Despite artificial intelligence (AI) and machine learning (ML) (39 percent), big data analytics (30 percent) and cybersecurity (27 percent) becoming the top priorities for the public sector, digital literacy and leadership and vision emerge as major barriers for digital transformation, according to a new report realised this week.

The research by Granicus gathers insight from public sector workers in central government, local government and the NHS. It reveals that of the essential skills most likely to prevent the adoption of better digital services in the future, 25 percent of public sector respondents said digital literacy is a crucial skill to address. As a result, 30 percent also said that training and development will be important in the next three years.
Although the data suggests the public sector views AI and data analytics as a priority for the future, the research reveals that the sector is not benefiting from existing investment in technology to enhance service delivery. More than half of respondents (58 percent) said they have the correct digital tools in place, but they could be utilised more effectively for stronger outcomes. Leadership and vision for AI and emerging technology is slowing adoption as the data suggests that both middle management (36 percent) and executive leadership (34 percent) are seen as key barriers.
Similarly, the new Multiverse Skills Intelligence Report indicates that workers are losing 27 days per year – more than 10 percent of their working hours – to inefficiency in data-related tasks.
It said that more than half of workers struggle with making data analysis more efficient (54 percent), and nearly half lack skills in data visualisation (49 percent) and using data to tell a story (48 percent)—all essential for generating insights that can power AI.
If you liked this content…
Healthcare spends 41.2 percent of its time working with data inefficiently, while the figure is 38.8 percent for defence.
Key recommendations
Granicus said that 56 percent of public sector workers said poor communication and collaboration across departments has impeded the progress of digital initiatives and as a result, less than half of respondents (46 percent) are happy with their organisation’s current digital services in place.
“The rise of artificial intelligence and machine learning has clearly brought many advantages to the public sector in increasing workflows and operational efficiency,” said Ian Roberts, UK managing director of Granicus. “But as the research reveals, digital tools are in place across the public sector, but they aren’t being used to maximum effect to benefit UK citizens. This will be key for local government especially, in not only maximising return on investment but also improving digital services and outcomes for the public.”
The findings from the report outline five key observations and learnings for the future of public sector digital transformation. According to Granicus:
- Improving strategic vision for digital transformation: With a significant 43 percent admitting that there is a lack of clear vision for digital transformation, a digital strategy roadmap is needed to meet future demands for the public sector by 2027.
- Interoperability and utilising current technology: Public sector systems must be able to communicate seamlessly and share data. Implementing new solutions and technology is beneficial but public sector leaders need to be better at utilising pre-existing technology to enhance service delivery and maximise potential.
- Communication and collaboration are vital: Teams are working in siloes with inconsistent cross-government communication and collaboration impacting the public sector’s adoption of, and improvement of digital services in the future.
- Leadership is responsible for driving AI and data analytics: Cultural and leadership challenges are slowing adoption of new technology, therefore clear communication and unified leadership will be vital to close the gap between strategy and delivery.
- Digital literacy is still a major barrier: Training and development and upskilling the workforce will be key solutions to addressing this need.