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Public Sector ERP and AI Are Running on Two Clocks: Will That Gap Become a Strategic Risk?

Public sector technology strategy is conflicted by the slow, methodical pace of legacy system modernization, exemplified by the UK's Defence and Bank of England initiatives, contrasted with the rapid, high-profile push for AI and advanced computing, leading to a widening gap between ambition and execution.

Employee slumped in front of several computer monitors.

Business Process Management and Automation

Workday Research Finds AI Productivity Gains Are Lost to Rework

Workday research finds nearly 40% of AI productivity gains are lost to rework, as employees spend significant time correcting and verifying AI output, exposing gaps in how organizations measure and manage AI impact.

Two professionals sit across a desk, examining a tablet in front of a scale.

Governance, Risk, and Compliance

NAVEX Top 10 Risk & Compliance Trends 2026: AI, Supply Chains, Governance Pressures Shaping the Year Ahead

NAVEX’s 2026 Risk & Compliance Trends report outlines the top 10 pressures shaping governance, AI, supply chains, and workplace culture. Discover what compliance leaders need to know to build resilient, accountable programs this year.

Cloud Platform and Technology

Japan Cloud ERP Market Growth Expected as Digital Transformation Accelerates

Japan's cloud ERP market is set for substantial growth at a CAGR of 20.1% through 2032, fueled by government digital transformation initiatives and AI solutions, with major vendors driving deployment across manufacturing and retail sectors.

Analytics and AI

OpenAI Is Targeting Hospitals and Patients Alike with Healthcare Platform, ChatGPT Health Data Integrations

OpenAI is venturing into healthcare with 'OpenAI for Healthcare' aimed at institutions and a consumer-focused 'ChatGPT Health' that personalizes medical interactions, while addressing privacy concerns and the need for robust data governance.

Microsoft Defender for Office 365 log displayed on a phone in front of a keyboard.

Security

Microsoft Warns of Rising PhaaS Attacks in 365 Environments

Microsoft warns of rising internal-looking phishing in Microsoft 365, which exploit misconfigured routing and weak authentication. PhaaS platforms like Tycoon2FA automate these attacks, and hybrid email environments from cloud migrations increase risk, making enterprise inboxes more vulnerable.

ERP Strategy and Planning

RISE with SAP: Cloud ERP Adoption Accelerates Ahead of 2027 Deadline—SAPinsider Benchmark Report

SAPinsider’s RISE with SAP 2025 benchmark shows cloud ERP adoption accelerating as the 2027 end-of-maintenance deadline approaches. New data reveals how generative AI, security readiness, and organizational size are shaping SAP S/4HANA Cloud Private migration decisions.

Data with South Korea flag in the background

Governance, Risk, and Compliance

South Korea’s AI Basic Law Takes Effect in 2026: What Businesses Need to Know

South Korea’s AI law, effective January 22, 2026, requires organizations using high-impact AI systems to conduct risk assessments, maintain human oversight, and prepare for compliance during a one-year grace period.

Governance, Risk, and Compliance

Europe’s ERP Vendors Are Gaining Ground Alongside Oracle, Microsoft

European ERP vendors like SAP, Unit4, Odoo, AFAS, and Exact are emerging as viable alternatives to US giants by aligning with regional regulatory, data protection, and localization needs, particularly for organizations prioritizing compliance and sovereignty.

The coast of Da Nang with the city against the beach and ocean

ERP Strategy and Planning

Vietnam Draws More Than $7 Billion in AI Data Center Investments, Reshaping Enterprise Infrastructure

Create Capital Vietnam and Haimaker.ai have unveiled a $1 billion joint venture to build a nationwide AI-focused data center network in Vietnam, part of a broader surge of more than $7 billion in AI infrastructure investment driven by policy incentives and rising enterprise demand.

Governance, Risk, and Compliance

How Gulf States Are Approaching Digital Sovereignty

Gulf states are building digital sovereignty frameworks to strengthen infrastructure and move from importing to operating cloud and AI services locally. National regulations, major investments, and regional collaboration support this transformation.

Analytics and AI

SAP, Partners Turn Embedded Business AI into Concrete ERP Wins

SAP and its partners are transforming AI from concept to implementation by integrating SAP Business AI and SAP BTP into workflows that enhance efficiency and collaboration, as illustrated by successful case studies from companies like FRoSTA and Aspen Pumps.

CRM and Customer Experience

5 Predictions: What Salesforce Leaders Expect from Enterprise AI Agents in 2026

At a Salesforce roundtable, executives predicted that by 2026, companies will face a clear divide based on their adoption of AI agents as operational infrastructure, leading to significant changes in voice communication, engineering delivery models, governance structures, and user experiences.

CRM and Customer Experience

Inside Salesforce’s Agentforce Roundtable: How Did Leaders Really Use AI Agents in 2025?

Executives are shifting their focus from the hype of AI to practical implementation, emphasizing the importance of data activation, hybrid reasoning models, and effective change management to ensure AI agents deliver value in real-world applications.

