Key Milestones & Best Practices in the EU’s Public Digitalisation Journey: Building Blocks to Bridge the Gap – Here’s How You Do It!

Written By

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Peter Dann Jørgensen

Partner
Denmark

I am a partner and head of our international Public Procurement group in Denmark. Besides being one of Denmark's leading public procurement law specialists, I am co-head of our Copenhagen office and our international Public Procurement group.

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Tina Johansen

Senior Associate
Denmark

I am a senior associate in our International Public Procurement Group in Denmark with extensive experience in procurement and contract law, specialising in IT law. My knowledge and practical experience make me the ideal choice for public and private organisations seeking guidance in IT procurement.

Over the past decades, the European Union (EU) has undergone a comprehensive digital transformation, reshaping the public sector and improving citizens' access to services. Digitalisation has become a key driver of economic growth, innovation, and efficiency in public administration. This article explores the key milestones in the EU's public digitalisation journey, highlights best practices among member states, and presents the building blocks that can help bridge existing digital gaps. In addition to our Danish office, our colleagues in the Netherlands, Germany, Poland, Italy, and Belgium have contributed valuable knowledge and insights on practical national matters for this article.

Key Milestones in the EU’s Public Digitalisation Journey

The digitalisation of the EU’s public sector began with strategic initiatives aimed at ensuring a stronger and more cohesive digital infrastructure across member states. One of the first major milestones was the launch of the eEurope 2002 Action Plan in 2001, which aimed to make the internet accessible to all citizens and promote the use of digital technologies in public services. This was followed by the Digital Agenda for Europe in 2010, which set a clear direction for maximising the benefits of digitalisation, including improving broadband access and enhancing digital public services. In 2015, the Digital Single Market Strategy was introduced to remove digital barriers and create a unified market for digital services and goods across the EU. This was a significant milestone as it ensured a more integrated approach to digitalisation, fostering closer cooperation among member states in developing common solutions. 

In 2021 the 2030 Digital Compass was presented, outlining ambitious goals for The Digital Decade policy programme. The European Commission's goal is to digitise public services to ensure that all key services are fully accessible online, with e-Health granting all citizens access to their medical records online, and digital identity allowing all citizens to access digital ID. The strategy aims for all public services to be fully accessible online by 2030.

The European Commission’s 2023 Digital Decade report evaluates progress and calls for increased investment to close digital gaps. More on that later in the article.

On 15 December 2022, the President of the European Commission signed the European Declaration on Digital Rights and Principles. This Declaration underscores the EU's dedication to a secure, safe, and sustainable digital transformation that prioritises individuals, in accordance with fundamental EU values and rights. 

What specific components does this entail?

Digital technologies should protect people’s rights, support democracy, and ensure that all digital players act responsibly and safely. People should benefit from a fair online environment, be safe from illegal and harmful content, and be empowered when they interact with new and evolving technologies like artificial intelligence. The digital environment should be safe and secure, and all users, from childhood to old age, should be empowered and protected. Technology should unite, not divide, people. Everyone should have access to the internet, to digital skills, to digital public services and to fair working conditions. Citizens should be able to engage in the democratic process at all levels and have control over their own data. Last but not least; Digital devices should support sustainability and the green transition.

Best Practices in the EU’s Public Digitalisation Efforts

Several EU countries have emerged as frontrunners in public sector digitalisation, implementing initiatives that have inspired others. For example, Denmark ranked number 1 in the UN E-Government Survey in 2018, 2020, 2022 and now 2024. That comes with a responsibility; to lead the way!

Denmark is especially commended for the holistic approach to public digitisation secured by the strong collaboration across the public sector. 

The survey states, that Denmark has been proactive in advancing its digital government strategy, focusing on creating comprehensive digital portals for citizens, businesses, and health services through platforms like borger.dk, virk.dk, and sundhed.dk, while fostering citizen engagement via initiatives like borgerforslag.dk. Its National Digital Strategy (2022-2025) emphasises cross-sector collaboration, integrating public, private, and civil society efforts. Denmark’s National Cyber and Information Security Strategy (2022-2024) focuses on strengthening cybersecurity resilience. Denmark also incorporates sustainability into public procurement and explores AI, robotics, and 5G infrastructure to enhance public services and promote green transitions. These efforts underscore Denmark’s commitment to a secure, inclusive, and sustainable digital future. More about that later in the article.

For the sake of overview, The E-Government Survey includes 193 countries and ranks them according to how digital their public sector is. For further remarks, our colleagues in The Netherlands and Germany are also among the 18 countries leading e-government development globally.

