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05
Feb

Realising benefits from IT investments

Boards are responsible for realising benefits from IT

King III principle 5.4: “The board should monitor and evaluate significant IT investments and expenditure.” – Boards are accountable for realising benefits from their organisation’s investments in IT and IT-enabled initiatives.

 

This week Standards Australia released a new standard that  will greatly assist in this regard:

SA/SNZ 8019:2016

Governance of benefits realization for IT enabled investments

It is well known that  organizations, in both the public and private sectors, have difficulty in showing to their stakeholders that IT investments deliver their intended value. The recent Pulse of the Profession Report® 2015, by the Project Management Institute, found that only 1 in every 5 organisations have a high level of benefits realisation.

 

Standards Australia recognized this issue and determined to provide a Technical Specification to:

provide guidance to the governing bodies and executive management to support better decision making involving IT enabled investments.

 

Standards Australia largely founded the ISO 38500 IT Governance standard, so it is no surprise that this new standard builds on this and another standard: AS/NZS 8016:2013 Governance of IT enabled projects.

 

Dr Bronwyn Evans CEO Standards Australia

Dr Bronwyn Evans

“The executive leadership in today’s digital age must focus on the benefits being delivered, not just on the delivery of new capabilities…Having effective governance will enable realisation of intended business outcomes, benefits and value throughout the business life cycle of the investment.”

Dr Evans (@DrBronwynEvans), Chief Executive Officer, Standards Australia

 

 

 

The standard proposes a framework for governance, incorporating definitions, principles and a model.

It is emphasized that although it is applicable for IT enabled investments, it can easily be extended to include other investments.

See also the IoDSA’s position paper:  Effective Project Governance

 

Realising benefits with certainty:

GovN Your King III Solution

Corporate Governance Toolkit

The GovN® toolkit consists of pre-defined documented Frameworks, Policies and Charters.

This equips Company Secretaries and Boards with the ability to rapidly review, apply and entrench the principles of King III and, in this case, improve the certainty of project benefit realisation.

 

Contact Candor Governance

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