TY - JOUR
T1 - Impact of IT governance process capability on business performance: Theory and empirical evidence
AU - Joshi, A.
AU - Benitez, J.
AU - Huygh, T.
AU - Ruiz, L.
AU - De Haes, S.
N1 - data source:
- The dataset was collected through an online survey between July 24th and September 1st, 2014. The data collection was performed in a unique collaboration between the author team and ISACA.
- secondary data collected from the COMPUSTAT database
PY - 2022/2/1
Y1 - 2022/2/1
N2 - In the digital economy, firms' IT resource investments represent a significant portion of their capital investments. IT governance processes are critical for companies to decide what and how to deploy IT resources and measure and achieve the expected business benefits. This study introduces and measures the concept of IT governance process capability, which is defined as the firm's ability to identify, design, implement and leverage the following IT governance processes: IT decision-making, IT planning, IT infrastructure modernization, IT services delivery, and IT monitoring. We propose that IT governance process capability can improve IT performance, which in turn can improve business performance. Using a unique dataset from 881 global companies, we found support for the proposed research model. This paper contributes to the Information Systems (IS) literature on business value of IT by conceptualizing, evaluating, and introducing the construct of IT governance process capability and theorizing and proving how this core IT capability positively affects IT performance to enhance business performance.
AB - In the digital economy, firms' IT resource investments represent a significant portion of their capital investments. IT governance processes are critical for companies to decide what and how to deploy IT resources and measure and achieve the expected business benefits. This study introduces and measures the concept of IT governance process capability, which is defined as the firm's ability to identify, design, implement and leverage the following IT governance processes: IT decision-making, IT planning, IT infrastructure modernization, IT services delivery, and IT monitoring. We propose that IT governance process capability can improve IT performance, which in turn can improve business performance. Using a unique dataset from 881 global companies, we found support for the proposed research model. This paper contributes to the Information Systems (IS) literature on business value of IT by conceptualizing, evaluating, and introducing the construct of IT governance process capability and theorizing and proving how this core IT capability positively affects IT performance to enhance business performance.
KW - IT governance process capability
KW - IT performance
KW - Business performance
KW - IT capabilities
KW - Digital transformation strategy
KW - Business value of IT
KW - INFORMATION-TECHNOLOGY GOVERNANCE
KW - FIRM PERFORMANCE
KW - STRATEGIC ALIGNMENT
KW - SUPPORT
KW - MODEL
U2 - 10.1016/j.dss.2021.113668
DO - 10.1016/j.dss.2021.113668
M3 - Article
SN - 0167-9236
VL - 153
JO - Decision Support Systems
JF - Decision Support Systems
M1 - 113668
ER -