But what about other European countries such as Poland, Italy and Belgium?

Europe leads over all in e-government development, followed by Asia, the Americas, Oceania and Africa. While all regions have achieved progress in various areas, the pace of development has been uneven, and regional disparities in digital development persist. Europe continues to be the top performer in e-government, with most of the region’s countries falling into the very high EGDI (E-Government Development Index) group.

The ranks in the E-Government Survey are as follows; Danmark (1), The Netherlands (10), Germany (12), Poland (37), Italy (51) and Belgium (59). 

But if we are to evaluate progress more closely and call for increased investment to close digital gaps, what can we conclude?

Let’s explore some of the digitalisation efforts of the member states. The following aspects are examined: the presence of digitalisation ministries, entities overseeing public sector digitalisation, the balance between decentralisation and centralisation in digital initiatives, the existence of strategies and principles, ongoing projects, international partnerships, past achievements and obstacles, necessary future actions, and the impact on procurement processes and digital undertakings. 

Processes and digital undertakings are essential topics for comprehending how we can leverage Building Blocks to Bridge the Digital Divide. Our offices in the Netherlands, Germany, Poland, Italy, and Belgium have, as mentioned, contributed valuable insights on national digitalisation - let's delve into it.

Is there a Ministry of Digitalisation or its equivalent in your jurisdiction? If not, why?

Denmark and Poland have a Ministry of Digitalisation. The Danish ministry is responsible for the government's work in digitalisation and IT, including IT modernisation, business digitalisation, digital security, and data protection. Among the institutions under the ministry are the Agency for Digital Government.

In contrast, Germany, The Netherlands, Belgium and Italy does not have a separate Ministry of Digitalisation. Instead, in The Netherlands, there is a State Secretary for Digitalisation, who operates under the Ministry of the Interior and Kingdom Relations (BZK). In Italy, the Department for Digital Transformation operates under the Presidency of the Council of Ministers. Similary, digitalisation tasks in the Federal Republic of Germany are carried out by the Federal Ministry for Digital Affairs and Transport.

Belgium's digital governance reflects its federal structure, where the digital responsibilities are distributed across regional and federal levels. Flanders has "Digitaal Vlaanderen," Brussels relies on entities like the Brussels Regional Informatics Centre (BRIC) and the State Secretary for Digital Transition, and Wallonia has the "Cellule de la Transformation digitale."  The FPS Economy coordinates at the federal level, ensuring alignment with EU's Digital Decade goals. 

In your jurisdiction who else is in charge for digitalising the public sector (e.g., public agencies/units, municipal entities, etc.)? 

In Denmark, the Ministry of Digitalisation and the Agency for Digital Government oversee the overall strategy and implementation of digital solutions in the public sector. Since 2001, the central, regional and local governments in Denmark have cooperated strategically to create the foundation for the future digital public sector in Denmark. The political visions in the joint public digitalisation strategy 2022-2025, the government's digitalisation strategy 2024-2027, and the national strategy for cyber and information security are constitute the overall framework for the work. In the Agency for Digital Government, they develop and operate central national digital solutions such as MitID, MitID Business, Digital Post, NemKonto, and borger.dk. They are also behind the driver's license and health card app. These are solutions that most citizens, businesses, and authorities are familiar with in their daily lives.

In line with Denmark, Various public authorities and institutions in Germany are responsible for the digitisation of the public sector. These organisations work closely together to advance digitalisation in the public sector and ensure that digital services are efficient and secure. For example, The Federal Government Commissioner for Information Technology/ CIO (Beauftragter der Bundesregierung für Informationstechnik) is involved in all strategic issues concerning the use of IT in the federal administration, in all legislative procedures and other government projects that have a significant impact on the design of public administration IT. The Federal Office for Information Security (Bundesamt für Sicherheit in der Informationstechnik) is particularly responsible for cyber security. GovTech Campus is a platform that promotes collaboration between authorities, science, civil society and start-ups to develop innovative digital solutions. The Federal Digital Academy (Digitalakademie Bund) offers training and further education for public sector employees to strengthen their digital skills.

In the Netherlands, several key organisations and governmental bodies are involved in implementing and advancing public sector digitalisation alongside the State Secretary for Digitalisation, including Network of Public Service Providers (NPD), Association of Netherlands Municipalities (VNG), Interprovincial Consultation (IPO), Union of Water Authorities (UvW), Ministry of Economic Affairs (EZ) and State Secretary for Legal Protection from the Ministry of Justice and Security (JenV).

