Volume 1, Issue 2 (December 2019) ISSN: 2705-4683; e-ISSN: 2705-4748

AN EXPLORATORY STUDY ON CRITICAL SUCCESS FACTORS IN

CLOUD COMPUTING ADOPTION IN BANKING SECTOR OF
NEPAL
Dipak Adhikari1 and R N Thakur2
1
PG Scholar, Lord Buddha Education Foundation, Kathmandu, Nepal
2
Assistant Professor (IT), Lord Buddha Education Foundation, Kathmandu, Nepal

ABSTRACT
Cloud computing (CC) is newly developed information technology (IT) related model to access the
on-demand shared network pool of the resources (e.g., data storage, database, data banking or
repository, applications, and relevant services) that can be instantly and efficiently released and
shared with minimal interaction with the management or the service provider. The study was carried
out to explore the critical success factor in CC to adopt it in the bank sectors in Nepal. Another
objective of the study was to find out some challenges to adopt to the CC in the banking sector of
Nepal. Self-administered questionnaire was designed and handed over to the college students and
banking staffs in the Kathmandu valley, Nepal to collect primary data. Furthermore, the data were
entered in SPSS version 25 and Excel both and descriptive statistics was applied. The finding of the
present research study was 114 male and 22 females from the student respondents from the various
colleges. Whereas 27 represented male and 11 represented females from various bank’s
respondents in Kathmandu valley Nepal. The study found that there were various age group of
student’s respondents and bank’s respondents whereas 97 respondents existed in 20-30 years from
students followed by 18 respondents existed in 31-40 from the bank in the Kathmandu valley Nepal.
Furthermore, the present study explored that there were 21 respondents from the bank revealed
that there were 0-5-year work experienced in the bank, followed by 16 respondents from the bank
revealed that 6-10 years experienced in the bank.

The research showed that maximum students (55, 40.4%) were neutral about shifting of the banking
sector of Nepal into the cloud computing would help the banking sector secure more money and
increase investment whereas 15 (39.5%) bankers agreed upon that shifting of the banking sector of
Nepal into the cloud computing would help the banking sector secure more money and increase
investment.

Keywords
Cloud Computing, Statistical Package for Social Science (SPSS), Excel, Bank, questionnaire,
quantitative.

1 INTRODUCTION
1.1 Background
Cloud computing (CC) is newly developed information technology (IT) related model to access the
on-demand shared network pool of the resources (e.g., data storage, database, data banking or
repository, applications, and relevant services) that can be instantly and efficiently released and
shared with minimal interaction with the management or the service provider. In any organization,
virtualization plays a vital role because it helps pool the relevant resources from the distant or
nearby server from which it was shared, independent of its location. These days, CC has been gaining
momentum in every sphere of the organization all over the world due to its significantly reduced
hardware requirements and dependency and efficient performance in the information system (IS)
management and flow (Kautish et al 2008, 2013, 2016, 2018, 2019,). Data being shared to the public

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domain are usually centralized in the server and the cloud is implemented via advanced security
provisions that prevent the data breaching and theft. (Zissis and Lekkas, 2012)
The United States National Institute for Standards and Technology (NIST) defined the CC as the
model for ubiquitous, convenient, on-demand access to a shared network of resources (e.g.,
networks, virtual servers, data storage, applications and services) that can be released with the least
cloud provider interaction. (Asadi et al., 2016; Hassan et al., 2017; Rieger et al., 2013; Senyo et al.,
2018)
Currently, following service models are being widely adopted in the CC environment:
i. Infrastructure as a Service (IaaS) model: It helps the consumer’s process, store or bank the data,
establish the network, and computing.
ii. Platform as a Service (PaaS) model: It helps the consumers switch into the cloud environment,
applications already developed or hired, and develop own programming architectures.
iii. Software as a Service (SaaS) model: It enables the consumers use the applications on a cloud
environment. (Amron et al., 2017; Armbrust et al., 2010; Awosan, 2014; Gangwar and Date 2016;
Liana et al., 2014; Low et al., 2011; Owusu-Tucker and Stacey, 2018; Palos-Sanchez et al., 2017;
Priyadarshinee et al., 2017; Raymond, 2018; Saleh et al., 2017; Sallehudin and Ismail, 2015; Sudhakar
and Rani, 2014; Yan, 2017; Yoo and Kim, 2018; Zissis and Lekkas, 2012)
Four strategic models to switch into the CC environment have been devised:
i. Private cloud: This cloud architecture is operated by and for a private organization.
ii. Community cloud: This cloud environment is sharable by multiple organizations and community
for specific purpose such as security arrangements.
iii. Public cloud: The owner of this cloud infrastructure remains the cloud service provider or seller
and it makes the service open to the common people or group of industries.
iv. Hybrid cloud: It is principally similar to the public cloud and is the medley of above-mentioned
clouds. (Amron et al., 2017; Armbrust et al., 2010; Awadallah, 2016; Awosan, 2014; Sallehudin and
Ismail, 2015; Sudhakar and Rani, 2014; Yoo and Kim, 2018; Zissis and Lekkas, 2012)

