(Editor's Note: What follows is an excerpt from Chapter 3 of Klaus D. Niemann’s book From Enterprise Architecture to IT Governance–Elements of Effective IT Management. Niemann is the Managing Director of act! Consulting GmbH (http://www.act-consulting.de/), which specializes in enterprise architecture and IT governance. Niemann has more than 20 years of first-hand experience in this area. His book can be purchased at Amazon.com.