Implementing Artificial Intelligence in the Public Sector: Between National Strategy and Local Challenges

Authors

Katja Debelak
University of Ljubljana, Faculty of Public Administration
Rok Hržica
University of Ljubljana, Faculty of Public Administration
Primož Pevcin
University of Ljubljana, Faculty of Public Administration
DOI: https://doi.org/10.18690/um.fov.3.2026.12

Synopsis

Implementing artificial intelligence requires institutional capacity, yet mismatches across public-sector tiers are often neglected. The central government typically has stronger capacity, centralised information systems, larger budgets, and direct access to national digital strategies, which increases AI readiness. In contrast, local government is fragmented and resource-constrained; AI readiness is reduced by non-interoperable systems, shortages of experts, and dependence on external vendors. National strategies often lack concrete municipal support mechanisms (shared platforms, targeted funding, training), leaving smaller municipalities reactive. This paper reviews and examines stakeholder inclusion in AI implementation and identifies key adoption factors. The analysis assumes both national and local digital strategies that specify rationales (service quality, process optimisation, transparency), employee training on ethics and digital skills, funding models, mechanisms to enhance municipal agility, and active involvement of citizens, experts, and other stakeholders. An exploratory case study was conducted using document analysis and focus groups, with interaction intensity assessed across the collaborative process.

Author Biographies

Katja Debelak, University of Ljubljana, Faculty of Public Administration

Katja Debelak is a PhD student at the School of Economics and Business, University of Ljubljana, and a teaching assistant at the Faculty of Public Administration, Chair of Economics and Public Sector Management. She leads the research project DEMOUM, which examines how demographic change and artificial intelligence shape work and management in the public sector. In 2018, she co-founded the Neuro Institute EQ, where she previously consulted on organisational development and emotional intelligence. Her specialisation and research interests are age management, management, leadership, organisational development, M&A, and emotional intelligence.

Ljubljana, Slovenia. E-mail: katja.debelak@fu-uni-lj.si

Rok Hržica, University of Ljubljana, Faculty of Public Administration

Rok Hržica is a researcher and teaching assistant at the University of Ljubljana, Faculty of Public Administration. His primary research interest is decision support systems in public administration, including their design, application, and methodological foundations. Building on this focus, his work examines digital transformation processes, such as business process re-engineering, artificial intelligence adoption, and digitally enabled co-creation in public institutions. He has developed a separate assessment model for AI adoption and an organisational readiness model for co-creation in public administration, analysing organisational and individual conditions that shape effective and responsible implementation.

Ljubljana, Slovenia. E-mail: rok.hrzica@fu-uni-lj.si

Primož Pevcin, University of Ljubljana, Faculty of Public Administration

Primož Pevcin is a full professor of public sector economics and management at the Faculty of Public Administration, University of Ljubljana. His research interests are closely associated with public and nonprofit sector economics and management. He has been involved in several national and international research projects addressing various public-sector and governance issues. He has been involved in and managed several developmental projects at the faculty, including the Faculty of Administration Summer Schools. Currently, he serves as the Head of Department for Public Sector Economics and Management, the Chief Program Officer for PhD studies at the faculty, and a member of the PhD studies committee at the University of Ljubljana. He is also a deputy editor-in-chief of the NISPAcee Journal of Public Administration and Policy.

Ljubljana, Slovenia. E-mail: primoz.pevcin@fu-uni-lj.si

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Volume

45th International Conference on Organizational Science Development: Organization and the Longevity Society, Conference Proceedings

Pages

159-174

Published

March 17, 2026

Series

Razvoj organizacijskih znanosti

Categories

Copyright (c) 2026 University of Maribor, University of Maribor Press

License

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

How to Cite

Debelak, K., Hržica, R., & Pevcin, P. (2026). Implementing Artificial Intelligence in the Public Sector: Between National Strategy and Local Challenges. In P. Šprajc, D. Maletič, N. Petrović, I. Iztok, A. Škraba, D. Tomić, & A. Žnidaršič Mohorič (Eds.), & (Ed.), 45th International Conference on Organizational Science Development: Organization and the Longevity Society, Conference Proceedings (Vols. 45., pp. 159-174). University of Maribor Press. https://doi.org/10.18690/um.fov.3.2026.12