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Chapter 49
DOI: 10.4018/978-1-4666-1945-6.ch049
INTRODUCTION
Overview
Governance, in general terms, can be understood
as the act or process of governing, specifically on
the authoritative direction or control. The term “IT
governance” as it is known today surfaced in the
early 1990s with Loh and Venkatraman (1992)
and Henderson and Venkatraman (1993) using
the term to describe the mechanisms to ensure
attainment of necessary IT capabilities.
In this paper, the terms IS and IT are used
interchangeably. The definition of IT governance
in this context is based upon the following:
Wil Ly Teo
Universiti Teknologi Malaysia
Khong Sin Tan
Multimedia University, Malaysia
Adoption of Information
Technology Governance in
the Electronics Manufacturing
Sector in Malaysia
ABSTRACT
Past studies and surveys of top management in business and information technology (IT) have shown the
importance of strong IT governance in delivering results to the business. This research investigates the
extent to which empirical results from past studies is applicable to the electronics manufacturing sector
in Malaysia. Empirical evidence from 33 organisations in this sector indicates that having the right deci-
sion owners making appropriate decision types lead to better IT governance performance. Organisations
with growth as their primary goal demonstrate marginally higher IT governance performance, contrary
to expected outcomes. The research also shows that awareness of industry IT governance frameworks
is not related to IT governance performance. We conclude that adoption of IT governance is on track,
though familiarity with technicalities of the available frameworks should be improved.