Government in the digital age: Exploring the impact of digital transformation on governmental efficiency

This study introduces a novel production network model to analyze how digital transformation influences different sectors within the government. Unlike previous research, which often views digital government as a singular entity, our approach dissects the specific impact of digital transformation on various government departments and their contributions to overall governmental efficiency. By employing text analysis and empirical models, we assess the degree of digital transformation across government departments from 2012 to 2022, revealing that such transformations enhance governmental efficiency. Furthermore, our findings highlight the critical role of coordinated digital transformation efforts in amplifying overall efficiency. This research not only provides a fresh theoretical framework for understanding digital government but also offers actionable recommendations for optimizing resource allocation and strategizing digital initiatives to drive governmental progress.