Which method primarily achieves transparency of IT's cost, value, and risk in IT governance?

Performance measurement is the method that primarily achieves transparency of IT's cost, value, and risk in IT governance. By systematically tracking and assessing how IT resources and activities contribute to organizational goals, performance measurement allows stakeholders to see not only the financial aspects of IT but also how these investments align with business objectives and the overall risk exposure they entail.

Through performance measurement, metrics and Key Performance Indicators (KPIs) are established that give a comprehensive view of how effectively IT supports the broader enterprise strategy. This transparency is crucial for informed decision-making, as it provides data that can justify IT spending, highlight areas for improvement, and ensure that IT risks are managed in a way that aligns with the organization’s risk appetite and strategic goals.

While strategic alignment, value delivery, and resource management are important components of IT governance, they primarily focus on ensuring that IT initiatives are in sync with business objectives (strategic alignment), maximizing the benefits derived from IT investments (value delivery), and efficiently utilizing resources (resource management). These elements contribute to governance but do not inherently provide the same level of transparency regarding costs, value, and risks as effective performance measurement does.