The Banking Executive Magazine - Septmber Issue 2021

IT Governance for Banks and SMEs INTRODUCTION With the advent of next generation operating systems, the announce- ment of Windows 11, and the growth of Google Chrome operating system, the scope of IT GOVERNANCE is widening. IT Governance involves the strategic decision of the choice of suitable next generation operating system that can support the digital transformation in banks and SMEs in post COVID-19 era. This article overviews the wide scope of IT Gov- ernance. It highlights IT governance challenges in the post COVID-19 era, with reference to the Union of Arab banks training webinar pre- sented by Mr Abdo Chalhoub on IT Governance in the age of Covid-19 and beyond. Following this IT Gov- ernance and challenges overview, the article draws attention to the im- portance of the appropriate choice of the next generation operating system by exploring the offering of Windows 11 and Google Chrome Operating systems. The article concludes with a proposed IT Governance frame- work for banks and SMEs to embrace the next generation operating system and support digital transformation in the post COVID-19 ERA. OVERVIEW OF IT GOVERNANCE What is IT Governance? In Gartner Glossary, IT governance (ITG) is defined as the processes that ensure the effective and efficient use of IT in enabling an organization to achieve its goals. IT demand gover- nance (ITDG) is the process by which organizations ensure the ef- fective evaluation, selection, prioriti- zation, and funding of competing IT investments; oversee their imple- mentation; and extract measurable business benefits. ITDG is a business investment decision-making and oversight process, and it is a business management responsibility. IT sup- ply-side governance (ITSG) is con- cerned with ensuring that the IT organization operates in an effective, efficient and compliant fashion, and it is primarily a Chief Information Of- ficer CIO responsibility. According to United Kingdom CIO Tech News, IT governance provides a structure for aligning IT strategy with business strategy. By following a formal framework, organizations can produce measurable results to- ward achieving their strategies and goals. A formal program also takes stakeholders interests into account, as well as the needs of staff. IT gov- ernance is an integral part of overall enterprise governance. IT governance is an element of cor- porate governance, aimed at improv- ing the overall management of IT and deriving improved value from invest- ment in information and technology. IT Governance Infrastructure Organizations today are subject to many regulations governing the pro- tection of confidential information, financial accountability, data reten- tion and disaster recovery. They are also under pressure from sharehold- ers, stakeholders and customers. To ensure they meet internal and exter- nal requirements, many organiza- tions implement a formal IT governance program that provides an infrastructure for best practices and controls. IT Governance in Organisations Both public and private sector organ- izations need a way to ensure that their IT functions support business strategies and objectives. An IT gov- ernance program is also needed for any organization in any industry that needs to comply with regulations re- lated to financial and technological accountability. However, implement- ing a comprehensive IT governance program requires a lot of time and ef- fort. While very small entities might practice only essential IT governance methods, larger and more regulated organizations should implement a full-fledged IT governance program. Implementation of IT Governance The easiest way for implementation of IT Governance is to start with a framework that has been created by ISSUE 153 SEPTEMBER 2021 the BANKING EXECUTIVE 19