Posted by: Robert Davis
Control Environment, Control Evaluation, Control Processes, Governance Tree, Internal Control Systems, IT Controls, IT Governanace, IT Management, Tone at the Top
As illustrated by the ‘Governance Tree’ model, an entity’s ‘Tone at the Top’ impacts IT governance effectiveness. IT governance effectiveness and efficiency are directly related to management’s responsibility, accountability, authority, and communication structure. Contextually, responsibility without authority can prevent objective achievement. Furthermore, authority without accountability can lead to unethical, corrupt and/or reprehensible behavior. Regarding an entity’s direction and purpose; when responsibility, accountability, and authority are properly tailored, communication efficiency is improved through reductions in entropy and misunderstanding.
“View Part I of the Right-sizing IT Controls series here“