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Business/IT Alignment in Two Sided Markets: A Study of COBIT 5 for Internet Based Business Models

Business/IT Alignment in Two Sided Markets: A Study of COBIT 5 for Internet Based Business Models
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Author(s): Yannick Bartens (University of Hamburg, Hamburg, Germany), Frederik Schulte (University of Hamburg, Hamburg, Germany)and Stefan Voß (University of Hamburg, Hamburg, Germany)
Copyright: 2014
Volume: 5
Issue: 2
Pages: 17
Source title: International Journal of IT/Business Alignment and Governance (IJITBAG)
Editor(s)-in-Chief: Wim Van Grembergen (University of Antwerp – Antwerp Management School, Belgium), Steven De Haes (University of Antwerp – Antwerp Management School, Belgium)and Lazar Rusu (Department of Computer and Systems Sciences, Stockholm University, Stockholm, Sweden)
DOI: 10.4018/ijitbag.2014070102

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Abstract

Business/IT alignment can be considered a key challenge in IT governance and becomes especially important in IT-heavy and internet based business models. Recent discussions express the need for a bi-directional paradigm for internet based business models. IT governance frameworks support business/IT alignment but mostly follow a business-driven alignment paradigm. We identify characteristics of internet based business models and examine how the IT governance framework COBIT 5 can integrate these characteristics under consideration of a bi-directional business/IT alignment process. We reveal that requirements for internet based business models are not fully covered by the framework. Based on a structural description of internet based business models and the COBIT 5 Goal Cascade, we explain these specific requirements and propose a possible integration of a bottom-up alignment. With this work we provide guidance in the challenge of business/IT alignment for internet based business models and show pathways for IT governance frameworks to better support a bi-directional alignment.

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