Salient features of the CC are as follows:

i. Flexibility: The cloud users can immediately compute resources without interaction with the
management team.
ii. Scalability of infrastructure: New IS related services can be added or obsolete feature can be
removed from the network.
iii. Accessibility to the broad network: The IS related services are accessible via the networking
over heterogeneous platforms such as cell phones, laptops, desktops, etc.
iv. Location non-specificity: The customers usually possess no control or idea about the exact
location of the resources being provided to them.
v. Trustworthiness: The CC is especially useful for the continuation of the business activities
and for the recovery from the potential information disaster.
vi. Cost-effectiveness
vii. Sustainability: This is obtained from the judicious resource optimization and utilization,
augmented efficiency and neutrality of the organic system including carbon.

Cloud computing can address and solve many of the diagnosed deficiencies of the traditional
architectures but simultaneously may pose other unclassified shortcomings as well. Customer’s trust
and confidence in a cloud environment are mainly governed by the cloud deployment model being
chosen, integrity of data and applications. Cloud computing keeps centralization of data security,
segmentation of data processing. Data security helps to maintain confidentiality, integrity and design
secure cloud systems. Cloud computing is based on the principle of sharable resources (i.e., multiple
users can use the same resources at a same time from various locations) at the network level, host
level, and application level. Cloud infrastructures can also be modelled in distinctly secured
interfaces and are known as the federated clouds. Federated clouds are in fact a configuration of

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single clouds permitting data exchange and computing resources via predefined interfaces. A cloud
environment is indeed a virtual networking to establish and depict the relationship among the
resources being shared and the cloud users. It’s a dynamic interface among the cloud resource
providers and its targeted beneficiary users allowing the freedom that they need not be in the same
security infrastructure. The cloud users can be tracked from their attributes rather than the
predefined ones. (Zissis and Lekkas, 2012)
The emerging CC technology is bringing about radical transformation in the incumbent IT
environment by providing uniquely renowned services to meet the upcoming generation’s
requirements. It helps the service users utilize the infrastructures such as virtual servers, networks,
storage domains, operating environments and software provided by the service providers in an
affordable manner. Dramatic expansion of the CC technology in the Information Communication
Technology (ICT), and financial institutions and industries is a common phenomenon these days. It
has facilitated the data storage and management on the virtual servers by which institutions and
applications at any corner of the world can have accessibility to the data and the resources at any
feasible time. The CC model makes the businesses convenient and enhances the technological
capacity of the organizations adopting it. It is simply the utilization of the networking of the distant,
and even the remote, servers to store, arrange, manage, and process data, rather than a local server
or a personal computer interface. It contributes to the capacity building of the organization to
handle huge mass of tasks without degrading the efficiency of the system. It also enhances the
computing ability of the small and medium enterprises (SMEs) with the dire constraint of the
financial and human resources in IT sectors. (Raymond, 2018)
1.2 Limitations:
The CC services are mainly dependent on the resource infrastructures and all-time network facilities.
Diagnosis and proper record-keeping mechanisms pertaining to the specific user’s requirements is
vital to devise a cloud-based solution to meet those requirements. The targeted user should use
his/her personal digital identifier to verify himself/herself with the cloud environment and validate
his/her accessibility to the resources of his/her interest and requirements. (Zissis and Lekkas, 2012)
The study conducted by Raymond (2018) showed that CC could store data on the virtual servers by
which organizations at any corner of the world could connect to the shared pool of resources. The
study showed that adoption of the CC was still in its infancy in Uganda. The CC is less time-
consuming and more cost-saving, flexible system that minimizes the data leakage, improves
technical innovation, creates healthy competition and improves IT performance. With the CC
technology, clients/customers may pay only for the services they utilize, saving other extraneous
costs incurred in the IT infrastructure maintenance (Kautish et al, 2008, 2012, 2013, 2020).
1.3 Problem Statement
The CC technology has dramatically transformed the IT industries. Innovative idea developers no
longer need huge capital investment in hardware to deploy their service or the human capital. The
CC indicate the applications delivered as services via internet and hardware and software in the data
centers. (Armbrust et al., 2010) The CC frees the organizations from the more expensive, capital-
intensive infrastructure, tedious and staff-intensive interfaces. It frees the organizations from the
more expensive, capital-intensive infrastructure, tedious and staff-intensive interfaces. (Sallehudin
et al., 2015)
The present study bridged the gap on the cloud adoption influencing factors. The CC adoption is an
evolutionary concept in Malaysia factors for its adoption should have been explored. New
technologies’ adoption generally requires legal arrangements and the existing compatible systems
should be integrated. Cloud offers cost minimization in both hardware and software installation. By
integrating the Diffusion of Innovation Theory (DOI) and IT characteristics, a model was formulated
and tested to find the factors of CC adoption by the Malaysian public sector to improve its service
delivery. In the USA, UK and Japan, CC technology played a vital role in the progression towards the
IT efficiency. (Sallehudin et al., 2015)

