Integration Strategies and Tactics for Information Technology Governance

Abstract

Amidst the challenges and changes of the 21st century, involving hyper-competitive market spaces, electronically-enabled global network businesses, and corporate governance reform, IT Governance has become a fundamental business imperative. IT Governance is a top management priority, and rightfully so, because it is the single most important determinant of IT value realization. IT Governance is the system by which an organization’s IT portfolio is directed and controlled. IT Governance describes (a) the distribution of IT decision-making rights and responsibilities among different stakeholders in the organization, and (b) the rules and procedures for making and monitoring decisions on strategic IT concerns. The objective of this chapter is threefold. First of all, to describe past developments and current challenges complex organizations are facing in governing the IT portfolio of IT applications, IT development, IT operations and IT platforms. Based upon the lessons we’ve learned from the past, one of the key objectives is to move beyond ‘descriptives’, and discuss how organizations can diagnose and design IT Governance architectures for future performance improvement and sustained business growth. The final objective of this chapter is to provide a thorough understanding and holistic picture of effective IT Governance practices, and present a new organizing logic for IT Governance.