Business and IT goals remain disconnected

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Business and IT goals remain disconnected

Half of chief executives think there are still significant barriers that prevent IT projects adding to the value of a business, according to a study by the IT Governance Institute (ITGI).

The survey of 250 chief executives found that the most significant hurdles preventing IT projects realising their full value were implementing applications (37 per cent), the culture of the enterprise (20 per cent) and a lack of skills base (16 per cent).

And more than a third of organisations surveyed did not have a chief information officer (CIO) on the executive team.

Paul Williams, chairman of the ISACA Strategic Advisory Group, said firms need a robust business case for all IT projects.

"I advise organisations to apply the same sort of investment principles to business change projects as they apply to a standard investment portfolio, which is all about risk and reward. The higher the risk that you’re taking in any particular initiative, the higher the return you’re expecting,” he said.

The survey also found that more than 25 per cent of respondents said organisations do not establish and maintain alignment between business and IT strategy.

John Thorp, who serves as chair of the Val IT Steering Committee for ITGI, said CIOs need to develop a way of translating business goals to IT goals.

“I found that I had to come up with a term - strategy translation - to take what someone says about strategy and turn it into something that someone else can relate to and evaluate against," he said.
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