How Technology Drives Innovation and Productivity in Public Services

Improved Energy and Productivity: The Role of Technological Change in Public Services

As expectations for responsive, efficient, and personalized services grow, government agencies around the world are using technology to meet these needs. Digital tools and artificial intelligence (AI) have helped the public sector streamline processes and provide citizens with more effective interactions. By embracing technological solutions, especially digital transformation and AI, public organizations continue to deliver services with greater speed, productivity and satisfaction.

Ability to drive Community Service Delivery

In order to meet the latest expectations, governments have begun to prioritize hard work in their service plans. Digital Public Infrastructure (DPI) is at the center of this transformation, empowering governments with tools that enable the delivery of flexible, responsive public services. DPI includes features such as digital identity verification, a data sharing platform, and online payment options that improve user experience by making transactions with them easier and more efficient.

For example, the impact of DPI on Indian public services has been enormous. Over the past decade, India has developed a robust DPI system, including biometric identification (Aadhaar) and Unified Payments Interface (UPI). These facilities have proven invaluable during the COVID-19 pandemic, allowing the government to deposit emergency funds directly into the bank accounts of millions of citizens. In just two weeks, $3.9 billion was distributed to 318 million people—showing the power of digital media.

Likewise, Ukraine’s Diia app has played a major role in simplifying and maintaining access to government services. Launched before the war between Russia and Ukraine, Diia became a way of life for disadvantaged citizens, giving displaced people easy access to income. Now, as the rebuilding effort continues, Diia’s eRecovery program ensures that the fund is distributed to the homeowners effectively, further demonstrating DPI’s capacity in the crisis.

The Power of AI to Boost Public Sector Productivity

Artificial intelligence, particularly the rise of Generative AI (GenAI), is greatly increasing productivity in government agencies. GenAI’s ability to automate repetitive and knowledge-intensive tasks allows social workers to shift focus from mundane tasks to high-quality tasks that require critical thinking and intuition. AI’s ability to retrieve, process, and analyze information also helps governments respond to citizens’ questions more efficiently and quickly.

In recent years, thousands of public sector organizations have incorporated AI technology to improve their operational performance. From virtual social workers who provide personalized answers to common questions, to AI-powered language translation tools that help expand accessibility, these technologies are transforming public services. For example, the Police of Northern Ireland has integrated AI to automate tasks in many departments, shortening response times and allowing staff to focus on difficult cases that require human attention. These productivity gains not only improve service outcomes but also enable governments to meet growing needs without increasing costs.

The productivity potential of AI extends to various applications, such as digital education. With AI-powered digital tutors, students can get lessons tailored to their unique learning needs and progress, making learning more efficient and equitable. In health services, virtual assistants support doctors and nurses by automating administrative tasks, enabling them to focus on direct patient care.

Strategies to Foster Agility and Productivity in Government

While technology adoption is important, achieving real agility and productivity in government requires a strategic, multi-faceted approach. Here are some key strategies organizations can use to maximize the potential of their digital and AI investments:

1. Developing an Agile Mindset and Culture

Real power goes beyond implementing new technologies; it encompasses the concepts of adaptation and responsiveness. To develop this, governments need to create a culture that emphasizes citizen-centered outcomes. By breaking down traditional silos and rigid processes, organizations can better respond to changing conditions. Creating fast feedback systems is key to understanding and adapting to the needs of citizens in real time.

For example, public organizations that use project management methods often get better results, as they are able to iterate and improve services based on real-world feedback. Embracing tradition also means that organizations prioritize flexibility over style, which is important in today’s fast-changing environment.

2. Integrating the Components of Digital Public Infrastructure (DPI).

The success of digital public services depends not only on the delivery of individual components but also on their interaction. An integrated DPI system—where digital identity, payment, and data exchange components work together seamlessly—can foster innovation, collaboration, and change. By ensuring that these systems work together, governments can create responsive and sustainable digital services that improve citizen experiences.

For example, countries that adopt a “whole of government” approach, where different digital tools and systems communicate in a consistent manner, are in a better position to respond to day-to-day operations and unexpected challenges. This integrated approach allows organizations to share data securely and efficiently, reducing redundancies and improving service delivery.

3. Renewing the AI ​​Strategy to include Generative AI

With the rapid development of AI technology, government leaders must update their AI strategies to identify the most impactful applications of GenAI. This involves a different approach, where organizations are evaluating which jobs are suitable for AI and reorganizing employee roles to take advantage of AI capabilities. Similarly, organizations must establish ethical guidelines for the use of AI, especially for applications that may involve sensitive information or important decisions.

For example, an AI-driven system can help immigration agencies process documents faster, but human attention is still needed for final decisions. By balancing AI performance with ethical oversight, governments can harness the benefits of technology while maintaining public trust.

4. Prioritizing Workforce Experience and Training

New technologies can sometimes cause cultural resistance within government agencies. Successful adoption of AI requires organizations to focus on employee experience by implementing thoughtful training and support systems. Programs should be designed with the end user in mind, including input from front-line employees who interact with the technology on a daily basis. As AI-powered tools improve productivity, governments can also consider how these improvements can support better wages, work-life balance, and talent retention.

In addition, governments can promote retraining programs to help workers adapt to new jobs and responsibilities. Over time, this investment in people not only promotes a positive work environment but also positions the agency as an employer of choice, attracting and retaining talent in the public sector.

Related: The Future of Robotics: How MIT’s New AI Model Is Changing Robot Education

Balancing efficiency with Ordered Services

Unlike private organizations, public organizations do not have the same process for changing resources. Service orders must be met, even if they cost more. This is especially difficult when citizens rely on government support in important areas such as health care, social services and public safety. Therefore, improving operational efficiency in the public sector is not limited to reducing costs and more about finding new ways to meet increasing needs with limited resources.

For example, by implementing digital services that allow citizens to apply for permits or licenses online, agencies can reduce waiting times and reduce administrative burdens, freeing up resources for more complex tasks that require human intervention. In this way, technology enables governments to meet orders more effectively, even as the demand for services increases.

Looking Ahead: The Emerging Role of Technology in Public Sector Transformation

As technology advances, opportunities to improve public services will continue to grow. Emerging areas such as blockchain for secure and transparent records, IoT for real-time data on public infrastructure, and advanced machine learning for predictive analytics all have and the opportunity to change public services. The success of these reforms will depend on strategic investment, flexibility in workforce, and commitment to community-based planning.

In October, Deloitte’s Shared Services Conference will convene leaders in the Netherlands to discuss the latest changes in the public sector. The conference will showcase practical strategies and solutions that help government agencies achieve sustainable excellence through agility, innovation and technology.

The Future of Agile, Technology-Driven Public Services

As citizens’ expectations continue to change, so does the public sector’s approach to service delivery. By integrating digital infrastructure and AI, governments are moving towards more advanced and productive public services that meet the needs of today’s citizens. Although challenges remain, a commitment to improving technology and engaging in the workforce will help civil society organizations address these challenges and continue to improve the lives of the people they serve.