Analytics and AI

IBM Advances Generative, Agentic AI Deeper into SAP Operations with ICAMS

IBM announced its Application Management Suite for SAP (ICAMS), designed to enhance SAP transformation through generative and agentic AI, thereby streamlining management processes and improving operational efficiency across SAP environments amidst the complex transition to S/4HANA.

Cloud Platform and Technology

Oil and Gas ERP Leaders Signal Agentic AI Push in Recent Deployments

Oil and gas operators are prioritizing digital transformation through cloud ERP modernizations with autonomous AI agents and unified data platforms, highlighting the industry's focus on operational efficiency and competitive advantage.

Cloud Platform and Technology

Cloud Security Has Hit a Speed Wall as AI, Multicloud Outpace Defenses

The December 2025 Palo Alto Networks State of Cloud Security Report reveals that cloud security is lagging behind the rapid growth and complexity of modern IT, with a critical emphasis on identity risks and the urgent need for integration of security operations to protect increasingly vulnerable cloud systems.

Human Capital Management

SAP, Oracle Lead the Charge as AI-Driven Performance Management Market Targets USD 6.33B by 2030

The employee performance management market is expected to grow from $3.52 billion in 2025 to $6.33 billion by 2030, driven by a shift towards continuous, analytics-enabled performance cycles embraced by major firms like Adobe and Microsoft, with AI-centric platforms at the core, as organizations increasingly link performance to skills-based talent strategies and digital transformation efforts.

Analytics and AI

AI Agents, Real-Time Connectivity Defining ERP’s Future

ERP systems are transitioning to AI-native architectures with embedded autonomous agents, enhancing efficiency by automating tasks, monitoring transactions, and suggesting corrections, prompting companies to prioritize semantic data integration, upgrade flexibility and real-time connectivity.

Analytics and AI

Anthropic Set to Donate MCP to New Linux Foundation Agentic AI Foundation

The Model Context Protocol (MCP) donation to the Agentic AI Foundation, under the Linux Foundation, aims to ensure its neutral governance and collaborative development within a multi-vendor environment.

Cloud Platform and Technology

Why Hyperscalers Are Investing $67.5B in India

Microsoft and Amazon plan to invest a total of $52.5 billion in India's AI and digital infrastructure, reflecting a broader trend of significant investments from tech giants aimed at enhancing the country's digital economy and capacity to support advanced technologies.

Analytics and AI

Agentic AI Defined and How It Is Reshaping the Enterprise Architect’s Role

The rise of agentic AI in enterprise applications is transforming the role of architects from static designers to dynamic overseers, requiring new workflows and governance models as AI increasingly undertakes decision-making tasks historically handled by humans.

Enterprise Architecture

UK Enterprises Gain New Control over AI with BT’s Sovereign Deployment Platform

BT has launched a new sovereign platform designed to enhance UK control over AI and cloud workloads, providing a secure domestic environment for data residency and compliance, in alignment with national strategies while preparing for future sovereign services.

Implementing Cloud ERP: Codestone’s Six-Phase Approach

Application Development and Integration

Cloud ERP Market Growth by Market Segment, Region

The cloud ERP market is projected to grow to nearly $177 billion by 2032, driven by increased demand across industries for scalable, AI-enabled solutions that enhance data handling, with North America leading the market and Asia-Pacific rapidly growing.

ERP Strategy and Planning

System Integration Market Surging as Enterprises Shift Toward Modernization

The global system integration market is projected to reach $600 billion by 2030, with ERP systems playing a key role as companies shift toward digital transformation, IoT adoption, and increased automation in daily processes.

Automation

US Federal IT Modernization Moves Beyond Cloud Migration to Continuous Transformation

US federal IT leaders are evolving from one-time cloud migrations to an ongoing transformation model, emphasizing continuous modernization, strategic partnerships, and dual metrics for success that prioritize agility, resilience, and innovative capability delivery.

Manufacturing Systems and Automation

Cloud ERP Market Projected to Triple Growth by 2032

The Cloud ERP market is projected to grow to $176.93 billion by 2032, driven by increasing demand for scalable solutions, AI integration and cost-effective deployment as well as an emphasis toward operational efficiency.

Automation

IBM Pushes Toyota South Africa’s SAP Modernization Forward with On-Time S/4HANA Upgrades

IBM is modernizing Toyota South Africa Motors' core systems through two SAP S/4HANA upgrades that enhance data visibility and streamline operations, marking a critical step in Toyota's transition from legacy systems ahead of the 2027 support deadline.

Analytics and AI

NATO Taps Google Cloud for AI-Ready Sovereign Infrastructure

NATO has partnered with Google Cloud to enhance its digital modernization through a multimillion-dollar commitment to an air-gapped sovereign cloud environment, improving data governance and enabling AI-driven workloads while maintaining strict security and operational control.

ERP Strategy and Planning

Clorox ERP Modernization: Lessons from a Large-Scale Transition

Clorox's recent ERP system launch, while an ambitious, faced challenges including concerns over costs and a decline in sales during the transition, illustrating the complexities and disruptions inherent in large-scale ERP migrations.