BrazilGovernment agencies are booking progress in digital transformation
Governments worldwide are making notable progress in digital transformation, yet significant steps are still required to meet the expectations of citizens. That is according to a study by KPMG.
The report shows that government leaders across Europe, the Middle East, Africa, Asia Pacific, and the Americas feel that public sector agencies have booked progress in several areas of their digital agenda, including cloud, cyber security, Web3, data & analytics, and artificial intelligence. In fact, KPMG’s study found that government respondents were more likely than their private sector peers to report progress on several areas, including cloud and cyber security.
That progress is booked through a focus on innovation. Notably, 85% of government leaders said that they are prioritizing emerging technologies over legacy systems. In addition, they are investing in new domains and systems, and forging partnerships and/or alliances that help accelerate the delivery of their digital transformation roadmap.
On the positive side of progress, 84% of respondents believed that adopting modern technologies, often coupled with adapted delivery methods, has created measurable value for their organization. However, the respondents at the same time highlight that keeping up with the pace of technological change is a struggle (45% of all respondents) and many also feel that they still are far from realizing “the full potential” of their digital transformation efforts.
More to be done
“Governments are making progress, but they need to accelerate to meet the growing demands of citizens. The pace of change must increase to realize the full potential of their digital transformation efforts,” said Ismail Alani, Partner and Head of the Government & Public practice at KPMG in Saudi Arabia and Levant.
Accelerating technology is though easier said than done, as government organizations have to balance all kinds of things – budget, resource capacity, change readiness, and much more – before they can actually implement new technologies and embed these new ways of working within their teams.
When it comes to priorities, over 8 in 10 government leaders said that cloud and Everything-as-a-Service are essential to their continued digital transformation. Meanwhile, AI is also gaining momentum, with 45% of respondents experimenting with AI in controlled environments and two-thirds expecting to invest in AI and automation within the coming year.
“We are facing two transformative waves – cloud and generative AI,” said Robert Ptaszynski, Partner and Head of Digital & Innovation at KPMG in Saudi Arabia and Levant. “Together, they are not just changing how governments operate, but also how they deliver citizen-focused services.”
In the case of AI, the report urges governments to place trust and data privacy at the core of their AI design. Referencing another KPMG survey, which canvassed over 17,000 people across 17 countries, just 33% of citizens report a high level of confidence in governments’ ability to develop and use AI in the best interests of the public. Notably, respondents ranked their trust in government below that of their trust in big tech when it comes to developing AI.
“The challenge now is for governments to build the frameworks that ensure responsible AI use, while also enabling innovation,” said Ptaszynski.
Citizen-focused
The report further found that governments are increasingly focusing on aligning their (digital) products and services to citizen needs. Three quarters of the government leaders said that customer feedback influences their investment decisions, and 82% are confident in using customer-centric metrics to measure the value of their digital initiatives.
Ptaszynski concluded, “By embracing emerging technologies, prioritizing cloud adoption, and fostering a citizen-centric approach, governments can achieve long-term success and meet the evolving needs of their citizens.”
