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

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.