Transformation: how finance teams are driving local government innovation


Developing new, more effective ways to deliver public services can involve significant transformation of an organisation’s operating model. This report looks at the role of the finance function in enabling local government to find efficient models of service delivery that focus on the needs of citizens.








Across the world, wide-ranging transformation initiatives are enabling local government organisations to revolutionise their efficiency and performance. To date, the biggest improvements have been focused on the needs and rights of citizens. 

Ambitious, game-changing projects of this kind demand that finance professionals develop new skills and capabilities.

Transformation involves a significant change in approach to an organisation’s operating model, its technology, processes and/or service delivery, in order to deliver better outcomes and improve efficiency. In local government, achieving this may include managing change, building and maintaining relationships with external partners and developing new financial structures. Many are developing new skills, hiring individuals with expertise outside of traditional accountancy and seeking capabilities more commonly found in the private sector.

Despite (or perhaps because of) ongoing financial challenges, new models of digitally enabled service delivery are changing how we communicate, collaborate and co-exist.

This report on transformation, which was developed in collaboration with CIPFA, is part of a series of briefings produced by CIMA that explores the ‘four Ts’ of transformation:

  • the transformation of public services
  • the necessary technology to support this objective
  • responding to public demand for government transparency
  • recruiting, developing and retaining talent in an increasingly competitive market.