How can the transformative power of data and AI drive greater public value?

Governments worldwide face a critical inflection point as they confront a convergence of challenges: fiscal constraints, workforce pressures and lagging productivity alongside complex geopolitical and societal issues and eroding levels of trust, all while people’s expectations and demands on them grow.

Our detailed research across 14 countries, conducted in partnership with EY, shows that data and AI technologies offer precisely the capabilities needed to address these challenges. They aren’t just tools for efficiency — they represent a fundamental shift in how governments can deliver public value in the 21st century.

The cost of inaction in adopting data and AI technologies is increasing daily. Organizations delaying implementation risk widening service gaps, eroding public trust, undermining fiscal sustainability and, ultimately, compromising their core missions. Meanwhile, as our research reveals, pioneers are already capturing significant benefits that enhance service delivery and operational efficiency.

This paper represents the first in a two-part series. In this initial report, we focus primarily on the research findings themselves — examining the state of government AI adoption, quantifying the implementation gap, identifying the challenges organizations face and introducing a framework for implementing AI, drawing on insights from government organizations that are leading the field. Our second report will build on these insights to deliver detailed, practical guidance on how organizations can apply this framework to advance their own data and AI journeys.

Who should read the report?

This study equips government leaders with actionable insights for navigating the complex AI landscape. Organizational leaders will find a framework for strategic decision-making. Chief digital, information, data and AI officers will gain practical implementation roadmaps and strategies to overcome common barriers. Talent leaders will discover approaches for workforce transformation, learning and development, and building organizational readiness. The broader leadership will benefit from evidence-based perspectives on how leading government organizations leverage these technologies to deliver measurable improvements in service quality, operational efficiency and public value.

We look forward to sharing the second report with you in the third quarter of 2025.