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The CC technology offers innovative experiences to the customers, effective collaboration, speedy
penetration to the market and improved IT efficiency. Organizations are adopting cloud frameworks
to support their day-to-day operations. Main challenges to be addressed for the adoption of the CC
are:
 Security (Kaur and & Kautish, 2019)
 Regulatory and compliance
 Privileged user access
 Data location and segregation
 Data recovery
 Investigative support
The CC helps the banks create unique experiences to the clients, enable effective collaboration and
improve penetration to the market with improved IT efficiency. Banks can better respond to the
financial uncertainties, interconnected economic systems and customers. It offers following
advantages:
 Cost savings (Rani and Kautish, 2018)
 Scalability
 Speedy entry to the market
 Data virtualization
 Mobility (Agre, 2015)
Research conducted by Agre (2015) showed that the clouds are helpful to switch from the capital-
intensive way to the business with reduced operational costs. This can be obtained by the choice of
the right cloud. Banks should have adopted evolutionary approach towards the CC services. Banks
should adopt practical approach to ensure data security and privacy in the cloud. (Agre, 2015)
The CC is similar type of computing service like e-mail, software. The research conducted in the high-
tech industry might compromise the external validity of the research. Complexity and compatibility
are the major barriers to the CC adoption. The present research analyzed the influential factors for
the CC adoption by the high-tech industry. The research helped firms consider their IT investments
for the CC adoption. (Low et al., 2011)
1.4 Objectives of the study
1.4.1 General objective
To study the critical success factors in cloud computing adoption in banking sector of Nepal
1.4.2 Specific Objectives:
• To examine current scenario and usage of cloud computing in banking sector.
• To identify the factors which are crucial in successful cloud computing adaptation in banking
sector.
• To propose a context free framework for successful cloud adaptation in banking sector of
Nepal.
1.5 Rationale of the study
The study was aimed to identify the critical success factor for implement the cloud computing in the
banks of Nepal. It was significant for overall baking sector of the Nepal.
1.6 Aim of the research
The main aim of the research was to examine the current situation of cloud computing in baking
sector of Nepal. Moreover, the aim of the present study was to identify the significant crucial
success factor to adopt to cloud computing in the bank.
1.7 Research Questions
Q.1: How to examine current scenario and usage of cloud computing in banking sector?
Q.2: How to identify the factors which are crucial in successful cloud computing adaptation in
banking sector?

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Q.3: How to propose a context free framework for successful cloud adaptation in banking sector of
Nepal?
1.8 Scope of the Research
The research would help to generate or identify the new innovative idea on cloud computing. Which
could help for banking sector in Nepal.
1.9 Operational Definition
National Institute for Standards and Technology (NIST) defined the CC as the model for ubiquitous,
convenient, on-demand network access to a shared pool of computing resources (e.g., networks,
servers, storage, applications and services) that can be released with minimal service provider
interaction.

2 LITERATURE REVIEW
Table 1: Comparative analysis of cloud computing
Authors Hentschel R, Leyh Gao F, Yoo S, Kim B Senyo PK, Saleh A, Drus
C, Baumhauer T Thiebes S, (2018) Boateng R, SM, Shariff SSM
(2019) Sunyaev A Addae E (2017)
(2018) (2018)
Title Critical Success Rethinking A Decision- Cloud Empirical studies
Factors for the the Meaning Making Model computing on cloud
Implementation of Cloud for Adopting a research: A computing
and Adoption of Computing Cloud review of adoption: A
Cloud Services in for Health Computing research systematic
SMEs Care: A System themes, literature review
Taxonomic frameworks,
Perspective methods and
and Future future
Research research
Directions directions
Features The CC is a rapidly The CC Technologically, The CC Cloud
emerging technology is CC involves technology computing has
technology and is an hardware, has been become a good
beneficial for the innovative virtualization, rapidly option for higher
digitalization of paradigm and automation emerging to academia within
business activities. providing via internet and address such the budget
Adoption of a the users provides on- need and constraint
suitable cloud with the on- demand self- achieve the scenario
environment is demand service. operational because it
challenging and access to a excellence in operates even
requires shared pool IT-based without huge
collaboration of of service capital
the managers and computing delivery in the investment for
IT staff. resources organization. infrastructure
namely development
virtual and resource
servers, allocation.
storage, and
applications.

