings of actual IS conferences, see for example Kim & Zhang [24]. The basis of the original Technology Acceptance Model 1 is the interaction of the variable Perceived Usefulness, Perceived Ease of Use, Attitude Toward Using and Behavioral Intention to Use, which joins into the variable Actual System Use. Actual System Use is a dummy variable whether a person does or does not use a system. Perceived Usefulness is defined as “as the prospective user's subjective probability that using a specific application system will increase his or her job performance within an organizational context” [5]. Perceived Ease of Use is the degree to which a person “expects the target system to be free of effort” [5]. 2.3. Basis of the Technology Acceptance Model The model was extended in version 2 by new input variables. Furthermore, the variables Attitude Toward Using and Behavioral Intention to Use were merged into the variable Intention to Use, which measures a person’s intention to use or not use a technology. The new input variables can be divided in variables of social influence and cognitive instrumental process [22]. The group of social influence variables includes Subjective Norm, Image, Experience and Voluntariness. Subjective Norm is defined as a “person’s perception that most people who are important to him think he should or should not perform the behavior in question” [33]. Image is the “degree to which use of an innovation is perceived to enhance one’s status in one’s social system” [34]. So the variable Image is not the image of the technology, but the image of the person that uses it. Further the variable Experience is the Figure 1. Overview TAM 1 by Davis [5] and TAM 2 by Venkatesh & Davis [22] We have chosen the proven theory model Technology Acceptance Model 2 (TAM 2; regarding to the second version of the model by Davis [5] described by Venkatesh & Davis [22]) to create an informationtheoretical background for the survey and thereby increase the expressiveness of the results. Moreover, as the model originates from the social sciences, it gave us a less technical or monetary perspective than in other recent cloud computing adoption research. The Technology Acceptance Model validates statements about why people use certain technologies. The model can be used both for explanations and forecasts [5]. A characteristic of the model is the high level of abstraction and the consequent low number of model variables. TAM 1 and TAM 2 is widely used in IS re- 1595 experience of a person with a system. It acts on the outgoing effects of Subjective Norm. Voluntariness is a dummy variable to separate voluntary and mandatory usage settings. The group of cognitive instrumental process variables includes Job Relevance, Output Quality and Result Demonstrability. Job Relevance is defined as “an individual’s perception regarding the degree to which the target system is applicable to his or her job” [22]. In addition to the question which tasks a system is capable of performing, people might consider how well it performs these tasks. We will refer to that as Output Quality. Finally, Result Demonstrability is defined as “the tangibility of the results of using the innovation” [33]. Even systems that do perform well can fail to reach a high level of user acceptance if users do not attribute gains in their performance to the system. In summary, TAM 2 is an extension of TAM 1 and it contains the original model. For a visual comparison see Figure 1. Figure 2. Modified TAM 2 – a model for cloud computing adapted from Venkatesh & Davis [22] 2.4. Conceptual Research Framework 3. Methodology For investigating the technology acceptance of cloud computing we used the TAM 2, because it delivers more refined information on the input side. We also adapted the model slightly. As the addressees of the survey were only CIOs and employees in similar positions the voluntariness of a decision towards cloud computing was assumed. As a consequence the variable Voluntariness was removed from the model. Furthermore the influence of Subjective Norm on Intention to Use in the original model is only assumed in non-voluntary settings [22]. Therefore this relationship is not part of our examination either. For our study we investigated on the following eleven hypotheses (H1 – H11) which were adopted from the original TAM 2 research paper [22]: 3.1. Questionnaire Design H1. H2. H3. H4. H5. H6. H7. H8. Perceived Ease of Use will have a positive effect on Perceived Usefulness. H9. Perceived Ease of Use will have a positive effect on Intention to Use. H10. Perceived Usefulness will have a positive effect on Intention to Use. H11. Intention to Use will have a positive effect on Actual System Use. A cross-sectional survey was conducted to evaluate the proposed research model. The questionnaire was divided into five sections. In the first section the participants were asked for their contact data and whether or not they were interested in receiving the results of the study and a biannual newsletter from the Chair of Information Management. This was done to increase the response rate. The first section was marked as optional. The second section contained the proposed short definition of cloud computing to give the participants a