The Contribution of IT Governance Solutions to the Implementation of Data Warehouse Practice

Information systems (IS) strategic planners debate what is the most appropriate data warehouse (DW) topology for an organization. The primary question is whether to start DW projects with enterprise-wide data warehouses (EDWs) or with smaller-scale data marts (DMs). This article examines the relationship between modes of IT governance and DW topology to determine whether or not the implementation differences in DW topology can be described by differences in IT governance arrangements. Three primary modes of IT governance–centralized, decentralized, and hybrid – were used to arrange key IT activities. A replicated case study approach coupled with a research survey was used to provide a comprehensive understanding of the relationship between modes of IT governance and DW topology. Utilizing information from six organizations, the empirical evidence presented indicates that the organizations with higher levels of centralized IT authority are likely to implement a more centralized data warehousing approach. Key implications for theory and practice are discussed.