Abstract:
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.