Pandemic Pushes State, Local Governments to Modernize Systems

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In 2020, the global pandemic has exposed many governmental organizations in their limited availability of digital communication channels. In fact, prior to March 2020, 43% of UN member states did not have any organized digital media strategy. Many home-bound citizens relied on governments to provide them with relevant information and to deal with pressing issues around healthcare, unemployment, and economic stability. In the face of that, many governments started using a plethora of tools such as online portals, apps, social media platforms, and chatbots to reach out to residents. To support such initiatives, it is crucial that government agencies invest in modernizing their IT infrastructure for migrating workloads, automating processes, and making decisions based on data. These trends are covered in Avasant’s new State & Local Government Digital Services 2020-2021 RadarView™ report.

State & Local Digital Services 2020-2021 RadarView™

State & Local Digital Services 2020-2021 RadarView™

Although many state and local governments are undergoing digital transformation, the sector overall has lagged. Concerns include data security, interoperability between government agencies, and an aging workforce. Service providers help governments implement a digital plan, which benefits residents.

In 2020, the global pandemic has exposed many governmental organizations in their limited availability of digital communication channels. In fact, prior to March 2020, 43% of UN member states did not have any organized digital media strategy. Many home-bound citizens relied on governments to provide them with relevant information and to deal with pressing issues around healthcare, unemployment, and economic stability. In the face of that, many governments started using a plethora of tools such as online portals, apps, social media platforms, and chatbots to reach out to residents. To support such initiatives, it is crucial that government agencies invest in modernizing their IT infrastructure for migrating workloads, automating processes, and making decisions based on data.

These emerging trends are covered in Avasant’s new State & Local Digital Services 2020-2021 RadarView™ report. The report is a comprehensive study of digital services in state and local governments, including top trends, analysis, recommendations, and a close look at the leaders, innovators, disruptors, and challengers in this market.

Avasant evaluated 35 providers using three dimensions: practice maturity, partner ecosystem, and investments and innovation. Of those 35 providers, we recognize 14 as having brought the most value to the market during the past 12 months.

The report recognizes service providers in four categories:

  • Leaders: Accenture, Capgemini, IBM
  • Innovators: Infosys, NTT Data, TCS, Wipro
  • Disruptors: Atos, CGI, Perspecta, Unisys
  • Challengers: Conduent, DXC, Serco

Henry Guapo, a partner with Avasant, congratulated the winners noting, “The pandemic and growing concerns over the citizens’ health and security has motivated the state & local government to expedite the digital transformation journey. The economic instability, rising environmental concerns, and evolving citizens’ expectations have compelled government agencies to prioritize cost optimization with improved citizens’ services. With this push, the government is increasingly investing in the modernization of their infrastructure, enablement of remote and digital services, and facilitation of smart and connected cities through the digitalization of front-end and core functions.” 

Some of the findings from the full report include the following. Governmental organizations should:

1. Modernize IT infrastructure to transform core operations, reduce cost, and ensure data security:

  • Modernize legacy systems by scaling-up cloud adoption to reroute capital to more-productive applications and encourage collaboration in government workplaces.
  • Regularize threat and vulnerability audits for legacy systems and applications and strengthen endpoint, network and infrastructure, cloud, and transaction security.

2. Leverage and expand COVID-driven digital investments into additional processes and citizen services:

  • Deploy automation-based solutions to facilitate telework, streamline financial relief processes (unemployment insurance, child support), and support frontline workers.
  • Ramp-up investments in digital communication channels to monitor and analyze residents’ opinions (through polls, surveys), dispel rumors, and promote awareness.

3.Increase investments in AI and analytics to transform operations and reimagine residents’ experience:

  • Invest in analytics-based solutions to develop data-driven economic and social policies, leverage bots for providing continuous support, and counter cyberattacks.
  • Mine data assets and leverage predictive analytics/AI to facilitate citizens' safety and security by preventing accidents (through alerts) and planning emergency response (floods, fire, etc.).

“Although many state and local governments are undergoing digital transformation, the sector overall has been a laggard in this regard,” said Avasant’s Research Leader Pooja Chopra. “There are ongoing concerns around data security, interoperability between government agencies, and an aging workforce. Forging alliances with experienced service providers can help governments implement a digital transformation plan, which greatly benefits residents.”

The full report also features detailed RadarView profiles of the 14 service providers, along with their solutions, offerings, and experience in assisting governments in digital transformation.

This Research Byte is a brief overview of the State & Local Government Digital Services 2020-2021 RadarView™ report (click for pricing).

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Swapnil Bhatnagar
Avasant
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