This article examines the impact of information technology (IT) governance and enterprise architecture (EA) on the integration of Sarbanes-Oxley Act – Section 404 compliance programs during mergers and acquisitions (M&A). The interrelation between these topics was identified based on a review of current literature within the respective fields. Based on this review, the author proposes that the implementation of a centralized governance structure has a significant impact on the success of Sarbanes-Oxley Act – Section 404 compliance during M&A transactions. This hypothesis is tested using a case study approach, in which a suitable information governance structure is identified, and an EA implementation methodology is defined for the integration of compliance programs of the acquiring and target companies. The finding was that centralized IT governance is more likely to achieve or maintain Sarbanes-Oxley 404 compliance during M&A activity, and that EA is useful to establish this type of governance.
Journal of Enterprise Architecture