Organizational Cybersecurity Systems and Sustainable Business Performance of Small and Medium Enterprises (SMEs) in Saudi Arabia: The Mediating and Moderating Role of Cybersecurity Resilience and Organizational Culture

Sabah Abdullah Al-Somali (), Raneem Rashad Saqr, Arwa Mohammed Asiri and Najat Abdullah Al-Somali
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Sabah Abdullah Al-Somali: Faculty of Economics and Administration, Management Information System Department, King Abdulaziz University, Jeddah 21589, Saudi Arabia
Raneem Rashad Saqr: Faculty of Economics and Administration, Management Information System Department, King Abdulaziz University, Jeddah 21589, Saudi Arabia
Arwa Mohammed Asiri: Faculty of Economics and Administration, Management Information System Department, King Abdulaziz University, Jeddah 21589, Saudi Arabia
Najat Abdullah Al-Somali: Warwick Manufacturing Group (WMG), University of Warwick, Coventry CV47AL, UK

Sustainability, 2024, vol. 16, issue 5, 1-25

Abstract: Cybersecurity challenges in Saudi Arabia’s service and manufacturing sectors are escalating due to increased digital adoption, highlighting the need for robust security measures and awareness in SMEs. Therefore, this research is significant due to the increasing reliance on digital technologies and the unique cybersecurity challenges faced by SMEs in these vital economic sectors. With rapid technological advancements, IT capabilities and cybersecurity have become paramount, particularly in the post-COVID-19 era. The service and manufacturing sectors in Saudi Arabia have seen significant shifts towards digital operations. This study aimed to explore the impact of organizational cybersecurity systems on organizational resilience and sustainable business performance in Saudi Arabia’s service and manufacturing sectors, examining the mediating and moderating effects of organizational resilience and culture. A quantitative research method was employed, combining a thorough literature review with empirical data from a sample of 394 respondents in Saudi Arabia, split evenly between the service and manufacturing sectors. Smart PLS 3.3.3 was used to test the proposed hypotheses. The findings suggested a positive effect of the factors of organizational cybersecurity systems on organizational resilience. Organizational cybersecurity systems also significantly influenced sustainable business performance; however, organizational resilience and culture did not play mediating and moderating roles. This study is one of the first to offer a nuanced analysis of IT capabilities and cybersecurity within Saudi Arabia’s service and manufacturing sectors, especially in a post-COVID-19 context. The insights gleaned contribute to the academic discourse and have pivotal managerial implications for organizations navigating the digital era in Saudi Arabia.

Keywords: SMEs; the theory of dynamic capabilities; cybersecurity resilience; organizational culture; organizational cybersecurity training and policies; regulatory effectiveness; absorptive capacity; COVID-19 pandemic vulnerabilities consequences; Saudi Arabia (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
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