IT Budget In 2002, ELT at VWoA along with the IT organization supported a new business unit within VWoA, as a single point of governance for all IT matters . The reason Dr. Matulovic was transferred from Germany to the United States to design, found and then lead the new organization. Budgets for IT projects at VWoA were controlled through a process involving several organizational entities setting priorities. There are four specific teams involved in this process: the ELT (Executive Leadership Team), the ITSC (IT Steering Committee), the PMO (Project Management Office) and the DBC (Digital Business Council). The ELT is responsible for the execution of the NRG (Next Round of Growth) strategy of which IT governance is a part. The ITSC is made up of business and IT managers and is responsible for leading and approving the IT project selection and prioritization process. The PMO administers the project proposal and approval process. The DBC is responsible for the project filtering process, which decides which projects are most aligned with the company's business strategy. Since Dr. Matulovic came from process development, he believed the problem was more about governance and process. He did a great job of bringing the team together under one umbrella and also installing a system with a process-based approach, accountability for weekly reporting and monthly budget checks. The PMO did what was deemed necessary by the IT team, they started working on projects on schedule and within budget and there were qualified project managers responsible for managing the IT projects. In some terms IT must have a core budget for its operations but it is just a customer service unit and will get the budget based on...... paper projects ...... ilot and will follow agile practices. With this they don't commit to a full project, they simply plan a pilot project that can be operational in 3-6 months, they can then execute these projects and start to get some value, if they get a cost saving from a particular project, it they will be able to use those funds and refinance the next phase. Instead of seeking funding every year, they can have a process where one project funds another project and the cost savings are also used for newer projects. Matulovic should review his VW management, discuss with them about the upcoming events, as they will lose the SAP project, which was supposed to be a part of the overall globalization. Furthermore, many ETL leaders will be dissatisfied, which means they need to be well aware of the events and can review the projects if they wish.