consistent thought of our view on cloud computing. The third section asked for general enterprise data such as the amount of full time employees, amount of employees in the IT-department, industry sector and annual turnover to evaluate if the sample is a good reflection of the German enterprise landscape. In addition it asked if the participating company already uses cloud computing technology and if so, since when. The fourth section investigated the Technology Acceptance Model. For each variable of the model several items were created. In a first step all items from the original TAM 1 and TAM 2 research papers were translated into German language to ensure item validity. Some items could be used directly. Others had to be adapted in a second step to better match the cloud computing subject or to sound more natural to German participants. Furthermore, some new items were created. A panel of two academic experts and several non experts reviewed the questions to confirm that the constructs Subjective Norm will have a positive effect on Image. Subjective Norm will have a positive effect on Perceived Usefulness. The positive effect of Subjective Norm on Perceived Usefulness will attenuate with increased Experience. Image will have a positive effect on Perceived Usefulness. Job Relevance will have a positive effect on Perceived Usefulness. Output Quality will have a positive effect on Perceived Usefulness. Result Demonstrability will have a positive effect on Perceived Usefulness. 1596 sets [28]. All variables were examined regarding their usability for factor analysis. In addition, several tests were included to confirm the quality of the sample. Scientific literature has many views on whether or not a sample size is adequate. Recent research on simulated data points out that sample size is not a concern if factor loadings of at least 4 items are greater than 0.6. The reliability of factor analysis and individual variables can be determined using the Kaiser-MeyerOlkin measure of sampling adequacy (KMO) [29]. KMO values around 0.5 are barely acceptable [29]. KMO values between 0.5 and 0.7 are mediocre, values between 0.7 and 0.8 are good, values between 0.8 and 0.9 are great and values above 0.9 are superb [28]. When using factor analysis the consistency of the questionnaire should be checked using Cronbach’s α (CA), which should be around 0.8 [28] or at least 0.7 [30]. When factor loadings, KMO and CA delivered reasonable results the extracted factor was then used as a variable in our research model. To examine the Technology Acceptance Model, linear regression analysis was applied. Regression analysis is a statistical method to reveal quantitative dependency between variables [31]. were adequately described by the item wording. All items had a 5-point Likert scale ranging from “Disagree strongly” to “Agree strongly” [25]. The final version of the questionnaire contained three to five items for every variable of the proposed research model. The fifth and last section contained an open question where the participants could enter any thoughts, comments or criticism on the cloud computing matter. 3.2. Data Collection A paper-based questionnaire was sent out via postal mailing in December 21st, 2010. All letters contained a hand signed covering letter to express appreciation to the participants, the questionnaire itself and a selfaddressed envelope. Addressees were 567 CIOs, ITmanagers and other staff responsible for IT decisions from companies listed in German stock indexes. The participants were asked to return the questionnaire until January 14th, 2011, giving a response time of almost four weeks. Participants were not expected to respect that timeframe, so an unofficial deadline was set to the end of January 2011. In addition to the paper-based survey an online survey was created via the surveygizmo.com platform. Items and item order were kept intact in order to minimize any possible influence on the outcome due to different media. A hyperlink to the survey was published on various IT related bulletin boards and groups on business networks such as xing.com on January 5th, 2011. At the end of January we received a total number of 97 postal replies, amounting to a response rate of 97 ÷ 567 = 17.1 %. This response rate is consistent with rates in similar surveys in IS research (regarding to Mani et al. [26], Poppo & Zanger [27]). In addition, we received three online questionnaires, making a total sample of N = 100. 4. Findings 4.1. Sample Profile All findings are based on the sample profile shown in Table 2. The participating enterprises belong to a variety of industries, such as manufacturing (31%), trade and commerce (23%), information and communication technologies (16%), financial services (9%), construction industries (1%) and others (30%), which consisted amongst others of public sector, media industries, health care and agriculture. The sample is representative for Germany. The annual turnover and the number of employees indicate that large enterprises dominate the sample. 55% of the participating enterprises already use cloud computing technology. Introduction years vary from 1990 to 2010, whereas 91% of the using companies introduced it in 2004 or later. The sample was divided in two groups based on chronological response date to test for late- or non-response bias. There were no significant differences. 