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Priorities for Adopting an Exponential IT Mindset in Local Government

Adopting Exponential IT is critical for driving innovation, efficiency, and value for citizens.

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  • Local governments have significant challenges in adopting Exponential IT and leveraging capabilities to equitably respond to citizen-centric needs.
  • IT leaders struggle to identify which skills are needed and where to get specialized knowledge to keep up with the exponential shifts taking place across departments and agencies.
  • Overcoming challenges in establishing clear governance frameworks and strategies is crucial to prioritize and fund cross-silo digital initiatives.

Our Advice

Critical Insight

Across local government, IT must evolve by embracing collaboration, aligning with enterprise goals, being integral to strategic decisions, and showcasing impact. To succeed in the next phase of technology-driven transformation, CIOs have an opportunity to demonstrate their organizational leadership. To do so, they will have to start delivering organizational capabilities instead of services while owning organizational targets.

Impact and Result

  • Recognize the urgency of adopting Exponential IT across local government to combat citizen-centric service disruptions.
  • Comprehend the highest priorities of Exponential IT in local government that are being adopted today to transform service delivery, operations, and policymaking.
  • Acknowledge the foundational capabilities and maturity required to begin an effective Exponential IT transformation, resulting in value creation across the local government enterprise.

Priorities for Adopting an Exponential IT Mindset in Local Government Research & Tools

1. Priorities for Adopting an Exponential IT Mindset in Local Government – Adopting Exponential IT is critical for driving innovation, efficiency, and value for citizens.

Local government urgently needs to adopt Exponential IT to counter industry disruptions. The report emphasizes three key priorities of Exponential IT transformation, including foundational capabilities, maturity, and steps to achievement.

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Priorities for Adopting an Exponential IT Mindset in Local Government

Adopting Exponential IT is critical for driving efficiency, value for citizens, and innovation.

Analyst perspective

Enable value creation through Exponential IT.

Patrick Spencer.

Adopting an Exponential IT mindset is essential for local government entities to drive innovation, enhance service delivery, and meet the evolving demands of their communities. IT leaders are encouraged to transition from passive observers of technological advancements to proactive strategic collaborators in driving organizational success.

To overcome common obstacles and embrace Exponential IT transformation, local governments should focus on building adaptive delivery models, optimizing operations through automation, fostering strategic relationships, embracing digital innovation, and cultivating workforce flexibility. By emphasizing foundational capabilities, collaboration, and a forward-thinking mindset, local governments can leverage Exponential IT to address the changing landscape of public service delivery and drive sustainable growth in the digital age.

Patrick Spencer
Research Fellow, Industry Practice
Info-Tech Research Group

Executive summary

Your challenge

Common obstacles

Info-Tech’s approach

  • Adapting to a rapidly evolving technological landscape while meeting increasing community demands.
  • Enhancing service delivery, driving innovation, and ensuring data security pose significant challenges for IT leaders in the public sector.
  • Slow adaptation to modern service delivery models.
  • Bureaucratic processes hindering innovation.
  • Limited funding for technology initiatives, struggling to keep pace with rapid technological advancements, ensuring citizen trust, data privacy, and promoting digital literacy within government organizations.
  • Traditional approaches to IT management may no longer suffice in the face of digital transformation and citizen expectations of seamless, efficient government services.
  • Resistance to change within the organization hinders the adoption of new technologies and innovative practices.
  • Siloed operations and lack of collaboration between departments/agencies impede progress and efficiency.
  • Insufficient resources and budget constraints affect the implementation of technology projects and initiatives.
  • Difficulty in recruiting and retaining skilled and motivated IT professionals impacts the organization’s ability to leverage new technologies effectively.
  • Viewing IT as a cost center rather than an enabler, leading to misaligned resource allocation and strategic planning.

Info-Tech offers a comprehensive approach to help local governments overcome these obstacles and embrace Exponential IT transformation.

Guidance is provided on building adaptive delivery models, optimizing operations through automation, fostering strategic relationships, embracing digital innovation, and cultivating workforce flexibility.

Equipping IT leaders with the tools and strategies needed to drive innovation, enhance service delivery, and build a future-ready government organization.

