How do performance metrics like KPIs and a balanced scorecard support IT governance?

• A. They replace IT governance with daily ops metrics.
• B. They translate strategy into measurable targets and track progress across perspectives.
• C. They focus only on financial performance.
• D. They are irrelevant to IT governance.

Answer: (B)

Performance metrics in IT governance bridge strategy and execution by turning objectives into concrete targets and by tracking progress across multiple perspectives. By defining KPIs, you translate strategic aims into specific, measurable targets—things like uptime, incident resolution time, project cycle time, and cost per service—that make performance tangible and decisions actionable. The balanced scorecard adds breadth beyond financial results, looking at how IT creates value for customers, how efficient and reliable internal processes are, and how the organization’s learning and growth capabilities drive future success. Monitoring these measures across perspectives gives governance bodies a holistic view, enabling smarter prioritization, better resource allocation, risk oversight, and accountability. In essence, these metrics support governance by providing measurable goals and ongoing visibility into performance across key areas, rather than replacing governance or focusing solely on financial performance.