The Agency for Digital Italy (AgID), the technical agency of the Presidency of the Council of Ministers, guarantees the achievement of the objectives of the Italian digital agenda, coordinating all Italian public administrations. It also contributes to the diffusion of information and communication technologies, fostering innovation and economic growth. It also promotes digital literacy and its diffusion, in collaboration with institutions as well as international, national, and local organisations.

Along with the other countries, Digitalising Belgium's public sector is a collaborative effort. While regional entities and municipalities implement digital solutions, the federal FPS Economy provides overarching strategic direction and ensures alignment with EU objectives.  This multi-layered approach involves a network of public agencies, units, and stakeholders, adapting to the specific needs of each sector.

In Poland, a special role in the process of implementing the State Strategy for Digitalisation will be played by Digitalisation Officers appointed in ministerial offices and the Prime Minister's Office. Their main task will be to coordinate the implementation of the Strategy. The Committee of the Council of Ministers for Digitalisation (CCMD) is responsible for ensuring the consistency of IT projects with the strategic activities of the State. A Committee for Digitalisation is to be established to replace the Committee of the Council of Ministers for Digitalisation. There is also a Council for Digitalisation, which supports the Minister of Digitalisation and the Committee of the Council of Ministers for Digitalisation in developing new ideas and giving opinions on strategic documents.

Are there various federal states who are responsible for their own administrative structures, IT-procurements & IT-implementations, which makes it difficult to implement interoperable digital solutions (federal system) or is there a centralised state with no or very little autonomy for regional or local units (unitary state)?

In Denmark, The Ministry of Digitalisation and the Agency for Digital Government ensure national standards and interoperability, but municipalities and regions handle their own IT procurements and solutions. Various procurement partnerships have been established across the state, regions, and municipalities, such as SKI - the State and Municipalities Procurement Service, the Regions' Common Procurement (RFI), and a number of municipal procurement partnerships. Each region and municipality have its own procurement policy and develops its own tender strategies for IT procurement.

Germany consists of sixteen federal states, each with its own government and administration that are independently responsible for many areas (including e.g. IT procurement and implementation). Due to their autonomy, it is rather difficult to introduce standardised digital structures nationwide. However, this federal system is based on cooperation between the federal and state governments and there are numerous areas in which they work closely together. 

In Poland, the public administration is divided into central administration, consisting of the Council of Ministers, ministers, and supreme authorities, and local administration, comprised of local self-government units of counties, municipalities, and provinces. These local entities have autonomy over public affairs of local importance. Belgium's federal system grants regions and communities’ autonomy in IT procurements and implementations. In the Netherlands, while regional and local governments have certain autonomies, digital initiatives are primarily coordinated at the national level to facilitate the development and implementation of interoperable digital solutions nationwide. Similarly, Italy, a unitary state with a strong centralisation component, aims to optimise costs and ensure uniformity. Regional units maintain a level of autonomy to tailor IT solutions to their specific needs.

That was the over all organisation, but how does it look in terms of digital strategies, principles, and, not least, concrete initiatives?

Has your jurisdiction established a digitalisation strategy or formulated principles for digitalisation? What are the main principles, guidelines, or objectives?

Denmark has a national digitalisation strategy that sets the direction for digital development in the public sector. The strategy focuses on the following key principles: Danes prepared for a digital future, Responsible and strong foundation for the use of artificial intelligence, Effective green transition through digital solutions, Increased growth and digital SMEs, A strong, ethical, and responsible digital foundation, The digital healthcare of the future, Denmark at the center of international digitalisation. Denmark also has six principles for digital inclusion, including Always take into account the consequences of digitisation, Design solutions for all citizens, Communicate so that all citizens understand the message, Help citizens with their digital errands, Help the helpers, and Provide user-friendly alternatives for digital solutions.

In Poland, a draft State Digitalisation Strategy has been developed. The Strategy, intended to be a cross-sectoral strategic document in the field of state informatisation, should serve the goal of improving the quality of life of citizens through digitalisation by 2035. The public consultation phase of the Strategy is now coming to an end. Key principles of the new approach to digitalisation: No more silos, Money, people and better organisation, Cooperation, Citizens, A just digital transformation and Safety. The Netherlands has established a comprehensive digitalisation strategy known as the Dutch Digitalisation Strategy (NDS).  It serves as a guiding framework to ensure that digital developments benefit both citizens and businesses. The government aims to operate as one unified entity, providing accessible and user-friendly digital services. The strategy has been developed in two phases, with the final version expected in spring 2025. The initial phase (September–November 2024) focused on defining priorities, while the second phase (from December 2024 onwards) has been dedicated to refining and formalising the approach. As part of the first phase of this process, seven key priorities were formulated to structure and direct the NDS. These priorities are divided into three main areas: Ambitions, Organisational Strengthening and Application of Digital Technologies. The priorities guide the national digital agenda, ensuring a cohesive, future-proof strategy that benefits citizens and businesses.

