Contents

Introduction. 2

Objective Decision Making. 2

Execution and Enforcement. 2

Organizational Risk Management. 3

Reference. 3

IT Governance

Introduction

IT Governance is a process that helps the information technology unit to manage its risk to improve the efficiency of an organization and making sure that whatever the department is doing goes hand in hand with the main purpose and motive of the business organization(Webb. et al.,2006, January). Therefore, IT Governance helps the department remain focused on the main objective at that particular time while waiting for the next task. In the 1990s, organizations introduced IT Governance because many organizations failed in their fields. After all, the IT department agenda and business department agenda were different hence not compatible.IT Governance is important in an organization because it helps in objective decision making, execution, enforcement, and organizational risk management.

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Objective Decision Making

IT Governance helps the managers and other leaders in an organization make changes that will help make sure that the organization and the IT department are on the same page.IT Governance also helps improve the department to make sure that the performance rate goes up, therefore boosting the output of the organization as a whole. The decision making becomes first to implement, easy, and follows the proper channels.

Execution and Enforcement

IT Governance helps the managers by making it easy for them to implement new rules and methods to the department and help improve these recent changes. It also helps the managers know the department’s basic structures, which helps with easy planning, first implementations, and determining what the managers should go with according to its importance.

Organizational Risk Management

IT Governance helps the IT managers to single out the risks that come with independently assessing and taking charge of IT ( Gibbs, P. A. 1993). By identifying trouble that comes with these initiatives, it is easier for leaders and managers to know how to handle risks, implement, and go about the whole process.

Reference

Webb, P., Pollard, C., & Ridley, G. (2006, January). Attempting to define IT Governance: Wisdom or folly?. In Proceedings of the 39th Annual Hawaii International Conference on System Sciences (HICSS’06) (Vol. 8, pp. 194a-194a). IEEE.

Gibbs, P. A. (1993). Determinants of corporate restructuring: The relative importance of corporate Governance, takeover threat, and free cash flow. Strategic Management Journal, 14(S1), 51-68.