How Does Information Technology Governance Impact Organizational Performance: A MetaSEM Study

The literature establishes a positive association between IT governance and business performance. Nevertheless, we still do not completely understand how IT governance impacts firms. Informed by the literature, we hypothesize that IT strategic alignment and IT-enabled dynamic capabilities are two mechanisms that mediate the impact of IT governance on performance. We use a meta-analytic structural equation modeling (MetaSEM) method to create an integrative view of the existing fragmented literature. Our findings provide empirical support for our hypotheses. Our work contributes to the technology-mediated business value creation by providing a refined perspective on IT governance. Besides, our work yields a high-level understanding of why IT initiatives may fail and how to use IT governance to improve the performance of IT investments

The Role of Knowledge in Information Technology Project Governance

IT governance, the distribution of decision-making concerning IT, has primarily been studied at the organizational or, more recently, the business unit level. However, many IT decisions take place in the context of IT projects, making it important to understand governance issues at the project level. This research develops a project-level conceptualization of IT governance that draws from both the governance and project management literatures. A model of how IT project governance arrangements are influenced by the distribution of business and IT knowledge and the impact on project performance is also proposed. This model will be tested using matched surveys from business and IT managers involved in IT projects

Agility matters! Agile Mechanisms in IT Governance and their Impact on Firm Performance

With significant advancements in digital technologies, firms find themselves competing in an increasingly dynamic business environment. It is of paramount importance that organizations undertake proper governance mechanisms with respect to their business and IT strategies. Therefore, IT governance (ITG) has become an important factor for firm performance. In recent years, agility has evolved as a core concept for governance, especially in the area of software development. However, the impact of agility on ITG and firm performance has not been analyzed by the broad scientific community. This paper focuses on the question, how the concept of agility affects the ITG–firm performance relationship. The conceptual model for this question was tested by a quantitative research process with 400 executives responding to a standardized survey. Findings show that the adoption of agile principles, values, and best practices to the context of ITG leads to meaningful results for governance, business/IT alignment, and firm performance

IT Governance And Business Performance - A Resource Based Analysis

This dissertation project aims at developing a theory-based model that explains the positive impact of IT governance on the business performance of the firm. The research takes the perspective of the resource based view of the firm and integrates the economic theory of complementarities as well as the concept of relatedness. The increase of business performance is rooted in the generation of sustainable competitive advantage. The model is grounded on a thorough literature review and has been developed in eleven exploratory case studies with senior IT executives of major multinational corporations. The results propose that IT governance is positively related to business performance through the mediators IT relatedness and business process relatedness. It is argued that the latter two are complementary in the sense that they do not only increase business performance independently, but provide additional value if available in combination

A Conceptual Paper on Impact of Corporate Governance on Operating Performance during Goods Service Tax Implementation in Malaysia

The purpose of this conceptual paper is to address the link between corporate governance and operating performance during and after GST implementation. With the support of agency theory, this paper develops six propositions to the relationship between corporate governance and operating performance (SG and CR) during and after GST implementation. The nature of their relationship shall contribute to all stakeholders on the impact of corporate governance to operating performance. This displays on the governance effectives in discharging their roles to strengthen operating performance particularly during a new financial or tax policy implementation that requires necessary changes in business processes. It uncovers the transparency of Malaysian corporate governance commitment and acceptance to GST for firm and country sustainable development. In sum, for business friendly GST requires effective governance to support the firm operating system

DAMPAK TATA KELOLA PEDAGANG KAKI LIMA (PKL) TERHADAP KINERJA USAHA (STUDI PADA PKL WILAYAHSEKITAR KAMPUS DI KOTA JAMBI)

The goal of this research is to identify factors that influence the street vendor’s governance (PKL) around some universities in Jambi city. It also intended to explain the impact of PKL governance on business performance by quantitative model. The data analysis is divided into two, namely descriptive and inferential statistics. The inferential statistics employs Partial Least Square (PLS).The samples are taken based on purposive sampling method;a judgement method with 7,5% assumption on street vendors around universities in Jambi city. The result indicates that human resource and operational management have effect on business performance, while finance and marketing have no effect on business performance. Hence, governance model on the future should be considered human resource as the primary asset of PKL

