Importance of Performance Metric for IT Governance:
The organization order may deliver good governance, which is capable to add true value to the projects. The metric may have performance with a well-defined management with the means of success to determine the areas to focus on the effectiveness improvement. The carrying out of the metric include the improvement of the quality of IT services, reduction of risks in IT, reduce the cost of delivery services in IT.
They are two types of performance metrics:
1. Development Metrics
2. Services Metrics
Development metrics are used to measure the functioning in the maturation of the IT projects. A service metrics are used to evaluate the success of the repetitive IT services. IT governance is a subset of business creation, mainly focuses on information and technology in performance and risk management. In this business world, several IT governance may definitely focus on the managing of the performance and creating the value. The focus is mainly related to “specifying the decision rights according to the accounting framework that encourages the desirable behavior in the use of IT” (Wood, 2011).
In manufacture, the efforts may despite the software for identifying the best exercise in the development of the IT projects. In structure of the governing body, the effective governance may include the framework that determines the roles and responsibilities in IT stakeholders. The framework may ensure the IT investments which are aligned and presented according to the objectives and schemes. In IT the main objective is to place the key practice in IT administration.
In organization, the following are the best factors in practice of the successful high level framework, reporting in performan...
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...T Governance: A Taxonomy to Inform AIS, Journal of Information Systems, 24 (2), 107–146.
Blitstein, Ron, 2012. "IT Governance: Bureaucratic Logjam or Business Enabler", Cutter Consortium.
Wood, David J., 2011. "Assessing IT Governance Maturity: The Case of San Marcos, Texas". Applied Research Projects, Texas State University-San Marcos.
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S. De Haes, and W. Van Grembergen (2009), “Exploring the relationship between IT governance practices and business/IT alignment through extreme case analysis in Belgian mid-to-large size financial enterprises”, Journal of Enterprise Information Management, Vol. 22, No. 5, 2009, pp. 615–637.
Lutchen, M. (2004). Managing IT as a business : a survival guide for CEOs. Hoboken, N.J., J. Wiley., ISBN 0-471-47104-6
The report illustrates the causes of Myki project failure in Australia and importance of a proper IT governance. It considers certain elements of information technology governance such as strategic alliance, value delivery, resource management, risk management and performance measures. Further it considers individually the factors of strategic alignment, value delivery, resources management, risk management and performance measure and compares the imitative of company to run Myki project. With analysis, the report offers conclusion and recommendation.
I designed implemented at the Veterans Affairs as the Director of Vendor Management a balance scorecard with four quadrants for 1) internal processes, 2) customer service, 3) financial metrics, 4) and learning development. Sharing individual experiences with stakeholders is an effective leadership method to reduce organizational resistance and gain stakeholders trust. Key performance metrics provides a tool for problem identification and remediation of project risks throughout the life cycle of a project. My model identified the increased failure rate of IT investments suggests a systemic weakness of federal agencies project managers’ ability to use project management methodologies, investment frameworks, and IT governance models effectively
The Government of Alberta Foundation project has all of their assets in line, however, in order to achieve the greatest value among linking IT investments, the project framework needs to greater align with the GAEA governance model. In projects that have such a large scope as this, a strong EA governance model when implemented correctly provides significantly improved business value of IT investments. This is a $340 million dollar a year investment over 106 ministry business processes managed by a staff of 130. Coordination is essential in the development of these IT business solutions and increased governance of the GAEA is the answer. It is a matter of the Government of Alberta CIO gaining that leadership among management executives to effectively manage this IT initiative from the top down. Alberta is currently in the engaged BA state, and this means that IT may take the backstage to fulfilling business processes. However, this is the stage to initiate governance and take great care in linking IT with business
Iskandar, M., & Salleh, N. A. M. (2010). IT Governance in Airline Industry: A Multiple Case Study. International Journal of Digital Society, 1(4), 308-314.
Henderson and Venkatraman proposed a model for business – IT alignment; it was intended to support the integration of information technology (IT) into business strategy by advocating alignment between and within four domains (see figure 1). The inter-domain alignment is pursued along two dimensions: strategic fit (between the external and internal domain) and functional integration (between the business domain and the IT domain). The objective of this model was to provide a way to align information technology with business objectives in order to realise value from IT investments. The authors argued that the potential strategic impact of information technology requires both an understanding of the critical components of IT strategy and its role in supporting and shaping business strategy decisions and a process of continuous adaptation and change. Hence, they presented a model that defines the range of strategic choices facing managers.
