The impact of strategic alignment and IT governance style on organisational performance | The Oxford Review - OR Briefings

The impact of strategic alignment and IT governance style on organisational performance

Research Briefing

Keywords: IT governance, board of directors, leadership style, strategic alignment, IT capability, organisational governance, government style

One of the many responsibilities of any organisation’s leadership at board level is IT governance. IT governance incorporates all the actions of the board that “ensure that the organisation’s information technology sustains and extends an organisation’s strategies and objectives”.

Many previous studies have shown that the effectiveness of the board’s governance of IT is a significant factor in organisational performance, regardless of the size of the organisation, its industry, market orientation or any other factor. However, until now, little research has been conducted looking at which board level practices help with IT governance. A new study by researchers from California State University looks at this very issue. In particular the researchers wanted to know what impact the governance style of the board has on the effectiveness of IT governance and how much impact strategic alignment has on organisational performance through IT governance.

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