Five basic areas of IT Governance

Strategic IT Alignment
Strategic IT alignment ensures that IT services and investments meet business objectives that are outcomes of strategic planning. Information technology is “aligned” when IT management allocates resources and undertakes projects in coordination with the bureaus’ strategic plans and business objectives and the City’s strategic vision. Strategic IT alignment is only possible when bureaus have strategic plans and specific business objectives in place.

Value Delivery
The IT department demonstrates value to the bureaus when it completes projects as specified, on-time, and within budget. The IT department also delivers value by meeting customer expectations for basic IT services such as e-mail and internet access. To deliver value, IT expenditures and the return on IT investments need to be managed and evaluated.

Risk Management
Internal controls and policies enable the IT department to assess and control the many risks related to IT projects.

Resource Management
The IT department needs to manage its resources to optimize resource value. Staff, customers, vendors, hardware, software and relationships are resources that need to be managed.

Performance Measurement
Performance measurement demonstrates how well the IT department accomplishes its objectives and identifies under-performing areas. Performance measurement allows for continual organizational improvement.

source: Board Briefing on IT Governance IT Governance Institute