Germany has established various digitalisation strategies, such as the following:  The “Digital Strategy for Germany” (Digitalstrategie Deutschland) was developed by the ministries and the Federal Government, coordinated by the Federal Ministry for Digital and Transport. It is aimed at the whole of society, the economy and the administration in Germany. It includes a targeted digital progress by 2030. The most important principles and objectives of the strategy include: a connected and digitally sovereign society: promoting digital participation and ensuring digital sovereignty, an innovative economy, working environment, science and research: supporting innovation and digital business models, and a learning, digital state: digitising the administration and improving digital services for citizens and companies. Particularly important objectives to be achieved by 2025 are Fibre to the Premises (FTTP) coverage, the introduction of digital identities and the use of electronic patient files. The “IT Strategy of the Federal Government” (IT-Strategie Bund) is specifically aimed at the IT governance of the federal administration in Germany and contains mandatory objectives. 

The digitalisation strategy in Italy is primarily outlined through the National Recovery and Resilience Plan (PNRR) and the Three-Year Plan for IT in Public Administration. “Italia digitale 2026” plan, part of the PNRR, aims to position Italy as a leader in European digitalisation by 2026. The primary goals include: Digitalisation of Public Administration (PA): Migration to the cloud, data interoperability, and improvement of digital services, High-speed networks: Extension of ultra-broadband across the national territory, Digital identity: Increased adoption of digital identity, Digital skills: Improvement of the population’s digital skills ant Online public services: Increased availability and accessibility of online public services. 

In contrast, Belgium's digital strategy is multi-faceted, with both national and regional components. Each region has its own strategy: Flanders focuses on digital government, economy, society, and infrastructure; Wallonia emphasises digital transformation for citizens, businesses, and public services (as seen in their DPR 2024-2029 strategy); and Brussels prioritises digital appropriation and inclusion. 

And now it gets exciting!

What initiatives are being undertaken in your jurisdiction, such as those related to citizen inclusion, AI utilisation, green transition through digital solutions, facilitations of growth for digital SMEs, digital sovereignty, IT- and data security?

Denmark: The Ministry of Digital Affairs in Denmark has launched several new initiatives to foster technological growth and improve digital capabilities across various sectors. Key initiatives focus on enhancing digital competencies in education, with efforts aimed at increasing the understanding of technology in primary and lower secondary education, as well as recognising technology as a professional area for teachers. Higher education institutions will also benefit from increased focus on digital skills. Additionally, there are programs aimed at further education and training to retain IT specialists in the workforce. Strategically, the Ministry is focusing on AI development, including establishing a regulatory sandbox for AI to test and develop innovative solutions. This is complemented by a digital utilities sector program, which includes a public-private partnership with the utilities sector and data users to ensure sustainable resource management, such as the monitoring of groundwater for clean drinking water. Furthermore, the transition to electric vehicles (EVs) and alternative fuels is being supported through open and standardised data, ensuring smoother adoption across the country. Denmark is overall leading in the green transition. 

As part of the Joint Public Digitisation Strategy 2022-25, the initiative "Green data processing and storage" has been launched. The initiative aims to identify, develop, and disseminate best practices for energy efficiency and sustainability in data processing and storage, including aspects related to the acquisition, use, and operation of physical infrastructure and software. For example, a joint public, coordinated testing of the EU's Green Public Procurement criteria for data centers, server rooms, and cloud services has been conducted. More on this in The International Procurement Post - Autumn 2024: Sustainable procurement for future data centers and software.

Enhanced growth and digitalisation of SMEs in Denmark is being supported through a series of initiatives. Current efforts include SMV:Digital, which aids small and medium-sized enterprises (SMEs) in transitioning to digital platforms for growth and job creation. Automatised business reporting is being implemented to reduce administrative tasks and reporting burdens. MitUdbud ("MyProcurement") is making it easier for SMEs to engage in public procurement and sell their services and products to the public sector. Additionally, a digital guidance universe is being developed to assist enterprises with sustainability practices and ESG data collection.

