Title: Transforming Enterprise IT
1Transforming Enterprise IT
2IT Requires Executive Oversight
With good reason
- An apparel manufacturing companys difficulties
in installing supply chain software cost it an
estimated US 200 million - A publicly traded company admitted that a virtual
collapse of its financial reporting system
reduced its market value by one-third in a single
day - An operational meltdown after the merger of two
transportation companies was traced to the
inability to coordinate their IT systems
3Oversight Can Lead to Value Creation
IT can provide significant benefits, too
- A major airlines supply chain transformation
improved the forecast of demand, reduced
procurement costs and increased service levels
while costs fell - A technology products and services company saved
US 12 billion over two years by linking up
disparate pieces of its supply chain, thereby
reducing inventory levels
4 IT Governance Is the Key Issue
- Enterprises are sacrificing money, productivity
and competitive advantage by not implementing
effective IT governance - Executives need a better way to
- Direct IT for optimal advantage
- Measure the value provided by IT
- Manage IT-related risks
5COBIT is a Road Map to Good IT Governance
- Accepted globally as a set of tools that ensures
IT is working effectively - Functions as an overarching framework
- Provides common language to communicate goals,
objectives and expected results to all
stakeholders - Based on, and integrates, industry standards and
good practices in - Strategic alignment of IT with business goals
- Value delivery of services and new projects
- Risk management
- Resource management
- Performance measurement
6Developed by the Leader in IT Governance
Control Objectives for Information and related
Technology
Professional association with 86,000
constituents. Worldwide leader in IT governance,
control, security and assurance. Offers the CISA,
CISM and CGEIT certifications.
7COBIT Business Benefits
- COBIT provides guidance for executive
management to govern IT within the enterprise - More effective tools for IT to support business
goals - More transparent and predictable full life-cycle
IT costs - More timely and reliable information from IT
- Higher quality IT services and more successful
projects - More effective management of IT-related risks
8Harmonising the Elements of IT Governance
9A Closer Look at
10COBIT Answers Key Business Questions
Is my information technologyorganisation doing
the right things? Are we doing them the right
way? Are we getting them done well? Are we
getting the benefits?
Based on the Four Ares as described by John
Thorp in his book The Information Paradox,
written jointly with Fujitsu, first published in
1998 and revised in 2003
11The COBIT Framework
12COBIT Defines Processes, Goals and Metrics
Relationship Amongst Process, Goals and Metrics
(DS5)
13Defined Responsibilities for Each Process
RACI Chart
A RACI chart identifies who is Responsible,
Accountable, Consulted and/or Informed.
Functions
Activities
Link business goals to IT goals. C I A/R I C
Identify critical dependencies and current performance. C C R A/R C C C C C C
Build an IT strategic plan. A C C R I C C C C I C
Build IT tactical plans. C I A C C C C C R I
Analyse programme portfolios and manage project and service portfolios. C I I A R R C R C C I
14COBIT Products and Their Primary Audience
COBIT, Risk IT and Val IT frameworks
Implementing and Continually Improving IT
Governance
COBIT User Guide for Service Managers
COBIT and Application Controls
15COBIT Harmonises Other Standards
- COBIT is often used at the highest level of IT
governance - It harmonises practices and standards such as
ITIL, ISO 27001 and 27002, and PMBOK - Improves their alignment to business needs
- Covers full spectrum of IT-related activities
16Used by Organisations Worldwide
We continue to recommend that enterprises use
COBIT to challenge their established IT
governance procedures and to improve the
controls they have in place. Gartner
also used by Allstate, Harley-Davidson, the
Bahrain Civil Service Bureau and many others
- (for complete case studies visit
www.isaca.org/cobitcasestudies)
17Getting Started
- Visit www.isaca.org/cobit to download the COBIT
framework