It Governance And Strategic Alignment Domain

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IT Governance FINAL EXAM Dr. Yemer Hassan Naga RaghuTej Vankamamidi 1. This course explains and records and interprets some important existing theories, models, and practices in the IT governance and strategic alignment domain. IT governance be defined and its relationship with corporate governance and IT management clarified; devoted to the concept of strategic alignment, a detailed set of IT governance structures, processes, and relational mechanisms is discussed that can be leveraged to implement IT governance in practice. In your own words, how IT governance explained and why do we need to study IT governance? Identify two important IT governance processes and key elements of IT governance. Answer: IT governance is a…show more content…
IT governance reflects broader corporate governance principles while focusing on the management and use of IT to achieve corporate performance goals. Because IT outcomes are often hard to measure, firms must assign responsibility for desired outcomes and assess how well they achieve them. IT governance shouldn’t be considered in isolation because IT is linked to other key enterprise assets (i.e. financial, human, intellectual property, physical and relationships). Thus, IT governance might share mechanisms (such as executive committees and budget processes) with other asset governance processes, thereby coordinating enterprise-wide decision making processes. Every enterprise engages in IT decision making, but firms differ considerably in how thoughtfully they define accountability and how rigorously they formalize and communicate decision making processes. Without formal IT governance individual managers are left to resolve isolated issues as they arise. These individual actions can be at odds. For example, the CIO at a global transportation firm was instructed to cut the corporate IT budget. This CIO introduced a chargeback system to curtail demand for IT services. Unhappy with their new charges managers within each of the business units hired technical specialists to provide services at a price they were willing to pay. The new technical specialists did not show up in the corporate IT budget so it looked like the CIO had achieved his goal, but the impact of the
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