Moving forward, new initiatives are being introduced to further support SMEs. SMV:Robot will provide enterprises with the opportunity to borrow robots for a limited period, along with consultation on their usage. The MinVirksomhed ("MyCompany") initiative aims to simplify reporting processes to public authorities. Intelligent tools are being deployed to combat financial crimes effectively. Collaborative efforts are underway for future market surveillance, and a digital green product data platform called "MyGreenBusiness" is being developed to promote sustainable practices among SMEs.

And for aspects of inclusion; The Division for Digital Inclusion and Services in the Agency for Digital Government in Denmark is responsible for the work on digital inclusion. There is a strong collaboration with municipalities, regions, and civilsociety. There is a political agreement in Denmark on strengthening digital inclusion to enhance digital support for citizens and access to help family or friends using digital solutions.

A strong, ethical and responsible digital foundation in Denmark encompasses a range of current initiatives. These include a national strategy for quantum technology aimed at strengthening research, development, and commercialisation in the field. Additionally, there is a national strategy for cyber and information security for the period 2022-2024, along with a Cybersecurity Pact involving public-private collaborations to enhance cybersecurity for small and medium-sized enterprises. Datavejviser.dk serves as a catalogue of accessible data in the public sector, while the Data Ethics Council operates as an independent body providing advice to the government. Furthermore, initiatives are underway to strengthen democratic control over BigTech and establish a center for social media, technology, and democracy. These efforts work together to create a solid digital foundation based on principles of strength, ethics, and responsibility in Denmark.

The Netherlands: The Netherlands is actively pursuing several initiatives, such as: 1) AI & infrastructure: building national AI supercomputer (operational from 2025) for healthcare, defense, and SMEs, 2) Healthcare digitalisation: potential €1.3 billion productivity gain through telemedicine and AI diagnostics by 2028, 3) Green transition: an increasing number of municipalities are using digital twins (3D digital models) to visualise the living environment and assess the impact of developments or policy decisions. The Association of Netherlands Municipalities (VNG) emphasises in a position paper that standardisation enhances the effective use of digital twins, and 4) Cybersecurity: the Netherlands is implementing the Dutch Cybersecurity Strategy (NLCS) 2022-2028, which focuses on increasing cyber resilience against state-sponsored attacks and cybercrime. Key initiatives include the Cyber Resilience Network (CWN) for public-private collaboration, the implementation of the NIS2 Directive into national law, and enhanced cybersecurity support for non-vital businesses through the Digital Trust Center (DTC). Additionally, the government is investing in quantum-safe cryptography and AI-based cybersecurity solutions to address emerging cyber threats.

Germany: The initiative "Civic Coding – Innovation Network AI for the Common Good" is intended to strengthen the data and AI competencies of civil society and to bundle funding programs and support measures across departments; the core of the project is a multifunctional internet platform with an idea market, where project partners can come together for the collaborative development of ideas and projects. For economic development, a data space for Industry 4.0 is to be implemented to develop data-based business models in the industry (e.g., for more resilience and sustainability) as well as to increase efficiency and flexibility in production. With the "Digital Transformation of the Armed Forces," the AI-based assertiveness of the armed forces on the digitised battlefield should also be strengthened. Furthermore, a digital data privacy platform (“Datenschutzcockpit”) has been set up as a transparency and control tool, enabling citizens to track their digital interactions with authorities. Digital sovereignty is pursued through the identification and targeted promotion of key technologies and the use of open-source software. Small and medium-sized enterprises (SMEs) are also supported, for instance, through the introduction of digital financial administration to reduce bureaucracy or advisory services for digital transformation. Likewise, there are numerous initiatives aimed at fostering digital participation in society, particularly in the digitalisation of schools and educational institutions, the promotion of girls and women in digital professions, as well as platforms for networking private digital initiatives or supporting (young) families through a "Digital Family Assistant."

Poland: The most well-known solutions related to the digitalisation of administration in Poland are: 1) mCitizen - a mobile application existing since 2017. It is a digital wallet of documents such as a driving license and identity card. The application introduces mIdentity, an app that allows identity authentication, and ePrescription, which allows prescriptions to be filled using a QR code, 2) e-PUAP - Electronic Platform of Public Administration Services, a type of electronic letterbox for citizens in contact with authorities, 3) Trusted profile - a signature confirming a user’s identity (assigned to a specific PESEL number) in online contact with authorities, and 4) The use of a qualified electronic signature is widespread in Poland. Since the beginning of 2021, all tenders have been conducted electronically, and in tenders above the EU threshold, only a qualified electronic signature may be used to submit a bid. In tenders below the EU threshold, a qualified electronic signature is acceptable, as is a trusted or personal signature. Current tools under development include: e-KRS, an Electronic National Criminal Register); e-Cabinet+, a tool combining e-services in health centres; and an e-health system. In the field of cybersecurity, the most significant changes in Poland relate to planned amendments to the Act on the National Cybersecurity System (NCS). 

