The shift to Cloud Computing: The impact of disruptive technology on the enterprise software business ecosystem

The rapid diffusion of Cloud Computing influences the way enterprise software is developed, distributed, and implemented. This uptake of Cloud Computing has profound implications for the IT industry and related industries, as it does not only affect the vendors' business models but also the other actors in the business ecosystem. This paper addresses how the value network of enterprise software solutions changes as a consequence of shifting from on-premise to Cloud-based technology. Based on a literature study and fifteen expert interviews in three case studies, we present a generic value network for Cloud-based enterprise software. We analysed the impact of the shift to Cloud-based enterprise software for each stakeholder in the network. In particular, we found that the role of the consultative partner is more focussed on business process management and that technical consulting remains relevant due to IT security, data migration, interface definition, customizing, and mobile application development. The vendor becomes a service provider and acts in several roles. The emerging technological platform offers opportunities for external developers, partners, and customers. The Cloud consumer can concentrate on his core business, but needs to consider applying best practices processes when receiving public Cloud services. •Enterprise Resource Planning is shifting from on-premise to Cloud-based.•This shift changes the role of various stakeholders in the business ecosystem.•Value-added Resellers have to extend their offer with business process management.•Extension includes analysis of client's workflows and standardized Cloud solutions.•Vendors are now penetrating the Value-Added Resellers' managed Cloud market.