Interdisciplinarygovernance ~ Future of CIO

Wednesday, January 5, 2022

Interdisciplinarygovernance

4:35 PM Pearl Zhu No comments

The flavor of GRC practices depends on the nature of the business and the level of the organizational maturity.

The important characteristics of digitalization are over-complexity, uncertainty, and ambiguity. Hence, GRC (governance, risk management, and compliance) becomes more critical than ever. Here's the context; how should GRC programs be approached? Should technology be a driver? Can you achieve any level of GRC without automation? Can you achieve any level of GRC without people? What is the real driver of GRC?

Modern corporate boards play significant roles in guiding businesses in the right direction and achieve expected business results. Due to the “VUCA” characteristics -Complexity, Uncertainty, Ambiguity, and Velocity of the Digital Era, the directorship in any organization must have the agility to adapt to changes and build abilities to advise, inspire and motivate a group of people toward accomplishing shared visions and goals. Here are the multiple perspectives of shaping a strategic boardroom with digital acumen.

Interdisciplinary Governance

Interdisciplinarygovernance Corporate GRC discipline can fulfill its purpose as a high-level corporate enabler by providing a structured view and communication bridge between stakeholders. Without effective GRC discipline, the business will face significant risk for surviving, and opportunities which it creates cannot be properly transferred into multidimensional business value. Thus, governance must be viewed and assessed at the enterprise level to enhance management effectiveness and improve organizational maturity.

Interwoven GRC Capability & Maturity The capability is the ability to achieve the desired effect under specified performance, standards, and conditions. There are multiple perspectives of organizational capabilities, and there are all sorts of capabilities. High mature capability can only be developed and sustained via strong governance discipline. There are a multitude of distinctions between corporate governance responsibilities and management responsibilities; such as governance structure, governance process, governance mechanisms, governance practices, and governance metrics, etc.

Innergovernanceintegration As business leaders today, you can’t predict every turn or curve that the organization will face. There is a myriad of information, conflicts, and change inertia in the modern business environment today. Governance is by definition a framework of principle, structure, process, mechanism, practice, and metric, etc.

Itgovernance Digital IT is permeating into the very fabric or core processes in modern organizations, thus, IT governance is crucial to steering business in the right direction and make effective business decisions.However, what is the best approach to begin implementing formal IT Governance specifically aimed at improving the quality of demand? How can the "competition" for finite dollars be structured so that the end game, best benefit for the enterprise, is achieved? How much of a decision-making body (vs. advisory or discussion forum) is the IT Steering Committee (ITSC) and how do they make those decisions? How does one keep the ITSC focused on WHAT IT should work on and not HOW IT accomplishes it ("If IT was more efficient at keeping the lights on, you could have more dollars to spend on new things")?

Variety of Governance The purpose of governance is to steer the organization in the right direction. It provides monitoring, measuring, and enforcement mechanisms to corporate management. The corporate governance rules and principles need to be followed to improve the functioning and transparency of the company, its business strategy, and management performance.