3.3. Data Analysis We applied confirmatory factor analysis to reduce the large item sets to their underlying variables from the Technology Acceptance Model. In contrary to the common exploratory factor analysis, its confirmatory counterpart is an applied statistical method in the social sciences to confirm proposed structures in variable Table 2.Sample profile Employees of the enterprise Annual turnover 2009 in millions of Euros Percentage Frequency Percentage Employees of the IT department Frequency Percentage Frequency 0-4 1.0% 1 1-99 9% 10 1-4 13% 13 5-9 6.3% 6 100-499 19% 19 5-9 10% 10 10-49 10.4% 10 500-999 11% 11 10-49 21% 21 50-499 28.1% 27 1,000-4.999 21% 35 50-499 14% 14 500+ 54.2% 52 5,000+ 40% 41 500+ 42% 42 N = 96 (four missing) N = 100 1597 N = 100 Table 3. Results of the factor analysis Factor Item Loading Subjective Norm People who influence my behavior think that I should use cloud computing. .887 Experts who are important to me think that I should use cloud computing. .606 People who are important for my career think that I should use cloud computing. .771 Job Relevance Image Output Quality Result Demonstrability Experience Perceived Usefulness Perceived Ease of Use Intention to Use I am expected to use cloud computing. .786 Usage of cloud computing is relevant for my job. .806 For my future work in my company, cloud computing is important. .833 In my job, usage of cloud computing is important. .861 Usage of cloud computing improves my reputation in my company. .981 I can level my profile by using cloud computing. .906 IT decision makers using cloud computing have more prestige .872 Cloud computing is a status symbol in an organization. .752 Cloud computing makes sense for increasing our company’s output. .818 I think IT resources can be used more effectively with cloud computing. .750 The service level of our IT will increase with cloud computing. .777 The quality of the output I get from cloud computing is high. .869 IT costs will sink by using cloud computing. .769 The results of using cloud computing are apparent to me. .606 I believe I could communicate to others the consequences of using cloud computing. .771 I have no difficulty telling others about the results of using cloud computing. .742 I can describe the difference between the concepts of IT outsourcing and cloud computing. .639 I have experience in using cloud computing. .650 I know several cloud computing service providers and their services. .771 I can distinct between SaaS, PaaS and IaaS. .671 I expect additional benefits in my company by using cloud computing. .885 Cloud computing improves my performance in my job. .908 Cloud computing enhances my effectiveness in my job. .895 I expect higher flexibility in our IT by using cloud computing. .803 Using cloud computing would not lead to technical difficulties in my company. .705 Cloud computing integrates quite easily in our IT infrastructure. .700 I find cloud computing easy to use. .753 For our employees using cloud computing does/would not require a lot of mental effort. .708 Assuming I can decide, I intend to use cloud computing. .872 Given that I have access to cloud computing, I predict that I would use is. .884 I intend to use cloud computing. .808 We will start using cloud computing soon (or have started). .886 1598 KMO CA .789 .872 .693 .775 .801 .886 .830 .852 .584 .479 .667 .586 .813 .898 .664 .689 .823 .881 4.2. Factor Analysis The results of the factor analysis are shown in Table 3. The variables Result Demonstrability and Experience have mediocre KMO values and non satisfying CAs while overall factor loadings are acceptable. Perceived Usefulness also has a mediocre KMO value, but a more convenient CA. Subjective Norm and Job Relevance have good KMO and CA values. Image, Output Quality, Perceived Usefulness and Intention to Use give the best results, with overall good to very good KMO and CA. Factor loadings were > .6 in general, with an exception in item 13, which with a loading of .32 was removed from further analysis. The variable Actual System Use was not part of the factor analysis, it was derived directly from the questionnaire item whether or not the participating company uses cloud computing. Figure 3. Results of regression analysis Therefore we modified the model further in order to find better relations. As H1 was supported by the data we took Subjective Norm as an input variable for Image only in further research. With Subjective Norm not being an input variable for perceived usefulness anymore we stopped examining H3. The high correlation between Output Quality and Perceived Usefulness suggests that both variables explaining similar things. To validate this point we regressed Image, Job Relevance and Result Demonstrability with both Output Quality and Perceived Usefulness. As can be seen in Figure 4 the regression coefficients, R2 and significance are very similar. As a consequence we rearranged the model so that Image, Job Relevance and Result Demonstrability were input variables for Output Quality, leaving the latter as the only input variable for Perceived Usefulness. This way we could achieve a good fit. The final model is shown in Figure 5. 