Recommendation 21

Redesigning services requires a more fundamental look at processes, not just the digital and technology elements.50 CDDO recognises this needs people not just with skills in technology, but also those who understand end-to-end processes, have the ability and willingness to analyse organisational structures, and the right capability and credibility to make the level of change required.51 Some departments can describe the benefits gained from transformation but struggle to systematically identify the opportunity costs of failing to transform.52 Incremental change is government’s fall-back response to things which are deemed ‘too difficult’ and when transformation gets de-scoped.53 If senior leaders do not understand how transformation would reduce future operating costs, they will continue to under-invest.54 41 Qq 53, 63; C&AG’s Report, para 3.20 42 Q 1 43 Q 63 44 Q 15 45 Q 65 46 Q 41 47 Q 62 48 Qq 76–77 49 Q 38 50 Q 65 51 Q 66 52 Qq 62, 72 53 C&AG’s Report para 1.6; Qq 15, 17–18 54 Q 62 14 Digital transformation in government: addressing the barriers to efficiency 3 Reform of finance, procurement and policy processes Central functions’ understanding of digital