Governance to Digital Transformation in Portuguese Public Local Authorities
5. Results and Analysis
The study was funded in nine municipalities: three on the coast, three in the interior, and three around the capital (Lisbon). This distribution allows general coverage of the national territory, including regions with different levels of development.
Regarding the area/ function performed, 33 % have management/ administration
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responsibilities while 78 % have intermediate IST management responsibilities.
This result emphasizes the participation of management with responsibility for defining digital service strategies and the IST area that is responsible for the systems’ designing and administration to support the digital operation.
Regarding the hierarchical level, the results show that those surveyed perform intermediate organizational functions (22 % as top management; 67 % as intermediate management; and 11 % do not know/ do not answer).
All the surveyed consider relevant the DT theme. However, they attributed more relevance to the “Information Systems and Technologies” and “Clients/
Citizens.” If we consider the “very relevant” as a closer management position to the inclusion of these areas in organizational strategies, it seems contradictory that “Business” and “Organizational” have not recorded a higher level of relevance in the context of the DT opportunities. In this sense, it can be considered that there is a weak strategic acuity in terms of economic value generation in the digital context as well as a weak commitment to change the organizational dynamics associated with digital process transformation. The percentage of Dk/
Da responses reinforces this analysis.
Table 1. Domain relevance in the digital transformation process
Domains 1 2 3 4 Dk/ Da
Business – – 78 % 11 % 11 %
Organization – – 67 % 33 % –
IST – – 33 % 67 % –
Clients/ Citizens – – 33 % 56 % 11 %
The results show an inverted positioning of the synergistic effects that IST can have in business as well as the role of organizational dynamics and capabilities in meeting the needs of clients/ citizens. Eventually, the relevance of these two areas is due to the predominant role that IST plays, not only in the organizational perspective but also in the daily lives of people’s needs.
A more detailed analysis needs to be done to better understand the results obtained. Thus, starting with the domain of “Business,” it is possible to see, as shown in Table 2, that all dimensions are relevant. However, the dimensions of “Vision/ Strategy” and “Communication” stand out for their response expressiveness.
It would be expected that the dimension of “Products/ Services” would have a more relevant expression as one of the traditional axes associated with
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these transformation processes associated with the limited development and availability of digital products and services. On the other hand, “Vision/
Strategy” is very relevant. Still, it does not seem to make much sense that there is a significant difference between the two, as both the vision and strategy focus on the market and, consequently, on products and services.
It is also interesting to note that the high relevance given to these dimensions (“Vision/ Strategy,” “Innovation,” and “Communication”), in the process of digital business transformation, does not match the relevance previously attributed to the domain itself, as shown in Table 1. It would make perfect sense, by most of the answers given to these three dimensions, that the domain was also relevant to respondents, which is not the case. However, despite this apparent incoherence, it is possible to infer that these dimensions may be the focus of management in future digital transformation processes.
Table 2. Business dimensions relevance in digital transformation process
“Business” dimensions 1 2 3 4 Dk/ Da
Vision/ Strategy – – 11 % 89 % –
Innovation – – 44 % 56 % –
Products/ Services – – 67 % 33 % –
Communication – – 22 % 78 % –
In the analysis of the dimensions associated with the organization domain, Table 3 shows that “Operation” and “Skills” are assumed to be the most important.
The most considerable relevance of operations in the organizational field may correspond to their centrality in supporting activities, products, and services through digital platforms. Some of the respondents underestimate the need for skills in a digital context. They are also assuming that the impacts on the structure are insignificant.
Table 3. Organization dimensions relevance in digital transformation process
“Organization” dimensions 1 2 3 4 Dk/ Da
Digital Capability – – 67 % 33 % –
Structure – 11 % 44 % 44 % –
Operation – – 22 % 78 % –
Skills – 11 % 33 % 56 % –
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Although the “Organization” domain has been classified as relevant, as shown through Table 1, only 50 % of its dimensions (“Operation” and “Skills”) stands out as very significant, which appears to be incoherent.
In the analysis of the dimensions associated with the “IST” domain, it appears, through Table 4, that the dimensions of “Governance,” “Integration” and
“Safety” stand out in the classification assigned. Among these three dimensions,
“Integration” takes higher expression, possibly justified by the critical role that IST assume in the provision of global information services to citizens and the presence of legacy systems that traditionally characterize Public Administration.
Table 4. IST dimensions relevance in digital transformation process
“Information Systems and
Technologies” dimensions 1 2 3 4 Dk/ Da
IST Governance – – 33 % 67 % –
Integration – – 22 % 78 % –
Digital platform – – 56 % 44 % –
Safety – – 33 % 67 % –
The relevance of most dimensions associated with IST follows the relevance of the domain itself, all being considered very relevant. Interestingly, this is the first domain where there is a general agreement between the domain and its dimensions.
Regarding “Clients/ Citizens” it is possible to see, through Table 5, the most relevant dimensions are “Knowledge” and “Value.” “Value” is the most expressive dimension indicated and corresponds to the need to generate economic and social value in relations with public local authorities. Since they are public entities and there is no competition, this dimension does not assume cultural relevance among professionals. Since it’s based on the relationship between citizens and local public authorities, there is an obligation of legal involvement in many matters of citizenship, such as building permits, residence certificates, etc. For this reason, the result of the responses associated with this dimension is surprising.
