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IT Governance

Page history last edited by PBworks 14 years ago

What is IT governance?

Why IT governance?

How do you practise IT governance?

Technology use policies




What is IT Governance?

Information Technology governance is an integral part of corporate governance and consists of structures and processes that ensure that the organisation's IT supports and complements the organisation's culture, strategies and objectives.


It is the responsibility of the board of directors and executive management.


Why IT Governance?

IT Governance is based on principles from risk management and disaster recovery .


Companies today rely heavily on IT for core business processes and compliance. IT systems can involve substantial cost, not just in acquisition but in development, implementation and maintenance.


It is not uncommon to read about IT Project cost blowouts and IT projects being scrapped or renegotiated because they did not meet expectations. A Board must ensure the correct decisions are being made and monitor the progress of IT investments


A Board must ensure their IT systems have business continuity and disaster recovery plans. What would the impact be if your IT system fails?


IT systems must be integrated into a business’s key processes and regulatory obligations in order to ensure improved company performance.


How do you practise IT Governance?

• Business management must actively participate in IT issues

• IT must have a clear role in the organisation

• There must be identifiable steps, responsibilities and results in IT decisions


IT Issues are generally either external (supply side) or internal (demand side).

Supply Side Issues (the provision of IT services)


There must be policies covering:

• Security

• Business continuity

• Supplier policies

• Centralization v Decentralisation

• Ownership of data and processes

• IT design

• Outsourcing


Demand Side Issues (decision processes)


• The alignment and integration of IT and business planning

• Financial and human resources

• Criteria for new investments

• How proposals are evaluated

• Accountability for the success of a project


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