Generative artificial intelligence (GenAI) has rapidly transitioned from obscurity to implementation, with state and local governments now at the forefront as early adopters. Unlike in the past, when governments relied on the private sector to navigate new technologies, agencies are currently driving the adoption of GenAI themselves, often without it being part of their existing budgets.
As technology evolves swiftly, even GenAI developers are struggling to keep up. Key personnel, such as CIOs and CTOs, are already overwhelmed with other major projects like cloud migration, leading to delays in GenAI implementation. Consequently, agency leaders who want to move forward with GenAI must take the initiative and address challenges themselves, as IT departments may be stretched thin and unable to provide immediate support.
Building an AI-Ready Culture: Start Now!
A recent Pew survey reveals that while 62% of Americans believe AI will significantly impact the workplace, only 13% think it will be beneficial for workers. Nearly a quarter fear their jobs are at risk, leading to anxiety that can hinder performance, commitment, and trust within organizations.
For government agencies, resistance may also arise from labor unions wary of AI adoption. To successfully implement Generative AI, it’s essential to build an AI-ready culture—even if you haven’t identified your first project yet.
Start by listening to your employees and involving them throughout the process. Engaging them from the beginning ensures that any GenAI implementation is collaborative, fostering acceptance and easing the transition. Building this culture now will pave the way for a smoother integration of AI in your organization.
Overcoming Challenges in Implementing GenAI –
Generative AI (GenAI) can transform agency operations by boosting efficiency and job satisfaction. However, transitioning to GenAI is not as simple as waiting for software updates.
Key challenges include:
- Selecting the Right Provider: Which technology meets your needs?
- Capability Decisions: What features to implement?
- Training Needs: How will staff be trained?
- Budget Considerations: What’s the financial impact?
- Performance Tracking: How to measure ROI?
- Cultural Shifts: What changes will this bring to agency culture?
- Data Management: How to handle data sources ethically?
- Bias and Ethics: How to ensure ethical use and identify biases?
These challenges are common across sectors. Fortunately, structured frameworks like Trusted AI can guide agencies in safely and effectively deploying AI, helping to address risks and maximize value.
By proactively addressing these issues, agencies can unlock the full potential of GenAI for better public service.
Understanding GenAI: What It Can and Can’t Do –
The rapid rise of Generative AI (GenAI) has led to confusion and hype. While some believe it can solve all problems, it’s essential to grasp its true capabilities.
GenAI generates new content, like text and images, mimicking human output. In contrast, traditional AI analyzes data for insights. Both have valuable roles in agencies.
A key challenge is GenAI’s potential for “hallucinations”—confidently presented but false information. Recognizing this risk is crucial for effective use.
Don’t get lost in the hype; sometimes traditional AI may be more suitable. Matching the right tool to the task is vital for efficiency and success. Understanding GenAI’s true capabilities allows agencies to make informed decisions and optimize technology adoption.
Focus on Use Cases, Not Just Technology –
When implementing Generative AI (GenAI), the key is to focus on specific use cases that drive real outcomes for agencies. It’s not just about the technology; it’s about how it can solve immediate challenges.
Agencies should start by identifying quick wins. Recent surveys indicate that executives see the biggest opportunities in enhancing products and improving efficiency.
Examples of Practical Applications –
- Education Support: A city education department improved help desk responses, reducing workload and increasing accuracy.
- Contract Automation: An agency automated vendor contract reviews, flagging discrepancies and streamlining processes.
- Cost Analysis: GenAI helps identify buyers and compare contract prices for potential savings.
By tackling these challenges, agencies build a foundation for future advancements in vendor management and procurement. A thorough audit of job roles can uncover further GenAI applications, aligning them with agency missions.
Ultimately, focusing on use cases allows agencies to maximize the benefits of GenAI and prepare for broader implementations down the line.
Stay Ahead of Cost and Budgeting Issues with GenAI –
Implementing Generative AI (GenAI) requires agencies to rethink their budgeting and cost management strategies. Here are key considerations:
- Funding Sources: Determine if GenAI will be funded at the state, department, or IT level.
- Cost Calculation: GenAI features may be priced per user, but access might be limited to specific functionalities. Avoid overspending by clearly identifying which features each user needs.
- Complex Cost Matrix: Tracking the relationship between use cases, features, users, and costs can be complicated, especially with numerous licensing options.
- Renegotiating Contracts: Consider enterprise pricing for unlimited access to specific features. Understand how costs scale with the number of users.
- Evaluating ROI: Ensure that the licensing fees align with the return on investment for each use case. Avoid the trap of assuming value will automatically follow implementation.
By proactively addressing these budgeting challenges, agencies can avoid surprises and maximize the value of their GenAI investments.
Conclusion –
Generative AI (GenAI) presents state and local governments with an exciting opportunity to enhance efficiency and service delivery. To leverage its full potential, agencies must focus on building an AI-ready culture, prioritizing practical use cases, and addressing key challenges like budgeting, provider selection, and employee engagement.
By understanding GenAI’s capabilities and actively involving staff in the implementation process, agencies can foster acceptance and collaboration. Proactive planning will help them navigate complexities and maximize the value of GenAI, ultimately leading to innovative solutions that better serve their communities. Embracing GenAI is not just a tech upgrade; it’s a strategic step toward a more effective and responsive government.
