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AI-augmented government

by William D. Eggers, Thomas Beyer
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    6 minute read 24 June 2019

    AI-augmented government Climbing the AI maturity curve

    6 minute read 24 June 2019
    • William D. Eggers United States
    • Thomas Beyer United States
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    The growing toolkit of artificial intelligence—from computer vision to machine learning—has the potential to enhance almost everything government does, spanning education, health care, and defense.

    Artificial intelligence (AI) is not a new technology.1 Computers in the past, however, were mostly limited to performing routine processing on structured inputs. Today, AI can perform wildly complex tasks—from driving a car to playing chess to grading essays—at a level often equal to or surpassing the most talented humans, while performing these tasks at scale. AI can also work with humans to produce value in unprecedented ways.

    Learn more

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    The growing toolkit of AI—computer vision, natural conversation, and machines that learn over time—has the potential to enhance almost everything government does, from education and health care to policing and defense. Until recently, many governments struggled to understand what AI could accomplish; today, more than 80 percent of early adopter public sector organizations we surveyed are using or planning to use AI, and nearly 90 percent consider cognitive technologies to be of extreme strategic importance for their internal business processes.2 And AI is just at the beginning of the adoption curve.

    One reason AI can work well for government is that it needs volumes of data—and governments have plenty of volume. Already, the US federal government has digitized more than 235 million pages of government records, and it plans to reach 500 million pages by fiscal year 2024.3 Imagine the value of intelligent machines processing this vast trove of data. As the connected sensors on the Internet of Things produce ever-more data, and as cloud computing makes data-sharing easier, AI should make it possible to tackle more ambitious problems in various industries:4

    • Health care. The United Kingdom’s National Health Service is using AI-driven chatbots to assist patients with non-life-threatening conditions. This frees doctors’ time to focus on patients who actually need emergency care.5 In Japan, the government is planning to invest US$100 million to build 10 “smart” hospitals to address the shortage of medical professionals. The hospitals will use AI to analyze medical test results and recommend appropriate treatments.6
    • Transportation. Pittsburgh has installed AI-enabled traffic lighting, which has helped cut travel times by 25 percent and idling times by 40 percent.7 Singapore is using AI and data analytics for its intelligent transportation system to reduce traffic congestion and improve the punctuality of its public transport.8
    • Human services. Australia’s Department of Human Services (DHS) deploys an internal chatbot called Roxy that uses AI to answer queries from case-processing officers. The chatbot can answer about 85 percent of the questions asked by case-processing officers, thus reducing the DHS staff’s workload.9 In the Netherlands, a government agency has used machine learning to detect fraud and waste in its social benefit programs.10
    • Law enforcement. The city of Chicago is attempting to prevent violent crimes before they happen. The city’s predictive analytics unit runs spatial algorithms on 911 call data to identify where and when violent crimes or robberies are most likely to happen.11
    • Defense and national security. The United Kingdom’s Institute for Strategic Dialogue has developed a natural-language-based solution to monitor the internet for signs of radicalization. Of the total sample of 42,000 individuals identified online, nearly 800 were found to indicate signs of extremism.12 In South Korea, the armed services launched the AI Research and Development Center in January 2019. The center will comprise 50 military and civilian staff with knowledge of AI, big data, and other emerging technologies; they will collaborate with nongovernment partners to develop AI capabilities for military use.13

    Country national AI strategies

    As these examples show, AI often augments human workers, relieving public employees from more mundane tasks to focus on the most important. AI-augmented government isn’t about replacing humans; it’s about taking advantage of the best capabilities of both humans and technology. The AI journey can be divided into three stages:14

    1. Assisted intelligence. Here, government organizations can harness the power of big data, cloud, and data science to aid decision-making.
    2. Augmented intelligence. In this stage, machine learning capabilities are layered over existing systems to augment human intelligence competencies.
    3. Autonomous intelligence. In the most advanced stage, processes are digitized and automated to deliver intelligence upon which machines, bots, and systems can act.

    AI adoption in government isn’t without its challenges, which range from algorithmic bias to data privacy to funding. (Read more about bias, data privacy, and other issues in our other trend, “The rise of data and AI ethics.”) But AI’s power to multiply human productivity makes its continued growth in government seem inevitable.