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Table 5. Client/ Citizen dimension relevance in digital transformation process
“Clients/ Citizens” dimensions 1 2 3 4 Dk/ Da
Value – 11 % 22 % 67 % –
Knowledge – – 44 % 56 % –
Service levels – 11 % 44 % 44 % –
Digital interaction – – 56 % 44 % –
It is also noteworthy that the dimensions associated with the “Clients/ Citizens”
domain do not follow the significant relevance previously attributed to the domain itself, which can be seen in Table 1.
Generally, the analysis of the results allows us to witness a general awareness of the relevance of the domains and dimensions associated with digital transformation.
Still, within the scope of the first research objective, a comparative analysis was carried out between the various geographical regions studied to verify the result’s confluence or divergence. Thus, concerning the domains, as shown in Table 6, in the Lisbon area there is relevant unanimity regarding the impact of digital transformation on the activities and services (Business) provided by public local authorities. The reasons for these results were probably associated with higher population pressure, and levels of knowledge, and a different culture regarding technology adoption. This evidence can be understood as a strategic need for new ways of providing public services.
The public local authorities in the Portugal’s coastline considered the IST context important in the digital transformation process. It is possible that this evidence was associated with the many organizational legacy systems that can condition the feasibility and success of a digital transformation process.
Table 6. Relevance domains of digital transformation by geographical area Domains Greater Lisbon Area Interior of Portugal Coast of Portugal
1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da Business – – 100 % – – – – 67 % 33 % – – – 67 % 0 % 33 % Organization – – 67 % 33 % – – – 67 % 33 % – – – 67 % 33 % – Information
Systems – – 67 % 33 % – – – 33 % 67 % – – – – 100 % – Customers/
Citizens – – 33 % 67 % – – – 67 % 33 % – – – – 67 % 33 %
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Concerning the dimensions of “Business,” as shown in Table 7, the “Greater Lisbon Area” is unanimous in the relevance of the “Vision/ Strategy” dimension in the digital transformation process. Interestingly, the dimension of “Products/
Services” in all regions does not have a relevant expression, which appears to be a contradiction in the sense that digital transformation aims at the provision of products and services in a digital environment. The local authorities from the coast also stand out by highlighting the dimensions of “Vision/ Strategy” and
“Communication” as the most decisive in the process of digital transformation.
Table 7. Business dimensions relevance in digital transformation process by geographical area
Business
Dimensions Greater Lisbon Area Interior of Portugal Coast of Portugal
1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da Vision/ Strategy – – – 100 % – – – 33 % 67 % – – – – 100 % – Innovation – – 33 % 67 % – – – 67 % 33 % – – – 33 % 67 % – Products/
Services – – 67 % 33 % – – – 67 % 33 % – – – 67 % 33 % – Communication – – 33 % 67 % – – – 33 % 67 % – – – – 100 % –
Regarding the dimensions of the “Organization” area, as shown in Table 8, it stands out in the “Greater Lisbon Area,” a reference to the impact of “Operation”
in the context of digital transformation, with unanimity regarding its importance.
Concerning “digital capacities,” the public local authorities from the interior of the country consider it unanimously relevant. Still, its consideration is not imperative in the context of the impacts of digital transformation strategies. It should also be noted that the dimensions of “Skills” and “Structure,” in the field of “Organization,” has little relevance in inland public local authorities.
Table 8. Organization dimensions relevance in digital transformation process by geographical area
Dimensions of the Organization
Greater Lisbon Area Interior of Portugal Coast of Portugal
1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da Digital
Capability – – 67 % 33 % – – – 100 % – – – – 33 % 67 % – Structure – – 33 % 67 % – – – 67 % 33 % – – 33 % 33 % 33 % – Operation – – – 100 % – – – 33 % 67 % – – – 33 % 67 % – Skills – – 33 % 67 % – – – 67 % 33 % – – 33 % – 67 % –
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As far as the dimensions of the “Information Systems and Technologies”
domain are concerned, as shown in Table 9, the “Greater Lisbon Area” stands out again by agreeing with the responses in most dimensions. There is consensus on the relevance about the “IST Governance,” “Integration” and “Security”
dimensions in the digital transformation process. In this sense too, most coastal public local authorities accept the high importance of these dimensions.
Regarding the interior of Portugal, it is possible to note that the majority only stress the perspective of integration as being relevant.
Table 9. IST dimension relevance in digital transformation process by geographical area Dimensions
of IST Greater Lisbon Area Interior of Portugal Coast of Portugal
1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da IST
Governance – – – 100 % – – – 67 % 33 % – – 33 % 67 % – Integration – – – 100 % – – – 33 % 67 % – – – 33 % 67 % – Digital platform – – 33 % 67 % – – – 67 % 33 % – – – 67 % 33 % – Safety – – – 100 % – – – 67 % 33 % – – – 33 % 67 % –
The last domain “Clients/ Citizens” stands out for the dispersion of the valuations attributed. There is no evidence of unanimity in the valorization of some dimensions. However, there is only consensus on the “Value” dimension.
Table 10. Clients/ citizens dimension relevance in digital transformation process by geographical area
Clients/
Citizens Dimension
Greater Lisbon Area Interior of Portugal Coast of Portugal
1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da 1 2 3 4 Dk/
Da Digital
interaction – – 67 % 33 % – – – 33 % 67 % – – – 67 % 33 % – Service levels – – 33 % 67 % – – – 67 % 33 % – – 33 % 33 % 33 % – Knowledge – – 67 % 33 % – – – 33 % 67 % – – – 33 % 67 % – Value – – 33 % 67 % – – – 33 % 67 % – – 33 % – 67 % –
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