Analysis of ICT governance initiatives as a mechanism to enhance corporate governance, with particular reference to Nelson Mandela Bay Municipality

• Main Author: Tolom, Sindiswa
• Format: Others
• Language: English
• Published: Nelson Mandela Metropolitan University 2013
• Subjects: Corporate governance > South Africa > Nelson Mandela Bay Municipality; Information technology > Management
• Online Access: http://hdl.handle.net/10948/d1020999

Developing countries such as South Africa have a tremendous potential for rapid and sustainable economic and social development by leveraging the benefits and advantages of Information and Communication Technology (ICT) and applying it appropriately within the local government sector. As such, the Local Government Turnaround Strategy’s (LGTAS) vision states that: Each municipality must have the necessary ICT infrastructure and connectivity; and that ICT systems must be put in place across all municipalities to accelerate service delivery, and improve efficiency and accountability. However, technology on its own cannot achieve much; it must be supported by capable people and tested processes to provide services in which the public can have confidence. Disparities, both from within the municipal sector as well as in the larger South African ICT landscape, have influenced the manner in which municipalities make use of ICT. Nevertheless, it has been observed that despite the use of ICT, there has been a lack of utilising ICT governance to enhance corporate governance in the public sector, particularly in municipalities. In this study, an analysis was made of ICT governance initiatives, as a mechanism to enhance corporate governance, with particular reference to the Nelson Mandela Bay Municipality (NMBM) in the Eastern Cape. The research itself has identified risk levels that exist as a result of the lack of ICT governance and risk management. The respondents were given an opportunity to agree or disagree with statements regarding the state of ICT provision and support, corporate governance and other elements within the institution. The researcher has formulated recommendations to solve identified problem based in the research results in ICT governance and corporate governance. While governance developments have primarily been driven by the need for transparency regarding enterprise risks and the protection of shareholder value, the pervasive use of technology has created a critical dependency on ICT that calls for a specific focus on ICT governance. ICT governance is part of corporate governance,which is the responsibility of the organisation’s top executive, to ensure that its information technology supports the goals and objectives of the organisation, through a variety of structural mechanisms, processes and mechanisms for communication. Fundamentally, ICT governance is concerned with whether ICT is delivering value and the management of ICT risks, driven by a strategic alignment between business and ICT, resources management and performance management. The corporate governance of ICT involves evaluating and directing the plans for the use of ICT to support the Institution and monitoring these. It includes the strategy and policies for using ICT within the institution. The executive authority and executive management are accountable and responsible for ensuring that the governance of ICT is implemented in the institution in line with this framework.