Is your IT department under control?

In this post, Hemant Kogekar asks: is your IT department under control, and how do you know whether it is or is not? To help answer these questions, he explains how IT governance can help determine just how much of your IT effort is being monitored and measured. Kogekar begins by listing the five focus areas of IT governance:  

  • strategic alignment
  • resource management
  • performance measurement
  • value delivery
  • risk management

Using these five as the basis of the post, Kogekar goes on to list details about each element of the five focus areas. For instance, he writes the following about value delivery: Value delivery ensures IT investments are generating appropriate return-on-investment. Value delivery means delivering within budget and with right quality that achieves the promised benefits. The benefits may be cost reduction, new capability/ products / services, customer satisfaction or top/ bottom line growth. IT value is also delivered by delivering the infrastructure that allows the business to grow. Off [sic] course for the value delivery to be effective, the value must be created in the right areas. This is where alignment is so important. Value is demonstrated in many different ways. Value-for-money means IT operations and services are being run in a cost-effective manner. Measuring cost and quality of IT services and comparing against peer group (benchmarking) is an accepted method. New business value is created when IT helps make better decisions, transforms processes, improves customer interaction or helps deliver new products. Return on investment can be used to measure this value. Review the blog post and determine just how well your own IT governance processes are working – are you covering all your bases or just going through the motions? While it sometimes appears to be much more work than what it's worth, a strong and robust IT governance process can make a difference when problems (or even unexpected opportunities) arise. Governance provides the foundation for a responsive and prepared organization, two characteristics that have never been a bad quality to have in good or bad economic environments.

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