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October 10, 2025Pressing Problems of Public Administration2 citationsOpen Access

Conceptual framework for public governance of socio-economic systems: from instrumental to substantional understanding of digital transformation

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MSMaksym Sikalo

Key Points

  • Digital transformation's effective governance requires a comprehensive approach to its systemic nature.
  • The study identifies seven fundamental properties of digital transformation, emphasizing the need for institutional reconfigurability.
  • Public governance evolution trends from e-government to advanced digital statehood models demonstrate strategic planning necessities.
  • The transitive model of digital statehood integrates AI systems into governance, responding actively to digital era challenges.

Abstract

This paper examines the phenomenon of digital transformation in socio-economic systems as an object of public governance through the transition from an instrumental to a substantional understanding of digital technologies’ role. Using an interdisciplinary approach, the research systematizes theoretical and methodological concepts of digital transformation and identifies its seven fundamental properties: transversality, recursiveness, emergence, accelerativity, cognitive-transformational potential, institutional reconfigurability, and ontological hybridity. These properties form the methodological foundation for a new understanding of digital transformation, where technologies are viewed not as external optimization tools but as constitutive elements of a new institutional reality. The study develops a matrix of digital transformation’s impact on components of the socio-economic system, structuring the nature of changes, influence mechanisms, and resulting effects for economic, social, political-administrative, innovative, and informational subsystems. The research analyzes the evolution of public governance instruments for digitalization—from e-government to digital statehood models focused on digital resilience and platform-based approaches. Based on analysis of real-world cases of public sector digital modernization across different countries, the study confirms that effective public governance of digital transformation requires a comprehensive approach that accounts for the systemic nature of transformational processes. The research demonstrates that the transitive model of digital statehood creates a methodological foundation for proactive responses to digital era challenges through vertical integration of artificial intelligence systems and distributed ledgers into mechanisms of strategic planning and institutional adaptation.

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Maksym Sikalo (2025) studied this question.

synapsesocial.com/papers/68e861a57ef2f04ca37e4824https://doi.org/10.26565/1684-8489-2025-1-03
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