The IT Balanced Scorecard

Figure 2.3: IT balanced scorecard

The objective of an IT balanced scorecard (IT BSC) is to establish, monitor, and evaluate IT performance in terms of (i) business contribution, (ii) future orientation, (iii) operational excellence, and (iv) user orientation.

CISM aspirants should understand the following aspects of a balanced scorecard:

• The primary objective of an IT balanced scorecard is to optimize performance.
• The three indicators of an IT balanced scorecard are (a) customer satisfaction, (b) internal processes, and (c) the ability to innovate.

  Note

  Though financial performance is an indicator of a generic balanced scorecard, it is not part of an IT BSC.

• An IT BSC is the most effective means to aid the IT strategy committee and management in achieving IT governance through proper IT and business alignment. The success of an IT balanced scorecard depends upon the involvement of senior management in...