4.3. Evaluation of the Conceptual Model In the following section our proposed model is examined from right to left, beginning with H11. Using binomial logistic regression it could be shown that Intention to Use can explain 82.5 % of the variance in Actual System Use with p < .001. Consistent with H9 and H10 Perceived Usefulness was a strong determinant of Intention to Use (β = .792, p < .001), leaving Perceived Ease of Use as a weaker but still significant determinant (β = .066, p < .05). Both variables explain 66.4 % of the variance in Intention to Use. As H9 – H11 are strongly supported by the data, the suitability of the original TAM 1, which is a part of our modified model, can be assumed for cloud computing. In a second step we examined the variables of our modified TAM 2. H1 was supported by the data (β = .679, p < .001). As can be seen in Figure 3 the suggested effects from Subjective Norm, Image, Job Relevance, Output Quality, Result Demonstrability and Perceived Ease of Use on Perceived Usefulness are not supported by the data, contradicting H2 and H4 – H8. While Output Quality seems to have a huge and highly significant effect, the other variables do not. There could be several reasons for this. While sample size was satisfactory and the items were proven valid in former research, the model itself could be insufficient in describing cloud computing usage. Figure 4. Comparison Perceived Usefulness and Output Quality and relationship representation 1599 Subjective Norm .679*** .896*** Image Job Relevance Perceived Usefulness .164* .391*** .792*** 82,5%*** Output Qualiy Intention to Use 1 Actual System Use .486*** Result Demonstrability Perceived Ease of Use .066* * p < 0,05; *** p < 0,001; explaining 82.5% in variance methods impose specific limitations to the results. First of all findings can only be representative only for Germany as only IT departments of German companies participated. Results may vary in different regions however, due to different policies and regulations, economics or social norms. Moreover, only enterprises were asked, leaving technology acceptance of cloud computing unanswered for other entities such as non government organizations, schools & universities or consumers. Limitations also derive from the application of factor analysis. Conclusions are restricted to the sample collected and generalizations of the results can be achieved only if analysis using different sample reveals the same factor structure [28]. Furthermore, dividing participants in chronological groups to test for non-response bias is not necessarily sufficient, as late responses may have other reasons than no responses [32]. Figure 5. Final model Summarizing we can state that the technology acceptance of cloud computing can be explained by the version 1 Technology Acceptance Model quite well. In contrast we run into problems by extending the study with the new input variables of our modified Technology Acceptance Model 2. We were able to find a good fit by rearranging some variables however. As it turns out Output Quality and Perceived Usefulness seem to describe similar underlying aspects and should be the focus of further research. Until then we propose the model shown in Figure 5 for describing technology acceptance of cloud computing. 5. Conclusion From the results in the former sections it can be concluded, with certain limitations, that technology acceptance of cloud computing can be described by the Technology Acceptance Model 1 and our rearranged version of the Technology Acceptance Model 2. Our initial research question “Which factors explain the adoption of cloud computing?” can be answered as follows: Actual System Use can be described by Intention to Use which can be described by Perceived Usefulness and Perceived Ease of Use, former being the stronger determinant. Perceived Usefulness can be described well by Output Quality. This may implicate that IT decision makers tend to find things useful that generate good output. Output Quality had several significant and highly significant determinants, Image, Job Relevance and Result Demonstrability. Finally Subjective Norm is a highly significant determinant of Image. 5.2. Implications There are several practical implications of our findings. The results from our study can give cloud service providers new structured determinants on when users intend to use cloud computing for developing new cloud services and bringing them to market. We could show that in accordance with Koehler et al. [4] decisions towards the usage of cloud computing is not necessarily made for monetary reasons. Social influences from the processes behind the variables Image and Subjective Norm play an important role. Cloud service providers have to focus on designing communicating campaigns to raise prestige and image of their cloud computing services. The variables from the group cognitive instrumental process also play an important role. Cloud services should be developed with job relevance in mind. Practical interventions for increasing result demonstrability could be useful, such as empirically demonstrating the users the comparative effectiveness of cloud computing services relative to 