Introduction
Over the past 20 years, governments worldwide have made tremendous efforts to transform their landscape from manual functioning to full digitalization. Digitalization in government refers to the use of technology to improve government services. The course of government digital transformation is a ceaseless process that utilizes all types of applications of the newest technology to enhance the government’s performance and help meet the needs of its citizens.
This transformation is sometimes referred to as e-government. The citizens’ critical goal is the prime linchpin of this digital transformation in government. However, there are other focal points in government-to-business and government-to-government relationships. This includes using government agencies in cloud computing, big data, artificial intelligence, and other digital platforms and technology tools.
Since the beginning of this digital transformation, government activities have improved. Many governments have implemented this strategy in their service-delivery systems. Improvements have been made, such as people standing at the front doors of administrative offices to receive their services indoors. Citizen engagement and citizens’ trust in the government increased. In addition, the complaints of citizens were reduced. One of the most significant contributions of ICT transformation in the government is its contribution to cost savings. The new digital management systems eliminate paperwork costs, such as printing and mailing documents to countrymen. This helped the government generate money. For instance, one study estimated that digitalizing governmental services using current technology could generate over $ 1 trillion annually worldwide (McKinsey et al., 2016).
The benefits of digitalization in government are enormous, as it speeds up accession to government services, including tax payments, applying for governmental benefits, and filing complaints. It is also easier for disadvantaged people and those living in rural areas.
Furthermore, implementing e-government enhanced public participation because it gave citizens a greater voice and involvement in the political process through online forums, petitions, and voting systems.
However, these benefits have only been felt in some countries due to the digital divide. The Western world earned the greatest benefits from the digital government. The rest of the world, particularly the so-called third-world countries, is yet to take advantage of the inbuilt value of e-government. Some African countries are in the initial stages of digital transformation. They are gradually transforming governments’ manual provision of online services.
In the public sector, the benefits of electronic transformation in government have been extensive over the past couple of decades, but how could these electronic transformations in government help the business landscape? This is what this opinion article explores.
How is Digitalization in the Government Helping Business Landscape?
In today’s information age, the usage of digitalization is widespread in the government and business. Despite the government’s use of digitalization, online business is the major beneficiary of this automation transformation. Today’s most successful and profitable business is online. For example, Amazon is one of the largest retail companies in the world. Many other businesses have also joined online markets. There is a high demand for the skills necessary for digital businesses. Many of today’s start-ups will be digital because the number of people purchasing things online has dramatically increased over the past decades. Besides digital skills, teaching and training have increased as these skills are in high demand in electronic markets worldwide.
The covid-19 pandemic became a major turning point for businesses to adapt their practices to become more virtual, and because of that, we have seen an increasing number of services in the world becoming digital.
Businesses do not exist in a vacuum; they are working under the governmental system. We have seen the benefits of digitalization in both the government and businesses. How does digital government help today’s businesses?
Upgraded efficiency of service provision. The digital government made business services easier in time and money by automating governmental tasks, lessening paperwork, and improving communication with government agencies. For instance, businesses file taxes online, apply for permits and licenses online, and communicate with government officials through email or online chat. This was impossible before digitalization. In addition, businesses can access government services, regardless of location or size. For example, businesses can apply for loans online, access government procurement opportunities online, and obtain help from government agencies online. As a pioneer of the digital government, the Estonian government has made it easy for businesses to register and operate in Estonia and has provided businesses with access to a wide range of digital services. This has helped Estonia become a hub for e-commerce.
Augmented transparency and accountability. E-government services have made it easier for businesses to trace their interactions with government agencies and to hold government officials accountable for their actions. For example, businesses can now view their tax records online, track the status of their permit applications, and file complaints about government officials.
New opportunities for innovation. The digital government assists businesses in innovating by supplying them with access to fresh data and tools. Real evidence is that the Singapore government has invested heavily in digital infrastructure, making it easy for businesses to access government data. This has helped to create a vibrant ecosystem for innovation in Singapore.
One example of how this has worked in practice is the Singapore Land Authority (SLA). SLA has made it easy for businesses to access land data through its online portal, OneMap. This has allowed businesses to develop new products and services that use land data, such as property valuation tools and real estate apps. Another example is the Singapore Tourism Board (STB). STB has created a number of digital platforms that allow businesses to connect with tourists. For example, STB’s Visit Singapore website allows businesses to list their services and products, and STB’s SG Travel Pass app allows tourists to book and pay for activities and attractions.
Enhanced Competitiveness. Digital government services aid businesses in becoming more competitive by reducing their costs and improving their efficiency. For example, businesses can use digital government services to streamline their supply chains, reduce paperwork, and improve customer service.
Increased collaboration. Digital government services can help businesses collaborate with each other and government agencies more easily and effectively. For example, businesses can use digital government services to share information, coordinate projects, and solve problems.
Conclusion
In the last two decades, governments worldwide have made significant efforts to shift from manual operations to complete digitalization. Government digitalization refers to using technology to enhance the provision of governmental services. The journey of government digital transformation is an ongoing endeavor to incorporate various cutting-edge technological applications, aiming to optimize government efficiency and cater to the requirements of the populace.
In a nutshell, the digital government can provide a number of benefits for businesses, including improved efficiency, increased transparency, enhanced access to government services, new opportunities for innovation, and enhanced competitiveness, although many of these advantages are limited to affluent nations.
Ahmed Mohamed Hassan, Head of the Political Science Department, SIMAD University
