Synergy of Digital Transformation and Collaborative Governance: A Systematic Review of Local Government Performance
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Novly Wowiling, Magdalena Wullur, Jessy J. Pondaag, Indrie D. Palandeng, Arrazin Bn Hasan Jan, Fitty Valdi Arie

Synergy of Digital Transformation and Collaborative Governance: A Systematic Review of Local Government Performance

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Introduction

Synergy of digital transformation and collaborative governance: a systematic review of local government performance. See how digital transformation & collaborative governance boost local government performance. This SLR reveals integrated platforms, key human barriers, and the crucial role of data integration.

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Abstract

Post-pandemic, local governments face dual pressures to enhance public service performance through technology adoption and collaborative mechanisms. However, implementation is often hampered by system fragmentation (silos) and non-technical barriers. This study aims to synthesize recent empirical evidence regarding the interaction between digital transformation and collaborative governance, and its impact on public organization performance at the local level. This study employs a Systematic Literature Review (SLR) method following PRISMA 2020 guidelines. The search was conducted on Scopus, Google Scholar, and Garuda databases covering the 2021–2025 period. Out of 128 identified articles, 16 final articles were selected after quality appraisal using the Mixed Methods Appraisal Tool (MMAT) 2018. Findings indicate a shift in transformation forms from single-purpose applications to integrated platform ecosystems. Thematically, internal collaboration (G2G) is effective for service standardization, while external (multi-stakeholder) collaboration excels in driving innovation. The primary barriers identified are not technical, but rather human factors and organizational culture, such as sectoral egos. Conclusion: Digital technology functions merely as an enabler, not a sole solution. Significant performance improvement is achieved only when supported by cross-agency data integration (interoperability) and external pressures that force governance reform.


Review

This systematic literature review addresses a highly pertinent and timely topic concerning the intertwined roles of digital transformation and collaborative governance in enhancing local government performance, particularly in the post-pandemic landscape. The study sets out to synthesize recent empirical evidence regarding the interaction of these two critical elements and their impact on public sector performance. Employing a rigorous methodology following PRISMA 2020 guidelines, the authors conducted searches across Scopus, Google Scholar, and Garuda databases for the contemporary period of 2021–2025. The selection of 16 final articles after thorough quality appraisal using MMAT 2018 signals a focused and quality-driven approach to synthesizing the existing literature. The review yields several significant findings that offer nuanced insights into the complexities of public sector modernization. Notably, it identifies a crucial shift from standalone digital applications to integrated platform ecosystems, reflecting a more holistic approach to technology adoption. The thematic analysis further distinguishes the effectiveness of different collaboration forms: internal (G2G) collaboration is posited as effective for service standardization, while external (multi-stakeholder) collaboration is highlighted for its role in driving innovation. Perhaps the most critical contribution is the identification of primary barriers, which are not technical but rooted in human factors and organizational culture, such as "sectoral egos." This emphasizes that digital technology merely functions as an enabler, and substantial performance improvement is contingent upon cross-agency data integration (interoperability) and external pressures compelling governance reform. Overall, this review makes a valuable contribution to the understanding of public administration and local governance in the digital age. Its strengths lie in its systematic methodology, its contemporary focus, and its practical implications, which effectively challenge technology-centric views of public sector reform. By underscoring the primacy of human and organizational factors over technical ones, the study provides a robust framework for policymakers and practitioners to navigate complex transformation initiatives. The findings suggest that true synergy between digital tools and collaborative structures is achieved only when foundational issues of interoperability, culture, and external drivers for reform are adequately addressed, offering crucial guidance for future research and implementation efforts in local governments worldwide.


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