IT Governance: Identifying the Key Driver | CGEIT Exam Prep

The Most Important Driver of IT Governance

Question

Which of the following is the MOST important driver of IT governance?

Answers

Explanations

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A. B. C. D.

A.

IT governance is a critical aspect of an organization's overall governance structure. It encompasses the policies, procedures, and controls that ensure the effective and efficient use of IT resources to support the achievement of an organization's objectives. It is critical to identify the most important driver of IT governance as it can guide decision-making and resource allocation to improve IT performance and ensure compliance.

Among the four options provided, the most important driver of IT governance is Management Transparency. Management Transparency is the extent to which an organization's leaders provide clear and timely communication to stakeholders about the organization's strategy, objectives, risks, and performance. This transparency fosters trust and confidence among stakeholders and ensures that everyone understands how IT contributes to the organization's objectives.

Effective IT governance requires the active participation of executive management, business unit managers, and IT leaders. These individuals must understand the organization's strategic goals and be accountable for the IT investments that support them. Management transparency facilitates this understanding by providing a clear line of sight from the organization's objectives to the IT investments that support them. It helps ensure that IT investments are aligned with the organization's strategy and that they are managed in a way that maximizes their value.

In contrast, while Technical Excellence, Effective Internal Controls, and Quality Measurement are important elements of IT governance, they are not the most critical driver. Technical Excellence is essential for delivering high-quality IT services, but it does not guarantee that IT investments will be aligned with the organization's strategic goals. Effective Internal Controls help ensure the integrity of financial reporting and compliance with laws and regulations, but they do not necessarily ensure that IT investments are managed in a way that maximizes their value. Quality Measurement provides valuable information for managing IT services, but it does not necessarily ensure that IT investments are aligned with the organization's strategic goals.

In summary, while Technical Excellence, Effective Internal Controls, and Quality Measurement are important elements of IT governance, Management Transparency is the most important driver. It ensures that IT investments are aligned with the organization's strategic goals and managed in a way that maximizes their value.