C OBI T Brooke Pollack & Ian Paul November 14, 2007

IT G OVERNANCE Helps align IT strategy with business strategy System for control and monitoring of IT Allows the Board to makes IT decisions Keeps blame off of IT for poor decisions Assigns accountability Manages IT risk Keeps IT inline with original plan Responsibility of executives and the Board

ISACA & ITGI ISACA Researches IT governance and control Central source of information 170 chapters in 70 countries 65,000 members worldwide ITGI Research think tank Aims to help companies govern IT and make it successful

C OBI T B ACKGROUND IT governance framework Increases value attained from IT Emphasizes regulatory framework Sarbanes Oxley Created by ISACA & ITGI Must pay to access CobiT Currently on 4 th edition

W HY C OBI T? Increasing need for and complexity of IT Business-focused Process-oriented Controls-based Measurement-driven

C OBI T S TRUCTURE CobiT provides a clear link among IT governance requirements, IT processes and IT controls. CobiT acts as an integrator of different guidance materials. Summarizes key objectives under one umbrella framework.

C OBI T S TRUCTURE C ONT ’ D CobiT products have been organized into three levels designed to support: Executive management boards Business and IT management Governance, assurance, control and security professionals

C OBI T C OMPONENTS

O THER IT G OVERNANCE S TRUCTURES IT Infrastructure Library: developed by the UK’s Office of Government Commerce ISO/IEC 27001: a set of best practices, and is a well known standard for industry in the UK AS8015: Australian Standard for Corporate Governance of IT and Communication Technology ISM3: Information Security Management Maturity Model All developed to guide the implementation of IT governance.

C OBI T & S ARBANES -O XLEY Also know as the “Public Company Accounting Reform and Investor Protection Act of 2002 SOX or Sarbox. US Federal law in response to several major corporate and accounting scandals such as Enron and Tyco. “the most far-reaching reforms of American Business practices since the time of FDR.” (President Bush)

C OBI T & S ARBANES -O XLEY C ONT ’ D Established the Public Accounting Oversight Board The Act covers such issues as: Corporate governance Internal control assessment Enhanced financial disclosure Public companies subjected to this Act are encouraged to adopt CobiT in order to ease the accountability process

C OBI T S URVEY Used as compliance measure Benefits are hard to quantify Awareness tripled since 2003 IT governance driven by overall corporate governance reform 3 C’s – Culture, resistance to Change, lack of appropriate Communication IT/Telecom & Financial sectors best at IT governance

C ASE S TUDIES Sun Microsystems Response to Sarbanes-Oxley and similar legislation to assess compliance Measure IT’s alignment to overall strategy Harley Davidson Coordination between management, IT, and auditors Created benchmarks Created comprehensive view of risk and control environment

S OURCES ISACA ITGI ezCOBIT Youtube Pricewaterhouse Cooper CIO.com Wikipedia Network World Datamation