5.1. Limitations There are some limitations in our preliminary findings. The sample selection and the applied statistical 1600 their status quo systems. This should provide important leverage for increasing user acceptance. From a user perspective our final model can also help making decisions. Users can evaluate the job relevance, output quality and usefulness of cloud computing services in order to decide whether or not a service is useful for them. This helps to get the attention away from monetary-only aspects and towards a more sustainable view. Our research represents a contribution to the body of knowledge in cloud computing usage and user acceptance in general. For the latter we can state that the Technology Acceptance Model once more turned out to be a valid model for explaining or predicting user acceptance and usage behavior. We have shown that a more abstract or transparent technology as cloud computing can be described by a model originally developed for explaining user behavior in end user software systems with a direct user experience. Therefore we broadened the research field where the Technology Acceptance Model can be used for predicting and explaining user acceptance of technologies. Concerning the research on cloud computing itself we provide a new theoretical usage model. The less detailed and more abstract TAM 1 works with cloud computing, whereas TAM 2 had to be rearranged in order to give a good fit. Our final model can be used for further research on the cloud computing subject. form of regulatory compliance on the other. Examples are security, privacy or disclosure of data. The ultimate goal of the research process would be a comprehensive model of cloud computing adoption. In conclusion, technology acceptance of cloud computing remains a complex yet important phenomenon. With our final model however, we made significant progress towards unraveling some of its mysteries. It thereby contributes to the body of knowledge and can be used in further research. 6. References [1] R.K. Chellappa, "Intermediaries in Cloud-Computing: A New Computing Paradigm", in Proceeding of INFORMS, Dallas, 1997. [2] S. Ramireddy, R. Chakraborthy, T.S. Raghu, H. Raghav Rao, “Privacy and Security Practices in the Arena of Cloud Computing – A Research in Progress”, in Proceedings of the 16th Americas Conference on Information Systems, Lima, Peru, 2010, Paper 574. [3] A. Weiss, “Computing in the Clouds”, ACM Networker (11:4), 2007, pp. 18-25. [4] P. Koehler, A. Anandasivam, M. Dan, “Cloud Services from a Consumer Perspective“, in Proceedings of the 16th Americas Conference on Information Systems, Lima, Peru, 2010, Paper 329. [5] F.D. Davis, “Perceived Usefulness, Perceived Ease of Use, and User Acceptance in Information Technology“, in MIS Quarterly (13:3), 1989, pp. 319-340. [6] M. Vaquero, L. Redero-Merino, J. Caceres, M. Lindner, “A break in the clouds: towards a cloud definition”, Computer Communication Review (39:1), 2009, pp. 50 55. [7] D. Plummer, T. Bittman, T. Austin, D. Clearly, D. Smith, Cloud Computing: Defining and describing an emerging phenomenon, Technical report, Gartner Group, 2008. [8] M. Armbrust, A. Fox, R. Griffith, A. Joseph, R. Katz, A. Konwinski, G. Lee, D. Paterson, A. Rabkin, I. Stoica, M. Zaharia, Above the Clouds: A Berkeley View of Cloud Computing, Technical Report UCB, EECS Department, University of California, Berkeley, 2009. [9] P. Mell, T. Grance, The NIST Definition of Cloud Computing, Technical report, National Institute of Standards and Technology, 2009. [10] I.T. Foster, Y. Zhao, I. Raicu, S. Lu, “Cloud Computing and Grid Computing 360-Degree Compared”, in Proceedings of the Grid Computing Environments Workshop 2008, Austin, Texas, 2008, pp. 1 10. [11] E. Unal, D. Yates, “Enterprise Fraud Management using Cloud Computing: A Cost-Benefit Analysis Framework“, in Proceeding of the 18th European Conference on Information Systems, 2010, Paper 144. [12] A. Anandasivam, C. Weinhardt, “Towards an Efficient Decision Policy for Cloud Service Providers”, in Proceeding of the 31st International Conference on Information Systems, St. Louis, 2010, Paper 40. [13] R. Buyya, C.S. Yeo, S. Yen, “Market-Oriented Cloud Computing: Vision, Hype, and Reality for Delivering IT Services as Computing Utilities”, in Proceedings of the 2008 10th IEEE International Conference on High Performance Computing and Communications, 2008, pp. 5-13. [14] T. Ercan, “Effective use of cloud computing in educational institutions”, in Procedia Social and Behavioral Sciences (2), 2010, pp. 938–942. 5.3. Further research For further research we suggest a two step process. Step one concerns cloud computing, TAM and the limitations of our survey. It should be replicated in other countries to determine if the results are transferable to different social standards, laws & regulations or economics. Other target groups should be examined, including non government organizations or end users. The outcomes should be discussed by conducting case studies in order to get qualitative feedback in addition to our quantitative analysis. Another important question concerns the underlying aspect of the variables Output Quality and Perceived Usefulness. 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