Digital transformation amidst inertia: Implementing digitalization reforms in the public sector

Abstract

Digitalization has been a major reform trend in public administration. However, the growing body of literature on barriers and implementation challenges raises questions about inertia in the reform process. This study adapts the concept of organizational inertia to the public sector to analyse how different implementation approaches to digital government reforms impact its emergence. To do so, two advanced digital public services in Germany, the internet-based vehicle registration (bottom-up digitalization) and the electronic tax return (top-down digitalization), are examined. Integrating survey data of public employees (n = 831) and expert interviews (n = 45), the study provides new perspectives for both theory and practice regarding the implementation of digital transformation. First, the study finds that both approaches effectively mitigate different inertial forces, challenging the idea of a generally inert public sector. Second, it emphasizes the need for a more nuanced approach that balances top-down commitment to reduce political inertia at the sector level with bottom-up involvement to address inertia at the individual level. Third, it proposes an adapted conceptual model of organizational inertia that recognizes the public sector’s distinct formal rules.