COBIT Case Study

1684 Words 7 Pages
This approach emphasises on structures, relationships, and processes of IT organization to be used toward development and control of IT/IS resources internally (Korac-Kakabadse, 2001). This field concerns with the adoption of best practice of IT function, providing an extensive predefined process and a more uncompromising, transparent framework, referring to a set of processes that management must do (Korhonen et.al., 2009). Researchers who study IT governance as a compliance process would introduce COBIT and ITIL as the standards, providing sets of exhaustive conformance for the quality of IT in an organization (Sallé, 2004).

While COBIT provides many beneficial aspects such as a direction, as an overall checklist in an extreme audit styles,
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In brief, type and level of external pressures drive firms’ decision to adopt IT governance. As explained in Pereira (2013), coercive, normative, and mimetic isomorphism influences management’s decision to adopt best practice mechanism, i.e., once firms need legitimacy, regulatory compliance and market acceptance. An explanation of Sarbanes-Oxley Act clearly explains how an organization decides to implement IT governance best practice standards, rather than customizing one (Pereira et al., 2013). Moreover, mimetic isomorphism shows the relation of firms’ decision to imitate the peers in their ecosystem, regardless of its benefit to the firm. Institutional creates standardize, whereas reflexiveness, creativeness and responsiveness to local context would tip the balance (Licker 2007). Therefore, individual’s agency needs attention for successful adoption of IT governance, let alone the isomorphism.

Although it is understandable how the decision is shaped and how standardization process is beneficial, it raises the concern of having an unsuitable IT governance process, and its ability to generate the optimum value using such standard
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Centralized structure empowers corporate headquarter with full authority while decentralized structure provides authority to divisional levels. Federal structure segregates responsibility and authority into infrastructure and application level, taken care by corporate function and business division respectively (Sambamurthy and Zmud 1999). Since the direction of allocation and boundary of responsibility is applied, concern about the practicality of the model and the mismatched of desire is raised. (Weill and Ross, 2004). With the nature of digital business era, the new innovations and alternative services are proliferated; the conservative IT governance structure may not be adequate for outsourcing of the project, services, data centre and cloud computing. Weill and Ross (2004) propose the six archetypes by aligning with different sets of IT decisions, ranging from the decision that is made solely by C-Suites, IT professional to an independent business unit (Weill and Ross, 2004). This can be stressed that it perhaps is similar to proposed traditional structure. Yet embraces contingent on circumstantial influences and horizontal/vertical organizational forms into the

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