Corporate Governance vs. IT Governance

Corporate governance is a way to control and manage a corporate entity. It consists of a set of policies, processes, customs and traditions, laws, business practices, and institutional practices that are applicable to or adopted by the entity. Corporate governance helps an organization to meet its goals in the most effective and efficient manner possible. It’s a strategy that allows a corporate entity to manage all aspects of its business so that it can meet its goals while complying with all applicable laws and a code of business ethics.

IT governance is a subset discipline of corporate governance that deals with risk management and performance of IT systems. The aim of IT governance is to ensure that the investments in IT organization are in line with business strategies and generate desired business value while keeping associated risks under control. This is done by implementing a well-defined IT organizational structure that clearly assigns the roles and responsibilities that are related to information systems, data, business processes, and associated IT infrastructure.