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3 RESEARCH METHODOLOGY
3.1 Study design:
Cross-sectional study was conducted among the students and the bankers at Sanima and
Machhapuchhre Bank Pvt. Ltd., Kathmandu, Nepal.
3.2 Study area and study site:
The study was conducted at Sanima and Machhapuchhre Bank Pvt. Ltd., in Kathmandu valley Nepal.
3.3 Study population:
The study was conducted among the students at various colleges in Kathmandu Valley Nepal. The
papulation was 176 including students and banking respondents.
3.4 Study procedure:
The study was conducted in following ways:
 Structured data collection sheet was developed based on the standard literature sources.
 The data collection sheet was distributed to the students and the bankers working at
Sidhhartha Bank Pvt. Ltd.,and Machhapuchre Bank Pvt.Ltd.
 Data were then entered into Excel, processed and entered into the statistical package for the
social sciences (SPSS) version 25.
 Descriptive statistics (frequency and percentage) were computed to ascertain the opinions
or responses of the students regarding cloud-related various factors.
3.5 Sample size:
Altogether 136 students and 38 bankers were selected for the research purpose.
3.6 Sampling technique:
Both students and bankers were purposively selected for the research purpose.
3.7 Inclusion and exclusion criteria
3.7.1 Inclusion criteria
 Both students and bankers who were knowledgeable about the cloud computing and who
were willing to participate in the research were included for research purpose.
3.7.2 Exclusion criteria
 The students and the bankers who were not knowledgeable about the cloud computing and
who were not willing to participate in the research were excluded from the research.
3.8 Data collection instrument
Structured questionnaire was developed and applied as the research instrument to collect the
responses of the students and the bankers on cloud related various factors.
3.9 Pretesting
The research was pre-tested in 10% of the samples size (i.e., 14 students and 4 bankers) in the
similar setting where the final research was conducted. The pretested samples of both the students
and the bankers excluded for the final research purpose and were considered only for updating or
modifying the research questionnaire.
3.10 Data collection and processing
Data from both the students and the bankers about the cloud-related factors were collected in the
pre-assigned structured questionnaire and the information obtained was entered into the Microsoft
Excel sheet and processed before subjecting these to the statistical package for the social sciences
(SPSS).

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3.11 Statistical analysis

Descriptive statistics (frequency and percentage) was computed to depict the opinions of the
students and the bankers regarding cloud-related factors.

4 Result and Discussion

Results
The result of the present study showed that the original task of the researcher. Throughout the
research time there have been done various analysis task, and various tests with the help of
Statistical Package Social Software (SPSS) version 25 software.
Q.1: Descriptive Result

Year of experience of the Bankers in the banking sector

21
38

16

0-5 years 6-10 years 11-15 years Total

Figure 1: Year of experience of the Bankers

The figure 1 showed that there 21 respondents from the bank said 0-5-year work experienced in the
bank, followed by 16 respondents from the bank said that 6-10 years experienced in the bank.

Q.3: Descriptive Result

Departments in Bank

Accounting
11; 14%
9; 12% Management
38; 50%
IT
15; 20%
3; 4% Marketing
Total

Figure 2: Departments in the Bank

The above figure 2 explored the information about the employee who were working in different
departments. The figure showed that there were 15 (20%) people were working in Information
Technology (IT) department followed by 11 (14%) people were working in accounting department.

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Q.4: Descriptive Result

Have you ever come across with the term cloud

computing?
6
26
136 80

24

No idea Very Familiar Familiar New Total

Figure 3: Term Cloud Computing

The figure 3 described that there were 80 respondents were familiar with cloud computing.
Furthermore 26 respondents were very familiar with cloud computing.
Q.5: Descriptive Result

Do you think use of this advanced technology will be

appreciated?
9

91
136

36

Not Sure Sure May be Total

Figure 4: Advanced technology

The above figure 4 showed that there were 91 respondents revealed their answered as “Sure”
followed by 36 respondents were said that “may be” on use of this advanced technology will be
appreciated.
Q.6. Descriptive Result:
Do you think moving into this new technology will boost
business process and enhance performance of the banking
sectors as well?

45
136
76
15

Strongly Agree Agree Neutral Total

Figure 5: Moving into the new technology

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The figure 5 insight that there were 76 people agree on the asked question to the respondents.
Moreover, 45 respondents strongly agree on same asked question. The result showed positive
impact of the cloud computing in the banking sector of Nepal.

Q.7. Descriptive Result:

Do you think the banking sector has had success

story about technology adoption in recent times?

10
38 18

3 7

Strongly Agree Agree Neutral Disagree Total

Figure 6: Banking sector has had success story about technology

The figure 6 found the result that there were 18 respondents agree with the asked question to them.
Furthermore, 10 respondents were strongly agreeing with the same asked question.

Q.8: Descriptive Result

Do you think the banking sector is matured

enough to move into the cloud computing?

2.6

Frequency Percent

Figure 7: Banking sector is matured enough

The above pie chart revealed there were 2.6% respondents were agreeing with the asked question
and 1% deny on the same asked question. The result displayed the majority percentage was positive
on cloud computing.