    Applied wisely, AI can be a national asset and a source of global competitive advantage. Numerous governments are investing in national AI strategies, involving both the public and private sectors:

    • Germany has earmarked US$3.4 billion for AI in its national strategy released in 2018.15
    • France is planning to spend US$1.8 billion.16
    • South Korea has budgeted US$2 billion for AI research and development, with the goal of becoming one of the top four AI nations by 2022.17
    • China, which has pledged to spend US$100 billion of tax revenues on AI, has the ambitious goal of developing a US$1 trillion AI industry by 2030.18
    • Other nations such as Canada, Japan, Singapore, and India have also developed national AI strategies.19

    With AI use in government rising significantly, there will be big implications for the government workforce. Workforce planning will need to consider the interplay between people, technologies such as bots and machine learning, and outside partners. Cognitive technologies may well prompt governments to reimagine the nature of government work itself, and redesign that work to make the most of both human and machine skills.

    Data signals

    • Around 1.3 billion hours can potentially be freed up through automation in the US federal government.20
    • Approximately 44 percent is the estimated growth rate for AI spending in central governments around the world through 2022, faster than AI spending in personal and consumer services.21
    • Eighty-four percent of US public sector executives cited data privacy and quality issues as the biggest challenges for AI adoption.22
    • Sixty-eight percent of respondents in a Deloitte-NASACT survey indicated that their staff will be provided more training in cognitive technologies and automation to plug skills gaps.23
    • More than 25 countries have launched national AI strategies.24

    Moving forward

    • Define the broad AI strategy and have clarity on purpose: Is the goal to reduce cost or add value or a combination of both approaches?
    • Define the problems the agency faces and how and which AI technologies might best address them.
    • Identify the right use cases to pilot and have a long-term plan to scale them.
    • Build the AI talent capacity, both internally and externally, to execute on projects.
    • Identify relevant data and determine its accessibility.

    Potential benefits

    • Augment human effort to create value at scale;
    • Improve the quality of services;
    • Reduce paperwork; and
    • Catalyze economic development.

    Risk factors

    • Getting the government workforce ready for the AI era;
    • The growing complexity of AI technologies;
    • Funding AI technologies; and
    • Growing concerns over algorithmic risk, black box, and bias.

    Read more about AI-augmented government in the AI in government collection.

    Acknowledgments

    The authors would like to thank Pankaj Kishnani from the Deloitte Center for Government Insights for driving the research and development of this trend.

    The authors would also like to thank Allan Mills, Ed Roddis, Peter Viechnicki, Rahul Gupta, Tracy Haugen, and Kevin Armstrong for reviews at critical junctures and contributing their ideas and insights to this trend.

    Cover image by: Traci Daberko

    Endnotes
      1. Rodrigo Beceiro, “What is artificial intelligence and why now?,” Medium, August 8, 2017; DARPA, “DARPA announces $2 billion campaign to develop next wave of AI technologies,” September 7, 2018. View in article

      2. Jeff Loucks, Tom Davenport, and David Schatsky, State of AI in the enterprise, 2nd edition, Deloitte Insights, October 22, 2018. The survey data mentioned above refers to the public sector cohort of the cited survey. View in article

      3. The National Archives and Records Administration, “Strategic plan 2018–2022,” February 2018. View in article

      4. Bernard Marr, “9 technology mega trends that will change the world in 2018,” Forbes, December 4, 2017. View in article

      5. Tiffany Dovey Fishman, William D. Eggers, and Pankaj Kishnani, AI-augmented human services, Deloitte Insights, October 18, 2017. View in article

      6. Health Care Asia Magazine, “Japan to build AI hospitals amidst doctor shortage,” September 17, 2018. View in article

      7. Hindustan Times, “Delhi’s traffic to be managed by artificial intelligence soon,” June 8, 2018. View in article

      8. Arief Subhan, “Smart Nation: Singapore's Intelligent Transport System (ITS),” The Asean Post, April 13, 2018. View in article

      9. Asha McLean, “​Human Services eyes a future of citizen service delivery via virtual assistants,” ZDNet, August 8, 2018; Australian Government Digital Transformation Agency, “Address to the AIIA: Navigating Digital Government Summit 2017,” August 3, 2017; Allie Coyne, “DHS’ new front-line will be virtual assistants,” IT News, December 19, 2016. View in article

      10. Fishman, Eggers, and Kishnani, AI-augmented human services. View in article

      11. Deloitte case studies, “Predictive police in Chicago,” accessed April 30, 2019. View in article

      12. William D. Eggers, Neha Malik, and Matt Gracie, Using AI to unleash the power of unstructured government data, Deloitte Insights, January 16, 2019. View in article

