Analysis of Benefits and Barriers as a Critical Success Factor in IT Governance Implementation by Using Interpretive Structural Model

Uky Yudatama,Bobby A.A Nazief,Achmad Nizar Hidayanto

doi:10.3844/jcssp.2019.983.994

Abstract

This study aims to identify and analyze the key sub-factors of benefits and barriers as critical success factors for the implementation of IT Governance. The hope of the research is that the results of this identification and analysis can provide a high value of benefits in order to stakeholders in implementing IT Governance. In addition, it is expected to also give a real contribution to the development of theory or concept in the field of IT Governance especially related to critical success factor. The method used in this research is the interpretive structural model, where this method is very suitable to find the key sub-factor with a well-structured hierarchy structure. The first step of this research begins with a literature review, survey and interviews by involving three experts in the field of IT Governance and then the information is processed according to the rules. The final result shows that sub-factors improve customer service and overall responsiveness is a key sub-factor in benefit factors, whereas the lack of financial and human support becomes a key sub-factor in barriers. These results are empirical because depending on the data obtained through expert interviews involved, therefore the quality and capacity of experts greatly affect the results obtained. This study demonstrates how benefits and constraints as a critical success factor in the application of IT Governance are interrelated. The interpretive structural model provides an understanding of how various benefits and barriers interact with each other. This is important because policymakers typically focus on one or two sub-factors only.

Highlights

IT Governance (Information Technology Governance) is a branch of corporate governance that focuses on information technology systems, performance management and risk
IT Governance is structured IT management and collection of processes that aim to ensure the suitability of IT implementation towards achieving organizational goals, by optimizing the benefits and opportunities offered by IT, controlling the use of IT resources and managing IT-related risks by involving all stakeholders to ensure the success of IT
IT Governance provides direction related to priorities and important decisions that need to be taken so that organizational goals can be achieved (Kuusk and Gao, 2015)

Summary

Introduction

IT Governance (Information Technology Governance) is a branch of corporate governance that focuses on information technology systems, performance management and risk. From the side of the person in charge, the person in charge of IT Governance is at the level of the board of directors and commissioners. IT Governance ensures that all the needs and expectations of the organization's stakeholders have been evaluated when it sets goals that must be achieved by the organization. IT Governance provides direction related to priorities and important decisions that need to be taken so that organizational goals can be achieved (Kuusk and Gao, 2015). Whereas IT Management doing the directives given by the board of directors or commissioners to actions that the organization needs to take in order to achieve its intended goals. Based on the directives and guidance from the board of directors or commissioners, the executive management conducts

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