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Abstract
The digital transformation of public administration has become a crucial aspect of governance, particularly in developing countries like Indonesia, where efforts to modernize the public sector are underway. This study examines digital technologies' impact on Indonesia's bureaucratic structures and governance processes, focusing on the opportunities and challenges associated with integrating digital tools into public administration. The research adopts a qualitative approach, primarily relying on a comprehensive literature review of scholarly articles, government reports, and relevant case studies. This methodology enables a nuanced understanding of how digital governance is implemented and its implications for bureaucratic reform in Indonesia. The findings reveal significant progress in service delivery, transparency, and citizen engagement, with e-government platforms facilitating easier access to public services and promoting greater accountability. However, several challenges persist, such as resistance to change among public sector employees, a digital literacy gap, infrastructure disparities between urban and rural areas, and concerns about data security. The research concludes that while Indonesia has made substantial strides in adopting digital governance, overcoming these barriers requires strategic investments in digital infrastructure, fostering innovation within bureaucratic structures, and ensuring equitable access to digital services. The study also highlights the importance of a flexible and inclusive approach to digital governance to address Indonesia's unique socio-political and cultural challenges.
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References
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References
Arifin, Z., Subagja, I. K., & Hakim, A. (2025). Digital Governance: Studi Kasus Digitalisasi Pelayanan Publik Terpadu di Kabupaten Serang. Jurnal Sosial Teknologi, 5(1), 1105. https://doi.org/10.59188/jurnalsostech.v5i1.31861
Ayoade, O. (2019). Digital governance in the 21st century: Harnessing technology for sustainable development. Springer. https://doi.org/10.1007/978-3-030-15155-9
Davis, K., Davis, K., & Foo, M. (2017). Catching up with Indonesia's fintech industry. Law and Financial Markets Review, 11(1), 33. https://doi.org/10.1080/17521440.2017.1336398
Dawes, S. S. (2008). The Evolution and Continuing Challenges of E‐Governance. Public Administration Review, 68. https://doi.org/10.1111/j.1540-6210.2008.00981.x
Deni, S., Husain, T., & Deni, A. (2020). Bureaucracy and Challenges in the Digital Era: A New Concept of Information Technology Integration in the Archipelagic Country. Journal of Public Policy and Administration, 4(4), 71. https://doi.org/10.11648/j.jppa.20200404.12
Diniyya, A. A., Aulia, M., & Wahyudi, R. (2021). Financial Technology Regulation in Malaysia and Indonesia: A Comparative Study. Ihtifaz Journal of Islamic Economics, Finance and Banking, 3(2), 67. https://doi.org/10.12928/ijiefb.v3i2.2703
Faj’ri, F. A., Sahban, M. A., Saragih, H., & Kojongian, P. J. C. (2024). Digital Economy and Business Transformation in Indonesia: An Exploration of Opportunities and Challenges. Nomico., 1(6), 108. https://doi.org/10.62872/xer5f812
Gusman, S. W. (2024). Development of the Indonesian Government's Digital Transformation. Dinasti International Journal of Education Management And Social Science, 5(5), 1128. https://doi.org/10.38035/dijemss.v5i5.2868
Heeks, R. (2020). Digital government: The transformative power of technology in governance. Oxford University Press. https://doi.org/10.1093/oso/9780198794140.001.0001
Hidayat, I., Rahardjo, H., & Nurbayani, R. (2018). Challenges and opportunities in the implementation of e-government in Indonesia. Asian Journal of Public Administration, 40(2), 125-145. https://doi.org/10.1080/02562479.2018.1494326
Insani, I., Warsono, H., Kismartini, K., & Astuti, R. S. (2021). Impact of Bureaucratic Simplification on Policy Analyst Functional Positions in Indonesia. https://doi.org/10.4108/eai.9-10-2020.2304722
Janowski, T. (2015). Digital government evolution: From transformation to contextualization. Government Information Quarterly, 32(3), 221. https://doi.org/10.1016/j.giq.2015.07.001
Janssen, M., Wimmer, M., & Deljoo, A. (2017). Policy, practice, and digital governance: Improving public services in the digital era. Springer. https://doi.org/10.1007/978-3-319-57729-7
Karnsomdee, P. (2025). E-Government Adoption in Thai Public Sector Organizations: Citizens' Perspective. Journal of Theoretical and Applied Electronic Commerce Research, 20(2), 103. https://doi.org/10.3390/jtaer20020103
Kasri, R. A., Indrastomo, B. S., Asutay, M., & Prasetyo, M. B. (2022). Digital payment and banking stability in an emerging economy with a dual banking system. Heliyon, 8(11). https://doi.org/10.1016/j.heliyon.2022.e11198
Khoiriah, S., & Qashmal, L. (2022). Bureaucratic Reform in The Village Government. Constitutional, 3(2), 87. https://doi.org/10.25041/constitutionale.v3i2.2638
Liva, G., Codagnone, C., Misuraca, G., Gineikyte, V., & Barcevičius, E. (2020). Exploring digital government transformation. 502. https://doi.org/10.1145/3428502.3428578
Palos‐Sánchez, P. R., Baena‐Luna, P., Ordáz, M. G., & Martínez–López, F. J. (2023). Digital Transformation and Local Government Response to the COVID-19 Pandemic: An Assessment of Its Impact on the Sustainable Development Goals. SAGE Open, 13(2). https://doi.org/10.1177/21582440231167343
Peters, B. G. (2019). The politics of bureaucracy: An introduction to comparative public administration. Routledge. https://doi.org/10.4324/9780429505952
Rahardjo, H. (2020). E-government in Indonesia: An overview of the challenges and prospects. Journal of Public Administration and Development, 32(1), 10–25. https://doi.org/10.1002/pad.1898
Utomo, H. K., Cinderakasih, M. I., & Soebagjo, N. (2015). Bureaucracy Reform, Community Participation and E-Bureaucracy under Regent Winesa and Regent Putu Artha in Jembrana, Bali. Makara Human Behavior Studies in Asia, 19(1), 15. https://doi.org/10.7454/mssh.v19i1.3470
Weber, M. (1947). The theory of social and economic organization. Free Press. https://doi.org/10.1002/j.1539-1491.1947.tb01440.x
Widharto, P., Pandesenda, A. I., Yahya, A. N., Sukma, E. A., Shihab, M. R., & Warnars, H. L. H. S. (2020). Digital Transformation of Indonesian Banking Institutions: Case Study of PT. BRI Syariah. https://doi.org/10.1109/icitsi50517.2020.9264935
Yin, X., Li, J., Si, H., & Wu, P. (2024). Attention marketing in fragmented entertainment: How advertising embedding influences purchase decision in short-form video apps. Journal of Retailing and Consumer Services, 76, 103572. https://doi.org/10.1016/j.jretconser.2023.103572
Zahiroh, M. Y. (2020). Cybersecurity Awareness and Digital Skills on Readiness For Change in Digital Banking. Li Falah Jurnal Studi Ekonomi Dan Bisnis Islam, 5(2), 53. https://doi.org/10.31332/lifalah.v5i2.2271
Zhang, L., & Li, Z. (2018). Big data, digital government, and public administration reform: A global perspective. Journal of Public Administration Research and Theory, 28(1), 123-138. https://doi.org/10.1093/jopart/muy065