      13. Army Recognition, “South Korean army launches AI research center,” December 27, 2018. View in article

      14. Deloitte Insights, Tech Trends 2019, accessed April 30, 2019. View in article

      15. Arthur Sullivan, “AI: Government pledges billions aimed at bringing Germany up to speed,” DW, November 14, 2018. View in article

      16. Mathieu Rosemain and Michel Rose, “France to spend $1.8 billion on AI to compete with U.S., China,” Reuters, March 29, 2019. View in article

      17. David Schwartz, “South Korea investing $2 billion in bid to compete for artificial intelligence market,” Tech Transfer Control, October 16, 2018. View in article

      18. Vikram Barhath, “China is determined to steal A.I. crown from US and nothing, not even a trade war, will stop it,” CNBC, May 4, 2018. View in article

      19. Future of Life Institute, “National and international AI strategies,” accessed April 30, 2019. View in article

      20. Peter Viechnicki and William D. Eggers, How much time and money can AI save government?, Deloitte University Press, April 26, 2017. View in article

      21. International Data Corporation, “Worldwide spending on artificial intelligence systems will grow to nearly $35.8 billion in 2019,” March 11, 2019. View in article

      22. Loucks, Davenport, and Schatsky, State of AI in the enterprise, 2nd edition. The survey data mentioned above refers to the public sector cohort of the cited survey. View in article

      23. John O’Leary, William D. Eggers, and Christina Dorfhuber, 2018 Deloitte-NASACT survey, Deloitte Insights, accessed April 30, 2019. View in article

      24. Future of Life Institute, “Global AI policy,” accessed April 30, 2019. View in article

    Show moreShow less

    Topics in this article

    Public Sector , Government , Emerging technologies , Cognitive technologies , Artificial intelligence (AI)

    Cognitive Advantage

    Deloitte’s Cognitive Advantage is a set of offerings designed to help organizations transform decision-making, business processes, and interactions through the use of insights, automation, and engagement capabilities. Cognitive Advantage is tailored to the federal government and powered by our cognitive platform. Cognitive Advantage encompasses technologies capable of mimicking, augmenting, and in some cases exceeding human capabilities. With this capability, government clients can improve operational efficiencies, enhance citizen and end-user experience, and provide workers with tools to enhance judgment, accuracy, and speed.

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    • Thomas Beyer
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    • thbeyer@deloitte.com
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    William D. Eggers

    William D. Eggers

    Executive director

    Bill is the executive director of Deloitte Services LP’s Center for Government Insights where he is responsible for the firm’s public sector thought leadership. His latest book is Delivering on Digital: The Innovators and Technologies that are Transforming Government (Deloitte Insights, 2016). His eight other books include The Solution Revolution: How Government, Business, and Social Enterprises are Teaming up to Solve Society’s Biggest Problems (Harvard Business Review Press 2013). The book, which The Wall Street Journal calls “pulsating with new ideas about civic and business and philanthropic engagement,” was named to ten best books of the year lists. His other books include The Washington Post best seller If We Can Put a Man on the Moon: Getting Big Things Done in Government (Harvard Business Press, 2009), Governing by Network (Brookings, 2004), and The Public Innovator’s Playbook (Deloitte Research 2009). He coined the term Government 2.0 in a book by the same name. His commentary has appeared in dozens of major media outlets including the New York Times, Wall Street Journal, and the Washington Post.

    • weggers@deloitte.com
    • +1 571 882 6585
    Thomas Beyer

    Thomas Beyer

    Thomas Beyer leads Deloitte Consulting’s Government and Public Services (GPS) Analytics & Cognitive offering, a role in which he leads more than 900 practitioners and oversees capabilities across the artificial intelligence (AI) spectrum—including data management, automation, cloud analytics, data science, and machine learning. With over 20 years of experience in both operations and technology consulting, Beyer has worked with a variety of clients across Deloitte Consulting’s Government and Commercial practices, including Lufthansa, Cargill, the State of California, and the Department of Homeland Security. He has also worked with Deloitte’s Global practice through the US/Germany Joint Venture. His engagement focus has been on conceptualization, design, and implementation of analytics and business intelligence solutions and programs. Thomas holds a degree in engineering from the Technical University of Berlin (Technische Universität Berlin).

    • thbeyer@deloitte.com

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