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Hello everyone.

I am really happy that you all liked mnemonic words I shared earlier and found them useful.

Today I m sharing mnemonic words for CHAPTER 1

Objectives of ISCA or Role of CA in ISCA :� I2 BIG CA(Prof. Jignesh Chheda)

  1. Identify & review IT Risks & controls
  2. Assess Impact on organizational structure of technology integration
  3. Understand & apply IT Best practices
  4. Assess Information system acquisition, development and implementation strategy
  5. Assess BCP of organization from Going concern perspective
  6. Understand key Concepts of governance, risk and compliance (GRC)
  7. Understand how to perform Audit� - collection and evaluation of evidence in IT environment

Key concepts of Governance �

  1. Governance :�Stakeholders �>>>>>�evaluate options >>>>> set directions >>>>> monitor compliance >>>>>�to meet objectives���������������������
  2. Enterprise Governance :���Set of responsibilities exercised by board or executive management
  3. Corporate Governance :��Structure & processes >>>>>�achieve objective >>>>> create shareholders value >>>>>�enhance economic performance ����

Relationship between Corporate governance and IT governance

Strategic alignment of IT & business objectives is critical success factor
IT provide inputs and information to meet enterprise objective
Objectives of IT governance is similar to Corporate governance but with focus on IT
Inseparable relationship between both

Benefits of Governance :� RA2DIO�� (Prof. Jignesh Chheda)

  1. Relationship improvement among customers, business and internal relationship
  2. Aligned decision making for IT principles
  3. Achieving objective of enterprise by ensuring each element assigned with decision rights and accountability
  4. Encouraging Desired behavior in the use of IT
  5. Integrating desired business processes into enterprise
  6. Overcoming limitations of the organizational structure

Governance Dimensions :� ��

A] Conformance Dimensions :� ��

  1. Focus on regulatory requirements
  2. Covers areas of Role and composition of Board, Board committees
  3. Regulatory requirements and standards are addressed in this dimension. Example Sarbanes Oxley Act of US and Clause 49 listing requirement of SEBI

B] Performance Dimensions :� ��

  1. Focus on strategy and value creation
  2. Helping the board to make strategic decisions, understand risk appetite
  3. This dimension not governed by any standard

C] Comparisons :� ��

  1. Conformance dimension monitored by audit committee
  2. No such dedicated mechanism for Performance dimension. It is the responsibility of full board

Benefits of� IT Governance :� VLCC Open Unit in Mumbai������ �

  1. Increased Value through enterprise IT
  2. Compliance with Laws, regulations and policies
  3. Transparency and understanding of IT Contribution to business
  4. Cost performance of IT �
  5. Optimal utilization of IT resources
  6. User satisfaction with IT services
  7. Management and mitigation of IT related risks

Benefits of� GEIT :� Pan CARD �(Prof. Jignesh Chheda)

  1. IT Processes are effective and transparent �
  2. Compliance with legal and regulatory requirements
  3. Consistent Approach aligns with enterprise governance approach �
  4. Governance Requirement for board are met�
  5. IT related Decisions are in line with enterprise objectives

Key practices of GEIT :� EDM

  1. Evaluate governance system��
  2. Direct governance system
  3. Monitor governance system

Best practices of Corporate governance :� AMIR - II

  1. Assignment of responsibilities and decision making from individual to board of directors�
  2. Mechanism for interaction among board of directors and senior management �
  3. Implementing strong Internal control and risk management functions �
  4. Monitoring of Risk exposure in areas of conflict of interest�
  5. Incentives to senior management and employees in form of compensation, promotion
  6. Information flow internally and to the public in appropriate manner

Definition of ERM : �Enterprise Risk Management is process effected by entity�s Board of directors and applied across the enterprise to identify potential events that may affect the entity and to manage risk within risk appetite and provide assurance of achieving entity objective.

Five inter-related components of Internal Control as per COSO :� Credit Card Instant Money

  1. Control environment� - to categorize criticality and materiality of business processes
  2. Risk assessment �- by the control environment
  3. Control activities �- to manage, mitigate and reduce risk�
  4. Information and communication� - to capture & exchange information for business processes ��
  5. Monitoring �- for modifications made by changing circumstances

Key Functions of IT Steering committee :� Live MSD V/S BIRD

  1. Long & short range IT plans in tune with enterprise objective
  2. Measuring results of IT projects in terms of ROI
  3. Size and scope of IT functions ��
  4. Approve Deployment of major IT projects��
  5. Viable communication system between IT and its users
  6. Approve Standard policy & procedures
  7. Review the status of IS Budget and IT performance
  8. Facilitates Implementation of IT security within enterprise
  9. Report to the board of directors on IT activities
  10. Decisions on key aspects of IT deployment

Categories of Strategic Planning :� Independence ERA

  1. Information system Strategic plan
  2. Enterprise Strategic plan
  3. Information system� Requirements plan
  4. Information system� Applications & facilities plan

Enablers of IS Strategic Plan :� BHAI�s PeN

  1. Business strategy of enterprise
  2. How IT support business objective
  3. Assessment of existing system
  4. Inventory of technological solutions & current infrastructure
  5. Enterprise Position on Risk
  6. Need for senior management support, critical review

Enablers of IS Requirement Plan :� SAMOSa

  1. Data Syntax rules
  2. Automated data repository and dictionary
  3. Information Model representing business
  4. Data Ownership and security classification
  5. Information Architectural Standard �

Key management practices for aligning IT strategy with Enterprise strategy :� DAT Girl Resides Chennai

  1. Understand enterprise Direction
  2. Assess the current environment, capabilities and performance �
  3. Define the Target IT capabilities �
  4. Conduct Gap analysis �
  5. Define the Road map and strategic plan�
  6. Communicate IT strategy and direction�

Business value from use of IT :�

Business value is achieved by the benefit (in the form of �Optimal value�) to the business from the business processes and IT enabled investments at acceptable cost

Key practices to evaluate business value from IT :� EDM

  1. Evaluate value optimization���
  2. Direct value optimization
  3. Monitor value optimization

Key Matrics used for evaluating benefits realized from IT enabled investments :� ISI - ISO

  1. % of IT enabled Investments � where benefits monitored���
  2. % of IT Services� � where benefits realized �
  3. % of IT enabled Investments� � where benefits met /exceeded
  4. % of IT enabled Investments � where IT cost & benefits defined���
  5. Satisfaction survey of key stakeholders�
  6. % of IT services� � where Operational cost & benefits defined�

There are few end questions left for this chapter�which i will share in next 2 days...

And will try to share the same for balance chapters soon...since exams days are near.

All the best to all in advance.


Published by

Parag Sambhaji Shinde
(Management Trainee)
Category Students   Report

9 Likes   41 Shares   14946 Views



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