ESSAYS ON INFORMATION TECHNOLOGY GOVERNANCE: MEASUREMENT AND IMPACTS

Information Technology (IT) governance, defined as “the organizational capacity exercised by the Board, executive management and IT management to control the formulation and implementation of IT strategy and in this way ensure the fusion of business and IT” (De Haes and Grembergen 2004, 2005), is an important issue in the information system field. To better understand the role of IT governance in business operations, this dissertation proposes a comprehensive measure of IT governance based on corporate governance literature and IT leadership research. Using this newly proposed measure, we are able to empirically explore its impact on IT material weaknesses (ITMWs), IT capability, and firm performance. The dissertation consists of two studies. Study 1 aims to examine the impacts of firm-level characteristics and IT governance on ITMWs according to the integrated model from general internal control research. Under the Sarbanes-Oxley (SOX) 404, all accelerated filers (companies with market capitalizations of $75 million or more) are mandated to disclose their internal control material weaknesses (MWs). If the MWs are IT related, we refer to them as ITMWs. Study 1 sheds light on whether effective IT governance helps to reduce ITMWs. Study 2 studies the effect of IT governance on IT business value based on the Resource-Based View (RBV) theory. In particular, study 2 investigates how IT governance and IT capability help to achieve firms’ competitive advantage measured by both market value measure and sustainable accounting performance. The impact of IT governance on IT capability is also examined. The dissertation is useful from research as well as managerial perspectives. It represents an important contribution to research in both Accounting Information Systems (AIS) and Management Information Systems (MIS)

A decision-making framework for aligning business analytics with business objectives

Throughout this thesis, we discuss the impact of Business Analytics on the organizational decision-making process with the objective of designing a framework that provides the organization with extra-knowledge on how to implement and sustain their analytics. First, we develop the concept of capability using the resource-based view and the IT literature to define what is a Business Analytics capability. We then define the key capabilities that provide the organization with a competitive advantage. Moreover, we investigate the role of governance and alignment as well as the impact of the concepts on the decision making effectiveness. To provide an insight on the adjustment to be made in order to increase the organization Business Analytics performance, we emphasise the role of alignment between Information Technology governance, corporate governance, data governance and Business Analytics governance. Thereafter we create the framework based on academic and empirical research and apply this framework throughout a case study. Based on this case study we provide an academic recommendation to the investigated organization. This thesis highlights the importance of the creation of a Business Analytics governance. Also, the research provides a framework linking Business Analytics with decision making successfulness

IT Governance Impact on Business Unit Performance

The main objective of this thesis is to investigate the impact and role of implementing information technology (IT) governance practices on the business value driven from IT. The proposed research model encompasses the use of configurational theory in order to find different gestalts of IT governance practices. This research also looks at the links between these gestalts and the performance of business units from a financial and non-financial perspective. To test the model, 57 matched surveys were collected from North America and the Middle East. Different clusters of IT governance practices have emerged from this study with distinct yet significant impact on business unit non-financial performance. However, no significant impact on the business unit financial performance was found. The findings show that implementing different sets of IT governance practices within organizations can result in different levels of performance at the business unit level in terms of business processes, decision making and legal and ethical compliance

IT Governance functions and areas of application in an enterprise

IT Governance makes the IT solutions align with the business. It is currently one of the key objectives of the board. Taking the lead over IT by the board and chief executive officer prevents security breaches, project failure, the company’s reputation damage. Fraud scandals at the beginning of 21st century did raise the bar for audit standards worldwide. The management is required to report on the quality of the internal control over financial reporting. The transparency of running the business increases the interest of potential investors. The information becomes the most important asset of the company and very often determines the market position and that is why the security of the organization’s information is extremely important. Modern IT solutions not only make the operational side of the business easier but also help to make the strategic decisions faster based on the accurate data from the IT system. The most typical benefits of it are greater competitiveness and better shareholder returns. The article attempts to present the idea of IT Governance. The main aim is to highlight the importance of the IT solutions and their impact on the business. The paper is composed of four parts. The first part presents the background of the IT Governance. It explores latest fraud scandals as results of failures in the corporate governance and IT systems. The second presents definitions of IT Governance and attempts to explain the idea of it. There are also presented the most typical and most obvious benefits of IT Governance implementation and its positive impact on the whole organization. The third part focuses on the description of the main areas of the organization where the IT Governance is present and the last part shows the main functions, some benefits and impacts on the business performance