Is Top Management Support Relevant in the Implementation and Post-implementation Phases of Cloud ERP in SMEs? Evidence from Malaysia

One of the most important success factors that pervade all organisational processes, including the implementation of innovative information technology (IT) like cloud ERP is top management support (TMST). However, it is unclear if top management needs to support both the implementation and post-implementation of cloud ERP. Hence, this paper aims to examine the effect of TMST on cloud ERP implementation and its subsequent influence on financial performance (FPC). In addition, the moderating role TMST plays in the cloud ERP implementation (CERPI)-FPC relationship is investigated. A research model based on the resource-based view (RBV) theory was developed and tested on a sample of 204 Malaysian small and medium enterprises (SMEs) in the manufacturing sector. Using the statistical technique of partial least squares structural equation modelling (PLS-SEM), this study finds TMST as an enabler of CERPI, which positively impacts FPC. Furthermore, TMST has no moderating effect on the CERPI-FPC relationship. This research extends the current IT literature by providing insight into the boundary of TMST in the implementation and post-implementation stages of cloud ERP. This study's findings can guide SME owners, top management, and other key decision-makers during the cloud ERP diffusion process.