Towards an Adaptive Strategic IT Governance Model for SMEs

Information technology (IT) can have a direct and indirect impact on business performance. New technologies change the risks at the strategic and governing levels of an enterprise. In the age of digitalization, we need to develop new understandings and approaches to governance and management. The mo...

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Main Authors: Aleš Levstek, Andreja Pucihar, Tomaž Hovelja
Format: Article
Language:English
Published: MDPI AG 2022-01-01
Series:Journal of Theoretical and Applied Electronic Commerce Research
Subjects:
Online Access:https://www.mdpi.com/0718-1876/17/1/12
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author Aleš Levstek
Andreja Pucihar
Tomaž Hovelja
author_facet Aleš Levstek
Andreja Pucihar
Tomaž Hovelja
author_sort Aleš Levstek
collection DOAJ
description Information technology (IT) can have a direct and indirect impact on business performance. New technologies change the risks at the strategic and governing levels of an enterprise. In the age of digitalization, we need to develop new understandings and approaches to governance and management. The most established IT governance (ITG) models, such as COBIT, ITIL and CMMI, are universal, one-size-fits-all models that are not in line with contingency theory and are predominantly designed for large multinational enterprises. They are too cumbersome and cost-intensive for small and medium enterprises (SMEs) to use effectively. Therefore, there is a need to develop more efficient models that are contingency-based and easier to implement than existing models and thus adaptable to the actual needs of the business. This paper presents an empirical evaluation of key ITG mechanisms from the literature that clearly shows that several are not universally but situationally necessary, thus demonstrating the need for new contingency-based ITG models.
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spelling doaj.art-438c883fe38747e8b4e69a2b0cd1d5d82023-11-30T21:09:52ZengMDPI AGJournal of Theoretical and Applied Electronic Commerce Research0718-18762022-01-0117123025210.3390/jtaer17010012Towards an Adaptive Strategic IT Governance Model for SMEsAleš Levstek0Andreja Pucihar1Tomaž Hovelja2Faculty of Organizational Sciences, University of Maribor, 4000 Kranj, SloveniaFaculty of Organizational Sciences, University of Maribor, 4000 Kranj, SloveniaFaculty of Computer and Information Science, University of Ljubljana, 1000 Ljubljana, SloveniaInformation technology (IT) can have a direct and indirect impact on business performance. New technologies change the risks at the strategic and governing levels of an enterprise. In the age of digitalization, we need to develop new understandings and approaches to governance and management. The most established IT governance (ITG) models, such as COBIT, ITIL and CMMI, are universal, one-size-fits-all models that are not in line with contingency theory and are predominantly designed for large multinational enterprises. They are too cumbersome and cost-intensive for small and medium enterprises (SMEs) to use effectively. Therefore, there is a need to develop more efficient models that are contingency-based and easier to implement than existing models and thus adaptable to the actual needs of the business. This paper presents an empirical evaluation of key ITG mechanisms from the literature that clearly shows that several are not universally but situationally necessary, thus demonstrating the need for new contingency-based ITG models.https://www.mdpi.com/0718-1876/17/1/12IT governanceIT governance mechanismsIT governance modelscontingency IT governance model
spellingShingle Aleš Levstek
Andreja Pucihar
Tomaž Hovelja
Towards an Adaptive Strategic IT Governance Model for SMEs
Journal of Theoretical and Applied Electronic Commerce Research
IT governance
IT governance mechanisms
IT governance models
contingency IT governance model
title Towards an Adaptive Strategic IT Governance Model for SMEs
title_full Towards an Adaptive Strategic IT Governance Model for SMEs
title_fullStr Towards an Adaptive Strategic IT Governance Model for SMEs
title_full_unstemmed Towards an Adaptive Strategic IT Governance Model for SMEs
title_short Towards an Adaptive Strategic IT Governance Model for SMEs
title_sort towards an adaptive strategic it governance model for smes
topic IT governance
IT governance mechanisms
IT governance models
contingency IT governance model
url https://www.mdpi.com/0718-1876/17/1/12
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AT andrejapucihar towardsanadaptivestrategicitgovernancemodelforsmes
AT tomazhovelja towardsanadaptivestrategicitgovernancemodelforsmes