The Role of IT Governance in Aligning IT Strategy and Business Strategy for Sustainability in the Era of Disruption

In an era of disruption characterized by rapid change, IT Governance is an important factor in aligning IT strategy with business strategy to achieve sustainability. This research aims to investigate and analyze the mediating effect of IT capabilities on IT strategic alignment and operational performance, considering the complexity and dynamics of the external environment as well as the internal business processes adopted by the business entity. Using a positive paradigm approach and quantitative methods, this study finds that IT Adoption and IT Assimilation provide different indirect effects. IT adoption plays a key role in establishing strategic alignment of IT and business to improve operational performance, indicating the importance of IT adoption decisions that are aligned with strategy, vision, mission and broader business goals. However, IT assimilation does not directly improve Operational Performance which can create sustainable competitive advantages for business entities. These findings emphasize the importance of effective IT Governance in directing IT investments and strategies to drive alignment, sustainability and resilience amidst the challenges and opportunities offered by an ever-evolving business landscape. The results of this research provide valuable guidance for business leaders and IT professionals in developing and implementing strong IT Governance practices to achieve strategic alignment and sustainability in an era of disruption.