Governance is about a set of rules that need to be followed.
In cloud, the way of doing things is different.
Governance in cloud consists of:
policy - What can you do?
RBAC - Who?
budget - How much?

“Azure” is shared compliance model.

How to use constructs for governance

flowchart LR
	ManagementGroup --> Subscription --> ResourceGroup --> Resource

The closer you get to the resource, the stricter the policies can be.
At root management group level for example, you want broad policies that need to apply. Least restrictive. And so on.

references:

https://www.youtube.com/watch?v=eLSjnF6Crlw&list=PLlVtbbG169nGlGPWs9xaLKT1KfwqREHbs&index=12 Azure Governance