From Digitalization to Public Value: Rethinking Smart Governance in Resource-Constrained Cities

Abstract

Smart Governance has emerged in recent years as an innovative strategy adopted by local governments worldwide to enhance public service delivery, improve administrative efficiency, and strengthen citizen engagement, particularly through the co-design of public policies. However, existing research on Smart Governance remains largely metropolitan-centric, leaving smaller-city contexts relatively underexplored, particularly where institutional capacities and resources differ substantially. This article offers a readiness-oriented perspective on Smart Governance by examining the early stages of digital governance transformation in Padang Panjang City, Indonesia. The study employs a qualitative exploratory approach based on document analysis, preliminary field observations, and secondary data drawn from Smart City policy documents, SPBE evaluation reports, local regulations, digital service platforms, and institutional development records. The findings indicate that although Padang Panjang has made significant progress in developing digital public services and strengthening its electronic government systems, governance transformation remains uneven. Technological development has progressed faster than institutional integration, governance coordination, citizen participation, and digital inclusion. These findings challenge technology-focused assumptions in the Smart Governance literature by demonstrating that sustainable digital transformation in small cities depends not only on technological deployment but also on the interaction of technological, institutional, and participatory readiness. The study therefore advances a readiness-oriented understanding of Smart Governance as a governance capability outcome rather than merely a technological outcome. By emphasizing institutional preparedness and meaningful citizen inclusion, the study contributes to broader debates on digital governance transformation and offers a context-sensitive framework for understanding Smart Governance in small-city settings.