In its broadest sense, it is a part of the overall governance of an entity, but with a specific focus on improving the management and control of Information Technology for the benefit of the primary stakeholders. Ultimately, it is the responsibility of the Board of Directors to ensure that IT along with other critical activities is adequately governed. Although the principles are not new, actual implementation requires new thinking because of the special nature of IT.” (National Computing Centre, n.d.).
Information technology (IT) strategy is long term overall plan of the company to achieve the set goal against constantly changing IT requirements (Rouse, 2012). Information strategy should align with overall company’s business strategy for the success. It strategy covers all the factors for IT infrastructure management which includes cost of software and hardware, IT resource management, vendor management and other aspects associated to IT environment. IT strategy plan should be flexible enough to accommodate the business strategy changes, new technology or technology changes, customer requirement changes and budget constraints,. Many companies opt for formalizing the IT strategy plan in a written document long with milestones and critical success factors. IT strategy is a comprehensive plan that information technology management professionals use to guide their organizations (Rouse, 2012).
The D&M IS Success Model was created having the desire to understand the impacts of IS. This study was a follow-up to the previous model in 1992 which was used as the framework and model for assessing the complex dependent variable in IS research. Three components were identified in the process models; “creation of the system, use of the system and the consequences of the system use, (DeLone & McLean, 2003). The article serves to outline the authors’ beliefs that “the measurement of IS success or effectiveness is critical to our understanding of the value and efficacy of IS management actions and IS investments” (DeLone & McLean, 2003). The primary purpose was to update the original D&M IS Success Model as well as to assess its effectiveness due to the rapid changes in the practice of IS. Emphasis was placed on research efforts in order to propose enhancements to the original model. It also served to discuss the utility of the updated model in particular to measure the growth of e-commerce and make suggestions on how to measure IS success presently and in the future.
In this part, I would analyze the process of aligning IT infrastructure and operations with business goal in details. By looking through the caselets and power points that have been given, my opinion is that IT governance plays the most important role to ensure that IT is aligned with the business goals, by implementing effective IT governance, the organizations can gain the maximum value from IT, so that the business goal on IT would be achieved. I would define the background of IT governance and the process of building effective IT governance.
Dubé, L., Bernier, C., & Roy, V. (2009). Taking on the Challenge of IT Management in a
Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.
IT Governance consists of the leadership, organizational structure and processes that ensure that the organization’s IT sustains and extend the organizational strategies and goals. IT governance makes sure that IT related decision should match company objectives.
Establishing metrics is crucial to any organization, especially in technology related company projects. Metrics permit organizations to measure its performance against industry sectors to determine how well the company is doing. Furthermore, metrics allow organizations to evaluate and improve the effectiveness and efficiency of its processes. Metrics are designated in different categories. The categories identified in this document include output, in-process, and people. (Duris 2003) The organization must first determine exactly what the company is trying to accomplish or determine. Metrics are then identified based on what is relative to the subject matter. Finally, metrics are verified when tracking progress against previous records or a company given standards or goals.
With our ever changing technology and the digital age, competition has become fierce. If companies do not keep up with the new technology, the business may not be profitable and could end up suffering severe hardships. I want to know how each department of a business works for the greater good of the corporation. I want to learn how they complement each other to make a company profitable. It is my goal to learn each aspect, starting at the hourly employee though the Chief Executive Officer. This includes production, finance, marketing and sales. It is my hope to have a clear vision of how a corporation becomes and stays successful throughout the years. I want to understand what it takes to make a business successful in today’s world. I want to see how a corporation becomes successful from the ground up.
These also include the design of the relationship between choice and IT suppliers and service providers in decision-making on the architecture. Such a determination, have been combined for a longer period than usual. They create a limit for future action, in many cases, require a large amount of investment. In other important topics, it has been staffing and IT sector organizations. These problems, the long-term is a strategic impact, costs associated with the effect of the ability and the IT-related organizational