Implementing Governance of Enterprise IT
How do organizations know they are effectively utilizing enterprise technology resources to best realize business goals? Do organizations know the extent to which their business goals are dependent on technology? Is there a better way to achieve enterprise goals? Is there something else that enterprises could use to make them nimbler, more agile or better equipped to respond to market pressures or customer demand? How do they know the technology they have in place is providing value and realizing the expected return on investment?
Governance of enterprise IT (GEIT) is the systematic process of answering these and other related questions. Implementing a GEIT system can bring many benefits to an organization, including lower costs, greater control, more efficient and effective use of resources, and overall better strategic alignment and risk management. According to the Organisation for Economic Co-operation and Development (OECD), stronger governance leads to lower costs of capital and other financial market benefits including increased innovation and entrepreneurship.1 Enterprises practicing strong governance are rewarded by paying lower interest in the capital markets when they access funds.