Dynamics of Cloud-Based Software as a Service in Small Communities of Complex Organizations

Cloud computing software can benefit an organization by reducing capital costs, increasing flexibility and simplifying relationships with vendors. However, there are also risks and limitations including management of data and integration with other software. Decision-making models have therefore been developed. To date, these models are predicated on the scale ability of software that comes from sharing across a broad user base, and on its partitioning into small apps which can be integrated with others. Models also tend to assume a single point of decision making within each organization using software services. This paper extends cloud based software-as-a-service models to the situation of small communities of complex organizations, and considers the effects on locus of power within each organization, vendor-decision making, and the evolution of user groups. Using the example of university administrative systems, it then provides a model of the dynamics of introducing cloud-based software in these specific circumstances.