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Q.9: Descriptive Result

Do you think moving to the cloud is safe enough

to be integrated into the banking sector of
Nepal?
2
15
38
9
12

Strongly Agree Agree Neutral Disagree Total

Figure 8: Moving to the cloud is safe enough

Q.10: Descriptive Result

Opinion of the Students and Bankers about always positive

impact of moving into the cloud computing on banking sector
of Nepal [Students Q4, Bankers Q6]
160
136
140
120 100 100
100
80
60 45 48
33.1 39.5 35.3 38
40 2417.6 28.9
15 21.1 1712.511
20 4 10.5 8 2 1.5 0 0
0
Strongly Agree Agree Neutral Disagree Strongly Disagree Total

Students Students Students Bankers Bankers

Figure 9: Always positive impact of moving into the cloud computing

Figure 9 showed that maximum students (48, 35.3%) were neutral that moving into the cloud
computing would always have positive impact on banking sector of Nepal whereas maximum
bankers (15, 39.5%) agreed upon that moving into the cloud computing would always have positive
impact on banking sector of Nepal.

Table 2: Combined response of the Students about kind of positive impacts

Please choose what kind of positive impacts in moving into the Number of
clouds: students Percent
Easy management and maintenance of clients 17 12.5
Easy to maintain the Accounts 6 4.4
Transaction independent of the platform and environment 8 5.9
Reliability and consistency then the in-house IT infrastructure 7 5.1

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Easy retrieval of data 6 4.4

Response 1, 2, 3, 4, 5 23 16.9
Response 1, 2, 3, 4 1 0.7
Response 1, 2, 3, 5 2 1.5
Response 1, 2, 4, 5 8 5.9
Response 1, 2, 3 4 2.9
Response 1, 2, 4 1 0.7
Response 1, 2, 5 7 5.1
Response 1, 3, 4 1 0.7
Response 1, 3, 5 5 3.7
Response 1, 4, 5 3 2.2
Response 2, 3, 4 1 0.7
Response 2, 3, 5 2 1.5
Response 2, 4, 5 1 0.7
Response 1, 2 7 5.1
Response 1, 3 3 2.2
Response 1, 4 6 4.4
Response 1, 5 4 2.9
Response 2, 3 1 0.7
Response 3, 4 2 1.5
Response 3, 5 7 5.1
Response 4, 5 3 2.2
Total 136 100

*
1. Easy management and maintenance of clients, 2. Easy to maintain the Accounts, 3. Transaction
independent of the platform and environment, 4. Reliability and consistency then the in-house IT
infrastructure, 5. Easy retrieval of data.
Table 2 showed that maximum students (23, 16.9%) responded all options of easy management and
maintenance of clients; easy to maintain the accounts; transaction independent of the platform and
environment; reliability and consistency then the in-house IT infrastructure; and easy retrieval of
data as the positive impacts of moving into the clouds.

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Table 3: Opinion of the Students and the Bankers about Security

Do you think shifting of the banking sector of Students Bankers
Nepal into the cloud computing would help
the banking sector secure more money and
increase investment? Number Percent Number Percent
Strongly Agree 13 9.6 4 10.5
Agree 53 39 15 39.5
Neutral 55 40.4 11 28.9
Disagree 11 8.1 8 21.1
Strongly Disagree 4 2.9 - -
Total 136 100 38 100

Table 3 showed that maximum students (55, 40.4%) were neutral about shifting of the banking
sector of Nepal into the cloud computing would help the banking sector secure more money and
increase investment whereas 15 (39.5%) bankers agreed upon that shifting of the banking sector of
Nepal into the cloud computing would help the banking sector secure more money and increase
investment.

Table 4: handing it off to somebody else would reduce ability to be fixable and agile
Do you think handing it off to somebody else Students Bankers
would reduce your ability to be fixable and
agile? Number Percent Number Percent
Yes 11 8.1 6 15.8
Most probably 54 39.7 17 44.7
May be 61 44.9 12 31.6
No 10 7.4 3 7.9
Total 136 100 38 100

Table 4 showed that maximum students (61, 44.9%) were uncertain and responded ‘may be’ as
handing it off to somebody else would reduce your ability to be fixable and agile. Maximum bankers
(17, 44.7%) responded ‘most probably’ as handing it off to somebody else would reduce your ability
to be fixable and agile.

Table 5: Negative publicity with storing and managing banking information through clouding
Will the storing and managing banking Students Bankers
information through cloud be affected
resulting in hefty fines and negative publicity? Number Percent Number Percent

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Yes 17 12.5 5 13.2

Most probably 40 29.4 14 36.8
May be 57 41.9 15 39.5
No 22 16.2 4 10.5
Total 136 100 38 100

Table 5 showed that maximum students (57, 41.9%) replied ‘may be’ as storing and managing
banking information through cloud be affected resulting in hefty fines and negative publicity
whereas 15 bankers (39.5%) may be’ as storing and managing banking information through cloud be
affected resulting in hefty fines and negative publicity.

Table 6: Control of data breaching to maintain security and integrity of data

Can data-breaching of extremely sensitive Students Bankers
banking information be controlled to maintain
the security and integrity of data? Number Percent Number Percent
Yes 35 25.7 9 23.7
Most probably 46 33.8 15 39.5
May be 48 35.3 13 34.2
No 7 5.1 1 2.6
Total 136 100 38 100

Table 6 showed that maximum students (48, 35.3%) replied ‘may be’ that data-breaching of
extremely sensitive banking information could be controlled to maintain the security and integrity of
data whereas 15 bankers (39.5%) replied ‘most probably’ that data-breaching of extremely sensitive
banking information could be controlled to maintain the security and integrity of data.