By focusing on foundational capabilities, collaboration, and a forward-thinking mindset, local governments can leverage Exponential IT to meet the evolving needs of their communities and drive sustainable growth in the digital age.

Info-Tech Insight
Local government entities encounter challenges in maintaining their efficiency and effectiveness in delivering public services amid evolving demands and expectations. IT leaders are encouraged to transition from passive observers of technological advancements to proactive strategic collaborators in driving organizational success. By embracing forward-thinking guidance, local governments can explore and implement Exponential IT solutions to enhance their capabilities and adapt to the changing landscape of public service delivery.

What is Exponential IT?

Exponential IT is a framework defined by Info-Tech Research Group.

The technology curve has recently bent exponentially.

Generative AI has been the catalyst for this sudden shift, but there are more and more new technologies emerging (e.g. quantum computing, 5G), putting significant pressure on all organizations.

Efficient service delivery is now imperative. Demand for fast and convenient services requires IT to adopt new technologies to meet the needs of businesses and citizens.

Our framework instructs all IT leaders on how to transform their organization and elevate their value-creation capabilities to close the gap between the exponential progression of technological change and the linear progression of IT’s ability to successfully manage that change.

This research provides IT leaders with industry-specific priorities for Exponential IT and how to begin an effective Exponential IT transformation, resulting in value creation.

The image contains a screenshot of a thought model on Exponential IT, Lean into the Curve.

Your Exponential IT journey

To keep pace with the exponential technology curve, adopt an Exponential IT mindset and practices. Assess your organization’s readiness and embark on a transformation journey. This report will provide greater insights to help you build your Exponential IT Roadmap.

To access all Exponential IT research, visit the Exponential IT Research Center

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The focus of this report

Repeat annually

Repeat annually

Adopt an Exponential IT Mindset

Info-Tech resources: Exponential IT Research Center, Research Center Overview, and Keynote

Explore the Art of the Possible

Info-Tech resources: Exponential IT research blueprints for nine IT domains

Gauge Your Organizational Readiness

Info-Tech resource: Exponential IT Readiness Diagnostic
(coming soon)

Build an Exponential IT Roadmap

Info-Tech resource: Develop an Exponential IT Roadmap blueprint

Embark on Your Exponential IT Journey

Info-Tech resources: Ongoing and tactical domain-level research and insights

The pace of technological change will continue to increase exponentially in local government

IT must solve the problem of rapidly and exponentially increasing expectations.

Governments are adopting exponential technologies at an accelerated rate due to the rapidly changing landscape and demands from constituents. Traditional linear IT is no longer viable to sustain IT’s place as the leading technology provider.

Failure to launch will leave you far behind. The chasm between the organization’s desire to harness technology and IT’s ability to deliver it will continue to widen.

The challenges with traditional linear IT:

  1. Slow to adapt to more modern service delivery models
  2. Processes and decision-making that can’t accelerate to meet demand
  3. Transactional arms-length relationships with organization units and vendors
  4. Insufficient funding and focus on technology innovation
  5. Locked into a siloed and hierarchical operating model

The Case for Exponential IT

IT needs to fundamentally transform the way it is operating in the following ways:

  1. Build an Adaptive Delivery Model: Enable flexible and efficient delivery of services.
  2. Optimize & Autonomize Operations: Maximize efficiency while mitigating risks through intelligent automation and data-driven decision-making.
  3. Broker Strategic Relationships: Strengthen and build both external and internal relationships to better align IT capabilities to agency goals.
  4. Embrace Digital Innovation: Evaluate and adopt solutions that drive taxpayer value, efficiency, and innovation.
  5. Cultivate Workforce Flexibility: Dismantle traditional jobs and hierarchies, normalize new collaborative ways of working, and adopt a federated and hybrid IT operating model.