Italy: To encourage digitalisation in many fields, several projects have been launched in Italy Inclusion of Citizens, Digital Citizenship: This project aims to facilitate access to digital services for all citizens, with particular attention to the most vulnerable groups. Digital facilitation points have been created in libraries, schools, and cultural centres to support those with fewer digital skills. Use of Artificial Intelligence (AI), National AI Strategy: Italy has developed a national strategy to promote the adoption of AI in various sectors, from healthcare to public administration. The goal is to improve the efficiency and quality of services offered to citizens. Green Transition through Digital Solutions, Smart City Projects: Several Italian cities are implementing smart solutions to improve urban sustainability, such as intelligent energy and waste management systems. National Recovery and Resilience Plan (PNRR): Includes significant investments for digitalisation and environmental sustainability, promoting the use of digital technologies to reduce environmental impact. Facilitating the Growth of Digital SMEs, Incentives and Funding: Various incentives and funding have been introduced to support small and medium-sized enterprises (SMEs) in their digital transformation. Digital Sovereignty, National Cloud Projects: Italy is developing a national cloud infrastructure to ensure data sovereignty and improve the security of sensitive information.

Belgium: Belgium's digital initiatives are diverse and address various key areas. At the EU level, there's a strong push for digital sovereignty and data security. Nationally, Belgium aligns with these goals. Regionally, Flanders focuses on digital skills development, support for SMEs, and digital infrastructure. Wallonia emphasises digital transformation across sectors. Brussels prioritises digital inclusion and citizen participation. These initiatives, while tailored to regional needs, contribute to the broader Belgian and European digital agenda.

Review: What were the key milestones, biggest mistakes, and challenges in digitalising the public sector and how were they addressed/solved? 

Denmark: Over the course of the Danish digital journey, key milestones have been achieved. These include digital cooperation, introduction of digital signatures, adoption of e-mails for communication with the public sector, and the initiation of digital communication by authorities in 2001. In 2004, there was the implementation of effective payment systems and internal digitisation, launch of EasyAccount and eInvoicing platforms, establishment of Virk.dk and Sundhed.dk portals, and the introduction of secure e-mail communication between authorities. In 2007, a common infrastructure was developed featuring NemID, NemLog-in, eIndkomst, Digital Post, NemSMS, and Borger.dk, alongside the implementation of standardised IT infrastructure requirements. Further progress was made in 2011 with the expansion of digital communication through the introduction of Digital Post for companies, provision of self-service options for citizens and companies, delivery of digital welfare services, and enhancements in basic data management. In 2016, there was better use of date, an improvement in data utilisation through the sharing of public data, creation of coherent user journeys, enhancement of information security, and introduction of new generations of Digital Post and EasyID. Looking ahead, the focus will be on digital transformation and new technologies, including an expanded resort, prioritisation of automation and green transition, emphasis on cyber- and information security, integration of artificial intelligence, and promotion of digital inclusion.

Exciting, but besides the Danish key milestones; what are the biggest mistakes in member countries, or – what are the challenges in digitalising the public sector, and how can we address and solve them?

Building Blocks to Bridge the Digital Divide

The second annual report on the State of the Digital Decade, published in July 2024, takes stock of the EU’s progress towards a successful digital transformation, as set out in the Digital Decade Policy Programme 2030.

Over the past 5 years, the EU has forged an unprecedented digital legacy by developing a vision, the Digital Decade objectives and targets, and the tools to shape its digital transformation towards the achievement of such vision. Its unique digital regulatory framework remains unparalleled, while innovation and industrial policy continue to grow increasingly assertive. 

The state of play presented in this report calls for leveraging the acquis to intensify joint action on the EU’s digital transformation. Member States are invited to take note of the analysis in this State of the Digital Decade report and review the horizontal and Member State-specific recommendations provided in the annexes. It is critical that Member States respond to this call for action and adjust their national roadmaps to align with the ambition of the Digital Decade policy programme.

