Administrative Reforms in the Fourth Industrial Revolution: The Case of Blockchain Use

Abstract

The increasing interest in blockchain since the end of 2017 has induced many attempts to apply it to public sector administration. Blockchains have been shown to improve the levels of economic efficiency, security and decentralization in administration. This exploratory study examines the determinants of blockchain administration and their priorities through an analytic-hierarchy process (AHP) analysis. The priority ranking of internal factors was security, economic efficiency, and decentralization. The introduction of blockchains in the evolution of the current e-government to the future of convergent governments will be generalized through trial, error, and learning processes. As experienced both in the knowledge and information society and in the e-government development process, reforming government administration is not solely a technical problem. The study results suggest that future blockchain administration in the public sector be used in the field of e-voting to encourage citizen participation in the process of agenda-setting, to enhance the level of security and transparency of taxation, and to increase the level of equity. Blockchain technology can also be used to improve efficiency in the provision of individually oriented social welfare services. Its adoption via administrative reform may reduce the level of corruption in personnel management, recruitment, and procurement in public sector organizations.