Agentic AI in government takes automation to the next level by finding its own way through a problem after being prompted just once. Employees simply set the outcome “and let AI do the work,” Attaie says. “This has the potential to exponentially increase productivity gains for organizations if leveraged properly.”
In government, traditional RPA “acts like a diligent clerk, perfectly processing forms if every box is filled correctly,” Nadella says. “Agentic automation is more like a seasoned caseworker. It handles the messy reality — interpreting handwritten notes on an application, checking across disparate databases or making a reasoned judgment when guidelines conflict.”
In places where RPA “would simply stop and flag an exception for human help,” an agentic solution can adapt, Nadella says. It can navigate uncertainty, learning from outcomes and managing “entire complex processes, such as permit approvals or benefit assessments, from start to finish.”
READ MORE: State and local agencies harness AI to improve citizen services.
What Are the Benefits of Agentic Process Automation for Agencies?
Agentic process automation promises to transform the constituent experience, speeding assistance in everything from building permits to tax processes. “For anything to do with service requests or inquiries, you are not waiting days for that email, you’re not waiting for that call back,” Hansen says.
By using agentic AI for process automation, agencies can not only deliver accelerated outcomes but also gain greater efficiencies. “Due to their autonomous nature, agents can help employees save time by individually performing certain workflows while learning from their outcomes and making tweaks to improve the process itself,” Attaie says.
With AI agents supporting automation, state and local government can “unlock the next wave of productivity gains, fueling further growth and new innovation,” he says. “It’s possible to make billions of dollars in productivity gains through the combination of automation and AI.”
An agentic approach also acts as a force multiplier in crunch times. “With the hotline for the tax service, there’s a surge right before April 15, and you’re not going to hire your way out of that,” Egts says. With agentic automation, “you have the elasticity to scale for these peak demands.”
How Can Governments Prepare for Agentic Process Automation?
Agencies can take steps now to prepare for the adoption of agentic process automation. “Success starts with laying thoughtful groundwork,” Nadella says.
“Begin by identifying a clear, high-impact challenge where staff face complex judgment, not just repetitive clicks. Foster collaboration between frontline workers, IT and leadership to map the real-world process,” he says, and then set the AI to work.
Overall, “it’s imperative that state and local governments start with the right building blocks before investing in any particular tool,” Attaie says.
“First, figure out the use cases. Ask yourself, what do you want AI to help with?” he says. “Then, ensure there’s a strong data foundation, and look for the right models, including smaller large language models that are performant and more cost-effective.”
Thinking small is key to success here. Agentic process automation delivers the greatest impact when specialized agents hand off tasks to one another. So, rather than deploy a single agent that knows everything about the state, “what you want to do is divide things up,” Egts says. If a question comes up about motor vehicles, for instance, it gets sent to an AI agent that knows all about those things.
It makes sense, too, to establish clear goals as agentic automation comes into play. “What’s the result that we’re looking for? Is it more efficiency? Is it fewer people?” Hansen says. Nail down the key performance indicators, and then establish governance in support of those outcomes, along with an appropriate data strategy.
“A strong data foundation, combined with the right AI assistants and agents embedded with governance, will enhance talent and skyrocket productivity,” Attaie says. “Agentic process automation is the future of a successful local government that puts its citizens first.”
