As we proudly present the fourth edition of the Australian Local Government CEO Index, we reflect on the journey that began amidst the global upheaval of 2020. Initially created to capture the unique challenges faced by local government leaders during the COVID-19 pandemic, the Index has since evolved into a vital resource, offering deep insights into the shifting priorities and enduring concerns within the sector.

The 2024 Index: A Record Response

Behind the data are the contributions of over 170 council CEOs—a record-breaking 43% increase in participation—offering an unparalleled view into the perspectives of Australia’s local government leaders. Their reflections shape the Index, highlighting the eight critical themes that define the current public sector landscape:

• Artificial Intelligence
• Customer and Community
• Financial Sustainability and Growth
• Leadership, Learning, and Innovation
• Organisational Cultural Transformation
• Shared Services
• Sustainability and Preparedness
• Technology

Shifting Priorities in a Post-Pandemic World

Moving into a post-COVID-19 world has seen new areas of focus for local government leaders, and these have been reflected in this year’s survey. However, the impact of the pandemic still lingers in areas such as leadership, financial sustainability, and employee wellbeing, perhaps forever upending expectations from both managers and employees on their work arrangements. The top five areas of priorities across the public sector for this year are:

1. People, Leadership, and Organisational Culture
2. Leadership Capability
3. Community Resilience and Wellbeing
4. Cyber Security
5. Digital Transformation
    
   

Key Insights Revealed

While AI continues to be a topic of discussion, most CEOs view its impact on their councils as a distant concern, with many expecting significant changes only in the coming years. The threat of cyber-attacks, however, has emerged as a major concern, with about a quarter of CEOs citing it as a significant issue, keeping them awake at night.

Despite the potential benefits, many councils remain hesitant to share technology services, though there is a greater openness to sharing other services.

The challenge of balancing remote work expectations with the realities of on-site roles continues to create friction, highlighting the importance of a strong organisational culture.

Many CEOs are grappling with concerns over the behaviour of elected officials and are seeking networks of peers for support and collaboration.

The financial impacts of COVID-19 continue to be felt, with two-thirds of councils prioritising asset management, service redesign, and procurement to regain financial stability.

Another critical finding in our fourth edition is the substantial leadership transition occurring within the sector. Over the past two years, a notable number of local government CEOs have concluded long-standing tenures, resulting in the departure of extensive industry experience and knowledge from the sector.

These insights provide only a glimpse. The full Index offers a wealth of detailed findings and nuanced observations ready to be explored and applied to your specific areas of interest.

The Road Ahead

The 2024 Australian Local Government CEO Index reveals that transformation is already underway within the sector. As we reflect on the findings of the Index, it is clear that the landscape of local governance continues to evolve, presenting both challenges and opportunities for leaders across the nation. The insights gathered in this year's report underscore the importance of strategic leadership, innovation, and adaptability in navigating the complexities of the post-pandemic world.