How public-sector leaders are turning AI into a strategic advantage 

May 29, 2025

AI is no longer something happening around the edges of government. It’s shaping how leaders think, plan and deliver on their missions. From how we make decisions to how we train teams and measure impact, AI is pushing public leaders to operate differently. The shift is real—and it is accelerating. 

The challenge? Leading this transformation responsibly. That means supporting the workforce, aligning with core values and keeping pace with change while managing risk. 

During a recent fireside chat hosted by the Partnership for Public Service’s Public Service Leadership Institute’s AI Government Leadership Program, we explored what it takes to lead well in this moment.  

The biggest takeaways weren’t about the latest tools—they were focused squarely on leadership. Here’s what public sector leaders are leaning into right now: 

1. The workforce is the foundation, and it’s not fully ready yet. 

Government teams know their jobs deeply, and when AI changes the “how,” reskilling becomes non-negotiable. 

  • AI literacy isn’t a technical skill, it’s a leadership skill. 
  • Every agency leader—from finance to operations—needs to understand how AI is built and used. 
  • Teams require ongoing training and support to apply AI responsibly. 

2. Governance isn’t about restriction, it’s about responsibility. 

When done well, AI governance doesn’t slow things down. Governance creates the clarity and confidence leaders need to move fast and stay aligned with their mission. 

  • Policies must balance transparency, accountability and security. 
  • Diverse teams are essential—bring in voices from across the agency. 
  • Innovation and oversight can, and must, move together. 

3. Smaller agencies don’t have to go it alone. 

Not every agency has a dedicated AI team, but every agency can start somewhere. 

  • Leverage shared services and interagency agreements. 
  • Collaborate with peers who are a few steps ahead. 
  • Use existing frameworks and proven tools—there is no need to start from scratch. 

4. The biggest risks? They’re not technical—they’re human. 

Yes, there are real risks with AI. And the most significant ones aren’t in the code, they’re in how people use the technology. 

  • Workforce readiness is the top risk we hear from leaders. 
  • AI training must be continuous, not one-time. 
  • Maintenance, updates and change management require ongoing education and resources (e.g., investment). 

This is a defining moment for public-sector leadership. AI won’t slow down, and it’s up to us to shape how it’s used. 

At the AI Center for Government, we believe this moment calls for thoughtful, courageous and connected leadership. The kind of leadership that focuses on public value, includes every agency, and meets the urgency of this moment with clarity and care. 

If your agency is taking steps to lead AI well, we’d love to learn from you. Join us as we highlight real-world AI use cases and convene public-sector leaders from across the country to share tools and insights to lead confidently in the age of AI. 

We’re here to help! 

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