The cloud adoption is an ongoing rising global trend. In both the public and the private sector the trend of shifting towards cloud adoption is visible. According to Gartner, across all industries, companies spend an average of 20.4% of their IT budgets on cloud. If we look at the government area, the percent varies as follows:

  • Local governments spend an average 20.6% of their IT budgets on cloud
  • National governments spend 22% of their IT budgets on cloud.

Why governments shift their IT infrastructures to cloud?

This big question has a simple answer: cloud delivers digital government services efficiently and at low costs. This answer backs-up Gartner’s forecast that the worldwide public cloud services market will grow 17% in 2020 to total $266.4 billion, up from $227.8 billion in 2019.

How cloud adoption is shaping EU’s digital future?

The digital transformation of governments in Europe has three clear goals, that are outlined in the European eGovernment action plan 2016 – 2020.

  • Reduce administrative burdens
  • Improve the quality of interactions with government
  • Removing existing digital barriers.

The industrial revolution of our time is digital. As companies aim to scale up across the Single Market, public e-services should also meet today’s needs: be digital, open and cross-border by design. The EU is the right scale for the digital times.
― Andrus Ansip, Vice-President for the Digital Single Market

egovernment action plan regulatory agencies cloud

eGovernment Action Plan 2016-2020 acknowledges the digital opportunities and sets a vision that aims to make government agencies and institutions in EU open, efficient, providing personalized, user-friendly, end-to-end digital services to all citizens and businesses within the bloc.

What is the economic impact of cloud adoption in government agencies?

The cloud adoption in the public sector contributes to a more cost-efficient future of the public services through e-government. The cost saving efforts are mainly focused at optimizing the resource utilization. But this is not the only benefit, even though it is the most direct one when it comes to adopting cloud in the public sector. In the post-pandemic reality the functioning of institutions should be a priority number one. In case of other waves of infections and returning to restrictive measures, the IT infrastructure of government agencies must allow its workforce to continue working efficiently. With old legacy systems that is a big challenge, but for governments that adopted cloud, this will not be an issue.

Related: Cloud solutions for inspection management – the new normal for regulatory compliance

The bottom line is that the broad adoption of cloud services in the public administration (whether it is regulatory agency, local government or central government), eases the access of companies and citizens to the services that they need from the public sector. Even in times of social distance rules.

What is the macroeconomic benefit of cloud adoption?

Cloud adoptions is the way towards productivity. This is a healthy boost for every economy in the world that drives innovation and positive transformation. The workforce can operate faster, more efficiently and more cost-effective. These benefits doesn’t reduce their strength even in times of lockdown because of the flexibility that is at the core of cloud. For example, the inspection management of regulators can be transformed entirely digitally. All of the case and document management can be digitalized, the inspectors can access their cases digitally via the cloud – any time, any place, any device. And it all can happen by keeping the necessary security protocols.
The inspection area of public services is a perfect example for digital transformation that fits the visions of the eGovernment Action Plan even in times of global pandemic.

Related: 5 priorities for regulators after the pandemic

According to Gartner almost half of government organizations are actively using cloud services. The natural evolution of the market will continue to develop the cloud area. The more we go into the future, the need of cloud adoption in governments will become more pressing. The governments’ information officers need to press the cloud adoption button before it starts pressing them. If you’re on the search for cloud egovernment solutions with focus on inspection management and case management, contact us for a free consultation now.