Abstract

The digital transformation of capital planning and budget review processes is essential for enhancing efficiency, transparency, and accountability within public sector governance. This presents a strategic framework designed to guide the digitalization of capital planning and budget review, emphasizing the integration of advanced technologies such as artificial intelligence (AI), cloud computing, and data analytics. The framework outlines key components critical for successful digital transformation, including leadership, technology infrastructure, process re-engineering, stakeholder engagement, data-driven decision-making, and continuous evaluation. The current challenges in capital planning and budgeting, including manual processes, data silos, and inefficiencies, are addressed by the proposed framework. By leveraging digital tools, organizations can streamline workflows, automate routine tasks, and improve real-time access to data, thus enabling more informed decision-making. The framework emphasizes the importance of a strong leadership vision to drive digital transformation, alongside the selection and integration of appropriate technologies that enhance data management and security. Furthermore, the framework highlights the role of stakeholder collaboration in ensuring the successful implementation of digital solutions and fostering a culture of innovation. A data-driven approach to decision-making empowers organizations to forecast capital needs more accurately and track the performance of capital projects effectively. This also includes case studies and best practices, demonstrating the positive impact of digital tools on budget efficiency, resource allocation, and overall project success. Ultimately, this strategic framework offers public sector organizations a structured approach to digitally transforming their capital planning and budget review processes, enabling improved fiscal management, enhanced accountability, and better long-term planning outcomes.