IT GOVERNANCE AND CORPORATE STRATEGY

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1 IT GOVERNANCE AND CORPORATE STRATEGY Lawrence Ribeiro October 2014

2 Agenda n What is IT governance? n What are the results of IT governance? n IT governance and Enterprise Architecture n IT governance solution context n The Cycle n Question

3 What is IT Governance n IT governance is the set of processes that ensure the effective and efficient use of IT in enabling an organisation achieve its goals n IT governance addresses two major topics: demand governance ("doing the right things") and supply-side governance ("doing things right").

4 What is IT Governance n The demand side of IT governance is focused on establishing business investment decision and oversight processes that help the business and by extension, IT win n IT demand governance covers three major sets of collective decisions and guidance.

5 3. business cases and investments it describes priorities, ownership, benefits realization, funding and chargeback processes. What is IT Governance 1. how IT should be used in the business the guiding policies and principles 2. who makes what decisions and how Responsible Accountable Consulted Informed (RACI) matrix

6 n Poor IT governance loses sight of the customer in favour of satisfying regulations, standards, and policies in isolation What are the result of IT Governance? n IT governance process must have focus on the visibility of the overall (end-to-end) business process with which your customers interact. n IT governance practices, consider the production of goods or services for your customers n Good IT governance leads directly to increased productivity, higher quality.

7 IT Governance and Enterprise Architecture n Focus on removing defects from your Enterprise Architecture that matter to your business. Defects may include either broken and/or missing automation and business processes. n Increase productivity by finding and fixing defects faster through improved automation and processes (transform the way you think and act).

8 IT Governance and Enterprise Architecture n Enterprises that depend on their IT resources to execute business strategy are becoming increasingly more complex n These complexities could be solved through an evolving EA to meet changing business needs Murray Cantor n Establishing a buffer between your relatively rigid Enterprise Architecture and your relatively fluid corporate strategy Business Agility.

9 IT Governance and Enterprise Architecture n IT governance offers the visibility and execution vehicle for the management and transformation of EA to become aligned with business's strategic needs n Business transformation: aligning the technology initiatives of a company more closely with its business strategy and vision - CIO n Enterprise architects: the bridge between business and IT -CIO

10 IT Governance Solution Context n Gartner recommends three major phases in IT governance projects. 1. Strategise and Plan n Business goals n What decisions needs to be governed n Scope n Resources n Budget

11 IT Governance Solution Context n Gartner recommends three major phases in IT governance projects. 2. Solution Architecture n Define decision Tree (at what level, by whom etc) n Define RACI Matrix n Define communication plan

12 IT Governance Solution Context n Gartner recommends three major phases in IT governance projects. 3. Build - create process for demand governance to include the following: n Work streams n Investment performance matrix n Funding and chargeback n IT development and delivery n Risk monitoring and management

13 The Cycle Business Strategy IT Governance Business Transformation EA Evolution Customer Satisfaction

14 Question? Does Technology Drive Business or Business Drives Technology?

15 THANK YOu

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