What does performance measurement help achieve in the context of IT governance?

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Performance measurement plays a crucial role in IT governance by providing a structured approach to evaluate the IT department's effectiveness in aligning with overall business objectives. This alignment ensures that IT initiatives and resources directly support the strategic goals of the organization. By systematically measuring performance, organizations can identify how well IT services and investments contribute to achieving business aims, facilitating informed decision-making and prioritization of IT projects.

Moreover, performance measurement fosters accountability within the IT department, as it establishes clear expectations and outcomes that can be monitored over time. This ability to assess alignment leads to enhanced transparency and better communication with stakeholders, although those aspects are secondary to the primary goal of ensuring that IT is meeting the needs of the business.

The other options, while related to IT governance, do not directly encompass the core objective of performance measurement. Improved stakeholder engagement, for instance, may arise as a result of alignment, but is not the primary focus of performance measurement itself. Similarly, while reduction of operational costs is a beneficial outcome, it does not inherently reflect the alignment with business objectives. Development of new IT technology is also not a direct result of performance measurement, as it focuses more on innovation rather than alignment or governance.

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