An independent OECD review affirms the strength of Australia's Digital and ICT Investment Oversight Framework and recognises the DTA's work as a global example of best practice.
The Organisation for Economic Co-operation and Development's (OECD's) Digital Government in Australia: Enhancing Digital Investment review highlights our Investment Oversight Framework's (IOF's) as a comprehensive, end-to-end approach to manage digital investments across government.
The framework brings together planning, prioritisation, assurance and benefits realisation across six integrated investment states. The OECD found it effectively supported better decision-making, improved risk management and allowed for stronger alignment with whole-of-government digital priorities.
Chris Fechner, CEO of the DTA, said "this review confirms the strength of our approach and provides us with a clear roadmap to keep evolving to deliver benefits for all people and businesses."
The Australian Government's Digital and ICT Investment Oversight Framework (IOF) illustrates a comprehensive approach to overseeing digital and ICT investments across the public administration. Through the IOF, the Digital Transformation Agency (DTA) works to ensure that investments are robust, strategically aligned to government objectives, and realise their intended benefits.
Digital Government in Australia Enhancing digital investments, pg. 6, OECD 2025
What the OECD found
"The IOF has been in place for three years, and we wanted to understand how well the framework is supporting digital investment across government," Mr Fechner said.
Australia's broader international standing in digital government is recognised in the OECD's newly released report. It features case studies that highlight Australia as a leading example of whole-of-government digital investment governance practices. This includes the DTA's Investment Oversight Framework, the Benefits Management Policy, Digital Experience Policy, and Buy ICT platform.
As a strong example of government effort to set an integrated whole-of-government investment model, the Australian Government's Digital and ICT Oversight Framework (IOF) provides countries with a valuable model from which to learn. The strength of the IOF has been its whole-of-government approach to managing investments end-to-end, including with robust processes, policies, and tools to support agencies across the investment lifecycle, and as a mechanism for policy implementation and benefits realisation.
Digital Government in Australia Enhancing digital investments, pg. 15, OECD 2025
OECD recommended actions to further develop the IOF
The OECD review provides a clear set of short-, medium- and long-term recommendations to help mature and expand the IOF:
Short term
In the immediate term, recommendations include finalising the Integrated Data Platform to improve visibility across investment states. They also recommended refining internal processes and strengthening relationships between the DTA and agencies.
The review also encourages continued rollout of Digital Investment Plans, with a focus on legacy risks, delivery capability, and the broader social and environmental impact of proposals.
Medium term
Looking further out, recommendations include refining assessment tools and metrics within the Contestability state. The OECD also suggested the DTA strengthen its Assurance function to support feasibility testing. The Sourcing state should also be embedded more effectively into procurement workflows.
Long term
In the future, the OECD proposed exploring alternative funding models for pilot digital solutions and establishing a dedicated GovTech capability to support collaborative innovation with the private sector and research community.
"We're committed to working with Commonwealth agencies to improving how we support agencies progress through the framework," Mr Fechner shared. "This is about building even stronger foundations for digital investment across government, so we can deliver better outcomes for people and business"
Progress already underway
The DTA has already begun implementing several of the OECD's recommendations. This includes work to improve integration across the IOF through the development of the Integrated Data Platform and enhancing support for agencies at each stage of the investment lifecycle.
The Digital Investment Plan Policy, released on 1 July 2025, is another key step. It supports agencies to map their digital priorities, identify capability gaps and manage legacy systems. While newly introduced, the policy will continue to evolve in consultation with agencies to ensure it remains relevant as technologies and delivery models change.
"The IOF is designed to adapt with government," Mr Fechner explains. "We're not only strengthening the system, but we're also helping agencies build the toolset of confidence and capability to implement it effectively"
Further work is also underway to strengthen assessment practices, improve transparency, and align proposals more closely with the Data and Digital Government Strategy.
A foundation for future-focused investment
Since its implementation, the IOF has supported over 300 digital and ICT proposals, including $2 billion in investment during the 2023-24 Budget cycle. Agencies are engaging earlier and more consistently with the framework, leading to clearer benefits definition, better delivery planning, and stronger alignment with strategic digital priorities.
"We see this as a long-term investment in a smarter digital government," Mr Fechner added. "The IOF is already delivering value, and with continued agency collaboration combined with finding ways to continuously improve, it will only become stronger."
The OECD therefore considers the Australian Government to perform as a leader amongst the OECD on the topic of digital government investments.
Digital Government in Australia Enhancing digital investments, pg. 22, OECD 2025
The DTA thanks the OECD for its valuable expert insights and collaborative approach throughout the review process. The findings reinforce Australia's international standing in digital government and provide a valuable roadmap for evolving how we plan, prioritise and deliver digital investments across the public sector.
Explore the full OECD review: Digital Government in Australia: Enhancing Digital Investment
Explore the full framework: Whole-of-Government Digital and ICT Investment Oversight Framework