Top 10 Priorities

Local government

The top 10 IT priorities for local government industry in 2024

  1. Cybersecurity and risk management: Prioritizing safeguarding their systems and data from cyber threats to ensure the security and privacy of citizen information and critical infrastructure.
  2. Digital government/digital services: Enhancing citizen engagement and service delivery by leveraging digital technologies to provide online services, improve accessibility, and streamline administrative processes.
  3. Artificial intelligence/machine learning/robotic process automation: Exploring the use of AI, machine learning, and automation to optimize operations, enhance decision-making processes, and deliver more efficient and personalized services to residents.
  4. Legacy modernization: Updating and modernizing outdated IT systems to improve efficiency, reduce maintenance costs, and ensure compatibility with current technologies to better serve the community.
  5. Workforce: Prioritizing building and retaining a skilled IT workforce to support technological advancements, innovation, and the effective implementation of digital initiatives within the organization.
  6. Data management/data analytics: Emphasizing effective data management and analytics to derive insights, improve decision-making, and enhance service delivery based on data-driven strategies and evidence-based practices.
  7. Broadband/wireless connectivity: Working to expand access to high-speed internet and wireless connectivity in underserved areas to bridge the digital divide, promote economic development, and ensure equal access to digital services for all residents.
  8. Identity and access management: Implementing secure identity and access management practices to protect sensitive information, control access to government systems, and ensure data privacy and security.
  9. Cloud services: Adopting cloud computing services to increase operational efficiency, scalability, and cost-effectiveness in managing IT infrastructure and delivering services to residents securely and reliably.
  10. CIO as broker/new operating model: Recognizing the evolving role of the CIO as a strategic partner and facilitator of innovation, fostering collaboration, and implementing new operating models to align IT initiatives with the organization's goals and enhance service delivery to the community.

These priorities reflect a strategic focus to meet the evolving needs of citizens and local government operations.

Sources: MeriTalk, 2023; GovTech, 2024; NACo, 2024

Local governments have significant challenges in adopting Exponential IT

Implementing IT priorities for local government is not without its challenges.

Workforce Shortages: There’s a significant gap in the availability of skilled IT professionals, which can hinder the progress of IT initiatives.

Cybersecurity Threats: As cybersecurity remains a priority, the increasing sophistication of cyber threats poses a challenge to maintaining robust security measures.

Budget Constraints: Insufficient budgets can limit the ability to scale digital transformation efforts and invest in necessary technologies.

Organizational Silos: Siloed strategies and decision-making can impede the development and implementation of cohesive IT policies and programs.

Risk-Averse Culture: A culture that resists change, especially among frontline and service delivery workforces, can be a significant barrier to adopting new technologies and practices.

Digital Divide: Ensuring equitable access to digital services remains a challenge, particularly in underserved communities.

Governance and Strategy: Establishing clear governance frameworks and strategies is crucial to prioritizing and funding cross-silo digital initiatives.

Digital Skills Gap: A lack of digital skills within the government workforce can slow down the adoption of new technologies and digital services.

These challenges require strategic planning, investment in workforce development, and a commitment to change management to successfully implement IT priorities.

Bold indicates a top priority from our last Exponential IT roundtable

Imperatives for Exponential IT adoption in local government and how to navigate disruption

Disruptive opportunities for local governments are centered around leveraging technology to transform operations, service delivery, and decision-making.

  1. Enhanced Operational Efficiency: Harness the transformative potential of AI to streamline and optimize operational processes across all facets of local government. By deploying AI-driven automation and predictive analytics, local governments can unlock new levels of efficiency in areas such as infrastructure maintenance, resource management, and service delivery.
  2. Data Integration & Governance: Embrace a data-first approach to governance, leveraging insights from vast and diverse datasets to drive decision-making, policy formulation, and service delivery.
  3. Agile Hyper-Personalization: By leveraging advanced data analytics, AI, Agile, and user feedback loops, local governments can create tailored experiences that anticipate and meet the unique needs of individual citizens.
  4. Innovation Hubs: Establishing innovation hubs within local government frameworks fosters collaboration and alignment across municipal departments, academia, industry partners, and community stakeholders. By creating these interconnected ecosystems, local governments can accelerate the development and deployment of transformative technologies and solutions that enhance urban living and shape the future of government services in smart cities/communities.

These opportunities reflect a shift toward a more innovative, efficient, and citizen-centric approach in local government.

Sources: Deloitte, 2024; GSA, 2024; GSA, 2023; Deloitte, “Urban Future With a Purpose,” 2021

Adopting Exponential IT is critical for driving innovation, efficiency, and value for citizens.

About Info-Tech

Info-Tech Research Group is the world’s fastest-growing information technology research and advisory company, proudly serving over 30,000 IT professionals.

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