Cloud computing is the current IT buzzword synonymous with outsourced data center management and agile solution architecture. It has the potential to improve scalability of large enterprise network delivery of services and the capability to revolutionize how data is delivered as a service. At its core, cloud computing is not a new technology but rather a new approach to distributed shared pooling of IT infrastructure linked together to offer centralized IT services on demand. The paper results determined that management’s perception of security, cost-effectiveness and IT compliance factors significantly influence their decisions to adopt cloud computing.