When diving into the individual member states, regarding our offices that have contributed to this article, we see the following gaps that need further work:

According to the report, Denmark brings a very strong contribution to the European Union’s (EU) Digital Decade objectives and targets, in view of a successful digitalisation that fosters competitiveness, resilience, sovereignty, European values and climate action. Denmark has made notable progress in digitalising public services for businesses and in increasing the number of ICT specialists. However, challenges persist in the digitalisation of SMEs and, more generally, in enterprises’ take-up of advanced technologies, such as artificial intelligence (AI). 

The Netherlands has made notable progress in rolling out its fibre network and in the area of basic digital skills, particularly with regards to strengthening knowledge of digitalisation and digital tools. However, important challenges persist in filling the ICT specialists' gap and close attention should also be given to companies’ continued adoption of advanced technologies, such as artificial intelligence (AI) and cloud. Germany has made notable progress in the deployment of connectivity infrastructure, in particular 5G stand-alone-ready infrastructure and in FTTP. There is also good progress in enhancing basic digital skills. However, the country is still facing important challenges in reaching full FTTP coverage as well as in the digitalisation of public services. Poland has made notable progress in the area of gigabit connectivity and digitalisation of SMEs. However, challenges persist in the area of digital skills and adoption of advanced technologies, such as AI and data analytics, by enterprises. Italy has made progress in the area of e-government, in particular in e-health and key digital public services for businesses and continued to advance on gigabit networks roll-out. However, despite some progress, particularly important challenges persist in digital skills, while Italian enterprises lag behind in the adoption of advanced technologies such as AI. Belgium has made notable progress in terms of the adoption of artificial intelligence by its enterprises and stands out as a frontrunner in providing digital public services. However, important challenges persist in the area of basic and advanced digital skills.

In conclusion, the challenges identified across the European countries in the context of digitalisation include: Digitalisation of SMEs, Adoption of Advanced Technologies, ICT Specialists Gap, Full FTTP Coverage and Digital Skills. 

Addressing these challenges is essential for these countries to further advance their digitalisation efforts, foster innovation, and ensure sustainable economic growth in the digital era.

To bridge these gaps, it is essential to focus on several strategic building blocks such as enhancing digital infrastructure, investing in education and training programs, fostering public-private partnerships, promoting digital literacy, and creating supportive regulatory frameworks. These efforts will be instrumental in driving the digital transformation and competitiveness of the European countries on a global scale.

And when we look at the previously mentioned initiatives in the member countries, we are actually well on our way!

As for Denmark and the mentioned challenges with SMEs and AI: Strategically, the Ministry is focusing on AI development, including establishing a regulatory sandbox for AI to test and develop innovative solutions, as mentioned above. The same applies to SMEs; including initiatives; SMV:Digital, MitUdbud ("MyProcurement") ESG data collection etc.

 So, a lot happens within a year. And much of it we can build together!

Is your jurisdiction engaged in international collaborations concerning digital transition, and if so, which ones?

Denmark actively participates in several international collaborations to drive digital transition and innovation, that can help build strategic building blocks. Within the UN, Denmark engages in UNPAN and ITU (WSIS) to promote global digital governance. As a member of the OECD, Denmark contributes to digital policy discussions through CDEP and PGC. In the EU, Denmark is part of the D9+ group, working with other digitally advanced nations to strengthen Europe’s digital leadership. Regionally, Denmark collaborates within the Nordic Council of Ministers for Digitalisation, fostering cooperation among Nordic and Baltic countries. On a global scale, Denmark is a key member of the Digital Nations, a group of leading digital governments, and engages in bilateral cooperation with countries such as France, Germany, and Japan. Additionally, Denmark contributes to global digital economy discussions in the G20 Working Group on Digital Economy (2024). These partnerships reinforce Denmark’s commitment to international digital development and innovation.

The other member countries are engaged in similar international collaborations concerning digital transition.

Look ahead: What is still missing to bridge the gap and which problems needs to be tackled?

Looking ahead, bridging the digital gap and addressing various challenges are crucial for the future of digital transition in European countries like Netherlands, Germany, Poland, Italy and Belgium.

