||The objective of this dissertation is to examine the role of IT governance mechanisms in achieving organizational goals. Despite a considerable body of work on IT governance, answers to uncover how organizational value is created through IT governance remain largely untapped. In order to better understand the impact of IT governance, this dissertation examines the role of governance mechanisms in two areas of IS research: strategic alignment and IT outsourcing, with the aim to answer the following research questions: |
(1) What is the relationship between IT governance mechanisms and strategic alignment, and how does this relationship influence the impact of IT governance mechanisms on organizational performance, and (2) what are critical governance mechanisms for successful IT outsourcing and how do they relate to each other ?
This dissertation consists of three studies. By consolidating knowledge about strategic alignment and IT governance, the first study proposes a nomological model showing how organizational value is created through three IT governance mechanisms. Using dyadic data collected from 136 Taiwanese companies, we uncover a positive and significant linkage between IT governance and strategic alignment, and further, between strategic alignment and organizational performance. The first study contributes to the research base by integrating and extending the literature on IT governance and strategic alignment, both of which areas long being recognized as critical for achieving organizational goals.
Study 2 and Study 3 examine the role of governance mechanisms and their inter-relationships in the context of IT outsourcing success. Study 2 develops an IT outsourcing success model based on a thoughtful narrative review of IT outsourcing articles. It further extends previous review studies by providing quantitative information of each significant correlated relationship between relational governance and contractual governance mechanisms using meta-analytic techniques. In Study 3 three alternative theoretical models are proposed and compared in terms of the model fit measures to identify which one best explains the inter-relationships between relational governance variables. The findings provide guidance on how contractual governance and relational governance as complements enhance the outcome of IT outsourcing. Together, these three studies help to enhance our understanding of how organizational value is created through IT governance mechanisms.