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Table of ContentsTopicsForewordExecutive SummarySetting the Stage - Cities and their ‘Citizen-Customers’How to Undertake ‘Smart Digitalization’Looking Forward - The Move Towards ‘Smart Digitalization’About KPMG 6812163640 The World Government Summit is a global platform dedicated to shapingthe future of governments worldwide. Each year, the Summit sets theagenda for the next generation of governments with a focus on how theycan harness innovation and technology to solve universal challengesfacing humanity.The World Government Summit is a knowledge exchange center atthe intersection of government, futurism, technology, and innovation.It functions as a thought leadership platform and networking hub forpolicymakers, experts and pioneers in human development.The Summit is a gateway to the future as it functions as the stage foranalysis of future trends, concerns, and opportunities facing humanity.It is also an arena to showcase innovations, best practice, and smartsolutions to inspire creativity to tackle these future challenges.AnsweringTomorrow’sQuestions,TodayWorld Government Summit This KPMG paper,Future of cities: Principles for Digital Transformation inCities ispublished in collaboration with the World Government Summit. Itaims to provide practical solutions for city leaders, public administrators andmunicipal stakeholders on how to build resiliency into their planning and howto prepare for future challenges using technology.The idea is to ensure that the findings and recommendations have a long, interactive life. Complementedby continued debate in the media, regular updated reports, and thematic panel discussions – thiscollaborative effort takes the conversation to the next level, building on smaller and strategic events.Digital transformation and exponential technology growth will radically change the way cities areorganized and built. Central systems are becoming more efficient with the rise of big data, ubiquitoussensors, computer intelligence and transportation technologies.We address the following issues as outlined in the WGS call for papers:This study will explore the changing role of cities and the trends that are shaping their trajectories,using examples of successful practices from around the world. We start by introducing the customer-provider relationship that can define how cities interact with their citizens and constituents. In definingthis relationship, the paper explores how we reached this moment and what the key demands of a city’scustomers (‘citizen-customers’) are.We then pose ‘smart digitalization’ as a framework for addressing citizen-customer demands. Usingexamples, we examine how it can be used to transform cities without breaking budgets and applied toadvanced or developing cities with a range of geographies and constituents. Specifically, for cities thatare behind the technology adoption curve, we posit ‘leapfrogging’ as a strategy for getting ahead.Finally, the paper emphasizes the importance of goal setting when pursuing smart digitalization.Creating and sticking to a vision that sets out short-, medium- and long-term goals will be crucial to thesuccess of future cities.How can contemporarytechnologies solve present-daychallenges such as increasingurban density?Will technology help solvethe challenges that urbanexpansion causes onsustainability endeavors?Foreword How can states reimaginetheir identity?World Government Summit ExecutiveSummary Cities need to embrace smart digitalization alignedwith a clear vision for the future.The realization of ‘smart digitalization’ differs from city to city. It can range fromthe adoption of basic automation technologies that facilitate public services toadvanced analytics that anticipate challenges in infrastructure development.If deployed appropriately, smart digitalization should not look the same in anytwo cities.Underpinning all smart digitalization plans are clear goals to guide funding,defined action plans and enhanced transparency. This blueprint must be adaptedto local requirements and citizen-customer needs, which results in a differingmanifestation from city to city. Promoting service optimization, responsivedelivery and end-to-end citizen-customer journeys must be the new norm formunicipal services.Focused, intentional digital adoptionUnfocused digitalization dedicates resources to technologies that are not ‘futureflexible’ and do not address specific needs. The focus should not be on thetechnology itself, but how it benefits citizen-customers. Today’s smart decisionsare those aligned with a city’s vision for tomorrow.To show greater intent about tech adoption without over-extendingdevelopment costs, cities should deploy existing technology where possible,adapting it to their specific needs. Before choosing a digital solution, cities mustaddress the following:• How does this initiative chime with the city’s vision?• What need or challenge is the transformation seeking to address?• How will this tech benefit ‘citizen-custome