A new paradigm for public service
‘Bureaucracies created solely in pursuit of efficiency are extraordinarily wasteful of human effort and talent. A creative one engages people so that they extend their potential and build their energy. This unleashes and helps harness their discretionary effort – the unrealised resource that can make organizations more successful’ writes Charles Landry, who coined the term ‘The Creative Bureaucracy’.
In times of artificial intelligence (AI), where rapid technological advancements are reshaping public administration, creative bureaucracies provide the flexibility to adapt to new technologies, encourage problem-solving, and promote transparency and public trust. AI can enhance efficiency by automating routine tasks, but human oversight remains crucial to prevent biases and errors. Creative bureaucracies strike a balance between leveraging AI’s capabilities and maintaining ethical, inclusive, and effective governance. To develop a creative bureaucracy, Landry suggests discussing the following three questions:
- How do we establish rules and incentive systems based on values appropriate for our time?
- How do we help change the inner life of public institutions so that people can operate at their best?
- How do we establish new relationships with the outer worlds such as the civic, business, and university worlds based on mutual respect?
Creative bureaucracies are learning organisations. Therefore, one answer to the above questions is to encourage a culture of continuous learning and innovation. AI-powered virtual assistants and chatbots can support employees in acquiring new knowledge, while digital knowledge-sharing networks promote collaboration. By providing real-time guidance and access to best practices, knowledge management (KM) helps employees embrace AI rather than fear it. Public officials must have AI literacy to make the most of AI’s potential. There is a need for digitally upskilling the public sector, not just to facilitate digital transformation, but also because it is a legal obligation under Article 4 of the EU AI Act. This shift is essential for developing a more innovative and forward-thinking public sector in general. The challenge, however, is less a technological one, but more an issue of cultural change and leadership.
Develop knowledge-oriented leadership
The transformation towards a creative bureaucracy relies on leadership practices that value learning collaboration and competence. How developed are the following leadership practices in your organisation?
- Leaders highlight to their teams the links between knowledge that needs to be developed and the objectives of the organisation.
- Knowledge sharing and mutual learning are explicit values that are practised regularly.
- Leaders behave as role models to promote the values of knowledge sharing and mutual learning.
- Senior executives are actively involved in projects to improve KM.
- Superiors value the contribution of individuals and teams to develop relevant knowledge.
- Organisational structures, functions, and responsibilities to manage knowledge are set and practised.
In addition to promoting a culture of knowledge sharing, leaders must also address AI governance in the workplace. This includes establishing clear guidelines for AI use, maintaining transparency in decision-making, and mitigating potential risks such as algorithmic bias or ethical concerns. AI governance frameworks help organisations balance innovation with accountability, making sure AI-driven processes align with public values and comply with legal requirements. It is also important to develop internal policies that outline roles, oversight, and ethical principles to effectively integrate AI into public sector work.
How KM enables creative bureaucracies
Apart from leadership, to foster creative bureaucracies, public sector organisations must implement strategic and operational KM practices that enable innovation, agility, and collaboration.
Strategic KM addresses as main question ‘What do we need to know and be able to do to meet our objectives and the needs of citizens today and in the future?’ In a strategy process, the core competencies and mission-critical knowledge of the organisation are reviewed periodically and reflected in the strategy. Important qualifications and skills of employees are determined and periodically evaluated, while the education and training of staff are effectively aligned with strategic and operational knowledge, and competence goals.
Operational KM particularly involves connecting information to knowledge, know-how, and actions. Therefore, user-friendly KM entails systems that encourage the creation, distribution, and use of knowledge. Establishing cross-departmental knowledge-sharing platforms fosters collaboration and reduces redundant efforts. Digital forums, internal social networks, and virtual knowledge hubs allow employees to exchange insights and expertise. AI-enhanced document management systems automatically categorise, tag, and summarise key policy documents, improving accessibility and usability.
Developing digital knowledge repositories allows employees to access up-to-date information and best practices. These repositories should include AI-powered search functionalities that help retrieve relevant content quickly. Open government data initiatives further enhance transparency and enable data-driven policymaking by making non-sensitive public data available to researchers, businesses, and civil society. Personalised training programmes, based on AI-driven assessments of employees’ skill gaps, ensure continuous professional development. AI-powered mentorship matching systems can connect experienced employees with newer staff, facilitating knowledge transfer and skill-building. Encouraging knowledge-based innovation labs fosters experimentation with AI technologies and new services for citizens.
(You will find more information on how to practise KM in the public sector in the Public Employment Services Knowledge Management Toolkit edited by the European Commission)
Conclusion
In the AI-driven era, KM is not just an administrative tool but a strategic necessity for public sector organisations. By leveraging AI-powered KM systems, governments can break down silos, enhance transparency, strengthen cybersecurity, and upskill their workforce. Implementing concrete KM practices, such as digital knowledge repositories, cross-departmental collaboration platforms, AI-driven learning programs, real-time decision-support systems, and innovation labs, can transform bureaucracies into dynamic, knowledge-driven institutions. These changes pave the way for more responsive, ethical, and creative public sector governance, ensuring that governments can effectively serve citizens in an increasingly complex world.
If you want to develop your knowledge management skills and learn from good practices of other European public organisations, have a look at our upcoming course:
Knowledge Management in Public Sector Organisations
The views expressed in this blog are those of the authors and not necessarily those of EIPA.