Discussion

Research objective 1: To examine current scenario and usage of cloud computing in banking
sector.
Cloud computing is one of the most discussed issues all over the world among the Information
Systems (IS). The cloud services are classified under three main models namely: Software as a
Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS). The SaaS model
helps the cloud customers to access and utilize the pooled resources via web browsers or program
interfaces. The PaaS model grants the cloud users such as programmers and web application
developers to deploy the applications or to acquire on the cloud platform. The IaaS model helps to
control the cloud infrastructures such as deployed applications, and networking modules.
(Amponsah et al., 2016) The current research study found that there were 114 male and 22 females
from the student respondents whereas 27 represented male and 11 represented females from
banker’s respondents. The figure (4.2) explored the age group of student’s respondents and banker’s
respondents whereas 97 respondents existed in 20-30 years from students followed by 18
respondents existed in 31-40 from the bankers. Whereas the previous literature research study
showed that there 62.3% respondents had little knowledge on the CC, 21.1% zero knowledge, while

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16.5% neutral. Moreover 113 (58.2%) organizations were already using cloud, while 81 (41.8%) were
not ( RA, et al., 59-76).
The cloud deployment has been categorized into private, public, community, and hybrid clouds
models. Private clouds help the organizations meet their IT-based requirements and they remain the
sole managers or the owners. Public clouds provide the cloud services openly to the general users.
Community cloud services on the other hand are offered to collective organizations with related
mission of supporting community with mutual concerns. Hybrid cloud is integration of two or more
of the above-mentioned models to form a single one, and is a complex model. (Amponsah et al.,
2016) The current research study tells that maximum students (48, 35.3%) were neutral that moving
into the cloud computing would always have positive impact on banking sector of Nepal whereas
maximum bankers (15, 39.5%) agreed upon that moving into the cloud computing would always
have positive impact on banking sector of Nepal. Previous research by Gangwar and Date (2016)
developed a framework to test the effect of security, availability of cloud provider and compliance
mediated by the perceived ease of use (PEOU) and perceived usefulness (PU). Questionnaire was
developed to collect data from 280 companies in IT, manufacturing and finance sectors in India. The
data were analyzed using exploratory and confirmatory factor analyses. The proposed model was
tested with the structural equation modelling (SEM). The findings offer a better understanding of
security, availability of cloud provider and compliance affecting the CC adoption. (Gangwar and Date,
2016)

Research objective 2: To identify the factors which are crucial in successful cloud computing
adaptation in banking sector.
The present study’s table 4.1 showed that maximum students (23, 16.9%) responded all options of
easy management and maintenance of clients; easy to maintain the accounts; transaction
independent of the platform and environment; reliability and consistency then the in-house IT
infrastructure; and easy retrieval of data as the positive impacts of moving into the clouds. The
research showed that extensive awareness campaigns are to be conducted to promote cloud data
privacy to have an effective adoption of the cloud services. The study would help the cloud service
providers and policymakers in developing strategies to address the issues liable to the insufficient
cloud adoption in Ghana. It would also help the managers understand and realize its beneficial
impacts to their business growth. The CC technology is equally advantageous to both the small and
medium-size enterprises as it allows a gradual implementation steps on minimal initial investment.
That’s the prime reason for its rocketing popularity in the business world. (Amponsah et al., 2016)
Table 4.2 showed that maximum students (55, 40.4%) were neutral about shifting of the banking
sector of Nepal into the cloud computing would help the banking sector secure more money and
increase investment whereas 15 (39.5%) bankers agreed upon that shifting of the banking sector of
Nepal into the cloud computing would help the banking sector secure more money and increase
investment. Cloud offers flexibility, scalability, and affordability to the service providers and the
users. It is advantageous to both the large and the SMEs due to its inherent feature of gradual
implementation-friendly at minimal investment. The present research explored the factors affecting
the cloud adoption in Ghana, and provided guidance for organizations willing to adopt it. The CC
adoption rate is low in developing countries despite its plethora of advantages. However,
organizations in the developing countries may be benefitted from its augmented productivity and
efficiency in business operations. Threats for the successful and uninterrupted adoption of the CC
technology may compromise the privacy and security of data shared via the cloud networks.
Important threats for the same are mobile device attacks, social networking attacks, verification
problems, insider and organized crime threat. (Amponsah et al., 2016)

Research objective 3: To propose a context free framework for successful cloud adaptation in
banking sector of Nepal.

