Digital Transformation in Public Sector Organizations: Challenges, Opportunities, and Policy Implications

Naveed Rafaqat Ahmad

Punjab Sahulat Bazaars Authority (PSBA), Lahore, Pakistan

Muhammad Imran Khan

School of Governance and Society, University of Management and Technology, Lahore, Pakistan

Keywords: Digital Transformation, Public Sector, E-Governance, Policy Reform, Institutional Capacity, Public Administration


Abstract

Digital transformation has emerged as a strategic priority for public sector organizations worldwide, aiming to improve service delivery, transparency, efficiency, and citizen trust. In developing countries such as Pakistan, digital transformation is increasingly viewed as a critical enabler of governance reform and institutional modernization. This scholarly article examines the concept of digital transformation in public sector organizations, identifying key challenges, opportunities, and policy implications within the Pakistani context. Drawing on international literature and governance frameworks, the study highlights structural, technological, human, and regulatory barriers that impede digital adoption, while also emphasizing opportunities related to e-governance, data-driven decision-making, and citizen-centric services. The article concludes by offering policy-oriented insights to support sustainable and inclusive digital transformation in the public sector