In the Netherlands, further implementation of the National Digital Strategy and accelerating AI adoption in healthcare are key focus areas. Germany emphasises reducing bureaucracy, enhancing digital applications, strengthening the digital internal market, and promoting business foundations. Challenges in nationwide digitalisation processes include establishing uniform standards and interfaces, ensuring interoperability of registers, and implementing AI regulations. Poland faces issues such as the lack of standards, shortage of specialists, demographic challenges, low digitalisation in companies, mental barriers, and insufficient domestic capital. The country also underutilises the potential of open-source software and lacks a strategy for its development. Italy faces challenges with digital skills and infrastructure. Interventions are needed to improve digital literacy among the population, invest in training programs, and expand high-speed networks to reduce inequalities in accessing digital services. Last, Belgium's future priorities include bridging the digital divide, promoting digital inclusion, strengthening cybersecurity, and fostering innovation. Continuous efforts are needed to enhance digital public services, support business transformation, and empower citizens with essential digital skills.

To address these challenges and bridge the digital gap, long-term visions, sustained investments, and collaborative efforts at national and EU levels are essential to drive digital transformation and innovation in these countries.

How can we, as a team, strengthen and steer public procurement towards strategic building blocks to bridge the gap in digital transformation and realise benefits from our procurement processes?

How do the above impact your procurement activities for clients, and can you provide specific examples of digital projects influenced by public sector digital requirements?

Strengthening public procurement for digital transformation: Public sector digital requirements play a crucial role in shaping digital projects within procurement activities. For instance, initiatives focusing on enhancing cybersecurity measures in public services may lead to the adoption of secure digital solutions by government agencies. Compliance with data privacy regulations can influence the choice of cloud services or data management systems in digital projects. By incorporating public sector digital requirements into project planning and execution, organisations can ensure alignment with regulatory standards and best practices in the digital domain.

Some areas can significantly influence procurement activities for clients. For example, a lack of digital skills or standards can impact the selection of vendors and the evaluation of digital solutions. Limited availability of specialists may require additional training or capacity building within the procurement team to effectively manage digital projects. Addressing these challenges proactively can lead to more successful procurement outcomes aligned with digital transformation goals.

As a team, it is essential to align public procurement processes with strategic building blocks to facilitate digital transformation. This can be achieved by enhancing collaboration between stakeholders, integrating digital technologies into procurement practices, and prioritising strategic objectives. By focusing on innovation, efficiency, and long-term value, public procurement can drive digital transformation initiatives effectively. We have plenty of practical examples of this. 

Most recently, we have assisted The IT and Development Agency within The Danish Ministry of Taxation in supporting The Danish Customs Agency with the digitalisation of the EU's Customs Union. The Danish Customs Agency is in the process of replacing a wide range of customs systems. Like all other EU countries, Denmark must adhere to the Union Customs Code (UCC), aimed at enhancing the quality of customs processing and control in the EU. This necessitates that all EU countries and companies provide more data on goods than current practices. Standardising IT systems and business processes across all EU countries is crucial to create optimal conditions for companies. This undertaking is particularly significant for Denmark. While the customs area in Denmark has been digitalised for years, the existing customs systems do not meet the heightened data demands. Consequently, the Danish Customs Agency is in the process of replacing the majority of its IT systems, ensuring integration with systems in Danish companies, the EU, and other public authorities. As of September 1, 2020, the Danish Ministry of Taxation's IT portfolio comprises a total of 232 systems. Managing this comprehensive IT program requires ongoing compliance!

In recent years, several analyses have pointed out a significant potential for digitalisation in the driver's license area, along with a strong political will for it. As part of the transfer of responsibilities from The Ministry of Justice to The Ministry of Transport with effect from October 1, 2021, The Danish Road-Traffic Agency has taken over the IT system portfolio for the driver's license area from the National Police. We have previously and continue to assist The Danish Road-Traffic Agency in digitalising the driver's license area, including through the procurement of IT systems for driving time and rest periods, digital driving theory tests, digital medical certificates, and a new driver's license register. The new driver's license register will be based on the Danish Road-Traffic Agency's digital platform, which is a container orchestration platform with microservices. Modern technology and common public architecture principles will form a solid foundation for further digitalisation of the driver's license area, and the new driver's license register will integrate with RESPER; a telematic network across the EU. Digitisation is reaching new heights!

Final Thoughts

The EU’s journey toward public sector digitalisation has been characterised by strategic initiatives, strong collaboration, and a continuous effort to include all citizens. By maintaining a strong focus on digital identity, open data, digital infrastructure and education, member states can ensure that digitalisation contributes to a more efficient, accessible, and secure public sector.

While challenges remain, the EU has already laid a solid foundation for the digital future. By learning from best practices and systematically working to bridge the digital divide, all member states can harness the full potential of digitalisation and create a more inclusive and interconnected digital future for all citizens.

We follow up on the latest trends and will continue to bring relevant articles on public procurement in conjunction with digital transformation.

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