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Table 4.3 showed that maximum students (61, 44.9%) were uncertain and responded ‘may be’ as
handing it off to somebody else would reduce your ability to be fixable and agile. Maximum bankers
(17, 44.7%) responded ‘most probably’ as handing it off to somebody else would reduce your ability
to be fixable and agile. The research conducted by Awosan (2014) revealed that following three
factors significantly affected the adoption CC in Nigeria:
1. Low awareness of CC
2. Unstable power supply
3. High cost and unreliability of internet service (Awosan, 2014)
The current study’s table 20 showed that maximum students (48, 35.3%) replied ‘may be’ that data-
breaching of extremely sensitive banking information could be controlled to maintain the security
and integrity of data whereas 15 bankers (39.5%) replied ‘most probably’ that data-breaching of
extremely sensitive banking information could be controlled to secure data. The CC relieves the firms
from owning data centers and install applications. Cloud provides scalability, on-demand service,
flexibility and minimized cost. This research was conducted to find the employees’ perception in IT &
telecommunication companies about CC in Nigeria. Both quantitative and qualitative researches
were carried out to fulfill the research objectives. Questionnaires were designed and distributed
using online survey application namely survey monkey. Many semi-structured interviews with the
employees and IT managers were conducted through Skype. The present research findings showed
that CC would be the next generation computing model in Nigeria. Increased focus on quality
services, collaboration, easy data access and provision of infrastructures were major motivating
factors for CC adoption in Nigeria. (Awosan, 2014)
The research showed that 62.3% respondents had few knowledges about the CC technology, 21.1%
no knowledge at all, while 16.5% remained neutral. Similarly, 113 (58.2%) organizations were
already adopting cloud, while 81 (41.8%) were yet to implement it. The research found that the
performance expectation, cost factor, cloud-conducive environment, and data security positively
and significantly influenced the organizations’ intention to adopt it. The results of the study depicted
the relationship among the cloud adoption variables (e.g., performance expectancy (PE), social
influence, facilitating condition (FC), motivation, price value, data security) with the organizations’
intention to adopt and use the cloud. Regression coefficient revealed FC as the most significant
factor to the model, followed by PE, price value (PV) whereas security (SE) had no significant effect.
(Amponsah et al., 2016)
The advent of cloud computing has transformed the IT demands in all arena of businesses. Many
banks are now migrating to the cloud technologies from their traditional IT interfaces because it
helps them deliver unique and innovative services to their clients, collaborate with them effectively,
and enhance their IT efficiency. The CC technology provides secure deployment provisions during
service delivery to the customers. Banks that adopted cloud computing could respond to financial
uncertainties in a quick and efficient manner. Perceived cost reductions, ease of scaling-in and
scaling-out, faster time to-market, data and server virtualization, technology standardization, and
ability to access data and applications on-demand are the major factors driving the firms towards
the CC technology. (Sudhakar et al., 2014)
With the CC, banks can assign budget only for their operational expenses and for testing new service
and applications on the cloud network. No CC model is already customized to address all the
technology requirements for each firm, they can be customized later as well. Banks should adopt
stringent mechanism to ensure data security, privacy and integrity in the cloud environment. Many
banks also fragment their data depending on their sensitivity into low level (shared with no
restrictions), ultra-secure (only accessible by top level managers). (Sudhakar et al., 2014)
Using the CC technology, banks can create a flexible environment to respond immediately to new
business requirements and upgrade the existing ones. Cloud models help to march from a capital-
intensive pattern to a low operational cost model. This can be achieved by choosing the right cloud
model as per the business requirements. Following two prime challenges must be tackled by the
banks that show willingness to adopt the CC:

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 Security: Privileged user access, Regulatory adherence, Data segregation, Data recovery
 Regulatory and compliance
The cloud can store users’ data, customize product or service due to of its versatile computing
capacity and offers following benefits to the users:
 Cost reductions
 Scalability
 Rapid entry to the market
 Data virtualization
 Mobility (Sudhakar et al., 2014)
Cloud computing has been declared as the first among the top 10 technologies at present. It offers
cost-effective and flexible solution to fulfill business objectives of the organizations. Many
prospective-thinking enterprises are applying cloud technologies, and services to transform,
automate and optimize their business processes. Prior to adopting the CC, every organization should
weigh the potential security threats, vulnerabilities and their remedies. Although the CC adoption
offers strategic and operational benefits to the organizations, its adoption is not up to the
satisfactory level. It might be due to its perceived risks. The clouds offer scalability, and automated
management of the computing resources and avoid expensive hardware expenses. Still, data
security and compliance are serious concerns with its adoption. (Gangwar and Date, 2016)
The CC enables ubiquitous, easy, and on-demand access to a shared computing source. It has
become the foundation for the business explosion and the advent of the new business models in a
reduced operational cost. The CC technology radically transforms the traditional IT processes and
also improves its performance. It also motivates the top management to appreciate the
modifications, estimate the resources required for its adoption. The CC improves the efficiency, data
accuracy, and minimizes costs. The present research tested eight different CSFs for the cloud
adoption namely complexity, compatibility, advantage, top management support, company size,
technical preparedness, competitive environment, and competitors’ pressure. Survey from 16
pharmaceutical companies in Amman (capital of Jordan) was conducted to collect data. Hypotheses
were formulated accordingly and tested with multiple regression analysis. All the above-mentioned
factors significantly affected the CC adoption in the pharmaceutical companies in Jordan. (Al-Shura
et al., 2018)
The CC technology ensures long-term cost reduction, easy access to data at desired time from
desired location. Many cloud service providers are even providing free cloud storage facilities these
days so that the users can easily store and share their data. Both government and private sectors are
optimizing their cloud data storage mechanisms to deliver quality services to their customers. Still
some organizations have the early implementation phase of the cloud due to problems in the
technical and human resources. In Malaysia, the government has been promoting its adoption and
implementation. Since cloud is in its infancy, the contributory factors are yet to be elaborated for
future expansion of the services. Provision of the physical data storage center was mandatory for
any individual organization in the historical periods, but these days, these physical data repository
systems have been replaced by the CC technology, without increasing the costs. The CC adoption
significantly minimizes the capital expenditures and operational costs. The CC technology is facing
challenges of data security, privacy and integrity, lack of expertise and slow internet speed in some
areas. The cloud offers easy access to data, applications, and services at minimal costs and creates
healthy competitions among the cloud providers and the users. (Amron et al., 2017)
The researchers carried out an exploratory research on cloud technology within the banking firms.
They applied an interpretivist epistemology to explore the complex and dynamic social world under
study. Data were collected by one-to-one semi-structured interviews with the bank managers and
employees, technical consultants and cloud providers. Due to cloud’s perceived complexity,
customization can be regarded as a barrier to its adoption by the organizations. The research
concluded that further original researches are mandatory to conclude the best affordable cloud
infrastructure for the banks. Various qualitative comparison analysis (QCA) procedures such as

