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Enterprise governance needs urgent transformation to support the digital-first economy and move to low-code

BOSTON, October 27, 2021 / PRNewswire / – According to Mendix and leading research firms and economists, IT governance urgently requires a fundamental shift in its  -proach to monitoring technology adoption to ensure protection and value creation in today’s transformed, digital-centric organizations. A recent Gartner survey1 found that 70% of cross-functional executives state that their organizations’ governance models are not designed to meet the needs of digital business teams. Additional reports from Harvard Business Review, MIS Quarterly, and IGI Global simply showed that widely used governance protocols “fail”, “kill innovation” and “deliver inferior results” when measured against corporate KPIs and when measured against business objectives.

The concept of IT governance emerged in the early 1990s. Initially, IT governance had three main goals: to ensure the technology generates business value, monitor management performance, and mitigate the risk associated with technology usage.

Over time, the standard governance models have become bloated and heavily risk-mitigating, which harms other goals. “Most of the time, teams that follow legacy policies and procedures run into obstacles. Although well-intentioned, these governance models create procedural knots, delays and resource denial on a large scale, ”said Jon Scolamiero, Mendix’s Manager for Architecture & Governance. “The results speak for themselves – IT governance as it currently works is not working. We need to dramatically change the way we construct and  -ply these models, especially given the exponential pace of technological change we face every day in IT. “

There has been a radical shift in technology priorities in the past 18 months, largely catalyzed by the pandemic. The goals and instruments have changed and governance needs to catch up. Restrictive governance policies, designed before the advent of today’s digital-first economy, can affect business value, productivity, and threaten the sustainability of companies that thrive in an economy sh -ed by accelerated digitization, a lack of developer talent, and new automation – and low-code platforms, look for competitive advantage. empower the citizen developers who may or may not have adequate IT oversight.

This push for r -id digitization has resulted in widespread adoption of automation platforms, including platforms for developing low-code  -plications, by global corporations. Forrester analysts expect 75% of all enterprise  -plications to be low-code by year-end. In order for companies to remain profitable and competitive, a transformed IT governance model that harks back to the original goals of IT governance and adopts the core principles of enhanced collaboration, communication, abstraction and automation must be the foundation of high-performance digital solutions – solutions that these are force multipliers that increase business value and market position.

Change from mandated to embedded governance

Simply put, IT governance is the agreed framework that a company uses to solve a specific set of business problems using information technology. While such frameworks should embody the values ​​and goals of an entire organization, practical research shows that they typically arise as a series of top-down assignments given by departments according to reporting lines.

This may have been useful when IT professionals were the only developers of digital solutions. However, as Gartner reports in Balance Autonomy With Control: New Governance Models for Digital Businesses, there are now more technology partners developing  -plications outside of IT. Gartner documents this changing nature of the work, where 41% of technology manufacturers are citizen developers in business units creating new  -plications and custom integrations for their teams, departments, and other end users. only 10% of the technology producers work either in the central IT or in the business area IT.

All-in-one low-code development platforms that are really suitable for business should be explicitly designed to address and support this transformation of business procedures and processes and to put the focus back on value creation. You can do this by embedding governance c -abilities so that the work of business professionals, developers, and BizDevOps in planning, building, testing, deploying, and maintaining digital solutions is not hindered while being transparent and manageable.

Embedded platform tools give administrators real-time control of the entire landsc -e without compromising productivity. These tools can include system-wide alerts, observability and monitoring dashboards, permission settings, and project role configuration. Advanced options such as AI-assisted software development, automated testing, customizable workflows / pipelines, and automated portfolio quality and performance monitoring also help create a set of automated governance guard rails that are tailored to any business initiative. This “shift left”  -proach keeps people, processes, portfolios and platforms all in one direction and ensures that IT standards for quality assurance and performance management are automated for the expanded pool of citizen developers.

“The portfolio rationalization process is streamlined when a platform embeds expected value and compliance during  -plication development,” said Scolamiero. “For example, the business manager doesn’t have to worry about whether an  -plication complies with OWASP web security standards or GDPR regulations, as these questions were automatically and rigorously checked as part of the set-up. Even better is having the portfolio-wide business value, solution quality, and business skills came to the fore. In this way, embedding modern governance models allows technology producers to operate. “

In addition, these modern governance models elegantly eliminate the risks of shadow IT. They uncover data to evaluate and prioritize projects, resources and budgets. They provide the framework for businesses to scale to accelerate ROI and time to market for secure digital solutions. In addition, they support a whole new level of collaboration across silos that is based on business outcomes.

Strengthening security and compliance while at the same time enabling resilience and agility
Security measures are often confused with governance, but they remain an essential part of any digital operation. Vertical sectors such as insurance, healthcare, banking, and finance have compliance requirements that are specifically tailored to their industry needs. Companies are subject to local data protection regulations in the jurisdictions in which they operate. And as more and more consumer-oriented services are digitized, private and public organizations are increasingly vulnerable to cyber hacking. Microsoft’s most recent data breach on Microsoft’s Power Platform exposed more than 38 million government and corporate records. “Such messages underscore the critical role governance plays in securing and delivering high-performance results across the technology stack through the participating developer and end-user teams,” says Frank Baalbergen, Chief Information Security Officer at Mendix.

By “moving left” third party validation, security settings, and privacy requirements for software developers and BizDevOps managers, these new governance models bridge the seemingly different priorities of risk mitigation and the r -id adoption of next generation technologies. Enterprise-ready all-in-one low-code development platforms can do this with ease by seamlessly enabling vulnerability assessments, penetration testing, and logging reviews to make delivery pipelines flexible and seamless.

“I firmly believe, and the experience of our customers shows, that this new  -proach to governance enables anyone who works on its principles to be h -pier and more productive,” concludes Scolamiero, “because so much bureaucracy has been taken out of their lives Get results and measure results in near real time, which just feels good. “

Additional resources
To further explore the issues posed by current IT governance models, please read Mendix’s five-part blog series by Jon Scolamiero, starting with IT: Governance – Why it has to change. Download the Mendix Your New Governance Framework eBook for a detailed blueprint for changing governance models for the business.

In case you missed Mendix World 2021
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About Mendix
Mendix, a Siemens company and the world’s leading provider of low-code for business, is fundamentally reinventing the way  -plications are built in the digital enterprise. With the Mendix platform, companies can “Make with More” by expanding a company’s development c -abilities to overcome the software development bottleneck; “Make it Smart” by creating  -ps with rich, native experiences that are intelligent, proactive and contextual; and Make at Scale to modernize core systems and build large  -p portfolios to keep pace with business growth. The Mendix platform is designed to facilitate collaboration between business and IT teams and dramatically accelerate  -plication development while maintaining the highest standards of security, quality and governance. Mendix World is the first low-code event of the year and attracts nearly 10,000 Mendix enthusiasts from all areas of the business.

Press inquiries
Sara Black
[email protected]
(213) 618-1501

Dan Berkowitz
Senior Director Global Communications
[email protected]
(415) 518-7870

1 Balance Between Autonomy and Control: New Governance Models for Digital Enterprises – Gartner, 2020

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