The center of government must create the enabling environment for a thriving digital economy while also supporting individual government departments with their own transformation efforts. This requires a focus on five key areas: digital infrastructure, digital strategy, digital access, digital standards and digital talent.
Creating digital infrastructure and fostering inclusion
To promote the development of the digital state, a high-speed, reliable digital infrastructure is required. Advanced telecom networks – including enhanced 4G and 5G mobile networks – and data centers are the backbone of a digital economy.
Given the high development costs, government agencies are increasingly teaming up with private partners to put this infrastructure in place. The COVID-19 pandemic heightened the need for this investment, sharply increasing the demand for connectivity to underpin remote working, e-commerce and service delivery.
Infrastructure improvements must address urban-rural and economic divides to achieve inclusive digitalization. Governments can also help by providing devices (such as laptops and tablets) to get people online, backed up by support and training for individuals to improve digital literacy. But offline channels will remain vital to ensure all citizens retain equal access to public services.
Driving a national digital strategy
The center of government can formulate a national digital strategy detailing how it plans to deliver efficient and accessible public services while optimizing the citizen experience. Such strategies help to ensure that individual departments and agencies are focused on government-wide outcomes, enabled by interdepartmental collaboration and funding. Many countries have created a centralized digital service or transformation office to lead their efforts.
The center of government must also consider how to address the evolving cybersecurity threats that are transforming the risk environment and threatening the democratic process itself. A national strategy and dedicated entity can help to coordinate cybersecurity efforts across government, while collaboration with other actors will help create a more secure ecosystem.
Case study: Malta’s AI transformation
The Government of Malta introduced a pioneering national AI strategy with the help of EY. The strategy positions Malta as the Ultimate AI Launchpad for local and foreign companies to develop, prototype, test and then scale AI solutions. The program will create use cases and prototypes for AI to be incorporated across each area of government and the public administration. Six pilot projects have been initiated spanning intelligent traffic management, healthcare, education, customer service, tourism and energy management. The program will also identify private sector industries that can benefit from new technologies and explore policies to stimulate AI investment and adoption, strengthening the education system to attract AI researchers and equip all higher education students with AI skills, as well as creating a national certification framework for ethical and trustworthy AI.
Facilitating seamless digital access to services
The center of government plays a crucial role in breaking down silos and achieving interoperability of different systems, databases and registers to provide one-stop access to public services. Common IT platforms should be configured to slot into the services of any agency, providing a range of applications and services such as identity management, payments, messaging and notifications.
Government must also create the means for citizens to access services through secure digital user identification and authentication systems. Different countries deploy different credentials to authenticate individuals, including unique ID numbers, mobile IDs, e-ID cards and digital identity certificates that enable parties to sign legal documents electronically. The sophistication of these ID systems is constantly evolving, as new technologies (such as facial recognition), regulations and standards come into play.
Setting and enforcing digital policies, regulations and standards
The center of government must set and enforce appropriate laws, regulations, policies, guidelines and standards that allow innovation to flourish, while managing potential risks in the deployment and application of technologies. They must also be ready to adapt regulation, when needed, to take account of changing circumstances.
Common standards for interoperability need to be set and enforced to enable data sharing across organizations. Many governments are strengthening regulations on the use of individuals’ personal data to protect their privacy and give them more control over the way it is used.
Securing the right digital knowledge and talent
Intergovernmental collaboration and the exchange of knowledge and expertise across national borders is vital, as we have seen during the pandemic. The Digital Nations (formerly D9 group of nations) – the UK, Estonia, South Korea, Israel, New Zealand, Canada, Uruguay, Mexico and Portugal – meet regularly to disseminate best practice and develop solutions to common stumbling blocks.
The public sector must be able to compete with the private sector to recruit, train and retain the best talent. The center of government can help prepare the workforce for the digital age by building core technical skills such as software development and systems architecture, as well as new skills such as data science. As governments gradually build a more dynamic environment, they will attract younger workers and millennials in search of roles where they can make a difference to society.
Digital transformation also has wider implications for the future of work in general, and central governments need to consider the impact of automation on society, equality and employment. They should focus on developing the skills of the wider population to maintain employment opportunities.