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assessing data coherence or congruence, matching with the current theories, and developing new
theoretical arguments were used to ensure the data quality and integrity. The researchers found
that IaaS was the most preferred cloud. (Owusu-Tucker and Stacey, 2018)
The CC offers facilities of using even the distant virtual servers and shared resources to store and
manage data. It enables ubiquitous, convenient, on-demand access to the shared resources and
helps to release these with minimal interaction with the service provider. Australia ranked the
second among the countries for the expansion of the CC technology. It has radically redefined the
computing paradigm with the help of dynamically on-demand scalable resources via internet.
Further improvements in the e-education, e-health, and shared business activities across
governmental departments are mandatory. The research showed that there was still knowledge and
technology gaps in the CC research in Africa. Cloud computing is less capital-intensive. (Scholtz et al.,
2016)
Adoption of the state-of-the-art technology helps to support the organizational processes and also
enhances its competitiveness in the local as well as the global market. With the CC technology, firms
can outsource there IS management to promote the core competencies of the organizations.
Necessity of the cloud adoption is equally experienced by the top-level management as well as
bottom level ones. Service delivery becomes faster, less costly, and better due to the cloud
adoption. Many technology adopters are switching to the CC for its subsidized costs, less technical
expertise requirements, dynamic applications. Business processes become more effective and scaled
up so that the firms can penetrate the markets faster. The advent of the CC technologies is driving
firms to upgrade their traditional IT infrastructure to become competitive. It is advantageous over
the traditional computing system in terms of lower entry cost, device and location independency,
and scalability. Exploration of the determinants for the adoption of CC to enhance its acceptance
was the prime objective of the present research. First determining and then ranking the factors
cloud computing adoption (CCA) are crucial to its successful adoption. (Priyadarshinee et al., 2017)

5 Conclusion & Recommendation

The present research study carried out to collect the data from the banking sectors in the
Kathmandu valley, Nepal regarding the cloud computing critical success factors. The research study
applied primary data from the banking institutions to conduct the whole research. The data analysis
had been done with the help of SPSS version 25 and Microsoft excel. The method of the research
study was quantitative because there were numerical data enrolled in the present study.
The present research study result explored that there were 114 male and 22 females from the
student respondents whereas 27 represented male and 11 represented females from banker’s
respondents. Another result of the present research study was age group of student’s respondents
and banker’s respondents whereas 97 respondents existed in 20-30 years from students followed by
18 respondents existed in 31-40 from the bankers. Furthermore, the present study found that there
were 21 respondents from the bank said 0-5-year work experienced in the bank, followed by 16
respondents from the bank said that 6-10 years experienced in the bank. Finally, the present
research study gave the various ways to advantages of the clod computing and gave the idea about
the cope with the challenges of cloud computing in real scenario.
The research showed that maximum students (55, 40.4%) were neutral about shifting of the banking
sector of Nepal into the cloud computing would help the banking sector secure more money and
increase investment whereas 15 (39.5%) bankers agreed upon that shifting of the banking sector of
Nepal into the cloud computing would help the banking sector secure more money and increase
investment.
5.1 Recommendation
After revealed of the various result regarding the cloud computing, here some recommendation had
been mentioned as follows:

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 The cloud computing should be implemented in the bank for maintain the good services to
the customers.
 The cloud computing would give the security and would minimize the extra expenditure on
the unnecessary hardware equipment.
 The loud computing would be the played vital role in the competitive market
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