38508 - Governance implications of the use of a shared digital service platform among ecosystem organizations

The shared digital service platform makes the boundary of the business expand unlimited, rapidly connecting different stakeholders - such as providers (suppliers), users (consumers), and HW∙SW companies - required to build out different business models.

The IEC and ISO joint technical committee (JTC 1) develops international standards for information and communication technologies. With the leadership of Steve Tremblay (Convener of WG1), ‘IT service management and IT governance’ sub-committee (SC 40) of the JTC 1 has developed ISO/IEC TS 38508, ‘Governance implications of the use of a shared digital service platform among ecosystem organizations’ to guide the governing bodies of organizations on the effective, efficient and acceptable use of a shared digital service platform among ecosystem organizations. The project editor and co-editor are Dr. Jong-won Kwon (Korea Testing Laboratory) and Dr. Gyeung-min Kim (Ewha Womans University), respectively.

 

Why is ISO/IEC TS 38508 important?

In today’s economy, the most successful companies are platform-based companies. By adopting the platform strategy, traditional companies attempt to transform their business models, processes and operations around the shared digital service platform. The plug and play architecture of the shared digital service platform allows the organizations to rapidly add new ecosystem partners, applications and functions to the platform. This accelerates the flow of innovation into an ecosystem, which is imperative to gain competitive advantage. Based on the guidance provided by 38508, traditional companies can maximize the value creation potential of the shared digital service platform while minimizing associated risks. With the guidance provided by this standard, organizations can establish a governance oversight with proper policies and accountabilities to mitigate the risks that might occur during their digital transformation process with the use of the shared digital service platform.  

 

What is the main difference between the new standard and ISO/IEC 38500?

ISO/IEC TS 38508 provides the guidance to the governing body of organizations that adopts a shared digital service platform among ecosystem organizations (shared digital service platform herein after). While ISO/IEC 38500, ‘Information technology – Governance of IT for the organization’, provides a broader guidance for the governance of IT, this new standard covers more detailed guidelines for adopting the shared digital service platform in terms of the following aspects; strategy, acquisition, compliance, performance, human-behavior and culture, data quality, risk governance, and organizational governance oversight. 

 

Who benefits from the standard?

ISO/IEC TS 38508 is applicable to organizations including public and private companies, government entities, and non-profit organizations which adopt the shared digital service platform. This standard helps the organizations to mitigate the risk associated with adopting the shared digital service platform by establishing proper governance oversight with clear accountability and risk management. Having a good governance of the shared digital service platform leads the organization to effectively use the shared digital service platform to improve organizational performance, to enhance customer experiences or both in rapidly evolving current business environment.

Find more details about the standard here: https://committee.iso.org/sites/jtc1sc40/home/projects/wg-1/published-wg1.html

Find (https://www.iso.org/committee/5013818.html) out more about the work of SC 40.