Aligning Information Technology Within The Framework Of Corporate Governance To Increase Corporate Value In Mexico

Abstract

This research focuses on the potential benefits of aligning corporate Information Technologies (IT) with the information needs of Board members to provide pertinent and timely information under good Corporate Governance (CG) practices.  The recent near collapse of some major corporations evidences poor regulatory supervision by all parties, both public and private.  An abundance of regulations notwithstanding, stakeholder interests (both internal and external) have not been protected or served by many corporate boards.  Many shareholders have virtually lost their capital, workers have been unemployed, and government and taxpayers have had to foot steep bills.   Well informed Board members should, in theory, make decisions that benefit their stakeholders and society as well.  Thus, corporate board members should focus on IT as a key resource and ally in monitoring their business strategies and operations. IT permeates throughout business processes and across functional areas in most businesses, so if IT reporting is aligned with corporate governance objectives as well as operational objectives, it has the potential to aid greatly in governance.  An important consideration of course, is what information is provide, and how the Board utilizes it for the stakeholders' benefit.