Double-agent Perspective Control Of It Services

With the rapid development of IT services market, IT control is increasingly becoming the industry and the academic focus. Being a new hot topic in internal control field, IT control concept has not been distinct defined and relative research is still in preliminary proceeding. Enterprises can reduce IT risk and improve the rate of IT investment through implementation of effective IT control. So in this thesis, we focus on IT control. Furthermore, IT control will have an impact on several IT Stakeholders, and IT control must be a Game between IT stakeholders such as enterprise investment decision maker, IT service provider, and IT users etc. So in this thesis, we study the IT control from the perspective of principal-agent relationship.Through a large number of studies on literature, relevant IT standards and IT control model, we find that the application of IT, is no longer a bottleneck in the enterprise IT construction, the standards and models of IT management are also very mature. However, there is very little research on control about stakeholders in the process of IT application, and there exist distinct information symmetry among IT stakeholders, and there also exist conflict among goals of the IT stakeholders, so, in fact, the process of IT control is a dynamic game that is valuable to study.Therefore, we make useful of Stakeholder theory and information economics to study IT control from the perspectives of principal-agent relationship.First of all, it must solve adverse selection in the agency problem between the CEO team and IT service providers, in order to control risks associated with IT investments. Therefore, we point out that the CEO team should make use of COBIT, IT Service CMM and IT service providers'qualification to comprehensive estimate and select IT service providers in order to reduce the risk both from uncertainty of level of enterprise information and from uncertainty of IT service providers'capabilityIn the CEO team-IT service providers-business team principal-agent chain, the information asymmetry between IT service providers and IT users seems very complicated. On the one hand, IT service providers'lacks of business knowledge, experience will lead to information asymmetry; on the other hand, the IT users'lack of IT knowledge will also lead information asymmetry. So we point out that CEO team should make the business team's goal and IT service providers'goals align, and make IT service providers and business team co-operation to support each other in order to guarantee the implementation of IT services and to reduce moral hazard such the lazy and"free-rider"problem in the implementation of IT services.Base on the above analysis, we present an IT synergy control mechanisms. First, enterprise should establish cross-functional architecture Commission, service-level agreement management, project tracking and IT audit mechanisms to control IT stakeholder. Second, enterprise should track the IT business value, share IT costs between stakeholders in order to incentive IT stakeholders. And we did an application research in a design institute.