"IT governance is the term used to describe how those persons entrusted with governance of an entity will consider IT in their supervision, monitoring, control and direction of the entity. How IT is applied within the entity will have an immense impact on whether the entity will attain its vision, mission or strategic goals." - Robert S. Roussey, CPA, Professor, University of Southern California

Introduction

The management board of any community sector organisation (CSO) has always maintained strategic control of the direction of the organisation and fulfilment of its mission and its legal, financial and accounting obligations. 

The technological revolution of the last twenty years has been so profound that it has changed the very nature of every organisation that has adopted its benefits. As a consequence, IT governance has become a matter of strategic importance to every management board and CEO.

Management board and CEO oversight of IT governance of CSOs must now be viewed as a fundamental strategic responsibility. IT governance has become as important for the effectiveness of the organisation as responsibility for the skills and performance of staff and for issues like governance, legal, financial and accounting performance. Without an effective IT governance strategy, organisations will struggle to maintain effectiveness or efficiency.

Management will need to become familiar with the level of information communication technology (ICT) use in the organisation, its impact on the effectiveness of service provision and the importance of establishing and maintaining ICT monitoring and development programs so that the organisation remains at the forefront of digital proficiency.

The Digital Proficiency Plan

CSOs board of management should appreciate that, despite ICT making up only a small portion of the overall organisation budget, it has a profound influence. Considering current budget constraints, the increasing role IT has in running and delivering the service and the nature of digital proficiency as a process rather than an outcome, the establishment of a board-level ICT strategy will provide dividends far in excess of the budgetary costs and will enable a more responsive and effective organisation more readily than could be achieved by any comparable action.

Digital proficiency is central to the function of all organisations today whether they be for profit or not for profit. If CSOs are to develop their efficiency and effectiveness and make their necessary contribution to the increase in productivity so essential for the future welfare of the nation they must become digitally proficient. For these reasons, ICT governance must also become an integral part of community organisation governance.

The aim of the Digital Proficiency Plan is to:

• Aid in aligning ICT with the organisational goals and strategy.
• Raise the profile of ICT.
• Aid in compliance.
• Help deliver strategic goals using ICT.
• Aid in project and portfolio management.
• Reduce organisational risk.
• Aid in ICT strategic planning.
• Aid in performance measurement.
• Aid in embedding ICT into the organization's culture.
• Aid in demand management (demand for IT services across the organisation)
• Optimise IT operations.
• Increase organisational visibility.

Infoxchange Australia is able to assist small to medium size CSOs develop their IT governance strategy to ensure that they are able to meet the challenges of the 21st century. For more information email measureit@infoxchange.net.au.