IT principles of information systems in Business and organization

IT principles of information systems in Business and organization
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Information Technology plays a crucial role by offering a competitive advantage for business organizations. Gilbert and Jeroen (2013) say that IT provides several opportunities to organizations by developing their business relationships, work processes and operations, markets, services and products. A company that has weak IT governance policies is at risk of losing monetary value on its assets and revenues. When an organization has effective IT governance policies, it has greater opportunities to make higher profits than other companies. IT governance is made up of a structure framework and a process component. The structure component refers to the company’s IT activities that support the objectives of the organization. The process component associates with decision-making rights related to IT including policies and approaches utilized to control and assess the manner in which IT decisions are created and conducted within the company.
In structure component, IT governance is based on several levels; each having particular decisions and specific functions, which are intended to be carried out. At the top of the company, there is strategic level that deals with governance role of aligning technology and business strategy. Senior executives create the visions to understand the future of the organization and use technology to support the company to achieve the expected objectives (Zeljka, Hrvoje and Marija, 2007). Executive level is another category of governance in which line managers including chief of information officer prioritize programs, allocate resources and ensure technology helps to meet business objectives. The third level is operation governance. It is focused on overseeing incidents, deals with change requests and concerns with whole process of change management. It is more focused on...